The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1910-12-12
Postmaster General Hitchcock Re-
duces Deficit in His Depart
ment and Increases
Efficiency
MAKES GOOD SUGGESTIONS
Urges That Higher Rates Be CHARGED
Magazines With Advertising PAGES.
Service Has Been Greatly
Extended.

Washington, Dec. 12.-In the space
or twelve months reduction has
been made in the deficit of the Post
ofice Department of $11, 800, 900, ac-
cording to the annual report of POST
master General Frank III. Hitchcock
made public today.
While a year ago the fiscal records
of the postal service disclosed a deficit
OF s17,500,000 the largest in the history
of the country, the excess of expendi-
lures over receipts for the year end
ed June 30th last amounted to only
$5,S4s,566. In commenting upon this
reduction Postmaster General Hitch
cock says in his report:
1T is most gratifying to report that
this unprecedented reduction has
been made without any curtailment OF
postal facilities. An the contrary. the
service has been largely extended.
Business Methods Followed.
"The policy of the present admins
tration has been to wipe out losses by
increasing the postal business along
profitable lines, and while thus en-
larging the Departments income to re-
duce as far as possible the rate of ex-
cesses, by simplifying and rendering
more effective the methods of handling
postal business, and by raising to the
highest possible standard the efficiency
Of officers and employees.
"The more quickly mail matter can
be handled the less expensive is the
process. The Department accordingly
has devoted itself with great earnest
ness to the work of increasing the ef-
iclency of the mail service: consider
ing this the surest method of making
the postal establishment self support
ng"
Service Greatly Extended.
The Departments policy is to ex-
END the service as rapidly as is war
'anted by increasing population. In
'urtherance of this policy. 1900 new
were established during the
asst year and 515 new rural delivery
'outes traversing altogether 1925
niles, were instituted. Nearly $500
lew employees of various classes were |
placed upon the rolls of the Depart |
nent, whose aggregate salaries were |
more than $2.000,000 annually. In ad- |
lition to this sum. s1,750.0OO was add
,d to the salaries of Postoffice clerks, !
1,226,OOO to the salaries of letter car
iers, and $250,000 to the salaries of |
ailway mail clerks. All increases in |
alary were based upon efficiency rat
ngs.
Higher Magazine Rates.
In the discussion of second class
nail, Postmaster General Hitchcock
'oints out the constant growth of this
lass of matter. 1t is carried at loss, |
nd he urges that a remedy should
'e promptly applied by charging more
ostage.
I'm levying the higher rate" the re-
'ort suggests, "it is believed that a
distinction should be made between
matter and what is termed
egitimate reading matter.
."Under present conditions an in
rease in the postage on reading mat
er is not recommended. Such an in
rease would place a special burden on
large number of second class publi-
atoms, including educational and re-
lgious periodicals, that derive little
r no profit from advertising. 1t Is the
of this type of publications,
which aid so effectively in the educa-
ional and moral advancement of the
eople, that the Government can best
ford to encourage. For these publi-
ations, and also for any other legiti-
late reading matter i'm periodical
orm, the department favors a contin-
alton of the present low postage rate
T one cent a pound. and recommends
hat the proposed increase in rate be
pplied only to magazine advertising
latter
Newspapers Not Included.
'In view of the vanishing postal
eficit IL is believed that If the maga-
ines could be required to pay what
costs the Government to carry their
dvertising pages the departments
evenues would soon grow large
nough to warrant one cent postage on
rst- class mail.
Newspapers are not included I'm the
Ian for a higher rate on advertising
after because. being chiefly of local /.
they do not employ the
ails to any such extent as the wide
circulating magazines"
While the loss resulting from the
w postage rate on second-class mail
t0t BItdttSt tit poobdi StTNlt6l
le loss on rural delivery service is
FRY considerable. The appropria-
ons annually granted TO maintain
Ie rural delivery system. however,
pointed out in the report, in amounts
,t exceeding ten dollars. at a lower
q than is charged for money or
,rs.
Abuses Of Franking System.
Mr.. Hitchcock believes that many
,uses of the franking system could be
'evented. with marked economy. by
pplying special official envelopes and
amps for the free mail of the govern
ent. In the present circumstances
is impossible to determine the cost
the government of the franking
'ivilege, but II II were hedged about
such plan as Mr.. Hitchcock sug-
SITS II would be possible To determine
,flnitelv the cost of carrying freel