For the naval establishment, including vessels, ma- For interest on the public debt.... Total ordinary expenditures.... Leaving a surplus revenue of...... Which was applied as follows: To the redemption of United States notes, &c...... To the redemption of six per cent. bonds for the sink- To increase of cash balance in the Treasury. $15, 125, 126 84 38, 870, 205 78 3,597, 516 41 105, 327, 949 00 5, 500, 000 00 266, 947, 883 53 $6,879, 300 93 $31,617 50 705, 158 66 18, 500 00 6, 124, 024 77 6,879, 300 93 The amount due the sinking-fund for the year was $36,955,604 63, leaving a deficiency on this account of $30,076,303 70. Compared with the previous fiscal year, the receipts for 1879 have increased $16,711,159 70, in the following items: In customs revenue, $7,079,367 50; in internal revenue, $2,979,985 84; in premium on loans, $1,496,943 25; in repayment of interest by Pacific Railroad companies, $1,340,246 67; in profits on coinage, $1,234,176 34; and in miscellaneous items, $2,580,440 10. There was a decrease of $647,853 94, as follows: In sales of public lands, $154,962 31; in premium on sales of coin, $308,997 92; in semi-annual tax on banks, $115,552 64; and in proceeds of sales of Government property, $68,341 07; making a net increase in the receipts from all sources for the year of $16,063,305 76. The expenditures show an increase over the previous year of $32,223,731 26, as follows: In the War Department, $8,271,512 88; in the Interior Department, $8,561,292 11, (Indians, $576,828 80, and pensions, $7,984,463 31;) in the interest on the public debt, $2,827,074 35; and in the civil and miscellaneous, $12,563,851 92. There was a decrease of $2,240,174 53 in the Navy Department; making a net increase in the expenditures of $29,983,556 73. FISCAL YEAR 1880. For the present fiscal year the revenue, actual and estimated, will be as follows: The expenditures for the same period, actual and estimated, will be After applying the balance of the special deposit of United States. notes held in the Treasury for the redemption of fractional currency, amounting to $8,375,934, to the payment of arrears of pensions, as directed in section 3 of the act approved June 21, 1879, the increased revenue derived during the months of July, August, and September of the present fiscal year, was fully absorbed by current expenses, and the payment of $16,374,249 60 arrears of pensions accruing under the act approved January 25, 1879. Notwithstanding these unusual demands the Department has been able to purchase and apply to the sinking-fund, out of the surplus revenues for the month of October, $10,050,000 six per centum bonds of 1881, and $676,050 five per centum bonds, act of March 3, 1864, the latter of which is the excess of redemptions of these bonds over issues of four per cents. under the refunding acts; and unless unexpected appropriations, available for expenditure within this year, are made by Congress, the surplus revenues, in addition to paying off the balance of arrears of pensions, will probably enable the Department to apply to the sinking-fund account, during the year, the sum of $24,000,000. FISCAL YEAR 1881. The revenues of the fiscal year ending June 30, 1881, estimated upon existing laws, will be From customs From internal revenue.. From sales of public lands From tax on circulation and deposits of national banks... From repayment of interest by Pacific Railway companies From customs' fees, fines, penalties, &c From fees-consular, letters-patent, and lands.. From proceeds of sales of Government property From miscellaneous sources. Total ordinary receipts... $152, 000, 000 00 116, 000, 000 00 1, 000, 000 00 6,750,000 00 1,500, 000 00 1, 100, 000 00 2,200, 000 00 200,000 00 2,500, 000 00 4,750,000 00 288, 000, 000 00 The estimates of expenditures for the same period, received from the several Executive Departments, are as follows: Legislative.... Executive.. Judicial... $2,954,920 68 13, 500, 093 91 399, 300 00 Miscellaneous.... Permanent annual appropriations: Refunding-customs, internal revenue, lands, &c..... Collecting revenue from customs Miscellaneous.. Total estimated expenditures, including sink- Or, an estimated surplus of.... 17,801, 520 75 88,877, 410 00 39, 828, 225 72 5,778, 600 00 5,500, 000 00 1,766, 000 00 278, 097, 364 39 $9, 902, 635 61 Excluding the sinking fund, the estimated expenditures will be $238,269,138 67, showing a surplus of $49,730,861 33. The estimates of revenue for the next fiscal year are based upon the assumption that the increased receipts during the past few months are abnormal, and mainly due to the filling up of wants created by recent depression rather than by the actual increase of trade. These wants being supplied, the revenues for next year probably will not be increased beyond the amount estimated. The estimated expenditures for the same period are based upon the requirements of existing law and the necessary appropriations for public works in course of construction. The estimated surplus of $9,902,635 61 will probably be exhausted by additional appropriations. Should Congress increase the appropriations beyond this limit, or repeal or reduce existing taxes, other sources of revenue must be provided. Should this course be determined upon, which, however, the Secretary does not recommend, he would suggest, as a means of meeting the deficiency, the restoration of a moderate duty on tea and coffee, and the levying of an internal tax upon manufactures of opium, as hereinafter more fully stated. SINKING-FUND. The Secretary calls the attention of Congress, in this connection, to the acts of February 25, 1862, and July 14, 1870, requiring the purchase or payment of one per centum of the entire debt of the United States within each fiscal year after the first day of July, 1862, to be set apart as a sinking-fund, and the interest in like manner to be applied to the purchase or payment of the public debt, as the Secretary of the Treasury may, from time to time, direct. These acts are regarded as imposing upon the Secretary the duty of providing for the sinking-fund out of the surplus revenues of the Government. It has been impossible to comply with these requirements during the past few years owing to the loss of revenue consequent upon the general depression of business throughout the country; but, as the prospects for increased revenues enlarge with the renewed activity in all branches of industry, it seems proper at this time to urge the importance of meeting the obligations created by these acts. It is estimated that $39,828,225 72 will be required for this purpose during the next year. Appreciating the necessity for united action in this direction, this Department will heartily co-operate with Congress in the most rigid economy in the public expenditures under its charge, and to that end the Secretary invites careful consideration of the estimates of expenditures submitted by the several Executive Departments. Any appropriations beyond those actually demanded by the necessities of the Government will only impair the ability of the Secretary to carry these laws into effect. With a view to promote economy the Secretary ventures to suggest, for the consideration of the respective Houses, a permanent organization of an appropriation committee for each House, who shall have leave to sit during the recess, with power to send for persons and papers, and to examine all expenditures of the Government; that rules be adopted by the respective Houses limiting appropriation bills to items of appropriation and excluding legislative provisions; that all appropriations, except for the interest of the public debt, be limited to a period not exceeding two years, and that their expenditure be strictly confined to the period of time for which they are appropriated; and that all permanent and indefinite appropriations, made more than four years ago, except that for the public debt, be repealed. |