States, j.aiul the future industry of their citi . aens, been indefinitely mortgaged to the ... subjects_pf European Governments, to/the amount of twelve millions annually, to pay ' the constantly- accruing interest on borrow ed money—a sum exceeding half'the ordina ry revenues of the whole United States- The pretext which this relation affords to foreigners to scrutinize the management of our domestic affairs, if not actually tointer . meddle with them, presents a subject for earnest attention, hot to say of serious alarm. Fortunately; the Federal' Government, with'the exception of an obligation entered into in behalf of the District-of Columbia, which must soon be discharged, is wholly exempt from any such embarrassment. It is also, as is believed, the only government which', having- fully and .faithfully paid all its creditors, has also relieved itself entirely from'debt.- To maintain * distinction so desirable, and so honorable to our national' character, should be an object of earnest solicitude. Never should a free people, if it be possible to avoid it, expose themselves to the, necessity ,of haying to treat of, the peace', (he honor, or the safety of the lie public, with the governments -of foreign creditors, who,-however, well disposed they maybe tocultivafe with us in general friend ly relations,) are, nevertheless by the law of their own condition, made hostile to the suc cess of permanancy of political; institutions like ours. /Most humiliating may bo the cmbaTVassments/consequeut~upoii suclr a condition. Another objection, scarcely less formidable, to the commencement of a new , debt, is its inevitable, tendency to increase in magnitude, and to foster national extrav agance- He lias been an unprofitable obser ver of events, who'needs at this day .to be admonished o( the difficulties whicha gov ernment, habitually dependent on loans to sustain! its ordinary expenditures, lias to en counter in resisting (be influences continu ally exercised in favor mf'additional loans, by capitalists, w.ho enrich themselves-by govermnent securities for amounts much exceeding- the money they actually advanced, a prolific source of individual aggrandize ment in all borrowing 'countries; by stock lioldcrs, who seek their gains in the rise and fall of public stocks; and'by the selfish im-j portunities of applications for appropriations for works avowedly for the accommodation' of the public, 1 but the real object of which are, too frequently, the advancement of pri vate interests! '. The known necessity which so many of the States will be under to,impose taxes for 'the'payment of the interest on their debts, - furnishes an additional.and very cogent rea son why the Federal Government should re frain from creating a national debt, by which the people would-be exposed-to doulde tax ation for a' similar object. \Vc .possess within onrsfclves ample resources: for every emergency; amlw.e may be- quite sure tliat our citizens, in no future exigency,- will be Unwilling to supply 'the government with nil, the means asked for the 'defence of'the country.- In time of peace there can, at all - events, be no justification for the creation of a permanent debt by the Federal Govern ment. Its limited range of constitutional »lutie3;may: certainly, under-such- circum-- Btances, be performed without.such a resort. • It has, it is seen, he.cn avoided during foul years'of" greater fiscal difficulties than have existed in a similar period since the adop tion of the constitution, and one also remar kable for the occurrence of’extraordinary cases.of expenditures. ' ’ But to accomplish such a desirable object, two things arc indispcnsiblc: first, that the nctiqn of the Federal Government be kept within the boundaries prescribed by its fqun- 1 dei's; and, secondly, timt all appropriations for objects admitted to be constitutional, and the expenditure, of them also, be subjected to a standard of rigid but well considered and practical economy. The first depends chiguy on the people themselves, the' opin ions they form of,the true-construction of the constitution, .and' the confidence they’ Vepose in the political .sentiments of those they.select as their representatives in the Federal Legislature; the second rests upon the fidelity with which tjieirmore immediate -representatives', and. other public function aries, discharge the trusts committed to them. ■ The duty of economising the expense of the'public service is admitted on all hands; •yet there are few subjects upon which there —oxists-.a-wider-difference- of opinion -in-re-t gard to. the fidelity with which that duty l is discharged; . Neither diversity of sentimciit,' nor even mutual recriminations, upon a point in respect to which the public mind is so justly sensitive, can well be entirely avoid ed;' and least so at periods of great political excitement; An intelligent people, howev er, seldom fail to arrive ,in the end/at cor ■ reel conclusions in such a matter. Practir ■ cal economy .in■.the inanagenient_of public affairs can have no adverse influence to enn tend with more powerful than a.-large sur plus revenue; and the unusually large ap propriations for 183 r. may, without doubt,, independently of , the extraordinary requiai !- tiqns fortthc out of tlie'state of, our Indian, relations, be, in no inconsiderable degree, traced to .this source; The sudden and rapid distribution of the large surplus then-in the Tre'asttry, and the "equal ly sudden, and unprecedentedly severe rev olution-in the cenimerce and business of the country, pointing with unerring certainty to a great dnd protracted reduction of the rev . ' strengthened the' propriety of the /J&irUest practical reflection of the public ex-; :-penditurcs. : . - But, to change a system operating, upon large a surface, and applicable to such numerous and diversified interests and ’ob jects, was-morethah the work of a day.— The attention of_ every department of the government was immediatcly/and- in:good faith, directed to that end;’ and has! been so ■ continued to the present moment. The e's timates and appropriations for.thc year 18.38 (the first over which I had any control) wove somewhat diminished;. . , i: The expenditures of 1859 w'ore reduced six millions of dollars. Those’of 18-jO, ex cluaiveofdisburscnients for publicdebt and trust claims, will probably not exceeiltwen ' ty-two and a half millions, being between two .and- three millions less .than’ those of 1837".'! Nor’hes it bccn. foa'nd neceßßaryv in ordentn prpduce thisieesulf,.to.'.resbrtto'the powm 1 /conferred J» postjibdirig' !«’ by deferring cxpendi turca loir a Short period upon a limited portion- of them; , and Which postponement terminated some time since, at. the moment the Treasury Department by, further receipt from "the .indebted banks, fully , assured’ of its nbility -to .meet them without prejudice to the public, in other re spects. Causes nVe in operation which will, it is believed, justify a still further reduction without injury to any important national interest. The expense of, sustaining the troops employed in Florida hayo/bccn.grad ually and greatly reduced, through the per severing efforts of the War Department, and a reasonable hope may be, entertained that the necessity for military -operations in that quarter will soon 'cease. The removal of the Indians from within,our settled borders Is nearly completed. The pension list; one of the heaviest charges upon the Treasury, is rapidly diminishing by death. The nlosf costly of our.public buildings are cither fin ished;. or nearly. so; and .wo .inay, I think safely promise ourselves a continued exemp tion from border.difficuUies. ' The available balance in the Treasury pii the Ist. of January, ncxtffs estimated at one million and a half of dollars.: 'ljfcis sum, with the expected receipts from during the next year, will, it is believcd.'be sufficient to enable the Government to. meet every engagement, and leave a suitable bal ance in the Treasury at the end of the year, if the remedial measures connected with the customs and the public lands) heretofore re commended, shad be adopted, and the new appropriations by .Congress shall not-carry the expenditures beyond the,official estimates. The new system established by Congress for the, safe keeping of the public money) prescribing (be kind of currency to be re ceived for the public revenue, and securi ties against losses,, has now bech several months in operation. -Although it might be premature, upon an experience of such lim ited duration, to furni a definite opinion in regard to the extent of its influence in cor recting many evils under which the Federal Government and the country, have hitherto suffered—especially those (hut have grown out of the banking expansions, a'depreciat ed currency, and official defalcations;,yet it is.but right to say thatnothing h’asoccurrcil.. in the practical'operation of-the, system to weaken in the slightest degree, buf miich to strengthen, the confident anticipations of its friendsi ' .’jUlic grounds of these ,have been heretofore so fully.explained as to require no recapitulation. In respect tojlhc facility and convenience it affords in. conducting the public'servlce, and (hedbility)of the Govern ment t 6 discharge through its agency every duty attendant oil the collections, transfer and.disburscment of the public ihuney with promptitude and : success, I can say, with confidence, that; the apprehensions of those who fell it tube .their duly to oppose its adop tion have proved to_,be unfounded. .On the contrary, this branch of the fiscal affairs of thw Government hns v been, and it is believed may always be, thus carried on with every desirable facility and security. A-few chan ges and improvements in the details, of the system, without.affecting lihy principles in vidycij hi ii,. wi) J subjui tted to. you by the Secretary of,the-Treasury, anil will, I am sure receive at your hands that attention to which theymay, op examination be found to be crUftlcd. j " 1 have deemed this brief summary of qur fiscal affairs necessary to the due perform ance of a duty specially enjoined Hpqn mu by the constitution.' It will serve, also, to illustrate more fully (he principles by which: I have, been guided in reference to two contested points in oiti; public polity, which were' earliest in their development, and have been more 'important in their consequences, than any that ftrbse under our complicated and difficult vetjgd mirable, system of Government: I.aflude.to a national,debt, ami a national bank. It was in these that the. political contests by which the country has been agitated ever since the adoption of the-constilution r ,nnd in a great measure originated; and (here is too much reason to apprehend that the conflicting.in terests and opposing principles thus marshal led, will continue, as heretofore, to produce similar, if not aggravated, consequences. Coming into office the declared enemy of both, I have earnestly endeavored to prevent a resort to either. . •-, The consideration that a lai-gc public debt affords an apology, and produces: in some degree, a necessity also for resorting to a system'and extent-of taxation not only op pressive throughout, b.ut;iikewise, so apt to lead in (he cild, to'the commission bftliaf inost odious of all offences against the prin ciples of republican government—the prosti tution of political power .conferred for the general benefit to. the aggrandizement of particular cliisscs r . amUthc-gratification of individual cupidity—is alone sufiicicht, in-, dcpendenlly of the weiglity objectuiris which have already been urged, to render its crea tion and existence (lie sources of bitter and unappeasable discord. • : If we add to -this; its inevitable'tendency to produce and foster extipvagapPexpendit-. ores of tlie public mohey/bjtiWhrciltMpccessi-' ty is created foMicw on the people; and finally/lffwoTcfer to the 'exahfples bfet’ery got 7 isted, for proof how seldom .it is/ llnit tlie system when once adopted and implanted in (he policy-of a country has failed to expand itself until public credit'was exhausted, and the people were no longer able to endure its increasing weight, it.secms impossible fo .re sist the conclusion, that rid benefits resulting, from its career, no extent bfpeenquest/no accession of ivealth to particularclasses, mu' any, nor’all its combined advantages can counterbalance its ultimate. .bul certain 're sults—a splendid government hnd an. im poverished people. v l -; : . If a national bank was, as is undeniable, repudiated by the framers of. the constitution as incompatible with the rights of the States ami the. liberties of "the people; if from the beginning it lißB : been regarded by large.por tions of ,oUr citizens as coming in direct c6|- hsion-with that great and/vital amendment of the constitution which-declares that all powers mot, conferred by that instrument on the General Government arc reserved to the j ? lU V*° peu.plcj if it has heen view e“ PS them ns great'. step in the marc|r_qf latitudihbus't'cipnstructibri, which unchecked \ wou 1 d remlcr that sacred ihstru mentofas-littlevoluoaaanunwrlttcn-'bbn- strtution,- dependcht, hs It would alone be. for.lts nieamng, on tlic iiitcreMeif interpre tatiorTm- a dommant parly/atii) affordiiigno secunty.td the rights pf.iheinmbnty- if is umlfchiably the case, what rationnl grounds could liave-beeh' ' might but dcTFrnunc'trwppositiOn"to" Buchan institution at Ihe present day? '• Could a dißei;cnt result have been expect ed, when the consequences winch have flow ed from its creation, and particularly from its struggles to perpetuate its existence,,had confirmed,-hi,>so stfiking.a manner, the.ap prehensions’of its earliest opponents; when, it has been so clearly ■ demonstrated that a concentrated money power, wielding so vast a capital and combining such incalculable means of iiiHuencc, may in those peculiar conjunctures-to which-this government is unavoidably cxpCsed,'pt-ovc an overmatch for tli.e political power, of the. people them selves; when the true .character of its ca pacity to'regulate, according to its will and its interests, and the interests of its favorites the value and .production of the" labor, and property .of ever} - country; had been so fully and so Tearfully, developed; when it Was-no torious th;it all classes of this great commu nity had by 1 means of the power, and influ ence it thus posseses, been infected to niadr ness with ,a spirit of heedless speculation; when it had been seen that, secure in' the support of the -combination of influence by which it was surr&.undcd, it could violate its charter and set at defiance the lawswith inir punity; and when, too, it had become most apparent that to believe that such an accur mulation of powers can ever be granted without the certainty of being abused, was to indulge" in a fatal, delusion? . . . -To- avoid thc-noccssity' of-a premature, debt and its inevitable consequences, I have advocated and endeavored. to carry into ef fect the policy of confining the appropria tions for the poblic service to such ohjepts only ns are clearly within the constitutional authority of the Federal Government; of excluding from its expenses those improve ments and Unauthorized grants .of public’ money fur works of infernal improvement which were so wisely airested.by the consti tutional interposition of my. predecessor, and which if they lind not been so checked, would long before "this lime have involved (he finances of the General Government in embarrassments far greaterthaii'thbscftvliich are now experienced by any of the. States; of limiting all our expenditures to that sim ple, unostentatious, and economical admin istration of public aflairs, which is alone consistent with the character of our institu tions; of collecting annually from the cus toms, and the sales of public hinds, a reve nue fully adequate to ddfray.nll (lie expens es' thus incurred, but under no pretence .whatever, ..tm iinposU-iaxcs ..upon the .people to a greater amount than was actually ne cessary to (hepublic service,conduced upon the .principles I have stated. - ■ In lieu of a national bank, or, a dependence on banks of any description, for the man agement of our fiscal affairs, I recommend ed the adoption of the system which is now in successful operation; That system affords cveryTequisite"facilityTor thirtransaction qf ■the pecuniary concerns of the Government;: A -will, it is confidently anticipated, produce in other respects many of the benefits Which, have been froni trine-to, time expected from thc.cication.gf a national bank, but which have newer hccn-rcalizcdpavoid ihebrianifold evils inseparable, from such an institution; diminish toTi greater extent -than could he accomplished by-apy other measure of re-, form, the patronage,of the Federal Govern ment—a wise policy in All.. Governments; hut more especially so, in . one like oil is, which works well only in proportion as’ it is made to rely for its support lipon-lhe un biassed and unadulterated opinions of its .constituents; do forever all depeu danccon corporate bodies, either in the rais ing, collecting, safe keeping or -disbursing' the public revenues; and place thb govern ment equally above the temptation of fos tering a dangerous and unconstitutional in stitution at home, or the necessity of adapt ing its policy to the views and interests of a still more formidable money power abroad! It is by adopting and carrying ont these principles, under , cjrcumstanccs the most arduous-and discouraging, that the attempt, has been ipade, thus far successfully, to de monstrate to the people of the United States, that a national bank At all'linies, and nation debt, except it be incurred at a period .when the honor and safety of the nation demand ed "the temporary sacrifice of a policy which should only he abamluncd in -cies, arc not merely unnecessary, .but in di rect and deadly hostility to the principles of their government, and to their own permar ncnt-wclfarc. —; >' The progress made in the' develupemcnt of these positions appears in the preceding sketch of the past history and present stale of the ''.financial' concerns of the Federal Government. Thc'fa.cts there stated fully authorize the assertion; .(batall the' 1 purposes for which this Goven/melitr was instituted; have been accomplished during four years of greater, pecuniary, embarrassment-than were "ever in Tumi of peace'/ ami in the shape’of. opposition as formidable as any.that ?\vas,ever before arrayed against the policy ,of ;ari adm r iflistratioij:.dhat_this has been don’eijwheu the’ orilinary revenues of the "guvcnihtent' wero generally' deefeas ing/as'well'ffohT operatipu'drihc laws, as the condition of -the country/;.without creation of'ii’permanent publ’j.c debt, or in curring any. liability, other Ilian such as the ordinary resources, of the ..-.Government will speedily discharge, and without’the agency of a national bipik. ; . , -. .ir tliig viciy' of the .proceedings of tlie government for; the ...period it embraces, be warranted by the facts as they are known to exist: if the army Ond navy have- been sustained to the full extent authorized by law, and which Congress deemett .'sulficicnt for the defence of the country and the pro tection of its rights ’ ami its , Honor; if its ctyil service fetijUtilly Bustain^j/-tnfj‘?aniplepfbvisiuif; Hast .bdeii maidcfor'llie administration"of justice : and , the ’exectitiim oftlie layvsj if’the clainVs.upbh; public gratitude inybehalfof the’soldiers of the Rivolution havebeen promptly ntet/ahd faithfully discharged/ if Ujerc have been no failures in defraying (he’ Very : large'dxpehiii tures gfmniigouFofthaf loiig coriiiiiiicd aiitl salutary ‘policy of .|)eaeefully ''fcmoyihg'.the Indifiiis- to r'egiohsid' comperativO safety anil prospeiiiy/ if the jiublifc .faith lias at oil times and eveiy‘ where',been iriastscrupuloiisly maintained by a 'proinpt dißcharge ,of "'the numcroUhj ektehiled‘abd.'.diVcrsified 'clniins on the : Treasury;—if all- these, great and permanent‘objects,- with many others ’that mightbe sfated/ liave for a series nf yeara, inm-lfedbyj'ccuiiar.obgtncles and 'difficulties, treejiy'ufccoh^ immcnttlcbtr.orHo rtie aid-ot'a-national-bank,. liave we not a right to expect that a policy,- *thc object oT which has beta to. sustain the public service independently of, either of these fruitful'sources of discord, will receive the final sanction of a people whose unbias sed and fairly elicited judgment upon pub lic a {fairs is.ncvcr ultimately wiong? That embarrassments in tlje pecuniary concerns of individuals, of unexampled cx,- tent and duration, have recently existed in this bs in other commcrciid nations is un doubtedly true. ■ To suppose it necessary now tu trace these to their sources, would be .'a.reflection on the intelligence of my, fellow-citizens. Whatever, may have been' the obscurity in' dhich this subject was involved during the earlier stages of the re; vulsion, there cannot now be many by whom the whole question is not fully understood. • Nut deeming if within the constitutional powers of the General Government to re pair private losses sustained by reverses in business having no connexion with the pub lic service, either by direct appropriations from the Treasury, or by special legislation designed to secure exclusive privileges or immunities to individuals or classes in pre ference to, and at'the expense of, ;thc great majority necessarily debarred from any par ticipation in them, no' attempt to do so has been either made, recommended, or encour aged by, the present Executive. It is believed, however, that the great pur poses for-the attainment,of_which.the bed-, eral Government was instituted have not' beqn lost sight .of. Intrusted only/with certain limited powers, cautiously enumer ated, distinctly specified, and defined with a precision and'dearness''which, would seem, to defy misconstruction, it has beeniny con stant aim to confine myself Within the lim its so clearly marked but, and Jso carefully guarded. _ Having always been of opinion that dhe best preservation of the Union" of tile. States is to be found in a total abstinence from the exercise of all doubtful powers .on the part of the Federal Government, rather than by attempts tu assume them by a loose construc tion of the constitution, or an ingenious per version of its words, I have endeavored to avoid recommending any measure which I had reason to apprehend would even in the opinion of a considerable minority of my fellow-citizens, be regarded as trcnchirig'on (lie right of fhe States, or the provisions of the hallowed-instrument of our. Union.— Viewing the aggregate, powers of "the Fed eral;Government as a voluntary,/concession Of (he'States, it seemed toino that such only should, be exercised ns were at the time in tended to-be given. 1 have been strengthened too, in (he pro priety of this course, by the conviction-that all efforts to go beyond this, tend only ,to produce dissatisfaction and . distrust, tu c Sr cite'jcaiousies, and to provoke resistance.— Instead of adding slrengthTo -.the Federal Government, even when, successful, .they must ever prove;a source of incurable weak ness,.byidienaling a portion'of those whose adhesion is indtspunsible-to the great aggre gate of.united,strength,.and .whose volunta ry atlaclitucnt is, in my estimation, far inure essential to the efficiency of .-i government strung .in the best of all possible strength— (he confidence and attachment of all those who make up its,constituent elements. Thus believing, it lias been my purpose to secure to.the whole people, and To every member of. the confederacy, by general, sal utary, and equal laws alone, the benefit of those republican institutions which it was the end and aim of (he constitution to estab lish, alid the" iiltpiltial influence of which is, in my judgment - , indispensible to their preservation. I cannot bring myself to be lieve that the lasting happiness of the peo ple, the prosperity of the Stales, "or the permanency of their Union, can be main tained by giving preference orprioityto any class of. citizens in (he distribution of bene fits or privileges, or by the adoption of mea sures which enrich one portion of (lie Union, at the expense of another; nor can I see in the interference, of the Federal Government with the local legislation and reserved rights of the Slates iv-remedy for present, or a se curity against future dangers. ‘ " The first, and assuredly not- (he least, im portant step towards'relieving the country from tlie condition into which it had, been plunged by excesses in trade, banking, and credits of all kinds, was to place, the busi ness transactions,'of Urn GoyerhmenJ, itself oii'a suliil basjsj 'giving and receiving iiiTifi cases value fur valuej unit neither counten ancing nor encouraging in othcrsThat delu*- sive-system of credits from which it has been found so. difficult to escape, and. which has left nothing behind it but the wrecks w'hich mark its fatal career.- - ?- That the financial afiairs.of .the govern ment arc now, and have been during the whole periqd of-those wide spreading diffi chltics? conducted with a strict and invaria,- blo .regard to this great and fundamental principle, and that'by .the assumption and strict nVaintainanccr of the stand thus taken On .the very -threshold of (he approaching crisis,iirorelluuibyanyi)thercaiise_»rcauscs whatever; the community at large has been shielded from The Incalculable evils of a /general and indefinite suspension of specie payments, anil a consequent annihilation, liq- the whole period it might have lasted, •'Of- a just and invariable standard of value, will. it is believed; at this period, scarcely lie questioned., '; A; steady adherence, on The part of The Government, toTho policy which-lias -pro-'' duceiKsuch salutary results, aided by-ju dicious State-legislation, ami,-what is not less important, by the industry, enterprise, perseverance, arid . economy, o\ the . Ameri can people, cannot Tail To raise the; whole country, at' an/early.'period;'‘-to a /state of solid.arid ctuluring, prosperity, not, subject to h’e'overthrown by .the Suspetision of lJanks, of the explosion pt a ; Bloated credit-system. ■ If is, fpr, the ,people, arid': fives, riot flie.p.cfmari-; enf welfare of the’, countfjfCw.lnEh ,(ili:gqod_ equatly dpslrc, hpiyeverTvidely-fhey trijiy.difief-as toThVuVcansbfits accoiiVplisli niehf,) shnll lip i"This way secured; for pecuniary conceiny ; 'bf TKe Goveynmerif,-, and by conse quence, tori great als riiso.y shaU be parrlcit Biiek jo ri conditiori of 'things which, fostertid and ''expansions; of the currency, arid Those feckless.abuses'-of i.clredit, froin .(lie rbaleful' effects of which the 'country has so deeply suffered—a. 1 re t urn that can promise in the ■eiul,‘ no beUcr;ipuUsJl!)ari : To.r.cprp embarrassments the-Government.liaa cxpe-. rienced; and to remove from the shoulders of tlie present, to those' effresh victims, the bitter fruits of that spirit of speculative eh td-prise-to which ,our countrymen arc so liable, and upon -Which the lessons of expe rience are so unavailing. The choice is an ' important one, and ;I sincerely hopcTliat it inay be wisely made. A report from the Secretary of War, pre senting a; detailed view (if the affairs of that department, accompanies this communica tion. - .■ The desultory, duties connected with the removal of the Indians, in which the army has been constantly engaged on the northern and western frontiers, and.in Florida, have rendered it impracticable to carry into full effect the plan recommended by the Secre tary for improving its- discplinc.' lif every instance where the regiments have been concentrated, (hey.haye made great progress; ami the best result-may bjHinlicipatcd from a continuance of this system. During tho the last season, a part of the.droops have been employed in removing Indians from the interior to the territory assigned them in the west—a duty which they have performed efficiently', and with praiseworthy humanity; and that portion of them which have bech Stationed in Florida continued active opera tions there throughout the heats of summer. - The policy of the United States in regard to tlie Indians, of which a succinct account is given in niy-message of 1838, and of the wisdom and, expediency of which lam fully, satisfied, has been continued in active ope ration throughout the whole - period of. my administration. Since the spring, of 1837, more than forty thousand Indians have been removed to their new.homes west of the Mississippi; and I am happy to add, that all accounts concur in representing the result of (his measure as eminently beneficial to that people; The emigration of the Seminoics alone lias been attended .vith serious difficulty, and occasioned bloodshed; hostilities having been commenced by the Indians in Florida, un der the apprehension that- they .would be compelled, by force, to comply with their treaty stipulations. 'The execution of the treaty of Payne’s Landing, signed in 1832, but not ratified until 1834,, was postponed, at the. felicitation of the Indians, until 1,836,' when they again renewed the agreement to remove peaceably - to-their new homes in the west. , In the face of this'solemn and renewed compact; they broke their faith, and com menced hostilities by thp.niassacrc of Major Dade’s command, the murdecof their agent. General Thompson, and other acts of cruel treachery.’ When this alarming and unex pected-intelligence reached the seat of Goy 'ernment, every effort appears to have been made toTcinforce General Cinch, who com manded the troops then in Florida. Gen'l; Euslis was .despatched with reinforcements /ruin Charleston; troops wcro.callcd out from ■Alabama, Tennessee, and Georgia; and’ General Scott was sent to take the command, with ample powers and ample means. At ;tbe first ajarm, General Gaines organized a force at New Orleans, ami waiting for’orders, landed, in Florida, where he dc* livered over the (roops'he-had brought with him to General Scott. . Gov. Call was subsequently appointed to conduct a summer campaign & lit tlie close of it. was replaced by Gen. Jessup. Thcsc'e vents and changes took place under the ad ministration of my predecessor. Notwithstanding the. exertions of (he ex perienced ollicers who had command there for eighteen months, on entering upon tlie administration of the Government I found the-Territory of Florida a prey to Indian a trucitics. A strenuous effort was im,medi ately made to bring these hostilities to a tlose;and tlie Army, under General JcSsup, was reinforccd.i)iitil it amounted to ten thou; sand men, and furnished with abundant sup plies of every description. In this campaign, a great number of were captured amt destroyed; but the character of the con test was only changed. The'.lmlians, hav ing been defeated in every engagement, dis persed in small bands throughout the coun try, and became an enterprising, formidable, ami ruthless banditti. • Gen’l. Taylor, who succeeded General Jessup, used" Ids best ex ertions. to subdue them, and wgs seconded ift his efforts by the ufficcrs under his com mand; hut-lie, too, failed, to piolect the Ter ritory from their depredations.. -By an act of signaUahdjn-uertreachery,titojTbTuKe (lie trtlce made with them by General Macomb, who ;vas sent from Wnsliington for the pur pose of. carrying into effect;the expressed wishes of Congress, and have continued their devastations ever since, - • General Annistcnd,who was in Florida when. General Taylor left the army,"by per mission; assumed tli.e-cominniul, and, after active summer oppositions, was met by:pro positions fur peace; and, from the fortunate coincidence of the arrivahin Florida, at the same period, of a delegation from llic'Semi lioles.who are'happily settled west of (he Mississippi, and.are now anxious tirpersuade JheArJcuujitxymen_tflljoinltlicin_-t):cue,Jiopcs were,fur Some time entertained, that the In dians might he induced to leave the Terrir tory. without further difficulty. These hopes have proved fallacious, and hostilities have been renewed throughout the whole of the Territory; That this: contest-lias endured so long, is to be attributed,lo calises beyyiid the control of the Government., Experien ced goiierals have-had;|l!d;;comiiinnd.of' tlie troops; officers apd spldiers tinguished Themselves for their activity, pa tience,- .and enduring courage;' - the army has been constantly, furnished with supplies of every description; and; we must; look lor the causes-,which have so long procrastinated the issui; of-the contest; .in the vast .extent of the theatre - of hustilities,-tlie almost insurmount able obslncles,' presented.; by the nature' of ■ the'chuhtry,' the climate, anil the,wily char acter’of the^Savages.' - Thc sites Tor marine hospitals oti (lie riv-: ers and lakes,, which l was autlioi izcd in se lect anil cause to be purchased,’.have all bcen designated; but,':the appropriation; not-prpy- ; ing, sufficient, conditional arrangements only have been inadeTor their, acqqisition. - .It ig for Congress to decide, whetheiilhose condi tional';pufchases;shan;bd;sanctidn:edi iand-the fiumane intentions of the. law be carried in? to full effect. The Unify, as -will appeaiMrOm'lheaccdm-' pnnying 'report of the Secretary, has. been usefully and honorably enipldy.cifinthe pro tcclion of pur, comiiicrce ani citizeriw Mcditcrrancaii, thc Eacific; dn tlie .boast of Brazil ..aosLjliJUjfijQ ulf. of.Mexico.',, A .small/. squadron, consisting of the frigate Cdnsfcl •latipn and the sloopc-of-war Boston, under Com. Kearney, is now on its way to the Chi na and Indian seas fur the purpose of attend ing <o our interests in that quarter; and Commander, Aulick,_ in the sloop'-of-.w/u 1 , Yorkfown, has keen instructed to visit the; Sandwich and Society Islands, the coasts tif Now Zealand'and Japan, trtgethcr with oth er ports and islands frequented by oiir.wlinle ship/ for the purpose.of giving' them .'court-' tenoned and protection;'should - .,they be re quired. Other.smaller vessels have.been, and still are,.employed-in prosecuting the surveys of the 'coast of tile United States, di rected by various'acts'of Congress; and those which-.have been completed will short l ly be laid before you. . The exploring .expedition, at (ho latest date, was preparing'to' leave the Bay of 1 Is lands, New Zealand, in further prosecution of objects which have thus far, been success fully accomplished. The discovery of a new continent by Lieutenants Wilkes and Hud son, for an extent of eighteen hundred miles, but on which they "were prevented from landing- by vast bodies of ice which encom passed it, is one of the honorable results of the enterprise. Lieut. Wilkes hears testi mony to the zeal and good conduct of his officers and men; and it is but justice to that officer to state that he appears to have per formed the duties assigned hinrwith an dor, ability and perseverance, which give every assurance of an honorable issue to th'c_ undertaking. ■ . The -.report of (he Postmaster "General, herewith transmitted, will exhibit (he scr-i vice of that department the past,year, amt its present condition. The'transportation has been-maintained during the year to the full extent aulhoriv.ed by the existing laws; some improvements have been eflected,which the public interests seethed 'niaiiih,\bu| not involving any material addi tional expenditure.; the conlraclois have ge nerally performed .their.engagements with fidelity;' the postmasters, witli few excep tions, have rendered their accounts and paid' their quarterly balances with promptitude; and the whole service of the department has maintained the efficiency for which it has for several years been ~distinguishes!.. The acts of Congress establishing new mall routes, and requiring more expensive services oh others, ami the increasing wants of the country, have, for three years past, carried (lie expenditures something beyond tlie accruing revenues; the excess having been met, until thepastycar, by the surplus which had- previously accuinniak-d.' That surplus-having been exhausted, and' (lie mi-, ticipafed.increase of tlie revenue not haying been realized, owing to the depression in conymercial business of (hi,country, (lie fi nances ol'llie.'department exhibit a'small de ficiency at the close nf the. fiscal year.. Its resources,.how ever, are- ample; iiml. iht.rc-. _ duccd rules of compensation for tlie trans portation service, w liiclr niay he expected on - (he future lettings, from the general ieducj-_ tion of prices, with tlie incrcase'nf revenue that may reasonably lie anticipated fiom tlie revival of .commercial activity, must soon place the'finances of the department in a prosperous condition. ’ , Considering tlie unfavorable cirpinnstanccs which have existed during tlie past year, it is a gratifying.; result that (lie revenue Inis not declineil, as compared with the preced ing yeaf, hut, on (lie contrary, exhibits a small increase, (lie circumstances referred to having had no other effect than'la check the expected inconici It will be seen-that the Postmaster Gene ral suggests certain improvements in the es tablishment, designed to reduce the weight of life mails, cheapen (he Iranspoi tatjun, en sure greater regularity in (he service; and secure a considerable' reduction in the rates of letter-postage;—an object highly desirable. The. subject is one of general interest to the community, and is respectfully recommend ed to jouV consideration. “ ■ . Thctsupprcssion of the African slave trade has received the continued attention of tlie Government. The brig Dolphin and the schooner Grampus have been employed du ring (lie last season on the coast of Africa, (or the purpose of preventing such portions of that trade as was said ,to be prosecuted under the American flag. After cruising oIV those parts of the coast most usually resort ed to by slavers, until the i onimcncemcnt of the .rainy season,_tbese_.vessels returned-to the United States for supplies, and have since been despatched, on a similar service. ' From the reports of the cqjiitnanding offi- it appears that the trade is now princi pally carried on under Portuguese colors; and (hey express (lie opinion that the appre hension of (heir.presence on the slave coast has; in a great degree, arrested the prostitur tioh of the, American flag to (jiis inhuman purpose. It is‘hoped that; by continuing, to , .maintain'.this force in that: quarter, and by the exertions of the officers in command, much will be done' to put a stop to whatev er portion ol’-this traffic may, have .been car ried on .under the -American flag, anil jto preveiit- its- use in-a -trade •vvhichv'vvhile/it. violates the Jaw, is equally an outage ’on the rights'of others and the feelings of huV: inanity. The efforts of the several,' Governments' who are anxiously’seeking to suppress this traffic must, however, be directed against the facilities afforded by .what-are now re cognized as legitimate comniercml, pursuits, before that .object can’ be fully accomplished. Supplies of provision, water-casks, merchant disc, and articles connected wills the prose cution of the slave trade, are, it is under stood, freely carried by vessels of different nations .to the slave-factories; and the effects of. the factors at'e transported openly fi-btn one slave station’ to aUotheiv without inter-;,, .ruplion'or punishment by either.of The.-nav tiuus to which they belong, engaged in the :cqmmercc,ofthat region. fl" subnuttoyouc judgemntshwhethev this- Government, hav ing, beenothe r- first to prohibit, by adequate penalties, the slave trade—-the : first ’to de clare it piracy—should not be the first also; fd- : forbid' to ifs.'eitizens all tradc'.wilh the ' sliVve factories on'llio coasts of Africa, giving aii example to all ■. nations in this 'respect, ; whicbi ir fairly fidluwed. cannotTajl to pro duce life most effective Vesilts-Tnbreakihg up those dens ofiniquity. , - - - ; M. VANBUREN. Washington,’Deo. 9, 1840.’ ” • ' . ELO U R—ln Bal lim oroV ; $173. 4 75. 4-’5-
Significant historical Pennsylvania newspapers