The Lakeland evening telegram. (Lakeland, Fla.) 1911-1922, 1922-06-30
U n d er Secretary of
Treasury Gilbert Says
Government Is Pre-
pared To Meet All Its
Obligations AS They
Become Due

Washington, June 30.-The govern
ment balanced its budget for the fis-
cal year 1922, ending today.
To achieve this result of the federal
financial operations for the year, was
described by Under-Secretary of the
Treasury Gilbert as mo mean accom-
plishment," but with the fiscal year
1928 opening tomorrow, he stated "the
prospects are not good with a budget
deficit estimated as high as $485, ,000,-
O0O."
Final treasury reports for the clos
ing of the fiscal year will not be avail
able for a day or two, but Mr.. Gil
bert, who has charge of the govern
ment finances, declared that expendi-
lures for the year would be less than
SO, SOC. 100000 or $5,000,000 less than
was estimated as necessary by the
spending departments at the outset of
the year and there would be a small
, surplus at the outset of 1923.
"This has been accomplished" he
said. "in the face of the unfavorable
prospects that confronted us in the
beginning of the year due to the un-
remitting efforts of the government
departments and establishments un-
der the firm leadership of the Presi-
dent to reduce current expenditures
to the utmost limits consistent with
proper administration"
AS to the coming year the state
ment pointed to a deficit greater than
already estimated, as, he contended.
appropriations for the next year have
not yet been passed by congress- How
20 ofY,n1
owes it to itself and the rest of the
world to keep its finances clean and
balance its budget for 1928 as in the
three previous years, and the only
way to accomplish this is to reduce
expenditures already estimated and
avoid new avenues of expenditure to
such an extent as may be necessary
to wipe out the indicated deficit"
Discussing the handling of the pub
lie debt during 1922. Mr.. Gilbert de-
clared that with the approach of the
end of the year the total gross debt
of the United States was about $22.-
$50 100000. a total reduction of over
SO, 900. 100000 since its peak on Aug.
81. 1919. This was due to the appli-
cation of 81 900, 100000 balance in the
general fund made possible by les
sened expenditures and outstanding
maturities;> application of about $780,
100000 or repayments by foreign gov
ernment receipt of funds from salvage
and other assets remaining over from
the war aggregating 81, ,400, ,000,0 900 and
the application to debt retirement of
about 81 .000. 100000 of surplus tax re-
ceipts during the fiscal year 1920,
1921 and 1922.
For the future. he asserted. liqui-
dation of the public debt win have
to be accomplished chiefly from sur
plus revenue receipts and particular
ly through sinking fund and other ac-
counts as the treasury balance has
been reduced to as low figure as con-
sistent with proper conduct of govern
ment business.
Enough has been accomplished, Mr..
Gilbert stated, to assure the success
of the treasury plans for refunding
the $7,500,00O, 900 short dated debt
consisting of Victory notes maturing
in 1923, treasury certificates of in
debtedness and war savings certifi-
Gates.
Since the treasury's refunding pro-
gram was inaugurated in April. 1921.
he reported remarkable progress" to
have been made.
Victory notes now outstanding
amount to about $4,000, 100000 as COM
pared with $4,000,00O.Q00 at that time.
Mr.. Gilbert said; treasury certificates
aggregate about 81 100000 COM
pared with $2,750,000,000 and war saw
ings certificates $650,000.000 against
$3.50, 100000.
There are now outstanding, he con-
tinued. about $4,000. 100000 of entirely
new obligations in the form of treas
ury notes, issued in accordance with
the refunding plan. These, however,
he explained, mature at various dates
in the years 1924. 1925 and 1926. and
the treasury should be able to frame
it's plans so as to take care of them
at maturity out of surplus reyenues or
secondary refunding operations, II
necessary. without undue strain on
the financial markets.
"There still remains outstanding,
however" he said, about s4,500.00O.-
900 of obligations maturing within
less than a year, $4,000 100000 of
which is in the form of Victory notes
and the refunding presents a problem
that will require the best attention OF
the treasury for practically the whole
of the next fiscal year."