The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-12-05
Prevailing Prosperity Has Ex-
tended TO the Treasury.
PER CAPITA Is s33.OS.
Gold Holdings the Largest in
History of the Country.
Renews His Former Recommen-
datiOns for Changed Laws.

Washington. Dec. 5.7Secretary of
the Treasury Shaw today submitted his
annual report to congress. 1t is in part
as follows:
The net result of the ordinary trans
actions of the government for the fiscal
year 1906 was surplus of $25.669,-
322.61 as compared with a deficit of
$23, 3,0O4. .228.60 for the preceding year.
The interest bearing public debt was
increased $500. and the debt bearing
no interest $1O,165.075.2O, caused by
net additions of lawful money to the
national bank note redemption fund
The increase of the debt prpoer was
$1O,165, ,875.2O.
The trust funds increased $52,38O,-
800. and amounted to $1,O44.638,869
at the close of the fiscal year 1906.
Under the provisions of the act of
March IA, 1900, $53,O32,4O0 two per
cent consols of 1890 were issued in ex-
change for bonds of the four per cent
loan Of 1907 and the three per cent
loan of 1908.
The excess of revenues over expendi-
lures and the additions to the national
bank note redemption fund in excess
of redemptiOns advanced the available
cash balance to $3.50, $50, 354-S2 at the
close of the fiscal year. an increase for
the year of $35,211,S62
For the first quarter of 1907 the rev
enues were $5,S71, in excess OF
the expenditures, while in the first
quarter of 1906 the expenditures were
$9,574,241.56 in excess of the receipts
In the early part of April an unusual
stringency in the money market was re-
lieved by the temporary increase or
public deposits with depOsitary banks
to facilitate the Importation of gold. In
the import movement thus assisted
more than $40 600 900 in golc was added
to the general stock of that metal in
the country. On May 1, public moneys
to the amount of 81. go, 900 were placed
in depositary banks in the District of
Columbia, to avoid a local Str1ngency
likely to arise from the collection and
deposit in the treasury of taxes during
that month BY these measures the
balance in banks to the credit of the
122-19, the highest point reached during
the fiscal year, after which It was grad
ually reduced to $e1,101,755-33 by Juna
80, 1906.
Money in Circulation.
There was an increase of $1S6, ,866,Tc7
on the monetary stock of the country
during ths last fiscal year. The growth
in gold was $11s,050,777, in silver s5,450.-
1896, and in national bank notes $65.392.-
554, while treasury notes declined 81
or, 900.
The money in circulation July l. 1905
amounted to 81. 736, ,646 ,62S, a per capita
circulation Of $32. 80. By October 1 the
total circulation had increased to 81
812,132,694, or $33-08 per capita, 1876 per
cent of this amount being gold.
The treasury holdings of gold at the
close of the last fiscal year was $807,
O51. 500. 80. BY October Is this increased
to $S71, S93. .s99.77, the largest amount OF
the precious metal ever held in the
treasury.
The United States paper currency is
sued during the fiscal year 1906
amounted to $629, 1896, 900, and the re-
tificates increased $42,269. .900 silver GER
tifcates $12 20S, 600, while treasury notes
decreased 50, ,027. 900. The average cost
of each piece of United States paper
redeemed wa
cents, and the annual cost of mainten-
ance of the currency issued by the na-
tfonal government averages about one
fifth of 1 per cent of the amount out
standing.
The United States bonds pledged to
secure bank circulation amount to $500.
605,210, an increase of $52, ,53s, ,27O during
the fiscal year. The United States and
other bonds held to secure public de-
pOsits aggregated $95, SIS, 725, an increase
of $15,170,775 since June 80, 1905.
The volume of national bank notes
increased$65, ,392, ,554 during the last fiscal
year, but, Notwithstanding this increase
only 1896, ,292, ,S85 were presented for re-
demption as against $30S, ,29S. 760 in 1905.
The expenses incurred for suaI redemp-
ton were $3.50, "a. which have been
assessed on the banks at the rate of
S0.S4528 per $1,000 of notes redeemed.
On March 1. 1900, the paper circula-
ton of the denominations of $40 and
under outstanding was 1920 062, S45, and
L..
0S7. .7ss. .22s, an average annual increase
of about S56. 900, 900. But the needs of
business measured by the appeals made
to the treasury for small notes during
the last fiscal year, makes it clear that
the supply is not equal to the demand
Under existing law the national gov
ernment provides nearly three-fourths
of the paper circulation, but the re-
sources for the issue of small denomi-
nations are practically exhausted, and
can be adequately enlarged only by leg
islation.
Former Recommendations Renewed
1 desire to repeat. ard emphasize if
possible. several of my recommended
tions Of previous years.
First-A law giving trust companies
of large capitalization in large cities the
privilege of Incorporating under nation
al law with corresponding supervision,
out with no authority to issue circula-
ton.
Second-The establishment of a de-
partment savings bank in Washington
of the New England states. in the hope
of encouraging the habit of saving
among government clerks.
Third-A law licensing customs
brokers, or some other provision by
which the customs department car
protect itself from the few disreput.
able practitioners before it,
Fourth-A provision for a nominal
filing fee for entering protests and APP
should the case be successfully prose-
cuted-
Fifth-The abolition of all fees and
perquisites of collectors and other Gus
toms officers.
sixth--A liberalization of our draw
- I'LL