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And for the three years since the arrears limitation (July 1, 1880) to July 1, 1883, the average number filed annually was:

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To estimate the number of claims which would be filed during the operation of another arrears act is mere conjecture, but here with I state with some uncertainty the probable number which will be filed, to wit:

Army and Navy invalids

Army and Navy widows, &c

A total of..

125,000 25,000

150,000

Up to January 1, 1884, there have been filed 98,987 invalid and 39,082 widows' claims since June 30, 1880; adding these to the estimates of the numbers which will hereafter be filed, and allowing $1.100 in the invalid, and $1,200 in the widows' as first payments, the cost would be substantially as follows:

223,987 invalid claims filed; deduct 25 per cent. for rejections, and 167,990 would be allowed and the arrears, at the rate of $1,100 per case, would be

64,082 widows' claims filed; deduct 20 per cent. for rejections, and 51,266 would be allowed, and the arrears, at the rate of $1,200 per case, would be

A total of 275,253 claims, au

$184, 789,000

61, 519, 200

246, 308, 200

It will be seen that I have estimated a net increase in number filed of only 62 per cent.

I am, sir, very respectfully,

Hon. JOHN I. MITCHELL,

W. W. DUDLEY, Commissioner of Pensions.

Chairman Committee on Pensions, United States Senate.

DEPARTMENT OF THE INTERIOR, PENSION OFFICE,
Washington, D. C., June 12, 1884.

SIR: I have the honor to acknowledge the receipt of your reference of Senate bill No. 2208, and in reply thereto submit the following statement, with certain approximate estimates made, as requested by you:

Section 1 of the bill provides a pension for all soldiers and sailors who performed a period of service not less than three months, and received an honorable discharge, during the late war, who is or shall become disabled from any cause not the result of his own gross carelessness, disreputable conduct, and vicious habits, provided he shall be dependent wholly or in part upon his own labor, or upon pecuniary assistance from others for the means of a comfortable support.

The present number of surviving soldiers of the late war who have not received a pension, or applied therefor, may be stated in round numbers at 925,000. It is impracticable to state with any degree of intelligence how many of these 925,000 soldiers who were disabled during the war, or have become disabled since the war period, either wholly or in part, and even though an attempt should be made to fix upon a number, it would be as difficult again to approximate out of the same how inany were dependent, wholly or in part, upon his own labor.

It may be assumed, however, that a large majority of cases where a disability exists (and it is believed by the soldier, and often by his friends, to be the result of his service) that application therefor has been already filed. Therefore, as any estimate upon the number of new applications to be filed by reason of the provisions of this section is pure guess-work, and without any accurate data to base it upon, none will be attempted. And such estimates as are herein given are based upon the effect that this law will probably have in cases now before the office. In the class of cases referred to the soldier often applies for pension, so that excluding from the 925,000 survivors those who will hereafter apply under existing laws, the proportion, considering the large number of survivors who will come within the description of the bill, would not be anticipated as a large one. Whatever this number may be

it will be diminished when confined to those only who are dependent upon their own labor for support or the pecuniary assistance derived from others.

It will readily be conceded that the soldiery of our late army represented among the young men more than the average intelligence and business capacity of those who follow that profession in times of peace, and this cannot be better illustrated than to refer to any community where among its prosperous citizens, removed from the necessities of dependence on manual labor for support, the private soldier is not a small element by any means. As I said before, it is impracticable to state intelligently the number of the class mentioned in this section who will be benefited who have as yet never applied for pension.

The proviso commencing in line 21 and ending in line 24, which has been stricken out, relates to arrears of pension in such cases as are now susceptible of proof.

Under date of April 10, 1884, I addressed a letter to the honorable chairman of the Senate Committee on Pensions, giving the best available data on the subject of arrears. I will inclose a copy herewith for your information.

In the proviso of the same section, commencing on line 29, the general class to be provided for are included. It is in brief this: In all cases where an invalid has an application for pension pending, and is unable to prove that his disability was contracted in the service, and is, in fact, disabled, he has the right to elect, to waive his claim under the provisions of the general law as it now is, to prosecute his claim under the provisions contained in this section of the bill, or, should he thereafter secure the necessary evidence, he may abandon his proceedings under this act and take under the general laws in force prior to this act, and such amendments as may be enacted from time to time.

To give an estimate of this particular class who will be benefited, you will understand, will be in part approximate; that is, all claims which are now on the rejected files, and the percentage of pending claims that would otherwise be rejected, are taken as the basis for the calculation. Of these such cases as have already been and would probably be hereafter rejected, because there was no pensionable disability, those who have died or abandoned their claim, and those who would have no title either under existing laws or the provisions of this bill, are excluded. The number is estimated at about 50 per cent., leaving in round numbers 75,000 claims that would come within the provisions of the latter proviso of this section. The annual value of these pensions would not exceed $7,500,000.

Section 2 provides that the widows of soldiers and sailors, who are now receiving under existing laws the sum of $8 per month by reason of the death of such soldiers or sailors from disability contracted in service since March 4, 1881, shall be hereafter entitled to receive the rate of $12 per month in lieu of the said $8; also, all such widows who shall hereafter be found to be entitled to $8 per month under existing laws shall be entitled to receive $12 per month.

The number of widows who are now pensioners is 42,872, approximately, and the increased cost over the present value of the roll would be $2,057,856. Of the pending claims it is estimated that half as many more would in the future, probably, be allowed, making an additional cost of $1,000,000.

Section 3 provides that in the case of the death of an invalid pensioner, pensioned under pre-existing laws, or any pensioner pensioned under section 1 of this bill, his widow or minor child shall be entitled in their own right, without being required to prove that the death-cause of said pensioner was due to his military or naval service, the rate to be twelve dollars per month in lieu of eight dollars per month. Taking, first, the minor children who are now pensioners, and would be entitled under the same conditions that their widows would in the preceding section, 2,096 pensioners, it is estimated, would be entitled to the increase from eight to twelve dollars per month, making the increased annual cost $100,704. The increase by reason of claims which may be hereafter filed out of those now pending it is difficult to estimate, but it may be stated that such annual increase would be from fifty to seventy-five thousand dollars. The provision of this section liberalizes to the extent that upon the death of a pensioner his death shall be assumed to be due to the service. The percentage of deaths among the invalid pensioners is by no means large, and the maximum number can be stated at less than three thousand annually. A large majority of these die from the disability on account of which they are pensioned, and the same is easily proven. This leaves but a small number to be benefited by this section, assuming that all shall leave a widow or ininor children. It is believed that the number would be low in the hundreds. It will be observed that in section 3 the construction given to it is to entitle all minor children who are pensioned in their own right the increase of from eight to twelve dollars per month, but the language might be held as somewhat ambiguous, as its provisions relate both to widows and minor children, while section 2 provides specifically for all widows who are now pensioners.

I think that it would be wise, in order to save any misapprehension in the future, to insert in line 1 of section 2, after the word "widows," the words "or minor child or

children," so that it shall read that "all widows or minor child or children of soldiers and sailors," &c.

Section 4 provides the continuance of pensions to all widows on account of physical or mentally disabled minor children, without regard to the limitation as to age. The number thus benefited would be very small indeed, as I doubt that if it would equal one hundred in the course of a few years. You will observe that this section provides that the pension granted such widows on account of such minors, &c., shall be continued. The pension which is so granted is what is known as the additional pension of $2 per month.

The proviso sets forth that in the case of death or remarriage of such widow, or abandonment, &c., of such minor, the pension shall be continued to such minor or minors. The pension proper, taking the case of an enlisted man, is $8 per month, and it would seem that the proviso related to the total pension, while the first part of the section would relate only to the additional pension of $2 per month. I do not know whether this is the intention, but merely invite your attention to it. As the number will be so small, and the conditions involve a grave disability, it would seem that the total pension should be allowed. If this is the correct view, as intended, section 4 would be amended as follows, commencing at line 1:

That pensions granted such widow shall be continued without limit as to age whenever it shall appear that such minor or minors are of unsound mind or physically helpless, so as to render them incapable of earning a subsistence.

Then the proviso, when it relates to the pension, would be in harmony with the balance of section 4.

Section 5 gives a statutory construction of what constitutes dependence in the case of dependent parents. The difference when compared with former statutes is more apparent than real; that is, this section provides that, when a dependent parent is dependent upon his or her own manual labor, or the contribution of others not legally bound for his or her support, it shall be construed as a condition of dependence. Fifteen years ago this might have been regarded as a considerable departure, while at the present time it makes but very little difference as to actual title, but waives what are now essential requirements in proof required. The parents of soldiers are now very generally well advanced in years, precluding, in a large majority of cases, their ability to earn their own living by manual labor. For many years the condition of dependence in the case of a mother has been assumed, when she had no income except that which she may have been able to derive from the proceeds of her own manual labor.

The proposed measure unquestionably relieves this class of applicants from furnishing a considerable amount of proof relating to the date of the soldier's death, which, in many cases, they are (though often after much trouble) able to secure, but in many of the most meritorious they are unable to find. The number who would receive pension which would otherwise be denied would amount to several hundred and reach for a few years about per year, but it is a very rapidly-diminishing class.

This section also provides, as in the case of widows, that the pension shall be increased from $8 to $12 per month. The number now on the rolls, which is rapidly decreasing, who would be benefited is, in round numbers, 27,000, and the annual increase in cost if the pension was increased to $12 per month would be about $1,300,000. Of the pending clains which will probably be allowed the maximum number may be stated at 10,400, and the annual increase in their pension would be about $500,000. Section 6 waives the present requirement in pension claims, where it appears by record evidence that the applicant was regularly enlisted and mustered, that he shall furnish evidence that he was free from the alleged disability before his eutering the service, and presumes that, under these conditions, he shall have been in good health at such enlistment. It raises the prima facie case in favor of the claimant, and puts the onus probandi upon the Government to show unsoundness at enlistment.

This provision will save the claimant from furnishing a considerable amount of testimony which sometimes it may be difficult for them to obtain. It is rare that a claim is defeated by failure to meet this requirement of the office whenever it shall be otherwise completed, and has heretofore been as often proffered by claimants as demanded by the office.

Very respectfully,

Hon. S. M. CULLOM,

W. W. DUDLEY, Commissioner of Pensions.

United States Senate.

REPORT

OF THE

COMMISSIONER OF RAILROADS.

DEPARTMENT OF THE INTERIOR,

OFFICE COMMISSIONER OF RAILROADS,

Washington, November 1, 1884.

SIR: In compliance with the statutory requirements of the act of June 19, 1878 (20 Stat., 169), I have the honor to submit the following report in regard to the operations of this Bureau, and of the condition of the property, business, and accounts of the several railroad companies whose geographical location "is in whole, or in part west, north, or south of the Missouri River, and to which the United States have granted any loan or credit or subsidy in bonds or lands."

The property and accounts of the several railroads have been examined, the companies having freely accorded all proper facilities for the inspection of their properties and the examination of their books. Statements are herewith submitted in detail, showing the indebtedness of the subsidized railroads to the United States, earnings and expenses, financial condition, 5 and 25 per centum of net earnings, physical characteristics, and various other data pertaining to these roads. Detailed statements of the sinking funds of the Union and Central Pacific Railroad Companies are also submitted, and show the sums which have been covered into said funds by the Treasurer of the United States, and the amount and character of investments made by the Secretary of the Treasury as custodian.

CONDITION OF TRANSPORTATION ACCOUNTS.

Appendix 7 of this report shows in detail the condition of the transportation accounts of the indebted Pacific Railroads to the Government to be as follows:

Transportation services performed for the United States to December
31, 1883, as shown by companies' books....
Less one-half of charges for transportation prior to
1873, paid to the companies...

[Act of March 3, 1873, requires all transportation performed
for the Government to be withheld. Prior to that time one-
half of amount was paid to the subsidized railroads.]
One-half retained and applied to the credit of the com-
panies, prior to 1873...

Transportation services performed and settled for prior to the act of 1873...

$4,723. 188 95

4, 204, 471 03

Remainder applicable to "repayment of interest," to the payment of "5 per cent. of net earnings," and to the payment of requirement for United States "sinking fund".

$30,059, 810 56

8,927,659 98

21, 132, 150 58

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