Evening star., 1908-01-29
the canal. and the Secretary Of
he Treasury, 1t Is arxued could hardly

| the Treasury. 1t is argued. could hardly
be held responsible for the effect Of such
issues upon the volume Of the banknote
circulation, whatever might be his opin-
| lon as to the desirability of the imitation
which might result. Practically. there
fore, the responsibility resting upon him
| relates only to the SIS. .436 500 in the one
| year certificates, and will terminate with
their maturity and redemption November
| 30 Of the current year.
Concerning the distribution Of public
moneys In banks throughout the country.
the Secretary says It has been done with
has received other than the fair and i'm
partial consideration to which 1t Is en-
| titled.
Holders Of Public Deposits.
1t is shown that the amount OF public
100000. OF which the. New York banks
| held $2s.25S, 1886. December the fig
| ures show public deposits throughout
the country amounting to $222,352, ,252. In
| connection with this statement the report
| says:
While the banks Of the state of New
York appear as holders of public moneys
to the amount of 26.8 per cent of their
capital and surplus. the banks of the
New England. eastern and middle western
states taken as a whole and includ-
lAS ASC" IOIh, SIIOW d percentage OI u6-
posits to capital and surplus of only a
little more than Is per cent. The banks
OF the southern, western and Pacific
states. on the other hand. show a pro-
portion Of nearly Is per cent With the
elimination Of New York from the east
ern group. the percentage of the remain
ing eastern and middle western states Is
only about H."
Details OF the distribution appended to
the report show that the present deposits
top tHyir ho nlrc
cradle space is devoted to showing that
great care has been taken in distribut-
ing the deposits and much consideration IS
shown to communities where particular
trade movements involve a special de-
mand for currency at certain intervals.
After discussing at length the policy
the government should adopt in regard
to paying Off its obligations. the report
hints in a general way at a possible
rent year, the internal revenue collec-
tioris for the six months ended Decem-
Der 81. 1907, showing decrease IN GUS
toms receipts of IS, S3S. 900 and In internal
revenue receipts of s822O.OoO with the
probability that the rate of decrease dur
ing the remaining half of the year will
still further decline. -,
Remedial Legislation.
Anticipating the financial wants of the
immediate future, Secretary Cortelyou in
Inmates that If new legislation does not
relieve him of the guardianship over the
money market that has tacitly arisen he
must make provision for relieving it by
making deposits in the autumn, the sea-
son when the demand for money is uSu-
ally the greatest. For this purpose alone.
under the present system. he considers 1t
expedient to reduce the present volume of
deposits Of public moneys In banks. The
maturing per cent bonds will also re-
fem ssTho 6anartmenf he
| lis fully convinced that the cash balance
now on hand is not more than adequate
to meet all these requirements. and that
no we'll founded criticism can lie against
its policy of increasing the balance tenn
porarily by the sale of securities with the
incidental purpose OF preventing grave
financial disaster"
on the subject Of remedial Legislation.
the Secretary says that in every measure
of relief the Treasury has taken he has
felt that he was bound. under our exist
ing fiscal and monetary system. to have
regard not simply to the operations of
the Treasury. but to their enect upon the
financial condition OF the country. He has
not assumed this obligation willingly. and
would be glad to be relieved of 1t. at least
In part. by suitable legislation. and If re.
cent events should lead to intelligent leg
islation, tending to adapt the movements
OF currency more nearly automatically to
the requirements Of business. it would be
a source of qualification to the Secretary.
and would greatly diminish the sense of
responsibility which must weigh heavily
upon any occupant Of the Office under
conditions such as those OF the recent
crisis.
Deposits in the District.
In reference to the national banks in the
District. Mr.. Cortelyou says:
In this connection / desire to call your
attention to what may seem. by compare
son with other cities an unusually large
deposit Of public moneys in the national
banks located in the District of Colum-
bia.
Under the laws governing the District
OF Columbia the taxes assessed on real
estate are due and payable during the
month Of May In each year. The pro-
ceeds Of these collections are immediate