Mint policy regarding where silver dollars were produced

[RogerB]

The following excerpt from a longer letter can help us understand the Treasury policy affecting dollar coinage at the various mints. I don't know when this came into effect, but it was likely not long before 1888. [Letter dated Feb.1, 1888 to Sec Treas from DM. regarding using Denver as a coinage mint.]

The coinage needs of the United States are at present determined (1) by the legal requirements of a stated coinage of silver dollars; (2) the coinage of gold, as measured by the demands of the Treasury; (3) the coinage of subsidiary coin, as determined by the demand of the Treasury; and (4) coinage of minor coin at Philadelphia, which is the only mint authorized by law to execute this class of coinage.

A fifth and very important further requirement is in the way of disposition of the silver dollar coinage, as effected first by distribution, and second by the storage of such amounts as remain in the custody of the Treasury, corresponding to the value for which no direct pubic demand is immediately found, and which to a large extent, represents the metallic basis of the silver certificates in the Treasury and in circulation.

It is well known that arrangements have recently been concluded for the storage of silver dollars in a vault constructed for that purpose beneath on of the courts of this Department. It is important, therefore, that the output of the Mint in silver dollars be transported to the Treasury Department for storage, no other specific provision having been made for the same purpose.

In order to keep the cost of transportation of silver dollars to their destination in the United States Treasury as low as possible, it is obviously expedient that their coinage be executed at such mints as are the least remote from Washington. Thus, some two-thirds of this coinage are as a rule executed at the Mint at Philadelphia, and the remaining third is executed at the Mint at New Orleans, except for such times as by reason of current demands for other classes of coinage, the Mint at Philadelphia may be unable to execute for any given month such an amount as, with the addition of their output at New Orleans, will be equal to the stated requirements of law. In such cases the Mint at San Francisco is called upon to execute a supplementary coinage.
While it is true that, in pursuance of the policy here indicated, the Mint at Philadelphia has been severely strained in order to accomplish the several classes of work assigned to it, this is due to the fact that this Mint is suffering for want of renewals, rather than for want of actual capacity. But the Mint at San Francisco has a capacity far beyond any measure of work which it has hitherto been called upon to execute. Coinage operations [at Carson City], however, have been there suspended as a matter of expediency, principally (1) on account of the difficulty which has been experienced in time past of procuring bullion on the same terms as at other coinage mints; (2) the unfavorable location of Carson City for distribution of coins; and (3) the cost of [Carson City] coinage and of transportation of coin, as compared with the cost at the three other coinage mints.

[messydesk]

The last paragraph is confusing when it shifts from talking about San Francisco to Carson City. Should it have read, "But the mint at Carson City has a capacity..."?

[RogerB]

Added a bracket remark to help.

[keilg1]

Fascinating. Money problems (i.e., costs) regulating money issues (i.e., logistics) and (unstated but undoubtedly?) certain peoples' ability to make money off of making money (i.e., 'public servants' with personal interests)?

[PacificWR]

Thanks for the info Roger.

[Albannach]

Covering the number of silver certificates 2/3 as close to DC…..

Well there’s an interesting tidbit!

Maybe my SS Republic theory has merit after all…