The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1900-03-14
MIR. GAGE,S STaTEMENT. r.
Explanation of the ProvisiOns of the
Financial Bill.

| FtnRuCtnl Bill.
Washington, March 13--Secretary
Gage to-day made the following state
ment in explanation Of the provisions
of the financial bill, which passed the
house to-day:
THE financial bill, which now awaits
only the signature of the president to
I become a law, has for it's first object
which its title indica tes, the fixing of the
standard Of value and the maintaining
at parity with that standard of all
forms of money issued or coined by the
| United States. 1t reaffirms that the
unit of value is the dollar, consisting of
twenty-five and eight-tenths grains of
gold, nine-tenths fine, but from that
point it goes on to make it the duty of
the secretary of the treasury to main
tain all forms of money issued or coin
ed at a parity with this standard.
Power Given the secretary.
1T puts into the hands of the score
tary ample power to do that. For that
purpose the bill provides in the treas
ury, bureaus of issue and redemption,
and transfers from the general fund of
the treasury's cash s150,000 900 in gold
coin and bullion to the redemption
fund, that gold to be used for the re-
demption of United States notes and
| treasury notes. That fund is hence
| forth cut out of and separated from the
cash balance In the treasury, and the
available cash balance will hereafter
show a reduction of $3.50, 900 from
| the figures that have heretofore pre-
vailed. This $3.50, ,0000 900 redemption of
United States notes and treasury notes,
| and those notes so redeemed may be
exchanged for the gold in the general
fund or with the public, so that the
reserve fund is kept full with gold to
the $3.50, 900 limit.
Mnintennnce of the Reserve Fund.
"The secretary is given further pow
er If the redemptions go on so that
the gold in this reserve fund is reduced
below $100,0Oo,00o, and he is unable to
build it up to the $150000, 900 mark by
exchange for gold in the general fund,
or Other wise, he is given power to sell
bonds and 1t is made his duty to re-
plensh the gold to the $3.50, 900 mark
by such means. The endless chain is
broken by a provision which prohibits
the use of notes so redeemed to meet
deficiencies in the current revenues.
The act provides for the ultimate retire
ment Of all the treasury notes issued in
payment for silver bullion and under
the Sherman act AS fast as that bull
lion is coined into silver dollars treas
ury notes are to be retired, and replac-
ed with an equal amount of silver GER
tificates.
Issue of Gold Certificates.
"The measure authorizes the issue of
gold certificates in exchange for depos-
its of gold coin, the same as at present,
but suspends that authority whenever
and so long as the gold in the redemp-
ton fund is below $100000000 and gives
to the secretary the option to suspend |
the issue of such certificates whenever
the silver certificates and United States
notes in the general fund Of the treas
ury exceed $40,000,000
Large, Use of silver Certificates. |
"The bill provides for larger use of |
silver certificates, by declaring that |
hereafter silver certificates shall be is
sued only in denominations of ten dol
lars and under except as to 10 per cent.
of the total volume. Room is made for
this larger use of silver certificates in
the way of small bills by another pro-
vision, which makes it necessary as
fast as the present silver certificates of
high denominations are broken up into
small bills to cancel similar volume
of United States notes of small denom-
nations, and replace them with notes
of denominations of ten dollars and
upward Further room is made for the
circulation of small silver certificates by
a clause which permits national banks
to have only one-thrd of their capital
in denominations under ten dollars.
Cotnn=r of silver.
zone clause of the bill which the pub
lie will greatly appreciate is the right
that it gives to the secretary to coin
any Of the 1890 bullion in subsidiary
silver coins up to a limit of 100000 600
There has for years been a scarcity of
silver during periods of ac-
tive retail trade. but this provision will
give the treasury ample opportunity to
supply all the subsidiary silver that is
needed Another provision that the
public will greatly appreciate is the
authority given to the secretary to re-
coin worn and uncurrent subsidiary sill |
yer now in the treasury or hereafter re-
ceived.
THE bill makes a continuing appro- |
priaton for paying the difference be-
tween the face value of such coin and !,