Chicago Daily Tribune Newspaper, December 3, 1872, Page 4

THE CHICAGO DAILY TRIBUNE: TUESDAY, DECEMBER 3 1872. TERMS OF THE TRIBUNE. N (PAYABLE IN ADVANCE). $2.50 Parts of a year at the same rato. To prevent delsy 2nd mistakes, bo suro and givo Post Office address i full, including State and County. ‘Remittances may be made cither bydraft, express, Post Office order, or in registered letters, at our rik. TERMS TO CITT FUBSCRIDERS. jrerad, cxcepted, 25 cents per weck. By deliversd: SUndey hermied: 3 Ciats Dor weoks "Address THE TRIBUNE COMPANY, Corner Madison and Dearboru-sts., Chicago, 1iL TRmUNE Branch Office, No. 469 Wabash-av., in the Bookstore of Messrs. Cobb, Andrews & Co., whers adrertiscments and subscriptions will be received, and will have the same attention as if left at tho Main Office.. CONTENTS OF TO-DAY'S TRIBUNE. FIRST PAGE-Meeting of Congress—The President’s M ossage. EECOND PAGE—Our New Comncil—Message of Mayor Medill-Report of the Comptroller of tho Carrency. THIRD PAGE—Postmaster General's Report on the Subject of Postal Telegraphy. XOURTH PAGE—Editorial: Tho President’s Message Aayor Medill's Address—Current Nows Items. "H PAGE—Report of the Secrotary of the Treasury., TH PAGE-—Monotary and Commercial. SEVENTH PAGE—Postmaster General’s Report Con- tinued—Small Advertiscments: Real Estate, For Sale, To Ront, Wanted, Boagding, Lodging, etc. EIGHTH PAGE—Report of Secretary Boutwell [Con~ tinuod]. TO-DAY’'S AM USEMEN‘FS. ACADEMY OF MUSIC—Halsted street, south of Madison. Lingard Combination, ‘A Life's Dream,” with Lingard sketches. SI'VICKER'S THEATRE—Madison stocet, betwoen and Dearborn. Engagement of Miss Jano Coombs. School for Seandal.” AIKEN'S THEATRE—Wabash avenue, corner of Con- cessstrect. Rubinstein concert. MYERS' OPERA HOUSE-—Monroe street, between State and Dearbom. Arlington, Cotton & Kemblo's 2Minstrel and Burlesque Troape. GLOBE THEATRE—Desplaines streot, betweon Madi- sonand Washington. The Lelia Ellis Ballad Opora Com- pany, and farce of ** Poor Pillicodds.” STAR LECTURE COURSE-Union Park Congrega- tional Church. Seott-Siddons readings. BUSINESS NOTICES. SALT RHEUM CURED BY USING JUNIPER TAR Soap. Manafactured by Caswell, Hezard & Co., How WEST'S BAZAR, 250 AND 22 WABASH-AV., IS by far the cheapest placa in Chicagoto buy fancy goods for Christmas preseats, A lnres and attractiso stuck at Tow prices. T & CO., importers, TOR DYSPEPSIA, INDIGESTION, DE PRESSION o Spirits and Genersl Dobility. the Ferro Phosphorated Elizir of Calisaya- Bark (Calisava Bark and Iron), is tho best tonic. Made by Caswell, Hazard & Co , New York, 2ad £old by Druggiste. BATCHELOR'S HAIR DYE. THIS SPLENDID hairdye is the best in tho world, Tho only true aud por- fectdyo. Harmless, reliable, and instantaneous; no disap- tmont ; no ridiculous tints or unpleasant odor. Reme- s tho ill effects of bad dyes and washos. Produces im- madiately 3 superb black or natural brown, and leaves tho Bair clean, soft, agd beautiful. Tho seniine, s al A. Batchelor.’ Sol ‘CHARLES The Chitage Tribumne, Tuesdey Morning, December 3, 1872. druggists. Proprietor, ‘We publish this morning the Annual Report of the Comptroller of the Currency. It isan abler document than the average of reports from that Buresn, and will undoubtedly be carefally studied by the banking and commercial classes of the community. The aspect of the local money market is some- what more favorable. The increasein the num- ‘ber of hogs, cattle, beef, etc., shipped Eastward within a week, has made an incresse in the amonnt of New York exchange on the market, Bills of exchange are only another kind of cur- rency, and their increase is equivalent to an in- crease of circulating money in this market. Secrotary Bontwell tells us that the total re- ceipts of the Government the last fiscal year were $374,106,867.56; the total expenses wero $377,478,216.21; the reduction of the debt Las Deen $99,960,258.54. Since March, 1869, the re- duction of the debt has been $363,695,999.87, 2nd the interest thus saved amounts to $24.18' §51 annuall; Our columns contain this morning the im- portant intelligence that railway communication was yesterday opened for the first time to the TIron Regions of Lake Superior. The comple- tion yesterdsy of the new steel rail route to Ailwaukee over the Milwaukee & BSt. Paul is 2ls0 announced. Both events are of great im- portance to Chicago and the new country which is opened, and they deserve more notice than cur crowded space allows. S| The Society for the Suppression of Obscene Dublications, in New York, has done good work of late,—its practical achievements being chiefly due to a young dry goods clerk, who has de- voted himself to the cause. Having succeeded ir suppressing the most notorious publications of obecene literature, it is now proposed tomake s crusade against the quack physicians and cheap druggists who advertise, by means of cir- culars and pamphlets of the most revolting de- seription, and whose professionnl character secure them a circulation where they cando most harm. The Imperial Railway, from Yokohama to Yeddo, was formsally opened on the 14th of last October, and was made the occasion of National rejoicing. A correspondent of the Springfield (JMass.) Republican gives an account of the cere- monies, which were unusually interesting, from the fact that it was tho first time in the history of Japan that one of its monarchs had openly exhibited himsolf to his people. The two facts, first of the opening of a railroad, and second, of the exhibition of a sovereign whose forefathers ~were thoughtto be too sacred for vulgar cyes to look upon, shows & progress which is very re- markable, and will croate & very dacided respect for the coursge of the Mikado, who, with such precedents as he has had in his ancestors for centuries past, has ventured to set them all nside. The subscriptions for the relief of Harvard Oollege, whose sources of income were virtually cat off by the Boston fire, had reached the sum of $102,190 on the 26th ult. The whole amount asked for by the College is abont 250,000, which approximates to the amountlost in the fire. Without this =zid, it is extremely doubtful whether the College would be able to continue operations, 2s it has no other gonrces of income which are avail- able for educational purposes. In this connection, Professor Eliot, of Harvard, has published & communication in the Boston Daily _Advertiser, showing that in the year 1871-72 each of the 621 undergraduates cost the College about 9100 more than he paid, and that in the year 1870-71 each undergraduate cost about $95 more than he peid, and in this statement no ac- count is taken of the value of lands, public Puildings, libraries, and collections of tho city. The Nation publishes & letter from s corre- spondent,—who asserts 8 personel knowledge of what he writes,—in which it is stated that the new Postmaster of Philadelphia 18 a personal riend of Senator Cameron, and the real choico of the latter for that office. It is claimed that the retiring Postmaster is the political friend of Mr. Cameron, and that the promotion of Mr. Fairman was an arranged matter with Mr. Cam- eron. If this be true, it places Mr. Cameron in 2 position of even greater depravity than is gen- erally assigned him. His visit with Hartranft and Stokely and O'Neill to Washington, to de- mand of the President the appointment of Ir. Truman was then a fraud,—a fraud upon his companions, & fraud upon the pablic, and a frand upon the President, and yet it is consis- tent with Simon Cameron’s whole public and private life. — Stanley's recent expedition to find Living- stonelas given a renewed interest toAfrican ex- ploration, and the expedition now fitting ont by the Berlin Geographical Society to explore’ Con- tral Africa is attracting unusnal attention in Europe. The German Society is acting upon the theory that there is an area in the middle of Africs, of zbout a million square miles, which has never yet been entered by any travellers, although Livingstone, Burton, Grant, Speke, Mungo Park, Barth, Du Chailln, Dr. Schwein- furth, and others have approached it on ol sides. It isbelieved thatit constitutes one and the same geographical province, Twith different flora snd fauna from the rest of Africa, and inhabited by different people. The great obstacle to tray- ellers hitherto has been the slave trade and the dangerous condition of the countryto which it gives rise, which renders passporis or arrange- ments for safe conduct of no avail. The expedi- tion of the German Society will be organized with reference to overcoming this obstacle, and i, asis stated, this regionis rich in fruits, spices, and ivory, its opening up for commercial purposes will be & handsome reward for the la~ bors of the Society. Bpecio payments, according to Secretery Bout- well, are to be reached, not by contraction, to which the country is averse, but by making our paper currency congist of United States notesand National Bank notes, and by & steady refusal to add to this currency until 1t is equal in value to coin, This last result is to follow from growth of trado caused by the increase of population, the multiplication of industries, the develop- ment of the South, and the use of paper in Texas and the Pacific States. This ap- proach of the business of the countryto the volume of its currency may be accelerated if the Government will 0 encourage American ship- ping thet its annusl earnings amonnt to 850,- 000,000, instead of the £30,000,000 which is now in our bands, and is but 281§ per cont of tho carrying trade that fills our harbors. In ad- dition, Government should do something, which the Secretary does not specify, to quicken inter- nal transportation, and, lastly, it must continue to protect the iron, wool, and cotton industries, and discourage competing importations. In this way we shall reach the time when the Treasury will pay its demand notes in coin, and the banks meet their notes with coin or legal tender. The Chicago produce markets were generally dull yesterday. Mess pork was 15@25¢ lower; at 313.00 for old, £12.00 for new, and $12.25@ 12.3734 for new seller March. Lard was active but easier, at T2¢c for cash and T4@7¥{c seller March. Meata were dull a¢ 8%e for shoulders, 5%@6c for short ribs, and 6}¢c for short clear, all part salted. Groen hams active and steady 2t 7@7¥e per Iv. Highswines were more active, and steady at S3c per gallon. TFlour was less ac- tive but firm. Wheat was tame ot 3{c advance, closing at $1.093{ cash, and £1.103¢c seller Jan- wary. Corn was dull and unchanged, closing at 307(@81c cash, and 31%c seller January. Oats were firmand quict, at 24@24¢}{c scller the month, and 241£@243{c seller January. Rye was quiet and %4c higher, at 5734c. Barley was less active, but 2 shade firmer, ot 61@6134c for No. 2; 52 for No. 8, and 61}¢c seller the month. The hog market was fairly active at 5@10c decline from Saturday's prices, or at £3.80@4.05 for common to choice. The receipts from Jan. 1 to Dec. 1 aggregate 2,739,509, against 1,923,252 for the corregponding period last year,—an increase of 816,257. There was no considerable demand for cattlo, and prices were mnominally unchanged. Bheep remain quiet and casy. . The New York Times has distingunished itself by endeavoring to take a commercial advantage of Mr. Greeley's death, The body of its obitu- ary article did not consist so much of Lind words for the deceased journalist, 2s of com- ments upon the probable decadence of his news- paper without him. Of Mr. Greeley himself, it was content to show that his death was prema- ture; that there was reason to believe that ho was insane during the whole canpaign; and that ““he died of Liberal Republicanism.” In another article on *‘3Ir. Greeley's Carecer,” it held that his great popularity and repu- tation were tho results of the intel- lectual superiority whick he exerted fif- teen, or twenty, or twenty-five years agos when American civilization was of a2 more primitive character. While it is unpleasant to contemplate what Ar. Carlylo would call the “ nastiness ” of this treatment of Mr. Greeley's death, it should not be overlooked, because it +was the only thing necessary to illustrate the greatness of the deccased editor of the New York Tribune, end the comperative littleness of the present conductors of the New York Times. Mr. Greeley was not more the New York Tribune than Mr. Raymond wasthe New York Times. Tpon thedeath of thelatter, neitherthe Zribune nor any other paper piedicted the decay and dis- solution of tho Times. Yet that method of treating the decease of a brother journalist would have been as appropriate and decorous s the T¥mes’ unhappy and inopportune squezling at the open greve of Mr. Greeley. ———— Throe great changes in our financial system, eays the Secretary of the Treasury, grow out of the war. These were the initiation of a broad system of Protection, through the imposition of hesy customs-duties; the issue of paper money by the Government; and the National Bank system. These threo measures, the Secretary confidently asserts, have won popular sup- port, and will remain substantially undis- turbed until the effects of the war have disappeared. For ten years the Teight of the debt has prevented any discussion of tho principles of Free Trade. During that period Protective policy has been in force, and the country has prospered. A reduction of castoms duties may be expected, he says, but not such as to disturb this beneficent intordependence be- tween the Government and the industry of the country. The principles of Political Economy, the Becrotary evidently belioves, differ widely in their range from all other principles, for they are only nattonal, not cosmopolitan, as Mr. Boutwell perhaps thinks to be the caso with common senseand the multiplication table. Along disserfation follows in favor of Protec- tion, which, to use the Secretary's language, we hope the weight of the debt will prevent the people from considering. The other two results of the war, the Govern- ment issues of paper and the National Bank notes, the Secretary considers togethor. He opposes the discontinuance of the National Banks, as it would throw the $400,000,000 of bonds held by them on the market, would crip- ple the banking business of the country, would deprive the ‘Government of the aid of the banks, and would restrict exchanges be- twoen differcnt sections of the country. The circulation of the banks is limited by law, and they are théreby prevented from responding to the incrensed demand for currency, at such times, for instance, as the movement of the crops of the West and South to the seaboard. Nor cen the Treesury any longer ac- cumulate reserves as in the days when its currency receipts were preater then its currency expenditures. To remove the legul restrictions on bank circulation, the Secre- tary argues, would be the fatal mistake of al- lowing the curroncy to beinflated at the dictation of the pecuniary interests of the bank managers. The problem is to find an agency to increase the currency when it is needed to move fall pro- duce, and contract it when this movement has been effected. Sincethe bankscannot be trusted with this delicate duty, to whom, he asks, would you confidoe it, if not to the Treasury? THE MAYOR’S MESSAGE, The annual message of Mayor Medill to the Common Council will be found in TrE TRIBUNE this morning. It gives o rosume of the year's ‘business, a year which the Mayor aptly describes asone of *“ settlement, liquidation, retrenchment, and restoration.” The bonded debt is $13,546, 000, and the floating debt $1,895,400. This float- ing debt consists of unpaid dobts incurred be- fore the fire, the taxes to pay which were re- pealed o year ago., It also embodies $500,000 for rebates on special assessments made in former years. During the year 21 miles of water-pipes were 1aid, making an aggregate of 309 miles. Work on the new tunnel has been begun, and there is, a'prospect of a speedy and sufficient supply of water. The Mayor advises the abandonment of the extension of Milwaukeo avenue, and that the condemned property be resold. He rencws his special recommendations of pre- cautions against fire by the increase of the firo and polico force, the purchase of hose and fire- extinguishers, and othér preventive measures. Hep claims that prevention of fires is the best in- surance, and calls attention to the fact that the average rate of insurance on property in this city exceeds the taxes levied on the same prop- erty. Ho details the proccedings taken to diminish or abate the nuisances of the rendering estab- lishments, and advises their removal from tho city. He congratulates the Council on the arrangements made with the railronds, whereby visducts are tobo maintained over all street-crossings, and generally congratulates the city upon the com- parative prosperity and success which the last year has witnessed, ot only in the adminiatra- tion of the Municipal Government, but in the business, commerce, rebuilding, and general welfare of the city. THE PRESIDENT'S MESSAGE. The tone of the President’s Message is supe- rior to that of any of his previons communica- tions to Congress. There are certain recom- mendations embodied in it in which we cannot concur, and notably those relating to steamship subsidies and tho postal telegraph scheme; but wae are pleased to observe in the general drift and scope of the docnment a better comprehen- sion of public affairs, and a more diligent appli- - cation to business than we have heretofore no- ticed in General Grant’s messages. The message begins with an sppropriate alla- sion to the Boston fire, and without further pre- face it communicates to Congress the results of the Geneva Conferenco. The temporary inter- ruption of the Conference by the claim for indirect damages, the President says, was solved ‘“in = manner entirely satisfactory to this Gov- ernment, and in accordance with the views and the policy which it hed maintained.” Tho thanks of our Government have been expressed to the Governments which appointed the Geneva Arbi- trators, and also to the Arbitrators themselves. The President also highly commends the services of Mr. Charles Francis Adams, and states that the Queen of Great Britain has signified her appre- ciation of the sbility and indusfry displayed by that gentleman. The services of Mr. Bancroft, in preaenting our case to the Emperor of Ger- many in the matter of the San Juan award, are also highly commended. The President recom- mends that Congress immediately pnss the necessary laws to carry into effect the clanses of the treaty regarding the fisheries,—the most important of which is that which provides for the admission of Canadian-caught fish and fish oil free of duty. With the final adjustment of this treaty, our relations with Great Britain will be of the most friendly character, which the President says it shall be his endeavor to main- tain unbroken. Those who expected to find in the message the foreshadowing of an aggressive policy to- | ward Mexico, Cabs, and the West Indies will be disappointed. The continuance of the Cuban rebellion is referred to, and the continued exist— ence of Cuban slavery condemned, but there is no intimetion of a purpose to interfere with. either, except in the way of friendly advice to the Government of Spain, and the adoption of’ measures, if practicable, to prevent American. citizens from holding or dealing in slaves in. | Cuba. Thero is no allusion in the message to Santo Domingo. The total receipts of the Treasury for tho fiscal year ending June 80, 1872, reached the. { large sum of $874,106,837, of which 216,370,286, or nearly two-thirds, was derived from duties on. imports. The receipts from internal taxation were $130,642,177. The disbursements during the same period were $377,478,216, of which $106,918,520 was for redemption of the princi- pal of the public debt, and $117,357,839 for in- terest. The current expenses of the Govern- ment, exclusive of these tivo items, were $158,~ 201,857. The President recommends that there be no farther reduction of taxes at present. Ho thinks that justice to the public creditors re- quires that the existing rate of taxation be maintained, and that specie payments should be resumed as soon as practicable, ‘‘having due regard to the interests of the debtor class and the vicissitudes of trade and commerce.” Attention is called to plans for providing some cheaper meauns of transporting the pro- ducts of the West and Sonthwest to the Atlantic seaboard, We regret that the only pleng suge gested are the proposed cansl from the Lower Mississippi to Charleston or Savannah, and the proposed extension of the Kanawha & James River Cansl, in Virginis, to the Ohio River. These canals would afford very little relief to the Northwest, where the pressure is now great- est. The Prosident recommends that a Com- mittee or Commission be appointed to take the whole subject under consideration. The Postal Telegraph scheme is recommended in general terms;but it is not expected that decisive action will be tsken thereon during the present session of Congress. ‘The decrease of our ocean-carrying trade has continued during the year, at an alarming rate, the President says, and it is suggested that an appropriation of 5,000,000 per annum might be usefully madein the endeavor to recover it. Thisisa veryimportant matter, and we shall reserve what we desire to say regarding it for future discussion. Civil Service Reform does not receive the at- attention which the public had been led to ex- poct. The question is disposed of in & general way. The President says that he shall adhere to the Civil Service regulations promulgated last year, 80 far as they promise to farnish compe- tent officers. Of course, this is all that can be asked or expected, if there is a real intention to effect a reform, but, on the other hand, it leaves open a wide door for the Camerons and Logans, and other opponents of Civil Service Reform, to drive their team through. We have tonched upon %he leading points in the messago only. There are a number of less important subjects discussed, which we ehall allude to hereafter. Meanwhile, the docnment itself should be attentively perused by all. REDUCING INTERNAL REVENUE EX- PENSES, At the last session of Congress, an act was passed providing for the consolidation of United States’ Assessors’ Districts, limiting the number in all to eighty, but delegating to the Commis- sioner of Internal Revenue the process of con- solidetion. To bring the number of districta within the limit of the law, it would be neces- sary to unite two, three, and, in some cases, four, districts in one. Commissioner Douglass says, in his report, that it was found thatan immediate reduction, in the manner prescribed by Congress, conld not be made with- out danger of losing & large amount of revenue. As an illustration of this possiblo loss, he points to the fact ‘that Congress, last Juno, estimated the whols amount of internal revenue for the fiscal year at $110,000,000, while the collections of the first quarter of the current year were at the rate of £125,000,000 per snoum. The difference isaccounted forin back taxes due under the laws that had subsequently been repealed, and the Commissioner is of the opinion . that this difference would havo been largely sacrificed by suddenly teking off the officials who, familiar with the affairs of their respective districts, knew how much was owing and who owed it. This comes in tho shape of an excuse for de- forring an application of thenew law ; but, s tho law hes not yet been applied, Commissioner Donglass suggests another plan for reducing the oxpenses of the Internal Revenue Department, which is much more likely to sccomplish the purpose of economy. This plan is brefly the abolition of the offices of Assessor and Assistant Assossor in the Internal Rovenue service. He believes that all that is left for the Assessors to do, under the modifications of the Internal Rev- enuo law, can bo done just as well by the Col- lectors and the Washington Bureau. Ho finds ‘but threo duties of the Assessors, at present, which could not be discharged with equal pro- priety and safety by the soveral Collectors, and | these three duties he proposes to have remanded to the Washington Buresu. They are the assessment of the deficiency taxes of distillers; the special or license taxes, which are levied but once a year; and the tax on banks and bankers, payable only iwice a year, and being the only taxes on corporations that are now levied. As most of these taxes, which aro the only ones of a special or isalated character, are usually taken to the Burean of Internal Rovenue for review and readjustment, there seems to be no good reason why they should not be sent there directly and certified back to the Collectors of tho several districts. At one time, the tax on corperations, when it +was much more general and complicated than now, was collected directly by the Washington Bureau, and the entire business was disposed of by fifteen clerks; in its present limited shape, there is no doubt that it could be handled by a smaller number of employes. The recommendation of the Commissioner will be received with favor by =1l classes who be- lieve in the true spirit of Civil Service Reform, which is the economy of the public moneys. It is & vast improvement upon the law of Congress, looking to the same object, and reducing the number of Assassors’ districts. In still keeping eighty Assessors, and the same number of As- sistant Assessors, two distinct departments, with the separate offioss, organizations, and expenses of each, aro retained. The number of subordi- nate employes is about 1,300; and, while the Congressional Isw recommends & re- duction of thess as rapidly as consistent, it leaves the matter to the discretion of the As- sesgors themsolves. It is not easy to displace more than a thonsand place-holders, and, as the Commissioner says, ¢ nothing short of unequiv- ocal, inexorable law can surely do it.” The plan which he suggests summarily disposes of 230 As- segsors, 230 Assistant Assessors, and 1,000 subor- dinates. The Assessors’ salaries, at $5,000 each, amount to §1,150,000 per yoar; the salaries of 1,800 assistanty, at an average of $5 each per sy, would amount to 91,950,000, counting 100 working days in tho year. By doing away with the department of Assessors altogether, there would thus be & saving of $3,000,000 an- nually. The increased subordinste service in the Collectors’ offices would not amount o more than $1,000,000 & year, at the ontside, for there would orly be one set of high-salaried officials instead of two sets, one set of office-ex- penses, more work, and less idleness. It is thus possible to make an annual ssving of at least $2,000,000 in the Internal Revenue system alone. M. Douglass’ plan will be likely to meet with opposition from certain Congressional politicians, who will see in it a reductionof the offices which they expected to-parcel out as rewards for their rotainers, their strikers and blowers.” Its con- sideration, however, will be & tolerably good test of the disposition of the present Congress in re- gard to the practical support of the Civil Bervice Reform measures which Fresident Grant has al- ready inaugurated. —2Miss Mary Nolan, of the 8t. Louis Central Magazine, has applied for a patent for s porta- | ble reservoir, of her invention, which is to be wsed in preventing largo fijes. PRESIDENT’S ‘MESSAGE. [Continued from the First Page.] appropriately o belong, of all the powers and duties in relation to the Territories with which the Department of State is now charged by law or by custom. RELIEF FOR DISTBESSED AMERICANS ABROAD. Congress, from the beginning of the Govern- ment, has wisely made provision for the relief of distressed seamen in foreign countries. No similar provision bowever, has hitherto been made for the reliof of citizens in distress abroad, other than seamen. It is understood to be cus- " tomary with other Governments to authorize Consuls to extend such relief to their citizens or subjects in certain cases i A'similar suthority and an sppropristion to it into effect are commended in case of citizens of the United States destitute or sick, under such circumstances. It i8 well known that such citizens resort to foreign coun- tries in great numbers. Though most of them are able _to bear the expenses incident to locomotion, there are some who, through accident or otherwise, be- come penniless, and have no friends at home able to succor them. Persons in this situation must either perish, cast themselves upon the charity of foreigners, or be relieved at the private charge of our own officers, who usually, even v.ith_the most benevolent dispositions, have nothing to epare for such purposes. Should the suthority and appropriation asked for be made, care will be taken to carry the beneflcence of Congressinto effect, that it shall not be unneces- sarily or unworthily bestowed. TREASURY. The money received and carried into the Treasury during the fiscal year ending June 30, 1872, were : From customs. ........ .$216,370,286.77 From sales of public Iands. 2,575,T14.19 From Internal Revenue. . oo, 10064217772 From tax on National Bank circuistion, efc........ e 6,523,396.39 From Pacific Railroad Companies. 749,861.87 From Customs, fines, etc. ... 1,136,442.34 From fees, Consular, patent land, 2)281,005.92 From misceltaneous sources. 4412,954.71 Total ordinary receipts. ... 364,694,229.91 From premium on sales of 9412,637.65 Total net receipts. ... $374,106,837.56 Balamce in the Treasury June 80, 1871, NCIQdIDg. oo vavreesrensenes . 1,822,835 Bince reccived from the unavaiisble eeesesss 100,935,705.59 Totsl available cash. veeurs 484,042,578,15 The net expenditures by warrants during the same year were : EXPENDITURES, For civil expenses. $ 16,189,079.70 For foreign interests. 16,409,369.14 Indians, 7,065,728.82 Tension 28,533,402.76 For military , inclu Tortifications, river and Rarbor im- provements, and arsenals, .. 35,872,157.20 ‘For naval eatablishments, including ves- sels and machinery, and improvements at navy yards... 21,249,809.99 For miscellaneous civil, including public ‘buildings, light houses, and collecting. therevenue..... aczaese 42,958,829.08 Intereston the public debt.. 117,357,839.73 Total, oxclusive of principal and premium on public deb! $210,559,695.91 For premium on bonds purchased......$ 4,958,766.7 For redemption of the publio debt. 99,960,253,54 oo e $106,918,520.80 Total net disbursements, ...............5377,478,216.21 Balancoin tho Treasury, Jano 30, 1872.. 106,563,358.94 Total.....e0n $484,042,573.15 REDUCTION OF THE DEBT. From the foregoing statement, it appears that the net reduction of the principal of the debt, during the fiscal yoar ending June 30, 1873, was $99,960,253.54¢. ‘The source of the reduction is a8 follows : Net ordinary receipts during the year. ..$354,694,229.91 Net ordinary expenditures, including in- terest on the public deb 5 270,659,695.91 BalANCo .....overeiesseiseesernesen$ 94,184,534.00 Add smount of receipts from premium on sales of gold in excess of the pre- ‘mium paid on bonds purchase 2,454,470.89 Add smount of s reduction of balance at the close of the year, accom- panied with the sale at ths commence- MeDt Of the Year..veererrerssesesness 337,348.65 Total, e..o. .8 99,080,253.54 This siatement treats solely of the principal of the public debt. By the monthly statement of the public debt, which sdds together the princi- pal ‘and intorest due and unpeid, and interest accrued to dato dae, and deducts the cash in the ‘Trensury, as according on the dng of publication, tho reduction was $100,544,491.28. The pource of this reduction i6 28 follows : uction in principal account. . $ 99,960,000.54 ‘Reduction in unpaid interest account, 3,330,952,96 TOAL 1oy s asrarasonsesssss - $103,290,966.50 Reduction in cash on han 2,746,465.23 “Total ;. <reens . $100,544,491,28 On the basis of the ast table, the statements show a reduction of the public debt from the 1st of March, 1869, to the present tima a8 follows: From March 1, 1869, to March 1, 1870.,..$ 87,134,782.84 From March 1, 1870, to March 1, 1871.... 117,619,630.25 From March 1, 1671, to March 1, 1672,... *94,895,348.04 March 1, 1872, to Now. 1, 1872, 2 64,047,207.84 +$363,696,999.87 TASATION. With the great reduction of taxation, by the acts of Congress at its last_session, the expend- iture of the Government in collecting the rev- enue will be much reduced for the next fiscal year. - It is very doubtful, however, whether any Turther reduction of sovexatious a burden upon any people will be practicable for the present. At all ovents, as & measure of justice to the holders of the nation's cortificates of indebted- ness, I would recommend that no more legisla- tion be had upon this subject, unless it be to corract errors of omission or commission in the present laws, until a sufficient time has elapsed to prove that it can be done and still leave suffi- cient revenue to meet the current expenses of the Government, pay interest on the public debt, and provide for the Sinking Fund established by law. The preservation of our nation’s credit is of the highest importance. RETUBN TO SPECIE. Noxt in importance to this comes s solemn duty to provide National curroncy of fixed un- varying value ns compared with gold and as soon 28 practicable, having due regard for the inter- ests of the debtor class and the vicissitudes of trade and commerco, and convertible into gold at par. WAR DEPARTMENT. The report of the Secretary of War shows the expenditures of the War Department for the fiscal year ending June 30, 1871, to_be $35.799,- 991.82, and for the fiscal year ending June 30, 1872, tobe $35,372,157.20, showing a reduction in favor of the lest fiscal year of $427,834.62. The estimates for military ‘appropriations for the next fiscal year ending June 30, 1874, aro $3,380,187,878. The estimates of the Chief of Engineers are submitted separately for fortifications, river and harbor improvements, and_for public buildinga and grounds, and the Washington aqueduct. FREEDMEN'S BUREAU. The affairs of the Freedmen’s Bureau have all ‘been transferred to the War Department, and regulations have been put into execution for the spoedy psyment of bounty, pay, etc., due the colored soldiers, properly coming under that Buresu. All the war accounts for money and roperty prior to 1871, have been examined and ansmitted to the Treasury for final settlement. During the fiscal year there has been paid for fransportation on railroads $1,300,000, of which $60,857 was over the Pacific Railroads; for transportation by water, $62,637,352, and by stage, 84,897,589 3 and for the purchase of trans- portation animals, wagons, hire of teamsters, otc., $92,465,064. About $370,000 have been collected from Southern railroads during the year, leaving about $4,000,000 still due. The Quartermaster has examined and trans- mitted to the accounting officers for settlement £86,717,272 of claims by loyal citizens for Quar- tarmasters’ stores, taken during the war. Sub- sisting supplies fo_the smount of 98,904,812 have been issued to Indians, The annusl average mean strength of tho army was 24,210 white, and 2,494 colored goldiers. The total deaths for tho year reported, were 367 white and 54 colored, s = The distribution of the medical and surgical history of the war is yet to be ordered by Con- gress. There exists an absolnte necesslfi{ for a medical corps of the full number pstablished by act of Congregs of July 28, 1866,—there bemfi now 59 vacancies, and the number of successf: candidates rarely exceeds 8 or 10 in any one year. THE RIVER AND EABEOR IMPROVEMENTS have been carried forward with energy and econ- omy, though many sre only pertially complated. Tha resnlts have saved to commerce many times the amoynt expended. ~The mcrease of com- merce with greater depth of channels, greater security in pavigation, and the saving of time, adds much to the wealth of the country, and in- creases the regourges of the Government. The bridge zcross the l[lfl!mu}?l River at Rock Tsland has been completed, and the proper Bite has bpen determined ;pon for the bridge at. LaCrosse. f The able and exhaustive report msde by the Gommission appointed to investigate the gnhn Tunnel has been transmitted to Congress. Tho observation and regorts of the Signal Of- -t fice have been continued. Ststions have been meintained at each of the principal lake, sea- ort, and river cities. Ten additionsl stations ve been established in the United States, and arrangements have been made for an exchange of reports with Canads, and & similar exchange of observations is contemplated with the West India Islands. S The favorable attention of Congressis invited to the following RECOMMENDATIONS of the Secretary of War: A discontinuance of the appointment of extra Lieutenants to serve 28 Adjutants and Quartermasters; thoe adoption of a codo providing =& specific penalty for well-defined offences, so that the irregularity of sentences adjudged by conrt- martial may be adjusted; the consolidation of scconnts under which expenditures are made, 83 = measure of economy; & reappropriation of the money for the construction of s depot ab San Antonio, the title to the site being now per- fected ; & spocial act placing the_cemetery at the City of Mexico on the same besis as other national cemeteries; authority to purchasesites for military posts in Texas; the appointment of commissary sergants from non-commissioned officers, a3 a mensuro for securing the botter caro and protection of supplies; an_appropris- tion for the catalogues and tables of the anatomi= cal section of the army medical museum; & Teuppropriation of the amount for the manufac- ture of breech-loading arms, should the selec~ tionboso delayed by the Board of Oficers to leave the former appropriations unexpended at the close of the fiscal year; the sala of such arsenals east of the Mississippi as can be spared, and the proceeds applied to the establishment of one large arsenal of construction and repair upon the Atlantic coast, and the purchase of a snitable site for a proving and experimental ground for heavy ordnance; the sbrogation of the laws which deprive inventors in the United States service from deriving any bene- fit from their invention: the repeal of the law prohibiting promotions in the staff corps ; & continuance of the work upon the cosst defences ; the repealof tho seventh section of the act of July 13, 1866, taking from engineer goldiers the per diem granted to other troops ; & limitation of time for the presentation of sub- sistence supplies under act of July 4, 1864, and a modification in the mode of the selection of cadets for the Military Academy in order to enhance the usefulness of the academy, which is impaired by reason of the large amount of time necessu.ril;nerpended in giving new cadets a thorough knowledge of the more elementary branches of learning, which they should acquire before entering the Academy; also an appropria- tion for philosophical apparatus and a increase in the number and the pay of the Military Aca- demy Band. CHEAPER TRANGPORTATION. . Theattontion of Congress wil be called, dur- ing its present session, to various enterprises for the more certain and chesper transportation of the constantly incrensing surplus of the ‘Western and Southern products to the Atlantic sea border, The subject is one that will force itself upon the legislative branch of the Govern- ment sooner or later,and I au%gestl therefore, that immediate steps be taken to gain all avail- able information to insure equitsble and just legislation. One route to connect the Afissis- Bipp1 Velley with the Atlantic at Charleston, 8. C., and Savannah, Ga., by_water, by the way of the Ohio and Tennessee rivers and canals, and slack water navigation to the Savannah and Ocmulgee rivers, has been surveyed and s re- port made by an accomplished engineer officer of the army. Second and third new routes will be proposed forthe considera- tion of Congress, namely, by an extension of the Kanawha and James River Canal to the Ohio, and by the extension of the Chesaspeske and Ohio Canal. 1 am not prepared to recommend Governmeat 8id to these or other enterprises, until it isclear- lyshown that they are nog only of national in- terest, but that when complatad they will be of a value commensurate with their cost. That the production incresses more rapidly than the means of transportation in our country has been demonstrated by past experience. That the un- precedented growth in the population and ‘gro- jects of the whola country will require addi- tional facilities and cheaper means for the more bulky articles of commerce to reach tide water and a market, will be demanded in the near future, is flqnnllg demonstrable, I would, therefore, suggest a Committee or Commission to be authorized to consider the whole question, and to report to_Congress at some fafure day for its botter guidance in legislating on the im- portant subject. The railroads of the country have been rap- idly extended during the last few years to meet the im\fing demands of producers, and reflect much credit upon tho capitalists and managers en]g;ged in their construction. addition to these, a project to facilitate commerce by the building of & ship canal around Niegara Falls, on the United States side, which has been agitated for many years, will, no doubt, e called to your attention this session. Look- ing to the great future of the country, the in- creasing demands of cemmerce, it might be well, while on this subject, not only to have examine and report upon the various practicsble rontes for connecting the Mississippi with the tide- ‘water on the Atlantic, but the feasibility of an almost continuous land-locked navigation from Maine to the Gulf of Mexico. Such aronte along our coast would be of great value at all times, and of inestimsable value in_ case of a foreign war. Nature has provided the greater part of this route, and the obstacles to be overcome are easily within the skill of the engineer. Ihave not alluded to this smbject with the view of having any further expenditure of pub- lic money at this time than may be necessary to Emcnn and place all the necessary information efore Congress in an authentic form, to ensble it hereafter, if doemed practicable and worthy, %o legislate on the subject without delay. NAVY DEPARTMENT. The report of the Secretary of the Navy, here- with accompanying, explains fally the condition of that branch of the public service, its wants snd deficiencies, expenses incurred during the past year, and appropriations for the same. It &lso gives a complete history of the services of the Navy for the pastyesr in addition to its rey sorvices. It is evident that unless steps are taken to preserve our navy, that in & very few yoars the United States will be the WEAKEST NATION upon the Ocean, of all the great powers. With an energetic, progressive people like ours, pen- eirating and forming business relations with overy gm of the known world, a navy strong enough to command the respect of our flag abroad is necessary for the full proiection of their rights. I recommend careful considera- tion by Congress of the recommendations made by the Secretary of the Navy. POST OFFICE DEPARTMENT. The accompanying report of the Postmaster General furnishes a full and satisfactory exhibit of the operations of the Post Office Department during the year. The ordinary revenues of the Department for the fiscal year ending June S0, 1872, amounted to $21,915,426.37, and the ex- penditures $26,658,192.91. Compared with the revious figcal year, the increaso of revenue was $1,878,380.95, or 9.37 per cent, and the increase of expenditures $2,263,088.23, or 9.29 per cent. Adding to the_ordinary reventes the annual F3 preciation of $700,000 for free matter and the amounts paid to tho subsidies on mail steamship lines from special sppropriations, the deficiency paid ont of the general treasury was $3,317,765.94, an excess of $389,706.28 over the deficiency for the yeir 1871. Other interesting statistical information relating to our rapidly~ extending postal service is furnished in this ra- ort. The total length of railroad mail routes on. une 90, 1872, was 57,911 milos; 8,077 addi- tional miles of such service having been put into operation during the year. Eight new lines of railway Post Offices have been established, with an aggregate length of 2,909 miles. The num- ber of letters exchanged in the maily with foreign countries was 24,362,500, an. increase of 4,066,502, or 20 per cent over the number in 1871, and the postage thereon smounts to $1,871,257.25. The total weight.of the mails exchanged with European countries exceeded 820 tons. Tho costof the United States trans-Atlantic mail steamship service wag 3220,~ 80L.70. The total cost of the United States ocean steamship service, including the amounts paid to the subsidized lines of mail steamers, as $1,107,020.97. The following are the onl steamship lines now receiving subsidies for mail sgervice, under special acis of Congress: The Pacific Mail Steamship Company receive $500,000 ger annum for carrying a monthly mail otween BSan Francisco, Japan, and China, which will be increasec to $1,000,000 per annum, and & semi-monthly mail on and after Oct. 1, 1873. The United States & Brazil Mail Steamship Company receive 150,000 per annum for carrying s monthly mail between New York and Rio ds Janeiro, Brazil; and the Califoynis, Oregon § Mexico Steamship Company receive $75,000 per spnum for carrying & monthly mail between Ban Prancisco and Honolulu, Hawaiian Islands, making the total amount of mail steam- ship subsidies at present $725,000 per annum. Our postal communications with all parts of the civilized world have been placed upon s most advantageons footing the improved postal conventions an arrangements recently concluded with the leading commercial countries of Europe and America, and the gratifying statement is made that with the conclusion of a satisfactory con- vention with France, the details of which have been definitely sgreed t0 by $ho head of the w o o French Postal Department, subject to the ap~- proval of the Minister of Finance, little remains %o be accomplished by treaty for some time to come. ‘With respect to a reduction of rate, and im- proved facilities for postal intercourse, your fa- vorable coasideration is respecifully in- vited to the resommendations male -by the Postmaster General for 2n incresse of service {rom monthly to semi-monthly trips on the mail steamship route to Drazil; for & sub- sidy in "aid of the esiublishment of an American line of meil steamers between San Francisco, New Zealend, and Australia ; for the establishment of Post Office savings banks, and for the incrosso of e salurics of tho heads of ureaus. THE FRANKING PRIVILEGE. I have herctofore commended the abolition of the franking privilegs, and know no reason now for changing my views on that subject, It mot having been favorably regarded by Congress however, I now suggest a modificetion of that privilege to corract its glaring and costly abuses POSTAL TELEGRAPHY. Iwould recommend, also, the appointment of * a Committee or Commission to take into con- sgideration the bost method, equitable to private corporations who have invested their time and capital in the establishment of tclegraph lines, of acquiring the title to all the telegraph lines novw in operation, and of connecting this service with the postal service of the nation. It is not probable that this subject could receive the proper consideration during the limits of a short session of Congress, but it may be_initiated, so that any further action may be fair to the Gov~ ernment and to private parties concernea. AMERICAN MATL STEAMSHIP SUDSIDIES. There are but_three lines of ocean steamers, namely, the Pacific Mail Steamship Corpany, between San Francisco, China, and Japan, with provision made for semi-monthly service after Oct. 1, 1873; the United States and Brazil line, monthly; and the California, New Zealand, and Angm.fi'm line, monthly, plying between the United States aud foreign ports, and owned and operated under our flag. I earnestly recom- mend that such liberal contracts for carrying the mails be suthorized with these lives s will in- sure their continuance, if the expediency of extending the aid of the Government to lines of steamers, which hitherto have not received it, should be deemed worthy of the consideration of €ongress. Political and commercial objects make it advisable to bestow such aid on & line under our flag _between Pana- ma and the western South American ports. By this means, much trade, now diverted to other countries, might be brought to us, to the mutual advantage of this country and those lying in that quarter of the continent of America. Tho roport of fhe Sectotary ot tho Treasmry i@ report of the Secrctary of the Tre will show an alarming falling off in our carrying trade for the last ten or twelve vears, and aven for the past year. Ido not believe that the pub-~ lic treasure can be better expended in the inter- est of the whole peoplo than in trying to recover this trade. An expendituro of “$,000,000 por sonum for the next five years, if it ‘would restore to us our proportion of the carry- ing-trade of the worldi would be profitably ex- pended. The price of isbor in Europe has so much enhanced within the last few years, that the cost of building and operating ocean sfeam- ers in the United States is not 8o much greater than in Europe, that I believe the time has arrived for Congress to take this subject into serious consideration. DEPARTMENT OF JUSTIGE. Detailed statements of the disbursements throngh the Department of Justice will be fur- ‘nishe b{flm report of the Attorney General, and though these have been somewhat increased by the recent acts of Congress to enforce the rights of citizens of the United States to vote in the several States of the Union, and fo enforce the provisions of the Fourteenth Amendment to the Constitution of the United States, and the amendments thereto, I cannot question tha ne- cessity and salutary effect of these enactmenta. EU-KLUI, Reckless and lawless men, I regret tosay, heve associated themselves together in some localities, to deprive other citizens of the right anteed them by the Constitution of the nited States, and to-that end have committed deeds of violonce, but the prevention and pun~ ishment of many of these persons have tended greauy to the repression of such disorders. I o not doubt that a great majority of the people in all parts of the couniry favor the full enjoyment, by all classes of per- Bons, of these rights to twhich they are “entitled under the Constitution and the laws, and to invcke the aid and influence of all good citizens to prevent organizations whose objects are by unlawful means to_inter- fere with those rights. Ilook with confidence to the time, not far distant, when the obvious advantagos of good ordor and peaco will induce an abandonment of all combinations prohibited by the acts referred to, and when it will be ur- necessary to on prosecutions or indict }:umnhments to protect citizens for the law- ess doings of such combinations. Applications have been made to me to pardon persons convicted of s violation of said acts, upon the %-mmd that clemency in such cases ‘would tend to tranquilize the public mind, and to test the virtue of that policy I sm %flmsed,_ 88 far as my sense of justice permit, togive these applications a favorabla considerstion, but any action therean is not to construed &s indicating any change in my deter- mination to enforce with vigor such act, 80 long as the conspiracies and combinations therein named disturb the peace of the country. Itis much to be regretted, and is regretted by no one more than myself, that a necessity has eyer ex- isted to execute the enforcement act. No ona csn desire more than I that the necessity of ap- plying it may never again be demanded. DEPARTMENT OF THE INTERIOR. The Secretary of the Interior reports satfsfac- tory improvement and progress in each of the several bureaus under the control of the Interior Department. They are all in excellent condi tion. The work, which in some of them f¢ some years has been in arrears, has been brougk down to a recent date, and in all the currek Dbusiness has been promptly despatched. - INDIANS. ‘The policy which was adopted at the bega- ing of the Administration, with regard to e msanagement of the Indians, has been as succes- ful 28 its most ardent {friends antci- pated. within so short a time. It ias reduced the expense of their management, de- creasod their forages mpon the white setle- ments, tended to give the largest opportanit; to the extension of the great railways throngh he public domain, and the pushing of sottlemats into the more remote districts of the counry, and at the same time _improve the conditiorof the Indians. The policy willbe maintained wih- out any change excepting such as further experi- ence may.show to be necessary to render it moce efficient. H Tho subject of converting the so-called In- dian Territory, south of Kanses, into a home for the Indian, and erecting thereon a Territorial form of Government is of great importance, as s complement of the existing Indisn policy. The question of removal to the Torritory has within the past year been presented to many of the tribes residént upon other less desirable portions of the public domain, and has gen~ erally been received by them with favor. Asa preliminary step to the _organization of such 8 Territory, it will be necessar to confine the Indians now resident therein (0 farms of proper size, which sould be secured ta " them in fee, the residue to be used for the set- tlement of other friendly Indians. Efforts will be made in the immediate future to induce the removal of 38 many _peaceably-disposed Indisns only to the Indian Territory as can be settlet pmperu]fl, without disturbing the harmony o those already thero. Thereis no other locatior now available where a people whoare endeavor ing to acquire a knowlsdge of pastoral and sgri cultural pursuits, con be 8s well accommodate 25 upon the unoccupied lands in the Indian Te ritory. Ar{'arritoriil Governmentt should, howav’ protect the Indians from the inroadof whites X - a term of years, until they become sufficie); advanced in the arts of civilizationto gnard tit own rights, and from the disposal of the 143 held by them from the same period. PUBLIC LAND SALES. During the last fiscal year there wero dispsed of outof the public lunds 11,864,975 aci, & quantity greater by 1,099,270 acrés than wadis- posed "of the previous year. Of this amount, 137,032 acres wera sold for ssh; 389,460 acres were located with mitsry warrants; 4,671,832 acres were taken college serip; 3,554,887 acres wero d to railronds ; 465,347 acres were granted towsgm roads ; 714,955 were given to States ssawanp lands ; and 5,760 acres were located by Indisn 5012'" e cash receipts, from sll sources, in the Land Office, emounted to 23,218,100, = Darng the same period, 22,016,608 acres of the pudlio lands wore survayed, which, added to the qup- tity before surveyed, amounts to 583,364780 acres, leaving 1,257,638,628 acres of the publio Tsads stil urbntvored: : Tho reports from the,_ subordinates of the and Office contain interesting informa~ regard to their respective dise tricts. ~ They uniformly mention the fruitfulness of the soil during the_ past sesson, and the jncrensed yield of all kinds of prodncs , evince that in thedo States and Territories where mining is the principal business, agricultural Produsta bave exceeded tho loonl demand, sad ] I L tion in for homesteads ; 693,613 acres were locatel with |