Coeur d'Alene evening press. (Coeur d'Alene, Idaho) 1907-1929, 1910-07-20

II the conditions Justify Il. the board
will ask for more.
II 10 the expectation Of the mem.
bers Of the board that as soon as the
postofiices are in a condition 10 re-
ceive savings millions OF dollars will
pour into these Repositories. II is
proposed to apply the hrst sea, OO0.-
900 Of the savings turned over to
the government to the redemption OF
the bonds to this amount which are
outstanding and which bear interest
az a rate OF per cent per annum.
This Is an excellent Investment for
the postal savings. since the latter
viii bear interest only at Q per cent.
There Ii no intention to redeem
any OF the 2 per cent Panama. which
was the bugaboo raised by some of
the insurgents, II these bonds were
TO fall TO a point below par. where
the interest rate would Justify their
purchase. undoubtedly the board OF
trustees then would consider the ad-
visibility OF buying them.
There Is no question that the gov
eminent needs money. especially for
the construction OF the Panama can
al The deficit for the present fiscal
year amounts to s46, 900 900, of
which $4,000. 900 is on account Of
the work at Panama. Secretary Mac
Veagh does not propose to issue any
new per cent Panamas. hoping 1t
will be possible to prevent a bond Is
sue until next year, by which time 1t
b believed that congress will have
sufficiently increased the interest rate
OF these bonds to make the Aotation
possible above par.
II the treasury should need mon
ey this fall. Secretary Macveagh in
tends to issue per cent short time
certificates. These operations, of
course. will be for the purpose of
taking care OF the ordinary expenses
Of the government. including the
Panama canal. In the closing days
Of the last session. the president was
authorized to Issue certificates Of in
debtedness' for the completion OF GER
tain irrigation projects.
The bankers Of the country are
opposed to the government borrow
Ing money during movement OF crops.
II may be expected. therefore. that
the treasury department will do
nothing toward the issuance OF irrl-
cation certificates until late in the
fall.
The question OF the Panama canal
bonds and the irrigation certificates
has, of course. only a remote connee-
ton with the postal savings problem.
These securities, under certain eondi-
lions, might be regarded as a suit
able Investment for postal savings.
Under the postal savings law. do
positors may acquire United States
coupons or registered bonds OF de-
nominations OF $50, S4O( SEQ. $50,
tlO0 and 5000. These bonds viii
bear Interest at the rate OF 1-2 per
cent per annnm.. II may become
possible through the sale OF these
bonds. as well as the redemption of
outstanding bonds, to prevent any
deficit In the treasury In future years.
provided. OF course. that the expendi-
lures made be not too extravagant.
There win have to be a large In
crease In the postal force In order to
transact the business the new law
imposes upon the postottioes, 1t Is
proposed that the additional en-
ployes shall enter the service only
after civil service examinations. oae
hundred thousand dollars Is appro-
prlaled for the purpose OF establish
ing postal savings depositories. but
the members OF the board OF trus-
tees are satisfied this will prove
large enough fund for the prellmin-
airy expenses and that the system win
pay for itself Just as soon as the de-
positories are open for business.
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