Omaha daily bee., 1909-12-08

the agencies Of the government which
can contribute anything to it's efficient
handling,
As a consequence Of section Of the
tariff act Of August 8, 1909, it becomes
the duty Of the secretary Of state to con-
duct as diplomatic business all the negoua-
tions necessary to place him in posi-
ton 70 advise me as to whether or not
particular country unduly discriminates
against the United States in the sense
of the statute referred to. The great
scope and complexity Of this work, as we'll
as the obligation to lend all proper aid
to our expanding commerce, is met by
the expansion of the bureau of trade rela-
tions as set forth in the estimates for
the Department of State.
Expenditure and Revenue.
a. Perhaps the most important question pre-
sented to this administration is that of
economy in expenditures and sufficency
Of revenue. The deficit of the last fiscal
year, and the certain deficit Of the cur
rent year, prompted congress to throw
a greater responsibility on the executive
and the secretary OF the treasury than
mad heretofore been declared by statute
This declaration impose upon the secretary
OF the treasury the duty Of assembling all
the estimates OF the executive depart
ment bureaus, and Offices of the expen-
ditures necessary in the ensuing fiscal
year and of making an estimate of the
revenues of the government for the same
period; and IL a probable deficit is thus
shown, il is made the duty Of the president
to recommend the method by which sucn
deficit can be met.
The report Of the secretary shows that
/ the ordinary expenditures for the current
fiscal year ending June SO 1910, will exceed
the estimated receipts by $34,07562o, If to
this deficit is added the sum to be dis
bursed for the Panama canal, amounting
to SIS, ,OOO, Co., and 81, 10000 to be paid on the
public dept, the deficit of ordinary receipts
and EXPENDITURES will be increased 20 a
total deficit Of $73, go. This deficit the
secretary proposes to meet by the proceeds
of bonds issued to pay the cost of con-
structing the Panama canal. approve this
proposal.
1he policy Of paying for the construction
Of the Panama canal, not out Of current
revenue, but by bond issues, was adopted
in the spooner act Of lbS9, ana there seems
TO b ne coed reason for departing from
! the principle ~ which a part, at ls&st, OF
the burden Of the cost OF the canal snail
fall upon eur pOsISrity who are TO enjoy
| Il; and thsrS 10 all the moro reason for thIs
view because the actual cost TO cate Sf
the canal, which is now half done and
which will bs completed January l, ls1b,
shows that the cost OF engineering snd con-
| struetion will be S3e7, ,76s, ,OOO instead Of $780,,
! s0S 200, as originally estimated In addition
to engineering and construction, the other
| expenses, including sanitation and govern
ment ana the amount paid for the proper
ties the franchise ana the privilege Of
building the canal, increase the cost by
| SO 4s5, CO. to total OF SS75, 900. The in
/ crease in the cost Of engineering and con-
| struction is due to a substantial en-
largement of the plan of construc-
/ lion by widening the canal 100 feet
in the Culebra cut ana by increasing the
/ 6iEsnslsns OF the locks, 10 the under
estimate OF the quantity OF the work to
- aSHs undsr the original plan, and 10 an
uHderesti5TAts 81 the cost sf labor and
materials, beth sf which have Ereatly sn-
hGneSd in price since the original estimate
wEA mAAs,
HeadiAG Oft the Deficit.
] In order TO avoid a deficit for the ensu-
Ing fiscal year directed the heads OF de-
! Partnshts IN the preparation OF their esti-
mates to make them as low as possible
consistent with imperative governmental
necessity. The result has been, as l am
advised by the secretary OF the treasury,
| that the estimates of the expenses Of the
/ government for the fiscal year ending June
/ So 1sl1-that is. for the next fiscal year
are less by $50. $4,000 than the total Of ap-
| proprlations for the current fiscal year,
and less by $s4OOO.OO0 than the estimates
for that year. SO far as the secretary Of
the treasury is able TO form a judgment
as to future income, and compare 1t with
the expenditure for the next fiscal year
ending June 80. 1911 including the pay
msnts on account OF the Panama canal ana
ths public debt there will be no deficit In
the year ending June 80. 1911, but a small
surplus Of tTlIOee
/ In the present estimates the needs Of the
dspartmsntS ana Sf the government have
been cut % tAs quick, - 70 speak. ana
any assumption en- the part OF congress-
% sften MADE In tlmss past, that the sstl-
mates have been prepared with the sx-
Ds0tatlon that they may be reduced will