Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-07-20
Higher Premiums of Bonding
Companies Not to Be Paid.
HOUSE ADOPTS NEW RULE
Prohibition Made Not Subject to
Point of Order.
VAIN EFFORTS TO DEFEAT IT
Representative Palmer Attacks the
Methods of Procedure En-
ployed in the House.

Bonding companies must return TO the
rates of 1908 if they hope to get any
business from officers of the government
occupying positions of trust. The urgent
deficiency bill contains express pro-
hibition against the payment of the
higher premiums determined upon last
year by the companies.
The friends of the bonding companies.
however. i'm the House today sought to
have the prohibition removed on point
of order. Their efforts were fruitless
however. for the committee on rules
brought In resolution making 1t in order.
which was adopted by considerable
majority.
Representative Smith of Iowa presented
the rule and explained the situation which
induced the committee to report the pro-
vision of the appropriation bill. Those
reasons have been set forth in the pub
lished hearings of the committee.
Mr.. Fitzgerald of New York said he
would vote for the rule.
Palmer Opposes the Rule.
Mr.. A. NJ. Palmer Of Pennsylvania
said the object of the rule was 10 force
the House to vote for piece of new
legislation or else vote against a neces-
sary appropriation bill. He said the
rule is only another link in the chain
of evidence convincing the people that
the House is dominated by the Speaker
and the committee ON rules.
Mr.. Palmer is one of the younger and
newer members OF the House. and last
night was made one Of the vice chair
men Of the democratic congressional
campaign committee. The democrats
gave him attention and announcement
while he infn
raisnment Of the system by which the
House conducts business through the
committee on rules. When his time was
up the minority leader yielded him five
minutes more.
Mr. Palmer said that the republican
organization could sit blindfolded and
see the minority write into the rules
of the House anything it pleased con-
fdent that the committee on rules could
wipe it all out with special rule to be
adopted by majority.
We could nut the ten commandments
into the rules, said Mr.. Palmer, land
know that the committee on rules could
invalidate them with special rule. and
Rave high republican authority for the
statement that the decalogue has no
place in politics.
Mr.. Palmer said that the House can
not tell what are the rules by reading
them in the hook on rules, but must
wait to learn them from the words that
fall from the lips of the gentleman from
PENNSYLVANIA tMr. DalzelD. ''or his
eloquent and ferocious lieutenant Mr.
Smith,
Objection to the Provision.
Mr. Palmer then went on to oppose
the bonding provision itself as unwise
and unjust.
Mr.. Gill Of Maryland opposed the rule
dnunber of the larger bonding COM
panies have their headquarters in Bal
timore. Mr.. Gill said that the bond
provision had been framed by SELF
constituted committee of five or six men
in the House, and he thought that fuller
consideration should be given to the
subject. He asserted that the adoption
OF the legislation would not be helpful
20 the government. but would be hurt
full and lead to great confusion.
The Rule Adopted.
The special rule was adopted 1i5 to 81
some Of the democrats. including the mi
nority leader. voting for the rule.
The bonding provision was then offered
by Mr.. Tawney as an amendment to the
bill, as follows:
Until otherwise provided by law. no
bond shall be accepted from any surety
or bonding company for any officer OF en-
ploye Of the. United States which shall
cost IN excess of the rate of premium
charged for a like bond during the calen-
ular case. or class of cases IL the Secre-
tsry of the Treasury shall determine that
the maximum rate OF premium Charged
during the calendar year 1905 was less
than reasonable rate he may, in his dis
cretion. direct the acceptance Of such
bond or class of bonds at premium rates
exceeding not more than so per centum
those charged during said calendar year:
Provided. That hereafter the United States
shall not pay any part Of the premium or
other cost of furnishing bond required
by law or otherwise of any officer or en-
ploye of the United States
Mr. Burke OF South Dakota opposed the
proviso that the government shall not pay
the premium any government bonds
At present the government pays the pre-
miums on the bonds OF certain Indian
agents. He contended that in some cases
The salaries Of these officials takes into
account the fact that the government
pays for their bonds.
Mr. Douglass of Ohio characterized the
bond provision as "half-baked," at the
same time disavowing any knowledge of
the bonding companies or interest in their
welfare.