The New York Herald Newspaper, December 28, 1859, Page 4

4 the parailel of 16 deg 49 min., on Sarna paced savera punted dangers, and exw aibed el He on of the sea, but could discover none. aa Cuapir fiG0,"” oF Stays islands," and found them w be ® oral rect, elevated on the woather OF eastern side 1 DALKS, Apparently compoaed of coral shad, covered with low treed and bushes, presenting at B fistance the appearance of islands He then proceeded to tho island of Graham, the most important of the Marianas, a principal recruiting station of whale! ‘and thepce to Hong Kong, where ho arrived May having, on the way, taken repeated soundings aud made many mportaut observations From Hong Kong he intended to proceed to the islands south of’ Japar, and theuce to the coast of Japan. ‘fhe department op the Ist \ ay of May last, mate a con- ditional contract with the Chiriqni Improvement Company and Ambrose W. Thompson, subject to the ratifcation of Congress, for the purpose of seouring to the United some very valuable privileges in the province of Chu ai § ‘The rights proposed to be secured aro— L A right ot way or trans.cover the roadway granted to the sald Ambrose W. Chompsoa through the province | of Chiriqui, from the Caribbean sea to the Pucillc ocean, free from all tolls or taxes upom officers, agents, seamen, landsmeu, maile, munitions, stares, troops, or any direct property of tho United States which the government thereof may — transport or cause to be trausported over said road during the Continuance of the grant mode to Mr. Thompson, for the of mixty years, by the province of Chiriqui. rer grantor five thousand acres of land, on oach Bide of the isthmus, for depots and stations o navel purposes, to be selected at the tagoon Ghinquilen ‘owe side aud the harbor of Goifito on the be ‘The right to usc as harbors the waters of tho lagoons, bays or gults shaitored or partially surrounded by the lands of the amd Chiriqui Improvement Company and of tho said Anbroge W. Chompson, on the Adantic and Pacific sides of the isthmus, and wherever “ther Janda tay ext’ nd [KA The) right to all the coal, for paval purposes, at or Rear the points selectea for depots ant stations for naval purposes, and if coal of suporior quality tor steam par- | poses shal: be fonnd at other plnces, the right to use the same, subject only to the tax of ome dime per ton and | the cost ot mining and celivermg the sam:. For all these rights aod privileges it 1s stipalated that | the United States will pay to the said Ambrose W. Thomp- son, for himse!! and the Chiriqui {mprovement Company, the sum of threo bundred thousand dollars, provided { Congress, at its next session, shail approve the contract | and make the neo sary appropriation therefor, otherwige the eoutract to be void. | The importavce of s curing these privileges for the use of the Cnited States crnuot be too highly appreciated. A | harbor ou the Atiautic side of the is:harus, another oa the Pacific sive, opposite the oue to the other, both of them among the hnrs! an¢ must capactous ia the world, capable | Of receiviug wbd sheltermy at al! times ships of the targust class, ano al unlimited number of them; a depot and | Station for vaval purposes at each of these harbors; @ | right of transit across the isttumns from one to the orber, apd a sunply of coal, shoula it be necessary, for both the | home and Pacific squadrons, are objects of greatimportance | ‘to the Unites States, and i! attainable onght not to be over looked. The title of Mr. Thompson and the Chiriqri tm provement Company has deen submitted to the Attorney Genera) of the United Stater. and be bas expressed the opinion that it is # good and valid title. i The bureaus tn their respective reports, to which T beg | leave w refer, have presented a very sutisfactory account of their transactions during tho past year im relation wo | the various subjects committed to their particular charge. There having been no appropriation for itmprovementin | the navy yards for the present fiscal year, the public works of that description have been suspended, and, in pursuance of the policy adopted by Congress at its last | Session no esumates ure presented for their continnanee | during the next fiscal year. Lhave caused a special ex- aminotion to be made of the condition of the Naval Asy lum at (biladeljbia, under the superiotentence of Capt. | ‘W. W. McKean, and am highly gratitied to be able to say | that itis in asmirable condinon, under lenient but firm | government, and well adapted’ to secure the objects of | the institution. The agencies for the preservation of live- | oak timber belonging to the United States have been suc- | cessfully conducted, and the system now estab- lished ‘and in operation through the present corps of agents will, it is believed, effectually secure that important object. 1 have caused a thorough exami- nation t be made of the several Atlanticnavy yards, aud have issued instructions to all the navy yards establishing 8 uniform system of organization and Management, arapt- ed to insure ecouomy, eflicieacy and responsibility» There being a great deficiency in our aupply of saitpetre, it has become neceseary that an appropriation be mate ficient to secure an amplo supply under any contingen might arise The Superintendent of the Naval Ob- | Bervatory recommends that « larger force be employed in that institation. As the appropriation for the Nwutical | Almanac failed to receive the sanction of Congress at the last seasion, it becomes necessary that a sma'l appropri- | ation tor that object be made early at the approachihg | session, or the work will be arrested for want of funds to | carry iton Tbe supply of provisions and clothing tor the | Davy received frem the cantractors during the past year | has been satisfactory to the oiticers and men. The tables | Presented by the bureau of mesticine and surgery afford a | ‘Very satisfactory illustration of the physical efficioucy of the | crews of our public vessels, of the favorable sauitary con- dition of the navy, and of the skill and efliciency of the | medical corps. The Naval Laboratory is found to guswer | Batisfactorily the purpose for which It was established. ‘The insane of the Bavy noble institution which the humanity of Congress has pro- ‘vided in the District of Colninbia. For the support of the navy and marine corps, and all other objects under the control of the Navy Department, for the fiscal year onding June 30, 1858, the estimates were $18,808,212 77; appropriation, $14,240,247 27; expendi tures, $13,870,664 76. For the fiscal year ending June 30, 1859, the estimates 5 were $14,616,208 23; appropriation, $14,508,354 23; ex- | penditures, $14,659,267 76. c Pefor the fiseal year ending June 3¥, 1860, tae cstimates ‘were $13,500 370 80; appropriation, $10,464,769 65. The estimates for the fiscal year ending June 30, 1861, are $11,244,645 63—that is togay, for the navy proper $9,077,115 68; forthe marine corps $699,736 05, aud for all other objects $567,994. Thave the honor to be, very respectfully, your obedient Bervant, ISAAC TOUCEY, Secretary of the Navy. The Prestpest or THE Ustrep States. OUR POSTAL COMMUNICATIONS. Annual Report of the Postmaster General for the Year 1859, Post Orrick Derarrwent, Dec 8, 1859. F Sm—In the month of March last the sudden deceaso of my enlightened ans deeply lamented predecessor, imms- diately preceded as it was by the death of the Third As- fistant Postmaster General—so long and go honorably 1 copnected with tho administration of the po revenuce—Gilled this department with discou ment and gloom. Associated with this dou- ble calamity came another which awakened painful anxieties, not only from its intrinsic maguitude, but from the fact that the bistory of the government, | from its foundation, fusnisbod no parallel for such a dis- | My allusion is, of course, to the failure of Congress | to pass the customary Appropriation bill for the aupport | ater. of the Post Office Department, whereby, with all its re- sponsibilities resting upon it, aud the fulfilment of ail its duties demanded by the courtry, it was still deprived of the use of its own revenues, and thus necessarily of all means of complying with ite engagements to the faithful officers toiling in its sercice. The ordeal 80 unexpectedly | Prepared for it was, in all its aapects, as novel as it was perplexing, aud disquieting apprebensions were naturally felt for the result. When, however, from high political considerations, the President announced his purpose not to convene Congress in special session, and the fall measure of the crisis was thus revealed, the contractors and others charged with the main- Venance of the posta) administration, manifested everywhere a determination to meet the emergency With courage and with a lofty public spirit. With very Tare cxceptions, every duty pertaining to the transmission and delivery of the mails has been performed as cordial- 1 and os fithfuty during the iast sine months, as at any former pera. ley over, this ts roferred to with gratification, and cannot bs too warmly commended, it Mnvst not be forgetten thar this Gdelity, in the midst of abandopment and privation, has cost a numerous and de- serving class of public vervunts severe p cuniary sacri ces, Feeling anxious that they suouid be relieved as far 88 possible from the embarra:sments in which they were 80 Buddenly invol¥ed, statemonis evidencing the indebted- ness of the department to its cont ors and agents have been issued to each, in the hope that, in che easy condi- tion of the money market, their holicrs might obtain ad- ‘vances upon them without serious lors. 1.18 to be fo: however, that those whose cireumstauces obliged them to dispose of these securities haye in mau: compelled to submit to a heavy discount. earnestiy urge upon Congress the necessity of making an early appropriation to meet all the existing Habilitizs of tie department. As the faith of the government has besa broken, not only should the principal of these debts be romptly paid, wed. In many instances this may prove but an a. fect indemnity for tne damage which the creditors of the de bave actually sustained, but this much, st Jeast, is due from the gravest considerations of pablic justice and policy, amd canuot, in my judgmont, be with- id without national dishonor. REVENUE AND #XPRNDITCRES. ‘The actual (paid) exenditures of the department in the fiscal year ending June 30, 1859, amonuted to $11,458,083 63 For transportation of inland mails, including payments to route agents, local agenis phd mail meee EEE igs igiice NIM 08 wit New York to Liverpool, +. $88,177 90 New York to Havre. . New York to Bremen... . 494,428 95 are now well taken care of in that | Jg60, | ages cases beon | Would most it interest ou them shonld also beal- 4 For traveportatian of For advertising. For mall bags. For blanks. en For mat) locks, keys and office stamps. For mail depredstions aud speci agen us For postage siamips... For stamped envelopes For wrapeing a For payments to letter earriers,., For miscellaneous payments .,.... . For pay meats for baiahore due op British mails For payments for balances due on Bremen 5,786 2) 9,287 15 BAUR akd- Vad. do sGnieninesds had ebcinan 6.» For payments for balances duo on Hamburg For paymenis for balauces due on Frond ‘Total of actual (paid) expenses. vee BUL,468,083 63. But to this must be added the ascortained lia- bilities of the department, witch could not be paid owing to the failure of Congress to make the vs al appropriations, and which now constitate a dedciency to be provided for to Juno 30, 1869. . vo ee «206,009 26 id) expenditures and barn rosa angie ; $16,754,092 89 This sim includes $75! 58 aporepriated by special acts of Congress out of tho gene. ral treasury, which being deducted, leaves the actual caditures $14,668,484 07 Instead of $11,458,- Eto ta the “toral ot oxpeadiures and. Uabiutics $14,964,493 33. instead of $15,7: 80. Wf there be added to $11,458,083 63 the sim of $55 96, elosed by suspense, and the suim of $627 26 gained on tho baa debt account be substracted, thea the actual expen- ditures, ng adjusted in the Auditor's fice, will be $11,487,512 ‘The gross rere, ~ be! rer Inclading reoetone from letter carriers apd from fo poslages, amounte 10 $7,968,484 07 as statea below:— P postage $906,531 78 Registered letters. 25,052 95 ‘Stamps sold,. 6,158,! Newspapers and pap! 80,352 20 Receii 79,010 07 ensinae on acca tt letter carriers. 187,037 83 Receipts on account of dead letters. 3,134 79 Extra compensation overcharged. 1,103 84 Miscellancous receipts , 19,064 52 — Being an increase year ending June 30, 1858, but still $2,700,000 short of the actual (paid) expenditures ($10,668,484 07) as adjusted on the Auoitor’s books, exclusive of the permanent aonuai | appropriations, amounting to $700,000, granted to the de- partment by the acts of March 3, 1847, and March 3, 1851, for the transportation and delivery of free mail matter for Congress and the executive departments , and of the spe cial appropriations for mail trangportation, To this amount ($2,700,000) mast be added the unpaid liabilities or deticicney, a8 estimated on June 30, 1859, $4,296,009 38, making the total excees of expenditures | for the year $6,996,009 26. T respectfully invite attention to the highly satisfactory report of the Auditor, hereto appended. From this in teresting document [ derive the following synopsis of the financial operatious”of the department in the past fis | cal year:— The balance standing to the credit of the de- partment on the books of the auditor on June 30, 1858, was... seers, $608,813 06 The receipts cf the department from ‘ail sources during the year 1859, 7,068,484 07 Amoupt of bad debts collected. a 627 26 Toe amount of various appropri- anions drawn from the trea. sury during the year was... $3,015,946 49 From which should be deducted "825,000 00 Being & part of the appropriation of $700,000 (ander acts 3 March, 1847, and 24 March, 1$61,) for the year 1860 applied to the ser- Vice Of 1859, leaving...e..eeseeeees vesee 8,590,040 49 Total receipts + $12,168,870 83 ‘The whole amount’ of actual (pais) expenses in the year, including $55 for accounts closed by suspense wee e 11,458,139 59 Leaving to the credit of the department July 1, 1869....... vovesene, $710,281 29 This amount 6i $710,231 39 to ‘the ‘credit of the revenue of the department July 1, 1859, is made up of balances due from posimastera and late’ postmasters which have Deen accumulating from July 1, 1845, and can only be made available as they are collected For the year ending June 30,1958, the oxpenditures WEG ..4.00+ _ + $12,722,470 OL And the revenue. + 7,486,792 86 Excces of expenditvres for 1858... $5,235,677 16 For the year ending June 20, 1859, the expenditures and liabilities werd... $14,964,493 33 And the revenue. 7,968,484 07 Excess of expenditures for 185% ++ +++ $8,996,009 26 ESTIMATE OF RECEIPIS AND EXPENDITURES FOR 1560" Expenditures ‘The cetimated cost of mull servico for the year ending June 20, 1860, to be appropriated out of the revenues ol the cepartment, exclusive of the trans] of the wail from New York to New Orleans, by the Istbmus, to San Francigos, nine mouths, to June 30, and of foreign mails, of payments for foreign post- ‘and to letter carriers is... . «$18,641,510 00 | For the transportation of the mail between | New York and New Orleaus, by the Isth- | ‘mug, to San Francisco, nine months, to | _ June 30, 1860... ms » 187,800 00 For the transport: 75,000 00 122,500 00 | For the transportation of the | New York and Havana and New Orleans and Havana... ...... For the transportation of New Orleans ani Vera Cruz... | For transatiantic mail steamship service. | For payments of balances due to foreign coun- tries... teseee | For payments of letter carriers. seeeee ++. 80,000 00 the mail between +. 8,000 00 325,000 00 Estimated expenditure for 1860... $14,871,547 00 ‘The following psymenta have beem made wader special act of Congress approved March 3, 1859, (Statutes at large, vol. XI, p. 409 For transportation of tho mail from Panama to California and Oregon and back, from | { July 1 to September 30, 1859....... stessee 987,062 59 For transportation of the mail ‘across the | Isthmus of Panama, from July 1 to Sep- | _ tember 90,1859,... 1.0.0... Miavegicsectac S000 OF For transportation of the mail from New Or- | leans, via Tehtautoyec, to Ventoza and back, from July 1 to September 20, 1859.. 55,018 12 a eh cep yeni ny cot aa ae $35,038, MEAN | The balance standing to the cre Git Of the cepartinent om the books cf the auditor on July 1, 1859, wa! Sis iwsseace MIO, S01 20. The grces revenue for the year 1860, including foreign post- ages, fees paid in by letter car. riers, and miscellaneous re: ceipts, estimated at ap increase of 4 per cent on the revenues of 1859, making. + 8,287,223 00 Of the appropriation made ‘by | the acts of March 3, 1647, and | _ March 8, 1851............ +00 Of the appropriations under the fitthsection of the} act of June 14, 1858, deemed perpetual by | the Attorney General... os 33,000 00 | Of appropriations, March 3,1859. 167,080 62 ——— $10,222,584 91. Deficiency of means for the service of 1860..$4,816,002 11 To this deficiency should beadded the amount Teported by the Auditor as standing to the | credit of thie department on June 30, 1859, | the entire sum being an accumulation since | 1845 in the hands of postmastera and late postmasters, and can only be made availa- ble as collected........ 700,000 00 ‘710,281 29 Estimated deficiency for the year ending INDE 2, 1860...00..seececeee cons aera + -96,626,8%% 00 The above estimates are increased by the cost of mail Toutes between New York and San Francisco and Sam Francisco and Olympia $310,000, which have heretofore been provided for by special apprepriations and paid for by the Navy Department, and have never appeared in — ordinar 7. estimates Of expenditures prepared by this lepartmmen| mare OF RECEIPTS AND EXPENDITURES FOR 1851, A ‘The estimated cost of mail service for the year ending June 30, 1861, to be approp | out of the revenues of the department, ex- | clusive of the transportation of the mails {from New York and New Orleans, by the | Isthmus, to San Francisco, ‘and of foreign | | maits, of payments for foreign postages and letter carriers, is. a $14,847,808 O4 For the transportation | New York and New Orleans, by the Isth: tas, to San Francisco. 360,000 00 | ee Citar ‘rancieco and Olym| 122,500 00 | For trapgportation of pingertt New York and Havana and Now Or- |, leans and Havana....,, 30,000 00 New Ori id Vi = alee 3,000 00 lew Orieaus and Vera Cruz | For the transatlantic mail sleamship ser- aed | vice... 325,000 00 | For payments of balances duo ' countries, estimated... 300,000 00 For payments of letter carricr®, + 187,087 00 Estimated expenditures for 1861,........ $15,605,186 08 Ms.ans FoR 1861. ‘The gross revenue for the year 1861, pee foreign post. oges, fees y letver car- riers and miscellaneous re. celpta, t8 estimate? at aa in- crease of four per conton the estimated reyenuo for 1860, omits... one ie 8 made the both er dare 3, 1847, and March 3, 1851... 700,000 60 a oe appropriations under the Buh ation of the act of Jone 14, 3858, deemed per- peal by ihe Atlorne: General... 9,676,711 00 Estimated deflciency for the year ending Supe 20, W861... eee sere eens 5 85,988, 04 ‘The above estimates are increased by the cost of mail routes between New York and San Francisco and Olym- $372,600, which have herctotore beon h provided for 4 apecial appropriations, and paid by the Navy Depart- ment. The deficiency for 1861 is estimated at $6,993,424 04, upon the assumption that the measures of reform recora- mended tu this report will not be adopted by Congress. NEW YORK HERALD, WEDNESDAY, DECEMBER 28, 1859.—TRI Should ther, bowever, all receive thé aii of that bocy during tte approsching session, i icved, a8 ber eafter shown, that the dedowsoy tor it year would not exceed $) 342,473 90, POSTAGE STAMPS AND STAMPED RNVBLOPES. 4 ‘The nywhor of postage atampe s ipplied: to’ asters during the year ending June 8%, 188%, waste follows :— | Vcebtesece 1 cent, + 8,T65 640 |) 1 -1j420,700 $+/90,210;405 00 42,087 800 12 cout. Whole bomber , 692,201 920 ‘Valio, Stampd epvciopes. 30,250,200 Value, a. 082,128 34) pi pions chain Totals. .s.esesecsseedvscesscuenses sett oOO;961,693 34 Total vil postage stamrs and envelopes iesued durlog (be year ending Sune BY, 1858... sees cece aecceenees vere 85,002,787 28 Tncreave during 1850. ,..... 6.660060. 0 505. 9208, 746 06 TRANSPORTATION PTATIBTICA, On the 80th of June tast there were in’ 8,723 tmuil routes The number o! contractors wag 7,363. The length of these routes is estimated at 260,062 miles, divided ag follows, viz: 010’ miles. 9,209 Railroad... ‘Steamboat, 68,041 Inferior wodi 151,792 ‘The total apnual trans| was 82,308,402 portation miles, casting $9,468,757, and divided as foliows:— Raslrosd .. ..27,288,886, ab $8,248, : Steamboat... 4,500,062, at $1 167, Coach at 83,136 984, about 11.96. a mile. 48, a about 25340. a mile. Iuf'r mssdsason tenn aes? ‘at $1,032,848, 7 about 18.360. a mile. Com b ‘the pried Ste 30, 188; pared witl wervices ri june 30, there {6 a decrease of $61 miles tn tbe lang of ‘the mail routes; an adoition of 3,542,911 miles tothe annual trans: portation, belog ubout 4.4 per cent, and of $1,673,339 to the cost, Or abuut 21.46 per cent, ‘The aggregate jeogth of railroad routes has! been !n- creased 1,570 mules, and the aunual transportation there- ou 1,504,982 mites; 5.84 per cent, at a cust of $415,673, cr 14.08 per cent. ‘The length of steambcat routes is greater by ry tailes, end the apnual travsportation by 36% miles; the cost is $76,073 lez, being a reduction of 6 16 per cent ‘The addition to coach routes w 0,841 tales in tongth, 3,892,664 niles in annual transportatwa, or 19.9 por ceut, and 284-260 in coat, oF @4-1 per cent: { ‘The iength of interior routes is dimtaished 19,637 miles, and the anuual transportation 1,856,037 miles; tho adal tioval coat is $100,849, betog 442 cent. lees in trans- portation, aud 6 per cent additional tp cost. Appended to th's report is a table (marked —) show- ing 1 deta;! the mail service of every grate as existing tw cach seperate State and Territory on the 30th of June rt The lettings of pew eontracte for tho term commencing Jat Jnly last embraced five States—Virginia, North Caro: lina, Sovtb Carolina, Georgia and Florida ‘The following table ssows the new service as in opera- tion on the 30th of September — i] Miles in Miles of Annual Pee nance Length. . Tramgortation, 0 3,530,607 8615 908 2 706.918 158,558 + 3,010 1,224,538 97,185 Inferior modes. /29,120 5,232) 434 331/824 Total... 9.6 10,905,005 4 Compared with tho service on the Sith of June last! te the some States, tho length of the routes, by railroa! aud inferior mores, ia increased 974 miles, aud by «tearnboat ave couch ts dimmished 6,242 miles; the anaval traaspor tation is diminisbed 943,578 miles, and the cost $2,942, divided as follows, to Wits— Annual Milevin Levgth. Transportation. Cost. Railroad........ 191 258,798 dec, $14,206 ine. steamboat.,.,..2,906 388,842 de 17,343 dec Coach... +++ 8886 dec. 1,104,373 dec, 88,516 dec. Inferior modes,, 783 inc. ‘785,237 inc, 84,716 ine. Ov the 80th June last there were tn the servioe 475 route agente, at a compensation of, + «$308,657 21 exprees agents, at & compensation of,...,., 30,700 42 local agonis, at a compensation of. . 29,8 8 1,649 mail messengers, ata compensation of.,, 195,999 Total,, ateveecnecccssceceseessoescse $626,178 ‘This amount added to the cost of service as in operation on UtH June........606 seeenseees 9,868,757 Makes the total on 30th June last.......... «$10,094,031 Tho reductions in the cost of the service from the 30th of June to the Suth September were 657,521 Making the total amount on 30th Soptember. $9,437,410 RUMUER OP POT OFFICES Whole pom ber of post offices in the United States on. be 2 BON June, 1868... scene sereceee Nomuber that were ‘established during’ the year ending June 30, 1869... Number that were discontinued oe 893 Net incresse of offices during tho yea.. .... 562 Whole numbér of post offices on the 30th of —— ET PE ER A EEE S - Number of offices of which the names and sites were changed... en ee . 432 Number of which the appointments were mado by the President... +. ase 417 Number of postmasters appointed during tho year ending Juve 30, 1659.........0cee0eee5 7,588 Of theee 4,639 were te fill vacancies occasioned by resig- nation. = 867 do, do. removals, “ 296 deo. do. deaths. is 202 do, do. change of names. and sitea. «1,466 do. do. establishment of new offices. DISTRIBUTION OFFICER. ‘The BuYyect oF mo “a1tripuuoN™ of letters having en- gaged the attention of the department, au order was mado On the 30th of April last, discontinuing thirtesen of the Atty distributipg offices then existing, and substituting therefor the practice of direct mailing. The high commis- sions atlowed for the proccss of dissribution bave proved not coly a heavy burden upon the revenues of the depart- ment, but also a strong inceutive toabuse. But while the order mentioned was important a5 a measure of cconomy, and as @ means of preventing frauds, it was yet more desirable for the acceleration of the mails. Offices of this description were formorly a very valuable, and, in fact, indispensable element in tho system of the country, owing to its vast extent, and the ra- pidity with which population spread into new districts, causing cities, towne and villages to struggle for exist- ence with the forest and prairie, and rendering it impoasi- bie to keep pace with the names and locations of the num- berless new offices demanded by the habits of a people accustomed to the constant interchange of thought and in- telligence. Some offices, therefore, bad to be designated as the receptacles of correspondence from asection of con- tiguoug country, and for rematling aud sending it in pack- ages to others of similar functions, more or leas distant, thence to be distributed to ita deswnation. In thismanuer situated in the East und West, the North and South, mutually acted upon each other, and performed service. This was when the mails were carried ta. stages and other vehicles, and when pauses were necesa- rily made for tho refreshment of passengers and the change of anima’s, allowing at the same time of “distribu. tion’? at Gie post effice. But as the country has become populated the neceesity for these guides to distant points Las measurably ceazed; and in proportion as railways ave beconle carriers of mails, and have Melded to the public demand for ceaseless motion, has it become impossible (or the process of ‘dfstribution’? to be maintained without subjecting the correspondence of the eountry, cliarged with its commercial and political in- te)ligenco, and ite social sy mpathics, to frequent and un- warrantabile delays. ‘The expense atiending the distribution of lotters, even. when honestly performed, and the legitimate and proj commission only charged, abstracts no inconsiderable sur from the postal revenues, aud this is uch swollen by the second and third process of the kind to which they are exposed, often by necessity, sometimes by accident and ignorance, and’ more frequently, it is feared, by de- Sign. But, as already intimated, this is not the only, or ‘by any micaps the most serious evil whichis sought to be remedied, The primary object of the whole mail system ig to insure speed (with certainty and safety) in the tran- ait of correspondence; and to effect this great end no un- necessary obstacle should be permitted to exist. Whether it is possible to dispense with the distributing system alto- gether, is a problem yet to bo golved; it exiata in no country, abd would be unnecessary in this, but for our reat extent of Territory and immense number of offices. it ie evident that the list of offices of distribution should be reduced as much LO some from year to year, and that they should be established or continued only in popu- lous cities and towns, where travel concentrates, and where mails and passengers baye a temporary rest. DEAD LETTERS. The following resolution waa adopted by the United States Seuate, March 9, 1859:— Reeolved, That the’ Postmaster General is hereby re- quested’ to state, as near as possible, in the next annual report of the rervice of tho Post Office Department, tho number of Icttors consigned to the dead letter office during the flecal year, and what further legislation is necessary to dimivish the number of such letters, or to provide for their return to the writers thereof. mpm I have to report that the whole number of dead letters during the last fiscal year is estimated at 2,500,000, including about 560,000 ‘drop letters” and 50,000 “' beld for postage.”” Deducting these two classes, the number of letters actually conveyed in tho mails, and failing to reach the Persons addressed, may be estimiated at lees than two millions (2,000,000) « yoar. More than fifty per cont uf the entire accumulation of dead letters occurs at about forty out of the 23,639 post offices, inclucing, of course, the large cities and towns. Aa to “what lurther legislation is necessary to diminish the number of such letters or to provide for their return to the writers thereof,” Iam not as yet fully prepared to report; but investigations have been set on foot and dilt- gently prosecuted during the past several mouths, which, it is hoped, may enable me hereafter to offer some practi- ca} Fuggestions. Paruiculur efforts have been made to asacertain tho true. reasons why letters, especially thoee with valuable enclosures, failed to reach their destinnlion, and it is satisfactorily established, in the wajority of cases, that the fault is with tho writers them- selves, either in miadirecting or illegtbly directing their communications. The migratory habits of the must also be considered among the prominent caitses of the ao: cumulation of dead letters, more particularly in the weat- ern or newer portions of the country. By way of silustration, it is }, asthe result of in- quirics Which have been made toa limited extent, that moro than sixty (60) per cent of letters containing money recent y reétored to the owners, failed to reach their des- tivation ontirely from boing elther misdirected, held for postage, or addreseed to transient pergons. And in reference to dead letters with valuable enclo- sure other than money, the results haye beén found still more glaring—over eighty (80) per cent having been either iiedireotea, beld for postage, or addressed to transient persons. These are the of casce explained, Further inveetigaiions on this point are in progress, the result of which will bereatter be fully shown. The atterapt. has also been made to sound public senti- Ment on the subject of restoring to the writers dead let. tere which do not contain enclosures of value, and from information thug far received it would seem that, in about one thirst of tho cases the writers are willing to pay for recovering thoir Jetters. At the same time the tact is shown that, of this class of Jetters forty (40) per cont ay through fault of the writers. The foregomg crtimate of the whole number of letters: contighed to the dead lettor office, is based upon an actual enumeration for one quarter, ended 30th Juno last. A further ea! is now im progress, and information is apoumulating in anawor to inquiries con «ded with the resolution of the , 80 that I may mise a more detailed report alter ‘expiration of the current quarter, From what ia already Known, It J3 aksumed that one miltion of letters become ‘dead’ from causes entircly beyond the control of this Department or of any legistation, 45 to the rematicr, somethid, probsbly be dope both by new laws ‘and reuariaoe to ES teh the number, and certainly sometht re for revarn! to provide wore than at Jeave to with- low instructions, to some extent, have already been iesued to postmasters, te are paliered wo pare Good SN ' Inder former regulations, wapy letters, especially in cities, became idead? ia comsequeace of being wo oan withdrawn from tbe delivery and 80 disposed of a8 not to be obtainable, exospt whem especially called for as “advertised leters,”” and all unciaimet them sooner and in larger mi ond those advertising twice a month, mpnths; while under the former rule then it might penny sometimes be it near! before a valuable letter, would be restored to the owner through office. The retention of lotters in post offlcca, Rah rire Girme Maran view of ths” importance of a ly Feeders bars hdl? greater or lees, to they may be exzused; and I shall therefore proj Congress a modification of the taw in this respect, 80 authorize the return of letters, under certain conditions, at eri aboetor porto yt tlter i E VW eke Among other things which will require amendment by regulation ts the nomenclature of post offices. Tho oxis- tence of large numbers of offices of the same namo, aad cluge similarity of names, even in tho same State, many mistakes. twill be made to guard agaist such diMlcutiios, ana also against Sppropriaiing to new post offices com- pound, or lopg and cult Dames. ‘The ‘whole number of dead letters, containing moncy, registered snd sent ont during the year ending June 30, 1869, was 9,726, of which 8,574 were deliverc: 2 peek ‘Tho whole amount of money recet 1,152 unclaitoed. was $46,718 14; amount restored to owners, $41,143 74. The number of iciters registered and sent out, conta 'n- wg valuable enclosures, other than money, such as bilis of exchange, dratts, bonds, Treasury warrants, & , was 6,€47; of which 7,738 have been restored to the owners, ‘eaving unclaimed 09. The env of the enclosures was $2, ‘ale the amovntof the enclosures in sterling war £6,883 158.’ 6d.; che amount of thy enclosures in francs was 104,421. . The number of dead letters returned (unopened) to forcign couutries curing the last tixcal year was 383,81, divided a¢ follows, viz:—Engiand, 60,310; Frauce, 15,757; Pruseta, 18,409; Bremen, 6,039; famburg, 1,401; Canada, 27.837, New Bruvswick,,'1,780, Nova Scotia, 1,868. The course of businees in the deat letter office seems to have rematced without material, if any, change since the organization of the department in 1836, being limited to the exammation of letters Only So far a8 necessary ia or- der to restore to the owners those containing money or other valuuble cnclosvres; and from the amount of labor ana the swail number of clerks, it has been tmpossibie to make necdcd improvements. Indecd, it has been found, of late years, that even the ordinary duties could not be ouly perfor med; and itis, therctoré, wow & matter of ur. gent importance to provide the trans of improving this interesting branch of the public service. PENNY POST. The system of delivering letters by carriers at the do. ici) of the citizen was first recoguized by the act of Bd March, 1825, and bas within a few years Deen success. fully introduced into several of our principal cities. ‘Though constant endeavoas have been mace to tmprove it, its still imperfect in its details, ana ungatistactory, alike to the public and to the department, ia ite op-ra- lions The system cannot be regarded as having accom- pilehed the object of its establishment, se long as it does not command und dehver the local correspoudence of the different cities in which it exitts, which thus far it has wholly fatied to do. This correspondence is now almost entirely in the hands of private expresses, whuse rates are so low as to make a successfn) competition with them on the part of the government, impossible. ‘Tholr charge for the delivery of a letter is generally but one cent, while this amount is necessarily exacted by the depart: ment for the carriers, and one cent in addition is collected on the local correspondence, as the postage fixed by the act of 1825, on “drop letters.” Hence the aggregate on the city correspondence, under existing laws, which require that the system shall sbe self sustaining, is at loast t cents, which precludes the possibility of pa es nai fal competition with the private expresecs. I therefore re- commend the repeal of this provision of the act ef 1825, so far aa itcan be construed as applying to “drop letters” deliverd by carriers. Tbis would not result in an; perceptible diminution of the postal revenues, inasmu asthe correspondence which would be thus secured by the department does not now pass through its offices. It fs true that the might, in his discre- tion, arrest the operation of these private expresses bj Geclaring the streets and avenues of the cities to wi they beiong to be post roads; but until the department is prepared to deliver clty letters as cheaply and promptly as such companies can possibly do, I sbould regard the Eben of this power as unwise, if not harsh and op- essive. Prgnother motive for persistent effort on the part of duis departnent to render the delivery by carriers ax fpsicm ia being rapicly outgrown by the population of stem is being ray out 2 10 or rincipal cities, Toad’ mast nally te sbeninakaes fe bas in European capitals. There are at present but about four thousand boxes in the Post Office of New York, and yet even this number leads to much ipacuracy in the distribution and delivery of mail matter. Was the number augmented to ten thousand—which would not more than mect the present ever increasing demand—it is manifest that 20 Lapras A would be equal to the task of a sociating the names with the appropriate boxes, and that the practical working of the system would become impossible, A frequent, rapid, and punctuat de- livery, on reasonable terms, of all correspondence re- crived at the Post Offices of our great cities, is what the public bave a right to claim of the department. aad what ‘it will be its unceasing endeavor to secure to them. NEWSPAPER EXCHANGES. ‘The act of 1825 authorized ‘‘every printer of newspa- pers to send ope paper to each and every other printer ‘of newspapers within the United States free of postage,” and such is the existing Jaw. However slight the sup- port which this statute may seem to give to publishers, it inoposes, ip the aggregate, a heavy and unjust burden on the department. The advantage thus conferred enures to the benefit alke of the pubiisher who sends and of him who rccewes the paper in exchange. 1 have in vain sought for avy satiefuctory explapation of the policy indi- cated by this provision. ft seems far more exceptionable than the frapking privilege, since the latter profeears to \ be exercised ou bebalf of the public, whereas the ex- | emption secured by the former is enjoyed wholly in ad- vancement of a private and personal interest. The news- papers received in exchange by the journalist aro, in the parlance of commerce, his stock in trade. From their columns he gathcre materials for bis own, and thus makes | the — business use of them that the merchant doves of his which Proposes to manufacture into fabrics. as the government transports nothin, to the farmer, the merchant or 16 mechanic, to enable them to prorecute suceessfully and economi cally their respective pursuits, why shall it do 0 for the journalist? If the latter can rightfully claim that his newepapers shail be thus delivered to him at the public expense, wby may he not also claim that his stationery aud his type, and indeed everything which enters into the preparation of the sheets he issues as his means of living, be delivered to bim on the samo torms? It has beeu urged, I am aware, that postaze on newspaper ox- changes would be a taxon the dissemination of know- ledge, but go fe the postage which tho farmer, merchant and mechanic pay on the newspapers for which the} eudecribe, a tax on the dissemination of knowledge, an yet it is paid by them uncompiainingly. If it be insisted that the publishers of newspapers, as a class, are in such a condition as to entitle them to demand the aid of the public funds, it may be safely answored that such an assumption ia wholly unwarranted. Journaliam in the United States rests upon the broadest and deepest foundations, and is running @ career far more Drilhant and prosperous than in any othor nation of the world. The exceedingly reduced ratea at whicb its issues pass through tho mails secure to it advantages enjoyed under no other government. Under the fostering care of the free spirit of the age, it bas now become an institution in itself in this country, and controls the tides of the restless ocean of public opin- ion with almost resistiess sway. It is the avant courter of the genius of onr institutions, and is everywhere the ad- ‘vocate of gress and of the highest and noblest forms of human freedom. Is it not, therefore, to the last degree uneectoly, if not worse, that In its own enterpriaes, and in furtherance of its own pecuniary interests, it should claim. permission to violate habitua!ly a great principle of which it is the constant advocate, and which underlies oar whole political system—the principle of equal righta to all and special privileges to none? If, however, from the gran- deur and bencficence of its miesion, the press is to be ex- epted from the operation of this wholesome democratic doctrine, and is to be subsidized to the extent of its post- ages by the government, then, undeniably, such subsidy ey el Piper) lye the ge treasury, lostead cing imposed, as at present, on 97 reve- nues of the Pest Office iteparabet, which under h all ctr- et gel should be maintained inviolate. int @ same category, but for more it reasons, mount fall that class of weekly newspapers. Which the sia? tute of 1862 requires shall be delivered free of ‘post all subscribers residiog within the Jimits of the county in which they are publisl ‘This reqnisition is less sound ‘on the gcore of principle than even the discrimination in favor of the press. There may be eomothing in the cha- Tactorietics of the lattor—ennobled as it is aa the ergan of the intellect and heart of millions of freemen—which might induce many to grant to it special and dietinguish- ing immunities; but why a citizen who chances to reside On one side of a county line shall be exempted from post. age on his ni er, whi fide of that line i obliged Ch peor for erctopting etter” atin pti 4 letters But free of charge throu they aro written, becaure, lighter than newspapers, thoir trausportation, of course, burthens the department less. Couid contractors be foun eufficiently public apiritod to transport this claas of news- Papers without compensation, then their gratuitons dell. very might be claimed of the department as 2 roasonable duty. it precikely the same rate of compensation is demanded and paid for this as for every other postal ger- vice, and hence this privilege is in effect a donation of go much of the postal revenues as the service costs, This violates @ fundamental law of the system, by porverting & fund confided to the government, not to be given away but to be carefully adntinistored, €0 as to afford the largest poreible mail facilities to the social and commercial intor- couree of the country. IDA. ec STAR ‘Tho act of March 3, 1846, declares “ that it shall bo th: duty of the Postmaster-Genoral, in all fature ieuays at contracts for the transportation of tho mail, to lot the , or the mechanic of tho raw material | PLE SHEET. game, in overy case, to the lowost bidder tend ry it guareatoce Yor faithful performance, inate other reference to the mode of auch transper ation ‘hau may bo necessary 0 provide for the due co erity, oor- taioty, and security of such travaportation.”” ‘This Jaw ia stl in full force, and believing that It an? novpers the only principle on which this department oan be succcaMfully adminiswired, au «fort has been made ta confortn 10 the policy whieh It indicates. Accordingly, in Siveriang for the new lettings, Star Bids''~ay are termed in the parlance of thy sorvice—will alone be invited—that is, proposals for conveying tho muils with ‘due colori certaimty avd security,” without any designation of ‘tho mode of conveyavoe. The transporka- ton and delivery of the mails with the utinost despatow aad security are the true ae Gale. mavens peak rare ‘ment; in accomplisb'ng this, it ges i to the country. The provalenco of un opinion which ea- bg pty the sphere of ite action beyond this limit, bas » tended much w involve it ju the om- barracsments with which it is now strugglicg. Thero are those who maintain that the a/\justment of the mail service uot subordinate, to the in tereate of commerce and travel; cheap conveyance of passongers, and tho eu; road, steamboat and atage companies should bo as care- fully looked to and as anxiously provided for by tho do- tmeot as the transportation of tue muils. This isa fallacy, whose bitter fruits: may vow be eeeu im the enormous cums to these companics for. mails, some of which aro 80 feat as goarcely to yleld a reveuue sufh- cient to dofray the expenses of carrying them on horve- back. four-borae coaches are thus run upon borer aud unfrequented routes, aud steamboat lincs are subsidized at which would sevens. Iss the owners of those lines may enriched, and ‘the pablic may bavo casy, modes of conveyance for their Every tor such purposes is a perversion of the postal fund, amd every oue extravagant aud deprives whole communtties in otuer try of the mail facilities to which department, from this misivter; is made virtually the carrier of passengers and murchaa. igo, and what is yet to be moro dewlored, is a carrier without EXPRESS MAIL. AGENTS. ‘Tho employment of these officers by my predecessor, om the great routes from New Yori, Philadeiphia aud Beltimore, westward, was en experiment, the praowcal workiog of which bus not juatied i coutinuanos, Tt has ly been terminated by the substitution of the bogaage masters on these routes for the agents heratfore having charge of the through mata, and thus far the re- sults of the chavge have been satisfactory. Tho rate of com jon has beeu much reduced, 80 exhibit an annual saving of $19,100, a8 com) with the former expenditure while the sorvices havo beea secured of aciass of men believed to be fully competent au faithful ip the discharge of the dusies which they bave assumed upon themselves. RAILROAD SERVICE While it is admitted that the establishment of railroate in the United States bas adited vastly to the colerity of the mails and to the facility with which those of great weight and bulk are transported, it is equally tene that in their train of bicssings have come evils, which have continued to grow with the expansion of the system, until they ave at length reached a magnitude whic demands that ap earnestendeavor sbouid be mado for their correc- tion. The maila were couyeyed during the last year on 26,010 miles of railroad, at a cost varying from $60 to $375 per mile for transportation alone—the aggre- ate expenditure for this class of service bong 248,074. To this is superaddet the salari's of express, route ag-ots and messengers, amounting to $626,174 per annum. Accompauiod and delivered a3 the mails are by the agents of the department, the ser- vice performed by the read is little beyond that whicd it performs for the shipper of a barrel of flour or a sack of grain, Why, then, is a compensation exacted for this service which is 80 exorbitant as compared with what would be demanded of a private citizen for the convey- acce of a similar amount of freight? In Cauadla the com- pensation paid to the rafiroads for the conveyance of the mail is $30 per mile for day ana $40 per milefor night rervice, and $70 when the two serviccs are combined, For this a separate car ig furpished, which is Btted up us 2 travelling post office, and serves for sorting and distri bi the mails by the way.. If the mails are sent asor- dinary freight, under the guard of either an agent of the company or of the Post Office,the chargois but two cents per mile when the weight does not exceed two han- dred pounds, and for any additional weight payment is made in the tame proportion. No reason is perceived why, except upon our great trunk routes, a higher rate of compevaation should be submitted to by our governm-ot an is paid by that Saneda. Even on this fatter cisss of roads the present rates are much too high, ‘but ou the remainder, where the mails are light, they are oppressively extras it. The rapid muluplication of Srosde—o all of which the law provides that tue mails shail be carried—is constantly increasing the evil com- tained of, These roads are in every direction, ponotrat- g comperatively sparsely populated portions of the country and connecting with smail towns, where the cor- Tespondenoe ts neceseartly limited, and if they are all to continue to this enormous subsidy at the hands of the department, however unimportant the mails carried, no very strong hope of disenthralment from its present ombarrazements, can be indulged. The remedy is to be found in ap amendment of the act of March 3, 1845, which I would respecttully urge upon the cousideration of Con- gress. A reduction of thiety three and @ third per cont upon the maximum rates fixed by that act would still Jeave a very liberal compensation to this class of contractors. Congrese express their con- currence in this view, it caunot be belleved that the intelligent and public spirited citizens who have the contro) of roads will continne to insist on terms which it must be manifent 10 4 thou, ag, it ie to all, the re- or arte! enable it to most. iter griovatce resulting from the railroad system consists tu the disinclivation of many of these companies to agaume upon themselves the obit imposed on all other contractors in the service of the Department. Of the three hundred and eighteen railroa routes in the United States, there aro one hundred and thirty seven on which the is are transported without contract. routes are the most important, from their length and the weight of ~ mails transmitted upon bsiced and yot tho incorporated companies controlling them pere ements with hs ener, g e! i refuse to enter into those ep} ment which the law and the highest interests of the ‘postal service demand. Thi¢ C2 ral was carly taken by rail- road companies, and, rather than inaugurate a series of controversies which might be protracted and interrupt the regnlar conveyance snd delivery of the mails, ‘the Department bas yielded, though coustantly ros against this lawless course. ‘COUsEG ENCE been that they bave carried the mails w! and as they plesecd, dep rtivg aud arriving at such hours and moy- ing at fuch speed as was agracable to them. It is true thet a few of the companies have manifested a liberal syArit in co-operating with the department in the arrange- mevt of theschedules, but they have done this rather as a courtesy than as an acknowledgment of any obligation on their partto doso. The adjustment of the schedules is of the very essence of the postal organization, and upon | ite exercise the harmony and success of the whole system. depend. If this right ia to be given over to the vacillat | ing counsels and conflicting interests of the numerous rail. Toud companies, the service must loge ita dignity and pow- | er, aud wide spread derangement and inefliclency neces- | gaily ensue. The law regulating the transfer of tho mails | wtheee roads contemplates that the dopartmont shall | make & contract evidencing the terms on which the ser- | vice ia accepted; and the act of 1836 declares that “no per- son whese bid’ for the traneportation o” the mail may be accepted, shall receive any pay until he shall bave exeonted his contract according to law and the regula- | tious of the department.” The course heretofore pur- sued, of recognizing and payixg the claims of these roada | in the absevoe of any contract, has been in disrogard of ‘the statute cited, and it has been equally at variance with | gound policy. The public weal, as well as the law, re- quires that railroad companics, a8 carriers of the mails, shall be subjected to the same wholesome discipline to which all other coptractors are subjected. As fully ox- plained in the accompanying report of the Auditor, to which reference is had, their failure to enter into these contracts creates gerious and perplexing ombarrassmonts in the collection of the revenues of the department which ehquld not be submitted to. With every disposition to deai with them most liberally, and with a full recognition of their yalue a8 postal agents, and of their incal- culable power in devolopimg the resources of our country and promoting the enterprises of its ma- terial ‘civilization, sti! it is manifest that their prerent attiuide—seemingly defiant in its tone, agi it is dieorganizing ip its tendencies—cannot be endured without humiliation to the government, and witbont serious peril to those great interegta which it is the mission of this department touphold and advance. If they can successfully masntain Position they now occupy, then they control at willthe movements of the mails, and virtually tho department is administered by them ’instend of by its appointed bead, Entertaining theee views, proporais will be invited from the different railroads, and the companies will be notified that after the Bist day of March, 1860, the mails will be delivered to them only op condition their entering into formal ~agreements, containing on their ‘the usual stipulations for tho faithful ormance of service. The remote day mentioned ‘been named in order that the dopart- ment, in the execution of the new contracts Lis sen might avail iteelf of any modification of the act'of 1848 which may inthe meantime have occurred. Congress, b; hom owed 3 14, 1858, , by an act approved June authorized the Peetmaster General ‘to make euch arrapg the transmiseion of the great land and New Orleans, certain copnection May be consistent with the despatch.”” larities and delays which 80 distin- to the enactment of thn aw. be entjoned phe et we. exhibit the a nore period be- tween Now York and New Orleans, dut past year, as well as the number of failure to arrive within schedule time on the two routes designated. SOUTHWESTERN VIA KNOXVILLE. Schedule time, 5 days. Actual time, 6 days 22% hours. Arrivals in schedule time, 241. Arrivals out of schedule time, 389, ‘ATLANTIO Schedule tne, 65 4078 Actual aver: ‘a hours. “Arriva in wehedule Umno, 403. «outot 986, fully the convietion which ecems entertained by Congress aa to the necessity of thie be tan ft Den horgtoforo altsiedy 10 id service on a better vale were foliested for & complete guaranty— for any trip on whieh ‘thore shout witoin echedule time. As Congress minal points of the ronte, the same in the invitation for and ‘were thus left free to four routes, Jet, Via Boeton and Springfield Mass ; Albiny and and Cincinnati, Ohio; Cairo, 1, Jackson, Canton, Miss; of a8 above, and burg, Penn., a branch to and from New York city, contecting a¢ Albany Postmaster General may or at Philadel an the for, oF via route ax'sbove, with branches from Crestline, ia, Penn., and a Ohio, b: Ponn., to Philadel from Harrloburg, feng., to Boltimore, Md,’ and. also afford postal accommodations to | , Cortana themselves, bromch w and from Now York ) Connecting pen or Philadephia, as the Potente Genoral bret or, 24. Vin Portsmouth, N. H., Boston, Worcester, and ingteld, Muss,, Hurtfora gud New Haven, w York, N Y., Mhiladelpbis, Ponn., Baltimore Cumberland, Md., Benweod, Va., Boll Air and Calum. bur, Odio, Cairo, Hl., Columbus, Ky., Jackson and Grand Junction, Tena,, and Jacksow, Miss, with a branch from ber oo neg to hy Serre fh A caus Vie. ‘temouth, NH. , Bortou ans uy Mana, Hartford aud New 'Haveu, Conn., New York, 'N. Yop Ydiladelphia, Pa., Baleamore, Ma., Washington, D. 0, Alexavdiia apa rg, Va. ville, ‘apd Grand Junotion, Tenn., and Canvon, Miss 4. Via Portsmoth, NH, pringdeld, Mi ork, NY, Via NH, Boston aud § Hertford aud New Havow, Conn , Now Gelpbia, Fa., mare, Md. mond, Petersburg and ‘Norfolk, Va., Cedar Keys, jorto.| by stcamboat from Baltimore, Mo., avd by railroad from Weldon, Na, Per, two lines between aud Welton—eue jor fol ud a Brauch mail to be conveyed once a Wook by tose? er trom Codar Keys to Key West, Fia., aud to be oxtamded. to Havana, for the posteges, if desired by the dopart- meat. Covgress evidently contemplated the uitimate establish, inept of several routes between the termin! montionse, bes ae tbe Bervice 18 aD experiment and ope attemied wite very beavy expense, it is deemed advissbie to tabiieh but ope for the present. Which that should rations, tbo force = a zs | | { woust depend on a variety of conside i jepend pte ere full cuting this contract wey be regarded as | by. the atatote referrea to, yot the amount of compensa - | top o¢manded was vo much greater than had bron antt- cipotoa, that [did uot feet justified, in view of the embar. { rasements of the Department, to tucur so heavy a tamil | ty wibout submitting tho mater to the consideraiice of } Congress, As a postal enterprise, this yields to its magnitude and it }, and the the general solicituce for its success I trust that Oem- Sotrars aggeeten by wctng the ueceesury appre contract: Lf iB the wi ‘eppropr or will indicate for the departunent such a course ministration as shali warrant it in closing with sv ord which bave received and held unger advisement. MISSISSIPPL RIVER MAILE. mn service eo St. Foul — New peter ed during past year ot an aggreg: } $828,278. Its carnings were too incovaiderabie to Subject of serious comment. The estabiishment river route on ite presevt basis was resisted by the partment as long 46 was possible, from a thorou viction that it would iovoive a most deplorable w its revenues. Thi conviction, however, was unheeded, and on the 5th of August, 1854, Congress, by a man act, ebliged the Postuneter General to put it into tion, irrespective of its product, and irrespective absence ot thoee postal wants which .the act professed to eupply. The result bas fully realized the auticipations | ano predictions of the department. Since the passage of the act referred to, more than thirteon hundred thousaad dollars bave beep expenced in the transportation of these river mails with a return so stight as scarcely to justify the designation of the expenditure as portal in its character. For a time, it is trae, that the route possessed some importance, because of the through mails which passed over it; but’ from the oom- pletion of various railroads, these through mails’ aro new: conveyed by land, and in consequence the river route has ‘become essentially local, and supplies oaly the small offloes along the banks 0; the Mississippi. All the large towne are or will be supplied in aivance by lateral mails cur- ried on the railroads, It is believed thet the service could be performed for one fourth of the sum which & now costs, were the department permitied to contract fer it by the trip. A reduction amounting to $47,214 has been. made above the month of the Oblo, and were @ corres- ponding reduction made between Cairo and Now Orleans, the expenditure would be stil greater than the revenue from the route would justify. The terms of the act, however, do uot seem to contemplate such a cnrtaiment ‘as the altered capabilides of the service now imperatively demand. ‘The matter is referred to as un illustration of the disastrous consequences which must follow from a course of legislation that takes from this departmont all discretion, and constrains itto enter into engagements which place the mail service beyond the reach of that wholesome revisory power which sound policy requivos be constantly exercised in adjusting its operations te u T recurring vicissitudes to which it 1 exposed, Believing that this ronte, while continued on its present footing #s to compensation, fatls clearly within the cate- gory of nen postal, I respectfully suggest the propt of Plactog it, leew its carpinge, on the aged treusury, epormour amount annually drawn by it from the revenues te ip effect, aad was probably intended to of but a subsicy in oid of Southweatern commerce, which needed, and the nation is willing to bestow it, should un- questionably be contributed from the national funds. PACIFIC MATL. On taking charge of thie department, I found establiah - ed and in full operation, six different routes for conveying the mails to and from California and our other Pacific pos- scesions, viz:— Annual cost, Annual receipts. 1. From New York and Now Or- Jeans, via Panama, to San Fraa- i cal é 3 ti} kes 5 ® i cieco, semi-mouthly.......,.. $738,250 00 290,072 68 2. From New Orleans to San Franolsoo wantepec, gemi-monthly..........+ ++.- 250,00000 5,276 68 3. From San Antonio, via Fl Paso, te San Diego, semi monthly (reekly, trom ‘San Antonio to Pano and Fort Yome)...... 196,448: 00 601 08 4, From St. Louis and Memphis, ‘vin El Paso, to San Francisco... 600,000.00 27,209 94 5. From Kansas, Mo., to Stockton, Cal., monthly. +. 79,00900 1,255 60 6, From St. Joseph's, Mo., via Utah oity, to Placerville, weekly eorvice,. fe 0 6,412 08 The annua) disbursements for these six routes were thus $2,184,697, and the receipts from them but $939,747 €6, showing a loss to the department of $1,844,- 949 66 per annum. ‘The expenditures fer local mail service in tho States of California and Oregon, and ip Utah aad Washlogton Torri- tories, during the past year, amounted to $508,691 18, which, being added to the cost of the routes named. gives & total of $2,603,804 13. The population au by this enormous pay doea not exceed gix hundred and fifty thousand souls—tbus exhibiting & postal expenditure of about $4 14 for each person, including all agea and conditions. The remaining $12,271,099 20 of the gress annvel disbursements of the department furnish facilities for thirty millions of people, being in the pra- portion of less than forty-one cents for each person. Were the inbabitants of the country east of the Rocky mountains eerved by the department at the same rate of exvenditure with on the west, it would regnice annually one hundreg and twenty- *tx millions eight bundrea ond ninety-three thousaad three hundred aud ninety four dollars for ita support, instead of the $14,964,493 83 now actually expended by it. It was apparcnt that tne whole field of postal operations offered nO point more urgently calling for curtailment than these Pacitic routes, and hence the action in rofe- rence to them, deemed appropriate, was taken without delay—a detailed account of which is subjoined. NEW YORK, NEW ORLKANS AND CALIFORNIA MAILS, The contracts for these mails via the Isthmus of Pana- ma, oxpiring on September 90, 1859, and not being wiiling to extend them, because of the exorbitant compensation exacted, Tinvited proposals for their transportation for nine months only, in order that Congress, which has 90 constantly supervised this service, might have an oppertu- ity of placing it on such busis aa Sbould be agrooablo to tt The result has been tho conclusion of an engagemont with Cornelius Vanderbilt, who hes ‘spoon for the convey- ance of the mails, for tho period named, at $37,500, for those to and from New York, and $160,000 for thos te ee New Monee Sag Sennen added the rail- roa arges, amounting to $7! }, tho aggregate cost will bo $262,600, or, with tho enlary of the teail, mos. seugers wided, at tho rate of $351,000 per annum, and showing an annual gain, as compared with the pre-oxist- contract, of # 1, oe te amownt paid for few Orleans service is Uberal, but tt has been submitted to ch cerfully by the de. partment, because of the earnest desire felt to place that commercial emporium of the South in as di-ect commun) cation as possible with the Pacific. The contractor has also obliged himself to transfer these mails to the Nicara- ee, route at the carliest moment practicable, and from his igh character and indomitable energy, eonnected with the vast capital which he wields, no dondt is ontertained but that the pledge thus given will be promptly and faith- fully redeemed. This, by avoiding the onerous Panama Railroad tariff, will still further reduco the expenses of transportation $60,000, and will establish on an ee footing a great national thoroughfare, the opening of whi has been and ig an object ‘uvtversal solicitude. The Journey to our Pacific States and Territories will thus be shortened by some 700 miles, and permanence given to a route which must be the ¢uccesaful rival of that via Pana- ma, and whieb, at present, is alone capable of affording adequate protection those exactions of the Pandma Rajlroad and Pacific Judgment of the public has long eoisaed thtes: judgmen' ‘since in > sonable and on 3 route, being treated as not strictly postal, bus been ‘on the troa- ia very clearly exprossed im ite ita annual expenditure of $260,- ig comparatively ugcless, postal communication, 4 \cl8oo, passing few days in advan its arrival at New Or! will be reduced one ew Orleans