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The Commoner.
JULY 4 1913
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Democratic Caucus Proceedings
Following are Associated Press dispatches:
Washington, June 25. Free sugar in 1916 and
free raw wool now are established in the tariff
revision bill, having been approved late today
by the democratic caucus of the senate after a
two days' fight. The sugar schedule, as re
ported by the majority members of the finance
committee and practically as it loft the house,
was approved by a vote of 40 to 6. Free raw
wool as submitted by the majority and jusf as
it passed the house swept the senate caucus by
a vote of 41 to G. This ratification of Presi
dent Wilson's tariff policy, he having insisted
upon the wool and sugar propositions before
the ways and means committee in the beginning,
came after a long series of developments since
the tariff bill passed the house, in which the
president has been an active participant. When
the fight of the anti-free sugar and anti-free
wool democrats was getting hot, the president
issued a public statement declaring that any
suggestion of compromise on his wool and sugar
schedule ideas absolutely was out of the ques
tion, and later he stirred all administration
leaders to action when he made his charge
about the existence in Washington of an "in
sidious lobby," investigation of which has
brought results regarded as favorable to the
tariff bill.
The six democratic senators who voted
against free sugar on the final vote approving
the schedule were: Hitchcock of Nebraska,
Newlands of Nevada, Ransdell and Thornton of
Louisiana, Shafroth of Colorado and Walsh of
Montana. The six who opposed free raw wool
to the end were: Chamberlain of Oregon, New
lands of Nevada, Ransdell and Thornton of
Louisiana, Shafroth of Colorado and Walsh of
Montana. .
No attempt was made in the caucus today to
bind the members to the action of the caucus.
The question will come up when the entire bill
has been passed upon. Some members will fight
it, but administration leaders said tonight they
believed only the two Louisiana 'senators would
ask to be released from the caucus pledge if
one is submitted. The geiieral opi&ion is that
a binding resolution will be offered.
Approval of the schedules came after pro
longed discussion and after several amendments
had been voted down. On some of the amend
ments the opposition showed little strength, the
maximum being ten votes for Senator Shafroth's
amendment to the sugar schedule. This would
have eliminated free sugar and substituted a
duty of approximately one-half cent a pound on
refined sugar. This amendment was lost by a
vote of 37 to 10, Senators Thompson, Chamber
lain, Hitchcock, Newlands, Shafroth, Lane,
Ransdell, Thornton, Tillman and Walsh vot
ing for it.
When this had been lost Senator Thompson of
Kansas offered an amendment to retain the
Underwood rate for .three years, reducing 50
per cent in 191G and 25 per cent each suc
ceeding year until it reached the free list.
Senators Chamberlain, Fletcher, Hitchcock,
Newlands, Shafroth, Tillman, Thompson and
Walsh supported this amendment. The amend
ment offered by Senator Thornton to eliminate
the free sugar provision and maintain the
Underwood rates indefinitely was supported only
by Senators Ransdell and Thornton,
Senator Walsh offered the amendment to the
wool schedule, proposing a duty of 15 per cent
duty ad valorem on first class wools and that
wools of the second and third class such as car
pet and clothing would be free. This was de
feated, 39 to 7, senators voting- for it being
Chamberlain, Newlands, Shafroth, Thompson,
Thornton and Walsh. Three senators were ab
sent, Culberson, Owen and Lewis.
Senators Ransdell, Thompson, Newlands,
Thornton, Lane and Shafroth took up most of
the time for the opposition, while the chief
administration defenders were Senators James,
Thomas and Pomerene.
When sugar and wool had been disposed of,
the caucus ratified the committee amendment
placing hair of the Angora goat on the free list.
Consideration of the agricultural schedule
then was resumed and a dispute at once arose
over the committee amendment putting a coun
tervailing duty on wheat and flour. As the dis
cussion developed the opposition grew and de
cision of the question went over until tomorrow,
bome democrats asserted following the adjourn
ment that the countervailing duty would bo
stricken off, leaving wheat and flour on the un
restricted free list on a parity with cattlo and
meats.
Senator Ransdell did not openly dcclaro ho
would bolt the caucus, but made It plain ho
would fight the bill on the floor unless a chango
wore made in sugar. Other senators thought
it practically certain that neither Senators
Ransdell nor Thornton would remain in tho
caucus if a binding resolution wero presented.
Senator Thomas spoke at length In favor of
free sugar and freo wool.
Senator Newlands, opposed to freo sugar at
this time, argued for a more gradual reduction
in all tariffs.
Two far-reaching amendments to tho adminis
trative provisions of tho tariff bill aroused op
position in tho democratic senate caucus today.
One was that prohibiting importation of any
goods, except immediate products of agriculturo,
forests and fisheries, wholly or In part manu
factured by children under fourteon years old.
That provision was declared by many senators
to be the most drastic protective measure any
manufacturer could ask for greater as a pro
tection against foreign competition than high
tariff rates.
The amendment to grant to tho United States
court of appeals concurrent jurisdiction in cus
toms cases, involving more than ?100 with tho
customs court, also aroused attention. Some
democrats thought tho proposal an entering
wedge toward elimination of the customs court.
Washington, June 23. House democrats in
caucus today agreed upon the abolition of tho
commerce court as. a party policy and, turning
deaf ears to pleas from their leaders, rejected
a plan for tho creation of a budget commltteo
to control appropriations. Representative
Broussard of Louisiana, champion of tho com
merce court, precipitated caucus action on tho
mooted question by offering a resolution to
authorize hearings of the Sims bill to abolish
the court. Speaker Clark denounced tho tri
bunal as useless and expensive, and Represen
tative Adamson of Georgia, chairman of tho
interstate commerce commltteo, offered a reso
lution, declaring it to bo tho sense of the caucus
that the court be abolished at the present ses
sion, due care being taken to protect and provide
for jurisdiction over pending and future litiga
tion. The resolution was adopted by viva voce
vote.
Democratic Leader Underwood led the fight
for the budget plan and had tho support of
Speaker Clark, Representative Fitzgerald, chair
man of the appropriations committee, and other
powerful house leaders. Mr. Underwood de
clared that appropriations were running beyond
bounds under tho present system and urged re
form through a committee on "estimates and
expenditures" with control over all appropria
tions and power to fix tho maximum for each
session of congress. This practically was tho
plan originally advocated by Representative
Shirley of Kentucky.
Opposition to the proposition developed im
mediately, led by Representative Hardwick of
Georgia. Representative Tribble insisted that
a budget committee centralizing control of ap
propriations among committee chairmen and
other ranking members would constitute tho
most gigantic trust ever formed. Mr. Hard
wick's resolution to lay tho plan on the table
was carried, 95 to 80.
A CURRENCY TRIMER
Representative Stanley Bowdlo of Ohio, has
prepared for the United Press tho following
currency primer:
"Suppose I had a big coal mine located right
on a big railroad. I might suppose that this
was real wealth to mo and great good to the
city over there. But wait a minute this mine
is nothing to me and nothing to that city unless
I-can get at proper times and in proper number
the necessary freight cars from the railroad. A
working mine plus cars, is wealth for every
body. A working mine minus freight cars, is
bankruptcy. Do you get it?
"Now suppose the men managing that rail
road conspire to create a car shortage at any
mine, where am I? Why, I'm up against it.
I'm ruined. And I'm ruined long before tho
law can offer me any redress. Many a mine
owner has met ruin that way.
"Now, then, money is the car that gets our
product to market. No matter what we havo
had on our shelves, or in our factories we aro
powerless without dollars. Dollars onablo us
to roach, the market They aro tho medium
which convoys our valuos to men. A money
shortage la precisely Hko a car shortage at the
mine.
"A few railroad men, just a littlo whllo ago,
had powor to do Just as thoy pleased. But thoy
woro exposed and now tho Interstate commorce
commission Is In command In many ways. The
railroad Dick Turplns havo not the power that
they used to have.
"This government, as regards currency, is
confronted with precisely tho samo conditions.
"Tho quostlon Is, how shall wo stop theso men
who have power to stop tho flow of curroncy
hero or there? Tho trouble Is not with tho coal
In tho mlno nor with the goods In tho factory.
Tho trouble Is with tho men who now control
the car 'dollars' to take tho goods to the market,
"In 1907 wo had a money shortage In this
country. Men who had good money In banks
got back deposit certificates for Immcdlato uao.
Tho monoy had apparently evaporated. Of
course, some banks actually had It. But tlfoso
banks had created a panic and tho smallor
banks wero as much up against It as wero their
depositors. This condition may bo created again
at any time.
"This administration claims that no man, or
set of men, should havo bucIi powor. Such
power is simply tho power flually to enslavo
this race. Tho problem Is to free men from
tho power to create a money shortage."
A BIRD'S EYE VIEW
Declaring that explanations of tho curroncy
havo not been simple enough to acquaint the
common people of the exact way In which its
provisions will affect him, Representative
Bulkley of Ohio, veteran democrat of the
house banking commltteo gave to tho United
Press a "bird's eyo view" of tho Wllson-GUstf
measure. No said ho desired that tho "man
In the overalls" as well as tho bankers and
financiers bo advised what effect tho bill will
havo. Bulkley's "simplified" exposition of tho
bill follows:
"The Wilson-Glass bill will free tho cur
rency and the credits of tho country from tho
domination of any business group; place tho
reserves of our banks where they will do tho
most good; prevent the piling up of tho coun
try banks' resources In Wall street to support
stock exchange operations; provide a safe and
sound government currency adequate In volume
to the needs of the country's business, and
make it possible for the small business man to
obtain through competition such credit accom
modation as his business and character merit.
"The problem Is not an easy one and financial
sharps have been puzzled for years to sug
gest tho sort of reform that Is needed In our
banking and curroncy laws. The Aldrich mone
tary commission worked two years trying to
solvo tho problem and failed. But tho present
bill meets with general favor and bids fair to
be favorably reported from our commltteo after
all details shall havo been thoroughly threshed
over and passed within tho next few weeks,
"Tho Glass bill provides for elasticity of
currency, mobilization of reserves and govern
ment 'control of the nation's financial affairs.
"What will be its effect?
"First, there will bo fower financial panics.
No manipulation of tho money market to create
artificial stringency will be possible, because
interest rates, volume of currency and exten
sions of credit will all bo controlled in the
interest of tho public by a government board.
There will be no ground for tho fear and dis
trust which sometimes brings on panics, bo
cause every one will know that enough currency
and enough credit will always bo available to
meet all legitimate needs.
"The working man will always get his pay
In government currency as good as gold and
will not be asked to accept clearing house checks
or other substitutes, because employers will
always be able to got tho currency which their
business justifies.
"Tho small business man will be able to bor
row at a lower rate, and to secure more adequate
accommodations because tho braks will feel
more freo to invest In tho commercial paper of
their local communities, knowing that they caa
immediately realize on this paper by re-discounting
whenever they need to do so."
A BARGAIN OFFER
A limited number of broken sets of Com
moner Condensed will be closed out at a special'
low price for quick sale. See offer on page 16.
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