The Detroit times., 1909-12-07


un proper AID 10 our expanding sotn
rI.f'. is mot by me expansion or tnr
: sur.tl ~ Trade Relations as set torth
r tie stfrates FOR the Department OF
GOVERN VENT ENPENDITt RES AND
REVENUES.
I.,f.rs ,he most important question
ur,,. l.t,d 20 this administration Is that
90 economy iu expenditures ana sufh-
..eH,y uf revenue. Ihe dencit OF the
rlst Nstl year, apd the certain deficit
of tl.e ,Irrent year. prompted congress
I. f.rl.. a greater responsibility on the
I.Na...-t t- and the Secretary OF the
'rrra- .rv taau had heretofore been de-
.f.r.I lr statute. This declaration I'M
poses .pau the Secretary OF the Treas
Hry g. dutY 20 assem ing az tle ,a,It estt
bureaus and offices. OF the eNpendi,
f.It.s uet ssarr In the ensuing uscal
lr..r. ana % making an estimate or the
s.f.a r.r4od aud II probable dehctt
t..- shown IL is made the duty ot
tls urrs idcnt 10 recommend the meth"u
h. ',Ilrl such detcit can be met
rte port of TIE sr'r"tHfN sho~s
t.ar tn, ordinary Expenditures Tor
ts. .Irrout fiscal year ending June
.H 1910. win exceed the estimated re-
.eipt- b., s340t5s20 II 10 this deficit
Is added tie sum 10 he disburscd Tor
tHe Panama canal, amounting 20 sSS'-
,,tJ. 400 and 81 100000 10 he paid on IN"
rrbfic debt. the deficit OF ordinary re-
.eiuts and expenditures VIII oe IN
creased TO 4 total deficit OF $50 ta.o-".
T.Is deficit the secretary proposes 20
meet bv the proceeds of bonds issued
TO pav the cost OF constructing the
Panama canal I approve TINS proposai
This policy OF paying Tor the con
~trI4.tlou OF the Panama Canal. not out
90 etrft.ut revenue, but by bond issues,
vas rGouted in the SpooDer Act OF lS'-'
.u.i trare seems 10 be 10 good reason
ror larartiug from the principle by
v..t.. a rart M least of the burden OF
H. Gus, of the canal shall fall upon our
pa-teritv who are 10 enjoy - Aho
There D. ail the more reason Tor WV
rf. N because the actual cost 10 date
n tne canal. which is now halt noNe
.nd Wricd Will he completed Jan !,
1a1s lo,vs that The cost OF engtneerlng
.n, ,,rstrtirt ION viii be s2s7.16n,90O,
instead uf SI3s.105.@00. as originally 80.
timstvd ia addition 80 engineeriug and
construction. the other expenses. 1T.
clHdin- sanitation and goVernmfrt and
the amount paid FOR tho properties the
francs So. and the privilege or nglaing
Con To u total or 1875. 20l 600. The IN.
..-..t~e. I'm tire cost Of engineering and
instruction IS due 20 substantial en-
Inv widening tho canal 100 feet 81 the
: tuiyEta cut and bv increasing the Ill
( rensious OF tho locks, 10 the und%res-
timetr of the quantity OF the work 70
o.. aore under the original plan, and
80 an underestimate % the cost or lahor
and materials both OF which nave
greatly enhanced in price since the
original estimate was made
II order to avoid a deficit for the
naS Iiug fiscal year directed the heads
: ~ depa rtmeuts iu the preparation or
t."ir estimates 20 make them as low as
pos fibic consistent with imperative .
b 20, erUule nj al necessity the reSnlt mas
been as I am advised D. the SecretarE
4 OF tl,aT aTf,.tsftrt that the estimates for
tho expenses Of the government for tne
nest Gscal wear ending June so. lPl T.
current nsca al year by s42s1S.ooo 80
: fJr as the Secretary of the TreasurF -
ahtc 90 form "a Judgment as 20 tpture
Income and compare ~ with the eNpen-
.itnres 81 the newt fiscal year ending
Jgul CO. 1911. and excluding payments
owing 10 the Panama canal winch VIII
!oubtiess he taken by bonds, there viii
he d surplus of 1888 600.
In tho prese;1. estimates tho needs ot
the departments and OF tho government
have been cut to the quick. so 10 speak.
and any assumption on the part of con e.
EreSs often made IN times past that
tho estimates have been prepared with
the expectation that they may be re-
iduCcd will result in seriously hamper
ing proper administration.
Tho Secretary OF the Treasury points
ont what should he carefully noted In
rcapect 10 this reduction In govern,
ils,nt3l expenses for tho next fiscal
reur that the economies are or two
kinl~-jrst. there IL saving IN the
I permanent administration of the de-
}-irtwentz. bureaus, and Offices of the
ro1 ~ruinent. and second there Is n
present reduction In expenses by post
: pNInFuent OF projects ana imprONcmen n "a
I thrt Ultimately viii have 10 he carried
/ ont. Nf3t which are now delayed with
4 ttlc hope that additional revenue IN the
ifVturc VIII permit their execution with
DHt producing deficit.
Lvcrf reform directed toward the I'm
I r-ot meEt IN the average efficiency or
I government employees must depend on
'ft, ability Or the Executive 30 cliuiu-
.tu from tHr government service those
! 'yIo arc inefficient from any cause. and
4s fL, degree ~ efficiency iu all the
i d-rsrtfueuts Ss much lcsscucd ty tIIe re-
4 t.lti1u ~ old employees who have out
is.J 'uNtr energy and usefulness it -
T tIH l~rrnsihIe so an. proper system ~
rrpuufuy that provision ho made SO that
tu,lt separation from stIe service shall
tc ,aEr and ines itab',. It is fmpossl bio
80 make sUr' proyistou uu esF there =
I adopted plan OF civil pensions.
Z Most OF Tho great Industrial Organi-
III ,iouS. ana many of fh. vcll-,onduct
1 ol railways ~ tliS countr'. are coming
f'o Ill ConClusion that a -yetrm ~ rru-
SION Tor old employee aud. tto suhsti-
tuti0fr therefor OF voun ger and more
. .Icr 4efto servants. promotes both ccoH-
t oWy and ofiicieuy ~ admin istratio0
af. aNarr that there is strong
I fsciiuV In both Houses ~ Congress. aud
possibly in tEo rn1utrE. against tho cs-
lttnii>hment of civil pensions and that
p t.is ht- naturally grown out of tho
. innrv burden or wilitarr pensions.
vHi,f 80 iae always been tho policy of
oItr 2oVcrumcut 20 assume. hut T am
STRONGLY corr iucod that no other urac-
iti.a -ulutiou 90 the difficulties pre-
. r"Hfrd hr the sIperaruuatiou of civil