The Somerset herald. [volume] (Somerset, Pa.) 1870-1936, 1897-03-17
HIS FIRST MESSAGE.
President William Mckinley TO the New
Congress.

Il " I
Regretting the necessity which has re-
quired me TO call you together, feel that
your assembling in extraordinary session
is indispensable, because of the condition
in which we find the revenues ofthe gov
ernment.
1t is conceded that its current expendi-
lures are greater than its receipts, aud
that such a condition has existed now for
more than three years.
With unlimited means at our command
we are presenting the remarkable spec
tacle of increasing our public debt by
borrowing money to meet the ordinary
outlays incident upon even an economic
al and prudent administration of the gov
ernment.
An examination of the subject discloses
this fact in every detail, and leads inev-
itably to the conclusion that the condition |
of the revenue which allows it is unjusti- |
fable, and should be corrected. We find |
by the reports of the secretary of the |
treasury that the revenues for the fiscal |
year ending June 30, 1892, from all sour
ees, were So, SIS, ,2G0.22, and the expendi-
lures for all purposes were Sil5,95S, $3.50
leaving an excess of receipts over expen-
ditures of s9,9I4, 1896.
During the fiscal year; siO.57O, 1878
were paid upon the public debt, which
had been reduced since March l, lSs9.
s259, ,076, $50, and the annual interest
charge decreased Sll, ,6S4, ,57660.
The receipts of the government from
all sources during the fiscal year ending
June 80, 1888, amounted to 1851, 7l6, 56l.9i,
and its expenditures to sij9, ,374, ,SS7.65,
showing an excess of receipts over ex-
penditures of S2,3ll ,67429.
Since that time the receipts of no fiscal
year, and with but few exceptions of no
month of any fiscal year. have exceeded
the expenditures.
The receipts of the government from
all sources during the fiscal year ending
June %, 1884, were S372, So, ,49s %. and its
expenditures SAP eos, 775S 81, leaving de-
felt, the first since the resumption of
specie payments, of S69, ,sOS, ,2GO.5s.
Notwithstanding there was decrease
of SIC, 769, l27.7S, in the ordinary expenses
of the government as compared with the
previous fiscal year. its income was still
not sufficient to provide for its daily ne
cessiti 5, and the gold reserve in the
treasury for the redemption of green
backs was drawn upon to meet them.
But this did not suffice and the govern
ment then resorted to loans to replenish
the reserve.
In February, 1894, $50, 100000 in bonds
were issued and in November following,
a second issue of S50,coo,0D0 was deemed
necessary. The sum Of Sll7,lTl,795 was
| realized by the sale of these bonds, but
the reserve was steadily decreased until,
on February S, lss5, third sale of Sd2,-
3l5, 400 in bonds, for f65,ll6,2H, was an
nounced to congress.
The receipts of the government for the
fiscal year ending June 30, 1895, were $780,
313, ,203.30, and the expenditures SiS3, u.s.
i26. Is, showing deficit of 81, ,sO5, ,223.l Is.
4 further loan of SlO0,OOO,OO0 was nogoti
ated by the government in February,
1896, the sale netting Sill, ,lG6 2i6, and
swelling the aggregate of bonds issued
within three years to SOP, 3l5, 400. For
the fiscal year ending June 80, 1896, the
revenues of the government from all
sources amounted to SIO9, f75, 40S.7s. while
its expenditures were Si34, ,G7S, ,654 49, or an
excess of expenditures over receipts of
81, ,203. .245.70. In other words, the TO tai
receipts for the three fiscal years ending
June 50, lssi, were insufficient by Sl57,-
Sll, ,729 I6 to meet the total expenditures
Nor has this condition since improved.
For the first half of the present fiscal
year the receipts of the government, ex-
elusive of postal revenues, were Sl57, ,507,-
GO376, and its expenditures, exclusive of
| postal service, ,sl95, il0, ,0OO.22, or an excess
of expenditures over receipts of s37, ,902. =
1876. In January of this year the re
ceipts, exclusive of postal revenues, were
s2i, BIG, ,994 05, and the expenditures, exclu-
sive Of postal service, $50, ,269. $780, %, de-
felt of -, ,952, 1924 for the month.
In February of this year the receipts,
exclusive Of postal revenue, were s2i, 100,
99s3s, and expenditures, exclusive of
postal service, S2s.T96.O55.6i, a deficit of
q, 80. .0j9 rs; or total deficiency of 1885,
06l, ,5sOfi for the three years and eight
months ending March /, 1897.
Not only are We without a surplus in
the treasury, but with an increase in the
public debt there has been correspond
ing increase in the annual interest charge
from 81, so, ,sSI.4 20 in 1882, the lowest OF
any year since ls52, to 81, ,3s7, go in
1886, or an increase of sil, 40, ,il4. 20.
1t may be urged that even if the reve
nues of the government had been suffic:-
ent to meet all it, ordinary expenses dur
ing the past three years. the gold reserve
would still have been insufficient TO meet
the demand npon it, and that bonds
would necessarily have been issued for
its repletion. BE this as it may, it l.
clearly manifest. without denying, or af
firming the correctness of such conciu
sion, that the debt would have been de
creased IN at least the amount of the de
ficiency. and business confidence immeas-
urably strengthened Throughout the coun-
try. Congress should promptly correct
the existing conditions.
Ample revenues must be supplied not
only for the ordinary expenses of the
government, but COR the prompt payment
/
principal and interest of the public debt.
In raising revenues, duties should be so
levied upon foreign products as to pre-
serve the home market, so FAR as possible,
20 our own producers; to revive and in
crease manufactures; to relieve and en-
| courage agriculture; to increase our do
mestic and foreign commerce; to aid and
; develop mining and building, and to rem
der to labor in every field of useful occu-
patton the liberal wages and adequate
rewards to which skill and industry are
justly entitled. The necessity for the
passage of tariff law which shall pro-
vide ample revenue need not be further
urged. The imperative demand of the
hour is the prompt enactment of such
measure. and to this object / earnestly
recommend that Congress shall make
every endeavor.
Before other business is transacted, let
rs provide sufficient revenue to faithfully
administer the government without the
contracting of further debt or the con-
tinued disturbance Of our finances.
| tSgned) WILLIAM MCKINLEY.
Executive Mansion, March 10, 1897.
/