Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1920-12-08
PRESIDENT PLEADS FOR
SPIRIT OF DEMOCRACY

rom which Il must draw its income.
l reluctantly vetoed the budget bill
passed by the last session Of The
CONGRESS because OF Il constitutional
objection. The House OF Represent
ta;ives subsequently, modified the bill
In order 10 meet this objection. In
The revised form ] believe that tho
oiii. coupled with tho action already
taken by the CONGRESS 20 revise Its
rules and procedure. furnishes the
foundations for an effective national
budget system. 1 earnestly hope
therefore, that one of the first steps
taken by the present session OF the
Congress will be TO pass the budget
bill.
Finances show Improvement.
me nations finances have shown
narked Improvement during the past
year. The total ordinary receipts of
sS."siiooo.ooo for the fiscal year 1920
exceeded those for 1919 by s1,542.-
100000. while the ;ota! ne: ordinary
expenditures decreased from SlS,5li-
uooooO {" 5000. 100000. The gross
puoiic debt which reached its high
est point on August 81. 1919. when
II was }2G.596.006, 900. had dropped on
November 80 1920, to S24.175. 900. 0Q0
iher" has also been marked de-
crease IN holdings OF government war
securities by the banking institutions
OF the country as well rs in the
amount OF bills held by he Federal
reserve banks secured by government
war OBI Sations. This fortunate re-
suit has relieved tn. banks and Icft
tnem frcer 10 finance the needs OF
agriculture. industry and commerce.
u has bee:i duo in large part to the
reduction OF the public debt. especial
~ OF the floating debt. bu, more
particularly to the improved distri-
button Of government securities
among permanent investors. The ccs-
satlon OF the governments borrow
inRs except through short-tcrm cor
,ihcaios of Indebtedness has been Il
matter OF great consequence TO the
people of tho country At large. as
Wei as to the holders OF liberty
bonds and Victory notes. and has
had an important bearing on the
matter OF effective credit control TN.
year has been characterized by The
progressive withdrawal OF the Treas
ury from the domestic credit marix,.
and from a position OF domiuan, In.
Hnchcc in that market The fu.ur,
course will necessarily dcrcnd upon
me extent to which economies are
ni,,cen 10 ana npon the burdens
pI'''n upon the Treasury. as we'll as
upon Industrial Developments and The
maintenance of tax receipts at a sui
'icIcnt!y hich level.
IN" fundamental fact which al
pItScn' dominates ,ne governments
hnanciai situation is that seven and
mar billions of it's war indie hteanrsS
mature within the next two and a
MI : years; OF this amount two ana
savings certificates The fiscal 80
gram Of the government must he
ncieriiiincd with reference Ia these
ntna.urilltS. sound policy demands
daC"d 10 the lowest anoun; ,vbi,h
VII permit the various services 70
npc:atc efficiently and tina; ..oycr,
Fceeipts from taxes AMI salvage
n;'ihtalAcd sufficiently high 10
provide for current reuuiremrnis So,
C,ud!ns interest and sinking r,,mJ
.haFfes on the public debt, and -,
~" same tme retire the floating debt
nhu part OF the Victory loan hcforc
maturity. With rigid scono,,,y w.,
vrouS salvage operations and ado
unale revenues from taxation. sur.
p.ns OF current receipts over cur
should be applied TO the nontin,. ,s sn"
~ branches OF the government
should cooperate To see tha; ms
program Is realized
Economy Is Necessary.
cannot overemrhasiz. the neces.
S.'S OF economy IN govcrnm,n, ~
pr"prla,ioms and cXpendi;urms n,'d ~.
" ,;'.'N nee, by the Congress Of prac-
treasury by indefinite or revoIvin~-
sHhr representations The estimates
20, ne present year show that over
aui i'dtIy doI h cf expenditures We're
audition 10 The amounts shown In tho
uSHai complied statements OF nnnrn
- ,'''a' MS Strikinply illustrates
On" importance OF making direct and
Spcc!nc appropriations Tho rcIati"n
Wceh me current receipts and cur
rent expenditures OF the ,rCyrrnm.n.
uu'lnH ne present fiscal year, as we'll
~ aur!ns the last half OF IN. Iusi
'Stnl year has been disturbed bv IN,
,,,N,'"9rninnry burdens thrown upon
IN treasury by the TRANSPORTATION
"S'' IN connection with the return OF
,ht railroads 10 private rontro! Over
sroo'ooo:UoO haS already been paid 10
u. railroads under this act.s35o.-
uu";"up during the present fiscal wear.
ana IL is estimated that further nav.
nen's aESregating possibly SG5O. 200
200, must stiIl bc made 10 In. raji-
roads during the current; year. II l.
obvious that these large payments
nave already seriously limited In.
governments progress in retiring the
floating debt
Closely connected with this. i,
seems TO me, is the necessity for an
immediate consideration OF the re.
VISION OF our thN laws. Simplification
81 Inc income and profits taxes has
become an immediate necessity These
taxes performed an !ndlspensabI.
service during the war. me need for
their s!mp!ifcation, however is very
great. in order TO save the taXpayer
Inconvenience and expense, and i'm
order to make his liability more GER
tain and definite. other and more de-
tailed recon nendations with regard
TO taxes will no doubt he laid brfnr"
You by the Secretary of the Treasury
ana tho comniss ioncr Of lnt.rna!
itcvcnue.
Help Disabled Soldiers.
II is my privilege 10 draw To tho
attention OF Congress for very SYM
cf providing facilities for the care