Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1913-02-07
HITCHCOCK IN FAVOR
PARCEL posi- RATE CUT

Washington. Feb. POSTMASTER
General Hitchcocks annual report
tentatively suggests reduction Of some
parcel post rates and increasing the
limit OF weight beyond Il pounds; rec
ommends civil pensions for postal en-
plOves; an increase in rates on sec
end class mail which may pave The
way for l-cent letter postage; the
consolidation OF the third and fourth
classes so books and papers may be
forwarded by parcel post; and points
out that during his administration,
expense Of operating the postal service
has been cut down Sf5,o00,o9o.
In course Of 4 statement on the CON
dition of postal finances, Mr.. Hitch
cock says in his report:
In 1911, for the first time since
1889, postal receipts exceeded postal
expenditures. leaving a surplus in
stead of a deficit 4 heavy loss Of
revenue in 1912 due TO the eXtracrdi-
nary amount OF fIanked matter mailed
I'm the political campaign. Ueated q
temporary deficit but since the close
Of the fiscal year the income of the
department again has outstripped eX-
penses.
The year preceding the present ad-
miaistration was marked by the iarg-
est postal deficit on record, amounting
. 20 $17.500G90. During the next TWO
years the deficit was greatly reduced
and later eliminated When compared
with the financial showing OF four
years sGo the reports of income and
expense for subsequent years indicate
an aggregate saving Of about $45,o00,-
600.
The transformation of a deficit in
to a surplus mas been accomplished
not by CurtsiIaC the service. but by
developing it along profitable lines.
While postal facilities have been great
Iy enlarged, extensions have not been
made in a haphazard manner, but only
when shown cn investigation 10 be jus
rifed by conditions"
The establishing Of postal savings
banks at presidential postoGces was
completed early in the fiscal year,
ended June 80. 1g12,-the year covered
by the report Since then the system
has been exte AIDED 10 4.004 fourth class
postoffiCes. as we'll as TO Gas branch
Offices and stations in the larger cities.
There are now 1882 postal savings
banks al which patrons may open &C
counts. The number OF depositors is
approximately 10000 and the deposits
aggregate about s2s 600, not includ-
ing St,3l4140 withdrawn and invested
in postal savings bonds
On the basis Of the present monthly
net increase Of deposits it. is estimated
that the gross income Of the postal
savings system for the fiscal year
ending June 80. 1912, Will amount TO
500, coo and the interest payable to
depositors 10 100000 The income
OF the system for the fiscal year will
meet the interest payments and the
total expenses Of the central Office, but
will be approximately 1915, O30 less than
enough 10 cover the entire expense OF
the service.
However. the postmaster generals
report says, 1t IS expected that when
the deposits have increased to $4,000.
000, which al the present rate they will
do soon. the system viii be self-sup
porting"
The report contains no references to
subjects which have developed since
Dec. !. and, consequently, the postmas
ter generals consideration Of the par
eel post has 10 DO only with the pre-
liminary work OF establishing the new
system, which went iato effect on Jan
/. !. Tentatively. however, he recon-