The decrease in the available cash balance is verified by the recapitulation following, which includes the net results of all accounts of receipts and disbursements exhibited on previous pages: Available cash balance June 30, 1909.... Deduct Excess of Panama Canal disbursements over receipts for 1910 (see p. 130)..... $126, 375, 428. 10 15, 806, 323. 94 142, 181, 752. 04 $33, 911, 673. 37 Excess of public-debt disbursements over receipts for 1910 (see p. 131).. 1, 375, 403. 00 35, 287, 076. 37 Available cash balance June 30, 1910....... 106,894, 675. 67 AVAILABLE CASH BALANCE. The efforts of the Department to meet the continuing outlay for construction of the Panama Canal from the ordinary receipts of the Government during the past fiscal year resulted in reducing the balance in the general fund in the Treasury by January 25, 1910, to $77,085,536.92, the smallest amount held for many years. Improved financial conditions in the later months carried the balance upward, and at the close of the year it was $106,894,675.67, a net decrease of $19,480,752.43 as compared with that of the preceding year. The monthly disbursements of the Government are of such magnitude that forethought prompts the accumulation of a working balance in available cash in the vaults of the Treasury of at least $40,000,000. Such a balance should provide for emergencies in the event of an unfavorable change in financial conditions. The balance in the Treasury at the end of each month from January, 1904, is stated in Table No. 31, page 201 of the appendix, and for July 1 in each year since 1900 in the annexed statement: AVAILABLE CASH BALANCE (INCLUDING THE RESERVE FUND), FROM THE REVISED STATEMENTS, ON THE DATES NAMED. The Treasury holdings of gold amounted to $1,045,165,485.24 at the close of the fiscal year 1910, not the maximum in our annals, however, but more than is held under single control elsewhere in the world. The total amount of gold in the Treasury on July 1 in each year from 1900, set apart for the respective uses, is recorded in the statement following: BONDS HELD AS SECURITY FOR NATIONAL BANKS. The United States bonds pledged as security for the circulating notes of national banks assumed a growth of $26,285,810 during the past fiscal year, and at its close amounted to $686,974,880. The bonds pledged to secure the public deposits in national banks amounted to $51,774,700 on June 30, 1910. The transactions relative to deposits and withdrawals of bonds to secure circulation and deposits during the fiscal year 1910 may be observed in the table following: BONDS HELD For National BANKS, CLOSE of June, 1909 and 1910, and Changes DURING 1910. BONDS HELD FOR NATIONAL BANKS, CLOSE OF JUNE, 1909 AND 1910, AND CHANGES DURING 1910-Continued. WITHDRAWAL OF BONDS TO SECURE CIRCULATION. The act of March 4, 1907, limited the deposits of lawful money for the retirement of national-bank circulation to $9,000,000 per month. This limit was not reached in any month during the last fiscal year, as may be seen in Table No. 62, page 233, of this report. NATIONAL BANKS DESIGNATED AS DEPOSITARIES OF THE UNITED STATES. The Secretary of the Treasury determines the number of such depositaries, the amount of public money required in each for the transaction of the public business, fixes the amount of balances they may hold, and requires the banks thus designated to give satisfactory security, by the deposit of United States bonds and otherwise, for the safe-keeping and prompt payment of the public money deposited with them, and for the faithful performance of their duties as financial agents of the Government. The regular depositaries receive and disburse the public moneys, and are required to pay interest at the rate of 1 per cent per annum on the average monthly amount of public deposits held in excess of the sum needed for the transaction of the public business, while the special depositaries hold only the moneys transferred to them from the Treasury. They pay interest at the same rate on the average monthly amount of public deposits held. The number of national-bank depositaries at the close of the fiscal years 1909 and 1910 is given in the statement following: CLASSIFICATION OF DEPOSITARIES, BY STATES AND SECTIONS, AMOUNT OF PUBLIC MONEYS THEREIN, AND AMOUNT OF BONDS ON DEPOSIT JUNE 30, 1910. a The excess of public moneys in banks over the amount of bonds pledged therefor was caused by heavy deposits of corporation taxes late on the last day of June, the transfer of which could not be effected by the banks until the following day. |