Audubon Republican. [volume] (Audubon, Iowa) 1894-1925, 1897-12-23
MR.. GAGE AND HIS BILL.
The Secretary Presents His Meas
ure for Currency Revision.
Explains His Views Mt Some Length
Before the House Committee on
BankinE-FuII Text of
the Bill.

Bank1nE-Full Text OF
the Bill.
Washington, Dec. IL. - Secretary
Eage appeared Thursday before the
committee on banking and currency of
the house of representatives to present
D bill embodying his views for arevision
of the currency, to explain and urge its
provisions, and to meet any objections
raised by the committee. The secre-
tary was accompanied by Judge O'Con-
nell, solicitor for the treasury. Copies
of the secretary's bill were handed to
members of the committee and were
scanned with great interest. After be-
ing introduced to the various gentle
men of the committee, Mr.. Gage began
his statement, speaking in an easy, con-
versational manner, and following
notes. He said:
Secretary Cages Statement.
'"The object have in mind in the series
of provisions offered by me are four in
number: First, to commit the country
more thoroughly to the gold standard, re-
move, so far as possible, doubts and fears
On that point, and thus strengthen the
credit of the United States both at home
md abroad.
Second, to strengthen the treasury in
relation to it's demand liabilities, in which
are included greenbacks, treasury notes
and the incidental obligation to maintain
on a parity, through interchangeability
with gold, so far as may be necessary,
the present large volume of silver GER
kif1cates and silver dollars.
Third, to do this in such a way as not
to contract the volume of circulation in the
hands of the people
Fourth, to take an initial step toward a
system of bank note issues without the
conditional deposit of public bonds as Sc
curity therefor. If we prosper as a peo-
pie the revenue of the government ought
to be somewhat in advance of it's expendi-
lures and the public debt of the United
States gradually reduced and finally eX-
tinguished. Looking at the question wide
ly, from my best point of knowledge and
experience, | feel that if these could be
secured the condition of the government,
In its relation to the currency, would be
much safer and stronger than now. and
that through the operation of national
bank note currency the commercial and
industrial interests of the United States
v -.u to greatly adVantaged."
A wide range of discussion occurred on
section 2 of the secretary's bill. In answer
to inquiries he said its general purpose
was the same as that set forth by the
president.
Mr.. Gage said the only purpose of the
bond section was to refund outstanding
bonds for low interest bonds payable in
gold. This would not reduce the gross
amount Of the debt, but it would make a
saving on interest which the secretary
roughly calculated at $40, OOO, 900 annually.
Mr. Gage explained in detail the plan Of
issuing national bank notes for United
states notes, treasury notes and silver GER
dictates, and the covering Of the latter
demand notes for refunding bonds He
nj lie tp ,1ot
200,000,000 of the demand obligations, plac-
Ing them aside where they would relieve
to that extent the demands on the treasury.
Full Text of the Bill.
Following is the bill in full:
"A bill to. provide for the refunding of
the national debt, for establishing a re-
demption fund, and division of issue and
redemption in the treasury of the United
States, and to modify existing laws re-
specting national banks. and for other pur-
poses :. arao.oa oto .,o. .,ouo,,
lished in the treasury department, as a
part of the office of the treasurer of the
United States, a division to be designated
and known as the division of issue and
redemption, to which shall be assigned,
under such regulations as the secretary
OF the treasury may approve, all records
and accounts relating to the issue. re-
yided Of the several classes of United
States paper money. There shall be trans
ury Of the United States and i taken aG t up on
the books of said division as a redemption
fund the sum Of $l25, 100000 in United States
sums of standard silver dollars and sill.
yer bullion purchased under the act of
congress approved July IA, 1890, as, shall
equal the silver certificates outside the
treasury and treasury notes of 1890 out
standing on the date when this act shall
take effect. And thereafter the gold and
silver coins and bullion hereby transferred
from the general fund in the treasury as
herein provided shall be increased or di-
Pnce with the provisions of this act, and
In no other way.
Redemption of Notes.
Sec. 2 That all United States notes,
treasury notes of 1890 and silver certiti-
Gates presented for redemption shall be
redeemed from the redemption fund here
In provided. in accordance with the terms
tiicates so redeemed shall be held in and
constitute a part of said fund, and shall
not be withdrawn from said fund nor dis
lent amount OF the coin in which said notes
or certificates were redeemed; blu. to en-
thoroughly to, carry out the provisions
contained in this act he is hereby author
lied to exchange any of the funds in the
other funds which may be in the general
fund of the treasury department, provided
as repeating that provision of the act APP
proved July A. 1890, which provides that
there shall be outstanding at any time no
authorized by said act than the silver bull
lion and standard silver dollars coined
therefrom then held in the treasury pur-
chased with said notes.
Exchange of Bonds.
Sec. 3. That the secretary of the treas
ury be and he is hereby authorized to re-
ceive at the treasury any Of the outstand
bonds of 1904 and the four percentum con-
soils of 1907 issued respectively under the
approved July IA. 1870. and January 20.
1871, and to issue in exchange therefor
coupon or registered bonds of the United