The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1909-12-08
SECRETARY OF TREASURY SUB
miTs ESTIMATES ON couN-
TaYs NEEDS FOR 1911.
BELOW THOSE Of 1910
In Line With President Taf.'s Policy
of Greater Economy in Governmental
Congress Pares 20 the Bone Every
thing Possible-Ftaures in Report.

Washington. Dec. 1-getrcnehment
is the keynote in the estimates IL ex-
pendiiureS for the executive depart
ments of the government for the fiscal
year 1911. embodied in the annual re-
port Of Franklin MacNeagh as sscre-
tafy Of the treasury. made public to-
day. This is in line with President
Taft's declared policy of greater econ-
omy in administering the affairs IT
the government.
The total estimates for 1911 are SsSt.-
l32.ia1 and include the naval building
program. Excluding tn. increase IN
the Panama canal estimates. tho total
estimates for 1911 show ii decrease Ut
s5s,2i4.4s3Sa under the appropriations
for 1910. Including the Increase hi the
Panama canal estimates, the total So
Inmates for 1911 show Il decrease 1T
is.sis.asala 10 under the appropriations
for 1910
TIL. ordinary estimated receipts fnr
the current year ARE ssiS o0oa0 and tire
ordinary disbursements ut SGs2 or go
leaving IA deficit In ordinary receipts
of S3i.0Ta,s-a When the payments IN
account NJ the Panama canal aud tire
public debt are added. the total tlc-
fieit "f the fiscal year 1910 II esti-
mated at ssa.a75. .s20ia
The estimated ordinary reeelnts for
1911 are sss2.un0.oa0 and the estimated
ordinary appropriations ss3s. .ess, e. II.
or surplus In ordinary receipts ~
s3a.aal .s2s.aa. when the Panama canal
estimates for 1911 are added the sur
plus IL turned into a deficit 1T sfa.-
i3a 1871.
For the fiscal year 1910 the naval
building program WAS mot included in
the estimates submitted t. congress.
When the naval program Ii eliminated
from the estimates for 1910 aud faiI
the total estimates for 1911 are Saa-
ooi.4aa.s2 less than The total estimates
for 1910
Secretary MacEeagh, emphasizing
the har1 rigiaits Of the present res-
enue system. with it, recurrent scn-
nomleal agitations and it, lang inter
sals OF fiSity." says IL will h. neees-
safs to meet these deficits t. soil
either bonds or certificates nf InlNht-
sdness. In due course. he adds, lit
Would seem that IL must be made prte-
tieahie IL both estimate receipts with
a close approximation te the actual
and to provide for their annual rise
or fall by sume flexible factors In our
annual taxation
deductions In the present estimates.
Mr.. Matfeagh declares, result from
improved handling nf the government
work and the nostpanemch, If eN-
penditures which can be delayed ina
effort To adjust immedlatea expenses
and receipts. He sounds warming,
however. that the reductions in an
preparations will be disappointing un-
iess equal attention il given 10 ether
important savings
Secretary Macseash reviews thH ar-
eantzaiion. or rather lack If organ
izatton. Of the fiscal responsibilities II
the executive and legislative branches
nt the government and the rearganI-
cation thereof now sn progress He
soie.s the hope that there wifi he
constant progress away from the eA-
treme disorganization of the past anil
observes that even if our country IA
rich II eannot afford In be wholly I'M
scientific in its appropriations"
Probably the most important retaIa-
msndatton made by the secretary ii
that the tax on bank circulation Sa-
cured by United States bonds here
after deposited bearing interesa higher
than per cent. shall BE- Increased in
exact proportion ta the ineFcaS= I'm tue
rate of interest ahaIs = Ter eEHt lie
advises continuance Of the fsEtz If L.
of per cent for circulation based an
per cent bonds Mr.. MasFEa sh SAYS
that IT the Panama bonds authorized
by the law of August ;. lq14 should
he issued 1T : par cent th@v w.uia
have "A much better circulation priv
tlege than Ih. outstanding fsar cents.
iii" tax being png / per Int. Mr..
AaeNeash would max" the tax an
them IL per cent: oths vwi~e tire al
ready low market value IF tss gees.
cent would unduEy decline.
AT the same time. Nj AtarEeaasHt
says it Il desirable ta complete the
legislation respecting the aeN~ Panama
bonds la make them available sa n
Ii htein ths settlement IT ths. irsdef2t-
rt!n"SS L. the general fund 81 tha
treasury of the Panama CANAL. H..
suggests that II the sale ~ arsv If
thnsss bonds should produce eafsf.s cash
than the treasury balance HAet1+. Stsfsfe
of the per cents might hu bought
in the market for thr sEaEfam fund
thus keeping the market Price II m.
latter class above rar DECLARING taat
the government haS Hal ana never
mas had, al ; per cent borrowing power.
AIR. Mac Featsh says Ii oAssfbsy &unlI
have been better naxa~ u hsa%e Is
sued per cent bonds ev haetts at
any rate hela@ the governments bor-
rowing power in the open market, Ha
says that a. a basis fur circulation
they have ii" elasticity: that They Hre
practically all held hs TIL banks - a