Evening Star Newspaper, December 2, 1872, Page 2

te 23.200 B00. it's eatimacdftnat the receipts for the fiscal y: ar Spd ng Jane 3, 1974, will be: bain ah Frew custome... 920 om “Sales of Public innds.._ Som iow (0 Int (900.000 00 6300.0 0» ne. 00 0 1,100,000 08 fESs 2.20) 00 09 ooo-snenes $30 300 00D OD es are based upon the lected since the acts of May Went into operation; but the imports and considerable sums have revenge officers on aceonnt of » henes §t will be wise to leava sourccscf revenue undisturbed forthe present en. *, Grtimated that the expenditures for the same reuvil expenses. 18 OAR 000 0 1 325 0 Fereign int 5.700.000 00 <- 3,500,000 00 amount of revenue c: and June, Lave be n iarg t 22,500 000 ov king fund. sarplas revenue 33, 00 009.60 ed [rom the s-veral Exec: nte show that the fellowing amoun.s for the same pericd erste 2) in the hands of the of subsequently at a lone. If the policy should be adopted of issuing silver cin irredeemable, but whose intrinsic ‘and nom- inal value sbould correspond to goid, the time mast come when the country would suffer from the presence of a depreciated silver currency, not redeemable by the Government nor curren! in the channels of trade. Tokens of base coin, except for small denom- inations, are less convenient than paper, and are subject to many other serious objections. The provision m: by the Treasary Depart- ment for the redemption of motilated paper money is much more ample than formerly, and I think it practicable, through the Post Office Department,to make an arrangement by which the whole country shall be supplied with fresh tesues of fractional currency. ‘Therefore, in renewing the recommendations heretofore made for the passage of the Mint bill, I su, such ons 48 will prohibit the coinage of silver for circalation in this country, but that authority be given for the coinage of a silver dollar that shail be as valu- able as the Mexican dollar, and to be furnished acti The Mexican dollar is used generally in trade with China, and is now sold Premiam of about etght per cenr. over the al expense of coining. As the production of silver is rapidly increasing, sach a coli will at once furnish a market for the raw ma- terial and facilitate commerce between the United States and China. It is no exaggeration to say that a necessity exists for a new issue of national bank not ‘The reasons for such issue were given in my last awnual report. I take this occasion to call the attention of Congres to a communication made by me to the Honse of Representatives on the 22d day of March, 1872, (Ex. Doc. Cong., 2d Sess, which f recommended the enactment of alaw for the ¥ of the Treasurer from respon-ibility on countof the dishonesty of Seth Johnson and Frederick A. Marden, formerly clerks in his office; and also for the correction of certain dis- crepancies in the public accounts, amonnting to $496.25, that the books of the Department may be made to conform to the facts. An examination of the affairs of the office of the assistant treasurer at New York, made in leave it dis) Permar cat... September and October last, disclosed a detal- Eeonce heoke ete Vr f c&*ion in the stamp division, in charge of James Binkizg fan 2.191! 1. Johnson, of #185,131 The report of the roca committee explains the course of proceeding by Total... we 323,286 27 «= which Johnson was able to embezzle this amount The reduction in tsxation close of the | of money. war is estimated to have been— The report further represents that Mr. Hill- By the act of Jaly Td, Istic nn g65.000.000 | house, the assistant treasurer, cannot be char; By the act of March 3. 1967 40) 00 | Properly with any neglect of’ duty, and in this By the act of Febuary 3 1, 23,.60,900 | Opinion I concur. By the act of March 3i, 1888, and J ‘The of keeping and selling stamps * cara naria $5.00 000 | was im osed upon the several assistant treas- By the act of June 6-173. by Bo Palen FA Total of internal revewue By the act of July 14, 1800. Dy the acts of May 1, 1372, ‘Total of custome. 8‘ ihe oat oh ing nee the fund, in May, 1569, and im accordance with the act of February 25, 1862, there have been purchased on this account, up to and incl June 3), 1872, $9,397,600 in bonds of the various issues kuown as five-twenties, at a net cost in eurrenc: Of $110,007 ,155.89, or an estimated cost, in gold, Of $94,097,343 52. pees In addition to the purchases for the sinkin; fund, bonds have been purchased to the amoun 7,90), at @ net cost, in currency, of 288.53, or an estimated cost, in gold, of 55 vst of these bonds, estimated in gold, has Tom $8221 per $100 to $99.99 per S100 — {tecent purchase being at the rate of r $100. The wverage coet, in gold, of the whole amount of the parchases, up to and including the Last day of September, was $04.64 per $100. n this connection I would call attention to the various tables accompanying this report, which fc aborate details of the money operation accounts of the government. The cv tion of our carrying trade with for- is always a subject of intere: ne present moment it is one of solic ‘The imports and exports of the United cinaing gold and silver, 1,108 for the tiseal year ending is Vast trade only 25% per ce: American vessels. In the year 1:60 71 per cent. of our foreign commerce American ships; but in 1864 it had fallen ent., ip 1508 to 44 per cent, and in less than 35 por cent. The earnings of © engaged in the foreign carrying trade probably exceed one hundred millton dollars a which less than oneethird is earned nder our own fag. The actof Congress aliow- 4 drawback on foreign articles used in the tion of American vessels has given en- ment to ship-building; but I am of ob that this measare is entirely inadeq aate. eu we consider that nearly three-fourths of | foreign commerce of the country is under foreign tisgs. it is plain that there can be no consiverabie and speedy change unless the gov- | ernment shall act at once and in a liberal and comprehensive spirit. ‘The rice in the price of iron and the advance im the wages of labor in England during the past scar, favor the Government and the peo- ple Of the United States, but this advantage, eign cov and at tt it Cue to nacasal causes,should not iead us to trust the to the force of those causes, but sbould e us rather to act at once and with vigor may n that we caunot regain | the control of ‘the direct trade between Europe | the United States, but there is an immense fieid | to be ocoupied upon the Pacific Ocean and the | South Atlantic. “England controls the markets | of the world by controlling the channels of eora munication, and I am convinced that a wonder- | {ol impetas will be given to the agri-ultura | ag )Snufacturing interests of the country by | cre“? Of UF commercial marine. Mer. | Qista."t Countries must purchase, Sint tise eich they have frequent and ommunication, 82d when such “a | cpportunity for the advantages ot competition. | Hence a poten produc! country can affor? *:, establish and maintain lines of steamships upon the ocean, as the indirect benefits will much ex- ceed the cost. j ‘The details of our trade with foreign coun- | tries, a= represented © the retarns made to the Statistical BvrLgu, are also unsatisfactory. | m8 | From thes urns it'appears that the im, “endise for th ending :} z 26,705,071, and th ports exti- Fr ere @444,016, 036, showing balance against the country of 8152,545,91. ‘This Ualance is in some Gegree apparent rather than real. On the 30th of Jane, 1871, the value ©! _g Ods remaining in warebouse was $68,524,650 while on the 30th of June, 1872, it was 9122,211,- . showing am excess at the closeof the last fiscal year of $53,880.07. Deducting this excess, we have & ba:ance based upen the actual con- sumptic: of the country of $1,928,602,3%4. From her redaction should be made of #56, ing the excess of exports over the im- gold. Alter these deductions there still por Temains <n alverse balance of $62,523,539. This © adverse balance bas been met probably by freight on chandise carried in Ameri- | can vescls, profit on exports con | accor American merchants and shippers the » bonds abroad, and investments in the Ux tates by inhabitants of other coun- tries. ‘The exports of merchandise for the year 1572 were <3 less then forthe year 11. The | beat, wheat flour, iw cotton, cot- | ctures, gold and Silver, tire-arms, (ares of leather, iuminating oil, an beet, tel! off $52,0%6,925, while there was a gain H 7.082 im the exports of corn, furs, higes, hams, lard, leat tubacco, ‘manu- ; Wood, leather, and many minor Te Was an increase of exports in every branch of manufactures, except cotton, leather, and fire-arms, | The decrease of our exports in wheat four War twelve million dollars; raw cotton, thirty- seven million do‘lars; manutactured cotton, lien two hundred and titty thousand dol- silver, eleven million six hundred ire-arms, twelve million dol- | afactures of leather, six hundrad Hats; illuminating ols, three mil- | udred thousand dollars; and beef, | on dollars. ‘istics of imports show an Increase of aliens in coffee, eighteen millions im | hearty six million im tea, nearly three sin tin plates, mere than seventeen «ail- raw wool, two million in pig iron, ten suillicn in manufactures of tron, five million in | manufactures of cotton, four million in mauu- efaccures of silk, and about seven million In Manufactures of wool. ‘These statistics are mot presented as affordi # basis for legislation, but rather because v4 @re exceptional in character, and net likely de reveated we Set Fates, mint ‘rancisco ai exhaustive upon seven have bern made and of ty Deane Cargon City, an reports condsti u of each, and also upon several tions of a general char om ¥ adoat three per cent. as compared with gold, and its use as currency has been aed by Ger- mapy and some other countries. ‘The financial condition of the United States bas prevented the use of silver as currency fur wore than ten years, and I am of opinion that upon — of public policy no Frew should ft ag error tioe Bapodh m0. metal should be used tor the or le Tay inact etme a's considerable holders will present for | reduction of 1,232 | within their respective districts, an relieved from ibility in the matter of the defal- cation of Johnson. The report of the Supervising Architect of the Treasury furnishes a concise statement of the costs and condition of the public buildings in charge of this Department. Large sums of money will be needed for the buildings already begun or authorized, and I respectfully advise that, beyond the erectionof pavilton hospitais, and a building forthe accommodation of the Bureaa of gs and Printing and the storage of the ks and papers of this Depart- ment, no new works be authorized at the pres- ent session of Congress. ‘The business of the office of the Supervising Architect of the Treasury is fully equal to the force emploved, and the necessary appropria- tions are vo large asto justify Congress in re- fusing all appifcations during the present ses- sion. The destruction of the buildings on the east- erly side of the new post office in the city of Boston furnishes an opportanity that ought not to be lost for the purchase of the remainder of the square. An act approved June &, 1872, authorized and directed the Secretary of the Treasury to par- ebase a lot of ground in Philadelphia for the accommodation of the post office and United States courts, and to erect a building thereon, the cost of the whole not to exceed $1,500,000. Under this act, and following the usage of the Department, I appointed a commission of citi- zens of Philadelphia, who were authorized to receive proposals for the sale to the Govern- mept of asuitabie lot of land. The report of the commission has been submitted to De- partment, from which it appears that the lot thought to be most desirable, situated on the corner of Chestnut and Ninth streets, can be purchased at a cost of $925,333 33. It also ap- jane) that the cost of a sufficient quantity of and to make the site of the present post office available would exceed ha!t a million of dollars. Accepting the conclusions of the commission as final in refereuce to the cost of a suitable site, I have declined to proceed further without additional authority trom Congress; it bein, clear that it is im ble to procure land an erect a building for the sum specified in the act t. Similar circumstances have prevented the purchase of land for public building at Cin- cinnati. The increase of books and papers, not indaily or frequent use, is so great as to seriously inter- fere with the business of the Department. The annual accumulation requires 7,6%8 cubic feet ot space tor storage. Ail the available rooms in the building, inciuding some that might be used for clerkg’ desks, and portions of the public halls; have been given up for the deposit of such books and papers, and the time has come when other provision should be made. I there- pce mena the Premer ofa a _ proof building upon the public grounds sout! of the Treasury sufficient for storage and for the accommodation of the Bureau eS rout ing aud Printing. The relief which <Nanges would anord fs essential for the proper transaction of the business of the Treasury partment. The operations of the Coast Survey, as well as those of the Lighthouse Board, appear to bave been economically and efficiently man- ed. erbe Revenue Marine consists of twenty-seven steam and six sai! vessels, Fone sixty five guns,and manned by one hundred and ninety eight officers and eight hundred sixty men. This service has constantly Improved in efficiency and in the economy of its management since the summer of 1569. At that time a commis- sion was appointed for the general and profes sional examination of all the officers employed, and upon their report thirty-nine were dis- charged, aud those who were approved were assigned to duty and given rank, accordin; to their merits. From that time to the present all vacancies in the service have been filled af- ter ap examination, and by those found to be best qualified. At the same time a commission was appointed fomthe entire revision of the ser- vice. Their report was submitted to Congress on the the 26thof May, 1870. (Ex. Doc. 98, 41st Cong., 2d Sess.) The vesssels then Nag om gi were rated at 9,208 tons. A reduction has al- | ready been effected of 657 tons, and the vessels now building and authorized will work a further tons, making an aggregate reduction of 1,889 tons. The cost of maintaining the Revenue Marine has been reduced from #1,293,661 67, in 1868, to $900,249, 81 for the year ending June 30, 1872. Statistical tables’ pre) from the returns show that, in the essential particulars of assist ance rendered to vessels, seizures made, number of vessels examined, number of lives saved upon the ocean and the lakes, the work per- formed during the last tiseal year is nearly twice as great as the average for the ten preceding ears. Under existing laws the officers and seamen of the Revenue Marine are entitied to a pansion only when they have been wounded or bled in the line of duty, and whilst cooperating with the Navy during’ war, and then at the rate established by the act of 1814. When it is con- sidered that this service is constant, and that from the first of November to the first of April in each year the vessels are reqaired to craise along the coast, and asnear the land as =. no! make & port except for supplies or under the pressure of positive necesslt , it is clear that their services are not less hazardous than in which the N: ts en; Jy therefore. recommend that went vessels have been wrecked on the of Long Island and New Jersey since July 1, 1871, valued, with their cargoes, at over £500,000, on which the loss was about 200,00). The officers and crews numbered two hundred and six all of whom were saved, and mainly, eis believed, through” te agency of the iit stations. “ . ae mi respectfully recommend the extension of the system to the coast in the vicinity of Cape Hat- From the report of the Supervising Surgeon of Marine Hospitals, it ‘sypents that thathetneh — public service is in @ satisfactory condil batciey the last fiscal year 15 treated in the several hospi! of the country at an average cost of about cents each per day, or a total expenditure of $396,293.11, against & total expenditure for the preceding ‘year of $155,082 42, or an average cost per patient of $1.04 per di The increased receipts and diminished ex- penses for the last fiscal year, as compared with the year next preceding, show a uet gain to the Government of @56,#19.31. During the same period the number of dis tricts in which relief was furnished was greater than ever before,and the salaries of medical officers st several of the principal ports were in- creased. The financial improvement shown is due large 156 patients were were not entitled under the law, agd alao to greater vigilance in collecting the ho¥pital dues. The law limits the charge for relief to seamen belonging to foreign vessels to seventy-tive cents a day. while the actual cost is nearly one | dollar. Anvthority should be given to the Sec- retary of the Treasury to fix the charge within certain limits, according to the expenses incur- red at the hospitals where relief is furnished. I renew the recommendation heretofore made for the erection of pavilion hospitals at New York, San Francisco, and Pittsburg. The in- crease of railway and general business in the vicinity of the hospital at Pittsburg has ren- dered it unfit for further use. The Supervising Surgeon recommends the erection in future of pavilion hospitals of wood, with the understanding that after ten or fifteen ears’ use they are to be destroyed and new ones yuilt in their stead. This recommendation ap- pears to be wise, being at once ecenomical for the government and advantageous to the pa- tients. The act of February 28, 1871, to provide for the better security of lite board vessels pro- ed in whole or in part by steam, has not been in eperation a sufficient time to test its value in all respects; but the result in the main is satis- factory. ‘The materially. A bill mil be maced oe idii : 2 w re) rovidin, ai upon further considers: tion. shall seem expedient! On the 16th day of May, 1872, I transmitted to Congress a bill entitled “A bill to amend and consolidate the na and custo.ms collec- tion laws of the U: States,” toy witha commanication explaining character and urpose ot the measure. (Ex. Doc. 290, 42d +) Bd Sese.) I respectfully ask the attention to the bill and the reasous for its ‘The time bas come when the attention of the public is turned naturally to the future finan- cial Cay Sha the country. That policy must rest upon the past and the present. Fi ‘The war caused three great changes in busi- ness and financial affairs that have received the careful consideration of the American people. I. The country was compelled to impose heavy customs duties upon merchandise, and thus, without general observation and withont argu- ment upon the principles involved, the nation entered upon a broad system of protection. Il. The Government issued Treasury notes for general circulation as currency, and pro- hibited banks of iseue by State authority. iil. A Lae of national banks was estab- lished, and their circulation protected by the national credit. ‘The wisdom of these measures, speaking gen- erally, has been established; and, subject to such changes as the changing condition and opinions of the country and people may d mand, they will remain a part of our public policy until the financial consequences of the war disappear. The weight of the national debt has m 80 great that for more than ten years there has been no opportunity for the practical discussion of the doctrines of protec- tion and tree trade, and im that long period of an unchanged protective policy incident to the burdens of the war the nation has advanced rapidly and safely in the development of its natnral resources. Anticipatt. @ condition of peace. we may also anticipaté a general redaction in the per- centage of customs duties. This reduction, however, should not be measured solely by the wants of the Treasury ; but regard should be had also to the condition of the various branches of industry in which the people are engaged. In presence of the fact that the leading pursuits of the country are stronger than ever before in the possession of adequate capital and a supply of intelligent laborers, there may be a moder- ate reduction from time to time in the rate ef duties, as the diminishing expenses of the Gor- ernment shall permit, without either alarming capital or injuring labor. ‘or the purposes of government, the prin- ciples of political economy are national, and bot cosmopolitan. A nation that can produce @ given article at less cost than it can be pro- duced elsewhere may wisely accept free trade init ; but a nation having natural advantages for its production, yet destitute of skill in the incident art or trade, must wait for the oppor- tunity that sometimes comes from the calam- ity of war, or secure a more economical and a more constant support in the Ryo of its Goy- ernment. If average natural facilities exist, the period of nece: protection is a short one compared with the lifetime of a nation; while the advantages gained can never be wholly lost. But if reesonab'e natural facil- ities de not exist, then a system of duties for protection is a present and future burden with- out adequate compensation. So varied and rich, however, are the natural resources of the United States, that we either are or may soon be in suceeseful competition with the older and more experienced countries of the world in the produc! sonal ne~ cessity, comfort, avd loxury, and of the ma- chinery by which these articles are produced or obtained. Herein is a sufficient justification for the ex- , and for its continuance mn period. Nor is the | ype a of ultimate succeasful competition with other countries disturbed by the circumstance that the wages ot labor are higher in this country than in those. If, ten years since, it was the thought of any that the only way to @ successful contest with Europe was in the reduction of the wages of labor to the European standard, that —— has disappear- ed, probably, in presence of the fact that high wages on this side of the Atlantic have stima- lated emigration, until there is a near approach to equality in the cost of labor, and of the coex- isting fact that the addition thus made to the number of laborers has only aided in the devel- opement of our resources, without yielding in apy quarter an excess of products, or retarding in any degree the prosperity of the laboring ‘uli 5 PRs prosperity on their part is associated with a higher and constantly improving intel- lectual and social culture and condition. It being given that an intelligent person has all the special knowledge of an art or trade pos- sessed by the most experienced and best-trained operative, who, outside of this special training abd experance, is an se person, and equal advantages of capital and machinery being given also, the intelligent person proceeds to improve and simplify methods of production to soak an cxtent that an addition to bis wages of of even a hundred per cent. represents but a small part of the advantage gained. Yet the special training and knowledge of the ignorant man is the basis of the improve- ment made. This truth considered first with reference to a single American laborer and then multiplied many hundred thousand times, rep- resents the advantage of America over Europe and Asia in the contest for tinal peaceful supre- macy in the affairs of the world. ‘Thus is America solving the industrial problem of the ages by exterting cheap production from ex- pensive labor. The reazon for these remarks may be found | in the opinion I entertain, that the tariff'systera of the country has contributed largely to the general and that such general and continued prosperity is the only basis on which even a wire financial poli y to a more careful scrutiny of the appii- | cants tor relief, to the rejection of those who no for money due et events at home or abroad, and arising = cally with the incoming of the harvest. @ Old State bank system is sometimes com- mended for the = termed elasticity; but that quailty, as Jin that 7. principal source of finanel ster. Under in the absence of a present ere was practically no limit to the issue of paper currency. ‘The increase of the circulation was attended and followed by an advance in prices, excessive in importations,a consequent demand for c: drawn from the banks to meet by res abroad, « simultaneous reduction of the paper currency, @ the consequent distress of merchants and bankers. As the circulation of a Protit, and as the managers are usually dispos- ed to oblige their patrons by loans and accom- modations, it can never be wise to allow banks or parties who have pecuniary interests at stake to increase or diminish the volume of saeeeey to the country at their pleasure. Nor do I tind in the condition of things a law or role on which we can safely rely. Upon thess views I form the conclusion that the circulation of the banks should be fixed and limited, and that the power to change the volume of paper in circulation, within hraitsestablished by law, should remain in the Treasury Department A degree of tiexibility in the volume of cur- rency is essential for two reasons: First. The business of the Department can- not be transacted properly if a limit is fixed, and the power to raise the circulation above or reduce it below that limit is denied. Arule of this nature would com retary to accumulate a large currency balance and to hold 4¢; as, otherwise, the credit of the Government, in meeting the ordinary daily | claims upon it, would be at the mercy of every ferious business and political revulsion in the United States or Europe. |. Especially would this be true now that our or- inary currency expenditures are greatly in | excess of our errency revenue, Secondly. There is a necessity every autumn for moving the crops without delay from the South and West to the seaboard that they may ‘be in band for export and consumption as wanted ‘This work should be done in the main before the lakes, rivers and canals are closed, and yet it cannot be done without the use of large amounts of currency. | In the summer months funds accumulate at the centers, but the renewal of business in Au- gust and September gives employment for large sums, and leaves little or nothing for torward- ing. the crops in October and November. | ‘or would this difficulty be obviated by a per- | manent inerease or a permanent reduction of the volume of currency. The difficultyis due to the natural order of , and increases with the prosperity of the country as shown in the abnndance of its harvests. The crops cannot be moved generally by the sid of bank balances, checks, and letters of credit, but only by bank notes and United States notes paid at once to the pi iinds its way speedily into the channels of trade and to the commercial centres; but if it be allowed to remain for general use, after the reason for its issue has ceased, the volume of | currency would be increased permanently and the year following the same process would pe repeated with the same results, and thus would the country depart more and more widely from | the policy of resumption. | The pevbicms is to find a way of increasing tho ik is & source of 2] the Sec- itatonce when that work is done. necessary work, and, inasmuch as it cannot be | confided to the banks, where, but in the Treas- | ury Department, cau the power be reposed ? While the currency revenue was in excess of the currency éxpenses, it was practicable to ac- the summer, to be used, if necessary, in the purchase of bonds in the autumn, there the usual demand for currency at th £0n of the yea! Hereafter such accumulations must be made the sale of gold, and the sale of gold in large antities during the summer, when business 13 the least active, msy pot always be consistent | withthe best interésts of the country. Keli- ance cannot, therefore, be placed upon the ability of the ‘Treasury to accumulatea currency balance each vear for the purpose indicated. ‘The argument in fayor of @ paper currency, composed in part of United States notes and in part of nationa! bank notes, is strengthened by the aid which may thus be furnished in resum- ing and mainta’ In the view I am now toj take, I exclude the idea that | the Government will ever abandon the issue of | national bank notes, and undertake the issue of United States notes in their place. The results ot such a policy may be foreseen. ‘The poople, | deprived of the facilities for buaii atforded | by banks, would seek reliet thro State insti- tutions, and without much delay Congress would concede to them the right to issue notes ‘or cirenlation. This concession would be fol- owed by a surrender by the Gencral Govern- ment ef all control over the paper circulation of the country. | ,, The true policy will be found in continuing the national banking system, without, however, | yielding to the claim for @ material increase of | its ls-nes in proportion to the volume of paper in cirenlation. | ‘There are two effectual and certain ways of Placing the country in a condition when specie and paper wili possess the same commercial value. By diminisning the amount of paper in circulation, the difference between the com- mercial value of paper and coin will diminish, apd by pursuing this policy the ditference will disappear altogether. Ail legisiation limited in ita operation to the paper issues of the banks andof the Govern- | ment, whether bearing interest or not, and | which in its effects shail tend to diminish the | market value of coin, will be found, upon analysis, to contain a plan for contrasting the volume of paper currency ; and ali legislation, Fo limited, which does not contain such » plan, will prove ineffectual. Accepting this proposition, and believing that the country fs not prepared to sustain the policy | of contraction, it only remains for me to con- | sider the means by which the value of our cur- rency may be improved. ‘The basis of a policy of improvement must be found in a sturdy refusal to add to the paper in circulation, until it isot the game valu b> stantially as coin. This being accepted asthe settled purpose of the country, there can be no permanent in- crease of the difference between paper and coin, and an opportunity will be given for the intluence of natural causes, tending, upon the whole, to a better financial condition We may count, first, among these, the in- crease of population and its ‘ibution over new fields of business and Isbor. Secondly, in the South especially, the number of persons having tet ng Pacer using and holding money will increase. Next we may anticipate a more general use of paper in ‘Texas and the Pacitic States, by which, practically,tor the restof the country, the volume of paper will be diminished and the quantity of coin increased—two tacts tending to produce an equality of value. The influence of these natural causes will be counteracted in some degree by the increasing facility for the transfer of money from one point to another, and by the greater tse of bank checks and certificates of — ‘The rapid transit of merchandise, in bringing the period of its consumption nearer to the time of its pro- Guetion, is an agency of a similar sort. Givi to these views their full weight, I am prepar to say that the experience of the last three years comcides with the best judgment I can form, and warrants the opinion that under the intlu- ence of existing tural causes our financial condition will f Senge improve. During the last fiscal year there were several circumstances of an unusual character tending to couateract the natural course of affairs. Our exports cotton fell off thirty-seven million dollars, there were excessive imports of wool, tea, cof- fee, and sugar. ‘The stock of wool in warehouse on the 3)th of June was sufticient for six months’ consump- tion, of sugar for tourand a half mouths, ot coffee tor five months, aud of tea for twelve months, Inthe ordinary course of trade, the importation of these articles will be small dur- | ing the current year, with a consequent favora- ble effect upon the balance between this aud ther countries. | ote 9 anticipation of the wants of the country, in connection with the decrease of our exports, augmented the balance of trade, created an active Gemand for coin and advanced the price. Notwithstanding these adverse Influences, was the | rodacers. This money | currency for moving the crops and diminishing | ‘This isa | | cumulate large balances in the Treasury during | © 'y of national notes nor exclusi Of United States notes. ae GEO. s. ery taf hcoe or ‘Treasury. Hon, Jone G. B ae jpeaker ef the House of Representatives. ———- REPORT OF THE SECRETARY OF THE INTERIOR. Secretary Delano reperts that the Indian office is working in the most satisfactory man- ner; the Patent office reports important im- ovements in the details of management; the Land office has brought up the large arrears of work which bad embarrassed its operations for years; the Pension office has ly reduced the number ot claims ou file at the beginning of the year, for the first time since the close of the war; the ninth census is completed im a shorter time and in a more satis manner than ever before; and the Bureau of Education is rapidiy increasing its fleid of usefulness. 'n calling attention to the able report of the Commissioner ot Inlian Affairs, the Secretary Says that, measured by any trae standard, the present Indian policy of the government has roved a success, inasmuch as for three years it a8 Secured the largest and freest extension and development of ont railways and frontier settle: ments which was pussible under the circum- stances, with far less lossof live and property than would have been suffered under any other plan ef dealing with the hostile and roving tribes beyond the Missouri river. The feeding system adopted with the dan; tribes has reduced the to a degree which m erable, when the extent of territory and the exposure of oursettiements are fairly taken into , account. The Secretary bas no donbt but that the civilizing portion of the policy has exerted a | most wholesome ipfinence upon the entire ques- | ton. Many, if mot a fer ae'y of the causes | which in years past excited Indian hostiliiier | have ceased to exist. The Indians are becoming convinced ot the entire good faith of the goy- ernment in its peaeefui overtures. That a | femi-hostile condition still exists in some remote localities is no doubt as properly attributable to non-extensian of the policy in its entirety over those sections as to its i clency or fail- ure. It is but reasonabdie, therefore, to request | the withholding of unfriendly criticism reiative to the efficiency of the policy until the depart- ment is prepared to announce thet it is thor- Prous and bestile time; Secretary contidenti, es the result will vindicate the wisdom of the policy ia force. There is but little in the past to encour- age the belief that the adult Indian of to-day can be very thoroughly civilized. We oan hope for little morethan to hold him in restraint, confine him to smaller reservations, and induce him to remain at peace, while we devote the energies of the Department to the improvement of the rising generation. The policy of reducing | the area of present reservations, and consol! dating friendly tribes or bands, may be regarded as the first step toward the establishment of the Indian upon farms. Twenty tubes of the south- in population 12 percent.; in’ schools 360; in stock raised 1,000per cent., &c. The increase in value of property is from $751,153 in 150s to | 21,870,285 in 1872. ‘There is nothing in the sporadic incursions | and outrages to weakea contidence in the final | Success of measures now in force for the treat- | ment of the Indian tribes. Sy tar from aw change of policy being decided upon, or bol indicated as necessary by the events of year, there isabundant reason totake steps to render the policy more efi r | ever it may be found necessary, aud to extend it over tribys where it Las not yet been estad- lished The aid end co-operation of the various re- | ligious essociations of the country have been the hig a In no case has there been the slightest misund: | and the department | ties have done well in their portion of the work. They have not only generg@ly nominated, as agents, good men, whose hearts are in the work, | but they have molded and directed @ healthy | public sentiment favorable to the Indian policy, without which no measure of governmental poli- cy in this country can be entirely successful. The Secretary coincides in the view of As- sistant Secretary Cowen that only men who | | heartily sympathize with the government in its | policy towards the Indians shoald be appoiute | | us agents, &c. | Daring the year 11,864,975 64 acres of public lands have been disposed of, a quantity greater by 1,089,270.25 than the amount sold in 1871. | The Secretary endorses the Commissioner's sug- gestions in reference to the propriety of con- | solidating into one statute ihe principal fea- tures of the pre-emption and homestead laws, and says the necessity of a re-organization of the clerical force in his office, and of vesting him with authority to appoint special agents who shall bring the subordinate land-officers more immediately under bis supervision, is clearly and forcibly stated, and he hopes will receive the early and favorable action ef Con- | gress. | | Needed reforms have been made in the con- dition of the Patent Office during the past year, the most noticeable and important of which is the abolition of the old form of Patent Office rts, and the rubstitution therefor of the Official Gazette ot the Patent Office, The fees seceived during the year amounted to $700,954.86, and the total expenditure to 8623,553.90. The office has outgrown the plan of organization that was sufficient for it then, and anew a ye has become absolutely necessary. The Secretary invites attention to the communication forwarded to Congress sug- gesting a re-organization of the Patent Office. There are now on the pension rolls the names ot 578 widows of soldiers who served in the rev- olutionary war, a decrease of 56 since the last annual report. The names of 1,157 widows and children of soldiers who served in the wars sub- sequent to the Revolution, and prior to the late rebellion, oe the war of 1812, are borne on the rolls, being 67 leas than the preceding year. The number of claims, original an increase, adiitted during the year was 18,543, and the annual amount of pensions thus granted was $1,652, The amount paid during said year for pensions of all classes, including the ex] of disbursements, was $30,169 ,540.60 being $2,908,045.03 less than the amount paid during the preceding year. The Commissioner estimates that the claims for peusion ou account of the war of 1812 will be disposed of by the Ist of May next. It is estimated that $39,450,010 will be required for the pension service dari: the next fiscal year. The Secretary refers tothe growing import- ance ot the Bureau of Education, and says tha hearty indorsementjof the office, by educators | of every section and every sort of institution, is &# fitting recognition. The re} of the comm:s- ioner will contain a mine of edacational tacts and statistics. The Secret recommends in- creased appropriations and the passage of the bill, introduced at the last session of Congress by the Committee of the House on Education and Labor, providing for the expenditure of the net proceeds of the sale of public lands in es- tablishing an educational fund andiu assisting the — the universal education of their you The completion of the great nation! work, the 9th census, is announced, and the Secretay siys the Population volume will, itis anticipated, be laid upon the desks of members un the as- cembling of Congress, iu Decemper. The other volume will follow with only such interval as is | required for press-work and binding. He | further says no authority or appropriation exists for maps and charts to accompany the compendiam in octavo. and as the exponsa would be very considerable, he does not feel justified in making a distinct recommendation to that effect, but leaves it to Congress. He does, however, strongly recommend that a statistical atlas of the United States, based upon | the results of the 9th census, to contain a large number of maps, with appropriate text ai tables, be authorized in an edition not excee: ing five thousand, to be prepared under the ! authori- | | gold has averaged eubstantially the same pre- esent as for the corresponding | rn Not doubting that natural causes will in | time produce the result sought, it is yet advisa- | tion pone pod bie to bring the power of the Goyernment in aid of the Revenant ae far as Dracticable, ny a i 1 to November I of the | for distribution to nium from January be distribu Girection of the superintendent of the census, r ublic libraries, tearned with a view educa. so greatly is invited to oe an acy leges and academies, to promote that higher kind of political fore been on census of 187 icant ‘ lation be left to follow the Sorat saris Se ene oye sone ‘The to the stock of the Union Pacis Hallroad company amount 573,000 ceipts for the year Jane $3,872, from were 170.78. The entire peed balances write bs rao tnplaaee) Yas sui.258 Tue tadeptednem of the Somvesy ot twat dts amounted to 6.34. 512, of which is due tothe United Btates. Stock to the amount of $59,614.000 has been subscribed to the’ Central mang nd Wisugerce manieas a 25 Seer Taste the Ui ¢ . ‘The indebtedness of the cantral BP. ‘exclusive of first ‘bonda, - ‘and the sovernment ern superintendency have in + years increased | b | has greatly enhan | tary debt of the Kansa’ and twenty-six hundredths miles of this roa have been completed in a first-class manner, ard have been accepted. The roai eom mences at San Jose, California. The entire cost of the road and fixtures, together with the lands for stations, &c., since the organ tion of the company, is estimated at $12,000,000. The amount of stock of the Texas and Pacific Railway company subscribed is which $200,000 has been paid in. The oo hae neither bonded nor floating debt. It gressing rapidly with its surveys, bay ng a Prumber of corps in the field, bul as the inal reports have not been received, no definite de- scription can be given of the line of road eur- vexed and fixed upon for construction. The report of the AUantic and Pacific Rall- Tosd company for the year ended June 3, ¥s/2, shows that #16,400,000 of stook has been #u scrtbed, and that & 4 assumed debt of $1,191.00 of Soath company, whose road trom Pacific, Missouri, Springtield, it has obtained by parchass) $15,013,299.83. One hundred aud t mies of this road and it telegraph 1 been accepted, of which Silly were accepted on the th of December Ins Stock of the Northern Pacific rail ALY bas been subscribe @110 000.000, and certificates for 1 is of $100 each, have been ise i. The &c., are not yet in a oc on to accurate report of the amounts rec pawengers a cs , from ern line of Kansas to the Arkansas Fr distance of 86.76 miles. was accepted on the 17th company ver, & of May last. On the 28th of last March the first 60 miles of the Onire and Fulton raliroad were aceepted. On the 13th of December last, the seventh section of twenty miles of the Burling. ton and Missouri river railroad, in Nebraska, war accepted. (On the llth March the fifth and sixth sections of twenty miles each of the road and telegraph line of th Cngn and California railroad company were accepted. On the 16th February last the first section of twen of the road and telegraph of the Oregon railroad company were DISTRICT MATTERS. Relative to improvements at and around the Capitol the says the curve which con- ites ral nects Pennsylvania avenue with B street north — about to be risbane construction of a pneumatic tube to connect the Capitol with the Govern- ment Prin’ ce building. Mr, Brisbane machinery ready to putin place, and that the tube is nearly ready for delivery, so that its completion not be delayed berond the Ist of July, 187: ln copformity with the act ef Congress ap- proved May 15, 15T2, relating to the reform School of the District of Columbia, plans for the main building and one family-buiiding for said school have been prepared by the architect, and the same were roved by this Department. The extension of the Government Printing Otice, the north front of the Patent 0.2 further reports that bh the enlargement of the conservatory and forcing-houses in the botanical garden, and, at the request of the directors 0 the women’s hospital for the District of Gx bia, he has taken charge of the enlargement of the same. Keferring tothe enlargement of the Capit grounds by the purchase of squares the Secretary says the value of th these squares, as appraised by th 1s61, ar rally concede: 1801, it was a in appropri not have en’ chasing the whole proper’ ing upon the best st jlecided to aceept the ayy dof commissioners and confirmed by the court. ‘The total value of the property in both Squares according to said appraissment £0%1,578.65, 60 that, with the apj ation of £490,000, {twas only possible to parclixse one of the squares, and & portion of Congress should make the nec appropriation to complete the rebase. The Secretary, therefore, concluded to purchase the whole of square No. 657, on the north side ot Capito! square, and the five casterm muzare No. 8. amounting in value to $3 5 tis expected that possession of most of the property purchased will be had betore the let of December next. The appropriation by Con- gress of 6% 000, or 80 much thereof as may be necessary, for completing the purchase of square No. 683, and for the payment of expenses incident to the appraisement and purcuase ot the whole property, is recommende:. ‘The operations of the government hospital for the insane, and the Columbia hospital for wo: men and lying-in asylum, and the Colombia tn- stitute for the deaf and dumb, arereferr*d to as highly satistactory. 45 more than the previous year—were treated at the first- named institution; 51 were discharged as Tecov- ered; and 29as improved. The Columbia hos- pital treatsd 4,576 patients—more than double the number of year. The deaf and damb college had 16 students on the 15ch of October, 34 of whom were received simce July 1, Isl. The comm! of the new jail for the District of Columbia have selected reservation No. 13 °s anew site for the building, this being deemed by the commission the only available public reservation inthis District fit forthe pur- pose. The reservation is situate on the western Tank of the Anacoeti ver, aud is bounded on tbe north by B otrest south; = the west by 19tu street east; and on the so: G street south. ‘The northern portion of the reservation was selected, embracing a tract o: ground 600 feet in width, and running back over 1.) feet to the Anacostia; about one-third of the entire area of the reservation. Certain plans, designs, cc, prepared by the supervising architect, were Spproved, and the T steps tuken for the early commencement of the fuandation wails. ‘The architect is of the opinion that the building can be completed during the ensuing year. During the coming winter the necessary exca- vations will be made, the foundation laid, and materials prepared for beginning tho super- structure at the opening of spring. Im accordance with an act of Congress a new site forthe Ketorm school of the District of Columbia has been selected on the farm of ‘Thomas Peter, situate about three miles from the Capitol in an easterly direction, and on ele- vated ground. This site was believed to be as salubrious a location as could be found in the | District, and embraces one Londret and fifty | acres Of land, for which the sam of $90,009 was paid. It ie called Mount Lincoln, in commem- oration of Fort Lincoln, which formerly stood on the we a. and specifications for the mn uildin, itect of the Capito! posals imvited in due form b; the 22d day of August last, the con’ work was awarded to the iowest satisfactory bidder, conditioned ir the sum of 01,00). ‘There yet remained $5,000 of unexpeaded, of which suza §5, x ——— by the board oc tors iy and preparing the ground for the build for steam-boiler, pump for hoisting The work on the buildings has not progressed very rapidly, owing to the insufficient supply of water, but a new éupiy has been discoverea, and it 1s conficently noped that the fax building will be ready f. ation by the of December next. The children were r irom their former unbeslthy location o aqueduct farm in Aagust last, and hay provided with te: mgs in thi aporary lodg’ : tn the now site. ‘The appropriation of $15,909 is recommended for the purchase of the re- mainder of the farm (1% acres) at $150 per acre. In regard to the metropolitan police of th District, the Secretary s3)© the force mem 28 men, of whom 6 are detectives. Tue board represents the inadequacy uf the force to the needs of the service, and strong.y recommen that an increase be authorized of 12 sergeants and 50 privates, or patroliuen. ———— BEFORT 7: POSTHASTER | GERESAL. Postmaster General Creswell reports that the ordinary revenues of this department forthe fiagal year ended June 30, 15:3, Sei) The issue of stamps, stamped envelopes and Wrappers for the year amounted to ceaah: OF $1.MIMT6.T5 More then daring ious fecal year » Public mail routes in operation there were im length 2 » = appual cost §); . g Cleran, ett SA 9.208, being special agente tor iuvestige tion. Sixty-nine persous were arrested for tio. lation of the postal laws, aud ousers arc await- ing trial. ihe total nom} letters ex, el dar year with foreign countries 8, Increase of 4,606,502 over the number repor for 1871. Of this nami 1 e) wore tent from, and 11,588,496 we United States. The ve exch: fore ig c an increas the rate of increase in thc exchanged with £ lantic mail steamship <er t was $2,301.70; being an in-ren N : over the cost of the same ser Oa IST1, while the total cost Vice generally was €1,02 After speaking year the Postm the oceaa ma Or of last year ice from monthly to. sem! mai route to beidy in aid of th and maintenance of an Am: steamers between 5: vean line ot mx: Francisco and Now Zea- jand and Australia, by Way of the Hawasas | Istands. ‘The new \d additional postal troaties with tries are moted. The Postmaster the negotiations with the French government give promise of the early concia- | sion of © mingle centimes) per 10 nd ‘providing fer gTammes, And providing for the exchange of printed Ad covery kind plished by treaty for some time to oo: Tespect either to cheapness of rates or { of | intercourse. the appropriation ast year va . “Fae whole wumber “et | dead letters received was 4,211,574, of which 44,600 were foreign. The totsl amount money contained these letters was #7 271.55, most of which bas been delivered to the writers, while the remainder awaits re- tion. The whole number of moncy order es in operation is 2,775—an iacrease o over last year. The receipts from these ot .49, and expenditures, #224 | money orders issued was 1 Since the establishment of this | the in ustal From €133,510.65 weengtte U Sw itveriend a The Poet recommendation vilege aud ¢ wes the subject at some He says that the free atter cartied athe year, if taxed at regular rates would have yielded arevenue of ©5,590,00)—a sum larger than the entire deticicncy © year. The recommendation is also renew | regard to a al telegraph in a | view of the matter in whi ¢ principal objections to the system he telegraph system las grown up by Lu of railroads, but its spirit las been too often i eral and unprogrestive. The tariils ar 1 i mgthy re orbitant, unequal lcomplex, sup ated in some cases by enormons charges tur luca! de- livery, and regulated entirely by the pleasure of the compaules. Many statistics of the opera. tions of the system in foreign couwiries are given to sho e advantages of S means of communication, Mr. Uresweill Grave difficultics have arisen from time to between the government snd certain of the telegraph companies, which have declined and still decline to furpish such facilities as are Ceemed essential to the perfect success of the sgnal service. In my opinion, a government telegraph affords the ouly saieguard against the continuance of such evils. While the emvar- Tasxment consequent on the attitude of the tele- graph companmes toward the government de- mands prompt attention, it is butone of the many considerations which point to the adoption os telegraph as @ measare of immediate public necessit He closes his consideration of the subject as follows: “I am decidedly of opinion that, i the public interest requires a postal tel should be put entirely into the hands of the ernment. Lf, on the contrary, povtal telegraph is not #0 demanded, then the goverumentelould not favor one private company to the exclusion of » Ror should it in anywise enter into competition with private enterprise.” ‘The recommendation of last year tor the es- tablishment of post-office savings banks is re- bewed, and an sppropriation for postal cars, which was inadvertently omitted by Congress at its last session, recommen ied. The report closes with the recommendation that the salaries of the heads of bureaus of the dupartunent be largely increased. FORTY-SECOND CONGRESS. a TH) SESSION This Afternoon’s Proceedings. Monpar, December 2. | _SENATE.—The Senate was called to order St noon by the Vice President, and after an appropriate prayer by the chaplain, the Kev. | Dr. Newman, the Vice President declared tue Senate ready to proceed to business. 's. Conkling and Thurman were appoin | ed & committee to walt apon the President an4 | inform him that the Senate was ready to re- | Seive any Commanication he may Bave to make. | Mr. Wilson introduced @ bill for the relief of | the suflerere by the fire at Boston. Mr. Sumner introduced a resolution to strike from the army register and the regimentai col- ors all allusior 5 to the battle of the late war. | | Mr. Rice offered & resolution calling on the President tor full information a States troops which may have b State of Arkansas. Mr. Cameron introduced a bill to give ® pen- 0 per annum to the widow of Gen. is and resolutious offered were laid After the re lution on the death of Air. Greeley was received and passed nnan' moasly the President's me hen received at tie bands of Gen. # 1 its reading was at opce procevded with by We secretary, Gorham. HOUBE OF R NTATIVES.—The 0 order at 12 o'clock by the | Speak ayer was offered by Chap- lan, Rev. Dr. Butler. . The roll was called and 149 members an+ wered to their paimcs, which was more than & jgoram. A message was received from tue Seuate ap- nouncing that that body was ready to proceed brsiness. to eeaers, Dodds (Ohio,) Hanley (Conn.,) Esty | Mesers. ) Mass.) and Beck (Ga.,) having been elected to (reSz) Stes ond ketng preset: were sworn in ss members of the ‘On moon et Mr. G: ic, Messrs. Maynard,” tow ‘and bim fone / was BAKKS ANDY THE HOUSE. Mr. Banks (Mass.) his @ member of the comuuittee on i H § ei i s E | if if : ef : i i