The Washington herald., 1913-06-01
POSTAL SURPLUS
DOES NOT EXIST
CONTINUED FROM PAGE ON.


payments actually made during the nsca
year. REGARDLESS OF obligations incurret
in that year, but not to be paid until
succeeding years.
An explanation included among tn
papers accompanying the committee
report remarks that 1T has been sough
TO Justify this procedure on the ground
that the overlapping payments approx
mately compensate fer all practical
purposes; but when the reported expen'
ditures were subjected to mathematics
analysis II was found that the immense
and constantly increasing volume Of
postal transactions made under state
ments Of expenditures possible wnen the
lesser transactions of a previous veal
are included in the transactions OF g
given year and a part Of the greater
transactions Of a given year go over &c
a succeeding year"
This matter is held to have direct
bearing upon the alleged course OF the
former administration in holding back
all manner of commitments for the fu-
ture; filling OF vacancies ana promotions,
extension of city delivery and rural free
delivery routes and star routes, until
the very close fof the last administra-
ton. so as to keep expenses to the mini
mum: and then filling every available
position, by appointment and transfer,
making long-term contracts authorizns
a large number of free delivery and star
routes, and otherwise saddling the de-
partment with fixed charges which would
not affect the reported expenditures Tor
the current year, but would immensely
magnify those of the first year OF the
new administration.
The all-absorbing programme or the
last administration was the placing OF
the Postoffice Department on paying
basis" says the report. the policies
pursued in the effort to succeed at TINS
plan were overworked and resulted in
defective administration and just criti-
cism on the part of the public.
THAT efficiency and economy should
be substituted for wastefulness and ex-
needs no argument. put the
postal service affects so vitality the IN
terests of the entire population Oh the
that economy which means
of postal facilities operates
as a check to the social and INDUSTRIAL
progress OF the country. The people are
entitIed To the best facilities admins
istered in the most efficient manner. That
The facilities furnished during the last
four years were not the best In clearly
established by the facts"
Based on Auditor Aceounfs.
II appears that the departments prac-
tice has been to base its statements OF
the cost of the service upon payments
made during the year as shown oy the
settled by the auditor Tor the
Postofice Department, Irrespective OF
the years in which the obligations were
In this connection the report
says:
Notwithstanding the great zeal DIS
played in the effort to place the De-
partment on the so-calied paying basis
and the resultant injuries to the serv-
ce. the claim of the former Postmaster
General that the service actually yielded
1 profit in 1911 has no foundation IN fact'
Is Is shown herein.
"It is to be further noticed that the
as heretofore prepared ccn-
,erned itself entirely with the revenues
rom postage and the operations Of the
and expenditures under the
for the service OF the Post
,f3ce Department. In addition to this,
he department should be able to make
!, complete statement of its financial
,tatus. which should include the admin
strative expenses of the department. the
expenses Of the auditors once, and
air charge for the maintenance Of Fed
raj buildings used exciusiv.i- or In part
or postofice purposes as items Of cost |
I has not been the custom to include |
hese in the balance-sheet. Further
more. due credit should be given the de- |
'artment for the service performed in |
and carrying franked and PEN
lily malls,
in line with the policy Of unwiss -