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ANNUAL REPORT OF THE Secretary of the Treasury ON THE STATE OF THE FINANCES FOR THE FISCAL YEAR ENDED JUNE 30 1917 With Appendices WASHINGTON GOVERNMENT PRINTING OFHCE 1918 IS T R E A S U R Y DEPARTMENT, Document No. 2804. Secretary. A 5-0 CONTENTS. Page. First Liberty loan of 1917 : Second Liberty loan of 1917 Treasury certificates of indebtedness Loans to foreign governments ^ War-savings certificates , Federal Reserve System Amendments to Federal reserve act Stock of gold Conversion of 3^ per cent bonds of t h e First Liberty loan. Deposits of public funds Exports of coin, bullion, and currency, and trading with t h e enemy War insurance Division of Military and Naval Insurance Division of Marine and Seamen's Insurance Payment for t h e Danish West Indian Islands! Auditing of Government accounts abroad Federal Farm Loan System International High Commission Internal Revenue '. Customs Public H e a l t h . . . . . Public buildings Standardization Interior Department building New Patent Office building National archives building Additional legislation Coast Guard. Ice patrol to promote safety at sea : New ships Coastal communication Aviation , Patrol of t h e St. Marys River, Mich Clerical force Retirement of civil-service employees Government coal yard General Supply Committee '. Panama Canal , Contingent fund Condition of the Treasury Estimated disbursements for war purposes Finances Receipts and disbursements Fiscal year 1917 General fund Summary of general fund transactions Postal Service United States notes (greenbacks) Gold reserve fund Trust funds Sinking fund Condition of t h e Treasury J u n e 30, 1917 : •" Cash in t h e Treasury June 30, 1917 Comparison of receipts, fiscal years 1916 and 1917 Comparison of disbursements, fiscal years 1916 and 1917. q\3> - - . III 5 8 13 17 19 20 22 24 24 25 26 29 29 33 34 34 35 39 43 44 46 48 48 49 49 49 50 50 50 51 51 51 51 52 52 52 52 53 53 54 56 56 56 56 56 59 59 59 60 60 60 61 61 63 65 IV CONTENTS. Estimates : Estimated receipts, fiscal year 1918 , Estimated disbursements, fiscal year 1918 Postal Service, 1918 Estimated receipts and disbursements, fiscal year 1919 1 Summary of estimated results to close of fiscal year 1919, beginning with balance in general fund of Treasury June 30, 1917 Estimates fiscal year 1919 as submitted by executive departments Postal Service 1919 Statement of estimates of appropriations for 1919 increased over appropriations for 1918 Exhibit of appropriations for 1918 Page. 71 71 71 73 73 75 76 78 79 80 Exhibits accompanying the report on the finances.. Exhibit A: Act of April 24, 1917, authorizing an issue of bonds Exhibit B : Department Circular No. 78, Liberty loan Exhibit C: Act of September 24,1917, authorizing an additional issue of bonds.. Exhibit D : Department Circular No. 90, convertible gold bonds Exhibit E : Department Circular No. 94, war-savings certificates Exhibit F : Department Circular No. 93, conversion of bonds Exhibit G: Department Circular No. 81, deposits of Government funds in connection with the Liberty loan Exhibit H : Department Circular No. 92, special deposits of Governemnt funds. Exiiibit I : Regulations governing t h e exportation of coin, bullion, and currency Exhibit J: Act of October 6,1917, amending act establishing War Risk Bureau. Exhibit K: Bulletin No. 1, War Risk Bureau Exhibit L: Bulletin No. 2, War Risk Bureau 83 87 91 100 106 110 124 133 137 141 156 163 Abstracts of reports of bureaus and divisions. Treasurer of the United States District of Columbia Comptroller of the Currency National banks reporting on call, June 20, 1917, with aggregate capital National banks organized, insolvent, in voluntary liquidation, and in operation Comparative statement of principal items of resources, etc., State savings and private banks and loan and trust companies Mint service Operations of t h e mints Stock of coin and bullion in the United States Production of gold and silver Industrial arts .Export of gold c o i n . . . ' . Appropriation, expenses, and income Deposits, income, expenses, and employees, by institutions Internal Revenue Receipts, fiscal year 1917 Receipts from internal revenue, 1916 and 1917. Distilled spirits Fortified wines Tax on wines, cordials, etc Fermented liquors Dealers in leaf tobacco Income tax Munitions manufacturers' tax Excess-profits tax Estate tax Work of revenue agents Legislation Bureau of Engraving and Printing '. Customs ,... 173 177 177 181 182 183 184 184 185 185 185 185 185 188 188 188 190 190 191 191 192 192 192 195 196 196 197 198 199 200 CONTENTS. V Page. Ofiice of the Supervising Architect 206 Buildings 206 Summary of acts carrying appropriations, fiscal year 1917 207 Summary of acts carrying appropriations, fiscal year 1918 208 Statement of appropriations for public buildings, July 1, 1916, to June 30, 1917 209 Contract liabilities existing at the close of business June 30, 1917 209 Unencumbered balances, July 1, 1917 209 Balances of appropriations sent to surplus fund, June 30, 1917 210 Public Health Service 211 Division of Scientific Research : 211 Hygienic Laboratory 216 Division of Foreign and Insular Quarantine and Immigration 217 Division of Domestic (Interstate) Quarantiue 219 Division of Sanitary Reports and Statistics 221 Division of Mariae Hospitals and Relief :..222 Division of Personnel and Accounts 222 Miscellaneous Division 224 Recommendations 224 Coast Guard 227 Administrative measures 231 Recommendations ^ 234 Loans and Currency '. . 237 Interest-bearing debt, changes during year 237 Interest on registered.bonds 237 Insular and District of Columbia loans, changes during year 238 Circulation : , 238 Comparative statement showing changes in circulation 239 Paper custody 240 Redemption of currency and destruction of United States securities. 240 Custody of Federal reserve notes, series 1914 241 Conversion of United States 2 per cent bonds.' 241 Division of Public Moneys . 242 Division of Bookkeeping and Warrants 243 General fund : 244 State bonds and stocks owned by the United States. 244 Secret-Service Division 245 Division of Printing and Stationery 245 Printing and binding 245 . Stationery 247 Postage 248 Materials for bookbinder , 248 Department advertising 248 Office of the disbursing clerk 249 Tables accompanying the report on the finances. Table A.—Statement of the outstanding principal of the public debt of the United States, J u n e 30, 1917 Table B.—Statement of the outstanding principal of the public debt of the United States on the 1st of July of each year from 1856 to 1917, inclusive Table C.—Analysis of the principal of the interest-bearing public debt of the United States from July 1,1856, t9 July 1, 1917 Table D.—Statement of the issue and redemption of loans and Treasury notes and of deposits and redemptions in national-bank note account (by warrants) for the fiscal year ended June 30, 1917 Table E.—Sinking-fund account for fiscal year 1917 Table F.—Population, ordinary receipts, and disbursements of the Government from 1840 to 1917, exclusive of postal, and per capita on receipts and per capita on disbursements Table G.—Statement showing t h e ordinary receipts and disbursements of the '^"-^-^,, Government by months; t h e legal-tender notes, net gold, and ' --. available cash in t h e Treasury a t t h e end of each month; t h e monthly redemption of legal-tender notes in gold and the imports and exports of gold, from July, 1896, to June, 1917, inclusive 255 273 275 277 278 279 280 VI CONTENTS. Page. Table H.—Statement of the balance iii the general fund of the Treasury, including the gold reserve, by calendar years from 1791 to 1842 and b y fiscal years from 1843 to 1917 Table I.—Receipts and disbursements of the United States Table J.—Internal and customs receipts and expenses of collecting from 1858 to 1917 Table K.—Statement of United States bonds and other obligations received and issued b y the Office of the Secretary of the Treasury from July 1, 1915, to June 30, 1917 Table L.—Statement of the coin and paper circulation of the United States from 1860 to 1917, inclusive, with amount of circulation per capita Table M.—Statement showing, the aggregate receipts, expenses, average number of persons employed, and cost to collect internal revenue, fiscal year 1917 Table N.—Statement of business of the customs districts and ports for the fiscal year ended June 30, 1917 Table 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for the fiscal year ended June 30, 1917 287 288 300 302 303 304 305 344 R E P O R T OF THE T R E A S U R E R : Receipts and disbursements for 1916 and 1917 353 Panama Canal • 354 Receipts and disbursements on account of the Post Office Department 355 Transactions in the public debt 355 Currency issued and redeemed 356 Public debt 1916 and 1917 357 Payment of interest on registered bonds of the United States. 357 Reserve and trust funds 358 Redemption of notes in gold 358 State of the Treasury, general fund—cash in the vaults 358 Net available cash balance, 1910 to 1917 360 Gold in Treasury from 1910 360 Bonds held as security for national-bank circulation and deposits 360 Bonds held as security for postal savings funds 361 Postal savings bonds and investments therein 364 Withdrawal of bonds to secure circulation 365 .: National banks designated as depositaries 366 . . P u b l i c moneys in depositary banks 366 ... General account of Treasurer of the United States 367 Gold settlement fund 3^8 Monetary stock, 1916 and 1917 369 Ratio of gold to total stock of money ! 370 Money in circulation 370 Circulation and population .^ 371 Condition of the United States paper currency 371 United States notes 371 Treasury notes of 1890 372 Gold certificates 373 Silver certificates 373 Changes in denominations during fiscal year 1917 , i. 374 Increase in small denominations of United States paper currency 375 Pieces of United States paper currency outstanding 375 Denominations outstanding June 30, 1917 376 Ratio of small denominations to all paper : 376 Cost of paper currency • 377 Average life of paper currency 378 Paper currency prepared for issue and amount issued 378 Paper currency held in the reserve vault. 379 Paper currency redeemed 380 Standard silver dollars 380 Subsidiary silver coin 381 Minor coin ^38-pTransfers for deposits in New York—money for moving tbe crops, etc . . . . . ' 381 Telegraphic transfers for foreign coin., S§2 Deposits of gold bullion at mints and assay oflices, 1916 and 1917 383 CONTENTS. REPORT OP THE TREASURER—Continued. Shipments of currency from Washington, 1916 and 1917 Recoinage, 1916 and 1917 Redemption of Federal reserve and national currency Spurious issues detected in the fiscal year Special trust funds and changes therein during the fiscal y e a r — • District of Columbia sinking fund VII Page. 384 384 384 386 386 387 Tables accompanying the report of the Treasurer. No. 1.—Receipts and disbursements for the fiscal year 1917 No. 2.—Receipts and disbursements on account of the Post Office Department for the fiscal year 1917 No. 3.—Distribution of the General Treasury balance, June 30, 1917 No. 4.—Assets and liabilities of the Treasury offices, June 30, 1917 No. 5.—Assets of the Treasury in t h e custody of mints and assay offices, June 30, 1917. , No. 6.—General distribution of t h e assets and liabilities of the Treasury No. 7.—^Available assets and net liabilities of the Treasury at the close of June, 1916 and 1917 No. 8.—^Assets and liabilities of t h e Treasury in excess of certificates and Treasury notes at t h e close of June, 1916 and 1917 No. 9.—Estimated stock of gold coin and bullion, the amount in the Treasury, and the amount i n circulation at the end of each month, from January, 1912 No. 10.—^Estimated stock of silver coin, the amount in the Treasury, and the amount in circulation at the end of each month, from January, 1912. Also silver, other t h a n stock, held in the Treasury No. 11.—^United States notes. Treasury notes, Federal reserve notes, and national bank notes outstanding in the Treasury, and in circulation at t h e end of each month, from January, 1912 No. 12.—Gold certificates and silver certificates outstanding, in the Treasury, and in circulation at the end of each month, from January, 1912.. No. 13.—^Estimated stock of all kinds of money at the end of each month, from January, 1911 No. 14.—Estimated amount of all kinds of money in circulation at the end of each month, from January, 1911 No. 15.—Assets of the Treasuiy other than gold, silver, notes, and certificates at the end of each month, from January, 1911 No. 16.—Assets of the Treasury at the end of each month, from January, 1911.. No. 17.—^Liabilities of the Treasury at the end of each month, from January, 1911 .----.--•: .• No. 18.—^United States notes of each denomination issued, redeemed j and outstanding at t h e close of each fiscal year, from^ 1910 No. 19.—Treasury notes of 1890 of each denomination issued, redeemed, and outstanding at t h e close of each fiscal year, from 1911 No. 20.—Gold certificates of each denomination issued, redeemed, and outstanding at the close of each fiscal year, from 1912 No. 21.—Silver certificates of each denomination issued, redeemed, and outstanding at t h e close of each fiscal year, from 1912 No. 22.—^Amount of United States notes. Treasury notes, gold and silver certificates of each denomination issued, redeemed, and outstanding at the close of each fiscal year, from 1910 No. 23.—Amount of paper currency of each denomination outstanding at the close of each fiscal year, from 1910. No. 24.—Old demand notes of each denomination issued, redeemed, and outstanding June 30, 1917 No. 25.—Fractional currency of each denomination issued, redeemed, and outstanding J u n e 30, 1917 No. 26.—Compound-interest notes of each denomination issued, redeemed, and outstanding J u n e 30, 1917 '. No. 27.—One and two year notes of each denomination issued, redeemed, and outstanding June 30, 1917 No. 28.—^United States paper currency of each class, together with one and two year notes and compound-interest notes issued, redeemed, and outstanding June 30, 1917 .^ No. 29.—^United States notes and Treasury notes redeemed in gold, from 1879, and imports and exports of gold during each fiscal year, from 1901. 389 389 390 390 391 392 393 394 394 398 401 405 409 410 411 412 413 414 416 417 418 419 421 423 423 423 423 424 424 VIII CONTENTS. Page. No. 30.—Treasury notes of 1890 retired by redemption in silver dollars and outstanding, together with the silver in the Treasury purchased b y such notes, for each month, from January, 1911 425 No. 31.—Transactions between the Subtreasury and clearing house in New York during each month, from January, 1911 426 No. 32.—Amount of each kind of money used in settlement of clearing-house balances against t h e Subtreasury in New York during each month, from January, 1911 427 No. 33.—Balance in the Treasury, amount in Treasmy offices, ,and amount in depositary banks,.from 1789'to 1917.. 428 No. 34.—Federal reserve and national banks designated depositaries of public moneys, with t h e balance held June 30, 1917 430 No. 35.—Number of national banks with semiannual duty levied, b y fiscal years, and number of depositaries with bonds as security, b y fiscal years : 439 No. 36.—United Statesbonds retired, from May, 1869, to June 30, 1917 440 No. 37.—Seven-thnty notes issued, redeemed, and outstanding June 30, 1917.. 440 No. 38.—Refunding certificates, act of February 26, 1879, issued, redeemed, and outstanding 440 No. 39.—Checks issued b y t h e Treasurer for interest on registered bonds during the fiscal year 1917 441 No. 40.—Interest on 3.65 per cent bonds of the District of Columbia paid during the fiscal year 1917 441 No. 41.—Coupons fi'om United States bonds and iriterest notes paid during the fiscal year 1917, classified b y loans 441 No. 42.—Bonds and other securities rethed for the sinking fund during the fiscal year 1917, and total from May, 1869 442 No. 43.—Public debt at the close of June, 1916 and 1917, and changes dm'ing the year 442 No. 44.—Public debt, exclusive of certificates and Treasury notes, at the end of each month, from January, 1911 444 No. 45.—Checks drawn b y the Secretary and paid b y the Treasurer for interest on registered bonds of the United States during the fiscal year 1917.. 445 No. 46.—Money deposited in t h e Treasury each month of the fiscal year 1917 for t h e redemption of national-bank notes 445 No. 47.—Disbursements fi'om redemption accounts of national banks each month of the fiscal year 1917 446 No. 48.—Result of the count of currency received for redemption b y the National Bank Redemption Agency, by fiscal years, from 1900 446 No. 49.—Amount of currency counted into the cash of the National Bank Redemption Agency and redeemed notes delivered, b y fiscal years, from 1900 448 No. 50.—Currency received for redemption b y the National Bank Redemption Agency from the principal cities and other places, b y fiscal years, from 1900, in thousands of dollars 450 No. 51.—^Mode of payment of currency redeemed at the National Bank Redemption Agency, b y fiscal years, fi^om 1900 450 No. 52.—Deposits, redemptions, assessments for expenses, and transfers and repayments on account of the 5 per cent redemption fund of national banks, b y fiscal years, from 1900 451 No. 53.—Deposits, redemptions, and transfers and repayments on account of . the retirement of circulation, b y fiscal years, from 1900 452 No. 54.—Expenses incurred in the redemption of national and Federal reserve cmTency, b y fiscal years, from 1900 453 No. 55.—General cash account of the National Bank Redemption Agency for the fiscal year 1917 and from July 1, 1874 454 No. 56.—Average amount of national-bank notes redeemable and amount redeemed, by fiscal years, fi'om 1900 454 No. 57.—Average amount of national-bank notes outstanding and the redemption, b y fiscal years, from 1875 (the first year of t h e agency)., 455 No. 58.—Changes during the fiscal year 1917 in the force employed in the Treasurer's office : . .i. 455 No. 59.—Appropriations made for the force employed in the Treasurer's office and salaries paid during the fiscal year 1917 ., 455 CONTENTS. R E P O R T OF THE DIRECTOR OF THE M I N T : Operations of the mints and assay offices =„ Stock of coin and bullion in the United States Production of gold and silver, 1916. Industrial artsl Export of gold coin Estimates for t h e fiscal year 1919 : Appropriations, expenditures, and income Deposits, income, expenses, and employees, b y institutions Coinage during t h e fiscal year Domestic coinage in detail Coinage a t Philadelphia Coinage a t San Francisco Modification of t h e new-design silver quarter dollar :.. Deposits of foreign gold bullion and coin Deposits of foreign silver bullion and coin Issue of fine gold bars for gold coin and gold bullion Exchanged for gold coin Exchanged for gold bullion Purchase of minor coinage metal for use in domestic coinage Distribution of minor coins : Minor coins outstanding Operations of the melting and refining and of the coining departments, fiscal year 1917 Gold bullion , Silver bullion Nickel coinage metal Bronze coinage metal , Refinery operations By-products of Government refineries Wastage and loss on sale of sweeps Bullion gains and losses Balances, receipts, and disbursements of gold bullion . Detailed receipts Detailed disbursements. Standard silver dollars used in subsidiary silver coinage Recoinage of uncurrent silver coins Laboratory of t h e Bureau of t n e Mint Proceedings of the Assay Commission, 1917 Mint of the United States at Philadelphia , Assay department ". Melting and refining department Coining department Proof coins and metals Engraving department Machine shop Employees • : Visitors Progress of the numismatic collection Mint of the United States at San Francisco , Bai's manufactured and issued during the fiscal year Assay department Mint of the United States a t Denver, Colo Assay department : Assay office at New York Cashier's office Assay department: Officers and employees Mints at New Orleans and Carson, and Assay Offices at Boise, Helena, Deadwood, Seattle, and Salt Lake City Deposits and pm'chases of gold during the fiscal year ended June 30, 1917.. Deposits and purchases of silver dming t h e fiscal year ended June 30,1917.. Deposits of gold at United States mints and assay offices since 1873 ~ --^Deposits of silver at United States mints and assay offices since 1885 Miitii^ted and uncurrent domestic coins, including assay pieces received for recoinage, melted during the fiscal year ended June 30, 1917 Statement of gold coin and gold bullion exported from t h e port of New York to Europe during t h e fiscal year ended J u n e 30, 1917 IX Page. 457 459 459 459 459 459 459 461 461 462 463 • 463 463 464 464 465 465 465 466 466 467 467 468 468 469 469 470 .470 471 471 472 472 472 473 473 474 474 478 478 479 480 480 481 483 483 483 484 484 484 485 486 486 488 488 489 489 490 492 494 498 499 500 502 X CONTENTS. R E P O R T OF THE DIRECTOR OF THE MINT—Contiriued. Coinage of t h e mints of t h e United States; authority for coinage, etc., from 1792 to June 30, 1917 Coinage of gold and silver of t h e United States since 1873, b y fiscal years.. Coinage of mints of t h e United States, from t h e i r organization by calendar years Stock of money in t h e United States, J u n e 30, 1917 Location of moneys of t h e United States, June 30, 1917 Ownership of gold and silver in t h e United States, June 30, 1917 Estimated stock of gold and silver in t h e United States, and amount per capita at t h e close of each fiscal year since 1873 Net exports. United States gold coin Stock of money in the United States, December 31, 1916 United States gold in Canada Average commercial ratio of silver to gold, each calendar year since 1687.'. Bullion value of t h e silver dollar Value of foreign coins Changes in the value of foreign coins during 1917 World production of gold and silver Coinage of nations Page. 503 505 506 520 520 521 521 522 522 523 524 524 525 527 528 530 R E P O R T OF T H E COMPTROLLER OF T H E CURRENCY : Comparative growth of National and State banks since beginning of Federal Reserve System " 533 Comparison of National and State bank failures for 20 years 534 Banking power of the United States compared with banking power of whole world ; 534 Financial and business conditions in 1917 535 Depression in railway securities owned by banks ' 538 Maintenance of efficiency and credit of public utilities essential 539 Banks should not take advantage of war conditions to exact heavy interest. 541 United States a great creditor nation : 542 Vast increase in national bank resources 543 Ratio of loans to deposits in national banks 545 Ratio of deposits to capital of national banks 545 New charters and liquidations 545 Earnings of national banks in 1917 greatest in their history 545 Number of depositors in national banks 546 National bank failures in 1917 546 Great reduction in proportion of losses to depositors through bank failures. 546 National bank and Federal reserve notes issued 547 Government loans and the national banks 547 National banks and the Second Liberty Loan 549 Legislation recommended— To prohibit officers of banks from borrowing from their own banks 550 To limit direct or indii'ect loans to one individual firm or corporation. 550 To provide suitable penalty for making of excessive loans 550 To authorize t h e Comptroller to bring proceedings against directors for losses sustained by bank through violation of the national-bank a c t . . 550 Authority for removal of directors guilty of persistent violations of the national-bank act 551 Prevent delays i n taking director's oath 551 Establishment of appropriate penalties for violations of laws and regulations 551 Amendment to provide that suits against usurers be brought by Departr ment of Justice 551 To authorize special interest charges for small loans 551 To prevent or limit overdrafts ^ : 552 To limit interest paid on deposits 552 Limitation of deposits to eight or ten times capital and surplus ... 552 Amendment to District laws to prevent " w i l d c a t " banking 552 To require officers and employees to give surety bonds 552 To require certificates of deposit to be signed by two officers 552 To prevent erasures on t h e books of a bank : 553 . Standardization of by-laws ^-553 Rechartered banks should be allowed to use bank-note plates of original bank -. .' 553 Engraved signatures for national-bank notes .* 553 CONTENTS. XI R E P O R T OF THE COMPTROLLER OF THE CURRENCY—Continued. Legislation recommerided—Continued. Page. To authorize national banks to establish branches in the United States. 553 To permit branch banks i n Alaska and insular possessions 553 Provision for consolidation of national banks 554 To provide a i)enalty for making false financial statements for the purpose of obtaining credit from national banks 554 To provide punishment for breaking and entering a national bank for the ^m-pose of theft or robbery 554 To limit investment in bank building 554 To authorize United States Ti'easurer to sell bonds securing circulation 30 days after a bank goes into liquidation .' 554 Guaranty of national-bank deposits ." 556 To exempt from State taxation shares of national bank whose capital is invested in United States bonds. 556 To authorize national banks to subscribe to Red Cross. .• 557 Deposit of dormant balances with Government 558 Restriction on use of "charge tickets " or' 'debit slips" recommended.. 559 Cooperation between Federal and State banking authorities 559 National-bank examinations 560 List of national-bank examiners 560 National bank officers convicted of criminal violation of law 562 Federal Reserve System—three years' growth 565 Condition of national banks at date of each call during the report year 566 Resources 568 Loans and discounts 568 Classification of loans and discounts 569 Amount and classification of loans by national banks in the central reserve cities 569 Comparative statement relative to loans by national banks in reserve cities.... :. 569 Loans by national banks in New York in June, 1913 to 1917 570 Overdrafts 570 United States bonds : 570 Other bonds, securities, etc 571 Stocks. <9 571 Investment securities of national banks classified 571 Domestic and foreign securities held by national banks 572 Bank premises and othef real estate owned 572 Due from banks 572 National bank deposits with Federal reserve banks 573 Specie and other lawful money 573 Exchanges for clearing house 574 Liabilities oLnational banks 574 Capital, surplus, and undivided profits 574 Circulation outstanding 574 Due to banks. 575 Individual deposits 575 Bonds and money borrowed 575 Acceptances 575 Changes in loans, bonds, cash, and deposits in national banks 575 Relation of capital to deposits, etc., of national banks 577 Percentage of principal items of assets and liabilities of national banks 577 Reserve— Reserve required and held by national banks. 578 Percentages of reserve required 579 Development i n national banking 580 Productivity of loans and bond investments of national banks 583 Organization of national banks 583 National banks organized and closed, 1863 to October 31, 1917 584 Na.tional banks organized during the past year and since 1900 585 State banks converted into national banks 585 National banks organized since March 14, 1900 586 Changes of title and location of national banks 587 Change of charter number of national bank 588 Increase in number of reserve cities -. 588 Foreign branches of national .banks 588 Condition of foreign branches of national banks on J u n e 20, 1917 589 XII CONTENTS. R E P O R T OF THE COMPTROLLER OF THE CURRENCY—Continued. Organization of national banks—Continued. Page. Voluntary liquidation of national banks ' 590 ' National banks organized, failed, and reported in voluntary liquidation during year ended October 31, 1917 591 Failures and suspensions of national banks 592 Condition of closed and active receiverships 594 Receiverships closed during the year 594 Causes of failures ^ 595 National bank failures, 1881 to 1917, grouped by reserve cities and country banks 596 National bank failures, 1881 to 1917, by fiscal years 598 National bank failures, 1881 to 1917, grouped according to capital stock. 600 National bank failures, 1881 to 1917, grouped according to States 602 State and private bank failures, 1864 to 1917 604 Interest-bearing debt of the United States, national bank circulation, e t c . . . 606 Bonds available as security for circulation. — 607 Price and interest realized on investments in United States b o n d s . . . 608 National bank investments in United States bonds 608 Federal reserve bank investments in United States bonds 609 All bank investments in United States bonds 609 Monthly statement relating to national bank circulation ,..' 609. Redemption of national bank currency , 610 Increase or decrease of national bank circulation 611 Vault account of national bank circulation 611 Denominations of national bank circulation 612 Shipments of national bank circulation 613 Profit on national bank circulation 613 Taxes on national bank circulation, redemption charges, examiner's salaries and expenses of the currency bureau 613 National and Federal reserve bank circulation issued, redeemed, and outstanding 614 Rates for money in New York 615 Sterling exchange • 616 . Discount rates. Federal reserve banks 616 Transactions of clearing-house associations -t> 617 New York Clearing House 618 Clearings of associations in the Federal reserve bank cities, etc 619 Compilations of State bank returns since 1832 : 619 Legislation relating to returns from banks other than natiorial 619 State, savings, private banks, and loan and trust companies • 620 Summary of reports of condition of reporting banks, other than national 621 Resources and liabilities of each class of banks other than national 622 State banks : 623 Mutual savings banks '. 624 Mutual savings bank depositors and deposits 626 Stock savings banks 626 Stock savings bank depositors and deposits 628 Savings bank depositors and deposits, 1820 to 1917 :..... 629 Loan and trust companies. 630 Private banks 631 Reports of condition of all banks in the United States 632 National, Federal reserve, and State banks 633 Loans, deposits, and aggregate resources of national, State, and private banks 634 Banking power of the United States , 634 Banking power of each class of banks in the United States 635 Summary of the combined returns from national and all other banks in June, 1917 : 635 Summary of reports of condition of all reporting banks in the United States . . and island possessions 636 Banking resources and liabilities in each State .* 637 Comparative statement relating to all banks in 1912 and 1917 642 Growth of banking in the United States since 1863 643 CONTENTS. R E P O R T OF THE COMPTROLLER OF THE CURRENCY—Continued. Cash in all reporting banks Classification of cash in banks in June, 1917. . Distribution of the general stock of money in the United States -... Stock of money in the United States, in the Treasury, in banks, and in circulation , . Individual deposits in all reporting banks District of Columbia Banks and banking in the District of Columbia Building and loan associations Building and loan assocaitions in the United States Receipts and disbursements for 1916 United States postal savings system Savings banks in the principal countries of the world Federal reserve banks Earnings and dividends,. Comparative statement of principal items of resources and liabilities of Federal reserve banks from November, 1914, to November, 1917.. . Federal reserve notes ,... ^ Federal reserve note issues and redemptions .. iFederal reserve bank notes Federal farm loan banks Statement of condition of Federal land banks on October 31, 1 9 1 7 . . . . Conclusion .^ XIII Page. 646 646 646 647 648 649 649 649 649 651 652 654 656 656 657 662 666 667 668 671 672 Exhibits accompanying Volume 1, Report of the Comptroller ofthe Currency. Exhibit A.—List of national banks which subscribed to First Liberty Loan for 5 per cent or more of their total resources Exhibit B.—List of national banks which sent in no subscriptions either for themselves or customers to the First Liberty Loan E x h i b i t C.—List of national banks which sent in no subscriptions either for themselves or customers to the Second Liberty Loan E x h i b i t D.—Form for computation of lawful reserve of national banks E x h i b i t E.—Gold coin, gold certificates, and total cash on hand in all banks E x h i b i t F.-^Demand and time loans upon which interest was charged in excess of 6 per cent per a n n u m E x h i b i t G.—Number of women and other shareholders in national banks Number and amount of deposit balances dorniant since 1912 E x h i b i t H.—Legislation enacted affecting or relating to national banks. Exhibit.!.—Treasury regulations governing deposits with banks of proceeds of war bonds E x h i b i t J.—Subscriptions to the First Liberty bonds b y national banks located in cities with population of over 100,000 , iExhibit K.—Subscriptions and payments on account of subscriptions for First Liberty bonds by natiorial banks E x h i b i t L.—First Liberty* bond subscriptions, allotments, sales, and percentages to total resources of national banks. Exhibit M.—Subscriptions for* and allotments of the Second Liberty bonds and percentages of subscriptions to total resources Exhibit N.—Liberty bonds on which loans have been made or agreed to be made, and loans made on t h e security of the First and Second Liberty bonds by national banks E x h i b i t O.—Classification of loans made b y national banks in all reserve andother cities having a population of over 75,000 E x h i b i t P.—Loans made b y national banks in all reserve and other cities having a population of over 75,000, arranged according tb location of borrowers in each geographical division E x h i b i t Q.—Deposits held by national banks in all reserve and other cities with a population of over 75,000, for the credit of other banks, State and national, and trust "companies Exhibit R.—Loans secured b y warehouse or terminal receipts Exhibit S.—Acceptances executed for customers. . Exhibit T.—Letter from Comptroller of the Currency to the Interstate Commerce CommissJQn relative to railroad freight rates 677 684 686 687 690 692 695 695 696 705 709 710 713 718 724 727 731 734 737 740 743 XIV CONTENTS. R E P O R T OF COMMISSIONER OP INTERNAL R E V E N U E : Page. Accounts and statistics Sources of internal revenue Receipts in large tax-paying States and collection districts Production in States and collection districts Cost of collecting internal revenue taxes Estimated expenses for next fiscal year Salaries Scale of salaries of collectors Field force Objects of taxation Distilled spirits Denatured alcohol Distilleries Industrial (farm) distilleries Brandy used in fortifying wines Tax on wines, cordials, etc Fermented liquors Tobacco Oleomargarine Adulterated butter Narcotic law : Opium Laboratory work ''. Corporation income tax Individual income tax Excess-profits tax Estates tax Munitions manufacturers' tax Production of stamps Restamping Stamps returned ' Claims :..... Litigation and legislation Court decisions Legislation Porto Rico War-revenue act Illicit distilling and work of revenue agents Recommendations - : 751 752 752 753 754 -755 756 757 - - - - 759 760 760 760 761 761 761 762 762 762 763 765 765 767 767 768 775 776 776 777 779 780 780 780 780 781 785 785 785 786 787 INCOME TAX: Total number of returns by class distribution Chart, number of personal returns Returns from income t a x b y districts filed 788 789 790 ANNUAL REPORT ON THE FINANCES. TREASURY DEPARTMENT, Washington^ December 8., 1917. SIR : I have the honor to make the following report: America's entry into the European war, April 6, 1917, brought the country face to face with unparalleled and unusual financial problems, both in their variety and magnitude. To these were added the inevitable accompaniment of many other problems arising out of essential economic readjustments necessitated by the war and the transformation of an unarmed and peaceful nation into a formidable armed combatant. Many of the familiar phenomena, inseparable from such a transformation, have appeared and will continue to appear until these readjustments have been completed. They have caused unavoidable losses and hardships. Such things can no more be avoided in time of war than sacrifices of blood if the rights of the Nation are to be vindicated and made safe for the future and a just peace is to be secured for the world. We must face .these trials with philosophy, resolution, and calmness. We must see in them not alone the inspiration but the call to supreme effort. When these readjustments have been completed, it will be found that all the brains and energy of the Nation which have been released from occupations nonessential to the war will be required in enterprises and activities which are essential to the war, and that ihe welfare and prosperity of the country as a whole will not be impaired. " Business as usual" can not, of course, be adopted as the guiding principle in time of war. I t is a wholly wrong theory and should find no advocacy or acceptance by the sensible and patriotic people of America. Business must be readjusted to the war-making function of the Nation. ' What is of superlative importance in the readjustment that must take place is that our people shall be impressed with the necessity of economizing in the consumption of articles of clothing, food and fuel, and of every other thing which constitutes a drain upon the available supplies, materials, and resources of the country. Everything wasted now is nothing short of criminal. So far as I have been able to observe, the American people are not sufficiently aroused to the necessity of economy and of saving in this really serious time, not only in the 13034°—FI 1917 1 1 2 REPORT ON THE. FINANCES. life of America but of the nations of the world. Up to the present there has been a relatively small denial of pleasures, comforts, and conveniences on the part of the average citizen. He is drawing upon the general store of supplies in the country with almost the same freedom as before America came into the war. This can not continue without serious hurt to the Nation and to the world. The great financial operations of the Government can not be carried forward . • successfully unless the people of the United States economize in every possible direction, save their money and lend it to the Government. By saving money they give up some of their needless pleasures; they reduce their demand upon the general supply of food, clothing, and other materials in the country, releasing thereby that much more for the use of our own armies and the armies and civilian populations of the nations which are fighting the common danger with us. They are at the same time increasing their own material prosperity by their savings, and they are directly helping their Government by lending it the money with which it can bu}^ the necessary supplies and command the necessarj^ services to make our fighting forces stronger and more effective in the field; and this means an earlier victory for American arms. The great difficulty is to impress this lesson of economy upon the American people. I t will require widespread propaganda and constant effort. With this in view, it was my privilege to suggest to the Congress the raising of $2,000,000,000 by the sale of war-savings stamps and thrift stamps, so that the American people would have the opportunity, as welLas the direct encouragement, to economize and save money by putting within their reach the opportunity of lending their savings, in such small amounts even as 25 cents, to their own Government. We have therefore organized a war-savings campaign upon a wide scale and shall bring to the attention of every man, woman, and child in the country the privilege now offered to them of serving themselves* and serving their country by depositing their savings with the Government of the United States upon the safest security in the world. The Government will accept these savings and issue its direct obligations for them in the form of war-savings stamps and thrift stamps. These stamps are not issued by the Government as an investment for the rich. They are intended for people of small means primarily. They are intended to bring within the reach of everyone in the United States the opportunity of investing in the obligations of the United States Government upon terms unusually advantageous to the investor and to encourage everyone to save his money and lend it to the Government. SECRETARY OF THE TREASURY. 3 The plan offers the most direct incentive to economize and save ever offered to the people of the country. When the Government makes it possible for everyone to know that by saving 25 cents, which otherwise would have been wasted, he can invest that 25 cents in a Government obligation, it is a definite objective to which each one's economy may be directed. I n other words, it is possible to transmute one's economies into a specific obligation of the G;overnment, and each one who saves is able to know that his economy ]S producing a concrete result advantageous to himself, of benefit to his Government, and a direct contribution to the .winning of the war. I look upon the war-saving campaign which the department has now inaugurated as promising the riiost. wholesome benefits to the. American people, and producing fundamental conditions that will be of immense help in financing, as well as in successfully prosecuting, the war. Interlocked with the question of " small savings " which can be invested in war-savings stamps at interest is the question of " large savings" which can be invested in Liberty bonds at interest. The men and women of large and moderate means owe a greater duty, because they have a larger margin of income, to cut off self-indulgences, to deny themselves useless and needless luxuries, to make sacrifices of comforts, pleasures, and conveniences that will effect genuine economies and set an example to the Nation. Every dollar saved represents actual supplies saved and made available for heroic soldiers and suffering civilians in Europe and America. I t is easy to visualize the course of a dollar saved from waste and invested in Government bonds: First, it goes to the Government as a loan for the war; second, it is expended by the Government for food, clothing, and ammunition which go directly to a gallant soldier or sailor, whose fighting strength is kept up by the food, whose body is kept warm by the clothing, and whose enemy is hit by the ammunition. I t has not been expended in the purchase of needless food and clothing for the man at home, and is, therefore, released for the use of the soldier; it is saved wealth to the man at home and can be loaned to his Government at interest, with resulting benefit to himself and to his Government. The man who subscribes for a Government bond, and is advertised as a patriot for doing so, is not a patriot if he immediately sells that bond on the market when he does not imperatively need the money. I t is not mere subscription to a bond that helps the Government; it is the actual purchase of the bond and the keeping of the bond that really helps. The people must sa^oe and invest in Government bonds. I t is by actually lending money to the Government and not by merely promising it and shifting the load to some one else that the citizen really helps in this great time. If loans are made to the Government 4 REPORT ON THE FINANCES. and bonds are taken therefor, the lender is supposed to deny himself something which releases, in turn, a demand on the vital supplies or stores of the country and puts the Government in position to buy the supplies thus released and to furnish them to our armies and navies. But if the lender immediately sells his bonds, relieves himself of the obligation to save vital supplies, and goes on wasting them, he does his country a grievous injury and hurts himself as well. I want to make it clear that there is no desire on the part of the Government to prevent or to interfere with freedom of legitimate trading in Governinent bonds—that is, trading in good faith. We must realize that the Government's credit is vital to the success of the war; that it underlies every, activity. I t is a sacred duty of every citizen, and it should obe regarded as a glorious privilege by every patriot to uphold the Government's credit with the same kind of self-sacrifice and nobility of soul that our gallant sons exhibit when they die for us on the battle fields of Europe. I t is as imperative to sustain the Government's credit as it is to sustain our armies, because our armies can not be sustained unless the Government's credit is always above reproach. I have indulged the hope that additional bonds could be sold on such reasonable terms that the remainder of the funds required to meet the estimated expenditures for the fiscal year 1918 might be raised by that means and thus escape additional revenue legislation at this session of the Congress. I t is my earnest conviction that the general economy of the country should be permitted to readjust itself to the new revenue laws before consideration should be given to the imposition of additional tax burdens. If a situatiori should develop where the Government could not sell convertible and partly tax-exempt bonds upon a 4 per cent basis, it would, I believe, become necessary to seriously consider further revenue legislation. I n my judgment an increase in the rate of interest on such bonds would be extremely unwise and hurtful. The higher the rate on Government bonds, the greater the cost to the American people of carrying on the war and the greater will be the depreciation in all other forms of investment securities. We can not regard without concern serious declines in the general value of fixed investments. I t should be the earnest endeavor of everyone to prevent this, and I earnestly hope that the processes of education and of unselfish consideration of the problem from the standpoint of the general interest will provide the necessary remedy. The Government must, if necessary, absorb the supply of new capital available for investment in the United States during the period of the war. This, in turn, makes it essential that unnecessary capital expenditures should be avoided in public and private enterprises. Some form of regulation of new capital expenditures should be pro- SECRETARY OF T H E TREASURY. 5 vided. The subject is having deep study, and I hope to be able to submit some suggestions during the session of the Congress which will be of a constructive, as well as of a regulatory, nature. I t may also become necessary to concert some constructive measures through which essential credits may be provided for those industries and enterprises in the country essential to the efficient and successful conduct of the war. The subject requires the best thought and study. I t is receiving the most earnest consideration. The courage and resources of the Nation are so abundant that America's success in the war is beyond question if they are properly organized and intelligently used. The economic and financial condition of the country was never so strong and America's spirit was never more aroused to the importance and necessity of going forward, resolutely and regardless of sacrifices, to the accomplishment of the great task to which God has called us. THE FIRST LIBERTY LOAN OF 1 9 1 7 . By the act approved April 24, 1917 (18 days after the declaration of a state of war between the United States and the German Government), the Secretary of the Treasury was authorized, with the approval of the President, to issue bonds of the United States to the extent of $5,000,000,000 at a rate of interest not to exceed 3i per cent, convertible into bonds bearing a higher rate of interest than 3J per cent if any subsequent series of bonds should be issued at a higher rate of interest before the termination of the war (copy of the act of Apr. 24,1917, attached as Exhibit A ) . Acting on this authority the Secretary of the Treasury on May 14, 1917, through Treasury Department Circular 78 (Exhibit B ) , formally offered the first issue of bonds for public subscription in the sum of $2,000,000,000. I t was decided to call this issue the First Liberty Loan of 1917. This name was selected because the proceeds of the loan were to be used for the purpose of waging war against autocracy. These bonds, were dated June 15, 1917, and bear interest at the rate of 3^ per cent per annum from that date, payable semiannually on December 15 and June 15. They will mature June 15, 1947, but the issue may be redeemed on or after June 15, 1932, in whole or in part, at par and accrued interest, after three months published notice, on any interest day. The bonds are exempt, both as to principal and interest, from all taxation, except estate or inheritance taxes imposed by authority of the United States or its possessions or by any State or local taxable authorities. Under the terms of the issue the holders of these bonds are given the right of conversion in accordance with the authority granted by the act. Because of the size of this financial undertaking there was no precedent to guide the Government as to the amount of bonds which 6 ^ REPORT ON THE FINANCES. the country would readily absorb at one time and there was much confusion of counsel as to the amount of the initial offering. Many students of finance and men experienced in large bond operations believed that the first issue should not exceed $1,000,000,000, and some thought that the amount of the first loan should not exceed $500,000,000. After receiving views and suggestions from bankers, investment houses, business men, and investors in all parts of the country, I finally determined to make the amount of the loan $2,000,000,000. This decision was controlled by the essential requirements of our own part in the war and the necessities of the foreign Governments to which the Congress had authorized the extension of credits. I t was determined to make the appeal direct to the people, and every effort was made to give every man, woman, and child an equal and ample opportunity to subscribe. The 12 Federal reserve banks, which are fiscal agents of the Government, were used as the central agency in each of the 12 Federal reserve districts for receiving sub^ scriptions, for taking care of the details for the allotment of subscriptions, the handling of payments after allotment, and the delivery of the bonds. Each of the Federal reserve banks created Liberty loan commtittees in cities and towns throughout its district, and in this manner 12 great organizations were constructed for the expeditious handling of the unprecedented operation. Bankers, business men, bond houses, newspapers, press associations, and citizens generally Cooperated in a great movement that vibrated with energy and patriotism and swept the country from coast to coast in the greatest bond-selling campaign ever launched by any nation. In an effort to arouse as much interest as possible and to leave no stone'Unturned to place the issue fully before the people, I made a trip through the country, visiting 23 cities, making public addresses in each, and keeping in close touch with the department at Washington by mail and telegraph. This was a part of a campaign of education for the purpose of explaining more fully the causes of the war and placing the necessities of the Government and the advantages of the bonds before the people of the country. I t was especially necessary, because it was estimated by bankers that there were only about 350,000 bond investors in the United States; the people generally were, therefore, unacquainted with Government bonds. The following cities were visited: New York, Boston, Detroit, Chicago, Milwaukee, Minneapolis, St. Paul, Des Moines, Omaha, St. Joseph, Denver, Kansas City, Kans., Kansas City, Mo., Topeka, Kans., St. Louis, New Orleans, Birmingham, Chattaiiooga, Louisville, Cincinnati, Columbus, Pittsburgh, and Baltimore. The total subscriptions to the first Liberty loan amounted to $3,035,226,850—an oversubscription of $1,035,226,850, or nearly 52 per cent more than the amount offered. SECRETARY OF THE TREASUKY. 7 More than 4,000,000 men and women subscribed for the bonds. Of this number, it is estimated that 3,960,000 people, or 99 per cent, subscribed in amounts ranging from $50 to $10,000, while the number of individual subscribers to $5,000,000 and over was 21, their subscriptions aggregating $188,789,900. One of the chief purposes of the campaign was to distribute the Liberty bonds widely throughout the country and place them, as far as possible, in the hands of the people. This was important because the strength of Government finance, like the strength of Government policies, rests upon the support.of the people. The large number of subscribers, especially the large number of small subscribers, was most gratifying and indicated that the interest of the people had been aroused as never before in an issue of bonds. The subscriptions were closed on Jime 15, and on June 22 the allotments were announced. The following table shows iri detail the subscriptions and allotments by Federal reserve districts: FIRST LIBERTY LOAN. Subscriptions and allotments of subscriptions by Federal reserve districts. $50 to S10,000, inclusive. $10,050 to $100,000, inclusive. Federal reserve district. Subscriptions. Allotment. Subscriptions. Allotment. Boston New .York Philadelphia.. Cleveland Richmond Atlanta , Chicago St. Louis Minneapolis.. Kansas City.., Dallas San Francisco $203,265,400 274,019,550 112,412,100 128,720,400 68,506,150 37,741,100 195,210,700 40,960,400 39,747,600 40,732,350 25,954,500 129,405,600 $203,265,400 274,019,550 112,412,100 128,729,400 68,506,150 37,741,100 195,210,700 40,960,400 39,747,600 40,732,350 25,954,500 129,405,600 $65,504,850 172,693,700 46,506,300 76,365,950 21,218,950 7,080,850 82,645,650 31,472,700 15,177,150 17,173,950 11,878,850 12,384,150 $39,302,900 103,016,200 27,9^3,800 45,819,550 12,731,350 4,248,500 49,587,400 18,883,650 9,106,300 10,304,400 7,127,300 7,430,500 Total..., 1,296,684,850 1,296,684,850 560,103,050 336,061,850 $100,050 to $250,000, inclusive. Over $250,000. Total. Federal reserve district. Subscriptions. Boston New York Philadelphia.. Cleveland Richmond Atlanta Chicago St. Louis Minneapolis... Kansas City... Dallas ..., San Francisco. .Total... Allotment. SubscripAllotment. tions. Subscriptions. Allotment. $22,875,350 $10,293,900 $40,802,000 $12,155,700 $332,447,600 $265,017,900 79,173,300 35,628,000 660,901,850 180,723, 250 1,186,788,400 593,987,000 16,355,750 7,360,100 57,035,100 17,08a, 750 232,309,250 164,759,750 23,239,300 10,457,700 57,814,050 16,970,200 286,148,700 201,976,850 8,025,000 3,611,250 11,987,000 3,744,900 109,737,100 88,593,650 3,400,000 1,557,000 9,596,600 2,736,550 • 57,878,550 46,283,150 33,533,050 15,089,850 45,806,550 12,814,150 357,195,950 272,702,100 2,172,350 6,695,700 3,013,050 7,005,900 86,134,700 65,029,450 2,820,750 1,269,350 12,510,000 3.636,000 70,255,500 53,759,250 . 7,558,250 3,401,200 26,294,300 7,744,950 91,758,850 62,182,900 2,225,000 3,015,000 1,356,750 8,100,000 48,948,350 36,663,550 13,704,150 6,166,850 20,130,000 6,041,500 175,623,900 149,044,450 220,455,600. 99,205,000 957,983,350 268,048,300 3,035,226,850 2,000,000,000 8 REPORT ON THE FINANCES. ^ Allotment plan.: Subscriptions. Up to an.d including $10,000 Over $10,000 up to and $100,000. Over $100,000 up to and $250,000. Over $250,000 up to and $2,000,000. ' Over $2,000,000 up to and $6,000,000. Over $6,000,000 up tb and $10,000,000. $25,000,000 $25,250,000 Total subscriptions Allotment. including $1,296,684,850 560,103,050 including 220,455,600 including 601,514,900 including 234,544,300 including 46,674,150 , , 50,000,000 25,250,000 , 3,035,226,850 100 per cent 60 per cent but' $10,000 bonds. 45 per cent but $60,000 bonds. 30 per cent but $112,500 bonds. 25 per cent but $600,000 bonds. 21 per cent not less than $1,296,684,850 336,061,850 not less than • 99,205,000 not less than 184,381,800 not less than 58,661,250 20.22 per cent 20.17 per cent Total allotment 9,801,600 ,.. 10,110,000 5,093,650 2,000,000,000 I n order to facilitate the necessary transfers of credit with the least possible disturbance to the money market and ,to accommodate subscribers by extending their pa3^ments over as great a period as possible, payments were permitted in five installments, as follows: TAVO per cent on subscription; 18 per cent on June 28, 1917; 20 per cent on July 30, 1917; 30 per cent on August 15, 1917; 30 per cent on August 30, 1917. The number of subscribers was so great that the facilities of the Bureau of Engraving and Printing were utterly inadequate to turn out the bonds promptly. Therefore interim certificates were furnished to the Federal reserve banks for delivery to subscribers as payments upon subscriptions were made. The number of these certificates issued aggregated 7,672,560—2,145,885 part-paid certificates and 5,526,675 full-paid certificates. These interim certificates were receipts by the Secretary of the Treasury for payments on allotted subscriptions, but were not valid until executed h j a Federal reserve bank as fiscal agent of the United States. THE SECOND LIBERTY LOAN OF 1917. Because cf the increased demands occasioned by the war and the financial needs of the countries with which we are making common cause, the Congress by the act approved September 24, 1917 (Exhibit C), authorized the Secretary of the Treasury to issue, in addition to the $2,000,000,000 of bonds sold under the act approved April 24, 1917, bonds in the total sum of $7,538,945,460, bearing interest at a rate not to exceed 4 per cent per annum, convertible into bonds bearing interest at a higher rate than 4 per cent per annum if any subsequent series of bonds bearing a higher rate should be issued by the United States before the termination of the war between this country and the ImperiaVGerman Government. This act also repealed the authority to issue further bonds under the act approved April 24, 1917. SECRETARY OF THE TREASURY. 9 I n granting this new authority, the Congress also materially modified the tax-exemption feature of the bonds. The bonds issued under the act approved April 24, 1917, are exempt both as to principal and interest from all taxation, except estate or inheritance taxes imposed by authority of the United States or its possessions or by any State or local taxing authorities. The bonds issued under the act approved September 24, 1917, are exempt, both as to principal and interest, from all taxation now or /hereafter imposed by the United States, any State, or any possession of the United States, or by any local taxing authority, except (a) estate or inheritance taxes, and (&) graduated additional income taxes, commonly known as surtaxes, and excess profits and war profits, now or hereafter imposed by the United States upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of bonds and certificates authorized by the act approved September 24, 1917, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, are exempt from the taxation provided for in clause (5) above. This change in the tax-exemption feature was deemed essential in order that the bonds might be of the same value, as far as taxation is concerned, in the hands of all investors, and in order that they might make the widest possible appeal. With the levying of increased taxes to meet the war needs of the country, it was felt that to continue the issuance of tax-free bonds in large amounts would give to the very rich a means of escaping a large measure of taxation with no compensating advantage to the man of moderate or small means who invested in Government bonds. For this reason the new bonds were made subject to the super income taxes and excess profits taxes and the rate of interest was increased to 4 per cent. The result is that all investors in the bonds issued under this act will be placed on an equality of advantage. The second Liberty loan was formally offered to the public on October 1, 1917, through Treasury Department Circular No. 90 (Exhibit D ) . The amount of the loan was $3,000,000,000, and the Secretary of the.Treasury reserved the right to allot additional bonds up to onehalf the amount of any oversubscription. The bonds were dated November 15, 1917, and bear interest at the rate of 4 per cent per annum from that date, payable semiannually on May 15 and November 15. They will mature November 15, 1942, but the issue may be redeemed at the option of the United States on or after November 15, 1927, in whole or in part, at par and accrued interest, on any interest day on six months' notice given in such manner as the Secretary of the Treasury shall prescribe. I n accordance with the terms of the act it was provided that if a subsequent series of bonds bearing interest at a higher rate "than 4 per cent per annum shall be issued by the United States before the 10 . REPORT ON THE FINANCES. termination of the war between the United States and the Imperial German Government, the holders of the bonds of the second Liberty loan shall have the privilege at their option of converting their bonds at par into bonds bearing such higher rate of interest. If the privilege of, conversion so conferred, however, shall once arise and shall not be exercised within the period prescribed by the Secretary of the Treasury, then the privilege of conversion shall terminate and shall not arise again, though thereafter bonds may be issued bearing interest at a higher rate than 4 per cent per annum. I n offering the second Liberty loan to the public the same form of organization was utilized; that is, the 12 Federal reserve banks, as fiscal agents of the Government, were the central agencies in their respective districts operating through the Liberty loan committees a n d i n cooperation with patriotic organizations and citizens generally. The size of the issue, controlled as in the case of the first Liberty loan by the necessities of the situation, presented a colossal task, and it was necessary to arouse the interest of the people of the entire country in the largest possible degree to the needs of the Government. The patriotic assistance and cooperation of every available agency that performed such splendid service in the first campaign were placed at the disposal of the Government. I can not express in adequite terms the great credit that is due them for the great service they rendered. I made a trip across the country and back again in an effort to take the message of the Government's needs to every section. I visited the following cities and made public addresses in each: Cleveland, Toledo, Indianapolis, Chicago, Madison, Sioux City, Sioux Falls, Aberdeen, Butte, Spokane, Tacoma, Seattle, Portland, San Francisco, San Diego, Los Angeles, Salt Lake City, Denver, Colorado Springs, Dallas, Fort Worth, Little Eock, Memphis, Nashville, Atlanta, and Charlotte. I also had the privilege of speaking in many smaller cities and towns along the way and also at a number of the camps where our soldiers are being trained. The subscriptions to the second Liberty loan closed on October 27, 1917, and the, issue was a phenomenal success. The total subscriptions amounted to $4,617,532,300—an oversubscription of $1,617,532,300, or approximately an oversubscription of 54 per cent of the amount offered. This was a more gratifying result even than the first Liberty loan. I t is an immensely gratifying fact that the second loan was subscribed for by approximately 9,400,000 men and women of the country. Of this number, it is estimated that 9,306,000, or 99 per cent, subscribed in amounts ranging from $50 to $50,000, the aggregate of such subscriptions being $2,488,469,350. The fact that such a vast number purchased bonds is significant of the widespread interest of the people in the purposes of the war and of their determined 11 SECRETARY OF T H E TREASURY. support of the Government in all measures required for its vigorous prosecution. In conformity with the original announcement, I accepted 50 per cent of the oversubscription, making the total issue $3,80^,766,150. The following table shows the subscriptions and allotments by Federal reserve districts: Second Liberty loan subscriptions and allotments of subscriptions by Federal reserve districts. $50 to $10,000, inclusive. Federal reserve district. Subscriptions. Allotment. Boston New York Philadelphia I. Cleveland Richmond.... Atlanta , Chicago , St. Louis....-, Minneapolis.., Kansas City.. Dallas , San Francisco $186,136,050 441,101,150 135,278,500 186,121,600 97,792,000 51,635,500 322,122,900 79,417,550 89,171,600 80,042,250 53,556,500 144,550,500 $186,136,050 441,101,150 135,278,600 186,121,600 97,792,000 51,635,500 322,122,900 79,417,550 89,171,600 80,042,250 63,556,500 144,650,500 Total... 1,866,926,100 1,866,926,100 Federal reserve district. Boston New Y o r k . . . Philadelphia. Cleveland Richmond... Atlanta Chicago St. Louis Minneapolis.. Kansas City.. Dallas........ San Francisco, Total.., $100,050 to $200,000, inclusive. $10,050 to $50,000, inelusive. Subscriptions. $50,050 to $100,000, inclusive. Allotnient. Subscriptions. Allotment. $73', 681,100 $73,681,100 $60,363,360 $45,327,050 168,326,200 168,326,200 100,722,650 90,650,400 41,180,450 41,180,460 27,681,100 24,913,000 79,646,600 79,645,600 48,352,850 43,617,600 17,299,600 38,442,860 38,442,850 19,221,750 12,848,600 12,848,600 6,916,800 6,574,200 82,080,700 82,080,700 ' 41,718,300 37,546,600 24,916,250 24,916,250 . 11,026,800 9,924,150 18,537,050 18,537,050 10,284,460 9,266,050 27,389,400 27,389,400 11,132,700 10,019,450 11,292,300 11,292,300 4,304,950 4,783,260 43,402,760 43,402,760 .28,004,600 26,204,060 621,543,250 621,643,250 1,866,900 323,879,600 Over $200,000. Total. Allotment. Subscriptions. Allotment. Subscriptions. Allotment. $31,734,450 $23,800,850 68,166,700 61,125,050 •.17,892,450 13,419,350 35,487,950 26,616,000 10,981,350 8,236,050 6,730,800 5,048,100 26,978,050 20,233,550 7,117,300 6,338,000 9,530,450 7,147,850 8,463,500 6,347,650 3,917,800 2,938,350 15,220,000 .11,415,000 $135,135,100 $78,868,650 772,136,750 399,982,100 158,317,750 80,335,700 136^598,800 73,986,400 34,774,550 20,811,200 12,906,650 7,494,050 112,953,400 63,971,950 61,802,850 30,626,250 13,409,100 7,859,900 23,097,900 12,750,760 4,350,000 2,475,000 61,493,400 36,689,450 181,665,800 1,526.976,250 814,751,400 Subscriptions. 242,220,800 $476,950,050 $407,713,700 1,550,453,450 1,151,184,900 380,350,250 295,127,000 486,106,800 409,787,200 201,212,600 182,581,700 82,943,050 90,695,750 525,955,600 585,853,350 150,122,200 184,280,750 131,972,450 140,932,650 136,549,500 160,125,750 74,667,100 77,899,850 260,261,750 292,671,150 4,617,532,300 3,808,766,150 Allotment plan: Subscriptions. Up to and including $50,000 Over $50,000 up to and $100,000. Over $100,000 up to and $200,000. Over $200,000 up to and $1,000,000. Over $1,000,000 up to and $8,000,000. Over $8,000,000 up to and $30,000,000. 860.000.000. . . ^ Allotment. including $2,488,469,350 359,865,900 including 242,220,800 including 756,586,700 including 470,425,600 including 249,963,950 Total subscriptions 50,000,000 $4,617,532,300 100 per cent 90 per cent but not $50,000 bonds. 75 per cent but not $90,000 bonds. 60 per cent but not $150,000 bonds. 50 per cent but not $600,000 bonds. 41.20 per cent but not $4,000,000 bonds. $40.8152 per cent Total allotment less than $2,488,469,350 323,879,600 less than 181,665,800 less than 455,690,300 less than 235,582,300 less than 103,071,200 ' 20,407,600 3,808,766,150 12 REPORT ON THE FINANCES. The percentage of oversubscription, by Federal reserve districts, was as follows: Per cent of oversubscription. Total subscriptions received. Quota. Boston New Y o r k . . . . Philadelphia.. Cleveland..... Richmond Atlanta Chicago St. Louis Minneapolis.. Kansas City.. Dallas SanFrancisco $476,950,050 1,550,453,450 380,350,250 486,106,800 201,212,500 90,695,750 585,853,350 184,280,750 140,932,650 150,125,750 77,899,850 292,671,150 $300,000,000 900,000,000 250,000,000 300,000,000 120,000,000 80,000,000 420,000,000 120,000,000 105,000,000 120,000,000 75,000,000 210,000,000 59 72 52 62 68 13 39 54 34 25 4 39 Total... 4,617,632,300 3,000,000,000 64 Federal reserve districts. I t is to the credit of the country that every Federal reserve district exceeded its quota of the $3,000,000,000 of bonds offered. The success of the second loan, like that of the first, was a distinct triumph for the people of the United States. I t not only demonstrated their ability, patriotism, and resources, but augurs the certain success of any future loans that may be offered by the Government. This great loan would have been impossibla without the loyal support and cooperation of the people of the country, but even that support could not have been secured except for the. indefatigable, unselfish, and earnest work of hundreds of thousands of splendid men and women throughout the United States, who threw themselves into the task without reservation. ^ I wish to record thanks to all these splendid volunteers and patriots, and particularly to the bankers of America; the Liberty loan organizations which were, formed in every State, city, town, and community in the United States; the women of the country, who made a distinctive fight for the Liberty loan through their own organizations; the Boy Scouts arid Girl Scouts; the newspapers and periodicals which gave, as in the first Liberty loan, the most effective, unselfish, and generous support, through their columns and otherwise; the press associations, the business, houses, the various patriotic organizations, cooperative and fraternal societies, and other organizations throughout the length and breadth of the land which so generously and earnestly gave their services to the great cause. Thanks are due also to those employers who, in such large numbers, gave the fullest opportunity to their employees to subscribe to the loan upon terms commensurate with their ability to make the required payments. I should like to make special mention of the soldiers and sailors of America, who came forward with subscriptions amounting to SECRETARY OF THE TREASURY. 13 more per capita than those received from the civil population. These gallant men are not only giving their services and their lives to their country but are lending their money as well to strengthen the Government in this great war for America's rights and world democracy. As in the case of the first loan, every effort was made to facilitate the payment for subscriptions to the second loan, and subscribers were permitted to pay in the following installments: Two per cent with application; 18 per cent on November 15, 1917; 40 per cent on December 15, 1917; 40 per cent on January 15, 1918. For the second loan the Federal reserve banks, as fiscal agents, issued their own receipts for payments received on bond subscriptions allotted, and the definitive bonds on full-paid subscriptions will be delivered at the time payment is completed, or very shortly thereafter, thus obviating the issue of interim certificates in the name of the Secretary of the Treasury. During the second Liberty loan campaign it was possible to place on sale for over-the-counter deliveries, on full-paid subscriptions not exceeding $1,000 each, a large amount of coupon bonds of the $50, $100, $500, and $1,000 denomination. Prior to the close of the campaign the following bonds had been furnished Federal reserve banks for this purpose: Denominations. $50 $100.. $500 $1,000 Number of bonds. Value. ' 827,814 961,863 99,097 , 304,-752 $41,390,700 96,186,300 49,548,500 304,752,000 Total.... 2,193,526 491,8775500 TREASURY CERTIFICATES OF I N D E B T E D N E S S . The Secretary of the Treasury was authorized, under the act approved April 24, 1917, to issue Treasury certificates of indebtedness to the extent of $2,000,000,000 outstanding at any one time and at a rate of interest not to exceed 3^ per cent per annum. The authorized amount outstanding at any one time was increased to $4,000,000,000, and the rate of interest was left to the discretion of the Secretary of the Treasury by the act approved September 24, 1917. The maturity of these certificates is limited to not exceeding one year. The issuance of short-time certificates of this character has greatly simplified the large financial operations of the Government and facilitated the enormous transfers of credit involved in the bond issues of the Liberty loans. Most of the certificates have been issued with a maturity of from one to three months. The proceeds from 14 REPORT ON THE FINANCES. these issues have been used, in anticipation of receipts from longterm bonds, to meet the immediate needs of the Government and to extend credit to the foreign nations engaged in the war with Germany. The certificates have been sold quickly through the Federal reserve banks, the fiscal agents of the Government, and have been a means of providing for the requirements of the Treasury during the intervals between the sales of Liberty bonds. In connection with both the first and second Liberty loans, the policy was adopted of issuing large amounts of certificates in advance of the bond issues and authorizing their acceptance as payments on bonds allotted. By this means a large part of each issue was absorbed in advance of its date, with the result that the same proportion of transfers of credit involved in the loan had been adjusted before the dates of payments on subscriptions. This method of temporary financing has proved wise and beneficial and has prevented disturbance in the money market which might have resulted if the operation had not been eased over a long period in this manner. The total amourit of certificates of indebtedness issued to November 1 was $3,388,698,000. Of this amount $50,000,000 were issued on March 31,1917, before the war under the act approved March 3,1917, in anticipation of internal-revenue taxes payable in June, 1917. Consequently the total amount of certificates issued on account of the war under the acts approved April 24,1917, and September 24, 1917, was $3,338,698,000. A large part of these certificates have matured and been canceled. The following table shows in detail the issuance of certificates through Federal reserve banks, the date of issue, the date of maturity, and the rate of interest: Treasury certificates of indebtedness. Issued through Federal Reserve Bank of— Authorizing act. Mar. 3, 1917 Apr. 24, 1917 Do... Do Do Do Do Do - . ........ Total amount. Date of issue. • Date of maturity. Rate. Mar. 31,1917 June. 29,1917 Per cent. 2 Apr. May May June Aug. Aug. Sept. 25,1917 10,1917 25,1917 8,1917 9,1917 28,1917 17,1917 June 30,1917 July 17,1917 July 30,1917 do Nov. 15,1917 Nov. 30,1917 Dec. 15,1917 . 3 3 3i 3i 3i 3i Sept. Oct. Oct. Oct. Oct. Oct. Oct. 26', 1917 11,1917 16,1917 17,1917 18,1917 24,1917 29,1917 Dec. 15,1917 Oct. 18,1917 do .....do Nov. 22,1917 Dec. 15,1917 Oct. 31,1917 4 4 4 4 4 4 2 New York. Philadelphia. Cleveland. Richmond. Atlanta. $50,000,000 $3,000,000 $20,000,000 $3,600,000 $3,500,000 $2,000,000 $1,600,000 268,205,000 200,000,000 200,000,000 200,000,000 300,000,000 250,000,000 300,000,000 16,800,000 12,167,000 11,200,000 18,200,000 19,400,000 16,140,000 12,171,000 136,150,000 98,512,000 125,300,000 100,500,000 175,000,000 152,938,000 204,347^000 14,000,000 10,000,000 9,000,000 10,400,000 14,000,000 15,000,000 10,800,000 19,100,000 33,700,000 i2,soo;'0oo 24,157,000 9,882,000 25,113,000 8,850,000 5,350,000 2,753,000 2,000,000 3,600,0002,800,000 7,235,000 3,180,000 8,000,000 2,605,000 1,700,000 1,000,000 4,300,000 4,848,000 2,280,000 400,000,000 22,174,000 100,000,000 10,000,000 20,000,000 385, m , 000 30,149,.000 685,296,000 33,010,000 20,000,000 212,100,000 100,000,000 10,000,-000 20,000,000 179,475,000 543,683,000 20,000,000 20,000,000 34,209,000 7,004,000 8,289,000 24,000,000 13,600,000 38,863,000 26,471,000 8,323,000 11,472,000 6,535,665 5,883,000 .. . Total. 1,620,493,000 Grand total under acts of Apr. 24 and Sept. 24, 1917. 3,338,698,000 Ul a w H O .1,718,205,000 Total Sept. 24,1917 Do Do Do Do Do Do Boston. H Ul . d Ol Treasury certificates of indebtedness—Continued. 05 I s s u e d t h r o u g h F e d e r a l R e s e r v e B a n k of— D a t e of issue. Authorizing act. D a t e of maturity. Rate. Chicago. Mar .-^j 1917 A p r . 24, 1917 Do . Do Do Do Do Do Sept 24 1917 Do/. Do . Do Do Do Do __ . . . . ; :...: . . . . ..... .. . Mar. Apr. May May June Aug. Aug. Sept. Sept. Oct. Oct. Oct. Oct. Oct. Oct. 31,1917 25,1917 10,1917 25,1917 8,1917 9,1917 28,1917 17,1917 26,1917 11,1917 16,1917 17,1917 18,1917' 24,1917 29,1917 J u n e 29,1917 J i m e 30,1917 J u l y 17,1917 J u l y 30,1917 do N o v . 15,1917 N o v . 30,1917 Dec. 15,1917 Dec. 15,1917 Oct. 18,1917 do do N o v . 22,1917 Dec. 15,1917 Oct. 31,1917 P e r cent. 2 3 3 II35 3§ 3^ 4 4 4 4 4 4 2 St. Louis. Mirmeapolis. Kansas City. DaUas. San Francisco. $2,500,000. 8,000,000 9,500,000 7,200,000 5,600,000 7,100,000 4,542,000 4,619,000 9,000,-000 $2,000,000 7,000,000 5,525,000 2,400,000 3,300,000 4,700,000 2,430,000 2,367,000 10,595,000 $2,500,000 20,000,000 7,500,000 4,200,000 5,200,000 13,000,000 7,520,000 9,030,000 23,000,000 10,600,0002,178,000 12,038,000 7,217,000 20,000,000 13,408,000 $5,000,000 16,400,000 24,893,000 16,600,000 19,800,000 15,800,000 15,095,000 21,169,000 35,629,000 $2,500,000 10,400,000 7,045,000 7,200,000^ 8,100,000 7,900,000 4,188,000 4,874,000 11,000,000 $2,000,000 2,500,000 4,500,000 2,400,000 5,200,000 3,700,000 2,025,000 2,000,000 7,000,000 32,963,000 18,141,000 12,710,000 5,028,000 9,541,000 5,205,000 Treasury. $10,605,000 o o "A a Ul SECRETARY OP THE TREASURY. LOANS TO FOREIGN 17 GOVERNMENTS. By the acts of Congress of April 24,1917, and September 24, 1917, authority was vested in the Secretary of the Treasury, on behalf of the United States, with the approval of the President, to establish credits in favor of foreign Governments engaged in war with the enemies of the United States, and, to the extent of the credits so established, from time to time, to purchase at par from such foreign Governments, respectively, their several obligations, such obligations under the authority of the act of April 24 to bear the same rate of interest and to contain in their essentials the same terms and conditions as those of the United States issued under authority of the act, and under the terms of' the act of September 24, to bear such rate or rates of interest, not less than the bonds of the United States, to mature at such date or dates, not later than the bonds of the United States then last issued under authority of either act, and to contain such terms and .conditions as might from time to time be determined by the Secretary of the Treasury. A total appropriation of $7,000,000,000 was provided for these purposes, $3,000,000,000 by the earlier act and $4,000,000,000 by the later. Under these authorizations credits have been established in favor of the Governments of Great Britain, France, Italy, Russia, Belgium, and Serbia^ and advances have been made to those Governments as indicated in the following tabulation, which includes all such credits and advances up to November 1, 1917: Loans and credits agreed upon. Country. Great Britain. .• France . Italy Russia 1 Belgium Serbia \ . . . . . Total Loans made. $1,425,000,000 $1,425,000,000 820,000,000 820,000,000. 500,000,000. 255,000,000 325,000,000 159,700,000 58,400,000 54,500,000 3,000,000 3,000,000 3,131,400,000 2,717,200,000 Balances under established credits. $245,000,000 165,300,000 3,900,OCO 414,200,000 ^ Of the credits and loans in favor of the Russian Government, $5,00,0,000 represents a loan to the Roumanian Government, the advance being made in this manner through the Russian Government in the absence of a Roumanian representative in the United s t a t e s who could negotiate a direct loan to his Government. The established credits indicated in the above table cover the period from the date of the passage of the earlier act, April 24, 1917, up to November 1, 1917, or a little more than six months. On the basis of the requests being made on the Treasury it was estimated that credits aggregating approximately $500,000,000 per month would be required to meet the urgent war needs of the foreign Governments receiving advances from the United States. With a balance of about $4,000,000,000 remaining available for the period beginning November 1, 1917, and with these credits averaging about $500,000,000 13034°—n 1917 2 18 REPORT ON TI-IE FINANCES. monthly, it is anticipated that the appropriation will be ample to meet the requirements to the close of the fiscal year. I n negotiating these loans the judgment of the Secretary has been determined ver}'^ largely by what was represented^ to him as the actual necessities for the purchase of supplies and materials arid other requirements in carrying on the war. After obtaining all light possible as to the reasons for such necessities, if it was determined that a loan should be made it was then submitted to the President, and, if he approved, a credit of the sum indicated was established and drawn against from time to time as the cash was needed to meet those requirements. I n conducting these financial relations with the allied Governments every possible effort has been made to obtain the maximum results from the credits established. I n August, 1917, formal arrangements were entered into by the Secretary of the Treasury, with the approval of the President, on behalf of the United States, and by representatives of the allied Governments for the creation of a commission, with headquarters at Washington, through which all purchases made by those Governments in the United States shall proceed. The commission is composed of Bernard M. Baruch, Robert S. Lovett, and Robert S. Brookings. These gentlemen are also members of the War Industries Board of the Council of National Defense, and by reason of this relation are able to coordinate the purchases of the United States Government with the purchases of' the allied powers. The obligations which have been purchased under the terms of the acts referred to are in the form of short-term or demand certificates of indebtedness signed by the duly authorized representatives of the respective Governments receiving advances of funds. These obligations under their terms shortly will be converted, at par, with an adjustment of accrued interest, into an equal par amount of gold bonds of the Governments concerned. Interest on these demand obligations was first placed at 3 per cent per annum, and shortly thereafter increased to 3^ per cent per annum, these rates being established to conform to the rates paid by the Government. of the United States on its short-term certificates of indebtedness issued under authority of the act of April 24, 1917, in anticipation of receipts from the sale of the bonds of the first Liberty loan. Subsequently, and coincident with the sale of these bonds, the rate was raised to 3^ per cent per annum, thus conforming with the rate carried by the bonds. For obligations purchased since the approval of the. act of September 24, 1917, the rate was placed at 4 | per cent per annum. By the terms of this act the normal rate of interest to be borne by the obligations of tiiQ United States issued thereunder could not exceed 4 per cent per annum. At the same time it rendered the SECRETARY OF THE TREASURY. 19 bonds thus issuable exempt from certain classifications of taxes, thereby substantially increasing the cost to the Government of the money received from the sale of its obligations by diminishing the amount which it might in turn take from its citizens in taxes. The rate of interest to be charged on the loans to foreign Governments under the terms of the act was not definitely fixed, but was left in the discretion of the Secretary, though a minimum was fixed. I n the exercise of that discretion it was determined to fix the rate at 4^ per cent per annum, the additional one-quarter per cent being added to compensate in part at least the loss to the Government due to the taxexemption features on its own obligations above referred to and the cost incurred by the United States of issuing its own bonds. This rate in turn will be further increased in case there should be higher rates of interest paid by the United States during the continuance of the war for the moneys that it may invest in the purchase of foreign obligations. WAR-SAVINGS CERTIFICATES. I n order that every man, woman, and child in the country, however small their means, may be given an opportunity to assist the Government in the financing of the war, I have determined upon an extensive campaign for the sale of war-savings certificates. The issuance of these securities was authorized by the act approved September 24, 1917, in an amount not to exceed $2,000,000,000. I n addition to assisting the Government in the prosecution of the war it is confidently expected that these certificates will greatly encourage thrift and economy among the people of the country. Liberty bonds are offered in denominations of $50 and upward. They do not present a convenient form of investment to those who wish to accumulate savings in small amounts and put their funds in obligations of the Governmerit. There are many mechanical and practical difficulties in the way of issuing bonds in large amounts of denominations below $50. The demand for such securities will be'met by war-savings certificates. The simplest possible plan has been evolved for the issuance of the certificates to the public. Under it any person may invest amourits as small as 25 cents at a time at post ofiices, banks, or trust companies, and at many places where accredited persons will act as selling agents. The campaign will be inaugurated on Monday, December 3, 1917. The certificates will be dated January 2, 1918, and will mature January 1, 1923—that is, five years after date. These obligations of the United States will be evidenced by a warsavings stamp costing from $4.12 to $4.23, according to the month in which purchased and having a maturity value of $5, and thrift stamps costing 25 cents may be accumulated towards paying for a war-savings stamp. 20 REPORT ON TPIE FINANCES. During December, 1917, and January, 1918, war-savings certificate stamps will be sold at $4.12 each. At the beginning of each of the succeeding months of 1918, starting February 1, the cost of a stamp will increase 1 cent per month. The difference between the purchase price paid at any time during 1918- and $5 represents the interest the Government will pay the holder. This interest is at the rate of 4 per cent per annum, compounded quarterly on the average price of the stamps during 1918. With the first war-savings stamp bought, the purchaser will obtain a war-savings certificate, containing blank spaces for 20 such stamps. If the 20 spaces are filled during December, 1917, or January, 1918, the cost to the purchaser will be $4.12 for each stamp or $82.40 for the filled certificate, and on January 1, 1923, the Government will redeem the certificate at $100, giving the holder $17.60 for the use of his money. Thrift stamps, costing 25 cents each, are from time to time as purchased to be affixed to thrift cards, which will be supplied without cost. Thrift stamps will not bear interest, but a thrift card, when filled at a cost of $4, may be exchanged for a war-savings stamp bearing interest at 4 per cent, compounded quarterly, merely by turning the card into the post office, bank, or other sales agency and paying the difference between $4 and the current price of a war-saviugs stamp. The privilege of surrendering a certificate to the Government and receiving the cost thereof, plus interest at the rate of about 3 per cent, has been provided for the convenience of those who may have bought certificates and later find themselves in need of their money. Upon 10 days' written notice after January 2 next, postmasters will pay all certificates at their cost to purchasers, plus an increase of 1 cent a month on each war-savings stamp on the certificate surrendered. The Treasury Department is receiving the cordial cooperation of the Post Office Department in the sale of these certificates. The Postmaster General, at the request of the Secretary of the Treasury, has prescribed regulations requiring employees of the Post Office Department and the Postal Service to give effective assistance and cooperation to carry out the plan. The details of the offering of war-savings certificates are set forth in Treasury Department Circular No. 94 (Exhibit E ) . THE FEDERAL RESERVE SYSTEM. America's entrance into the war was accompanied by no shock or financial panic, nor was there the slightest flurry in financial circles when the decision was announced. Happily fpr America, the Federal Reserve System was established in 1914. I t has been" subjected to supreme tests, both preceding and following the declaration of SECRETARY OF TPIE TREASURY. 21 hostilities, and has measured up to every expectation and to every requirement. Without this system it would be impossible to finance our "enormous domestic and foreign trade, to raise the tremendous credits required to assist the foreign governments makirig conimon cause with us against Germany, and to take care of the extraordinary expenditures entailed by our part in the war. The Federal Reserve System during the past year has grown enormously, while widening materially the general scope of its activities and usefulness. The system was inaugurated on November 16, 1914. The total assets of the 12 Federal reserve banks on November 17, 1916, amounted to $943,419,000. On November 16, 1917, after the expiration of three years, the assets of these banks amounted to $3,012,406,000. The gold held by the Federal reserve banks and the Federal reserve agents, which a year ago amounted to $674,103,000, on November 16, 1917, had reached the enormous sum of $1,584,328,000. During the past year the Federal reserve banks, through the Federal Reserve Bank of New York, arranged for the establishment of reciprocal accounts in various foreign countries; in England with the Bank of England; in France with the Bank of France; and in Italy with the Bank of Italy, though it is not expected that transactions between the reserve banks and the banks of belligerent countries will assume large proportions before the conclusion of the war. Arrangements have also been made for the opening of reciprocal accounts with the Philippine National Bank of Manila through the Federal Reserve Banks of San Francisco and New York. The facilities and advantages of the system have been enlarged and increased during the year by the opening of branch banks at important centers in different Federal reserve districts, including Portland, Oreg., Seattle and Spokane, Wash., and Omaha, Nebr., and authority has also been given for the establishment of additional branches at Denver, Cincinnati, Louisville, Pittsburgh, and Baltimore. The Federal reserve banks have assumed new and extremely important duties since the outbreak of the war in connection with Government finances. The Secretary of the Treasury on March 31, i9l7, placed the first temporary Government loan through the Federal reserve banks by selling to the 12 reserve banks $50,000,000 of Treasury 90-day certificates of indebtedness, which were taken by the several banks at a 2 per cent interest rate. These certificates were issued before the war in anticipation of internal-revenue taxes payable in June. Since the outbreak of the war the Treasury has placed through the 12 reserve banks, which have in turn distributed them largely among their member banks and other cus 22 REPORT ON T H E FINANCES. tomers, short-term Treasury certificates of indebtedness to the extent of $3,338,698,000 at rates varying from 3 to 4 per cent. These certificates of indebtedness, as hereinbef(3re stated, are being issued from time to time, usually with maturities of 60 to 90 days, to provide temporarily for war-time requirements ptoding the receipt of income and other taxes and the proceeds of the sales of Liberty bonds, and are, redeemed as these funds are paid into the Treasury. When the first Liberty loan of $2,000,000,000 was subscribed for in June last the subscriptions, collections, and payments were also handled through the 12 reserve banks, and the settlements were made in such a way that no stringency, in the money market was occasioned. The first Liberty loan was sold and paid for between June 15 and August 31, 1917, and it is interesting to note that the reports of the national banks show that between the calls of May 1, 1917, and September 11, 1917, embracing the period in which the first Liberty loan of $2,000,000,000 was taken up and paid for, the national banks of the country, instead of being drained of their resources through these vast collections by the Government, actually showed an increase of $154,000,000 in the sum total of their deposits for that period. The payments for the second Liberty loan were made with the same ease that marked the settlements for the first loan. The Federal Reserve System has been of incalculable value during this period of war financing on the most extensive scale ever undertaken by any nation in the history of the world. It would have been impossible to carry through these unprecedented financial operations under our old banking system. The effective machinery afforded by the Federal reserve banks has permitted the Government to execute its plans without a tremor of disturbance. Great credit is due the 12 Federal reserve banks for .their broad grasp of the situation and their intelligent and comprehensive cooperation. The organizations which they perfected under the direction of the Treasury Department contributed greatly' to the phencfmenal success of the Liberty loans. Amendments to the Federal reserve act. As a result of the experience gained during the first two years of the operation of the system it was found desirable, during th6 past year,, to amend certain sections of the Federal reserve act, and this was done by acts of Congress approved September 7, 1916, and June 21, 1917. By these amendments the powers and authority of the Federal Reserve Board are strengthened and enlarged. The board is given power to authorize or require the establishment by the reserve banks of branches or agencies in this and in foreign countries. Provision is made for perfecting the collection of checks and drafts at par SECREa:ARY OF THE TREASURY. 23 throughout the country. The authority of the bdard to confer power upon member banks to accept, up to 100 per cent of the capital and surplus of the accepting bank, foreign and domestic drafts and bills of exchange, properly safeguarded, is restored. The amendments provide for a -more comprehensive mobilization of gold in the reserve banks and additional elasticity is secured to note issues without diminishing the security of Federal reserve notes. The issuance ^ of Federal reserve notes, on the security of 15-day promissory notes of member banks, secured either by eligible commercial paper or bonds and notes of this Government, is also authorized. One of the most important amendments directs that the reserve of all member banks shall be carried solely in the Federal reserve banks, and the percentage of reserve required is materially reduced, leaving optional with the banks the amount of additional cash which they shall carry in their own vaults for local currency requirements. Another amendment allows State banks entering the system to retain, their full charter or statutory rights as State banks or trust companies without undue restriction, and authorizes the directors of the Federal reserve banks in their discretion to accept examinations made by the State authorities in lieu of examinations by examiners selected or approved by the Federal Reserve Board. Furthermore, State banks are now authorized to withdraw from the system on six months' written notice. There were also other minor amendments which related mainly to matters of detail or local management. By some of the foregoing amendments the obstacles which have heretofore prevented State institutions from entering the system have been removed; and the numerous applications for membership which have already been received indicate that a broad general movement is now under way which it is hoped will before long result in securing for our country a more solid and unified system, embracing in its membership not only a great majority, but virtually all of the important bariks and banking institutions of the country. Intelligent men all over the country are beginning to realize that t ] 0 Gn.2Liici2il power of the United States should be strengthened to the utmost limit if we are to meet successfully the tremendous strain upon our resources occasioned by our own part in the war arid by the credits which it is essential that we should extend to vthe foreign governments cooperating with us in the war and if we are to be equal to the demands, in a large measure, at least, of world leadership which will inevitably be thrust upon us as a result of the war. Financial strength can come alone from a consolidation of the financial power of the country under one homogeneous system. I t can not be had under the present arrangement, involving as it does 49 separate banking systems or banking controls in the United States. I n the Federal system, we have the one cohesive and powerful financial organization in the country. I n addition to the Federal system we 24 REPORT ON T H E FINANCES. o have 48 different systems, authorized by and administered under the laws of each of the States of the Union. This is a serious element of wealmess and will be proven so when the test of greatest responsibility and need comes. We must be prepared for a larger measure of international demand upon our resources in the future than ever before in the past. Self-interest alone should impel every eligible State bank in the country to take membership in the Federal Reserve • System; but, in addition to that, in this grave time of national peril, patriotism should combine with self-interest to make them take that course. I t is my earnest hope that the State banks of the United States will see this question in its proper light.- They have been joining the Federal Reserve System recently in greater numbers than ever before, but progress should be even more rapid. The Federal reserve law is now so liberal to State banks that they get nothing but advantages by joining the system, while they are bound to suffer serious disadvantages, especially in time of test and trial, if they remain outside. T H E STOCK OF GOLD. The gold monetary stock (coin and bullion used as money) in the United States on November 1, 1917, is estimated at $3,041,500,000. The increase in the past 10 months has been $174,500,000; in the past three years $1,236,500,000; while in the past five years it has been $1,161,333,000. I n five years the portion of the world's gold monetary stock held by the United States has increased from approximately one-fifth to more than one-third. CONVERSION OF 3 ^ PER C E N T BONDS OF T H E F I R S T LIBERTY L O A N . I n consequence of the issue of the second Liberty loan at 4 per cent the right to convert the .3^ per cent bonds of the first Liberty loan into 4 per cent bonds arose on November 15, the date borne by the bonds of the second Liberty loan. At the time of this writing it is not known whether the conversion privilege will be exercised in large measure or not. As conversion operations must be handled coincident with the issue of the bonds of the second Liberty loan, and just before the first interest payment date for the bonds of the first Liberty I ' ^ p , the facilities of the Treasury Department and of the Federal reg\|rve banks will be strained to the utmost to care for the situation, particularly if any great number of holders of the bonds of the first issue iminediately present their bonds for conversion. To care for the situation, in a measure, coupon interest payments on bonds converted will be made through adjustment coupons attached to the 4 per cent bonds issued upon conversion. These special coupons will care for interest at 3^ per cent from June 15 to November 15 and at 4 per cent from November 15 to December 15, or at ^ per cent from June 15 t o December 15. The conversion provisions are covered in Treasury Department Circular No. 93. (Exhibit F.) SECRETARY OP THE TREASURY. 25 DEPOSITS o r PUBLIC FUNDS. Under the provisions of the acts approved April 24 and September 24, 1917, authorizing the issuance of certificates of indebtedness and bonds to meet expenditures incident to the war, authority was given to deposit with incorporated banks and trust companies subscribing to the various issues of bonds and certificates the proceeds arising from their subscription payments thereto. While such deposits were necessarily of a temporary character, they nevertheless served to prevent any unusual disturbance of the money market or business conditions throughout the country. In connection with the issues of certificates of indebtedness prior to the first Liberty loan, 134 national and 100 State banks and trust companies in six Federal reserve districts made application and were accordingly designated as depositaries for these funds. Subsequently, 1,251 national and 780 'State banks and trust companies in the 12 Federal reserve districts made application and were designated as depositaries of public moneys to enable them to make payment by credit for bonds of the first Liberty loan and to receive cash deposits of funds realized from the sale of said bonds. A total of $860,117,491.91 of Liberty loan funds was deposited with these banks, every dollar of which has since been gradually withdrawn through the Federal reserve banks and credited in the Treasurer's general account. Prior to the second Liberty loan, the number of special depositaries was further increased by 83 national and 72 State banks and trust-companies which subscribed for certificates, of August 9. The above deposits were made under Department Circular No. 81 (Exhibit G). All designations made subsequent.to August 9 and prior to October 6 covered deposits to be made on account of the sale of both certificates of indebtedness and Liberty loan bonds, and were made under Department Circular No. 81. Designations made after October 6 likewise covered the issue of both certificates and bonds, and were made under the provisions of Department Circular No. 92 (Exhibit H ) . At the close of business on November 13, 1917, the Secretary had designated 1,903 national and 1,343 State banks and trust companies with authority to receive deposits on account of their subscriptions to any one or all of the various issues of bonds and certificates of indebtedness without the necessity of making application and being designated each time they subscribe to certificates and bonds and desire to pay for them by credit. 26 REPORT ON THE FINANCES. Summarizing the foregoing by Federal reserve districts: Number of national banks and State banks and trust companies in each Federal reserve district designated as special depositaries. Number of Total numNumber of State banks ber of denational and trust positaries banks. companies. creatiBd. District. Boston New York.. Philadelphia Cleveland Richmond Atlanta Chicago St, Louis Minneapolis Kansas City Dallas San Francisco '. ' : - .. . ^ : •. . Total 173 280 206 205 204 125 250 119 172 162 137 195 92 210 115 120 180 87 226 97 186 • 73 .41 163 265 490 321 325 384 212 476 216 358 235 178 358 2,228 1,590 3,818 Interest at the rate of 2 per cent per annum is charged for these deposits, and at the close of business October 31,. 1917, the Federal reserve banks had reported that there had been collected through them $1,443,956.42. The following table shows the amounts of interest collected upon all public deposits during each of the past five fiscal years: Year ending June 30— 1913 1914 1915 1916 1917 J - »___ $122, 218. 89 ^_ 1, 409, 426. 07 1, 222, 706. 93 791, 671. 45 1, 061, 992. 07 EXPORTS OF COIN, BtJLLION, AND CURRENCY AND TRADING WITH THE ENEMY." The act of June 15, 1917, vested in the President the power to prohibit by proclamation the export from this country of any article mentioned in such proclamation except at such time and under such regulations as the President might prescribe. Accordingly the President an September 7,1917, issued a proclamation to the effect that— except at such time or times, and under such regulations and orders, and subject to such limitations and exceptions as the President shall prescribe, until otherwise ordered by the President or by Congress, the following articles, namely: Coin, bullion, and currency shall not, on and after the 10th day of September, in the year one thousand nine hundred and seventeen, be exported from or shipped from er taken out of the United States or its Territorial possessions * * *^ By Executive order of the same date the President directed that the regulations, orders, limitations, and exceptions prescribed in relation to the exportation of coin, bullion, and currency be administered by and under the authority of the Secretary of the Treasury, and upon the recommendation of the Secretary of the Treasury prescribed regulations providing that application for permission to export coin, bullion, or currency must be filed with a Federal reserve bank, which would transmit the application to the Federal Reserve Board* The SECRETARY OF T H E TREASURY. „ 27 board, subject to the approval of the Secretary of the Treasury, was authorized to permit or refuse the exportation. I n pursuance of the Executive order the Federal Reserve Board, with the approval of the Secretary of the Treasury, issued regulations governirig the administrative procedure with regard to the exportation of coin, bullion, and currency. (Exhibit I.) At the time of issue of the above proclamation the United States was practically the only large country freely parting with the precious metals, and as a result there was a tendency to transfer to New York by means of exchange operations balances due by foreign countries and to export gold from the United States in payment of such balances. I n these circumstances it became necessary for the protection of the gold reserve of the United States to place restrictions on the export of gold. I n the exercise of these powers no obstacle has been placed in the way of the free exportation of silver bullion or silver coin of foreign mintage, nor upon the export of United States notes, national-bank notes, or Federal reserve notes, nor upon Canadian silver coin or currency; but the exportation of gold has not been permitted except in those cases in which unusual circumstances have seemed to justify the issue of licenses for its export. The department has not, however, rested content with a negative policy of prohibition, but has initiated a series of negotiations having for their purpose the substitution of arrangements which, while avoiding the necessity fpr large exports of gold, would yet stabilize the exchanges between the LTnited States and neutral countries. Progress in these negotiations has been made in various directions, although none of the negotiations has yet been carried to a final conclusion. By stabilizing the exchanges between the United States and any neutral country it will be possible to maintain with such country a course of trade much more nearly normal than if exchange. rates continued subject to violent and erratic fluctuations. I t is a pleasure to record that neutral countries have entered on these negotiations in a cordial spirit of cooperation, and it is hoped that arrangements may shortly be concluded with various countries. Under the act approved October 6, 1917, commonly known as the trading-with-the-enemy act, wide powers were vested in the President, which, under Executive order of October 12, 1917, the President allocated to various departments of the Government. By said Executive order a War Trade Board was established, consisting of representatives, respectively, of the Secretary of State, of the Secretary of the Treasury, of the Secretary of Agriculture, of the Secretary of Commerce, of the Food Administrator, and of the United States Shipping Board. The following extract from the Executive order deals with the functions confided to the Secretary of the Treasury: 28 REPORT ON THE FINANCES. SECRETAEY OF T H E TREASUKY. X. I hereby vest in the Secretary of the Treasury the executive administration of any investigation, regulation, or prohibition of any transaction in foreign exchange, export or earmarking, of gold or silver coin, or bullion or currency, transfers of credit in any form (other than credits relating solely to transactions to be executed wholly within the United States), and transfers of evidences of indebtedness or of the ownership of property between the United States and any foreign country, or between residents of one or more foreign countries, by any person within the United States; and I hereby vest in the Secretary of the Treasury the authority and power to require any person engaged in any such transaction to furnish under oath complete information relative thereto, including the production of any books of account, contracts, letters or other papers in connection therewith in the custody or control of such person, either before or after such transaction is completed. XI. I further hereby vest in the Secretary of the Treasury the executive administration of the provisions of subsection (c) of section 3 of the trading with the enemy act relative to sending, or taking out of, or bringing into, or attempting to send, take out of, or bring into, the tJnited States, any letter, writing or tangible form of communication, except in the regular course of the mail; and of the sending, taking, or transmitting, or attempting to send, take, or transmit,. out of the United States, any letter, or other writing, book, map, plan or other paper, picture, or any telegram, cablegram, or wireless message, or other form of communication intended for or to be delivered, directly or indirectly, to an enemy or ally of enemy. And said Secretary of the Treasury is hereby authorized and empowered to issue licenses to send, take or transmit out of the United States anything otherwise forbidden by said subsection (c) and give such consent or grant such exemption in respect thereto, as is not inconsistent with law, or to withhold or refuse the same. XII. I further authorize the Secretary of the Treasury to grant a license uhder such terms and conditions as are not inconsistent with law or to withhold or refuse the same to any " enemy " or " ally of enemy " insurance or reinsurance company doing business within the United States through an agency or branch office or otherwise, which shall make application within 30 days of October 6,. 1917. XIII. I hereby authorize and direct the Secretary of the Treasury, for the purpose of such executive administration, to take such measures, adopt such administrative procedure, and use such agency or agencies as he may from time to time deem necessary and proper for that purpose. The proclamation of the President, dated September 7, 1917, made under authority vested in him by Title VII of said act of Congress, approved June 15, 1917, shall remain in full force and effect. The Executive order, dated September 7, 1917, made under the authority of said title shall remain in full force and effect until new regulations shall have been established by the President, or by the Secretary of the Treasury, with the approval of the President, and thereupon shall be. superseded. I n connection with the power delegated to the Secretary of the Treasury to grant or withhold licenses to enemy or ally of enemy insurance companies, the Bureau of War Risk Insurance, through which the Secretary will administer this provision of the Executive order, has sent State superintendents of insurance forms prescribing the information required in making applications, with the request that they be transmitted to all companies concerned. SECRETARY OF TPIE TREASURY. 29 The information asked for is such as will enable the Secretary to arrive at an accurate conclusion as to the importance to the insuring public of the continuance of the.busiriess by these companies. A hearing was held at the Treasury Department on November 15, at which the representatives of " enemy and ally of enemy " insurance companies, as well as representatives of American companies reinsuring with such enemy or ally of enemy companies, were heard. Those opposed to the granting of licenses were also given ample opportunity to present arguments and submit briefs. By means of this hearing and the information asked for, the Secretary will be able to arrive at a determination as to the advisability and necessity for issuing such licenses, and, if issued, what restrictions are required by the national interest. WAR I N S U R A N C E . The Bureau of War Risk Insurance was created immediately after the outbreak of the European war to assist the commerce of this country by granting war-risk (but not marine) insurance on the hulls of or cargoes in Airierican vessels. The original act provided for a two-years' life of the bureau. On August 11, 1916, the.act was amended, extending same for one year, and on March 3, 1917, the act was again amended, extending the operations of the bureau for a period of another year—making a total of four years, or to September-2, 1918. The act Avas further amended June 12,1917, to provide for the issuance of insurance against war risks on masters, ofiicers, and crews on American merchant vessels, and on June 19 the Secretary of the Treasury announced that the law would be effective for sailings through the war zone from the United States beginning June 26 and sailings from abroad beginning July 10. A still more far-reaching and important amendment to the act became a law October 6, 1917 (Exhibit J ) , and established in the bureau a division of marine and seamen's insurance and a division of military and naval insurance in charge of a commissioner of marine and seamen's insurance and a commissioner of military and naval insurance, respectively. (a) Division of Military and Naval Insurance. The Director of the Bureau and the Commissioner of Military and Naval Insurance are charged with the administration of and are given full power and authority, with the approval of the Secretary of the Treasury, to make rules and regulations to carry out the most comprehensive and constructive plan adopted by any Government to relieve its soldiers and sailors from unnecessary worry concerning the welfare of their families and dependents or the extraordinary hazards of the service they are called upon to render their country. 30 REPORT ON THE FINANCES. I n this just, generous, and epoch-making legislation Congress provides really for three great governmental undertakings, with the administration of which the Bureau of War Risk Insurance, through the Division of Military and Naval Insurance, is charged. (1) Proyision is made for allotments and family allowances. This means that the soldier and sailor are expected and required to make the provision hereinafter stated to the extent of his ability for the support of his wife and children. He must make a truthful statement, under severe penalty for any misstatement, concerning the existence and status of such dependents. He must ajlot not less than $15 per month, and may be required to allot not more* than half his pay each month for their support. The Government has provided a schedule of allowances which it will make to these dependents to supplement the allotment made by the man. I n addition to the compulsory allotment, the enlisted man may make voluntary allotments for the benefit of certain relatives other than a wife or child. Conditioned upon such voluntary allotment being made, the bureau is authorized to make allowances to these other relatives in accordance with a prescribed schedule, provided the total payment to such relatives, including what the enlisted man has voluntarily allotted and what the Government gives, does not exceed the amount which the enlisted man has habitually contributed to the support of such other relatives, and that they are dependent upon him for such contribution. The maximum to be allowed by the Government for any man's family is $50 over and above his allotment. This is a liberal and fair provision, recognizing the legal and moral. responsibility of the man to do what he can to meet the normal burden which rests on him of supporting his family, and at the same time recognizing his inability, T\?hile he is absent from home and on military duty, to maintain the usual standard of comfort and support. 'The Government therefore contributes its share to help out, and its share may amount to a contribution of more than three times the sum which the enlisted man is required to contribute to the Support of his family, and leaves him half his pay to meet his own needs for spending money and to buy insurance as additional protection for himself and family. The tremendously difficult task of ascertaining the exact conditions . concerning the families of the hundreds of thousands of enlisted men and the arrangements necessary to take from their pay the compulsory allotments as well as to make provision for the deduction of voluntary allotments and the certification of claims and awards by the commissioner under this provision of the law, together with the payment of the sum total of these allotments and allowances monthly to the families of all men in the service may well test the skill and executive capacity of those intrusted with the administration of SECRETARY OF THE TREASURY. 31 this act. I t is, however, a humane work to which the officers of this department are devoting themselves with zeal and enthusiasm. (2) Compensation for death or disability is provided for at the sole expense of the Government and on a liberal scale provided the injury is incurred or disease contracted in the line of duty. This applies to any commissioned officer or enlisted man or any member of the Army Nurse Corps (female), or of the Navy Nurse Corps (female), when employed in the active service under the War Department or Navy Department. Only in case of willful misconduct is no compensation made for injury or disease. I n addition to the compensation an injured person is furnished by the Government with reasonable medical, surgical, and hospital service and supplies. Provision is also made whereby injured persons shall follow courses of rehabilitation, reeducation, and vocational training in the United States, to be provided by the Government, and for this purpose a form of enlistment may be required which shall bring the injured person into the military or naval service in what is virtually a new department of such service, entitling such person to full pay as during the last month of his active service and to family allowances and allotments in lieu of all other compensation for the tiirie being. (3) After the enlisted man has been required to do his full duty to protect his family, and after the Government has provided such supplementary protection as the circumstances require for his family through family allowances, and has also provided through compensation for the risks and hazards of his military or naval service, an opportunity is offered to officers and enlisted men alike to insure themselves at low cost, purposely brought within the means of all, and thus give themselves and their families all the added protection that human foresight and a generous people can provide. Government insurance furnished at cost, which does not include any charge for administrative expenses nor many of the usual overhead charges nor the extra war risk which ordinary business insurance companies would have to include, is provided liberally. The cost of such insurance at the usual commercial rates would be prohibitive for enlisted men, and even for most officers. The Government has created the risk and has in a certain sense deprived the men in its military and naval forces of their insurability, and therefore it pays the extra cost. The officer and the enlisted man, however, must exhibit those economic virtues of foresight and thrift and elect for themselves to take this insurance and pay the small cost required. This insurance privilege is limited to a maximum of $10,000 and must be availed of within 120 days from the date of enlistment or prior to February 12, 1918, for those in the service on October 15, 1917,.when the rules and regulations putting this feature of the act into effect were published. The maximum of $10,000 can be had for 32 REPORT ON THE FINANCES. a m_onthly payment of $6.60 for a person 25 years of age. The benefits are not paid in lump sums upon death or injury, but are paid in monthly installments to the insured during his life in case of total and permanent disability, or in case of death to his beneficiary for 240 months, or 20 years, less the number of monthly payments, if any, made to the insured on account of disability. Insurance is granted without medical examination and may, within five years after the close of the war, be converted into one pr more of the usuaV forms of insurance, as the insured may elect. Neither the compensation nor the insurance received under the act are assignable. Compensation is exempt from attachment and execution and the insurance is not subject to the claims of creditors either of the insured or the beneficiary. The War Risk Bureau has already distributed 110,000 copies of the soldiers' and sailors' insurance act and has ordered a special edition of 500,000 copies. Bulletin No. 1 (Exhibit K ) , setting forth the terms, and conditions of soldiers' and sailors' insurance, was issued on October 15. This date of publication, in accordance with section 401 of the act of October 6, determines the time from which, within 120 days, application may be made for insurance by the officers and enlisted men in the active service at that time. Five million copies of this bulletin have been ordered and 1,207,000 copies have already been distributed. Bulletin No. 2 (Exhibit L ) of the War Risk Bureau gives a digest of the act; 108,000 copies of this bulletin have been distributed and 1,000,000 copies ordered. Six . million copies of the insurance application blank and 8,000,000 copies of.the allotment and allowance blank have been ordered and are being distributed to cantonments, training camps, naval stations, and other places in this country where soldiers and sailors are stationed, and to the expeditionary forces in France as rapidly as the Government Printing Office can furnish them. Up to November 1 over 2,000,000 copies of-the insurance application blank had been sent out and a million and a half copies of the allowance and allotment blank. At the time this report goes to press it is too early to present the returns that are beginning to come in from the cantonments and training camps. Through the cooperation of the War Department, the provisions of the act are being carefully explained to every enlisted man. As soon as the information blanks have been distributed, filled out, and assembled they will be forwarded to the Bureau of War Risk Insurance and early publication of the returns will be made. '^t is interesting to know, however, that on November 1, 19,000 applications for insurance had been filed, representing a total of $161,500,000. This means that the average amount of insurance taken by the first 19,000 applicants was $8,500. 33 SECRETARY OF THE TREASURY. Under the terms of the act every officer and enlisted man enjoys automatic insurance, without cost, until February 12, 1918, when the 120 days from the date of the.publication of the contract of insurance will expire. This insurance yields in case of disability a monthly installment of $25 for the entire period of the man's life, and in case of death a monthly payment of $25 to his widow^ (until remarriage) or children or widowed mother, for a period not exceeding 240 . months. (h) Division of Marine and Seamen^s Insurance. The amount of insurance written during the fiscal year 1917 on the hulls and cargoes of American vessels was $472,579,383, the premiums for the same totaling $26,151,291.71. The losses amounted to $10,512,620, and the expenses were $31,219.09. From the commencement of its business, on September 2, 1914, to October 31, 1917, the bureau has written 11,728 policies, covering a total insurance of $856,270,337 on the hulls and cargoes of American vessels. Premiums for this period were $33,393,476.53, and the total expenses of organizing, printing, stationery, and the salaries of the force were but $94,296.38. The original act carried an appropriation of $100,000 for expenses and $5,000,000 for the payment of losses. The March 3,1917, amendment increased the appropriation for the payment of losses from $5,000,000 to $15,000,000, and the June 12,1917, amendment increased the appropriation for expenses from $100,000 to $250,000 and the appropriation for the payment of losses from $15,000,000 to $50,000,000. Comparison of bureau's operations for the fiscal years ending June 30, 1916 and 1917. 1916 Amount insured Premiums Amount at risk June 30 Losses paid and estimated, less salvage. Expenses •-. Number of policies written $53,655,010.00 906,418.16 13,647,962.00 218,368.34 25,337.50 $472,579,383.00 26,151,291.71 164,320,368.00 10,512,620.00 31,219.09 5,065 Operation of the bureau for period September 2, 1914, the date of its creation, to October 31, 1917, shows: Amount insured ^________ $856, 270, 337.00 Premiums . --. —— $33, 393, 476. 53 Total losses paid and estimated, less salvage $20, 008, 505. 00 Expenses to Oct. 31, 1917. —^—_ .__—— $94, 296. 38 Number of policies written ^_ 11, 728 The lives of seamen sailing on American vessels to the war zone are in jeopardy because of the ruthless use of the mine and submarine, and it is manifestly just that these men be protected by insurance. 13034°—FI 1917 3 34 REPORT ON T H E FINANCES. Up to and including October 31, 1917, 317 policies*^ were written, 271 on the crews of steam vessels, and 46 on those of sailing craft and auxiliaries. These policies provided protection for 20,757 men in the sum of $34,988,067. As the life of the Marine and Seamen^s Division of the bureau will expire on September 2, 1918, I respectfuUy recommend that its functions be extended to continue during the period of the war with the further authority for a period of two years within which to settle outstanding claims.' PAYMENT FOR THE DANISH WEST INDIAN ISLANDS. On March 31, 1917, the Secretary of the Treasury paid to the envoy extraordinary and minister plenipotentiary of Denmark the sum of $25,000,000 gold, in full payment of the obligation of the Government of the United States to the Government of Denmark for the cession of the Danish West Indian Islands to the United States. This payment was authorized by the act approved March 3, 1917, and was made in pursuance of article 5 of the convention between the United States and Denmark signed at the city of New York on August 4, 1916, and ratified by the Senate of the United States on September 7, 1916. The following is a copy of the receipt given this Government by the minister of Denmark for the payment: Received from the Secretary of the Treasury of the United States of America the sum of $25,000,000 gold, in warrant on the Treasury of the United States, numbered 13223, and dated March 31,1917, the same being in full payment.of the obligation of the Government of the United States to the Government of Denmark as set forth in article V of the convention between the United States and Denmark for the cession of the Danish West Indian Islands to the United States, signed at the city of New York on August 4, 1916, the ratifications of which were exchanged at Washington on January 17, 1917; the payment being provided by an act of Congress approved March 3, 1917, entitled "An act to provide a temporary government for the West Indian Islands acquired by the United States from Denmark by the convention entered into between said countries on the fourth day of August, nineteen hundred and sixteen, and ratified by the Senate of the United States on the seventh day of September, nineteen hundred and sixteen, and for other purposes." (Signed) C. BRUN, Envoy Extraordinary and Minister Plenipotentiary of Denmark. WASHINGTON, D . C , March 31, 1917. AUDITING OF GOVERNMENT ACCOUNTS ABROAD. The audit of disbursements made abroad by the Military Establishment presented a serious problem, involving the necessity for a prompt audit and the safety of original vouchers. After careful consideration I recommended to the Congress that legislation be enacted authorizing the proper accounting officers of the Treasury to perform their duties away from the seat of government. By the SECRETARY OF THE TREASURY. 35 act approved September 24, 1917, the Secretary of the Treasury is authorized during the war to direct the Comptroller of the Treasury and the Auditor for the War Department to exercise either in person or through others the powers and perform the duties of their offices at any place or places away from the seat of government in the manner that is or may be required at the seat of government. Under this authority a force has been organized and sent to France for the purpose of auditing the accounts of disbursing officers of the Military Establishment abroad. These accounts will be audited in the same manner as accounts are audited in these offices in Washington, but all vouchers will remain in the custody of the assistant comptroller and the assistant auditor in France until after the war is over. T H E FEDERAL F A R M LOAN SYSTEM. The history of the Federal Farm Loan System for the past year has been one of constant and accelerating development. For the first six months after the establishment of the bureau the work of the Farm Loan Board was necessarily confined to the great task of investigation and organization. This work was done with great care, the board always having in mind the fact that a financial system which must for all time serve the financial needs of the farmers of the greatest agricultural nation in the world must be built safely, soundly, and with all possible regard for the permanent welfare of that industry which it is declared in the title of the Federal farm loan act it was the intention of the Congress to develop. In as short a time as was possible the board divided the continental United States, excluding Alaska, into 12 land-bank districts and located the 12 land banks within their boundaries. It is believed that this division will stand the test of time, and that every bank will be able to do an adequate volume of business. In selecting the directors and registrars of the banks the board has been guided by the principle of fitness, and has placed in every bank men who know the farm-loan business in their respective districts, who understand the needs of the farmers, and who know the science of applying to agriculture the stimulus of money. At the time the banks were organized, during the months of February and March, 1917, they found a great volume of accumulated business awaiting their attention. A great many national farmloan associations had been formed, nearly all of which had to be reorganized in conformity with the provisions of the law. The banks. themselves confronted this great task with no experience iri the working of the new law, without forms, without a system, with nothing except a willingness to work and authority to proceed. The foundation stone of any farm-loan system is. appraisement. The banks were obliged to attack this vast mass of accumulated and 36 REPORT ON THE FINANCES. constantly increasing business with a force of appraisers with whom the bank directors were no more acquainted than they were with each other. These appraisers themselves had to be appraised by the banks, to be educated in the system, to^be trained, broken in, and their work checked up. Safety required that these things be done slowly, and such delays have resulted that the patience of borrowers has in many instances been severely tried. I am convinced, however, that the Farm Loan System has been built solidly, soundly, and on broad lines, and that the constructive work of these long months will bless the farmers of the United States through all future generations. The day that the Federal Farm Loan Board established a flat rate of 5 per cent on Federal farm-loan mortgages all over the United States was a great day for the American farmer, for this action not only took from the shoulders of borrowers from the Federal land banks a burden of excessive interest which they had carried too long, but it established a rate which can not be very much exceeded by other lenders. All statistics as to interest rates on farm loans in the United States became obsolete on that day. Interest rates on farm loans are now lower than ever before, except in certain favored regions, at a time when general interest rates show a tendency to advance. No one doubts that this, decrease is a result of the operations of the Federal farm-loan act. The speed with which the system is operating in taking care of loans is constantly accelerating, and it is expected that it will before long overtake the demands upon it. At this time over 1,700 national farm-loan associations hiave been chartered, and the organization movement shows no signs of slackening. This proves that there was an urgent demand for the inauguration of the Federal Farm Loan System, and the progress reported in the report of the bureau to the Speaker of the House of Representatives shows the gratifying extent to which the present system is meeting the demand. The Farm Loan Board, when it came to marketing the Federal farm-loan bonds, faced an unusual financial situation with a new low-rate security of undoubted soundness, but one with which the investing public was not acquainted. Moreover, the situation was such as to render the capital of some of the banks entirely too small for the volume of business. Not only must the bonds be sold, but they must be sold almost on the very day of issue, or the banks are obliged to stop loaning until bond sales can be made. Under these conditions an arrangement was made with a group of bond houses scattered all over the United States to assist in placing the bonds on the market. This arrangement has been perfectly successful. It is clear, however, that if the system is ever to be self-reliant in the marketing of its securities some provision must be made for the absorption of bonds when first issued. The St. Paul bank during "=^ SECRETARY OF THE TREASURY. <> 37 November, which is a month in which many farm mortgages fall due in that district, faced ori November 7, 1917, cash demands for $1,117,000 before November 14, and a total of $2,838,000 for actual disbursements in the month. This obviously can not be done without help by a bank having less than $800,000 in capital. Other land banks are similarly embarrassed by the volume of business, and all of them will be similarly and constantly so affected. The market for Federal farm-loan bonds has been found, but a reservoir of capital should in some way be provided to carry the bonds while in process of marketing. Activities of the Federal Farm Loan Bureau for the year may be briefly classified as follows: First. Division of the Continent of the United States, exclusive of Alaska, into 12 Federal land bank districts, according to their farm-loan needs. This task involved a great deal of research and study, the holding of 53 hearings in 44 States, and the traveling by the board of over 20,000 miles. At those hearings the farmers were given the first chance to be heard, after which the meetings were open to all persons with pertinent matters to lay before the board. Oral presentations of the act by members of the board and others were made to over 30,000 persons, many of these attending the hearings in a representative capacity. Second. Location of the 12 Federal land banks, as follows: First Federal land. bank district, consisting of the States of Maine, New Hampshire, Vermont, Massachusetts, Connecticut, Rhode Island, New York, and New Jersey, with the bank located at Springfield, Mass. Second Federal land bank district, consisting of the States of Pennsylvania, Virginia, West Virginia, and Delaware, with the bank located at Baltimore, Md. Third Federal land bank district, consisting of the States of North Carolina, South Carolina, Georgia, and Florida, with the bank located at Columbia, S. C. Fourth Federal land bank district, consisting of the States of Tennessee Kentucky, Indiana, and Ohio, with the bank located at Louisville, Ky. Fifth Federal land bank district, consisting of the States of Louisiana, Mississippi, and Alabama, with the bank located at New Orleans, La. Sixth Federal land bank district, consisting of the States of Illinois, Missouri, and Arkansas, with the bank located at St. Louis, Mo. Seventh Federal land bank district, consisting of the States of North Dakota, Minnesota, Wisconsin, and Michigan, with the bank located at St. Paul, Minn. Eighth Federar land bank district, consisting of the States of South Dakota, Wyoming, Nebraska, and Iowa, with the bank located at Omaha, Nebr. Ninth Federal land bank district, consisting of the States of Colorado, New Mexico, Kansas, and Oklahoma, with the bank located at Wichita, Kans. Tenth Federal land bank district, consisting of the State of-Texas, with the bank located at Houston, Tex. 38 o REPORT ON THE FINANCES. Eleventh Federal land bank district, consisting of the States of California, Nevada, Utah, and Arizona, with the bank located at Berkeley, Cal. Twelfth Federal land bank district, consisting of the States of Washington, Montana, Oregon, and Idaho, with the bank located at Spokane, Wash. Third. Disposal of the capital stock of the 12 Federal land banks. I n accordance with the terms of the law the Government subscribed for all stock not taken by private individuals. Out of the $750,000 of the capital stock of each bank the United States subscribed for the following amounts: Springfield, $739,925; Baltimore, $741,485; Columbia, $750,000; Louisville, $742,265; New Orleans, $745,730; St. Louis, $742,075; St. Paul, $744,740; Omaha, $710,670; Wichita, $744,165; Houston, $741,235; Berkeley, $744,010; Spokane, $744,970. Fourth. Appointment of directors and registrars of the 12 Federal land banks. Fifth. Appointment of about 220 Federal farm-loan appraisers. Sixth. The fixing of standards of safety as to land titles. Seventh. The establishment of a uniform interest rate of 5 per cent throughout the United States. Eighth. The adoption of a uniform system of records and accounting for the 12 Federal land banks and for the national farm loan associations. ^ Ninth. Securing legislation in many States permitting the investment of trust funds, savings funds, and similar funds in Federal farm loan, bonds. Tenth. Creation of a Division of Charters and Reports for national farm loan associations and Federal land banks. Eleventh. Creation of a Bond Division in the bureau for the. handling of the securities of the system. Twelfth. Establishment of a Division of Examination of Securities for the purpose of eliminating from the schedules of mortgages offered as security for bonds any mortgages of doubtful safety. Thirteenth. The establishment of relations with leading bond houses for the purpose of insuring a market for Federal farm loan bonds and their proper distribution throughout the United States during the first six months of lending. Fourteenth. The creation of a Division of Statistics and Economics for the purpose of accumulating data with reference to the activities of the system itself and with the farm loan business generally. Fifteenth. The carrying out of a continuous campaign of education in an attempt to make the provisions of the Federal farm loan act a matter of common knowledge among farmers. Except as to the iriatters of organization these activities are permanent activities and must have a growth commensurate with the growth of the system. SECRETARY OF THE TREASURY. 39 The Federal farm loan act reposes in the Federal F a r m Loan Board a broad discretion on many important matters. I t has exercised this discretion in making a series of rulings as to the application of the law to questions covering the eligibility of borrowers, the objects for which loans may be made, standards of appraisal, methods of organizing joint-stock land banks, the qualifications for officers iQ joint-stock land banks, Federal land banks, and appraisers, the territorial rights and limitations of national farm loan associations, and many other questions of a most important agricultural and social character. These are times of great national and international stress, and things of tremendous importance are done every day; but it is doubtful if any body of men connected with the Government has been called upon to decide more questions of essentially permanent import tance to the Nation than the questions passed upon by the Federal F a r m Loan Board in the first 15 months of its existence. I t has •already established a vast system of business enterprise on a sound basis, and its work is only begun. The passage of the Federal farm loan act was a great piece of constructive legislation, and it has been a constant source of surprise to the board that the Congress in drawing this act foresaw and provided for so many.of the unexpected as well as obvious exigencies of the development of the system. I t would be strange, however, if some amendments to the act were not desirable. The board is making a study of the question of titles, and may present to the Congress some measure for the purpose of relieving the farmers of such expenses of examination and determination of titles as are shown to be needless. I t may also present to the Congress some measure for the expediting of the marketing of the bonds, to the need of which I have already alluded. I am strongly convinced, as a result of the operations of the land banks thus far, that the limit of $10,000 imposed by law upon loans to any one individual should be increased to $25,000. There are a few other amendments to the act which I am also convinced should be enacted by the Congress to enlarge the usefulness and to facilitate the more effective administration of the Federal F a r m Loan System. These will be dealt with fully in the report of the F a r m Loan Board, which will be submitted to the Congress at the appropriate time. INTERNATIONAL H I G H COMMISSION. During the past year the office of the secretary general of the International High Commission has brought the more important subjects upon its program to an advanced stage and is now in a position to complete its activities in several fields. I t will be recalled that the authorization and maintenance of this office were provided for in an 40 REPORT ON T H E FINANCES. act approved February 7, 1916, entitled "An act to provide for the maintenance of the United States section of the International High Commission." A report of the section's work for the calendar year 1916 is contained in House Document 1788, Sixty-fourth Congress, second session; a translation and digest of the official proceedings of the first general meeting of the commission, Buenos Aires, April 3 to 12, 1916, has been prepared by the office and will be found in Senate Document 739, Sixty-fourth Congress, second session. This office carries on its work in a double capacity. I t is, first, the office of the United States section of the International High Coinmission, under the chairmanship of the Secretary of the Treasury, established and maintained in accordance with the act of February 7,1916, and as a result of the_First P a n American Financial Conference held in Washington in May, 1915. I n this capacity the office attends more particularly to the problems which concern the United States alone and attempts to carry into effect, so far as the United States is concerned, the decisions of the central.executive council. But even more important than its service to the United States section, the office of the secretary general has to perform the particular services for all the sections of the International High Commission. At the first general meeting of the commission at Buenos Aires it was decided to establish a central executive council, to consist of the executive officers of the section representing the country whose capital should be chosen as the headquarters of the commission. For the interval between the first and second meetings of the commission Washington was selected as the headquarters for the work, and consequently the officers of the United States section constitute the directing and coordinating body of the commission. The council consists of the Secretairy of the Treasury, president; John Bassett Moore, vice president; L. S. Rowe, secretary general. The work of the council consists in assembling and analyzing material, preparing and distributing texts, carrying on correspondence with the several sections, and supervising the exchange of views between the sections. I n this way it will be seen that the office of the secretary general has imposed upon, it the privilege and responsibility of carrying into effect the significant program adopted by the commission at Buenos Aires, and, thus, indirectly is charged with the duty of carrying into effect the resolutions of the First P a n American Financial Conference held at Washington. During the last year the council has concentrated its attention upon the following topics: (1) An international gold clearance fund treaty draft. (2) An international treaty draft concerning commercial travelers and their samples. . ^ (3) Negotiable-instruments legislation, including bills of exchange, checks, bills of lading, and warehouse receipts. SECRETARY OF T H E TREASURY. 41 (4) The procedure for the arbitration of commercial disputes. (5) The further ratification of the trade-mark, copyright, and patent conventions of 1910, especially with a view to the early inauguration of the trade-mark registration bureaus at Habana and Rio de Janeiro, in accordance with the trade-mark convention. I n addition, the council has a number pf other topics contained in the program of the meeting at Buenos Aires, upon which it proposes to work as soon as decisive progress with reference to the foregoing subjects can be recorded. Foremost among these matters, to be taken up a little later and already under technical study, is the group of customs topics known as classification of merchandise for statistical purposes, customs regulations, consular documentation, and port charges. Uniformity, so far as reasonably and practically attainable, simplification as a leading principle, and more economical administration are the criteria which guide the council in its work with these complicated fiscal questions. I n regard to the topics now under discussion between the council and the several sections, it should be especially noted that the two treaty drafts proposed for consideration have met with a most encouraging response, and it is to be hoped that in the course of the present fiscal year these treaties may be turned over to the diplomatic representatives of the American Republics for negotiation through the usual channels. The first of these treaties will go far to stabilize the exchange markets of the American Republics and will contribute extensively to the use of dollar exchange; it may be confidently expected to have as one of its consequences the practical use of a uniform American moiiey of account. The second of these treaties will do much to simplify and standardize the treatment of commercial travelers and their samples and will assure these advance agents of comriiercial expansion uriiform treatment in each of the countries which they have occasion to visit. I n the field of negotiable instruments the chief task confronting the council, and consequently the United States section, was the preparation of adequate and authoritative texts of all the model legislation proposed for consideration to the Latin-American sections. The employment of competent translators and juristic experts was made necessary, and it is now possible to report the existence of Spanish translations, with adequate commentary, of the negotiable instruments act of the United States; the English bills of exchange act. The Hague uniform rules on bills of exchange, and other bills of exchange legislation; the United States Federal bills of lading act and uniform State bills of lading act and the uniform State warehouse receipts act. Portuguese translations of several of these documents also have been circulated. Additions to this series of texts are contemplated during the present calendar year, and the material thus 42 REPORT ON THE FINANCES. submitted for study to the Latin-American jurists, who form so distinguished a part of the commission, will have then been completed. No intelligent exchange of views could have been brought about without placing in the hands of every member of the commission printed texts of the laws intended to be discussed in every case in the language of the country addressed. The one exception to this rule has been material presented to Haiti, the means of the commission not permitting the employment of other than Spanish and Portuguese translators. With regard to the arbitration of commercial disputes, the council has endeavored vigorously to promote t h e further adoption by chambers of commerce in Latin America of the agreement between the Bolsa de Comercio of Buenos Aires and the Chamber of Commerce of the United States. I t is to be hoped that this direct, inexpensive, and expeditious method of settling commercial disputes will be approved and given effect iri all the American Republics. The ratification of the technical conventions on patents, trademarks, and copyrights adopted at the fourth international conference of American States in Buenos Aires, in 1910, constitutes, one of the most important tasks confronting the council. The ratification by Costa Rica of the trade-mark convention was noted in the annual report of last year, and a sustained effort has been made ever since to have set on foot the registration bureau for the northern group of Republics, to be established at Habana in accordance with article 16 of the trade-mark convention. Proposals have been made for the ratification of the copyright convention, and particularly for a further development of the apparatus for the protection of literary property in the form of registration of moving-picture scenarios and music for mechanical instruments. The work of the council in the matters above recited, as well as in other subjects to which reference has not been made in the foregoing, can be examined in. the reports of the United States section previously mentioned and in ihe printed collection of letters exchanged between the council and the ministers of finance who presided over the respective sections. The Sixty-fourth Congress appropriated $40,000 at its first session for the siipport of the United States section of the commission. Approximately $9,000 remain unexpended. The expenses of the delegation to the first general meeting of the commission-in Buenos Aires amounted to, approximately, $14,000. Tlie printing expenses of the office have been considerable, because of the large amourit of work in Spanish and Portuguese. Needless to say, all the printing of this" office is done at the Government Printing Office. I n order to assure the completion of the important technical and general problems now so satisfactorily on the road to solution, it is recommended that an appropriation by the Congress in the sum of $25,000 be made. SECEETARY OF THE TREASURY. 43 During the past year Judge E. H. Gary and Archibald Kains, Esq., have resigned from the United States section, and Peter W. Goebel, of Kansas City, Kans., formerly president of the American Bankers' Association, and Prof. John H. Wigmore, dean of the Northwestern University Law School and member, of many associations for the advancement of juristic science, have been appointed by the President. The United States section is fortunate in its closer association through these gentlemen with important financial and legal organizations of national extent. INTERNAL REVENUE. The immensity of the task imposed upon the Internal Revenue Service by the war-revenue act of October 3, 1917, is best illustrated by a comparison of the total collections for the fiscal year ending June 30, 1917, which amounted to $809,366,207, with the sum of $3,400,000,000, the estimated revenue to be collected during the fiscal year 1918. For the year 1917, 780,000 income-tax returns were made to the bureau. I n 1918, it is estimated that there will be more than 6,000,000 income-tax returns and almost as many more of other kinds of returns under the? various provisions of the war-revenue act. The problems of administering the new act are most difficult and are receiving earnest consideration. I t is essential that each taxpayer shall be able to obtain accurate information as to how to comNpute the amount of tax due by him and the time, place, and method provided for its payment. This is indispensable because the law puts upon the taxpayer the burden of making the returns upon which his tax is measured. I t is the duty of the department to collect from every citizen the full amount which Congress has determined to be his just contribution to the Nation's need with the least possible inconvenience to the citizen and to business. To attain these ends is a task of organization and administration. A new alignment of the forces of the Internal Revenue Service has been projected, additional divisions have been created, responsibility and authority rearranged and defined, and preparation made for the necessarily large increase of personnel. The new law presents many problems of construction and interpretation that are fraught with grave consequences to the public revenue and to business. With an earnest desire to solve these problems in the light of the most constructive business and legal knowledge and experience available, the Secretary has accepted the tender of services from representative meri in the field of business and law. These men will assist the Commissioner of Internal Revenue to a thorough and intimate understanding of business conditions as affected by the new law. 44 REPORT ON THE FINANCES. Steps have been taken to bring the tax-gathering machinery of the Government into closer relationship with the taxpaying public. An office known as the Division of Taxpayers' Cooperation has been created for the purpose of keeping the bureau constantly in touch with the public. Under the direction of this office a nation-wide organization of cooperation is being developed. By this means it is purposed to convey essential information in the most direct manner to each taxpayer. Through the cooperative effort of these agencies and such further expansion of the machinery already at hand as may be necessary a uniform and universal enforcement of the law is assured. ^ CUSTOMS. Despite the fact that approximately $12,500,000 were collected as duties and tonnage taxes during the past fiscal year in excess of the amount collected in the preceding fiscal year, the work incidental to collecting the customs revenue was performed with a decrease in expenses of about $40,000. And this decrease in operating costs has beeri made also notwithstanding the manifold extra duties imposed upon the Customs Service by the war. For instance, guards had to be placed on board the German and Austrian ships when they were taken into custody in April, 1917, in order to protect them from further injury and deterioration; customs officers are charged with preventing the shipment of unlicensed cargoes;. passports of returning American citizens are taken up or canceled by customs officers, and these officers examine all passports of persons going abroad; examiners, by reason of their technical knowledge, render great service to the W a r Department in examining articles purchased for that department to determine whether they meet with the contract specifications. This decrease in expenses does not wholly show the saving made to the Government, for, follbwing the practice of the past few years, the installation of improved methods arid systems has been continued. The original cost of these improvements was, of course, paid for from the appropriation for the past fiscal year and necessarily would not permit the true saving to be shown. Plowever, later years will show the benefits of lower operating costs. The past year has found a great demand for space in Federal buildings, due to the many additional officers who must be accommodated. This, together with" the desire to reorganize and redistribute the working forces of the Customs Service to enable the public to transact business, so far as possible, on the main floor of a building, and also to enable each office to handle its work with the least effort and delay, has caused a reorganization of the forces. SECRETARY OF THE TREASURY. 45 principally at Boston and New York. By this readjustment of space and employees six floors of the customhouse at Boston have been turned over to other Government agencies, and now 90 per cent of the public may transact its customs business on the main floor. This saving to the Government and the public is obvious, but, of course, can not be well stated in dollars and cents. A like readjustment is being made at the customhouse at New York, arid already considerable floor space has been placed at the disposal of other branches of the service, but a complete reorganization is delayed pending an appropriation of $35,000 which the Congress has been reqiiested to make tb coniplete the various changes. Upon the completion of these changes the force will be so placed as to permit the transaction of business with fewer employees, more accuracy, and greater convenience to the public. It is the intention of the department to apply the same businesslike organization to all other ports which are not organized along these lines. While it has been the endeavor to reduce operating expenses by simpler and more businesslike methods, with the result that the number of employees has been decreased from 6,881 in 1916 to 6,727 in 1917, the policy has been followed of increasing the salaries of efficient employees. Under this head are two classes in particular, first, those employees possessing unusual knowledge or training, and, second, those employees who receive salaries relatively smaller than those paid for similar duties outside of the Government service. By reason of the savings which have been made it has been possible to make a number of deserved promotions in both classes. These promotions, while deserved, have served the greater purpose of causing renewed effort to win recognition not only by those promoted but by the force in general. In other words, a healthy rivalry for better service has been created. Since 1913, when the cost of conducting the service, exclusive of enforcing navigation laws and compiling statistics for the Department of Commerce and Labor, was $10,285,613.95, a reduction in annual expenses of $1,245,600.78 has been made. As this saving was due in great measure to cooperation on the part of officers and employees of the service, it is suggested that the annual appropriation be not further reduced, but that any subsequent saving be diverted in part to paying higher salaries. This is necessary in order to retain the services of technically trained men who are frequently offered higher salaries outside the service. This opportunity is taken to invite attention to the fact that the Customs Service is operating under many laws which were passed in the eighteenth century. It was suggested in the reports of last year and the previous year that certain of these laws be repealed as 46 REPORT ON THE FINANCES. obsolete and that others be amended. I t is now suggested that a complete revision be riiade of the customs administrative laws. This is essential to further the purpose of making the service a real businesslike organization. As an illustration of the inadequacy of these old laws, which may have served a useful purpose Avhen they were passed, but which now tend to block efficient administration, may be mentioned those laws which require three and sometimes four independent officers at some ports. Obviously, no matter how harmoniously these officers may work together, maximum efficiency can not be obtained until one officer is made supreme and the others subordinate. ^ During the past year the efficiency board of the service has visited a number of districts, with the view of securing the best practices at each and installing them at the others. This practice, of course, tends to not only improve the service, but also makes the practice at all ports uniform. Too much credit can not be giveii the members of this board for the increased efficiency which has been attained. The C. V. R. (classification and valuation reports) bureau, which ^ was established seyeral years ago for the purpose of standardizing the manner of classifying and placing the same market value on similar importations, has been brought to a high plane of efficiency. As a result of the labors of this bureau uniformity in the classification and valuation of merchandise at all ports has been attained. PUBLIC HEALTH. As soon as the entry of the Unite'd States into the war became imminent the Surgeon General of the Public Health Service submitted a plan for the sanitation of the zones in immediate contiguity to those occupied by the military forces. This is rendered necessary not only for the prevention of the interstate,spread of disease but also for the protection of the health of the military forces against the disease of the civilian community. I n addition it was realized that by the concentration of large bodies of armed men an additional burden would be thrown upon the civilian sanitary institutions. Since this burden was created by an act of the General Government, it was but logical that the General Government should assist the State and local health organizations in meeting the uriusual situation. When the War Department made available the list of places which would be occupied by military forces for the training of troops sanitary survey parties were ordered by the Surgeon General of the Public Health Service to make inspections of surrounding zones for the purposee of determining t he existing sanitary situations, the sanitary problems which would arise upon the arrival of the troops, and SECRETARY OF THE TREASURY. 47 the State and local health machinery and funds which would be available for the purpose of controlling the spread of disease. Upon the request of the State and local health authorities, the Public Health Service assumed administrative control of the sanitation of the extra cantonment areas. Usually this was a zone about 10 miles in diameter, including not only rural districts, but municipalities and smaller centers of population as well. The State, county, and municipality delegated to the Public Health Service their police power for the better accomplishment of the work in hand. I n those instances in which the local health authorities were willing and able to per« form these functions a copy of the report of the survey was filed with them for their assistance. The Public Health Service has assumed, administrative control in the areas surrounding the following places: Newport News, Va.; Camp Lee, Va.; Camp Jackson, S. C.; Camp Gordon, Ga.; Camp Pike, Ark.; Camp Sherman, Ohio; Camp Zachary Taylor, Ky.; Camp Dodge, Iowa; Camp Funston, Kkns.; Camp Lewis, Wash.; Camp Greene, N. C.; Camp Wadsworth, S. C.; Camp McClellan, Ala.; Camp Sevier, S. C.; Camp Wheeler, Ga.; Camp Sheridan, Ala.; Camp Shelby, Miss.;oCaiiip MacArthur, Tex.; Camp Bowie, Tex.; Camp Beauregard, La.; Camp Logan, Tex. I n addition sanitary operations are being carried on at Fort Leavenworth, Kans., and Fort Oglethorpe, Ga. The aim at each of these places is to establish an adequate system of health control. This includes special measures for the collection of morbidity and mortality data; intense rural sanitation operations ; the installation of sanitary devices for excrement and garbage disposal; the maintenance of the purity of water, milk, and food supplies; the medical inspection of schools; the cbnduct of special operations for the prevention of the spread of venereal disease; recognition, isolation, disinfection, and other necessary measures to prevent the spread of communicable disease; in fact, the employment of every means for the maintenance of the health of the civilian population. I n this way the unusual sanitary situation caused by the sudden infiux of a large population has been met. Malaria, typhoid fever, smallpox, and many other diseases which threaten the civilian and the military population alike have been prevented. The spread of disease to extra State points has been controlled, the efficiency of communities upon which military forces must rely for food has been increased, and local health organizations built up which will continue to functionate long after the Federal forces have been withdrawn. This is without doubt the largest health demonstration which our country has ever witnessed. That good results will follow in its train can not be doubted. 48 REPORT ON THE FINANCES. PUBLIC BUILDINGS. During the period covered by this report considerable difficulty has been experienced in placing public buildings under contract and in getting buildiugs already under contract completed with ordinary expedition. At the beginning of the fiscal year 1917 the market for material and labor was already abnormally high, and throughout the entire period covered by this report there was a constant upward tendency in the market. Freight embargoes in various sections and car shortages were of annoying frequency. Congestion of orders at points of production of certain classes of materials was encountered, and contractors reported great difficulty in placing orders which involved definite dates for deliveries. Notwithstanding these and other conditions, the progress made by the Supervising Architect's Office in its building program was very satisfactory. The output of that office for the period covered by this report was: Buildings completed Extensions and remodeling projects completed < 63 5 68 o Buildings placed under contract Extension and remodeling projects placed under contract ; 76 7 83 The foregoing shows that buildings were completed at the average rate of one every five and one-third calendar days, approximately, and that buildings were placed under contract at the average rate, approximately, of one every four and one-third days. At the time the omnibus public-building act of March 4, 1913, became a law the accumulated authorizations of buildings under previous acts had not been disposed of, and months elapsed before they could be given attention. Meanwhile, in a number of cases, changed local conditions made further legislative action necessary, while the market on which limits of cost had been based had become abnormally high. Except for a rigid adherence to the classification of public buildings promulgated under date of June 29, 1915, and the practice of a degree of economy in designing buildings not previously observed in general, it would not have been possible to meet the rising market and get under contract many of the buildings on which operations were begun. Stam^dardization. I n the report for the fiscal year ended June 30, 1916, reference was made to the fact that a type of building for a post office had been designed which, with modifications to meet local conditions, could be utilized in over 30 communities in which the general conditions and space requirements were substantially similar. SECRETARY OF T H E TREASURY. 49 During the period covered by this report proposals were solicited for the construction of the buildings referred to in the preceding paragraph, with the result that 27 were placed .under contract. Other types have also been designed to provide for different conditions and space requirements, and are being utilized likewise, from time to time, when appropriate. The feasibility has thus been demonstrated, where conditions are similar, of adopting standardized plans within certain limitations. It does not follow, however, because a particular type of building may meet the requirements of a number of communities that the cost of constructing such type of building will be the same in each of those communities. Costs of construction vary considerably according to location, and are affected by many considerations, even in times when there is a normal material and labor market. The range in the cost of construction of the 27 buildings above referred to was from $38,000 to $57,00Q. This variation in cost was due, in part, to abnormal market conditions and in part to the widely separated sections in which the buildings were constructed, and affords no criterion by which to determine comparative costs of construction under normal conditions. Interior Depalrtment building. The Interior Department office building on the square bounded by Eighteenth, Nineteenth, F, and G Streets was so nearly completed during the year as to permit of its occupancy. This building has a floor area of approximately 18 acres, and was constructed with creditable rapidity. New Patent Office huilding. In the report for the fiscal year ended June 30, 1916, it was stated that no action had been taken to prepare plans authorized by the act of March 4, 1913, for a new Patent Office building, the amount appropriated for such work being insufficient. The status of this matter is unchanged. The department will proceed with the preparation of these plans as soon as the riecessary appropriation of $10,000 is provided. National archives bwilding. No change has taken place with respect to the status of the proposed National archives building since the date of the last report. Whenever the necessary additional legislation is enacted, and the plans submitted to the commission created by law are approved, this department will proceed with this very necessary project. 13034°—FI 1917 4 50 REPORT ON THE FINANCES. Additional legislation. I desire to invite especial attention to a recommendation contained in my report for the fiscal year ended June 30, 1915, as follows: Much delay and embarrassment are caused by indefinite and incomplete legislation with reference to the character of buildings authorized by Congress. It frequently occurs that a building will be described merely as a "post office" in localities where there are other Federal departments requiring office space. Under the present statutes and decisions of the Attorney General, the Secretary of the Treasury has no authority to provide space in any new building for branches other than the Postal Service where the legislation directs the construction of a post office only. This situation frequently leads to the erection of buildings which might at the outset and within the limit of cost be constructed so as to provide ample room for all Government offices in that locality, but which, because of the phraseology of the legislation, are constructed merely for a post office and soon have to be remodeled and enlarged at considerable unnecessary cost to the Government. I strongly urge that the Secretary of the Treasury be given authority in such cases and within the limit of cost to construct buildings of a size and character' to accommodate all Federal departments which, upon careful investigation, may be found to require space in the town where the building is to be erected. ^ . COAST GUARD. Coincident with the declaration by the President, April 6, 1917, that a state of war existed with the German Empire, the Coast Guard passed from the jurisdiction of this department tb the Navy Department, to be operated thereunder as a part of the Naval Establishment in the national defense. This transfer was provided for in terms by the act of January 28,1915, which created the Coast Guard and made it a part of the military forces of the United States. The expeditious manner in which the Coast Guard, with its force of trained officers arid men and its various units heretofore employed for humanitarian purposes, was merged into the activities of the Navy, unquestionably proves the wisdom of Congress in the enactment of this legislation. I am confident that this humanitarian branch of the Government will prove its effectiveness in war as it has proved its great usefulness in. peace. Ice patrol to promote safety at sea. Preparations were begun to resume the international ice-observation and ice-patrol service in the north Atlantic in accordance with the terms of the international convention for safety at sea, and the Seneca was fitted out for this duty. Before the time set for her departure, however, the international situation was becoming acute and her orders were rescinded and all ..further preparations for th(i patrol indefinitely postponed. SECRETARY OF THE TREASURY. 51 New ships. I t is gratifying to note that the Congress has made provision for the additional vessels for the Coast Guard which were recommended in my last annual report. Although designs were prepared for these vessels and bids for their construction invited, none was received within the limits of authorized cost. I t is expected that satisfactory arrangements for their construction will be made at a later date when the shipyards of the country are not so congested with work. Coastal communication.Rapid progress has been made in improving and extending the coastal-communication service of the Coast Guard, as recommended by the interdepartmental board created by Executive order to consider, the subject. This is a most important governmental activity both for the national defense and for the saving of life and property along our coasts. Aviation. The .development of aviation facilities for the Coast Guard to be used both for humanitarian purposes and the national defense has been delayed because funds have not been provided for the physical equipment. Progress is being made in the training of the authorized personnel, and it is hoped that after the war the necessary funds . will be provided for stations and equipment. Patrol of the St. Marys River, Mich. Attention is invited to the report of the captain commandant setting forth the urgent need of a site on the water front at Sault Ste. Marie, Mich., for use as a base for the operations of the vessels of the Coast Guard engaged in regulating the enormous water-borne traffic that passes through the system of locks and waterways of the St. Marys River. This system is about 60 miles Ibng and includes approximately 45 miles of dredged channels. There are three locks on the American side, one on the Canadian side at Sault Ste. Marie, and the fourth American lock is under construction. This patrol is maintained to prevent congestion, reduce danger of collision and bther marine casualty, and protect the dredged channels from blockades and unnecessary erosion, and it is highly essential that all necessary facilities be provided for. maintaining an efficient patrol. I fully concur in the commandant's request for the moderate sum required and earnestly recommend that legislation be enacted at the forthcoming session which will permit a suitable water-front site to be purchased and properly equipped for the use of the Coa^t Guard. 52 REPORT ON THE FINANCES. Clerical force. The clerical force authorized for the administrative office of the Coast Guard has been barely sufficient at any time in recent years to transact the business with due dispatch. At the present time the force is wholly inadequate. I earnestly concur iri the recommendation of the captain commandant that additional clerical assistance be provided in the ensuing appropriations. RETIREMENT OF CIVIL-SERVICE EMPLOYEES. I n my last annual report I submitted recommendation for the enactment of an equitable retirement law which would enable the departments of the Government to retire their aged civil-service employees. I desire to renew that recommendation. GOVERNMENT COAL YARD. During the early part of the present calendar year I addressed a letter to the Speaker of the House of Representatives, inviting attention to the situation in the District of Columbia concerning the purchase and distribution of coal for the use of the executive -departments and independent establishments of the Government. I n that connection I set forth the fact that the Government does not own or control a coal yard in the District of Columbia; that it is dependent upon contractors for furnishing coal to all departments and branches of the Government, and the difficulties the Governmenthad experienced in obtaining an adequate supply of coal for its purposes. I stated that the establishment of a coal yard with ample storage facilities would enable the Secretary of the Treasury, through the General Supply Committee, to purchase coal at the time of the year when it is cheapest. Since that time the Congress has- passed a law placing within the hands of the President the establishment of prices of fuel. This legislation, wise as it is, does not meet our needs so far as storing and delivering coal is concerned. I am still of the opinion that the building and operating of a Government coal yard is a good business proposition, and believe that it will result in a large annual saving. I present this for the serious consideration of the Congress, with the request that the matter receive its favorable consideration. GENERAL SUPPLY COMMITTEE. The price of all articles and supplies used by the Government has materially increased. Notwithstanding this fact, the contracts which I have negotiated through the medium of the General Supply Com- SECRETARY OF T H E TREASURY. 53 mittee show substantial decreases over the prices obtaining in the wholesale and retail markets. The demands of the Government have been extremely heavy, and, in many instances, the contractors have been unable to meet our needs because the requirements have been much more than the estimated quantities on which the contractors were invited to bid. This has been particularly true in all kinds of office equipment, such as desks, typewriters, chairs, etc. As a consequence the departments and Government establishments have been forced to make frequent purchases in the open market at the best prices obtainable. This is a situation which could not be foreseen or avoided, because of the abnormal conditions incident to the war. Purchases made under contracts for the fiscal year 1917, so far as tabulated, aggregate $2,972,539.92. The entire purchases for the year will exceed $3,000,000. The members of the General Supply ^ Committee have rendered commendable service, both in the negotiation of contracts and in the assistance they have given me in the enforcement of contracts. I am more than ever persuaded that the scope of the General Supply Committee should be broadened, so that it will not only assist the Secretary of the Treasury in making contracts, but its duties should be enlarged so as to embrace supervision of the contracting, purchasing, and distribution of all supplies and equipment required for Government use in the District of Columbia. In order to accomplish this it wiir be necessary to establish and maintain a warehouse along the same lines as those maintained by the larger industrial concerns of the country. I recommend early action looking toward the necessary legislation to accomplish this object. PANAMA CANAL. The general fund of the Treasury was charged during the fiscal year 1917 with $19,262,798.32 for Panama Canal account. Of this sum $5,949,175.26 was for construction work, and the difference, $13,313,623.06, for fortifications and miscellaneous accounts. The total expended for the canal from the general fund to June 30, 1917, reimbursable from sale of bonds not yet sold, was $236,560,375.43, and by the act of September 24, 1917, Congress authorized an issue of $225,000,000 in lieu of such unissued bonds, postal-savings bonds having been issued in lieu of Panama Canal bonds in'the amount of $10,758,560. CONTINGENT FUND. I request that the Congress appropriate for the fiscal year 1919 the sum of $15,000 as a contingent fund for the Secretary of the Treasury. 54 REPORT ON THE FINANCES. CONDITION OF THE TREASURY. The following is a summary of the estimated condition bf the Treasury for the fiscal years 1918 and 1919: Fiscal year 1918. Balance in the Treasury June 30,1917, free of current obligations. $1,066, 983, 361. 07 Estimated receipts: Ordinary-. .• $3, 886, 800, 000. 00 Panama Canal tolls, etc 7,000,000.00 Public debt (including $663,200,000 estimated receipts from war savings certificates and $3,666,-233,850 from bonds already aruthorized but not yet issued).. 8, 686, 932, 800. 00 Total estimated receipts 12, 580, 732, 800. 00 13, 647, 716,161. 07 Estimated disbursements Ordinary 112,316,295,223.00 Special (purchase of obligations of foreign governments) 2 6,115,000,000.00 PanamaCanal ,. 23,593,000.00 Publicdebt :... 321,031,732.00 Total estimated disbursements 18, 775, 919, 955. 00 Estimated deficit in general fund. June 30, 1918, under existing laws 5,128,203,793.93 From the above figures, which are based upon the Treasury Department's estimates of receipts under existing laws and the estimates of the various departments of the Government of their expenditures for the fiscal year ending June 30, 1918, it is estimated that, allowing for a balance in the general fund of about $500,000,000, it wiU be necessary for the Congress to authorize additional funds for the Treasury amounting to approximately $5,640,000,000. If these funds should be raised by bond issues, the following represents the estimated amount of bonds to be issued during the remainder of the current fiscalyear and the estimated receipts from war-savings certificates: Bonds under the act of Sept. 24,1917 (exclusive of $63,945,460 for the redemption of the loan of 1908-1918) $3,666,233, 850 War savings certificates (estimated) 663,200,000 Additional bonds that may be authorized, including the cost of issue 5, 640, 000,000 Total 9, 969,433, 850 1 These figures do not include the cost of issuing any loans that may hereafter be authorized. 2 $885,000,000 was purchased in 1917. SECRETARY OF THE TREASURY. . 55 . Fiscal year 1919. Estimated receipts: Ordinary $4,090,015,000 Panama Canal, tolls, etc 7, 700,000 Public debt (including $1,009,200,000 estimated receipts from war savings certificates and $63,945,460 bonds authorized but yet to be issued) 1,078, 345,460 Total estimated receipts Estimated disbursements: Ordinary Panama Canal Public debt 5,176,060,460. . : ^$12,701,838,980 23,000,000 79,195,460 Total estimated disbursements. Estimated excess of disbursements over receipts,fiscalyear 1919.. .12, 804,034,440 -7, 627, 973, 980 If loans to foreign governments making common cause with the United States in the war against Germany are to be continued during the fiscal year 1919 at the rate at which such loans are being made at the present time, of approximately $500,000,000 per month, the excess of disbursements over receipts would be further increased by $6,000,000,000. As the above estimated disbursements for 1919 do not include the interest charge bn any additional loans that may be authorized by the Congress for either the fiscal year 1918 or the fiscal year 1919, or the cost of such additional bond issues, it should be pointed out that if the deficit is to be met by additional bond issues the foUowing is the estimated ariaount necessary in addition to the estimated receipts from war saviags certificates and $63,945,460 from bonds to redeem the loan of 1908-18: Estimated excess of disbursements over receipts, fiscal year 1919.... $7, 627,973,980 Loans to foreign governments. 6,000,000,000 Estimated cost of bond issues that may be authorized for 1919 28,000,000 Estimated interest on bonds that may be authorized for 1918 and 1919, exclusive of interest on loans negotiated to purchase obligations of foreign governments „ 385,000,000 Estimated total : ^4,040, 973, 980 The estimates of disbursements are not made by the Secretary of the Treasury, but by the various departments concerned. The figures presented in this report represent the latest information I have received from each of the departments. It is difficult for the depart^ ments in normal times to forecast expenditures with accuracy, and this difficulty is greatly accentuated by the conditions of war. While these figures represent the situation as it appears to-day, it should be borne in mind that the exigencies of the future may cause changes, particularly with regard to the estimates for the War and Navy Departments. 1 These figures do not include the cost of issuing any loans that may be hereafter authorized or of .the interest charge on such issues. 56 ' HEPORT ON THE FINANCES. ESTIMATED DISBURSEMENTS FOR WAR PURPOSES. Of the total estimated ordinary expenditures for the fiscal year ending Jmie 30, 1918, amounting to $12,316,295,223, it is estimated t h a t $11,527,709,023 will be for war purposes. This is, of course, exclusive of loans to foreign governments. Of the $12,701,838,980 estimated ordinary expenditures for the fiscal year ending June 30, 1919, it is estimated t h a t $11,605,889,500 will be for war purposeSo FINANCES. The following statements showing receipts, disbursements, estimates, and the condition of the Treasury are submitted: R E C E I P T S AND DISBURSEMENTS. Fiscalyear 1917. The receipts and disbursements of the Government during the fiscal year ended June 30, 1917, were as foUows: (See details on pp. 63 to 70.) GENERAL FUND. Receipts into the general fund, including various trust-fund receipts, but excluding postal revenues: Customs Internal revenue— Ordinary. , $354, 387,425. 89 Emergency revenue 95,297, 553. 88 Corporation income tax 179, 572,887. 86 Individual income tax 180,108,340.10 809,366,207.73 1,892,893. 23 80,952,632.09 Sales of public lands Miscellaneous Total ordinary receipts Disbursements from the general fund for current expenses and capital outlays, including various trust-fund disbursements, but excluding postal service paid from postal reve-* nues and Panama Canal disbursements: For civil establishment— Legislative establishment Executive proper State Department..... Treasury Department proper Public buildings, construction and sites War Department proper Department of Justice.. $225, 962, 393. 38 1,118,174,126.43 15,174,101.43 1,387,797.91 6,130,081.82 72, 785,185.29 12,116,721.40 2, 698,441.16 10,576,309.48 57 SECBETAEY OP THE TEEASUKY. Disbursements, etc.—Continued. For civil establishment—Continued. Post Office Department proper Navy Department proper Interior Department proper Department of Agriculture Department of Commerce Department of Labor. United States Shipping Board Other independent offices District of Columbia.' $1,920, 717.41 981,649.66 29, 249, 699.03 29, 587,148. 95 11, 700,529.04 3, 847, 305.10 14, 958,468. 98 7, 731, 898.23 13, 803,193. 93 $234, 649, 248.82 For War Department— For Military Establishment, $401,418,331.54, as follows: Support of the Army, $359,527,787.10» Military Academy, $1,094,300.36, National Guard, $11,014,027.74; fortifications, $15,582,630.11; arsenals, $2,159,996.64, civilian military training camps, $4,040,302.25; registration and selection for military service, $473,500; military posts and miscellaneous, $7,525,789.34 For rivers and harbors For war miscellaneous, civil, including national homes, $5,021,525.98; soldiers' deposit fund, $774,457.04; cemeteries, parks, claims, etc., $949,312.94 401, 418, 331. 54 30,487,559. 82 8,370, 989. 01 440, 276, 880. 37 For Naval Establishment, including construction of new vessels, machinery, armament, equipment, improvement at at navy yards, and miscellaneous For Indian Service For pensions For interest on the public debt • 257,166,437. 44 30,598,093.55 160,318,405. 66 24, 742,129. 42' 1,147,751,195. 26 Add difference arising in adjustment of miscellaneous accounts Total ordinary disbursements Excess of ordinary disbursements Special disbursements: Purchase of obligations of foreign governments Payment for Danish West Indian Islands. Subscription to stock. Federal land banks. Total special disbursements 147, 795. 90 : 1,147, 898, 991.16 : 29, 724, 864. 73 885,000,000.00 25,000,000. 00 8,880,315. 00 918,880, 315.00 58 REPORT ON THE FINANCES. Panama Canal: Receipts from tolls, etc. Disbursements for canal .*... $6,150, 668. 59 19,262, 798. 32 Excess of canal disbursements . $13,112,129. 73 961, 717, 309. 46 PubUc debt—tissues and deposits: First Liberty loan of 1917 1,466,335,094. 61 Certificates of indebtedness 918, 205, 000. 00 One-year Treasury notes 4,390,000.00 Deposits to retire Federal reserve bank notes and national bank notes 37, 293,045. 00 Deposits for postal savings bonds 1, 794, 660. 00 Total public-debt receipts 2, 428,017, 799. 61 Public debt—redemptions: Certificates of indebtedness One-year Treasury notes Federal reserve bank notes and national bank notes retired Miscellaneous redemptions, public debt..Total public-debt disbursements 632, 572, 268. 00 4, 390, 000. 00 40, 564,115. 50 18, 398. 75 677, 544, 782. 25 Excess of public-debt receipts over public-debt disbursements.. 1,750,473,017.36 NOTE.—During the year exchanges of bonds amounting to $45,965,900 were made under the provisions of section 18 of the Federal reserve act of Dec. 23, 1913, Avithout affecting the cash in the Treasury, as follows: S19,047,500 of 2 per cent consols of 1930, 12,063,800 of 2 per cent Panama Canal bonds, series of 1906, and Sl,882,600 of 2 per cent Panama Canal bonds, series of 1908, were exchanged for 3 per cent conversion bonds, and $17,488,000 of 2 per cent consols of 1930, $3,439,000 of 2 per cent Panama Canal bonds, series of 1906, and $2,045,000 of 2 per cent Panama Canal bonds, series of 1908, were exchanged for 3 per cent one-year Treasury notes. Total excess of receipts over disbursements 788, 755, 707.90 General-fund balances: Balance in general fund June 30,1916 (exclusive of disbursing officers' credits) :... Excess of general-fund receipts for year 178,491,415.58 788, 755,707.90 Balance in general fund June 30,1917 (exclusive of disbursing officers' credits) Disbursing officers' credits, June 30, 1917 967, 247,123.48 100, 664, 023. 24 Deduct interest checks and coupons outstanding Balance in general fund, June 30,1917, free of current obligations . . . . . . 1,067,911,146.72 927, 785. 65 1,066,983,361.07 SECRETARY OF T H E TREASURY. 59 SUMMARY OF G E N E R A L F U N D TRANSACTIONS. Fiscal year ended June 30, 1917. Ordinary receipts, including various trust-fund Receipts. Disbursements. receipts, b u t excluding postal revenues $1,118,174,126.43 Disbursements for current expenses and capi, tal outlays, including various trust-fund disbursements, b u t excluding postal service paid from postal revenues and Panama Canal disbursements. $1,147, 898, 991.16 Special disbursements. 918, 880, 315. 00 Panama Canal receipts, tolls, etc 6,150, 668. 59 Panama Canal disbursements. 19, 262, 798. 32 Public debt—issues and deposits: First Liberty loan of 1917 1,466, 335, 094. 61 Certificates of indebtedness. _... 918,205,000.00 One-year Treasury notes °. 4, 390,000.00 Deppsits to retire Federal reserve bank notes and national bank notes 37, 293, 045. 00 Deposits for postal-savings bonds 1, 794, 660.00 Public debt—^redemptions: Certificates of indebtedness. 632,572,268.00 One-year Treasury n o t e s . . 4,390,000.00 Federal reserve bank notes and national bank notes retired 40,564,115.50 Miscellaneous redemptions of the public debt *. .-.. 18, 398. 75 Total disbursements from the general fund.. Excess of receipts over disbursements Grand totals 2,763,586.886.73 788, 755, 707. 90 3, 552, 342, 594. 63 3, 552, 342, 594. 63 POSTAL SERVICE. Exclusive of Post Office Department proper, which is included in "civil establishment.'* Postal-revenue receipts Postal service paid from postal revenues Excess of receipts $329,726,116. 36 319,889,904.46 9,836,211.90 U N I T E D STATES N O T E S ( G R E E N B A C K S ) . Issues to replace worn and mutilated notes. . Worn and mutilated notes retired 196,860,000.00 196,860,000.00 The redemptions during the year of the notes unfit for circulation necessitated t h e is&ue of a like amount thereof to maintain the outstanding aggregate of the notes as required by law. 60 REPORT ON THE FINANCES. GOLD R E S E R V E FUND. Balance in reserve fund June 30, 1916. $152, 979,025. 63 Balance in reserve fund June 30, 1917 152, 979, 025. 63 The redemptions of notes for gold from the reserve fimd during the year were: United States notes, $38,559,910. As the redeemed notes, were exchanged each day for gold in the general fund, the reserve was maintained at the fixed sum required b y law, including $2,979,025.63 tax on additional circulation received under act of May 30, 1908. TRUST FUNDS. (Held for the redemption of the notes and certificates for which they are respectively pledged.) ^ Gold coin and bullion . . $1, 584, 235, 909 Silver dollars. 477,184, 842 Silver dollars 1890 1,970,078 Gold certificates outstanding $2, 094, 336, 669 Less amount in t h e Treasury 510,100, 760 Net 1,584,235,909 Silver certificates outstanding Less amount in the Treasury Net -. 492, 860, 000 15, 675,158 • 477,184,842 Treasury notes (1890) outstanding Less amount in t h e Treasury 1, 976, 000 5,922 Net. 1, 970, 078 2, 063, 390, 829 2, 063, 390, 829 GOLD SETTLEMENT FUND, FEDERAL RESERVE BOARD. . Gold coin $526, 295,000 SINKING FUND. The securities redeemed on account of the sinking fund, included in general-fund disbursements, were as follows: Fractional currency One-year notes of 1863 Funded loan of 1891. Refunding certificates Funded loan of 1907 Compound-interest notes Total '. $1, 928. 75 50. 00 2,000. 00 500. 00 13,550. 00 170. 00 '... oo o .„..„..... 18,198.75 SECRETARY OF T H E TREASURY. CONDITION OF THE TREASURY J U N E 30, 61 1917. The pubhc debt of the United States at the close of the fiscal year . 1917 is set forth in detail, as foUows: Interest-bearing debt: Loan of 1925, 4 per cent Loan of 1908-1918, 3 per cent Consolsof 1930, 2 p e r c e n t . . . . . Panama Canal loan, 2 per cent Panama Canal loan, 3 per cent Postal savings bonds, 2 i per cent. Conversion bonds, 3 per cent One-year Treasury notes, 3 per cent Certificates of indebtedness, 3 per cent Certificates of indebtedness, 3 i per cent... First Liberty loan of 1917, 3^ per cent K . . . Debt on which interest has ceased: Funded loan of 1891..' Loanofl904 ^ Funded loan of 1907, Refunding certificates Old debt Certificates' of indebtedness, 3 per cent, • matured June 30, 1917 Debt bearing no interest: • United States notes (greenbacks) Bank notes, redemption account Old demand notes Fractional currency $118,489,900.00 63, 945, 460.00 599,724,050.00 74, 901, 580.00 50, 000, 000.00 10, 039, 760.00 28, 894, 500.00 27, 362, 000.00 61, 306,032.00 211, 551,100.00 1,466, 335,094.61 . • • $2, 712, 549, 476. 61 '24,950.00 13,050.00 506,100.00 11, 560.00 900, 970.26 ^ 12,775,600.00 • 14,232,230.26 346, 681, 016.00 48,235,167.00 53,152.50 6, 846, 568.15 , Total interest and noninterest bearing debt, exclusive of certificates and notes offset by coin and silver bullion 401, 815, 903. 65 3,128, 597, 610.52 CASH IN THE TREASURY J U N E 30,1917. [From revised statements.] Reserve fund: Gold coin and b u l l i o n . . . $152, 979,025. 63 Trustfunds: Gold coin and bullion Silver dollars Silver dollars of 1890 1, 584, 235, 909.00 477,184, 842.00 1, 970,078.00 2,063, 390, 829.00 General fund: I n Treasury offices— Goldcoin Standard silver dollars. United States notes Federal reserve n o t e s . . „, o Federal reserve bank notes $61,962, IOL 24 17,289,218.00 10,719,778.00 - 2,995,185.00 96,455.00 1 The balance of the First Liberty loan of 1917 was paid in the fiscal year 1918. 62 REPORT ON THE FINANCES. General fund—Continued. I n Treasury offices—Continued. National-bank notes. Certified checks on banks Subsidiary silver c o i n . . . .=. Minor coin. Silver bullion (at cost) Unclassified (unassorted currency, etc.) Interest on public debt paid , $1,977,740.00 11,143.43 4,422,621. 83 1,274,091. 54 5,797,879.49 1,095, 744.13 20, 994. 41 $107, 662, 952. 07 I n Federal reserve banks. Intransit .^.-.. 299,871,632. 42 800,000.00 300, 671, 632. 42 I n special depositaries— Account of sales of certificates of indebtedness Liberty loan deposits 152, 763,000. 00 631,159, 759. 51 783,922,759.51 I n national-bank depositaries— To credit of Treasurer of the United States '. To credit of other Government officers. In transit 30,873,789.79 8,521,860.45 10, 286,088. 67 . 49,681,738.91 . In treasury of Philippine Islands— To credit of Treasurer of the United States To credit of other Government officers. 170,018.86 1, 911, 390. 90 2,081,409. 76 1,244,020,°492. 67 Deduct current liabilities— National-bank note 5 per cent fund $26, 787,263. 22 Less notes in process ' of redemption 15, 993, 718. 97 Treasurer's checks outstanding... Post Office Department balance Board of trustees. Postal Savings System balance Balance to credit of postmasters, clerks of court, etc. Undistributed assets of insolvent national banks Deposits for— Redemption of, Federal reserve notes (5 per cent fund) Redemption of Federal reserve bank notes (5 per cent f u n d ) . . Retirement of additional circulating notes, act of May 30,1908. Miscellaneous redemption accounts 10,793,544.25 2.082,567. 92 21,552,570. 29 5,743,856.70 20,484,304. 31 2,165, 902. 90 32,928,566.29 500,000.00 2,359,585. 00 25,645,063. 33 124, 255, 960. \ 63 SECRETARY OF, THE TREASURY. General fund—Continued. Balance in the Treasury, June 30, 1917, as per Financial StatemeD.t of the United States Government. Settlement warrants, coupons, and checks outstanding— Treasury warrants Matured coupons Interest checks .' Disbursing officers' checks - $1,119,764,531.68 $4,137,066. 55 570,330.79 357,454. 86 47, 716,318. 41 . 52, 781,170. 61 Balance in the Treasury, June 30, 1917, free of -current obligations U , 066,983,36L 07 Comparison of receipts, fiscal years 1916 and 1917. Customs Internal revenue: Ordinary Emergency revenue Corporation i n c o m e t a x I n d i v i d u a l income t a x Sales of p u b l i c l a n d s Con sular fees Chines e i n d e m n i t y Profit s o n coinage, b u l h o n deposits, etc P a y m e n t of i n t e r e s t b y Pacific railways T a x on circulation of n a t i o n a l b a n k s I n t e r e s t on p u b h c deposits P r e m i u m o n war-risk i n s u r a n c e N i g h t services, c u s t o m s service C u s t o m s fees, fines, p e n a l t i e s , e t c . . . Proceeds of m i h t i a p r o p e r t y lost or destroyed Sales of n a v a l vessels N a v y h o s p i t a l a n d c l o t h i n g funds, fines a n d forfeitures, e t c Sales of o r d n a n c e m a t e r i a l , e t c L a n d fees Fees o n l e t t e r s p a t e n t Depredations on pubhc lands Deposits for s u r v e y i n g p u b h c l a n d s . Proceeds of t o w n s i t e s . R e c l a m a t i o n Service F o r e s t reserve fund Immigrant fund....' N a t u r a l i z a t i o n fees Proceeds of seal a n d fox skins .. Alaska fund : Judicial fees, fines, p e n a l t i e s , e t c . . . Surplus postal revenues Sales of' G o v e r n m e n t p r o p e r t y R e n t of p u b l i c buildings, g r o u n d s , etc Sales of l a n d s a n d b u i l d i n g s District of Columbia, general receipts F u n d s c o n t r i b u t e d for river a n d harbor improvements R e i m b u r s e m e n t s o n account of exp e n d i t u r e s m a d e for I n d i a n t r i b e s . Assessments o n F e d e r a l reserve b a n k s , for salarieSj etc Assessments o n n a t i o n a l b a n k s for expenses of e x a m i n e r s Miscellaneous Increase, 1917. 1917 1916 $225,962,393.38 $213,185,845.63 $12,776,547.75 354,387,425.89 95,297,553.88 179,572,887.86 180,108,340.10 1,892,893.23 1,507,177.09 535,070.09 303,486,474.04 84,278,302.13 56,993,657.98 67,943,594.63 1,887,661.80 . 1,466,572.72 533,238.47 50,900,951.85 11,019,251.75 122,579,229.88 112,164,745. 47 5,231. 43 40,604.37 1,83L62 10,957,181.73 4,354,613.12 6,602,568.61 3,897.06 3,611,802.43 702,537.69 11,526,557.22 296,294.99 ,872,758.28 9,148.07 3,838,034.25 928,106.35 862,556.56 312,691.17 957,125.25 10,970.53 48,604.24 127,167.48 324,677.34 1,166,244.59 217,473.87 1,654,131.19 2,315,646.51 84,786.57 110,077.69 761,457.92 159,808.26 1,723}.657.45 2,329,510.36 148,554.80 73,255.34 404,786.67 57,665.61 31,250.15 3,515,140.54 854,395.58 456,946.42 183,931.31 210,272.70 846,432.74 5,200,000.00 1,874,886.53 21,189.28 2,883,783.73 803,419.25 391,503. 00 56,396.83 266,081.04 , 938,046.01 10,060.87 631,356.81 50,976.33 65,443. 42 127,534.48 1,473,621.74 6,200,000.00 401,264.79 228,853.79 797,694.52 190,134.99 145,962.30 38,718.80 651,732.22 9,175,67L77 9,132,976.52 42,695.25 698,450.00 591,150.00 107,300.00 156,665.19 Decrease,1917. $5,251.01 226,231.82 225,568.66 10,664,030.66 16,396.18 84,366.97 116,196.95 276,073.10 69,526.26 13,863.85 63,768.23 36,822.35 55,808.34 91,613.27 157,216.99 551.80 913,110.10 802,315.68 110,794.42 891,552.79 2,448,100.79 150,000.00 2,508,755.52 741,552.79 0,654.73 1 T h e b a l a n c e i n t h e T r e a s u r y of $1,066,983,361.07 i n c l u d e s $100,664,023.24 d i s b u r s i n g officers' c r e d i t s after d e d u c t i n g o u t s t a n d i n g c h e c k s , a n d is free of c u r r e n t o b h g a t i o n s , t h e e n t i r e a m o u n t b e i n g a v a i l a b l e for t h e f u t u r e e x p e n d i t u r e s of t h e G o v e r n m e n t . 64 REPORT ON THE FINANCES. Comparison of receipts,,fiscalyears 1916 and 1917—Continued. • 1917 1916 Increase, 1917. Decrease,1917. TRUST F U N D S . Department of State: Miscellaneous trust funds War Departnient: Army deposit funds Soldiers' Home permanent fund. Miscellaneous trust funds Navy Department: Navy deposit fund '. Marine Corps deposit fund Interior Department: Proceeds of Indian lantis Indian moneys, proceeds of labor Miscellaneous trust funds Personal funds of patients, St. Elizabeths Hospital Pension m o n e y , St. Elizabeths Hospital District of Columbia: . Miscellaneous trust-fund deposits Washington redemption fund.. Police and firemen's rehef funds Other trust funds Total Deduct— Moneys covered by warrant in year subsequent to the deposit thereof AddMoneys received tu fiscal year but not covered by warrant Ordinary receipts Panama Canal: Receipts from tolls, etc Pubhc debt: First Liberty loan of 1917 Certificates of indebtedness One-year Treasury notes Postal savings bonds Bank-note fund Exchanged for consols of 1930 and Panama Canal bonds without affecting the cash in 1917: Conversion bonds, $22,993,900. One-year T r e a s u r y n o t e s , $22,972,000. Public debt receipts $143,536.32 $842,596.46 1,486,106.28 432,802.97 1,020.00 1,633,261.49 541,596.03 177,311.27 239,283.88 154,283.00 173,825.06 $699,060.14 $1,020.00 147,155.21 108,793.06 23,028.27 65,458.82 2,995,668.11 2,696,719.73 298,948.38 10,323,313.27 212,779.99 5,486,446.57 348,645.82 4,836,866.70 39,877.50 29,244.79 10,632.71 83,966.53 94,736.00 413,988.31 164,573:37 135,895.16 6,212.39 426,711.68 148,204.14 134,522.56 35,672.93 16,369.23 1,372.60 1,118,182,978.18 779,788,065.07 340,844,060.10 2,449,146.99 340,844,060.10 2,325,634.41 2,334,486.16 272,881.18 396,393.76 1,117,910,097.00 779,391,671.31 135,865.83 10 769 47 29,460.54 123,512.58 264,029.43 272,881.18 1,118,174,126.43 779,664,552.49 340,844,060.10 6,150,668.59 2,869,995.28 3,280,673.31 1,466,335,094.61 918,205,000.00 4,390,000.00 1,794,660.00 37,293,045.00 1,803,500.00 56,648,902.50 12,723.37 8,851.75 1,466,335,094.61 918,205,000.00 4,390,000.00 8,840.00 19,355,867.50 2,428,017,799.61 58,452,402.50 2,388,930,094.61 19,364,697.50 Total receipt's, exclusive of postal Postal revenues 3,552,342,594.63 329,726,116.36 840,986,950.27 312,057,688.83 2,733,054,828.02 17,668,427.53 21,699,183.66 Total receipts, iacludiag postal 3,882,068,710.99 1,153,044,639.10 2,750,723,255.55 21,699,1S3.66 65 SECRETARY OF T H E TREASURY. Comparison of disbursements, fiscal years 1916 and 1917. 1917 1916 Increase, 1917. Decrease,1917. • aVIL ESTABLISHMENT. Legislative: Senate House of Representatives Legislative, miscellaneous Public Printer Library of Congress Botanic Garden $1,905,816.82 5,400,249.72 914,011.68 6,238,825.27 677,107.16 38,090.88 $1,807,450.84 4,916,880.61 1,106,908.5^ 5,356,903.00' 627,306.02 32,558.16 $98,365.98 483,369.11 Total legislative Executive proper: Salaries and expenses Relief, etc.^ American citizens in Europe. United States Tariff Commission Temporary government for West Indian Islands National security and defense, executive Bureau of EflBciency Civil Service Commission 16,174,101.43 13,848,007.16 1,518,99L22 53,376.85 49,000.85 357,266.35 12,637.28 347,180.66 53,376.85 36,463.57 10,086.69 Total executive proper Department of State: Sj^laries expenses Foreign and tatercourse— Diplomatic salaries... Consular salaries Contiagent expenses of foreign missions Contingencies of consulates. Emergencies arising in the Diplomatic and Consular Service Legation and consular premises Relief of American citizens ia Mexico Representation of iaterests of foreign governments... Payment to Panama Payment to Republic of. Nicaragua National security and defense. Department of State Miscellaneous Items Trustfunds 1,387,797.91 396,940.11 991,857.80 471,371.44 379,719.15 91,652.29. 799,260.49 1,662,811.52 934,709.66 1,501,379.15 161,432.37 486,637.67 487,400.60 320,480.55 419,645.86 . 166,157.12 67,754.75 255,640.19 86,685.29 66,000.00 620,520.10 296,484.74 631,020.69 1,295,818.58 Total Department of State... Treasury Department: Salaries Secretary's office and divisions thereof Contingent fund for Secretary.. International High Commission Contingent expenses of department Customs ServiceCollecting customs revenues National security and defense^ Customs Service... Detection and prevention of frauds Refunding excess of deposits Debentures or drawbacks.. Compensation in lieu of moieties Miscellaneous refunds Internal-Revenue ServiceExpenses of collecting Refunds and rehefs... Miscellaneous Suppressing counterfeiting and other crimes Accounting offices Miscellaneous offices Pubhc Health Service TRpidemic diseases War-risk insuranceExpenses Losses 6,130,081.82 6,444,594.11 1,500,257.03 636,985.36 14,700.84 11,864.31 640,812.67 13,539.63 16,060.02 1,16L21 263,995.62 216,797.43 47,198.19 9,850,189.63 9,625,219.84 224,969.79 228,375.33 205,128.62 23,246.71 567,753.03 1168,906.45 726,659.48 42,026.50 42,026.50 100,000.00 •100,000.00 192,896,95 . 135,449.17 168,954.90 392,867.75 392,867,75 55,092.00 38,136.93 16,955.07 78,253:93 309,741.39 646,739.75 190,258.61 119,482.78 568,485.82 . 250,000.00, 250,000.00 .65,000.00 110,500.49 1,000,333.84 1,814,769.32 3,827.21 4,185.71 - 90,866.23 90,856.23 686:37 2,915,797.09 16,984,021.34 166,077.61 2,816,121.40 15,992,963.88 99,675.69 991,067.46 20,028.42 25,482.36 27,347.75 21,410.66 4,07L80 6,974,140.11 4,352,676.26 674,918.64 6,900,805.74 3,116,596.54 73,334.37 1,235,980.71 674,918.64 171,845.97 • 1,647,095.49 1,045,472.69 2,654,566.15 391,032.76 145,839.43 1,637,307.26 • 1,079,252.02 2,368,213.27 470,804.20 26,006.64 • 9,788.24. 30,171.01 3,296,622.63 18,652.64 62,226.57 1 Excess of repayments. 13034°—FI 1917- $192,896.95 881,922.27 49, SOL 14 6,632.72 286,362.88 11,618.37 3,233,295.96 165,391.24 7,319.33 33,779.38 79,771.46 66 REPORT ON THE FINANCES. Comparison of disbursements, fiscal years 1916 and 1917—Continued. 1916 1917 $138,509.50 4,210,169.04 $3,660,659.13 $138,609.50 549,509.91 466,06L11 401,583.20 63,477.91 341,377.35 300,773.22 5,790,021.68 13,836.24 597,182.64 1,395,759.74 1127,934.68 5,129,666.50 198,652.37 561,404.91 1,011,296.38 469,312.03 300,773.22 660,355.18 12,116,721.40 5,761,302.59 15,369.32 11,048,164.57 6,673,402.52 202,113.46 1,068,556.83 187,900.07 861.475.57 250,917.69 50,000.00 129,643.59 801,475.57 121,274.10 295,979.42 273,769.92 22,209.50 305,501.02 288,659.58 16,941.44 Total Treasury Department.. ^ 84,901,906.69 73,737,017.80 11,830,723.43 1,809,174.45 408,801.11 478,077.48 2,388.12 2,287,251.93 411,189.23 Total War Department 2,698,441.16 2,217,975.66 480,465.60 981,649.66 853,768.88 127,880.78 770,947.11 650,094.31 2,530,826.61 313,4n.l6 1,600,425.93 1,515,147.84 316,536.23 767,132.34 654,503.41 2,487,893.14 315,168.15 1,582,780.86 ,1,471,563.79 300,930.30 43,584.05 14,605.93 2,600,000.00 1,342,279.94 815,156.50 2,600,000.00 1,378,64L48 681,68L22 133,475.28 518,318.78 471,141.61 102,669.59 700,474.67 609,938.76 271, OOL 65 28,94L85 690,332.31 200,139.96 73,727.74 110,142.36 9,407,844.70 19,797.83 162,709.22 4,148,790.90 313,205.71 122,973.80 4,993,732.25 5,891,614.71 66,099.70 100,342.78 164,675.62 141,932.26 22,743.26 173,393.67 69,777.92 18,652.39 155,238.04 154,741.18 78,080.26 6,733.52 187,273.22 29,249,699.03 24,786,197.60 5,962,608.43 1,730,568.49 190,158.92 1,770,347.82 6,500,000.00 362.22 189,796.70 1,920,717.41 7,270,710.04 189,796.70 Five, three, and two per cent funds, sales of lands.. Revenues of national parks and Hot Springs, Ark Deposits for surveying public lands Pnhlio<?phoo1<? Ala-skftfimd Miscellaneous special funds. . Total Interior Departraent... Post Office Department: - Deficiencv in Dostal revenues... Total Post Office Department . I Excess of repayments. $184,816.13 35,777.73 384,464.36 War Department: Salaries and expenses Public buildhags and grounds... Navy Department: Salaries and expenses '. Interior Department: Salaries and expenses, office of " Secretarv Gfiiiftral LBDCI OfflcG Pubhc lands service Indian.Office Pension Office Patent Office Bureau of Education Colleges for agriculture and the mechanic arts Geological Survey Bureau of Mines Officeof Superintendent of Capi-tol Building and Grounds.... National parks Territorial governments ;. Beneficiaries.. Construction, etc., of railroads in Alaska . . Enlarging the Capitol grounds. Miscellaneous items Special funds— Decrease,1917. " CIVIL ESTABLISHMENT—contiaued. Treasury Department—Continued. Federal Farm Loan B o a r d Salaries and expenses Engraving and printing Paper, etc., for United States securities Preparation and'issue of Federal reserve notes Expenses of loans Coast Guard Revenue vessels Independent Treasury Mints and assay offices Pubhc buildingsSites, construction, and equipment Current maintenance. Expositions Salaries and expenses, nationalbank examinersMiscellaneous items Special funds— Phihppine special funds.... Night services, Customs Service Increase, 1917. 186,744.14 665,834.54 3,814.77 4,409.10 42,933.47 5,259,053.80 39,735.42 1,756.99 82,354.93 36,36L54 91,619.98 . 293,407.88 897,882.46 34,243.08 18,302.34 6,733.52 32 035 18 1,499,107.00 39,789.33 6,500,000.00 6,539,789.33 67 SECRETARY OF THE TREASURY. Comparison of disbursem.ents, fiscal years 1916 and 1917—Continued. 1917 1916 Increase, 1917. Decrease,19i7. CIVIL ESTABLISHMENT—continued. D e p a r t m e n t of Agriculture: Salaries a n d miscellaneous Animal Industry, expenses M e a t inspection. A n i m a l I n d u s try F o o t - a n d - m o u t i i disease I n v e s t i g a t i a g hog cholera a n d dourine Plant Industry, expenses P u r c h a s e of seeds Biological S u r v e y , e x p e n s e s P u b h c Roads, expenses F o r e s t Service A c q u i s i t i o n of l a n d s for p r o t e c tion of w a t e r s h e d s , n a v i g a b l e streams •...•. B u r e a u of C h e m i s t r y S t a t e s R e l a t i o n Service, e x penses Cooperative e x t e n s i o n w o r k — Weather Bureau, expenses...... •Special funds— P a y m e n t s t o States a n d Territories from N a t i o n a l Forests fund R o a d s a n d trails for S t a t e s . . Miscellaneous special f u n d s . Total D e p a r t m e n t of Agriculture $7,956,739.43 2,202,897.63 $7,220,515.06 1,747,776.66 3,300,513.50 48,830.57 3,373,533.08 921,654.46 45,366.78 1,969,378.57 243,460.81 566,364.18 564,78L16 3,088,921.09 1-33,426.77 1,609,806.26 260,189. 20 411,160.73 662,784.60 3,455,446.79 1,992,066.77 768,246.84 1,480,076.33 774,447.88 .511,990.44 2,793,712.18 1,577,923.73 1,407,779.00 2,606,892.11 1,074,934.73 1,324,627.79 186,820.07 502,989.00 83,15L21 695,541.40 211,669.91 152,955.40 610,788.49 286,052.10 77,427. 29 84,752.91 29,587,148.95 28,031,540.33 3,151,352.84 1,000,672.70 784,693.17 1,061,994.67 1,229,288.05 5,861,5n. 86 1,077,415.83 56,902.09 620,973.00 7,077.67 916,494.64 790,169.80 1,179,292.58 1,178,860.18 5,722,146.22 982,829.90 89,456.23 639,380.71 5,09L91 84,178.06 50,427.87 139,365.64 94,585.93 11,700,529.04 11,403,722.17 452,135.55 170,018.72 274,292.76 351,722.91 104,478.03 2,401,114.96 363,342.81 179,845.04 2,489.87' 161,418.82 283,069.85 359,848.14 80,021.70 2,437,436.61 60,000.00 149,349.35 8,599.90 3,847,305.10 3,531,144.47 369,384.60 1,580,035.69 1,609,581.50 70,454.19 1,660,119.70 67,014.92 1,669,291.98 . . . . . 65,473.84 18,000.00 1,705,682.67 983,150.16 1,602,149.79 1,052,479.94 616,932.71 1,038,944.73 242,484.62 136,691.20 667,333.03 236,437.99 622,907.82 1,104,144.55 206,30L83 150,781.93 796,942.78 267,309.19 476,651.77 1,148,830.39 437,189.38 1,177,908.75 38,462.39 10,576,309.48 10j662,463.28 268,173.23 D e p a r t m e n t of C o m m e r c e : Salaries a n d expenses B u r e a u of S t a n d a r d s Census Office Coast a n d Geodetic S u r v e y Lighthouse Establishment B u r e a u of Fisheries F i s h hatcheries S t e a m b o a t - I n s p e c t i o n Service Miscellaneous i t e m s T o t a l D e p a r t m e n t of Commerce D e p a r t m e n t of L a b o r : Salaries a n d expenses B u r e a u of L a b o r Statistics B u r e a u of N a t u r a l i z a t i o n B u r e a u of I m m i g r a t i o n Regulatiag immigration Immigration stations.. Children's B u r e a u Miscellaneous , ' . ^. .-.. .... T o t a l D e p a r t m e n t of L a b o r . . . D e p a r t m e n t of Justice: Salaries a n d expenses Salaries of justices, assistant a t t o r n e y s , etc Court of Claims N a t i o n a l security a n d defense. D e p a r t m e n t of J u s t i c e Salaries, fees, e t c . , of m a r s h a l s . . Fees of witnesses Salaries a n d fees, district attorneys Fees of j u r o r s F e e s of clerks Fees of commissioners S u p p o r t of prisoners P a y of baihffs' Miscellaneous expenses, U n i t e d States c o u r t s . Misciellaneous i t e m s ' T o t a l D e p a r t m e n t of J u s t i c e . $736,224.37 455,120.97 $73,019.58 872,823.89 88,059.99 359,572.31 16,728.39 ,155,203.45 98,003. 44 366,525. 70 6,20L04 • 74,382.19 75,528.11 1,595,744.22 5,476.63 117,297.91 32,554.14 81,592.29 1,985.76 155,328.68 8,777.09 8,125.23 24,456.33 36,32L65 303,342.81 30,495.69 2,489.87 J-g^j-Qg. 53,223.97 9,172.28 18,000.00 103,532.78 69,329.78 6,975.11 65,199.82 36,182.79 15,090.73 129,609.76 30,871.20 29,078.36 354,327.03 68 REPORT ON THE FINANCES. Comparison of disbursements, fiscalyears 1916 and 1917—Continued. 1917 1916 Increase, 1917. Decrease,1917. CIVIL ESTABLISHMENT—contiaued. Independent bureaus and offices: liiterstate Commerce Commission Smithsonian Institution. National Museum Zoological Park Territorial governments Salaries, etc.. Federal Reserve Board Council of National Defense Advisory Committee for Aeronautics . ...^. United States Employees' Compensation Commission... UnitedStates Shipptag B o a r d Salaries and expenses..:... Permanent fund " National security and defense Federal Trade Commission State, War, and Navy Department Building Commissions Total independent bureaus and offices District of Columbia: • Salaries and expenses Special f u n d s Water department.. ^ Washington Aqueduct Miscellaneous special funds. Trust fundsMiscellaneous trust-fund deposits Washiagton redemption fund Police and firemen's relief funds Other trust funds ^ $5,175,150.12 159,141.87 383,253.69 104,126. 41 25,642.16 $5,016,135.74 148,235.41 387,147. 75 , 98,186.94 22,426.21 594,906.82 102,024.20 821,763.30 $159,014.38 10,906.46 5,939.47 3,215.95 226,856.48 102,024.20 15,152.00 15,152.00 228,395.70 228,395.70 64,442.28 6,000,000.00 64,442.28 6, ooo; 000.00 8,894,026.70 458,573.01 369,950.37 8,894,026.70 88,622.64 189,33L43 296,200.82 203,988.13 153,969.39 142,231.43 22,690,367.21 7,221,803.24 15,713,971.21 12,226,924.52 12,274,319.37 671,564.03 136,578.85 8,400.82 591,187.13 439,179.63 462,477.13 168,028.04 143,914.09 24,113.95 135,067.62 17,450.42 132,789.44 24,697.85 2,278.18 4,468.16 '"'•'"$3,"894"06 14,656.70 245,407.24 47,394.85 80,376.90 136,57&85 3,932.67 23,297.50 7,247.43 Total District of Columbia 13,803,193.93 13,633,853.16 247,280.55 77,939.78 Total civil establishment. 234,649,248.02 204,038,737.91 42,804,878.97 12,194,368.06 Quartermaster Corps Pay, etc^ of the Army Medical Department Ordnance Department Engineer Department Signal Service Military Academy Military posts National Guard Civilian inilitary training c a m p s . . . Registration and selection for military service. Support of dependent families of enlisted men .. Miscellaneous items Special funds; ordnance material, powder, etc 216,732,787.96 110,798,645.84 6,540,335.98 26,817,469.89 8,103,938.07 7,557,971.29 1,094,300.36 1,854,388.79 11,014,027.74 4,040,302.25 49,885,842.05 61,740,587.56 822,010.09 5,644,799.36 2,829,907.25 1,2.52,498.76 1,034,819.19 279,538.06 8,636,669.59 166,846,945.91 59,058,058.28 5,718,325.89 21,172,670.53 6,274,030.82 6,305,472.53 59,481.17 1,574,850.74 2,477,358.15 1 4,040,302.25 473,600.00 473,500.00 5,498,912.33 855,546.65 293,146.61 5,498,912.33 562,400.04 36,204.39 72,544.47 Total Military Establishment. 401,418,331.54 122,392,362.98. 279,062,308.64 297,857.46 399,674.88 4,139,039.84 1,256,302.97 37,558.73 WAR DEPARTMENT.' Military Establishment. .. ..f..... 36,340.08 36,340.08 War miscellaneous, civil. National cemeteries National parks National homes for disabled soldiers. State homes for disabled soldiers... Sufferers from floods and fire 1 Soldiers' Home interest account Monuments.: 1 335,416.18 397,481.60 3,969,788.89 l.O.'il. 7.^7.09 ' 529', 467. i2 102,127.66 9,999.01 1 i62,i86.3^ 46,476.00 2,193.38 169,250.95 204,565.88 529,467. i2 1 68.66 35,475.99 SECRETA.BY OF THE M E A S U R Y . 69 Comparison of disbursements, fiscal years 1916 and 1917—Continued. 1917 WAR DEPARTMENT—continued. 1916 Increase, 1917. Decrease,1917. ' War miscellaneous, ciueZ—Contd. War claims and relief acts Expenses interned Mexican soldiers and refugees . . . . . MiscellaTiftouR items, Special furids: Wagon roads, etc., Alaska fund. , Miscellaneous special funds Trust funds: Pay of the Army, deposit fund.. Soldiers' Home permanent fund . . Miscellaneous trust funds . Total War civil $216,415.26 $1,179,285.19 12,582.05 368,245.93 82,113.21 223,275.70 50,117.39 22,686.67 774,457.04 164,487.57 26,500.00 544,611.32 1,020.00 miscellaneous 8,370,989.01 $962,869.93 $144,970.23 114,370.18 3,813.33 1,411,826.38 .464,887.63 9,792,912.14 | 84,695.26 637,369.34^ 79,723.69 1,020.00 792,739.77 | 2,214,662. 90 Rivers and harbors. 25,104,702.35 4,688,741.55 694,115.92 Improving harbors Improving rivers . Special fuiids, for rivers and harbors *28,640,705.38 3,196,426.52 613,169.65 Total rivers and harbors ,30,487,559.82 32,450,30L55 i,492,3i5.03 80,946.27 1,573,26L30 Total War Department 440,276,880.37 164,635,576.67 281,428,309.71 {14,926,947.73 7,767,553.92 37,079,260.95 5,358,755.41 75,290.37 3,211,057.30 9,647,235.08 11,667,366.39 8,299,371.11 14,888,904.03 770,047.13 6,046,686.17 464,702.68 43,162,518.91 17,847,686.78 2,398,798.61 3,536,003.03 3,536,003.03 5,787,006.01 NAVY DEPARTMENT. Naval Establishment. Increase of the Navy Bureau of Yards and Docks Bureau of Equipment Bureau of Navigation Bureau of Construction and Repair Bureau of Ordnance . .. . Bureau of Steam Engineering Bureau of Supplies and Accounts.. Bureau of Medicine and Surgery... Marine Corps Naval Academy . . . . Pay of the Navy Aviation ....' Judgments, Court of Claims General account of advances Miscellaneous items National security and defense, Navy Department. Special funds: Naval hospital fund Ordnance material (proceeds of sales) Fines and forfeitures Clothing fund Miscellaneous snecial fund Trust funds: Pay, Marine Corps, deposit fund Pay of the Navy, deposit fimd.. Prize monev 6,667,419.96 14,168,307.84 21,003,234.29 14,329,555.19 25,918,834.27 1,083,932.94 M, 700,241.32 648,680.68 49,225,370.46 989,845.38 71,503.30 <M), 653,655.95 744,329.04 1 97,640.98 12,901,224.83 664,816.63 27,752,431.12 179,512.41 75,290.37 26,037.68 34,501.65 34,601.65 Total Naval Estabhshment.. 2,456,362.66 4,521,072.76 9,336,867.90 6,030,184.08 11,029,930.24 313,885.81 8,653,555.15 183,878.00 6,062,85L55 989,845.38 446,815.06 1218,823.08 665,638.14 156,899.58 712,093.44 3,494,048.55 1,242.17 69,014.19 670,931.42 47,046.89 188,958.88 242,379.00 186.84 147,136.76 179,317.09 24.54 87,885.39 ' 141,162.02 8,447, OOL 66 1,242.17 41,822.12 63,061.91 162.30 257,166,437.44 155,029,425.78 102,238,339.71 101,328.05 INDIAN SERVICE, Current and contingent expenses... Fulfilhng treaty stipulations Interest on Indian trust-fund accounts Sunnort of Indian schools Trust funds Total Indian Service 1 1,156,026.11 600,872.26 790,426.77 1,281,469.58 572,577.51 653,570.75 1 28,294.75 136,866.02 1,560,479.34 4,226,146.07 4,221,007.41 18,043,135.59 1,655,661.27 4,035,589.30 3,748,821.42 5,622,593.98 1 190,556.77 472,186.99 12,420,541.61 30,598,093.55 1 17,570,283.81 13,248,435.14 I Excess of repayments. 125,443.47 95,181.93 220,625.40 70 UEPOBT? OJ^ OTHE ^FINANCES. Comparison of disbursements, fiscal years 1916 and 1917—Continued. Pensions TrjtP.rest OU thft public df'-bt Deduct, repayments received ia. fiscal year but not covered by warrant Add repayments covered by warrant in year subsequent to the deposit thereof. Ordinary disbursements i Special disbursements: Purchase of obligations of foreign governments Payment for Danish West Indies Subscriptions to stock. Federal land banks •. Total special disbursements.. Panama Canal disbursements .... 1917 1916 $160,318,405.66 24,742,129.42 $159,302,351.20 22,900,313.03 1,147,761,195.26 723,476,688.40 132,060.91 279,856.81 1,147,619,134.35 723,196,831.59 279,856.81 1,296,167.31 1,147,898,99L 16 724,492.998.90 Increase, 1917. . Decrease,1917. $1,016,054.46 1,841,816.39 442,577,834.38 $18,303, .327.62 147,795.90 442,577,834.38 18,155,531.62 442,577,834.38 19,171,842.12 1,016,310.-50 885,000,000.00 885,000,000.00 25,000,-000.00 25,000,000.00 8,880,315.00 8,880,315.00 918,880^315.00 918,880,315.00 19,262,798.32 17,503,728.07 1,759,070.25 40,564,115.50 13,550.00 24,633,010.50 32,700.00 15,931,105.00 Public debt: Bank-note fund Funded loan of 1907 Certificates of indebtedness— 2 per cent 3 per cent 3^ per cent. . . . ; . 1-year Treasury notes, 3 per cent Miscellaneous redemptions..... Exchanged for conversion bonds and 1-year Treasury notes—Consols of 1930, $36,535,500, Panama Canal bonds, se. ries of 1906 and 1908, $9,430,400. 50,000,000.00 394,123,368.00 188,448,900.00 4,390,000.00 4,848.75 3,203.00 50,000,000.00 394,123,368.00 188,448,900.00 4,390,000; 00 1,645.75 Pubhc debt disbursements... 677,544,782.25 24,668,913.50 652,895,018.75 19,150.00 Total disbursements, exclu2,763,586,886.73 sive of postal Postal Service, payable from postal revenues^ . . . . . . . . . . . . . . . . . . . 319,889,904.46 766,665,640.47 2,016,112,238.38 19,190,992.12 306,228,452.76 13,661,45L70 Total disbursements, iacluding postal 19,150. CO 3,083,476,791.19 1,072,894,093.23 2,029,773,690.08 19,190,992.12 1 Exclusive of Panama Canal, public debt, special disbursements, and Postal Service. 2 Exclusive of grants from the Treasury for deflciencies in postal revenues included in expenses of civil estabhshment, p. 66. SECRETARY OF THE TREASURY. 71 Detailed estimates for the fiscal years 1918 and 1919 follow: Fiscal year 1918. The receipts and disbursements of the Government for the current fiscal year are estimated upon the basis of existing laws, as foUoWs: RECEIPTS. Ordinary receipts:. From customs... From internal revenue— Miscellaneous Excess-profitstax Income tax— Corporations Individuals .: $220,000,000 $973,000,000 1,226,000,000 1 535,000,000 666,000,000 — From sales of public lands. From miscellaneous sources (including $40,000,000 increased postage) 3,400,000,000 1,800,000 265,000,000 Total estimated ordinary receipts 3,886, 800,000 Panama Canal: Estimated receipts from tolls, etc 7,000,000 Publicdebt: First Liberty loan of 1917 (less amount thereof received in 1917) :.. 533,665,000 Second Liberty loan of 1917 3,808, 766,150 One-year Treasury notes. " 9,849,000 Deposits to retire Federal reserve bank notes and national bank notes 4,000, 000 War savings certificates (estimated) 663,200,000 Deposits for postal savings bonds 1, 218, 800 Additional bonds authorized by law to be issued during the year 13, 666,233,850 Total estimated public debt receipts 8,686, 932, 800 Grand total estimated receipts 12,580, 732,800 DISBURSEMKNTS. For civil establishment: Legislative establishment.... " Executive proper, including Tariff Commission State Departnient.. .". Treasury Department proper Public buildings, constmction and sites War-risk insurance War Department proper Department of Justice Post Office Department proper Navy Department proper Interior Department proper Department of Agriculture : 15,164, 000 11,450, 000 7, 568, 000 77,112, 000 12,025,000 145, 300, 000 10,417, 000 11, 777, 000 1, 852.000 1, 834,000 36,483, 000 51, 354,000 1 Amount of bonds authorized by the act of Sept. 24, 1917, $7,538,946,460, of which $3,808,766,150 have been issued, and $63,946,460 are to be applied to the redemption in the fiscal year 1919 of the loan of 19081918. 72 REPORT OK THE FINANCES. DISBURSEMENTS—Continued. Department of Commerce Department of Labor. Shipping Board Food and Fuel Administration Council of National Defense .' Interstate Commerce Cominission Other independent offices National security and defense Expenses of loans^ Increase of compensation District of Columbia. .\,. , $16,275,000 5, 617,000 901,129,150 152, 500,000 500,000 5, 616,000 4,138, 950 ^73,141, 800 22, 316, 000 15, 000,000 15,000,000 Total civil establishment 1, 593, 569, 900 For War Department: Military Establishment (including $8,668,000,000 for war purposes). $8,790,798,000 Rivers and harbors. 35,080,000 Miscellaneous War, Civil 7, 972,000 8,833,850,000 For Navy Department (including $1,300,000,000 for war purposes): Naval Establishment, exclusive of building programs 966,150,000 Navy building program, new 295,000,000 Navy building program, prior years. 205,000,000 — 1,466,150,000 For Indian Service '20,930,000 Forpensions... ..^ 160,000,000 For interest on the public debt ^ 241, 795,323 Total estimated ordinary disbursements 12,316, 295, 223 Special disbursements: Purchase of obligations of foreign governments * 6,115, 000,000 Panama Canal: Disbursements for the canal 23, 593, 000 Public debt: Certificates of indebtedness 285,632,732 One-year Treasury notes 9,849,000 Retirements of bank notes 25,000,000 Miscellaneous redemptions of the debt 50,000 Amount of redemption of bonds necessary to offset estimated issue of postal savings bonds Jan. 1, 1918 500.000 Total estimated public debt disbursements Grand total estimated disbursements 321, 031, 732 18, 775, 919, 955 Estimated excess of ordinary disbursements over ordinary receipts, fiscal year 1918 8,429,495,223 Estimated excess of total disbursements over total receipts, fiscal year 1918.. , 6,195,187,155 »Unallotted balance on Nov. 3,1917. 2 E xclusive of cost of any loans that may be hereafter authorized. »Exclusive of iaterest on any loans that may hereafter be authorized. «Total authorized purchases of obligations of foreign governments, $7,000,000,000, of which $885,000,000 were purchased in the fiscal year 1917. SECEETARY OF THE TREASURY. 73 POSTAL SERVICE. The Post Office Department estimates that under existing laws the postal revenues for the fiscal year 1918 will probably be $339,600,000, exclusive of increased postage to be deposited in the Treasury under the law, with expenditures for the Postal Service for the same period of approximately $333,200,000. Fiscalyear 1919. It is estimated that upon the basis of existing laws the receipts and disbursements for the fiscal year 1919 will be: RECEIPTS. Ordinary receipts: From customs From internal revenue— Miscellaneous. Excess-profits tax Income tax— Corporations Individuals $230,000,000 $998,000,000 1,226,000,000 : 535, 000, 000 666,000,000 3,425,000,000 From sales of public lands. 1,800,000 From miscellaneous sources (including $60,000,000 increased postage) 433,215,000 Total estimated ordinary receipts 4,090,015,000 Panama Canal: Estimated receipts from tolls, etc 7,700 000 Publicdebt: Bonds authorized for redemption of loan of 1908-1918 $63,945,460 War-savings certificates (estimated) 1,009,200,000' Deposits to retire Federal reserve bank notes and national bank notes. 4,000,000 Deposits for issue of postal savings bonds 1,200,000 Total estimated public-debt receipts Grand total estimated receipts 1,078, 345,460 , 5,176, 060,460 DISBURSEMENTS. For civil establishment: Legislative establishment Executive proper, including Tariff Commission State Department Treasury Department proper Public buildings, construction and sites War-risk insurance. War Department proper : Department of Justice Post Office Department proper Navy Department proper Interior Department proper ,. Department of Agriculture - 15,000,000 1,200,000 7,082,000 81,260,000 15,000,000 81,000,000 14,899,600 12,000,000 1,800,000 2,000,000 34,500,000 47,520,000 74 EEPOET ON-THE FINANCES. DISBURSEMENTS—COUtiuued. For civil establishment—Continued. Department of Commerce Department of Labor Shipping Board.. Food and Fuel Adminstration Council of National Defense Interstate Coinmerce Commission Other independent offices. District of Columbia : Expenses of loans^ $17,500,000 6, 989, 000 899,517, 500 7, 500, 000 900,000 5, 645,000 6,400, 000 17, Oil, 000 6,400, 000 Total civil establishment. 1,281,124,100 For War Department: Military Establishment, including $9,512,272,000 for war purposes $9,912, 272, 000 Rivers and harbors 24,000,000 Miscellaneous, War, Civil 12,360,000 •' 9,948,632,000 For Navy Department, including $613,000,000 for war purposes: Naval Establishment, exclusive of building program 610,230,000 Navy building program 206,140, 000 816,370,000 For Indian Service 19,500,000 For pensions. 157, 000, 000 For interest on the public debt^ 479, 212, 880 Total estimated ordinary disbursements Panama Canal: Disbursements for the canal. Public debt: Redemption of loan of 1908-1918 Retirements of Federal reserve bank notes and national bank notes. Miscellaneous redemptions of the debt Amount of redemption of bonds necessary to offset estimated issue of postal savings bonds.. 12,701,838,980 23,000,000 63,945,460 14,000,000 50,000 1,200,000 79,195,460 Grand total estimated disbursements 12,804,034,440 Estimated excess of ordinary disbursements over ordinary receipts, fiscalyear 1919 8,611,823,980 Estimated excess of total disbursements over total receipts, fiscal year 1919 7,627,973,980. 1 Exclusive of cost of any loans that may hereafter be authorized. 2 Exclusive of interest on any loans that may hereafter be authorized. SECRETARY OF THE TREASURY. 75 SUMMARY. Estimated results to the close of thefiscal year 1919, beginriing unth the balance in the gen' eral fund of the Treasury June SO, 1917. Fiscal year 1918. Balance in the Treasury June 30, 1917, as per financial statement of the United States Government Settlement warrants, coupons, and checks outstanding: Treasury warrants........... Matured coupons Interest checks Disbursing officers' checks — Balance in the Treasury June 30, 1917, free tions Add— Estimated ordinary receipts Estimated Panama Canal receipts, tolls, etc........ Estimated public debt receipts, including $663,200,000 from war savings certificates and $3,666,233,850 from bonds already authorized but yet to be issued.. . $1,119, 764, 531.68 $4,137,066.55 570,330.79 357,454.86 47, 716,318.41 — 52, 781,170. 61 of current obliga, 11,066,983,361.07 $3,886, 800,000.00 . 7,000,000.00 - . 8, 686,932,800. 00 12, 580, 732,800. 00 Deduct— . Estimated Estimated Estimated Estunated 13,647,716,16L 07 ordinary disbursements ^ 312,316,295,223.00 special disbursements 6,115,000,000.00 Panama Canal disbursements. 23,593,000.00 public debt disbursements 321,031,732. 00 ' • 18,775,919, 955. 00 Estimated deficit in general fund June 30,1918. 5,128,203, 793. 93 Estimated, additional amount of money to be provided, including $500,000,000 working balance, $5, 640,000,000. Fiscal year 1919. . Estimated ordinary' receipts Estimated Panama Canal receipts, tolls, etc Estimated public debt receipts, including $1,009,200,000 war savings certificates and $63,945,460 bonds authorized but yet to be issued "., 4,090,015,000 7,700,000 1, 078, 345,460 5,176,060,460 1 The balance ia the Treasury of $1,066,983,361.07 includes $100,664,023.24 disbursiag officers' credits, after deducttag outstanding checks, and is free of all current obhgations, the entire amount being available for the future expenditures of the Government. 2 Exclusive of cost of any loans that may hereafter be authorized. 8 Exclusive of interest on any loans that may hereafter be authorized. 76 REPORT ON THE FINANCES. - ^ • • - Deduct— Estimated ordinary disbursements * 2 |i2,701,838,980 Estimated. Panama Canal disbursements. 23,000,000 Estimated public debt disbursements 79,195,460 —: : $12,804,034,440 Estimated excess of disbursements, fiscal year 1919. 7,627,973,980 Estimates^ fiscal year 1919. The estimates of appropriations for the fiscal year 1919, as submitted by the executive departments and offices, are as follows: Legislative establishment Executive establishment: Executive proper Department of State. Treasury Department War Department proper State, War, and Navy Department Building, expenses Navy Department proper Department of Interior Post Office Department Department of Agriculture Department of Commerce Department of Labor. Department of Justice Judicial establishment Foreign intercourse Military Establishment: Support of the Army Military Academy National Guard $8, 026, 325. 09 $904,960.00 708, 260. 00 31,506,853. 50 14, 254, 255. 50 234, 900.00 2, 237, 780.00 6,023, 595.00 1, 825, 340.00 26,458, 551.00 5,400, 575.00 1, 596, 620.00 636, 230.00 ^ 91,787,920. 00 1, 396,190. 00 6, 535,071. 66 6,609,856,799.15 5,713,254.57 366, 500. 00 6, 615, 936, 553. 72 Naval Establishment, including' increase of the Navy, $212,488,000 1, 014,077, 502. 84 Indian affairs 12, 255,210.00 Pensions 1^7,060,000.00 Public works: Legislative .32,060.51 Treasury Department, public buildings and ' works. 8,264,209.00 War Department— MilitaryFortifications .. $3,332,445,122.57, Arsenals 78,070,100.00 Mihtary posts.. 17,198,275.17 . Rivers and harbors.. 29,515,697.96 Other civil pubhc works 948,430.00 : 3,458,177,625.70 PanamaCanaL.. 23,171,624.00 Navy Department 25,783,000.00 1 Exclusive of cost of any loans that may hereafter be authorized. .»Exclusive of interest on any loans that may hereafter be authorized. SECRETARY OF THE TREASURY. Public works—Continued. Department of Interior, including reclamationfund.. Department of Commerce Department of Labor Department of Justice 77 $9,834,160.00 1,831,000.00 738, 500.00 257,500.00 : $3,528,089,679.21 Postal Service, payable from postal revenues 331,818,345.00 Miscellaneous: Legislative 7,161,442.40 Executive 337,000.00 TreasuryDepartment 34,941,030.00 War Department..; 7,758,115. 00 Department of Interior 15,914,657. 35 Department of Commerce • 10,499,490. 00 Department of Labor 4,950,431. 25 Department of Justice 9,934,834. 70 District of Columbia ^ 17,502,324. 99 United States Shipping Board 899,517,500. 00 United States Food Administration 5,000,000. 00 United States Fuel Adininistration .2,500,000. 00 United States Employees' .Compensation Cominission. 497,810.00 Council of National Defense 970,000. 00 National Advisory Comcaittee for Aeronautics , 260,000.00 Smithsonian Institution a;nd National Museum 814,441.43 Interstate Commerce Comndssion 5,645,000.00 Board of Mediation and Conciliation 50,000.00 Federal Trade Commission. 1,429,240.00 Arhngton Memorial Bridge Commission 25,000.00 Rock Creek and Potomac Parkway Commission 500,000.00 1,026,208,317.12 Permanent annual appropriations: Interest on the public debt 479,212,880.00 • Refunds— Customs and internal revenue 21,343,000. 00 . Other refunds 11,208,300.00 SinHng fund : 153,814,000.00 Miscellaneous 45, 588, 645. 00 711,166,825.00 Total estimated appropriations for 1919 . 13,504,357,939. 64 Deduct: Postal Service payable from postal revenues, $331,818,345; sinking fund requirement, $153,814,000; Panama Canal, $23,171,624; an aggregate of 508,803,969.00 Total estimates for ordinary appropriations ioi 1919 .0.12,995,553,970.64 78 REPORT ON THE FINANCES. Add estimates for Panama Canal appropriations for 1919 $23,171,624.00 Total estimated appropnations for 1919, to become a charge upon the general fund 13,018,725,594.64 Estimated ordinary receipts for 1919 Estimated ordinary disbursements for the year Estimated excess of ordinary disbursements over ordinary receipts Estimated total receipts for 1919.....' Estimated total disbiu'sements for the year Estimated excess of total disbursements over total receipts. 4,090,015,000. 00 12, 701,838, 980. 00 8,611, 823,980. 00 5,176,060, 460. 00 12, 804,034,440. 00 7,627,973,980. 00 POSTAL SERVICE. The Post Office Department estimates that the postal revenues for the fiscal year 1919 will probably amount to $349,800,000, exclusive of increased postage to be deposited in the Treasury under the law. with expenditures for the Postal Service for the same period, under existing laws, of $353,200,000. E S T I M A T E S FOR 1 9 1 9 A N D APPROPRIATIONS FOR 1 9 1 8 . Comparison of the estimates for 1919 with the appropriations for 1918 shows an increase in the 1919 estimates of $1,622,364,327.05, including the Panama Canal, as exhibited in the tables following: SECRETARY OF THE TREASURY, 79 Statement of estimates of appropriations for 1919 increased over appropriations for 1918. [Excluding sinkiag-fund requirements, postal service payable from the postal revenues, and pubhc debt.] Departments, etc. 1919 estimates, 1918 appropriamcluding including perma- tions, permanent nent annual. annual. Increase, 1919 estimates over 1918 appropriations (+); decrease (—). Legislative , $15,220,628.00 $15,753,378.57 $532,750.57 Executive: 861,780.00 358,280,00 Executive proper , 503,500.00 100,000,000.00 National security and defense 100,000,000.00 10,000,000.00 Purchase and sale of nitrates 10,000,000. oa . 300,000.00 300,000.00 Tariff Commission 360,910.00 583,680.00 Civil Service Commission 222,770.00 Department of State: 593,820.00 708,260.00 Department of State proper 114,440.00 5,974,886.66 Foreim intercourse 6,641,07L66 666,185.00 Treasury Department: Treasury Department, exclusive of pubhc buildings 74,850,878.55 84,930,883.50 10,080,004.95 14,717,731.18 8,264,209.00 Pubhc buildings 6,453,522.18 221,400,000.00 4,000,000.00 War risk insurance i 217,400,000.00 War Department: 8,765,312.00 War Department proper 14,254,255.50 5,488,943.50 Mihtary Estabhshment— (Estimates for Mihtary Establishment for 1919, $10,043,725,051.46; appropriations for 1918, $7,466,622,554.46.) Army 6,609,931,799.15 6,235,142,298.49 +1,374,789,500.60 1,374,646.18 + Mihtary Academy 5,713,254.57 4,338,608.36 13,512,000.00 - - 13,145,500.09 366,500.00 National Guard. 3,332,445,122.57 2,177,542,148.00 +1,154,902,974.50 Fortifications 33,472,200.00 + 78,070,100.00 " Arsenals 44,597,900.07 5,579,261.79 17,198,275.17 Military posts and miscellaneous. 11,619,013.38 38,295,850.00 33,080,297.96 Rivers and harbors 5,215,552.04 12,654,000.00 11,539,545.00 Miscellaneous war, civil items 1,114,455.00 Navy Department: 1,834,278.00 Navy Department proper 2,237,780.00 403,502.00 Naval Establishment— (Estimates for Naval. Estabhshment for 1919, $1,045,676,247.84; appropriations for 1918, $1,595,102,177.45.) Naval Establishment, excmsive of building program 833,188,247.84 1,177,339,854.45 344,151,606.61 Navy building program 417,762,323.00 - 205,274,323.00 212,488,000.00 Department of the Interior: Department ot the Interior, exclusive of In38,692,852.57 dians and pensions 35,014,912.35 3,677,940.22 Pensions. ^ 160,060,000.00 157,060,000.00 3,000,000.00 Indians 18,821,631.97 + 19,455,210,00 633,578.03 Post Oflice Department: Post Oflice Department, exclusive of Postal 1,943,260.00 Service 1,825,340.00 117,920.00 56,889,546.60 49,193,551.00 Department of Agriculture 7,695,995.60 13,605,935.00 17,734,065.00 Department of Commerce 4,128,130.00 5,452,836.75 7,285,551.25 Department of Labor , 1,832,714.50 11,349,716.00 12,400,254.70 Department of Justice 1,050,538.70 Independent oflices: 642,752. 874,441.43 Smithsonian Institution and National Museum 231,689.11 5,466,666. 5,645,000.00 Interstate Commerce Commission 178,333.34 772,920. 1,429,240.00 Federal Trade Commission 656,320.00 50,000. 50,000.00 Board of Mediation and Conciliation 25,000.00 Arhngton Memorial Bridge Commission 25,000.00 899,517,500.00 1,040,517,500. United States Shippiag Board 141,000,000.00 152,500,000. 7,500,000.00 Food and Fuel Administration 145,000,000.00 500,000. 970,000.00 Council of National Defense. ^ 470,000.00 1,860,000. 2,512,000.00 Federal Board for Vocational Education 652,000.00 107,000. 260,000.00 National Advisory Committee for Aeronautics 153,000.00 100,000. 100,000.00 Waterways Commission 550,000. 497,810.00 52,190.00 Employees Compensation Commission 100,000. 500,000.00 400,000.00 Rock Creek and Potomac Parkway Commission 243,040. 234,900.00 8,140.00 State, War, and Navy Department Buildiag. 25,000. 25,000.00 Indigent in Alaska rehef fund 15,318,430. 18,411,124.99 3,092,694.14 District of Columbia 241,795,323. 479,212,880.00 237,417,557.00 Interest on the pubhc debt 22,316,000. 6,400,000.00 15,916,000.00 Expenses of loans 15,000,000. 15,000,000.00 Increase of compensation Ordinary '. Panama Canal 12,995,553,970.64 11,372,767,968.59 +1,622,786,002.05 23,593,299.00 23,171,624.00 421,675.00 Total. 13,018,725,594.64 11,396,361,267.59 +1,622,364,327.05 80 REPORT. ON THE FINANCES. Exhibit of appropriations for 1918. Appropriations made for the fiscal year 1918 and for prior years during the second session of the Sixty-fourth Congress and first session of the Sixty-fifth Congress, including revised estimated permanent and indefinite appropriations, and appropriations for the Postal Service payable from postal revenues $18,881,940, 243.79 Deduct: Postal Service for 1918 payable from the postal revenues $331,851,170.00 Postal deficiencies of prior years payable from postal revenues * 3,845,175.12 Deficiencies and supplementals for prior years 89,134,631.08 Sinking fund 60, 748,000.00 Purchase of obligations of foreign governments 7,000,000,000.00 7,485,578,976.20 Total appropriations for 1918, exclusive of sinking fund req^iirements, deficiencies, and Postal Service payable from postal revenues 11,396,361, 267.59 Agreeing. with the appropriations for 1918 shown in the preceding table, against which the estimates of appropriations submitted for 1919 show an increase of $1,622,786,002.05 in the ordinary and $1,622,364,327.05, including the Panama Canal. Attention is respectfully called to further divisions of this report, to wit, the condensed annual reports of the various bureaus and divisions of the Treasury Department, and the tables accompanying the report on the finances. W. G. MCADOO, Secretary. To the SPEAKER OF THE HOUSE OF REPRESENTATIVES. EXHIBITS ACCOMPANYMGf THE REPORT ON THE P I M N C E S . 13034°—FI 1917 6 , 81 EXHIBITS. E X H I B I T A. [PUBLIC—No. 3—65TH CONGRESS.] [H.R. 2762.] An Act To authorize an issue of bonds to meet expenditures for the national security and defense, "and, for the purpose of assisting in the prosecution of the war, to extend credit to foreign governments, and for other purposes. Be it enacted hy the Senate and House of Representatives ofthe United States of America in Congress assembled. That the Secretary of the Treasury, with the approval of the President, is hereby authorized to borrow, from time to time, on the credit of the United States for the purposes of this Act, and to meet expenditures authorized for the national security and defense and other public purposes authorized by law not exceeding in the aggregate $5,000,000,000, exclusive of the sums authorized by section four of this Act, and to issue therefor bonds of the United States. The bonds herein authorized shall be in such form and subject to such terms and conditions of issue, conversion, redemption, maturities, payment, and rate and time of payment of interest, not exceeding three and one-half per centum per annum, as the Secretary of the Treasury may prescribe. The principal and interest thereof shaU be payable in United States.gold coin of the present standard of value and shaU be exempt, both as to principal and interest, from all taxation, except estate or inheritance taxes, imposed by authority of the United States, or its possessions, or by dmj State or local taxing authority; but such bonds shall not bear the circulation privilege. The bonds herein authorized shall first be offered at not less than par as a popular loan, under such regulations prescribed by the Secretary of the Treasury as wiU give all citizens of the United States an equal opportunity to participate therein; and any portion of the bonds so offered and not subscribed for may be otherwise disposed of at not less than par by the Secretary of the Treasury; but no commissions shall be allowed or paid on any bonds issued under authority of this Act. SEC. 2. That for the purpose of more effectually providing for the national is ecurity and defense and prosecuting the war by estabhshing credits in the United States for foreign governments, the Secretary of the Treasury, with the approval of the President, is hereby authorized, on behalf of the United States, to purchase, at par, from such foreign governments then engaged in war with the enemies of the United States, their obligations hereafter issued, bearing the same rate of interest and containing in their essentials the same terms and conditions as those of the United States issued under authority of this Act; to enter into such arrangements as may be necessary or desirable for establishing such credits and for purchasing such obligations of foreign governments and for the subsequent payment thereof before maturity, but such arrangements shall provide that if any of the bonds of the United States issued and used ior the purchase of such foreign obligations shall thereafter be converted into other bonds of the United States bearing a higher rate of interest than three and one-half per centum per annum under the 83 84 REPORT ON THE FINANCES. provisions of section five of this Act, then and in that event the obhgations of such foreign governments held by the United J States shall be, by such foreign governments, converted in Hke maimer and extent into obligations bearing the same rate of interest as the bonds of the United States issued under the provisions of section five of this Act. .-For the purposes of this section there is appropriated, out of any money in the Treasury not otherwise appro- . priated, the sum of $3,000,000,000, or so much thereof as may be necessary: Provided, That the authority granted by this section to the Secretary of the Treasury to purchase bonds from foreign governments, as aforesaid, shall cease upon the termination of the war between the United States and the Imperial German Government. SEC. 3. That the Secretary of the Treasury, under such terms and conditions as he may prescribe, is hereby authorized to receive on or before maturity payment for any obligations of such foreign governments purchased on behalf of the United States, and to sell at not less than the purchase price any of such obhgations and to apply the proceeds thereof, and any payments made by foreign governments on account of their said obhgations to the redemption or purchase at not more than par and accrued interest of any bonds of the United States issued under authority of this Act; and if such bonds are not available for this purpose the Secretary of the Treasury shall redeem or purchase any other outstanding interest-bearing obligations of the United States which may at sucn time be subject to call or which may be purchased at not more than par and accrued interest. SEC. 4. That the Secretary of the Treasury/in his discretion, is ^ hereby authorized to issue the bonds not aheady ..issued heretofore' authorized by section thirty-nine of the Act approved August fifth,! nineteen hundred and nine, entitled ^^An Act to*'provide revenue,! equalize duties, and encourage the industries of^^the.United States,' and for other purposes''; section one hundred'and twenty-four of the Act approved June third, nineteen hundred and sixteen, entitled ^^An Act for making further and more effectual provision for the national defense, and for other purposes/'; section thirteen of the Act of September seventh, nineteen hundred and sixteen, entitled ^^ An Act to establish a United States shipping board for the purpose of encouraging, developing, and creating a naval auxiliary and a naval reserve and a merchant marine to meet the requirements of the commerce of the United States with its Territories and possessions and with foreign countries, to regulate carriers by water engaged in the foreign and interstate commerce of the United States, and for other purposes"; section four hundred of the Act approved March third, nineteen hundred and seventeen, entitled ^^An Act to provide increased revenue to defray the expenses of the increased appropriations for the Army and Navy and the extensions of fortifications, and for other purposes"; and the public resolution approved March fourth, nineteen hundred and seventeen, entitled ^^ Joint resolution to expedite the delivery of materials, equipment, and munitions and to secure more expeditious construction of ships," in the manner and under the terms and conditions prescribed in section one of this Act. That the Secretary of the Treasury is hereby authorized to borrow on the credit of the United States from time to time, in addition to SECRETARY OF THE TBEASUEY. 85 the sum authorized in section one of this Act, such additiona,l amount, not exceeding $63,945,460 as may be necessary to redeem the three per cent loan of nineteen hundred and eight to nineteen hundred and eighteen, maturing August first, nineteen hundred and eighteen, and to issue therefor bonds of the United States in the manner and under the terms and conditions prescribed in section one of this Act. SEC. 5. That any series of bonds issued under authority of sections one and four of this Act may, under such terms and conditions as the Secretary of the Treasury may prescribe^' be convertible into bonds :bearing a higher rate of interest than the rate at which the same were issued if any subsequent series of bonds shall be issued at a higher rate of interest before the termination of the war between the United States and the Imperial German Government, the date of such termination to be fixed by a proclamation of the President of the United States. ^ ^ SEC. 6. That in addition to the bonds authorized by sections one and four of this Act, the Secretary of the Treasury is authorized to borrow from time to time, on the credit of the United States, for the purposes of this Act and to meet pubhc expenditures authorized by law, such sum or sums as, in his judgment, may be necessary, and to issue therefor certificates of indebtedness at not less than par in such form and subject to such terms and conditions and at such rate of interest, not exceeding three and one-half per centum per annum, as he may prescribe; and each certificate so issued shall be payable, with the interest accrued thereon, at such time, not exceeding one year from the date of its issue, as the Secretary of the Treasury may prescribe. Certificates of indebtedness herein authorized shall not bear the circulation privilege, and the sum of such certificates outstanding shall at no time exceed in the aggregate $2,000,000,000, and such certificates shall be exempt, both as to principal and interest, from all taxation, except estate or inheritance taxes, imposed by authority of the United States, or its possessions, or by any State or local taxing authority. SEC. 7. That the Secretary of the Treasury, in his discretion, is hereby authorized to deposit in such banks and trust companies as he may designate the proceeds, or any part thereof, arising from the sale of the bonds and certificates of indebtedness authorized by this Act, or the bonds previously authorized as described in section four of this Act, and such deposits may bear such rate of interest and be subject to such terms and conditions as the Secretary of the Treasury may prescribe: Provided, That the amount so deposited shall not in any case exceed the amount withdrawn from any such bank or trust company and invested in such bonds or certificates of indebtedness plus the amount so invested by such bank or trust company, and such deposits shall be secured in the manner required for other deposits by section fifty-one hundred and fifty-three, Revised Statutes, and amendments thereto: Provided further, That the provisions of section fifty-one hundred and ninety-one of the Revised Statutes, as amended by the Federal Reserve Act and the amendments thereof, with reference to the reserves required to be kept by national banking associations and other memberbanks of the Federal Reserve System, shall not apply to deposits of pubhc moneys by the United States in designated depositaries. 86 BEPORT ON THE FINANCES. SEC.-8.. That in order to pay all necessary expenses,^including rent, connected with any operations under this Act, a.sum not exceeding one-tenth of one per centum of the amount of bonds and onetenth of one per centum of the amount of certificates of indebtedness herein authorized is hereby appropriated, or as much thereof as may be necessary, out of any money in the Treasury not otherwise appropriated, to be expended as the Secretary of the Treasury may direct: Provided, That, in addition to the reports now required by law, the Secretary of the Treasury shall, on the first Monday in December, nineteen hundred and seventeen, and annually thereafter, transmit to the Congress a detailed statement of all expenditures under this Act. Approved, April 24, 1917. E X H I B I T B. LIBERTY LOAN. 1917. Department Circular No. 78. TREASURY DEPARTMENT, O F F I C E OF THE SECRETARY, . Loans and Currency. Washington^ May IJ^^ 1917. The Secretary of the Treasury invites subscriptions at par and accrued interest from the people of the United States of America for $2,000,000,000 of the 15/30-year 3^ per cent gold bonds oi an issue authorized by act of Congress approved April 24, 1917. DESCRIPTION OF BONDS. Bearer bonds, with interest coupons attached, will be issued in denominations of $50, $100, $500, and $1,000. Bonds registered as to principal and interest will be issued in denominations of $100, $500, $1,000, $5,000, $10,000, $50,000, and $100,000. Provision will be made for the interchange of bonds of different denominations and of coupon and registered bonds, upon payment, if the Secretary of th.e Treasury shall require, of a charge not exceeding $1 for each new bond issued upon such exchange. Transfers of registered bonds and exchanges of registered and coupon bonds and of bonds of different denominations will not be made until October 1, 1917^ or such later date as may be designated by the Secretary of the Treasury. The bonds will be dated J u n e 15,1917, and will bear interest at thei rate of 3^ per cent per annum from that date, payable semiannually on December 15 and June 15. The bonds will mature June 15, 1947, but the issue may be redeemed on or after June 15, 1932, in whole or in part, at par and accrued interest, on three months' published notice, on any interest day; in case of partial redemption the bonds to be redeemed to be determined by lot by such method as may be prescribed by the Secretary of the Treasury. The principal and intere'st: of the bonds will be payable in United States gold coin of the present standard of value, and the bonds will be exempt, both as to principal and interest, from all taxation, except estate or inheritance taxes, imposed by authority of the United States or its possessions, or by any State or local taxing authorities. The bonds will not bear the circulation privilege, but will be receivable as security for deposits of public money. If any subsequent series of bonds (not including Treasury certificates of indebtedness and other short-term obligations) shall be issued by the United States at a higher rate of interest than 3J per cent per annum before the termination of the war between the United States of America and the Imperial German Government (the date of such termination to be fixed by a proclamation of the President of the United States), the holders of any of the bonds of the present issue shall have the privilege of converting the same, within such • 87 88 REPORT ON T H E FINANCES. period and upon such further terms and conditions covering matters of detail as the Secretary of the Treasury may prescribe, into an equal par amount of bonds bearing such higher rate of interest and substantially identical with the bonds of such new series, except that the bonds issued upon such conversion are to be identical with the bonds of the present series as to maturity of principal and interest and terms of redemption. < APPLICATIONS. The agencies designated by the Secretary of the Treasury to receive applications for the bonds now offered are the Treasury Department in Washington, D. C , and the Federal Reserve Banks ill Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta (with branch at New Orleans), Chicago, St. Louis, Minneapolis, Kansas City, Dallas, and San Francisco. Said banks have been designated also, as fiscal agents of the United States, to collate applications and to give notices of the allotments which the Secretary of the Treasury will eventually make to subscribers and to issue interim certificates for payments made on allotted subscriptions. Large numbers of National banks. State banks and trust companies, private bankers, express companies, newspapers, department stores, and other private corporations, firms, and organizations have patriotically offered to receive and transmit applications for the Liberty loan without expense to the United States or to the applicants. The Secretary of the Treasury, appreciating the value of these offers, will have application blanks widely distributed throughout the country to these private institutions and also to the post offices and subtreasuries. Individual subscribers may use these conA^eniences or may send their applications directly to the Treasury Department at Washington and to the Federal reserve banks. As the law prohibits the allowance or payment of commissions on subscriptions all those through whom applications are made render service as a patriotic duty without compensation. All applications must be in the form prescribed by the Secretary of the Treasury and be accompanied by a payment of 2 per cent of the amount of bonds applied for. Applications must be for $50 or any multiple thereof, but any application for qne $50 or $100 bond until further notice may be allotted at once and payment in full accepted against delivery of an interim certificate. Applications must reach the Treasury Department or a Federal reserve bank not later than noon, June 15, 1917, the right being reserved by the Secretary of the Treasury to close the subscription on any earlier date. ALLOTMENTS. Allotments will be made as soon after June 15 as possible. The Secretary of the Treasury reserves the right to reject any subscriptions, or to make allotment of part of the amount subscribed for, and to allot in full upon applications for smaller amounts of bonds, even though it may be necessary to reduce allotments on applications for larger amounts, should any such action be deemed by him to be in the public interest; and his decision in these respects will be final. I n any case of the rejection of an application the accompanying pay- SECRETARY OF TI-IE TREASURY, 89 ment of 2 per cent of the amount applied for will be returned. I n case of partial allotment the 2 per cent payment will be retained and any excess applied upon the next installment. Upon allotment of bonds by the Secretary of the Treasury, the subscriber will receive notice thereof signed by or on behalf of the Federal reserve bank of his district. Unless and until payment in full has been made, further payments must be made when and as below provided under penalty of forfeiture of any and all installments previously paid and of all right or interest in the bonds allotted. PAYMENTS. The dates for payment in installments are as follows: Two per cent on application; 18 per cent on June 28, 1917; 20 per cent on July 30, 1917; 30 per cent on August 15, 1917; 30 per cent on August 30, 1917. I t is strongly recommended that subscribers avail themselves of the assistance of their own banks and trust companies. I n cases where they do. not do so, subscribers should make payment, either in cash to the Treasury Department in Washington or one of the Federal Reserve Banks, or by bank draft, check, post-office money order, or express company money order, made payable to the order of the Treasurer of the United States if the application is filed with the Treasury Department in Washington (thus: "Treasurer of the United States, LiBerty Loan Account''), or, if the application is filed elsewhere, made payable to the order of the Federal reserve bank of the district in which the application is filed (thus: " Federal Reserve Bank of —, Liberty Loan Account"). All checks must be certified. United States certificates of indebtedness issued under the act of April 24, 1917, will be received at par and accrued interest to date of settlement in making payment in full or in installments. > Interim certificates for installment payments due on or after June 28 will be issued by or on behalf of the Federal reserve banks as fiscal agents of the United States, and delivered as far as practicable in accordance with written instructions given by subscribers. Upon payment of the installment due June 28, the notice of allotment must be surrendered, and upon payment of each subsequent installment the interim certificate must be presented to the Federal reserve bank which issued the certificate for notation thereon of the fact of such payment, or for exchange for a new certificate. After full payment such certificates must be surrendered in exchange for the bonds when prepared. Payments of installments must be made upon the dates above stated until full payment has been made. Payment in full may be made on and after allotment and before August 30,19i7, if two weeks prior notice in writing of the intention to make such payment, stating the date upon which such payment will be made, shall have been filed with the Federal reserve bank of the district in which the subscriber will make payment; but such notice shall not be required in.case of any allotment of not exceeding $10,000 bonds or when payment is to be made in Treasury certificates of indebtedness. As the bonds will carry six months interest payable December 15, 1917, interest accruing on the bonds allotted, from June 15, 1917, to the date of full and final payment, must be added to the last payment. 90 REPOET ON THE FINANCES. credit-being given for interest at the like rate upon the several installment payments as follows:. As to 2 per cent of the amount of bonds allotted upon application, from June 15, 1917, and, as to subsequent installments duly paid, from the respective dates upon which payment thereof is required to be made as above provided. Tables showing the amount of accrued interest payable on' August 30 in case payment is made in installments, and the amount of accrued interest payable upon various dates in case payment is made in full prior to August 30 as herein permitted, will be prepared and furnished through the Treasury Department in Washington and the Federal reserve banks. Within the United States and its Territories and insular possessions, bonds when prepared will be delivered so far as practicable in accordance with the written instructions of the holders of the interim certificates upon surrender to the Treasury Department in Washington, or the Federal reserve bank which issued the certificate, of interim certificates full-paid or accompanied by payment of the final installment. The expense of delivery will be borne by the United States. Delivery of definite bonds to holders of full-paid interim certificates will commence as soon as practicable after June 28. Further details may be announced by the Secretary of the Treasury from time to time, information as to which as well as forms for applications may be obtained from the Treasury Department and any Subtreasury or Federal reserve bank. W. G. MCADOO, Secretary of the Treasury. E X H I B I T C. [PUBLIC—No. 43—65TH CONGRESS.] [H. R. 5901.] An Act To authorize an additional issue of bonds to meet expenditures for the national security and defense, and, for the purpose of assisting in the prosecution of the war, to extend additional credit to foreign Governments, and for other purposes. Be it enacted ly the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Treasury, with the approval of the President, is hereby authorized to borrow, from time to time, on the credit pf the United States for the purposes of this Act, and to meet expenditures authorized for the national security and defense and other public purposes authorized by law, not exceeding in the aggregate $7,538,945,460, and to issue therefor bonds of the United States, in addition to the $2,000,000,000 bonds already issued or offered for subscription under authority of the Act approved April twentyfourth, nineteen hundred and seventeen, entitled ^An Act to authorize an issue of bonds to meet expenditures for the national security and defense, and, for the purpose of assisting in the prosecution of the war, to extend credit to foreign governments, and for other purposes": Provided, That of this sum $3,063,945,460 shall be in lieu of that amount of the unissued bonds authorized by sections one and four of the Act-approved April twenty-fourth, nineteen hundred and seventeen, $225,000,000 shall be in lieu of that amount of the unissued bonds authorized by section thirty-nine of the Act approved August fifth, nineteen hundred and nine, $150,000,000 shall be in lieu of the unissued bonds authorized by the joint resolution approved March fourth, nineteen hundred and seventeen, and $100,000,000 shall be in lieu of the unissued bonds authorized by section four hundred of the Act approved March third, nineteen hundred and seventeen. The bonds herein authorized shall be in such form or forms and denomination or denominations and subject to such terms and conditions of issue, conversion, redemption, maturities, payinent, and rate or rates of interest, not exceeding four per centum per annum, and time or times of pajmient of interest, as the Secretary of the Treasury from time to time at or before the issue thereof may prescribe: The principal and interest thereof shall be payable in United States gold coin of the present standard of value. The bonds herein authorized shall from time to time first be offered at not less than par as a popular loan, under such regulations, prescribed by the Secretary of the Treasury from time to time, as will in his opinion give the people of the United States as nearly as may be an equal opportunity to participate therein, but he may make allotment in fuU upon applications for smaUer amounts of bonds in advance of any date which he may set for the closing of subscriptions and may reject or reduce allotments upon later applications and applications for larger amounts, and may reject or reduce allotments upon apphcations from incorporated 91 92 EEPOET ON THE FINANCE^. banks and trust companies for their own account and make allotment in full or larger allotments to others, and may establish a graduated scale of allotments, and may from time to time adopt any or all of said raethods, should any such action be deemed by him to be in the public interest: Provided, That such reduction or increase of allotments of such bonds shall be made under general rules to be prescribed by said Secretary and shall apply to all subscribers similarly situated. And any portion of the bonds so offered and not taken may be otherwise disposed of by the Secretary of the Treasury in such manner and at such price or prices, not less than par, as he may determine. SEC. 2. That for the purpose of more effectually providing for the national security and defense and prosecuting the war, the Secretary of the Treasury, with the approval of the President, is hereby authorized, on behalf of the United States, to establish credits with the United States for any foreign governments then engaged in war with the enemies of the United States; and, to the extent of the credits so established from time to time, the Secretary of the Treasury is hereby authorized to purchase, at par, from such foreign governments respectively their several obligations hereafter issued, bearing such rate or rates of interest, maturing at such date or dates, not later than the bonds of the United States then last issued under the authority of this Act, or of such Act approved April twenty-fourth, nineteen hundred and seventeen, and containing such terms and conditions as the Secretary of .the Treasury may from time to time determine, or to make advances to or for the account of any such foreign governments and to receive such obligations at par for the amount of any such advances; but the r a t e , or rates of interest borne by any such obligations shall not be less than the highest rate borne by any bonds of the United States which, at the time of the acquisition thereof, shall have been issued under authority of said Act approved April twenty-fourth, nineteen hundred and seventeen, or of this Act, and any such obligations shall contain such provisions as the Secretary of the Treasury may from time to time determine for the conversion of a proportionate part of such obligations into obligations bearing a higher rate of interest if bonds of the United States issued under authority of this Act shall be converted into other bonds of the United States bearing a higher rate of interest, but the rate of interest in such foreign obligations issued upon such conversion shall not be less than the highest rate of interest borne by such bonds of the United States; and the Secretary of the Treasury with the approval of the President, is hereby authorized to enter into such arrangements from time to time with any such foreign Governments as may be necessary or desirable for establishing such credits and for the payment of such obligations of foreign Governments before maturity. For the purposes of this section there is appropriated, out of any money in the Treasury not otherwise appropriated, the sum of $4,000,000,000, and in addition thereto the unexpended balance of the appropriations made by section two of said Act approved April twenty-fourth, nineteen hundred and seventeen, or so much thereof as may be necessary: Provided, That the authority granted by this section to the Secretary of the Treasury to establish credits for foreign Governments, as aforesaid, shall cease upon the termination SECRETARY OF T H E TREASURY. " 93 of the war between the United States and the Imperial German Government. SEC- 3. That the Secretary of the Treasury is hereby authorized, from time to time, to exercise in respect to any obligations of foreign governments acquired under authority of tins Act or of said Act approved April twenty-fourth, nineteen hundred and seventeen, any privilege of conversion into obligations bearing interest at a higher rate provided for in or pursuant to this Act or said Act approved April twenty-fourth, nineteen hundred and seventeen, and to convert any short-time obligations of foreign governments which may have been purchased under the authority of this Act or of said Act approved April twenty-fourth, nineteen hundred and seventeen, into long-time obligations of such foreign governments, respectively, maturing not later than the bonds of the United States then last issued under the authority of this Act or of said Act approved April twenty-fourth, nineteen hundred and seventeen, as the case may be, and in such form and terms as the Secretary of the Treasury may prescribe; but the rate or rates of interest borne by any such longtime obligations at the time of their acquisition shall not be less than the rate borne by the short-time obligations so converted into such long-time obligations; and, under such terms and conditions as he may from time to time prescribe, to receive payment, on or before maturity, of any obligations of such foreign governments acquired on behalf of the United States under authority of this Act or of said Act approved April twenty-fourth, nineteen hundred and seventeen, and, with the approval of the President, to sell any of such obhgations (but not at less than the purchase price with accrued interest unless otherwise hereafter provided by law), and to apply the proceeds thereof, and any payments so received from foreign governments on account of the principal of their said obligations, to the redemption or purchase, at not more than par and accrued interest, of any bonds of the United States issued under authority of this Act or of said Act approved April twenty-fourth, nineteen hundred and seventeen; and if such bonds can not be so redeemed or purchased the Secretary of the Treasury shall redeem or purchase any other outstanding interest-bearing obligations of the IJnited States which may at such time be subject to redemption or which can be purchased at not more than par and accrued iiiterest. SEC. 4. That in connection with the issue of any series of bonds under the authority of section one of this Act the Secretary of the Treasury may determine that the bonds of such series shall be convertible as provided in or pursuant to this section, and, in any such case, he may make appropriate provision to that end in offering for subscription the bonds of such series (hereinafter called convertible bonds). In any case of the issue of a series of convertible bonds, if a subsequent series of bonds (not including United States certificates of indebtedness, war savings certificates, and other obhgations maturing not more than five years from the issue of such obligations, respectively) bearing interest at a higher rate shall, under the authority of this or any other Act, be issued by the United States before the termination of the war between the United States and the Imperial German Government, then the holders of such convertible bonds shall have the privilege, at the option of the several holders, at anv time within such period, after the pubhc offering of bonds of such 94 REPORT ON THE FINANCES. subsequent series, and under such rules and regulations as 'the Secretary of the Treasury shall have prescribed, of converting their bonds, at par, into bonds bearing such higher rate of interest at such price not less than par as the Secretary of the Treasury shall have prescribed. The bonds to be issued upon such conversion under this Act shall be substantially the same in form and terms as shall be prescribed by or pursuant to law with respect to the bonds of such subsequent series, not only as to interest rate but also as to convertibility (if future bonds be issued at a still higher rate of interest) or nonconvertibility, and as to exemption from taxation, if any, and in all other respects, except that the bonds issued upon such conversion shaU have the same dates of maturity, of principal, and of interest, and be subject to the same terms of redemption before maturity, as the bonds converted; and such bonds shall be issued from time to time if and when and to the extent that the privilege of conversion so conferred shall arise and shaU be exercised. If the privilege of conversion so conferred under this Act shall once arise, and shall not be exercised with respect to any convertible bonds within the period so prescribed by the Secretary of the Treasury, then such privilege shall terminate as to such bonds and shall not arise again though again thereafter bonds be issued bearing interest at a higher rate or rates. SEC. 5. That in addition to the bonds authorized by section one of this Act the Secretary of the Treasury is authorized to borrow from time to time, on the credit of the United States, for the purposes of this Act and to meet public expenditures authorized by law, such sum or sums as in his judgment may be necessary, and to issue therefor certificates of indebtedness of the United States at not less than par in such form or forms and subject to such terms and conditions and at such rate or rates of interest as he may prescribe; and each certificate so issued shaU be payable at such time not exceeding one year from the date of its issue, and may be redeemable before maturity upon such terms and conditions, and the interest accruing thereon shall be payable at such time or times as the Secretary of the Tr'easury may prescribe. The sum of such certificates outstanding hereunder and under section six of said Act approved April twenty-fourth, nineteen hundred and seventeen, shall not at any one time exceed in the aggregate $4,000,000,000. SEC. 6. That in addition to the bonds authorized by section one of this Act and the certificates of indebtedness authorized by section five of this Act, the Secretary of the Treasury is authorized to borrow from time to time, on the credit of the United States, for the purposes of this Act and to meet public expenditures authorized by law, such sum or sums as in his judgment may be necessary, and to issue therefor, at such price or prices and upon such terms and conditions as he may determine, war-savings certificates of the United States on which interest to maturity may be discounted in advance at such rate or rates and computed in such manner as he may prescribe. Such warsavings certificates shall be in such form or forms and subject to such terms and conditions, and may have such provisions for payment thereof before maturity, as the Secretary of the Treasury may prescribe. Each war-saving certificate so issued shall be payable at such time, not exceeding five years from the date of its issue, and may be redeemable before maturity, upon such terms and conditions as the SECRETARY OF T H E TREASURY. 95 Secretary of the Treasury may prescribe. The sum of such warsavings certificates outstanding shall not at any one time exceed in the aggregate $2,000,000,000. The amoujit of war-savings certificates sold to any one person at any one time shall not exceed $100, and it shall not be lawful for any one person at any one time to hold warsavings certificates to an aggregate amount exceeding $1,000. The Secretary of the Treasury may, under such regulations and upon such terms and conditions as he may prescribe, issue, or cause to be issued, stamps to evidence payments for or on account of such certificates. SEC. 7. That none of the bonds authorized by section one, nor of the certificates authorized by section five, or by section six, of this Act, shall bear the circulation privilege. All such bonds and certificates shall be exempt, both as to principal and interest from all taxation now or hereafter imposed by the United States, any State, or any of the possessions of the United States, or by any local taxing authority, except (a) estate or inheritance taxes, and (b) graduated additional income taxes, commonly known as surtaxes, and excess profits and war-profits taxes, now or hereafter imposed by the United States, upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of such bonds and certificates the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in subdivision (b) of this section. SEC. 8. That the Seci-etary of the Treasury, in his discretion, is hereby authorized to deposit, in such incorporated banks and trust companies as he may designate, the proceeds, or any part thereof, arising from the sale of the bonds and certificates of indebtedness and war-savings certificates authorized by this Act, and such deposits shall bear such rate or rates of interest, and shall be secured in such manner, and shall be made upon and subject to such terms and conditions, as the Secretary of the Treasury may from time to time prescribe: Provided, That the provisions of section fifty-one hundred and ninety-one of the Revised Statutes, as amended by the Federal Reserve Act, and the amendments thereof, with reference to the reserves required to be kept by national banking associations and other member banks of the Federal Reserve System, shall not apply to deposits of public moneys by the United States in designated depositaries. The Secretary of the IVeasury is hereby authorized to designate depositaries in foreign countries, with which shall be deposited all public money which it may be necessary or desirable to have on deposit in such countries to provide for current disbursements to the military and naval forces of the United States and to the diplomatic and consular and other representatives of the United States in and about such countries until six months after the, termination of the war between the United States and the Imperial German Government, and to prescribe the terms and conditions of such deposits. SEC. 9. That in connection with the operations of advertising, selling, and deliveriug any bonds, certificates of indebtedness, or warsavings certificates of the United States provided for in this Act, the Postmaster General, under such regulations as he may prescribe, shall require, at the request of the Secretary of the Treasury, the employees pf the Post Office Department and of the Postal Service to perform 96 REPORT ON THE FINANCES. such services as may be necessary, desirable, or practicable, without extra compensation. SEC. 10. That in order to pay all necessary expenses, including rent, connected with any operations under this Act, except under section twelve, a sum not exceeding one-fifth of one per centum of the amount of bonds and war-saving certificates and one-tenth of one per centum of the amount of certificates of indebtedness herein authorized is hereby appropriated, or as much thereof as may be necessary, out of any money in the Treasury not otherwise appropriated, to be expended as the Secretary of the Treasury may direct: Provided, That m addition to the reports now required by law, the Secretary of the Treasury shall, on the first Monday in December, nineteen hundred and eighteen, and annually thereafter, transmit to the Congress a detailed statement of all expenditures under this Act. SEC. 11. That bonds shall not be issued under authority of sections one and four of said Act approved April twenty-fourth, nineteen hundred and seventeen, in addition to the $2,000,000,000 thereof heretofore issued or offered for subscription, but bonds shall be issued from time to time upon the interchange of such bonds of different denominations and of coupon and registered bonds and upon the transfer of registered bonds, under such rules and regulations as the Secretary of the Treasury shall prescribe, and, if and to the extent that the privilege of conversion provided for in such bonds shall arise and shall be exercised, in accordance with such provision for such conversion. No bonds shall be issued under authority of the several sections of Acts and of the resolution mentioned in said section four of the Act approved April twenty-fourth, nineteen hundred and seventeen; but the proceeds of the bonds herein authorized may be used for purposes mentioned in said section four of the Act of April twenty-fourth, nineteen hundred and seventeen, and as set forth in the Acts therein enumerated. That section two of an Act of Congress approved February fourth, nineteen hundred and ten, entitled ^' An Act prescribing certain provisions and conditions under which bonds and certificates of indebtedness of the United States may be issued, and for other purposes," is hereby amended to read as follows: ^'SEC. 2. That any certificates of indebtedness hereafter issued shall be exempt from aU taxes or duties of the United States (but, in the case of certificates issued after September first, nineteen hundred and seventeen, only if and to the extent provided in connection with the issue thereof), as well as from taxation in any form by or under State, municipal, or local authority; and that a sum not exceeding one-tenth of one per centum of the amount of any certificates of indebtedness issued is hereby appropriated, out of any money in the Treasury not otherwise appropriated, to pay the expenses of preparing, advertising, and issuing the same." SEC. 12. That the Secretary of the Treasury is authorized during the war, whenever it shall appear that the public interests require that any of the accounts of the Military Establishment be audited at any place other than the seat of Government, to direct the ComptroUer of the Treasury and the Auditor for the War Department to exercise, either in person or through assistants, the powers and perform the duties of their offices at any place or places away from . SECRETARY OF THE TREASURY. 97 the seat of Government in the manner that is or may be required by law at the seat of Government and in accordance with the provisions of this section. (a) That when the Secretary of the Treasury shall exercise the authority herein referred to, the powers and duties of the said "" comptroUer and auditor, under and pursuant to the provisions of the Act of July thirty-first, eighteen hundred and ninety-four, and all other laws conferring jurisdiction upon those officers, shall be exercised and performed in the same manner as nearly as practicable and with the same effect away from the seat of Government as they; are now exercised and performed and have effect at the seat of Government, and decisions authorized by law to be rendered by the comptroller at the request of disbursing officers may be rendered with the same effect by such assistants as may be authorized by him to perform that duty. (b) That when pursuant to this section the said comptroUer and auditor shall perform their duties at a place in a foreign country, the balances arising upon the settlement of accounts and claims of the Military Estabhshment shaU be certified by the auditor to the Division of Bookkeeping and Warrants of the Treasury Department as now provided for the certification of balances by said auditor in Washington, and the balances so found due shaU be final and conclusive upon all branches of the Government, except that any person whose account has been settled or the commanding officer of the Army abroad, or the comptroUer may obtain a revision of such settlement by the comptroUer upon application therefor within three months, the decision to be likewise nnal and conclusive and the differences arising upon such revision to be certified to and stated by the auditor as now provided by law: Provided, That certificates of balances due.may be transmitted to and paid by the proper disbursing officer abroad instead of by warrant: Provided further. That any person whose account has been settled, or the Secretary of War, may obtain a reopening and review of any settlement made pursuant to this section upon application to the Comptroller of the Treasury in Washington within one year after the close of the war, and the action of the comptroller thereon shaU be final and conclusive in the same manner as herein provided in the case of a balance found due by the auditor. (c) That the comptroller and auditor shaU preserve the accounts, and the vouchers and papers connected therewith, and the files of their offices in the foreign country and transmit them to Washington within six months after the close of the war and at such earlier time as may be directed-by the Secretary of the Treasury as to any or all accounts, vouchers, papers, and files. (d) That the Secretary of the Treasury is authorized to appoint an assistant comptroller and an assistant auditor and to fix their compensation, and to designate from among the persons to be employed hereunder one or more to act in the absence or disability of such assistant comptroller and assistant auditor. He shaU also prescribe the number and maximum compensation to be paid to agents, accountants, clerks, translators, interpreters, and other persons who may be employed in the work under this section by the comptroller and auditor. The assistant comptroUer and assistant auditor shaU have full power to perform in a foreign country aU the 13034°—FI 1917 7 98 REPORT ON THE FINANCES. duties with reference to the settlement there of the accounts of the Military Estabhshment that the comptroller and a^uditor now have at the seat of Government and in foreign countries under the provisions of this section, and shall perform such duties in accordance with the instructions received from and rules and regulations made, by the comptroller and auditor. Such persons as are residing in a foreign country when first employed hereunder shaU ndt be required to take an oath of office or be required to be employed pursuant to the laws, rules, and regulations relating to the classified civU service, nor shaU they be reirobursed for subsistence expenses at their post of duty or for expenses in traveling to or from the United States.» (e) That it shaU be the duty of aU contracting, purchasing, and disbursing officers to allow any representative of the comptroUer or auditor to examine all books, records, and papers.in any way connected with the receipt, disbursement, or disposal of pubhc money, and to render such accounts and at such times as may be required by the comptroller. No administrative examination by the War department shall be required of accounts rendered and settled abroad, and the time within which these accounts shall be rendered by disbursing officers shall be prescribed by the comptroller, who shall have power to waive any delinquency as to time or form in the rendition of these accounts. All contracts connected with accounts to be settled by the auditor abroad shall be filed in his office there. (f) That any person appointed or employed under the provisions of this section who at the time is in the service of the United States shall, upon termination of his services hereunder, be restored to the position held by him at the time of such employment. No provision of existing law shaU be construed to prevent the payment of money appropriated for the salary of any Grovernment officer or employee at the seat of Government who may be detailed to perform duty imder this section outside the District of Columbia, and such details are hereby authorized. (g) That for the payment of the expenses in carrying into effect this section, including traveling expenses, per diem of $4 in lieu of subsistence for officers and employees absent from Washington, rent, cablegrams and telegrams, printing, law books, books of reference, periodicals, stationery, office equipment and exchange thereof, supphes, and aU other necessary expenses, there is hereby appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending June thirtieth, nineteen hundred and eighteen, the sum of $300,000, of which not exceeding $25,000 may be expended at Washington for the purposes of this section, but no officer or employee snail receive for duty in Washington any compensation other than his regidar salary, (h) That the Secretary of the Treasury may designate not more than two persons employed hereunder to act as special disbursing agents of the appropriation herein, to serve under the direction of the comptroller, and their accounts shaU be rendered to and settled by the accounting officers of the Treasury in Washington. AU persons employed under this section shall perform such additional duties as the Secretary of the Treasury may direct. (i) That the comptroller and the auditor, and such persons as may be authorized in writing by either of them, may administer oaths to American citizens in respect to any matter witnin the jurisdiction of SECRETARY OF T H E TREASURY. 99 either of said officers and certify the official character, when known^. of any foreign officer whose jurat or certificate may be necessary on any paper to be filed with them. (j) That persons engaged in work abroad under the provisions of this section may purchase from Army stores for cash and at cost price for their own use such articles or stores as may be sold to officers and enlisted men. (k) That the authority granted under this section shall terminate six months after the close of the war or at such earlier date as the Secretary of the Treasury may direct, and it shall be the duty of the comptroUer and auditor to make such reports as the Secretary of the Treasury may require of the expenditures made and work done pursuant to this section, and such reports shaU be transmitted to the Congress at such time as he may decide to be compatible with the public interest. (1) No officers, employees, or agents appointed or employed under this section shaU receive more salary or compensation than like officers, employees, or agents of the Government now receive. SEC. 13. That for the purposes of this Act the date of the termination of the war between the United States and the Imperial German Government shaU be fixed by proclamation of the rresident of the United States. Approved, September 24, 1917. E X H I B I T D. $3,000,000,000. U N I T E D S T A T E S O F AMERICA. 1 0 - 2 5 - Y E A R 4 P E R CENT CONVERTIBLE GOLD BONDS. SECOND LIBERTY LOAN. Bearing interest from November 15,1917. Due November 15,1942. Redeemable at the option of the United States, at par and accrued interest, on and after November 15, 1927. Interest payable May 15 and November 15. Authorized by an act of Congress approved September 24, 1917. Offered for subscription in Department Circular No. 90, dated October 1, 1917, to be found on the following pages, to which reference is made for full information concerning the bonds and this offering, and from which the statements on this page are summarized. Denominations.—Coupon and registered bonds, $50, $100, $500, $1,000, $5,000, $10,000; and registered bonds of $50,000 and $100,000. Exempt as to principal and interest from all taxation by the United States, any State, or any of the possessions of the IJnited States, Or by any local taxing authority, except {a) estate or inheritance taxes, and (&) United States graduated additional income taxes (commonly known as surtaxes) and excess-profits and warprofits taxes. The interest on an amount of bonds and certificates authorized by said act, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in clause (&) above. Convertible upon the terms and conditions stated in said circular into higher-rate bonds if and when higher-rate bonds are next issued during the war. Applications must reach the Treasury Department, Washington, D. C., a Federal reserve bank or branch thereof, or some incorporated bank or trust company within the United States (not including outlying territories and possessions) on or before the close of business October 27, 1917, the right being reserved by the Secretary of the Treasury to close the subscription at any earlier date. Terms of payment.—Two per cent with application; 18 per cent on November 15.1917; 40 per. cent on December 15,1917; 40 per cent on January 15, 1918 (with accrued interest on both deferred installments). Payment in full of any subscription for an amount of bonds not in excess of $1,000, at face value without interest, may be made with the 100 SECRETARY OF T H E TREASURY. 101 application, if the subscriber prefers, in which case prompt delivery of a bond*or bonds dated and bearing interest from November 15,1917, will be made. Except in such cases payment for the amount allotted can onl}^ be completed on November 15, or, with accrued interest^ on December 15 or January 15, previous installments having been duly paid. Allotment.-—Subscriptions for $3,000,000,000 of these bonds are invited, the right being reserved to allot additional bonds up to onehalf the amount of any oversubscription. Every subscriber for an amount of bonds not in excess of $1,000 will receive the full amount of bonds subscribed for. Other applications are received subject to allotment. Delivery.—Bonds as described in the circular will be delivered promptly upon completion of payments. Price, 100 per cent and accrued interest. TREASURY DEPARTMENT, Washmgton., October 1^ 1917. Department a'rlular No. 90. Loans and Currency. (Liberty Loan Circular No. 6.) T M I A S U R Y DEPARTMENT, OFFICE OF THE OECRETARY, Washington, Octobcr 1, 1917. The Secretary of the Treasury invites subscriptions, at par and accrued interest, from the people of the United States, for $3,000,000,000 of United States of American 10-25 year 4 per cent convertible gold bonds, of an issue authorized by act of Congress approved September 24, 1917; the right being reserved to allot additional bonds up to one-half the amount of any oversubscription. DESCRIPTION OF BONDS. Denominations.—Bearer bonds with interest coupons attached will be issued in denominations of $50, $100, $500, $1,000, $5,000, and $10,000. Bonds registered as to principal and interest will be issued in denominations of $50, $100, $500, $1,000, $5,000, $10,000, $50,000, and $100,000. Provision will be made for the interchange of bonds of different denominations and of coupon and registered bonds and for the transfer of registered bonds without charge by the United States'and under rules and regulations prescribed by the Secretary of the Treasury. . ^ Rate of interest.) date of bonds., maturity^ and redemption.—The bonds will be dated November 15, 1917, and will bear interest at the rate of 4 per cent per annum from that date, payable semiannually on May 15 and November 15. The bonds will mature November 15, 1942, but the issue may be redeemed at the option of the United States on or after November 15, 1927, in whole or in part, at par and accrued interest, on any interest day, on six months' notice given in such manner as the Secretary of the Treasury shall prescribe. I n case of partial redemption, the bonds to be redeemed will be determined by such method as may be prescribed by the Secretary of the Treasury. The principal and interest of the bonds will be payable in United States gold coin of the present standard of value. 102 REPORT ON THE, FINANCES. Tax exeTnption.—The bonds shall be exempt, both as to principal and interest, from all taxation now or hereafter imposed by the United States, any State, or any of the possessions of the United States, or by any local taxing authority, except {a) estate or inheritance taxes and {b) graduated additional income taxes, commonly known as surtaxes, and excess-profits and war-profits taxes, now or hereafter imposed by the United States, upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of bonds and certificates authorized by said act, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in clause (5) above. Conversion privilege.—If a subsequent series oif bonds (not including United States certificates of indebtedness, war s'avings certificates, and other obligations maturing not more than five years from the issue of such obligations, respectively), bearing interest at a higher rate than 4 per cent per annum shall, under the authority of said act approved September 24, 1917, or any other act, be issued by the United States before the termination of the war between the United States and the Imperial German Government (the date of such termination to be fixed by proclamation of the President of the United States), then the holders of bonds of the present series shall have the privilege, at the option of the several holders, of converting their bonds, at par, into bonds bearing such higher rate of interest, at the issue price of bonds of such subsequent series, not less than par, with an adjustment of accrued interest. Such conversion privilege must be exercised, if at all, at any time within the period, after the public offering of bonds of such subsequent series, beginning at the date of issue of bonds of such subsequent issue, as such date shall be fixed in such public offering, and terminating six months after such date of issue, and under such rules and regulations as the Secretary of the Treasury shall have prescribed. The bonds to be issued upon such conversion of bonds of the present series shall be substantially the same in form and terms as shall be prescribed by or pursuant to law with respect to the bonds of such subsequent series, not only as to interest rate but also as to convertibility (if future bonds be issued at a still higher rate of interest) or nonconvertibility, and as to exemption from-taxation, if any, and in all other respects, except that the bonds issued upon such conversion shall have the same dates of maturity, of principal, and of interest, and be subject-to the same terms of redemption before maturity as the bonds converted; and such bonds shall be issued from time to time if and when and to the extent that the privilege of conversion so conferred shall arise and shall be exercised. If the privilege of conversion so conferred shall once arise and shall not be exercised with respect to any bonds of the present series within the period above prescribed, then such privilege shall terminate as to such bonds and shall not arise again though again thereafter bonds be issued bearing interest at a higher rate or rates than 4 per cent per annum. APPLICATIONS. Official agencies.—The agencies designated by the Secretary of the Treasury to receive applications for the bonds now offered are the SECEETARY OP THE TEEASURY. . 103 Treasury Department in Washington, D. C , and the Federal Reserve Banks in Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta (with branch at New Orleans), Chicago, St. Louis (with branch at Louisville), Minneapolis, Kansas City (with branch at Omaha), Dallas, and San Francisco (with branches at Seattle and Spokane). Said banks have been designated also as fiscal agents of the United States to collate applications, to give notices of the allotments which the Secretary of the Treasury will eventually make to subscribers, to receive payments, and to make delivery of the bonds allotted. Subscribers may send their applications direct to any of these official agencies. Subscribers'^ agencies.—Large numbers of national banks, State banks, and trust companies, investment bankers, express companies, newspapers, department stores, and other corporations, firms, and organizations have patriotically offered to receive and transmit applications for the second Liberty loan without expense to the applicants. The Secretary of the Treasury appreciates the value of these offers and will have application blanks widely distributed through the Federal reserve banks to these institutions throughout the country, as well as to the post offices. No commissions will be paid upon subscriptions, and those who receive and transmit applications are therefore rendering the service as a patriotic duty. Form of application.—A.^^\iQ,2i,t\ons must be iii the form prescribed by the Secretary of the Treasury and be accompanied by payment of 2 per cent of the amount of bonds applied for. Applications must be for bonds to an amount of $50 oi: some multiple thereof. Any subscriber making application for an amount of bonds not in excess of $1,000 may, at the option of such subscriber, accompany such application by payment in full, at face value without interest, for the bond or bonds applied for, in which case a bond or bonds bearing interest from November 15, 1917, will be delivered to the subscriber as soon as possible after the application, accompanied by such payment in full, is received. No payment other than the 2 per cent required should accompany any application for bonds to an amount in excess of $1,000. Time of closing application boohs.—Applications accompanied by payment as aforesaid must reach the Treasury Department or a Federal reserve bank or branch thereof, or some incorporated bank or trust company within the United States (not including outlying territories and possessions), not later than the close of business on October 27, 1917, the right being reserved by the Secretary.of the Treasury to close the subscription on any earlier date. Applications received by any incorporated bank or trust company on or before October 27, 1917, must, by such bank or trust company, be transmitted to or covered by its own subscription to the Federal reserve bank of the district in which it is located, reaching such Federal reserve bank not later than the close of business on November 1, 1917, accompanied by payment as aforesaid. AMiOTMENT. Applications for $1,000 or less bonds from any one subscriber will be allotted in full. All applications for bonds in excess of $1,000 will be received subject to allotment; and the Secretary of the Treas 104 REPORT ON THE FINANCES. ury reserves the right to reject any such applications, to make allotment of part of the amount of bonds applied for, to make allotment in full upon applications for smaller amounts, and to make reduced allotments upon or to reject applications for larger amounts, and to make classified allotments and allotments upon a graduated scale, pursuant to the act of Congress authorizing the bonds, should any such action be deemed by him to be in the public interest; and his action in these respects will be final. I n case of applications rejected the accompanying payment of 2 per cent will be returned without interest as soon as practicable. I n case of partial allotments the excess of the 2 per cent payment (without credit for interest) will be applied on the installment due November 15, 1917. The basis of allotment will be announced and aUotments will be made on or about November 5. Allotment notices will be mailed shortly thereafter. PAYMENTS. Payment for bonds allotted, in addition to the 2 per cent on application, will be required as follows: 18 per cent on November 15, 1917; 40 per cent on December 15, 1917; 40 per cent on January 15, 1918, with accrued interest on both deferred installments. Receipt of installment payments made to official agencies prior to payment in full will be acknowledged by the several Federal reserve banks. Payments must be made when and as required under penalty of forfeiture of any and all installments previously paid, and of all right or interest in the bonds allotted. Except in the case of subscriptions for amounts not in excess of $1,000, as hereinbefore provided, no payments other than the 2 per cent required with the application will be received until after allotment is made. Payment for bonds allotted in any amount may be completed after allotment without previous notice, but only on November 15,1917, and (the previous installments having been duly paid) on December 15, 1917, or January l 5 , 1918, with accrued interest. Payment by United States Treasury certiftcates of indebtedness.— Payments may be made on November 15 by United States.Treasury certificates of indebtedness of any maturity, and on December 15 by certificates: maturing on that date, and on January 15, 1918, by certificates maturing on that date if any such are outstanding. These payments may be either for the full amount of the allotment, or for the first installment, or for the installment then due. Such certificates will be received at their face value, and the accrued interest thereon will be remitted by check to the subscriber. Unmatured certificates thus presented on November 15, 1917, in payment for bonds must not be of a larger face value than the amount then to be paid on the subscription, and subscribers should obtain certificates in appropriate denominations in advance. How to make payments.—It is strongly recommended that subscribers avail themselves of the assistance of their own banks and trust companies, in which case they will, of course^ make payment through such institutions. I n cases where they do not do so, subscribers should make payment, either in cash to the Treasury Department in Washington or to one of the Federal reserve banks, or by bank draft, certSed check, post-office money order, or express com- SECRETARY OF THE TREASURY. 105 pany money oraer, made payable to the order of the Secretary of the Treasury if the application is ffied with the Treasury Department in Washington (thus: " The Secretary of the Treasury, Second Liberty Loan Account"), or, if the application is filed elsewhere, made payable to the order of the Federal reserve bank of the district in which the application is filed (thus: " Federal Reserve Bank of , Second Liberty Loan Account"). DELIVER-S. « Bonds dated November 15,, 1917, and bearing interest from that date, will be delivered by the several Federal Reserve Banks as fiscal agents of the United States as far as practicable in accordance with written instructions given by the subscribers, and, within the United States, its Territories, and insular possessions, will be delivered at the expense of the United States. Subscribers for an amount not in excess of $1,000 who make payment in full at the time of filing their applications will receive bonds bearing interest from November 15, 1917, as soon as possible after their subscriptions are received. Such subscribers will receive no interest from date of payment to November 15. All other subscribers will receive bonds promptly after due completion of payment. INTEREST. The bonds being dated November 15,1917, no accrued interest will be due on subscriptions for bonds paid for in full on or before November 15, 1917. No rebate of interest will be allowed, either on account of full payment in advance of November 15, or on account of the 2 per cent required to be paid with the application. Upon completion of payment for the bonds on December 15 or January 15 the subscriber will be required to pay accrued interest from November 15 on the deferred installments at the rate of 4 per cent per annum. • F U R T H E R DETAILS. The bonds will be receivable as security for deposits of public ' money, but will not bear the circulation privilege. Coupon bonds will have four interest coupons attached, covering interest payments' up to and including November 15, 1919. On or after that date holders of these bonds should surrender the same and obtain a new bond or bonds having coupons attached thereto covering semiannual payments from May 15, 1920, to November 15, 1942. Bonds with the limited number of interest coupons attached will'be thus delivered in order to save the annoyance of the delivery of interim receipts, and to allow sufficient time for the engraving and printing of bonds with the full number of coupons attached, without inconvenience to the subscriber. Further details may be announced by the Secretary of the Treasury from time to time, information as to which as well as forms for application may be obtained from the Treasury Department or through any Federal reserve bank. W. G. MCADOO, Secretary of the Treasury. E X H I B I T E. UNITED STATES OF AMERICA WAR-SAVINGS CERTIFICATES, SEKIES OF ^ 1918. r»^r.ow.^^^«„+WZ»io». TVT^ aA Department Circular No. 94. (War-Savings Circular Nb. 1.) TREASURY DEPARTMENT, ^r^ ^ ' O F F I C E OF T H E S E C R E T A R Y , Loans and Currency. Washington, November 15, 1917. The Secretary of the Treasury offers for sale to the people of the United States an issue of United States war-savings certificates, series of 1918, authorized by act of Congress approved September 24, 1917. Payments for or on account of such war-savings certificates must be evidenced by United States war-savings certificate stamps, series of 1918, which are to be affixed thereto. The sum of such war-savings certificates outstanding shall not at any one time exceed in the aggregate $2,000,000,000 (maturity value). The amount of war-savings certificates sold to any one person at any one time shall not exceed $100 (maturity value), and it shall not be lawful for any one person at any one time to hold war-savings certificates to an aggregate amount exceeding $1,000 (maturity value). War-savings certificates, war-savings certificate stamps, and United States thrift stamps (described below) may be purchased at the prices hereinafter mentioned at post offices and at numerous banks and other agencies to be appointed by the Secretary of the Treasury. Advance sales will begin December 3, 1917. All sales of war-savings certificates and war-savings certificate stamps made in December, 1917, will be at the January, 1918, price, and the date of issue of all certificates so sold-will be deemed January 2, 1918. DESCRIPTION OF WAR-SAVINGS CERTIFICATES. A United. States war-savings certificate, series of 1918, will be an obligation of the United States when, and only when, one or more United States war-savings certificate stamps, series of 1918, shall be^ affixed thereto. Each of such war-savings certificates will have" spaces for 20 war-savings certificate stamps, series of 1918, and each of such stamps thereto affixed will have a maturity value of $5 on January 1, 1923, which will accordingly give each such certificate when bearing its full complement of such stamps a maturity value of $100 on said date. No war-savings certificate will be issued unless at the same time one or more war-savings certificate stamps shall be purchased and affixed thereto, but no additional charge will be made for the war-savings certificate itself. The name of the owner of each war-savings certificate must be written upon such certificate at the time of the issue thereof. War-savings certificate stamps, series of 1918, will be issued in 1918 at the following prices: January $4.12 February— 4.13 March - 4.14 106 AprU May June $4.15 I July $4.18 October____ $4. 21 4.16 August ^ 4.19 November _ 4. 22 4.17 I September _ 4.20 December— 4.23 107 SECRETARY OF THE TREASURY. The average issue price above fixed for the year 1918owith interest at 4 per cent per annum compounded quarterly for the average period to maturity will amount to $5 on J a n u a r y 1, 1923. • Payment at rriaturity.—Owners of war-savings certificates will be entitled to receive on January 1, 1923, at the Treasury Department in Washington, or at a money-order post office, upon surrender of such certificates and upon'compliance with all other provisions thereof, $5 in respect of each war-savings certificate stamp, series of 1918, then affixed thereto, but no post office shall be require(i to make any such payment until 10 days after receiving written demand therefor. Payment prior to maturity.-.—Any owner of a war-savings certificate at his option will be entitled to receive at any time after January 2, 1918, and prior to January 1, 1923, at a money-order post office, upon surrender of his certificate and upon compliance with all other provisions thereof, in respect of each war-savings certificate stamp, series of 1918, then affixed to such certificate, the amount indicated in the following table; but no post office shall make any such payment until 10 days after receiving written demand therefor. Month. J a n u a r y '. February...: March April May June July August September October November December :. : - : , -. 1918 1919 1920 . 1921 1922 ^ S4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 $4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 4.35 S4.36 4.37 4.38 4.39 4.40 4.41 4.42 4.43 4.44 4.45 4.46 4.47 S4.48 4.49 4.50 4.51 4.52 4.53 4.54 4.55 4.56 4.57 4.58 4.59 84.60 4.61 4.62 4.63 4.64 4.65 4.66 4.67 4.68 . 4.69 4.70 4.71 J a n u a r y 1, 1923, S5. Registration.—War-savings certificates may be registered without cost to the owners at any post office of the first, second, or third class, subject to such regulations as the Postmaster General may from time to time prescribe, and payment in respect of any certificate so registered will be made only at the post office where registered. Unless registered, the United States will not be liable if payment in respect to any certificate or certificates be made to a person not the rightful owner thereof. War-savings certificates not transferable.—War-savings certificates are not transferable and will be payable only to the respective owners named thereon, except in the case of the death or disability of any such owner. Tax exemption.—^War-savings certificates shall be exempt, both as to principal and interest, from all taxation now or hereafter imposed by the United States, any State, or any of the possessions of the United States, or by any local taxing authority except, {a) estate or inheritance taxes, and (&) graduated additional income taxes, commonly known as surtaxes, and excess-profits and war-profits taxes, now or hereafter imposed by the United States, upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of bonds and certificates, authorized by 108 REPORT ON THE FINANCES. said act of September 24, 1917, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in clause (6) above. T H R I F T CARDS A N D T H R I F T S T A M P S . Payments on account of war-savings certificates may also be evidenced by United States thrift stamps, having a face value of 25 cerits each but bearing no interest. United States thrift stamps, however, must not be affixed to war-savings certificates but only to thrift cards, which may be obtained without cost. Thrift stamps, as such, are not directly redeemable in cash, but each thrift card will have spaces for 16 such thrift stamps and a thrift card, when bearing its full complement of such stamps, may be exchanged at a post office or other authorized agency on or before December 31,1918, for a warsavings certificate- stamp, series of 1918, and upon such exchange the owner of such thrift card must pay the difference between $4 and the current issue price pf war-savings certificate stamps during the month in which such exchange is made, as shown by the following table: January February March April - 1— : $4.12 4.13 4.14 4.15 May June JulyAugust $4.16 4.17 4.18 4.19 September October November— December $4.20 4.21 4.22 4.23 METI-IOD OF DISTRIBUTION A N D SALE. Post offijces and Federal reserve banks^—On or about December 3, 1917, war-savings certificate stamps and United States thrift stamps (together with thrift cards and war-savings certificates with suitable pocket envelopes for such certificates) will be furnished (1) to post offices for sale to the public and to agents of the first class and (2) to Federal reserve banks, as fiscal agents of the United States, for distribution to agents of the second class and also for sale to banks which are agents of the first class, the classification of such agents being hereinafter provided for. Post offices and Federal reserve banks will maintain available supplies of stamps, certificates, and cards in amounts sufficient to meet the requirements for such distribution and sales. Other agencies.—^2J^}ss, bankers, and trust companies; railroad and express companies; department and other retail stores; the duly authorized representatives of labor, fraternal, and other associations; and other corporations, partnerships, and individuals who patriotically, offer their services without expense, either to the United States or to purchasers, will be among those whom the Secretary of the Treasury will in his discretion appoint as agents to sell war-savings certificate stamps and United States thrift stamps and to issue warsavings certificates and thrift cards. Blank forms of application for appointment as agent, with necessary information as to execution and filing, may be obtained from any money-order post office, from agent banks, or from State or local representatives of the National War-Savings Committee. Appointments will be made only under authorization of the Secretary of the Treasury. No agent shall sell any United States thrift stamp at any price other than 25 cents for each stamp, nor any war-savings certificate SECRETARY OF THE TREASURY. 109 stamp at any price other than the current issue price of such stamp during the month in which sold, as hereinabove specified. Classification of agents.—Two classes of agents will be appointed: First, agents of the first class who may neither obtain nor hold at any one time in excess of $1,000 of war-savings certificate stamps (maturity value); second, agents of the second class who may obtain at any time or times in excess of $1,000 of such stamps (maturity value) for sale to the public. Agents of the first class.—Agents of the first class may obtain, for sale to the public, from post offices, agent banks, or other authorized agents warrsavings certificate stamps in any amount desired, not, however, in excess of $1,000 (maturity value), together with an adequate supply of war-savings certificates, upon payment for such stamps at the current issue price thereof during the month in which such stamps are thus obtained. Similarly agents of the first class may obtain, for sale to the public. United States thrift stamps, together with an adequate supply of thrift cards, in any amount desired upon payment for such stamps at 25 cents each. Agents of the second class.—^Agents of the second class will be required to deposit with the Secretary of the Treasury, or with such agencies as he may designate. United States bonds of any Liberty loan, or United States certificates of indebtedness, the aggregate par value of which shall be at least equal to the aggregate amount of war-savings certificate stamps at the issue price thereof during December, 1918, as specified above, plus the aggregate face value of the Unite(i States thrift stamps obtained by such agents, respectively. A further Treasury Department circular will shortly be issued specifying the terms and conditions for the deposit of such securities or of such other securities the deposit of which may be permitted by such circular under the conditions to be therein specified and covering other matters of detail particularly concerning such agents of the second class. O T H E R DETAILS. War-savings certificates will not be receivable as security for deposits of public money and will not bear the circulation privilege. The Secretary of the Treasury reserves the right at any time to revoke any or all appointments of agents, to withdraw war-savings certificates, war-savings certificate stamps, or United States thrift stamps from sale, to refuse to issue or to permit to be issued any warsavings certificates or thrift cards, and to refuse to sell or to permit to be sold any war-savings certificates or war-savings certificate stamps or United States thrift stamps to any person, firm, corporation, or association. The right is also reserved to make from time to time any supplemental or amendatory regulations which shall not modify or impair the terms and conditions of war-savings certificates issued or to be issued in pursuance of said act of September 24, 1917. Further details may be announced by the Secretary of the Treasury from time to time, information as to which will be promptly furnished to postmasters at money-order post offices and to other agents. W. G. MCADOO, Secretary of the Treasury. EXHIBIT F . LIBERTY LOAN.—CONVERSION OF UNITED STATES 15-30 YEAR 3^ P E R CENT GOLD BONDS OF THE FIRST LIBERTY LOAN. Department'cir'iular No. 93. (Liberty Loan Circular No. 8.) Loans and Currency. TREASURY DEPARTMENT, OFFICE OF THE SECRETARY, Washington, October 19, 1917. PRESENT CONVERSION PRIVILEGE. To holders of 1 5 S 0 year S\ per cent gold bonds of the First Liberty Loan and Interim Certificates therefor: I n consequence of the issue on November 15, 1917, of a series of United States 10-25 year 4 per cent convertible gold bonds (the second Liberty loan), holders of United States 15-30 year 3^ per cent gold bonds (the first Liberty loan) and of interim certificates therefor will be entitled to convert all or ainy of their bonds or interim certificates into an equal face amount or 4 per cent convertible gold bonds of .1932-47, the terms of which will be identical with those of the bonds of the second Liberty loan, except that the 4 per cent convertible gold bonds of 1932-47 will have the same dates for payment of interest, the same date of maturity of principal and the same terms of redemption as the bonds of the first Liberty loan. Such 4 per cent convertible gold bonds of 1932-47 to be issued upon such conversions are hereinafter more particularly described. DURATION OF PRESENT CONVERSION PRIVILEGE. The privilege thus arising must be exercised, if at all, within the period of six months beginning November 15, 1917, the date of the issue of bonds of the second Liberty loan, and ending May 15, 1918 (both dates inclusive). Holders of bonds of the first Liberty loan or of interim certificates therefor, who do not present and surrender the same for conversion, in accordance with the provisions of this circular, on or before May 15, 1918, will lose once for all the conversion privilege arising as a consequence of the issue of the bonds of the second Liberty loan, now being offered for subscription, or of the issue of any additional bonds of the same series. If, however, any subsequent series pf bonds (not including United States certificates of indebtedness and other short-term obligations) shall be issued by the United States at a higher rate of interest than 3^ per cent per annum before the termination of the war between the United States and the Imperial German Government (the date of such termination to be fixed by a proclamation of the President of the United States), the holders of any bonds of the first Liberty loan, in respect of which the present conversion privilege shall not have been exercised, 110 SECRETARY OF T H E TREASURY. I l l shall have the privilege, at any time within six months after the issue of bonds of such subsequent series (the date of such issue to be fixed by prior public announcement by the Secretary of the Treasury), of converting their bonds at par—upon presentation and surrender thereof with all unmatured coupons, at the Treasury Department, Washington, or at such other agencies as the Secretary of the Treasury may designate for the purpose, and upon adij ustment of accrued interest to the date of conversion—into an equal par amount of bonds bearing such higher rate of interest, and substantially identical with the bonds of such subsequent series, except that the bonds to be issued upon such conversion shall be identical with the bonds of the first Liberty loan as to maturity of principal and of interest, and terms of redemption. METHOD OF EFFECTING CONVERSIONS. Conversions in the exercise of the present conversion privilege may be effected by presentation and surrender of bonds of the first Liberty loan, either in coupon or registered form, or interim certificates therefor, to the respective Federal reserve banks in Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas, and San Francisco, or at the Treasury Department in Washington, but such presentation and surrender of interim certificates may only be made to the Federal reserve bank by which such interim certificates have been respectively executed. Bonds of the first Liberty loan, either in coupon or registered form, or interim certificates therefor, so presented and surrendered for conversion, must be accompanied by requests for conversion, duly filled put and signed by the respective holders, in the forms prescribed by the Secretary of the Treasury (Forms Nos. 1019 and 1020, Loans and Currency). Form No. 1019 should be used only for coupon bonds or interim certificates and Form No. 1020 only for registered bonds. Copies of such forms appear at the end of this circular, and additional copies may be obtained at any Federal reserve bank or at the Treasury Department in Washington. Such bonds or interim certificates may be so presented and surrendered at any time on or after November 8, 1917, but not after May 15, 1918. Holders of bonds or interim certificates of the first Liberty loan who desire to effect conversions thereof, and who also desire prompt delivery of the 4 per cent convertible gold bonds of 1932-47 to which they will become entitled, should present such bonds or interim certificates for conversion on November 8, 1917, or as soon as possible thereafter. Holders of bonds or interim certificates presented and surrendered for conversion on or before November 15,1917, will obtain the full benefit of the higher rate of interest from the earliest possible date, but no 4 per cent convertible goM bonds of 1932-^7 will be delivered before November 15, 1917. Subscribers for bonds of the first Liberty loan who, for any reason, have not yet received either definitive bonds or interim certificates, and who desire to convert all or any part' of the bonds which they are entitled to receive, should notify the bank or trust company or other agency, now holding such bonds or interim certificates for their account, of their desire to convert. 112 REPORT ON THE FINANCES. The 4 per cent convertible gold bonds of 1932-47 to be delivered upon conversions of interim certificates of the first Liberty loan will either be delivered directly, at the time of surrender of such interim certificates for conversion, to the parties surrendering the same, or will be mailed, or otherwise sent, as soon as possible thereafter, addressed to the parties signing the requests for conversion, at the respective addresses filled in thereon. As holders of interim certificates have, by retaining such interim certificates, relieved the Government of the expense of the issue and delivery of definitive bonds of the first Liberty loan, they will be entitled to delivery of the 4 per cent convertible gold bonds of 1932-47 without expense to them. The 4 per cent convertible gold bonds of 1932-47, to be delivered upon conversions of coupon and registered bonds of the first Liberty loan, will either be delivered directly, as in the case of interim certificates surrendered for conversion, or, in the absence of other written instructions and remittances to cover expenses, such bonds, if coupon bonds, will be expressed to the owners at their risk and expense, or, if registered bonds, will be mailed to the registered owners, at their respective addresses as filled in upon the requests for conversion. Holders of interim certificates presented for conversion should specify in the requests for conversion acc()mpanying such interim certificates the denomiriations in which delivery of 4 per cent convertible gold bonds of 1932-47 is desired. The 4 per cent convertible gold bonds of 1932-47 delivered upon conversions of bonds of the first Liberty Loan will be in like denominations as the bonds surrendered for conversion, unless written request be made, at the time such bonds are presented for conversion, for delivery of bonds in other denominations. All deliveries of such bonds will be made in coupon form, except (1) upon conversions of registered bonds of the first Liberty loan and (2) upon conversions of interim certificates, if delivery of registered bonds be requested as provided below in subdivision E. A D J U S T M E N T S OF I N T E R E S T U P O N CONVERSIONS, Inconvenience resulting from awkward adjustments of interest, both to the United States and to holders of bonds and interim certificates of the first Liberty loan, will be avoided if holders thereof who desire to convert their holdings effect such conversions either (a) as of November 15, 1917, by presenting and surrendering their holdings for conversion, as herein provided, on or after November 8, 1917, but not after November 15, 1917, or (b) as of December 15, 1917, by presenting and surrendering their holdings for conversion, as herein provided, after November 15, 1917, but on or before December 15, 1917. All conversions effected after December 15, 1917, will require payments to the United States to adjust iriterest. As the amounts involved in exact adjustments of interest upon conversions of bonds and interim certificates of the first Liberty loan presented for conversion after November 15,1917, but prior to December 15, 1917, in many instances will be insufficient to compensate for the inconvenience connected therewith, such adjustments will not be SECRETARY OF THE TREASURY. Il3 made unless requested on the forms provided for that purpose upon the requests for conversion and upon compliance with the provisions of this circular in respect of any payments to the United States required to adjust interest. Holders of coupon bonds or interim certificates of the first Liberty loan desiring to convert at the earliest possible date should proceed under subdivision A ; after November 15, 1917, but on or before December 15,1917, should proceed under subdivision B ; after December 15,1917, but on or before May 15,1918, should proceed under subdivision C, and must pay to the United States the amounts required to adjust interest. Holders of registered bonds of the first Liberty loan desiring to convert, no matter when conversions are to be effected, should proceed under subdivision D. Holders of interim certificates of the first Liberty loan desiring to convert into registered 4 per cent convertible gold bonds of 1932-47, no matter when conversions are to be effected, should proceed under subdivision E. A. Conversions of coupon bonds and interim certificates as of November 15,1917.—To effect conversions as of November 15,1917, with automatic and exact adjustments of interest, and without any payments to the United States, coupon bonds or interim certificates of the first Liberty loan must be presented and surrendered for conversion, as provided above, on or after November 8, 1917, but not after November 15, 1917. All coupon bonds so surrendered must have attached thereto all coupons, including that maturing December 15, 1917. The 4 per cent convertible gold bonds of 1932-47 delivered upon conversions, both of coupon bonds and of interim certificates so surrendered, will have attached thereto (adjustment) coupons maturing December 15, 1917, covering (1) interest at the rate of 3^ per cent per annum from June 15,1917^ to November 15,1917, and (2) interest at the rate of 4 per cent per annum from November 15,1917, to December 15,1917. B. Conversions of coupon bonds and interim certificates after November 15, 1917, and on or before December 15,1917.—^To effect conversions as of December 15,1917, coupon bonds or interim certificates of the first Liberty loan must be presented and surrendered for conversion, as provided above, after November 15,1917, but not after December 15, 1917. . . ^ Except in cases where exact adjustments of interest are requested, as provided below, all coupon bonds and interim certificates so surrendered after November 15, 1917, but prior to December 15, 1917, will be deemed to have been so surrendered for conversion as oi December 15, 1917, and no payments to the United States to adjust interest will be required. All coupon bonds so surrendered after November 15, 1917, but prior to December 15, 1917, must have attached thereto all coupons, including that maturing December 15, 1917, and the 4 per cent convertible gold bonds of 1932-47 delivered upon conversions, both of coupon bonds and of interim certificates so surrendered (except in cases where exact adjustments of interest are requested as provided below), will have attached thereto coupons maturing December 15, 1917, for interest at the rate of 3^ per cent per annum from June 15, 1917, to December 15, 1917. 13034°—FI 1917 8 114 REPORT ON THE FINANCES. - ~ To effect conversions of coupon bonds or interim certificates of the first Liberty loan, surrendered for conversion after November 15,1917, but prior to December 15, 1917, with exact adjustments of interest to the respective dates upon which such coupon bonds or interim certificates may be so surrendered, holders thereof must present and surrender such coupon bonds or interim certificates, as provided above, and must (1) properly fill in and sign the form of request for exact adjustment of interest appearing upon the request for conversion (Form No. 1019), and (2) make payment, in the manner provided below, of the difference between interest at the rate of 3^ per cent per annum and interest at the rate of 4 per cent per annum from November 15, 1917, to the respective dates of conversion, upon the respective face amounts of such bonds or interim certificates so surrendered for conversion, in accordance with the interest table printed at the end of this circular. I n cases where exact adjustments of interest are so requested the 4 per cent convertible gold bonds of 1932-47 delivered upon such conversions, both of coupon bonds and of interim certificates, will have attached thereto (adjustment) coupons maturing December 15, 1917, covering (1) interest at the rate of 3^ per cent per annum from June 15, 1917, to NPvember 15, 1917, and (2) interest at the rate of 4 per cent per annum from said last-mentioned date to December 15,1917. Exact and automatic adjustments of interest will be made in respect of coupon bonds and interim certificates actually presented for conversion on December 15, 1917. The holders of coupon bonds of the first Liberty loan actually presented for conversion on December 15, 1917, should detach the coupons maturing on said date, and the 4 per cent convertible gold bonds of 1932-47 to be delivered upon conversions thereof will not have attached thereto coupons maturing on said date, but all such bonds delivered upon conversions of interim certificates actually presented for conversion on said date will have attached thereto coupons riiaturing December 15, 1917, for interest at the rate of 3^ per cent per annum from June 15,1917. C. Con/versions of coupon bonds and interim certificates after December 15, 1917^ and on or before May 15,1918, with payments to the United States required to adjust interest.—To effect conversions after December 15, 1917, and on or before May 15, 1918, coupon bonds or interim certificates of the first Liberty loan must be presented and surrendered for conversion, as provided above, and the holders thereof must pay to the United States, in the manner provided below, the difference between interest at the rate of 3^ per cent per annum and interest at the rate of 4 per cent per annum from December 15, 1917, to the respective dates of conversion, upon the respective face amounts of such bonds or interim certificates, in accordance with the interest table printed at the end of this circular. All coupon bonds so surrendered for conversion after December 15, 1917, and on or before May 15,1918, must have attached thereto coupons maturing on and after June 15,1918* The 4 per cent convertible gold bonds of 1932-47 delivered upon conversions, both of coupon bonds and of interim certificates so surrendered, will have attached thereto coupons maturing June 15, 1918, for interest at the rate of 4 per cent per annum from December 15, 1917, to June 15, 1918, and such bonds delivered upon such conversions of interim certificates will SECRETARY OF TPIE TREASURY. 115 in addition have attached thereto coupons due December 15,1917, for interest at the rate of 3^ per cent per annum from June 15, 1917, to December 15,1917, upon the face amount of such interim certificates. D. Conversions of registered bonds.—To effect conversions of registered bonds of the first Liberty loan, the registered holders thereof must assign such bonds for transfer to the Secretary of the Treasury by duly executing the form provided for that purpose appearing on the backs of such registered bonds in accordance with the detailed instructions thereon set forth and must present and surrender such bonds as provided above accompanied (unless surrendered on or before December 15, 1917) by payment in the manner provided below of the amounts required to adjust interest. The 4 per cent convertible gold bonds of 1932-47 delivered upon conversions of registered bonds of the first Liberty loan will be registered in the respective names of the. registered holders of such registered bonds of the first Liberty loan surrendered for conversion. The books for the transfer of registered bonds of the first Liberty loan will be closed at the close of business on November 15,1917, and will remain closed until the opening of business on December 16,1917. Registered bonds of the first Liberty loan may, however, be presented and surrendered for conversion during the period when such books shall be closed. Transfers of registered 4 per cent convertible gold bonds of 1932-47 will not be made prior to December 16, 1917. {a) Conversions of registered bonds of the first Liberty loan so presented and surrendered for conversion on or after November 8, 1917,'but not after NoA^ember 15,1917, will be effected as of November 15, 1917, and the registered 4 per cent convertible gold bonds of 1932-47, delivered upon such conversions, will bear interest at the rate of 4 per cent per annum from November 15, 1917, payable December 15, 1917, and the registered holders thereof will also be entitled to receive on December 15, 1917, interest upon the face amounts of their respective holdings of such bonds at the rate of 3^ per cent per annum from June 15, 1917, to November 15,1917. (&) Conversions of registered bonds of the first Liberty loan so presented and surrendered for conversion after November 15, 1917, but not after December 15, 1917, except in cases where exact adjustments of interest are requested, as provided below, will be effected as of December 15, 1917, and the 4 per cent convertible gold bonds of 1932-47 delivered upon such conversions will bear interest at the rate of 4 per cent per annum from December 15, 1917, and the registered holders thereof will be entitled to receive on December 15, 1917, interest at the rate of 3^ per cent per annum upon the face amounts of their respective bonds from June 15, 1917, to December 15, 1917. To effect conversions of registere(i bonds of the first Liberty loan, with" exact adjustments of interest to the respective dates upon which such registered bonds may be surrendered for conversion, the registered holders thereof must present and. surrender such bonds, as provided above, and must properly fill in and sign the form of request for exact adjustment of interest appearing upon the request for conversion (Form No. 1020), and in such cases, but not otherwise, such registered holders, in addition to receiving on December 15, 1917, interest at the rate of 3^ per cent per annum from 116 REPORT ON T H E FINANCES. June 15, 1917, to December 15, 1917, will also be entitled to receive on December 15, 1917, or as soon thereafter as such payments can conveniently be made, amounts sufficient to cover the difference between interest at the rate of 3^ per cent per arinum and interest at the rate of 4 per cent per annum from the respective dates upon which such registered bonds shall have been surrendered for conversion to December 15, 1917, upon the face amounts of their respective holdings of such bonds, in accordance with the interest table printed at the. end of this circular. (c) Registered bonds of the first Liberty loan so presented and surrendered for conversion after December 15, 1917, and on or before May 15, 1918, must be accoriipanied by payments to the United States, in the manner provided below, of the difference between interest at the rate of 3^ per cent per annum and interest at the rate of 4 per cent per annum, upon the respective face amounts of such bonds, from December 15, 1917, to the respective dates of conversion, in accordance with the interest table printed at the end of this circular, and the 4 per cent convertible gold bonds of 1932-47 delivered upon such conversions will carry interest at the rate of 4 per cent per annum from December 15,1917. E. Conversions of interim certificates into registered 4 P^'^ cent convertible gold bonds of 1932-117.—To effect conversions of interim certificates of the first Liberty loan into registered 4 per cent convertible gold bonds of 1932-47, such interim certificates must be presented and surrendered for conversion, as provided above, and the form of application for registered bonds appearing upon the backs of such interim certificates must be properly filled out. I n all cases where delivery of registered bonds is requested upon conversions of interim certificates, interest will be adjusted in like manner as provided above in paragraphs ( a ) , (6), and {c) of Subdivision D, in respect of conversions of registered bonds of the first Liberty loan, except that the registered holders of all 4 per cent convertible gold bonds of 1932^7 (as registered at the time of delivery thereof) delivered upon conversions of interim certificates surrendered for conversion after December 15, 1917, arid on or before May 15, 1918, will be entitled to receive interest, upon the respective face amounts of such interim certificates so surrendered, as soon thereafter as such payments can conveniently be made, at the rate bf 3^ per cent per annum from June 15,1917, to December 15,1917. METHOD OF M A K I N G P A Y M E N T S TO A D J U S T REQUIRED. INTEREST WHENEVER All payments to the United States required or provided for in this circular must be made in cash or by post-office or express money order, bank draft, of certified check collectible without exchange at the place where conversion is to be effected, and payable, if conversion is to be effected at the Treasury Department in Washington, to the order of " Treasurer of the United States Liberty Loan Conversion Account," or, if conversion is to be effected at a Federal reserve bank, payable to " Federal Reserve Bank of (Here insert name of city in which bank is located.) Liberty Loan Conversion Account." No other forms of payment will be accepted. Such payments must be sufficient to cover interest up SECRETARY OF THE TREASURY. 117 to the date when such payments shall be actually received at the place where conversion is to be effected. Payments to be made to the United States, as provided in this cir^ cular, to cover adjustments of interest are necessary to reimburse the United States, for unearned interest which will be received, either upon the collection of coupons or registered interest, by holders of the 4 per cent convertible gold bonds of 1932-47, upon the next interest date after conversion is effected, for the period prior to the respective dates of conversion of bonds or interim certificates of the first Liberty loan. For example, if coupon bonds are converted on January 15, 1918, holders thereof on June 15, 1918, would be entitled to interest at the rate of only 3^ per cent per annum from December 15, 1917, to January 15, 1918, though at the rate of 4 per cent per annum from January 15, 1918, to June 15, 1918. But as such holders will receive 4 per cent convertible gold bonds of 1932-47, having attached thereto coupons for interest at the rate of 4 per cent per annum from December 15, 1917, to June 15, 1918, payment must be made to the United States of the difference between interest at the rate of 3^ per cent per annum, which is all such holders are entitled to for the period from December 15, 1917, to January 15, 1918, and interest at the rate of 4 per cent per annum, which such holders will receive for that period upon the collection of coupons maturing June 15, 1918. The reason for payments required to adjust interest upon registered bonds is similar. DESCRIPTION OF 4 PER C E N T CONVERTIBLE GOLD BONDS OF 1 9 3 2 - 4 7 TO BE ISSUED U P O N CONVERSIONS. Bearer bonds, with interest coupons attached, will be issued in denominations of $50, $100, $500, $1,000, $5,000, and $10,000.^ Bonds registered as to principal and interest will be issued in denominations of $50, $100, $500, $1,000, $5,000, $10,000, $50,000, and $100,000. Prc)vision will be made for the interchange of bonds of different denominations and of coupon and registered bonds, and for the transfer of registered bonds, without charge by the United States, and under rules and regulations prescribed by the Secretary of the Treasury. The bonds will be dated November 15, 1917, and will bear interest at the rate of 4 per cent per annum from that date, payable December 15, 1917, and thereafter semiannually on June 15 and December 15 in each year. The bonds will mature June 15, 1947, but the issue may be redeemed on or after June 15, .1932, in whole or in part, at par and accrued interest, on three months' published notice, on any interest day; in case of partial redemption the bonds to be redeemed to be determined by lot by such method as may be prescribed by the Secretary of the Treasury. The principal and interest of the bonds will be payable in United States gold coin of the present standard of value. The bonds will be receivable as security for deposits of public money, but will not bear the circulation privilege. Coupon bonds will have interest coupons attached, covering interest payments up to and including December 15, 1919. On or after" that date holders of these bonds should surrender the same and obtain a new bond or bonds having coupons attached thereto covering semiannual payments from June 15, 1920, to June 15, 1947. 118 REPORT ON THE FINANCES. Bonds with the limited number of interest coupons attached will be thus delivered in order to save the'annoyance o f . t h e delivery of interim receipts and to allow sufficient time for the engraving and printing of bonds with the full number of coupons attached without inconvenience to the* holder. The bonds shall be exempt, both as to principal and interest, from all taxation now or hereafter imposed by the United States, any State, or any of the possessions of the United States, or by any local taxing authority, except, (a) estate or inheritance taxes and (b) graduated additional income taxes, commonly known as surtaxes, and excess-profits and war-profits taxes, now or hereafter imposed by the United States upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of bonds and certificates authorized by the act of Congress approved September 24, 1917, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in clause (b) above. If a subsequent series of bonds (not including United States certificates of indebtedness, war-savings certificates, and other obligations maturing not' more than five years from the issue of such obligations, respectively) bearing interest at a higher rate than 4 per cent per annum, shall, under the authority of said act approved September 24, 1917, or any other act, be issued by the United States before the termination of the war between the United States and the Imperial German Government (the date of such termination to be fixed by proclamation of the President of the United States), then the holders of 4 per cent convertible gold bonds of 1932-47 shall have the privilege, at the option of the several holders, of converting their bonds at par into bonds bearing such higher rate of interest, at the issue price of bonds of such subsequent series, not less than par, with an adjustment of accrued interest. Such conversion privilege must' be exercised, if at all, at any time within the period after the public offering of bonds of such subsequent series, beginning at the date of issue of bonds of such subsequent issue, as such date shall be fixed in such public offering, and terminating six months after such date of issue, and under such rules and regulations as the Secretary of the Treasury shall have prescribed. The bonds to be issued upon such conversion of 4 per cent convertible gold bonds of 1932-47 shall be substantially the same in form and terms as shall be prescribed by or pursuant to law with respect to the bonds of such subsequent series, not only as to interest rate but also as to convertibility (if future bonds be issued at a still higher rate of interest) or nonconvertibility, and as to exemption from taxation, if any, and in all other respects, except that the bonds issued upon such conversion shall have the same dates of maturity, of principal, and of interest, and be subject to the same terms of redemption before maturity as the bonds converted; and such bonds shall be issued from time to time if and when and to the extent that the privilege of conversion so conferred shall arise and shall be exercised. If the privilege of conversion so conferred shall once arise an(i shall not be exercised with respect to any 4 per cent converi^ible gold bonds of 1932-47 within the period above prescribed, then such privilege SECRETARY OF T H E TREASURY. 119 shall terminate as to such bonds and shall not arise again though again thereafter bonds be issued bearing interest at a higher rate or rates than 4 per cent per annum. W. G. MCADOO, Secretary of the Treaswry. Treasury Department. 1917 Liberty L o a n — F o r m No. 1019. Loans and Currency. [Copies of t h i s form may be obtained a t a n y Federal reserve bank or a t t h e T r e a s u r y D e p a r t m e n t in Washington.] R E Q U E S T FOE CONVERSION o r 15-30 YEAR 3^ P E R CENT CONVERTIBLE GOLD BONDS OF THE F I R S T L I B E R T Y L O A N . [To be used only upon conversions of coupon bonds or interim certificates.] Dated T O t h e SECRETARY OF T H E T R E A S U R Y : According to t h e t e r m s of T r e a s u r y D e p a r t m e n t Circular No. 93, d a t e d October 19, 1917, t h e undersigned h e r e w i t h p r e s e n t s and s u r r e n d e r s $ , face amount, o f { ? ^ [ ^ P ? 2 i S f f i c a t e s } ^ ^ ^ ^ ^ ^""^^ Liberty loan and requests t h a t t h e same be converted i n t o a n equal face ainount of United S t a t e s 4 per cent convertible gold bonds of 1932-47. Upon conversion of said i n t e r i m certificates, delivery of such 4 per cent convertible gold bonds of 1932-47 is requested in t h e denomination of $ • S i g n a t u r e in full Address, n u m b e r a n d s t r e e t City or t o w n County . __ ; , State : (The execution of t h e above form is all t h a t is required if coupon bonds or interim certificates a r e surrendered for conversion on or before December 15, 1917, b u t if surrendered after t h a t date payment t o t h e United States of t h e amount required t o adjust interest must be inclosed and filled In immediaely below.) T h e s u m of $ is inclosed h e r e w i t h . R E Q U E S T FOR EXACT A D J U S T M E N T OF INTEREST. (To be used only upon conversions of coupon bonds or interim certificates after Nov. 15, 1917, a n d prior to Dec. 15, 1917, in case an exact adjustment of interest is desired.) Dated, , 1917. To t h e SECRETARY OF T H E TREASURY : According t o t h e t e r m s of T r e a s u r y D e p a r t m e n t C i r c u l a r No. 93, d a t e d October 19, 1917, t h e undersigned hereby requests t h a t an exact a d j u s t m e n t of i n t e r e s t be m a d e in respect of t h e conversion of $ , face amount, of { S ? m ^certfficates } ^ ^ * ^ ^ ^ ^ ^ ^ Liberty loan, and t h e sum of $__.___ is inclosed h e r e w i t h , being t h e a m o u n t required to be paid to t h e United S t a t e s to a d j u s t interest, as provided in said circular. S i g n a t u r e in full : _______; : ^____ (Signature must be t h e same a s signature to request for conversion.) NOTE 1.—Interim certificaties of t h e first Liberty loan m a y be presented for conversion only a t t h e Federal reserve bank by which such interim certificates have been respectively executed. NOTE 2.—All coupon bonds a n d interim certificates presented for conversion after December 15, 1917, m u s t be accompanied by payment of t h e a m o u n t required t o adjust interest, a s provided in T r e a s u r y D e p a r t m e n t Circular No. 93, dated October 19, 1917. NOTE 3.—Payments required t o adjust Interest m u s t be sufficient t o cover such interest u p t o t h e d a t e when such p a y m e n t s shall be actually received a t t h e place of conversion. Such p a y m e n t s must be made in cash, or by post-oflice or express money order, bank draft, or certified check collectible w i t h o u t exchange a t t h e place where conversion is to be effected, a n d payable, if conversion is to be effected a t t h e Treasury Department in Washington, t o t h p order of " T r e a s u r e r of t h e United S t a t e s Liberty Loan Conversion Ac- 120 REPORT ON T H E FINANCES. count," or, if conversion is to be effected at a'Federal reserve bank, payable to " Federal Reserve Bank of — Liberty Loan (Here insert name of city in which bank is located.) Conversion Account." No other forms of payment will be accepted. NOTE 4.—If it is desired to convert both coupon bonds and interim certificates, two separate forms of request for conversion must be used. NOTE 5.—If delivery of registered bonds is desired upon conversion of interim certificates, the form of application for registered bonds appearing upon the backs of such interim certificates must be filled out. Treasury Department. 1917 Liberty Loan—Form No. 1020. Loans and Currency. [Copies of this form may be obtained at any Federal reserve bank or at the Treasury Department in Washington.] R E Q U E S T FOR CONVERSION OF REGISTERED 15-30 YEAR 3 ^ P E R C E N T CONVERTIBLE GOLD BONDS OF T H E F I R S T LIBERTY LOAN. [To be used only upon conversions of registered bonds.] Dated TO the SECRETARY OF THE TREASURY : According to the terms of Treasury Department Circular No. 93, dated October 19, 1917, the undersigned herewith presents and surrenders $ , face amount, of United States 15-30 year 3^ per cent gold bonds of the first Liberty loan, duly registered in the name of the undersigned, which the undersigned has caused to be. duly assigned for transfer to the Secretary of the Treasury, and the undersigned requests that said registered bonds be converted into an equal face amount of United States 4 per cent convertible gold bonds of 1932-47. Signature in full. Address, nuraber and street City or town County__ —, State (The execution of the above form is all that is required if registered bonds are surrendered for conversion on or before December 15, 1917, but if surrendered after that date payment to the United States of the amount required to adjust interest must be inclosed and filled in immediately below.) The sum of $A is inclosed herewith. REQUEST FOR EXACT ADJUSTMENT OF INTEREST. (To be used only upon conversions of registered bonds after Nov. 15, 1917, and prior to Dec. 15, 1917, in case an exact adjustment of interest is desired.) Dated ___: ,1917. To the SECRETARY OF THE TREASURY : According to the terms of Treasury Department Circular No. 93, dated October 19, 1917, the undersigned hereby requests that an exact adjustment of interest be made in respect of the conversion of $ , face amount, of registered bonds of the first Liberty loan. Signature in full ^ (Signature must be the same as signature to request for conversion.) NOTE 1.—All registered bonds presented for conversion after December 15, 1917, must be accompanied by payment of the amount required to adjust interest, as provided in Treasury Department Circular No. 93, dated October 19, 1917. No payhient is required in respect of registered bonds presented for conversion on or before December 15, 1917. NOTE 2.—Payments required to adjust interest must be sufficient to cover such interest up to the date when such payments shall be actually received at the place of conversion. Such payments must be made in cash, or by post-offlce or express money order, bank draft,.or certified check collectible without exchange at the place where conversion is to be effected, and payable, if conversion is to be effected at the Treasury Department in Washington, to the order of "Treasurer of the United States Liberty Loan Conversion Account," or, if conversion is to be effected at a Federal reserve'bank, payable to "Federal Reserve Bank of : Liberty Loan (Here insert name of city in which bank is located.) Conversion Account." No other forms of payment will be accepted. NOTE 3.r—All registered bonds presented for conversion must be duly assigned for transfer to the Secretary of the Treasury on the form provided for that purpose appearing upon the backs of such registered bonds in accordance with the detailed instructions thereon set forth. 121 SECKETABY OP T H E TEEASUEY. INTEREST TABLE. Amounts required to adjust interest upon conversions of 15/30-year 3^ per cent gold bonds and interim certificates therefor into 4 per cent convertible gold bonds of 1932-47. [For examples as to use of interest table see note.] Denominations. Date. S50. Nov. Dec. Jan. 1917. . 15 16 17. 18 19.. 20 21 22 23 24. 25 26. 27 28 29 30 1 2. 3 4. 5 6 7 8. 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 1918. 1 2 3 4 5 6 7 8 9 10 11 12...... 13 14 15 16 17. 18 19 20 21.... 22.. $100. S500. $1,000. 1 5,000. $10,000. $50,000.: $100,000. . .. : .. .. .. $0.00 .00 .00 .00 .00 .00 .00 .01 .01 .01 .01 .01 .01 .01 .01 .01 .01 .01 .01 .01 .01 .02 .02 .02 .02 .02 .02 .02 .02 $0.00 .00 .00 .01 .01 .01 .01 .01 .01 .01 .02 .02 .02 .02 .02 .02 .02 .02 .03 .03 .03 .03 .03 .03 .03 .04 .04 .04 .04 .00 .00 .00 .00 .00 .00 .00 .01 .01 .01 .01 .01 .01 .01 .01 .ai .00 .00 .00 .01 .01 .01 .01 .01 .01 .01 .02 .02 .02 .02 .02 .02 .01 .01 .01 .01 .01 .02 -.02 .02 .02 .02 .02 .02 .02 .02 .02 .02 .02 .02 .02 .02 .03 .03 .02 .02 .03 .03 .03 .03 .03 .03 .03 .04 .04 .04 .04 .04 .04 .04 .05 .05 .05 .05 , .05 .05 $0.07 $0.01 $0.01 .14 .01 .03 .02 .04 .20 .03 .27 .05 .03 .34 .07 .04 .41 .08 • .05 .48 . .10 . .05 .55 .11 .06 .61 .12 .07 .68 .14 .08 .75 .15 .08 .82 .16 • .09 .89 .18 .10 .96 ; .19 ^ .10 1.02 .20 .11 1.09 .22 .12 1.16 .23 .12 1.23 • .25 .13 1.30 .26 .14 1.37 .27 .14 1.43 ..29 .151.50 : .30 .16 1.57 .31 .16 . • 1.64 .33 .17 / 1.71 .34 .18 .' 1.78 .36 .18 1.84 ' .37 .19 -; 1.91 .38 .20 1.98 : .40 .bi -^ .01 : ' .02 ' .03 • .03 .04 .05 .05 .06 .07 .08 .08 .09:10 .10 .11 .12 .12 .13 .14 .14 .15 .16 .16 .17 .18 .19 .19 .20 .21 .21 , .22 . .23 .23 .24 .25 .25 .26 • .01 .07 .03 . .14 .04 •-: .21 .05 " . .27 .07 .34 .08 .41 .10 .48 .11 .55 .62 .12 .69 .14 .76 .15 .82 .16 .89 .18 .96 .19 1.03 .21 1.10 .22 .23 .25 .26 .27 .29 .30 .32 .33 .34 .36 .37 .38 .40 .41 .43 .44 .45 .47 .48 .49 .51 .52 1.17 1.24 1.30 1.37 1.44 1.51 1.58 1.65 1.72 1.79 . 1.85 1.92 1.99 2.06 2.13 2.20 2.27 2.34 2.40 - 2.47 2.54 2.61 $0.14 .27 .41 .55 .68 .82 .96 1.09 1.23 1.37 1.50 1.64 1.78 1.91 2.05 2.19 2.32 2.46 2.60 2.73 2.87 3.01 3.14 3.28 3.42 3.55 , . 3.69 3.83 3.96 $0.68 1.37 2.05 2.73 3.42 4.10 4.78 5.46 6.15 6.83 7.51. 8.20 • 8.88 9.56 10.25 10.93 11.61 12.30 12.98 13.66 14.34 15.03 15.71 16.39 17.08 17.76 18.44 19.13 •19.81 $1.37 2.73 4.10 5.46 6.83 8.20 9.56 . 10.93 12.30 13.66 15.03 16.39 17.76 19.13 20.49 21.86 23.22 24.59 25.96 27.32 28.69 30.05 31.42 32.79 34.15 35.52 36.89 38.25 39.62 .14 .27 .41 .55 .69 .82 .96 1.10 1.24 1.37 1.51 1.65 1.79 1.92 2.06 2.20 .69 1.37 2.06 2.75 3.43 4.12 4.81 5.49 6.18 6.87 7.55 8.24 8.93 9.62 10.30 10.99 1.37 2.75 4.12 5.49 6.87 8.24 9.62 10.99 12.36 13.74 15.11 16.48 17.86 19.23 20.60 21.98 2.34 2.47 2.61 2.75 2.88 •3.02 3.16 3.30 3.43 3.57 3.71 3.85 3.98 4.12 4.26 4.40 4.53 4.67 4.81 4.95 5.08 5.22 11.68 12.36 13.05 13.74 14.42 15.11 15.80 16.48 17.17 17.86 18.54 . 19.23 19.92 20.60 21.29 21.98 22.66 23.35 24.04 24.73 25.41 26.10 23.35 24.73 26.10 27.47 28.85 30.22 31.59 32.97 34.34 35.71 37.09 38.46 39.84 41.21 42.58 43.96 45.33 46.70 48.08 49.45 50.82 52.20 122 EEPOET ON THE FINANCES. Denominations. $50. 1918. Jan. Feb 23 24 25 26 27 28 29 30 31 1 .2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 .... . . . . . . :. .... . . 2 3 Apr 5 6 7 8 9 10 11 12 13 14 . 15 16 17 18 19 20 21..... 22 23 24 25 26 27 28 29 30 31 1 2 3 . . . . . . . . . 6. . . 6 7 8 9 10 11 12 «0.03 .03 .03 .03 .03 .03 .03 .03 .03 .03 .03 .03 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 .04 . .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .05 .06 .06 .06 .06 .06 .06 .06 .06 .06 ' .06 .06 .06 .06 .06 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .07 .08 .08 .08 .08 .08 .08 .08 .08 .08 $100 $0. 05 05 06 06 06 06 06 06 06 07 07 07 07 07 07 07 08 08 08 08 08 08 08 .09 09 09 09 09 09 09 09 10 10 10 10 10 10 10 11 11 11 11 11 11 11 12 12 12 12 12 12 12 13 13 13 13 13 13 13 .13 14 14 14 14 14 14 .14 .15 .15 .15 .15 .16 .15 .15 .16 .16 .16 .16 .16 .16 $500. SO. 27 .27 .28 .29 .30 .30 .31 .32 .32 .33 .34 .34 .35 .36 .36 .37 .38 .38 .39 .40 .41 • .41 .42 .43 .43 .44 .45 .45 .46 .47 .47 • .48 .49 .49 .50 .51 .52 .52 .53 .54 .54 .55 .56 .56 .67 .58 .58 :59 .60 .60 .61 .62 .63 .03 .64 .65 .65 .66 .67 .67 .68 .69 .69 .70 .71 .71 .72 .73 .74 .74 .75 .76 .76 .77 .78 .78 .79 .80 .80 .81 $1,000. $0.54 .55 .56 .58 .59 .60 .62 .63 .65 ' .66 .67 .69 .70 .71 .73 .74 .76 .77 .78 .80 .81 .82 .84 .85 .87 .88 .89 .91 .92 .93 .95 .96 .98 .99 LOO L02 L03 L04 L06 L07 L09 LIO Lll L13 L14 L15 1.17 L18, L20 L21 L22 L24 L25 . L26 L28 L29 L30 L32 L33 L35 L36 L37 L39 L40 L41 L43 L44 1.46 1.47 L48 L50 L51 L52 L54 L65 1.57 L68 L69 L61 L62 $5,000. $2.68 2.75 2.82 2.88 2.95 3.02 3.09 3.16 3.23 3.30 3.37 3.43 3.50 3.57 3.64 3.71 3.78 3.85 3.91 3.98 4.05 4.12 . 4.19 4.26 4.33 4.40 4.46 4.53 4.60 4.67 4.74 4.81 4.88 4.95 6.01 5.08 5.15 5.22 5.29 5.36 5.43 5.49 5.56 5.63 5.70 5.77 . 5.84 5.91 5.98 6.04 6.11 6.18 6.25 6.32 6.39 6.46 6.52 6.59 6.66 6.73 6.80 . 6.87 6.94 7.01 7.07 7.14 7.21 7.28 7.35 7.42 7.49 7.55 7.62 7.69 7.76 7.83 7.90 7.97 8.04 8.10 $10,000. $5.36 5.49 5.63 5.77 5.91 . 6.04 6.18 6.32 6.46 6.59 6.73 6.87 7.01 7.14 7.28 7.42 7.55 7.69 7.83 7.97 8.10 8.24 8.38 8.52 8.65 8.79 8.93 9.07 9.20 9.34 9.48 9.62 9.75 9.89 10.03 10.16 10.30 10.44 10.58 10.71 10.85 10.99 1L13 1L26 I L 40 1L54 1L68 1L81 1L95 12.09 12.23 12.36 12.50 12.64 12.77 12.91 13.05 13.19 13.32 13.46 13.60 13.74 13.87 14.01 14.15 14.29 14.42 14.56 14.70 14.84 14.97 15.11 15.25 15.38 15.52 15.66 15.80 15.93 .16.07 16.21 $50,000. $26.79 27.47 28.16 28.85 29.53 30.22 30.91 3L59 32.28 32.97 33.65 34.34 35.03 35.71 36.40 37.09 37.77 38.46 39.15 39.84 40.52 4L21 4L90 42.58 43.27 43.96 44.64 45.33 46.02 46.70 47.39 48.08 48.76 49.45 50.14 50.82 51.61 52.20 52.88 53.57 54.26 54.95 55.63 56.32 57.01 67.69 58.38 59.07 59.75 60.44 6L13 6L81 62.50 63.19 63.87 64.56 65.25 65.93 66.62 67.31 67.99 , 68.68 69.37 70.05 70.74 7L43 72.12 72.80 73.49 74.18 74.86 75.55 76.24 76.92 77.61 78.30 78.98 79.67 80.36 8L04 $100,000. $53.57 54.95 56.32 57.69 59.07 60.44 61.81 63.19 64.56 65.93 67.31 68.68 70.05 7L43 72.80 74.' 18 75.55 76.92 78.30 79.67 8L04 82.42 83.79 85.16 86.54 87.91 89.29 90.66 92.03 93.41 94.78 96.15 97.53 98.90 100.27 101.65 103.02 .104.40 105.77 107.14 108.52 109.89 11L26 112.64 114.01 115. .38 116.76 118.13 119.51 120. 88 122.25 123.63 125.00 126.37 127.76 129.12 130.49 131.87 133.24 134.62 135.99 137.36 138.74 140.11 141.48 142.86 144.23 145.60 146.98 148.35 149.73 151.10 152.47 153.86 155.22 166.59 157.97 169.34 160.71 162.09 123 SECEETAEY OP T H E TBEASUEY. Denominations. Date. $50'. 1918. 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 May 1". 2 3 4 5 6 7 8 9 10 11 • 12 13 14 15 Apr . . . . ' SO. 08 .08 .08 » .08 -.08 .09 .09 .09 .09 .09 .09 .09 ^ .09 .09 .09 .09 .09 .09 .09 .09 .10 .. . .10 .10 .10 .10 .10 .10 .10 .10 .10 .10 .10 .10 . . . $100. $50C $0'. 16 .16 ' ' .17 .17 .17 ' .17 .17 .17 .17 .18 .18 .18 ..18 .18 .18 .18 -.19 .19 .19 .19 .19 .19 .19 .20 .20 .20 .20 .20 .20 .20 .20 .21 .21 $0 82 82 83 84 84 85 86 87 87 88 89 . 89 90 91 91 92 93 93 94 95 95 . 96 97 98 98 99 00 1 00 1 01 1 02 1 02 1 03 1 04 1 $1,000. ' $L63 L65 L66 L68 1.69 L70 L72 L73 L74 1.76 L77 1.79 1.80 L81 1.83 1.84 1.85 1.87 1.88 L90 1.91 1.92 1.94 1.95 1.96 1.98 1.99 2.01' 2.02 2.03 2.05 2.06 2.07 $5,000. $8.17 8.24 8.31 8.38 8.45 8.52 8.59 8.65 8.72 8.79 8.86 8.93 9.00 9.07 9.13 9.20 9.27 9.34 9.41 9.48 9.55 9.62 9.68 9.75 9.82 9.89 9.96 10.03 10.10 10.16 10.23 10.30 10.37 $10,000. $16.35 16.48 16.62 16.76 16.90 17.03 17.17 17.31 17.45 17.58 17.72 17.86 17.99 18.13 18.27 18.41 18.54 18.68 18.82 18.96 19.09 19.23 19.37 19.51 19.64 19.78 19.92 20.05 20.19 20.33 20.47 20.60 20.74 $50,000. $8L73 82.42 83.10 83.79 84.48 85.16 85.86' .86.64 87.23 87.91 88.60 89.29 89.97 90.66 91.35 92.03 92.72 93.41 94.09 94.78 95.47 96.15 96.84 97.53 98.21 98,90 99.59 100.27 100.96 101.65 102.34 103.02 103.71 $100,000. $163.46 164.84 166.21 167.58 168.96 170.33 171.70 173.08 174.46 176.82 177.20 178.57 179 95 181.32 182.69 184.07 185.44 186.81 188.19 189.66 190.93 192.31 193.68 ' 195.05 196.43 197.80 199.18 200.56 201.92 203.30 204.67 206.04 207.42 NOTE.—To ascertain the correct amount to adjust interest upon any given date, run down the date column until the date is reached upon which the bonds or interim certificates to be converted will be actually surrendered at the place of conversion, then run across the page to th'e right until the figure under the denomination column of the particular denomination of bonds or interim certiflcates to be converted is reached, and then multiply that figure by the number of bonds or interim certificates of that denomination to be converted. For example, to convert on January 9.1918, $10,000, face amount, of bonds or interim certificates, of the denomination of $1,000 each^ the amount required as shown by the foregoing interest table to adjust interest upon a $1,000 bond bemg $0.34, that amount must be multiplied by 10, and the result shows that a payment of $3.40 must be made to the United States to adjust interest upon conversion of such bonds upon that date. E X H I B I T G. LIBERTY LOAN—DEPOSITS OF GOVERNMENT FUNDS IN W I T H THE LIBERTY LOAN. Department Circular No. 81. (Liberty Loan Circular No. 3.)^ CONNECTION TREASURY DEPARTMENT, OFFICE OF THE SECRETARY, Division of'p^iic Moneys. Washington, May 29, 1917. To Federal reserve banks and other banks and trust companies incorporated under the laws of the United States or of any S t a t e : lil pursuance of Department Circular No. 79, dated May 16, 1917, hereto attached, any bank or trust company desiring to qualify as a depositary for the purpose of making payments by credit, or of receiving deposits of funds, in connection with the Liberty loan, under authority of the act approved April 24, 1917, should promptly file an application through the Federal reserve bank of its district (on Form A, Liberty loan, hereto attached). As stated in said circular No. 79, because of the great amount of work involved in passing upon the qualifications and securities of the banks and trust companies which will have payments to make, it is deemed necessary, until after July 1, to limit to those banks and trust companies having payments to make on subscriptions for $100,000 or more bonds the provision for making payment by credit—the object in providing for payment by credit being to avoid any disturbance of the money position which might result from large payments being made between June 28 and Monday, July 2, a period when there is customarily a heavy movement of funds due to corporate interest and other payments. I t is, however, entirely admissible for banks and trust companies in any region or regions, by voluntary association among themselves, to pool their subscriptions° and payments and to designate one of their number through which subscriptions and payments upon subscriptions shall be made, and which shall be, as between itself and the United States, regarded as the responsible subscriber and depositary. I n any such case the banks and trust companies so associating themselves would no doubt arrange with the central bank or trust company so designated to represent them to redeposit the moneys credited and deposited with such central bank or trust company among the associated banks and trust companies in proportion to their respective payments in cash and certificates upon subscriptions to the loan. If banks and trust companies will thus voluntarily associate themselves together they will relieve the Federal reserve banks of the several districts of the burden of the work, and, by arrangement among themselves, obtain participation in the deposits from the beginning, whether or not their individual subscriptions 1 Supplementing Department Circular No. 79, dated May 16,1917. 124 SECRETARY OF THE TREASURY. 125 amount to $100,000 or more bonds. The banks and trust companies so associating themselves will deal only with the central bank or trust company, and the latter will deal with the Federal reserve bank and make the application and deposit the securities as hereinafter provided. o As stated in Department circular No. 79, dated May 16, 1917, the answer to the question, how long the amounts paid by credit may be permitted to remain with designated depositaries, will depend in large measure on the extent to which the privilege of payment in full for the bonds of the Liberty loan on or before June 28 is availed of. As soon after July 2 as practicable the qualifications and securities of all banks and trust companies making application to become depositaries will be passed upon, whether or not their subscriptions be for less than $100,000 of bonds of the Liberty loan, so that any incorporated bank or trust company in the United States, however small the amount of its subscriptions and though it should not choose or find opportunity, by association with others, to participate in the original privilege of payment by credit, will have an opportunity to qualify and, when designated as depositary, to participate in deposits, and the cash proceeds of the Liberty loan from time to time remaining unexpended will be deposited among the subscribing banks and trust companies designated as depositaries as nearly as may be in proportion to the payments of each in cash and certificates of indebtedness upon subscriptions to the Liberty loan. The Secretary of the Treasury requested, in Department circular No. 79, dated May 16, 1917, that at least 50 per cent of the payments to be made by the several banks and trust companies be made in Treasury certificates of indebtedness issued under the act approved April 24, 1917. To the extent, therefore, that any bank or trust company makes more or less than 50 per cent of its payments in certificates of indebtedness, the deposits to remain with it out of the unexpended proceeds of the loan will, as nearly as may be, be proportionately increased or reduced ; and accordingly transfers will be made from banks and trust companies whose payments in certificates have fallen below 50 per cent to those whose payments in certificates have exceeded 50 per cent, provided that the amount deposited with any one bank or trust company will not exceed the amount paid by and through it in cash and certificates. I t will be understood that the foregoing outlines only the general principle governing the deposits, withdrawals, and redeposits to be made from time to time. On account of the great number of banks and trust companies which will doubtless participate in the deposits and the difficulty of compiling returns and of making transfers, it may not be possible to adhere to it precisely nor immediately. The Secretary will be governed by this general principle as nearly as practicable, but the announcement of the principle must not be permitted to qualify the absolute right to call for and "to receive payment of any or all deposits at any time and from time to time. Needless to say, it will be his pleasure and his duty to exercise this power, which he must reserve, in such a way as in his judgment will be most likely to avoid any financial disturbance, and with due regard for the patriotic assistance rendered by the banks and trust companies in connection with the Liberty loan. 126 REPORT ON THE FINANCES. Collateral security accepted.—Pursuant to the provisions of section 5153, Revised Statutes, as amended, approved securities of the following classes will be accepted as collateral security for Government deposits made under authority of the act approved April 24, 1917: {a) Bonds and certificates of indebtedness of the United States Government of any issue, including bonds of the Liberty loan and interim certificates for payments therefor, all at par. (&) Bonds issued under the United States farm-loan act and bonds of the Philippine Islands, Porto Eico, and the District of Columbia, all at par. {c) Bonds of any State of the United States at market value, not exceeding par. {d) The 3^ per cent bonds of the Territory of Hawaii at 90 per cent of par, and other bonds of said Territory at market value, not exceeding par, and bonds of the Manila Railroad Co. at 90 per cent of market value, not exceeding 90 per cent of par. {e) Dollar bonds and obligations of foreign Governments (and of the dependencies thereof) engaged in war against Germany and issued since July 30, 1914, at 90 per cent of the market value thereof in the United States, not exceeding 90 per cent of par. (/) Bonds of any county or city in the United States which are direct obligations of the county or city as a whole at 75 per cent of the market value thereof, not exceeding 75 per cent of par. (^) Railroad mortgage bonds secured by direct mortgage upon lines of railroad within the United States at 75 per cent of the market value thereof, not exceeding par, but not including any such bonds which at date of this circular are at a market price to yield more than 5-| per cent per annum, if held to maturity, according to standard tables of bond values. {h) Commercial paper which is eligible for rediscount or purchase by Federal reserve banks and which has been approved by the Federal reserve bank of the district in which the depositary bank is located, at 75 per cent of par. All such paper must bear the indorsement of the depositary bank. At least 25 per cent in value, as above determined, of the securities deposited by any bank or trust company to secure deposits must consist of those mentioned in paragraph {a). No State, county, or city bond will be accepted if default has been made in payment of principal or interest during the past 10 years. The Secretary of the Treasury reserves the right, to call for additional collateral security at any time. How deposits are to be applied for.—Any bank or trust company desiring to qualify as a depositary should at the earliest possible date file an application (Form A, Liberty loan, hereto attached) with the Federal reserve bank of its district, or where the applying bank or trust company is located in or nearer to a city where a securities committee has been appointed, as hereinafter provided, with such securities committee. Such application must state {a) the amount of bonds of the Liberty loan subscribed for by or through such bank or trust company; (5) the amount of payments to be made by such bank or trust company on such subscriptions on or before June 28; (^) the amount of such payments to be made in cash and the proportion of such payments to be made in Treasury certificates SECRETARY OF THE TREASURY. 127 of indebtedness; (d) the security offered by such bank or trust company for deposits. Each such application must be made in quadruplicate. The Federal reserve bank of each district will report to the Secretary of the Treasury as to all applications filed with it, directly or through securities committees, and will transmit one quadruplicate original of each application to the Secretary of the Treasury with the recommendation of the Federal reserve bank. Formal designation of banks or trust companies which shall file the applications above required on Form A, Liberty loan, will be made as promptly as possible, under the direction of the Secretary of the Treasury, through the Federal reserve bank of the district. Any bank or trust company which in its appliciation on Form A shall have underestimated or overestimated the cash payments which it will have to make may file a supplemental application and tender additional security, or ask for the withdrawal of security, as the case may be. The security tendered in the first instance must be sufiicient to cover at least the amount payable otherwise than in certificates of indebtedness on or before June 28, and which the bank or trust company expects to pay by credit. Banks and trust companies may, however, tender securities to cover also the payments which they are to make in certificates of indebtedness, and on the basis of which, as above indicated, they may participate in deposits as transfers and redeposits are made from time to time. Amounts withdrawn by depositors of the applying bank or trust company to pay for Liberty loan bonds must not be included in its application unless such depositors have arranged to make application and payment through such bank or trust company. How deposits are to be made.—If the securities offered are approved the depositary bank or trust company will receive written notice from the Federal reserve bank of its district that it is authorized to receive for the account of the Treasurer of the United States a sum stated upon the deposit by it of the securities approved by the Federal reserve bank with the designated custodian. Each bank and trust company designated will be required to open and maintain for the account of the Treasurer of the United States a separate account to be Imown as the " Liberty loan deposit account." The depositary bank or trust company shall transfer to the Liberty loan deposit account on or before June 28,1917, the amount then payable b.y it otherwise than in certificates of indebtedness on its own subscription and on the subscriptions of others made through it to Liberty bonds. Such bank or trust company must then notify the Treasurer of the United States and the Federal reserve bank of the district by letter or telegram to reach them on or before June 28 (on Form B, Liberty loan), and must issue (on Form C, Liberty loan) certificates of advice in duplicate, stating the amount standing to the credit of the, Treasurer'on its books in the Liberty loan deposit account. Said forms will be furnished throusfh the Federal reserve banks. Such certificates of advice shall be forwarded as follows: The original to the Treasurer of the United States in Washington and the duplicate to the Federal reserve bank of the district. The Federal reserve bank, acting as fiscal agent of the United States, will thereupon credit the subscriber with the amount as a payment or part 128 REPORT ON THE FINANCES. payment of the amount due on June 28, and the depositary bank or trust company will be charged with the amount of such deposit by the Treasurer of the United States. Applications must be made as above provided at the earliest possible date in the case of those banks and trust companies desiring to make payment on subscriptions for $100,000 or more bonds on or before June 28. Similar applications may be made from time to time by other banks and trust companies. All deposits will be made by the Federal reserve banks by direction of the Secretary of the Treasury. All withdrawals will be made by the Federal reserve banks by direction of the Treasurer of the United States. Securities committees.—The Federal reserve bank in each district is authorized to designate a committee or committees in such city or cities as may be deemed necessary, to be known as the securities committee, each such.committee to consist of not more than three nor less than two members, who shall serve without compensation. Where applications are made by a bank or trust company which is located in one of the cities in which a securities committee has been appointed, or which is nearer to such city than to the Federal reserve city of its district, this application should be filed with such securities committee. I t shall be the duty of such securities committee to examine the list of securities tendered as collateral security for deposits and to recommend to the Federal reserve bank the acceptance or refusal of the securities so tendered and to transmit the application promptly to the Federal reserve bank of the district with such recommendation. Custody of security for deposits.—All securities accepted as collateral security for deposits made under authority of the act of April 24, 1917, must be deposited with the Federal reserve bank of the district in which the depositary bank is located or, by the direction and subject to the order of the Federal reserve bank of the district, with a custodian or custodians designated by it. Each Federal reserve bank may name as many custodians in its district as it may deem desirable. Any bank or trust company may be appointed such custodian. If individuals are appointed, not less than two individuals shall act as joint custodians. Any custodian so appointed may be required by the Federal reserve iBank to execute a bond with approved sureties in a penalty of not less than the face value of the securities deposited, the expense of which bond shall be borne by the United States. All securities held as collateral security for deposits either by the Federal reserve bank or by a custodian or custodians selected as herein provided shall be kept under seal in a safe-deposit box or safe, separate from all other papers and securities. The safedeposit box or safe used by any custodian or custodians other than the Federal reserve bank shall be located in a fireproof vault or building approved by the Federal reserve bank. Exchange of securities.—Banks and trust companies desiring to exchange securities must submit to the Federal reserve bank or to the nearest securities committee a list of offerings at least 10 days before the date it desires to withdraw any of the securities pledged. The list of securities offered in exchange will be handled in the same manner as the list of original offerings. The time necessary to trans- SECRETARY OF THE TREASURY. ^ 129 mit such list to the Federal reserve bank should be taken into consideration in submitting all lists of securities, and ample opportunity should be given to obtain the approval of the Federal reserve bank. ' Collateral maturing in custodian^s possession.—Should any note or other obligation be about to mature while in the possession of the Federal reserve bank or custodian, and no other collateral be substituted at least 10 days before maturity, the Federal reserve bank shaH withdraw from the depositary bank or trust company an amount at least equal to the value as aboye determined of the note or obligation about to mature. Withdrawal of deposits.—All deposits will be payable on demand and without previous notice. Upon withdrawal of funds a proportionate amount of collateral security will be surrendered to the depositary bank or trust company. I n case of commercial paper, that having the earliest maturity will be surrendered in such cases, unless in the opinion of the Secretary of the Treasury a variation of this rule should be made. Eligible commercial paper held-by a Federal reserve bank or by a custodian as security for deposits may be offered for rediscount by direction of a depositary member bank to the Federal reserve bank in order to meet demands made for payment of such deposits. Such paper shall in all cases bear the indorsement of the depositary member bank. Any eligible securities held by a Federal reserve bank or custodian as collateral security for deposits may also be offered to the Federal reserve bank, by direction of the member bank or trust company, as collateral security for loans evidenced by note of the member bank or trust company maturing in not exceeding 15 days, provided the proceeds of such loans are to be used to pay deposits held by the depositary member bank or trust company which secures the loan from the Federal Reserve Bank. • Interest on deposits.—The depositary bank or trust company will be required to pay 2 per cent interest on the average balance maintained during the period of the deposit. Interest payments must be made when cleposits are finally withdrawn. W. G. MCADOO, Secretary of the Treasury. [Form A—Liberty loan.] T o t h e SECEETARY OF THE TREASURY, Washington, D. G. SIR : I am directed by the board of directors o.f the . (Name of bank or t r u s t company.) of , to state that said banli (or trust company) will have payments (Location.) to make on subscriptions made by and tlirough it for bonds of the Liberty loan and to request you to designate it as a (government depositary under authority of the act approved April 24, 1917, and pursuant to Treasury Department circular No. 79, dated May 16, 1917, and Treasury Department circular No. 81, dated May 29, 1917. (a) The amount of bonds of the Liberty loan subscribed for by or through such bank or trust company will be $ _; (&) the amount of payments to be made by such bank or trust company on such subscriptions on or- before June 28 will be $ ; (c) the amount of such payments to be made in cash is $ , and the amount of such payments to be made in Treasury 13034°—FI 1917 9 130 c^ REPORT ON THE FINANCES. certificates of indebtedness is $ ; (d) a list of the securities offered by such bank or trust company for such deposits is hereto attached. The board of directors of said bank (or trust company) has authorized the deposit and pledge of the securities described in the attached list as collateral security for any deposit made pursuant to this application. of By ._-_ _.__ (Title.) CERTIFICATE OF S E C U R I T I E S C O M M I T T E E . We, the undersigned, members of the securities committee, appointed for the purpose of passing upon securities offered as collateral security for Government deposits, to be made in accordance with Department circular No. 81 above referred -to, do hereby certify that we have examined- the within attached list of securities which are offered as collateral security for the deposit of $ of Government funds. We ha.ve this day approved same and recommend to the Federal Reserve Bank of that such securities be accepted, it being the opinion of the committee that they Avill furnish a full and complete security to the Government for the payment of such deposit. Securities GommAttee. CERTIFICATE OF APPROVAL OF F I S C A L AGENT. The foregoing application is hereby approved. Upon deposit with :___ ; of the securities listed and described, the applying bank is authorized to transfer to .the Treasurer of the United States, Liberty loan deposit account, the sum of $ , to be held subject to withdrawal on demand. FEDERAL RESERVE BANK OF By , Fiscal Agent of the IJnited States. CERTIFICATE OF CUSTODIAN. ' ' The securities described in the within attached list have been this day received from , of , to be held as collateral security for the deposit of Government funds in accordance with Treasury Department circular No. 81, dated May 29, 1917. Custodian. Instructions.—Four original copies of this application should be filed with the Federal reserve bank or with the securities committee nearest the place of business of the applying bank, together with an additional copy of the list of securities. If filed with a securities committee, they should be transmitted promptly to the. Federal reserve bank with the recommendation of that committee. If the securities offered are approved, the Federal reserve bank should forward one copy to the Secretary of the Treasury and notify the applying bank to deposit them with it or With a designated custodian or custodians. If deposited with a designated custodian, three copies of this application should be forwarded by the Federal reserve bank to the custodian, and upon receipt of the securities described one copy of this application should be delivered to the applying bank with the custodian's receipt duly executed and one copy should be retained by the custodian. The Federal reserve bank should in all cases retain one original in its possession. If securities are deposited with the Federal reserve bank, it should execute the custodian's receipt and deliver a copy bearing this receipt to the applying bank. SECRETARY OF THE TREASURY. 131 LIBERTY LOAN—PURCITASES OF TREASURY CERTIFICATES OF INDEBTEDNESS AND DEPOSITS OF GOVERNMENT FUNDS IN CONNECTION WITTI TI-IE L I B E R T Y LOAN. Department cfirJular No. 79. TREASURY DEPARTMENT, O F F I C E O F T H E bECRETARY, Division Of Public Moneys. Washington, May 16,1917. To incorporated banks and trust companies in the United States: Referring to Treasury circular No. 78, dated May 14,1917, inviting subscriptions for bonds of the Liberty loan: I n order to avoid, even temporarily, a derangement of the money situation the Secretary of the Treasury earnestly requests that all banks and trust companies which have or expect to have payments to make for themselves or others on account of ""subscrip tions to the loan acquire, as and when offered from time to time, Treasury certificates of indebtedness, issued under'the act approved April 24, 1917, to as large an amount as practicable and at least equal to 50 per cent of the payments which they will have to make from time to time on account of subscriptions, and that they, utilize such certificates of indebtedness in making payment. Inasmuch as such certificates of indebtedness are payable at any Federal reserve bank, banks and trust companies in acting upon this request will gradually and without disturbing the money market acquire exchange payable in.the place where subscriptions are to be paid, and meanwhile will secure an adequate interest return upon their money and the privilege for themselves and their customers, to the extent of the certificates of indebtedness acquired, of making payment in full for bonds allotted without previous notice, if desired. As a further precaution, the Secretary of the Treasury has determined that banks and trust companies having payments to make on account of subscriptions for $100,000 or more bonds, and which shall have qualified as depositaries, may make payment upon such subscriptions on June 28 (as to any amounts not paicl in Treasury certificates of indebtedness) by credit on their books to the account of the Treasurer of the United States, of which credit and of the amount thereof notice shall be given in duplicate to the Treasurer and to the Federal reserve bank of the district on or before June 28. The amounts so credited will be withdrawn from time to time when and as required. How long they may be permitted to remain will depend in large measure, on the extent to which the privilege of prepayment for the bonds of the Liberty loan on or before June 28 is availed of. I t will be necessary that the early installments paid upon subscriptions to the loan be devoted largely to the payment of the short-term Treasury certificates of indebtedness, which have been and will be placed throughout the country chiefly for making loans to Governments engaged in making war against Germany^ and in part to meet unusual war expenditures of our own Government. As, however, practically all the.proceeds of the Liberty loan, whether advanced to foreign Governments or expended directly by departments of the United States, will be spent in this country in payment of indebtedness heretofore or -hereafter incurred, the bank resources of the United States as a whole will not be diminished, and the operation involves only a shifting of credits. 132 REPORT ON T H E FINANCES. Because of the great amount of work involved in passing upon the qualifications and securities of the banks and trust companies which will have payments to make, it is deemed necessary until after July 1 to limit to those banks and trust companies having payments to make on subscriptions for $100,000 or more bonds the provision for making payment by credit, the object in providing for payment by credit being to avoid any disturbance in the money position which might result from large payments being made from June 28 to Monday, July 2, a period when there is customarily a heavy movement of funds due to corporate interest and other payments. As soon after July 2 as practicable the (qualifications and securities of other banks and trust companies desiring to participate in redeposits will be passed upon, and after provision has been made for the immediate disbursements which the United States will have to make up to and including July 1, the proceeds of the loan received from time to time, in full or installment payments, will be redeposited with qualified banks and trust companies in a proportion yet to be determined based upon the amounts of bonds of the Liberty loan for which subscriptions are filed by and through them and upon the amount of Treasury certificates of indebtedness acquired by them and utilized in payment thereupon on or before June 28. Such deposits will, of course, be subject to call. Interest at the rate of 2 per cent per annum is to be allowed by the banks upon the amounts credited and redeposited from time to time. A statement as to the formalities of qualification for the purpose of making payment by credit and of receiving redeposit of funds and of the securities acceptable for such purposes will be promptly furnished. The furnishing of security for such deposits is required by section 7 of the act approved April 24,1917, under which the Liberty loan is issued and section 5153 of the Revised Statutes and amendments thereto.' Each bank or trust company should at the earliest possible date make report to the Federal reserve bank of its district of the character and amount of the securities which it will offer as security. These will be reported to the Secretary of the Treasury, and, when his approval shall have been obtained, notification thereof Avill be made to the banks and trust companies, respectively. The Secretary feels that he can not too strongly urge upon the banks and trust companies of the country that it is their patriotic duty to prepare for the payments which they will haye to make on account of the Liberty loan, first, by the acquisition of certificates of indebtedness, and, second, by qualifying under the act so as to be in a position to make payment by credit if the subscriptions by and through them are likely to amount to $100,000 or more bonds. Bearing in mind the enormous amount of work involved on the part of the Treasury Department and Federal reserve banks, he particularly urges that action in these matters be taken as promptly as possible by the banks and trust companies, inasmuch as it may be physically impossible to pass upon the qualifications of late applicants if many applications are long delayed, and the object of permitting payment in certificates of indebtedness—to avoid accumulation of great cash payments within a few days—will in large measure be defeated if such purchases are long postponed. W. G. MCADOO, Secretary of the Treasury: E X H I B I T H. SPECIAL DEPOSITS OF GOVERNMENT F U N D S I N CONNECTION WITH SUB-. SCRIPTIONS FOR B o N D S A N D C E R T I F I C A T E S OF T H E U N I T E D S T A T E S , ISSUED UNDER TIIE A C T OF CONGRESS APPROVED SEPTEMBER 24, 1917. Department a J ^ ^ i l a r No. 92. (Liberty Loan Circular No. 7. TREASURY DEPARTMENT, O F F I C E , OF TI-IE S E C R E T A R Y , Division of Pubhc Moneys. Washington, October 6,1917. To Federal reserve banks^and other banlcs and trust companies incorporated under the laws of the United .States or of any State: Any incorporated bank or trust company in the United States desiring to participate in deposits of the proceeds of bonds of the second Liberty loan and of certificates of indebtedness of the United States issued under the act of Congress approved September 24, 1917, should make application to the Federal reserve bank of its district, on Form H hereto attached, and accompany such application by a certified copy of resolutions duly adopted by its board of directors, in Form J hereto attached. I n fixing the maximum amount of deposits for which it will apply, the applicant bank or trust company should be guided by the amount of the payments which it expects to have to make, for itself and its customers, on account of allotments of such bonds and certificates, and, as well, by any statutory limitations upon the amount of deposits which the applicant bank or trust company may receive from any one depositor. Any application may be rejected or the applicant may be designated for a smaller maximum amount than that applied for. After receiving the recommendation of the Federal reserve bank, the Secretary of the Treasury will designate approved depositaries. COLLATERAL SECURITY. Designated depositaries will be required, before receiving deposits, to qualify by pledging, as collateral security for such deposits, securities of the following classes, t o an amount, taken at the rates below provided, at least equal to such deposits: {a) Bonds and certificates of indebtedness of the United States Government, of any issue, including bonds of the Liberty loans and interim certificates or receipts for payments therefor; all at par. {b) Bonds issued under the United States farm-loan act and bonds of the Philippine Islands, Porto Rico, and the District of Columbia; all at par. {c) The 3 i per cent bonds of the Territory of Hawaii at 90 per cent of market value, and other bonds of said Territory at market value. (^) Bonds of any State of the United States, at market value; and approved notes, certificates of indebtedness, and warrants issued by any State of the United States, at 90 per cent of market value. 133 134 REPORT ON THE FINANCES. (e) Approved bonds of any county, city, or political subdivision in the United States, and approved notes, certificates of indebtedness, and warrants issued by any county or city in the United States which are direct obligations of the county or city as a whole, all at 90 per cent of market value; but not including any such bonds which, at the date of this circular, are at a market price to yield more than 5^ per eent per annum, nor any such other obligations which at the date of this circular are at a market price to yield more than 6 per cent per annum, if held to maturit}^, according to standard tables of bond values. (/) Approved dollar bonds and obligations of foreign governments (and of the dependencies thereof) engaged in war against Germany, issued since July 30, 1914, at 90 per cent of the market value thereof in the United States, and approved dollar bonds and obligations of any province or city within the territory of any such foreign government or dependency, issued since July 30, 1914, at 75 per cent of the market value thereof in the United States. {g) Approved bonds, listed on some recognized stock exchange, and notes of domestic railroad companies within the United States; approved equipment trust obligations of such domestic railroad comIianies, and approved b()nds and notes of domestic electric railway and traction companies, telephone and telegraph companies, electric light, power, and gas companies, and industrial companies, secured (directly or by the pledge of mortgage bonds) by mortgage upon physical properties in the United States and listed on some recognized stock exchange, all at 75 per cent of market value; but not including any such bonds or obligations which, at the date of this circular, are at a market price to yield more than 6-| per cent per annum, nor any such notes which, at the date of this circular, are at a market price to yield more than 7^ per cent per annum, if held tomaturity, according to standard tables of bond values. (A) Commercial paper and bankers' acceptances, having maturity at the time of pledge of not to exceed six months, exclusive of days of race, and which are otherwise eligible for rediscount or purchase by ederai reserve banks; and which have been approved by the Federal reserve bank of the district in which the depositary is located; at 90 per cent of face value. All such commercial paper and acceptances must bear the indorsement of the depositary bank or trust company. No security shall be valued at more than par. No State or municipal bond, obligation, or evidence of indebtedness shall be accepted if the State or municipality has made default in payment of prin-cipal or interest during the past 10 years. The right is reserved to call for additional collateral security at any time. The approval and valuation^ of securities is committed to the several Federal reserve banks, acting under the direction of the Secretary of the Treasury. The withdrawal of securities, the pledge of additional securities, and the substitution of securities shall be made from time to time as required or permitted by the Federal reserve banks acting,under like directiono f SECRETARY OF T H E SECURITIES TREASURY. 135 COMMITTEES. Each Federal reserve bank is authorized to designate a committee or committees, to be composed of experienced bankers, in such city or cities in its district as may be deemed necessary, to be known as the securities committee. Each securities committee shall consist of not more than three nor less than two members, who shall serve without compensation. I t shall be the duty of such securities committee to examine the lists of securities tendered as collateral security for deposits and to transmit them promptly to the Federal reserve bank of the district with the committee's recommendation. CUSTODY OF SECURITIES. All securities accepted as collateral security for deposits hereunder must be deposited with the Federal reserve bank of the district in which the depositary is located or, by the direction and subject to the order of such Federal reserve bank, with a custodian or custodians designated by it, and under rules and regulations prescribed by it. . ^ FIOW DEPOSITS ARE TO BE MADE. Each qualified depositary will be required to open and maintain for the account of the Federal reserve bank of its district, as fiscal agent of the United States, a separate account for deposits to be made hereunder, to be known as the " War-loan deposit account." Qualified depositaries will be permitted to make payment by credit when due of amounts payable on subscriptions made by or through them for Treasury certificates of indebtedness and for Liberty bonds. I n order to make payment by credit the depositary must notify the Federal reserve bank of the district by letter or telegram, to reach it on or before the date when such payment is due, and must on said date issue a certificate of advice to such Federal reserve bank stating that a sum specified (in addition to all other amounts standing to the credit of said fiscal agent with such depositary) has been deposited with such depositary for the account of such Federal reserve bank, as fiscal agent of the United States, in the war-loan deposit account. The unexpended cash proceeds, if any, of the sale of any issue of certificates or bonds will be deposited among the qualified depositaries as nearly as may be in proportion to the subscriptions made by and through them for such issue. All deposits and withdrawals will be made by the Federal reserve banks by direction of the Secretary of the Treasury. The amount deposited, with any depositary shall not in the aggregate exceed at any one time (a) the maximum amount for which it shall have been designated as a depositary, nor (b) the aggregate amount of the collatieral security pledged by it taken at the rates hereinbefore provided. WITTIDRAWAL OF DEPOSITS. All deposits will be payable on demand without previous notice. 136 REPORT ON TFIE FINANCES. INTEREST ON DEPOSITS. Each depositary will be required to pay interest at the rate of 2 per cent per annum on the average daily balance maintained during the period of the deposit. Interest payments must be made when deposits are finally withdrawn, but not less frequently than quarterly. W. G. MCADOO, Secretary of the Treasury. Form H—Liberty Loan. APPLICxVTION FOR DEPOSITS. [Act of Sept. 24, 1917.] To the Federal reserve bank of , fiscal agent of tho United States: The undersigned bank or trust company, in accordance with the provisions of Treasury Department circular No. 92, dated October 6, 1917, and pursuant to due action of its board of directors, hereby makes application for the deposit with it of proceeds of the bonds and certificates of indebtedness issued and tp be issued from time to time under the act of Congress approved September 24, 1917, the aggregate amount of such deposits not to exceed at any one time $ ; and assigns and' agrees to pledge, from time to time, to and with the Federal Reserve Bank of , as fiscal agent of the United States, as collateral security for such deposits as may be made from time to time pursuant to this application, securities of the character and amount required by said circular. of , By . _ , President (Vice President). Form J—Liberty Loan. RESOLUTIONS A U T H O R I Z I N G A P P L I C A T I O N FOR DEPOSITS. [ A c t Of S e p t . 2 4 , 1 9 1 7 . ] I hereby certify that the following resolutions were duly adopted at a meeting of the board of directors of the below-named bank (or trust company), which meeting was duly called and duly held on the day of , a quorum being present, and that the said resolutions were spread upon the minutes of said meeting: Resolved, That in accordance with the provisions of Treasury Department circular No. 92, dated'October 6, 1917, ^this bank (trust company) make application for the deposit with it of proceeds of the bonds aud certificates of indebtedness issued and to be issued from time to time under the a*ct of Congress approved September 24, 1917, the aggregate amount- of such deposits not to exceed at any one time $-^ ; and assign and agree to pledge from time to time to and with the Federal Reserve Bank of : , as fiscal agent of the United States, as collateral security for such deposits as may be made from time to time pursuant to this application, securities of the character and amount required by said circular; and Resolved, That the president, or any vice president, or cashier, or secretary, of the undei'signed bank (or trust company) is hereby authorized to make application, assignment, and agreement as aforesaid and from time to time to deliver to and pledge with said Federal reserve bank, or any custodian or custodians appointed by it, securities of the undersigned bank (or trust company) of a character and amount at least sufficient to secure such deposits according to the terms of said Treasury Department circular, and from time to time to withdraw securities and to substitute other securities and to pledge and deposit additional securities. In witness whereof I have hereunto signed my name and affixed the seal of the : ^_ of _: Cashier (Secretary). E X H I B I T I. REGULATIONS GOVERNING THE EXPORTATION OF COIN, BULLION, AND ^ CURRENCY. EXECUTIVE ORDER. By virtue of thB authority vested in me I direct that the regulations, orders, limitations, and exceptions prescribed in relation to the exportation of coin, bullion, and currency shall be administered by and under the authority of the Secretary of the Treasury, and upon the recommendation of the Secretary of the Treasury I hereby prescribe the following regulations in relation thereto: 1. Any individual, firm, or corporation desiring to export from the United States or any of its Territorial possessions to any foreign country named in the proclamation dated September seventh, nineteen hundred and seventeen, any coiiij bullion, or currency, shall first file an application in triplicate with the Federal reserve bank of the district in which such individual, firm, or corporation is located; such application to state under oath and in detail the nature of the transaction, the amount involved, the parties directly and indirectly interested, and such other information as may be of assistance to the proper authorities in determing whether the exportation for. which a license is desired will be compatible with the public interest. 2. Each Federal reserve bank shall keep a record copy of each application filed with it under the provisions of this regulation and shall forward the original application and a duplicate to the Federal Reserve Board at Washington, together with such information or suggestions as it may believe proper in the circumstances, and shall, in addition, make a formal recommendation as to whether or not in its opinion the exportation should be permitted. 3. The Federal Reserve Board, subject to the approval of the Secretary of the Treasury, is hereby authorized and empowered, upon receipt of such application and the recommendation of the Federal reserve bank, to make such ruling as it may deem proper in the circumstances, and, if in its opinion the exportation in question be compatible with the public interest, to permit said exportation to be made; otherwise to refuse it. WOODROW WILSON. T H E W H I T E HOUSE, o September 7,1917. BY T H E P R E S I D E N T OF THE UNITED STATES OF AMERICA—-A PROCLAMATION. Whereas Congress has enacted, and the President has on the 15th day of June, 1917, approved a law which contains the following provisions: . Whenever during the present war the President shall find that the public safety shall so require, and shall make proclamation thereof, it shall be unlawful 187 138 REPORT ON THE FINANCES. to export from or ship from or take out of the United States to any country named in such proclamation any article or articles mentioned in such proclamation, except at such time or times, and under such regulations and orders, and subject to such limitations and exceptions as the President shall prescribe, until otherwise ordered by the President or by Congress: Provided,, however. That no preference shall be given to the ports of one State over those of another. Any person who shall export, ship, or take out, or deliver or attempt to deliver for export, shipment, or taking out, any article in violation of this title, or of any regulation or order made hereunder, shall be fifed not more than $10,000, or, if a natural person, imprisoned for not more than two years, or both; and any article so delivered or exported, shipped, or taken out, or attempted to be so delivered or exported, shipped, or taken out, shall be seized and forfeited to the United States; and any officer, director, or agent of*a corporation who participates in any such violation shall be liable to like fine or imprisonment, or both. Whenever there is reasonable cause to believe that any vessel, domestic or foreign, is about to carry out of the United States any article or articles in violation of the provisions of this title, the collector of customs for the district in which such vessel is located is hereby authorized and empowered, subject to review by the Secretary of Commerce, to refuse clearance to any such vessel, domestic or foreign, for which clearance is required by law, and by formal notice served upon the owners, master, or person or persons in command or charge of any domestic vessel for which clearance is not required by law, to forbid the departure of such vessel from the port, and it shall thereupon be unlawful for such vessel to depart. Whoever, in yiolation of any of the provisions of this section shall take, or attempt to take, or authorize the taking of any such vessel out of port or from the jurisdiction of the United States, shall be fined not more than $10,000 or imprisoned not more than two years, or both; and in addition such vessel, her tackle, apparel,. furniture, equipment, and her forbidden cargo shall be forfeited to the United States. And whereas the President has heretofore by proclamation, under date of the 27th day of August, in the year one thousand nine hundred and seventeen, declared certain exports in time of war unlawful, and the President finds that the public safety requires that such proclamation be amended and supplemented in respect to the a:rticles hereinafter mentioned: Now, therefore, I, Woodrow Wilson, President of the United States of America, do hereby proclaim to all whom it may concern that the public safety requires that, except at such, time or times, and under such regulations and orders, and subject to such limitations and exceptions as the President shall prescribe, until otherwise ordered by the President or by Congress, the following articles, namely, coin, bullion, and currency, shall not, on and after the 10th day of September, in the year one thousand nine hundred and seventeen, be exported from or shipped from or taken out of the United States or its Territorial possessions to. Albania, Austria-Hungary, Belgium, Bulgaria, Denmark, her colonies, possessions, or protectorates, Germany, her colonies, possessions, or protectorates, Greece, Leichtenstein, Luxembourg, the Kingdom of the Netherlands, Norway, Spain, her colonies, possessions, or protectorates, Sweden, Switzerland or Turkey, Abyssinia, Afghanistan, Argentina, Bolivia, Brazil, China, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, Egypt, France, her colonies, possessions, or protectorates, Guatemala, Haiti, Honduras, Italy, her colonies, possessions, or protectorates, Great Britain, her colonies, possessions, or protectorates, Japan, Liberia, Mexico, Monaco, Montenegro, Morocco, Nepal, Nicaragua, the colonies, possessions, or protectorates of the Netherlands, Oman, Panama, Paraguay, Persia, Peru, Portugal, her colonies, possessions, or SECRETARY^ OF THE TREASURY. o 139 protectorates, Roumania, Russia, Salvador, San Marino, Serbia, Siam, Uruguay, or Venezuela. The regulations, orders, limitations, and exceptions prescribed will be administered by and under the authority of the Secretary of the Treasury, from whom licenses in conformity with said regulations, orders, limitations, and exceptions will issue. Except as hereby amended and supplemented, the above-mentioned proclamation, under date of August 27, 1917, shall continue in full force and effect. I n witness whereof I have hereunto set my hand and caused the seal of the United States of America to be afiixed. Done at the city of Washington the seventh day of September, in the year of our Lord one thousand nine hundred and seventeen and^ of the independence of the United States of America the one hundred and forty-second. WOODROW WILSON. By the President: ROBERT LANSING, Secretary of State. ADMINISTRATIVE PROCEDURE. Method of making application.—Individuals, firms, and corporations, desiring to obtain licenses for the exportation of coin, bullion, and currency, must file an application with the Federal reserve bank of the district in which the applicant resides, or where the transaction requiring the shipment originates. These applications must be made on a standard form which has been furnished to all Federal reserve banks. Exports of gold.—It will be the general policy of the board not to authorize the exportation of gold unless the shipment applied for is shown to be connected in a direct and definite way with a corresponding importation of merchandise,for consumption in the United States, but in any case authorization will be granted only where the exportation of gold in payment for such merchandise is found to be compatible with the public interest. I n reaching its conclusions, however, the board will consider all attending circumstances in each particular case. Shipments of Canadian silver coin and currency.—Until further notice the board will approve all applications for the exportation of Canadian silver coin and currency without limitation. The Treasury Department has instructed collectors of customs to pass such shipments into Canada when approved by the Federal reserve bank of the district from which the shipments are made. Continuous permits for shipments of Canadian silver coin and currency, without requiring an application in each case, may be granted by Federal reserve banks upon condition that each transaction will be reported to it without delay. The Federal reserve banks will transmit to the board weekly reports of all applications of every kind passed upon by them, showing the amount of each shipment. 140 o REPORT ON THE FINANCES. Exports of silver bullion and silver coin of foreign mintage.—Applications for the exportation of silver bullion and silver coin of foreign mintage will in general be approved by the Federal Reserve Board upon recommendation of the Federal reserve bank with which the application is filed. United States notes, nationcd-bamk notes, and FederaL reserve notes.—Applications for the exportation of United States notes, national-bank notes, and Federal reserve notes will as a rule be approved by the Federal Reserve Board, but each application must come before the board for its determination before shipment is made. Travelers leaving the country.—Instructions have been issued by the Treasury Department to collectors of customs to permit travelers leaving the country to carry on their persons or in their baggage {a) United States notes, national-bank notes, and Federal reserve notes not to exceed $5,000 for each adult; (&) American silver dollars, subsidiary silver coins, and silver certificates not to exceed $200 for each adult; (c?) Gold coin pr gold certificates not to exceed $200 for each adult. Collectors of customs have been informed that in dealing with travelers they may act in accordance with these regulations, without communicating with the Federal Reserve Board or with the Federal reserve,bank of their district. GENERAL. Shipments of coin or currency which appear to be or are suspected of being for enemy account or for the benefit of the enemy, will not be permitted. These regulations are issued subject to change without notice, and no application granted will be regarded as constituting a precedent. FEDERAL RESERVE BOARD, By W. P . G. HARDING, Governor. Approved: W. G. MCADOO, Secretary of the Treasury. WASHINGTON, D . C , September 21, 1917. E X H I B I T J. [PUBLIC—No. 90—65TH CONGRESS.] [H. R. 5723.] An Act To amend an Act entitled "An Act to authorize the establishment of a Bureau of War Risk Insurance in the Treasury Department," approved September second, nineteen hundred and fourteen, and for other purposes. Be it enacted by the Senate and House of Representatives ofthe United States of America in Congress assembled. That the first section of the Act entitled ''An Act to "authorize the establishment of a Bureau of War Risk Insurance in the Treasury Department/' approved September second, nineteen hundred and fourteen, as amended, is hereby amended to read as follows: "ARTICLE I. ''SECTION 1. That there is established in the Treasury Department a Bureau to be known as the Bureau of War Risk Insurance, the director of which shall receive a salary at the rate of $5,000 per annum. " T h a t there be in such bureau a Division of Marine and Seamen's Insurance and a Division of Military and Naval Insurance in charge of a commissioner of Marine and Seamen's Insurance and a commissioner of Military and Naval Insurance, respectively, each of whom shall receive a salary of $4,000 per annum." SEC. 2. That such Act of September second, nineteen hundred and fourteen, as amended, is hereby amended by adding new sections, as follows: " S E C . 12. That sections two to seven, inclusive, and section nine, shall be construed to refer only to the Division of Marine and Seamen's Insurance. V^SEC. 13. That the director, subject to the general direction of the Secretary of the Treasury, shall administer, execute, and enforce the provisions of this Act, and for that purpose have full power and authority to make rules and regulations, not inconsistent with the provisions of this Act, necessary or appropriate to carry out its purposes, and shall decide all questions arising under the Act, except as otherwise provided in sections five and four hundred and five. Whereever under any provision or provisions of the Act regulations are directed or authorized to be made, such regulations, unless the context otherwise requires, shall or may be made by the director, subject to the general direction of the Secretary of the Treasury. The director shall adopt reasonable and proper rules to govern the procedure of the divisions, to regulate the matter of the compensation, if any, but in no case to exceed ten per centum, to be paid to claim agents and attorneys for services in connection with any of the matters provided for in articles two, three, and four, and to regulate and provide for the nature and extent of the proofs and evidence and the method of taking and furnishing the same in order to establish the right to benefits of allowance, allotment, compensation, or insurance provided for in this Act, the forms of application of those claiming to be enti- 141 142 REPORT ON T H E FINANCES. tied to such benefits, the method of making investigations and medical examinations, and the manner and form of adjudications and awards. " S E C . 14. That the bureau and its divisions shaU have such deputies, assistants, actuaries, clerks, and other employees as may be from time to time provided by Congress. The bureau shall, by arrangement with the Secretary of War and the Secretary of the Navy, respectively, make use of the services of surgeons in the Army and Navy. The Secretary of the Treasury is authorized to establish an advisory board consisting of three members skilled in the practice of insurance against death or disability for the purpose of assisting the Division of Military and Naval Insurance in filing premium rates and in the adjustment of claims for losses under the contracts of insurance provided for in article four and in adjusting claims for compensation under article three; compensation for the persdns so appointed to be determined by the Secretary of the Treasury, but not to exceed $20 a day each while actually employed. " S E C . 15. That for the purposes of this Act, the director, commissioners, and deputy commissioners shall have power to issue subpoenas for and compel the attendance of witnesses withm a radius of one hundred miles, to require the production of books, papers, documents, and other evidence, to administer oaths and to examine witnesses upon any matter within the jurisdiction of the bureau. The director may obtain such information and such reports from oflBcials and employees of the departments of the Governinent of the United States and of the States as may be agreed upon by the heads of the respective departments. In case of disobedience to a subpoena, the bureau may invoke the aid of any district court of the United States in requiring the attendance and testimony of witnesses and the production of documentary evidence, and such court, withia the jurisdiction of which the inquiry is carried on, may, in case of contumacy or refusal to obey a subpoena issued to any officer, agent, or employee of any corporation or other person, issue an order requning such corporation or other person to appear before the bureau, or to give evidence touching the matter in question; and any failure to obey such order of the court may be punished by such court as a contempt thereof. Any person so required to attend as a witness shall be allowed and paid the same fees and mileage as are paid witnesses in the district courts of the United States. " S E C . 16. That the director shall submit annuaUy to the Secretary of the Treasury esthnates of the appropriations necessary for the work of the bureau. " S E C . 17. That for the purpose of carrying out the provisions of this Act there is hereby appropriated, out of any moneys in the Treasury not otherwise appropriated, the sum of $100,000, for the payment of all expenses incident to the work authorized under this Act, including salaries of the director and commissioners and of such deputies, assistants, accountants, experts, clerks, and other employees in the District of Columbia or elsewhere, as the Secretary of the Treasury may deem necessary, traveling expenses, rent and equipment of offices, typewriters and exchange of same, purchase of law books and books of reference, printing and binding to be done at the Governinent Printing Office, and aU other necessary expenses. SECRETARY OF T H E TREASURY. . 143 With the exception of the director, the commissioners, and such special experts as the Secretary of the Treasury may from time to time find necessary for the conduct of the work of the bureau, all employees of the bureau shall be appointed from Usts of eligibles to be supplied by the Ciyil Service Commission and in accordance with the civil-service law. Such fees, aUowances, and salaries shall be the same as are paid for simUar services in other departments of the Government. " S E C . 18. That there is hereby appropriated from any money in the Treasury not otherwise appropriated, the sum of $141,000,000, to be known as the military and naval family aUowance appropriation, . for the payment of the family aUowances provided by Article II. Payments out of this appropriation shall be made upon and in accordance with awards by the Commissioner of the Division of Military and Naval Insurance. " S E C . 19. That there is hereby appropriated, from any money in the Treasury not otherwise appropriated, the sum of $12,150,000, • to be known as the military and naval compensation appropriation, for the payment of the compensation, funeral expenses, services, and supplies provided by Article I I I . Payments out of this appropriation shall be made upon and in accordance with awards by the director. " S E C . 20. That there is hereby appropriated, from any money in the Treasury not otherwise appropriated, the sum of $23,000,000, to be known as the mUitary and naval insurance appropriation. All premiums that may be collected for the insurance provided by the provisions of Article IV shall be deposited and covered into the Treasury to the credit of this appropriation. "Such sum, including all premium payments, is hereby made available for the payment oi the liabilities of the United States incurred under contracts of insurance made under the provisions of Article IV. Payments from this appropriation shall be made upon and in accordance with awards by the director. " S E C . 21. That there shaU be set aside as a separate fund in the Treasury, to be known as the military and naval pay deposit fund, all sums held out of pay as provided by section two hundred and three of this Act. Such fund, including all additions, is hereby made available for the payment of the sums so held and deposited, with interest, as provided in section two hundred and three, and the amount necessary to pay interest is hereby appropriated. " S E C . 22. That for the purpose of this amendatory Act the marriage of the claimant to the person on account of whom the claim is made shall be shown— "(1) By a duly verified copy of aj)ublic or church record; or " (2) By the affidavit of the clergyman or magistrate who officiated; or " (3) By the testimony of two or more eyewitnesses to the ceremony; or " (4) By a duly verified copy of the church record of baptism of the children; or "(5) By the testimony of two or more witnesses who know that the parties lived together as husband and wife, and were recognized as such, and who shalfstate how long, within their knowledge, such relation continued: Provided, That marriages, except such as are mentioned in section forty-seven hundred and five of the Revised Statutes, shall 144 REPORT ON THE FINANCES. be proven in compensation or insurance cases to be legal marriages according to the law of the place where the parties resided at the time of marriage or at the time when the right to compensation or insurance accrued; and the open and notorious illicit cohabitation of a widow who is a claimant shall operate to terminate her right to compensation or insurance from the commencement of such cohabitation: Provided further, That for the purpose of the administration of Article I I of this Act marriage shall be conclusively presumed, in the. absence of proof, that there is a legal spouse living, if the man and woman have lived together in the openly acknowledged relation of husband and wife during the two years immediately preceding the date of the declaration of war, or the date of enlistment or of entrance into or employment in active service in the military or naval forces of the United States if subsequent to such declaration." In Articles II, III, and IV of this Act unless the context otherwise requires— "(1) The term 'child' includes— . " (a) A legitimate child. "(b) A cnild legaUy adopted more than six months before the enactment of this amendatory Act or before enlistment or entrance into or employment in active service in the mUitary or naval forces of the United States, whichever of these dates is the later. " (c) A stepchild, if a member of the man's household. ' " (d) An illegitimate child, but, as to the father, only, if. acknowledged by instrument in writing signed by him, or if he has been judicially ordered or decreed to contribute to^ such chUd's support, and if such child, if born after December thirty-first, nineteen hundred and seventeen, shall have been born in the United States, or in its insular possessions. "(2) The term 'grandchUd' means a chUd as above defined of a child as above defined. " (3) Except as used in section four hundred and one and in section four hundred and two the terms 'child' and 'grandchUd' are limited to unmarried persons either (a) under eighteen years of age, or (b) of any age, if insane, idiotic, or otherwise permanently helpless. "(4) The term 'parent' includes a father, mother, grandfather, grandmother, stepfather, and stepmother, either of the person ia the service or of the spouse. "(5) The terms 'brother' and 'sister' include brothers and sisters of the half blood as weU as those of the whole blood, stepbrothers and stepsisters, and brothers and sisters through adoption. "(6) The term 'commissioned officer' includes a warrant officer, but includes only an officer in active service in the military or naval forces of the United States. " (7) The terms ' m a n ' and 'enlisted man' mean a person, whether male or female, and whether enlisted, enrolled, or drafted into active service in the mUitary or naval forces of the United States, and include noncommissioned and petty officers, and members of training camps authorized by law. "(8) The term 'enlistment' includes voluntary enlistment, draft, and enroUment in active service in the military or naval forces of the United States. " (9) The term 'commissioner' means the Commissioner of Military and Naval Insurance, SECRETARY OF THE TREASURY. 145 "(10) The term 'injury' includes disease. • "(11) The term ' p a y ' means the pay for service in the United States according to grade and length of service, excluding all aUowances. "(12) The term 'military or naval forces' means the Army, the Navy, the Marine Corps,, the Coast Guard, the Naval Reserves, the National Naval Volunteers,' and any other branch of the United States service while serving pursuant to law with the Army or the Navy. " S E C . 23. That when, by the terms of this amendatory Act, any payment is to be made to a minor, other than a person in the mUitary or naval forces of the United States, or to a person mentally incompetent, such payment shaU be made to the person who is constituted guardian or curator by the laws of the State or residence of claimant, or is otherwise legally vested with responsibility or care of the claimant. " S E C . 24. That the Bureau of War Risk Insurance, so far as practicable, shaU upon request furnish information to and act for persons in the mUitary or naval service, with respect to any contracts of insurance whether with the Government or otherwise, as may be prescribed by regulations. Said bureau may upon request procure from and keep a record of the amount and kind of insurance held by every commissioned and appointive officer and of every enlisted man in the mUitary or naval service of the United States, including the name and principal place of business of the company, society, or organization in which such insurarice is held, the date of the policy, amount of premium, name and relationship of the beneficiary, and such other data as may be deemed of service in protecting the interests of the insured and beneficiaries. " S E C . 25. That whoever in any claim for famUy aUowance, compensation, or insurance, or in any document required by this Act or by regulation made under this Act, makes any statement of a material fact knowing it to be false, shall be guUty of perjury and shall be punished by a fine of not more than $5,000, or by imprisonment for not more than two years, or Ipoth. " S E C . 26. That if any person entitled to payment of famUy allowance or compensation urider this Act, whose right to such payment under this Act ceases upon the happening of any contingency, thereafter, fraudulently accepts any such payment, he shall be punished by a fine of not more than $2,000, or by imprisonment for not more than one year, or both." ARTICLE II. ALLOTMENTS AND FAMILY ALLOWANCES. SEC. 200. That the provisions of this article shaU apply to all enlisted men in the military or naval forces of the United States. SEC. 201. That aUotment of pay shaU, subject to the conditions, limitations, and exceptions hereinafter specified, be compulsory as to wife, a former wife divorced who has not remarried and to whom alimony has been decreed, and a child, and voluntary as to any other person; but on the written consent of the wife or former wife divorced, supported by evidence satisfactory to the bureau of her ability to 13034°—FI 1917 10 146 REPORT ON THE FINANCES. support herself and the children in her custody, the allotment for her and for such children may be waived; and on the enlisted man's application or otherwise for good cause shown, exemption from the allotment may be granted upon such conditions as m a y be prescribed by regulations. The monthly compulsory aUotment shaU be in an amount equal to the family allowance hereinafter specified except that it shall not be more than one-half the pay, or less than $15; but for a wife living separate and apart under court order or written agreement or for a former wife divorced, it shall not exceed the amount specified in the court order, decree, or written agreement to be paid to her. For an illegitimate child, to whose support the father has been judiciaUy ordered or decreed to contribute, it shall not exceed the amount fixed in the order or decree. If there be an aUotment for a wife or child, a former wife divorced and who has not remarried shall be entitled to a compulsory allotment only out of the difference, if any, between the aUotment for the wife or child or both and one-half of the pay. SEC. 202. That the enlisted man may allot any proportion or proportions or any fixed amount or amounts of his monthly pay or of the proportion thereof remaining after the compulsory allotment, for such purposes and for the benefit of such person or persons as he may direct, subject, however, to such conditions and limitations as may be prescribed under regulations to be made by the Secretary of War and the Secretary of the Navy, respectively. SEC. 203. That in case one-half of an enlisted man's inonthly pay is not allotted, regulations to be made by the secretary of War and the Secretary oi the Navy, respectively, may require, under such circumstances and conditions as may be prescribed in such regulations, that any proportion of such one-half pay as is not allotted shall bedepos-"" ited to his credit, to be held during such period of his service as may be prescribed. Such deposits shall bear interest at the rate of four per centum per annum, with semiannual rests and, when payable, shall be paid principal and interest to the enlisted man, if living, otherwise to any beneficiary or beneficiaries he may have designated, or if there be no such beneficiary, then to the person or persons who would under the laws of the State of his residence be entitled to his personal property in case of intestacy. SEC. 204. That a lamUy allowance of not exceeding $50 per month shall be granted and paid by the United States upon written apphcation to the bureau by such enUsted man or by or on behalf oi any Srespective beneficiary, in accordance with and subject to the conitions, limitations, and exceptions hereinafter specified. -The famUy allowance shall oe paid from the time of enlistment to death in or one month after discharge frpm the service, but not for more than one month after the termination of the present war emergency. No familv allowance shall be made for any period preceding November nrst, nineteen hundred and seventeen. The payment shall be subject to such regulations as may be prescribed relative to cases of desertion and imprisonment and of missing men. Subject to the conditions, limitations, and exceptions hereinabove and hereinafter specified, the famUy allowance payable per month shall be as follows: SECRETARY^ OF THE TREASURY^ 147 Class A. In the case of a man, to his wife (including a former wife divorced) and to his child or children: (a) If there be a wife but no child, $15. (b) If there be a wife and one child, $25. (c) If there.be a wife and two children, $32.50, with $5 per month additional for each additional chUd. (d) If there be no wife, but one child, $5. (e) If there be no wife, but two chUdren, $12.50. (f) If there be no wife, but three children, $20. (g) If there be no wife, but four chUdren, $30, with $5 per month additional for each additional chUd. Class B. In the case of a riaan or woman, to a grandchild, a parent, brother, or sister: (a) If there be one parent, $10. (b) If there be two parents, $20. (c) For each grandchild, brother, sister, and additional parent, $5. In the case of a woman, to a child or children: (d) If there be one chUd, $5. (e) If there be two children, $12.50. (f) If there be three children, $20. (g) If there be four children, $30, with $5 per month additional for each additional child. » SEC. 205. That family allowances for members of Class A shall be paid only if and while a compulsory allotment is made to a member or members of such class. The monthly family allowance to a former wife divorced shall be payable only out of the difference, if any, between the monthly family allowance to the other members of Class A and the sum of $50, and only then if alimony shall have been decreed to her. For a wife living separate and apart under court order or ^^^ritten agreement or to a former wife divorced the monthly allowance, together with the allotment, if any, shall not exceed the amount specified in the court order, decree, or written agreement to be paid to her. For an illegitimate child, to whose support the father has been judicially ordered or decreed to contribute, it shall not exceed the amount fixed in the order or decree. SEC. 206. That family allowances to members of Class B shall bo granted only if and while the member is dependent in whole or in part on the enUsted man, and then only if and while the enlisted man makes a monthly allotment of his pay for such member or members equal to the amount of the monthly family allowance as hereinabove specified, except that:— (a) The maximum monthly allotment so required, to be naadeto members of Class B shall be one-half of his pay. (b) If he is making no allotment to a member of Class A, the minimum monthly allotment so designated to be made to members of Class B shall be $15 per month. * (c) If he is making the compulsory allotment to a member of Glass A, the minimum monthly allotirient so designated to be made to members of Class B shall be one-seventh of his pay, but not less than $5 per month. •On the enUsted man's appUcation, or otherwise for good cause shown, exemption from this additional allotment under Class B as a condition to the allowance may be granted, upon such conditions as may be prescribed by regulations. , > 148 REPORT ON THE FINANCES. SEC. 207. That the amount of the family allowance to members of Class B shall be subject to each of the following limitations: ,(a) If an allowance is paid to one or more beneficiaries of Class A, the total allowance to be paid to the beneficiaries of Class B shall not exceed the difference^ between the allowance paid to the beneficiaries of Class A and the sum of $50. (b) The total monthly allowance'to beneficiaries of Class B added -to the enlisted man's monthly allotment to them shall not exceed the average sum habituaUy contributed by him to their support monthly during the period of dependency but not exceeding a year immediately preceding his enlistment or the enactment of this amendatory Act. SEC. 208. That as between the members of Class A and as between the members of Class B, the^ amount of the aUotment and family aUowance shall be apportioned as may be prescribed by regulations. SEC. 209. The War and Navy Departments, respectively, shaU pay over to the Treasury Department monthly the entire amount of such aUotments for distribution to the beneficiaries, and the aUotments and family aUowances shaU be paid by the bureau to or for the beneficiaries. SEC. 210. That upon receipt of any application for family aUowance the commissioner shaU make aU proper investigations and shaU make an award, on the basis of which award the amount of the aUotments to be made by the man shaU be certified to the War Department or Navy Department, as may be proper. Whenever the commissioner shaU have reason to believe that an aUowance has been improperly made or that the conditions have changed, he shaU investigate or reinvestigate and may modify the award. The amount of each monthly aUotment and aUowance shaU be detennined according to the conditions then existing. ARTICLE III. COMPENSATION FOR DEATH OR DISABILITY. SEC. 300. That for death or disability resulting from personal injury suffered or disease contracted in the line of duty, by any commissioned officer or enlisted man or by any member of the Army Nurse Corps (female) or of the Navy Nurse Corps (female) when employed in the active service und'er the War Department or Navy Department, the United States shaU pay compensation as hereinafter rovided; but no compensation shall be paid if the injury or disease as been caused by his own wUlful misconduct. SEC. 301. That if death results from injury— If the deceased leaves a widow or child, or if he leaves a widowed mother dependent upon him for support, the monthly compensation shaU be the foUowing amounts: (a) For a widow alone, $25. (b) For a widow and one child, $35. (c) For a widow and two chUdren, $47.50, with $5 for each additional chUd up to two. (d) If there be no widow, then for one chUd, $20. (e) For two children, $30. E SECRETARY OF THE TREASURY. 149 (f) For three chUdren, $40, with $5 for each additional chUd up to two. (g) For a widowed mother, $20. The amount payable under this subdivision shaU not be greater than a sum which, when added to the total amount payable to the widow and chUdren, does not exceed $75. This compensation shaU be payable for the death of but one chUd, and no compensation for the death of a chUd shaU be payable if such widowed mother is in receipt of compensation under the provisions of this article for the death of her husband. Such compensation shaU be payable whether her widowhood arises before or after the death of the person and whenever her coridition is such that if the person were living the widowed mother would have been dependent upon him for support. If the death occur before discharge or resignation from service, the United States shaU pay for burial expenses and the return of body to his home a sum not to exceed $100, as may be fixed by regulations. The payment of compensation to a widow or widowed mother shall continue until her death or remarriage. The payment of compensation to or for a child shall continue until such clnld reaches the age of eighteen years or marries, or if such child be incapable, because of insanity, idiocy, or being otherwise permanently helpless, then during such incapacity. Whenever the compensation payable to or for the benefit of any person under the provisions of this section is terminated by the happening of the contingency upon which it is limited, the compensation thereafter for the remaining beneficiary or beneficiaries, if any, shall be the amount which would have been payable to them if they had been the sole original beneficiaries. As between the widow and the children not in her custody, and as between children, the amount of the compensation shall be apportioned as may be prescribed by regulations. The word "widow" as used in this section shaU not include one who shall have married the deceased later than ten years after the time of injury. SEC. 302. That if disabiUty results from the injury— (1) If and whUe the disabiUty is total, the monthly compensation skaU be the following amounts: (a) If. he has neither wife nor child living, $30. (b) If he has a wife but no child living, $45. (c) If he has a wife and one child hving, $55. (d) If he has a wife and two children living, $65. (©) If lie has a wife and three or more children living, $75. (f) If he has BO wife but one child hving, $40, with $10 for each additional chUd up to two. (g) If he has a widowed mother dependent on him for support, then, m addition to the above amounts, $10. To ari injured person who is totaUy disabled and in addition so helpless as to be in constant need of a nurse or attendant, such additional sum shall be paid, but not exceedirig $20 per month, as the director may deem reasonable: Provided, however. That for the loss of both feet or both hands or both eyes, or for becoming totaUy blind or helplessly and permanently bedridden from causes occurring in the line of duty in the service of the United States, the rate of compensation shall be $100 per month: Provided further, That no aUowance shaU be made for nurse or attendant. 150 . REPORT ON TI-IE FINANCES. (2) If and while the disability is partial, the monthly compensation shall be a percentage of the compensation that would be payable for his total disability, equal to the degree of the reduction in earning capacity resulting from the disability,- but no compensation shall be payable for a reduction in earning capacity rated at less than ten per centum. A schedule of ratings of reductions in earning capacity from specific injuries or combinations of injuries of a permanent nature shall be adopted and applied by the bureau. Ratings may be as high as one hundred per centum. The ratings shall be based, as far as practicable, upon the average impairments of earning capacity resulting from such injuries in civil occupations and not upon the impairment in earning capacity in each individual case, so that there shall be no reduction in the rate of compensation for individual success in overcoming the handicap of a permanent injury. The bureau shall from time to time readjust this schedule of ratings in accordance with actual experience. (3) I n addition to the compensation above provided, the injured person shall be furnished by the United States such reasonable . governmental medical, surgical, and hospital services and with such supplies, including artificial limbs, trusses, arid similar apphances, as the director may determine to be useful and reasonably necessary: Provided, That nothing in this Act shall be construed to affect the necessary inilitary control over any member of the military or naval establishments before he shall have been discharged from the military or naval service. (4) The amount of each monthly payment shall be determined according to the family conditions then existing. SEC. 303. That every person applying for or in receipt of compensation for disabiUty under the provisions of this article shall, as frequently and at such times and places as may be reasonably required, submit himself to examination by a medical officer of the United States or by a duly qualified physician designated or approved by the director. He may have a duly quahfied physician designated and paid by him present to participate in such examination. For all examinations he shall, in the discretion of the director-, be paid his reasonable traveling and other expenses and also loss of wages incurred in order to submit tp such examination. If he refuses to submit himself for, or in any way obstructs, any examination, his right to claim compensation under this article shall be suspended until such refusal or obstruction ceases. No compensation shall be payable while such refusal or obstruction continues, and no compensation shall be payable for the intervening period. Every person in receipt of compensation for disabiUty shall submit to any reasonable medical or surgical treatment furnished by the bureau whenever requested by the bureau; and the consequences of unreasonable refusal to submit to any such treatment shall not be deemed to result from the injury compensated for. SEC. 304. That in cases of dismemberment, of injuries to sight or hearing, and of other injuries commonly causing permanent disabihty, the injured person shall follow such course or courses of rehabilitation, reeducation, and vocational training as the United States may provide or procure to be provided. Should such course prevent the SECRETARY OF TFIE TREASURY. 151 injured person from following a substantially gainful occupation while taking same, a form of enlistment may be required which shall bring the injured person into the military or naval service. Such enlistment shall entitle the person to lull pay as during the last month of his active service, and his family to family allowances and aUotment as hereinbefore provided, in lieu of all other compensation for the time being. In case of his wilKul failure properly to follow such course or so to enlist, payinent of compensation shall be suspended until such willful failure ceases and no compensation shall be payable for the intervening period. SEC. 305. That upon its own motion or upon application the bureau may at any time review an award, and, in accordance with the facts found upon such review, may end, diminish, or increase the compensation previously awarded, or, if compensation has been refused or discontinued, may award compensation. SEC. 306. That no compensation shall be payable for death or disability which does not occur prior to or within one year after discharge or resignation from the service, except that where, after a medical examination made pursuant to regulations, at the time of discharge or resignation from the 'service, or within such reasonable time thereafter, not exceeding one year, as may be allowed by regulations, a certificate has been obtained from the the director to the effect that the injured person at the time of his discharge or resignation was suffering from injury likely to result in death or disability, compensation shall be payable for death or disability, whenever occurring, proximately resulting from such injury. SEC. 307. That compensation shaU not be payable for death in the course of the service until the death be officially recorded in the deartment under which he may be serving. No compensation shaU e pa;yable for a period during which the man has been reported "missing" and a family allowance has been paid for him under the provisions of Article I I . SEC. 308. That no compensation shall be payable for death inflicted as a lawful punishment for a crime or military offense except when infficted by the enemy. A dismissal or dishonorable or bad conduct discharge from the service shall bar and terminate all right to ariy compensation under the provisions of this article. SEC. 309. That no compensation shaU be payable unless a claim therefor be filed, in case of disability, within five years after discharge or resignation from the service, or, in case of death during the service, within five years after such death is officially recorded in the department under which he may be serving: Provided, however, That where compensation is payable for death or disability occurring after discharge or resignation from the service, claim must be made within five years after such death or the beginning of such disability. The time herein provided may be extended by the director not to exceed one year for good cause shown. If at the time that any right accrues to any person under the provisions of this article, such person is a ininor, or is of unsound mind or physically unable to make a claim, the time herein provided shall not begin to run until such disability ceases. SEC. 310. That no compensation shall be payable for any period inore than two years prior to the date of claim therefor, nor shall E 152 REPORT ON THE FINANCES. increased compensation be awarded to revert back more than one year prior to the date of claim therefor. SEC. 311. That compensation under this article shall not be assignable, and shall be exempt from attachment and execution and from all taxation. SEC. 312. That compensation under this article shall not be paid while the person is in receipt of service or retirement pay. The Jaws providing for gratuities or payments in the event of death in the service and existing pension laws shall not be applicable after the enactment of this amendment to persons now in or hereafter entering the military or naval service, or to their widows, children, or their dependents, except in so far as rights under any such law shall have heretofore accrued. Compensation because of disability or death of members of the Army Nurse Corps (female) or of the Navy Nurse Corps (female) shall be in lieu of any compensation for such disability or death under the Act entitled " A n Act to provide compensation ior employees of the United States suffering injuries while in the performance of their duties, and for other purposes," approved September seventh, nineteen hundred and sixteen. SEC. 313. That if an injury or death for which compensation is payable under this amendatory Act is caused under circumstances creating a legal liability upon some person other than the United States or the enemy to pay damages therefor, the director, as a condition to payment of compensation by the United States, shaU require the beneficiary to assign to the United States any right of action he may have to enforce such liability of such other person or any right which he may have to share in any money or other property received in satisfaction of such liability oi such other person. The cause of action so assigned to the United States may be prosecuted or compromised by the director and any money realized thereon shall be placed to the credit of the compensation fund. SEC. 314. That from and after the passage of this Act the rate of pension for a widow of an officer or enlisted man of the Army, Navy, or Marine Corps of the United States who served in the Civil War, the War with Spain, or the Philippine Insurrection, now on the pen-, sion roll or hereafter to be placed on the pension roll, and entitled to receive a less rate than hereinafter provided, shaU be $25 per month; and nothing herein shall be construed to affect the additional allowance provided by existing pension laws on account of a helpless child or child under sixteen years of age: 'Provided, however. That this Act shaU not be so construed as to reduce any pension under any Act, public or private: And provided further, That the provisions of this section shall be administered, executed, and enforced by the Commissioner of Pensions. ARTICLE IV. INSURANCE". SEC. 400. That in order to give to every cominissioned officer and enUsted man and to every member of the Arrny Nurse Corps (female) and of the Navy Nurse Corps (female) when employed in active service under the War Department or Navy Department greater SECRETARY OF THE .TREASURY. , 158 protection for themselves and their dependents than is provided in Article I I I , the United States, upon application to the bureau and without medical examination, shall grant insurance against the death or total permanent disability of any such person in any niultiple of $500, and not less than $1,000 or more than $10,000, upon the payment of the premiums as hereinafter provided. SEC-401.. That such insurance must be applied for within one hundred and twenty days after enlistment or after entrance into or employment in the active service and before discharge or resignation, except that those' persons who are in the active war service at the time of the pubhcation of the terms and conditions of such contract of insurance may apply at any time within one hundre.d and twenty days thereafter and while in such service. Any person in the active service on or after the sixth day of April, nineteen hundred and seventeen, who, while in such service,and before the expiration of one hundred and twenty days from and after such publication, becomes or has become totally and permanently disabled or dies, or has- died, without having applied for insurance, shall be deemed to have applied for and to have been granted insurance, payable to such person during his life in monthly installments of $25 each. If he shaU die either before he shall have received any of such monthly installments or before he shall have received two hundred and forty of such monthly installments, then $25 per month shall be paid to his wife from the time of his death and during her widowhood, or,to his child, or widowed mother if and while they survive him: Provided, however. That not more than two hundred and forty of such monthly installments, including those received by such persori during his total and permanent disabiUty, shall be so paid; and in that event the amount of the monthly installments shall be apportioned between them as may be provided by regulations. SEC. 402. That the director, subject to the general direction of the Secretary of the Treasury, shall promptly determine upon and pubhsh the fuU and exact terms and conditions of such contract of insurance. The insurance shall not be assignable, and shall not be subject to the claims of creditors of the insured or of the beneficiary. I t shaU be payable only to a spouse, child, grandchild, parent, brother or sister, and also during total and-permanent disabUity to the injured person, or to any or all of them. The insurance shall be payable in two hundred and fortyequal monthly instaUments. Provisions for maturity at certain ages, for continuous instaUments during the hfe of the insured or beneficiaries, or both, for cash, loan, paid-up and extended values, dividends from gains and savings, and such other provisions for the protection and advantage of and for alternative benefits to the insured and the beneficiaries as may be found to be reasonable and practicable, may be provided for in the contract of insurance, or from time to time by regulations. All calculations shall be based upon the American Experience Table of Mortality and interest at tliree and one-half per centum per annum, except that no deduction shaU be made for continuous installments during the hfe of the insured in case his total and permanent disabihty continues more than two hundred and forty months. Subject to regulations, the insured shaU at aU times have the right to change the beneficiary or beneficiaries of such insui^ance without the consent of such bene- 154 REPORT ON THE FINANCES. ficiary or beneficiaries, but only within the classes herein provided. If 'no beneficiary .within the permitted class be designated by- the insured, either in his lifetime or by his last wiU and testament, or if the designated beneficiarv does not survive the insured, the insurance shaU be payable to such person or persons, within the permitted class of beneficiaries as would under the laws of the State of the residence of the insured, be entitled to his personal property in case of intestacy. If no such person survive the insured, then tnere shaU be paid to the estate of tne insured an amount equal to the reserve value, if any, of the insurance at the time of his death, calculated on the basis of the American Experience Table of Mortality and three and one-half per centum interest in fuU of aU obligations under the contract of insurance. SEC. 403. That the United States shall bear the expenses of administration and the excess mortality and disability cost resulting from the hazards of war. The premium rates shall be the net rates based upon the American Experience Table of Mortality and interest at three and one-half per centum per annum. SEC. 404. That during the period of war and thereafter until converted the insurance shall be term insurance for successive terms of Orie year each. Not later than five years after the date of the termination of the war as declared by proclamation of the President of the United States, the term irisurance shall be converted, without medical examination, into such form or forms of insurance as may be prescribed by regulations and as the insured may request. Regulations shall provide for the right to convert into ordinary life, twenty payment lif e, endowment Iriaturing at age sixty-two and into other usual forms of insurance and shall prescribe the time and method of payment of the premiums thereon, but payments of premiums in advance shall not be required for periods of more than one month each and may be deducted from the pay or deposit of the insured or be otherwise made at his election. SEC. 405. That in the event of disagreement as to a claim under the contract of insurance between the bureau and any beneficiary or beneficiaries thereunder, an action on the claim may be brought against the United States in the district court of the United States in and for the district in which such-beneficiaries or any one of them resides. The court, as part of its judgment, shall determine and allow such reasonable attorney's fees, not to exceed ten per centum of the amount recovered, to be paid by the clainaarit on behalf of whom such proceedings are instituted to his attorney; and it shall be unlawful for the attorney or for any other person acting as claim agent or otherwise to ask for, contract for, or receive any other compensation because of such action. No other compensation or fee shall be charged or received by any person except such as may be authorized by the commissioner in regulations to be promulgated by him. Any person violating tihe provisions of this section shall be deemed guUty of a misdemeanor, and upon conviction thereof shall, for each and every such offense, be fined not exceeding $500, or be imprisoned at hard labor not exceeding two years, or both, in the discretion of the court. SEC. 3.. That section eight of the Act entitled " A n Act to authorize the President to increase temporarily the MUitary Establishment of the United States," approved May eighteenth, nineteen hundred SECRETARY OF T H E TREASURY. 155 and seventeen, shall be held and construed to authorize the President, in accordance with the provisions of said Act and for the period of the existing emergency only, to appoint as generals the Chiei of Staff and the commander of the United States forces in France; and as lieutenant general each commander oi an army or army corps organized as authorized by existing law: Provided, That the pay of the grades of general and lieutenant general shall be $10,000 and $9,000 a year, respectively, with allowances appropriate to said grades as determined by the Secretary of War: And provided. That brigadier generals of the Army shall hereafter rank relatively with rear admirals of the lower half of the grade. And, hereafter, the chief of any existing staff corps, department, or bureau, except as is otherwise provided for the Chief of Staff, shall have the rank, pay,.and allowances of major general. Approved, October 6, 1917, " EXHIBIT K. TREASURY DEPARTMENT. BULLETIN N O . 1. BuBEAu OF WAR-RISK INSURANCE, DIVISION OF MILITARY AND NAVAL INSURANCE. TERMS AND CONDITIONS OF SOLDIERS' AND SAILORS' INSURANCE. I, William C. De Lanoy, Director of the Bureau of War-Risk Insurance in the Treasury Department, pursuant to th^ provisions of section 402 of an act " t o amend 'An act to authorize the estabhshment of a Bureau of War-Risk Insurance in the Treasury Department,' approved September 2, 1914, and for other purposes," approved October 6, 1917, hereby, on this 15th day of October, 1917, by direction of the Secretary of the Treasury, determine upon and pubhsh these full and exact terriis and conditions of the contract of insurance to be made under and by virtue of the act: . 1. Insurance will be issued for any of the following aggregate amounts upon any one life: Amount. Sl,00n $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 $5,500 Converted into monthly installments of— $5. 75 8.63 11.50 14.38 17.25 20.13 23.00 25.88 28.75 31.63 Amount. $6,000. $6,500. $7,000. $7,500. $8,000. $8,500. $9,000. $9,500. $10,000 Converted into monthly installments of— $34.50 37.38 40.25 43.13 46.00 48.88 51.75 54.63 67.50 Which installments will be payable during the total and permanent disability of the insured, or if death occur without such disability, for 240 months, or if death occur following such disabihty, for a sufficient number of months to make 240 in all including months of disability already paid for, in both cases except as otherwise provided. 2. The insurance is issued at monthly rates for the age (nearest birthday) of the insured when the insurance goes into effect, increasing annuaUy upon the anniversary of the pohcy to the rate for an age one year higher, as per the following table of rates: 156 Age. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. S7. SS. S9. 40. 41. 42. 43. 44. 4546. AT.. 48. 49.. 60., 61. 62., 63-, 64-, 65., 66.. 67., 68., 69., 60., 61., 62.. 63-. 64-. 65., $1,000.1$1,500. |S2,000.1$2,500.1$3,000.1$3,500.1$4,000.1 $4,500.1$5,000. [$5,500.1$6,000, $0.63 .63 .63 .64 .64 .64 .65 .65 .65 .66 .66 .67 .67 .68 .69 .69 .70 .71 .72 .73 .74 .75 .76 .77 .79 .81 .82 .84 .87 .89 .92 .95 .99 1.03 1.08 1.14 1.20 1.27 1.35 1.44 1.53 1.64 1.76 1.90 2.05 2.21 2.40 2.60 2.82 3.07 3.35 $0.95 .95 .95 .96 .99 .99 1.01 1.01 1.02 1.04 1.04 1.05 1.07 1.08 1.10 1.11 1.13 1.14 1.16 1.19 1.22 1.23 1.26 1.31 1.34 1.38 1.43 1.49 1.55 1.62 1.71 1.80 1.91 2.03 2.16 2.30 2.46 2.64 2.85 3.08 3.32 3.60 3.90 4.23 4.61 5.03 $1.26 1.26 1.26 1.28 1.28 1.28 1.30 1.30 1.30 . 1.32 1.32 1.34 1.34 1.36 1.38 1.38 1.40 1.42 1.44 1.46 1.48 1.50 1.52 1.54 1.58 1.62 1.64 1.68 1.74 1.78 1.84 1.90 1.98 2o06 2.16 2.28 2.40 2.54 2.70 2.88 3.06 3.28 3.52 3.80 4.10 4.42 4.80 6.20 5.64 6.14 6.70 $1.58 1.58 1.58 1.60 1.60 1.60 1.63 1.63 1.63 1.65 1.65 1.68 1.68 1.70 1.73 1.73 1.75 1.78 1.80 1.83 1.85 1.88 1.90 1.93 1.98 2.03 2.05 2.10 2.18 2.23 2.30 2.38 2.48 2.58 2.70 2.85 3.00 3.18 3.38 3.60 3.83 4.10 4.40 4.75 6.13 5.53 6.00 6.50 7.05 7.68 8.38 $1.89 1.89 1.89 1.92 1.92 1.92 1.95 1.95 1.95 1.98 1.98 2.01 2.01 2.04 2.07 2.07 2.10 2.13 2.16 2.19 2.22 2.25 2.28 2.31 2.37 2.43 2.46 2.52 2.61 2.67 2.76 2.85 2.97 3.09 3.24 3.42 3.60 3.81 4.05 4.32 4.59 4.92 6.28 6.70 6.15 6.63 7.20 7.80 8.46 9.21 10.05 $2.21 2.21 2.21 2.24 2.24 2.24 2.28 2.28 2.28 2.31 2.31 2.35 2.35 2.38 2.42 2.42 2.45 2.49 2.52 2.56 2.59 2..63 2..66 2.70 2.77 2.84 2.87 2.94 3.05 3.12 3.22 3.33 3.47 3.61 3.78 3.99 4.20 4.45 4.73 6.04 6.36 6.74 6.16 6.65 7.18 7.74 8.40 9.10 9.87 10.75 11.73 $2.52 $2.84 S3.15 3.15 2.52 2.84 3.15 2.52 2.84 3.20 2.56 2.88 3.20 2.56 2.88 3.20 2.56 2.88 3.25 2.60 2.93 3.25 2.60 2.93 3.25 2.60 2.93 3.30 2.64 2.97 3.30 2.64 2.97 3.35 2.68 3.02 3.35 2.68 3.02 3.40 2.72 3.06 3.45 2.76 3.11 3.45 2.76 3.11 3.50 2.80 3.15 3.55 2.84 3.20 3.60 2.88 3.24 3.65 2.92 3.29 3.70 2.96 3.33 3.75 3.00 3.38 3.80 3.04 3.42 3.85 3.,08 3.47 3.95 3.16 3.56 4.05 3.24 3.65 4.10 3.28 3.69 4.20 3.36 3.78 4.35 3.48 3.92 4.45 3.56 4.01 4.60 3.68 4.14 4.75 3.80 4.28 4.95 3! 96 4.46 5.15 4.12 4.64 6.40 4.32 4.86 5.70 4.56 5.13 6.00 4.80 6.40 6.35 5.08 5.72 6.75 5.40 6.08 7.20 5.76 6.48 7.65 6.12 6.89 8.20 6.56 . 7.38 8.80 7.04 7.92 9.50 7.60 8.55 8.20 9.23 10.25 8.84 9.95 11.05 9.60 10.80 12.00 10.40 11.70 13.00 11.28 12.69 14.10 12.28 13.82 15.35 13.40 15.08 16.75 $3.47 3.47 >3.47 3.52 3.52 3.52 3.58 3.58 3.58 3.63 3.63 3.69 3.69 3.74 3.80 3.80 3.85 3.91 3.96 4.02 4.07 '4.13 4.18 4.24 4.35"^ 4.46 4.51 4.62 4.79 4.90 5.06 6.23 5.45 5.67 6.94 6.27 6.60 6.99 7.43 7.92 8.42 9.02 9.68 10.45 11.28 12.16 13.20 14.30 15.51 16.89 18.43 500.1 $7,000.1 $7,500. ($8,000.1 $8,500. $3.78 $4.10 4.10 3.78 4.10 3.78 4.16 3.84 4.16 3.84 4.16 3.84 4.23 3.90 4.23 3.90 4.23 3.90 4.29 3.96 4.29 3.96 4.36 4.02 4.36 4.02 4.42 4.08 4.49 4.14 4.49 4.14 4.55 4.20 4.62 4.26 4.68 4.32 4.38- 4.75 4.81 4.44 4.88 4.50 4.94 4.56 5.01 4.62 5.14 4.74 6.27 4.86 6.33 4.92 6.46 6.04 6.66 6.22 6.79 •5.34 5.98 6.52 6.18 6.70 6.44 5.94 6.70 6.18 7.02 6.48 7.41 6.84 7.80 7.20 8.26 7.62 8.78 8.10 9.36 8.64 9.95 9.18 9.84 10.66 10.56 11.44 11.40 12.35 12.30 13.33 13.26 14.37 14.40 15.60 15.60 16.90 16.92 18.33 18.42 19:96 20.10 21.78 $4.41. 4.41 4.41 4.48 4.48 4.48 4.55 4.554.55 4.62 4.62 4.69 4.69 4.76 4.83 4.83 4.90 4.97 5.04 5.11 5.18 5.25 6.32 5.39 5.53 5.67 5.74 6.88 6.09 6.23 6.44 6.65 6.93 7.21 7.56 7.98 8.40 •8.89 9.45 10.08 10.71 11.48 12.32 13.30 14.35 15.47 16.80 18.20 19.74 21.49 23.45 $4.73 4.73 4.73 4.80 4.80 4.80 4.88 4.88 4.88 4.95 4.95 5.03 5.03 6.10 6.18 6.18 6.25 6.33 6.40 5.48 6.55 6.63 6.70 5.78 6.93 6.08 6.15 6.30 6.53 6.68 6.90 7.13 7.43 7.73 8.10 8.55 9.00 9.53 10.13 10.80 11.48 12.30 13.20 14.25 15.38 16.58 18.00 19.50 21.15 23.03 25.13 $5.04 5.04 5 04 5.12 5.12 5.12 5.20 5.20 5.20 6.28 5.28 5.36 5.36 5.44 5.52 6.52 5.60 5.68 6.76 5.84 5.92 6.00 6.08 6.16 6.32 6.48 6.56 6.72 6.96 7.12 7.36 7.60 7.92 8.24 8.64 9.12 9.60 10.16 10.80 11.52 12.24 13.12 14.08 15.20 16.40 17.68 19.20 20.80 22.56 24.56 26.80 $5.36 5.36 5.36 5.44 5.44 5.44 5.53 5.53 5.53 5.61 5.61 5.70 5.70 5.78 5.87 5.87 5.95 6.04 6.12 6.21 6.29 6.38 6.46 6.55 6.72 6.89 6.97 7.14 7.40 7.57 7.82 8.08 8.42 8.76 9.18 9.69 10.20 10.80 11.48 12.24 13.01 13.94 14.96 16.15 17.43 18.79 20.40 22.10 23.97 26.10 28.48 1,000.1 $9,500. |.$^10,000. $5.67 5.67 5.67 5.76 5.78 5.76 5.85 5.85 5.85 5.94 5.94 6.03 6.03 6.12 6.21 6.21 6.30 6.39 6.48 6.57. 6.66 6.75 6.84 6.93 7.11 7.29 7.38 7.56 7.83 8.01 8.28 8.55 8.91 9.27 9.72 10.26 10.80 11.43 12.15 12.96 13.77 14.76 15.84 17.10 18.45 19.89 21.60 23.40 25.38 27.63 30.15 $5.99 5.99 5.93 6.0. 6.C8 6.03 6.18 6.18 6.18 6.27 6.27 6.37 6.37 6.46 6.56 6.56 6.65 6.75 6.84 6.94 7.03 7.13 7.22 7.32 7.51 7.70 7.79 7.98 8.27 8.46 8.74 9.03 9.41 9.79 10.26 10.83 11.40 12.07 12.83 13.68 14.54 15.58 16.72 18.05 19.48 21.00 22.80 24.70 26.79 29.17 31.83 $6.30 6.30 6.30 6.40 6.40 6.40 6.50 6.50 6.50 6.60 6.60 6.70 6.70 6.80 6.90 6.90 7.00 7.10 7.20 7.30 7.40 7.50 7.60 7.70 7.90 8.10 8.20 8.40 8.70 8.90 9.20 9.50 9.90 10.30 10.80 11.40 12.00 12.70 13.50 14.40 15.30^ 16.40 17.60 19.00 20.50 22.10 24.00 26.00 28.20 30.70 33.50 iQ W % o H W H d 158 REPORT ON TFIE FUSTANCES. Rates at ages higher or lower wiU be given on request. The insurance may be continued at these increasing term rates during the war and for not longer than five years after the termination of the war, and may be continued thereafter without medical examination if the policy be converted into a form selected before the expiration of such five years by the insured from the forms of insurance which wiU be provided by the bureau, provided that premiums are paid therefor at net rates computed by the bureau according to th(B American Experience Table of Mortality and interest at 3^ per cent per annum. 3. That the insurance has been granted wiU be evidenced by a policy or policies issued by the bureau, which shall be in the following general form (which form may be changed by the bureau from time to time, provided that full and exact terms and conditions thereof _ shaU not be altered thereby): [Form of policy for $5,000.1 MILITARY AND. NAVAL INSURANCE POLICY. No. 1. Amount, $5,000. Monthly installments, $28.75. Age, 25. THE UNITED STATES OF AMERICA TREASURY DEPARTMENT BUREAU OF WAR-RISK INSURANCE Under the authority granted by Congress in an act amending "An act entitled 'An act to authorize the establishment of a Bureau of War-Risk Insurance in the Treasury Department,' approved September 2, 1914, and for other purposes," approved October 6, 1917, and subject in all respects to the provisions of such act, of any amendinents thereto, and of all regulations thereunder, now in force or hereafter adopted, aU of which, together with this pohcy, the application therefor, and the terms and conditions pubhshed under authority of the act, shaU constitute the contract: Hereby insures from and after the --„-^_ day of „ . . , 19_-y John Doe, of Ilhnois, private, Company A, Third Infantry, condi(Name, State of residence, and designation of the insured.) tioned upon the payment of premiums as herein provided, for the principal amount of $5,000, converted into monthly instaUments of $28.75 (the equivalent, when paid for 240 months, of the sum insured, on the basis of interest at the rate of 3^ per cent per annum) payable To the insured, if he/she, while this insurance is in force, shall become totaUy and permanently disabled, commencing with such disability as established by the award of the director of the bureau and continuing during such disability; and SECRETARY.OF THE TREASURY. 159 To the beneficiary or beneficiaries hereinafter designated, commencing upon the death of the insured, while the insurance is in force, and (except as otherwise provided) continuing for 240 months if no instaUments have been paid for total and permanent disability or, if any such installments have been paid, then for a number of months sufficient to make 240 in aU: To Sarah Doe, wife of the insured; If no beneficiary within the permitted class be designated by the insured, either in the insured's hfetime or by his last wiU and testament, or if any above designated beneficiary is or becomes disqualified oi* does not survive the insured, the insurance (or if any above designated beneficiary shaU survive the insured, but shaU not receive aU the instaUments, then the remaining instaUments) shall be payable to such person or persons within the permitted class of beneficiaries as would under the laws of the insured's place of residence be entitled to his personal property in case of intestacy. If the insured became totally and permanently disabled before this policy was applied for, it shall nevertheless be effective as life insurance, but not as insurance against such disability. This policy is not assignable, and payments thereunder to the insured or a beneficiary are not subject to claiins of creditors of the insured or beneficiary. The insured may at any time, subject to the regulations of the bureau, change the beneficiary or beneficiaries to any person or persons within the classes permitted by the act,, without the consent of the beneficiary or beneficiaries. Upon the written request of the insured, accompanied by this policy for indorsement, or after his/her death, upon request of a beneficiary at the time of making claim, the insurance payable to any beneficiary may be converted into installments of reduced amounts payable for 240 months certain and for as much longer as such beneficiary shall survive, such instaUments to be computed in accordance with the American Experience Table of Mortahty and 3^ per cent interest. Premiums shall be paid monthly on or before the last day of each calendar month and wiU, unless the insured otherwise elects in writing, be deducted from any pay diie him/her from the United States or deposit by him/her with the United States, and, if so to be deducted, a premium when due wUl be treated as paid, whether or not such deduction is in fact made, if upon the due date the United States owe him/her on account of pay or deposit an amoimt sufficient to provide the premium, provided that the premium may be paid within 31 days after the expiration of the month, during which period of grace the insurance shall remain in fuU force. If any premium be not paid, either in cash or by deduction as herein provided, when 160 REPORT ON TFIE FINANCES. due or within the days of grace, this insurance shaU immediately terminate, but may be reinstated within six months upon compliance with the terms and conditions specified in the regulations of the bureau. If the age of the insured has been misstated, the amount of insurance shall be adjusted at the amount not in excess of $10,000 which the premium actually paid would purchase at the insured's attained During the present war and for not more than five years thereafter, or untU the earlier conversion of this policy as hereinafter provided, the monthly premium shaU be in accordance m t h the foUowing table of rates, increasing at each anniversary of the pohcy to the rate for his/her then attained age: Table of premiums for .^5,000. [Ages 15 to 65.! Monthly rate. A t t a i n e d age. 15 16 17 -. • ] 8 19 20 . . - . 21 22 23 « 24 25 26 27 : 28 otg 30 31 32 . . . 33 34 35 36 37 3S 39 40 . . •- : - -. . . - : : .-. $3.15 3.15 3.15 3.20 3.20 3.20 3.25 3.25 3.25 3.30 3.30 3.35 3.35 3.40 3.45 3.45 3.50 3.55 3.60 3.65 3.70 3.75 3.80 3.85 3.95 4.05 Monthly rate. A t t a i n e d age. 41 42 43 44 45 ^6 47...... 48.- . - . . . 49............ 50 51 52.. 53 54 55 56 57 58 59 60 61. . . 62 63 64 65 . .. . . . . S4.10 4.20 4 35 4.45 4.60 4.75 4.95 5 15 5.40 5 70 6.00 6.35 6.75 7.20 7 65 8.20 8.80 9.50 10.25 11.05 12.00 13.00 14.10 15.35 16.75 Not later, than five years after the war this policy, if written request be made to the bureau therefor, accompanied by this policy, will be converted without medical examination into any form of insurance selected from among those that may "be prescribed by regulations of the bureau. Such converted insurance wiU be at net premiums, computed in accordance with the American Experience Table ot* Mortality and 3^ per cent interest per annum and wiU provide for cash, loan, paid-up, and extended insurance values. Wherefore the United States of America has caused this policy to be signed by the Secretary of the Treasury and by WiUiam C. De SECRETARY OF THE TREASURY. 161 Lanoy, the Director of the Bureau of War-Risk Insurance, and countersigned by the registrar or an assistant registrar of the bureau. W. G. MCADOO, ' Secretary of the Treasury. WILLIAM C. D E LANOY, Director of the Bureau of War-Rislc Insurance. Countersigned at Washington, D. C., this ~ day of 19 . • , Registrar. 4. Persons entitled to apply for this insurance are— (1) A commissioned officer (iacluding a warrant officer) in active service in the inilitary or naval forces of the IJnited States. (2) Any person, male or female, enlisted, enrolled, or drafted into active service in the military or naval forces of the United States, including noncommissioned and petty officers and members of training camps authorized by law. The term "military or nava,l forces" means the Army, the Navy, the Marine Corps, the Coast Guard, the Naval Reserves, the National Naval Volunteers, and any other branch of the United States service while serving pursuant to law with the Army or the Navy. (3) Any member of the Army Nurse Corps (female) or of the Navy Nurse Corps (female) while employed, in active service under the War Department or Nayy Department, respectively. 5. Insurance may be apphed for in favor of one or more of the following persons with sum of $500 or a multiple thereof for each beneficiary, the aggregate not exceeding the limit of $10,000 and not less than $1,000 upon any one life: Husband or wife. ChUd, including legitimate child; chUd legaUy adopted before April 6, 1917, or more than six montlis before enhstment or entrance into or employment in active service, whichever date is the later; stepchild, if a member of the insured's household; Ulegitimate child, but, if the insured is his father, only if acknowledged by instrument in writing signed by him, or if he has been judicially ordered or dcT creed to contribute to such chUd's support, and if such chUd, if born after December 31, 1917, shaU have been born in the United States or in its insular possessions. GrandchUd, meaning a child, as above defined, of a child as above defined. Parent, including father, mother, grandfather, grandmother, stepfather, and stepmother, either of the insured or of his/her spouse, 13034°—n 1917 11 162 REPORT ON THE FINANCES. Brother or sister, including of the half blood as weU as of the whole blood, stepbrothers and stepsisters and brothers and sisters through adoption. Unless other designation is made by the insured, such person or persons, within thie permitted class of beneficiaries, as would under the laws of the place of residence of the insured be entitled to his personal property in case of intestacy shall be deemed designated as the beneficiary or beneficiaries to whom shaU be paid any installments remaining unpaid upon the death, or dis quahfication under the provisions of the act, of any named beneficiary. In case the applicant does not desire the premium to be deducted from his/her pay (or his/her deposit) he/she should so elect in writing at the time of making application; but if no election is made it shall have the effect to provide for such deduction from his/her pay, or if such pay be insufficient, any balance from his/her deposit. 7. Apphcations for insurance are to be made upon the blanks provided by the bureau, but any writing sufficiently identifying the apphcant and specifying the amount of insurance shall be deemed sufficient. Upon request of the bureau, however, the apphcant shall fill out and sign the proper blank as of the original date. 8. If a signed writing requesting uisurance for less than $4,500 is mailed or delivered before the 12th day of February, 1918, to the Bureau of War-Risk Insurance, Washiagton, D. C , or to any branch thereof or to any officer of the United States authorized to receive the same, such insurance, in the absence of other specification in such writing, shaU be and be deemed apphed for and the contract made on such 12th day of February, 1918, the provisions of section 401 as to automatic iasurance meanwhile continuing in fuU force; if so mailed or dehvered on or after such day, or if for $4,500 or more, though maUed or dehvered before such day, the iasurance shall, in the absence of other specification ia such writing, be and be deemed apphed for and the contract made on the day of maUing or delivery. 9. These terms and conditions are subject in aU respects to the provisions of such act and of any amendments thereto and of all regulations thereunder now in force or hereafter adopted. WILLIAM C. D E LANOY, Director ofthe Bureau af War-Bisk Insurance. WASHINGTON, D . CO, Octoher 15, 1917. E X H I B I T L. TREASURY DEPARTMENT, BuEEAU OF W A R - R I S K INSUEANCB, D I V I S I O N OF M I L I T A E T AND NAVAL INSURANCE. BULLETIN N O . 2. B R I E F OUTLINE OF FAMILY ALLOWANCES, ALLOTMENTS, COMPENSATION, AND INSURANCE FOR T H E MILITARY AND NAVAL FORCES OF T H E UNITED STATES PROV I D E D UNDER ACT OF CONGRESS A P P R O V E D OCTOBER 6, 1917.^ By act of Congress approved October 6, 1917, the United States makes certain provisions for the families and dependents of the inembers of its military and naval forces. The full title of the law, which is sometimes referred to as the soldiers and sailors insurance law, is "An act to amend an act entitled 'An act to authorize the establishment of a Bureau of War-Risk Insurance in the Treasury Department.'" The law provides-, in brief, the following: 1. For the support, during the war, of the families and dependents of enlisted men. (a) Allotments of pay.—Certain proportions of pay are to be withheld from the man and paid directly to the families or dependents, or for insurance, or for other purposes. Allotment or deposit of one-half of pay may be required in all cases. (b) Family allowances.—In addition to all allotments of pay by the man, the United States will pay monthly allowances to the wife, children, and certain dependents. 2. For the protection of officers and enlisted men and their dependents from the hazards of injury, disease, and death. (a) Compensation.—Monthly payments, for disability and death due to injury and disease incurred in the line of duty. (b) Insurance.—Provided by the United States upon application and payment of premium, without medical examination, against total permanent disability and death. The premium will be at normal peace rates without loading, and the United States will bear the extra cost due to war service. Provision is made for the continuation of the insurance after leaving the service. M I L I T A R Y A N D NAVAL P A Y DEPOSIT F U N D (SEC. 21).^ A separate fund created in the Treasury, for deposit of allotments of pay for the benefit of the men themselves. These deposits to receive 4 per cent interest, compounded semiannually. The Secretary of War and the Secretary of the Navy may require every enlisted man to deposit in this fund such proportion of his 1 Prepared for the conference of Army and Navy officers and representatives, Oct. 16-lH, 1917, Washington, D. C • ? Section references cite the sections of the law which are here summarized. 163 164 REPORT ON THE FINANCES. pay, not otherwise allotted, as will, added to the compulsory allotment, equal one-half pay. D E F I N I T I O N S FOR T H E PURPOSES OF T H E ACT (SEC. 2 2 ) . " Military or naval forces " means the Army, the Navy, the Marine Corps, the Coast Guard, the Naval Reserves, the National Naval Volunteers, and any other branch of the United States service while serving pursuant to law with the Army or the Navy. " Commissioned officer" includes a warrant officer, but includes only an officer in active service. " Man " or " enlisted man " means person, male or female, in active service in the military or naval forces of the United States, and includes noncommissioned and petty officers and members of training camps. " Injury " includes disease. " Pay " means the pay for service in the United States according to grade and length of service, excluding all allowances. " Child " is limited to an unmarried person either under 18 years of age, or incompetent, and includes, under certain conditions, a stepchild, adopted child, and illegitimate child. " P a r e n t " includes a parent, grandparent, and step-parent, either of the person in the service or of the spouse. " B r o t h e r " and " s i s t e r " include brothers and sisters of the half blood as well as those of the whole blood, stepbrothers and stepsisters, and brothers and sisters through adoption. The bureau on request shall furnish information to and act for persons in service with respect to insurance as may be prescribed by regulation, and may on request keep records of policies, companies, etc. (Sec. 24.) Punishment provided for perjury or fraud. (Sees. 25-26.) A L L O T M E N T S A N D F A M I L Y ALLOWANCES. (Applies to enlisted men, not to officers.) A L L O T M E N T OF P A Y (SEC. 2 0 1 ) . Allotment of pay, compulsory as to wife (divorced wife in certain cases), compulsory ds to child, voluntary as to other persons. Monthly compulsory allotment shall be in an amount equal to family allowances hereinafter specified but not more than one-half pay, or less than $15. The enlisted man may allot any proportion or amount of his pay in addition to the compulsory allotment for such purposes and persons as he may direct, subject to regulations. (Sec. 202.) The Secretary of War and the Secretary of Navy may require that any proportion of one-half pay which is not allotted shall be deposited in the military and naval pay deposit fund for the benefit of the man. (Sec. 203.) SECMO^AEY OF T H E TREASURY. 165 Compulsory allotment may be waived on written consent of wife, supported by evidence of her ability to support herself and children. (Sec. 201.) Compulsory allotment may be excused for good cause shown, subject to regulations. (Sec. 201.) FAMILY A L L O W A N C E (SEC. 204). A family allowance not to exceed $50, in addition to pay allotted by the man,' shall be paid by the United States. Family allowance shall be paid upon application, which may be made by the man, or made by or in behalf of the beneficiary. No family allowance shall be made for any period preceding November 1, 1917. Family allowance will be paid from the time of enlistment, but ceases one month after the termination of the war, or at death in, or one month after discharge from the service. BENEFICIARIES ENTITLED TO FAMILY ALLOWANCE, AND SCHEDULES. / / the enlisted person is a m a n : Class A. Wife, child, or children: {a) If there be a wife but no child, $15. (&) If there be a wife and one child, $25. {c) If there be a wife and two. children, $32.50, with $5 per month additional for each additional child. {d) If there be no wife, but one child, $5. {e) If there be no wife, but two children, $12.50. (/) If there be no wife, but three children, $20. {g) If there be no wife, but four children, $30, with $5 per month additional for each additional child. Class B. Grandchild, parent, brother or sister: (a) If there be one parent, $10. (&) If there be two parents, $20. ((?) Fbr each grandchild, brother, sister, and additional ^' parent, $5, If the enlisted person is a woman: Class A. (None.) Class B. Child, grandchild, parent, brother or sister; («) If there be one parent, $10. (&) If there be two parents, $20. (c?) For each grandchild, brother, sister, and additional parent, $5. {d) If there be one child, $5. \e) If there be two chUdren, $12.50. (/) If there be three children, $20. {g) If there be four children, $30, with $5 per month additional for each additional child. 166 REPORT OK T H E FINANCES. Family allowances for class A shall be paid only if and while a compulsory allotment is made to a member or members of such class. (Sec. 205.) Family allowances to members of class B shall be paid only if and while the member is dependent in whole or in part on the enlisted man, and only if and while an allotment of pay is made to a member or members of such class. (Sec. 206.) The total monthly allowance to beneficiaries of Class B added to the enlisted man's monthly allotment to them shall not exceed the average sum habitually contributed by him to their support monthly. The commissioner after investigation shall make an award, on which the amount of allotments shall be determined. The commissioner shall have continuing jurisdiction over his awards. The amount of each monthly allotment an(i allowance shall be determined according to the conditions then existing. (Sec. 210.) COMPENSATION FOR DEATH OR DISABILITY (SEC. 300). Compensation is payable to officers and enlisted men and to members of the Army Nurse Corps or of the Navy Nurse Corps when employed in active service under the War or Navy Department. Compensation shall be payable for death or disability resulting from personal injury suffered or disease contracted in line of duty, unless caused by the person's own willful misconduct. The cost of compensation shall be paid by the United States without contributions from the persons protected. COMPENSATION IN CASE OF DEATH (SEC. 3 0 1 ) . TO FAMILY. The only persons entitled to receive compensation in case of death are the widow, children, and dependent widowed mother of the deceased. The monthly sums payable in each case are stated and are not based upon the pay of the deceased. (a) For a widow alone, $25. (b) For a widow and one child, $35. (c) For a widow and two children, $47.50, with $5 for each additional child up to two. (d) If there be no widow, then for one child, $20. (e) For two children, $30. (/) For three children, $40, with $5 for each additional child up to two. (g) For a widowed mother, $20. The amount payable under this subdivision shall not be greater than a sum which, when added to the total amount payable to the widow and children, does not exceed $75. SECRETARY OF THE TREASURY. 167 Compensation to a widow or widowed mother shall continue until death or remarriage. Compensation to a child shall cease at the age of 18, or at marriage, unless the child is incompetent. FUNERAL ALLOWANCE. The United States shall pay burial expenses not to exceed $100. COMPENSATION I N CASE OF TOTAL DISABILITY ( S E C . 3 0 2 ) . . During the continuance of total disability, monthly compensation shall be paid to the injured person. The amounts payable monthly are stated in this section; they are not based upon the pay of the injured person. ^ (a) If he has neither wife nor child living, $30. (b) If he has a wife but no child liying, $45. (c) If he has a wife and one child living, $55. (d) If he has a wife and two children living, $65. (e) If he has a wife and three or more children living, $75. (/) If he has no wife but one child living, $40, with $10 for each additional child up to two. (g) If he has a widowed mother dependent upon him for support, then, in addition to the above amounts, $10. To an injured person who is totally disabled and in addition so helpless as to be in constant need of a nurse or attendant, such additional sum shall be paid, but not exceeding $20 per month, as the director may deem reasonable. For certain specified conditions, or if the injured person is permanently bedridden, $100 monthly compensation is provided. (But no allowance for a nurse shall be made.) COMPENSATION I N CASE OF PARTIAL DISABILITY. The amount of compensation in case of partial disability is a percentage of the compensation provided in case of total disability. The percentage is equal to the reduction in earning capacity resulting from the injury: A schedule of disability ratings shall be adopted, based upon average impairments of earning capacity in civil occupations resulting from specific injiiiries of a permanent nature. PROVISIONS RELATING TO DISABILITY. I n addition to compensation the United States shall furnish medical, surgical, and hospital services, and supplies. Provision is made for frequent examinations of the disabled. Every person in receipt of compensation shall submit to reasonable treatment. (Sec. 303.) 168 " REPORT ON THE FINANCES. Courses of rehabilitation and reeducation may be provided by the United States. If the following of such a course prevents the injured person from earning a living he must (under penalty of suspension of compensation during refusal) enlist in the service, in which case he receives full pay and his family receives allowances and allotments as above provided, in lieu of compensation while the course continues. (Sec. 304.) The bureau has (continuing jurisdiction over compensation cases. (Sec. 305.) CONDITIONS GOVERNING COMPENSATION. Death or disability, to be compensable, must occur while in the service or within one year after discharge or resignation. Except that, if the injured person, within one year after leaving the service, shall undergo a medical examination and obtain a certificate that he is suffering from an injury likely to cause death or disability, compensation shall be payable whenever death or disability resulting from such injury occurs. (Sec. 306.) Compensation shall not be payable for death in the course of the service until the death be officially recorded in the department under which the person may be serving. No compensation shall be payable for a period in which the man has been reported missing and a family allowance has been paid for him. (Sec. 307.) Death inflicted as a punishment for a crime or military offense is not compensable unless it is inflicted by the enemy. Dishonorable discharge is a bar to any compensation. (Sec. 308.) Compensation is not assignable and is exempt from attachment, execution, and from all taxation. (Sec. 311.) Compensation shall not be paid while the person is in receipt of service or retirement pay. Except as rights have heretofore accrued, existing laws providing payments in the event of death in the service and existing pension laws shall not be applicable to persons now or hereafter in the service. Compensation to members of the Army Nurse Corps or of the Navy Nurse Corps is in lieu of compensation under the act of September 7,1916. (Sec. 312.) WHEN CLAIM MUST BE FILED. I n case of disability, claim must be filed within five years after discharge or resignation from the service; or, if the disability occur after leaving the service, within five years after the beginning of disability. In case of death during the service, the claim must be filed within five years after the death is officially recorded in the department in which the person is serving. SECRETARY OF THE TREASURY. 169 I n case of death after discharge or resignation from the service, the claim must be filed within five years after death. (Sec. 309.) No compensation shall be payable for any period more than two years prior to the date of claim. (Sec. 310.) INSURANCE. Insurance against death or total permanent disability is provided by the United States and made available to every officer and enlisted man and to members of the Army Nurse Corps and Navy Nurse.Corps when employed in active service under the War and Navy Departments. Insurance must be in multiples of $500 and not less than $1,000 or more than $10,000. Insurance must be granted upon application to, and payment of premium to, the bureau. Insurance must be granted without medical examination. (Sec. 400.) Insurance must be applied for within 120 days after enlistment and before discharge or resignation from the service. Persons who are in active service at the time of the publication of terms and conditions may apply at any time within 120 days thereafter, while in service. (This period expires February 12, 1918.) AUTOMATIC INSURANCE. Any person in active service on or after the 6th of April, 1917, is insured automatically until February 12, 1918, unless he has applied for insurance to take effect at an earlier date. The protection thus given is against death and against total permanent disability occurring, while in active service, from April 6, 1917, to February 12, 1918, inclusive. If the insured person die, without having become so disabled, during the period stated, monthly installments, of $25 each will be paid his wife, child, or widowed mother. These installments are payable to the wife during her widowhood or to the child or widowed mother while they survive him, but not more than 240 installments shall be SO paid. If the insured person becomes totally and permanently disabled during the period stated he will receive an income payable in monthly installments of $25 each during disability. If he die, like installments are payable to the wife during her widowhood or to the child or widowed mother while they survive him, but not more than 240 installments less the number of installments that may have been paid to the insured while disabled shall be so paid. (Sec. 401.) I N S U R A N C E DETAILS. Insurance shall not be assignable or subject to claims of creditors of the insured or of the beneficiaries. 170 REPORT ON THE FINANCES. Insurance shall be payable only to a wife or husband, child, grandchild, parent, brother, or sister of the Injured or to himself. (Automatic insurance is payable only to a wife, child, or widowed mother.) Insurance shall be payable in 240 monthly installments, except that in the case of total permanent disability monthly installments will be continued throughout the duration of disability. Provisions for endowment, continuous installments, surrender values, dividends, etc., as may be reasonable, may be provided by regulation. The insured has the right to change the beneficiary without consent, but only within the permitted class. If no beneficiary within the permitted class be designated by the insured, either in his lifetime or by his last will and testament, or if the designated beneficiary does not survive the insured, the insurance (or if any beneficiary survives the insured but does not receive all the installments, then the remaining installments) shall be payable to such person or persons, within the permitted class of beneficiaries, as would under the laws of the State of the residence of the insured be entitled to his personal property in case of intestacy. If no such person survive the insured, then there shall be paid to the estate of the insured an amount equal to the reserve value, if any, of the insurance at the time of his death. (Sec. 402.) The United States shall bear the expense of administration, and the excess mortality and disability cost resulting from hazards of war. Premium rates shall be net rates, based upon the American Experience Table of Mortality, and 3^ per cent interest. Such rates do not include any provision for expenses. (Sec. 403.) During the period of the war and for five years thereafter, unless sooner converted, the insurance shall be term insurance for successive terms of one year each. For five years after the termination of the war the insured shall have the right to convert this term insurance into any of the usual forms of insurance at the net premium rate for such forms of insurance. No medical examination can be required as a condition of converting the insurance. Unless the privilege of conversion is exercised the insurance can not be continued after the expiration of the five-year period. To carry out the privilege of conversion, ordinary life insurance, 20-payment life insurance, endowment maturing at age 62, and other usual forms of insurance shall be provided. Premiums shall not be required for more than one month in advance and may be deducted from the pay or deposit of the insured. ABSTRACTS OF REPORTS OF BUREAUS AND DIVISIONS. 171 ABSTRACTS OF REPORTS OF BUREAUS AND DIVISIONS. The following is a summary of the reports of bureaus and divisions of the Treasury Department for the fiscal year ended June 30, 1917, with the exception that the figures in relation to public moneys are brought down to.November 1, 1917. TREASURER OF T H E U N I T E D STATES. The ordinary receipts in 1917 were $1,118,174,126.43, an increase of $338,509,573.94 as compared with those of 1916. The ordinary disbursements were $1,147,898,991.16, an increase of $423,405,992.26 by like comparison. The net result for the year on ordinary account was a deficit of $29,724,864.73. The disbursements made on Panama Canal account during the fiscal year were $19,262,798.32, while the receipts from tolls, etc., were $6,150,668.59. The net excess of disbursements over receipts was $13,112,129.73, which was paid out of the general fund of the Treasury. During .the fiscal year 1917 extraordinary expenditures of public moneys were made under provisions,of law as follows: Purchase of Danish West Indian Islands, act of March 3, 1917, $25,000,000; subscriptions to stock of Federal land banks, act of July 17, 1916, $8,880,315; and purchase of obligations of foreign governments engaged in war with the enemies of the United States, $885,000,000; making a total of $918,880,315. The transactions in the public debt during the fiscal year 1917 were as follows: Receipts for Postal Savings bonds, act of June 25, 1910, $1,794,660; for retirement of national-bank notes, act of July 14, 1890, $37,293,045; for one-year Treasury notes, act of December 23, 1913, $4,390,000; for certificates of indebtedness, acts of March 3 and April 24,1917, $918,205,000; and for Liberty bonds, act of April 24, 1917, $1,466,335,094.61; making a total of $2,428,017,799.61 received, while the disbursements on account of principal of matured loans and fractional currency were $18,398.75; for national-bank notes canceled and retired, $40,564,115.50; for certificates of indebted- 173 1-74 REPORT ON TI-IE FINANCES. ness, $632,572,268; and for one-year Treasury notes, $4,390,000; making a total disbursement for the debt of $677,544,782.25. The net result was an excess of receipts of $1,750,473,017.36. The balance in the Treasury of the United States on June 30, 1917 (exclusive of credits to disbursing officers), was $967,247,123.48, as against a balance (excluding credits to disbursing officers) on June 30, 1916, of $178,491,415.58, showing an increase for the year of $788,755,707.90. During the fiscal year 1917 the redemptions from the reserve fund were, in United States notes, $38,555,910. The redeemed notes were, under the provisions of the act of March 14, 1900, immediately .exchanged for gold, and thereby the reserve was maintained in volume and character.. During the fiscal year 1917 the gold ui the Treasury attained a maximum at $2,445,875,313.94 on April 11, 1917, and at the close of the year it amounted to $2,325,472,035.87, an increase of $521,978,103.04 as compared with that of 1916. Set apart for the respective uses, it was held on the following accounts: Reserve fund, $152,979,025.63; trust funds (for redemption of gold certificates in actual circulation), $1,584,235,909; gold settlement fund of Federal Reserve Board, $526,295,0.00; and in general fund (belonging to the Treasu r y ) , $61,962,101.24. The imports of gold during the year were $977,176,026, the exports $291,921,225, and the net excess of imports $685,254,801. During the fiscal year 1917 the currency distributed from the Treasury in Washington to the subtreasuries and to the banks amounted to $1,353,485,620, an increase of $259,737,595 as compared with that of 12 months earlier. The balance of public moneys on deposit in designated depositaries at the close of the fiscal year 1917 was, in Federal reserve banks, $299,871,632.42; in national banks, $39,395,650.24; and in special depositaries, $783,922,759.51; making a total of $1,123,190,042.17. The general stock of money in the United States at the close of the fiscal year 1917 amounted to $5,407,990,026, an increase of $925,130,893 as compared with that of the preceding year. The growth in gold was $569,440,358; in silver, $9,415,430; in Federal reserve notes, $371,239,510; and in Federal reserve bank notes, $3,790,245, while the national-bank notes decreased $28,754,650. There was no change in the volume of United States notes. The money in circulation increased in volume by $739,477,870, and amounted to $4,763,575,632 on June 30, 1917. The circulation per capita was $45.74, and the share of gold to whole circulation 50.97 per cent. The notes and certificates of United States^paper currency issued during the fiscal year numbered 390,016,642 pieces, of the total value SECRETARY OF THE TREASURY. . 175 of $2,068,356,000. The redemptions were 354,926,184 pieces, of the total value of $1,711,773,000. The pieces outstanding number 417,938,931, of the total value of $2,935,273,685. The average cost of each piece of United States paper currency issued and redeemed ia about 1.526 cents, and the annual cost of maintenance of the currency issued by the National Government averages slightly less than onefifth of 1 per cent of the amount outstanding. National-bank notes amounting to $406,462,419 were presented for redemption during the fiscal year 1917. This sum was 56 per cent of the average circulation outstanding. Of the notes received at the Treasury, $50,655,650 were fit for use and were returned to the banks of issue for further circulation. Fiederal reserve notes amounting to $54,061,530 were presented for redemption during the year, of which $12,430,300 were fit for use and were returned to banks arid agents for further circulation. Federal reserve bank nbtes amounting to $1,307j770 were presented for redemption, of which $27,550 were fit for use and were returned to banks of issue for further circulation. The expenses of redemption, amounting to $420,160.42, have been assessed upon the national and Federal reserve banks, as follows: Rates per National banks: $1,000. Notes redeemed on 5 per cent fund account (not including notes of District of Columbia banks) $0, 98350465 Notes redeemed on 5 per cent fund account, District of Columbia banks only___ -. . 80183925 Notes redeemed on retirement accounts (all banks) . 75066067 Federal reserve banks: Federal reserve bank notiBS— Redeemed on 5 per cent fund account : . 98350465 Redeemed on retirement account '^ . 75066067 Federal reserve notes— ' Redeemed out of gold redemption fund— Fit for use = .26587773 Unfit for use : ^^______ .34754844 Received direct from banks of issue . 21470070 This departure from the method of making previous assessments is to effect a more equitable apportionment of the expense and, while it has not been practicable in this assessment to adjust all items of expense to an exactly equitable basis, it will be feasible for 1918. Experience in recent years makes clear that the supply" of small notes is not equal to the demand. No rule can be set up by theory of the proper ratio of the several denominations to each other. The needs of business clamor for small bills as instruments of local trade. The growth in the volume of the $1, $2, $5, and $10 denominations of United States paper currency for the past two years measures 176 REPORT ON THE FINANCES. the efforts of the Treasury to respond to the demands for small notes. The additions to the denominations named are shown in the statement following: Amoimt outstanding. Denomiaations. One dollar Two dollars,. Five dollars '.• Ten dollars .•.. Total ($10 and under) Per cent of increase . . ^ July 1,1915. July 1,1916. July 1, 1917. $177,012,037 61,337,813 385,536,012 348,239,657 $205,529,482 67,522,853 426,003,857 413,477,757 $227,157,001 74,036,909 404,255,292 615,277,637 972,125,519 1,112,533,949 14.4 1,220,726,839 9.7 The United States bonds in the custody of the Treasurer pledged to secure bank circulation amounted to $681,333,060 on June 30, 1917, a decrease of $20,488,170 as compared with those of 12 months earlier. United States bonds and other securities amounting to $43,054,350 were held to secure public deposits in national banks. The securities held for the safe-keeping of deposits in postal savings depositaries amounted to $169,987,745.12. The stock of standard silver dollars in the United States at the close of the fiscal year 1917 was $568,269,513, of which $71,825,375 were in circulation and $496,444,138 were held in the Treasury, against which Treasury notes and silver certificates to the amount of $479,154,920 were outstanding. Silver dollars were shipped to depositors therefor at the expense of the consignee for transportation as usual duririg the fiscal year. The stock of subsidiary coin in the country is $198,274,719, of which $4,422,622 was held in the Treasury and the balance, $193,852,097, was in circulation on June 30, 1917. At the close of the fiscal year 1917 the trust funds, gold, and silver held to"" redeem outstanding notes and certificates amounted to $2,063,390,829, an increase of $5,981,438 as compared with like holdings 12 months earlier. The increase in gold was $18,835,620, while the silver decreased $12,854,182. The balance in the gold settlement fund July 1, 1916, was $155,510,000. The deposits therein during the fiscal year 1917 were $567,925,000, while the withdrawals' were $197,140,000, leaving a balance in said fund of $526,295,000 on June 30, 1917. The act approved June 21, 1917, amending the Federal reserve act, contains provisions for simplifying the manner of keeping this account, viz: Deposits of gold coin or gold certificates are received by the Treasurer or any Assistant Treasurer of the.United States when tendered by any Federal reserve bank or Federal reserve agent for credit to its or his account with the Federal Reserve Board. Deposits so made are held subject to the order of the Federal Reserve SECRETARY OF THE TREASURY. 177 Board and are payable in gold coin or gold certificates on the order of the Federal Reserve Board to any Federal reserve bank or Federal reserve agent at the Treasury or at the subtreasury of the United States nearest the place of business of such Federal reserve bank or such Federal reserve agent. All expenses incident to the handliag of such deposits shall be paid by the Federal Reserve Board and included in its assessments against the several Federal reserve banks. The balance to the credit of the gold settlement fund is shown on the daily statement of the United States Treasury. District of Columbia, The transactions of the Treasurer of the United States, ex officio commissioner of the sinking fund of the District of Columbia, are fully set forth in a separate statement. During the fiscal year 1917 the funded debt retired amounted to $130,600, and there was purchased for this fund $631,000 of United States bonds and $6,000 was deposited with the Federal Reserve Bank of Richmond, Va., on account of a subscription to the first Liberty loan of 1917. This reduces the bonded debt of the District of Columbia to $6,049,350, while as an offset agairist this there is held in trust by the Treasurer $1,326,()00 of United States bonds. With the beginning of the fiscal year 1917 the Treasurer held for the District of Columbia contractors $254,652.69. The law providing for this 10 per cent guaranty fund was eliminated by Congress during the present fiscal year, with provision for the repayment of all such amounts on authorization by the Commissioners bf the District of Columbia, with the result that the Treasurer now holds but $132.51 as a balance due District of Columbia contractors, this amount beiug unclaimed. The old securities of the District of Columbia held in the care and custody of the Treasurer are: Chesapeake & Ohio Canal bonds, $84^285; board of audit certificates, $20,134.72; total, $104,419.72. COMPTROLLER OF THE CURRENCY. The fiscal year ending June 30, 1917, has witnessed the greatest growth in the resources of the national banks of the United States that has been shown in any year since the inauguration of the national-banking system. " The total resources of the national banks at the call of June 20, 1917, were $16,290,406,000, the increase during.the year being $2,363,538,000. This was an increase of $5,253,487,000 as compared with the call of June 4, 1913, toward the close of the last fiscal year preceding the passage of the Federal reserA^e act, the resources in June, 1913, having amounted to $11,036,919,000. 13034°—FI 1917 12 178 REPORT ON T H E FINANCES. On June 30, 1917, there were 7,635 national banks in operation or authorized to begin business, being the greatest number of banks reported at any time since the beginning of the system. On June 20, 1917, the date of the last call for the fiscal year, the total deposits of the national banks aggregated $12,771,833,000, an increase during the fiscal year of $1,894,746,000. I n the same period loans and discounts grew from $7,685,335,000 on June 30, 1916, to $8,967,297,000 on June 20, 1917, an increase of $1,281,962,000. ^United States bonds arid certificates of indebtedness held by national banks June 20, 1917, plus partial payments made on Liberty bonds, amounted to $1,076,256,000, ari increase as compared with June 30, 1916, of $345,051,000. Specie and legal tenders on hand, including $90,878,000 of national bank, Federal reserve bank, and Federal reserve notes, plus balances with Federal reserve banks, amounted, June 20, 1917, to $1,573,295,000, an increase as compared with June 30, 1916, of $277,589,000. Bonds and securities other than United States Government bonds on hand June 20, 1917, amounted to $1,843,047,000, an increase since June 30, 1916, of $315,215,000. Amounts due from banks other than Federal reserve banks were $1,637,176,000, an inci-ease of $98,860,000 as compared with June 30, 1916, while the amounts due to other banks and bankers were reported at $3,025,566,000, an increase of $312,674,000 as compared with June 30, 1916. As the amounts due t o national banks from other banks were only $1,637,000,000 and the amounts due from national banks to other banks and bankers were $3,025,000,000, it 'is easy to see the large extent to which national banks are used as the depositaries of the State banks and trust companies throughout the country. Bills payable and rediscounts of all national banks on June 20, 1917, amounted to $370,949,000, an increase as compared with June 30, 1916, of $302,331,000, this increase being mainly due to the temporary financing incident to the negotiation of the first issue of Liberty loan bonds. The total reserves held by national banks on June 20, 1917, amounted to $2,310,360,000, an increase as compared with June 30, 1916, of $233,864,000. The surplus reserve carried over and above the amount required by law on June 20, 1917, was $841,931,000, an increase as compared with June 30, 1916, of $40,688,000. The reserve requirements of national banks have been radically changed by the passage of an amendment to the Federal reserve act, approved June 21,1917, under which the banks in the central reserve cities of New York, Chicago, and St. Louis, instead of being called SECRETARY O F . T H E TREASURY. ^179 on to carry total reserves of 18 per cent, of which a certain proportion had to be carried in the Federal reserve banks and the balance in their own vaults, are now required to carry only 13 per cent reserve, all of which must be carried in the Federal reserve banks; the national banks in other reserve cities, which formerly had to carry a. total reserve of 15 per cent, partly in their own vaults, partly with the Federal reserve banks, and partly with reserve agents in the central reserve cities, are now required to carry only 10 per cent, all of which must be carried in the Federal reserve banks; and country banks, which were formerly carrying an aggregate reserve of 12 per cent in their vaults in the reserve banks and with reserve agents in reserve and central reserve cities, are now required to carry only 7 per cent, all of which must be carried in the Federal reserve banks. Since the passage of the Federal reserve act, December 23, 1913, to June 30, 1917, the total number of national banks chartered was 563, with an aggregate capital of $41,014,500. Of these banks, 372 were chartered with a capital of less than $50,000 each, their aggregate capital being $9,724,500, and 191 had a capital of $50,000 or more, aggregating $31,290,000. Of the banks chartered during the fiscal year 1917, 110 had a capital of less than $50,000, the aggregate capital being $2,825,000, the average capital being $25,681. Fifty-three banks, with an aggregate capital of $6,645,000, were organized with a capital of $50,000 or more, the average capital being $125,377. One hundred and twenty-seven of the 163 banks organized during the year did not take out circulation at the time of their organization. Of the 163 national banks which were chartered during the past year 31 represented the conversions of State banks and 19 reorganizations of State and private banks, and 113 were primary organizations. The total capital of the banks chartered. during the year aggregated $9,470,000. • Since the inauguration of the national-banking system in 1863 there have been issued a total of 11,032 national-bank charters. Qf this number 548 failed and were placed in the hands of receivers and 2,849 went into yoluntary liquidation. During the last fiscal year 6 banks failed and were placed in charge of receivers and 110 went into voluntary liquidation. Of the 110 voluntarily liquidating, 23, with an aggregate capital of $6,225,000, were consolidated with other national banks; 2, with an aggregate capital of $50,000, went out of business; and 85, with an aggregate capital of $8,852,500, were absorbed by or reorganized as State banks. The capital of the six banks for which receivers were appointed during the fiscal year aggregated $1,180,000, and the liabilities to 180 REPORT ON THE FINANCES. depositors and other creditors at the date of suspension amounted to $5,087,915. Four of the six banks placed in charge of receivers paid dividends during the year as follows: One 100 per cent, one 65 per cent, one 25 per cent, and one 20 per cent, and further dividends are being paid from time to time as assets are being realized upon. I t is estimated that the total losses to depositors of the six national banks which failed during the year, with liabilities as above stated of over $5,000,000, will be only $370,000. As the aggregate deposits of all national banks in operation during the year exceeded $12,000,000,000, it is gratifying to realize that the total*loss to depositors from national-bank failures during the year will amount, as estimated, to only about three one-thousandths of 1 per cent of the total deposits o f t h e national banks in operation. During the fiscal year ending June 30, 1914, immediately prior to the inauguration of the Federal Reserve System, there were 19 national-bank failures, the estimated loss to the depositors of these 19 failed banks being $1,505,000, or eighteen one-thousandths of 1 per cent of the total deposits of all national banks at the autumn call in 1914. Largely as a result of the improved system of national-bank examinations, greater thoroughness in these examinations, and because of the policy insisted upon by the Comptroller of the Currency that national banks shall observe the provisions of the national-bank act, intended for their protection and the protection of their depositors and shareholders, there has already been effected a marked reduction in bank failures and in losses to depositors, the total failures for the year ending June 30, 1917, having been reduced to six, with estimated losses to depositors, as above stated, of only $370,000, or, say, three one-thousandths of 1 per cent of the total deposits of the national banks in operation. During this same period the deposits of national banks increased from $8,185,000,000 in June, 1914, to $12,771,833,000 at the close of the past fiscal year. Although the deposits in the national banks at this time are approximately twice as great as they were just 10 years ago, the sum total of the estimated losses-to depositors from failed banks for the past 12 inonths was scarcely one-sixth of what they were for the year ending June 30,1906. The following table shows the number of national banks in each State reporting to the comptroller's office on the call of June 20, 1917, and the aggregate capital of the national banks of each State: 181 SECEETAE.Y OF THE TEEASUEY. N a t i o n a l b a n k s rep o r t i n g on J u n e 20,1917. States, etc. National banks.rep o r t i n g on J u n e 20,1917. states, etc. Capital N u m - ^ paid in (m thouber. sands). NEW ENGLAND STATES. Number. Capital paid in (in thousands). MIDDLE WESTERN STATES—con. Maine New Hampshire Vermont Massachusetts Rhode Island 64 55 48 150 17 69 Total 403 $7,065 Michigan 5,235 Wisconsin • 4,985 Minnesota 52,993 1 Iowa: 5,570 1 Missouri. 19,849 Total 95,697 WESTERN STATES. 106 140 • 287 352 131 $17,965 18,591 31,389 24,500 37,085 2,111 300,079 158 126 191 228 93 36 121 39 336 5,825 5,345 15,225 13,498 6,583 2,040 10,540 2,485 15,818 1,328 77,359 77 81 268 60 24 10 ' 14 3 11,760 10,041 59,472 3,661 3,405 1,435 1,187 125 537 91,086 2 550 EASTERN STATES. NewYork N e w J ersey PATiTi.«?yivaT>ila- Delaware Maryland District of Columbia • Total 476 203 833 22 95 14 172,308 22,342 118,002 1,589 15,955 7,177 North Dakota South Dakota Nebraska Kansas.. Montana Wyoming. Colorado 1,643 337,373 Oklahoma 146 115 80 77 100 54 92 34 33 537 67 133 112 19,593 10,087 8,810 9,280 13,000 6,381 10,657 3,825 7,835 54,590 5,536 16,741 14,300 Total SOUTHERN STATES. Virginia West Virgtma North Carohna S o u t h Carolina Georgia Florida Alabama Mississippi Louisiana Texas Kentucky Tftnnpssep - PACIFIC STATES. Washington Oregon California Idaho Utah Nevada Arizona Alaska . Total . ISLAND POSSESSIONS. Total 1,580 180,635 MIDDLE WESTERN STATES. Ohio Indiana Illinois P o r t o Rico 371 255 469 64,587 28,412 77,550 Total G r a n d total 2 550 7,604 1,082,779 The annexed table shows the total number of national banks organized up to June 30, 1917, by States and geographical divisions, also the number of national banks which have become insolvent, the number of voluntary liquidations, and the number of banks in operation or authorized to begin business in each State on the date mentioned. 182 REPORT ON THE FINANCES. Number of national banks organized, insolvent, in voluntary liquidation, and in operation on June 30, 1917. states. Organ- Insol- In liqui- In operized. vent. dation. ation. Maine New Hampshire.. Vermont Massachusetts Rhode Island Connecticut New York New Jersey Pennsylvania Delaware". Maryland District of Columbia... 71 75 316 65 111 4 7 15 1 5 47 12 20 150 47 37 64 55 48 151 17 69 Wisconsin Minnesota Iowa Missouri 749 32 313 404 733 241 50 10 44 206 28 141 6 27 477 203 833 22 95 14 North Dakota South Dakota Nebraska Kansas Montana Wyoming Colorado New Mexico...Oklahoma •Ill Total New England s t a t e s . . . States. 1,018 28 123 i Total Middle States Organ- Insol- In liqui- In operized. vent. dation ation. 207 358 471 231 199 165 333 374 135 44 173 61 521 27 26 120 108 23 6 39 15 173 158 127 101 229 101 36 121 41 .340 2,005 537 1,344 3 9 Tbtal Eastern states -. 2; 169 108 417 1,644 1 Virginia West Virgmia North Carolina... South Carolina - . . Georgia Florida Alabama Mississippi Louisiana Texas Arkansas •.. Kentucky Tennessee 184 145 108 •90 149 77 134 '58 68 802 84 211 170 6 4 6 1 10 13 9 2 7 34 6 6 8 30 26 22 12 38 10 33 22 28 227 12 72 50 Total Southern States.. 2,280 112 582 595 376 624 227 31 15 22 16 193 105 134 105 148 Washington 153 110 115 1Oregon California 326 80 1 75 77 Idaho 32 101 Utah 15 54 Nevada 20 92 Arizona 3 34 Alaska 33 Total Pacific 541 734 States.. 66 133 Hawaii 112 1 Porto Rico.. 1,586 Total island possessions.. 371 Total United 256 States 11,032 468 106 Ohio Indiana Illinois... Michigan 140 352 131 3,089 26 Total Western States 61 61 103 77 82 272 61 24 10 14 146 543 ~~2 7,635 Through the cooperation of the State banking departments of the different States the Comptroller of the Currency is enabled to compile each year a statement showing the resources and liabilities of all the banks of the country, both national and State, including savings banks and trust companies, based upon the returns nearest to June 30. The table following states the aggregate amount of loans, cash on hand, deposits, and total resources of all banks in the United States, including national banks. State banks, savings banks, trust companies, etc., for or nearest to June 30 for the years 1916 and 1917. SECEETAEY OP THE TEEASUEY. 183 Comparative statement of the principal items of resources, and the total deposits of all National, State, savings, and private banks, and loan and trust companies in the United States, as shown by their reports nearest to June 30, for the years 1916 and 1917. STATE, SAVINGS, AND PRIVATE BANKS AND LOAN AND TRUST COMPANIES. Year. Number of banks. Loans. Cash in vault and due from Federalreserve banks. All deposits. Aggregate resources. 0 1917 . 1916 Increase . Per cent increase 20,319 19,934 $11,674,130,264 10,164,480,700 $749,791,076 666,515,321 $17,671,243,936 15,499,471,406 $20,836,357,138 18,344,369,696 385 1.93 1,509,649,564 14.85 83,275,755 12.49 2,171,772,530 14.01 2,491,987,442 13.58 $1,573,295,000 $12,771,833,000 1,295,706,000 10,877,087,000 $16,290,406,000 13,926,868,000 NATIONAL BANKS. 1917 .. 1916 Increase Per cent increase 7,604 7,579 $8,967,297,000 7,685,335,000 25 .33 1,281,962,000 16.68 277,589,000 . 21.42 1,894,746,000 17.42 2,363,538,000 16.97 TOTAL NATIONAL, STATE, SAVINGS, AND PRIVATE BANKS AND LOAN AND TRUST COMPANIES. 1917 1916 Tnnrp,3.sft Per cent increase 27,923 $20,641,427,264 27,513 17,849,815,700 410 1.49 2.791,611,564 15.64 $2,323,086,076 $30,443,076,-936 1,962,221,321 26,376,558,406 360,864,755 18.39 4,066,518,530 15.42 $37,126,763,138 32,271,237,696 4,855,525,442 15.05 The figures in the foregoing table show that during the past year the deposits in the national banks increased 17.42 per cent, while the deposits in the State banks, savings banks, and trust companies increased only 14.01 per cent, the percentage of increase in the deposits of the national banks being approximately one-fourth greater than the percentage of increase in the State banks. Cash holdings of the State banking institutions during the year increased $83,000,000, or 12.49 per cent. I n the same period the national banks showed an increase in cash in vault and balances with Federal reserve banks of $278,000,000, or 21.42 per cent. Against total deposits of $17,671,243,000 the State banks, savings banks, and trust companies, etc., held June 20, 1917, cash to the amount of $749,791,076. On the same date the national banks of the country, against total deposits of $12,771,833,000 had cash in vaults and balances due from Federal reserve banks amounting to $1,573,295,000. Although the total deposits reported by the State banks, savings banks, trust companies, etc., were $4,899,411,000 more than the total deposits reported by the national banks, the figures show that the 184 REPORT ON THE FINANCES. cash in vaults and balances which the national banks carry with their Federal reserve banks exceeded by $823,504,000, or more than 100 per cent, the total cash carried by all the State banks, savings banks, trust companies, etc., as of June, 1917. M I N T SERVICE. Operations of the mints. The following Mint Service institutions were operated during the fiscal year 1917: Coinage mints at Philadelphia, San Francisco, and Denver; assay office at New York, which has a large trade in bars of fine gold and silver; mints at New Orleans and Carson City conducted as assay offices; and assay offices at Seattle, Boise, Helena, Salt Lake City, and Deadwood, these being bullion-purchasing agencies for the large institutions. Refineries were operated at the New York, Denver, and San Francisco institutions. The value of the gold acquired by the Government at the mints and assay offices during the fiscal year 1917 was $907,962,397.15, the large increase over last year being due principally to the heavy importations of foreign coin. United States gold coin received for recoinage was of the value of $1,906,125.44, transfers of gold between Mint Service offices totaled $13,832,622.21, making an aggregate of gold handled by the Mint Service during the fiscal year 1917 of $923,701,144.80. Silver purchased during the fiscal year 1917 totaled 6,161,680.34 fine ounces, costing $4,513,215.19, at an average price of 73^ cents per fine ounce; the silver received and repaid to the depositors thereof in bars bearing the Government stamp totaled 4,610,396.06 fine. ounces; the silver deposited by foreign governments to be worked into coin totaled 811,754.81 fine ounces; the United States silver coin received for recoinage totaled 6,241,055.78 fine ounces, with recoinage value of $8,627,946.34; the Philippine silver coins received for recoinage totaled 149,129.07 fine ounces; the transfers of silver between Mint Service offices totaled 1,231,661.15 fine ounces, making an aggregate quantity of silver handled by the Mint Service during the fiscal year 1917 of 19^205,677.21 fine ounces. The large increase over last year of silver handled was due principally to the extraordinary demand for subsidiary silver coin and to the placing in circulation of the new design subsidiary silver coins. The United States coinage for the fiscal year 1917 amounted to $25,445,148.68, of which $1,230,040 was gold, $18,263,600 was silver, $3,816,496.70 was nickel, and $2,135,011.98 was bronze. This amount includes $30,040 in $1 gold pieces struck at the Philadelphia mint for the McKinley Memorial Association, and respresents a total of 406,500,972 pieces. . SECEETARY OF THE TREASURY, 185 There were also coined at the Philadelphia mint 5,000 gold pieces for Costa Rica; 589,661 silver pieces for Colombia; 2,000,000 silver and 2,800,000 nickel pieces for Ecuador; 2,500,000 nickel pieces for Salvador; 100,000 silver and 800,000 nickel pieces for Panama; 1,170,000 bronze pieces for Nicaragua; 510,000 gold planchets and 600,449 silver- planchets for Peru. The mint at San Francisco coined for the Philippine Islands 1,594,203 silver, 1,600,000 nickel, and 4,500,000 bronze pieces, a total of 18,769,313 pieces. The seigniorage on United States coinage executed totaled $10,478,643.24, of which $5,406,158.51 was on subsidiary silver coins and $5,072,484.73 was on minor coins. Stock of coin and bullion in the; United States. On June 30, 1917, the estimated stock of domestic coin in the United States was $2,308,584,535, of which $1,541,481,585 was gold, $568,270,061 was silver dollars, and $198,832,889 was subsidiary silver coin. The stock of gold bullion in the mints and assay offices on the same date was valued at $1,550,357,982.76, an increase over last year of $745,891,805.06, and the stock of silver bullion was 10,054,416.81 fine ounces, a decrease oyer last year of 780,757.07 fine ounces. Production of gold dnd silver. The production of the precious metals in the United States during the calendar year 1916 was as follows: Gold, $92,590,300; and silver, 74,414,802 fine ounces. Industrial arts. The amount of gold consumed in the industrial arts during the calendar year 1916 was $51,061,187, of which $41,120,149 was new material. Silver consumed amounted to 32,103,507 fine ounces, of which 22,204,261 fine ounces was new material. Export of gold coin. The net export of United States gold coin for the fiscal year ended June 30, 1917, was $124,413,527. Appropriations, expenses, and income. The appropriated amounts available for Mint Service use during the fiscal year 1917 totaled $1,514,586.88, reimbursements to appropriations for services rendered amounted to $82,054.39, making an available total of $1,596,641.27. 186 REPORT ON THE FINANCES. The expenses chargeable to appropriations were $1,547,344.85, those chargeable to income $29,802.65; total, $1,577,147.50. The income realized by the Treasury from the Mint Service totaled $11,439,873.37, of which $10,478,643.24 was seigniorage. Income and expenses are itemized as follows: Earnings: Credited to appropriations— Charges on foreign coinage executed Charges for manufacture of special medals Charges for work done for other institutions, etc Total earnings credited to appropriations Credited to revenues— Mint charges on bullion Proceeds of medals and proof coins sold Receipts from special as. says of bullion and ores- $69, 897.96 2, 722.28 9, 447. 65 $82,067.89 504, 417.98 2,854.81 3, 332. 75 Total earnings credited to revenues 510, 605. 54 Total earnings Profits: Gain on bullion shipments to refineries— $458.15. Less contra losses 174. 79 Surplus bullion recovered Proceeds of sale of by-products (platinum, etc.) Proceeds of sale of old materialsCommission on telephone calls- $592, 673. 43 283.36 112, 814. 21 251,721.08 3, 736. 78 1. 27 Total profits other than seigniorage Seigniorage on subsidiary silver coinage 5, 406,158. 51 Seigniorage on minor coinage— Nickel — 3, 414, 426. 30 Bronze —L 1, 658,058. 43 Total seigniorage Total profits Total income 368^556. 70 10, 478, 643. 24 ^ 10, 847,199. 94 11, 439,873. 37 SECRETARY OF THE TREASURY. 187 EXPENSES. Chargeable to appropriations: Compensation of employees, Mint . Bureau, salaries appropriation. $22, 841.64 Mints and assay offices, salaries appropriation 241,008.27 Mints and assay offices, wages appropriations 847, 611. 84 "" Total compensation of employees $1,111,461.75 Equipment, stores, and other expenses— , Mint Bureau contingent appropriation ___. ; 5, 055. 48 ' Mints and assay offices, contingent and permanent appropriations (including $3,533.10 wastage of gold and silver in operative departments and $6,036.64 loss on assay value of operative sweeps sold) 419,169.50. Transportation of bullionand coin between mints and assay offices, freight appropriation 11,658.12 Total miscellaneous expenses chargeable to appropriations 435,883.10 Total expenses chargeable to appro. priations Chargeable to revenue: Seigniorage on minor coinage— Expenses of distributing minor coin to Treasury ofiices Wastage of minor metals in operative departments Total chargeable to revenue '. ;___ $1, 547, 344. 85 23j 381.14 . . 6,421. 51 29,802. 65 Total expenses 1,577,147. 50 Net income of the Government from the Mint Service. 9,862,725.87 11,439,873.37 The number and value of deposits, the income (including seigniorage), the expenses of the fiscal year 1917, and the number of employees on June 30,1917, at each institution, follow: 188 REPORT ON THE FINANCES. Deposits, income, expenses, and employees by institutions. «• Number of— Institution. Philadelphia San Francisco Denver NewYork New Orleans Carson Boise Helena Deadwood Seattle Salt Lake City Total United States coining value of gold and silverreceived DeRedeat each posits. posits. institution. Expenses from appropriations.! Incoine. TransEmportation of ployeesJune bullion and coin. 30,1917. 962 $224,327,184.31 $6,643,049.63 $684,171.60 $1,763.76 33 108,786,936.96 1,669,310.72 254,564.20 4,320.86 419.30 1,269 34,273,718.61 2,564,247.09 209,146.38 546,766.37 288,950.31 2.20 621 568,830,100.11 1,799.29 1 268.48 477,251.60 13,387.03 204,242.11 1,387.26 34.88 7,221.16 762,594.24 2,636.69 292.84 7,402.10 1,060,496.41 2,499.04 496.39 6 8,396.90 248,036.67 2,473.34 161.64 7,222.64 72 11,249,066.46 35,309.30 3,888.61 5,114.61 10.17 41,824.42 3,677.10 774.42 342 138 90 137 12 6 6 5 5 17 2 61,757 . 2,964 950,261,449.79 11,440,048.16 1,519,447.72 11,668.12 769 10,061 13,701 3,990 19,278 481 419 661 518 • 62 2,476 110 1 Includes transportation of bullion and coin between mints and assay offices. INTERNAL REVENUE. The receipts from internal-revenue taxes for the fiscal year 1917, as shown by collectors' reports, were as follows: Ordinary receipts (including the emergency and other revenues, except the income tax) '$449, 712, 412. 48 Corporation income tax „ 179, 572,887. 86 Individual income tax 180,108,340.10 $809, 393, 640. 44 FISCAL YEAB 1916. Ordinary receipts (including the emergency revenue) 387, 786, 035.16 Corporation income tax 56,993,657.98 Individual income tax 67, 943, 594. 63 512,723,287.77 Net increase over 1916 - 296, 670, 352. 67 The ordinary receipts for the fiscal year 1917 (exclusive of income" tax and emergency and other revenue provided for in the act of October 22,1914, and subsequent acts) were as follows: DistiUed spirits, including special t a x e s — — $186, 563, 054.89 Manufactured tobacco, snufC, cigars, and cigarettes 102,230,205. 36 Fermented liquors (less additional tax of 50 cents per barrel, but including special taxes) ^ — 61, 532, 025. 08 Miscellaneous, including receipts from oleomargarine, opium manufacturers, etc., playing cards, offers in compromise, etc_ 4,089, 573. 27 Total — - — 354,414, 858.60 SECRETARY OF THE TREASURY. 189 These collections, as compared with similar collections for the fiscal year 1916, show the following substantial increases: DistiUed spirits •^— Manufactured tobacco, snuff, cigars, and cigarettes Fermented liquors.Miscellaneous .-__• Total $31,003, 348. 25 16, 906,110. 90 2, 072,085. 59 925,580.83 - 50, 907,125. 57 The emergency and other revenue, exclusive of the ordinary and income taxes collected during the fiscal year 1917, was as follows: Wines, champagne, liqueurs, cordials, etc : . Grape brandy used in fortification of sweet wines Fermented liquors (additional 50 cents per barrel) Special taxes relating to manufacture and sale of tobacco, cigars, and cigarettes Special taxes, including corporations, bankers, brokers, proprietors of theaters, bowling alleys, etc— Schedule A (documentary stamps, etc.) _ Schedule B (perfumery, cosmetics, etc.) Excess-profits tax Estate tax_^ Munition manufacturers' tax Total ^ . $5,164,075.03 384,188. 89 30,365,168.73 971, 386. 80 15, 708, 732. 87 8, 254, 341. 88 671,968.42 37,176. 37 6, 076, 575. 26 27, 663, 939. 63 95, 297, 553. 88 The income-tax receipts from corporations aggregated $179,539,631.03, as compared with $56,972,720.88 collected during the fiscal year 191^. There was also collected $33,256.83 on account of income tax on railroads iii Alaska, as compared with $20,937.10 collected in 1916. During the month of July, 1917, $4,997,780.20 was collected from corporations; nearly all of which was upon assessments made during the fiscal year just closed. The income-tax receipts from individuals aggregated $180,108,340.10, or $112,164,745.47 m excess of the amount collected during the preceding year. There was collected $4,828,951.52 during the month of July, 1917, practically all of which is included in assessments made during the fiscal year ended June 30, 1917. The total expenditure of the Internal-Revenue Service during the fiscal year 1917 amounted to $7,699,031.08. This does not include expenditures amounting to $108,493.61 made from the appropriation -" Refunding internal-revenue collections," as such payments were in no sense an expense incident to the cost of collection. The cost of collecting $1 of internal revenue was $0.0095, which is the lowest so far attained in the history of the bureau. 190 REPORT ON THE FINANCES. Receipts from internal reverme, 1916 and 1917. Fiscal year ended— Increase. Sources. June 80,1916. Decrease. June 30,1917. Distilled spirits, including wines, etc.. . $163,457,996.76 i $187,288,082.49 $33,830,085.73 Manufactured tobaccb, including cigars, cigarettes, and snufl 85,324,094.46 2 102,230,205.36 16,906,110.90 3,219,005.48 87,875,672.22 • 91,094,677.70 Fermenteci liquors Oleomargarine 278,181.87 924,699.911,202,881.78 Playing cards . . . . 820,897.26 1,243.06 819,654.20 23,371,310.39 6,790,830.01 All special taxes 16,580,480.38 Schedule A (documentaiy stamps, $29,855,940.61 38,110,282.49 etc.) 8,254,341.88 Schedule B (perfumery, cosmetics, 3,414,192.57 671,968.42 4,086,160.99 etc.) 6,076,575.26 Estate tax 6,076,575.26 Excess profits tax 37,176.37 37,176.37 27,663,939.63 Munition manufacturers' tax. 27,663,939.63 Offers in compromise, unassessed pen871,606.22 412,833.45 alties, etc 458,772.77 8 128,749.72 19,471.26 148,220.98 Miscellaneous Total ordinary (including emergency and other revenue, exCP.pt t h e incoTTift t a x ) Alaska railroads income tax Corporation income tax. Individual income t a x . . , . . , Total income tax ,. . /. •. Affsregate receints Net increase : 387,786,035.16 449,712,412.48 95,215,981.76 20,937.10 56,972,720.88 67,943,594.63 33,256.83 179,539,631.03 180,108,340.10 12,319.73 122,566,910.15 112,164,745.47 124,937,252.61 359,681,227.96 234,743,975.35^ 512,723,287.77 809,393,640.44 329,959,957.11 33,289,604.44 33,289,604.44 296,670,352.67 .. 1 Includes $122,893.87 from sale of internal-revenue stamps afiixed to Porto Rican bay rum; $5,164,075.03 from*wines, champagne, liqueurs, cordials, etc.; and $384,188.89 from grape brandy used in fortification of sweet wines. 2 Includes $638,324.16 from saie of iaternal-revenue stamps alfixed to Porto Rican products and $507,533.16 from sale of internal-revenue, stamps affixed to Philippiue products. 8 Includes collections from adulterated and process or renovated butter, mixed flour, smoking opium, opium order blanks, etc. Distilled spirits. During the past fiscal year there were produced from material other than fruit 277,834,366.6 taxable gallons of distilled spirits, an iiicrease of 28,710,444.8 gallons over the number of gallons produced during the fiscal year 1916. This increase consisted mainly of alcohol and other high-proof spirits to meet the larger demand for export and for denaturation. The quantity of distilled spirits removed in bond, free of tax, for export and for denaturation during the last two fiscal years was as follows; . 1916 For export For denaturation Total increase over 1916 ..... 1917 . Increase. Proof gallons. Proof gallons. Proofgallons. 39,011,143.3 41,529,044.2 2 517 900.9 84,532,253.1 93,762,422. 7 9,230,169.6 11,748,070.5 The production of fruit brandies during the fiscal year 1917 was 8,251,097.3 gallons, as against 4,159,351.6 gallons in 1916, an increase SECRETARY OF THE. TREASURY. 191 of 4,091,745.7. During the fiscal year 1917, 507 distilleries of all kinds were operated, a decrease of 98 as compared with the preceding year. Fortified wines. There were fortified during the fiscal .year 1917, 21,019,358.92 gallons of wine, and the records of this office show that the quantity of brandy used for this purpose amounted to 5,039,786.5 taxable gallons. The quantity of wines so fortified during that year was far above the quantity (6,284,003.5 gallons) of like wines fortified during the preceding year and also far above the average quantity (16,000,000 gallons) of wines fortified annually from June 7, 1906, to October 22, 1914. By the act of October 22, 1914, a tax of 55 cents per gallon was assessed on brandy used in fortifying wines, which tax was reduced by the act of September 8, 1916, to 10 cents per gallon. The large increase in the quantity of wines fortified during the past fiscal year was doubtless due to the comparatively low rates imposed by the act of September 8, 1916, on the brandy used. Tax on wines, cordials, etc. Under the provisions of the act of October 22, 1914, all still wines were taxable at 8 cents per gallon; all cordials, at the rate of 24 cents per gallon; and champagne and artificially carbonated^ wines, at the rate of 20 cents per quart. These rates were changed under the act of September 8, 1916, as follows: Still wines not over 14 per cent alcohol, 4 cents per gallon; still wines over 14 per cent but not over 21 per cent alcohol, 10 cents per gallon; still wines over 21 per cent but not over 24 per cent alcohol, 25 cents per gallon; still wines over 24 per cent alcohol, $1.10 per gallon. Liqueurs, cordials, etc. (if containing wine fortified under that act), 1 | cents per one-half pint, or 6 cents per quart. Champagne and sparkling wine, 3 cents per one-half pint, or 12 cents per quart. Artificially carbonated wine, 1^ cents per one-half pint, or 6 cents per quart. There was very little still wine over 21 per cent alcohol tax paid under the act of September 8, 1916, so that the tax receipts from still wines were, for the most part,'at 4 cents and 10 cents per gallon, or an average of 7 cents per gallon, or 1 cent less than the tax imposed by the previous act of October 22, 1914. Attention is also called to the fact that no tax was imposed by the act of September 8, .1916, on imported cordials, and as the quantity of domestic cordials produced which contained wine fortified under that act was very small, there 192 REPORT ON THE FINANCES. was very little tax derived from this class of goods. I t will also be noted that the tax on champagne was reduced from 20 cents per quart to 3 cents per one-half pint or 12 cents per quart, and on artificially carbonated wines to 1^ cents per one-half pint or 6 cents per quart. Notwithstanding the reductions in tax mentioned above, the tax on wines, cordials, etc., collected under the act of September 8, 1916, for the 12 months from September 1, 1916, to August 31, 1917, was $5,688,816.92, as against $2,688,368.30 collected on like articles under the act of October 22, 1914, from September 1, 1915, to August 81, 1916. Fermented liquors. The production of fermented liquors during the fiscal year 1917 was 60,817,379 barrels, as against 58,633,624 barrels for 1916, an increase oif 2,183,755 barrels. I n 1917, 60,729,509 barrels of fermented liquors were withdrawn tax paid for consumption, and 87,870 barrels exported free of tax, while in 1916, 58,564,508 barrels were tax paid and 69,116 barrels exported. Dealers in leaf tobacco. The recommendation which has been made each year for a number of years past is again urged, namely, that every dealer in leaf tobacco should be required to give a bond in such penal sum as the collector may determine, based upon the quantum of business done, the sum of such bond to be increased from time to time in the discretion of t h a collector or under instructions of the Commissioner of Internal Revenue; and that every dealer in leaf tobacco should make a true inventory of stock on the 1st day of January of each year and should render monthly reports of his transactions to the collector of the district.. The law should also be revised so that assessments may be made against dealers in leaf tobacco for tax on tobacco disposed of otherwise than as authorized by statute. Inconie tax. For the fiscal year ended June 30, 1917, the total receipts from .the personal-income tax were $180,108,340.10, an increase of $112,164,745.47 over the preceding year. Of this increase, $7,541,956.80 represents the amount assessed upon reports of revenue agents, as compared with $1,878,777.84 from, that source during the preceding year. The increase in the total tax collected from persons was more than 165 per cent over the collections of the previous year. The rate of normal tax for 1916 was, however, 2 per cent as compared with 1 per cent for 1915 and previous years. The total receipts from the corporation-income tax for the fiscal year ended June 30, 1917, excluding $33,256.83 collected under the act of July 18, 1914, as income tax on railroads in Alaska (38 Stat., SECRETARY OF THE TREASURY. 193 517) were $179,539,631.03, an increase of $122,566,910.15. The amount of additional taxes assessed against corporations on the basis of revenue agents' reports was $6,311,453.28, as compared with $5,808,393.65 from this source during the preceding year. The total collections represent an increase of more than 215 per cent over the previous year, but upon a 2 per cent rate instead of the 1 per cent for previous years. The total receipts of income tax for the fiscal year ended June 30, 1917, exclusive of the income tax on railroads in Alaska, were $359,647,971.13. This total will indicate without comment the great source of revenue which the income tax has been and will be as the needs of the Government require. The increase in the amount of collections by reason of the examinations of revenue agents is particularly pointed out, as the figures are a fulfillment of the estimates made as to what the result would be if this force were largely augmented. An increase in the appropriations for the revenue agents' force became available July 1, 1917, and since that date the Commissioner of Internal Revenue has, as rapidly as he was able to choose proper men, added to the force already in the field, so that additional results may be expected for the fiscal year ending June 30,1918. The increase in the amount of tax recovered referred to above i^ largely due to the increased efficiency of the field force. Whether the increase in the revenue agents' force now being made can take care of the volume of work required to be performed by that force is problematical. The commissioner's report indicates that the audit of returns in his office is more than one year in arrears. The cards which are the guides for the revenue agents' work are made up from the returns of corporations and individuals which are selected during the audit of the returns. The cards now in the hands of the revenue agents are sufficient to keep that force employed for a period of several years without adding new work. When the audit of returns has been brought up to date the number of corporations and individuals requiring investigation will be vastly increased. The failure to have the audit up to date grows out of the condition to which attention was called in the report for the year ended June 30, 1916, in which it was stated: The immediate need of the Internal-Revenue Service is an increase in the clerical force in the bureau to enable it to cope with the constantly increasing amount of work. In the Corporation Division the work of auditing is much in arrears, and unless relief is afforded in an adequate measure the situation can not but become more complicated from year to year. There has been an increase in the number of persons and corporations filing income-tax returns, and this increase adds con13034°—FI 1917 13 194 REPORT ON THE FINANCES. stantly to the work of the bureau regardless of the abnormal times in which we are living and because of which an extraordinary burden will be thrown upon the Bureau of Internal Revenue. It is due to the taxpayers that an adequate clerical force to keep the work current should at all times be provided, and while Congress has from time to time increased the appropriations for this purpose, yet the growth of the work both as to quantity and the increase in the effort made to get correct returns, giving in detail the information required for the assessment of the proper amount of tax, has been greater than the relief afforded. Comment was made in the report for the fiscal year ended June 30, 1916, on the effect the delay in auditing returns and making examinations had upon the tax and the taxpayers. With regard to corporations the situation has not changed; with regard to individuals the results of this delay are becoming more apparent, because in numerous cases of inquiry for additional information the reply is made that the taxpayer has been long since deceased. As stated in the report for the fiscal year ended June 30, 1916, until an adequate force is provided which" will enable the Commissioner of Internal Revenue to audit and investigate each return of annual net income within a reasonable time after such return has been rendered to the Government it will not be considered that this phase of the collection of the income tax will be based upon a proper basis. It is anticipated that the increase in the volume of administrative work in connection with the new revenue bill will be very great. These needs have been considered and estimates made with the view of collecting the new tax with the least amount of friction consistent with the searching canvass for taxpayers, which of necessity must be made. The needs of the war are understood by the taxpayer, and the patriotism of the citizen is expected to make the work of the collection of the tax one of cooperation between official and taxpayer, and it is trusted that the results will be equally satisfactory to both. In this connection it is a pleasure to report that in response to a notice to taxpayers that an early payment of income taxes due June 1,1917, would be appreciated many millions of taxes were paid prior to the due date of such taxes. In many instances the taxes paid amounted to hundreds of thousands of dollars, the interest on which if held by the corporations until payment was required by law would have amounted to considerable sums. These payments were made voluntarily and without any deductions for interest. The response to the request for .such payments was splendid and was appreciated by the officials charged with the duty of providing revenues to meet the early expenses of the war. SECRETARY OF THE TREASURY. 195 Congress provided in the act of September 8, 1916, " that the preparation and publication of statistics reasonably available with respect to the operation of the income-tax law and containing classifications of taxpayers and of income, the amounts allowed as deductions and exemptions, and any other facts deemed pertinent and valuable shall be made annually by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury." This work is well under way, and the statistics provided for will be published in a separate volume. Munitions m^anufacturers^ tax. Title I I I of the revenue act of September 8, 1916, provided that every person (including corporations, etc.), in addition to the income tax imposed by Title I of said act, shall pay for each taxable year an excise tax of 12J per cent per annum upon the entire net profits actually received or accrued for said year from the sale or disposition of the articles named in section 301 of said Title I I I , and which are briefly described by the general term " munitions." The results of this tax were practically in accord with the estimates, $26,552,402.49 being assessed from the returns and nearly $12,000,000 being assessed after an adjustment of the returns had been made. The Commissioner of Internal Revenue immediately after the returns were made organized a special corps of revenue agents to make examination of all munition manufacturers' returns for the purpose of making the adjustment referred to above. One million two hundred and seventy-nine thousand seven hundred and seventy-three dollars and sixty-seven cents was added to the tax from adjustments of returns during the fiscal year ended June 30, 1917, and the balance of the $12,000,000 has been added since that date. This law provided among the deductions which could be made from gross income " a reasonable allowance, according to thie conditions peculiar to each concern, for amortization of the values of buildings and "machinery, account being taken of the exceptional depreciation of special plants." This provision of the law gave rise to exceptional deductions, which, upon examination, appeared excessive, and the excess deductions were disallowed, resulting- in many ^cases in large increases in the tax found due. The munitions tax law also provides that after examination of the return the person making the same ma}?- make a written request for a hearing with the commissioner for the purpose of establishing to his satisfaction that the amount of income reported by the revenue agent or asserted by the commissioner was incorrect. This provision of the law gave rise to requests for hearings in numerous cases, which hearings delayed the collection of the added taxes found due. These hearings are being held daily and it is ex 196 REPORT ON THE FINANCES. -» pected that all requests in this respect will have been complied with before the close of the calendar year 1917; $6,784,120.31 have been assessed from the revenue agents' reports referred to between July 1, 1917, and September 15,1917. Excess-profits tax. Title I I , act of March 3, 1917, in addition to the taxes imposed by then existing laws, levied a tax of 8 per cent on so much of the net income of corporations, joint-stock companies, etc., as is in excess of $5,000, plus 8 per cent of the actual capital invested in the property or business. This act was made effective as of January 1, 1917, and for the current year applies only to those corporations which make returns on the basis of a properly established fiscal year ending with the last day of some month in 1917 prior to December 31. Because of the short time intervening between the date of the approval of this act (Marches, 1917), and the close of the fiscal year (June 30, 1917), covered by this report, and because of the delay in preparing, printing, and distributing return forms, the amount of tax assessed under thiis act prior to the close of the last fiscal year was negligible, the entire amount being but $2,953.42, and that amount was assessed against corporations making final returns and going out of business. More recently, however, returns are being received from all corporations whose 1917 fiscal year closes with a date other than December 31 and assessments of excess-profits tax are being made on lists now current in considerable sums, the amount of which will necessarily appear in the receipts for the fiscal year ending June 30, 1918. Estate tax. The principal duties under Title I I of the revenue act of September 8, 1916, during the fiscal year ended June 30, 1917, consisted in interpretation of the law and organization of the work in the bureau and in the field. While the total estate tax paid during the fiscal year was $6,076,575.26, the returns that had been voluntarily filed during the year indicated tax considerably in excess of this amount, many returns having been filed where tax could not be paid so far in advance of the due date. The policy of the bureau is that as soon as a reasonable period of administration has elapsed each return shall be sent to a field examining officer for investigation. This work was well under way at the end of the fiscal year, and the results of the investigations theretofore completed indicated that in an overwhelming majority of cases the returns as filed would not show the total tax due the Government. I t is already established that the additional tax to be collected through prompt investigation of all estates making returns ^ SECRETARY OF THE TREASURY. 197 will amply justify the cost to the Government of such an exhaustive system of investigation. In spite of the limited experience in the administration of the estate taxing act, there have been demonstrated clearly certain weaknesses in the law which seem to demand correction. Particularly is the statute ineffective in providing means for the collection of the tax from the estates of nonresident decedents. There should be a specific requirement vin the law that no property of a nonresident decedent situate within the United States may be transferred to a succeeding owner prior to the time return has been filed and the tax due paid. Furthermore, the law should be made clearer with regard to the status of bonds of American corporations owned by nonresident decedents, since the situs of such property is a mooted question and there seems to be little likelihood of a uniform interpretation of this question in the courts. Furthermore, the law should . be amended so as to allow the commissioner to designate the internalrevenue district in which return for any given nonresident estate should be filed. The present law will often require the filing of return with the collector at Baltimore in cases where the major part of the property to be investigated will be located in another collection district. I t has been made clear also that the requirements that notice of the existence of a taxable estate be given to the collector within 30 days after the issuance of letters or the taking of possession of property works a serious hardship. I n hiany cases it is practically impossible for this requirement to be complied with. I t has been the uniform experience thus far that it is impossible for the majority of executors to make a reasonable estimate of the value of the decedent's property within such a period. ilSTo objection is seen to the extension of this period to 60 or even 90 days, and it is recommended that the law be amended in this particular. Work of revenue agents. The number of illicit distilleries reported for seizure during the year ended June 30, 1917, was 2,232, which shows a decrease of 1,144 when compared with the number reported duriiig the previous year. This marked difference, amounting to nearly 34 per cent, should not be attributed to a decrease in illicit distilling. I t is rather due to the fact that information leading to the capture of illicit distilleries is no longer paid for by the Government, the result being that information, voluntarily given, is now received from reliable sources and from citizens who are interested in the suppression of illicit distilling. I t was found that the rewards paid to informers led often to very expensive raids upon abandoned distilleries. There has been a great saving to the Government by the discontinuance of this prac- 198 REPORT ON THE FINANCES. tice, and local authorities are now showing a greater determination to suppress violations of law in prohibition States. Revenue agents in charge of divisions and their subordinate officers have been active in the prosecution of investigations of violations of the Harrison antinarcotic law. As a result of their activities and the work of collectors of internal revenue over 20,000 violations of the law were discovered, and approximately $25,000 has been offered as compromise of liabilities, in addition to fines and prison sentences imposed upon violators of the law, who were placed on trial in the United States courts. The following is a brief summary of work accomplished by revenue agents and their subordinate officers during the year ended June 30, 1917: Unpaid taxes reported for assessment: Corporation taxes and individual income taxes Munitions taxes — Estate taxesDistilled spirits, tobacco, and miscellaneous taxes Offers in compromise accepted . Collections on account of oleomargarine frauds Total '. $30, 391,164. 22 12, 346, 334. 51 8,183. 53 3,491, 678. 48 774,683.30 242, 214. 50 47, 254, 258. 54 NOTE.—The above receipts from oleomargarine include approximately $175,000 tax payments made on account o l assessments on oleomargarine withdrawn at one-fourth cent during various periods prior to July 1, 1914, and subsequently found on the market artificially colored and assessed at 9f cents per pound, or the difference between the one-fourth cent and the 10-cent rate. Legislation. The following is a statement of recent legislation affecting internal revenue: The act of March 3, 1917 (39 Stat, 1000), entitled "An act to provide increased revenue to defray the expenses of the increased appropriations for the Army and Navy and the extensions of fortifications, and for other purposeSj" provided an excess-profits tax and increased the estate tax 50 per cent. The excess-profits tax was repealed by the war-revenue act of October 3,1917, and a new excess-profits tax enacted. Porto Rico.—An act to provide a civil government for Porto Rico, and for other purposes, approved March 2, 1917: SEC 9. That the statutory laws of the United States not locally inapplicable, except as hereinbefore or hereinafter otherwise provided, shall have the same force and effect in Porto Rico as in the United States, except the internalrevenue laws: Provided, however. That hereafter all taxes collected under the internal-revenue laws of the United States on articles produced in Porto Rico and transported to the United States or consumed in the island shall be covered into the treasury of Porto Rico. SECRETARY OF THE TREASURY, 199 War-revenue act.—^The "Act to provide revenue to defray war expenses, and for other purposes" (H. R. 4280), passed Congress and was approved at close of business October 3,1917, and took effect October 4, except as otherwise provided. The following is a general statement of the taxes imposed: The law provides an increase in the income tax and excess-profits tax. The rate of tax on distilled spirits is increased to $2.20 and ifwithdrawn for beverage purposes $3.20 per proof gallon. A tax is imposed on rectified spirits, and there is also a floor tax on distilled spirits held for sale in any quantity by others than retail dealers and by retail dealers in excess of 50 gallons. The tax on wines is increased, and taxes are imposed on sirups, soft drinks, carbonated beverages, etc. The new rate of tax on fermented liquors is double the rate under the old law. The act imposes additional taxes on cigars, tobacco, and manufactures thereof. A war tax is imposed on facilities furnished by public utilities, taking effect November 1, 1917, as follows: On amount paid for freight transportation, on express charges, on amount paid for transportation of persons, on seats, berths, and staterooms in parlor cars, sleeping cars, or on vessels, and on the transportation of oil by pipe lines and on telephone messages and telegrams for which the charge of 15 cents or more is made. Taxes are also imposed on life, fire, marine, and casualty insurance. War excise taxes are imposed on the sale of automobiles, motorcycles, piano players, graphophones, phonographs and records, liioving-picture films, jewelry (real or imitation), yachts, pleasure boats, power boats, etc., sporting goods, cameras, perfumery and cosmetics and other similar articles, proprietary medicines, and chewing gum. There is a tax imposed on admissions to entertainments, also on club dues, to take effect November 1, 1917. There is also an increase in the estate tax. Stamp taxes, taking effect December 1, 1917, are imposed on bonds of indebtedness, issues of capital stock, sales or transfers of capital stock, sales cof produce on exchange, drafts or checks payable otherwise than at sight or on demand, promissory notes (except bank notes), conveyances and other documents, parcel-post packages, passage tickets, and an additional tax on playing cards. The act is estimated to raise approximately an additional $2,510,000,000 during a 12-months' period. B U R E A U OF ENGRAVING A N D PRINTING. There were engraved, printed, and delivered by the Bureau of Engraving and Printing 343,345,005 sheets of securities, postage stamps, etc., for the use of this and other departments, an increase of 42,633,205 sheets as compared with the preceding year. 200 REPORT ON T H E FINANCES. The deliveries were 98,097,651 sheets of United States notes and certificates. Treasury notes, and certificates of indebtedness; 351,100 sheets of United States bonds; 7,828,045 sheets of natioiial-bank notes; 354,000 sheets of Federal reserve bank currency; 22,490,000 sheets of Federal reserve notes; 92,485,940 sheets of internal-revenue stamps; 240,500 sheets of customs stamps; 115,898,332 sheets of United States postage stamps; 6,513 sheets of United States parcelpost stamps; 274,336 sheets of Philippine postage stamps; 1,475,020 sheets of silver certificates, bank notes, national-bank circulatingnotes, registered bonds, interim certificates for iPhilippine bonds, checks, documentary and internal-revenue stamps, and postal cards for Philippine Islands; and 3,843,568 sheets of checks, drafts, and miscellaneous. I n addition to these sheets deliyered, miscellaneous work was executed to the value of $123,643.30. The face value of all classes of securities, internal-revenue stamps, postage stamps, etc., furnished by this bureau amounted to $10,145,813,379.28. Compared by classes with the work executed in the previous fiscal year, there was an increase of 9.33 per cent in United States notes, certificates, and bonds; 5.69 per cent in United States postage stamps; 135.87 per cent in national-bank and Federal reserve notes; 10.4 per cent in internal-revenue stamps; 4.79 per cent in customs stamps; and 72.56 per cent in checks, drafts, and miscellaneous. Appropriations made by Congress for the operation of the Bureau amounted to $4,634,160, and the Bureau was reimbursed for services and materials furnished the several executive departments and bureaus to the amount of $1,923,187.28, the aggregate available for the work during.the year having been $6,557,347.28. The expenditures were $229,853.02 for salaries; $8,400 for custody of dies, rolls, and plates; $2,113,437.73 for compensation of employees, of which $2,500 was for one employee detailed to another branch of the department and not reimbursed; $2,205,177.90 for wages of plate printers and assistants; and $1,767,250.05 for materials and miscellaneous expenses; making a total expenditure of $6,324,118.70,. and leaving unexpended $233,228.58. CUSTOMS. The following tabulation of the business transactions at the various customhouses for the fiscal year 1917 shows a slight increase in nearly all customs activities over those of the fiscal year 1916: Vessels e n t e r e d from foreign ports Vessels cleared for foreign p o r t s . . . Vessels d o c u m e n t e d T o t a l e n t r i e s of m e r c h a n d i s e Value of i m p o r t s Value of e x p o r t s Drawbacks paid Aggregate receipts 1917. 1916. 46,515 46,044 26,742 1,051,896 82,659,355,185.00 6,293,806,090.00 17,840,045.17 228,147,659.38 45,517 44,221 25,922 1,041,896 $2,197,833,610.00 4,333,658,865.00 15,375,945.00 215,346,746.79 SECRETARY OF THE TREASURY. 201 Notwithstanding these slight increases in business and the increased activities due to the war, the total number of persons employed was decreased from 6,881 in 1916 to 6,727 in 1917, and the total operating expenses were decreased from $9,813,085.13 in 1916 to $9,774,054.66 in 1917. The cost to collect $1 was decreased from $0.0456 in 1916 to $0.0428 in 1917. While the cost to collect $1 at each port of entry and for the service as a whole, as stated in each annual report, is sometimes quoted as indicating the relative efficiency of the various ports, this does not constitute a fair basis of comparison of the relative efficiency of the various ports of entry or of the Customs Service as a whole. -The Customs Service does many things besides collect revenue. In normal times collectors of customs and their subordinates admeasure every vessel and boat built in the United States to ascertain its tonnage and issue a document to each vessel or.bbat of over 5 tons, authorizing it to engage in the coastwise trade or in the foreign and coastwise trade, as the case may be. They record all changes of masters and of bills of sale and mortgages and other papers affecting the title to vessels. They frequently act as shipping commissioners in the assigning and discharge of the crews of vessels and muster the crews of all American vessels returning from foreign ports to see that they are accounted for. They enforce the provisions of the seamen's act and other Federal laws relating to the operation and navigation of vessels and collect and account for fines imposed by them for violations of such laws. They enter and clear all vessels plying between American ports and foreign ports. They compile and furnish the Department of Commerce statistics of imports and exports, and, jointly with the Steamboat-Inspection Service, it is their duty to prevent the overloading of passenger boats. They are charged with the duty of excluding from the United States smoking opium and habit-forming drugs and the numerous other articles prohibited by law from importation. They assist the Department of Agriculture in securing compliance with the pure-food laws, so far as they relate to imports, and in enforcing the laws relating to the inspection, quarantine, and exclusion of animals and hides and of impure seeds, nursery stock, and similar articles. They carry out the regulations of the Public Health Service regulating the importation of viruses and serums and generally assist that service in the enforcement of the laws for the protection of health, so far as they relate to the arrival of persons and merchandise from foreign ports. They act as custodians of public buildings and as disbursing officers for the Custodian Service and the Coast Guard Service, and both collect and disburse funds of the Public iHealth Service. They collect and 202 REPORT ON TI-IE FINANCES. account for the head tax paid by immigrants. They supervise the exportation of merchandise subject to internal-revenue tax, and also supervise the operations of bonded warehouses manufacturing articles for exportation from materials subject to internal-revenue tax. I t is therefore obvious that even if all tariff laws were repealed and all merchandise were admitted entry into the United States free of duty it would, nevertheless, be necessary to maintain an extensive organization at our seaports to carry out these various activities, and it is probable that the cost of maintaining a service for the carrying on of the various activities of the Customs Service other than the collection of revenue would be nearly, if not quite, one-half of the present operating cost of that service. These various activities of the Customs Service were added to very greatly upon the outbreak of the European war. While the United States was a neutral her customs officers, in addition.to their duties performed in normal times, were primarily charged with the duty of the enforcement of the neutrality laws in our various ports and harbors. This required the exercise of great vigilance to prevent the fitting out of hostile expeditions in American waters and the.using of American ports as bases for the supplying of belligerent warships at sea. This included the sealing of the wireless apparatus of vessels while in our ports, the inspection of suspected cargoes to insure that they agreed with the vessels' manifests, and inquiries to determine whether such vessels actually intended to'carry these cargoes to destination. I t required investigation of numerous attempts to damage and destroy vessels or their cargoes and the institution of many inquiries as to the truth of numerous reports and rumors of intentions to violate our neutrality. While most of these reports and rumors were found upon investigation to be without foundation, a number of conspiracies to export cargoes under false manifests and otherwise to violate the laws of the United States were discovered and evidence furnished to the district attorneys which resulted in the prosecution and conviction of the guilty persons. These activities have been largely increased since the declaration of war by the United States.. On April 6, 1917, the customs officers, under directions issued by the Treasury Department upon instructions from the President, took into custody 65 German ships lying in 17 different ports of the United States, placed guards on board such vessels to protect them from further injury or deterioration, took an inventory of their contents, made a preliminary survey of the damage done to them, employed the necessary mechanics to care for their machinery, and maintained such guards on such vessels for an average period of approximately 3 months, pending their being repaired SECRETARY OF THE TREASURY. 203 and made ready for sea. In a similar manner, on April 9, 1917, guards were placed on. board 14 Austrian vessels, lying in 8 different ports, and the same procedure was employed to prevent their further . injury or deterioration, until they were purchased by the Shipping Board or by other American owners. The total cost to the Customs Service.of these operations was $188,595.20, which has been reimbursed to the appropriation and is not included in the figures herewith submitted. A great part of the work was, however, performed by persons regularly employed in the Customs Service, and all overhead expenses were borne by that service, the cost above given being only that necessary for the employment of persons not available in the regular force of the Customs Service. In addition to its usual and ordinary duties, the Customs Service is now charged with the duty of preventing the shipment of unlicensed cargoes which require a license under the act of June 15, 1917, and the proclamation of the President, dated July 9 last. Customs officers take up or cancel the passports of all American citizens returning from abroad, and they examine the passports of all persons departing from the United States to prevent persons leaving without a passport or under a false passport. They act as local agents of the War Risk Insurance Bureau and are generally employed in the enforcement of those regulations governing the movement of vessels, which have been adopted as war measures and for the enforcement of which no other service is available. By reason of the fact that there are in the service a number of examiners of merchandise who are experts on questions relating to the values of various classes of merchandise, the service is also rendering great assistance to the Medical Supply Department of the Army in the purchase of supplies, preparing the specifications, examining and valuing samples, and seeing that the goods delivered comply with the specifications. Collectors of customs have been acting in numerous instances as disbursing agents of the Shipping Board, and the department is now, by means of the special-agency service, investigating and reporting on the bills submitted to that board for the repairs to vessels. These increased activities have all been efficiently performed within the limits of the appropriations made by Congress for the ordinary activities of the Customs Service. Indeed, the expenditures for the fiscal year 1917 were $38,203.56 less than those for the fiscal year 1916. This was made possible by a continuation of the instaillation of improvements in the customs organization and the routine processes employed in the various customhouses. The most extensive betterment of this kind was the reorganization of the work 204 REPORT ON TI-IE FINANCES. in the New York customhouse, made in pursuance of an investigation and report by a committee of the efficiency board. The principal features of this reorganization were the transfer of the warehouse, accounts, and disbursing divisions to the main floor of the customhouse and a better coordination of the work of those divisions with that of the entry division; the installation of a new system of receiving and handling entry papers; and the adoption of a new set of blank forms of entries, bonds, and related papers, .which result in great convenience to the importers and a saving of time and unnecessary work in the routine processes of the customhouse. To carry out to its fullest extent the plan of reorganization, it will be necessary to make some alterations in the rotunda on the main floor of the customhouse and to install a mechanical system, either by the use of pneumatic tubes or overhead carriers, for the transmission of papers. The estimated cost of these various changes is $35,000, and it is urged that the money be secured and the changes carried into effect as soon as possible, since the completion of the plans adopted will make the New York customhouse a model upon which it is proposed to base the organization of the work in the other large customhouses, a similar reorganization having already been made in the Boston customhouse with good results. ^Vhen it is considered that the changes already effected have reduced the floor space necessary by more than 15,000 square feet and will permit the same work to be more quickly and efficiently performed with a reduction of 10 per cent in the cost thereof, the advisability of completing the reorganization is obvious. While there has been a steady decrease in the operating expenses of the Customs Service for the past four years, due to the adoption of improved methods, it is not believed to be advisable to endeavor permanently to decrease the operating expenses of that service below $10,000,000 per annum. While there is no question but what there is still room for improvement in the methods employed, and further economies may be made, any savings resulting from such economies should be devoted to an increased efficiency in the service. The operations of the Customs Service come immediately in contact with commercial activities, and business interests are directly affected by an increased or decreased efficiency of the Customs Service. The dutiable value and classification of merchandise are frequently predicated upon an examination made by one man. A dishonest importer, by collusion with one or two customs employees, may evade for a considerable period of time the payment of duties legally accruing upon his merchandise, thus not only defrauding the Government of its revenue but giving him an unfair advantage that will enable him to SECRETARY OF THE TREASURY. 205 ruin the business of his competitors. A few hours' delay in the passing of merchandise or in the clearance of a vessel may cause a loss of many thousands of dollars. I t is therefore important, both to the revenue and to the business interests of the country, that the Customs Service be both honest and efficient. The compensations now paid to many of those employed in that service are wholly inadequate to the technical knowledge required and responsibilities imposed upon those receiving them. I t is therefore recommended that the savings resulting from any economies effected in the Customs Service in the future be applied to an upward standardization of the salaries paid, in order that the service may secure and retain men of the requisite technical skill and of the highest integrity. There should be a complete revision of all the customs administrative laws. These laws have never been completely revised since 1799, and consist of enactments passed at various times from that date to the present time. The Customs Service is, therefore, now operating under laws many of which are over 100 years old and are entirely inappropriate to modem business conditions. While the payment of compensations upon a fee system has been abolished and all customs officers are paid a fixed compensation from the Federal Treasury, some of the features of the organization provided for and adapted to the old fee system still remain. I n some customs districts there are three independent principal officers and a fourth who, while subject by law to direction by the collector, yet has statutory duties to perform. This is not calculated to bring about efficient service. There should be one principal officer in each customs collection district and one only, directly subordinate to the Treasury Department, and all other officers in such district should be subordinate to this one, except that an auditing and inspection service should be maintained, directly subordinate to the Treasury Department and independent of this organization. A proper revision of the customs laws, carrying with-it a inodern up-to-date business organization of the Customs Service, would result in a greatly increased efficiency and a decrease in expenditures of at least'$500,000 per annum. By an Executive order dated March 3, 1913, which was made in pursuance of an authorization by Congress carried in the act of August 24, 1912, the service was partially reorganized. This reorganization has resulted in an increased efficiency and a reduction in the operating expenses of approximately $1,000,000 per annum. At the time of its adoption a much more extensive reorganization was considered, and it is recommended that the necessary authority to carry this into effect be granted by the Congress. 206 REPORT ON THE FINANCES. O F F I C E OF T H E SUPERVISING A R C H I T E C T . The following statements show in general the projects authorized by Congress and in detail the financial operations of the Office of the Supervising Architect for the fiscal year ended June 30, 1917: BUILDINGS. New buildings completed (occupied or ready for occupancy) at the close of the^fiscal year ended June 30, 1916 -1,008 Purchased completed (Galveston, Tex., appraisers' stores) * 1 Number of marine hospitals and quarantine stations 54 New buildings completed during the fiscal year ending June 30, 1917 63 Net total number of buildings (completed) under the control of the^ Treasury Department June 30, 1917 1,126 Buildings placed under contract during the fiscal year ending June 30, 1917 . ___. Buildings placed under contract prior to the commencement of the fiscal year 1917 and not completed June 30, 1917 ^ Contracts for new buildings in force July 1, 1917 76 45 121 , Total number of buildings completed and in course of erection June 30, 1917. _1 . 1, 247 Buildings authorized prior to the act of Mar. 4, 1913, not under contract June 30, 1917 . Buildings authorized in acts of Mar. 4 and June 23, 1913; July 26, 1916; and Mar. 4, 1917, not under contract June 30, 1917___ Total ... 18 177 195 Total buildings completed, in course of erection, or authorized (not including extensions) 1,442 EXTENSIONS. Extensions completed (occupied or ready for occupancy) during the fiscal year ending June 30, 1917 1 Extensions placed under contract during the fiscal year ending June 30, 1917 !:_Extensions placed under- contract prior to July 1, 1916, not completed June 30, 1917 ; Contracts for extensions in force July 1, 1917 : Extensions authorize'd prior to act of Mar. 4, 1913, not under contract June 30, 1917 _— Extensions authorized in acts of Mar. 4, 1913, and Mar. 4, 1917, not under contract June 30, 1917 •. Extensions not under contract _ .,-,,^, 5 7 3 10 2 12 14 SECRETARY OF THE TREASURY. 207 RECAPITULATION. Contracts completed during the fiscal year ending June 30, 1917: New . buildings : Extensions Total _ 63 5 68 Contracts awarded during the flscal year ending June 30, 1917: New buildings '. Extensions Total 76 7 83 Contracts awarded prior to July 1, 1916, not completed June 30, 1917: New buildings . Extensions ., Total __^^ 45 3 48 Contracts In force July 1,1917, regardless of date of a\^ard: New buildings ^_ Extensions .^ Total 1 . The above statement does not include the following: 121 10 131 Major miscellaneous contracts awarded from July 1, 1916, to June 30, 1917 _1 . , 15 Miscellaneous projects placed under contract during the fiscal year 1917, . all of which required the preparation of specifications and in many instances drawings and wliich involved in some instances contract liabilities exceeding $20,000, approximately : _ 1,132 Summary of acts carrying appropriations for the fiscal year 1917. The sundry civil act approved July 1, 1916, carried appropriations as follows— For sites only__^ $570,900. 00 For sites and buildings 1, 059, 750. 00 For buildings only 4, 978, 000. 00 For extensions . ^ 299, 000.00 For rent of buildings35, 200. 00 For special projects, including lookouts and mailhandling apparatus 320, 900. 00 Total $7, 263, 750. 00 Reappropriated on account of Hygienic Laboratory— 3, 090.24 Bridge, Nogales, Ariz., 1917 ^^i 7,500.00 For repairs and preservation 800, 000. 00 For mechanical equipment— 450j 000. 00 For vaults and safes _— 110, 000. 00 For general expenses —_ 563, 560.00 For operating force '3,025,000.00 For furniture and repairs of same . 775, 000. 00 For operating supplies 1,700,000.00 For Salamanca, N. Y., ground rent 7. 50 For lands and other property of the United States 300. 00 Total 7,423,867.50 Reappropriated on account of architectural competitions 60,994.01 Total this act14,759,201.75 * $25,000 18 deficiency for 1916. 208 REPORT ON THE FINANCES. A special act apprbved July 26, 1916, authorized the sale of the old marine hospital reservation at Cleveland, Ohio, and appropriated $1,000 for expenses incident to the appraisal. The deficiency act approved September 8, 1916, carried appropriations for sites only, $750; for special projects, $30,954; a total of $31,704. The deficiency act approved April 17, 1917, carried appropriations as follows: Buildings Sites and buildings Special repairs to buildings Operating supplies Total ^ : g ^ . _i . ___—__^_— $200, 000 5, 000 416 50, 000 255,416 The total of the foregoing acts for special and annual appropriations for the fiscal year 1917.is $15,047,321.75. Summiary of acts carrying appropriations for the fiscal year 1918. The legislative act approved March 3, 1917, carried an appropriation for " Salaries, Office of Supervising Architect," in amount $221,020. The sundry civil act approved June 12, 1917, carried appropriations for the fiscal year 1918 as follows:For For For For For For sites only, : ^— sites and buildings— buildings only extensions i special repairs, etc rent of buildings j _ — ^____ _: $44, 557.18 6,664,340.00 4,511,104.00 525,000.00. 248, 300. 00 3, 000. 00 Total — — — $11,996, 301.18 For repairs and preservation 850, 000. 00 For mechanical equipment 460, 000. 00 For vaults and safes — 110, 000. 00 For general expenses ^— 580, 660.00 For operating force ^— 3, 250, 000. 00 For furniture and repairs of same 775, 000. 00 For operating supplies^ 1,800,000.00 For Salamanca, N. Y., ground rent — 7. 50 For lands and other property of the United States 300. 00 Total Reappropriated on account of architectural competitions Total sundry civU act 7, 825, 967. 50 55, 971. 78 19, 878, 240. 46 The total of the foregoing acts for special and annual appropriations for the fiscal year 1918 is $20,099,260.46. SECRETARY OF TFIE TREASURY. 209 Statement of appropriatioiis for public buildings July 1, 1916, to June 30, 1917. E X P E N D I T U R E S DURING T H E F I S C A L YEAR. For For For For For For For For For For For For For For statutory roU sites and additional landconstruction of new buildings extensions to buildings special repairs to buildings. rent of buildings repairs and preservation mechanical equipment vaults and safes operating supplies. general expenses furniture and repairs of same operating force , architectural competitions Total - : — '. — _____: . : . :__ - $213, 910. 40 1, 483, 257. 53 7, 473,843. 72 609,202.17 222, 405. 28 53, 570. 74 - 839, 226. 77 463, 556. 78 96,179.15 1,760, 030. 66 536, 882. 54 755,917.15 2, 912, 557. 62 6, 377.30 17, 426, 917. 81 CONTRACT L I A B I L I T I E S E X I S T I N G A T CLOSE OF B U S I N E S S J U N E 3 0 , 1 9 1 7 . On On On On On On On On On On On On On account account account account account account account account account account account account account of sites- and additional land of construction of new buildings of extensions to buildings of special repairs to buildings of rent of buildings of repairs and preservation of mechanical equipment of vaults and safes of operating supplies of general expenses of furniture and repairs of same of operating force of architectural competitions — $559, 065.18 10, 896, 856. 96 1, 538, 481. 65 . 205, 930. 35 20, 952. 50 239, 982. 70 174, 077. 23 55, 393. 73 178, 345. 53 29, 721. 93 345, 685.18 254, 568. 93 32, 067. 61 _—_ Total ! — 14, 531,129. 48 Less authorized contract liabilities in excess of amounts appropriated under the special appropriations 63, 794. 70 Total— - — U N E N C U M B E R E D BALANCES J U L Y 1 , For statutory roll: 1916 1917 —1 '1918 ^ For sites and additional land only For construction of new buildings For extensions to buildings For special repairs to buildings For rent of buildings 13034°—FI 1917 14 14, 467, 334. 78 1917. _i_ : $6, 893. 01 7,109. 60 _ 221, 020. 00 2,108, 248. 42 13, 010, 282. 49 1, 258,158. 08 587, 937. 47 86, 895. 03 210 REPORT ON THE FINANCES, For repairs and preservation: 1916 .____— 1917 ^ 1918 For mechanical equipment: . 1916 1917 1918 For vaults and safes: 1916 — —— 1917 —— — 1918 1 For operating supplies: 1918 _. _ For general expenses: 1916 .. -: 1917 — _______ 1918 — ^ For furniture and repairs of same: 1916 — 1917 —_ 1918 — — _ For lands and other property: 1916 —— 1917 1918 For operating force: 1916 — 1917 1918 For architectural competitions: 1917 —Total — BALANCES OF A P P R O P R I A T I O N S $4, 389.41 3, 055. 54 824,161. 74 . 3, 523. 42 4, 249.19 437, 890. 94 95. 96 553. 02 109,160. 00 ^ 537, 984. 26 9, 229. 92 37, 780.13 578, 031. 53 2, 632.15 51, 785. 51 773, 452. 21 283. 80 300. 00 300. 00 459. 35 3, 852.12 3,250, 000. 00 23, 904.17 — S E N T TO S U R P L U S F U N D J U N E On account of special appropriations '. '— On account of annual appropriations, to wit: Furniture and repairs of same for public buildings, 1915_— General expenses of public buildings, 1915 Mechanical equipment for public buildings, 1915 Repairs and preservation of public buildings, 1915 Vaults and safes for public buildings, 1915—. Operating force for public buildings, 1915 Operating supplies for public buildings, 1915 —Lands and other property of the United States, 1915 Total 23, 943,618. 47 30, 1917. $350,439.09 2,938. 62 1, 063. 21 3, 658.14 5,321.04 181. 39 26,344. 71 . 33,286. 67 300. 00 423,532. 87 SECRETARY OF THE TREASURY. 211 P U B L I C H E A L T H SERVICE. The operations of the Public Health Service during the fiscal year, conducted through its several administrative divisions, are summarized by the Surgeon General as follows: Division of Scientific Research. ' As heretofore, the service has conducted through this division scientific field and laboratory studies which would be of use in publichealth work generally. These studies may be classed under the following headings: Diseases of man, sanitation of extra-cantonment areas, rural sanitation, public-health administration, industrial sanitation, school hygiene, pollution of navigable streams and coastal waters, disposal of sewage, treatment of industrial wastes, and supervision of the manufacture and sale of biological products. In addition, special studies have been made of such matters as disinfection, drugs, diet, and ventilation. Diseases of man.—Included in the diseases studied during the year are hookworm disease, leprosy, malaria, miner's consumption, pellagra, plague, poliomyelitis, pyorrhea alveolaris, rabies. Rocky Mountain spotted fever, trachoma, trichinosis, tuberculosis, typhoid fever, and typhus fever. The studies made regarding certain of these diseases deserve further mention. Malaria.—Malaria investigations have included the following avenues of activity: Epidemiologic studies, investigations as to the relative efficacy of control measures, laboratory studies of the bionomics of the various species of anopheles mosquitoes with reference to malaria, investigations as to the influence of malaria upon economics under various conditions, studies of impounded waters in relation to malaria, and surveys of malaria-infected areas, including localities in the vicinity of military barracks and camp sites. On the basis of these studies the service has been able to advise local authorities in the localities surveyed with regard to the eradication and prevention of malaria and suppression of mosquito breeding places. In accordance with requests received from State and local health authorities and other agencies, field surveys were made to determine the nature and extent of the factors influencing the prevalence of malaria and to ascertain the measures most applicable for their control by the localities concerned. Such surveys were conducted at points in Alabama, Arkansas, Georgia, Illinois, Louisiana, Mississippi, Missouri, North Carolina, Ohio, Rhode Island, South Carolina, Tennessee, Texas, and Virginia. 212 REPORT ON THE FINANCES. In cooperation with the International Health Board demonstration studies were conducted at Crossett and in the vicinity of Lake Village, Ark. At the former place, by means of mosquito-preventing measures, malaria was reduced about 75 per cent at a per capita cost of $1.25. At Lake Village, in one group malaria was reduced 70 per cent by ineans of screening at a cost per house of $14.77, such screening being expected to last two years at least. In another group malaria was reduced 65 per cent by means of quinine, at a cost of 57 cents per person. The economic loss suffered by a near-by group where preventive measures were not employed was $2.52 per capita, whereas in the controlled groups the loss was 6 cents per capita. Pellagra.—Studies of pellagra conducted during the year have reinforced the theory that pellagra is due to a faulty diet. Additional proof that it is not communicable was also obtained. The field study undertaken during the previous fiscal year in 7 cotton-mill villages in South Carolina has been extended to include 17 additional villages, so that an aggregate population of 25,000 is now being intensively studied in regard to pellagra prevalence, sanitation, economic status, food availability, and seasonal variation in food availability. The study of the prevention of pellagra by proper diet at the Georgia Asylum for the insane was continued during the year. No cases of pellagra developed, and there were no recurrences. Previous to the service operations pellagra was very prevalent at this asylum. . At the service pellagra hospital at Spartanburg, S. C, where 169 hospital patients and 45 outpatients have been treated during the year, several diets have been tried out in order to determine the comparative therapeutic values of various articles of food in the treatment of pellagra. Laboratory studies at this hospital have consisted of analyses of foods, animal feeding experiments, and certain metabolic studies. Poliomyelitis,—Scientific studies relating to the poliomyelitis epidemic in New York and elsewhere last summer related to (1) an epidemiological survey of the entire epidemic area in the northeastern United States; (2) intensive studies of cases in the Borough of Richmond and in the States of New Jersey, Connecticut, and Rhode Island; (3) brief entomologic and rodent surveys; (4) studies of paralytic disorders among domestic animals and their alleged relation to poliomyelitis in human beings; (5) attempts to produce the disease in animals other than the monkey; and (6) attempts to cultivate the specific organism. Part of this work has been conducted in the field and part at the Hygienic Laboratory. Material and data SECRETARY OF THE TREASURY. 213 in regard to poliomyelitis were also collected during an epidemic which occurred last winter in West Virginia. Trachoma.—Six small trachoma hospitals have been in operation during the past year in the States of Kentucky^ Virginia, West Virginia, and Tennessee, the work being done in cooperation with State and local authorities. A total of about 7,500 cases were treated during the year, of which nearly 2,000 were admitted to hospitals. About 700 were reported as cured of trachoma. A campaign of education has been carried out, with the hospitals as centers, field clinics having been found to be of special service in this connection. Individual instruction as to the prevention of the disease and as to public health generally is given where possible. Sanitation of extra-cantonment areas.—Owing to the entrance of the United States into the war, the division's activities during the last part of the fiscal year were devoted chiefly to cooperating with the State and local health authorities in public-health studies having a bearing on the military situation. Other work has been curtailed to "make these studies effective. A large part of the personnel previously engaged in studies of rural sanitation, malaria, sanitary organization and administration, and pollution of navigable streams and coastal waters has lately been engaged in making sanitary surveys of areas surrounding Army cantonments. Reports of such surveys are being furnished to the State, local, and military authorities. Rural sanitation.—During the year more than 31,000 rural homes were inspected in 9 counties in as many States, and more than 13,000 homes were reinspected. At these places sanitary data were collected for analysis and publication, and advice was given as to improvement of sanitary defects noted. I n addition, many churches, railroad stations, and schools were surveyed, and 400 lectures were given. Work was carried on in Floyd County, Ga., Greenville County, S. C , Obion County, Tenn., Tuscaloosa County, Ala., Clay County, Mo., Cumberland County, 111., Hill County, Tex., Okmulgee County, Okla., and Mason County, Ky. Marked progress in sanitary matters was made ,in each of these counties. Besides these intensive surveys the following special studies are being conducted: (1) Survey of a group of rural towns in Wyoming;. (2) laboratory and field studies in regard to the chemical treatment of excreta, so as to make the matter safe from a sanitary point of view without decreasing its fertilizer value; and (3) a practical study of county health work in Edgecombe County, N. C , an officer of the service acting as full-time county health officer. At the end of the fiscal year the rural sanitation force was principally engaged in sanitation studies of areas surrounding military cantonments in cooperation with State and local health authorities. 214 REPORT ON THE FINANCES. PubUc health organization and administration.—Surveys of public health organization and administration have been made in the cities of Charlotte, N. C , Kansas City, Mo., Piqua, Ohio, Quincy, 111., Richmond, Va., South Bend, Ind., and Springfield, Ohio. I n the course of the surveys recommendations were made to local authorities and reports of the surveys were either published or submitted to these authorities. Industrial sanitation.—Industrial sanitation studies in regard to the following matters were engaged in during the past year: Health conditions surrounding the employment of women in Wisconsin, in cooperation with the Wisconsin Industrial Commission; health hazards of the chemical industry and the health of chemical workers; health hazards in connection with the manufacture and distribution of illuminating gas; health hazards of the textile industry, in cooperation with the Pennsylvania State Department of Labor and Industry and the occupational disease clinic of the University of Pennsylvania; visual condition of workers engaged in occupations likely to cause eye strain; hygienic conditions of shop lighting, in* cooperation with the Wisconsin Industrial Commission; prevalence of'miners' consumption among the miners in the Butte (Mont.) district, in cooperation with the Bureau of Mines; and public-health problems in relation to child labor, in cooperation with the Massachusetts State Board of Labor and Industries. From these studies conclusions are being drawn of great importance to the health of workers in this country. Mention of only a few can be made here. As a result of the studies of the employment of women in industry in Wisconsin, it was concluded that, in view of the fact that it seems p'racticable to accomplish by proper management as much work in an 8-hour day as in a 10-hour day under conditions existing in Wisconsin, the shorter working day must be regarded as advantageous -both to the woman worker and to the manufacturer. The study of the textile industry indicated that the processes themselves present but few health hazards, but that many of t h e . shops present problems of poor illumination, poor ventilation, undue exposure to organic dusts, and conditions favoring the spread of communicable diseases. Because of the involvement of the United States in the war, studies of the sanitation of munition plants and similar establishments have already been undertaken and will be extended in the future. School and mental hygiene.—Studies of mental status were conducted (1) among school children in Nassau County, N. Y., and New Castle and Sussex Counties, Del.; (2) in four Colorado State institutions; (3) in certain almshouses in Delaware; (4) in the National SECRETARY OF THE TREASURY. 215 Junior Republic; and (5) among the children of the pellagrous communities in Spartanburg County, S. C. I n the studies of school children so far conducted, of 38,058 examined, 365, or 0.96 per cent, have been found to be feeble-minded. Studies conducted in cooperation with the Children's Bureau showed that the percentage of feeble-minded in the schools examined was approximately double the percentage of feeble-minded in the general population. Studies of the physical status of school children and of the sanitation of school buildings were also conducted during the year. Pollution of streams.—Studies of stream pollution, centered in Cincinnati, were continued during the year. The first section of this work, a survey of the Ohio River watershed, has been completed, and field studies have now been extended to include a general survey o f the conditions and effects of stream pollution in the Northeastern States, while laboratory studies have been directed toward the further evolution of problems developed in the preliminary work on the Ohio River. During the last month of the year practically the whole force assigned to stream-pollution studies was engaged in sanitary surveys in the environment of National Army cantonments in Southern States. Pollution of coastal waters.—Field investigations of the pollution of coastal waters have been continued during the year at Jamaica Bay, N. Y., and in the coastal waters of Connecticut, especially the shellfish areas and bathing beaches in New Haven Harbor and outside the harbors of Bridgeport and South Norwalk, These studies consisted in the examination of large numbers of samples of shellfish and water, float and current studies, and sanitary surveys of adjacent areas. The practicability on a commercial scale of the purification of oysters through the use of hypochlorite of lime or chlorine gas when it is not practicable to remove them to nonpolluted areas for purification was demonstrated in Jamaica Bay and in New Haven Harbor. This fact, the result of scientific studies by the service, is believed to be of far-reaching importance to the shellfish industry. Sewage disposal.—Experiments in regard to residential and small community sewage disposal have been carried out at two experimental plants. These show the extent to which various sewagedisposal processes are applicable to the problem of small communities. I t is believed that a sewage-disposal device applicable to almost all conditions and capable of operating with a minimum of attention and expense has been developed. Sterilization of steamboat wastes has also been studied. Industrial wastes.—Studies of tannery, strawboard, creamery, and canning wastes have been continued. A special research has been 216 REPORT ON THE FINANCES. carried out upon the difficult problem of determining and expressing the biological oxygen demand of industrial wastes. Viruses, serums, etc.—In connection with the enforcement of the law governing the sale of biological products, frequent inspections of establishments have been made, and an increased number of samples of products examined. A special appropriation made by Congress for this purpose has permitted the service to exercise greater control over the manufacture of this important class of preparations. Hygienic Laboratory.—^Techmc2il studies of importance to public health and supplementary to the field studies have been conducted during the year at the Hygienic Laboratory. They have related to hookworm, pellagra, plague, poliomyelitis, pyorrhea alveolaris. Rocky Mountain spotted fever, trichinosis, typhus fever, physiological significance of vitamines in nutrition, dietary studies in pellagrous and nonpellagrous families, isolation of two hitherto unknown milk constituents, choice of disinfectants and their use, disinfecting possibilities of various commercial products, toxicity of pine-oil disinfectant, disinfection of human excreta, theory of disinfection, fly poisons, apparajbus for making multiple inoculations of culture media, oxygen diffusion in relation to self-purification of streams, the fauna of sludge, physical factors involved in heat interchange between the atmosphere and the human body, detection of small quantities of poisoning gases in the atmosphere, standardization of typhoid vaccine and certain serums, preservatives used in certain serums, medicinal value of domestic digitalis, toxicity of commercial preparations of emetine, cocaine, and cocaine substitutes, standardization of cannabis indica, action of drugs on the ureter, action of distilled water on the isolated uterus preparation, toxicity of salvarsan and analogous compounds. Some of these studies have already been of assistance in carrying on the field investigations. Cooperation with other branches of the Government has been continuous, and other routine work of a chemical and bacteriological nature has been conducted as in the past. Apart froin those examined for research purposes, 3,425 specimens of all kinds have been examined. In connection with the licensing of biological-product manufacturers, 5,506 products have been examined. The laboratory has sent to State health authorities and other beneficiaries 1,680 complete treatments for rabies. Over 300 persons were given antityphoid prophylactic at the laboratory and 98,989 c. c. of the vaccine, sufficient for 33,000 persons, were distributed. Leprosy investigation station.—^As in the past, research problems in regard to leprosy have been conducted at the leprosy investigation station, Honolulu, Hawaii. SECRETARY OF THE TREASUBY. 217 Publications.—Scientific bulletins reporting the laboratory and field investigations have been published, and a number of popular bulletins printed for use in the field. Educational lectures.—On request of sanitary and civic associations, hundreds of educational lectures have been delivered in practically all sections of the country. Division of Foreign and Insular Quarantine and Immigration. During the fiscal year the administration of national quarantine stations by officers of the Public Health Service and the enforcement of the United States quarantine laws and regulations were conducted in the same general line as in former years. The National Government operates 61 quarantine stations on the mainland of the United States, and in the insular possessions officers of the Public Health Service administer 26 stations. At 36 ports the quarantine station includes reservation, buildings, or floating equipment. At 51 stations there are only inspection facilities. In addition to the officers at the quarantine stations there are 15 officers attached to American consulates in foreign ports for the purpose of supervising precautionary measures that are applicable to vessels sailing to American ports. These officers also perform examination of intending immigrants and thereby often prevent the loss of time and money, both to the prospective passenger and to the steamship company, in many instances where the person has a physical or mental defect that operates to his mandatory exclusion from this country. Additional quarantine administrative function was imposed upon the service through the acquisition of the Virgin Islands. A. service officer was* assigned to duty in those newly acquired possessions as chief quarantine officer of the islands. At several points along the Mexican border, on account of the increased prevalence of typhus and smallpox in Mexico, national quarantine facilities were materially enlarged, and at the present time the equipment at all ports where required is adequate and satisfactory for the purpose. During the year service officers inspected 16,076 vessels, not including vessels entering ports of the Philippine Islands, and 1,005,132 passengers and crews, exclusive of overland travelers. For the destruction of rats, mosquitoes, and disease-carrying vermin in general there were fumigated 4,039 vessels. The prevalence of epidemic diseases in various countries having extensive trade relations with the United States constituted a serious menace to the health of this country. An unusually severe epidemic of typhus fever prevailed in Mexico, occurring in a widespread area and having a high mortality rate. The measures carried out for the 218 REPORT ON THE FINANCES. prevention of the introduction of typhus from Mexico were very comprehensive. As evidence of the magnitude of this work, there were 110,000 persons vaccinated and 154,000 disinfected for the destruction of vermin. On account of the prevalence of an epidemic of cholera in Japan, bacteriological examination of all incoming steerage passengers from the Orient was instituted, both at the quarantine stations on the Pacific coast and at Manila, and several cholera carriers were discovered. The measures carried out were successful in preventing the entry of the disease into the United States. YeUow fever was reported from various ports of South America and from Mexico. I t is believed that the Yucatan Peninsula especially is an endemic center of this disease. Appropriate measures were enforced against travel from yellow-fever infected countries and two cases of yellow fever were apprehended at the New Orleans quarantine station. ^ Effective measures were applied against the personnel and infected vessel. Plague continued to be reported from practically every country in the world, and as precautionary measures against the introduction of this infection into ports of the United States, extensive fumigation of incoming vessels was practiced. As a result of this system of fumigation, plague infection was discovered on one vessel entering New Orleans and on one vessel leaving Hongkong. During the year assistance was rendered to the War Department, Navy Department, and Department of Labor in affording to them facilities at quarantine stations at certain ports to such extent as would not seriously interfere with- the effectiveness of quarantine administration. P a r t of the barracks at the Boston quarantine station were utilized by the Immigration Service for the internment of a number of German seamen. Quarters and transportation only were furnished, the Immigration Service attending to the maintenance and general supervision of these interned aliens. The Fishermans Island reservation was temporarily turned over to the Army. The quarantine reservation at Port Royal was also temporarily loaned to the Navy Department for use as a training camp. At Reedy Island quarantine station assistance was extended to the customs, immigration, and naval authorities in boarding vessels at that place, quarters being provided for the representatives of the Customs and Immigration Services. Facilities of the San Diego quarantine station were extended to the forces of the United States iNaval Reserve, and similar provisions were made at the Tampa Bay quarantine station for assisting the patrol forces in that neighborhood. Medical supervision of the interned alien enemies under charge of the Bureau of Immigration was exercisied by officers of SECRETARY OF THE TREASURY. 219 the Public Health Service, who also rendered aid in making sanitary surveys of the proposed detention camps for the internment of aliens. Medical inspection of immigrants.—During the fiscal year ended June 30, 1917, medical officers of the service examined 521,611 immigrants for the purpose of detecting such physical or mental defect as might render them deportable under the provisions of the immigration law. Of this number 20,231 were certified to as having a mental or physical defect. The number of officers assigned to the medical inspection varied during the year, but on an average 81 were exclusively engaged in this duty. On account of the lessened, amount of immigration during the past two or three years, service officers have been able to institute more intensive examination of arriving aliens, and have engaged in studies of various subjects pertaining to the physical and mental examination. The results of these studies made possible the preparation of a manual for the " mental examination of aliens," and a treatise on the normal mentality of the various immigrant races. The provisions of the immigration law of February 5, 1917, made necessary a revision of the regulations governing the medical examination of aliens. The new medical regulations have been thoroughly prepared and fully cover all points involved in such examination. The requirement in the new immigration law that all alien seamen on arriving vessels shall, be given medical examination regardless of whether they intend to land or not has increased the work of the medical inspection of aliens to a very considerable degree. I t not only increases the examinations numerically but necessitates the procedure being performed (on board ship) at widely separated points, oftentimes inconvenient of access and without adequate provision for an effective examination. I t is estimated that some forty additional officers will be required to carry out effectively the provision of the medical examination of alien seamen. At some of the quarantine stations, however, it has been found practical for the quarantine officer to perform not only the quarantine inspection but also the medical examination of alien crew for immigration purposes. Division of Domestic {interstate) Quarantine. During the summer of 1916 an epidemic of poliomyelitis (infantile paralysis), which began.in the congested districts of the city of New York, swept over a large area of the United States, the total number of reported cases being more than 27,000. I n order to limit as far as possible the dissemination of the disease in interstate traffic a notification system was established at New York City on July 18 and maintained until October 2 for the certification of outgoing travel of 220 REPORT ON THE FINANCES. all children under 16 years of age. Through the adoption of this system unnecessary and dangerous travel was curtailed and health officers throughout the United States were promptly notified of the destination address of all children departing from the infected city. The total number of children certified during the period the system was in operation was 85,242, destined to 3^870 different localities in this and foreign countries. I n addition, 22,647 adults were certified upon their own request. The plague suppressive measures at New Orleans have been continued for the third consecutive year with encouraging results. No case of the disease in man has developed during the fiscal year, and rodent infection has shown a material decrease, the last infected rat having been discovered on April 24, 1917. The total number of rodents killed was 387,732, of which 77,071 were examined for plague infection. Rat-proofing operations on 75,335 buildings were instituted during the year, 39,715 of which were completed to the satisfaction of the inspecting officer, the remaining operations still being under way. Measures for the prevention ^ of plague in California, resulting from the possible introduction of the disease into communities by infected ground squirrels, have been continued as heretofore. I t is worthy of note, as illustrative of the dangers which may arise from this source, that on May 21, 1917, a plague-infected ground squirrel was shot within 1 mile of the city limits of San Francisco. Antiplague operations at Seattle and its immediate vicinity, consisting of the enforcement of rat-proofing ordinances, the inspection of shipping, and the examination of rodents, have been carried on as in previous years. The control of Rocky Mountain spotted fever in the Bitter Root Valley was transferred at the termination of the present season to the State Board of Health of Montana, there having been a steady decrease in the number of cases since preventive measures were instituted., The enforcement of the interstate quarantine regulations has been continued, several amendments to the existing regulations for the better protection'of the health and lives of the traveling public having been promulgated. The number of sources from which common carriers derive water in the United States has been reduced to 4,156, thus evidencing the greater care exercised in the securing of water for the use of interstate passengers. Through the cooperation of State and local health authorities 3,713 of these sources have been surveyed and the water examined during the year, 211 of the supplies being condemned and the use of the water in question prohibited on interstate carriers. Additional laboratory facilities have been provided for this work. SECRETARY OF THE TREASURY. 221 The usual sanitary inspection of Government buildings in the District of Columbia has been carried out as heretofore, and special investigations of the sanitary condition of other Government buildings have been made from time to time as required. Division of Sanitary Reports and Statistics. Sanitary legislation.—During the fiscal year ended June 30, 1917, the compilation and study of court decisions and State and city laws, ordinances, and regulations relating to public health was continued. The current publication of this material in the Public Health Reports was, however, temporarily discontinued in January, 1917, owing to. the scarcity of print paper and the need for econom}^ in its use. Laws or regulations intended to secure more prompt and complete reporting of cases of communicable diseases were adopted during the calendar year 1916 in the States of California, Colorado, Delaware, Illinois, Kansas, Maine, Maryland, Massachusetts, Mississippi, Minnesota, Montana, New Hampshire, New York, Rhode Island, Virginia, and West Virginia. I n the following-named States laws or regulations designed to provide for the control of one or more communicable diseases were adopted during the same period: California, Colorado, the District of Columbia, Illinois, Iowa, Kansas, Maine, Massachusetts, Mississippi, New Jersey, New York, Virginia, and West Virginia. These laws and regulations provide rules for quarantining cases of disease and prescribe means to be adopted to prevent the spread of the diseases and the occurrence of outbreaiks and epidemics: Prevalence of disease in the United States.-—The most disturbing epidemic which has occurred during the year was one of poliomyelitis (infantile paralysis), which developed during the summer of 1916. About the first of July, 1916, reports from New York City indicated that an unusual number of cases were developing in that locality. Within a few days increasing numbers of cases were reported in Newark and Jersey City, N. J., and neighboring communities. By July 15 the disease was on the increase in Philadelphia, Pa., Bridgeport, Conn., Camden, N. J., and even extending to Toledo, Ohio. By the 1st of August cases were being reported in Baltimore, Boston, Chicago, St. Paul, Minneapolis, Providence, Syracuse, and other cities. The disease was at its height in July, August, and September. I n Deceniber, after the disease had subsided elsewhere, an outbreak developed in West Virginia, with foci at Elkins, Grafton, and Fairmont. There has been no important epidemic of the disease since January 1,1917, although small outbreaks have occurred in Washington County, Vt., Haverhill, Mass., New Castle, Pa., Allegany, Md., 222 ^ REPORT ON THE FINANCES. Braxton and Marion Counties, W. Va., Rockingham County, Va., Belmont County, Ohio, and Pope County, Minn. The mild type of smallpox has continued to prevail throughout the country. Its prevalence, however, does not seem to be on the increase. The virulent type of smallpox was present mainly in States along the Mexican border. During the spring of 1917 cerebrospinal meningitis was unusually prevalent in a number of localities. Of the cities in which there were outbreaks the most important were Philadelphia, Cleveland, St. Louis, Hartford, and Minneapolis. The largest outbreak in the country was in Philadelphia. However, less iniformation is available of the disease in this locality than of an outbreak which occurred in Minnesota. I n the latter outbreak special attention was given to the reporting of cases and their subsequent observation and control. The prevalence of this disease threatened to offer particular difficulty in the mobilization of troops, as it is prone to spread in army camps. Aside from tuberculosis and pneumonia, malaria and typhoid fever are the communicable diseases which have occurred in the greatest numbers and been most prevalent. Division of Marine Hospitals and Relief. D.uring the fiscal year 1917, 64,022 patients received treatment as beneficiaries of the service. Of this number, 17,991 were treated in hospitals and 46,031 were treated as dispensary or out-patients. The hospital patients received a total of 500,578 days' treatment. During the year the service operated 2(3 marine hospitals, all of which are owned by the Government, and maintained 118 other relief stations where medical relief was furnished patients. At the tuberculosis sanatorium of the service at F o r t Stanton, N. Mex., 327 patients were cared for during the year. Of these, Q^ were discharged, 43 died at the sanatorium, and 218 remained under treatment at the close of the year. Aid was extended to other branches of the Government in the physical examination of 8,183^ persons, of whom 2,020 were rejected. I n addition, 17,362 merchant seamen were physically examined to determine their fitness for service on American vessels, of whom 1,350 were rejected, and 2,805 foreign seamen were examined, of whom 239 were rejected. Division of Personnel and Accounts. Under authority of the act of Congress approved July 1, 1902, and Executive order dated April 3,1917,13 commissioned medical officers were detailed to the Navy for duty, upon the request of the Secre- SECRETARY OF THE TREASURY. 223 tary of the Navy, and 1 commissioned medical officer to the Army, upon request of the Secretary of War. These trained medical officers are acting as sanitary advisers at military cantonments and shore stations. In accordance with the act of June 27, 1914, 16 cominissioned medical officers are serving upon Coast Guard cutters in the Navy on outside patrol duty, and 1 officer, under the approval of the iPresident, was detailed to the hospital relief ship Surf. The joint resolution of July 9, 1917, while it gave pensions to these officers serving with the military forces on shore or at distant stations in case of death or disability, failed to give them the equal status and protection given other officers in the military service. This subject should receive serious consideration, because commissioned medical officers are liable to military service should the necessity arise. Commissioned and other officers.^-Tlao, commissioned ruedical officers at the close of the fiscal year numbered 212, as follows: The Surgeon General, 1 assistant surgeon general at large, 14 senior surgeons, 70 surgeons, 44 passed assistant surgeons, and 82 assistant surgeons. The acting assistant surgeons numbered 258, and physicians are also employed for the medical relief of superintendents, keepers, and surfmen near life-saving stations and at places where the services of medical officers of the service are not available, to the number of 76, making all told 546 medical officers. The total personnel of the service, including 50 pharmacists, 1,259 attendants, and 189 other employees, numbered 2,044. Expenditures.—The appropriations for the ordinary maintenance of the Public Health Service were $2,154,156. The receipts from all sources, repayments for care of foreign seamen, etc., were $33,596.46. The expenditures, including outstanding liabilities, were $2,059,457.90, leaving an estimated balance of $128,294.56. The appropriation for prevention of the introduction and spread of epidemic diseases was $400,000. The expenditures, including outstanding liabilities, were $384,376.39, leaving an estimated balance of$15,623.6L The appropriation for the maintenance of the quarantine service was $185,000. The amount of repayments was $2,841.86. The expenditures were $187,837.35, including outstanding liabilities, leaving an estimated balance of $4.51. The appropriation for field investigations of" public health was $250,000. The repayments were $117.09.' The expenditures, including estimated outstanding liabilities, were $238,513.45, leaving an estimated balance of $11,603.64. 224 REPORT ON THE FINANCES. The appropriation for interstate quarantine service was $100,000. The expenditures were $85,763.86, including outstanding liabilities, leaving an estimated balance of $14,236.14. The appropriation for speciar studies of pellagra was $40,000. The expenditures were $27,789.66, including outstanding liabilities, leaving an estimated balance of $12,210.34. The appropriation for studies of rural sanitation was $25,000. The expenditures were $24,984.80, including outstanding liabilities, leaving an estimated balance of $15.20. The appropriation for control of biologic products was $10,000. The expenditures were $9,929.86, including outstanding liabilities, leaving an estimated balance of $70.14. MisceUaneous Divisiori. Publications.—During the fiscal year 1917- the service issued 2,891,050 copies of documents dealing with various phases of public health and sanitation. These figures represent an increase of 649,825 copies over that reported last year. During the latter part of the fiscal year just ended the bureau was compelled to cease all printing on account of a shortage in the printing appropriation, so that the above figures do not fairly indicate the demand made on the bureau for literature, but rather the best results possible to obtain with a limited appropriation. Because of this limitation of funds for printing the bureau was forced to refer many requests for literature to the Public Printer, from whom copies could be purchased. Library.—The library of the bureau continued to expand during the past fiscal year by the purchase and donation of many new and valuable works on medicine, public health, and kindred subjects. In addition to the acquisition of these volumes the bureau kept acquainted with the progress of the medical sciences by subscribing to 49 journals. Recommendations. National quarantime.—As in previous years, a recommendation is renewed as to the importance of making the national quarantine system complete by the acquisition of the few remaining quarantine stations under State or local control. During the past year the State Legislature of New York indicated its desire by legislative enactment that the National Government should take over the quarantine station at the port of New York, stipulating, however, that reasonable reimbursement should be made therefor to the State. The city authorities of Baltimore likewise passed an ordinance expressive of SECRETARY OF THE TREASURY. 225 their desire to transfer the Baltimore quarantine station to the Federal Government at a reasonable rate of reimbursement to the city. The inclusion of these two quarantine stations, the sole remaining stations not under Federal control, therefore awaits congressional action in appropriating the sums of money necessary for reimbursement for the stations, as provided for in the act of 1893, namely, " that whenever the proper authorities of the State shall surrender to the United States the use of buildings and disinfecting apparatus at a State quarantine station the Secretary of the Treasury shall be authorized to receive them and to pay a reasonable compensation to the State for their use * * *." It is believed that a very substantial interest to the National Government will have been served by these transfers. Quarantine procedure at ports of entry is closely interwoven with other Federal activities, such as customs and immigration, and uniformity of quarantine procedure is essential in the interest of commerce, for the protection of the country as a whole, and for the adjustment of international questions involving quarantine methods. During the past three years more serious epidemics of typhus fever, smallpox, and cholera have occurred in continental Europe than have been recorded in the history of modern sanitation in those countries. The disturbance of established trade channels has been one of the factors in causing a very considerable prevalence of rodent plague in Great Britain. Four or five of the largest English ports reported rodent plague at varying periods throughout the year. The condition of our commercial relations after the war, through resumption of traffic with continental Europe, may well constitute a serious menace to the health of this country, furnishing an additional reason why local quarantines should be taken over by the National Government. Additional comm^issioned oficers.—Estimates have been submitted to Congress for increases in appropriations which will permit of additions to the force of commissioned medical officers of the Public Health Service in the entrance grade of assistant surgeon. The need of additional trained officers has been one that has been felt at all times in the development and expansion of the Public Health Service during the past few years. It is to the cdmmissioned officers who enter the service under permanent appointment as a life work that the service must look for its most thoroughly trained sanitarians and publichealth experts. The experience gained by officers who are subject to change of station, and who can therefore be assigned to duty on sanitary and health problems of varying character, is cumulative, and their value to the Government is increased with their years of service. Recent legislation has largely increased the amount of work 13034°—FI 1917 15 226 REPORT ON THE FINANCES. which the Public Health Service has to perform. Aside from increased appropriations for extending the work which was already its function, the new immigration law, the Government employees' compensation law, the seamen's law, and other acts of Congress have imposed additional duties, necessitating additional medical officers. Under the immigration act, examination of arriving aliens by two medical officers is specifically required at many immigration stations where the work has heretofore been performed by a single officer. This act also requires the examination of all alien sailors on vessels arriving at American ports. The hospitals and relief stations of the service have also been opened to employees of the Government suffering injuries in the course of their employment. All sailors who apply for rating as able seamen are now required to pass a physical examination by Public Health Service officers. It.is believed to be distinctly in the public interest that the enlargement of the permanent corps of the service should keep pace with its increasing duties, and favorable consideration of this matter is earnestly recommended to Congress. Proposed sanitary reserve corps.—^Legislation is pending in Congress for the establishment of a sanitary reserve corps in the Public Health Service. The purpose of this proposed corps is to provide an organization of experienced health officers and sanitary experts to which the service can turn for assistance in times of emergency. The need of such a body has been acutely felt in the work of studying and remedying sanitary conditions in the areas surrounding military camps and cantonments—work of vital importance which was suddenly thrust upon the service with the entrance of this country into the war. The pending bill provides for appointment by the President of State and local health officers and others skilled in sanitary science in a reserve corps, which could be called into service Avhenever outbreaks of epidemic disease or other emergency situations affecting the public health make such action necessary. Such appointees would have grades and rates of pay corresponding to those of the regular medical officers of the service, but would receive compensation only when and for such periods as they might be called upon for active duty. The legislation has the approval of the Council of National Defense and the Conference of State and Territorial Health Officers, and it is sincerely hoped that it will receive favorable consideration by Congress. Information of disease prevalence.—In public-health work and the control of disease there is nothing of such fundamental importance as having dependable information of the localities where preventable diseases are present, their relative presence in such localities, and SECRETARY O'F THE TREASURY. 227 the conditions under whish cases are occurring. Knowledge of the distribution of diseases is a matter of paramount importance in connecticsn with its control. In carrying on its public-health functions the Public Health Service must at all times have information of the prevalence of communicable diseases throughout the country. The need at present is especially acute because the more complete the information at hand of the occurrence of communicable diseases in the civil population the more effectively can the spread of these diseases to the troops be prevented. To secure better and more complete information of disease prevalence an appropriation of $25,000 is being asked for in the annual estimates. Publications.—The advance of the service into new fields of public health and sanitation has stimulated the demand for its publications. It is believed that in no other way does the service so directly benefit the public at large as by the distribution of literature giving the results of its work and disseminating practical information on health subjects. Although showing a considerable increase over the preceding year, the number of publications distributed during the fiscal year just closed was of necessity very much curtailed, owing to limited appropriations for printing. It is respectfully urged that additional funds for the widespread circulation of service publications be provided. Burecm personnel.—The clerical force of the bureau has not been enlarged in proportion to the .activities of the service. New and varied activities in the field, with steady growth in the volume of its operations along established lines,- have greatly increased the administrative work of the bureau. In the estimates which have been submitted for the fiscal year 1919 several increases in the bureau personnel have been requested, and an earnest endeavor has been made to hold these estimates to a minimum consistent with efficient administration. It is hoped that provision for additional assistance will be made. COAST GUARD. The Captain Commandant summarizes the operations of the service as follows: The act of January 28,1915, provides that the Coast Guard— Shall operate under the Treasury Department in time of peace, and operate as a part of the Navy, subject to the orders of the Secretary of the Navy, in time of war or when the President shall so direct. Upon the declaration of war on April 6, 1917, the Coast Guard accordingly passed from the Treasury to the Navy Department, and for obvious reasons the following summary does not include those 228 ^ REPORT ON THE FINANCES. activities of the Coast Guard in any way connected with naval operations subsequent to that date: Lives saved or persons rescued from peril . 2,153 Persons on board vessels assisted 13,796 Persons in distress cared for—^ , 841 Vessels boarded and papers examined — 20,317 Vessels seized or reported for violation of law ^ . 857 Fines and penalties incurred by vessels reported $205,429.00 Regattas and marine parades patrolled in accordance with law^ 30 Instances of lives saved and vessels assisted :_ 1, 584 Instances of miscellaneous assistance 1, 572 Derelicts and obstructions to navigation removed or destroyed 11 Value of vessels assisted (including cargoes) $14,960,910.00 Value of derelicts recovered and delivered to owners.: $50, 000. 00 Appropriation for 1917, repairs to cutters Net expenditure '^ Estimated unexpended balance Appropriation for repairing and rebuilding Coast Guard stations. Gulf of Mexico, 1916 and 1917: Balance on hand July 1, 1916 Net expenditure Estimated unexpended balance Appropriation for 1917 for maintenance of Coast Guard Net expenditure ^ Deficiency supplied from appropriations for Naval Establishment — $200,000. 00 194,325.65 5,674.35 67, 077.97 40,483.61 26, 594. 36 5, 367,600.00 6,074,470.32 706, 870. 32 During the fiscal year ended June 30,1917, the Coast Guard cutters and stations were instrumental in actually saving from death, either by drowning or otherwise, the lives of 2,153 persons, a marked increase over the number saved in the previous fiscal year. Altogether there were 1,584 instances of rescue work involving either the saving of life or imperiled property, or both. On board all the vessels assisted there was a total of 13,796 persons, who were in more or less danger, dependent upon, circumstances in each particular case, of rescue. Other than the 2,153 actually rescued, the persons to Avhom assistance was given were saved from predicaments which might have proven disastrous were it not for the timely aid of Coast Guard agencies. During the year 11 derelicts, constituting menaces to navigation, were destroyed or otherwise removed from the paths of commerce by the cutters, and this number includes all that were reported. The appraised value of the property saved from the perils of the sea was $15,010,910. As the cost for the maintenance of the entire service was $6,309,279.58, this appraisable portion of the work of the Coast Guard represents a return of $2.38 for each dollar invested by the Government in this particular branch of the public service. The summary above given represents the activities of the Coast Guard in such lines which permit of tabulation or appraisal, and it SECEETARY OF THE TREASURY. 229 is interesting to note that the principal activities—^those involving the saving of life and property—show a marked increase over similar activities for the previous year. This does not imply less efficiency during the previous year, for in all statements involving periodical returns of operations dependent upon emergencies or accidents fluctuations showing radical increases or decreases may reasonably be expected. There was not a day throughout the entire fiscal year when the Coast Guard cutters or stations were not engaged in some kind of definite assistance to the public. The daily average of instances involving rescue, salvage, and other humanitarian work was 9; the maximum number of such cases for any one day was 31. These results were accomplished by the entire equipment of the service, consisting of 22 cruising cutters, 26 harbors cutters, and 270 stations located at various ports and outposts along the seacoast and Great Lakes. The promptness of response to calls for assistance and the efficiency of the personnel are best attested by the results recorded herein. As noted in previous reports, the training and discipline necessary to fit the Coast Guard personnel for work of this nature in times of peace are of such character as to be of decided value for purposes of national defense. On April 6,1917, when the President's proclamation declared a state of war to exist with the German Empire, the entire Coast Guard was without confusion immediately mobilized with the various divisions and districts of the Navy, in accordance with the act of January 28,1915, which created the Coast Guard and declared it to be a part of the military forces of the United States. Pursuant to law, the usual orders were issued to the cutters on the Atlantic seaboard to cruise actively during the season of severe weather between December 1 and'April 1 to assist vessels in distress. The Androscoggin has been again detailed to cruise in the vicinity of the Grand Banks to afford medical and surgical aid to the crews of American fishermen engaged in deep-sea fishing. The cruises of the Androscoggin were, however, discontinued in January, 1917, owing to the complications of the international situation. In addition, the Unalga was assigned to the same duty in the vicinity of the fishing banks in the Bay of Alaska from January to March, 1917. All units and agencies of the Coast Guard have been required to enforce customs laws at all times, and, in addition, the usual 12 harbor cutters have been continued at the principal ports to aid the customs authorities in boarding incoming foreign vessels and performing other customs duty. The Coast Guard has continued to enforce the rules and regulations promulgated by the Secretary of War in the matter of anchor- 280 REPORT ON THE FINANCES. age and movements of vessels at New York, Chicago, the St. Marys River, Mich., and certain other navigable waters.- At the port of New York one cutter was detailed for a considerable, portion of the year to supervise the loading of high explosives and to enforce the regulations of the W a r iDepartment for the safe handling of munitions, in the interests of the public safety. While the United States remained neutral during the world war conditions several vessels of the Coast Guard were assigned to duty for the enforcement of neutrality laws at such ports where the proper authorities deemed such action necessary or advisable. As customary, units of the Coast Guard were assigned to patrol regatta courses in the interests of public safety at such places where facilities were available. During the year 30 regattas were patrolled. I n enforcing the laws of navigation, motor boats^ and customs there were boarded and examined during the year 20,130 vessels. Derelictions in these respects were found in 857 cases, involving penalties in the total sum of $205,429. Although the regulation of maritime traffic by means of periodical inspections is one of^importance in ordinary times, in time of war other duties of the cutters and stations are of much greater moment, hence the boarding lists for the past fiscal year are not so large as in the previous year. The Coast Guard continued to assist the Steamboat Inspection Service of the Department of Commerce in the examination of steamship employees to determine their qualifications as "certificated lifeboat m e n " as contemplated by the so-called seamen's act. Six thousand two hundred and seventy-nine of these men were examined by the Coast Guard during the year, of whom 4,082 passed and the remainder, 2,197, were rejected. The patrol of the Bering Sea and North Pacific Ocean to enforce the provisions of law for the protection of the fur seal and sea otter has been continued so far as practicable. Three cutters were assigned to this duty during the season of 1916, but for the season of 1917 only one vessel, the Unalga, could be spared for the work. The Bear left Sari Francisco May 2,1916, and returned December 4, 1916, having completed a cruise of 15,500 miles through the Bering Sea and Arctic Ocean for the purpose of affording protection to shipping and to the Government interests generally in distant parts of Alaska. Preparations were begun to resume the international ice observation and ice patrol service in February, 1917, and the Seneca was fitted out for that duty. Before the time set for her departure, however, the international situation was becoming acute, so her orders were rescinded, and all further preparations for the patrol indefinitely postponed. SECRETARY OF THE TREASURY. 231 On March 4, 1917, 10 men of the crew of the Tmnacraw, as follows, lost their lives in an attempt to rescue the crew from the stranded steamer Louisiana: Gunner Ross Harris, Master-at-Arms R. J. Grady, Quartermaster M. L. Kambarn, Seaman G. V. Jarvis^ Ordinary Seaman M. L. Austin, Ordinary Seaman D. Fulcher, Ordinard Seaman R. L. Garrish, Ordinary Seaman R. E. Simmons, Ordinary Seaman T. L. Midgett, and Boy First Class J. A. Dugger. The board of officers convened to investigate the circumstances attending this disaster found that the loss of life was entirely unavoidable and that no blame attached to any person in the Coast Guard on account thereof. On the contrary, the evidence showed that the personnel of both cutter and stations did everything iii their power to render assistance and save life throughout the entire incident. A life-saving medal, second class, was awarded to Steerage Cook J. J. Kennedy, of the Tamacraw,-ior his heroic attempt to save one of his shipmates on this occasion, and a special order was published by the department in commendation of certain members of the crew of the Yamacraw. Administrative measures. In the interest of economy and improved administration, nine stations situated on the Atlantic seaboard were discontinued during the year as active units of the Coast Guard, namely: Stations Nos. 99 (Sea Bright), 104 (Spring Lake Beach), 106 (Bayhead), 111 (Cedar Creek), 114 (Loveladies Island), 118 (Bonds), 124 (Absecon), and 127 (Pecks Beach), all on the coast of New Jersey, and station No. 85 (Gilgo) on the coast of Long Island. The practicability of so discontinuing these stations receiyed mature consideration. Life-saving stations were established in considerable numbers in the seventies and the subsequent years on certain sections of the coast and were placed comparatively close to one another in particular localities to meet the needs of the commerce of that time^— needs that have diminished and changed with the improvements in ship construction, greater accuracy in chart making, and improved methods of navigation. Moreover, the coincident improvements and betterment in life-saving methods and appliances have made it possible for some stations to afford protection to a larger stretch of coast line than formerly and with equal effectiveness. After a careful investigation and study of the records of the service for many years past, it was concluded that stations adjacent upon either side could amply protect the localities formerly covered by the stations it was proposed to discontinue and that the efficiency of the service would in no wise suffer through the contemplated action. It is gratifying to note that the elimination of the stations enumerated did not necessitate the discharge of any member of the personnel, the 232 REPORT ON THE FINANCES. crews being transferred to other stations of the service to fill vacancies. The coastal telephone system of the Coast Guard is being improved and extended. This work includes changing of important grounded lines to metallic circuits, replacing iron wire with copper conductors, installing special types of telephone switches and other instruments, and connecting the lines with commercial telephone systems so as to obtain flexible as well as long-distance service. In addition, new lines are under construction for connecting Coast Guard stations not previously supplied with rapid means of communication with the commercial telephone or telegraph system in the vicinity, and also for furnishing similar service to a number of important light stations along the coast. Before the present construction program was begun during the past fiscal year, the Coast Guard maintained and operated approximately 1,435 miles of overhead line and 65 miles of submarine cable, a total of approximately 1,500 miles of telephone lines along our coast. Upon the completion of the work now under way the system will consist of approximately 2,160 miles of overhead line and 365 miles of submarine cable, a total of 2,525 miles. This work has been carried out in accordance with the recommendation of the Interdepartmental Board on Coastal Communications, as approved by the President. Up to the date of mobilization, April 6, 1917, 108 general Coast Guard courts and 102 minor courts were convened. The probation system for offenders inaugurated in 1910 has been continued with results satisfactory, as in the past. During the year there have been 21 cadets and cadet engineers under instruction at the Coast Guard Academy, New London, Conn. One cadet and two cadet engineers completed the prescribed course and were commissioned in August, 1916, and during the same month 9 cadets and 1 cadet engineer were appointed. iFour cadets have resigned. The annual competitive examination for appointment as cadet and cadet engineer was held in June, 1917. It was desired to secure a total of 34 eligibles, but for various reasons many of the candidates failed to appear, and only 11 cadets and 1 cadet engineer qualified for appointment. Development of the project for utilizing aviation in the work of saving life and property by the Coast Guard has been suspended during the past fiscal year, except in the matter of training the personnel. The authority of Congress was obtained for the establishment, equipment, and maintenance of 10 aviation stations for the Coast Guard, and a school for special instruction in aeronautics was also authorized. Unfortunately, the funds for carrying the above authorizations into effect were not appropriated when requested at a later date, and that portion of the development was in consequence SECRETARY OF THE TREASURY. 233 arrested. The policy of assigning Coast Guard officers and enlisted men to the aeronautic school of the Navy has been continued. At the present time the personnel of the Coast Guard includes 3 commissioned officers who were qualified as "naval aviators," 7 enlisted men were qualified as " airmen," and 1 commissioned and 2 warrant officers were qualified and are serving as "naval inspectors" for the construction of aircraft. In addition to these, 3 commissioned officers are under instruction as " student naval aviators " and 5 enlisted men as airmen. It is hoped when the Coast Guard resumes its peace status at the close of the war that sufficient appropriations will be provided for the complete and effective establishment of an air service in connection with rescue and salvage operations. Improvements have been made at the Coast Guard depot, Arundel Cove, Md., to increase the efficiency of the repair plant. A small railway capable of hauling out boats 60 feet long has been installed. The introduction of electricity for all power and lighting purposes has been completed and has effected a considerable saving in the cost of operation. New and much needed tools have been added to the machine-shop equipment. The building for the construction of boats has been enlarged and new machinery installed, but already the facilities of this new boat shop have been utilized to the maximum, and it will be necessary to further enlarge the boat-building plant so as to construct all service boats at the depot. New types of 36foot power lifeboats and 26-foot motor surfboats were completed at the depot, and both are undergoing tests to determine their adaptability for all conditions of the service. A new harbor cutter was commenced and completed during the year and assigned to patrol and anchorage duty in New York Harbor. A new vessel to replace the old Manhattan is now under construction at Balboa, Canal Zone, by the mechanical division of the Panama Canal organization. While engaged in patrol duty on the morning of June 13, 1917, the McCulloch, as a result of a collision with the steamship Governor off the coast of California, sank in water too deep to permit of salvage operations. One of the crew was asleep in his berth near the place where the cutter was struck by the bow of the steamer and was so badly crushed by the impact that he died of the effects of the injury after being placed in the hospital on shore. All the other members of the ship's company made their escape in good order. The loss of a cutter at this time was most unfortunate, as she had been but recently thoroughly overhauled, and despite the fact that she had seen service for over 18 years was a very efficient craft for her size and type. The board of inquiry appointed to in- 234 REPORT ON THE FINANCES. vestigate the circumstances of the collision has not yet made its report. The new station at Siuslaw River, Oreg., is nearing completion; and the new station at Bolinas Bay, CaL, near Duxbury Reef, is well under way. A suitable site has been obtained for a new station at Barrataria Bay, La., and plans for its construction are now nearing completion. The dwellings at stations Nos. 157 (Smith Island, Va.), 186 (Hatteras Inlet, N. C ) , and 190 (Cape Lookout, N . C . ) have been rebuilt. The buildings at stations Nos. 218 and 219 (San Luis and Velasco, Tex.) to replace those destroyed in a hurricane have been rebuilt on steel piling and sufficiently elevated to be clear of high water during the hurricane season. A new dwelling has been erected at station No. 276 (Point Betsie, Mich.). A storehouse for spare boats has been constructed at Ediz Hook, Wash. Contracts have been awarded or work begun in connection with the following projects: New dwellings at stations Nos. 1 (Quoddy Head, Me.), 184 (Creeds Hill,,N. C.)., 324 (Golden Gate, Cal.); new wharf and boathouse at No. 212 (Santa Rosa, F l a . ) ; improvement in launching facilities at No. 54 (Narragansett Pier, R. I . ) , 233 (Charlotte, N. Y . ) , 287 (St. Joseph, Mich.), 274 (South Manitou Island,. Mich.), and 300 (Baileys Harbor, W i s . ) ; repairs to wharves at the Coast Guard Academy, New London, Conn., and Woods Hole, Mass. Recom/mendations. Wharf and storehouse at Sault Ste. Marie, Mich.—All of the waterborne traffic between Lake Superior and the other Great Lakes must pass through the system of locks and waterways of the St. Marys River. The river is about 60 miles long and contains approximately 45 miles of dredged channels. There are three locks on the American side and one on the Canadian side at Sault Ste. Marie, and a fourth American lock is under construction. Owing to ice conditions navigation is closed on this river from about December 10 to April 10 each year, leaving only eight months of open navigation for an average season. During the season of 1916 a total of 91,888,219 tons of freight passed through the locks. This was a record season, the total tonnage exceeding that of 1915 by about 20,000,000 tons, and that of the previous record season (1913) by some 12,000,000 tons. I n transporting 91,888,219 tons of freight a total of 19,864 vessels and 1,252 barges passed through the locks. The heaviest traffic occurred during the month of July, when a total of 3,264 vessels and barges passed through this waterway—an average of 105 for each day. I n order to regulate this traffic, prevent congestion, reduce danger of collisions and other marine casualties, and protect the dredged SECRETARY OF THE TREASURY. 235 channels from blockades and unnecessary erosion, special rules have been promulgated for the movement and anchorage of vessels in St. Marys River, and the Coast Guard is intrusted by law with the duty of enforcing those special rules. The present equipment for this duty consists of a steam tug (the Mackinac), four power launches, and six lookout stations. The personnel comprises 4 commissioned officers, 1 warrant officer, and 52 petty officers and other enlisted men. Provision must necessarily be made for wharfage to accommodate the tug and launches during the active season and for placing them in winter quarters during the closed season; also for housing necessary supplies throughout the year. U p to the present wharfage has been rented for the tug, and the launches have dropped into any convenient vacant berth. For winter quarters the larger launches are usually placed in one of the locks and are blocked up and covered over when tij:ie locks are emptied. The smaller ones are hauled out into sheds. No regular provision has been made for housing stores. The wharf now rented for the Mackinac is in bad condition, having l^een partially wrecked last July by the explosion of fireworks condemned and dumped in that vicinity. The property is for sale and there is little likelihood of permanent repairs being made at an early date. The whole situation as to wharfage and storage is unsatisfactory and inefficient. To remedy these conditions two courses are open—either improve a site now under the control of the Army engineers or purchase a site especially for Coast Guard purposes. The site controlled by the Army is at the east end o f t h e north pier, Sault Ste. Marie locks. I t is built up of rock and earth excavated from the third and fourth locks and is a naked and unimproved rock dump. To utilize this site will involve grading, walling, and construction aggregating about $30,000, and when finished it can be reached only by boat or by crossing three locks. When the fourth lock is completed it will be necessary to cross that also. During the running of heavy ice boating is out of the question, and trucking is impossible at all times. The site is not, therefore, a desirable one, and future developments in the way of lock construction might make it necessary to relinquish the place altogether. The proposition to acquire a site for Coast Guard purposes appears to be the practical solution of the problem. A suitable piece of water-front property at Sault Ste. Marie is for sale at a reasonable figure (about $10,000). I t already has a small wharf,,which can be extended to meet the needs of the patrol, and there is ample space for necessary storage warehouse, boathouse, and office. I t is conveniently located, abutting on the principal water-front street and 236 REPORT ON THE FINANCES. readily accessible by land or water. I t is sufficiently removed from the locks to be out of the way of heavy traffic. This site can be acquired and all necessary improvements made at a total cost not greater than that required for improvements alone at the north-pier site, and in addition there would be no question of forced removal in the future. . The necessity for a wharf and buildings is constantly increasing. The patrol of the river has been performed by the Coast Guard since 1896, and the personnel and equipment necessary for the efficient performance of the duty has gradually increased to meet the demands of the service. Traffic will undoubtedly continue to increase, so that there is every reason to expect the importance of the patrol to be augmented from year to year. In view,of the facts and conditions above set forth, I earnestly recommend that authority be obtained to purchase a site and equip a station that will meet the requirements of the patrol and be commensurate with its dignity and importance. Clerical force.-^The Coast Guard act provides longevity pay and retirement for the entire warrant and enlisted personnel. Longevity pay and retirement for 30 years' service depend upon length of service not only in the Coast Guard, but also in the Army, Navy, and Marine Corps; retirement for disability depends upon whether such disability is incident to service. Both these features of the law necessitate keeping an accurate record of the service and medical history of 5,167 officers and men. This requires a very considerable amount of clerical work in the personnel section which was not necessary in either the former Revenue-Cutter Service or Life-Saving Service. I n the former Life-Saving Service there were 6 rates of pay among the superintendents, keepers, and surfmen; under the Coast Guard act these men were transferred from the Life-Saving Service to the Coast Guard with upward of 59 rates of pay. There was but one appropriation for the maintenance of the former Revenue-Cutter Service and three appropriations for the maintenance of the former Life-Saving Service. The appropriation for the maintenance of the Coast Guard is in one sum, but this sum includes 12 subheads, and for administrative purposes the accounts of the Coast Guard are kept in accordance with these subheads. The great increase in the number of rates of pay and in the number of accounts involves a considerable increase in the work of the accounting section. This increased labor, falling chiefly upon the sections of personnel and accounts, has been relieved by the detail of a clerk from another office and a. number of enlisted men (ship's writers) of the Coast Guard. Four clerks are needed to replace those persons now on duty in these two sections by detail. The extension of the system of coastal communication, its maintenance, and the handling of.the adminis- 237 SECRETARY OF THE TREASURY. trative business in connection therewith requires the services of two clerks, which should be provided to replace the two enlisted men (ship's writers) who have thus far performed this duty, so they may be returned to their regular duties on board ship. A clerk for each of the divisions of engineering and inspection should also be provided for, as the clerical work in these two divisions has up to this time been performed by enlisted men. The above indicated increases are necessary to keep the administrative affairs of the Coast Guard current. LOANS AND CURRENCY. The following is the report of the Division of Loans and Currency for the fiscal year ended June 30, 1917: Interest-bearing debt of the United States—Changes during year. Outstanding Rate. June 30,1916. Title of loan. Consols of 1930 Loan of 190&-18 Loan of 1925 Panama Canal loan: Series of 1916-36 Series of 1918-38 Series of 1961. Conversion bonds Oiie-vear Treasurv notes..... Certificates of indebtedness Do Do . Liberty loan of 1917 Postal savings bonds Issues.. Perct. 2 $636,259,550 3 63,945,460 4 118,489,900 • 2 2 3 3 3 2 3 3i 3^ 2h 54,456,980 29,875,000 50,000,000 5^900,600 4,390,000 Outstanding June 30,1917. $36,535,500 $599,724,050.00 63,945,460.00 118,489,900.00 5,502,800 3,927,600 48,954,180.00 25,947,400.00 50,000,000.00 28,894,500.00 27,362,000.00 $22,993,900.00 27,362,000.00 4,390,000 50,000,000.00 50,000,000 468,205,000.00 406,898,968 61,306,032.00 400,000,000.00 188,448,900" 211,551,100.00 11,466,335,094.61 1,466,335,094.61 1,794,660 00 8,245,100 10,039,760.00 971,562,590 Total. Retirements. 2,436,690,654 61 695,703,768 2,712,549,476.61 ^This amount represents receipts on account of principal of Liberty loan bonds to June 30. Interest on registered bonds. Checks issued. Title of loan. Niunber. Consols of 1930 Loan of 1908-1918 Loan of 1925 Panama Canal loan: Series of 1916-36 Series of 1918-38 Series of 1961 Conversion bonds.'. One year Treasury notes Postal Savings bonds ... Total 131 duplicate checks were issued. Amount. 37,203 $12,395,565.25 43,509 1,424,661.16 16,668 4,064,737.50 ..i , . . . 3,987 2,162 7,739 170 12 22,594 1,040,325.13 563,631.29 1,247,143.50 84,859.50 40,312.50 196,137.25 133,944 21,047,373.07 238 REPORT ON THE FINANCES. Insular and District of Columbia loans—Changes during year. Title of loan. Rate. Philippine: Land purchase loan of 1914-1934 Pubhc-improvement l o a n s First series, 1915-1935 Second series, 1916-1936 Third series, 1919-1939 Philippine loan of 1916 (1926-1946) City oflklanila sewer and water b o n d s First series, 1915-1935 Second series, 1917-1937 Third series, 1918-1938 City of Cebu loan of 1921-1941 Outstanding June 30,1916. Outstanding June 30,1917. Retirements. Perct. 4.00 $7,000,000 $7,000,000 4.00 4.00 4.00 4.00 2,500,000 1,000,000 1,500,000 2,500,000 1,000,000 1,500,000 4,000,000 4.00 4.00 4.00 4.00 1,000,000 2,000,000 1,000,000 125,000 Total Philippme 16,125,000 Porto Rico: Road loan, 1910-1920-1927.. San Juan Harbor improvement l o a n s Series 1912-1922-1937 Series 1914-1924-1939 Series 1915-1925-1940 Irrigation l o a n s Series 1913-1933-1943 Series 1913-1933 Series 1914-1951 Series 1915-1955-1958 Public-improvement l o a n s Series of 1914-1925-1939 . Series of 1916 Refundmg l o a n s Series 1914-1923, etc Series 1915-1919-1935 Municipal, third series Issues. .... 1,000,000 2,000,000 1,000,000 125,000 20,125,000 4,000,000 4.00 425,000 425,000 4.00 4.00 4.00 100,000 200,000 200,000 100,000 200,000 200,000 4.00 4.00 4.00 4.00 1,000,000 700,000 400,000 400,000 1,000,000 700,000 400,000 400,000 4.00 4.00 1,000,000 4.00 4.00 4.00 655,000 300,000 5,380,000 Total Porto Rico District of Columbia: 60-vear funded loan of 1924 $4,000,000 3.65 6,179,900 500,000 1,000,000 600,000 300,000 655,000 300,000 300,000 800,000 6,180,000 $130,600 6,049,300 Interest on the registered portion of the above loans became due and was certified to the Treasurer for payment, as follows: Philippine Porto Rico District of Columbia. Total ->-— — - - $726,000 203, 200 — 212, 722 1,141,922 Circulation. The amounts of the several kinds of money in circulation in the United States on the 1st day of each month during the year are shown in the following table, in millions of dollars: 239 SECEETARy OF THE TREASTJRY. Money in ch'culation, 1916-17. [In millions of dollars.] '' 1916, on 1st d a y of— u Kind. 1 < Goldcoin Gold certificates. S t a n d a r d silver dollars Silver certificates T r e a s u r y n o t e s 1890 Subsidiarv silver U n i t e d S t a t e s notes F e d e r a l reserve n o t e s Federal reserve b a n k notes National b a n k n o t e s 1917, on 1st d a y of— B 11 >> i B o O 1 i 637 632 629 644 650 669 679 650 652 667 678 701 690 1,413 1,409 1,466 1,520 1,562 1,573 1,660 1,793 1,810 1,865 1,812 1,736 1,737 72 71 . 66 66 69 71 71 71 71 71 67 70 71 489 483 482 483 479 478 476 465 475 476 480 482 477 1 2 2 2 2 2 2 2 1 1 2 2 1 171 170 172 178 180 185 190 187 189 191 191 193 193 341 341 342 342 341 340 341 337 333 335 338 339 335 173 170 182 212 236 264 298 286 337 380 449 493 544 12 10 8 8 9 9 10 11 11 11 11 11 11 719 714 712 714 707 707 708 690 700 700 701 700 697 4,024 4,000 4,066 4,178 4,241 4,303 4,440 4,498 4,583 4,702 4,736 4,731 4,763 P e r capita (in dollars) 39.2 39 39.5 40.6 4 L 1 41.7 43 43.5 44.2 45.3 45.5 45.4 45.7 • 1 Revi£ >edfi§ jures. The increases and decreases in the amounts of the several kinds of money in circulation between July 1, 1916, and July 1, 1917, are shown in the following table: Gomparative statement showing the changes in circulation. In circulationDecrease. Gold c o i n . . . . . . . S t a n d a r d silver dollars Subsidiary silver Gold certificates " Silver certificates T r e a s u r y notes, a c t J u l y 14,1890 U n i t e d S t a t e s notes Federal reserve notes F e d e r a l reserve b a n k n o t e s . N a t i o n a l b a n k notes Total N e t increase : Increase. J u l y 1,1916. J u l y 1,1917. $637,250,272 66,414,932 171,449,851 1,413,823,289 489,910,937 2,098,165 341,719,547 173,100,785 8,961,995 719,400,794 $690,574,527 $53,324,255 71,825,375 5,410,443 193,852,097 22,402,246 1,737,652,359 323,829,070 477,184,842 $12,726,095 1,970,078 128,087 335,961,238 5,758,309 544,412,775 371,311,990 3,731,795 12,693,790 . 697,448,551 "2i,'952,'243' 4,024,130,567 4,763,575,632 40,564,734 780,009,799 739,445,065 240 REPORT ON THE FINANCES. P a p e r custody. Received from contractors. On hand July 1,1916. Distinctive paper for United States securities. Federal reserve notes. Federal reserve and national-bank currency Internal-revenue paper Postage-stamp paper. Check paper United States bond paper Parchment, artificial parchment, and parchment deed paper. Postal savings cards Customs stamp paper Miscellaneous papers Sheets. 15,643,475 11,965,000 2,234,900 207,304 954,773 Onhand June 30, 1917. Issued to bureau. Sheets. Sheets. 121,307,204 128,426,318 102,804,000 93,216,000 30,368,000 130,839,998 1,238,982 1,055,047 12,471,648 11,079,866 Sheets. 8,524,361 21,553,000 1,762,902 391,239 2,346,555 182,861156,126 724,401 347,052 363,919 385,007 1,000 320,415 2 428,067 335,521 161,773 156,126 297,334 331,946 858,013 142,049 118,508 1,027,104 1,420,950 1121,551 3 66,197 464,187 20,498 62,311 : . . . . 33,534,462 269,902,272 267,374,522 36,062,212 164 280 1,158 326 1,240 84 82 522 PHILIPPINE ISLAND PAPER. Distinctive paper for silver certiflcates and nationalbanknotes Postage-stamp paper Internal-revenue and check paper Total Rolls postage-stamp paper Rolls internal-revenue paper : ,.. 1 Includes 208,000 sheets and 67,958 sheets, obsolete, sold. 2 Includes 201,000 sheets issued to Division of Printing and Stationei-^y. 3 Includes 10,887 sheets, obsolete, sold. Redemption of currency and destruction of United States securities. Statement of redeemed securities and imperfect work handled, accounted for, and destroyed during fiscal year 1917. Description. Sheets. Redemptions: United States currency Compound-tuterest notes. Refunding certificates Federal reserve notes (redeemed by Federal reserve agents) ". - Federal reserve notes (redeemed by Treasurer United Federal reserve currency * National-bank currency (5 per cent redemption fund)* National-bank currency (retired)* National-bank currency (unissued)* Internal-revenue stamps* 352,202,715 17 40 1,294;450 12,491,544 146,175 33,494,979'^ 4,396,668^ 1,178,352 (0 Total.. Value. $904,183,928.75 230.00 400.00 8,890,000.00 93,326,640.00 1,209,675.00 314,141,260.00 43,218,490.50 12,226,820.00 126,729,749.59 405,204,941 1,503,927,193.84 760 3,758,076 92,786 668,072 6,518 267,041 8,336 21,783 1,697,963 1,162,844 26,692 156,000 2,280 16,032,304 463,930 2,272,288 22,072 1,068,164 15,487 326,760 564,682,984 93,421,904 308,054 22,800,000.00 54,690,200.00 2,310,227.50 21,217,380.00 170,880.00 10,206,698.00 73,570,640.00 5,047,346.00 7,765,771 677,516,217 190,013,370.60 Total. Imperfect work from Bureau of Engraving and Printing: Order gold certificates, 1900 .,. United States currency Philippine currency Federal reserve notes, series 1914 Federal reserve bank currency National-bank currency Registered and coupon bonds Postal savings certincates Postage stamps Internal-revenue stamps Customs and miscellaneous stamps Money paper (mutilated) Subjects. 1 Not available. Items marked (*) not counted by Division of Loans and Currency; all other items counted by Division of Loans and Currency. 241 SECRETARY OF T H E TREASURY. Custody of Federal reserve notes, series 191 Jp. Transactions in Federal reserve notes, series 1914, during the fiscal year have been as follows: On hand July 1, 1916. Received. Issued. Boston New York — Philadelphia.. Cleveland Richmond Atlanta Chicago St. Louis Mirmeapolis.., Kansas City... Dallas San Francisco. $24,620,000 219,460,000 34,520,000 34,840,000 17,000,000 13,200,000 50,620,000 20,400,000 11,000,000 16,780,000 7,980,000 22,060,000 $53,680,000 416,280,000 58,800,000 53,160,000 30,580,000 31,580,000 98,820,000 44,680,000 38,340,000 71,080,000 41,360,000 30,460,000 $45,300,000 334,200,000 60,860,000 42,840,000 14,720,000 23,380,000 101,760,000 32,820,000 27,640,000 38,480,000 23,380,000 31,180,000 $33,000,000 301,540,000 . 32,460,000 45,160,000 32,860,000 21,400,000 47,680,000 32,260,000 21,700,000 49,380,000 25,960,000 21,340,000 Total... 472,480,000 968,820,000 776,560,000 664,740,000 Federal reserve bank. On hand June 30,1917. Conversion of United States 2 per cent bonds. 2 PER CENT BONDS RETIRED BY C0N\rERSI0N. Consols of 1930. Federal reserve bank. Boston NewYork Philadelphia-. Cleveland Richmond Atlanta Chicago St. Louis Minneapolis... Kansas City... Dallas , San Francisco. $3,809,000 5,250,400 3,797,400 3,256,900 2,065,600 2,053,600 6,113,000 2,130,700 1,930,900 1,893,400 2,234,600 3,000,000 Total.... 36,535,500 Panama Canal 1916-36. Panama Canal 1918-38. $485,000 231,000 1,783,300 817,500 227,500 780,000 $80,000 1,228,000 145,200 1,105,000 145,000 3,000 864,400 60,000 618,500 610,000 338,000 19,000 5,502,800 3,927,600 Total. $3,889,000 6,963,400 4,173,600 6,145,200 3,028,100 2,284,100 . 6,757,400 2,130,700 1,980,900 2,749,900 2,863,600 3,000,000 46,965,900 3 PER CENT BONDS AND NOTES ISSUED. Conversion bonds. Federalreserve bank. Coupon. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis . Minneapolis . . \ . Kansas City. Dallas SanFrancisco... Total... $1,945,000 3,482,400 2,087,600 3,074,200 1,515,100 1,143,100 3,379,400 1,066,700 990,900 1,169,500 600,000 20,353,900 13034°—FI 1917- Registered. Total. 1-year Treasury notes. Coupon. -16 Total. • $1,945,000 $1,944,000 3,482,400 3,481,000 2,087,600 2,086,000 3,074,200. 3,071,000 1,515,100 1,513,000 1,143,100 1,141,000 3,379,400 3,378,000 1,066,700 1,064,000 990,900 990,000 $206,400 1,375,900 1,168,000 1,433,600 1,433,600 901,000 1,000,000 1,500,000 1,000,000 2,640,000 22,993,900 Registered. Total bonds and notes. 21,737,000 $206,000 529,000 500,030 $1,944,000 $3,889,000 3,481,000 6,963,400 2,.086,000 4,173,600 3,071,000 6,145,200 1,513,000 3,028,100 1,141,000 2,284,100 3,378,000 6,757,400 1,064,000 2,130,700 990,000 1,980,000 1,374,000 2,749,900 1,430,000 2,863,600 1,500,000 3,000,000 1,235,000 22,972,000 45,965,900 242 STATEMENT REPORT ON T H E FINANCES. QF 1-YEAR TREASURY NOTES REDEEMED AND R E I S S U E D FROM 1 9 1 6 , TO J U N E 3 0 , JULY 1, 1917. Redeemed. ^Reissued. Federal reserve bank. Registered. Boston NewYork Philadelphia Cleveland Richmond Atlanta Chicago St. Louis • Minneapolis Kansas City Dallas San Francisco , Total $410,000 410,000 Coupon. Total. Coupon. Total. $250,000 1,532,000 462,000 200,000 456,000 350,000 $250,000 1,532,000 462,000 200,000 456,000 350,000 $250,000 1,532,000 462,000 200,000 456,000 350,000 $250,000 1, 532,000 462,000 200,000 456,000 350,000 380,000 350,000 380,000 350,000 410,000 380,000 350,000 410,000 380,000 850,000 410,000 3,980,000 4,390,000 Registered. 4,390,000 . 4,390,000 DIVISION OF PUBLIC MONEYS. The monetary operations of the Government have been conducted through the Treasurer of the United States, 9 Assistant Treasurers of the United States, 12 Federal reserve banks, 1 branch Federal reserve bank, the Philippine Islands, the American Colonial Bank of Porto Rico, and 1,368 national-bank depositaries. To prevent disturbing financial conditions on account of payments made for purchase of Treasury certificates of indebtedness, the Secretary specially designated 231 banks and trust companies as depositaries of public moneys, with which was deposited a portion of tho receipts of the sale of said certificates of indebtedness. H e also specially designated 1,639 banks and trust companies for the purpose of permitting them to deposit by credit a portion of the proceeds arising from the subscription to the Liberty loan bonds. The amount of public moneys held June 30, 1917, by special depositary banks and trust companies on account of the sale of certificates of indebtedness was $154,179,000, and that held by banks and trust companies specially designated to receive funds on account of Liberty loan deposits was $560,662,218.16, while the deposit in the Federal reserve banks was $305,743,526.71, and that in national-bank depositaries to the credit of the Treasurer of the United States, including money to the credit of the United States disbursing officers, was .$52,598,057.51. On June 30, 1917, there were 764 regular national-bank depositaries, 12 Federal reserve banks, and 1 branch Federal reserve bank, 591 temporary depositaries, and 1,639 special depositaries for Liberty loan funds; 16 regular depositaries were designated during the year and 29 were discontinued. Qn November 1, 1917, the total number 243 SECRETARY OF THE TREASURY, of depositaries, not including those holding Liberty loan funds, was 1,373, and the amount held by them $172,821,535.98. DIVISION OF B O O K K E E P I N G A N D W A R R A N T S . The fiscal transactions recorded upon the books of this division during the fiscal year ended June 30, 1917, were as follows: Eeceipt accounts—customs, internal revenue, public lands_, miscellaneous, Panama Canal receipts from tolls, etc., and public debt receipts—to the number of 900, and appropriation accounts for all executive departments, other Government establishments, and the District of Columbia to the number of 6,700, have been credited and charged, respectively, with all warrant entries affecting the receipts and disbursements and the results exhibited in the annual reports of the department. Seven thousand six hundred and thirty active accounts of collecting and disbursing officers of the Government were carried in the fiscal officers' ledgers of the division, recording their transactions as to collections and deposits of public moneys, and of expenditures made from moneys advanced to them. Warrants issued during the fiscal year 1917. General classes. Receipt warrants. Repay warrants.. Pay warrants Total Number of warrants issued. Gross amount involved. 15,667 $3,552,342,694.63 18,399 537,300,676.72 94,994 3,300,887,463.46 129,050 7,390,530,634.80 Appropriation warrants have also been issued to the number of 681, crediting detailed appropriation accounts with amounts provided by law for disbursement. Warrants in the amount of $6,315,929,481.36, representing receipts of $3,552,342,594.63 and net disbursements of $2,763,586,886.73, including Panama Canal and public-debt transactions, less bond exchanges of $45,965,900 not affecting the general-fund balance, were credited and charged, respectively, to the general fund of the Treasury. WJarrants representing $803,514,160.50 were issued for adjustment of appropriation accounts, largely for the detailed naval accounts against " general account of advances," without affecting the general fund. The following table exhibits the. totals of the receipts and disbursements of the year for the general fund: 244 REPORT ON THE FINANCES. Ordinarv Special: Purchase of obligations of foreign governments. Pavment for Danish West I n d i a n islands Subscription to stock. Federal land banks Panama Canal Public debt .• Disbupements. $1,118,174,126.43 $1,147,898,99L16 ~ $29,724,864.73 885,000,000.00 - 885,000,000.00 25,000,000.00 - 25,000,000.00 8,880,315.00 19,262,798.32 677,544,782.25 2,763,586,886.73 6,150,668.59 2,428,017,799.61 3,552,342,594.63 Total Excess of receipts (-H) or of disbursements (—). Receipts. 8,880,315.00 13,112,129.73 + 1,750,473,017.36 + 788,755,707.90 This shows an excess of ordinary disbursements over • ordinary receipts of $29,724,864.73, and an excess of all receipts over all disbursements of $788,755,707.90, taking into account speci-al accounts as enumerated above, public debt transactions, and payments from the general fund of the Treasury during the year of $19,262,798.32 for the Panama Canal without sales of bonds, offset in part by receipts from Panama Canal tolls, etc., of $6,150,668.59. The general furid. General-fund balance subject to warrant June 30,1916, exclusive of disbursing oflacers' credits of $55,129,185.82, revised— $178, 491, 415. 58 Add receipts: Ordinary $1,118,174,126. 43 Panama Canal 6,150, 668. 59 Publicdebt 1 2,428,017,799.61 Total receipts ' 3, 552,342,594. 63 3,730,834,010.21 Deduct disbursements: Ordinary.Special, as above Panama Canal Public debt :.________ 1,147, 898,991.16 918,880,315.00 19,262, 798. 32 677,544,782.25 Total disbursements General-fund balance subject to warrant June 30, 1917, exclusive of disbursing officers' credits of $148,380,341.65, revised- 2, 763, 586, 886. 73 967,247,123.48 State bonds arid stocks owned by the United States. The following statement shows the nonpaying State bonds and stocks, formerly in the Indian trust fund, now in the Treasury, belonging to the United States: SECRETARY OF THE TREASURY. Principal. Louisiana North Carolina.. Tfinne.«:.<?eft-, ..,.., Total 245 Interest coupons due and unpaid. $37,000.00 58,000.00 335,666.66| $17,220.00 88,140.00 157,830.51 430,666.661 263,190.51 A history of these State stocks and bonds is given in House Document No. 263, Fifty-fourth Congress, second session. SECRET SERVICE DIVISION. There were 342 arrests made by the agents of the Secret Service Division or under their direction during the year. Sixteen new counterfeit note issues were found in circulation, but there was a marked decrease in the amount of counterfeit money captured and seized. The total of counterfeit notes taken out of circulation was $23,469.75. Counterfeit coins amounting to $18,558.42 were captured or confiscated. One hundred and fifty-one plates, S^ sets of dies, 127^ molds, and a great quantity of miscellaneous tools, materials, and other contraband property were seized. DIVISION OF P R I N T I N G AND STATIONERY. Printing and binding. <, I t will be seen from the appended table that the total expenditure for printing and binding for the fiscal year 1917 was $453,472.01, which was an increase of $68,422.13 over the previous fiscal year. There was an unexpended balance of $32,481.16. Eeimbursements for expenditures amounted to $80,953.17, leaving $372,518.84 as a net expenditure from an appropriation of $405,000. The principal items of increase were: Internal revenue, $7,521.54; customs, $6,935.34; Public Health Service, $3,864.50; Supervising Architect, $2,248.65. The principal items of decrease were: For miscellaneous printing, $6,678.12; the Office of the Comptroller of the Currency, $3,407.60; and the Division of Bookkeeping and Warrants, $2^,305.81. The expenditures by the Treasury Departme^^f or printing at the Government Printing Office on account of the issue of Liberty bonds, chargeable to the appropriation "Expenses of loans, act April 24, 1917," was $50,032.94. For the issue of these bonds millions of envelopes, circulars, forms, and posters were printed by the Department. All of these forms and most of the circulars were distributed by the Division of Printing and Stationery. 246 REPORT ON T H E FINANCES. The following table shows in detail the expenditures from the Treasury allotment for printing and binding for the fiscal year ended June 30, 1917, together with increases and decreases over the previous fiscal year: Appropriations, expenditures, and reimbursements for printing and binding. Appropriation Reimbursements.. Total c r e d i t . . . : . . . . Total expenditure. Balance. Fiscal year 1916. Fiscal year 1917. Increase. $390,000.00 19,867.72 $405,000.00 80,953.17 $15,000.00 61,085.45 409,867.72 385,049.88 485,953.17 453,472.01 76,085.45 68,422.13 24,817.84 32,481.16 7,663.32 7,615.36 540.22 296.89 8,185.56 367.95 284.51 570.20 769.07 23,710.11 5,942.63 616.65 406.83 2,041.89 221.85 31.89 144.95 277.56 246.62 21,404.30 9,746.81 422. 40 505.65 935.68 534.62 94.48 188.17 368.67 110.01 4,048.10 29,545.18. Expenditures by bureaus, offices, and divisions. Secretary and Assistant Secretaries Chief Clerk and SuperintendentDisbursiag Clerk Division of— Appointments Bookkeeping and Warrants Customs Public Moneys Printing and Stationery •... Loans and Currency Secret Service '. Mail and Files Government Actuary Section of Surety Bonds Federal Farm Loan Bureau Comptroller of the Treasury Comptroller of the Currency Auditor for— Treasury Department. War Department. : Interior Department Navy Department State and other Departments Post Ofiice Department Treasurer United States Register of the Treasury .Commissioner of Internal Revenue Bureau of Engraving and Printing Supervising Architect Director of the Mint Surgeon General, Pubhc Health Service Coast Guard Headquarters. Miscellaneous Customs Service Independent Treasury Service National Bank depositaries Public Health Service Coast Guard Internal-Revenue Service Mints and Assay ofl&ces Custodians, etc., of public buildings Transportation companies General Supply Committee Total. 3,987.98 32,952.78 3,804.18 98.'82" 312.77 62.59 43.22 91.11 110.01 60.12 792.22 867.31 738.38 2,421.61 455.11 .6,292.78 6,101.61 287.65 9,082.88 4,502.42 37,793.08 2,608.94 67,503.60 9,424.72 29,203.02 23,678.47 2,869.71 1,393.62 2,985.53 7,167.06 45,010.20 2,808.00 2,238.15 78.00 19,3?1.43 715.45 1,302.38 1,437.42 2,043.49 305.75 4,388.61 6,713.30 351.79 10,598.68 4,636.02 40,041.73 2,887.73 70,912.09 10,825.69 22,524.90 26,809.63 3,779.98 2,012.38 3,441.64 6,115.58 61,015.94 2,862.82 1,717.31 365,182.16 372,618.84 7,336.68 3,093.83 1,978.47 358.57 1,624.67 3,093.83 460.54 1,812.92 16.38 50,032.94 12,246.22 9,328.63 384.42 291.94 60,032.94 1,246.03 9,328.63 19,867.72 80,953.17 61,085.45 385,049.88 453,472.01 68,422.13 435.07 699.04 611.69 64.14 1,515.80 133.60 2,248.65 278.79 3,408.49 1,400.97 3,131.16 910.27 618.76 456.01 6,005.74 64.82 18,089.92 Reimbursed expenditures. Salaries and expenses, national-bank examiners. National-bank redemption agency Bureau of Engraving and Printing Bureau of War-Risk Insurance Panama-Pacific E xposition : Public Health Service: Interstate quarantine Rural sanitation Field investigations.... Expenses of loans, act of Apr. 24,1917 Customs blank forms Federal Farm Loan Bureau. Total .' Total expenditures., 6,273.15 469.82 216.62 47.91 76.12 1,520.98 262.93 11,000.19 1,408.05 Decrease. ^ SECRETARY OF THE TREASURY. 247 Stationery. . Statement of the appropriation for stationery for the fiscal year 1917 and statements of the cost of the stock on hand and issues to various offices and services of the department brought down to November 1, 1917, follow: Appropriation Reimbursements • Total $174,000.00 11, 584. 58 : 185, 584. ,58 Purchase orders 183, 811. 59 Balance 1, 772. 99 Stationery stock. . On hand July 1, 1916 ._ $42,114.11 Purchase orders 183, 811. 59 Total 225, 925. 70: Issues for the year 177, 392. 52 Inventory as of July 1,1917. -— 1917 value 1918 value _. i . $48, 533.18 45,284.11 Issues on account of appropriation. Office of the Secretary: Secretary and Assistant Secretaries: Chief Clerk and Superintendent ^^Division of Appointments '. '. '. Division of Bookkeeping and Warrants Division of Customs ! L__ Division of Public Moneys . Division of Printing and Stationery_____: • Division of Loans and Currency —..• Division of Mail and Files . Government Actuary : Disbursing Clerk__ j ^ Section of Surety Bonds .___ Office of Auditor for Treasury Department Office of Auditor for War Department — \ Office of Auditor for Interior Department Office of Auditor for Navy Department ; Office of Auditor for State and other Departments I Office of Auditor for Post Office Department ^ Office of. Comptroller of the Treasury Office of ComptroUer of the Currency——— . Office of Treasurer of the United States.l ^ _• Office of Register of the Treasury Office of the Supervising Architect Office of the Commissioner of Internal Revenue : Office of Surgeon General, Public Health Service '__ Office of Captain Commandant, United States Coast Guard — $1, 293.03 914.19 314.37 410. 51 3,872. 6Q 276.95 2, 956. 99 1,892.86 26.20 5. 02 385.32 57.23 443. 58 1,246.05 460.29 727.51 355. 39 4, Oil. 4T 352. 24 8, 547. 42 12, 400. 85 83.45 4,375. 78 18, 041. 81 2, 709. 50 1,187.86 248 REPORT ON THE FINANCES. Office of Director of the Mint — —. Secret Service Division -, ___^ Office of Director of the Bureau of Engraving and Printing General Supply Committee Independent Treasury Service : Mints and assay offices— ^ Coast Guard — Public Health Service Custodians of public buildings ^.^ -. Superintendents of construction of public buildings Customs Service 1 Internal-Revenue Service ^ . .— . Total $149.99 412. 78 4,531.48 549.98 4, 468. 38 1,087. 72 S, 716. 31 2, 883. 69 1, 542. 37 575.10 36, 255. 66 42, 286. 01 165,807. 94 Issues for reimbursement. Treasurer of the United States (N. B. R. A.) Federal Reserve Board ^ Bureau of War-Risk Insurance Poliomyelitis Investigation (P. H. S.) National-bank examiners International High Commission Federal Farm Loan Board United States Shipping Board .. First Liberty loan of 1917 United States Tariff Commission Employees* Compensation Commission War Department : War-Risk Insurance (seainen's) Total Total issues, 1917 Total issues, 1916 ,.' : -.. . , $2,498.89 1, 213. 70 402.39 41. 62 1,464. 61 25. 20 1,799.03 774. 03 3,004.29 56. 72 89. 60 172. 32 42.18 11, 584. 58 177,392. 52 133,307. 99 Postage. The appropriation for the fiscal year 1917 for postage to prepay matter addressed to Postal Union countries and for postage for the Treasury Department was $1,000, of which $995.81 was expended, leaving a balance of $4.19. Materials for bookbinder. The appropriation for the fiscal year 1917 for materials for the Treasury Pepartment bookbinder was $250. Of this amount $248.53 was expended, leaving a balance of $1.47. Department advertising. There was expended for Treasury Department advertising during the fiscal year 1917, $8,593, against $10,455 for the fiscal year 1916, a decrease of $1,862. During the year 1,700 authorizations were issued, a decrease of 982 over the previous year. This reduction was caused by the Office of the Supervising Architect advertising for SECRETARY OF THE TREASURY. 249 supplies for public buildings by means of notices posted in lobbies of the public buildings, excluding newspaper advertising in these instances. OFFICE OF THE DISBURSING CLERK. In the report of this office for last year it was stated that there had been for several years an average yearly increase of 10 per cent in the work as compared with the preceding year. For the year just closed the increase was much greater than 10 per cent, for not only was there the usual aimual addition of about 10,000 vouchers paid, due to the fact that about 100 new public buildings are completed and occupied each year, but there was also an important increase due to the enlarged activities of the Public Health Service, the Goast Guard, the Internal-Revenue Service, and the Bureau of War-Eisk Insurance. There were further large increases due to the fact that the salaries and expenses of national-bank examiners and of the Federal Farm Loan Board are now paid through this office, the former since June, .1916, and the latter since the organization of the Farm Loan Board in August, 1916. Payment of the expenses of the Liberty loan also began in.the latter part of the year. In addition to the increase of the regular work the office began during the year to pay claims for redemption of internalrevenue stamps under the act of September 8, 1916. Formerly such claims, after examination and approval in the office of the Commissioner of Internal Revenue, were sent to the Auditor for the Treasury Department for settlement. After settlement the auditor would certify his findings on each claim to the Division of Bookkeeping and Warrants and a Treasury warrant would be issued, which was signed and recorded in the offices of the Secretary of the Treasury, the Comptroller of the Treasury, and the Treasurer of the United States before it was sent to the payee. This method of paying public creditors is long, tedious, and expensive. So many claims for redemption of stamps were filed that it was found impracticable to pay them in the ordinary way, and a more expeditious method was devised. The claims are now examined, scheduled, and certified in the office of the Commissioner of Internal Revenue, after which they are sent to this office, where a check is issued and mailed to each claimant. This work was begun on December 13, 1916, and during the remainder of the fiscal year 41,832 checks were issued in payment of 42,000 claims, amounting to $1,903,619.56. The enormous saving of work effected in the Division of Bookkeeping and Warrants and in the offices of the Auditor for the Treasury Department, the Comptroller of the Treasury, and the Treasurer of the United States may be realized when it is considered th^t during the entire fiscal year 1917 only 70,075 Treasury settlement warrants of all classes were issued. 250 . REPOKT ON THE FINANCES. During the year under a separate designation and in a separate account the disbursing clerk continued to make disbursements under the appropriation " Relief, protection, and transportation of American citizens in Europe." I n April, 1917, the United States Tariff Commission was organized. A t that time the coinmission requested that the disbursing clerk of this department disburse for them until a permanent disbursing clerk could be selected. This additional work is being performed by the disbursing clerk without compensation other than his regular salary in the Treasury Department, and he has been required to pay from his personal funds the premium on his official bond as disbursing clerk, United States Tariff Commission. On December 11, 1916, the disbursing clerk renewed his bond. The accounts under his former bonds have been examined and settled by the Auditor for the Treasury Department, and all moneys coining into his hands during his six years' service as disbursing clerk, amounting to $140,147,440.45, have been properly accounted for without loss to the United States. On June 30, 1917, his accounts under his current bond had been settled by the Auditor to March 31,1917. The following is a detailed statement of the amount of work performed in connection with each account of the disbursing clerk, a summary of the four accounts, and a comparison with the fiscal year 1911 (the first year of the present organization): . • Regular account. Amount disbursed by check :__ Amount disbursed in cash (salaries) Total disbursed : ^-_ Number of checks issued ^-__ Number of salary payments made in cash $22,913,145.55 4,247,154.74 27,160,300.29 . Total number of payments 227,317 86, 732 ., Number of vouchers paid . Number of collections made on account of rents, sales, etc., and deposited in the Treasury as revenues or as repayments to appropriations Amount of said collections. Number of appropriations under which disbursements were made ._ __-. . 314,049 196, 557 3,964 $580,644.87 795 Relief, projection, and transportation of American citizens in Europe. Amount disbursed Number of checks issued Number of vouchers paid : . $3, 615.18 86 33 251 SECEETARY OF T H E THEASURY. Moneys withheld on account of income tax. Amount Amount Number Number withheld from individuals refunded to individuals of individuals from whom withheld_ of checks drawn $864.04 $12.83 63 3 ^ 1 United States Tariff Commission (Apr. 11 to June 30, 1917). Amount disbursed Number of checks issued Number of vouchers paid : $33, 691.26 831 87 : Summary and comparison with the fiscal year 1911. 1917 Amount disbursed ArnoiTntcollected..T , - , -.. .--- -r - . r r Total disbursed or collected Number of cliecks issued Number of Davments made in cash Total number of payments ....... .. T , Number of vouchers paid. Number of collections made Number of appropriations under wliich disbursements were made 1911 827,197,619.56 681,508.91 814,334,888.37 21,366.47 27,779,128.47 14,356,244.84 227,737 86,732 117,926 83,762 314,469 196,677 ^ 4,027 798 201,678 97,610 304 610 The present organization of the office was effected on July 1,1910. For the first year a force of 11 clerks was provided, but for the fiscal year beginning July 1,1914, the force was reduced to 10 and has remained at that number ever since. The increase in the volume of work from year to year has until recently been offset by improvements in office methods and by the elimination of useless work. No important saving in work has been found possible recently, however, so that for the past two years the regular force has been unable to handle all of the work, necessitating details from time to time. During practically all of the past year two clerks were detailed to the office. TABLES ACCOMPANYING THE REPORT ON THE FINANCES. 253 TABLE A.—Statement ofthe outstanding principal ofthe public debt ofthe United States June SO, 1917. Length of loan. OLD DEBT. For detailed information in regard to the earlier loans embraced under this head, see Finance Report for 1876. TREASURY NOTES PRIOR TO 1846. Acts of October 12,1837 (5 Statutes, 201); May 21,1838 (5 Statutes, 228); March 2,1839 (5 Statutes, 323); March 31, 1840 (5 Statutes, 370); February 15,1841 (6 Statutes, 411); January 31,1842 (5 Statutes, 469); August 31,1842 (5 Statutes, 581); and March 3, 1843 (5 Statutes, 614). TREASURY NOTES OF 1846. Actof July 22, 1846 (9 Statutes, 39) MEXICAN INDEMNITY. Act of August 10, 1846 (9 Statutes, 94) .' , TREASURY NOTES OF 1847. Act of January 28, 1847 (9 Statutes, 118) ., , TREASURY NOTES OF 1857. Actof December 23,1857 (11 Statutes, 257) BOUNTY-LAND SCRIP. Actof February 11, 1847 (9 Statutes, 125) :.., LOAN OF 1847. . .< Actof January 28, 1847 (9 Statutes, 118) TEXAN INDEMNITY STOCK. Act of September 9, 1850 (9 Statutes, 447) '. LOAN OF 1858. Actof June 14,1858 (11 Statutes, 365).. ,... LOAN OF FEBRUARY, 1861 (1881s). Actof February 8,1861 (12 Statutes, 129) .' , TREASURY NOTES OF 1861. Actof March 2,1861 (12 Statutes, 178) , OREGON WAR DEBT. Actof March 2,1861 (12 Statutes, 198) I Included in old "debt." When redeem- Rate of in- atPrice which terest. able. sold. On.demand.., 5 and 6 per cent. l a n d 2 years 1 and 2 years V&of 1 to 6 per cent. from date. 1 year Amountissued. Amount outstanding. $151,610.26 Indeflnite . Par. $51,000,000.00 $47,002,900.00 0) 1 year from ^ of 1 to 5 | P a r . per cent. date. 10,000,000.00 7,687,800.00 (') 5 per cent... P a r . 320,000.00 303,573.92 0) 5 y e a r s . . i . . . 5 years from date. n o 1 and 2 years 1 and 2 years 5 | and 6 per cent. from date. Par. 1 year year from 3 to 6 per cent. date. Par. 1 year Amount authorized. 23,000,000.00 s 26,122,100.00 0) 52,778,900.00 0) 233,075.00 (0 Indefinite Indefinite .. At the pleas- 6 per cent... P a r . ure of the Government. Jan. 1,1868.... 6 per c e n t . . . l i to 2 20 years per ct. pre. Par J a n . l , 1865.... 5 per cent.. 14 years Indefinite.... Jan. 1,1874.... 5 p e r c e n t . . . Av. pre. of 3 ^ . Hi 23,000,000.00 3 28,230,350.00 950.00 10,000,000.00 5,000,000.00 20,000.00 20,000,000.00 20,000,000.00 2,000.00 10 or 20 years Dec. 31,1880... 6 p e r c e n t . . . (Av.)89.03| 25,000,000.00 18,415,000.00 5,000.00 15 years 35,364,450.00 60 days or 2 6 p e r c e n t . . . Par to Indefinite IfV'iyPer years after ct. pre. date. July 1,1881 . . . 6 per c e n t . . . Par 1,090,850.00 1 2,800,000.00 20 years s Including reissaes. 8 Including conversion of Treasury notes. 60 days or 2 years. 2,300.00 2,250.00 TABLE A.—Statement ofthe outstanding principal ofthe public debt, etc.—Continued. to Ol Length of loan. When redeemable. Rate of in- atPrice which terest. sold. After June 30, 1881. 6 per cent.. Amount authorized. Amountissued. Amount outstanding. LOAN OF JULY AND AUGUST, 1861. The act of July 17, 1861 (12 Statutes, 259), authorized the issue of 20 years. $250,000,000 bonds, with interest at not exceeding 7 per centum per annum, redeemable after twenty years. The act of August 6,1861 (12 Statutes, 316), authorized the issue of bonds, with interest at 6 per centum per annum, payable after twenty years from date, in exchange for 7-30 notes issued under the act of July 17,1861. * LOAN OF JULY AND AUGIJST, 1861. Continued at 3 | per cent interest, and redeemable at the pleasure of the Government. OLD DEMAND NOTES. Acts of July 17,1861 (12 Statutes, 259); August 5, 1861 (12 Statutes, 313); February 12,1862 (12 Statutes, 338). SEVEN-THIRTIES OF 1861. Actof July 17, 1861 (12 Statutes, 259) ; FIVE-TWENTIES OF 1862. Acts of February 25, 1862'(12 Statutes, 345); March 3,1864 (13 Statutes, 13); and January 28, 1865 (13 Statutes, 425). LEGAI^TENDER NOTES. The act of February 25,1862 (12 Statutes, 345), authorized the issue of $150,000,000 United • States notes, not bearing interest, payable to bearer at the Treasury of the United States, and of such denominations, not less than five dollars, as the Secretary of the Treasury might deem expedient, $50,000,000 to be applied to the redemption of demand notes authorized by the act of July 17,1861; these notes to be a legal tender in payment of all debts, public and private, within the United States, except duties on imports and interest on the public debt, and to be exchangeable for 6 per cent United States bonds. The act of July 11,1862 (12 Statutes, 532), authorized an additional issue of $150,000,000, of such denominations as the Secretary of the Treasury might deem expedient, but no such note should be for a fractional part of a dollar, and not more than $35,000,000 of a lower denomination t h a n five dollars; these notes to b© a legal tender as before authorized. The act of March ^, 1863 (12 Statutes, 710), authorized an additional issue of $150,000,000, of such denominations, not less than one dollar, as the Secretary of the Treasury might prescribe; which notes were made a legal tender as before authorized. The same act limited the time in which the $250,000,000.00 $189,321,350.00 Indefinite .. At the pleas- ^3i per cent.. P a r . ure of the Government. Indefinite .. On d e m a n d . . . N o n e . Par. 60,000,000.00 ^ 60,030,000.00 $15,050.00 1,600.00 hj O 53,152.50 o n H 3 years. Aug. 19 and Oct. 1,1864. 7 ^ per cent, Av. pre. Indefinite . of ^xk- 139,999,750.00 5 or 20 years M a y l , 1867.. 6 per cent... Av. pre. of^V 515,000,000.00 514,771,600.00 Indefinite . On demand.. None . 450,000,000.00 w 105,450.00 346,681,016.00 3 § Ul Treasury notes might be exchanged for United States bonds to July 1, 1863. The amount of notes authorized by this act were to be in lieii of $100,000,000 authorized by the resolution of January 17,1863 (12 Statutes, 822). The act of May 31,1878 (20 Statutes, 87), provides that no more of the United States legal-tender notes shall be canceled or retired, and that when any of said notes are redeemed or received into the Treasury under any law, from any source whatever, and shall belong to the United States, they shall not be retired, canceled, or destroyed, but shall be reissued and paid out again, and kept in circulation. The act of March 14, 1900, provides. that United States notes, when presented to the Treasury for redemption, shall be redeemed in gold coin of the standard fixed in said act, and that in order to secure the prompt and certain redemption of such notes it shall be the duty of the Secretary of the Treasury to set apart in the Treasury a reserve fund of one hundred and fifty million dollars in gold coin and bullion, to be used for such redemption purposes only, and that whenever and as often as any of said notes shall be redeemed from said fund it shall be the duty of the Secretary of the Treasury to use said notes so redeemed to restore and maintain the reserve fund so established—first, by exchanging the notes so redeemed for any gold coin in the general fund of the Treasury; second, by accepting deposits of gold coin at the Treasury or at any subtreasury in exchange for such notes; third, by procuring gold coin by the use of said notes in accordance with the provisions of section 3700 of the Revised Statutes of the United States* The above-mentioned act also provides that if the Secretary of the Treasury is unable to restore and maintain the gold coin in the reserve fund by the foregoing methods, and the amount of such gold coin and bullion in said fund shall at any time fall below one hundred million dollars, it shall be his duty to restore the same to the maximum sum of one hundred and fifty million dollars by borrowing money on the credit of the United States, and for the debt so incurred to issue and sell coupon or registered bonds of the United States bearing interest at the rate of hot exceeding three per centum per annum, payable quarterly, the bonds to be payable at the pleasure of the United States after one year from the date of their issue, and to be payable, principal and interest, in gold coin of the present standaird value, the gold coin received from the sale of said bonds to be exchanged for an equal amount of the notes redeemed and held for exchange, and t h e Secretary of the Treasury may, i n his discretion, use said notes in exchange for gold, or to purchase or redeem any bonds of the Uhited States, or for any other lawful purpose the public interests may require, except that they shall not be used to meet deficiencies in the current revenues. The act of March 4, 1907, section 2, provides that whenever and so long as the outstanding silver certificates of the denominations of one dollar, two dollars, and five dollars, issued under the provisions of section seven of an act entitled " A n act to define and fix the standard of value, to maintain the parity of all forms of money issued or coined by the United States, to refund the pubUc debt, and Q W H \> W O 1 Including reissues. to TABLE A.—Statement ofthe outstanding principal ofthe public debt, ete.—^Continued. • . • Length of loan. When redeem- Rate of in- at Price which terest, able. sold. Amount authorized. fcO Ol 00 outAmountissued. Amount standing. LEGAL-TENDER NOTES—Continued. for other purposes," approved March fourteenth, nineteen hundred, shall be, in the opinion of the Secretary of the Treasury, insufficient to meet the public demand therefor, he is hereby authorized to issue United States notes of the denominations of one dollar, two dollars, a n d five dollars, and upon the issue of United States notes of such denominations an equal amount of United States notes of higher denominations shall be retired and canceled: Provided, however, That the aggregate amount of United States notes at any time outstanding shall remain as at present fixed by law: And provided further, That nothing in this act shall be construed as affecting the right of any national bank to issue one-third in amount of its circulating notes of the denomination of five dollars, as ow provided by law. TEMPORARY LOAN. Acts of February 25, 1862 (12 Statutes, 346); March 17,1«62 (12 Statutes, 370); July 11,1862 (12 Statutes, 532), and June 30, 1864 (13 Statutes; 218). hd o o Indefinite .. After 10 days' . notice. 5, and 6 per cent. Par $150,000,000.00 1 $716,099,247.16 $2,850.00 CERTIFICATES OF INDEBTEDNESS. Acts of March 1, 1862 (12 Statutes, 352); May 17, 1862 (12 Statutes, 370), and March 3,1863 (12 Statutes, 710). lyear 1 year after 6 per c e n t . . . P a r . . . . No limit date. 561,753,24L65 3,000.00 50,000,000.00 1368,720,079.51 6,846,568.15 FRACTIONAL CURRENCY. Acts of July 17,1862 (12 Statutes, 692); March 3,1863 (12 Statutes, 711), Indefinite.. On presentaand June 30, 1864 (13 Statutes, 220). tion. None P a r . . .. LOAN OF 1863. The act of March 3,1863 (12 Statutes, 709), authorized a loan of $900,000,000, 17 years July 1,1881... 6 per c e n t . . . Av. pre. and the issue of bonds, with interest not exceeding 6 per centum per annum, and redeemable in not less than ten nor more t h a n forty. years, principal and interest payable in coin. The act of June 30,1864 (13 Statutes, 219), repeals the above authority, except as to the $75,000,000 of bonds already advertised for. Bonds of this loan continued, at 3^ per cent interest, and redeemable Indefinite.. At the pleas- 3i per cent.. Par at the pleasure of the Government. ure of the Government. 75,000,000.00 75,000,000.00 3,100.00 100.00 ONE-YEAR NOTES OF 1863. Act of March 8, 1863 (12 Statutes 710).... 400,000,000.00 44,520,000.00 30,200.00 5per c e n t . . . P a r . 400,000,000.00 166,480,000.00 26,800.00 6 per cent P a r . . . compound. 400,000,000.00 266,695,440.00 168,410.00 10 or 40 years Mar. 1,1874... 5 per c e n t . . . Par to 7 ,200,000,000.00 perct. prem. 196,118,300.00 18,550.00. 5 or 20 years. Nov. 1.1869... 6 per c e n t . . . Av. pre. 400,000,000.00 126,661,300.00 14,000.00 lyear. 1. year date. 2 years 2 years after date. Acts of March 3,1863 (12 Statutes, 710), and J u n e 30,1864 (13 Statutes, 218). TEN-FORTIES OF 1864. 3 years 3 years from date. Act of March 3,1864 (13 Statutes, 13) TWO-YEAR NOTES OF 1863. Actof March 3,1863(12 Statutes, 710) COMPOUND-INTEREST NOTES. ^ FIVE-TWENTIES OF 1864. Act of June 30,1864 (13 Statutes, 218) after 6 per c e n t . . . > SEVEN-THIRTIES OF 1864 AND 1865. 3 years w H Of2xWTT Acts of June 30, 1864 (13 Statutes, 218); January 28,1865 (13 Statutes, .426), and March 3,1865 (13 Statutes, 468). io [Aug. 15, 1867 June 15,1868 •7^ per cent. Av. pre. 800,000,000.00 1829,992,600.00 [July 15,1868 of2x|§,y. W 120,100.00 Kj O hrj FIVE-TWENTIES OP 1866. W Acts of March 3,1865 (13 Statutes, 468), and April 12,1866 (14 Statutes, 31).. 5 or 20 years. N o v . l , 1870.. 203,327,260.00 19,850.00 6 p e r c e n t . . . Av. pre. Indefinite ofl^%V 332,998,950.00 67,150.00 Actsof March 3,1865 (13 Statutes, 468), and April 12,1866 (14 Statutes, 31).. &or20 years. July 1,1872... 6 per c e n t . . . Av. pre. Indefinite ofTtSa. CONSOLS OF 1868. 379,618,000.00 93,750.00 42,539,930.00 9,900.00 185,165,000.00 6,000.00 6 per c e n t . . . Av. pre. Indefinite Of Zr%%V ^ H CONSOLS QF 1865. Acts of March 3,1865 (13 Statutes, 468), and April 12,1866 (14 Statutes, 31).. 5 or 20 years. July 1,1870. CONSOLS OF 1867 Acts of March 3,1865 (13 Statutes, 468), and April 12,1866 (14Statutes,31).. 6 or 20 years. July 1,1873., 6 per c e n t . . . Av. pre. Indefinite . . . . ofy^. m d THREE-PER-CENT CERTIFICATES. Actsof March 2,1867 (14 Statutes, 558), and July 26,1868 (15 Statutes, 183).. Indefinite.. On demand. 1 Includmg reissues. 3 percent... Par. 76,000,000.00 fcO Ol CD TABLE A.—Statement of the outstanding principal ofthe publie debt, «tc.^—Continued. Length of loan. • • Rate of in- at Price which terest. sold. Amount authorized. Amountissued, Amount outstanding. FUNDED LOAN OP 1881. . The act of January 14,1875 (18 Statutes, 296), authorizes the Secretary of the Treasury to use any surplus revenues from time to time in the Treasury not otherwise appropriated, and to issue, sell, dispose of, at not less than par, in coin, either of the description of bonds of the United States described in the act of July 14, 1870 (16 Statutes, 272), to the extent necessary for the redemption of fractional currency in silver coins of the denominations of ten, twenty-five, and fifty cents of standard value. The act of March 3,1875 (18 Statutes, 466), directs the Secretary of the Treasury to issue bonds of the character, and description set out in the act of July 14, 1870 (16 Statutes, 272), to James B. Eads, or his legal representatives, in payment at par of the warrants of the Secretary of War for the construction of jetties and auxiliary works to maintain a wide and deep channel between the South Pass of the Mississippi River and the Gulf of Mexico, unless Congress shall have previously provided for the payment of the same by the necessary appropriation of money. The act of July 14, 1870 (16 Statutes, 272), authorizes the issue of [-10 years $200,000,000 at 5 per centum, principal and interest payable in coin of the present standard value, at the pleasure of the United States Government, after ten years; these bonds to be exempt from the payment of all taxes or duties of the United States, as well as from • taxation in any form by or under State, municipal, or local authority. Bonds and coupons payable at the Treasury of the United States. This act not to authorize an increase of the bonded debt of the United States. Bonds to be sold at not less t h a n par in coiu, and t h e proceeds to be applied to the redemption of outstanding 5-20's or to be exchanged for said 5-20's, par for par. Payment of these bonds, when due, to be made in order of dates a n d numbers, beginning with each class last dated and numbered. Interest to cease at the end of three months from notice of intention to redeem. The act of January 20,1871 (16 Statutes, 399), increases t h e amount of 5 per cents to $500,000,000, provided the total amount of bonds issued shall not exceed the amount originally authorized, and authorizes the interest on any of these bonds to be paid quarterly. The act of December 17,1873 (18 Statutes, 1), authorized the issue of an equal amount of bonds of the loan of 1858, which the holders thereof may, on or before February 1,1874, elect to exchange for the bonds of this loan. When redeemable. to O O o May 1, 1881... 5 p e r c e n t . Par. $517,994,150.00 $22,400.00 hrj H-l fe| > a $1,500,000,000 FUNDED LOAN OF 1891. (REFUNDING.) The act of July 14,1870 (16 Statutes, 272), authorizes the issue of $300,000,000 at 4^ per centum, payable, in coin of the present standard value, at the pleasure of the United States Goverhment, after fifteen years; these bonds to be exempt from the payment of all taxes or duties of the United States, as well as from taxation in any form by or under State, municipal, or local authority. Bonds and coupons payable at the Treasury of the United States. This act not to authorize an increase of the bonded debt of the United States. Bonds to be sold at not less than par in coin, and the proceeds to be applied to the redemption of outstanding 5-20's or to be exchanged for said 6-20's, par for par. Paymerit of these bonds, when due, to be made in ord!er of dates and numbers, beginning with each class last dated and numbered. Interest to cease at the end of three months from notice of intention to redeem. 15 years. Sept. 1,1891. 4iper cent.. P a r . 185,000,000.00 20.960 00 o FUNDED LOAN OF 1891. (RESUMPTION.) The act of January 14,1875 (18 Statutes, 296), authorizes the Secretary of theTreasury to use any surplus revenues from time to time in the Treasury not othermse appropriated, and to issue, sell, dispose of, at not less than par in coin, either of the descriptions of bonds of the United States described in the act of July 14, 1870 (16 Statutes, 272), for the purpose of redeeming, on and after January 1,1879, in coin, at the office of the assistant treasurer of the United States in New York, the outstanding United States legal-tender, notes when presented in sums of not less than fifty dollars. FUNDED LOAN OF 1907. 15 years- Sept. 1,1891. 4i per cent.. P a r t o l i per ct.pre. Indefinite . u 65,000,000.00 O hrj (REFUNDING.) The act of July 14,1870 (16 Statutes, 272), authorizes the issue of $1,000,000,000 at 4 per centum, payable in coin of the present standard value, at the pleasure of the United States Government, after thirty years; these bonds to be exempt from the payment of all taxes or duties of the United States, as well as from taxation in any form by or under State, municipal, or local authority. Bonds and coupons payable at the Treasury of the UnitedStates. This act not to authorize an increase of the bonded debt of the United States. Bonds to be sold at not less t h a n par in coin, and the proceeds to be applied to the redemption of outstanding 5-20's, or to be exchanged for said 5-20's, par for par. Payment of these bonds, when due, to be made in order of dates and numbers, beginning with each class last dated and numbered. Interest to cease at the end of three months from notice of intention to redeem. See Refunding Certificates, page 264. 30 years. July 1,1907... 4 per c e n t . . . P a r t o h per ct. pre. 710,430,950.00 > Ul d 506,100.00 FUNDED LOAN OP 1907. (RESUMPTION.) The act of January 14,1875 (18 Statutes, 296), authorizes the Secretary 30 yearsof the Treasury to use any surplus revenues from time to time in the Treasury not otherwise appropriated, and to issue, sell, dispose of. July 1,1907... 4 per c e n t . . Indefinite... . 30,600,000.00 to TABLE A.—Statement ofthe outstanding principal ofthe public debt, ete.—Continued. Length of loan. When redeem- Rate of in- atPrice which terest. able. sold. Amount authorized. outAmount issued. Amount standing. to to FUNDED LOAN OF 1907 (RESUMPTION)—Continued. at not less than par, in coin, either of the description of bonds of the United States described in the act of July 14,1870 (16 Statutes, 272), for the purpose of redeeming, on and after January 1,1879, in coin, a t t h e office of the assistant treasurer of the United States in New York, the outstanding United States legal-tender notes when presented in sums of not less than fifty dollars. GOLD CERTIFICATES. The act of March 3,1863 (12 Stat., 711), authorizes the Secretary of Indefinite . the Treasury to receive deposits of gold coin and bullion in sums of not less than twenty dollars, and to issue certificates therefor in denominations of not less t h a n twenty dollars each; the coin and bullion deposited for or representing the certificates to be retained in the Treasury for the payment of the same on demand. The certificates so issued to be received at par in payment of interest on the public debt and for duties on imports. The act of July 12,1882 (22 Statutes, 165), provides that the Secretary of the Treasury shall suspend the issue of gold certificates whenever the amount of gold coin and gold bullion in the Treasury reserved for the redemption of United States notes falls below one hundred millions of dollars. The act of March 14, 1900, as amended by the act of March 4, 1907, authorizes and directs the Secretary of the Treasury to receive deposits of gold coin with the Treasurer or any assistant treasurer of the United States, in sums of not less than twenty dollars, and to issue gold certificates therefor in denominations of not less than ten dollars, and the coin so deposited shall be retained in the Treasury and held for the payment of such certificates on demand, and used for no other purpose; such certificates to be received for customs, taxes, and all public dues, and when so received may be reissued, and when held by any national banking association may be counted as a part of its lawful reserve. The act also provides that whenever and so long as the gold coin held in the reserve fund in t h e Treasury for the redemption of United States notes and Treasury notes shall fall and remain below one hundred million dollars, the authority to issue certificates as herein provided shall be suspended; and also, that whenever and so long as the aggregate amount of United States notes and silver certificates in the general fund of the Treasury shall exceed sixty million dollars, the Secretary of the Treasury may, in his discretion, suspend the issue of the certificates herein provided for; and further, that the Secretary of the Treasury may, in his discretion, issue such certificates in denominations of ten thousand dollars, payable to order. On demand .. N o n e . Par. Indefinite. §2,094,336,669.00 hd O n o H brj I—l fei > fei o Ui The actof March 2,1911 (36 Stat., 965, sec. 1), provides that the Secretary of the Treasury may, in his discretion, receive, with the assistant treasurer in New York and the assistant treasurer in San Francisco, deposits of foreign gold coin at their bullion value in amounts of not less than one thousand dollars in value and issue gold certificates therefor of the description herein authorized; and also provides that the Secretary of the Treasury may, in his discretion, receive, with the Treasurer or any assistant treasurer of the United States, deposits of gold bullion bearing the stamp of the coinage mints of the United States, or the assay office in New York, certifyT ing their weight, fineness, and value, in amounts of not less than one thousand dollars in value, and issue gold certificates therefor of the description herein authorized. But the amount of gold bullion and foreign coin so held shall not at any time exceed one-third of the total amount of gold certificates at such time outstanding. And section fifty-one hundred and ninety-three of the Revised Statutes of the United States is hereby repealed. i O SILVER CERTIFICATES. The act of February 28,1878 (20 Statutes, 26, sec. 3), provides that any Indefinite . holder of the coin authorized by this act may deposit the same with the Treasurer or any assistant treasurer of the United States in sums not less than ten dollars and receive therefor certificates of not less than ten dollars each, corresponding with the denominations of the United States notes. The coin deposited for or representing the certificates shall be retained in the Treasury for the paynient of the same on demand. Said certificates shall be receivable for customs, taxes, and all public dues, and, when so received, may be reissued. The act of August 4,1886 (24 Statutes, 227), authorizes the issue of silver certificates in denominations of one, two, and five dollars; said certificates to be receivable, redeemable, and payable in like manner and for like purposes as is provided for by the actof February 28, 1878. The act of March 14, 1900, provides that it shall be the duty of the Secretary of the Treasury, as fast as silver dollars are coined under the provisions of the acts of July 14, 1890, and June 13, 1898, from bullion purchased under the act of July 14,1890, to retire and cancel an equal amount of Treasury notes whenever received into the Treasury, and upon the cancellation of Treasury notes, silver.certificates shall be issued against the silver dollars so coined. The act also provides that silver certificates shall be issued only of denominations of ten dollars and under, except that not exceeding in the aggregate ten per centum of the total volume of said certificates, in the discretion of the Secretary of the Treasury, may be issued in denominations of twenty dollars, fifty dollars, and one hundred dollars; and silver certificates of higher denomination than ten dollars, except as therein provided, shall, whenever received at the Treasury or redeemed, be retired and canceled, and certificates of denominations of ten dollars or less shall be substituted therefor, and after such substitution, in whole or in part, a w On demand... None . Par. No limit. 492,860,000.00 tei n o hd H M teJ H teJ to CO TABLE A.—Statement of the outstanding principle of the public debt^ etc.—Continued. to G:> Length of loan. SILVER CERTIFICATES—Continued. When redeem- Rate of in- at Price which able. terest. sold. Amount authorized. outAmount issued. Amount standing. „ like volume of United States notes of less denomination than ten doUars shall from time to time be retired and canceled, and notes of denominations of ten dollars and upward shall be reissued in substitution therefor, with like qualities and restrictions as those retired and canceled. REFUNDING CERTIFICATES. The act of February 26,1879 (20 Statutes, 321), authorizes the Secretary of the Treasury to issue, in exchange for lawful money of the United States, certificates of deposit of the denomination of ten dollars, bearing interest at thie rate of four per centum per annum, and convertible at any time, with accrued interest,into the four per centum bonds described in the refunding act, the money so received to be applied only to the payment of the bonds bearing interest at a rate not less than five per centum, in the mode prescribed by said act. FUNDED LOAN OP 1881, CONTINUED AT THREE AND ONEHALF PER CENT. These bonds were issued in exchange for five per cent bonds of the funded loan of 1881, by mutual agreement between the Secretary of the Treasury and the holders, and were made redeemable at the pleasure of the Government. FUNDED LOAN OP 1891, CONTINUED AT TWO PER CENT. These bonds were issued in exchange for the four and one-half per cent funded loan of 1891, by mutual agreement between the Secretary of the Treasury and the holders, and were made redeemable at the pleasure of the Government. LOAN OP JULY 12, 1882. These bonds were issued in exchange for the five and six per cent bonds which had been previously continued at three and one-half per cent by mutual agreement between the Secretary of the Treasury and the holders, and were made redeemable at the pleasure of the Government. LOAN OF 1904. The act of January 14,1875 (18 Statutes, 296), authorizes t h e Secretary of the Treasury to use any surplus revenues from time to time in the Treasury not otherwise appropriated, and to issue, sell, dispose of at not less than par, in coin, either of the descriptions of bonds of the Indefinite .. C o n v e r t i b l e into 4 per cent bonds. 4 p e r c e n t . . . Par No limit $40,012,750.00 $11,560.00 O o teJ Indefinite .. At pleasure of the Government. 3iper cent.. P a r . . . . . Indefinite .. At pleasure of the Government. 2per c e n t . . . Par Indefinite .. At pleasure of the Government. 3per c e n t . . . Par F e b . l , 1904... 5 p e r c e n t . . . fll7.223 1117.077 10 years • - 50.00 ... > o 25,364,500.00 4,000.00 200.00 I1 hcJ H-l 100,000,000.00 13,050.00 tej CO United States described in the act of July 14,1870 (16 Statutes, 272), for the purpose of redeeming, on and after January 1, 1879, in coin, at the office of the assistant treasurer bf the United States in New York, the outstanding United States legal-tender notes when presented in sums of not less than fifty dollars. LOAN OF 1925. The act of January 14,1875 (18 Statutes, 296), authorizes the Secretary of the Treasury to use any surplus revenues from time to time i n the Treasury not otherwise appropriated, and to issue, sell, dispose of at not less than par, in coin, either of the descriptions of bonds of the United States described in the act of July 14,1870 (16 Statutes, 272), for the purpose of redeeming, on and after January 1, 1879, in coin, at the office of the assistant treasurer of the United States in New York, the outstanding United States legal-tender notes, when presented in sums of not less than fifty dollars. ) years . Feb. 1,1925..., 4 p e r c e n t . . . fl04. 4946 166 162,315,400.00 ini. 118,489,900.00 O LOAN OP 1908-1918. The act of June 13,1898 (30 Statutes, 467, sec. 33), authorizes the Sec- 10 years . . retary of the Treasury to borrow on the,credit of the United States, ;from time to time, as the proceeds may be required, to defray expenditures authorized on account of the war with Spain (such pjroceeds when received to be used only for the purpose of meeting such expenditures), the sum of four hundred million dollars, or so much thereof as may be necessary, and to prepare and issue therefor coupon or registered bonds of the United States in such form as he may prescribe, and in denominations of twenty dollars or some multiple of that sum, redeemable in coin at the pleasure of the United States after ten years from the date of their issue, and payable twenty years from such date, and bearing interest payable quarterly, in coin, at the rate of three per centum per annum; the bonds so issued to be exempt from all taxes or duties of the United States, as well as from taxation in any form by or under state, municipal, or local authority. CONSOLS OP 1930. The act of March 14,1900, section 11, authorizes the Secretary of the 30years . . . Treasury to receive at the Treasury any of the outstanding bonds of the United States of the five per cent loan of 1904, of the four per cent funded loan of 1907, and of the three per cent loan of 1908-1918, and to issue in exchange therefor a n equal amount of coupon or registered bonds of the United States, in such form as he may prescribe, in denominations of fifty dollars, or any multiple thereof.oearing interest at the rate of two per centum per annum, payable quarterly, such bonds to be payable at the pleasure of the United States after thirty years from the date of their issue. The principal and interest of said bonds to be payable in gold coin of the present standard value, and to be exempt from the payment of all taxes or duties of the United States, as well as from taxation in any form by or under state, municipal, or local authority. The bonds to be issued at not less than par and numbered consecutively in the order of their issue; and when payment is made the last numbers issued shall be first w After Aug. 1, 1908. 3 percent... Par. $400,000,000.00 198,792,660.00 63,945,460.00 \ o W H W teJ > After Apr. 1, 1930. 2 per cent. Par. 839,146,340.00 646,250,150.00 599,724,050.00 Ki to o Ol TABLE A.—Statement ofthe outstanding principal ofthe public debt, etc.—Continued. Length of loan. . CONSOLS OP 1930—Continued. paid, and this order followed until all the' bonds are paid. Interest to cease three months after any call made by the Governnient to redeem. TREASURY NOTES OF 1890. The act of July 14,1890 (26 Statutes, 289), directs the Secretary of the Treasury to purcnase, from tirae to time, silver bullion to the aggregate amount of four million five hundred thousand ounces, or so much thereof as may be offered, in each month, at the market price thereof, not exceeding one dollar for three hundred a n d seventy-one and twenty-five hundredths grains of pure silver, and to issue in payment for such purchases of silver bullion Treasury notes of the United States, to be prepared b y t h e Secretary of the Treasury, in such form and of such denominations, not less than one dollar nor more than one thousand dollars, as he may prescribe. That said notes shall be redeemable on demand, in coin, at the Treasury of the United States, or at the office of any assistant treasurer of the United States, and when so redeemed may be reissued; but no greater or less amount of such notes shall be outstanding at any time than the cost of the silver bullion and t h e standard silver dollars coined therefrom then held in the Treasury, purchased by such notes; and such Treasury Jiotes shall be a legal tender in payment of all debts, public and pri. vate, except where other-wise expressly, stipulated in the contract, and shall be receivable for customs, taxes, and all public dues, and when so received may be reissued; and such notes, when held by any national banking association, may be counted as a part of its lawful reserve. That upon demand of the holder of any of the Treasury notes provided for, the Secretary of the Treasury shall redeem the same in gold or silver coin, at his discretion, itbeing the established policy of the United States to maintain the two metals on a parity with each other upon the present legal ratio, or such ratio as may be provided by law. The act of November 1,1893 (28 Stat., 4), repeals so much of the act of July 14,1890, as directs the Secretary of the Treasury to purchase from time to time silver bullion to the aggregate amount of four million five hundred thousand ounces, or so much thereof as may be offered in each month, at the market price thereof, and to issue in payment for such purchases Treasury notes of the United States. The act of June 13,1898 (30 Stat., 467), directs that all of the silver bullion in the Treasury purchased in accordance with the provisions of the act of July 14,1890, shall be coined into standard silver dollars as rapidly as the public interests may require, to an amount of not less than one and one-half millions of dollars in each month, and that said dollars, when so coined, shall be used and applied in When redeemable. Rate of interest. Price at which sold. to 0:> Amount authorized. outAmount issued. Amount standing. $1,976,000.00 hj o w O hi •w tei a teJ Ul the manner and for the purposes named in said act. The act of March 14, 1900, provides that United States notes, and Treasury notes issued under the act of July 14, 1890, when presented to the Treasury for redemption, shall be redeemed in gold coin of the standard fixed by said act, and requires that the Secretary of the Treasury shall set apart in the Treasury a reserve fund of one hundred and fifty million dollars to be used for such redemption purposes only. I t also provides that it shall be the duty of the Secretary of the Treasury, as fast as silver dollars are coined under the provisions of the acts of July 14,1890, and June 13,1898, from bullion purchased under the act of July 14, 1890, to retire and cancel an equal amount of Treasury notes whenever received into the Treasury, and upon such cancellation to issue silver certificates against the silver dollars so coined. PANAMA CANAL LOAN. The act of J u n e 28,1902 (32 Stat., 484, sec. 8), provides that the Secretary 10 years, of the Treasury is hereby authorized to borrow on the credit of the United States from time to time as the proceeds may be required to 10 years, defray expenditures authorized by this act (such proceeds when received to be used only for the purpose of meeting such expenditures), 50 years, the sum of one hundred and thirty million dollars, or so much thereof as may be necessary, and to prepare and issue therefor coupon or registered bonds of the United States in such form as he may prescribe, and in denominations of twenty dollars or some multiple of that sum, redeemable in gold coin at the pleasure of the United States after ten years from the date of their issue, and payable thirty years from such date, and bearing interest payable quarterly in gold coin at the rate of two per centum per annum; and the bonds herein authorized shall be exempt from all taxes or duties of the United States, as well as from taxation in any form by or under State, municipal, or local authority: Provided, That said bonds may be disposed of by the Secretary of the Treasury at not less than par, under such regulations as he may prescribe, giving to all citizens of the United States an equal opportunity to subscribe therefor, but no commissions shall be allowed or paid thereon; and a sum not exceeding one-tenth of one per centum of the amount of the bonds herein authorized is hereby appropriated, out of any money in the Treasury not otherwise appropriated, to pay the expense of preparing, advertising, and issuing the same; and the actof December 21,1905 (34 Stat., 5, sec. 1), provides that the two per cent bonds of the United States authorizedby section eight of the act entitled " A n act to provide forthe construction of a canal connecting the waters of the Atlantic and Pacific Oceans," approved J u n e twenty-eighth, nineteen hundred and two, shall have all the rights and privileges accorded by law to other two per cent bonds of the United States, and every national banking association having on deposit, as provided by law, such bonds issued under the provisions of said section eight of said act approved June twenty-eighth, nineteen hundred and two, to secure its circulating notes, shall pay to the Treasurer of the United States, in the months of January and July, a tax of one-fourth of one per cent each half year upon the average amount of such of its notes in circulation as are based upon the Average After Aug. 1, 2 p e r c e n t . . . $103,513 1916. After Nov. 1, 2 per c e n t . . . .102.436 1918. June 1,1961... 3 per c e n t . . . 102.582 [$54,631,980.00 5375,200,980.00 i 30,000,000.00 124,901,580.00 [50,000,000.00 n o tei h5 W teJ I > Ul d to TABLE A.—Statement ofthe outstanding principal ofthe public debt, etc.—Continued. to 00 Length of loan. When redeemable. Rate of in- atPrice which teriest. sold. Amount authorized. Amountissued. Amount outstanding. PANAMA CANAL LOAN—Continued. deposit of said two per cent bonds; and such taxes shall be in lieu of existing taxes on its notes in circulation imposed by section fiftytwo hundred and fourteen of the Revised Statutes. The actof August 5, 1909 (36 Stat., 117, sec. 39), providesthat the Secretary of theTreasury is hereby authorized to borrow on the credit of the United States from time to time, as the proceeds may be required to defray expenditures on account of the Panama Canal and to reimburse the Treasury for such expenditures already made and not covered by previous issues of bonds, t h e sum of two hundred and ninety million five hundred and sixty-nine thousand dollars (which sum together with the eighty-four million six hundred and thirtyone thousand nine hundred [and eighty] dollars already borrowed upon issues of two per cent bonds under section eight of the act of June twenty-eighth, nineteen hundred and two, equals the estimate of the Isthmian Canal Commission to cover the entire cost of the canal from its inception to its completion), and to prepare and issue therefor coupon or registered bonds of the United States in such form as h e may prescribe, and in denominations of one hundred dollars, five hundred dollars, and one thousand dollars, payable fifty years from the date of issue, and bearing interest payable quarterly in gold coin at a rate not exceeding three per centum per annum; and the bonds herein authorized shall be exempt from all taxes or duties of the United States, as well as from taxation in any form by or under State, municipal, or local authority: Provided, That said bonds m a y b e disposed of by the Secretary of the Treasury at not less than par, under such regulations as he may prescribe, giving to all citizens of the United States an equal opportunity to subscribe therefor, but no commissions shall be allowed or paid thereon; and a sum not exceeding one-tenth of one per centum of the amount of the bonds herein authorized is hereby appropriated, out of any money in the Treasury not otherwise appropriated, to pay the expenses of preparing, advertising, and issuing the same; and the authority contained in section eight of the act of June twentyeighth, nineteen hundred and two, for the issue of bonds bearing interest at two per centum per annum, is hereby repealed. The act of March 2,1911 (36 Stat., 1013), provides that the Secretary of the Treasury be, and he is hereby, authorized to insert in the bonds to be issued by him under section.thirty-nine of an Act entitled "An Act to provide revenue, equalize duties, and encourage the industries of the United States, and for other purposes," approved August fifth, nineteen hundred and nine, a provision that such bonds shall not be receivable by the Treasurer of the United States as security o H O tei fe^ o tei Ul for the issue of circulating notes to national banks; and the bonds containing such provision shall not be receivable for that purpose. POSTAL SAVINGS BONDS. Theact of June 25,1910 (36 Stat., 817, sec. 10) provides that any depositor in 20 a postal savings depository may surrender Ms deposit, or any part thereof, in sums of twenty dollars, forty dollars, sixty dollars, eighty dollars, one hundred dollars, and multiples of one hundred dollars and five hundred dollars, and receive in lieu of such surrendered deposits, under such regulations as may be established by the board of trustees, the amount of the surrendered deposits ta United States coupon or registered bonds of the denominations of twenty dollars, forty dollars, sixty dollars, eighty dollars, one hundred dollars, and five hundred dollars, which bonds shall bear interest at the rate of two and one-half per centum per annum, payable semiannually, and be redeemable at the pleasure of the United States iafter one year from the date of their issue and payable twenty years from such date, and both priacipal and interest shall be payable in United States gold coin of the present standard of value: Provided, That the bonds hereia authorized shall be issued only (fiirst) when there are outstanding bonds ofthe United States subject to call, in which case the proceeds of the bonds shall be appUed to the redemption at par of outstanding bonds ofthe United States subject to call; and (second) at times when under authority of law other than that contained in this act the Government desires to issue bonds, for the purpose of replenishing the Treasury, in which case the issue of bonds under authority of this Act shall be in lieu of the issue of a like amount of bonds issuable under authority of law other than that contained in this Act: Provided further, That the bonds authorized by this Act shall be issued by the Secretary of the Treasury under such regulations as he may prescribe: And provided further. That the authority contained in section nine of this Act for the investment of postal savings fimds in United States bonds shall include the authority to invest in the bonds herein authorized whenever such bonds may be lawfully issued: And provided further. That the bonds herein authorized shall be exempt from all taxes or duties of the United States as well as from taxation in any form by or under State, municipal, or local authority: .4 wd provided further, That no bonds authorized by this Act shall be receivable by the Treasurer of the United States as security for the issue of circulating notes by national banking associations. CONVERSION BONDS. Each series 1 year date. after 2i per cent.. Par. Indefinite. $10,039,760.00 $10,039,760.00 Ul tei o w tei ^ o hrj H tei H W tei > Ul d Each series 30 3 p e r c e n t . . . 2 s e x - Indefinite. changed years from at par. d a t e of issue. 28,894,500.00 28,894,500.00 2 s e x - Indefinite. changed at par. 27,362,000.00. 27,362,000.00 ONE-YEAR TREASURY NOTES. Sec. 18 of the act of Dec. 23,1913 (38 Stat., 251), provides that upon applica- Each series 1 year. tion of any Federal reserve bank, approved by the Federal Reserve Board, theSecretary of the Treasury may issue, in exchange for United States two per centum gold bonds bearing the circulation privilege, but Each series 1 3 per cent. y e a r from d a t e of issue. to CD to TABLE A.—Statement ofthe outstanding principal ofthe public debt, ete.—rContinued. Length of loan. When redeemable. Rates of in- at Price which terest. sold. Amount authorized; -a o outAmoimt Issued. Amomit standing. CONVERSION BONDSAND ONE-YEAR TREASURY NOTES— Continued. against which no circulation is outstanding, one-year gold notes of the United States without the circulation privilege, to an amount not to exceed one-half of the two per centum bonds so tendered for exchange, and thirty-year three per centum gold bonds without the circulation privilege for the remainder of the two per centum bonds so tendered: Provided, That at the time of such exchange the Federalreserve bank obtainiag such one-year gold notes shall enter iato an obligation with the Secretary of the Treasury binding itself to purchase from the United States for gold at the matunty of such one-year notes an amount equal to those delivered in exchange for such bonds, if so requested by the Secretary, and at each maturity of one-year notes so purchased by such Federal reserve bank, to purcnase from the United States such an amount of oneyear notes as the Secretary may tender to such bank, not to exceed the amount issued to such bank in the first instance, in exchange for the two per centum United States gold bonds; said obligation to purchase at maturity such notes shall continue in force for a period not to exceed thirty years. For the purpose of making the exchange hereinprovided for, the Secretary of the Treasury is authorized to issue at par Treasury notes in coupon or registered form as he may prescribe ia denominations of one hundred dollars, or any multiple thereof, bearing iaterest at the rate of three per centum per annum, payable quarterly, such Treasury notes to be pay^ able not more than one year from the date of their issue in gold coin of the present staadard value, and to be exempt as to principal and interest from the payment of all taxes and duties ofthe United States except as provided b y this act, as well as from taxes in any form by or under State, municipal, or local authorities. And for the same purpose, the Secretary is authorized and empowered to issue United States gold bonds at par, bearing three per centum iaterest, payable thirty years from the date of issue, such bonds to be of the same general tenor and effect and to be issued under the same general terms and conditions as the United States three per centum bonds without the circulation privilege now issued and outstandiag. Upon application of any Federal reserve bank, approved by the Federal Reserve Board, the Secretary may issue at par such three per centum bonds in exchange for the one-year gold notes hereia proviaed for. o H O fei tei fei fei otei Ul CERTIFICATES OF INDEBTEDNESS, 2 P E R CENT. BEC. 401. That section thirty-two of an act entitled " A n act providing ways and means to meet war expenditures, and for other purixises," approved June thirteenth, eighteen hundred and ninety-eight, as amended by section forty oi an act entitled " A n act to provide revenue, equalize duties and encourage the industries of the United States, and for other purposes," approved August fifth, nineteen hundred and nine, be, and the same is hereby, amended to read as follows: ' " S E C . 32. That the Secretary of the Treasury is authorized to borrow, from time to time, at a rate of interest not exceeding three per centum per annum, such sum or sums as, in his judgment, may be necessary to meet public expenditures, and to issue therefor certificates of indebtedness in such form and in such denominations as he may prescribe; and each certificate so issued shall be payable, with the interest accrued thereon, at such time, not exceeding one year from the date of its issue, as the Secretary of the Treasury may prescribe: Provided, That the sum of such certificates outstanding shall at no time exceed $300,000,000, and the provisions of existing law respecting counterfeiting and other fraudulent practices are hereby extended to the bonds and certificates of indebtedness authorized by this act." (Act of Mar. 3,1917.) CERTIFICATES OF INDEBTEDNESS, 3 P E R CENT. CERTIFICATES OF INDEBTEDNESS, 3J P E R CENT, 90 days.. June 29,1917.. 2 per c e n t . . . Par. $300,000,000.00 $50,000,000.00 (0 a u /June 30, 1917.,, j s p e r c e n t . . . Par....! \Julyl7,1917... [$468,205,000.00 $12,775,600.00 61,306,032.00 [400,000,000.00 211,551,100.00 BEC. 6. That in addition to the bonds authorized by sections one and four July 30,1917... 3J per cent.. Par. of this act, the Secretary of the Treasury is authorized to borrow from time to time, on the credit of the United States, for the purposes of this act and to meet public expenditures authorized by law, such sum or sums as, in his judgment, may be necessary, and to issue therefor certifijates of indebtedness at not less than par in suchIlform and subject to . such terms and conditions and at such rate of interest, not exceeding three and one-half per centum per annum, as he may prescribe; and each certificate so issuea shall be payable, witn the interest accrued thereon, at such time, not exceeding one year from the date of its issue, as the Secretary of the Treasury may prescribe. Certificates of indebtedness herein authorized shall not b tarthe circulation privilege, and the smm of such certificates outstanding shall at no time exceea in the aggregate $2,000,000,000, and such certificates shall be exempt, both as to prmcipal and interest, from all taxation, except estate or iiiheritance taxes, imosed by authority of the United States, or its possessions, or by any tate or local taxing authority. (Act of Apr. 24,1917.) iThe certificates issued under this act, amounting to $60,000,000, were redeemed on June 29 ,1917. o tei 2,000,000,000.00 tei H > S to -5 TABLE A.—Statement ofthe outstanding principal of the publie debt—Continued. Length of loan. L I B E R T Y LOAN OF 1917, FIRST ISSUE. That the Secretary of the Treasury, with the approval of the President, is hereby authorized to borrow, from time to time, on the credit of the United States for the purposes of this act, and to meet expenditures authorized for the national security and defense and other public purposes authorized by law not exceeding in the aggregate $5,000,000,000, exclusive of the sums authorized by section four of this act, and to issue therefor bonds ofthe United States. The bonds herein authorized shall be in such form and subject to such terms and conditions of issue, conversion, redemption, maturities, payment, and rate and time of payment of interest, not exceeding three and one-half per centum per annum, as the Secretary of the Treasury may prescribe. The principal and interest thereof shall be payable in United States gold coin of the present standard of value and shall be exempt, both as to principal and interest, from all taxation, except estate or mheritance taxes, imposed by authority ofthe Unitea States, or its possessions, or by any State or local taxing authority; but such bonds shall not bear the circulation privilege. The bonds herein authorized shaU first be offered at not less than par as a popular loan, under such regulations prescribed by the Secretary of the Treasury as will give all citizens of the United States an equal opportunity to participate therein; and any portion of the bonds so offered and not subscribed for may be otherwise disposed of at not less than par by the Secretary of the Treasury; but no commissions shall be allowed or paid on any bonds issued under authority of this act. (Act Apr.24,1917.) When redeem- Rates of in- atPrice which able. terest. sold. R e d e e m a b l e 3 | per cent.. Par June 15,1932. Payable June 15,1947. Amount authorized. outAmount issued. Amount standing. $5,000,000,000.00 $1,466,335,094.61 i$l,466,335,094.61 ' NATIONAL-BANK NOTES (REDEMPTION ACCOUNT). The act of July 14,1890 (26 Stat., 289), provides that balances standing with the Treasurer of the United States to the respective credits of national banks for deposits made to redeem the circulating notes of such banks, and all deposits thereafter received for like purpose, shall be covered into the Treasury as a miscellaneous receipt, and the Treasurer ofthe United States shall redeem from the general cash in the Treasury the circulating notes of said banks which may come into his possession subject to redemption, * * * and the balance remaining of the deposits so covered shall, at the close of each month, be reported on the monthly publicdebt statement as debt of the United States bearmg no interest. T o t a l bond.*!. nertifinatAQ a n d notfts OutstandfUP ^ . . . . . . . . . . . . . . . . . . . to to 1 This amount represents receipts on account of principal of Liberty loan bonds to June 30. a Including $525,781,840 gold and silver certificates and Treasury notes of 1890 in the Treasury on June 30, 1917. hd o H O fei K tei tei H-l 48,235,167.00 fei o tei Ul 5,717,770,279.52 T A B L E B.—Statement of the outstanding principal of the public debt of the United States on the 1st of July of each year from 1856 to 1917, inclusive. Year. CO o w 185&-Julyl... 1867 1858 1859 1860 1861 1862 1863 1864 1865 1865—Aug. 3 1 . 1866—Julyl... 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 1880 1881 1882 1883. 1884 1885 1886 1887 1888 1889 1890 1891... 1892 1893 1894 1895 1896 T o t a l Interestbearing debt. $31,762, 761.77 28,460, 958.93 I.ll 44,700, 58,290, 738.11 64,640, 838.11 90,380, 873.95 365,304, 826.92 707,531, 634.47 359,930, 763.50 221,311, 918.29 381,530, 294.96 332,331, 207.60 248,067, 387.66 202,088, 727.69 162,060, 522.39 046,455, 722.39 934,696, 750.00 814,794, 100.00 710,483, 950.00 738,930, 750.00 722,676, 300.00 710,685, 450.00 711,888, 500.00 794,735, 650.00 797,643; 700.00 723,993 100.00 639,567; 750.00 463,810, 400.00 338,229, 150.00 226,563, 850.00 196,150, 950.00 146,014, 100.00 021,692, 350.00 960,522, 500.00 829,853, 990.00 725,313, 110.00 610,529, 120.00 585,029, 330.00 585,037, 100.00 635,041, 890.00 716,202, 060.00 847,363, 890.00 D e b t on w h i c h interest h a s ceased. $209,776.13 238,872.92 211,042.92 206,099.77 201,449.77 199,999.77 280,195.21 473,048.16 416,335.86 1,245,771.20 1,503,020.09 935,092.05 1,840,615.01 1,197,340.89 5,260,181.00 3,708,64L00 1,948,902.26 7,926,797.26 51,929,710.26 3,216,590.26 11,425,820.26 3,902,420.26 16,648,860.26 5,594,560.26 37,015,630.26 7,621,455.26 6,723,865.26 16,260,805.26 7,831,415.26 19,656,205.26 . 4,100,995.26 9,704,445.26 6,115,165.26 2,496,095.26 1,911,485.26 1,815,805.26 1,614,705.26 2,785,875.26 2,094,060.26 1,851,240.26 1,721,590.26 1,636,890.26 Debt bearing no interest.* $158,591,390. 411,767,456. 455,437,271. 458,090,180. 461,616,311. 439,969,874. 428,218, IOL 408,401,782. 421,131,510. 430,508,064. 416,565,680. 430,530,43L 472,069,332. 509,543,128. 498,182,41L 465,807,196. 476,764,031. 455,875,682. 410,835,741. 388,800,815: 422,721,954. 438,241,788. 538, 111, 162. 584,308,868. 663,712,927, 619,344,468, 629,795,077. 739,840,389. 787,287,446. 825,011,289. 933,852,766. 1,000,648,939. 958,854,525. 995,360,506. 958,197,332. 920,839,543. O O u t s t a n d i n g principal. Cash t a t h e Treasu r y J u l y l.» T o t a l d e b t less cash In T r e a s u r y . $31,972,537.90 28,699,83L85 44,911,88L03 58,496,837.88 64,842,287.88 90,580,873.72 524,176,412.13 1,119,772,138.63 1,815,784,370.57 2,680,647,869.74 2,844,649,626.56 2,773,236,173.69 2,678,126,103.87 2,611,687,85L19 2,588,452,213.94 2,480,672,427.81 2,353,211,332.32 2,253,251,328.78 2,234,482,993.20 2,251,690,468.43 2,232,284,53L 95 2,180,395,067.15 2,205,301,392.10 2,256,205,892.53 2,245,495,072.04 2,120,415,370.63 2,069,013,569.58 1,918,312,994.03 1,884,171,728.07 1,830,528,923.57 1,863,964,873.14 1,775,063,013.78 1,657,602,592.63 1,692,858,984.58 1,619,052,922.23 1,552,140,204.73 1,545,996,59L 61 1,588,464,144.63 1,545,985,686.13 1,632,253,636.68 1,676,120,983.25 1,769,840,323.40 $21,006,584.89 18,701,210.09 7,011,689.31 5,091,603.69 4,877,885.87 2,862,212.92 18,863,659.96 8,421,401.22 106,332,093.53 5,832,012.98 88,218,055.13 137,200,009.85 169,974,892.18 130,834,437.96 155,680,340.85 149,502,471.60 106,217,263.65 103,470.798.43 129,020;932.45 147,541,314.74 142,243,361.82 119,469,726.70 186,025,960.73 256,823,612.08 249,080,167.01 201,088,622.88 249,363,415.35 243,289,519.78 345,389,902.92 391,985,928.18 488,612,429.23 492,917,173.34 482,433,917.21 629,854,089.85 .643,113,172.01 661,355,834.20 694,083,839.83 746,937,68L03 707,016,210.38 732,940,256.13 774,448,016.51 814,543,069.70 $10,965,953.01 9,998,62L76 37,900,19L72 53,405,234.19 59,964,402.01 87,718,660.80 505,312,752.17 1,111,350,737.41 1,709,452,277.04 2,674,815,856.76 2,756,431,57L 43 2,636,036,163.84 2,508,151,211.69 2,480,853,413.23 2,432,771,873.09 2,331,169,956.21 2,246,994,068.67 2,149.780,530.35 2,105;462,060.75 2,104,149,153.69 2,090,041,170.13 2,060,925,340.45 2,019,275,43L 37 1,999,382,280.45 1,996,414,905.03 1,919,326,747.75 1,819,650,154.23 1,675,023,474.25 1,538,781,825.15 1,438,542,995.39 1,375,352,443.91 1,282,145,840.44 1,175,168,675.42 1,063,004,894.73 975,939,750.22 890,784,370.53 851,912,75L78 841,526,463.60 838,969,475.75 899,313,380.55 901,672,966.74 955,297,253.70 J C o n t a i n i n g legal-tender notes, gold a n d silver certificates, e t c . > I n c l u d i n g gold reserve a n d coin set a p a r t for r e d e i n p t i o n of certificates a n d T r e a s u r y n o t e s a n d exclusive of n a t i o n a l b a n k 5 p e r c e n t fund. O o tei H W tei tei to 00 TABLE B.—Statement ofthe outstanding principal ofthe public debt of the United States on the 1st of July of each year from 1856 to 1917, inclusiveContinued. Year. 1897. 1898. 1899. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910. 1911. 1912. 1913. 1914. 1915, 1916. 1917, Total interestbearing debt. $847,365,130.00 847,367,470.00 1,046,048,750.00 1,023,478,860.00 987,141,040.00 931,070,340.00 914,541,410.00 895,157,440.00 895,158,340.00 895,159,140.00 894,834,280.00 897,503,990.00 913,317,490.00 913,317,490.00 915,353,190.00 963,776,770.00 965,706,610.00 967,953,310.00 969,759,090.00 971,562,590.00 2,712,549,476.61 D e b t o n w h i c h interest h a s ceased. $1,346,880.26 1,262,680.26 1,218,300.26 1,176,320.26 1,415,620.26 1,280,860.26 1,205,090.26 1,970,920.26 1,370,245.26 1,128,135.26 1,086,815.26 4,130,015.26 2,883,855.26 2,124,895.26 1,879,830.26 1,760,450.26 1,659,550.26 1,552,560.26 1,507,260.26 1,473,100.26 14,232,230,26 Debt bearing no interest. $968,960,655.64 947,901,845.64 944,660,256.66 1,112,305, o n . 41 1,154,770,273.63 1,226,259,245.63 1,286,718,28L 63 1,366,875,224.88 1,378,086,478.58 1,440,874,563.78 1,561,266,966.28 1,725,172,266.28 1,723,344,895.78 1,737,223,452.78 1,848,367,586.43 1,902,836,653.90 1,948,838,753.40 1,942,993,398.90 2,086,870,522.90 2,636,208,571.90 2,990,988,572.65 Outstanding principaL $1,817,672,665.90 1,796,531,995.90 1,991,927,306.92 2,136,961,09L 67 2,143,326,933.89 2,158,610,445.89 2,202,464,781.89 2,264,003,585.14 2,274,615,063.84 2,337,161,839.04 2,457,188,06L 54 2,626,806,27L 54 2,639,546,24L 04 2,652,665,838.04 2,765,600,606.69 2,868,373,874.16 2,916,204,913.66 2,912,499,269.16 3,058,136,873.16 3,609,244,262.16 5,717,770,279.52 to Cash i a t h e T r e a s - T o t a l d e b t less c a s h in Treasury. u r y J u l y 1.. $831, 016,579.76 769, 446,503.76 836, 607; 071.73 1,029, 249,833.78 1 , " - 587,813.92 1,189; 153,204.85 1,277, 453,144.58 1,296, 7 7 1 , 8 n . 3 9 1,284, 748,29L87 1,372, 726,152.25 1,578, 591,306.51 1 " - 673,862.16 1,615, 684,710.25 1,606, 216,652.79 1,749, 816,268.23 1,840, 799,176.88 1,887, 640,858.52 1,885, 242,259.60 1,967, 988,867.16 12,602, 962,690.06 13,809, 135,055.70 • $986,656,086.14 1,027,085,492.14 1,155,320,235.19 1,107,711,257.89 1,044,739,119.97 969,457,24L04 925,011,637.31 967,231,773.75 989,866,77L97 964,435,686.79 878,596,755.03 938,132,409.38 1,023,861,530.79 1,046,449,185.25 1,015,784,338.46 1,027,574,697.28 1,028,564,055.14 1,027,257,009.56 1,090,148,006.00 1,006,281,572.10 1,908,635,223.82 hd o w h3 o W teJ tei. H-l feS > ' I n c l u d i n g d i s b u r s i n g officers' c r e d i t s o n J u n e 30. o fel o teJ Ul TABLE C.—Analysis of the principal ofthe interest-bearing public debt ofthe United States from July 1,1856, to July 1, 1917. Year. 2 percents. 1856—July 1.. 1857 1858 1859 ;... I860 1861... 1862 1863 1864 1865 1865—Aug. 31.. 1866—July i . . 1867 1868 1869f. 1870... 1871 1872 1873 1874 1875. . 1876. 1877. . 1878 1879 1880 1881 1882 1883 1884. . 1885 1886 1887 1888... . 1889 1890 1891..... 1892 1893 : 1894 1895 1896 1897....: • 3 percents. 3i percents. 4 percents. 4J percents. 5 percents. $3,632,000.00 3,489,000.00 23,538,000.00 37,127,800.00 43,476,300.00 33,022,200.00 30,483,000.00 $57,926,116.57 30,483,000.00 105,629,385.30 300,213,480.00 77,547,696.07 245,709,420.63 90,496,930.74 269,175,727.65 618,127.98 201,982,665.01 121,341,879.62 198,533,435.01 17,737,025.68 221,586,185.01 801,36L23 $64,000,000.00 221,588,300.00 66^125,000.00 221,588,300.00 59,550,000.00 274,236,450.00 45,885,000.00 678,000.00 24,665,000.00 678,000.00 414,567,300.00 14,000,000.00 678,000.00 414,567,300.00 14,000,000.00 678,000.00 510,628,050.00 14,000,000.00 678,000.00 607,132,750.00 14,000,000.00 711,685,800.00 14,000,000.00 $140,000,000.00 703,266,650.00 14,000,000.00 98,856,666.66 240,000,000.00 703,266,650:00 14,000,000.00 741,522,000.00 250,000,000.00 508,440,350.00 14,000,000.00 739,347,800.00 250,000,00^.00 484,864,900.00 14,000,000.00 739,347,800.00 250,000,000.00 439,841,350.00 14,000,000.00 $460,461,050.00 739,349,350.00 250,000,000.00 318,204,350.00 32,082,600.00 737,942,200.00 250,000,000.00 238,612,150.00 737,951,700.00 250,000,000.00 208,190,500.00 737,960,450.00 250,000,000.00 158,046,600.00 737,967,500.00 250,000,000.00 33,716,500.00 737,975,850.00 250,000,000.00 14,000,000.00 714,315,450.00 222,207,050.00 14,000,000.00 676,214,990.00 139,639,000.00 14,000,000.00 602,297,360.00 109,015,750.00 559,659,920.00 50,869,200.00 559,664,830.00 125,364,500.00 - 559,672,600.00 125,364,500.00 559,677,390.00 125,364,500.00 50,000,000.00 590,837,560.00 125,364,500.00 100,000,000.00 721,999,390.00 125,364,500.00 100,000,000.00 722,000,630.00 125,364,500.00 100,000,000.00 1 Continued at 2 per cent. 6 percents. $28,130,76L77 24,971,958.93 21,162,838.11 21,162,938.11 21,164,538.11 57,358,673.95 154,313,225.01 431,444,813.83 842,882,652.09 1,213,495,169.90 1,281,736,439.33 1,195,546,041.02 1,543,452,080.02 1,878,303,984.50 1,874,347,222.39 1,765,317,422.39 1,613,897,300.00 1,374,883,800.00 1,281,238,650.00 1,213,624,700.00 1,100,865,550.00 984,999,650.00 854,621,850.00 738,619,000.00 . 283,681,350.00 235,780,400.00 196,378,600.00 ' 7 ^ percents. $122,582,485.34 139,974,435.34 139,286,935.34 671,610,397.02 830.000,000.00 813,460,621.95 488,344,846.95 37,397,196.95 . Total interest- Annual Inbearing debt.. terest charge. $31,762,761.77 $1,869,445.70 28,460,958.93 1,672,767.53 44,700,838.11 2,446,670.28 58,290,738.11 3,126,166.28 64,640,838.11 3,443,687.29 90,380,873.95 5,092,630.43 365,304,826.92 22,048,509.59 707,531,634.47 41,854,148.01 1,359,930,763.50 78,853,487.24 2,221,311,918.29 137,742,617.43 2,381,530,294.96 150,977,697.87 2,332,331,207.60 146,068,196.29 2,248,067,387.66 138,892,451.39 2,202.088,727.69 128,459,598.14 2,162; 060,522.39 125,523,998.34 2,046,455,722.39 118,784,960.34 1,934,696,750.00 111,949,330.50 1,814,794,100.00 103,988,463.00 1,710,483,950.00 98,049,804.00 1,738,930,750.00 98,796,004.50 1,722,676,300.00 96,855,690.50 1,710,685,450.00 95,104,269.00 1,711,888,500.00 93,160,643.50 1,794,735,650.00 94,654,472.50 1,797,643,700.00 83,773,778.50 1,723,993,100.00 79,633,981.00 1,639,567,750.00 75,018,695.50 1,463,810,400.00 57,360,110.75 1,338,229,150.00 51,436,709.50 1,226,563,850.00 47,926,432.50 1,196,150,950.00 47,014,133.00 1,146,014,100.00 45,510,098.00 1,021,692,350.00 41,780,529.00 950,522,600.00 38,991,935.25 829,853,990.00 33,752,354.60 725,313,110.00 29,417,603.15 610,529,120.00 24,675,510.80 585,029,330.00 22,893,883.20 585,037,100.00 22,894,194.00 635,041,890.00 25,394,385.60 716,202,060.00 29,140,792.40 847,363,890.00 34,387,265.60 847,365,130.00 34,387,315.20 o I o tei h^ W tei to Ol TABLE C.—Analysis ofthe principal ofthe interest-bearing debt ofthe United States from July 1, 1856, to July 1, 1917—Continued. 2 percents. Year. 1^8 1809 1900 1901 1902 1903 . . 1904... 1905 1906 1907 1908 1909 1910. 1911 1912 1913 1914... 1916 1916 1917 . 3 percents. 3i percents. 4 percents. $198,678,720.00 $307,125,350.00 128,843,240.00 445,940,750.00 99,621,420.00 445,940,750.00 97,515,660.00 620,143,150.00 83,107,060.00 642,909,950.00 77,135,360.00 642,909,950.00 77,135,360.00 695,942,350.00 63,945,460.00 676,250,150.00 63,945,460.00 700,882,130.00 78,131,960.00 730,882,130.00 63,945,460.00 730,882,130.00 63,945,460.00 730,882,130.00 65,981,160.00 / 730,882,130.00 t M59,280.00 } 113,945,460.00 1730,882,130.00 \ «2,389,120.00 1113,945,460.00 / 730,882,130.00 \ 24,635,820.00 1113,945,460.00 / 730,882,130.00 1 113,945,460.00 \ 26,441,600.00 / 720,591,530.00 1 124,236,060.00 \ 28 245,100.00 i 674,625,630.00 231,507,992.00 }$1,466,335,094.61 \ 210,039,760.00 8211,551,100.00 ' Continued at 2 per cent. 4^ percents. 5 percents. $722,002,970.00 1 $25,364,500.00 $100,000,000.00 722,005,630.00 125,364,500.00 100,000,000.00 617,.879,220.00 121,979,850.00 47,651,200.00 419,724,770.00 21,854,100.00 368,203,580.00 19,410,350.00 291,906,150.00 19,385,050.00 275,112,130.00 275,113,030.00 235,271,330.00 154,638,670.00 118,489,900.00 118,489,900.00 118,489,900.00 118,489,900.00 6 percents. 1-^ percents. • Total interest- Annual inbearmg debt. terest charge. $847,367,470.00 $34,387,408.80 1,046,048,750.00 40,347,872.80 1,023,478,860.00 33,545,130.00 987,141,040.00 29,789,153.40 931,070,340.00 27,542,945.50 914,541,410.00 25,541,573.30 895,157,440.00 24,176,745.00 895,158,340.00 24,176,781.00 895,159,140.00 23,248,064.00 894,834,280.00 21,628,913.60 897,503,990.00 21,101,197.40 913,317,490.00 21,275,602.40 913,317,490.00 21,275,602.40 915,353,190.00 21,336,673.40 hj O h^ 118,489,900.00 963,776,770.00 22,787,084.40 O 118,489,900.00 965,706,610.00 22,835,330.40 fei 118,489,900.00 967,953,310.00 22,891,497.90 118,489,900.00 969,759,090.00 •22,936,642.40 3 118,489,900.00 971,562,590.00 23,084,635.90 118,489,900.00 2,712,549,476.61 83,625,481.42 » Postal savings bonds, 2§ per cent. > O 8 Certificates of indebtedness, 3i per cent. NOTE 1.—Annual interest charge is computed on amount of outstanding principal at close of fiscal year and is exclusive of interest charge on Pacific Railway bonds. NOTE 2.—The figures for July 1,1879, were made up assuming pending funding operations to have been completed. NOTE 3.—The temporary loan per act of July 11,1862, is included in the 4 percents from 1862 to 1868, inclusive, with the exception of the amount outstanding Aug. 31, 1865, this being the date at which the public debt reached its highest point. This loan bore interest from 4 per cent to 6 per cent, and was redeemable on 10 days' notice after 30 days, but being constantly changing it has been considered more equitable to include the whole amoimt outstanding as bearing 4 per cent interest on an average for the year. to tei Ul SECRETARY OP THE TREASURY. 277 TABLE D.—Statement of the issue and redemption of loans and Treasury notes and of deposits and redemptions in national-banh note account for the fiscal year ended June SO, 1917. Issues and deposits. Redemptions. Excess of Issues and deposits. Excess of redemptions. Legal-tender notes, acts of Feb. 25 and July 11,1862, Jan. 7 and Mar. $196,860,000.00 $196,860,000.00 3,1863, and Mar. 14,1900 Fractional currency, acts of July 17, 1,928.75 1862, Mar. 3,1863, and June 30,1864 $1,928.76 Compound-interest notes, acts of 170.00 Mar. 3,1863, and June 30,1864 170.00 Gold certificates, acts of Mar. 3,1863, July 12,1882, aad Mar. 14,1900..,. 1,420,690,000.00 1,055,919,000.00 $364,771,000.00 One-year notes of 1863, act of Mar. 3, 50.00 1863 50.00 Funded loan of 1891, acts of July 14, 2,000.00 1870, Jan. 21.1871, and Jan. 14,1«75 2,000.00 Silver certificates, acts of Feb. 28, 452,276,000.00 458,867,000.00 1878, and Mar. 14,1900 6,591,000.00 Refunding certificates, act of Feb. 600.00 26.1879 600.00 National-bank note account, act of 37,293,045.00 40,664,115.50 July 14,1890 3,271,070.50 Treasury notes of 1890, acts of July 127,000.00 14,1890, and Mar. 14,1900 127,000.00 Funded loan of 1907, acts of July 14, 1870, Jan. 20, 1871, Jan. 14, 1876, 13,650.00 and Mar. 14,1900 13,650.00 136,536,600.00 Consols of 1930, act of Mar. 14,1900... 36,535,500.00 Paaama Canal loan, acts of June 28, 1902, and Dec. 21, 1905, series of «5,602,800..00 5,502,800.00 1906 :.... Panama Canal loan, acts of June 28, 1902, and Dec. 21, 1905, series of 8 3,927,600.00 3,927,600.00 1908 Postal savings bonds, act of June 25, 1,794,660.00 1,794,660.00 1910 22,993,900.00 Conversionbonds, act of Dec. 23,1913. * 22,993,900.00 One-year Treasury notes, act of 22,972,000.00 6 27,362,000.00 4,390,000.00 Dec. 23,1913 Certificates of iadebtedness, act of 50,000,000.00 50,000,000.00 Mar. 3,1917 Certificates of indebtedness, act of 285,632,732.00 868,205,000.00 582,572,268.00 April 24,1917 Liberty Loaa of 1917, first issue, act 1,466,335,094.61 1,466,335,094.61 of April 24,1917 Total. 4,543,809,699.61 2,435,283,482.25 2,164,499,386.61 55,973,169.25 Excessof issues Excess of redemptions.. Net excess of issues.. 2,164,499,386.61 55,973,169i25 2,108,526,217.36 1 Of this amount $19,047,500 were exchanged for 3 per cent conversion bonds and $17,488,000 were exchanged for 3 per cent one-year Treasury notes. s Exchanged for $2,063,800 3 per cent conversion bonds and $3,439,000 3 per cent one-year Treasury notes. 8 Exchanged for $1,882,600 3 per cent conversion bonds and $2,045,000 3 per cent one-year Treasury notes. * Issued in exchange for $19,047,500 consols of 1930 and $3,946,400 Panama Canal bonds. 6 Of this amount $17,488,000 were issued in exchange for consols of 1930, and $5,484,000 for Panama Canal bonds. 278 REPORT ON THE FINANCES. DB. TABLE E.—Sinking fund account for fiscalyear 1917. To balance from $1,051,745,791.32 last year. July 1,1916 T o l per cent on the 19,601,362.94 principal of the public debt on June 30,1916, less coin certificates. Treasury notes, national-bank note redemption , account, and cash available for reduction of the debt, viz, $1,960,136,294.41. June 30,1917 To interest on re48,968,413.70 demptions prior to fiscal year 1917. To interest on 476.41 $18,198.75 amount of debt paid during fiscal yiear 1917. 1,120,316,044.37 CR. June 30,1917 By principal of $15,650,000 bonded debt redeemed in 1917. By accrued interest 1,104.74 thereon. By fractional cur2,648.75 rency and notes redeemed in 1917. By accrued interest 600.48 thereon. By balance 1,120,298,140.40 1,120,316,044.37 279 SECRETARY OF THE TREASURY. TABLE F.—Population, ordinary receipts and disbursements of the Government from 1840 to 1917, exclusive of postal, and per capita on receipts and per capita on disbursements. Year. 1840 1841 1842 1843 (six months). 1844 :. 1845 1846 1847..: 1848..... 1849 1850.... 1861 1852 1853 1854 1855 1856........ 1867 1868 1859.. 1860 , 1861 1862.... 1663 1864.... 1865 1866 ..:... 1867.... 1868 1879 1870..... 1871....... 1872....: 1873 1874 1875 1876 1877....1878 1889. 1880 1881 1882.: • 1883... 1884 1885 1886 1887.... 1888..1889 1890.. 1891 1892......: 1893...... 1894 1895 1896.. 1897 1898 ' 1899 1900 1901.... 1902 1903..... 1904 1905 1906..... ..'. 1907.... 1908 1909 ....• 1910...... 1911 1912 1913........ 1914 1915 1916... 1917.... Population. 17, 069,453 17, 691,000 18, 132,000 18, 694,000 19, 276,000 19, 878,000 20, 500,000 21, 143,000 21, 805,000 22, 489,000 23, 191,876 23, 995,000 24, 802,000 25, 615,000 26, 433,000 27, 256,000 28, 083,000 28, 916,000 29, 763,000 30, 596,000 31, 443,321 32, 064,000 32, 704,000 33, 365,000 34, 046,000 34, 748,000 35, 469,000 36, 211.000 86, 973,000 37, 756,000 38, 558,371 39, 655,000 40, 596,000 41, 677,000 42, 796,000 43, 951,000 45, 137, 000 46, 353,000 47, 698,000 48, 866,00050, 165,783 61, 316,000 52, 496,000 53, 693,000 64, 911,000 66, 148,000 57, 404,000 68, 680,000 69, 974,000 61, 289,000 62, 622,250 63, 947,000 65, 191,000 66, 456,000 67, 740,000 69, 043,000 70, 365,000 71, 704,000 73, 060,000 74, 433,000 76, 295,220 •77; 754,000 79, 117,000 80, 847., 000 81, 867,000 83, 260,000 84, 662,000 86, 074,000 87, 496,000 88, 926,000 190, 363,000 93, 983,000 95, 656,000 97, 337,000 99, 027,000 100, 725,000 102, 431,000 104, 146,000 Ordinary receipts. Per capita on receipts. Ordinary disbursements. Per capita on disburse-ments. $1.42 L61 L39 .63 L17 L16 L33 2.60 2.18 L93 L77 L99 L79 L86 2.08 2.16 2.45 2.33 2.49 2.26 2.01 2.14 14.36 21.64 26.40 37.27 14.63 9.68 10.01 8.61 7.61 7.16 6.66 6.84 7:04 6.26 .6.87 5.21 4.98 5.46 '6.2i8 6.06 4.92 4.94 4.46 4.63 4.22 4.66 4.32. 4.60 4.76 6.56 -5.29 .5.77 6.43 5.16 5.01 5.10 6.07 8.14 6.39 6:56 6.96 6.26 6.60 6.77 6.43 6.41 7.10 7.45 7.30 6.96 6.84 7.01 7.t)7 7.28 7.07 11.02 $L14 $19,480,115.00 $24,314,518.19 16,860,160.00 .96 26,481,817.84 25,134,886.44 19,976,197.00 LIO 11,780,092.51 8,231,001.26 .44 22,483,560.14 29,320,707.78 ,1.52 22,935,827.79 29,970,105.80 L61 27,261,182.86 29,699,967.74 L45 54,920,784.09 26,467,403.16 L25 47,618,220.65 85,698,699.21 L64 43,499,078.39 30,721,077.60 L37 40,948,383.12 43,592,888.88 L88 47,751,478.41 2.19 62,555,039.33 44,390,262.36 2.01 49,846,815.80 47,743,989.09 2.40 61,587,031.68 65,038,465.11 2.79 73,800,34L40 .68,630,662.71 2.40 65,350,674.68 68,726,350.01 2.64 74,066,699.24 67,634,408.93 2.38 68,965,312.67 73,982.492.84 L67 46,656,365.96 68,993.599.77 L72 52,777,107.92 63,200,875.65 1.78 56,064,699; 83 66,650,213.08 L30 41,476,299.49 469,570,241.65 1.58 51,919,26L09 718,734,276.18 3.36 112,094,945.51 864;969,100.83 7.14 243,412,971.20 9.26 1,295,099,289.58 322,031,158.19 619,022,356.34 14.66 519,949,564.38 346,729,825.78 12.78 462,846,679.92 370,339,133.82 376,434,453.82 10.18 321,190,597.75 357,188,256.09 9.46 293,657,005.15 395,959,833.87 10.26 283,160,893.51 374,431,104.94 9.47 270,559,696.91 • 364,694,229.91 8.98 285,239,326.34 322,177,673.78 7.73 301,238,800.21 299,941,090.84 7.01 274,623,392:84 284,020,771.41 6.46 265,101,084.59 6.43 290,066,584.70 241,334,474.86 6.06 281,000,642; 00 236,964,326.80 6.41 257,446,776.40 266,947,883.63, 6.67 272,322,136.83 264,847,637.36 6.65 333,526,500.98 269,661,638.81 7.00 360,782,293.00 257,981,439.57 7.68 403,525,260.00 265,408,137.54 7.41 398,287,582.00 244,126,244.83 6.36 848,519,870.00 260,226,935.11 5.76 323,690,706.00 242,483,138.50 6.86 336,439,727.00 267,932,179.97 6.33 371;403,277.00 259,653.958.67 6.32 379,266,076.00 281,996,615.60 6.31 387,050,059.00 297,736,486.60 6.43 403,080,982.00 355,372,684.74 6.14 392,612,447.31 345,023,330.58 6.44 354,937,784.24 383,477,954.49 5.81 385,819,628.78 367,625,279.83 4.40 297,722,019.25 356,195,298.29 4.54 313,390,075.11 352,179,446.08 4.65 326,976,200.38 365,774,169.57 4.85 347,721,705.16 443,368,582.80 5.55 405,321,335.20 605,072,179.85 6.93 615,960,620.18 487,713,79L71 7.43 567,240,851.89 509,967,353.15 7.56 587,686,337.53 47i;i90,857.64 7.11 662,478,233.21 506,089,022.04 6.93 560,396,674.40 532,237,82L31 6.59 539,716,913.86 663,360,093.62 6.54 544,606,758.62 549,406,425.35 7.02 594,717,942.32 551,705,129.04 7.70 663,125,659.92 621,102,390.64 6.87 601,060,723'. 27 662,324,444.77 6.79 603,'589,489.84 659,705,391.08 7.48 675,511,715.02 654,137,997.89 7.46 701,372,374.99 654,553,963.47 7.23 691,778,465.37 682,770,705.51 7.44 724,111,229.84 700,254,489.71 7.42 734,673,166.71 731,399,759.11 6.93 697,910,827.58 724,492,998.90 7.61 779,664,552.49 1,-147,898,991.16 10.74 1,118,174,126.43 1 Estimated July 1. N O T E . - T h e ordinary receipts and disbursements and per capita on receipts for 1891 were erroneously stated by the Register of the Treasury in his reports for 1891,1892, and 1893, (S ee Finance Reports for those years, pp. 845,767, and 906.) TABLE G.^-Statement showing the ordinary receipts and disbursements of the Government by months; the net gold and available cash in the Treasury at theendof eax;h month; and the imports and expoHs of gold, from July, 1896, to Jurie, 1917, iri^^ Month. 1896—July... ^A ugust September October November... ^ December 1897—January February March April May June... , T o t a l for 12 m o n t h s July August September October November December. 1898—January...; February March April May June ;.. T o t a l for 12 m o n t h s ' July August September October November December 1899—January February . March Ordinary disburseOrdinary m e n t s , exclureceipts, s i v e of postal, e x c l u s i v e of p r i n c i p a l of postal. debt, a n d premium. Surplus receipts. $29,029,209 25,562,097 24,684,245 26,282,830 25,210,696 25,857,114 24,316,994 24,400,997 36,217,662 37,812,135 29,797,391 36,584,708 $42,088,468 35,701,677 26,579,535 33,978,277 33,260,720 23,812,665 30,269,389 28,796,057 27,212,998 32,072,097 29,109,259 22,934,695 i$lS,059,259 . 110,139,580 11,995,290 17,695,447 18,050,024 2,044,449 15,952,395 14,395,060 9,004,664 5,740,038 688,132 13,650,013 347,721,705 365,774,160 118,052,455 39,027,364 19,023,615 21,933,098 24,391,415 43,363,605 69,646,698 37,333,628 28,572,358 32,958,751 33,012,943 30,074,818 33,509,313 50,100,909 33,588,047 25,368,816 33,701,512 37,810,839 27,634,092 .36,696,711 26,599,256 31,882,444 44,314,062 47,849,909 47,852,282 111,073,545 114,564,432 13,435,718 19,310,097 6,552,766 32,012,606 636,917 1,973,102 1,076,307 111,301,119 117,775,091 114,342,969 405,321,335 443,368,583 43,847,109 41,782,708 39,778,070 39,630,051 38,900,915 41,404,794 41,774,930 37,979,333 57,030,240 Balance in Net gold g e n e r a l fund, in Treasury. including n e t gold. $110,718,746 100,957,561 124,034,672 117,126,524 131,610,353 137,316,644 144,800,493 148,661,209 151,786,464 153,340,890 144,319,563 140,790,738 $256,158,473 243,346,401 241,154,457 233,572,762 225,357,098 228,320,380 215,362,421 212,837,256 222,045,606 228,090,517 230,113,813 244,466,202 140,817,699 144,216,377 147,663,105 153,573,147 157,363,851 160,911,547 164,236,793 167,623,182 174.584.136 181.238.137 171,818,055 167,004,410 233,016,457 218,561,207 215,192,787 207,756,100 220,663,560 235,474,769 223,871,786 225,564,204 226,166,944 215,810,622 195,754,815 209,282,643 189,444,714 217,904,485 243,297,543 239,885,162 241,663,444 246,529,176 228,652,341 231,124,638 245,413,707 254,844,215 294,487,085 307,557,504 300,238,275 292,376,790 294,764,695 274,584,676 269,103,513 284,043,164 138,047,248 130,416,366 114,478,010 114,445,851 114,352,226 110,190,066 1 460,014 19,347,841 15,939,596 14,051,669 I m p o r t s of gold. • to 00 o E x p o r t s of gold. $1,667,986 4,289,538 34,347,009 28,193,769 7,487,300 2,801,044 943,306 830,180 1,439,439 971,506 951,516 1,092,188 $11,931,436 1,972,544 93,555 368,007 468,010 431,826 442,355 353,147 576,205 6,631,216 9,468,471 7,625,808 85,014,780 40,361,580 938,951 4,720,569 4,723,181 11,775,483 3,054,089 2,582,405 6,493,414 6,162,681 30,708,320 32,579,858 13,322,111 3,330,612 5,462,869 1,983,588 142,922 313,311 699,513 577,996 2,658,663 1,030,412 728,707 1,323,724 109,157 375,629 120,391,674 15,406,391 2,641,668 15,296,811 16,808,341 16,738,353 5,324,601 8,757,182 6,392,344 5,148,906 3,187,575 1,497,013 1,955,908 3,102,810 1,279,926 913,467 1,219,638 1,755,451 567,962 1,109,845 O O fe| tei fe^ l> fei Q tei Ul April May June: Total for 12 months July August September October November December 1900—January February March... April May June... ". :. , - Total for 12 months July August September. October .: November December 1901—January February March April May June , Total for 12 months, July August September October... November December 1902—January February March April May June •. •... Total for 12 months 41,611,587 44,786,014 47,126,915 65,949,106 40,513,005 31,382,762 124,337,519 4,273,009 15,744,153 615,960,620 605,072,180 189,111,560 48,054,258 . 56,561,090 45,522,312 49,978,173 37,579,372 45,334,145 47,533,589 • 44,174,027 46,945,672 40,769,848 46,759,104 39,145,560 48,012,165 39,189,097 45,631,265 37,738,472 48,726,837 32,188,271 45,039,327 40,903,928 45,166,053 40,351,525 51,435,832 33,540,673 18,506,832 4,455,861 7,754,773 3,359,662 6,175,724 7,613,544 8,823,068 7,892,793 16,538,566 4,135,399 4,814,528 17,895,159 567,240,852 487,713,792 79,527,060 49,955,161 49,688,756 45,304,326 51,626,067 48,344,515 46,846,508 47,520,287 45,844,123 49,891,125 47, 767,851 52,629,440 50,333,908 63,-979,653 50,500,199 39,169,971 47,993,638 41,278,661 40,204,622 40,109,707 38,880,636 40,762,862 41,968,246 42,136,561 33,045,147 1 4,024,492 1811,443 6,134,355 3,632,429 7,065,854 6,641,886 '^ 7,410,580 6,963,487 9,128,263 5,799,605 10,492,879 17,288,761 587,685,338 509,967,-353 77,717,985 52,367,591 39,351,498 32,310,736 40,645,936 40,198,917 37,318,998 38,548,278 39,099,291 38,102,437 40,799,263 38,746,798 33,837,859 12,749. 6,042,628 12,123,687 9,186,017 5,517,860 9,742,967 8,033,866 2,060,448 8,398,977 4,416,127 10,762,652 15,839,609 471,190,878 91,287,376 52,320,340 45,394,125 44,434,423 49,831,953 45,716,777 47,061,965 46,582,144 41,159,739 46,501,414 45,215,390. 49,509,449 49,677,469 662,478,233 1 Excess of disbursements. 246,140,226 228,415,238 240,737,212 263,127,533 267,584,094 284,488,516 245,254,534 248,757,971 254,328,820 252,223,797 239,744,905 236,909,230 218,613,617 232,225,336 248,358,064 229,461,962 218,857,545 220,557,185 274,844,167 279,352,872 287,695,613 289,391,540 286,216,440 283,595,453 292,490,973 298,362,824 306,792,996 296,117,548 295,783,530 306,827,605 223,567,376 218,263,969 230,131,162 242,670,175 243,235,735 246,561,322 221,183,644 231,150,064 249,046,644' 246,767,053 244,432,246 248,605,794 299,859,365 285,419,696 288,204,878 287,005,032 289,176,791 290,107,336 293,012,973 298,915,149 308,443,522 306,494,208 312,338,469 328,406, 798 327,368,877 249,955,831 329,97i;356 •258,455,786 319,919,880 251,635,354 325,655,697 259,346.494 317,010,665 257,539.887 262,800,534 321,603,279 324,796,646 239,040,401 325,361,866 238,821,209 244,858,050 • 327,856,289 242,945,286 334,739,983 246,554,393 345, 350,229 253,801,291 ' 362,187,361 2,482,871 3,070,265 3,105,686 1,162,484 2,049,256 20,908,327 88,954,603 37,522,086 2,895,469 6,391,411 2,593,894 8,542,254 2,904,043 ^ 6,620,246 1,992,692 1,911,116 1,921,036 3,388,813 3,683,634 3,728,576 2,606,457 2,099,062 618,995 379,752 264,310 11,857,511 5,691,290 1,403,658 1,081,280 1,961,580 12,209,596 8,093,268 44,573,184 48,266,759 11,263,332 4,238,358 7,861,553 10,731,375 12,641,988 3,386,6ll 4,265,626 1,859,274 2,520,455 2,249,038 1,772,834 3,260,743 3,272,739 18,084,938 806,572 441,962 677,207 410,533 8,221,159 416,812 490,269 4,916,965 10,101,177 5,344,844 66,051,187 53,185,177 4,076,113 3,490,528 11,905,431 9,138,638 7,431,678 2,791,522 1,405,787 1,696,967 2,636,313 1,864,767 1,497,053 4,086,457 2,875,120 150,861 163,362 4,066,747 16,292,500 4,744,123 1,973,675 8,665,480 4,432,946 2,844,214 1,968,407 391,525 52,021,254 48,568,960 o w tei o tei H W teJ tei > n to 00 to TABLE G.—Statement showing the ordinary receipts and disbursements ofthe Government by months, etc.—Continued. Month. 1902—July August September October November . . : December 1903—January February March April • May June ; :... Total for 12 months July August...' September October. November December 1904—January February March April May June : . Total for 12 months July August September October November December. 1905—January Februaiy March , Ordinary disburseOrdinary ments, exclureceipts, |sive of postal, exclusive of principal of postal. debt, and premium. 00 to Surplus receipts. Balance in Net gold [general fund, Imports of in Treasury. including gold. net gold. $49,305,691 48,605,813 48,580,381 51,391,262 43,599,001 47,151,300 45,996,338 43,028,180 45,435,436 43,326,101 44,113,970 48,354,054 $56,813,568 43,113,611 37,554,798 46,904,965 43,036,273 36,533,744 42,632,244 37,750,750 44,987,587 41,763,814 40,586,997 34,583,738 1 $7,507,877 $248,005,005 264,657,694 5,492,202 286,124,771 11,025,583 263,542,933 4,486,297 264,967,774 562,728 270,777,264 10,617,556 247,783,746 3,364,094 259,651,782 5,277,430 276,815,803 447,848 262,539,660 1,562,287 256,208,626 3,626,973 254,162,230 13,790,316 560,396,674 506,089,022 . 54,307,652 48,611,576 49,852,678 44,969,819 46,963,213 44,692,595 42,747,592 41,588,370 45,895,407 44,761,499 41,529,422 41,688,060 48,215,414 56,388,189 43,024,545 38,427,964 51,910,479 47,427,788 •32,255,805 48,372,554 42,653,772 41,689,398 46,010,265 47,352,973 36,922,015 17,776,613 6,828,133 6,545,855 14,947,266 12,735,193 10,491,787 16,784,184 3,242,635 3,072,101 14,480,843 15,664,913 11,293,399 539,716,914 632,237,821 7,479,0 46,786,387 44,903,392 46,344,683 48,990,608 45,576,877 45,047,905 '43,410,285 44,608,073 46,267,756 64,019,115 51,131,604 40,391,358 52,500,873 49,434,318 41,315,731 49,488,299 41,151,234 44,985,127 117,232,728 16,228,212 5,953,325 13,510,265 13,857,441 3,732,174 16,078,014 3,456,839 1,282,629 $353,974,699 359,491,501 371,253,394 356,421,878 354,575,588 364,409,380 368,345,963 374,543,470 372,921,989 373,326,187 375,168,898 388,686,114 248,499,879 253,201,871 260,714,057 .258,892,307 267,011,715 265,571,972 229,362,090 236,241,028 248,529,691 231,877,090 217,592,391 216,183,723 378,291,444 383,450,710 389,417,184 378,637,402 369,237,430 379,374,895 378,745,084 373,068i605 374,699,996 370,919,188 813,287,516 322,051,568 197,445,631 199,512,294 223,098,966 231,060,229 233,812,615 229,664,318 201,244,581 202,857,181 221,231,681 304,081,579 297,975,365 301,414,163 296,352,797 293,344,658 296,592,689 290,625,796 290,681,839 291,821,624 Exports of gold. $1,594,421 5,143,597 4,981,130 11,118,446 5,981,743 2,186,636 2,010,851 1,817,456 4,567,728 1,349,621 1,462,845 2,767,553 $7,884,339 2,305,714 530,029 1,460,829 720,331 2,853,112 86,951 .1,506,370 1,042,598 1,705,466 14,488,268 12,507,588 44,982,027 47,090,595 4,631,207 7,848,553 5,184,858 5,026,036 11,370,690 17,230,298 8,225,508 5,034,372 8,855,162 10,289,869 10,472,582 4,886,233 9,117,758 84,776 998,076 352,177 993,150 1,464,656 591,567 732,614 3,063,458 19,470,157 43,069,053 1,522,544 99,055,368 81,459,986 8,926,418 7,764,491 4,241,035 8,045,275 4,727,105 3,336,184 1,895,691 2,192,919 6,133,592 1,083,249 10,762,818 2,744,448 3,855,649 20,813,443 13,502,828 16,828,167 14,794,312 2,392,784 O o W tei > fe^ o tei Ul 39,778,182 43,758,933 47,950,777 April. May.. June. T o t a l for 12 m o n t h s . July August September. October— November. December . 1906—January . . . February.. March . April May i June T o t a l for 12 m o n t h s . July August September. October November. Deciember . 1907—January . . . February.. March April May June T o t a l for 12 m o n t h s . July August September. October..... Noveihber. D e c e m b e r .. 1808—January February.. March April , May June Total f o r i ? months^... -.---.--.- 48,339,466 46,048,144 34,687,523. 18,561,283 12,289,211 13,263,254 644,606,758 563,360,093 118,753,335 273,134 490,432 251,159 '492,692 000,869 350,463 790,096 194,728 631,169 092,868 980,024 367,081 61,591,481 50,600,827 40,510,622 54,589,836 46,211,544 42,830,311 46,671,363 41,409,095 43,665,323 46,141,796 43,124,646 34,001,856 112,318,347 1 3,109,895 9,740,537 14,097,144 2,789,325 7,620,152 6,018,743 6,785,633 6,966,846 148,928 4,855,378 21,366,225 594,717,942 549,405;425 45,312,517 298,863 007,597 497,191 241,999 602,498 812,980 237,600 925,496 221,954 260,592 488,012 711,463 63,483,563 45,997,502 39,154,801 62,678,473 46,642,880 44,497,456 45,732,517 48,983,148 40,150,934 45,324,832 45,940,845 38,476,021 111,184,710 10,010,095 12,342,390 4,563,526 8,959,618 11,215,524 9,&&4,983 9,942,348 14,071,020 7,935,760 11,647,167 24,236,442 663,125,659 651,705,129 111,420,630 906,465 226,282 438,483 028,246 529,326 283,828 435,283 324,900 616,966 919,321 698,053 488,613 60,864,924 52,995,047 44,646,469 45,588,297 4l, 624,554 62,824,750 53,690,291 54,173,201 49,156,796 56,648,191 61,485,228 47,956,647 4,958,459 5,431,235 6,792,014 13,439,949 . 3,904,972 1 5,540,922 14,255,008 1 5,848,301 14,539,831 112,728,870 18,787,175 5,531,966 601,060,723 621,102,390 120,041,667 212,331,729 218,172,921 221,381,660 284,318,681 281,141,378 295,477,492 224,372,884 235,465,627 263,331,814 273,076,079 285,582,811 284,836,080 259,856,877 276,418,068 284,378,284 260,229,777 269,690,707 290,489,841 279,865,731 277,597,345 286,823,693 281,815,289 285,310,840 289,780,373 293,885,083 302,718,086 309,859,322 307,126,224 310,385,376 330,689,355 290,313,464 311,358,446 313,714,775 302,973,9.51 317,952,371 313,999,622 285,011,577 310,617,216 310,760,992 296,040,433 292,821,224 304,619,431 319,963,942 350,686,875 371,213,096 373,300,810 381,470,287 388,997,076 394,708,206 400,154,655 402,868,003 401,388,342 407,629,665 422,061,445 293,670,624 284,300,724 280,808,512 237,987,850 245,500,558 249,344,971 217,475,100 210,382,518 204,492,080 193,772,017 213,684,683 221,924,733 388,574,188 386,660,408 389,551,314 387,227,019 400,551,014 419,519,991 416,417,301 418,845,804 412,608,191 401,596,987* 390,933,256 395,171,348 2,581,057 2,657,143 2,149,061 1,303,870 : 481,574 4.030.882 63,648,961 92,694,024 4,973,241 3,213,216 6,643,692 10,722,132 5,202,790 4.028,881 2,606,709 2,079,683 5,630,695 14,941,583 34,911,028 2,369,080 1,159,274 274,153 1,412,904 310,696 1,137,318 2,668, .532 5,741,665 8,486,330 6,918;627 2,486,552 6,722,148 3,256,392 96,221,730 38,573,591 9,834,333 7,972,868 31,431,038 27,250,852 8,935,274 7,617,237 3,270,505 3,329,867 5,046,243 4,974,527 2,682,163 2,165,342 1,302,248 598,078 2,278,922 7,074,544 1,963,757 1,880,895 2,450,072 1,127,059 2,126,173 2,219,844 4,505,444 23,872,140 114,510,249 51,399,176 3,410,782 . 3,223,772 2,759,019 4,512,466 63,574,871 44,448,515 10,799,484 2,847,133 3,649,407 2,561,197 3,101,002 3,449,673 7,478,366 .4,596,879 1,603,836 3,716,258 615,169 1,004,441 444,200 1,967,597 1,447,206 14,476,341 26,555,913 8,626.718 148,337,321 72,432,924 CO tei o % o tei hi W tei H i to 1 E x c e s s of d i s b u r s e m e n t s . 00 CO TABLE G.—Statement showing the ordinary receipts and disbursements of the Government by months, etc.—Continued. to 00 Month. 190&-July... August September October November December 1909—January February March April May June.. : T o t a l for 12 m o n t h s . July August September. October. November December 1910—January February March April May June T o t a l for 12 m o n t h s July August September. October N o v e m b e r .1 December 1911—January February March April Ordinary disburseOrdinary ments, exclureceipts, sive of postal, exclusive of principal of postal. debt, and premium. Surplus receipts. Balance in Net gold general fund, in Treasury. including , net gold. $230,238,004 $353,628,173 339,890,139 214,915,576 329,052,573 222,058,604 316,882,253 232,051,793 228,201,751. 301,387,362 319,501,417 232,703,467 299,701,585 204,776,864 291,263,813 234,094,571 283,934,071 240,173,188 277,433,835 235,590,916 269,901,309 224,263,038 276,375,428 227,698,852 $49,189,846 44,680,639 48,224,558 48,304,, 825 49,908,715 51,197,210 46,259,139 47,675,568 53,554,602 51,278,212 54,416,058 58,900,118 $71,390,958 48,114,783 62,209,676 56,858,544 58,302,928 56,384,477 58,653,229 51,693,985 63,857,118 52,044,182 54,905,437 47,909,128 1 $^2,201,112 1 3,434,144 13,985,118 18,553,719 18,394,213 1 5,187,267 112,394,090 14,018,417 1 302,516 1 765,970 1 489,379 10,990,990 603,589,490 662,324,445 1 58,734,955 57,577,081 61,081,777 62,347,659 57,176,765 61,727,571 66,968,269 50^322,176 60,278,783 60,151,772 63,153,520 61,608,384 83,117,958 70,681,030 58,490,754 52,968,845 59,100,660 56,318,678 53,239,067 52,046,922 49,238,877 51,597,331 53,807,033 48,179,671 54,036,523 113,103,949 17,408,977 1 621,186 11,923,895 14,591,107 3,729,202 11,724,746 1,039,906 8,554,441 1653,513 3,428,713 29,081,435 675,511,715 659,705,391 15,806,324 58,817,953 64,969,254 55,983,578 55,266,442 58,471,175 57,689,458 52,005,193 50,390,629 58,465,359 51,091,962 68,411,709 58,538,788 52,627,006 58,560,323 54,231,830 52,798,711 52,271,910 60,051,017 51,649,855 52,558,029 19,593,756 13,569,534 3,466,572 13,293,881 4,239,345 4,890,747 1266,717 339,612 6,815,504 11,466,067 235,720,3?3 237,184,857 242,873,342 254,735,467 250,567,638 241,989,339 220,256,764 226,656,329 247,576,175 244,001,134 229,620,847 242,411,286 258,437,755 247,950,871 244,206,114 239,103,078 231,935,125 234,048,866 230,960,864 230,571,813 238,885,265 233,462,139 232,165,417 256,894,676 228,421,383 229,628,447 244,362,011 261,024,062 256,832,205 254,003,671 220,261,901 227,178,354 231,726,269 220,749,280 242,356,224 239,523,208 240,984,016 235,688,932 236,683,886 239,393,472 235,466,829 235,525,708 239,454,526 235,705,902 Imports of gold. E x p o r t s of gold. $2,949,179 4,303,847 4,767,051 3,785,705 2,909,883 5,152,732 3; 420,183 3,576,444 5,161,648 3,345,861 2,263,721 2,367,735 $4,846,272 6,699,742 3,974,391 1,952,574 2,967,795 7,357,707 7,865,356 8,860,81421,252,462 6,337,994 11,171,265 8,346,446 44,003,989 91,531,818 3,269,886 5,348,757 2,351,158 7,034,164 3,863,637 2,083,772 2,131,357 3,063,116 4,373,885 2,100,918 3,143,338 4,576,917 16 661,782 9,230,273 7,546,442 9,379,402 15,649,281 10,579,304 6,163,132 2,937,134 1,815,815 36,283,625 718,678 1,598,347 43,339,905 118,563,215 10,282,649 12,818,606 3,192,341 4,250,259 4,313,500 4,976,632 9,540,830 6,805,844 4,119,063 4.524,835 828,451 3,150,423 1,822,476 750,330 1,376,011 1,330,400 923,676 424,733 505,615 1,505,634 tei O h3 O fei H •tei fe{ o tei May June T o t a l for 12 m o n t h s . July August September October November December 1912—January February March April May June .. . . . .... , . . T o t a l for 12 m o n t h s July A u g u s t I., September October November December 1913—January February March April May June . . ..' ' . .. . ... ... T o t a l for 12 m o n t h s July August September October...: November December 1914—January February March April May June -. . ... . ::::.:::::::..::..:::::::.::.:..::..:::::::::::: . . . T o t a l for 12 m o n t h s : 5,324,090 40,358,462 61,232,444 86,988,928 55,908,354 46,630,466 701,372,375 654,137,998 47,234,377 52,085,062 54,803,683 56,335,353 56,054,411 56,588,832 53,749,606 52,461,712 53,932,609 59,296,027 53,305,712 58,369,952 84,795,506 68,178,502 60,287,497 50,805,537 60,187,536 57,049,325 54,505,903 53,422,057 52,144,834 48,658,152 55,954,196 52,251,653 41,108,771 116,093,440 15,483,814 5,529,816 1 4,133,125 1460,493 1756,297 1960,345 1,787,775 10,637,875 12,648,484 6,118,299 43,686,735 691,778,465 654,553,963 37,224,502 60,279,518 63,315,651 58,446,255 60,606,534 54,241,148 59,417,161 53,605,790 52,839,445 51,478,553 57,106,215 67,957,870 53,476,566 1743,184 13,110,649 12,763,699 3,862,970 4,828,246 13,595,622 6,936,573 1,963,974 5,241,531 13,653,658 12,587,506 34,961,548 724,1.11,230 682,770,706 41,340,524 60,231,524 61,600,197 56,473,397 64,196,633 55,515,133 63,152,436 54,477,847 43,633,857 54,803,891 50,488,807 55,389,212 124,710,233 70,208,747 62,163,712 56,066,553 60,095,057 58,228,865 57,761,643 58,990,149 52,844,140 64,976,656 67,585,688 59,242,971 52,090,309 19,977,223 1 563,515 406,844 •4,101,576 12,713,732 14,609,207 14,512,302 19,210,283 1172,765 17,096,881 13,853,759 72,619,924 734,673,167 700,254,490 34,418,677 59,536,334 60,205,002 55,682,556 64,469,504 59,069,394 55,821,539 60,542,363 54,803,419, 56,720,084 53,452,557 55,370,364 88,438,114 206,383,234 233,533,255 236,477,947 290,176,926 262,780,234 258,319,307 257,503,487 280,180,440 285,303,171 276,029,643 235,654,356 239)947,601 254,136,930 253,187,522 244,189,050 264,028,646 302,525,300 292,408,854 294,394,996 286,522,399 282,243,628 276,925,992 273,413,503 271,892,704 281,534,096 275,613,948 276,997,558 317,152,479 268,747,666 ~ 3 n , 6 4 8 , 7 8 7 304,641,784 271,733,772 299,846,615 285,229,839 298,724,219 302,675,520 299,946,420 304,384,340 293,576,381 299,730,929 295,846,020 255,750,031 297,036,683 262,745,118 298,496,280 267,930,180 291,333,044 265,188,309 283,977,282 253,778,072 315,960,985 258,363,327 266,417,431 269,854,052 254,875,056 269,971,436 268,080,256 262,442,831 216,069,924 213,874,463 226,993,774 209,366,825 210,156,910 252,962,971 282,263,619 277,211,119 273,416,613 274,923,503 269,466,111 261,854,318 254,761,268 242,866,548 240,915,421 230,237,516 224,151,013 311,612,616 • 1 Excess of disbursements. 5,014,740 4,767,714 6,817,149 3,074,755 73,607,013 22,509,653 2,594,653 4,105,331 4,704,096 4,102,427 3,458,321 4,707,330 6,141,243 2,937,274 4,335,678 3,892,599 3,346,491 5,611,057 2,178,088 480,799 2,352,861 3,983,994 13,941,093 994,677 1,915,202 10,589,295 7,453,589 1,816,816 4,450,899 7,171,035 48,936,500 57,328,348 3,747,869 5,576,900 4,200,682 11,887,492 4,474,480 11,397,007 6,210,360 5,356,471 4,380,993 4,013,537 4,561,260 3,386,974 7,264,664 2,498,472 568,302 330,270 2,709,594 656,704 17,237,648 12,373,409 18,076,684 3,010,168 12,467,492 569,315 69,194,025 77,762,622 7,859,512 5,803,753 4,626,748 5,391,085 7,040,782 5,073,357 10,442,373 3,208,853 7,842,249 3,460,424 1,972,411 3,817,112 8,653,969 1,194,657 496,037 483,780 6,662,958 10,572,593 6,914,056 9,078,778 2,632,049 407,386 16,835,202 48,107,064 66,538,659 112,038,529 Ul tei o o H W tei i to 00 Ox T A B L E G.—Statement showing the ordinary receipts and disbursements ofthe Government by months, etc.—Continued. Month. 1914—July August September , October November. December , 1915—January....... February , March April , May June , T o t a l for 12 m o n t h s . , July August September ... October: November , December 1916—January February., March April May. June T o t a l for 12 m o n t h s . . July..... August September October November December 1917—January February March April May :..... June T o t a l for 12 m o n t h s . . Ordmary disburseOrdinary m e s , exclureceipts, . siven tof exclusive of p r i n c ipostal, p a l of. postal. debt, and premium. to Surplus receipts. Balance i n N e t gold general fund, in Treasury. including n e t gold. $70,704,496 $2,519,677 $280,551,354 $293,776,801 $73, 224,173 69,046,272 117,973,374 51, 072,898 271,500,400 273,875,755 59,602,779 51, 971,395 262,372,102 1 7,631,384 272,503,812 62,771,226 44, 563,946 242,296,082 118,207,280 256,214,220 60,706,247 44, 825,384 224,826,733 115,880,863 251,062,728 56,994,982 51, 429,362 218,759,495 263,650,971 ^5,565,620 58,829,053 50, 712,626 209,474,752 242,248,709 18,116,427 -56,-137,624- -1-12,501,352- _257,-525,_963^ JL95,_358,799 -437 6367272 61,308,792 188,621,178 1 4,909,833 275,337,786 56, 398,959 61,992,174 173,741,660 113,950,097 256,586,196 48, 042,077 57,925,408 167,958,342 236,536,259 13,686,507 54, 238,901 55,380,706 257,147,142 247,746,370 127, 794,835 72,414,129 731,399,759 133,488,931 697,910,828 73,271,470 116,568,479 702,991 257,006,051 241,004,010 63,571,573 113,261,480 310,093 241,846,744. 228,978,562 60,190,680 110,585,656 605,024 244,265,706 216,978,070 61,839,811 343,113 216,809,613 214,523,162 16,496,698 60,965,057 325,362 221,663,793 211,957,352 14,639,695 59,971,998 425,654 216,382,509 204,410,685 1 4,546,344 57,102,599 194,131 185,491,144 208,671,683 12,908,468 54,824,240 432,814 204,075,899 214,083,903 608,574 61,667,509 461,993 215,303,167 217,415,793 1 2,205,516 56,293,213 222,566,597 220,367,158 55,301,239 1 991,974 62,091,934 219,304,536 222, 183,711 64,077,393 1,985,459 52,702,915 238,093,644 2 331,470,441 167,484,745 114,781,830 779,664,552 724,492,999 55,171,553 61, 540,546 65,366,441 57,591,264 60, 143,268 55,673,562 62, 190,227 61,063,398 52,323,745 66,360,066 93,257,554 197,632,968 285,031,088 1,118,174,127 1,147,898,991 129,724,864 I m p o r t s of gold. $3,391,715 3,045,219 2,761,590 9,945,003 7,391,729 4,109,063 6,896,398 12,726,492 257620; 467 16,203,028 31,136,311 52,341,740^ 171,568,755 17,262,938 61,641,191 42,062,449 79,669,359 60,981,540 45,412,677 15,008,232 6,016,006 9,776,439 6,121,788 . 27,321,943 122,734, 739 494,009,301 62,107,665 41,238,716 92,562,247 97,508,875 46,972,903 158,620,681 58,926,258 103,766,495 139,498,590 32,372,455 52,262,090 91,339,051 977,176,026 E x p o r t s of gold. $33,669,424 18,125,617 21,887,202 50,301,972 14,526,482 130,924 691, 509 1,053,879 923,891 813,706 1,277,554 2,821,988 146,224,148 2,191,735 1,128,428 2,033,990 2,938,800 3,661,153 11,889,285 10,213,517 13,684,667 10, 774,354 11,502,999 11,918,597 8,312,023 90,249,548 9,395,035 11,780,129 6,849,141 7,053,684 26,335,062 -27,973,719 20,719,898 22,068,059 17,919,601 16,965,210 57,697,419 67,164,268 291,921,225 1 E x c e s s of d i s b u r s e m e n t s . 2 E x c l u s i v e of d i s b u r s i n g ojBBcers' c r e d i t s a n d o u t s t a n d i n g w a r r a n t s a n d c h e c k s . N O T E . — T h e receipts a n d d i s b u r s e m e n t s , b y m o n t h s , were m a d e u p from t h e p a r t i a l r e p o r t s p r i o r t o J u l y 1,1908; a n d b e i n g subject t o c h a n g e b y . s u b s e q u e n t c o n c e n t r a t i o n of FRASER a c c o i m t s , d i d n o t agree w i t h t h e t o t a l s b y y e a r s . T h e l a t t e r are t h e a c t u a l r e s u l t s , as s h o w n b y c o m p l e t e r e t u r n s . Digitized for 00 05 hd o w H O ^. W tei hrl H-l fei > o tei Ul SECRETARY OF THE TREASUEY. 287 T A B L E H.—Statement of the balance in the general fund of the Treasury, including the gold reserve, by calendar years from 1791 to 1842, and by fiscal years from 1843 to 1917} Balance In . general fund, including gold reserve since 1875. Date. 1791—December 31 1792—December 31 1793—^December 31 1794—December 31 1795—December 31 1796—December 31 1797—December 31 1798—December 31 1799—December 31 1800—December 31 1801—December 31 1802—December 31 1803—December 31 1804—December 31 1805—December 31 1806—December 3 1 . : 1807—December 31. 1808—December 31 1809—December 3 1 . . 1810—December 31 1811—December 31 1812—December 31 1813—December 31 1814—Deceniber 31 1815—December 31 1816—December 31 1817—December 31 1818—December 31 1819—December 31 1820—December 31 1821—December 31 1822—December 31 1823—December 31 1824—December 31 1825—December 31 1826—December 31 1827—December 31 1828—December 31 1829—December 31 1830—December 31 1831—December 31 1832—December 31 1833—December 31 1834—December 31 1835—December 31 1836—December 31 1837—December 31 1838—December 31 1839—December 31 1840^December 31 1841—December 31 1842—December 31 1843—June 30 1844—June 30 1845—June 3 0 . . . . : 1846—June 30 1847—June 30 1848—June 30 1849—June 30 1850—June 30 1851—June 30 • 1852—June 30. 1853—June 30 : 1854—June 30 •. .- Date. $973,905.75 1855—June 30 783,444.51 1856—June 30 753,661.69 1857—June 30.. 1,151,924.17 1858—June 30 516,442.61 1859—June 30 888,995.42 1860—June 30 1,021,899.04 1861—June 30 617,451.43 1862—June 30 2,161,867.77 1863—June 30.. 2,623,311.99 1864—June 30 3,295,391.00 1865—June 30 5,020,697.64 i 1866—June 30 4,825,811.60 1867—June 30 4,037,005.26 1868—June 30 3,999,388.99 1869—June 30 4,538,123.80 1870—June 30 9,643,850.07 1871—June 30 ^ 9,941,809.96 1872—June 30 3,848,056.78 1873—June 30 2,672,276.57 1874—June 30 3,502,305.80 1875—June 30 3,862,217.41 1876—June 30 5,196,542.00 1877—June 30 1,727,848.63 1878—June 30 13,106,692.88 1879—June 30 22,033,519.19 1 1880—June 3 0 . . . : 14,989,465.48! 1881—June30 1,478,526.74 1882—June 30 2,079,992.38 1883—June 30 1,198,461.21 1 1884—June'30 1,681,592.24 1885—June 30 4,193,690.68 1 1886—June 30 9,431,353.20 1 1887—June 30 1,887,799.80 i 1888—June 30 5,296,306.74 1889—June 30 6,342,289.48 1890—June 30 6,649,604.31 1891—June 30 5,965,974.27 1892—June 30 2 4,362,770.76 1893—June 30 4,761,409.34 1894—June 30. 3,053,513.24 1895—June 30 911,863.16 1896—June 30 10,658,283.61 1897—June 30 7,861,093.60 1898—June 30 25,729,315.72 1899—June 30 45,756,833.54 1900—June 30 8 6,804,953.64 1901—June 30 . 6,633,715.23 1902—June 30 4,683,416.48 1903—June 30 1,704,56L80 1904—June 30 375,692.47 1905—June 30 2,079,908.13 1906—June 30. 11,195,156.21 1 1907—June 30 8,612,850.23 1908—June 30 8,110,649.86 1909—June 30 9,683,869.83 1910—June 30 5,446,382.16 1911—June 30 758,332.15 1912—June 30 3,208,822.43 1913—June 30 7,431,022.72 1914—June 30 12,142,193.97 1915—June 30 15,097,880.36 1916—June 30.. 22,286,462.49 1917—June 30 20,300,636.61 Balance In general fund, including ' gold reserve since 1876. $19,529,841.06 20,304,844.78 18,218,770.40 6,698,157.91 4,685,625.04 3,931,287.72 .'.... 2,005,285.24 18,265,984.84 8,395,443.73 112,002,776.10 26,440,930.29 112,476,770.68 161,175,174.31 115,133,629.82 126,642,842.77 113,485,981.01 91,739,739.00 74,437,358.64 59,762,346.64 72,159,597.17 63,274,721.71 68,947,608.99 91,694,006.29 : 177,498,846.71 367,054,575.14 168,299,404.40 182,678,977.44 162,323,331.14 161,382,637.70 165,046,380.69 ; . 182,622,360.17 232,099,178.06 207,600,698.44 ". 244,094,169.01 210,737,083.78 190,841,184.72 156,847,826.49 • 129,178,792.53 124,824,804.94 118,885,988.18 196,348,193.17 269,637,307.07 244,466,201.96 209,282.643.13 284,488,516.20 , . . . . 306,827,605.37 328,406,798.13 362,187,361.18 388,686,114.23 : 322,051,568.02 295,477,491.89 330,689,354.83 422,061,445.47 395,171,347.73 276,375,428.10 256,894,675.67 290,176,926.13 317,152,478.99 315,960,984.79 311,612,615.63 257,147,142.41 331,470,441.21 1,120,226,149.00' 1 This statement Is made from warrants paid by the Treasurer of the United States to Dec. 31,1821, and by warrants Issued after that date, and is exclusive of disbursing officers' credits and outstanding warrants and checks. 3 The unavailable funds are notlncluded from and after this date. 8 The amount deposited with the States under act of June 23,1836, havhig been taken out ofthe control of the Treasury Department by the act of Oct. 2,1837, Is notlncludedlrom and after this date. TABLE I.—Receipts and disbursements of the UnitedStates. to RECAPITULATION OF RECEIPTS BY FISCAL YEARS. 00 00 Ordiaary receipts. Miscellaneous. Year. Customs. 1791 1792 1793 1794 1795 1796 1797 1798 1799 1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 1811 1812 1813 1814 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828 1829 1830 $4,399,473.09 3,443,070.85 - 4,255,306.56 4,801,065.28 5,588,461.26 6,567,987.94 7,549,649.65 7,106,061.93 6,610,449.31 9,080,932.73 778.93 • 10,750, 12,438,235.74 10,479,417.61 11,098,565.33 12,936,487.04 14,667,698.17 15,845,521.61 16,363,550.58 7,257,506.62 8,583,309.31 13,313,222.73 8,958,777.53 13,224,623.25 5,998,772.08 7,282,942.22 36,306,874.88 26,283,348.49 17,176,385.00 20,283,608.76 15,005,612.15 13,004,447.15 17,589,761.94 19,088,433.44 17,878,325.71 20,098,713.45 23,341,331.77 19,712,283.29 23,205,523.64 22,681,965.91 21,922,391.39 Internal revenue. $208,942.81 JL37,705/70 I 274,089.62'' 337,755.36 475,289.60 575,491.45 644,357.95 779,136.44 809,396.55 1,048,033.43 621,898.89 215,179.69 50,941.29 21,747.15 20,101.45 13,051.40 8,190.23 4,034.29 7,430.63 2,295.95 4,903.06 4,755.04 1,662,984.82 4,678,059.07 5,124,708.31 2,678,100.77 955,270.20 229,593.63 106,260.53 69,027.63 67,665.71 34,242.17 34,663.37 25,771.35 21,589.93 19,885.68 17,451.54 14,502.74 12,160.62 Sales of public lands. -nim/^f fo^ i^ireci tax. $4,836.13 83,540.60 11,963.11 443.75 167,726.06 188,628.02 165,675.69 487,526.79 540,193.80 765,245.73 466,163.27 647,939.06 442,252.33 696,548.82 1,040,237.53 710,427.78 835,655.14 1,135,971.09 1,287,959.28 1,717,985.03 1,991,226.06 2,606,564.77 3,274,422.78 1,635,871.61 1,212,966.46 1,803,581.54 916,523.10 984,418.15 1,216,090.56 1,393,785.09 1,495,845.26 1,018,308.75 1,517,175.13 2,329,356.14 $734, 223.97 534, 343.38 206, 666.44 71, 879.20 50, 198. 44 21, 882.91 55, 763.86 34, 732.56 19, 159.21 7, 517.31 12, 448.68 7, 666.66 859.22 3, 805.52 2,219, 497.36 2,162, 673.41 4,253, 635.09 1,834, 187.04 264, 333.36 83, 650.78 31, 586.82 29, 349.05 20, 961.56 10, 337.71 201.96 330.85 638.76 626.90 218.81 335.05 Other miscellaneous items.' items.i laneous $10,478.10 17,946.65 59,910.88 -356^-749r97-| 19J,117.97 1,372,215.98 480,099.29 216,787.81 157,227.56 223,752.10 444,574.15 1,540,465.86 131,945.44 139,075.53 40,382.30 51,121.86 38,550.42 21,822.85 62, 162.57 84,476.84 59,211.22 126,165.17 271,871.00 164,485.60 296,824.58 342,447.51 580,006.52 583,030.33 732,098.42 1,061,338.44 257,589.43 750,457.19 491,129.84 477,603.60 497,951.81 497,088.66 1,735,722.83 520,126.49 602,648.55 563,227.77 Total ordinary receipts. $4,409,951.19 3,669,960.31 4,652,923.14 -5,431,904.876,119,334.59 8,420,329.65 8,688,780.99 7,979,170.80 7,546,813.31 10,848,749.10 12,945,455.95 14,995,793.95 11,064,097.63 11,826,307.38 13,560,693.20 15,559,931.07 16,398,019.26 17,060,661.93 7,773,473.12 9,384,214.28 14,422,634.09 9,801,132.76 14,340,709.95 11,181,710.95 15,708,458.56 47,745,650.82 33,366,868.88 21,585,583.66 24,603,374.37 17,840,669.55 14,573,379.72 20,232,427.94 20,540,666.26 19,381,212.79 21,840,858.02 25,260,434.21 22,966,363.96 24,763,629.23 24,827,627.38 24,844,116.51 Postal revenue. $71,295.93 92,988.40 103,883.19 129,185.87163,794.54 195,043.44 213,992.74 233,144.73 264,850.39 280,806.06 320,444.81 326,831.65 359,952.41 • 389,711.49 422,129.07 446,520.34 484,134. 45 460,717.77 506,633.95 551,754.97 587,256.73 649,151.22 703,220.73 730,953.13 1,043,021.74 , 961,718.04 1,002,973.26 1,130,202.99 1,204,737.39 1,111,760.72 1,058,302.10 1,117,555.36 1,130,214.35 1,197,298.93 1,306,253.59 1.447.660.04 1,524,601.79 1,660,276.46 1,778,471.83 1,919.313.70 Surplus (-I-) or Total ordinary deficit ( - ) on receipts and ordinary receipts, postal revenue. includiag postal deficiencies. $4,481,247.12 3,762,948.71 4,756,806.33 -.5,561,-090.74 6,283,129.13 8,615,373.09 8,902,773.73 8,212,315.63 7,811,663.70 11,129,555.16 13,265,900.76 15,322,625.60 11,424,050.04 12,216,018.87 13,982,822.27 16,006,451.41 16,882,153.71 17,521,379.70 8,280,107.07 9,935,969.25 15,009,900.82 10,450,283.98 15,043,930.68 11,912 664.08 16,75i;480.30 48,707 368.86 34,369;842.14 22,715,786.65 25,808,111.76 18,952,430.27 15,63i; 681.82 21,349,983.30 21,670;880.61 20,578,511.72 23,147,111.61 26,708,094.25 24,490,965.75 26,423 905.16 26,606 099.29 26,763,430.21 +$1,312, 1.64 - 4,599, 1.44 + 805,993.24 -r-_865, 91_7.17 - 1,190,266.19 + 2,629,678.82 + 2,680, 153.74 + 371,584.48 - 1,749,004.82 + 34,778.09 + 3,551,955.99 + 7,019,541.88 -t- 3,111,811.03 + 3,188,399.73 + 4,546,344.36 + 6,110,753.45 + 8,043,867.89 + 7,999,248.85 - 2,507,273.92 + 909,460.91 + 6,244,593.66 -10,479,638.51 -17,341, 142.19 -23,549,214.47 -17,235,202.68 +16,549,294.90 o+13,375,976.41 + 1,566,955.85 + 3,091,370.37 444,865.34 - 1,276,173.14 + 5,231,995.64 + 5,834,036.27 892,489.85 + 5,983,640.68 + 8,232,674.99 + 6,827,196.80 + 8,368,787.18 + 9,643,573.75 + 9,702,008.25 O w H O H W tei tei HH > M a tei Ul 00 2,105,721.94 28,526,820.82 + 13,289,004.18 10,506.01 I 1,074,124.05 3,210,815. 48 30,632,542.76 2,258,570.17 + 14,578,500.39 2,623,381. OJ; 6,791.1; 760,410.61 31,867,450.66 34,126,020.83 2,617,011.88 36,565,438.13 + 10,930,874.27 394.12 3,967,682. 55 945,081.67 33,948,426.25 2,823,749.34 24,615,648.89 + 3,164,365.32 4,857,600. 69 715,161.82 21,791,935.55 19.80 2,993,556.66 38,423,643.76 + 17,857,273.74 14,757,600. 75 4,263.33 1,266,452.95 35,430,087.10 3,408,323.59 54,235,119.67 + 19,958,632.04 24,877,179. 81) 2,638,576.90 50,826,796.08 728.7{ 4,945,668.21 29,899,821.25 6,776,236. 52 - 12,289,061.20 1,687.70 7,001,444.59 24,954,153.04 4,238,733.46 26,302,561.74 3,730,945. - 7,562,152.82 6,410,348.45 30,541,295.20 4,484,656.70 35,967,406.31 + 4,585,966.99 7,361,576. m ' 755.22 979,939.86 31,482,749.61 40 4,543,521.92 24,023,637.25 3,411,818. 6'; - 4,834,402.86 2,567,112.28 19,480,115.33 4,407,726.27 1,365,627. 4? - 9,621,657.57 1,004,054.75 16,860,160.27 21,267,886.54 4,546,849.65 24,523,046.90 1,335,797. 52 - 5,158,689.19 451,995.97 19,976,197.25 4,296,225.43 8,231,001.26 285; 895.92 898,158. 18 .:::..::::::::'. - 3,549,091.25 12,527,226.69 4,237,287.83 33,557,995.61 1,075,419.70 29,320,707.78 2,059,939. 80 + 6,837,147.64 4,289,841.80 34,259,947.60 2,077,022. 30 + 7,034,278.01 361,453.68 29,970,105.80 3,487,199.35 33,187,167.09 2,694,452. 48 + 2,438,784.88 289,950.13 29,699,967.74 3,880,309.23 30,347,712.39 2,498,355. ?0 220,808.30 26,467,403.16 - 28,453,380.93 4,555,211.10 3,328,642. 56 - 11,919,521.44 40,253,910.31 612,610.69 35,698,699.21 4,705,176.28 35,426,253.78 - 12,778,000.89 1,688,959. 55 685,379.13 30,721,077.50 5,499,984.86 49,092,873.74 1,859,894. ?5 2,064,308.21 43,592,888.88 + 2,644,505.76 6,410,604.33 58,965,643.66 2,352,305. 30 1,185,166.11 , 52,555,039.33 + 4,803,560.92 5,184,526.84 55,031,342.44 2,043,239. 58 + 5,456,563.24 464,249.40 49,846,815.60 5,240,724.70 66,827,756.38 61,587,031.68 1,667,084. 99 + 13,843,042.59 988,081.17 6,255,586.22 80,055,927.62 8,470,798. 39 + 18,761,886.29 1,105,352.74 73,800,341.40 6,642,136.13 71,992,710.81 11,497,049. 07 + 6,719,911.97 827,731.40 65,350,574.68 6,920,821.66 80,977,520.90 8,917,644. 93 + 6,330,349.23 1,116,190.81 74,056,699.24 7,353,951.76 76,319,264.33 3,829,486. 64 + 1,330,903.64 1,259,920.88 68,965,312.67 7,486,792.86 54,142,168.82 - 27,327,126.88 3,613,715. 87 1,352,029.13 46,655,365.96 7,968,484.07 60,745,591.99 1,756,687. 30 1,454,596.24 62,777,107.92 16,216,491.85 8,518,067.40 64,572,667.23 1,778,557. 71 1,088,530.25 56,054,599.83 - 7,146,275.82 8,349,296.40 49,825,595.89 41,476,299.49 1,023,515.31 51,919,261.09 870,658. 54 - 25,173,913.59 8,299,820.90 60,219,081.99 915,327.97 1,795,331.73 152,203. 77 -417,650,980.56 123,258,735.10 -606,639,330.67 3,741,794.38 112,094,945.51 11,163,789.59 167,617. 17 37,640,787.95 1,485,103.61 12,438,253.78 275,150,119.11 49,590,595.99 262,711,865.33 109,741,134.10 588,333. 29 -602,257,235.50 475,648.96 14,556,158.70 341,839,677.38 -967,815,770.90 30,693,916.49 327,283,518.68 209,464,215.25 1,200,573.03 996,553. 31 14,436,986.21 572,254,216.55 309,226,813.42 66,903,980.19 557,817,230.34 + 38,794,874.00 665,031. 03 1,974,754.12 15,297,026.87 477,001,523.47 266,027,637.43 29,192,365.70 398,369,440.36 + 130,272,197.69 1,163,575. 76 4,200,233.70 16,292,600.80 492,298,550.34 191,087,589.41 39,680,390.13 369,564,545.47 + 28,030,306.54 1,348,715. 41 414,662,041.16 1,788,145.85 18,344,510.72 387,909,056.19 158,356,460.86 + 48,373,947.72 26,373,628.03 411,253,971.24 4,020,344. 34 765,685.6 19,772,220.65 184,899,756.49 +117,596,966.09 3,350,481. 76 28,236,255.67 383,323,944.89 20,037,045.42 431,026,191.89 229,102.88 143,098,153.63 2,388,646. 68 30,986,381.16 374,106,867.56 580,355.37 403,360,990.31 +100,163,551.38 21,915,426.37 396,022,293.93 130,642,177.72 +103,547,171.65 2,575,714. 24,518,688.88 333,738,204.67 m 113,729,314.14 + 48,498,879.33 2,882,312. 38 28,721,800.94 304,978,756.06 22,996,741.57 3i5,254.5i 26,471,071.82 356,734,946.24 102,409,784.90 + 3,739,955.85 1,852,428. 37,612,708.54 331,449,827.88 26,791,360.59 ^ 110,007,493.58 + 13,376,658.26 1,413,640. ^' 19,411,195.00 288,000,051.10 17 28,644,197.50 314,791,411.69 293,790,130.50 116,700,732.03 + 28,689,045.91 1,129,466. 95 27,794,148.11 281,250,222.78 27,531,585.26 322,434,328.00 .93,798.80 118,630,407.83 + 39,915,747.92 30,687,068.20 257,763,878.70 976,253. 6S 29,277,516.95 308,781,808.04 110,581,624.74 + 20,799,551.90 15,931,830.39 272,330,241.21 30,041,982.86 287,041,395.65 1,079,743, 37 113,561,610.58 + 5,382,357.68 20,593,801.87 333,526,500.98 33,315,479.34 302,372,224.07 924,781. Ofi 124,009,373.92 + 68,678,863.62 366,841,980.32 1,016,506..60 1 36.85 1 21,978,525.01 1 Including profits on coinage, payments by Pacific railways, tax on national-bank circulation, forest reserve fund, head tax on immigrants, fees, flnes, and penalties, rent and sale of Government property, District of Columbia receipts, etc. 1831 1832 1833 1834 1835.. 1836 1837 1838 1839 1840 1841 1842 1843 (6 m o n t h s ) 1844... 1845... 1846 1847 1848 1849. 1850 1851 1852 1853 1854 1855. . 1856 1857 1858 1859... I860 1861.... 1862 1863 •. 1864 1865 1866 1867 1868... 1869 1870. 1871 1872 1873 1874... 1875 1876. 1877 1878... 1879 1880 1 24,224,441.77 28,465,237.24 29,032,508.91 16,214,957.15 19,391,310.59 23,^)9,940.53 11,169,290.39 16,158,800.36 23,137,924.81 13,499,502.17 14,487,216.74 18,187,908.76 7,046,843.91 26,183,570.94 27,528,112.70 26,712,667.87 23,747,864.66 31,757,070.96 28,346,738.82 39,668,686.42 49,017,567.92 47,339,326.62 58,931,865.52 64,224,190.27 53,025,794.21 64,022,863.50 63,875,905.05 41,789,620.96 49,565,824.38 53,187,511.87 39,682,125.64 49,056,397.62 : ..... 69,059,642.40 102,316,152.99 84,928,260.60 179,046,651.58 176,417,810.88 164,464,599.56 180,048,426.63 194,538,374.44 206,270,408.05 216,370,286.77 188,089,522.70 163,103,833.69 157,167,722.35 148,071,984.61 130,956,493.07 130,170,680.20 137,250,047.70 1 186,522,064.60 6,933.51 11,630.65 2,759.00 4,196.09 10,459.48 370.00 5,493.84 2,467.27 2,553.32 1,682.25 3,261.36 495.00 103.25 1,777.34 3,517.12 2,897.26 375.00 375.00 a I n o tei h^ W tei tei to 00 CO to TABLE I.—Receipts and disbursements of the UnitedStates—Continued. CO o RECAPITULATION O F R E C E I P T S BY FISCAL YEARS-Continued. Ordiaary receipts. Year. Customs. Internal revenue. Miscellaneous. Sales of public lands. $2,201,863. . 4,753,140, 7,955,864. 9,810,705. 6,705,986, 5,630,999. 9,254,286. 11,202,017. 8,038,651, 6,358,272. 4,029,535. 3,261,875. 3,182,089. 1,673,637. 1,103,347. 1,005,523. 864,581. 1,243,129, 1,678,246, 2,836,882. 2,965,119, 4,144,122. 8,926,311. 7,453,479. 4,859,249, 4,879,833. 7,878,811, 9,731,560. 7,700,567. 6,355,797. 5,731,636. 5,392,796, 2,910,204. 2,571,774. 2,167,136. 1,887,661. 1,892,893. 23 Direct tax. Other miscellaneous items. $25,154,850.98 31,703,642.52 30,796,695.02 21,984,881.89 24,014,055.06 20,989,527.86 26,005,814.84 24,674,446.10 24,297,151.44 24,447,419.74 23,374,457.23 20,251,871.94 18,254,898.34 17,118,618.52 16,706,438.48 19,186,060.54 23,614,422.81 83,602,501.94 34,716,730.11 35,911,170.99 38,954,098.12 32,009,280.14 36,180,657.20 38,084,749.88 43,852,911.06 40,436,017.99 53,346,713.24 53,504,906.05 48,964,344.52 45,538,953.05. 58,614,.466.08 53,451,796.74 57,892,663.64 59,740,370.13 70,287,372.90 51,889,016.28 80,952,632.09 Total ordinary receipts. Postal revenue. Surplus ( + ) or Total ordinary deficit ( - ) on receipts and ordinary receipts, postal revenue. including postal deficiencies. $360,782,292.57 $36,785,397.97 $397,567,690.54 +$101,130,653.76 145,543,810.71 403,525,250.28 41,876,410.15 445,401,660.43 132,879,444:41 398,287,581.95 45,508,692.61 443,796,274.56 104,393,625.59 348,519,869.92 43,325,958.81 391,845,828.73 63,463,771.27 323,690,706.38 42,560,843.83 366,251,550.21 93,956,588.66 336,439,727.06 43,948,422.95 380,388,150.01 108,239.94 103,471,097.69 371,,403,277.66 48,837,609.39 420,240,887.05 32,892.05 119,612,116.09 379,266,074.76 62,695,176.79 431,961,251.56 1,565.82 387,050,058.84 56,175,611.18 443,225,670.02 + 105,053,443.24 403,080,982.63 60,882,097.92 463,963,080.56 + 105,344,496.03 392,612,447.31 65,931,785.72 458,544,233.03 + 37,239,762.57 914,453.66 354,937,784.24 70,930,475.98 425,868,260.22 385,819,628.78 75,896,993.16 461,716,621.94 + ?'341,674.29 297,722,019.25 75,080,479.04 372,802,498.29 + 2,803,260.58 313,390,075.11 76,983,128.19 390,373,203.30 - 69,805,223.18 326,976,200.38 82,499,208.40 409,475,408.78 - 42,203,245.70 347,721,705.16 82,665,462.73 430,387,167.89 - 25,052,454.41 405,321,335.20 89,012,618.55 .494,333,953.75 - 18,047,247.60 615,960,620.18 95,021,384.17 610,982,004.35 - 38,111,559.67 567,240,851.89 102,354,579.29 669,595,431:18 - 89,527,060.18 .587,685,337.53 111,631,193.39 699,316,530.92 + 79,717,984.38 562,478,233.21 ,121,848,047.26 684,326; 280.47 + 77,287,375.67 560,396,674.40 134,224,443.24 694,621,117.64 + 91,307,652.36 539,716,913.86 143,682,624.34 683,299,638.20 + 64,479,092.65 544,606,758.62 152,826,685.10 697,433,343.72 + 7,753,335.00 594,717,942.32 167,932,782.95 762,650,725.27 - 18,312,516.97 663,126,659.92 183,586,005.57 846,710,665.49 + 45,420,530.88 601,060,723.27 191,478,663.41 792,539,386.68 + 111,041,667.37 603,589,489.84 203,662,383.07 807,151,872.91 - 20,734,954.93 675,511,715.02 224,128,657.62 899,640,372.64 - 68,806,323.94 701,372,374.99 237,879,823.60 939,252,198.59 + 15,234,377.10 691,778,465,37 246,744,015.88 938,522,481.25 + 47,224.501.90 990,730,755.49 + 37,340,624.33 724,111,229.84 266,619,526.65 734,673,166.71 287,934,565.67 1,022,607,732.38 + 41,418,677.00 697,910,827.58 287,248,165.27 .985,158,992.85 + 34,488,931.53 779,664,552.49 312,057,688.83 1,091,722,241.32 - 33, 171,553.59 724,864.73 1,118,174.126. 43 329,726,116.36 1,447,900,242.79 + 55 - 29; 1 Includes $20,951,780.97 corporation tax. «Includes $33,516,976.59 corporation tax. a includes $28,583,303.73 corporation tax. < Includes $35,006,299.84 corporation tax. 6 Includes $10,671,077.22 corporation excise tax; $32,456,662.67 corporation income tax; and $28,253,534.85 individual iacome.tax. 6 Includes $52,069,126.29 emergency revenue; $39,155,596.77 corporation incoihe tax; and'$41,046,162.09 individual income tak. 7 Includes $84,278,302,13 emergency revenue; $56,993,657.98 corporation income tax; and $67,943,594.63 individual income tax. 8 Includes $95,297,553.88 emergency revenue; $179,572,887.86 corporation income tax; and $180,108,340.10 individual income tax. 1881. 1882. 1883. 1884. 1885. 1886. 1887. 18887 1889. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897., 1898. 1899., 1900., 1901. 1902., 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910., 1911.. 1912.. 1913., 1914. 1915.. 1916.. 1917. $198,159,676.02 220,410,730.25 214,706,496.93 195,067,489.76 181,471,939.34 192,905,023.44 217,286,893.13 219,091,173.63 223,832,741.69 229,668,584.57 219,522,205.23 177,452,964.15 203,355,016.73 131,818,530.62 152,158,617.45 160,021,751.67 176,554,126.65 149,575,062.35 206,128,481.75 233,164,871.16 238,585,455.99 254,444,708.19 284,479,581.81 261,274,564.81 261,798,856.91 300,251,877.77 332,233,362.70 286,113,130.29 300,711,933.95 333,683,445.03 314,497,071.24 311,321,672.22 318,891,395.86 292,320,014.51 209,786,672.21 213,185,845.63 225,962,393.38 $135,264,385.51 146,497,595.45 144,720,368.98 121,586,072.51 112,498,725.64 116,805,936.48 118,823,391.22 124,296,871.98 130,881,513.92 142,606,705.81 145,686,249.44 153,971,072.57 161,027,623.93 147,111,232.81 143,421,672.02 146,762,864.74 146,688,574.29 170,900,641.49 273,437,161.51 295,327,926.76 307,180,663.77 271,880,122.10 230,810,124.17 232,904,119.45 234,095,740.85 249,150,212.91 269,666,772.85 251,711,126.70 246,212,643.59 1289,933,519.45 2322,529,200.79 3321,612,199.66 *344,416,965.65 5380,041,007.30 415,669,646.00 7512,702,028.78 8 809,366>207.73 $1,516.89 160,141.69 108,156.60 70,720.75 O pi O fei H w tei a tei Ul Public debt receipts. receipts—proProceeds of Premium ceeds of bonds bonds and other Total public and premium. received. debt. securities. Year. 1791 1792 1793 1794 1795 1796 1797 1798 1799 1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 1811 1812 1813 1814 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828 1829 1830 1831 1832 . . . . . .. $361,391.34 6,102,498.45 1,797,272.01 4,007,950.78 3,396,424.00 320,000.00 70,000.00 200,000.00 5,000,000.00 1,565,229.24 : $361,391.34 6,102,498.45 1,797,272.01 4,007,950.78 3,396,424.00 320,000.00 70,000.00 200,000.00 5,000,000.00 1,565,229.24 ... : . . . . . . . . • : 2,750,000.00 2,750,000.00 12,837,900.00 26,184,135.00 23,377,826.00 35,220,671.40 9,425,084.91 466,723.45 8,353.00 2,291.00 3,000,824.13 5,000,324.00 12,837,900.00 26,184,135.00 23,377,826.00 35,252,779.04 9,425,771.00 466,723.45 8,353.00 2,291.00 3,.040,824.13 5,000,324.00 5,000,000.00 5,000,000.00 '. 1833.O.OO $32,107.64 686.09 40,000.00 5,666,666.00 5,000,000.00 Excess of deposits to retire national-bank notes over redemptlons.i Total of all recelpts.2 $4,842,638.46 8,865,447.16 6,554,078.34 9,569,041.52 9,679,553.13 8,935,373.09 8,972,773.73 8,412,315.53 12,811,663.70 12,694,784.40 13,265,900.76 15,322,625.60 11,424,050.04 12,216,018.87 13,982,822.27 16,006,451.41 16,882,153.71 17,521,379.70 8,280,107.07 12,685,969.25 15,009,900.82 23,288,183.98 41,228,065.68 35,290,490.08 52,004,259.34 58,133,139.86 34,836,565.59 22,724,139.65 25,810,402.76 21,993,254.40 20,632,005.82 21,349,983.30 21,670,880.61 25,578,511.72 28,147,111.61 26,708,094.25 24,490,965.75 26,423,905.69 26,606,099.21 26,763,430.21 30,632,542.76 34,126,020.83 36,565,438.13 1 Only the aimual excess of deposits over redemptions included in this column. 2 National-bank redemption fund herein includes only the.annual excess of deposits on account of national-bank redemption fund since 1890. Surplus ( + ) or deficit ( - ) on all receipts. + $978,088.02 174,059.44 — 60.66 + 432,050.82 — 596,725.64 + 430,957.17 + 190,308.33 356,610.89 + 1,624,430.85 + 535,114.32 + 744,381.90 + 1,776,281.60 — 151,246.00 733,072.08 -^ 1,602.72 + 571,440.70 + 5,170,944.69 + 311,762.86 — 6,092,235.17 - 1,175,016.46 + 899,375.23 + 456.590.30 + 1,402,133.60 - 3,464,115.10 +11,678,010.38 + 9,080,769.20. - 6,958,209.31 -13,412,534.93 + 692.170.44 932,961.78 + 363,906.85 + 2,506,031.71 + 5,197,932.12 - 7,510,505.04 + 3,322,394.60 + 1,208,897.01 + 352,582.03 714,890.28 310.963 86 + 228,032.48 - 1,412,646.16 - 2,496,848.89 + 9,377,724.77 Zfl tei o w tei H l> % O tei H w tei i > pi to CO to TABLE I.—Receipts and disbursements ofthe United States—Continued. CO to' RECAPITULATION OF RECEIPTS BY FISCAL YEARS—Continued. Public debt receipts. receipts—proProceeds of Total public Premium ceeds of bonds bonds and other received. and premium. debt. securities. Year. Excess of deposits to retire national-bank notes over redemptions. Total of all receipts. Surplus ( + ) or deficit ( - ) on all receipts. $24,615,648.89 38,423,643.76 54,235,119.67 32,892,810.40 43,258,116-06 39,824,682.52 29,613,184.76 34,927,203.92 39,331,782.54 25,078,635.88 35,435,843.56 34,259,947.60 33,187,167.09 59,248,477.75 61,547,690.31 64,502,069.26 53,149,373.74 59,173,308.58 55,077,642.44 66,844,128.88 80,057,929.29 71,993,510.81 80,977,720.90 76,323,164.33 77,859,458.82 89,742,449.71 85,359,475.23 91,720,936.53 589,979,942.49 898,444,442.11 1,363,338,222.81 i; 816,335,674.63 1,184,504,884.32 978,955,827.43 959,030,658.12 489,357,328.99 462,597,614.28 494,964,202.78 569,740,043.93 395,416,396.24 514,685,69.3.88 - 82,896,938.63 + 18,093,152.12 + 20,525,189.27 - 7,660,545.78 627,984.50 - 2,426,789.94 - 3,331,584.69 - 1,369,853.72 + 720,154.21 + 8,585,777.02 - 2,502,679.99 — 551,193.10 + 1,478,847.28 - 5,251,916.09 - 3,434,303.15 + 3,636,597.39 + 3,331,702.05 + 4,418,802.59 + 1,256,583.57 + 7,026,342.44 - 1,670,827.68 813,401.28 + 1,330,557.67 - 2,305,374.80 - 11,689,520.78 - 1,904,677.28 213,717.82 - 2,015,672.95 + 16,012,557.85 - 10,436.258.73 + 97,919,902.71 -100,493,985.44 +120,757,95L16 + 29,995,626.29 - 38.051,314.22 + 9,436,292.16 - 7,638,809.25 - 24,927,570.64 - 15,571,348.65 - 14,479,076.24 + 9,157,257.53 6 1834 1835....... 1836 1837 1838... 1839..... 1840 1841 1842 1843... 1844 1845 1846 1847 1848 1849 1850 1851 1852 1853 1854... 1855 1856..... 1857 1858 1869... I860 1861 1862 1863 1864 1865 1866 1867.. 1868 1869 1870 1871 1872 1873 1874 $2,992,989.15. 12,716,820.86 3,857,276.21 5,589,547.51 13,659,317.38 14,808,735.64 12,479,708.36 1,877,181.35 ;. /••' .1 : 28,872,399.45 21,256,700.00 28,588,750.00 4,045,950.00 203,400.00 46,300.00 16,350.00 2,001.67 800.00 200.00 3,900.00 23,717,300.00 28,287,500.00 20,776,800.00 41,861,709.74. 529,692,460.50 774,583,361.57 1,086,312,896.82 1,468,064,910.85 612,035,278.05 473,024,790.29 537,099,974.00 100,069,07L06 31,569,916.00 91,603,212.47 173,717,750.00 38,681,450.00 183,235,866.00 $71,700.83 666.60 28,365.91 37,080.00 487,065.48 10,550.00 4,264.92 22.50 709,357.72 10,008.00. 33,630.90 68,400.00 602,345.44 1,875,206.88 6,431,086.40 215,389.72 13,632,486.80 7,268,642.96 1,379,201.74 1,506.39 $2,992,989.15 12,716,820.86 3,857,276.21 5,589,547.51 13,659,317.38 14,808,735.64 12,551,409.19 1,877,847.95 28,900,765.36 21,293,780.00 29,075,815.48 4,056,500.00 207,664.92 46,300.00 16,372.50 2,001.67 800.00 200.00 3,900.00 23,717,300.00 28,996,857.72 20,786,808.00 41,895,340.64 529,760,860.50 775,185,707; 01 1,088,188,103.70 1,474,495,997.25 612,250,667.77 486,657,277.09 644,368,616.96 101,448,272.80 31,571,422.39 91,603,212.47 173,717,750.00 38,681,450.00 183,235,866.00 hd o pi o fei h^ M tei o tei Ul 1875. 1876. 1877. 1878. 1879. 1880. 1881. 1882. 1883. 1884. 1885. 1886. 1887. 1888. 1889. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897. 1898. 1899. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908., 1909., 1910. 1911., 1912 1913., 1914., 1915. 1916. 1917.. $31,210,817.95 25,367,768.67 30,731,008.21 118,102,170.04 33,189,104.15 133,118,500. 132,928,950. 141,134,650. 198,850,250. 617,578,010. 73,065,540. 678,200. 225,300. 304,372,850. 1,404,650. 58,150. 39,850. 40,900. 48,650. 24,350. 21,650. 13,750. 15,250. 22,900. 50,014,250. 81,165,050. 131,168,800. 3,250. 5,950. 199,201,210. 117,770. 3,700. 2,370. 2,050. 2,600. 2,750. 2,050. 5,100. 15,436,600. 459,280. 1,929,840. 3.118,940. 933,540. 2 2,869,995.28 1,803,500. 2 6,150,668.59 12,390,724,754. 133,118,500.00 133,234,684.78 141,290,845.80 198,850,250.00 1,496,943.25 619,074,953.25 110.00 73,065,650.00 678,200.00 225,300.00 304,372,850.00 1,404,650. 00 58,150.00 39,850.00 40,900.00 48,650.00 24,350.00 21,650.00 13,750.00 $40,018,392.25 15,250.00 22,900.00 8,633,295.71 58,647,545.71 5,708,247.75 11,339,344.62 92,504,394.62 11,166,246.41 142,335,046.41 3,250.00 4,356,614.50 5,950.00 6,034,510.00 5,324,234.50 199,201,210.00 117,770.00 3,700.00 12,650,160.00 2,370.00 1,486,098.00 1,484,048.00 455,336.00 457,936.00 2,750.00 532,374. 00 10,408,537.00 . 530,324.00 1,514,334. 00 5,023,165.50 1,509,234.00 24,797,980.00 15,436,500.00 305,734.78 156,195.80 5,255,715.00 459,280.00 1,929,840.00 3,118,940.00 933,540.00 1,803,500.00 2,390,724,754.61 4,347,457.00 32,015,892.00 447,909, 911.69 I - 4,655,478.22 4,204,784.11 455,669,012.78 450;072,653.84 + 29,967,068.67 '485,891,645.65 + 75,651,808.00 921,447,177.32 +144,575,084.77 439,907,630.32 -141,485,744.21 398,245, 890.54 + 14,637,023.93 445,626,960.43 - 20,736,144.84 748,169,124.56 1,178,462.55 393,250,478.73. + 4,531,941.09 366,309,700.21 + 17,479,285.84 380,428,000.01 + 49,412,595.20 420,281,787.05 - 24,447,370.46 432,009,901.55 + 36,527,710.68 443,250,020.02 - 33,503,357.76 463,984,730.55 - 19,601,877.53 498,576, 375.28 - 34,132,372.16 425,883, 510.22 - 27,673,266.32 461,739,521.94 4,445,400.21 437,158,291.75 6,703,914.32 482,877,597.92 + 46,192,425.01 551,810,455.19 +104,580,230.86 434,747,032.39 - 25,071,091.91 500,374, 413.75 - 61,948,849.60 815,507,448.85 ,+100,791,521.35 669,713,201.18 + 23,038,214.12 699,320, 230.92 + 21,215,743.65 696,978,810.47. + 33,672,696.43 696,107,215.64 + 26,266,651.54 683,757,474. 20 697,436,093. 72 - 66,634,546.21 773,591 636.27 - 26,574,076.13 884,458',982. 94 + 35,211,862.93 858,141 635. 35 + 91,372,090.65 837,882,881.12 - 26,890,097. .74 899,640, 372.64. -118,795,919.63 962,610,083.63 , - 19,480,752.43 972,170,865.40 + 33,501,368.58 992,660,595. 49 + 26,975,552.86 1,025,726,672.38 + 3,319,156.71 28,093.79 990,439,989.85 1+ 1,128,411 638.60 - 57,442,509.75 3,844,775;665.99 ,+ 80,150,545.87 +798,591,919.80 1 Includes deposits of $17,641,634, for principal of bonds, only $2,035,700 of which were actually Issued in 1911; the balance was Issued in the fiscal year 1912. 2 Receipts from tolls, etc. (included in miscellaneous receipts in 1915). NOTE..—The disbursements are stated by warrants paid to June 30,1866, and by warrants issued since t h a t date. The disbursements for postal deficincies are grants by law from the Treasury, and differ from the fiscal year expenditures thereof shown by reports of the Auditor for the Post OflQce Department. Issues and redemptions of certificates and notes not affecting the cash in general fund are excluded from the public debt figures in this statement. O pi o >^ y^ W tei teJ ;> Ul d to CO CO TABLE I.—Receipts and disbursements of the United States—Continued. to RECAPITULATION OF DISBURSEMENTS BY FISCAL YEARS. CO Ordinary disbursements. Year. 1791 1792 1793 1794 1795 1796 1797 1798 1799 •1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 1811 1812 1813 1814 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828 1829 1830 Civil and miscellaneous, exclusive of postal deficiencies. War Department. $1,083, 971.61 4,672, 664.38 511, 451.01 750, 350.74 1,378, 920.66 801, 847.58 1,259, 422.62 1,139, 524.94 1,039, 391.68 1,337, 613.22 1,114, 768.45 1,462, 929.40 1,842, 635.76 . 2,191, 009.43 3,768, 598.75 2,890, 137.01 1,697, 897.51 1,423, 285.61 1,215, 803.79 1,101, 144.98 1,367, 291.40 1,683, 088.21 1,729, 435.61 2,208, 029. 70 2,898, 870. 47 2,989, 741.17 3,518, 936. 76 3,835, 839.51 3,067, 211. 41 2,592, 021.94 2,223, 121.54 1,967, 996. 24 2,022, 093.99 7,155, 308.81 2,748, 544.89 2,600, 177. 79 2,713, 476.58 3,676, 052. 64 3,082, 234.65 3,237, 416.04 $632,804.03 1,100,702.09 '1,130,249.08 2,639,097.59 2,480,910.13 1,260,263.84 1,039,402.46 2,009,522.30 2,466,946.98 2,560,878.77 1,672,944.08 1,179,148.25 822,055.85 875,423.93 • 712,781.28 1,224,355.38 1,288,685.91 2,900,834.40 3,345,772.17 2,294,323.94 2,032,828.19 11,817,798.24 19,652,013.02 20,350,806.86 14,794,294 22 16,012,096.80 8,004,236.53 5,622,715.10 6,506,300.37 2,630,392.31 4,461,291.78 3,111,981.48 3,096,924.43 3,340,939.85 3,659,91418 3,943,194 37 3,948,977.88 4,145,544.56 4,724,291.07 4,767,128.88 Navy Department. $61,408.97 410,562.03 274,784.04 382,631.89 1,381,347.76 2,858,081.84 3,448,716.03 2,111,424.00 915,561.87 1,215,230.53 1,189,832.75 1,597,500.00 1,649,641.44 1,722,064.47 1,884,067.80 2,427,758.80 1,654,244.20 1,965,566.39 3,959,365.15 6,446,600.10 7,311,290.60 8,660,000.25' 3,908,278.30 3,314,598.49 2,953,695.00 3,847,640.42 4,387,990.00 3,319,243.06 2,224,458.98 2,503,765.83 2,904,581.56 3,049,083.86 4,218,902.45 4,263,877.45 3,918,786.44 3,308,745.47 3,239,428.63 Indians. $27,000.00 13,648.85 27,282.83 13,042.46 23,475.68 113,563.98 . 62,396.58 16,470.09 20,302.19 31.22 9,000.00 94,000.00 60,000.00 116,500.00 196,500.00 234,200.00 205,425.00 213,575.00 337,503.84 177,625.00 151,875.00 277,845.00 167,358.28 167,394.86 530,750.00 274,512.16 319,463.71 505,704:27 463,181.39 315,750.01 477,005.44 575,007.41 380,781.82 429,987.90 724,106. 44 743,447.83 750,624.88 705,084.24 576,344.74 622,262.47 Pensions. $175,813.88 109,243.15 80,087.81 81,399.24 68,673.22 100,843.71 92,256.97 104,845.33 95,444.03 64,130.73 73,533.37 85,440.39 62,902.10 80,092.80 81,854.59 81,875.53 70,500.00 82,576.04 87,833.54 83,744.16 75,043.88 91,402.10 86,989.91 • 90,164.36 69,656.06 188,804.15 297,374.43 890,719.90 2,415,939.85 3,208,376.31 242,817.25 1,948,199.40 1,780,588.52 1,499,326.59 1,308,810.57 1,556,693.83 976,138.86 850,573.57 949,594. 47 1,363,297.31 Interest on the pubhc debt. $1,177,863.03 2-, 373,611.28 2,097,859.17 2,752,523.04 2,947,059.06 3,239,347.^68 3,172,516.73 2,955,875.90 2,815,651.41 3,402,601.04 4,411,830.06 4,239,172.16 3,949,462.36 4,185,048.74 2,657,114.22 3,368,968.26 3,369,578.48 2,557,074.23 2,866,074.90 3,163,671.09 2,585,435.57 2,451,272.57 3,599,455.22 4,593,239.04 5,990,090.24 7,822,923.34 4,536,282.55 6,209,954 03 5,211,730.56 5,151,004.32 5,126,073.79 5,172,788.79 4,922,475.40 4,943,557.93 4,366,757.40 3,975,542.95 3,486,071.61 3,098,800.60 2,542,843.23 1,912,574.93 Total ordinary disbursements, exclusive of postal deficiencies. $3,097,452.56 8,269,869.75 3,846,929.90 6,297,822.04 7,309,600.78 5,790,650.83 6,008,627.25 7,607,586.32 9,295,818.13 10,813,971.01 9,393,499.96 7,976,252.07 7,952,286.60 8,637,907.66 9,014,348.84 9,449,177.62 8,354,151.37 9,061,413.08 10,280,747.04 8,474,753.37 8,178,040.43 20,280,771.27 31,681,852.14 34,720,925.42 32,943,66L24 31,196,355.92 19,990,892.47 20,018,627.81 21,512,004.00 18,285,534.89 15,849,552.86 15,000,432.30 14,706,629.99 20,273,702.64 15,857,217.34 17.037,859.22 16,139,167.16 16,394,842.05 15,184,053.63 15,142,108.26 hd o pi O teJ o tei Ul 1831. 1832. 1833. 1834. 1835. 1836, 1837 1838 1839, 1840, 1841 1842 1843 1844 1845 1846 1847 1848 1849 1850 1851 1852 1853 1854 1855 1856 1857 1858 1859 1860 1861 1862 1863, 1864 1865, 1866, 1867, 1868, 1869, 1870. 1871. 1872, 1873, 1874. 1875. 1876. 1877. 1878. 1879. 1880. 1881. 1882. 3,064 646.10 4,577, 141. 45 5,716, 245.93 4,404, 728.95 4,229, 698.53 5,393, 279.72 9,893, 370.27 7,160, 664.76 6,725, 990.89 5,995, 398.96 6,083, 224.45 6,721, 927.61 3,181, 410.00 5,645, 183.86 5,911, 760.98 5,901, 052.27 6,349, 309.36 5,628, 629.29 12,885, 334.24 16,043, 763.36 17,888, 992.18 16,462, 727.01 15,309, 318.01 '23,464, 799.05 21,011, 611.43 28,594, 920.87 24,948, 615.77 21,651, 093.42 18,988, 985.99 18,088, 432.58 18,156, 392.66 17,824, 134.04 22,449, 068.39 26,572, 236.87 42,739,"383.10 40,613, 114.17 47,59a, 557.05 48,956, 676.01 51,078, 551.25 48,392, 882.35 55,350, 666.23 55,809, 757.42 67,837, 635.06 548.90 80,427, 056,88 63,859, 120.68 68,507, 193.69 62,756, 309.65 47,424, 03L00 60,968, 61,642, 529.76 60,520, 686.05 67,219, 750.98 4,841,835.55 5,446,034.88 6,704,019.10 5,696,189.38 5,759,156.89 11,747,345.25 13,682,730.80 12,897,224.16 8,916,995.80 7,095,267.23 8,801,610.24 6,610,438.02 2,908,671.95 5,218,183.66 5,746,291.28 10,413,370.58 35,840,030.33 27,688,334.21 14,558,473.26 9,687,024.58 12,161,965.11 8,521,506.19 9,910,498.49 11,722,282.87 14,648,074.07 16,963,160.51 19,159,150.87 25,679,121.63 23,154,720.53 16,472,202.72 23,001,530.67 389,173,562.29 603,314,411.82 690,391,048.66 1,030,690,400.06 283,154,676.06 95,224,415.63 123,246,648.62 78,501,990.61 57,655,675.40 35,799,991.82 35,372,157.20 46,323,138.31 42,313,927.22 41,120,645.98 38,070,888.64 37,082,735.90 32,154,147.85 40,425,660.73 38,116,916.22 40,466,460.55 43,570,494.19 3,856,183.07 3,956,370.29 3,901,356.75 3,956,260.42 3,864,939.06 5,807,718.23 6,646,914.53 6,131,580.53 6,182,294.25 6,113,896.89 6,001,076.97 8,397,242.95 3,727,711.53 6,498,199.11 6,297,177.89 6,455,013.92 7,900,635.76 9,408,476.02 9,786,705.92 7,904,724.'66 8,880,581.38 8,918,842.10 11,067,789.53 10,790,096.32 13,327,095.11 14,074,834.64 12,651,694.61 14,053,264.64 14,690,927.90 11,514,649.83 12,387,156.52 42,640,353.09 63,261,235.31 85,704,963.74 122,617,434.07 43,285,662.00 31,034,011.04 25,775,502.72 20,000,757.97 21,780,229.87 19,431,027.21 21,249,809.99 23,526,256.79 30,932,587.42 21,497,626.27 18,963,309.82 14,959,935.36 17,366,301.37 15,125,126.84 13,536,984.74 15,686,671.66 15,032,046.26 930,738.04 1,352,419.75 1,802,980.93 1,003,953.20 1,706,444 48 5,037,022.88 4,348,036.19 6,504,191.34 2,528,917.28 2,331,794.86 2,514,837.12 1,199,099.68 578,371.00 1,256,532.39 1,539,351.35 1,027,693.64 1,430,411.30 1,252,296.81 1,374,161.55 1,663,591.47 2,829,801.77 3,043,576.04 3,880,494.12 1,550,339.55 2,772,990.78 2,644,263.97 4,354,418.87 4,978,266.18 3,490,534.53 2,991,121.54 2,865,481.17 2,327,948.37 3,152,032.70 2,629,975.97 5,059,360.71 3,295,729.32 4,642,531.77 4,100,682.32 7,042,923.06 3,407,938.15 7,426,997.44 7,061,728.82 7,951,704.88 6,692,462.09 8,384,656.82 6,966,558.17 6,277,007.22 4,629,280.28 6,206,109.08 6,945,457.09 6,514,161.09 9,736,747.40 1,170,665.14 1,184,422. 40 4,589,152.40 3,364,285.30 1,954,711.32 2,882,797.96 2,672,162.45 2,156,057.29 3,142,750.51 2,603,562.17 2,388,434.51 1,378,931.33 839,041.12 2,032,008.99 2,400,788.11 1,811,097.56 1,744,883.63 1,227,496.48 1,328,867.64 1,866,886.02 2,293,377.22 2,401,858.78 1,756,306.20 1,232,665.00 1,477,612.33 1,296,229.65 1,310,380.58 1,219,768.30 1,222,222.71 1,100,802.32 1,034,599.73 852,170.47 1,078,513.36 4,985,473.90 16,347,621.34 15,605,549.88 20,936,551.71 23,782,386.78 28,476,621.78 28,340,202.17 34,443,894.88 28,533,402.76 29,359,426.86 29,038,414.66 29,456,216.22 28,257,395.69 27,963,752.27 27,137,019.08 35,121,482.39 56,777,174.44 50,059,279.62 61,345,193.95 1,373,748.74 772,561.50 303,796.87 202,152.98 57,863.08 14,996.48 399,833.89 174,598.08 284,977.55 773,549.85 523,583.91 1,833,452.13 1,040,458.18. 842,723.27 1,119,214.72 2,390,765.88 3,565,535.78 3,782,393.03 3,696,760.75 4,000,297.80 3,665,832.74 3,070,926.69 2,314,464.99 1,953,822.37 1,593,265.23 1,652,055.67 2,637,649.70 3,144,120.94 4,034,157.30 • 13,190,344.84 24,729,700.62 53,685,421.69 77,395.090.30 133,067,624.91 143,781,591.91 140,424,045.71 130,694,242.80 129,235,498.00 125,576,565.93 117,357,839.72 104,750,688.44 107,119,815.21 103,093,644.67 100,243,27L23 97,124,6n. 58 102,500,874.65 105,327,949.00 95,757,575.11 82,508,741.18 71,077,206.79 15,237,816.64 . 17,288,950.27 23,017,551.98 18,627,570.23 17,572,813.36 30,868,164.04 37,243,214.24 33,864,714.56 26,896,782.62 24,314,518.19 26,074,160.84 25,081,189.44 11,758,789.51 22,483,560.14 22,935,827.79 26,450,951.24 54,384,485.10 47,595,998.69 43,499,078.39 40,948,383.12 47,751,478.41 43,348,807.92 45,590,239.09 51,831,109.48 55,551,848.71 65,527,232.01 64,017,525.93 69,233,569.84 64,185,041.36 53,311,329.93 61,479,318.02 466,008,513.10 717,984,962.20 863,969,120.83 1,294,849,289.58 519,022,356.34 343,212,659.11; 366,285,942.16 315,795,087.47 288,812,425.94 278,029,143.51 265,384,695.91 , 279,748,850.34 296,524,755.50 267,411,746.74 260,008,644.23 235,164,135.92 231,210,932.78 262,174,359.04 261,776,637.36255,756,000.15 257,981,439.57 w tei H > Pi K! O teJ 1^ teJ S tei > ^d w Kj. * to cn CO TABLE I.—Receipts and disbursements of the UnitedStates—Continued. bO CO RECAPITULATION OF DISBURSEMENTS BY FISCAL YEARS—Continued. Ordinary disbursements. Year. 1883. 1884. 1885. 1886. 1887. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910. 1911. 1912.. 1913.. 1914.. 1915., 1916.. 1917., Civil and miscellaneous, exclusive of postal deficiencies. $68,603,519.03 70,920,433.70 82,952,647.80 65,973,277.83 78,763,578.54 69,896,223.67 76,795,144.53 ' 74,528,219.58 105,306,395.41 95,790,498.90 97,786,004.08 93,693,884.07 82,263,188.42 77,916,234.62 79,252,061.69 86,016,464.75 110,979,685.82 •98,542,411.37 117,327,240.89 111,067,171.39 122,165,385.54 130,099,672.06 127,968,471.82 130,221,177.07 145,416,530.32 162,532,367.63 167,001,087.10 171,580,829.79 173,838,599.04 172,256,794.41 169,802,304.63 170,530,235.45 200,533,231.45 198,538,737.91 « 1,153,529,563.82 War Department. $48,911,382.93 39,429,603.36 42,670,578.47 34,324,152.74 38,561,025.85 38,522,436.11 44,435,270.85 44,582,838.08 48,720,065.01 46,89.5,456.30 49,641,773.47 54,567,929.85 51,804,759.13 50,830,920.89 48,950,267.89 91,992,000.29 229,841,254.47 134,774,767.78 144,615,697.20 112,272,216.08 118,619,520.15 115,035,410.58 122,175,074.24 117,946,692.37 122,576,465.49 137,746,523.95 161,067,462.39 155,911,705.93 160,135,975.89 148,795,421.92 160,387,452.85 173,522,804.20 172,973,091.73 164,635,576.67 440,276,880.37 Navy Department. $15,283,437.17 17,292,601.44 16,021,079.67 13,907,887.74 15,141,126.80 16,926,437.65 21,378,809.31 22,006,206.24 26,113,896.46 29,174,138.98 30,136,084.43 31,701,293.79 28,797,795.73 27,147,732.38 34,561,546.29 58,823,984.80 63,942,104.25 55,953,077.72 60,506,978.47 67,803,128.24 82,618,034.18 102,956,101.55 117,550,308.18 110,474,264.40 97,128,469.36 118,037,097.15 115,546,011.09 123,173,716.68 119,937,644.39 135,591,955.72 133,262,861.97 139,682,186.28 141,835,653.98 155,029,425.78 257,166,437.44 Indians. $7,362, 590.34 6,475, 999.29 6,552, 494.63 6,099, 158.17 6,194, 522.69 6,249, 307.87 6,892, 207.78 6,708, 046.67 8,527, 469.01 11,150, 577.67 13,345, 347.27 10,293, 481.52 9,939, 754.21 12,165, 528.28 13,016, 802.46 10,994, 667.70 12,805, 711.14 10,175, 106.76 10,896, 073.35 10,049, 584.86 12,935, 168.08 10,438, 350.09 14,236, 073.71 12,746, 859.08 15,163, 608.41 14,579, 755.75 15,694, 618.11 18,504, 131.60 20,.933, 869.44 20,134, 839.80 20,306, 158.90 20,215, 075.96 22,130, 350.70 17,570, 283.81 30,598, 093. 55 Pensions. $66,012,573.64 55,429,228.06 56,102,267.49 63,404,864.03 75,029,101.79 80,288,508.77 87,624,779.11 106,936,855.07 124,415,951.40 134,583,052.79 159,357,557.87 141,177,284.96 141,395,228^87 139,434,000.98 141,053,164.63 147,452,368.61 139,394,929.07 140,877,316.02 139,323,621.99 138,488,559.73 138,425,646.07 142,559,266.36 141,773,964.57 141,034,561.77 139,309,514.31 153,892,467.01 161,710,367.25 160,696,415.88 157,980,575.01 153,590,456.26 175,085,450.29 173,440,231.12 164,387,941.61 159,302,351.20 160,318,405.66 Interest on the public debt. Total ordinary disbursements, exclusive of postal deficiencies. $265,333,634.36 $59,160, 131.25 244, 126,244.33 54,578, 378.48 255, 685,324.53 51,386, 256.47 234, 289,486.48 50,580, 145.97 261, 430,932.92 47,741, 577.25 256, 597,921.54 44,715, 007.47 278, 127,695.87 41,001, 484.29 290, 861,449.69 36,099, 284.05 350, 630,912.66 37,547, 135.37 340, 971,840.87 * 23,378,116.23 377, 531,159.30 27,264, 392.18 359,275,279.83 27,841, 405.64 345, 178,756.57 30,978, 030.21 342,879,446.08 35,385, 028.93 354, 624,953.44 37,791, 110.48 432, 864,542.38 37,585, 056.23 596,860,609.77 39,896, 925.02 480, 483,012.92 40,160, 333.27 505,012,590.94 32,342, 979.04 468, 788,705.12 29,108, 044.82 503,320,102.84 28,556, 348.82 525,735,290.45 24,646, 489.81 548, 294,836.62 24,590, 944.10 536,732,130.96 24,308, 576.27 544,075,746.23 24,481, 158.34 608,214,349.70 21,426, 138.21 642,823,382.40 21,803, 836.46 651, 209,778.71 21,342, 978.83 654, 137,997.89 21,311, 334.12 652, 985,768.59 22,616, 300.48 681,743,336.72 22,899, 108.08 700, 254,489.71 22,863, 956.70 724, 763,166.51 22,902, 897.04 22,900, 313.03 1718, 992,998.90 24,742, 129. 42 8 2,066,779,306.16 1 Includes $1,016,310.50 increase arising in adjustment of miscellaneous accounts. 8 Includes special disbursements, as follows: Purchase of obligations of foreign Governments, $885,000,000; purchase of Danish West Indies, $25,000,000; and subscriptions to stock Federal land banks, $8,880,315. 8 Includes $147,795.90 increase arising in adjustment of miscellaneous accounts, and $918,880,315 special disbursements. pitei O n o fe| W tei 5^ > o tei Postal disbursements. Year. 1791 1792 1793 1794 1795 1796 1797 1798 1799 1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 1811 1812 1813 1814.. 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828.. 1829 1830 1831 1832 From postal revenue. \.. $67,113.66 76,586.60 74,161.03 95,397.53 125,038.62 136,639.08 156,588.03 185,308.01 184,835.88 207,135.96 248,141.92 275,856.69 316,312.37 333,977.23 386,115.52 413,814.45 418,916.03 446,914.80 505,115.94 550,991.22 517,920.73 552,472.53 635,411.72 726,374.86 743,755.61 807,875.15 917,128.86 1,031,799.18 1,114,032.59 1,163,191.33 1,177,526.28 1,167,358.96 1,158,777.49 1,190,478.29 1,238,912.29 1,395,798.78 1,481,619.68 •1,679,316.45 1,872,704.67 1,950,116.18 2,006,742.80 2,266,171.66 Total ordiaary dlsbursemeuts and postal Panama Canal From Treasury Total postal service. Includ- disbursements. ing grants for. grants for disbursements. deficiencies deficiencies. therein. -. $67,113.66 76,586.60 74,161.03 95,397.53 125,038.62 136,639.08 156,588.03 185,308.01 184,835.88 207,135.96 248,141.92 275,856.69 316,312.37 333,977.23 386.115.52 413,814.45 418,916.03 446,914.80 505,115.94 550,991.22 517,920.73 552.472.53 635,411.72 726,374.86 743,755.61 807,875.15 917,128.86 1,031,799.18 1,114,032.59 l,163il91.33 1,177,526.28 1,167,358.96 1,158,777.49 1,190,478.29 1,238,912.29 1,395,798.78 1,481,619.68 1,679,316.45 1,872,704.67 1,950,116.18 2,006,742.80 2,266,171.66 $3,164,566.21 «, 346,456.35 3,921,090.93 6,393,219.57 7,434,639.40 5,927,289.91 6,165,215.28 7,792,894.33 9,480,654.01 11,021,106.97 9,641,641.88 8,252,108.76 8,268,598.97 8,971,884.88 9,400,464.36 9,862,992.07 8,773,067.40 9,508,327.88 10,785,862.98 9,025,744.59 8,695,961.16 20,833,243.80 32,317,263.86 35,447,300.28 33,687,416.85 32,004,231.07 20,908,021.33 21,050,426.99 22,626,036.59 19,448,726.22 17,027,079.14 16,167,791.26 15,865,407.48 21,464,180.93 17,096,129.63 18,433,658.00 17,620,786.84 18,074,158.50 17,056,758.30 17,092,224,44 17,244,559.44 19,555,121.93 Public debt disbursements. Redemption of bonds and other securities. $699,984.23 693,050.25 2,633,048.07 2,743,771.13 2,841,639.37 2,577,126.01 2,617,250.12 976,032.09 1,706,578.84 1,138,563.11 2,879,876.98 5,294,235.24 3,306,697.07 3,977,206.07 4,583,960.63 5,572,018.64 2,938,141.62 7,701,288.96 3,586,479.26 4,835,241.12 5,414,564.43 1,998,349.88 7,508,668.22 3,307,304.90 6,638,832.11 17,048,139.59 20,886,753.57 15,086,247.59 2,492,195.73 3,477,489.96 3,241,019.83 2,676,160.33 607,541.01 11,624,835.83 7,728,587.38 7,065,539.24 6,517,596.88 9,064,637.47 9,860,304.77 9,443,173.29 14,800,629.48 17,067,747.79 Premium paid. Total public debt. $699,984.23 693,050.25 2,633,048.07 2,743,771.13 2,841,639.37 2,577,126.01 2,617,250.12 976,032.09 1,706,578.84 1,138,563.11 2,879,876.98 5,294,235.24 3,306,697.07 3,977,206.07 4,583,960.63 5,572,018.64 2,938,141.62 7,701,288.96 3,586,479.26 4,835,241.12 5,414,564.43 1,998,349.88 7,508,668.22 3,307,304.90 6,638,832.11 17,048,139.59 20,886,753.57 15,086,247.59 2,492,195.73 3,477,489.96 3,241,019.83 2,676,160.33 607,541.01 11,624,835.83 7,728,587.38 7,065,539.24 6,517,596.88 9,064,637.47 9,860,304.77 9,443,173.29 14,800,629.48 17,067,747.79 Excess of national-bank notes retired over deposits for retirement. • Total of all disbursements. $3,864,550.44 9,039,506.60 6,554,139.00 9,136,990.70 10,276,278.77 8,504,415.92 8,782,465.40 8,768,926.42 11,187,232.85 12,159,670.08 12,521,518.86 13,546,344.00 11,575,296.04 12,949,090.95 13,984,424.99 15,435,010.71 11,711,209.02 17,209,616.84 14,372,342.24 13,860,985.71 14,110,525.59 22,831,593.68 39,825,932.08 38,754,605.18 40,326,248.96 49,052,370.66 41,794,774.90 36,136,674.68 25,118,232.32 22,926,216.18 20,268,098.97 18,843,951.59 16,472,948.49 33,089,016.76 24,824,717.01 25,499,197.24 24,138,383.72 27,138.795.97 26,917,063.07 26,535,397.73 32,045,188.92 36,622,859.72 Ul tei ofcd tei ^, o teJ H W tei h3 W tei > Kl to CO TABLE I.—Receipts and disbursements of the UnitedStates—Continued. to RECAPITULATION OF DISBURSEMENTS BY FISCAL YEARS—Continued. 00 CO Postal disbursements Year. • 1833 1834 1836 1836... 1837 1838 1839 1840 1841 1842 1843 1844 1845 1846 1847. 1848 1849 1850..; 1861. 1852 1853 1854 1855 1856 1857 1858 1859 I860.. 1861 1862 1863 1864 1865 1866 1867 1868 1869... From postal revenue. $2j930,414.87 2,910,605.08 2,757,350.08 2,841,766.36 3,288,319.03 4,430,662.21 4,636,636.31 4,718,235.64 4,499,527.61 5,674,751.80 4,374,753.71 4,296,512.70 4,320,731.99 4,076,036.91 3,979,542.10 4,326,850.27 4,479,049.13 5,212,953.43 6;278;401.68 7,108,450.04 5,240,724.70 6,255,586.22 6,642,136.13 6,920,821.66 7,353,951.76 7,486,792.86 7,968,484.07 8,518,067.40 8,349,296.40 8,299,820.90 11,163,789.59 12,438,253.78 14,558,158.70 14,436,986.21 15,297,026.87 16,292,600.80 18,344,610.72 Total ordinary disbursements and postal service. Includ- Panama Canal From Treasury Total postal ing grants for disbursements. grants for deficiencies. disbursements. deficiencies therein. $407,657.00 53,697.00 21,303.00 810,231.62 636,298.99 22,221.96 1,041,444.44 2,153,750.00 3,207,345.63 3,078,814.00 3,199, n a 00 3,616,883.00 4,748,923.00 4,808,558.41 9,889,545.72 5,170,895.03 3,561,728.55 749,313.98 999,980.00 250,000.00 3,516,666.67 4,053,191.66 5,395,510.28 $2,930,414.87 2,910,605.08 2,757,350.08 2,841,766.36 3,288,319.03 4,430,662.21 4,636,536.31 4,718,235.64 4,907,184.61 5,728,448.80 4,396,056.71 4,296,512.70 4,320,731.99 4,886,268.53 4,515,841.09 4,349,072.23 4,479,049.13 5,212,953.43 6,278,401.68 8,149,894.48 7,394,474.70 9,462,931.85 9,720,950.13 10,119,939.66 10,970,834.76 12,235,715.86 12,777,042.48 18,407,613.12 13,520,191.43 11,861,549.45 11,913,103.57 13,438,233.78 14,806,158.70 14,436,986.21 18,813,693.54 20,346,792.46 23,740,021.00 $25,947,966.85 21,538,175.31 20,330,163.44 33,709,930.40 40,531,533.27 38,295,376.77 31,533,318.93 29,032,753.83 '30,981,345.45 30,809,638.24 16,154,846.22 26,780,072.84 . 27,256,559.78 31,337,219.77 58,900,326.19 51,945,070.92 47,978,127.52 46,161,336.55 54,029,880.09 51,498,702.40 52,984,713.79 61,294,041.33 65,272,798.84 75,647,171.67 74,988,360.69 81,469,285.70 76,962,083.84 71,718,943.05 74,999,509.45 477,870,062.55 729,898,065.77 877,407,354.61 1,309,655,448.28 533,459,342.55 362,026,352.65 '386,631,734.62 339,535,108.47 Public debt disbursements. Redemption public of bonds Premium paid. Total debt. and other securities. • $1,239,746.51 5,974,412.21 328.20 $1,239,740.51 5,974,412.21 328.20 21,822.91 21,822.91 5,590,723.79 5,590,723.79 10,718,153.53 10,718,153.53 3,912,015.62 3,912,015.62' 5,315,712.19 5,315,712.19 7,801,990.09 7,801,990.09 338,012.64 338,012.64 11,158,450.71 11,158,450.71 7,554,580.92 7,536,349.49 $18,231.43 371,100.04 371,100.04 5,600,067.65 5,600,067.65 13,036,922.54 13,036,922.54 12,804,478.54 82,865.81 12,887,344.35 3,656,335.14 3,656,335.14 724,625.90 654,912.71 69,713.19 2,322,356.47 2,152,293.05 170,063.42 6,833,072.65 6,412,574.01 420,498.64 2,877,818.69 20,434,715.64 17,556,896.95 872,047.39 7,534,113.25 6,662,065.86 385,372.90 3,999,991.56 3,614,618.66 363,572.39 3,640,178.44 3,276,606.05 574,443.08 8,079,693.90 7,505,250.82 14,685,043.15 14,685,043.15 13,854,250.00 13,854,250.00 18,737,100.00 . 18,737,100.00 96,097,322.09 96,097,322.09 178,982,635.07 178,982,635.07 388,010,965.49 388,010,965.49 605,456,311.68 1,717,900.11 607,174.211.79 530,229,114.10 58,476.51 630,287,590.61 576,120,500.11 10,813,349.38 586,933,849.49 603,449,086.68 7,001,151.04 610,450,237.72 138,711,248.31 1,674,680.05 140,385,928.36 Excess of national-bank notes retired over deposits for retirement. 1 Total of aU disbursements.* $27,187,713.36 27,512,587.52 20,330,491.64 33,709,930.40 40,553,356.18 43,886,100.56 42,251,472.46 32,944,769.45 36,297,057.64 38,611,628.33 16,492,858.86 37,938,523.55 34,811,140.70 31,708,319.81 64,500,393.84 64,981,993.46 60,865,471.87 49,817,671.69 54,754,505.99 53,821,058.87 59,817,786.44 81,728,756.97 72,806,912.09 79,647,163.23 78,628,539.13 89,548,979.60 91,647,126.99 85,573,193.05 93,736,.609.45 573,967,384.64 908,880,700.84 1,265,418,320.10 1,916,829,660.07 1,063,746,933.16 948,960,202.14 997,081.972.34 479,921,036.83 hd o w H O fei tei fei > fe! o tei Ul 1870. 1871, 1872. 1873, 1874, 1875, 1876, 1877, 1878, 1879. 1880. 1881 1882. 1883. 1884. 1885. 1886. 1887. 1888. 1889. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897. 1898. 1899. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910. 1911. 1912. 1913. 1914. 1915. 1916. 1917. 19,772,220.65 20,037,045.42 21,915,426.37 22,996,741.57 26,471,071.82 26,791,360.59 28,644,197.50 27,531,585.26 29,277,516.95 30,041,982.86 33,315,479.34 36,785,397.97 41,876,410.15 45,508,692.61 43,325,958.81 42,560,843.83 43,948,422.95 48,837,609.39 52,695,176.79 56,175,611.18 60,882,097.92 65,931,785.72 70,930,475.98 75,896,993.16 75,080,479.04 76,983,128.19 82,499,208.40 82,665,462.73 89,012,618.55 95,021,384.17 102,354,579.29 111,631,193.39 121,848,047.26 134,224,443.24 143,582,624.34 152,826,585.10 167,932,782.95 183,685,005.57 191,478,663.41 203,562,383.07 224,128,657.62 237,660,705.48 246,744,016.88 262,108,874.74 283,558,102.62 287,248,165.27 306,228,452.76 319,889,904.46 4,844,579,21 5,131,250.00 6,175,000.00 5,490,475.00 4,714,044.71 7,211,646.10 5,092,540.36 6,170,338.94 5,753,394.02 4,773,524.49 3,071,000.00 3,895,638.66 74,503.18 4,541,610.58 8,193,652.02 6,501,247.05 3,056,037.13 3,868,919.73 6,875,036.91 4,741,772.08 4,051,489.71 5,946,795.19 8,250,000.00 11,016,541.72 9,300,000.00 11,149,206.13 10,504,040.42 8,211,570.08 7,230,778.79 4,954,762:21 2,402,152.52 2,768,919.20 6,602,530.86 15,065,257.00 12,673,294.39 7,629,382.81 12,888,040.94 19,501,062.37 ,8,495,612.37 1,568,194.88 1,027,368.79 6,636,592.60 5,500,000.00 24,616,799.86 26,168,295.42 27,090,426.37 28,487,216.57 31,185,116.53 34,003,006.69 33,736,737.86 33,701,924.20 35,030,910.97 34,815,507.35 36,386,479.34 40,681,036.63 41,876,410.15 45,583,195.79 43,325,958.81 47,102,454.41 62,142,074.97 55,338,856.44 65,751,213.92 60,044,530.91 67,757,134.83 70,673,557.80 74,981,965.69, 81,843,788.35 83,330,479.04 87,999,669.91 91,799,208.40 93,814,668.86 99,516,658.97 103,232,954.25 109,585,358.08 116,585,955.60 124,250,199.78 136,993,362.4i 150,085,155.20 167,891,842.10 180,606,077.34 191,214,388.38 204,366,704.35 223,063,445.44 232,624,269.99 237,660,705.48 248,312,210.76 263,136,243.53 283,558,102.62 293,884,757.87 311,728,452.70 319,889,904.46 313,429,225.80 303,197,438.93 292,475,122.28 308,236,066.91 327,709,872.03 301,414,753.43 293,745,282.09 268,866,060.12 266,241,843.75 296,989,866.39 298,163,116.70 296,437,036.78 299,857,849.72 310,916,830.15 287,452,203.14 302,787,778.94 286,431,561.45 316,769,789.36 312,349,135.46 338,172,226.78 358,618,584.52 421,304,470.46 415,953,806.56 459,374,947.65 442,605,758.87 433,178,426.48 434,678,654.48 448,439,622.30 532,381,201.35 700,093,564.02 590,068,371.00 621,598,546.54 593,038,904.90 640,313,465.28 675,820,445.65 716,186,678.72 717,338,208.30 735,290,134.61 812,581,054.05 865,886,827.84 883,834,048.70 891,798,703.37 901,297,979.35 944,879,580.25 983,812,592.33 1,018,647,924.38 1,030,721,451.66 2,386,669,210.62 $9,985.00 50,164,500.00 3,918,819.83 19,379,373.71 27,198,618.71 38,093,929.04 31,419,442.41 33,911,673.37 37,063,515.33 35,327,370.66 41,741,258 03 34,826,94L76 29,187,042.22 17,503,728.07 19,262,798.32 140,810,642.13 207,677,539.65 285,878,003.54 96,553,485.58 176,423,490.77 151,150,636.48 166,128,514.80 151,239,525.05 143,997,993.90 479,882,226.16 280,434,937.41 86,110,581.05 166,505,255.55 438,430,756.96 101,266,334.50 46,042,635.43 44,583,843.36 127,959,368.15 74,862,213.05 121,288,788.35 104,663,799.50 101,003,056.37 24 348,086.98 709,903.00 256,447.20 2,494,549.93 7,294,103.35 11,378,502.00 29,942,062.00 14,622,363.48 22,790,058.25 36,112,798.78 56,223,918.00 16,608,833.00 18,622,730.75 605,230.80 244,711.80 30,373,043.00 34,356,750.00 15,434,687.00 760,925.00 246,49a 35 120,616.03 102 575.00 109,127,00 47,533.00 85,903.00 636,980,666.75 15,996,555.60 9,016,794.74 6,958,266.76 5,105,919.99 1,395,073.55 2,795,320.42 1,061,248.78 8,270,842.46 17,292,362.65 20,304,224.06 10,401,220.61 33,147,054.81 14,649,572.95 14,043,391.14 10,907,119.82 1,257,578.01 1,417,479.53 225,095.97 156,807,197.73 470,236,423.68 216,694,334.39 619,891,773.32 292,836,270.30 585,311,392.58 101,659,405.67 409,895,472.48 177,818,564.32 605,528-, 436.35 452,565,389.91 151,150,636.48 459,873,796.89 166,128,514.80 420,105,585.17 151,239,525.05 410,239,837.65 143,997,993.90 776,872,092.^55 479,882,226.16 681,393,374.63 283,230,257.83 383,608,866.61 87,171,829.83 466,363,105.27 166,505,255.55 749,347,587.11 438,430,756.96 388,718,537.64 101,266,334.-50 348,830,414.37 46,042,635.43 331,015,404.81 44,583,843.36 444,729,157.51 127,959,368.15 395,482,190.97 83,133,055; 51 476,753,377.78 138,581,151.00 483,586,608.08 124,968,023.56 532,708,747.44 111,404,276.98 24,348,086.98 $13,254,883.00 453,556,776.54 709,903.00 6,100,071.50 466,184,922.15 442,862,206.07 256,447.20 2,494,549.93 1,012,196.50 436,685,172.91 7,294,103.35 5,257,466.60 447,230,224.33 459,818,124.30 11,378,502. uO 562,323,263.35 29,942,062.00 714,715,927.50 14,622,363.48 , 55,937,113.06 669,503.00 646,674,987.06 50,762,371.73 5,743,569.00 678,104,487.27 663,306,214.04 70,267,309.14 27,515,952.82 2,001,161.00 669,840,564.10 750,392,020.41 19,880,308.76 4,526,766.00 605,230.80 3,299,440.50 724,010,169.85 738,379,773.34 1,662,191.33 793,086,892.29 30,598,138.97 885,031,733.09 34,356,750.00 15,434,687.00 43,937,843.50 956,678,800.75 919,121,125.07 760,925.00 614,478.00 929,108,715.05 246,49a 35 945,195,312.54 120,616.03 8,449,346.50 102,575.00 2,618,026.60 989,341,438.78 109,127.00 6,949,917.60 1,025,698,578.59 1,047,882,499.60 47,533.00 1,048,261,082.73 35,903.00 3,046,183,746.19 636,980,666.75 3,271,070.50 1 Only the annual excess of redemptions over deposits Included in this column. «National-bank redemption fund herein includes only the annual excess of redemptions on account of national-bank redemption fund since 1890. Ul teJ •o w tei % o tei H w teJ tei > Ul d to CO CO 300 REPORT ON THE FINANCES. TABLE J.—Internal and customs receipts and expenses of collecting, from 1858 to. 1917. Customs receipts. Internal revenue. Year ended June s o - Receipts. Expenses of collecting, i» Dollars. 1858. 1859. 1860. 1861. 1862. 1863. 1864. 1866. 1866. 1867. 1868. 1869. 1870. 1871. 1872. 1873. 1874. 1876. 1876. 1877. 1878. 1879. 1880. 1881. 1882. 1883. 1884. 1885. 1886. 1887. 1888. 1889. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897. 1898. 1899. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910. 1911. 1912. 1913. 37,640,787.96 109,741,134.10 209,461,216.25 309,226,813.42 266,027,537.43 191,087,589.41 168,356,460.86 184,899,766.49 143,098,153.63 130,642,177.72 113,729,314.14 102,409,784.90 110,007,493.68 116,700,732.03 118,630,407.83 110,581,624.74 113,561,610.58 124,009,373.92 135,264,385.51 146,497,696.45 144,720,368.98 121,686,072.51 112,498,726.54 116,805,936.48 118,823,391.22 124,296,871.98 130,881,613.92 142,606,705.81 145,686,249.44 163,971,072.57 161,027,623.93 147,111,232.81 143,421,672.02 146,762,864.74 146,688,674.29 170,900,641.49 273,437,161.51 295,327,926.76 307,180,663. 77 271,880,122.10 230,810,124.17 232,904.119.46 234,095,740.85 249,150,212.91 269,666,772.85 251,711,126.70 246,212,643.59 '289,933,519.45 16 322,529,200.79 7 321,112,199.66 '8344,466,965.65 Per cent. .29 .23 .18 1.87 2.77 4.55 4.59 3.92 5.30 4.36 4.69 4.40 3.89 3.38 2.99 2.96 3.10 2.95 8.20 2.80 3.06 3.47 8.42 3.06 3.22 2.92 2.88 2.65 2.75 2.62 2.57 2.55 2.62 2.62 2.46 2.17 1.59 1.61 1.43 L60 1.95, 1.94 1.85 1.76 1.72 L85 1.86 1.73 1.65 1.57 1.50 Receipts. Expenses of collecting.i" Dollars. Per cent. Dollars. 2,903,336.89 6.94 41,789,620.96 3,407,931.77 6.85 49,566,824.38 3,337,188.15 6.27 53,187,511.87 2,843,455.84 7.18 89,582,125.64 3,276,560.39 6.67 49,056,397.62 3,181,026.17 4.60 69,059,642.40 4,192,582.43 4.09 102,316,152.99 6,415,449.32 6.39 84,928,260.00 5,342,469.99 2.98 179,046,66L58 5,763,979.01 3.26 176,417,810.88 7,641,116.68 4.65 164,464,699.56 2.99 180,048,426.63 . 6,388,082.31 6,233,747.68 3.20 194,538,374.44 6,668,360.61 3.18 206,270,408.05 6,950,173.88 3.21 216,370,286.77 7,077,864.70 3.76 188,089,522.70 7,321,469.94 4.49 163,103,833.69 7,028,521.80 4.47 157,167,722.35 6,704,858.09 4.58 148,071,984.61 6,501,037.57 4.96 130,956,493.07 5,826,974.32 4.47 130,170,680.20 5,477,421.52 3.96 137,250,047.70 6,023,263.53 3.23 186,522,064.60 6,383,288.10 3.22 198,159,676.02 6,506,359.26 2.96 220,410,730.25 6,593,509.43 3.07 214,706,496.93 6,709,485.76 3.44 195,067,489.76 6,494,847.29 3.58 181.471.939.34 6,427,612.67 3.33 192,905,023.44 6,855,801.74 3.16 217,286,893.13 7,156,187.77 3.27 219,091,173.63 7,030,487.00 3.14 223,832,741.69 6,859,986.09 2.98 229,668,584.57 6,964,367.09 3.17 219,522,206.23 6,646,276.05 8.74 177,452,964.15 6,756,790.98 3.32 203,355,016.73 6,791,872.86 5.15 131,818,530.62 6,736,690.92 4.43 152,158,617.45 7,237,796.40 4.62 160,021,75L67 7,075,372.05 4.01 176,564,126.65 7,152,276.58 4.78 149.675.062.35 7,361,662.83 3.57 206,128,481.75 7,467,692.48 3.20 233,164,871.16 7,713,418.82 3.23 238,585,456.99 7,967,472.89 3.13 254,444,708.19 8,468,710.19 2.98 ?84,479,681.81 8,665,636.37 3.32 261,274,564.81 9,115,499.44 3.48 261,798,856. 91 8,997,669.41 3.00 300,261,877.77 9,436,752.68 2.56 332,233,362.70 9,580,626.25 3.35 286,113,130.29 3.41 300,711,933.95 10,261,073.33 3.20 333,683,446.03 10,665,770.12 3.50 314,497,07L24 11,015,254.24 3.47 311,321,672.22 10,804,979.16 3.23 318,891,395.86 10,285,613.95 1 Based on warrants issued during the year. « The cost of collecting the internal revenue embraces the following items: Salaries and expenses of the Internal-Revenue Service, including collectors, deputy collectors, clerks, etci, and including expenses incident to enforcing the provisions of law taxing oleomargarine; salaries and expenses of revenue agents, surveyors of distilleries, gaugers, storekeepers, and miscellaneous expenses; paper for internal-revenue stamps; expenses of detecting and punishing violations of internal-revenue laws; and expenses of collecting the corporation and income tax. 8 The expenses of collecting the revenue from customs includes all sums drawn from the appropriation made by Congress for that purpose. (See details. Table N.) T h e m o n e y i s expended for salaries, rents, labor in weighing, gauging, and measuring imported merchandise, revenue boatmen, repairs, and other expenses incident to rented buildings, stationery, and the traveling expenses of special agents, but does not include disbursements for revenue cutters, fuel, lights, water, furniture, janitors, etc., for buildings owned by the Government, nor disbursements for erecting new buildings, all oi which are paid for from specific appropriations made for those purposes. . The expenses of collecting internal and customs revenue do not include disbursements for salaries, etc., incident to auditing accounts in the office of Auditor for Treasury Department. * No data 6 Includes $20,951,780.97 corporation tax. 6 Includes $33,616,976.69 corporation tax. 7 Includes $28,683,303.73 corporation tax. 8 Includes $36,006,299.84 corporation tax. 301 SECRETARY OF THE TREASUEY. TABLE J.—Internal and customs receipts and expenses of collecting, from 1858 to 1917— Continued. Internal revenue. Year ended June 30— 1914 1915 1916 1917 Receipts. Dollars. : . . 1380,041,007.30 2 415,669,646.00 3512,702,028.78 < 809,366,207.73 Customs receipts. Expenses of collecting. Dollars. 5,542,353.56 6,236,046.55 6,259,047.67 6,974,140.11 Per cent. 1.46 1.50 L22 .86 Receipts. Dollars. 292,320,014.51 209,786,672.21 213,185,845.63 225,962,393.38 Expenses of collecthig. Dollars. 9,804,771.72 9,268,403.58 9,074,471.95 9,850,189.63 Per cent. 3.35 4.42 4.26 4.36 1 Includes $10,671,077.22 corporation excise tax, $32,456,662.67 corporation income tax, a n d . $28,253,534.85 individual income tax. 2 Includes $52,069,126.29 emergency revenue, $39,155,596.77 corporation income tax, and $41,046,162.09 individual income tax. 8 Includes $84,278,302.13 emergency revenue, $56,993,657.98 corporation income tax, and $67,943,594.63 ndividual income tax. < Includes $95,297,553.88 emergency revenue; $179,572,887.86 corporation income tax; and $180,108,340.10 individual income tax. NOTE.—The Internal revenue receipts are based on covering warrants issued therefor, and differ slightly from amounts reported to the Commissioner of Internal Revenue by collectors. 302 REPORT ON THE FINANCES. TABLE K.—Statement of United States bonds and other obligations received and issued by the office ofthe Secretary ofthe Treasury from July 1,1916, to June SO, 1917. Received for] Received for] transfer and redemption. exchange. Issued. Total transactions. $200 Consols of 1865, 6 per cent (act of Mar. 3,1865)...... $200 Funded loan of 1891, 4^ per cent (acts of July 14, 2,000 1870, and Jan. 20,1871) 2,000 Funded loan of 1907,4 per cent (acts of July 14,1870, 13,550 and Jan. 20,1871) : 13,550 Refundiag certificates, 4 per cent (act of Feb. 26, 500 500 1879).... $58,231,850 36,535,500 $58,231,850 152,999,200 Consols of 1930,2 per cent (act of Mar. 14,1900) 8,293,500 Loan of 1908-1918, 3 per cent (act of June 13,1898).. 8,293,500 16,587, 000 18,161,350 36,322,700 18,161,350 Loan of 1925,4 per cent (act of Jan. 14.1875) Panama Canal loan, 2 per cent (acts of June 28,1902, 5,502,800 7,797,320 7,797,320 and Dec. 21,1905), series of 191&-1936 21,097,440 Panama Canal loan, 2 per cent (acts of June 28,1902, and Dec. 21,1905), series of 1918-1938 3,927,600 5,025,140 5,025,140 13,977,880 Panama Canal loan, 3 per cent (acts of Aug. 5,1909, 4,906,200 Feb. 4^ 1910, and Mar. 2,1911), series of 1911-1961.. 4,906,200 9,812,400 Conversion bonds, 3 per cent (act of Dec. 23,1913), 9,860,400 series of 1916-1946 3,596,200 13,456,600 Conversion bonds, 3 per cent (act of Dec. 23,1913), series of 1917-1947 13,133,500 175,200 13,308,700 One-year Treasury notes, 3 per cent (act of Dec. 23, 1913): Seriesof Apr. 1,1916-17 ,390,000 4,390,000 4,785,000 Series of July 1,1916-17 15,000 .4,800,000 5,064,000 Series of Oct. 1,1916-17 6,064,000 9,301,000 Series of Jan. 1,1917-18 "26 "666 9,321,000 8,212,000 Series of Apr. 1,1917-18 8,212,000 Certificates of indebtedness, 2 per cent (act of Mar. 3, 50,000,000 50,000,000 100,000,000 1917) Certificates of indebtedness, 3 per cent (act of Apr. 24,1917), series A: 3,160,000 255,429,400 268,205,000 526,794,400 Apr. 25-June 30,1917 1,250,000 138,693,968 200,000,000 339,943,968 May 10-July 17,1917 Certificates of indebtedness, 3i per cent (act of Apr. 24,1917), series A: 425,000 84,837,900 200,000,000 285,262,900 May25-July30,1917. 6,000 103,611,000 200,000,000 303,617,000 June 8-July 30,1917 Liberty loan of 1917,3^ per cent (act of Apr. 24,1917).. Postal Savings bonds, 2\ per cent (act of June 25,' 1910): First series, 1911-1931 840 840 1,680 29,640 Second series, 1912-1932 29,640 59,280 Thurd series, 1912-1932 61,840 61,840 123,680 Fourth series, 1913-1933 78,440 78,440 156,880 Fifth series, 1913-1933 87,500 87,500 175,000 Sixth series, 1914-1934 95,960 95,960 191,920 Seventh series, 1914-1934 91,980 91,980 183,960 Eighth series, 1915-1935 99,400 99,400 198,800 Ninth series, 1916-1935 99,000 99,000 198,000 Tenth series, 191&-1936 105,600 105,600 211,200 Eleventh series, 1916-1936 75,360 982,060 1,067,420 Twelfth series, 1917-1937 32,700 920,660 953,360 Total : Ill, 921,020 682,944,418 1,073,629,180 1,868,494,618 303 SECRETARY OF THE TREASURY. TABLE L.-—Statement ofthe coin and paper circulation of the United States from 1860 to 1917, inclusive, with amount of circulation per capita. Coin, i n c l u d - U n i t e d S t a t e s Year ending ing bullion in notes a n d Total money. Treasury. J u n e 30. b a n k notes. 1860. 1861. 1862. 1863. 1864. 1865. 1866. 1867. 1868. 1869. 1870. 1871. 1872. 1873. 1874. 1875. 1876. 1877. 1878. 1879. 1880. 1881. 1882. 1883. 1884. 1885. 1886. 1887. 1888. 1889. 1890. 1891. 1892. 1893. 1894. 1895. 1896. 1897. 1898. 1899. 1900. 1901. 1902. 1903. 1904. 1905. 1906. 1907. 1908. 1909. 1910. 1911. 1912. 1913. 1914. 1915. 1916. 1917. $235,000,000 250,000,000 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 • 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 25,000,000 62,418,734 65,837,506 102,047,907 357,268,178 494,363,884 647,868,682 703,974,839 769,740,048 801,068,939 872,175,823 903,027,304 1,007,513,901 1,092,391,690 1,100,612,434 1,152,471,638 1,112,956,637 1,131,142,260 1,066,223,357 1,098,958,741 1,114,899,106 1,097,610,190 1,213,780,289 1,397,785,969 1,508,543,738 1,607,352,213 1,734,861,774 1,829,913,551 1,905,116,321 1,994,610,024 2,031,296,042 2,154,797,215 2,159,103,301 2,328,767,087 2,365,512,264 2,355,807,734 2,477,837,453 2,.554,125,643 2,611,571,094 2,638,496,956 2,739,241,077 3,206,867,812 3,785,690,795 $207,102,477 202,005,767 333,452,079 649,867,283 680,588,067 745,398,620 729,430,711 703,334,669 692,336,115 691,471,653 698,940,094 719,539,283 740,960,724 761,363,213 781,024,781 773,273,509 738,264,550 697,216,341 687,743,069 676,372,713 691,186,443 701,723,691 705,423,050 703,496,526 686,180,899 665,750,948 655,691,476 625,898,804 599,043,337 558,059,979 632,651,791 564,837,007 621,076,937 672,684,935 706,618,677 704,460,451 702,364,843 692,989,982 675,788,473 681,560,167 732,348,460 748,206,203 733,363,107 779,594,666 808,894,111 851,813,822 915,179,376 956,457,706 1,049,996,933 1,040,816,090 1,063,783,749 1,078,121,524 1,094,746,008 1,108,498,922 1,099,791,915 1,250,215,109 1,276,024,126 1,622,299,231 $442,102,477 452,005,767 368,452,079 674,867,283 705,588,067 770,398,620 754,430,711 728,334,669 717,336,115 716,471,653 723,940,094 744,539,283 765,960,724 776,363,213 806,024,781 798,273,509 790,683,284 768,053,847 789,790,976 1,033,640,891 1,185,550,327 1,349,592,373 1,409,397,889 1,473,236,574 1,487,249,838 1,537,926,771 1,558,718,780 1,633,412,705 1,691,435,027 1,658,672,413 1,685,123,429 1,677,793,644 1,762,219,197 1,738,808,292 1,806,677,418 1,819,359,557 1,799,975,033 1,906,770,271 2,073,674,442 2,190,093,905 2,339,700,673 2,483,067,977 2,563,266,658 2,684,710,987 2,803,504,135 2,883,109,864 3,069,976,591 3,116,661,007 3,378,764,020 3,406,328,364 3,419,591,483 3,555,958,977 3,648,870,651 3,720,070,016 8,738,288,871 3,989,456,186 4,482,891,938 5,407,990,026 Coin, b u l l i o n , and paper money in Circulation. Treasury, as assets. $6,695,225 3,600,000 23,754,335 79,473,246 35,946,589 65,426,760 80,839,010 66,208,641 36,449,917 60,898,289 47,655; 667 25,923,169 24,412,016 22,563,801 29,941,750 44,171,562 63,073,896 40,738,964 60,658,342 215,009,098 212,168,099 236,364,254 235,107,470 242,188,649 243,323,869 244,864,935 308,707,249 315,873,562 319,270,157 278,310,764 255,872,159 180,353,337 150,872,010 142,107,227 144,270,263 217,391,084 293,540,067 265,787,100 235,714,547 286,022,024 284,649,675 307,760,015 313,876,107 317,018,818 284,361,275 295,227,211 333,329,963 342,604,552 840,748,632 300,0.87,697 317,235,878 341,956,381 364,357,657 356,331,567 836,273,444 420,236,612 458,761,371 644,414,394 Population. $435,407,252 31,443,321 448,405,767 32,064,000 334,697,744 32,704,000 695,394,038 33,365,000 669,641,478 34,046,000 714,971,860 34,748,000 673,691,701 35,469,000 662,126,128 36,211,000 680,886,198 86,973,000 665,573,364 37,756,000 676,284,427 38,668,371 718,616,114 39,555,000 741,548,708 40,596,000 .753,799,412 41,677,000 776,083,031 42,796,000 764,101,947 43,961,000 727,609,388 45,137,000 722,314,883 46,363,000 729,132,634 47,698,000 818,631,793 48,866,000 973,382,228 50,156,783 ,114,238,119 61,316,000 ,174,290,419 62,495,000 ,231,047,925 63,693,000 ,243,925,969 54,911,000 ,293,061,836 56,148,000 ,250,011,531 67,404,000 ,317,539,143 58,680,000 ,372,164,870 69,974,000 ,380,361,649 61,289,000 ,429,251,270 62,622,260 ,497,440,307 63,844,000 ., 601,347,187 65,086,000 ,596,701,065 66,349,000 ,661,307,166 67,632,000 ,601,968,473 68,934,000 ,506,434,966 70,254,000 ,640,983,171 71,592,000 ,837,859,895 72,947,000 ,904,071,881 74,318,000 :, 055,150,998 76,303,387 ,175,307,962 77,754,000 ;, 249,390,561 79,117,000 1,367,692,169 80,487,000 1,519,142,860 81,867,000 :, 587,882,653 83,260,000 ;, 736,646,628 84,662,000 ,772,956,465 86,074,000 1,088,016,488 87,496,000 ,106,240,667 88,926,000 1,102,355,605 90,363,000 ,214,002,596 93,983,000 ,284,613,094 95,656,000 (,363,738,449 97,337,000 1,402,015,427 99,027,000 1,569,219,574 100,725,000 :, 024,130,567 102,431,000 ,763,575,632 104,145,000 Circulation per capita. $13.85 13.98 10.23 17.84 19.67 20.58 ' 18.99 18.29 18.42 17.63 17.51 18.17 18.27 18.09 18.13 17.16 16.12 15.58 15.32 16,75 19.41 21.71 22.37 22.93 22.65 23.03 21.78 22.45 22.88 22.52 22.82 23.45 24.60 24.07 24.66 23.24 21.44 22.92 26.19 25.62 26.93 •27.98 28.43 29.42 30.77 81.08 32.32 32.22 84.72 84.93 84.33 34.20 34.34 34.56 34.36 36.44 39.29 45:74 N O T E 1.—Revised figures for J u n e 30 of e a c h y e a r Used i n a b o v e t a b l e . N O T E 2.—Specie p a y m e n t s w e r e s u s p e n d e d f r o m J a n u a r y 1, 1862, t o J a n u a r y 1,1879, d u r i n g t h e g r e a t e r p a r t of w h i c h p e r i o d g o l d a n d s i l v e r c o i n s w e r e n o t i n c i r c u l a t i o n e x c e p t o n t h e Pacific c o a s t , w h e r e , i t is e s t i m a t e d , t h e s p e c i e c i r c u l a t i o n w a s g e n e r a l l y a b o u t $25,000,000. I n 1876 s u b s i d i a r y s i l v e r a g a i n c a m e i n t o u s e . T h e c o i n a g e of s t a n d a r d s i l v e r d o l l a r s w a s r e s u m e d i n 1878 a n d a g a i n d i s c o n t i n u e d d u r i n g t h e fiscal y e a r 1905. F i r s t i s s u e of F e d e r a l r e s e r v e n o t e s i n fiscal y e a r 1915. N O T E 3.—For r e d e m p t i o n of o u t s t a n d i n g c e r t i f i c a t e s a n e x a c t e q u i v a l e n t i n g o l d c o i n o r b u l l i o n o r s t a n d a r d s D v e r d o l l a r s is h e l d i n t h e T r e a s u r y , a n d is n o t i n c l u d e d i n t h e a c c o u n t of m o n e y h e l d a s a s s e t s of t h e T i ' e a s u r y . D u r i n g t h e fiscal y e a r 1915 t h e r e is i n c l u d e d w i t h t h e T r e a s u r y a s s e t s t h e a m o u n t of m o n e y h e l d b y F e d e r a l r e s e r v e b a n k s a n d F e d e r a l r e s e r v e a g e n t s a g a i n s t issues of F e d e r a l reserve notes. N O T E 4.—In 1907 t h e D i r e c t o r o f t h e M i n t r e d u c e d h i s e s t i m a t e of t h e s t o c k of g o l d c o i n i n t h e U n i t e d S t a t e s b y $135,000,000, a n d i n 1910 r e d u c e d h i s e s t i m a t e of t h e s t o c k of s u b s i d i a r y s i l v e r c o i n i n t h e U n i t e d S t a t e s b y $9,700,000. 304 REPORT ON T H E FINANCES. TABLE M . -Statement showing the aggregate receipts, expenses, average number of persons employed, and cost to collect internal revenue, fiscal year 1917. Collection districts. Alabama Arkansas First Cahfornia :. Sixth California Colorado Coimecticut Florida G eorgia Hawaii First Illinois Fifth Illinois Eighth Illinois Thirteenth Illinois : Sixth Indiana Seventh Indiana \ Third Iowa Kansas. Second Kentucky Fifth Kentucky Sixth Kentucky Seventh Kentucky Eighth Kentucky Louisiana Maryland Third Massachusetts First Michiean .Fourth Michigan Miimesota First Missouri .Sixth Missouri Montana Nebraska New Hampshire. — First New Jersey Fifth New Jersey New Mexico First New York Second New York Third New York Fourteenth New York Twenty-first New York Twenty-eighth New York Fourth North Carolina Fifth North Carolina North and South Dakota First Ohio Tenth Ohio Eleventh Ohio Eighteenth Ohio Oklahoma Oregon First Pennsylvania Ninth Pennsylvania Twelfth Pennsylvania Twenty-third Pennsylvania.. South Carolina Tennessee Third Texas Second Virginia Sixth Virginia Washington West Virginia First Wisconsin Second Wisconsin. Philippine Islands Total.. Aggregate receipts. Expenses. Average number • of persons employed. $1,852, 899.72 620; 373.45 19,264; 290.76 4,685; 506.14 3,524, 979.3417,623; 217.29 2,192; 383.29 2,178, 425.44 1,534, 675.38 42,330; 963.51 35,232; 395.23 9,177; 991.14 1,471; 850.82 16,676, 052.79 19,927; 361.32 2,591, 994.32 3,455, 540.59 5,307, 241.28 25,720, 946'. 53 6,170, 480.85 6,528, 599.16 3,390, 426.46 13,930, 108.52 34,278, 294.91 29,796, 108.38 16,090, 409.96 2,674, 821.62 10,052, 368.45 .17,878, 018.26 . 4,435, 146.47 4,036, 409.02 4,839, 892.02 3,299: 618.90 3,505; 172.40 21,277, 869.16 1,410, 318.61 19,294, 764.83 89,966, 762.26 49,156 866.91 12,742; 159.77 7,802 861.28 ll,74i; 874.66 8,610! 895.64 22,287: 186.37 820; 364.33 23,854; .44 5,959; 963.40 3,391, 537.31 18,135, 825.12 6,880, .44 1,167, 779.85 33,211 208.23 5,507: 048.88 8,575; 288.00 36,109, 312.01 792, 795.63 3,451, 001.80 7,316, 898.61 9,198; 497.19 1,764; 438.40 1 2,477, 329.26 3,466, 370.38 13,802 289.14 2,436: 061.87 3507; 226.94 $65,192.84 53,538.18 235,885.58 100,820.99 66,156.20 80,204.72 41,257.19 76,523.26 16,639.40 160,524.39 206,951.65 113,422.68 28,311.07 135,954.68 134,938.22 61,243.99 57,941.12 108,787.82 344,788.72 91,023.03 144,206.14 114,921.27 98,305.14 194,070.27 179,761.88 79,191.07 34,144.71 81,101.84 88,292.62 73,039.89 57,081;23 72,810.65 60,608.95 34,693.63 101,082.05 42,863.59 110,163.88 151,742.80 114,452.00 92,041.42 73,638.12 69,335.66 59,546.59 82,518.51 40,571.66 172,187.51 53,390.47 45,948.08 71,755.72 49,299.86 43,404.54 136,569.77 65,701.10 57,817.02 211,488.95 51,821.36 93,407.87 87,089.05 93,578.12 60,567.02 50,890.52 61,316.82 86,782.08 47,846.82 36 27 152 58 36 56 27 40 10 121 138 74 17 89 93 40 30 77 256 63 104 82 65 136 129 52 20 50 58 52 34 46 38 21 61 21 77 101 77 60 47 44 40 44 23 128 36 29 51 22 28 100 51 40 175 27 53 46 54 31 29 40 63 29 809,393,640.44 5,971,153.98 3,954 Cost to collect $1. $0,035 .086 .012 .022 .019 .005 .019 .035 .011 .004 .006 .012 .019 .008 .007 .024 .017 .02 .013 .015 .022 .034 .007 .006 .006 .005 .013 .008 .005 .016 .014 .015 .018 .01 .005 .03 .006 .002 .002 .007 .009 .006 .007 .004 .049 .007 .009 .014 .004 .007 .037 .004 .012 .007. .006 .065 .027 .012 .01 .034 .021 .018 „006 .02 Expenses not included in above 3 si^ 727,877.10 Total expenses fiscal year ended June 30,1917 < 7,699,031.08 Cost to collect $1 0.0096 1 Includes $33,256.83 income tax on Alaska railroads. « Tax collected upon Philippine products to be paid into the insular treasury. »These expenses include salaries and expenses of internal-revenue agents and inspectors, salaries of the officers, clerks, and employees in the office of the Commissioner of Internal Revenue, amounts expended in detecting and punishing violations of internal-revenue laws, amounts paid for enforcing the provisions ofthe "cotton futures" act, and certain miscellaneous expenses, but which can not be apportioned among the several collection districts. < Based upon amounts actually paid and not upon warrants issued. TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917. Vessels e n t e r e d . E n t r i e s of m e r c h a n d i s e . Documents issued t o C o n s u m p Foreign. Domestic. Foreign. Domestic. vessels. tion. Districts a n d p o r t s . CD A l a s k a ( N o . 31): M. Juneau Cordova. Eagle Fortyraile t\3 TTetcbikaTi O Nome S t . Michael Skagway. Sulzer Unalaska.. Wrangel .. Total Arizona ( N o . 26): Nogales Douglas. Naco ' YuTTia.-. Lochiel B u e n o s Aires. Ajo... I n d i a n Oasis Vessels cleared. T7{W»kfl.Wfl,TTnn.. 413 8 1 32 4 1 32 1,258 15 4 7 22 22 ,16 239 79 1 5 4 37 1,037 23 2 . 4 20 17 9 4 20 12 71 946 1,164 541 1,443 617 696 1 1,866 1,588 515 5 92 12 13 115 248 93 167 4,206 508 275 377 67 50 54 1,108 551 1,540 8,826 4,031 9,152 1,304 1,345 48 19 4 905 102 3,199 22,009 1,327 2,250 883 24 12 11 665 116 , 38 61 180 12 ,, , 2,146 504 2,659 40 4 12 12 9 664 95 10 33 5 143 220 323 ' 154 191 Youngstown Total Miscellaneous. Mail. 825 11 4 46 " ........ T.&E. 22 30 - ,_ _ LT. 9 3 51 Total Buffalo ( N o . 9): Buffalo. _ N o r t h Buffalo Niagara Falls Dnnlnrk.. Black Rock Ferry Lewiston... North Tonawanda Warehouse. 1 10 93 9 2 3 1 7 61 9 14 285 481 31 6 57 1 141 2 636 53 321 333 29 15 60 5 2 12 5 33 120 26 24 156 22 7,410 8,546 10,625 28 120 457 144 1 275 Valueof imports (totals for districts only)—Dutia b l e a n d free. Ul o 144 o $1,469,524 •^ W > ,, . 27,620,558 5 1,711 2,553 1,296 3,052 323 27,335 67,715,077 CO o TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. Vessels entered. Documents issued to Consump- WareForeign. Domestic. Foreign. Domestic. vessels. tion. house. Districts and ports. Chicago (No. 39): Chicago... Peoria Michigan City Total.... '. 101 4,773 152 4,760 1 26 i 26 102 4,799 i.^*? 4,786 Colorado (No. 47): Denver 11,897 100 1,366 1 20 780 1 19,672 35 403 5 322 11,997 1,367 20 781 19,70? 408 $30,144,080 243 5 2 938 101 171,960 68 22 20 1 4 27 7 4 2 285 81 209 49 398 253 245 31 6 64 9 4 1 , 18 11 1 1 7 26 624 927 . 83 2 34 7 268 100 123 18 67 130 21 361 159 3,022 2,606 30 50 85 236 65 336 2 32 6 6 97 Dakota (No. 34): Pembiaa Ambrose Antler Crosby Total Mail. T. & E. hd O pi O Total Mowbray '. Neche Northgate Noyes Portal Sarles Sherwood ' Souris • St. John Walhalla LT. o Value of imports (totals for districts Miscel- only)—Dutilaneous. able and free. 307 15 1 Connecticut (No. 6): Bridgeport Hartford New Haven New London. HftTipab . HansbOT'O Entries of merchandise. Vessels cleared. CO ; 7 7,341 33 50 55 71 0 185 40 385 5 23 12 S 430 5,986,266 • o Ul 5 427 465 28 465 4 3,167 2,185 6,143 i27 " . 1 7 12 -^1 28 1- * 195 "* 23,202,922 Duluth and Superior (No. 36): Duluth and Superior Ashland Bavfield Baudette . ' Indus International Falls Pine Creek Ranier Two H a r b o r s . . . . Warroad Washburn 382 70 6 35 .. . 4,635 937 7 Total EaglePass(No.25): Eagle Pass Del Rio Presidio 4,569 983 7 498 1,118 26 33 5 39 13 6,678 556 6,701 33 38. 39 9 1,073 639 24 T ot al Galveston (No. 22): Galveston Dallas Houston San Antonio Freeport . . . . Port Lavaca Total 1 . ... v 4 1,054 715 19 3 205 59 5 414 3 2,846 269 128 7,904 2 1,058 . 984 22 3,660 2,009 299 794 273 31 82 31 4 1,312 503 301 3,102 273 .31 82 35 2,116 1,234 133 242 17 200 229 802 1,367 242 17 200 229 802 180 35 11 5 14 17 233 131 135 139 50 69 45 1,359 469 171 18 49 387 6 129 381 17 1 854 561 8 8 1,465 3 9 4 3,699 552 39 1,481 1,864 63 10 13 17 53 17 3 10 103 83 498 . . . . . . .. 2 53 2 Total El Paso (No. 24): El Paso. Columbus ... Total Florida (No. 18): Tampa 1. . Apalachicola Boca Grande Carrabelle . . . Cedar Keys Fp.mandina. .. .• Jacksonville Key West Miami . . Pensacola St. Andrews.... St. Augustiae Tarpon Snriags 3,348 2 103 2 412 8 3,974 26 27 . 350 43 12 35 256 7 12 171 6 1 1 199 10 3 60 2 8 1 27 138 896 144 199 40 12 71 11 1 64 25 33 102 851 137 236 63 4 40 145 2 46 14 1,719 363 1,634 322 1,064 86 540 487 665 372 1 23 3 11 30 40 56 37 58 7 5 581 566 705 441 128 20,407,198 Ul 4,285,764 o w m o 3,381,138 1 2 142 2,039 93 60 1 2 15 619 357 177 • 89 137 30 5 11 81 1 104 790 16 82 104 > Ul 10,734,342 8,505,116 CO o TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. Vessels entered. Documents issued to ConsumpForeign. Domestic. Foreign. Domestic. vessels. tion. Districts and ports^ Georgia (No. 17): Sava,nnfl,h Atlanta Brunswick Darien... Total Hawau (No. 32): Honolulu Hilo Kahului.. Koloa. MahnVoTia : . : Total : ... Indiana (No. 40): Indianapolis F.vansviile Total... . ... . * Iowa (No. 44): Des Moiaes Dubuque '. Sioux City . Total . . Kentucky (No. 42): Louisville. Paducah . ^ Total Laredo (No. 23): Laredo Brownsville Hidalgo ' . . .... 00 Entries of merchandise. Vessels cleared. ' Warehouse. LT. T. & E. CO o Mail. Value of imports (totals for districts Miscel- only)—Dutilaneous. able and free. 164 488 172 481 Ill 19 3 58 8 10 2 28 392 1 6 2 85 97 122 4 3 .54 7 225 510 238 493 196 223 3 421 8 149 260 48 15 7 3 125 1 285 36 17 6 9 68 3,965 172 1 6 61 2 4,875 576 126 353 68 4,144 61 2 4,875 576 49 370 6 2 74 9 10 8 49 376 2 83 18 7 13 100 49 37 3 1 60 44 29 20 186 4 . 168 17 217 16 19 309 192 185 217 16 19 309 192 2,106 • 401 78 6 127 3 475 18 2 93 1 1 6 156 . • 333 0 I hd. o pi H O 6,482,951 360,801 > a Ul 125,540 133 967 $2,098,979 340,334 P o r t Aransas R i o G r a n d e City Total M a i n e a n d N e w H a m p s h i r e ( N o . 1): Portland Houlton F o r t Fairfield Mar.-? Hill . Van Buren Madawaska Monticello ... . . . Machias.... Lubec 0 Boothbay Bath Limestone Fort Kent Bridgewater Eastport CaUas ,., Bangor Ellsworth Rockland Vanceboro Holeb Belfast Frenchville.. ^ Castiae Vinaihaven Southwest Harbor Portsmouth .... Cutler Jonesport . Moose R i v e r Stonington' , • Mount Desert Ferry Robbinston •. Total : M a r y l a n d ( N o . 13): Baltimore Wa-'=?b ington .Annapolis Crisfield Alexandria Total 58 58 5 55 120 58 58 5 2,760 6 967 130 495 94 236 391 933 851 171 2,559 167 74 19 19 51 521 1 1 7 6 2 77 439 190 4 16 175 258 17 360 42 53 2 4 929 72 1 225 1 19 62 13 228 6 211 10 44 217 12 • 39 2 52 113 226 i.54 65 19 33 131 2 ... i . . 3 1 13 4 53 12 6 15 8 4 26 9 4 37 2 5 16 23 26 1 62 3 69 23 2 2 73 3 89 : 2 292 3 39 193 478 137 918 2,100 75 55 5,716 239 2 226 12 4 23 22 1 8 234 31 1 25 1 463 5 2412 39 1,023 526 1 2 13,345 516 1,345 1 O' 1 246 361 1 2 1 3 47 14 2 176 > OQ 82 29 • d Kl. 24 67 1,817 541 1,231 15,990 87 1,517 827 1,143 1,384 1,100 2 1,725 1,210 80 151 543 23 2,656 975 161 10 150 1,355 1,143 1,384 1,102 1,725 2,007 3,631 171 150 1,355 . m o 7 446 1,992 2 135 i 1,019 72 3 1 59 1 14,046,846 . 13,953 3,426 1,095 2,579 45 18 3,674 . 6 3 . 14,538,160 43,972,790 CO o CD TABLE 'i'i .-r—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. CO h-l o. Vessels entered. Documents issued to Consump- WareForeign. Domestic. Foreign. Domestic. . vessels. tion. house. Districts and ports. Massachusetts (No. 4): Boston Worcester Springfieldi Salem .' New Bedford Fall River Plymouth Gloucester Vineyard Haven Barnstable Proviacetown 988 : 14 36 9 10 181 34 2 7 Total Michigan (No. 38): Detroit Port Huron Saginaw Alpena Bay City Marine City St. Clair.......... Grand Rapids Grand Haven Charlevoix Ludington Manistee....' Manistique Muskegon St. Joseph Sault Ste. Marie. Cheboygan Mackiaac Detour.. Escanaba Houghton.'. Marquette Algonac Roberts Landing Entries of merchandise. Vessels cleared. : 1,304 610 4 85 • 8 27 2 1 184 2i 1 3 6 5 5 8 23 36 2 1 99 8 3 .290 68 16 21 7 . . 2 19,357 167 134 10 69 52 10 268 919 3 27 1,509 1,371 1 <i • • • 4 Mail. 14,618 35 213 102 10 9 199 32 10 13 3 9 3 1,222 1,086 1,390 1,136 20,071 949 1,509 1,372 15,012 2,205 929 49 26 32 73 1,137 1,375 165 6 94 24 71 52 2,261 930 45 6 41 58 1,139 1,415 157 6 108 18 48 57 202 111 18,091 6,640 124 53 1,939 2,097 194 51 2,897 24 5 784 16 189 189 20 353 591 224 16 169 68 836 236 391 4 1 1 784 25 188 186 23 353 594 125 20 175 65 873 216 460 4 437 1 1 18 1 6 2 ....;.. 860 T.&E. 1,281 10 , 1,124 LT. Value of imports (totals for districts Miscel- only)—Dutilaneous. able and free. 1,677 70 12 46 76 21 117 241 3 7 1 1,743 71 8 41 55 32 45 264 49 33 49 120 1 6 3 1 3 5 3,044 65 71 93 7 26 1 103 2 248 $217,915,287 21,502 4,494 50 9 128 91 95 4 2 22 1,802 1 12 h3 o 2 2 o w 48 40 Ul Lake Linden Munising Frankfort. Marysville Caldte 107 4 1,236 ..-. . Total M i n n e s o t a ( N o . 35): P t P a u l a n d MiTinf»a.polis Mobile ( N o . 19): Mobile Birmingham Gulfport Pascagoula Biloxi . Total...: N e w Orleans ( N o . 20): N e w Orleans Morgan City a n d Calcasieu P a s s V i c k s b u r g .• Baton Rouge i. Total 1 62 395 63 393 6,792 7,615 6,823 7,588 848 28,329 56 15 4,599 133 297 27 12 1 419 123 384 170 194 82 82 43 15 127 95 21 4 113 4 133 . Total Total .......... 99 5 1,191 -- M o n t a n a a n d I d a h o ( N o . 33): G r e a t Falls Gateway Eastport Porthill S w e e t Grass Peskan TTavre ^. Scobey Whitetail Dooley Westby Malta Black Eagle N e w Y o r k ( N o . 10): NewYork Albany...... J Newark Perth Amboy • Patchogue Greenport 7 583 181 606 195 / .1 2,987 28,261 41,748,588 6,146 236 11,979,024 18 13 5 1 336 6 12 396 1,306 14 730 23 48 696 266 312 288 145 . . . 21 248 1 21 1 11 477 1 32 1,397 6 2,799,054 o w 1 Pi 3 1 O H 13 6 3 8 1 1 6 16 1,397 5 499 2,448 323 6 4,236 29 477 37 5,397 142 882 . 1,479 423 1,496 397 39 34 65 3 377 39 7 1 1,518 457 1,561 400 424 5,422 142 882 499 2,448 323 5,258 2,866 o 5,186 3,020 130 205 21 98 167,712 328 715 164 20,708 9 191 389 26,260 169 103 4,803 480 50 392 52 226 27,984 48 113 118 796 73,945 947 150 12 148,961 27 280 23 6,419 3,138 5,521 3,139 6,003 168,919 .21,297 27,984 27,174 75,054 149,291 ===== Ul 1 444 : 4,139 2,257,593 Kl 25 104,516,862 1,338,189,355 ,. CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. Vessels cleared. Vessels e n t e r e d . N o r t h C a r o h n a ( N o . 15): Wilmington WinstOn-Salem... Beaufort Elizabeth City Washiagton Newbem..!.. Manteo.. - Total.... Total O m a h a ( N o . 46): Omaha Lincoln 22 29 12 44 32 31 I.T. 1 12 44 563 63 129 822 2,228 914 2,030 79 126 144 33 284 527 1,087 1,136 418 559 455 573 1,169 1,070 412 534 25 84 56 534 880 30 163 72' 1,104 1,461 347 705 189 669 1,002 9 288 72 1,073 1 371 337 632 90 2,122 854 171 145 275 143 58 2 69 135 4,399 8,147 5,051 7,549 30 2 592 427 70 1,393 47 5 1 •' 2 70 1,393 34 1 3,589 88 67 21 26 17 8 307 9 1 .2 1 $2,874,151 o W 149 15 45 826 > ' • 32 96 o 1 64 1 370 3,974 230 166 3,817 1,416 1 267 23 . 10 1 230 . 27 4 13 1 290 10 1 257 17 172 .143 1,314 13 9 4 1,479 5 20 . 605 431 1 1 Miscellaneous. Mail. V a l u e of imports (totals for districts only)—Dutiable a n d free. o 30 4 30 T.&E. 129 22 Total.. . . . . . : . . . . Oregon ( N o . 29): Portland Astoria 67 Warehouse. 176 108 • 84 99 29 1 O h i o ( N o . 41): Cleveland Cincinnati Columbus . Dayton Toledo Erie Sandusky.. .. Corry Conneaut Ashtabula. Fairport.... Lorain P u t in Bay E n t r i e s of m e r c h a n d i s e . Documents issued t o Consumt)Foreign. Domestic. Fbreign. Domestic. vessels. tion. Districts and ports. CO H-l m 12,734,496 464,496 Marshfield Newport. ^ . Total . Total.. . 60 ..... Philadelphia (No. 11): Philadelphia. . Wilmington Chester Lewes Tuckerton Atlantic City Bivalve Seaford . 58 41 34 2 . • .' . . . ..... 1,096 34 1,077 390 1,327 9 1,052 18 85 41 '774 114 30 977 116 62 1 1,535 30 68 40 1,543 180 10,062 190 62 699 2 1,730 10,314 701 103 1,164 157 73 7 2 ° 1,196 Porto Rico (No. 49): San .Tuan Ponce .. Mayaguez .' Arecibo.. '.. . Aguadilla Arroyo Guanica. Humacao -. Fajardo . - -- Total Rhode Island (No. 5): Providence Newport Total • : Oswego Sodus Poiat. Fair Haven Total 4 1,491 20 295* 2,397 12,453 21 295 3 1 295 2,397 12,474 299 109,485,782 Ul 159 90 818 3,388,723 o 467 90 20 69 2,025,114 7 918 1,156 1,673 Pittsburgh (No. 12) Rochester (No: 8): Rochester Utica Syracuse 7 34 313 67 70 2 1 8 172 17 53 293 20 26 10 1 20 16 13 30 93 72 100 1 13 174 15 55 32 33 5 26 2,533 723 340 28 25 20 184 28 28 703 429 723 424 3,909 • 82 106 2 96 1 92 3 94 2 217 184 889 73 37 108 97 95 96 401 962 37 1,223 211 1,277 154 16 40 266 466 218 122 127 33 38 498 276 128 65 4 24 46 1,637 130 259 308 1 2 2,029 409 2,179 247 62 2,337 310 271 23 27 7 u Kl 2 o 577 71 2 238 36 7 1 2 274 8 7 85 100 28 4 10 217 10 4,005,975 SI i 3 4 3 7 > Ul 2,056,938 3,340,830 CO CO TABLE 1^ .—Statement of business ofthe customs districts and ports for the fiscal year ended June SO, iP77—Continued. Vessels entered. Documents issued to Consump- WareForeign. D o m ^ i c . Foreign. Domestic. vessels. housiB. tion. Districts and ports. Sabine (No. 21): Port Arthur Sabine Orange Beaumont . . - Total San Francisco (No. 28): San Francisco Eureka Port San Luis .. Total Southern California (No. 27): Los Angeles San Diego Calexico . . Tia Juana Camno Andrade . . Total.. . South Carolina (No". 16):. Charleston . Beaufort Georgetown. . . . . . . -. ' ; T.&E. LT. J—I Value of imports (totals for districts Miscel- only)—Dutilaneous. able and free. Mail. 322 96 24 62 115 26 10 19 398 122 40 69 22 4 3 4 180 100 36 6 9 3 3 504 170 629 33 180 151. 3 3 1,044 58 19 724 16 67 1,343 63 18 1,594 16 43 23,204 2 5 1,804 7,319 1,251 12,278 10 10,682 32 770 -1,121 807. 1,424 1,653 23,211 1,804 7,319 1.251 12,288 10,682 113 392 425 180 315 170 244 60 2,303 1,044 1,167 440 69 15 61 9 1 15 20 8 23 18 23 4,630 28 5 897 536 736 445 26 145 71 160 402 • 505 605 562 485 304 5,028 86 74 69 46 • 60 34 8 105 3 41 87 74 69 46 102 105 3 41 1,543 1,015 187 1,255 929 309 36 . 291 1,692 6,330 1,841 2,290 2 371 1 Total St. Lawrence (No. 7): Ogdensburg Rouses Poiat Malone... Fort Covington Plattsburg Champlain Entries of merchandise. Vessels cleared. CO 1 35 802 773 708 6 72 600 554 1,648 9 4,663 51 710. 29 5 40 2,785 $1,793,626 Q 144,027,410 fej fe! > 6,532,381 3,012,573 847 55 30 3 1 s o Ul Chat Gau 2faV Mooers . . Cape Vincent Alexandria Bav Clayton * Nvando Morristown ..." Waddington TTf)p'an.«;bnrp' Trout River . Massena Louisville Lisbon . . Cannons Corners Thousand Island Park - . : .. . . .• . . . 451 498 778 16 21 10 448 346 306 25 30 10 390 421 2 374 286 2 15 > 110 1 5,475 109 5 268' Total 236 391 4,058 Total. • Tennessee (No. 43): Memphis Nashville Chattanooga Knoxville . Total 296 657 1,100496 370 1,027 843 294 115 187 53 89 84 89 17 3 148 1 56 1 2 10 13 525 2 . 1 17 5 1 Ul ,984 ^ 3,339 893 124 1,675 391 2,128 2,492 1,469 10 701 190 1 2,997 1,799 2,519 3,971 892 35 52 35 145 31 38 15 2 152 48 11 5 9 1 122 229 2 152 73 1 103 6 471 18,243 4 373 16 4 9 1,959 579 459 402 2,437 98,659,602 ao Pi St. Louis (No. 45): St. Louis. Kansas City St. Josenh Cairo Utah and Nevada (No. 48): Salt Lake City Vermont (No. 2): St.Albans Canaan Alburg East Alburg Swanton.. .• ffighgate.. Franklin , West Berkshire Richford East Richford Burhngton. . '. Newport North Troy Derby Line 93 51 .... :. > Pi 3,924,434 O •L=J 572 200,899 i 41,441 > td Kj , ... 67 184 73 184 7 3,659 415 1,349 159 90 113 105 649 3,140 29 113 5,154 2,060 684 170 1,491 9 6 194 1,475 108 '. 122 12 18 6 5 12 16 2 22 3 CO J—I o\ TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. CO 05 Documents issued to Consump- WareForeign. Domestic. Foreign. Domestic. vessels. house. tion. Districts and ports. Vermont (No. 2)—Continued. Island Pond Beecher Falls Depot Harbor Montreal Quebec Total • Virginia (No. 14): Norfolk and Newport News Rifihmond Petersburg '. Cape Charles '. ReedviUe Chincoteague 1,649 • .' . 3,190 : Total 257 251 . . 2,848 2,456 T.&E. Mail. 49 2,152 2 1 11 7 22,676 • 530 5,248 41 67 678 54 515 196 32 30 1 11 3,860 18 39 8 82 564 117 215 195 40 >: • • • I. T. Value of imports (totals for districts Miscel- only)—Dutilaneous. able and free. 3,577 1,380 ". : Washmgton (No. 30): , Seattle Tacoma Port Townsend Everett BeUingham Blaine Port Angeles Northport Roche Harbor Aberdeen Anacortes. Sumas Danville Friday Harbor South Bend Oroville Spokane Molson' . . . . Chopaka Entries of merchandise. Vessels Cleared. Vessels entered. 11 72 152 2,848 2,456 1,182 743 235 30 3,872 65 763 2,387 332 108 85 248 282 505 1,487 137 46 24 48 12 19 2,232 343 131 99 235 . 272 492 1,600 86 59 25 78 7 30 1,451 286 49 8,178 2,180 25 77 201 1,962 65 175 3 1 137 969 53 176 218 34 12,496 4,946 418 385 1,037 124 10,221 50 6 2 3 1,196 447 3 15 11 185 86 383 3 56 24 27 30 204 284 3 5 2 292 14 16 36 1 1 O isJ. 3,190 37 15 218 1) O tri W 1,649 114 $35,884,667 25 217 133 147 9 2 427 2 3 10 2 1 1 1 56 .2,404 268 10 3 'zo 32 281 39 63 19,330,006 o Laurier Ferry Kalama '. . Vancouver Prince Rupert . ^ *. Total Wisconsiu (No. 37): Milwaukee . . Green Bav Marinette Racine La Crosse Sheboygan . . 4,504 1,861 4,372 1,939 1,900 14,958 257 18,968 938 12,751 15 5 4,712 337 569 1,613 45 19 6 5 4,661 256 568 1,612 579 1,854 117 28 13 139 484 1,533 804 545 252 1 6 3 485 1,528 799 545 252 .... '. •. Sturgeon Bay Kewaunee Oshkosh.... Mineral Poiat , 3,237 > 198,321,257 38 Ul o I -. Total Grand total 162 53 23 1 . . . Manitowop. 206 28 1 .' : 20 10,849 85 10,706 579 1,854 117 28 13 46,515 60,239 46,044 60,761 26,742 439,775 . 32,518 78,676 77,247 - . 139 205,387 38 2,254,275 218,293 2,659,355,185 I o fej H W H 3 > Kl CO TABLE N.—Statement of business of the customs districts and ports for the fiscal year ended June SO, 1917. CO h-l 00 C u s t o m s a n d miscellaneous receipts. Value of e x p o r t s (totals for districts only). Districts a n d ports. A l a s k a " ( N o . 31): J u n e a u '. Cordova Eagle Forty Mile.. Ketchikan Nome S t . Michael Skagway Sulzer...,.. Unalaska WrangeU : Estimated duties. $996.10 $1,605.88 . Duties, including fines on maU entries. $287.61 Increased duties. $4.78 1,074.05 228.33 2,061.55 742.93 11.40 .70 10.50 14.40 517.14 57.10 148.70 ines, penA d d i t i o n a l Falties, and duties. forfeitures. 1,041.43 6.04 83.22 373.35 251.10 13.60 20.54 23,622.59 2,118.98 • 756.77 139.44 12.83 4.20 383.83 1', 132.58 70.71 58.34 10,433.128 • , $2,505.57 1,366.52 AU o t h e r customs a n d miscellaneous receipts. $369.88 205.05 187.50 768.86 6.77 1.00 .88 4.57 581.04 5.00 105.27 2,502.45 177.09 80.30 34.88 1,867.39 92 31 75.01 20.54 26,707.,31 156.47 1,587.12 58.34 3,975.59 27,569.74 8,956.92 1,660,361.18 200,701.00 207,552.07 1,402.78 948.38 449.44 2,378.59 11,075.86 2,990.07 46.06 568.19 101.79 461.77 4,304.39 28.49 hd W H O a 100.50 996.10 I o. 385.12 3.00 95.22 24.65 41.48 47.62 Total $23.55 4.75 .67 57.53 5.55 7,271.31 :..- Sale of blanks. $13.60 99.00 . $2,474,894 Buffalo ( N o . 9 ) : Buffalo .• N o r t h Buffalo N i a g a r a Falls Dunkirk. Black Rock Ferry Lewiston North Tonawanda Lackawanna Drawback paid. $99.00 Total A r i z o n a ( N o . 26): Nogales Douglas N^co Yuma....; Lochiel B u e n o s Aires Ajo I n d i a n Oasis Excess deposits refunded. Ul ' 292.27 2,034.71 569.82 20,772.95 138.73 Youngstown Toronto 217,013,081 Total Chicago ( N o . 39): Chicago Peoria . Michigan C i t y Total 6,015,518 Colorado ( N o . 47): Denver C o n n e c t i c u t ( N o . 6): Bridgeport Hartford New Haven New London Total D u l u t h a n d Superior ( N o . 36): D u l u t h a n d Superior Ashland Bayfield Baudette Indus International Falls Pine Creek... 8,956.92 2,071,553.58 2,407.08 14,111.99 1,131.75 4,304.39 569.82 20,772.95 76,015.94 607.03 111,939.04 6,283,923.02 16,846.19 113,263.72 26.88 46,800.53 101.38 2,061.18 40,389.90 852.22 6.39 12,678.47 24.50 76,622.97 111,939.04 6,300,769.21 113,290.60 46,901.91 2,061.18 40,389.90 858.61 12,702.97 61,127.29 3,722.94 255.34 53.12 294.80 496,640.38 809,058.90 71,788.36 133,361.61 174.68 123.09 115.80 25.40 595.50 1,693.84 678.21 98.67 144. 51 54 ..35 117.11 95.34 139.35 77.76 28.58 315.97 341.03 1,496.37 63.63 6.65 440.41' , ' .. 1,144,076 D a k o t a ( N o . 34): Pembina Ambrose • Antler. Crosby Hannah Hansboro.: M o w b r a y . . .-. Neche Northga,te : Noyes Portal Sarles. Sherwood Souris ...'. Sr. J o h n Walhalla., ... Total 27,569.74 77,987,436 898.13 200.55 382.22 110.40 3,192.05 1,591.30 3,192.05 1,510,849.25 438.97 3,066.22 • 1,925.09 2,424.42 3,771.71 3,303.36 1,993.10 1,895.53 1,197.19 589.95 1,077.65 22,084.74 33,656.42 28,312.04 93,524.66 1,051.95 2,539.80 1,542.34 13,667.79 2,559.85 11.43 686.07 H % O .fej W .4.10 25.65 9.45 5.23 Ul ci •w 39.17 18.77 29.88 1,588.70 13,106.20 9,036.33 796,432.57 48.61 3.28 6,032.67 1,658.13 56.72 1,194.45 n.20 o ' 4.05 313.28 464.59 212,768.08 . 347.55 1,005.82 92.50 50.50 H 65.55 3.00 15.45 . 50.00 J 46.20 64.00. .97 .30 2,424.42 L65 1^492.71 • 1,925.09 25.28 90.00 • LIO 2.10 1.25 275.00 ' 605.63 2,042.59 63.63 43.80 504.09 207.55 6.83 21,475.55 L25 .01 1.58 .04 .95 30.20 2.75 CO 1—I TABLE N.—Statement of business qf the customs districts and ports for thefiscal year ended Jurie SO, 1917—Continued. CO to o Customs and miscellaneous receipts. Value of exports (totals for districts only). Districts and ports. Duluth and Superior (No. 36)—Con. Ranier Two Harbors Warroad Washburn Total $26,318,684 Eagle Pass (No. 25): Eagle Pass Del Rio Presidio 4,584,370 Total Total.. Estimated duties. Duties, including fines on mail entries. Increased duties. $140.00 $12,200.14 $5.10 LOO 1,203.95 6.77 penAdditional Fiaes, alties, and duties. forfeitures. Sale of blanks. Allother { customs and miscel. laneous receipts. $12.78 .48 .77 .29 $3.30 15.00 812,757.16 $51.89 6,045.64 $605.63 $506.84 23L58 21,525.00 63.36 32,800.84 7,744.72 • 5,582.30 248.03 8.61 1,260.56 6.37 479.90 3,995.19 711.35 469.20 139.20 9.75 6.40 1,868.03 508.50 607.85 63.36 46,127.86 256.64 1,266.93 479.90 5,175.74 154.35 2,984.38 464.87 24.75 58,159.84 3,159.37 2,797.28 1,742.75 iOl. 96 8,905.00 396.85 37L00 6,298.32 15 00 • 489.62 61,319.21 2,797.28 1,742.75 101.96 9,30L85 37L00 6,313.32 1,988,076.66 149.85 45,149.88 1,753.58 14.00 L16 .27 .03 26,007.51 22.85 2,241. 56 633.86 20.23 28.06 7,529.54 13,275.03 $9,036.33 o w H O fej El Paso (No. 24): El Paso Columbus . . . Drawback paid. .. Total Florida (No. 18): Tampa Apalachicola Boca Grande CarrabeUe Cedar Keys Fernandina JacksonviUe . . . . Key West... Miami •. Pensacola. 1 St. Andrews St. Augustine Tarpon Springs Excess deposits refunded. 4,790,179 • 4,332:29 . 123.07 « 4.00 99.55 1,060.46 380.54 177.55 146.07 1,614.36 36,699,416 5,642.37 2,295.52 48.40 18,909.88 613,300.05 782.78 6,612.70 15.00 6,886.73 2,632,632.20 1,900.39 L20 13.72 3,060.42 52,707.48 1,900.39 2.93 11,083.47 10.00 100.00 12,949.98 3.73 25.67 34.05 7.20 15.46 4.34 L29 107.20 253.25 2,312.98 48.06 74.45 28,719.10 HH > o Ul CO o CO Galveston (No. 22): Galveston Dallas Houston San Antonio Freeport . Port Lavaca • 10,439.97 279.92 22.14 213. 71 .... . '. 266,336,562 Total. Georgia (No. 17): Savannah . Atlanta Brunswick . Total 83,094,175 1 Hawaii (No. 32): Honolulu Hilo :.. Kahului Koloa . : Mahukona .. .. . 280.37 146.44 8.56 11.61 8.73 • 1.00 2,539.14 47.55 6.50 42.70 35.59 424,35 '6,947.28 6.07 360. 56 176.34 2,67L48 128. 42 979.85 2,698.10 7,700.29 30. 53 22.65 1,117.84 • 1.00 1L86 422. 30 10. 63 260. 00 105.18 3L33 25.35 1,382.82 12.21 153.33 10,428. 92 1,141. 49 434.16 10. 63 365.18 56.68 1,548.36 o 899,135.18 62,167.52 12,883. 98- 25,504. 33 1,092.63 762.10 2,419.35 12.22 6.00 122,343.69 181.08 I 961,302.70 12,883. 98 26,596. 96 762.10 18.22 122,524.77 543.80 212. 56 41; 943. 43 293,67L51 214.17 19.25 •893.08 226.56 74.65 9.17 49.55 43.75 335,614.94 233.42 893.08 226. 56 83.82 93.30 11,451.61 5,272.48, 1,849.35 84.46 72.48 53.20 53.25 46. 70 12. 96 18., 29 n.92 L22 2L20 4.60 18,573.44 210.14 99.95 12. 96 31. 43 25.80 352.49 86,653.35 1,592.33 1,199.31 25.00 35.31 384.40 352.49 86,653.35 1,592.33 1,199.31 25.00 35.31 384.40 128. 42 979.85 17,598.68 243.07 17,598.68 243.07 Iowa (No. 44): Des Moines. Dubuque Sioux City 39.28 17^6.47 13.30 321.18 ' 229.05 321.18 80.19 6.07 996,551.56 756.36 Total 6,100. 28 151.93 292. 24 402.83 1,862.17 -. Total 127.36 188.37 47.53 6L09 10,955.74 Total Kentucky (No. 42): T..oiiisvillePaducah.. 919,026.48 36,445.68 8,196. 51 32,882.89 ' .. 923,747 Total Indiana (No. 40): Indianapohs Evansville 1,862.17 2,419.35 H t> pi Kj O fejH W H • H > Ul d — CO CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. C u s t o m s a n d misceUaneous receipts. Districts a n d ports. V a l u e of e x p o r t s ( t o t a l s for dist r i c t s only^). , Excess deposits refunded. Drawback paid. Estiraated duties. • L a r e d o ( N o . 23): Laredo BrownsviUe. Hidalgo..." P o r t Aransas R i o G r a n d e City Total. .. Maine a n d N e w H a m p s h i r e ( N o . I ) : Portland Houlton .. F o r t Fairfield MarsHiU Van Buren.. Madawaska Monticello Machias.... Lubec Boothbay... Bath.. ^. ' • Limestone Fort K e n t . . Bridgewater Eastport Calais Bangor Ellsworth.. Rockland '........' Vanceboro : ... Holeb Belfast... Frenchville.. . Castine • Vinaihaven , . Southwest Harbor Portsmouth Cutler $53,149.46' 3,459.41 492.88 $1,196.31 33.70 2.84 ^ $13,322,605 1,232.85 $114.68 1,236.34 Duties, including fines on mail entries. $2,236.41 29.32 .3.40 Increased duties. $757.16 11.80 LOO 57,200.50 2,269.13 • 773.23 62,90L36 4,777.03 3,477.82 2,563.03 8,488.13 1,136.15 957.12 337.06 3.00 12.60 685.64 23.70 104.55 70.00 146.70 .21 143,286.70 7,169.10 12.85 16,270.06 344.24 4,932.49 787.98 267.00 685.90 150.00 2,432.10 35.38 14.00 10.81 2.13 26.45 2.09 .94 .31 8.91 .13 4,425.53 62.39 72:32 .73 14.23 316.48 25.00 139.52 2.08 7.39 2..71 32.94 40.16 2.01 .02 406.52 3.01 L62 35.74 • 91.10 75.00 .75 642.50 1,339.52 $3,012.15 1,362.79 295.60 216.40 45.55 86.95 6,260.30 373.44 1,497.67 „ $230.52 71.28 29.59 53.25 12.86 .30 LOO 7,938. 29 77.25 14.65 1.90 51.58 3.21 All other customs a n d miscellaneous receipts. $12,929.92 1,604.85 ' 395.77 . 58.47 ii. $316.48 3.27 98.75 3,406.81 3,006.85 3,812.07 1,592.20 41,379.73 2,447.64 1,362.16 i n e s , pen- . Saleof A d d i t i o n a l Falties, and duties. blanks. forfeitures. 3.29 .67 .08 L13 15.12 Lll hd o w •H o 1.80 2.25 > 3.00 ot=j 1.45 31.96 633.72 3.20 187.32 366.33 43.69 Ul Jonesport Moose R i v e r Stonington . M o u n t Desert F e r r v Robbinston.. 5,843.82 40,116,331 M a r y l a n d ( N o . 13): Baltimore. Washington Annapolis Crisfield....' Alexandria 373,830,833 367.08 5,035.13 221.92 6,217.00 502.04 29.54 2,014.87 145.72 61.56 5,795.62 212.47 9,301. 62 531.58 2,014.-87 207.28 6,008.09 77,914.61 57.53 275.82 229.00 20.38 17,62 109,648.76 78.24 190.71 3,865.02 1,512.95 983.01 14,372.84 207.55 326.75 111.17 6.72 25.44 • 15.00 10.17 . 7,897.83 1,236.34 114. 68 299,906.95 8,480.46 38,097.64 •23,387.19 1,602,745.56 77,420.22 10,019.23 11,596.69 8,327.21. • 974.41 38,097.64 2g, 387.-19 1,680,165.78 21,615.92 83,127.30 92,95L62 8,105,259.14 17,409.39 151,786.62 1,466.35 27,259.32 1,406.53 .A . L50 . .• Massachusetts ( N o . 4): Boston Worcester. . . . Springfield. Salem N e w Bedford FaU R i v e r Plymouth Gloucester Vineyard Haven Barnstable Provincetown Total.. 32.22 .96 3.62 .03 .18 2.64 0 • Michigan ( N o . 38): Detroit Port Huron Saginaw Alpena B a y City Marine City S t . Clair Grand Rapids Grand Haven Charlevoix Ludington Manistee Manistique Muskegon. St. Joseph.. „ S a u l t S t e . Marie Cheboygan Mackinac Detour.- 15.00 100.59 Total Total 7.50 2.15 • . 225,573,311 54.44 3L46 192.25 3.20 L25 164.41 83,127.30 92,951. 62 8,304,587.35 78,673. 29 110,013.78 3,866.27 1,512.95 983.01 15,267.00 9,288.97 3,574.46 21.94 6,816.75 1,882,131.08 166,570.14 4,416.20 7,648.61 25.94 12.78 9,04L68 94.73 2,151.84 4,87L67 805.17 46.41 12,493.20 62.10 611.99 77.45' 555. 63 69,925.25 88.00 , 44.36 .40 2,378.70 829.63 % O fej H H > Ul d w 1^ 42.48' 30.37 75.11 143.00 LOO 3.75 . 1,909.82 23,724.59 10.05 299.12 : 90.00 320.00 .' 62.66 8.66 CO fcO CO CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. to Customs and miscellaneous receipts. Value of exports (totals for districts only). Districts and ports. Michigan (No. 38)—Contmued. Escanaba Gladstone. Houghton Marquette Algonac. Roberts Landing.. Lake Linden Munic;ing . Frankfort MarysviUe -Calcite.Rockport Ontonagon.. Total. Montana (No. 33): Great FaUs Gateway Eastport.. Porthill Sweet Grass... Peskan.. Havre Scobo}''. WhitetaU Drawback paid. Duties, including fines on mail entries. Estimated duties. Increased duties. AU other customs and miscellaneoas receipts. penAdditional Fines, Sale of alties, and duties. forfeitures. . blanks. ' • $2.00 td 29.10 $L55 80.00 n.44 hd O o • !... H I tei Total Minnesota (No. 35): St. Paul and Minneapohs Mobile (No. 19): Mobile.. . . Birmingham Gulfport . Pascagoula Biloxi Excess deposits refunded. $290,504,700 $15,624. 82 $6,816.75 $2,148,255.32 8,076.71 $11,613.51 12,270.72 677^ 20 754,010.13 11,565.42 10,797.56 6,665.67 7,22L36 Q. 166,056.93 3,102.06 5.90 4.27 33.88 24.30 870.73 169,169.16 59.43 570.08 430.92 1,313.32 77.20 .5,238.28 910.19 1,039.79 15,837.24 14,466.14 2,023.49 $2,151.84. 337.50 $5,191.67 $969.17 $12,728.67 2.40 134.18 3,198.77 > . • 150.00 33.53 17.59 4.25 2.84 .90 2,212.64 O teJ Ul 59.11 2,264.64 "A ..... 35,559,530 6,665.67 7,221.36 50.00 1.25 . 870.73 200,00 178.75 , 3L08 41.00 11.00 .50 176.30 1.60 3..00 30.00 4.50 J Doolej'^ Westby Malta . Banff Black E a g l e . 4,477.41 6,155.74 2,865.85 : 2.90 .40 456.02 f ... 4,045,770 Total N e w Orleans ( N o . 20): N e w Orleans . Morgan City a n d Calcasieu P a s s Vicksburg Baton Rouge.. 303,772,992 • Total '. . . . N e w Y o r k ( N o . 10): New Y o r k . . . . Albany Newark'. Perth Amboy Patchogue Greenport. 53,382.16 2,023.49 37.50 634.77 31.08 181.70 34,997.56 1,109,082.95 8,927,788.91 4, OOL 21 124,207.14 307.44 2,743.29 322.80 6,026:56 34,997.56 1,109,082.95 ^8,927,788.91 4,06L21 124,207.14 307.44 2,743.29 322.80 6,026.56 2,209,268.65 14,410,640.85 152,636,958.86 145,154.05 763,560.23 28,077.58 410,972.89 • 880.44 383.67 20.83 607,626.53 5,584.38 1,996.72 24.40 127,455.28 • 125,424.40 1,533.55 56.32 104.11 17.48 399,109.87 176.81 4,110.97 4,899.20 tej. 153,573,750.72 412,257.83 615,232.03 127,590.09 l,7n.46 408,296.85 o 7,336.08 1,659,535.98 63.05 35.35 593.75 425. 27 Ul . 134.81 o K!, 3,056,201,807 TotaL.. N o r t h Carolina ( N o . 15): WUmington Winston-Salem.. Beaufort Elizabeth City..' Washington New Bern Manteo... .14,410,640.85 457.65 1,765.79 125,424.40 1,624.27 : i^ Pi-' . fej 6,471,282 Total Ohio ( N o . 41): Cleveland . Cincinnati. . Columbus Dayton.... Toledo Erie Sandusky Corry Conneaut Ashtabula Fairnort Lorain Put-in-Bay 2,209,268.65 ', . • 2,223.44 ' :.. 5,444.15 1,493.73 276.58 • 540. 59 541. 25 16.60 289.16 • 5,329.72 257.30 1,666,872.06 63.05 1,624.27 502,446.99 374,264.81 58,213.90 87,780.74 75,374.78 1,487.92 11,591,53 17,133.86 234.75 116.96 47.46 93.45 24.86 18.60 3,374.58 393.57 47.91 40.95 56.91 1.00 4.20 463.19 44.53 65.63 73.76 46.45 393.88 900.30 •. Total 27,255,262 8,602.06 . 5,587.12 L20 .42 1,112,062.17 17,670.36 3,919.12 693.56 393.88 35.35 1,019.02 603.38 164.00 40.20 3L00 77.60 48.05 16.50 5,926.93 694.55 37.60 109.68 43.07 155.21 82.80 10.00 13.00 3.50 9.00 1.00 73.00 93.00 62.50 19.00 1,017.23 7,297.34 > • Ki CO to C^ TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. to C u s t o m s a n d miscellaneous receipts. Excess deposits refunded. V a l u e of e x p o r t s (totals for dis-• tricts only). Districts a n d ports. O m a h a ( N o . 46): ^ Omaha Lincoln Oregon ( N o . 29): Portland Astoria....... Marshfield Newport $4,190,695 . ines, penA d d i t i o n a l Falties, and duties. forfeitures. $1,089.96 297.82 $465.06 3.48 $547.50 534.05 5,782.16 54,582.48 1,387.78 468.54 547.50 2,579.95 48.26 149,372.02 1,196.50 6,979.50 9.15 6, 784.33 288.30 292.25 Sale of blanks. . $938.98 AU o t h e r customs a n d miscellaneous receipts. $16.82 2.37 $1-35.00 19.19 135.00 75.54 3.71 446.70 . 208.99 w hd' oH O- ^'. .15 2,579.95 48.26 150,568. 52 6,989.31 7,072. 63 292.25 938.98 79.40 655.69 w; 101,855.69 1,816,279.62 15,150,687. 27 14,683.56 2,506.26 45,552.88 41.30 121,334. 72 25.61 34.90 664.11 "203.83 511.94 26.03 3.73 27,673.33 280.72 1,184.22 fej) : , H-l ^ • . . > • !^; O- 464,519,137 P i t t s b u r g h ( N o . 12): Pittsburgh Increased duties. .66 Total P o r t o Rico ( N o . 49): San J u a n . Ponce Mayaguez. Arecibo Aguadilla. i. Arroyo Guanica Humacao Duties, including fines on mail entries. $49,516.69 5,065.79 ,... Total P h U a d e l p h i a ( N o . 11): Philadelphia : AVUmington Chester Lewes Tuckerton A t l a n t i c City Bivalve Seaford Estimated duties. $5,782.16 $534.05 Total Drawback paid. 101,855.69 1,816,279.62 3,330.48 : 5,434.21 1, S76.03 354.29 5.90 °8.45 42.98 502. 99 13.94 457.87 15,167,877. 09 45,594.18 121,395. 23 709,452.04 206.18 2, 743.62 257,939.02 95,730.48 26,870. 51 5,573.33 1,832.15 5,420.27 64,334. 07 5,101.63 4,104.10 366.33 115.30 9,224. 77 2,872.54 1,380.52 17. 90 145. 76 623. 65 664.11 203. S3 99.43 151.90 541.70 29,138.27 420.00 3, 674.51 12 059.13 1,182.68 761.86 35.35 3S.80 38.63 421. 75 8.65 Total 7,855,680 R h o d e I s l a n d ( N o . 5): Providence Newport Total Rochester (No. 8): Rochester Utica Syracuse Oswego.. Sodus P o i n t Fair H a v e n Total 2.00 13.92 8,242.03 •. 457.87 468,954.81 4,585.73 14,265.14 - 153.90 14,560.77- 2,460.46 418.22 288,143. 00 5,799. 76 293.38 92.24 1,189.19 344.46 • 87.44 .85 2,462.01 5.36 418.22 293,942.76 385.62 1,189.19 344.46 88.29 2,468.27 2,567.59 1,003.07 215,952.77 47,847.13 11,061.93 69.27 5.00 277.07 125.44 77 43 3.52 2,874.89 1,592.80 12.05 224.12 51.46 217.84 53.34 48.28 86.73 5.63 3.12 311.94 235.94 6.25 6:00 2,567.59 1,003'. 07 274,936.10 483.46 4,479.74 275.58 .414.94 560.13 269.63 21.65 3.00 23.81 .40 4.40 3.00 24.21 7.40 3.24 Fajardo 2,064 ' 9, 231,728 -2,460.46 • S a b i n e ( N o . 21): Port Arthur Sabine Orange: Beaumont..... Total 13.58 65.13 143,202,190 5, 825,090 S o u t h CaroUna ( N o . 16): Charleston Beaufort Georgetown. Total pi Kl 100.36 3.00 37.67 114,225.83 140,569.15 4,778,029.01 81,346.19 15.82 84,668.02 2,774.29 10,909.05 249.30 .90 30; 466.90 114,225.83 140; 569.15 4,778,029.01 81,362.01 84,668.02 2,774.29 10,909.05 250.20 30,466.90 8,469.94 242.20 590.28 346,645.82 . 18,887.52 35,141.00 123.00 724.60 3.86 1,008.71 134.98 12.36 7,107.33 468.33 2,355.08 161.37 1,556.62 379.73 467.27 208.11 20.33 36.75 383,667.47 19; 014:38 7,576.66 161.37 2; 668.81 7,225.91 76.80 404.31 18.61 261.35 7,225.91 76.80 404.31 18.61 " 261.35 W S o u t h e r n CaUfomia ( N o . 27): Los Angeles S a n Diego Calexico Tia Juana Campo Andrade ". Total.... o w fej. ofej 37.67 269.63 43,266,162 S a n Francisco ( N o . 28): San Francisco. . . Eureka P o r t San L u i s Total • 6,153.35 2,686/892 8,712.14 590.28 1.00 ^ 178.70 48.29 151.59 2, 733.66 Pi. fej > CO to CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. to 00 Customs and miscellaneous receipts. Value of exports (totals for districts only). Districts and ports. St. Lawrence (No. 7): Ogdensburg Rouses Point Malone Fort Covington Plattsburg Champlaia Chateaugay Mooers Cape Vincent Alexandria Bay. . ' Clayton... ". Nyando Morristown Waddington Hogansburg Troiit Rive^ Massena , LouisviUe Lisbon. : Cannons Comers Thousand Island Park $6,839.19 2.50 .7.75 6.00 / • 18.05 6.50 1.90 6.00 3.60 4.98 : $103,834,562 St. Louis (No. 45): St. Louis Kansas City... St. Joseph Caird . Total Drawback paid. $202.46 1,066.21 529.31 23.01 Total Tennessee (No. 43): Memphis NashviUe Chattanooga Excess deposits refunded. .. Duties, including fines on mail entries. Incr eased • duties. $19,850.49 170,726.71 105,130.99 6,629.12 1,475.74 330.29 2,306.27 1,733.94 10,032.83 377.84 1,873.11 38,082.06 782.85 480.85 705.51 948.29 299.94 44.56 167.40 106.38 20.50 $62.37 •791.77 70.05 2.20 29.48 $70.54 1,665.64 826.21 36.70 52.08 9.00 21.90 2.00 2.40 74.07 penAdditional Fines, alties, and duties. forfeitures. $10.15 419.42 97.95 72.39 $227.58 35.06 781..56 73.15 532.98 . $1,293.67 168.81 46.02 1.00 2,403.59 293.92 1.559.55 73.90 1,063.94 48.90 7.50 47.00 , 1,132.89 All other customs and miscellaneous receipts. $123.11 74.06 4.64 19.78 .66. 3.22 3.35 6.97 . 21.65 3.42 7.75 .19 8.62 8.70 .66 1.45 1.07 2.80 .09 .40 1.33 45.00 1.50 2.30 23.50 Sale of blanks. 3.00 18.00 ' 6.50 1,012.35 2,731.36 10,422.81 1,588.72 182.79 42,789.35 607.11 696;435.94 158,010.32 91,297.28 7,411.23 4,243.69 26.07 • 10,666.42 26,140.50 1,055.45 926.76 50.00 . 231.0468.91 5.86 3,078.35 14,287.24 23.45 43,396.46 945,743.54 11,680.99 37,862.37 976.76 305.81 17,389.04 16,848.58 3,611.21 2,075.06 89.05 24.50 8.07' 22.95 6.80 26.41 30.10 84.30 .32 .43 1 .a •fej Ul 362,105.67 399.44 o 7.50 6; 839.19 91.81 6.60 246.35 o 15.05 1,878.27 12,194.32 .. Estimated duties. 83.75 7.65 1.00 Knoxville 1,656.40 1 / Total U t a h a n d N e v a d a ( N o . 48): Salt L a k e City V e r m o n t , ( N o . 2): St A l b a n s Canaan Alburg East Alburn Swanton . . Franklin West Berkshire Richford E a s t Richford Burlinsrton Newport North Trov Dfirbv Liiii6 Island Pond Beecher Falls Depot Harbor Montreal Quebec 171.06 9,559.60 1,506.53 189.88 104,403.74 167.40 26,402.33 479.78 1,245.01 79.71 76.61 231.04 100,802.56 4.00 963.30 68,202.78 1,442.95 2,608.76 23,033.72 2, 738.63 18.54 68.72 155.80 2L00 10.93 13.57 56.16 .50 85.19 92.90 119.48 4.79 9,779.09 50.50 278.00 63.77 27.00 1,239.31 21.95 4,159.90 4,767.32 63L55 25.00 18.23 16.60 6.60 1,290.96 47.52 55.71 130.00 .20 3.20 9.81 .60 53L49 12.50 3.80 20.00 1.00 fej' fei HI 79,627,019 Virginia ( N o . 14): Norfolk a n d N e w p o r t N e w s . . Richmond Petersburg Cape C h a r l e s . . ReedviUe..: Chincoteague 410. 50 155.80 332,882.32 53.97 17,019.85 4,865.34 1,14L01 63.77 66.21 4,460.12 8,457.19 147, 603.79 829,179.48 67,904.14 146.37 95.24 4L13 1,752.34 351.45 883.83 313.71 L43 69.29 4,864.91 2,838. 68 . 2,688.50 137,009,596 ;>. m K* 4,460.12 8,457.19 .1,044,687.41 282.74 2,103.79 883.83 315.14 69.29 10,392.09 21,616.12 13,030.31 1,576,024.69 (559,978.33 213.48 2,667.64 1,561.21 73,948.30 894.94 1,359.71 .3.00 6,241.24 826.85 39,765.42 160.67 ' 24,679.50 5,915.55 258. 80 122.94 3,895.07 - 96.90 314.59 3L37 .25 6.00 17.06 14.47 8.39 2.10 .41 1.75 L68 19,944.38 3,006.25 77.00 47.17 170.36 626.55 43. OJ 140.12 . -.. . , '.. fej d .... . Total 137.49 100.00. Total W a s h i n g t o n ( N o . 30): Seattle.. Tacoma Port Townsend Everett . .. Bellingham Blaine P o r t Angeles Northport Roche Harbor Aberdeen Anacortes 24,191.25 5.20 1.20^. -.14 429.54 15.87. 344.76 6.00 23.10 .80 3.70 149.58 7.15 2.30 ^ 2.40 LOO 145.60 242.38 39.80 20. 20 47.50 CO CO CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. o Customs and misceUaneous receipts. Districts and ports. Value of exports (totals for districts only). Excess deposits refunded. Drawback paid. Washington (No. 30)—Continued. Sumas DanviUe .... Friday Harbor.. South Bend Oroville Spokane Molson Chopaka... Laurier Ferry Kalama Vancouver ... Prince Rupert Duties, including fines on mail entries. 312.03 11,531.30 502.87 313. 68 688.15 323.53 Increased duties. penAdditional Fines, alties, and duties. forfeitures. $131.22 3.00 $33,689.05 1,316.10 220.20 $39.50 3,080.02 66.76 7.50 Sale of blanks. All other customs and miscellaneous receipts. $100.00 50.00 $2.94 .50 H.58 $42.50 184.50 183.08 6.60 L50 48.80 2.30 .36 1.00 44.45 107.00 131.50 602.25 102.50 • .30 . 38.00 1 $177,755,100 Total Estimated duties. $21,616.12 $13,030.31 2,372,616.30 43,083.21 31,108.16 $381.74 2,130.61 5,356.62 301,199.92 284.82 1,675.24 48.50 4,430.75 1 466.35 25,559.31 173.10 2,093.07 hd' o O tn feifei^ t—(, Wisconsin (No. 37): MUwaukee . Green Bay Marinette Racine.. La Crosse Sheboygan Manitowoc Sturgeon Bay . Kenosha Kewaunee Oshkosh Mineral Point Total Grand t o t a l . . . "4 > • Ct ............|..-- fei Ul • : 330,486 2,130.61 5,356.62 301,199.92 284.82 1, 675.24 48.50 6,293,806,090 2,851,455.73' . 17,840,045.77 222,113,526.33 923,432.35 1,384,576. 78 155,996.28 265,727.62 173.10 2,093.07 13,066. 64 827,264.59 TABLE N.—Statement of business of the customs districts and ports for thefiscal year ended June 30, 1917.. • C o m m e r c e a n d l a b o r r eceipts. Districts a n d . p o r t s . Head tax. Expenses. All o t h e r commerce receipts. Toimagetax. Collecting revenue. Enforcement CompUation of n a v i g a t i o n of statistics. laws. Services of persons reimbursable. Average, n u m b e r of persons employed. Cost to collect $1. • A l a s k a ( N o . 31): Juneau Cordova Eagle F o r t y Mile • Ketchikan Nome S t . Michael Skagway Sulzer Unalaska Wrangell Total ; $54.92 9L32 370.50 $138.19 19.51 350.52 220.00 2,135. 36 87. 56 200.00 28.12 41.44 53.42 54.14 3,458.31 71. 65 2.50 177.17 41.95 24.69 763. 61 2,916. 78 .. . . $184.00 .... •. ". : Arizona ( N o . 26): Nogales Douglas.'. Naco Yuma Lochiel B u e n o s Aires Ajo I n d i a n Oasis 604. 00 . . :... .' Buffalo ( N o . 9 ) : Buffalo N o r t h Buffalo N i a g a r a Falls Dunkirk Black Rock Ferry Lewiston North Tonawanda Lackawanna Youngstown. Toronto Total 114.17 5 1 3 2 2 2 1 3 1, 1 1 $5.440 3.633 1.222 7.595 .589 2.312 23,764.20 1,692.23 448.78 76.00 22,597.54 7,741.73 5,878. 41 1,525. 42 1,529.23 1,640.69 l,8n.90 1,685. 72 719.53 245.84 186. 95 48.45 48.68 5L91 57.31 53.31 666.78 207.39 165. 90 4L45 . 44.67 38.01 4L46 38. 23 1,359.00 44,410.64 1,41L98 1,243. 89 1,387.89 30 1.295 55,363.22 24,630.16 49,182.15 225. 00 3,584.37 3,820.74 645.60 .75 45.00 5,244.05 6,035.00 4,560.00 1,230.00 2,300.00 9,718. 65 5,074.00 2,99L00 .039 .129 .248 .214 4.709 9.778 7.980 1,479.00 48 19 40 1 4 5 1 1 1 4 142,741.04 8,107.00 19,263. 40 124 .075 82.00 .2,325.28 3.80 . 1.30 1 1 603. 98 130.00 12,742.32 396. 52 125. 46 $90.39 5,048.10 —76.00 '. $1,692.23 421. 80 492.65 1,076.00 64.00 312.00 1,452.00 $10,194.08 378.00 1,743.94 3,847. 30 1,617.67 1,612. 52 904. 52 301.00 1,687. 20 1,477.97 . ..... . Total $1,705.80 42.00 939.08 3,163. 65 1,282. 44 539.21 537.48 3,618.21 2,330.38 170. 00 75.00 882.00 574.00 366.00 114,22 28.89 .75 5.00 8,090.00 2.635 3.367 26.699 .843 o fej Pi' K^. 22 2.001 O' fej! Hi •1 .802 L683 .497 feji il.040 13. 828 46.062 37.321 fej > • Uli cj- .360 'COCO- CO CO, TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. .to Expenses. ' Commerce a n d labor receipts. Districts.and ports. Head tax. Chicago ( N o . 39): Chicago • Peoria Michigan City Tonnage tax. $1,418.30 . .'. . Collecting revenue. $266,172.15 1,480.15 Enforcement of n a v i g a t i o n CompUation of s t a t i s t i c s . laws. $11,678.08 Total 1,418.30 : 12,050.08 Cost to collect $1. $6,796.10 5.50 188 1 1 $0,043 .087 3,481.11 6,801.60 190 .043 600.00 165.00 6 .173 944. 28 6.46 50.50 8 5 6 4 .033 .0098 .105 ..036 1,001.24 23 .024 5 L787 .387 .625 .626 1.012 2.165 -. 974 .066 .039 .237 .057 L214 .503 .819 .106 .511 ' htf 10,747.70 • Connecticut ( N o . 6 ) : Bridgeport Hartford New H a v e n . . New London 13,905.67 6,426.69 6,532.89 3,770. 25 1,593.71 1,500.00 1,152.86 1,095.00 900.00 46.32 53.78 745.26 23.40 516. 28 86.20 532. 38 1,371.14 30,635.50 5,34L57 900.00 $432.28 Total . , : - Total D u l u t h a n d S u p e r i o r ( N o . 36): D u l u t h a n d Superior Ashland „ 208.00 10,575.04 1,278.90 1,277.50 1,277.50 1,277.50 1,278. 40 1,050.001,330.90 1,259. 60 5,95L70 4,526. 73 1,277.50" 1,277.50 1,263.50 1,317.50 1,437.50 . ' ...: '. 267,652.30 Average n u m b e r of persons employed. $3,48L11 372.00 Colorado ( N o . 47): . Denver D a k o t a ( N o . 34): Pembina Ambrose Antler Crosby Hannah. . Hansboro Mowbray.. . Neche Northgate Noyes Portal Sarles Sherwood Souris St. J o h n WalhaUa All o t h e r commerce receipts. Services bf persons reimbursable. 132.00 40.00 832.00 832.00 140. 00 20.00 2.204.00 37,657. 27 837.20 21,852.50 2,825. 47 870.96 1,277.50 28 5,620.60 15.00 28 2 ' .184 .031 86.148 o tdhJ. O Hi Nfej: 1^; Ct. fejUl Bayfield Baudette Indus International Falls P i a e Creek Ranier Two Harbors Warroad Washburn 3,548.75 182.96 3,602.96 182.50 4,131.47 : 22.58 •" Total 22.58 E a g l e P a s s ( N o . 25): Eagle Pass Del Rio Presidio $632.00 328.00 Total - 960.00 Total..... Total 837.40 38,169. 82 5,562.72 100.00 28,487.11 6,965.45 3,552.70 100.00 248.00 ' 39,005.26 2.317 3.171 . 3.152 16.236 .338 48.129 4.080 5.960 .053 1,277.50 5,883.60 50 1,800.00 100.00 100.00 1,698.71 506.50 606.25 28 4 2 2,000.00 2,811.46 34 .713 ' .729 .758 .548 2,244.00 64,208.63 7,292.34 1,400.00 5,819.38 267.00 43 5 .814 2.041 2,244.00 71,500.97 1,400.00 6,086.38 48 .866 7.183.54 1 583.94 1.385.94 1,425.09 579.86 912.32 - 4,366.50 8,020.64 792.50 7,291.41 1,368.84 354 26 565.69 725.00 25.00 25.00 25.00' 25.00 50.00 , 250.00 475.00 50.00 250.00 25.00, 50.00 25.00 22,75L68 39 1 1 1 1 1 3 16 1 5 1 1 1 .025 9.197 1.033 8,856.00 . 76.00 212.00 8,836.00 12,124.00 20.00 . : 6,064.58 92.94 1,265.10 - 780.78 2,951.50 1,840.28 113.02 7,773.34 822.30 . 5,100.81 57.99 99.342.00 .20 192.59 890.81 5,105.04 675.66 1,434.34 291.60 40.20 43,675.07 870.37 2,803.95 15,922.58 .929.18 1,182.84 1,037. 80 .. T o t a l '. G a l v e s t o n ( N o . 22): Galveston Dallas. .. Houston. San, A n t o n i o Freeport Port Lavaca 745.04 274.50 137.50 :26' 1 3 1 3 1 3 2 5 1 Ul fej oPi fej E l P a s o ( N o . 24): ' E l Paso Columbus F l o r i d a ( N o . 18): Tampa Apalachicola Boca Grande Carrabelle Cedar Keys Fernandina JacksonvUle . Key West Miami Pensacola St. Andrews St. Augustine T a r p o n Springs 274.50 4,668.68 : .. 137.50 297.25 .. . .. 1,800.00 32." 50' L663 .291 .037 .129 .613 1.228 .240 30,124.00 21,703.84 13,890.58 66,421.79 35,830.53 2,000.00 24,584.18 72 .037 252.00 45,205.04 4,349.65 9,600.00 666.45 6.95 •81.27 319.82 228.32 37,456 48 3.o41 00 2,9''3.45 2 893 00 1,090.25 20,900.00 80.76 40 2 2 2 1 1 .069 .091 .341 .086 1.864 45,605.62 4,659 24 47, '754.18 21,200.00 9,600.00 673.40 48 .074 . .- 300.00 252.00 td Kj o fej H W fej fej td CO CO CO TABLE "^ .-^Staternent of business ofthe customs districts and ports for the fiscal year ended June 30, 1917—Continued. C o m m e r c e a n d labor receipts. Districts a n d p o r t s . Head tax. Georgia ( N o . 17): Savannah..: Atlanta Brunswick Darien . .: Cost to collect $1. 125.67 28 .584 62 1 1 1 1 .078 .062 2.158 .949 3,800.00 66 .078 177.77 6 2 .251 008 177.77 8 039 > fej Ul $8,965.62 4,292.68 241.08 39.75 $1,800.00 403.04 47.19 96.00 18,755.18 1,913.87 13,539.13 3,766.67 3,000.00 3,072.00 26,196.00 77,744.96 2,425.14 5,123.84 .1,529.17 300.00 300.00 300.00 •3,800.00 135.60 297.18 12,829.05 24.50 3.37 19.02 26,628.78 12,875.94 80,170.10 7,553.01 276.30 10,722. 29 1,896.03 422.21 276.30 12,618.32 422.21 $3,000.00 ^ 1,688.42 278.25 $0.650 457 .485 1.550 o pi H O 5^ H fej fej . H-l o i ' '. '. 531.60 1,005.59 4,528.20 1,066.47 891.20 1,000.00 250.00 55.00 500.00 3 1 1 495 .205 497 1,537.19 6,485.87 . 1,305.00 500.00 5 405 1,48L20 11,103.31 600.00 360.00 600.00 360.00 7 2 135 1,48L20 11.103.31 960.00 600.00 360.00 9 .139 30,559.56 25,786.30 ^ 7,229.31 1,200.00 12.00 1.5.00 25 19 5 321 3 813 5. 782 : Total L a r e d o ( N o . 23): Laredo Bro^vnsville Hidalgo Average n u m b e r of persons employed. 242 1 1 $1,463.64 3,381.62 157.84 , .,,..., Services of persons reimbursable. $125.67 $15,215.72 8.00 Total Total Collecting , E n f o r c e m e n t Compilation of n a v i g a t i o n revenue. of statistics. laws. $88.00 3,072.00 I n d i a n a ( N o . 40): Indianapolis Fvani^ville K e n t u c k y ( N o . 42): Louisville . Paducah All o t h e r commerce receipts. - T o t a l . - -.'. I o w a ( N o . 44): D e s Moines Dubuque Sioux City Expenses. ... Total. H a w a u ( N o . 32): Honolulu HUo Kahidui Koloa. Mahukona Tonnage tax. CO CO • 26,428.00 208.00 1 32.00 P o r t Aransas R i o G r a n d e City '.. 277.16 Total Maine a n d N e w H a m p s h i r e ( N o . 1): Portland Houlton F o r t Fairfield Mars HiU Van Buren •Madawaska Monticello Machias Lubec Boothbay Bath.... Limestone Fort Kent Bridgewater Eastport '. Calais B a n g o r . •. Ellsworth Rockland Vancpboro ' Holeb Belfast FrenchvUle Castine Vinaihaven Southwest Harbor P o r t s m o u t h '. Cutler . . . J onesport Moose R i v e r Stonington M o u n t Desert F e r r y Robbinston Total M a r y l a n d ( N o . 13): Baltimore..,. Washington Annapolis . Crisfield Alexandria...'. Total 585.66 120.00 26,788.00 277.16 600.66 80.00 20,020.24 3,746.73 1 5 1 704 4.510 1,200.00 52.00 55 673 3,817.00 12.50 35 4 3 1 2 1 1 1 1 1 3 1 1 1 7 10 2 1 2 8 4 1 1 1 1 1 2 1 1 455.45 523.47 496.60 6,400.00 100.00 80.00 26.00 75.00 20.00 20.00 20.00 20.00 20.00 60.00 20.00 20.00 20.00 250.00 97.91 100.00 10.00 27.00 384.00 • 92.46 60.00 15.90 7L00 •20.00 54.00 200.00 10.54 20.00 20.00 3L00 20.00 20.00 1; 233.00 71,488.32 1,233.00 10,500.00 56. 42 137.16 113. 22 176.82 119.38 300.16 239.72 274.51 890.50 65.32 110.68 1,094.77 68.71 4L50 2.40 340. 26 45.94 2L21 35.98 3.38 127.46 4.84 9.72 17.88 9L84 17.18 220.29 54.74 36.03 118.81 7.10 2.44 3.00 15. 71 10.80 28,050.79 5,172.94 3,892.66 1,360.20 2,738.01 1,565.40 1,322.85 439.15 419.18 516.20 1,459.07 1,396.70 1,574.08 1,306.01 - 6,563.48 9,181.73 3,000.08 90.00' . 835.58 9,697.09 4,74L05 300.00 755.46 427. 78 158.72 370.67 935.50 170.00 346.00 1,561.61 303.64 261.74 . . 610.00 80.00 21,825.10 6,817. 75 91,5&3.37 25,370.90 1,176.00 124,282.90 11,555.53 63.50 232,837.26 12,708.11 30.00 168.09 30.72 1,176.00 124,282.90 11,619.03 245,774.18 _ „ •. . ' 058.80 628.77 773.80 2,192.30 1,675.00 1,152.00 90.00 184.71 1,462.59 33.00 797.14 ' , 40.00 606.15 7,307.00 641.67 420.03 748.19 934.86 589.32 413.20 ,3.00 . . 4.80 1 .483 1.024 .910 .497 .253 1.392 1.399 6.348 2.106 3.71 .961 .463 . .416 .869 .195 3.071 .34 3.573 4.994 .067 .611 17.232 .485 5.583 29.009 3.343 2.538 16.428 5.368 .254 260.755 14.198 9.672 28.35 1 1 1 8,404.81 3,865.65 103 .352 9,042.76 400.00 270.00 1,512.80 276.43 5,180.00 4,816.81 172 9 1 2 1 .1398 .145 11,501.99 5,180.00 4,816.81 185 .141 o w fej pi Kl o fej H tn fej Kl CO CO TABLE N.—Statement of business of the customs districts and ports for thefiscal year ended June 30, 1917—Continued. Expenses. C o m m e r c e a n d labor r e c e i p t s . Districts and ports. Head tax. Tonnage tax. • Massachusetts ( N o . 4): Boston . . Worcester Springfield Salem N e w Bedford Plymouth. Fall River G loucester V i n e y a r d H a v e n . '. Barnstable Provincetown. $47,764.00 : . . -. 3,824.00 8.00 51,596.00 Collecting revenue. $17,901.69 9.72 148.81 300.25 59.73 4L03 903.30 132.20 14.37 33.32 70,747.28 11,039.24 839,049.79 28,225.74 14,700.00 r51.26 1,534.50 23.70 95,189.79 38,237.70 614.73 11,253.65 4,316.70 614.73 1,125.00 566.10 585.30 597.50 4,477.40 2,049.73 $9,406.23 34.82 122.04 160.42 10.20 614.04 180.68 10.42 566.10 586.00 1,484.50 3,704.74 59.55 -. • . : Enforcement of n a v i g a t i o n C o m p i l a t i o n of s t a t i s t i c s . laws. $814,611.13 5,271. 23 . 7,065.90 1,495.69 1,515.75 618.00 1,645.40 5,392.43 272.32 61. 94 1,100.00 $89,615.36 . . : . Total Michigan ( N o . 38): Detroit Port Huron Saginaw Alpena Bay City M a r i n e City St. C l a i r . . . . I Grand Rapids Grand Haven Charlevoix Ludington! Manistee Manistique Muskegon S t . Joseph S a u l t Ste. Marie C h e b o y g a n '. M a c k i n a c '. Detour Escanaba Gladstone Houghton Marquette Algonac All o t h e r commerce receipts. 14.76 5.00 54.75 50.00 13,101.77 222.00 48.00 . 1.00 131.15 212.40 $14,700.00 Services of p e r s o n s reimbursable. $15,980.09 Cost to collect $1. 606 3 6 4 2 1 2 6 1 1 1 $0.1003 .297 ..046 11.428 .505 5.453 .102 2.722 2.254 6.457 18.952 16,280.09 633 .102 7,286.41 3,332.00 77 40 .058 .267 .278 300.00 3,220.00 1,405.70 600.00 1,163.66 2,920.80 818.76 195.13 1,128.12 244.00 63.00 438.00 122.00 1,107.75 122. 00 6,046.97 222.00 183.75 432.00 . 448.00 . 1.00 220.00 1,211.85 212.60 Average. n u m b e r of persons employed. 1.85 15.123 3.744 .051 11.945 5 887.00 21.78 68.74 116.80 77.242 1,007.82 144.00 20 6 857 224.000 8.00 1.00 1.00 .826 1.387 2 1 42.432 5.312 Roberts Landing Lake Linden MuTiising . - , , Frankfort Marysville .. Calcite Rockport Ontonagon ^ 1 . 300.00 . • .. 166.02 Total M i n n e s o t a ( N o . 35): St. P a u l <^ MiTine?ipnli.«!. . . . , •_ _ . 1,624.62 ,,.. MobUe ( N o . 19): Mobile Birmingham Gulfport. Pascagoula BUoxi Total... 300.00 244.00 40.00 300.00 106.67 1.00 1.00 52.447 ' ^ \ 1.00 1.00 154,513.18 32,254.69. 7,534.95 11,751.93 171 .089 34,510.63 750.00 1,600.00 2,557.50 24 .047 1,085.00 78.00 10 1 2 1 1 . 087 .385 .526 1.002 6 729 i .78.00 15 .117 pi 3.938 7.147 2.983 •19 844 .577 1.670 ' 1.228 .181 .114 .333 .223 .387 O 700.00 607.50 5 2 3 1 2 1 1 2 1 1 1 1 1 1 td 424.00 10,781.72 3,467.06 04,430.98 821.04 797.44 525.07 175.00 9,890.'^ 1,211.^ 1,212.45 , 376.08 102.81 4,945.35 56.00 124.00 604.00 16,033.74 4,964.57 12,793.57 8,771.91 1,621.25 1,116.07 1,089.24 1,085.00 o K! M o n t a n a a n d I d a h o ( N o . 33): Great Falls Gateway Eastport PorthUl , S w e e t Grass Peskan .. ...,'. Havre Scobey Whitetail. Dooley Westby Malta Banff Black E a g l e . . . . "...: . ; • " . Total N e w Orleans ( N o . 20): N e w Orleans Morgan C i t y a n d Calcasieu P a s s Vicksburg. Baton Rouge. Total N e w Y o r k ( N o . 10): NewYork Albany •. . Newark 10,142.39 3,080.10 4,444.70 1,532.00 3,022.61 1,571.00 1,277.50 2,874.45 1,647.80 1,490.95 1,372.30 1,285.30 707.05 607.50 900.00 35,055.65 900.00 1,307.50 23 .639 8,205.00 144.30 2,294.00 216 2 1 1 .034 8.863 300.000 .080 .034 • 294,419.82 216.45 3,443.68 14,412.63 162.80 1.00 312.49 75.00 8,139.86 1,082.25 300.00 225.00 75,083.90 14,888.92 294,711.27 9,747.11 8,349.30 2,294.00 220 494,500.52 51,548.00 2.00 460.96 4,020,134.05 10,594.25 9,904.18 1 55,173.89 103,191.41 104,175.69 2,938 3,i36.66 8 10,784.00 71,640.22 10,784.00 597,164.00 570.56 720.66 .0268 .070 .014 fej H W fej H CO CO CO CO TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June SO, 1917—Continued. 00 Expenses. Commerce and labor receipts. Districts and ports. Head tax. New York (No. 10)—Continued. Perth A m b o y . . . . ... Patchogue.'. Greenport .. - $2,042.68 . . , . _. . . . . Total Omaha (No. 46): Omaha . Lincoln Total..... $597,164.00 497,113.76 40.00 2,138.34 $7,123.90 . . •. . . •. ' . $1,080.00 449.85 444.00 Services of persons reimbursable. Average number of persons employed. $1,460.00 6 1 1 Cost to collect $1. $0.228 57,867.74 $103,191.41 108,771.69 2,961 4,634.13 2,760.88' 1,930.89 380.15 272.16 216.00 302.40 216.00 1,158.53 451.21 42.24 30.24 24.00 33.60 24.00 42.31 287.32 4 3 1 1 1 1 ,1 .670 .002 1,315.33 . . . Enforcement of navigation CompUation of statistics. laws. 52,906.19 4,047,756.38 ' 40.00 - $895.23 ... Total. Ohio (No. 41): Cleveland. Cincinnati Columbus . Dayton, Toledo Erie . . . Sandusky Corry.. . Conneaut Ashtabula Fairport Lorain Put-in-Bay . Collectmg . revenue. . Total. North Carohna (No. 15): Wilmington , .. Winston-Salem. Beaufort : Elizabeth City WasbiufrtoTi ' New Bern Manteo . . Tonnage tax. All other commerce receipts. .0269 2,138.34 1,315.33 7,395.01 3,317.60 1,763.82 329.63 12 .007 473.28 528.10 56.00 5,138.50 287.51 1,550.01 171.51 33.39 294.30 o 1,322.54 67.10 15.50 153.70 1.80 44,498.97 22,084.01 2,830.26 2,511.64 2,808.62 1,272.31 1,546.23 9.50 33 14 2 2 3 2 6 .096 .060 .048 .029 .048 . .799 .264 64.40 938.04 410.72 1.90 13.10 .10 4.10 . 140.00 140.00 408.00 890.08 883.08 500.00 281.33 245.00 7.83 6.33 2.25 6.33 2 2 2 2 1 6 899 .523 13 737 .635 93.511 3,570.38 774.30 78,240.04 11,903.02 1,550.01 237.14 70 .080 8,787.27 1,472.00 400.00 120.00 4 1 177 .274 10,259.27 400.00 120.00 5 .187 • 83i.66 1,279.30 1,567.22 Oregon ( N o : 29): Portland.. Astoria Marshfield. Newport , Total P h i l a d e l p h i a ( N o . 11): Philadelphia Wilmington . Chester Lewes Tuckerton Atlantic City Bi%'B,lve Seaford Total. ' 34 .337 8,65L44 15,252.50 357 3 3 1 2 1 3 1 .031 .250 .430 .285 6.358 2.098 9.103 15,263.72 371 .032 3,246.52 18 .043 32 11 5 1 1 1 1 1 3 .209 .132 .196 .203 .576 .218 .040^ .173 .444 ) 56 .176 948.00 52,00 160.33 17 2 .087 .428 1,360.00 1,000.00 160.33 19 .093 2,686.56 1,338.50 17 3 3 3 1 1 .111 .112 . 452 5.059 3.386 4.101 28 .147 1,408.00 96,492.76 2,198.20 6,230.06 3,078.92 10,796.32 731.26 558.10 208.19 60.20 385.00 120.00 456,896.15 3,827.15 3,842.80 16,408.41 675.37 678.14 935.78 382.80 807.76 1,092.40 , 300.00 12,859.07 464,566.10 21,280.66 8,65L44 66.20 29,346.91 960.00 240.00 4,448.23 444.28 461.18 7.27 35.85 39.05 1,360.37 129.10 231.33 58,238.35 12,108.56 5,079.49 999.32 1,038.00 1,052.40 2,349.74 761.60 1,989.87 3,000.00 1,300.00 800.00 150.00 150.00 150.00 350.00 150.00 1,000.00 1,450.00 312.00 11,364.44 1,141.02 - 366.44 41.66 11.04 14.44 288.80 38.58 18.14 1,024.00 13,284.56 7,156.66 83,617.33 7,050.00 1,450.00 23,140.00 1,123.54 14.86 1,689.22 33.24 25,685.20. 2,065.00 930.00 430.00 23,140.00 1,138.40 1,722.46 27,750.20 522.18 158.50 20,357.80 5,606.05 5,065.40 2,549.69 •16.00 Total R o c h e s t e r ( N o . 8): Rochester Utica . . Syracuse Oswego . Sodus Point Fair Haven 103.25 10,487,93 632.00 24.00 40.00 R h o d e I s l a n d ( N o . 5): Providence • Newport 1,500.00 45,216.38 107,999.94 ' - .308 1.406 4.573 1,479.70 1,408.00 Total 29 3 1 .1 1,405.00 i . 103.25 1,500.00 6,900.00 2,560.73 510.00 517.20^ 52.00 P i t t s b u r g h ( N o . 12) P o r t o R i c o ( N o . 49): San J u a n Ponce Mayaguez Arecibo Aguadilla Arroyo Guanica H u m a c a o '. Fajardo 42,655.71 2,560.67 1,405.00 ' Total 859.70 V 508.50 111.50 32.00 20.00 ' 11.22 Ul fej o td fej td ... 739.70 261.80 226.76 12.90 4.60 4.00 1,750.44 180.00 33,578.94 • ' 6.00 2,094.88 937.95 959.03 6,678.42 115.19 1,338.50 121.19 o fej •H' W fej H CO CO CD TABLE N.—Statement of business ofthe customs districts and ports for thefiscal year ended June 30, 1917—Continued. CO o Expenses. Commerce and labor receipts. Districts and ports. Head tax. Sabine (No. 21): Port Arthur Sabine Orange Beaumont .• ... Total San Francisco (No. 28): San Francisco Eureka. ."I Port San Luis Total : Southern California (No. 27): Los Angeles San Diego '. Calexico '. Tia J u a n a . . . . Campo: Andrade Total . ' r South Carolina (No. 16): . Charleston •. . Beaufort Georgetown . Services . of persons reimbursable. Average number of persons employed. Cost to collect $1. $2,568.69. 749.29 220.97 404.58 $3,130.05 330.65 ' 165.30 236.00 $4,566.92 868.95 918.85 816.50 $592.32 82.00 53.00 53.00 $9.00 5 1 1 1 $0.217 .102 2.715 .255 76.00 51,320.12 3,943.53 3,862.00 7,17L22 780.32 9.00 8 .213 hd 34,868.00 9,607.74' 77.02 261.63 429,783.73 33,775.85 1,450.40 1,532.00 8,550.00 13,131.54 .28.00 45,928.54 165.86 . 3,995.78 336 1 1 .093 5.587 .357 o 34,896.00 50,090.18 9,946.39 429,783.73 36,758.25 8,550.00 13,13L54 338 .093 236.00 ,10,386.62 309.76 3,376.66 ' 1,743.73 48,520.66 7,608.85 9,112.49 10,898.14 2,555.15 1,223.78 1,800.00 467.31 1,754.00 87.48 195.75 200.00 . 2i.00 84.00 401.93 46.08 305.20 31 5 5 6 2 1 .133 .214 6.330 8 656 14.367 6.516 767.71 50 .196 8 2 1 3 368 14.50 372.00 10,696.38 5,120.39 79,919.06 ^2,267.31 2,342.23 36.00 7,212.38 1,133.91 5.60 79.37 7,240.10 4,223.39 916.38 300.00 603.35 9.68 7,222.06 1,218.88 7,240.10 5,439.77 603.35 11 .807 1,498.72 1,808.84 2,824.32 327.30 26,344.22 13,412.28 13,379.64 3,141.33 585.60 419.00 639.70 1,160.00 752.00 3,300.00 2,202.00 1,200.00 390.00 15.00 10.00 65.00 20 12 11 3 1 1 1 1 186 .093 .136 .517 399 1.286 .305 36.00 - Enforcement Compilation of navigation of statistics. laws. $35,480.98 11,842.04 176.20 3,820.90 . Total St. Lawrence (No. 7): Ogdp.nsbnrg-.. Rouses Point Malone ' Fort Covington Plattsburg. Champlain Chateaugay...! Collecting revenue. $60.00 8.00 8.00 96.00 16.00 24.00 " Tonnage tax. All other commerce receipts. .737 o w H H fej a fej Ul Mooers Cape V i n c e n t Alexandria Bay Clayton Nyando Morristown W^add i n g t o n Hogansburg Trout River. Massena LouisvUle Lisbon C a n n o n s OomeT's Thousand Island Park . 377.18 9.00 " , . . . .... .... 3,686.20 159.50 . . <> c 159.50 ' 376.66 105.00 30.00 95.00 . 55.00 75.00 440.00 80.00 84.00 450.00 100.00 30:00 51.00 5.00 2 3 1 1 3 2 1 1 1 5.00 .1 1 1 .1 69 60.00 3,275.62 72,796.69 3,152.00 1,56L68 ' 20.20 .20 58,599.34 37,946.83 2,583.68 2,413.05 307.64 8,502.00 . . '. 70 .102 3 1 1 1 .376 .339 .416 .688 518.75 6 .395 218.81 3 .391 3,000.00 20.00 462.00 20.00 40.00 20.00 6.00 20.00 480.00 6.00 186.00 1,800.00 70.00 70.00 1,100.00 19 1 6 3 2 1 1 1 9 1 1 11 2 .283 5.561 .327 8.224 1.798 1L398 5.348 3.658 .111 95.25 . L347 .214 L618 L037 .729 1,400.00 857.80 290.00 145.70 5,763.43 1,136.15 940.33 1,093.92 678.05 133.66 110.62 339.02 66.83 55.32 57.58 4,157.31 8.00 ^ 16,946.57 2,773.61 922.33 Ul .087 .188 .028 99,129.85 8,933,83 .223 42 25 2 1 1,582.08 1,293.50 .669 .377 3.338 .484 .081 2.920 .812 1.087 .633 .999 13.508 1.974 1.114 12.643 2,740.38 14,203.69 2.50 1,400.00 • -. . Total.-... 175.00 195.00 155.00 • o . . U t a h a n d N e v a d a ( N o . 48): Salt L a k e City V e r m o n t ( N o . 2): St. Albans Canaan Alburg East Alburg Swanton Highgate Frank'ltQ West Berkshire ' Richford E a s t Richford Burlington Newport North Troy Derby Line Island Pond 1,128.84 3,223.17 1,410.78 1,199.90 2,683.43 1,848.82 583.58 727.30 640.70 270.80 539.75 275.65 126.20 216.00 52.92 Total T e n n e s s e e ( N o . 43): Memphis NashvUle Chattanooga KnoxviUe 40.20 49.80 25.00 . . . Total S t . L o u i s ( N o . 45): St. Louis Kansas nity St. Joseph.: Cairo...." 1.46 ' • fej o tdfej td Ki o fei fei Ul Pi 190.00 1 : ** , , , . , . . . . ' . . • 133.10 .90 1.00 29,365.87 91L00 8,588.99 3,925.98 2,239.10 888.55 403.74 825.30 11,722.16 375.00 1,049.36 13,089.25 2,491.65 2,635.83 16,078.73 124.16 276.11 2,564.00 0 CO TABLE N.—Statement of business ofthe customs districts and ports for the fiscal year ended June SO, 1917—Continued. Expenses. Commerce a n d labor receipts. Districts a n d ports. Head tax. V e r m o n t (No. 2)—Contiaued. Beecher F a l l s Depot H a r b o r . : Montreal Quebec . • $134.00 V u - g i n i a ( N o . 14): Norfolk a n d N e w p o r t N e w s Richmond Petersburg C a p e Charles ReedvUle Chincoteague $4,900.00 176,958.98 CompUation of s t a t i s t i c s . Services Average " of p e r s o n s n u m b e r of reimburs- , persons able. employed. $376.00 Cost to collect $1. 3 1 7 2 $1 381 $1,460.. 00 1,642.50 5,666.50 85 .347 34 10 6 1 1 1 .138 .014 .085 $191.00 115,538.65 $400.27 7,676. 00 21,940.79 10.40 33,390.53 11,5.33.42 5,786. 60 13,840.00 400.00 200. 00 594.90 472. 50 180.00 2,400. 00 50,710.55 15,687.40 2,400. 00 5,447. 60 53 . 054 6,200.00 1,000.00 300. 00 200.00 200. 00 1,000.00 300. 00 200. 00 2,608.80 116. 45 89 25 2 1 2 6 2 2 1 3 .075 .051 .379 .507 .804 .114 .334 1.838 1.713 .202 .558 174 .982 .719 1.876 3 707 .239 2 511 2.869 L198 .. . .. ?. Total Collecting revenue. Enforcement ofnavigation laws.' $3,449.84 1,460.00 12,046.30 3,992.00 . Total W a s h i n g t o n ( N o . 30): Seattle Tacoma Port Townsend Everett ' Belliagham Blaine P o r t Angeles Northport RocheHarbor Aberdeen... Anacortes Sumas DanvUle . Friday Harbor South Bend OroviUe Spokane, Molson Chopaka Laurier. Tonnage tax. All o t h e r commerce receipts. CO 4,900.00 176,958.98 21,95L19 16,284. 00 11,028.00 120.00 32,970.78 6,265.26 1,581. 34 165. 54 638.94 201.98 3,416.76 16,087.66 2,34L37 4,786. 32 544. 86 1,219.11 1,191. 03 4,237.38 26. 98 • 448. 24 641. 94 144. 67 4,95L88 992. 82 66.56 106. 82 1,087.96 89. 91 2,760. 00 2,687.50 hd o % o- S fei' fei' I—t. : 44.00 . . . . . . 76.00 . . ..i . . . . . . . 103,109. 42 20,100. 00 7,400.00 26,350.94 1,500.00 771.45 1,000.00 542. 65 1,100. 00 1,617. 85 2,400. 00 5,325.11 1,200.00 1,390.10 2,645.45 60.00 '"""•"246." 66* 671. 05 1,700. 00 684. 50 800.00 4,914.96 1,225.55 529.00 600. 00 169.25 200. 00 1,136. 90 3,532. 75 1,337.20 1,078.50 955.10 1,000.00 300.00 200.00 200. 00 200. 00' 600.00 275. 45 > "A a fej Ul Ferry Kalama Vancouver Prince Rupert. 1,465.65 4.50 . Total Wisconsin (No. 37): MUwaukee Green Bay Marinette Racine. -. La Crosse... . . . . Sheboygan Manitowoc Sturgeon Bav Kenosha ". Kewaunee. Oshkosh Mineral Point 27,552.00 46, .531.14 ... 1 1 4 1 3.905 5.555 37,679. 47 166,795. 88 38,265.00 12,100.00 10,283. 20 154 .084 617.00 23,172.67 2,916.25 287. 50 300.00 300.00 300.00 300.00 300. 00 300 00 250. 00 249.31 250. 00 1,045.50 9L30 26 .089 .... .' „ ..... . i O 127. 00 819,635.50 1,386,940.56 • 617.00 23,299.67 5,753. 06 1,045.50 9L30 37 257,492.73 8,519,112.03 477,575.90 257,292.70 . 293,292.87 6,622 Total Grand total 6,005.00 1,277.50 200.00 25.00 6,005.00 1,277.50 • .098 o fej. ; SUMMARY. . . ' Duties and toimage covered into the Treasury by warrants during the fiscal year 1917 (The above amoimt represents the official *' Customs R eceipts " for 1917.) Aggregate receipts from all sources, as reported by coUectors duriag the fiscal year 1917 ' $225,962,393:38 . : fej (The above amotint includes all collections made for the Departments of Commerce and Labor, estimated duties, duties and fines on maU importations, increased and additional duties, fines, penalties, and forfeitures, sale of blanks, and sundry miscellaneous receipts.) Expenses reported by collectors, as above '. Add salaries and expenses of Board of United States General Appraisers Add payments for detection and prevention of frauds, fiscal year 1917 Add salaries and expenses special agents force, fiscal year 1917 ' '... Add payments for transportation, traveling, and miscellaneous expenses, fiscal year 1917 Add $35,000, transferred from customs appropriation for printing and.stationery for the Customs Service, fiscal year 1917 Total expenses of the Customs Service, fiscal year 1917 .Deduct expense enforcement of navigation laws. Department of Commerce Deductexpense compUation of statistics. Department of Commerce : : Net cost of collectiag ciistoms revenue, fiscal year 1917 Cost to collect $1 (based on aggregate receipts and aggregate expenses) Total number of employees, including special agents and customs agents forces NOTE.—Porto Rico figures not includied in totals, except those relating to values of imports and exports. fei. 228,147,659.38 >. 9,253,980,63 161,276.25 162,744. 58 138,222.15 23,657.96 35,000.00 Kl 9,774,88L57 $477,575.90 257,292.70 734,868. 60 • -, .• Pi - 9,040,012.97 • 0428 6,727 CO CO Ui IREPORT OH THE FINANCES. TABLE 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June SO, 1917. Districts and ports. Alaska (No. 31): Juneau Cordova E agle Forty Mile Ketchikan Nome St.Michael Skagway. Sulzer Unalaska Wrangell Entries. Receipts. Expenses. 7 200 $2,498.41 115.58 2,195.52 416.50 8,702.31 932.59 2.50 1,716.04 89.39 78.99 2,338.13 $13,592.11 420.00 2,683.02 3,163 65 5,129.74 2,156.88 2,150.00 4,522.73 301.00 2,109.00 1,970.62 Total '. 1,707 19,085.96 38,198.75 Arizona (No. 26): Nogales Douglas . . Naco Yuma . Lochiel Buenos Aires Ajo Indian Oasis 2,794 1,720 732 . 5 92 12 13 115 29,906.25 4,867. 52 1,253.57 3.00 95.22 125.15 4L48 47.62 23,983.85 8,194.96 6,231.26 1,615.32 1,622.58 1,730.61 1,910.67 1,777.26 5,483 36,339. 81 47,066.51 20,047 13,128 22,289 32 120 457 144 1,702,438.26 203,792.86 208,488.71 1,402. 78 948.38 449.44 126.76 5 138.73 65,958.22 25,860.16 51,652.15 300.00 4,466.37 4,394.74 1, Oil. 60 .75 50.00 5,244.05 56,222 2,117,785.92 158,938.04 34,138 142 6,501,387.34 17,005.34 281,331.34 1,480.15 372.00 34,280 6,518,392.68 283,183.49 1,289 65,543.49 11,347.70 495 790 330 46 499,175.50 812,098.75 73,432.34 . 133,704.74 16,399.38 7,926.69 - 7,685.75 4,865.25 1,661 1,518,41L33 36, 877.07 641 132 129 24 67 135 21 792, 159 6,190 5,402 33 64 85 264 65 6,032.20 3,303.36 2,043.10 2,041.73 1,262.16 590.25 1,077.65 22,154.34 33,656.42 28,641.87 94,035.58 1,05L95 2,539.80 1:542.34 13,709.06 2,854.87 10,783.04 . 1,278.90 1,277.50 1,277.50 1,277.50 1,278.40 1,050.00 1,462.90 1,299.60 6,783.70 5,358.73 1,277.50 1,277.50 1,263.50 .1,457.50 1,457.50 14,203 216,536.68 39,861.27 4,293 5 826,143.87 10.11 25,955.47 870.96 .. ,. : : '.. :.... ' . . . . . : . Total Buffalo (No. 9): Buffalo North Buffalo . . . . Niagara Falls Dunkirk Black Rock Ferry Lewiston North Tonawanda T>a^-if^awfl.nna , Youngstown Toronto... .... • ... . ... Total Chicago (No. 39): Chicago Peoria Michigan City ' Total Colorado (No. 47): Denver Connecticut (No. 6): Bridgeport . Hartford New Haven New London Total............. Dakota (No. 34): Pembiaa Arnbrose Antler Crosby Hannah Hansboro .. . . .'. Mowbray Neche.... Northgate : Noyes . .. .. . Portal../ Sarles . . Sherwood Souris St. John "...'... Walhalla Total Duluth and Superior (No. 36): Duluth and Superior Ashland . •. • : 99 33 171 32 941 . . .. 224 .... '. -. i '. :..: . - 345 SECRETAEY OP THE TREASUBY. TABLE O.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June 30, 1917—Continued. D u l u t h a n d Superior ( N o . 36)—Contiaued. Bayfield Baudette Indus.'. . . International Falls i P i n e Creek . . Ranier Two Harbors . . Warroad Washburn Total Receipts. Entries. Districts a n d ports. 181 2 $1,659.38 57.68 1,230:08 11.24 12,221.32 15r48 1,211.49 23.07 $137.50 3,846.00 182.96 3,877.46 182.50 4,131.47 .745.04 4,943.18 137.50 ... 13,630 842,583.-72 45,010.04 .. 3,738 806 1,095 41,523.75 9,317.30 6,664.75 30,287.11 7,065.45 3,652.70 162 7 . 826 11 8,143 : E a g l e P a s s ( N o . 25): Eagle Pass Del Rio Presidio.. Expenses. Total 5,639 57,505.80 41,005.26 E l P a s o ( N o . 24): El Paso. Columbus. J 2,724 133 80,620.15 3,57L22 65,608.03 7,292.34 Total 2,857 84,191.37 72,900.97 2,453 2 1,010 4j592 102 60 1 33 2,081,172.87 ^ 174.94 1,364.71 2.03 .20 1, IOL 50 25,515.66 652,575.66 13,732.89 15,003.90 1,134.44 6,016.39 51,583.61 1,608.94 1,410.94 1,450.09 604.86 1,832.69 7,420.45 24,418.22 1,771.68 8,724.25 1,393.84 1,442.06 590.69 8,254 2,797,795.19 104,252.32 663 216 105 '164 30 977,826.58 36,842.09 8,722.49 33,6.78.61 584.73 67,956.48 3,341.00 2,973.45 2,893.00 1,090.25 300.00 1,178 1,057,654.50 78,554.18 134 516 5 21,174.12 9,393.80 3,977.52. 205.03 13,765.62 4,292.68 1,929.50 318.00 655 34,750.47 20) 305.80 9,479 172 1 6 1,105,157.90 63,471.73 138.97 316.20 86,668.80 3,954.31 300.00 300.00 300.00 9,658 1,169,084.80 91,523.11 454 25 43,401.44 294,019.98 10,900.06 2,318.24 479 337,421.42 13 218.30 163 94 66 12,173.37 6,413.77 1,903.77 6,028.20 1,316.47 946.20 323 20,490.91 8 290.87 F l o r i d a (No. 24): Tampa ' Apalachicola Boca Grande Carrabelle .Cedar Keys Fernandiaa Jacksonville..-. Key West Miami Pensacola St. Andrews St. Augustine T a r p o n Springs : 1 • ". . . .' Total Galveston ( N o . 22): Galveston Dallas. Houston San Antonio Freeport Port Lavaca.. . . Total..... Georgia ( N o . 17): Savannah Atlanta Brunswick.. 1 Darien. Total H a w a u (No. 32): Honolulu..' Hilo Kahului Koloa... Mahukona. :..; . . ; Total I n d i a n a ( N o . 40): IndianapoUs Evansville ' ' .' . . TotaL. I o w a ( N o . 44): Des Moines Dubuque Sioux City Total : . . . . . . . . . . 346 KEPORT ON THE FINANCES. TABLE 0 .—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June 30, 1917—Continued. Districts and ports. Entries. . . •. Total Maine and New Hampsture (No. 1): Portland Houlton Fort Fairfield MarsHiU Van Ruren. . Madawaska... . . Monticello ' Machias.... Lubec Boothbay Bath Limestone.. Fort Kent Bridgewater Eastport Calais Bangor. Rockland Vanceboro... • Holeb... Belfast FrenchvUle Castine. Vinaihaven... Southwest Harbor Portsmouth Cutler.. Jonesport.... $91,370.90 $12,303.31 360.00 753 91,370.90 12,663.31 3,774 423 80 55 120 99,060.10 6,762.45 1,250.24 1,079.22 1,619.94 31,759.56 25,786.30 7,229.31 1,839.15 7,307.00 4,452 109,771.95 73,921.32 1,078 1,373 1,043 175 2,590 167 78 24 .67 93,019.92 5,147.12 4,364.00 2,785.89 11,107.82 1,138.24 959.86 176.11 506.95 353.07 3,86L14 3,062.18 3,833.77 1,594.91 43,542.15 3,396.07 • 9,382.90 79.67 465.59 150,143.85 7,910.49 67.15 1,592.06 204.24 20.64 350.78 815.68 46.86 145.15 6,231.67 3.03 56. 71 116.47 44,950.79 5,272.94 3,972.66 1,386.20 2,813.01 1,585.40 1,342.85 1,117.95 1,067.95 1,310.00 3,711.37 1,416.70 1,594.08 1,386.01 8,488.48 10,431.64 3,190.08 284.71 2,325.17 10,114.09 4,833.51 1,157.14 771.36 1,140.45 598. 75 1,172.86 2,070.36 769.86 779.20 1,581.61 790.09 805.21 1,126.60 . 35,800 356,482.14 125,359.08 '5,462 3,582 1,766,564.68 • 90,358.39 247,060.02 13,108.11 300.00 1,680.89 307.15 9,044 1,856,923.07 262,456.17 37,973 237 384 112 80 10 65 284 .3 9 4 8,440,341.92 17,752.71 152,579.90 412.63 5,787.46 223.35 27,553.13 3,053.21 484.01 39.81 58.04 847,212.82 5,271.23 7,065.90 4,715.69 2,92L45 1,218.00 2,809.06 8,313.23 1,09L08 257.07 1,100.00 39,161 8,648,286.17 881,975.53 44,676 13,306 179 1,920,829.01 160,823.02 4,428.98 110,920.84 44,604.13 1,229.46 1,125.00 56 7,550 600 2 226 13 4 26 86 1 8 412 : .. . . . ..... : Total ' 323 3 46 193 479 137 2,164 3,455 13,421 , . . . . Stonington.,. • Mount Desert Ferry Robbinston . . ,.. . . Total... . Massachusetts (No. 4): Boston... Worcester Springfield.... Salem New Bedford. Plymouth.... Fall River . . • . ; Vineyard Haven Barnstable Provincetown ': . . Total / - 753 Total Laredo (No. 23):° Laredo ... BrownsvUle Hidalgo Port Aransas Rio Grande City Michigan (No. 38): Detroit Port H uron Saginaw Alpena Expenses. • - Kentucky (No. 42): Louisville Paducah Maryland (No. 13): Baltimore Washington.. . Annapolis'.. Crisfield Alftxandriar-. Receipts. . '. " 347 SECEETAli.Y OP THE TREASURY. TABLE 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June SO, 1917—Continued. " Districts and ports. Michigan (No. 38)—Contiaued. Bay City Marine City . St. Clair Grand Rapids Grand Haven Charlevoix Ludington Manistee -. Manistique..: Muskegon St. Joseph Sault Ste. Marie Cheboygan Mackinac Detour Escanaba , Gladstone Houghton Marquette AlgOnac , Roberts Landing Lake Linden Munising Frankfort , Marys\^le , Calcite ^..., Rockport ".... Ontonagon , Total. Minnesota (No.. 35): St. Paul and Minneapolis. MobUe (No. 19): Mobile., Birmingham.. (julfport Pascagoula... BUoxi Total. Montana and Idaho (No. 33): Great Falls Gateway Eastport PorthiU Sweet Grass Peskan...;..i Havre Scobey WhitetaU Dooley Westby Malta... Banff Black Eagle Total. New' Orleans (No. 20): New Orleans Morgan City and Calcasieu Pass. Vicksburg.. Baton Rouge Total. New York (No. 10): NewYork Albany Newark Perth Amboy... Patchogue Greenport Total., Entries. , 58 161 141 237 2 6 Receipts. $611.99 77.45 556.03 72,421.16 99.42 3.75 *i5."65' 4,973 65 24,396.58 320.00 70.00 2.00 3L65 80.00 11.44 Expenses. $1,132. 20 1,171.30 2,082.00 3,704.74 1,187.67 • 244.00 63.00 438.00 122.00 1,162.50 122.00 20,156.56 444.00 183.75 480.00 448.00 1.00 220.00 1,343.00 425.00 600.00 244.00 40.00 300.00 106. 67 1.00 LOO 64,020 2,190,777.53 194,302.82 11,114 780,045.96 36,860.63 343 40 12 1 1 184,030.49 3,143.95 5,385.57 1,488.22 177.15 15,921.08 1,211.50 2;833.70 1,492.15 1,192.05 .397 194,225.38 22,650.48 1,410 396 1,798 14 731 23 48 709 272 317 296 145 2,803.90 43Q. 92 1,489.62 77.20 5,242.88 940.19 1,039.79 15,841.74 14,466.14 4,480.31 6,156.14 3,321.87 11,042.39 3,080.10 4,444.70 1,532.00 3,022.61 1,571.00 1,277.50 2,874.45 1,647.80 1,490.95 1,372.30 1,285.30 . 707.05 607.50 6,181 56 290.70 35,955.65 9,691 25 9,162,294.20 162.80 LOO 3,756:17 310,764.68 1,443.00 300. 00 300.00 9,716 9,166,214.17 312,807.68 465,570 1,311 1,454 1,384 155,452,293.90 151,854.00 771,322.03 35,977.40 4,178,499.35 10,594.25 10,624.18 8,203.90 449. 85 444. 00 469,719 156,411,447.33 4,208,815.53 22 348 REPORT ON T H E FINANCES. TABLE 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June 30, 1917—Continued. Entries. Districts and ports. North Carolina (No. 15): Wilmington Winston-Salem. -, . . . Beaufort Elizabeth City.. Washington New Bern Manteo Total 104 1,554 .' - . . . - . . . . . . . . . . . T ot al Omaha (No. 46): Omaha Lincoln .... Total Oregon (No. 29): Portland Astoria Marshfield Newport-. ' " . Total Philadelphia (No. 11): PhUadelphia Wilmington,, Chester r. ; Lewes Tuckerton Atlantic City Bivalve Seaford '. • : . '. . . . . . Total..i Total .* .' ." : .•'. . $7,723.55 3,212.09 422.39 302. 40 240.00 336.00 240.00 1,673,107.42 12,476.43 6; 196 985 238 363 321 207 893 2 69 167 96 64 2 531,344.19 375,852.21 58,522.20 88,083.59 76,002.06 . 3,193.28 11,782.53 51,187.48 22,371.52 2,830.26 2,51L64 3,639.62 2,551.61 3,113.45 149.30 1,957.44 66.10 442. 82 2.62 1,030.08 1,023.08 908.00 281.33 245.00 9,603 1,147,398.34 91,693.07 512 63 51,77L03 5,369.46 9,187.27 1,472.00 575 57,140.49 10,659.27 2,826 "18 7 165,78L02 3,640.15 111.50 .81 51,055.71 5,121.40 510.00 517.20 2,851 . 169,533.48 57,204.31 26,201 216 63 15,455,325.16 17,986.68 10,517.27 3,287.11 60.20 385.00 120.00 481,956.00 4,502.52 4,520.94 935.78 382.80 807.76 1,092.40 300.00 26,480- 15,487,681.42 494,498.20 2,388 716,661.98 30,546.91 299,923.59 101,761.33 29,995.81 5,675.51 2,063.60 5,512.39 67,044.64 5,277.96 6,730.74 62,688.35 13,408.56 5,879.49 1,149.32 1,188.00 1,202.40 • 2,699.74 911.60 2,989.87 4,639 523,985.57 92,117.33 1,171 112 318,473.14 6,946.31 27,563.20 2,547.00 1,283 324,419.45 30,110.20 1,772 506 287 220,539.31 49,906.11 11,205.94 1 24,382.85 5,606,05 6,065.40 : Rhode Island (No. 5): Providence Newport Rochester (No. 8): Rochester Utica Syracuse . Expenses. 1,658 • Total Pittsburgh (No. 12): Pittsburgh Porto Rico (No. 49): San Juan Ponce . . . . . Mayaguez... AreciSo . . Aguadilla Arroyo - Guanica '. Humacao . . Fajardo $11,521.90 1,661,585.52 '. . . Ohio (No. 41): Cleveland Cincianati Columbus Dayton Toledo Erie Sandusky. Corry Conneaut. .• Ashtabula.. . Fairport. .• Loram P u t i n Bay Receipts. 3,142 820 364 28 25 20 184 28 . 28 ' 349 SECEETARY OF THE TREASURY. TABLE 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended JuneSO, 1917—Continued. Districts and ports. Rochester (No. 8)—Continued.. • Oswego Sodus Pokit Fair Haven Total. Entries. Receipts. Expenses. 316 1 2 $918.12 277.03 233.88 $4,644.57 937.95 959.03 2,884 283,080.39 41,595.86 Sabine (No. 21): Port Arthur. Sabine .. Orange Beaumont,.. 106 36 6 38,162.53 12,602.73 418.75 4,328.28 8,289.29 1,281.60 1,137.15 1,105.50 Total. 157 55,512.29 11,813.54 56,538 12 5 6,078,847.04 259.60 4,285.41 472,109.58 1,450.40 1,532.00 56,555 5,083,392.05 475,091.98 7,914 1,660 1,927 908 85 160 390,713.02 38,165.55 1,470.43 1,282.11 179.31 200.70 52,074.66 8,163.64 9,308.23 11,098.14 2,576.15 1,307.78 432,011.12 84,528.60 16,369.27 5.60 89.05 12,066.84 916.38 300.00 a Francisco (No. 28): San Francisco Eureka , Port San Luis Total. Southern California (No. 27): Los Angeles San Diego Calexico Tia Juana Campo Andrade Total. South Carolina (No. 16): Charleston Beaufort Georgetown 149 Total. St. Lawrence (No. 7): Ogdensburg , Rouses Point Malone , Fort Covington Plattsburg Champlain Chateaugay. , Mooers.....: ,. Cape Vincent Alexandria Bay Clayton , Nyando Morristown Waddiagton Hogansburg Trout River Massena LouisvUle Lisbon Cannons Corners Thousand Island Park. 16,463.92 13,283.22 25,960.95 176,017.61 106,957.42 6,834.34 1,505.88 333.51 2,309.62 1,797.91 10,188.12 504.96 2,97L80 38,753.25 793.87 884.73 715.97 1,020.24 '301.01 47.36 167.49 113.28 2L83 30,804.22 16,366.28 14,579.64 3,53L33 600.60 429.00 704.70 1,203.84 3,838.17 1,685.78 1,438.90 3,133.43 2,318.82 718.58 778.30 645.70 300.80 639.75 330.65 126.20 276.00 Total. St. Louis (No. 45): St. Louis .., Kansas City St. Joseph Cairo , 25,900 378,20L15 84,450.69 5,667 6,041 470 719,544;16 203,697.62 92,458.31 62,412.39 38,254.47 2,583.68 52.92 Total Tennessee (No. 43): Memphis. NashvUle Chattanooga., KiioxVUle 12,178 1,015,700.09 103,303.46 195 43 .195 24 18,016.53 3,940.48 2,656.11 1,672.91 6,780.50 1,336.64 1,106.27 1,151.50 26,286.03 10,374.91 11,198.40 4,376.12 Total.. Utah and Nevada (No. 48): Salt Lake City , 681 350 REPORT ON THE FINANCES. TABLE 0.—Statement, by districts and ports, showing total entries of merchandise, receipts, and expenses for thefiscal year ended June SO, 1917—Continued. Districts and ports. Vermont (No. 2): St. Albans Canaan.. , Alburg East Alburg... Swanton. Highgate Franklin West Berkshire. Richford . East Richford... Burlington...... Newport North Troy Derby Line Island Pond . Beecher Falls... Depot Harbor... Montreal Quebec Total., Virginia (No. 14): Norfolk and Newport News. Richmond Petersburg. Cape Charles ReedviUe Chiacoteague Total., Washiagton (No. 30): Seattle.; Tacoiha Port Townsend.., Everett Bellingham Blaiae PortAageles Northport RocheHarbor Aberdeea Anacortes Sumas Danville Friday Harbor... South Bend .. Oroville Spokane Molson Chopaka Laurier : Ferry Kalama Vancouver Prince Rupert Total., Wisconsin (No. 37): Milwaukee Green Bay Marinette.^. Racine... r La Crosse Sheboygan..... Manitowoc Sturgeon Bay.. Kenosha Kewaunee Oshkosh Mineral Point.. Total; Grand total. Entries. Receipts. Expenses. 1,370 159 90 113 105 649 4,814 29 127 5,422 2,060 687 5,790 1,382 $114,810.64 167.40 27,64L64 479.78 1,266.96 79.71 76.61 231.04 110,386.33 4.00 1,121.43 69,618.67 1,582.76 2,608.76 23,570.61 2,77L13 $32,490.03 931.00 9,050.99 . 3,945.98 2,279.10 908. 55 409. 74 845.30 12,202.16 • 38L00 1,51L47 14,889.25 2,561.65 2,705.83 17,178.73 3,825.84 1,460.00 12,046.30 3,992.00 28,562 356,417.47 123,614.92 65? 882 4,169 359,434.01 832,476.68 70,633.77 49,630.53 11,933.42 . 5,986.60 594.90 472. 50 180.00 5,708 1,262,544.46 68,797.95 32,727 8,042 34 94 215' 3,308 153 570 6 3 138 1,677 53 186 1,730,224.89 688,946.64 6,778.39 3,437.21 3,629.78 76,374.29 8,652.42 1,547.73 175.06 11,741. 71 2,657.99 33,965.71 1,554.10 1,569.38 196.73 360.63 14,77L33 612.17 445.54 1,297.90 426.33 4.50 38.00 129,409 42 34,750.94 2,57L45 1,742.65 2,917.85 8,725.11 2,890.10 2,845.45 300.00 2,37L05 1,484.50 5,914.96 1,525.55 1,129.00 369.25 1,336.90 3,532.75 1,537.20 1,278.50 • 1,555.10 1,665; 65 25.00 . 6,005.00 1,277.50 51,109 2,589,408.43 217,160.88 2,189 306,091.65 27,134.42 287.50 300.00 300.00 300.00 300.00 300.00 300.00 250.00 249.31 250.00 127.00 5,350 415 113 2,906 172 240 391 81 2,189 306, OOL 65 30,098.23 1,051,896 228,147,659.38 (,253,980.63 APPENDIX TO REPORT ON THE FINANCES 35L A.PFEISrDIX. REPORTS OE HEADS OF BUREAUS. REPOET OF THE TREASUREE. TREASURY OF THE U N I T E D STATES, WashingtoUj Octoher 15, 1917. SIR: The transactions of the Treasury of the United States for the fiscal year ended June 30, 1917, and its condition at the close of the year are presented in the following report. The ordinary receipts and disbursements, by warrants, classified for the past two years, are compared in the following table: Ordinary receipts and disbursements for thefiscal years 1916 and 1917. 1916 Account. RECEIPTS. . $213,185,845.63 Customs Internal revenues: Ordiaary , 303,486, 474.04 84,278, 302.13 Emergency revenue 56,993, 657.98 Corporation iacome tax Iadividual iacome tax . . . . 67,943, 594.63 1,887, 66L80 Lands 41,835, 788.18 Miscellaaeous Receipts of the District of Columbia...., 10,176, 740.68 1917 Increase. $225,962,393.38 $12,776,547.75 Decrease. 354,387,425.89 50,900,951.85 95,297,553.88 11,019,251.75 179,572,887.86 122,579,229.88 180,108,340.10 112,164,745.47 1,892,893.23 6,231.43 70,791,059.41 28,955,27L23 10,170,424.43 $6,316.25 1,118,182,978.18 338,401,229.36 6,316.25 Total : Deduct "moneys covered by warrant in the year subsequent to the deposit thereof. 779,788,065.07 Total Add moneys received in fiscal year but not covered by warraat 779,-391,671.31 1,117,910,097.00 338,524,741.94 6,316.25 272,881.18 264,029.43 1,118,174,126.43 338,509,573.94 8,851.75 • Net available. 396,393.76 779,664,552.49 272,881.18 123,512.58 DISBURSEMENTS. Legislative. 13,848,007.16 Executive 395,940.11 6,444,594.11 State Department 73,737,017.80 Treasury Department War Department, civU 2,217,975.56 War Department, miscellaaeous, civil. Navy Department,civil 853,768.88 Interior, civil 24,786,197.60 1,770,710.04 Post Office Department proper Postal deficiencies 5,500,000.00 Department of Agriculture 28,031,540.33 Department of Commerce 11,403,722.17 3,531,144.47 Department of Labor 10,662,463.28 Department of Justice 7,221,803.24 Independent offices .13,633,853.16 District of Columbia Total civil and miscellaneous 204,038,737.91 Military Establishment, including rivers and harbors 164,635,576.67 Naval Establishment 155,029,425.78 Indian Service 17,570,283.81 Pensions 159,302,35L20 Interest on the public debt 22,900,313.03 Deduct repayments received in fiscal year but not covered by warrant Add repayments covered by warraat in year subsequent to the deposit thereof. Total ordinary disbursements. Surplus. Deficit.. 13034 ""—n 1917 -23 15,174,101.43 1,387,797.91 6,130,081.82 84,901,906.69 2,698,441.16 8,370,989.01 981,649.66 29,249,699.03 1,920,717.41 1,326,094.27 991,857.80 11,164; 888. 89 480,465.60 8,370,989.01 - 127,880.78 4,463, SOL 43 150,.007. 37 1,555,608.62 296,806.87 316,160.63 29,587,148.95 11,700,529.04 3-847,305.10 10,576,309.48 22,690,367.21 13,803,193.93 15,468,563.97 169,340.77 243,020,237.83 44,882,166.01 314,512.29 5,500,000.00 6,153.80 5,900,666.09 431,905,891.36 267,270,314.69 257,166,437.44 102,137, OIL 66 30,598,093.55 13,027,809.74 160,318,405.66 1,016,054.46 24,742,129. 42 1,841,816.39 723,476,688.40 ,1,147,751,195.26 430,175,172.95 132,060.91 279,856.81 723,196,83L59 .1,147,619,134.35 147,795.90 5,900,666.09 430,322,968.85 5,900,666.09 279,856.81 1,296,167.31 724,492,998.90 1,147,898,99L16 423,405,992.26 55,171,553.59 29,724,864.73 1,016,310.50 353 354 REPORT ON T H E FINANCES. The total ordinary receipts and disbursements for the past 12 years may be studied in the annexed table: Fiscal year. 1906. 1907 1908 1909 1910 1911 1912 1913 1914 1915 1916 1917. .' 1 Disbi^sements. Receipts. : .. . Surplus. $594,717,942.32 $549,405,425.35 $45,312,516.97 663,125,659.92 551,705,129.04 111,420,530.88 601,060,723.27 621,102,390. 64 603,589,489.84 662,324,444.77 675,511,715.02 659, 705,391. 08 15,806,323.94 701,372, 374.99 654,137, 997.89 47,234,377.10 691,778,465.37 654,553,963.47 37,224,501.90 724, 111, 229.84 682,770,705.51 41,340,524.33 700,254,489; 71 34,418,677.00 . 734,673,166.71 730,103,591.80 692,484,445.12 724,492,998.90 55,171,553.59 779,664,552.49 1,118,174,126.43 1,147,898,991.16 T H E PANAMA Deficit. $20,041,667.37 58,734,954.93 37,619,146.68 29,724,864.75 CANAL. During the fiscal year 1917 the receipts from the Panama Canal were $6,150,668.59, while the expenses incurred amounted to $19,262,798.32. The net excess of disbursements was $13,112,129.73, which was paid out of the general fund of the Treasury. The amount expended on account of the canal and the proceeds from sales of bonds to the close of the fiscal year 1917 may be observed in the statement following: Receipts and disbursements on account of the P a n a m a Canal. amount Net amount Total amount Deduct not reimburs- reimbursable. expended. able. To June 30,1914.. Fiscalyear 1915.. Fiscal year 1916.. Fiscal year 1917.. $353,066,502.05 29,187,947.60 17,504,728.07 19,262,798.32 Total 419,021,976.04 Deduct proceeds of bonds sold. Net balance expended out of the general fund of the Treasury reimbursable from the proceeds of bonds not yet sold , $16,607,262.85 $336,459,239.20 7,574,681.30 21,613,266.30 $4,130,215.15 9,239,563.69 2,869,995.28 8,265,164.38 11,413,623.06 7,849,175.26 6,150,668.59 43,860,731.59 375,161,244.45 138,600,869.02 236,560,375.43 Total Panama Canal bonds authorized by law , Total of bonds issued to date 375,200,980.00 134,631,980.00 Balance of bonds authorized but not yet issued 240,569,000.00 EXTRAORDINARY Receipts from tolls, etc. DISBURSEMENTS. During the fiscal year 1917 extraordinary disbursements of public moneys were made under provisions of law as follows: Purchase of Danish West Indian Islands (act of Mar. 3, 1917) $25, 000, 000 Subscriptions to stock of Federal land banks (act of J u l y 17, 1916) 8, 880, 315 Purchase of obligations of foreign governments engaged i n war with t h e enemies of t h e United S t a t e s . . . : 885,000,000 Total .' 918,880,315 355 TREASURER. RECEIPTS AND DISBURSEMENTS ON ACCOUNT OF THE POST OFFICE DEPARTMENT. The Postmaster General has exclusive control of the receipts and disbursements of the Post Office Department. During the fiscal year 1917 the postal receipts deposited in the Treasury and credited to the Post Office Department were $161,707,923.13; other receipts to the amount of $234,174,638.39 were received and disbursed directly by postmasters without being deposited in the Treasury. Such disbursements .are authorized by existing law and are accounted for under the provisions of section 406 of the Kevised Statutes of.the United States. All Post Office Department warrants are issued by the Postmaster General on the Treasurer of the United States, and under department regulations they are also payable by any assistant treasurer, federal reserve bank, or regular national-bank depositary of the United States. A statement of the transactions relating to the account for the service of the Post Office Department with the Treasury during the fiscal year 1917 may be studied on page 389. TRANSACTIONS IN THE PUBLIC DEBT. The transactions in the public debt during the fiscal year 1917 were as follows: Receipts for postal savings bonds (act of June 25, 1910), $1,794,660; for retirement of national-bank notes (act of July 14, 1890), $37,293,045; for 1-year Treasury notes (act of Dec.23, 1913), $4,390,000; for certificates of indebtedness (acts of Mar. 3 and Apr. 24, 1917), $918,205,000; and for Liberty bonds (act of Apr. 24, 1917), $1,466,335,094.6.1, making a total of $2,428,017,799.61 received, while the disbursements on account of principal of matured loans and fractional currency were $18,398.75; for national-bank notes canceled and retired, $40,564,115.50; for 1-year Treasury notes, $4,390,000; and for certificates of indebtedness $632,572,268, making a total disbursement for the debt of $677,544,782.25. The net result was an excess of receipts of $1,750,473,017.36. A comparison by items for the past two fiscal years is made in the statement following: Receipts and disbursements on account ofthe public debt for 1916 and 1917. Account. 1916 1917 Increase. Decrease. BECEDPTS. Postal savings bonds Lawful moneyto retire national-bank notes 1-year Treasury notes..: Certificates of iadebtedness United States bonds (Liberty) SI,803,500.00 $1,794,660.00 $8,810.00 56,648,902.50 37,293,045.00 19,355,857.50 4,390,000.00 $4,390,000.00 918,205,OUO. 00 918,205,000.00 1,466,335,094.61 1,466,335,094.61 58,452,402.50 2,428,017,799.61 2,369,565,397.11 34,160.00 United States bonds retired. Fractional currency retired 1,743.00 1-year Treasury notes retired. Certificates of indebtedness retired . . . 24,633,010.50 National-bank notes retired.. 16,470.00 1,928.75 4,390,000.00 632,572,268.00 40,564,115.50 185.75 4,390,000.00 632,572,268.00 15,931,105.00 24,668,913.50 677,544,782.25 652,875,868.75 33,783,489.00 1,750,473,017.36 Total DISBURSEMENTS. Total. Excess of receipts.. ... - 17 690.00 356 REPORT ON THE FINANCES. I n addition to the foregoing other transactions in the public debt were made under the provisions of section 18 of the act of December 23, 1913, which authorizes exchanges for United States 2 per cent gold bonds bearing the circulation privilege, but against which no circulation is outstanding, 1-year gold notes of the United States, bearing interest at the rate of 3 per cent per annum, and 30-year 3 per cent United States gold bonds. There were received for exchange bonds as follows: Consols of 1930 Panama Canal bonds (1916-1936) Panama Canal bonds (1918-1938)..: $36,535,500 5, 502, 800 3,927, 600 45,965,900 For which there were issued in exchange at par bonds as follows: Conversion bonds 1-year Treasury notes $22, 993, 900 22^972,000 . 45,965,900 UNITED STATES PAPER CURRENCY ISSUED AND REDEEMED. The paper currency issued under the direct authority of the Government during the fiscal year 1917 attained a maximum at $2,069,826,000, an increase of $559,382,000 over that of the preceding year, while the redemptions amounted to $1,711,773,000, an increase of $718,552,900 for like period. The net excess of issues over redemptions was $358,053,000. The amount of each kind issued and redeemed during the fiscal year 1917 is stated in the table following: Trust-fund obligations. United states notes. Outstandiug June 30, 1916... Issued during fiscal year 1917 Treasury notes of 1890. Gold certificates. Net amount in circulation Total. $340,681,016 $2,103,000 $1,729,565,669 $499,451,000 $2,577,800,685 196,860,000 1,420,690,000 452,276,000 2,069,826,000 513, 541,016 2,103,000 3,150,255,669 Redeemed during fiscal year 1917....' .196,860,000. 127,000 1,055,919,000 Outstanding June 30,1917 Less amount held in Treasury Silver certificates. 951, 727,000 4,647,626,685 458,867,000 1,711,773,000 346,681,016 10, 719,778 1,976,000 2,094,336,669 492,860,000 2,935,853,685 5,922 510,100,760 15,675,158 536,501,618 385,961,238 1,970,078 i, 584,235,909 477,184,842 2,399,352,067 I n a study of the foregoing table it will be observed t h a t the United States notes issued and credited in the general account as a receipt are offset by an equal amount of worn or unfit notes in kind withdrawn therefrom, canceled, and retired, which is in accordance with the provisions of tho act qf May 31, 1878. In explanation of the manner of issuing and redeeming gold certificates, silver certificates, and Treasury notes of 1890, it may be said t h a t for certificates issued and credited in the general account an equal amount of the respective kinds of money held in the general account is transferred therefrom to, and retained in the trust funds for their, redemption; for gold 357 TREASUEER. certificates, silver certificates, and Treasury notes withdrawn from the general fund, canceled, and retired, a like amount of t h e respective coins is released from the trust funds and. brought into the general fund in their stead.' THE PUBLIC DEBT, 1916 AND 1917. The principal of the interest-bearing debt at the close of the fiscal year 1917 was $2,712,549,476.61, an increase of $1,740,986,886.61. The debt bearing no interest amounted to $416,048,133.91, an increase of $9,486,130.75. The public debt, by items, for the fiscal years 1916 and 1917 is compared in the statement following: Title of loan. Rate. Percent. 2 3 4 2 3 3 Interest-bearing debt: Consols of 1930 Loan of 1908-1918 Loan of 1925 Panama Canal loan Do Conversion bonds 1-year Treasury notes , 3 Postal-savings bonds Certificates of indebtedness 3 Do Liberty Loan of 1917 H 3^ When payable. Outstanding June 30,1916. Outstanding June 30,1917. After Apr. 1,1930 After Aug. 1,1908 Feb. 1,1925 Aug. 1,1936 June 1,1961 30 years from date Of issue. 1 year from date of issue. 20 years from date of issue. June 30,1917,.and July 17,1917. July 30,1917 Dec. 15,1947 $636,259,550.00 63,945,460.00 118,489,900.00 84,331,980.00 50,000,000.00 5,900,600.00 $599,724,050.00 63,945,460.00 118,489,900.00 74,901,580.00 50,000,000.00 28,894,500.00 4,390,000.00 27,362,000.00 Total Debt bearing no interest: Matured loans. Old demand notes United States notes National-ban Ir notes Fractional currency. Total Aggregate On demand do do do. . ".[dor:; : : : : . 8,245,100.00 10,039,760.00 61,306,032.00 211,551,100.00 1,466,335,094.61 971,562,590.00 2,712,549,476.61 ,1,473,100.26 53,152.50 346,681,016.00 51,506,237.50 6,848,496.90 14,232,230.26 53,152.50 346,681,016.00 48,235,167.00 6,846,568.15 406,562,003.16 416,048,133.91 1,378,124,593.16 3,128,597,610.52 PAYMENT OF INTEREST ON THE REGISTERED BONDS OF THE UNITED STATES. The interest on registered bonds of the United States is paid by checks prepared and mailed from the office of the Secretary of the Treasury. Such checks bear a certificate as to the principal of bonds registered in the name of the payee, over the facsimile signature of the Chief of the Division of Loans and Currency; they also bear the facsimile signature of the Secretary of the Treasury, and are countersigned by a clerk in his oflGice. These checks are drawn on the Treasurer of the United States, b u t are payable by any'assistant treasurer, Federal reserve bank, or regular natiorial bank depositary of the United States, and the amount so disbursed is included in the requisition for reimbursement made by the Treasurer at the end of each month. The paid checks are sent to the Register of the Treasury for an administrative examination, who in turn forwards them to the Auditor for the Treasury Department. There were 134,044 checks drawn during the fiscalyear 1917, amounting to $21,047,373.07 358 REPORT' Oisr TI-IE } ? I 1 T A N C E S . THE RESERVE FUND. The transactions in the reserve fund represent more truly exchanges to secure an accommodation of denominations than presentations to obtain gold. The redemptions from the reserve fund during the fiscal year 1917 were, in United States notes, $38,555,910. The redeemed notes were, under the provisions of the act of March 14, 1900, immediately exchanged for gold, and thereby the reserve was maintained in volume and character. STATEMENT OF THE TREASURY OF THE UNITED STATES. At the close of the fiscal year 1917 the Treasury holdings of moneys amounted to $4,528,460,906.27, and from the revised figures of the several funds it. was set apart as follows: RESERVE FUND. Gold coin and bullion...'. $152, 979, 025. 63 TRUST F U N D S . [Held for redemption of the notes and certificates for which they are respectively pledged.] cGold coin and b u l l i o n . . . $1, 584, 235, 909 Silver dollars 477,184, 842 Silver dollars of 1 8 9 0 . . . . 1,970,078 Gold certificates oiitstanding. $2, 094, 336, 669 Less amount in the Treasury : 510,100,760 Net : 1,584,235,909 Silver certificates outstanding Less amount in the Treasury 492,860, 000 Net • Treasury notes (1890) outstanding Less amount in the Treasury Total 2,063,390,829 15, 675,158 477,184, 842 1, 976, 000 5,922 Net--. 1,970,073 Total 2, 063, 390, 829' GOLD SETTLEMENT F U N D , F E D E R A L R E S E R V E B O A R D . Gold coin $526, 295, 000 The items composing the general fund are subdivided; the first part shows the amount of each kind of available cash actually held in the" vaults of Treasury oflices, after setting out from the assets the appropriate kinds of money to meet the requirements of the reserve fund, trust funds, and gold settlement fund, foUowed by the amounts of public moneys in Federal reserve banks, nationa.1 banks, and other depositaries to the credit of the Treasurer of the United States and of disbursing oflS.cers; the second part shows the current demands against the same, and finally the net balance in the general fund. The assets in the general fund in the Treasury on June 30, 1917, and the demand liabilities outstanding; on that date were as follows: TREASURER. In Treasury offices: Goldcoin Standard silver dollars.. United States notes Federal-reserve notes Federal-reserve bank notes National-banknotes 1 Certified checks on banks Subsidiary silver coin Mmor coin Silver bullion (at cost) Unclassified (unassorted currency, etc.) Interest on public debt paid '. $61,962,101.24 17,289,218.00 10,719,778.00 2,995,185.00 96,455.00 1,977,740.00 11,143.43 4,422,621.83 1 1,274,091.54 • 5,797,879.49 1,095,744.13 20,994.41 In Federal reserve banks Intransit 299,871,632.42 800,000.00 359 $107,662,952.07 300,671,632.42 In special depositaries— Accoimt of sales of certificates of indebtedness . . . 152,763,000.00 Liberty loan deposits 631,159,759.51 I n national-bank depositaries: 783,922,759.51 To credit of Treasurer of the United States 30,873,789.79 To credit of other Government officers 8,521,860.45 Intransit 10,286,088.67 In treasury of Philippine Islands: 49,681,738.91 To credit of Treasurer of the United States 170,018.86 To credit of other Government officers 1,911,390.90 . 2,081,409.76 Deduct cm-rent habilities: $1,244,020,492.67 National-bank notes (5 per cent fund) 26,787,263.22 Less notes in process of redemption 15,993,718.97 10,793,544.25 Treasurer's checks outstanding 2,082,567.92 Post Office Department balances 21,552,570.29 Board of trustees. Postal Savings System balance 5,743,856.70 Balance to credit of postmasters, clerks of courts, etc 20,484,304.31 Undistributed assets of insolvent national banks 2,165,902.90 Deposits for— Redemption of Federal-reserve notes (5 per cent fund) 32,928,566.29 Redemption of Federal-reserve bank notes (5 per cent fund) 500,000.00 . Retirement of additional circulating notes (act of May 30,1908).. 2,359,585.00 Miscellaneous redemption accounts 25,645,063.33 124,255,960.99 Balance in Treasury— Held for Treasury warrants outstanding 4,137,066.55 To credit of disbursmg officers 148,380,341.65 Subject to warrant of the Secretary of the Treasury 967,247,123.48 1,119,764,531.68 Balance in general fund subject to warrant June 30, 1916 , Balance in general fund subject to warrant June 30, 1917 •Net increase : 178,491,415.58 967,217,123.48 788,755,707.90 AVAILABLE CASH BALANCE. At the close of'the fiscal year 1917 the available cash balance in the general fund subject to warrant was $967,247,123.48, anincrease of $788,755,707.90 as compared with that of the preceding year. This increase is verified by the net results in all accounts of receipts and disbursements shown on previous pages of this report, which are brought together here: Available cash balance J u n e 30, 1916 $178,491,415. 58 A d d : Excess of public debt receipts over disbursements for -1917 (see p . 9) $1, 750,473,017.36 Deduct: Extraordinary disbursements for 1917 (see p . 354). $918, 880, 315.00 Excess of ordinary dis• . bursements over ordinary reiceipts for 1917 ( s e e p . 353): 29,724,864.73 Excess of Panama Canal disbursements over receipts forl917 (seep. 3 5 4 ) . . . . . . 13,112,129.73 961,717,309.46 —: 788,755,707.90 Available cash balance J u n e 30, 1917 967, 247,123.48 360 REPORT ON T H E FINANCES'. The balance in the Treasury at the end of each month from January, 1910, is stated in Table No. 17, page 413, of the appendix, and for July 1 in each year since 1910 in the following statement: Available cash balance (including the reserve fund) on the dates named. Available cash balance. Dates. July July July July July July July July 1,1910 1,1911 1, 1912 1,1913 1,1914 1, 1915 1, 1916 1,1917 R e s e r v e fund. General fund. $150,000, 000.00 150,000, 000.00 150,000, 000.00 150,000, 000.00 150,000, 000.00 152,977, 036.63 152,979, 025.63 152,979; 025.63 $106,894, 675.67 140,176' 926.13 167,152; 478.99 165,960, 984.79 161,612, 615.53 104,170; 105. 78 178,491 415.58 967,247^ 123.48 Total. $256,894,675.67 290,176,926.13 317,152,478.99 315,960,984.79 311,612,615.53 257,147,142.41 331,470,441.21 1,120,226,149.11 GOLD IN THE TREASURY. The accumulation of gold in the Treasury was continuous from the begiiming of the fiscal year 1917 to April 11, 1917, when it attained a maximum at $2,445,875,313.94. During the remainder of the year withdrawals of the precious metal gradually reduced the Treasurv holdings to $2,325,472,035.87 on June 30, 1917. The imports 01 gold during the fiscal year were $977,176,026, the exports $291,921,225, and the excess of imports $685,254,801. The total amount of gold in the Treasury on July 1 in each year from 1910, set apart for the respective uses, is shown in the statement following: Gold in the Treasury. Reserve. . Dates. July 1,1910 J u l y l , 1911.. July 1,1912 J u l y l , 1913 J u l y l , 1914 J u l y l , 1915 J u l y l , 1916 J u l y l , 1917 $150,000,000.00 150,000,000.00 150,000,000.00 150,000,000.00 150,000,000.00 152,977,036.63 152,979,025.63 152,979,025.63 For certificates in circulation. Gold settlement fund. Federal Reserve Board. $802,754,199.00 930,367,929.00 943,435,618.00 1,003,997,709.00 1,026,149,139.00 ^ 1,135,213,619.00 1,565,400,289.00 1,584,235,909.00 $526,295,000.00 General fund (belonging to Treasury). Total-. $92,411,286.24 $1,045,165,485.24 83,533,254.56 1,163,901,183.56 114,028,646.22 1,207,464,264.22 108,363,326.87 1,262,361,035.87 102,962,970.70 1,279,112,109.70 94,769,333.55 1,382,959,989.18 85,114,618.20 1,803,493,932.83 61,962,101.24 2,325,472,035.87 BONDS HELD AS SECURITY FOR NATIONAL BANKS. The Treasurer of the United States held in trust at the close of the fiscal year 1917 United States bonds to the amount of $671,333,060 as security for the circulating notes of national banks, a decrease of $19,107,870 as compared with that of 12 months earlier. The securities pledged for the safekeeping of public deposits in the depositary banks amounted to $43,054,350. - The kinds of bonds in the custody of the Treasurer and the changes therein during the fiscal year 1917 ai;e recorded in the table following : TREASUREB,. 361 Bonds heldfor national banks, close of June, 1916 and 1917, and changes dming 1917. Transactions during 1917. Kind of bonds. Rate. Held June ,30,1916. Held June 30,1917. Deposited. Withdrawn. $26,359,900 16,071,320 569,557,050 50,625,020 27,827,640 $5,915,500 3,316,980 15,170,750 1,439,000 329,700 $2,404,200 3,001,700 31,014,200 5,505,200 3,354,500. $29,871,200 16,386,600 553,713,000 46,558,820 , 24,802,840 690,440,930 26,171,930 45,279,800 671,333,060 132,000 452,000 2,302,100 TO S E C U R E CIRCULATION. United United United United United States loan of 1925 States loan of 1908-1918 "States consols bf 1930 States Panama, 1936 States Panama, 1938. Total Per ct. 4 3 2 2 2 . . TO SECURE PUBLIC DEPOSITS. Held by the Treasurer of the United States: United States loan of 1925 United States certificates of indebtedness United States loan of 1908-1918.... United States Panama, 1961 United States conversions of 1946. United States consols of 1930 United States Panama, 1936 United States Panama, 1938 Philippine loans : Porto Rico loans District of Columbia Territory of Hawaii Phdlippine Railway Manila Railway MiscellaTieons,Total 4 3,3i 3 3 3 2 2 2 4 4 3.65 (1) 4 4 (1) 2,622,100 9,388,250 975,500 482,000 3,753,000 1,220,000 455,000 984,000 196,000 10,000 .7,989,800 546,000 196,000 399,000 735,000 586,000 28,000 20,000 468,000 92,000 25,000 268,000 1,046,600 161,000 120,000 79,000 62,000 125,000 230,000 3,967,500 3,734,900 546,000 3,335,700 10,786,000 > 735,000 8,927,650 842,500 382,000 4,142,000 1,250,000 355,000 1,022,000 196,000 10,000 8,222,400 42,674,350 7,462,500 7,082,500 43,054,350 3,659,700 10,939,000 520,000 552,000 1 Various. BONDS HELD TO SECURE CIRCULATION ISSUED BY FEDERAL RESERVE BANKS. Bonds held for Federal reserve banlcs, close of June, 1916 and 1917, and changes during 1917. Transactions during 1917. .Kind of bonds. United United United United States 2 per cent loan of 1930 States Panama, loan of 1916 States Panama, loan of 1918. States 4 per cent, loan of 1925 Total Held June 30,1916. • Deposited. Withdrawn. $9,332,800 554,500 493,000 $1,155,000 20,000 10,380,300 2,000,000 825,666 Held June 30,1917. $1,530,300 510,000 338,000 $8,957,500 62,500 155,000 825,000 2,380,300 10,000,000 BONDS HELD AS SECURITY FOR POSTAL-SAVINGS FUNDS. At the close of the fiscal year 1917 the Treasurer of the United States held in trust, under the provisions of the act of June 25, 1910, bonds and securities amounting to $169,987,745.12 as security for postal-savings funds deposi«ted in designated depositaries. 362 REPORT ON T H E FINANCES. The kinds of securities held and the changes therein during the year may be studied in the annexed table: Bonds held as security for postal savings funds, close of June, 1916 and 1917, and changes during 1917. Transactions during 1917. Kind of bonds. Umted States loan of 1925 , United States certificates of indebtedness United States loan of 1908-1918 United States Panama, 1961 United States conversions of 1946 1-year Treasury notes , United States postal savings United States consols of 1930 United States Panama, 1936 United States Panama, 1938 Philippine loans Porto Rico loans. District of Columbia Territory of Hawaii State loans Municipal loans County loans Misceiianeous Total. Rate. Per ct. 4 3,3i 3 3 3 3 2h 2 2 2 4 4 3.65 (0 (1) (0 (1) Held June 30,1916. Held June 30,1917. Deposited. Withdrawn. $122,000.00 $679,000.00 $743,900.00 2,360,000.00 285,000.00 880,920.00 188,700.00 151,600.00 3,236,000.00 432,000.00 239,400.00 321,000.00 3,000.00 64,000.00 64,000.00 1,000.00 1,000.00 1, 000.00 280,500.00 661,500.00 1,463, 100.00 30,000.00 25,000.00 125, 500.00 23,000.00 7,500.00 53, OOO.OO 219,000.00 2,650; 000.00 1,925,000.00 265,000.00 303,000.00 2,114, 000.00 20,000.00 111, 500.00 489,500.00 520,000.00 1,640, 800.00 17,242, 902.00 11,304,350.00 2,072,002.00 59,620, 980.40 47,533,935.41 15,820,341.44 10,067, 750.00 9,420,346.75 1,585,420.00 10,891, 225.00 7,744,069.00 1,259,470.00 2,075,000.00 918,020.00 3,428,600.00 318,000.00 $1,300,900.00 000.00 100.00 130, .500.00 500.00 68, 4,356, 000.00 2,076, 000. OO91, SOO. 00 1,610 300.00 26,475' 250.00 91,334 574.37 17,902! 676.75 17,375: 824.00 111,399,577.40 82,504,401.16 23,916,233.44 169,987,745.12 1 Various. The board of trustees of the Postal Savings System will accept as security for postal savings deposits, at the respective values herein fixed, negotiable interest-bearing bonds or securities of the following classes, viz: {a) Bonds and interest-bearing certificates of indebtedness of the United States, bonds of the Philippine Islands, of the District of Columbia, and of Porto Rico, and Farm-Loan bonds authorized by act of Congress approved July 17, 1916 (39 Stat., 360), will be accepted at their par value. (6) Bonds of any State of the United States and of the Territory of Hawaii will be accepted at their market value, but if such market value is above par they will be accepted at their par value. (c) Bonds of any city in the United States having a population of over 30,000, as shown by the latest annual report of the Bureau of Census, entitled ^^ Official Statistics of Cities having a Population of over Thirty Thousand,^^ which has been in existence for a period of 10 years, which for a period of 10 years previously has not defaulted in the payment of any part of either principal or interest of any funded debt authorizeci to be contracted by it, and whose net funded indebtedness does not exceed 10 per cent of the valuation of its taxable property, to be ascertained by the last preceding valuation for the assessment of taxes, will be accepted at 90 per cent of their market value, but if such market value is above par, they will be accepted at 90 per cent of their par value. {d) Bonds of any other city, town, county, or other legally constituted municipality or district in the United States, which has been in existence ior a period of 10 years, which' for a period of 10 years previously has not defaulted in the payment of any part of either TRllASURER. 363 or interest of any funded debt authorized to be contracted E01rincipal y it, and whose net funded indeUedness does not exceed 10 per cent the valuation of its taxable property, to be ascertained by the last prececiing valuation for the assessment of taxes, will be accepted a t 75 per cent of their market value, b u t if such market value is aboye par, they will be accepted at 75 per cent of their par value. Bonds of the several classes described in paragraphs (&), (c), and (d), to be acceptable as security, shall be the general obligations of the States, Territories, counties, cities, towns, or other political divisions by or in behalf of which they are issued, and payable, either directly or ultimately, without limitation to a special fund, from the proceeds of taxes levied upon all the taxable real and personal property within the territorial limits of such political divisions. The term '^ net funded indebtedness,'^ for the purposes of paragraphs ,(c) and (d), is hereby defined to be the difference between the legal gross indebtedness of a city, town, county, or other municipality (including the amount of any school district or other bonds which depend for their redemption upon taxes levied upon property within the municipahty) and the aggregate of the following items: (1) The total of all sinking funds accumulated for the redemption of such gross indebtedness, except sinking funds applicable to bonds hereafter described in this section. (2) The amount of outstanding bonds or other debt obligations made payable from current revenues. (3) The amount of outstanding bonds issued for the purpose of providing the inhabitants of a municipality with public utilities, including the supplying of water or the construction of subways and tunnels for railways: Provided, That evidence is submitted showing that the income from such utilities is sufficient for maintenance, for payment of interest on such bonds, and for the accumulation of a sinking fund for their redemption. (4) The amount of outstanding improvement bonds, issued under laws which provide for the levying of special assessments against abutting property in sufficient amounts to insure the payment of interest on the bonds and the redemption thereof: Provided, That such bonds are direct obligations of the municipality and included in the gross indebtedness of the municipality. (5) The amount of outstanding bonds issued by a political subdivision, funds for the payment of which are donated b y the State: Provided, That evidence is submitted showing that such funds are sufficient in amount to insure the payment of interest on the bonds and the principal thereof at raaturity. Obligations of the general class embracing what' are commonly known as '^revenue bonds,'^ '^ temporary bonds,'^ " temporary iiotes,^^ ^^certificates of indebtedness,'^ "warrants,'^ and the like obligations, whether issued in anticipation of the collection of taxes, assessments, or other revenues, or of the sale of bonds or other obligations, or for similar purposes, will not be accepted as security for postal savings deposits: Provided, That, in applying this regulation, consideration will be given to the legal status of the obligations submitted rather than to the nomenclature employed in designating such obligations: * And provided further, That this regulation shall not apply to obligations of the United States Government. 364 REPORT ON THE PINANCES. Bonds which in all other respects are found to be legally acceptable as security under the postal savings act, and these regulations will be construed, as a matter of law, to coniorm to those provisions of section 8, paragraphs (c) and (cZ), respectively, which relate to term of existence and nondef ault, under the following conditions: (1) Bonds issued by or in behalf of any city, town, county, or other legally constituted municipality or district in the United States which was, subsequently to the issuance of such bonds, consolidated with, or merged into, an existing political division which meets the requirements of these-regulations, will be deemed to be the bonds of such political division: Provided, That such bonds were assumed by such polifical division under statutes and appropriate proceedings the effect of which is to make such bonds general obligations of such assuming political division, and payable, either directly or ultimately, without limitation to a special fund, from the proceeds of taxes levied upon all the taxable real and personal property within its territorial limits. (2) Bonds issued by or in behalf