Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1920-07-26
HOUSTON REPORTS
BILLIONS ARE CUT
OFF NATIONS DEBT
Shows Reduction of ST.
297,3S0,1S0 From Peak
of Obligations.
BRINGS DOWN AMOUNT BY
SE,185, 184,692 FOR YEAR
Governments Income Exceeds
Expenses for First Time
Since War Fairly Started.
TAKES IN OVER SIX BILLIONS
Gross Obligations OF United States
on June 80, 1920. Are Given
ms S24.290,321,4G7.
TAKES IN OVER SIX BILLIONS
Gross Obligations OF United States
ON June 80, 1920. Are Given
as S2i,20O,321,l07.

lIN Associated Press
w NASliiNGTON, July 25.-Thc gov
ernmcnt's income for the fiscal ycor
ending June 80. exceeded it's ex-
penses for the first time in three
years. Secretary Houston declared TO-
day in statement in which he an
rounccd reduction In the gross nun
lie debt and forecast further "im-
portant reduction" for the coming
! twelve months.
While the annual operations OF tho
government showed surplus Of
s29l,22l,5t7. the more important
change. Treasury officials said, was
the cutting OF S1.lS5.1S4.692 from the
gross public debt during the year.
The national debt aggregated S24,-
?9.32l.461 on June 30. and s25,4S4.-
| ao6.l60 year previously. but in the
meantime the obligations of the ma
ton had mounted to their highest
-S26.596.7Ol, ,6iS. on August 81.
due to the operations incident TO tho
handling of maturities of Treasury
certificates of Indebtedness. Thus, a
reduction of S2,297.3S0,lSo from the
peak is shown.
Expended sG,I03.:,Ia,s4I.
Outside of the transactions inyoly-.
ing the gross debt. Treasury re-
ceipts for the year aggregated &c.
e9i 9i,565,3SS, while expenditures totaled
S6. i03,3i3.Si1. The statement re-
vealed. however, that the surplus was
due largely to q partial liquidation
OF the assets Of the war finance COR
poration. Exclusive of the special
income from that source, there was
deficit of $7l,S79.0T2 in the actual
handling OF income and expenditures.
! The operations incident to the
/ handling of the maturities OF Treas
ury certificates from June Is to July
! 10 have now been completed" tho
statement said, "and have resulted in
further reductions in both the gross
debt and the floating debt OF the
United States.
The gross debt on June 80, 1890,
on the basis of daily Treasury state
ments. amounted to s24.299,32i.i6 as
against S25.4S4, ,506.l60 at the end OF
the previous fiscal year on June 30,
1919. and S26.596.70i,6iS on August
81, 1919. when the gross debt was at
its peak. In other words. the gross
debt on June 30, 1920. has been re-
duced by S2,e97.3So.1sO. from its peak
on August 81, 1919. and by s1,1S5,-
| 1s4.692 from the figure on juno 30.
1919.
still Reducing Public Debt.
"On July 20. 1920. on the basis OF
daily Treasury statements. the gross
debt amounted to s2+.264, ,3O3,321,
showing further reduction offabout
S3S,0OO.o00 after taking into account
the 0l,O6l,500 face amount OF
Treasury certificates issued under
date OF July IS.
The tioating debt Qoan and tax
certificates unmatured) on June 3o
1920 amounted to s2.iS5,552. .50o as
against s3,267,S7S.J0O at the close of
the previous fiscal year on June 80.
1919, and S3,93S. 900 on August 81.
1919. On July 90. 1920, the loan and
tax certificates outstanding amounted
to $2,453.946,5co. showing further
reduction OF about s3l. 100000 as tho
result OF the redemption OF loan GER
tifcates since the close Of the fiscal
year 1920 in the amount OF some
$232 900. 900 and the issue Of the loan
and tax certificates dated July Is in
the amount of some $20I 10000
Railroad Costs Are Uncertain.
Further issues Of Treasury certin-
Gates will be offered as necessary
iichi tiihc " tllile 10 provide Tor the
current requirements OF the govern
ment and to meet maturities of
Treasury certificates now outstand-
ing. The amounts OF these issues
will depend In large measure upon
the extent OF the burdens imposed
upon tho Treasury by the transporta-
tion act in connection with the return
of the railroads to private control,
including particularly the liability on
the guaranty. which is as yet unas-
certainable.
While. as the result OF new is
sues of Treasury certificates In tho
intervals between the largo income
and profits on installments, there may
be temporary increases in both gross
debt and floating debt. the Treasury
expects, though 1t Is impossible 10
speak positively. that both gross debt
and floating dcbt will, during tho first
TWO quarters of the current fiscal
year, be reduced below the figures
outstanding on June so. 1920. and
that. unless additional burdens should
be imposed by legislation. there will
be an important further reduction In
the last two quarters OF the fiscal
year"