The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-06-28
THE NEW CUBA.
CuDa,s National Finances.


HAVANA, June 2i.-ln August. 1901. Mr.
Estrada Palma stood at the top OF the list
Of possible candidates for the Presidency OF
Cuba A communication was sent him ny
political leaders in the island asking Tor
statement Of his views upon various pubic
questions. Regarding the matter OF ma
tional finance he said in his reply CUBA
is new nation and must not bs extravagant'
She should adjust her expenditure to her
income and resources"
While for its novelty and profundity
this assertion Is fairly on a par with state
ment that water Is wet or that fire burns,
II was nevertheless a statement OF genuine
conviction which would have been more
admirable had it been more durable. 1t
lasted for nearly two years after Mr.. PslmAs
inauguration AZ the first President Of Cuba,
and during that time unquestionably
operated a. a restraining force on the Cuban
Congress- 1t still holds in Mr.. Palma's
mind as a moral conviction, but 1t has
been 50 battered and assailed by the per-
sistent assaults Of political eIpediency
that its force as restraining agent haS
quite disappeared.
When Don Tomas assumed the duties
Of his high Office his soul burned with the
fires Of genuine patriotism, but he was
utterly inexperienced in the intrcaces
Of political government. His government
would be ideal II he could make 1t so. Econ
omy would be his strongest card. Cuba
had rebeled against unjust and oppressive
taxation and against expenditures which
brought no benefit whatever to the island.
The new Cuba was to be run on wiser lines.
Tharo W IN ha M 70 Y ar - thnaa That
were imperative, and no expenditures
save those that were needful. For several
months Mr.. Palma rat OH the national
cash box and frowned severely on such
petty attempts ~ were made to raid 1t.
In this way he piled up very comfortable
little treasury surplus.
The point in Cuba's national finance
which Is most clearly open to criticism does
not lie 80 much perhaps in the sum total
Of her expenditure as 1t does in her national
financial system. This system springs
out Of her failure to establish that deem
tralized form Of government which the
trainers OF her Constitution tried to efect
by means OF that instrument. Centraliza-
ton was one Of the major evils against
which the Cubans protested In the days Of
Spanish control, and the Palma admins
tration has perpetuated one OF the actively
provoking causes OF Cuba's revolt against
the mother country. This has imposed
burdens OF expenditure upon the national
Government which under q better ordered
institution and under the terms OF Cuba's
own Constitution would be distributed
among the smaller political divisions, such
as the provinces and the municipalities, In
a way that would bring expenditures more
directly under the control OF the people and
greatly reduce the call upon the national
revenues.
For instance, schools should be supported
by the areas in which they are established
Cuba's Constitution declares that primary
education shall be compulsory and pro-
vides that the expenses thereof shall be
betrayed by the State during such time
az the municipalities and provinces, respec-
lively. may lack sufficient means therefor
No effort has yet been made to place this
burden where it properly belongs, and
school maintenance continues as a function
OF the national Government, 1t il thereby
brought into the sphere Of national politics
and becomes one Of the agencies subject
to political manipulation in national cam
paigns A similar condition obtains in
that the Constitution makes Cuban cities
autonomous, all the important functions
OF the municipalities are In the hands OF
and are maintained by the central Govern
ment at Havana. Notwithstanding the
power to do so conferred by the Constitu-
ton. no Cuban city can to-day borrow
money for the installation OF sewer or water
SYSTEMS or for other public improvements.
The State controls 1t all, and the national
fiscal reports show appropriations for suoh
processes in various municipalities, as
we'll as for highways and bridges in diff
ferent provinces. A short time ago Presi-
dent Palma vetoed an appropriation for
the sanitation OF Cuban cities. This was
done on the ground that the money was to
be apportioned to the municipalities for
expenditure by the city authorities. This
creates another force susceptible Of control
and manipulation by the central machine.
The department OF police appears as
another instance. Havana and perhaps
other cities make some appropriation
for local municipal police. But even
Havana receives an annual appropriation
from the national treasury for the mainte-
nance Of purely local municipal police
force. The island as a whole is polioed
by semi-mlitary body known as the
Rural Guard. survival and continuance
OF Spanish institution which was the
immediate cause OF much Cuban complaint
in Spanish days. A short time ago the
Province Of Santa Clare proposed an in
crease. at the expense Of the province.
Of the Rural Guard. Mr.. Palma vetoed
the measure. In their aggregate the
police and the Rural Guard comprise a
force of approximately 5000 men. 1t Ia
openly asserted that they are used by the
central Government al force In the polit-
ical machine.
In its total the national expenditure for
institutions and processes which should be
supported, both as principle Of republican
government and in conformity with the
provisions Of Cuba's Constitution by the
political subdivisions absorbs not very
much short Of one-half OF the national
revenue. In country no larger In area
and population than the island Of Cuba
there are certain advantages in the system
OF expenditures from central fund OBJ
tanned by a tariff on imports. 1t might
even be the best way II there were no such
thing as partizan politics to open the door
to unnumbered abuses and evils. As 1t
u.s. the system Is little short OF being
actually pernlcious.