Omaha daily bee., 1902-05-01

within three weeks General Palma
viii be inaugufated president Of Cuba
and the new republic will enter upon its
career AZ an independent state. The
hfst problem the CUBAN governments will
have 10 face IL one Of dollars and cents
and II ls apt TO be a perpieGing PROPOSE
ton. involving as IL will the question Of
how to support a new republic the cost
~ whose government Is more than the
income.
When the American occupation ends
there will be in the treasury Of the
island about ssOO,OO0 when the e1.
penses which Cuba will assume on be-
coming free are considered this surplus
looks very small and IL promises TO melt
rapidly as the numerous bills come in
bills now paid by the United states.
Reports on file In the Wal department
show that the cost Of maintaining gov
eminent In Cuba has Increased steadily
since American occupation, without a
corresponding increase In the receipts.
There was an excess Of receipts over ex-
p%enditures in 1900, but last year this
was reversed, though the excess Of ex-
p%enditures was not so large as to wipe
out the surplus Of the preceding year.
n the Cubans continue the system of
asylums, schools. courts, penal institu-
lions and public improvements estab-
llshed by the American administration
Il will take up about all the revenue
that Is now being received. To the reg
ular cost OF the government there will
have to be added other expenses as soon
as the Americans withdraw. These will
include salaries for a lot Of officials who
will I'LL offices now occupied by Ameri-
can army officers, who are paid out of
the United states treasury. Then the
number Of officials will be increased,
including the president vice president
and cabinet officers. A diplomatic serv-
Ice must be established and main
tanned and a skeleton army at least
will have to be organized and
provided for. Necessarily the per-
sonnet of the new Cuban government
will be larger than under the existing
administration, which of course will
mean a larger pay roll. Another matter
that VIII confront the new government
is the demand of the patriots" for COM
pensation for their services In the in
surrection against Spain. These are said
to number 10000, whose aggregate
claims amount to $80.000,O0 But this
demand seems SO prepOsterous that per-
haps 1t will not cause the new govern
ment any serious trouble financially.
There will be difficulty in increasing
the venue of the island. Its re-
sources, it is said, are now mertgaged
almost up to their total value and the
customs tariff Is already arranged to
yield the largest possible revenue, with
out interfering with trade. This was
the purpose in mind when the tariff was
framed. If there is reciprocity between
Cuba and the United States his tariff
must be reduced as to imports from this
country, SO that no additional revenue
from customs can at present be counted
on. Internal taxation may be somewhat
Increased, though 1t is believed not to
any material extent, particularly In the
case of real estate.
1t will thus be seen that the Cuban
statesmen who are about to take up
the practical work Of government have
a very difficult task before them In the
matter Of making provision for the
maintenance of the government and
averting the danger Of bankruptcy at
the very beginning OF It's career.