ME!!====;====:===M • 4-• t 1 v.; ";•''t •••' t! _•••'• .t• • • • ; TZTC''' , " firv. ) ';`- ,-, : iv? bo kr3.:".)1 - 7'; 4 ; I:I %IL • n ./)f::%4 : (1.• % •'7, T.:13 • •• •j .i '7 , % -c r 11:1114 - 1r g • - 0. • : _ _ - • •-• . l• = . 11 f"*L' -" ) , to • .41G0, el It , t • •r - - "T ' , • fly 2 to : .• • • • 11 .: • , _ _ ••• .;•• '" 3 i t . , L.... _lll 11 Si II • ':;•1 .„ „ „by, • . • • -1 ~ • • 9. • - . . _ . t A. J. GERRITSON, Publipherj Predden , Me-ssage' Fellow fitizem of the &tale-and Foteie,,Rf- Repreientitteiv3: r- = Z.. , c`. After a brief • interval the Congress of the United States resumes its annual leg islative labors. - M - Allpwise and merciful p r ovidence has abated the . pestilence which visited our shores, leaving its ca lamitous traces upon some portions of o ar eountry l - fteetprderitranquilit y and civil authiiritY fiirniadysdeclar ed to exist throughout the whole of the United tati s .,-_,..fn ,of_thp ptake, iluperided - thrtfOorcililif arms, and the . people, by their voluntary action, are maintaign4g their Governments in full activity and complete operation. The enforcement of the laws is no longer obstructed:in , :aoy State by. combine dons too powerful to be suppressed by the ordinary coursi), of judicial_ prpceed7 Inge' and .the amincTsit'es efigeridered by the war are rapidly yielding to the benefi cent influences of our free institutions, and to the kindly effects of anresti icted social and commercial ,„intercourse. An entire restoration of fraternal feeling must be the earnest wish of every patriotic heart; and we will have accomplished our grandest national achievement when, for getting the sad events of the-, past, and retnem bering only their instructive les •0138, we resume our, onward career as a free, prosperous and united people. EESTOR,ATION OF THE STATES SOUTH In my message of the 4th of December, iz‘63, Congress was informed of the meas ures which had b'eCn instituted by the executive with a view to • the gradual res toration of the States, in which the insur rection occurred, to their relations with the Getieral GOVeriiiaiieilt.". - Provisional Governors had been appointed, Conven tions called, Governors elected, Legisla tures assembled, and Senators and repro ientatives chosen to the Congress of the United States Courts bad been opened for she enforeetnetit of lawsforfir 2beyitice: The blockade had been removed, custom houses re established, and - the 'lnternal' Revenue laws put in force, in order that the people might contribute to themation ai income. Postal operations had been renewed, and efforts were being made to c -store them to their former conditicnPf efficiency. The States themselves bad been asked to Lake part in, the hi g h time tons of amending the Constitution,- and of thus sanctioning Ithe extinction of Af r,can shivery as one of the leitimate re of'our internecine struggle. WHAT THE EXECUTIVE ACCOMPLISHED. Having progressed thus far, the Execn ilve Department found that it. had accorr.- I , ll.lied nearly all that was within the ,cape of its constitational.autbority,. One thing, however, yet remained to be done before the work of restoration could be vmpleted, and that was the admission to Congress of loyal Senators and Represen tatives froni the States.igrhoie people had rebelled against the lawful authority of the General Government. This question devolved upon the respective Houses, which, by the Constitution, are made the . Iwiges of the elections, returns and quali nizions of their own members; and its c , )nsideratiou at, once engaged the atten tion of Congress. EFFORTS TO PEnFECT TtESTOILATTO'N In the meantime, - the Executive De partment—no other plan having been-pro j.ced by Congress—continued its efforts to perfect, as far as practicable, the res toration of the proper. _relations het weed the citizens of the respective States, the States, and the Federal Government, ex tending, from time to time, as the public Interests seemed to require, the judicial, revenue, and postal systems of, the coun try. With the advice and consent of the Senate, the necessary. officers were ap pointed, and appropriations made byCon cress for the payment of their salaries. The proposition . to amend the Federal Constitution, so as to prevent the exis tence of slavery within the United States or any place subject to their jurisdiction; was ratified by the requisite number of States; and on the Mtb day of December, 1865 , it- was officially declared to have be come valid as a part of the Constitution of the United States. All ofihe States in which the insurrec tion had existed promptly amended'their Constitutions, so as to make them con form to the.great change thus „eflectid the organic law he:,landrileolered and void all'orditiane:ei and lowa oeseeei- Son ; repudiated r all„, pretended, debts and obligations:eriated for the revolutionary purposes of;the insurrection; and proceed: - ed in goat; faith-to:the epactmentof meas ures for Proteetion and / .anielieration of the condition Of the colored race. Con gress, however, yet betitated to admit any of these States..to., repiesentationi and-it was not until 'the - close of the eighth month of the - session - that an= "exception was madoin favor of• Tennesime, , ,by the admission of bar Senators , and representa tives. A PROFOI3;!TD BEGUET, . I deeta it. a subject a_ p s ioronna regret that Col:lvrea has thus far failed to .. tidmit to seats royil Senators and :Iteprlelitt4. Eves from the other States; Whose; itents, with those of TennessixtEltuLerbr gaged in tharebellimr.-'• Ten States, more than one fourth of the whele'nuttiber, re=` tiiaidlwithotit representatiou i. the` seats of fifty niernbers in the Honks of Represen tatives and twenty ilthe Senate' are yet.vacant, not by their own eontietit, not , by a failure of eleetion, but' by th'e're: tusal of Congress to Yaieept their 'creden-' tials.- Their 'adinisiiion it' he belitfi , 4 l would have . rimomplished- MuchlOwardir the renewal and stretigthbnitig dear rill' lations as one people, and removed serious cause for discontent .on the 'part of the in habitants-of those States.' It would bare . accorded with the great' principle enunci ated itr•the•Declamtiori of ' American 'dependence, that no people ought to bear . the burden .of taxation, and yet be denied' the right of representation. It would have be - en in consonance with the cypress provisions of the Constitution, that "each State shall have at least one Representative," and " that. no . State, without its consent, shall be'deprived of its equal suffrage in the Senate." These provisions were intended to secure to ev ery State, and to the people of every state the right-of representation in each-house of Congress; and so important was it deemed by the 'framers , of the Constitu tion that the equality of the States in the Senate should be, preserved, that not even by an amendment of the Constitu tion can any State, without its consent, be denied a voice in that branch of the National Legislature. BwsAarbilv. It is true, it has been assumed that the existence of the States was terminated by the rebellious acts of their inhabitants, and that the insurrection having been suppressed, they were ~thenceforward to be considered merely as conquered terri. tories. The Legislative, Executive and Judicial Departments of the Government have, however, with great distinctness and uniform consistency, refused to sanc tion an assumption so incompatible with the nature of our republican system, and with the professed objects of the war. Throughout the recent legislation of Con gress, the undeniable fact makes itself ap parent, that these ten political communi ties are nothing less than States of this Union. At the very commencement of the Rebellion, each House declared, with a unanimity as remarkable as it was sig nificant, that the war was not' waged, nur_factr.t., ;I, nor for any purpose of conquest or subju gation, nor purpose of overthrowing or' interfering with the rights or established institutions of those States, but to defend and maintain the supremacy of the Con stitution and all laws made in pursuance thereof, and to preserve the Union with all the dignity, equality and rights of the several States unimpaired ; and that as soon as these objects" were " accomplish ed the war ought to cease." In some instances, Senators were per mitted to continue their legislative func tions, while in other instances Represen tath es were elected and admitted to seats , after their States had formally declared , ' their right to withdraw from thirUnion, and were endeavoring to maintain that i right by force of arms. All of the States whose people were in insurrection,as Stales were includedin the apportionment of-the direct tax of twenty dollars annually laid' upon the United S. by the act approved sth of August, 1861. Congress, by the act of March 4th, 1862, and by the apportionment of representa tion thereunder, also recognized their pres ence as States in the Union; and they have, for judicial purposes, been divided into districts,as Slates alone can be divi ded. The .same recognition appears in the recent legislation in reference to Ten nessee, which evidently rests upon the fact that the functions of, the State were not destroyed by the . rebellion, but mere ly suspended; and that principle is, of course, applicable to those States which, like Tennessee, attempted to renounce their places in the Union. ACTION OT- TH EXIr,CITTIVE. The action of the Executive Department .of the Government upon this subject, has been equally definite and uniform,and the purpose of the war was specifically stated in the Proclamation, issued by my prede ;oessor, on the 22d day of September; 1862. It was then solemnly proclaimed and declared, that " hereafter, as hereto fore; the tear will be prosecuted for the .ohjec63f prolifically •restoring the consti tutional relations between the United S. and each - of the States, and. the people zthereof,:in which - States , that relation:ls or. may be suipended or disturbed." The recognition of the . States by the Judicial Department of the Government, has also been clear and conclusive, in alt prciceedings affecting item os States,- had in the Supreme, and District Courts. ~ ' • , PRESIDBNTIAL _OPIBION ABOUT SOUTH • :EBB - cosonussuEN. In the admission of Senators and Rep resentatives frotl =Tend all , Spetes there. can.be . na just `ground of apprehension that persons , who are, ;:disloyal will be clothed with the powers of legielation;, furA,bis could not l tappen ',when the COn .stitution.and laws are e - enforced by airigi lent aiidfaithful. - CongreitC. Veit ilouse is made , theii . A4r)udge of.the ~leotinne; Vie= itiAtedatioinoitAtistwo math , av o wal:01)4y; lwithoncurretp*t of. two, thirds, expel a member." When a Sena- '^'KR'~,h"Yk."~Y~_"/:~^.~.H'". - •• •.hS :. ~+At~L ' F3Ka6: -"- ~i2FL~iL'#~.T~a`ariLTN . L'!Sb'MW.eM.Y I&ommosE , TDA 4 -;T • trEfs,D.Ax i , : mc 4 . , .. 1v1566 tor or Reptesentatiie Preitenta his 'Certiii- , cate of election, he plaint once bei admit ted or rejected; or, should there ibe'any question: as ,to _his eligibility . , :his creden tials may be referred for investigation Ix), the 'appropriate committee. If admitted, to a seat, it must be: tipon_ evidence satis factory to the House, :of which he thus' becomes a member, that he possesses, the , requisite, constitutional and legal qualifi cations.' If refused admission as a mem-, ber for want of due allegiance to the gov ernment, and returned to his constituents; they are admonished that none but per-: sons loyal to the United-States will be al lowed a voice in thoLegislativet Councils of the nation, and the political power sod moral influenel of dongresti" are thus ef thotively exerted in the interests of loyal tylo the Government and fidelity to the' Union. ,Upon this question, so vitally af fecting, the restoration of the Union and the permanency of our present form of Government, my convictions, heretofore expressed, have undergone no change.; but' on the contrary, their correctness has been confirmed by reflection and time. If the admission of loyal members to seats in the respective Houses of Congress was wise and expedient a year ago, it is Do less wise and expedient now. If this anomalous condition isright—if, in the exact condi tion of these States at the present time, it is lawful to exclude them from represen l tation, I do not see that the question will; be changed by the effitix of time. Ten' years hence, if these States remain as they are, the right of representation will be no stronger—the right of exclusion will be no weaker. DEMAND FOR THE ADMISSION OF LOYAL SOUTLIBILNERS. The Constitution of the United States makes it the duty of the President to rec ommend to the consideration of Congress "such measures as he shall j.idge neces sary or expedient." I know-of no meas ure more imperatively demanded by ev ery consideration of national interest, sound policy, and equal justice, than the admission of loyal members from the now unrepresented States. This would con summate the work of restoration, and ex ert a most salutary influence in the re es tablishment of peace, harmony, and fra ternal feeling. It would tend greatly to renew the confidence of the American pennies in eha our an Elvbiev , of their institutions. It won in us More closely together as a nation, and enable us to show to the world the inherent. and re cuperative power. of a Government foun ded upon the will or the people, and es tablished upon .be principles of liberty, justice and intelligence. Our increased strength and enhanced prosperity would irrefragably demonstrate the fallacy of the arguments against free institutions drawn from our recent na tional disorders by the enemies of repub lican government. The admission of loy al members from the States now excluded from Congress, by allaying doubt and ap prehension, would turn capital, now awai ting an opportunity for investment, into the channels of trade and industry. It wnuld alleviate the present troubled con dition of those States, and, by inducing emigration, and in the settlement of fer tile regions now uncultivated, and lead to an increased production of those staples which have added so greatly to the wealth of the nation and the commerce of the world. New fields of _ enterprise would be opened to our progressive peo ple, and soon the devastations of war would be repaired, and all traces of our domestic differences effaced from the minds of our countrymen. A WORD OF CADTION. In our efforts to preserve " the unity of the Government which constitutes us one people," by restoring the States to the condition which they held prier to the Rebellion, we should be cautious, lest having , rescued our nation from perils of threatened disintegration, we resort to' consolidation, and, in the end, absolute despotism, as a remedy; for the recurrence of similar troubles. The war having ter minated and with it all occasion forthe ei ercise of power of doubtful constitutional ity, we should hasten to bring legislation within the boundaries prescribed by. the ConAtitution, and to return to the,ancieet landmarks established by our fathers for the guidance of succeeding generations. 'The Constitution which at any time ex,- ists. until changed by an explicit and ad thentic act of the whole people, is sacredly obligatory' upon all." "If, in the. Opinion of the people, the distribution or modifi cation of the constitutional powers be, in any particular, wrong; let it" be corrected by an amendment in the way in which the, Constitution designates. But let there be no change by usurpation ; for " it, is the customary . weapon by . which . free governments are destroyed.": Was hington spoke these,words to, Ids country men, when, followed .by; their- love and gratitude, he voluntarily retired from the cares• of, public life. ."To keep in all things within the palnof our-constitntion al powers, and ,cherish the Federal. Union as theonlysock.of safety," were preserib-. by Jefferson es rules of ,action to en-. dear to his " countrynlen—the Artie princi ples,44 theit , e9a 13 .A. 4 909.a,/ia4 ArPwate a unAo,43fafgagatintiputlaetton,equally.ap spiciatii to tifeiiliaopiness•nuil,carefe . Jackson held that the action of the 'Gee- ~c~+rgr~a,.'C7":•''''Rt~'..~..Ha-e. ~~_ .:fix ~c~~...55c~w^,n,~..~,,•"~ oral Gmlernmpnt, , should always.be strict ly 'Who sphere of its appropri- - eta duties,' ar4 jgatjy and forcibly arg94 that our, government is not 'to be roam taiped nor mu, ~VniOn preserved " by in,: vasions Abe:J.IOAB, and powers of the several - States. In thus' attempting. ,to make our finecal,.Government strong, we make it Weak. It tine strength consists in leaving StateN as much. as possible tiiiheniselves; in making itself felt, not' to - but in its begefi- Cence; notJd' its ebritrol, but in its pro teetiOrn'tititih` bi dingy t he States More closely to the anti..., leaving each to' move tmobstrboted ler a proper constitu tional orbit.P. , •-These are - the teachings of men whose deeds,and services have made them illustrions,, and who, long since' withdrawn, from the scenes of life, have left to their itsountry the rich legacy of their example, their wisdom and their pa triotism, Drawing fresh inspiration from their lessons,: let us-emulate them in love of country and respect for the Constitu tion and the jaws. OUIVFINANCIAL STATUS. The report of the Secretary of the Treasury tifibrOs much information re specting the' revenue •arid commerce of the country.' His views upon the 'ctn.- rency ; and With reference to a proper ad justment of revenue system, internal as well us impost,' are 'commended to, the careful. consideratioryof Congress. In my last annual message I expressed my gen eral views upon these subjects. I need now only call'attentiou to the necessity of carrying into 'every department of the Government a system of rigid accounta bility, thoroiugh retrenchment, and wise economy. With 'no exceptional nor un usual-expenditures, the oppressive bur dens of taxation can be lessened by such a modification of our . Reienue laws as wilt be consistent • with toe public faith, and the legitimate and necessary wants of the Government. 'TfiE NATIONAL DEBT The repoit presents a much more satis factory condition .of our finances than one ' year ago thii most sanguinecould have an ticipated. ; I l . :hying the fiscal year ending the 30th .Inne,, 1865, the last year of the war, the !labile 'debt was increased $941,- 902,537, and on the 31st of October, 1865 it anionottroj' b $2,740,8.4,750. On the h4ah..6;,.- due,ea t0402,501,310,00u, too aitnioutzon during a period of fourteen' monthii, com mencing September 1, 1865, and ending October 31,1866, having been $206,319,- 565. In the last annual report en the state of thelnaneee, it was estimated that during the three 'quarters of the fiscal year ending the 30th of June last, the debt - would be increased $112,194,947. During that period, however, it was re duced $31,106,387, the receipts of the year having been $89,905,905 more, and the expenditures $200,529,235 less than the estimates. Nothing could more clear ly indicate than these statements the ex tent. and availability of the national re sources, and— the rapidity and safety with which, under our form of Govern ment, great military and naval establish ments can be disbanded, and expenses re duced from a warto a peace footing. RECEIPTS FOR TEE FISCAL TEAR. During the fiscal year ending the 30th of June, 1866, the receipts were $558,03g",- 820, and the expenditures 8520,750,940, leaving an available stirphis of $37,281,- 680. It_is estimated that the receipts for the fiscal year ending the 30th June, 1867, will be $475;061,386 and' that the expenditures will reach the sum'of $316,- 428,078, leaving in the Treasury a surplus of 8158,633,308. For the fiscal year end ing June so, 1888, it is estimated that the receipts will amount to $436,000,000, and that the expenditures-- will' be '5)350,24 5 1,- 641—showing an excess of $85,752,359 in favor of the Government. These estima ted receipts may be diminished by a re (Indian of excise ands import duties; bat after all necessary redactions shall' haio been made, the revenue of 'the. present and of 'following years will , doubtless be sufficient toerover - all legitimate charges upon rthe Treasury, and leave a large' an ,surplus to be applied to the payment of the principal of the debt. - There seems now to be no good reason why taxes may ,not be reduced as tbetountry advances in population .and - wealth, , anitiret , the debt ,be extinguished within the next quarter of.a century, • , szeummey • 'STANTON'S REPORT. The report - of tub' Secretary of War furnishes' valuable . and important _informs. tion' in; reference to the ,opeirations ,of his department during the, putt year. Few volunteers new remidn'm the service and they are being ' discharge as' rapidly, as .they can be replaced, by ...regular troops. The army has been promptly paid, care fully Provided - with' medical treatment, ,well sheltered and. subSisted, - ,Eadjs to be furnished With br'eech lneding suialt. helm, The military strength ,of '.tho . nation_has been quimpaired by the - disabarge, of vet untetirs; the 'disposition of 'Unserviceable cbr And,,the, .rotrepott merit ore.iipiiiiditures.Agfiiitent ,Warma teriarto meet .aiir e.Oiergea, g 4ns :Peen retabied iwd from tlin .disbaudedvolun eeniti*taill.oo.9 4 ,0 -re4.Pond , like:Pa! lona armies call, largo can bni.apidiyor, 'lonized, equipped and concentrated. Vortificatietiiiin ;the; cotist; and run te have reeelied, .or are being . prepared ter; mcirdptivierful armaMent4 lake sitiveye and barbOr`and riVer inipreventents are M . course energeem'Prosemitian, ' Prepar atione Hive lieed made'for the' 'payment of the addititmal - bounties authorized ad.. ring thp recent session of Congress, im- - der'such, regulations as will protect the Government; ftoinfraud,' and secure to betiierably dikcibarged soldier the earned reward of his thithfnlncse andel laut7. 'More than sit, thousand maimed soldiers' hive reCeiVed:artificial limb's-or; other sttrginal sipfieraiteit and forty. one 'mantel cemet ries, contenting the remains of 104,626 Union soldiers, have aliTadY been established. The total estimate of militarj 'appropriations hi $25,2050189. SEC/Z=6NX WELLES ON THE NAVY. It is stated in. the report of the Secre tary of the Navy that the naval force at, this time consists of '278 vessels, armed with 2,951 guns. Of these, 116 vessels, carrying 1,029 guns, are in commission, distributed chiefly, among seven squad rons. The. number of open in the service is 13,600. Great activity and vigilance have been displayed by all the squadrons, and their movements have been judicious ly and efficiently. arranged in such man ner as wonld best promotelAmerican cora and protect the rights and interests of our countrymen abroad._ The vessels unem ployed are undergoing repairs, or are laid up until their services may be required. LEAGUE ISLAND LECOZI CLADS , . Most ; of the iron-clad fleet is at League Island, in the vicinity of Philadelphia, a place which, until decisive measures should be taken by Congress, was select ed by the Secretary of the Navy as the most eligible location for that class:of yes eels. It is important ,that a suitable pub lic station should be provided for the iron clad fleet. It is intended that these ves sels shall. be in condition for .any emer gently, and it is desirable that the Lill ac ceptnig League Island for naval purposes, which passed' the House of Representa tives at its last session, should receive fi nal action at' an early period, in _order that there may be a'suitable public sta tion for this Class of vessels, as well as a navy yard of area'aufficient for the wants of the service on the Delaware river. The naval pension fund amounts to 47M,051 a An inreaak i ol department for the fiscal pear ending'Both June last_ were 843,324;526, and .tlio esti mates Torthe ebbing year amount to $23,- &08,486. Attention is invited to thelon dition of our seamen, and the importance of legislative measures for their relief and improvement. The suggestions in behalf of this deserving class of our fellow citi zens are earnestly recommended to the fa vorable attention of Congress. POSTMASTER GENERAL'S REPORT The report of the Postmaster Genera' presents a most satisfactory condition of thn postal service, and• submits recom mendations which deserve the considera tion of Congress. The revenues of the Department for the, year ending June 30, 1886, were $14,366,986, and the expendi tures $15,352,079, showing an excess of the latter. of 8965,083. In anticipation of this deficiency, however, special appro priation was made by Congress in the act approved July 28, 1866. Including the standing appropriation of $700,000 for free mail matter, as a legitimate portion of the revenues , remaining unexpended, the actnal deficiency for the past. year is only $265,93—a sum within $51,141 of the amount estimated in the annual re p Art of 1864. The decrease of revenue compared with the previous year was one and one-fifth , per cent, and the increase of 'expenditures, owing principally to•the en largement of the mail service in t,be South waft 12 per cent. . On the 30th of June •last there were in operation 6,930 mail ,routes with an ag gregatei length,pf 189,921 m iles, m aggre gate annual transportation , 0f, : 71,837,914 mile?, and, an aggregate annual coat, in chiding all expenditures, of $8,410,184. The length of rail-roaci routes is ; 32,092 ; miles, and the anunaktrinsportion3o,6o9,- 467 miles. !The length of - ,steamboat routes, is • 14,345. miles, .and the annual transportation 3,411;962 miles. • The pall service isi,rapidly increasing throughout the: whole country, audits steady extensiOa throughout the South era Statea indicates their constantly im proving oonditiou. The. growing impor tanenof the foreign service also:: merits attention., The Post,Office Department or Great Britain and our 'own have agreed upon a preliminary basis for anew Postal Convention, -.Which it is believed will, prove eminently , beneficial , to the commercialiinterests of the United States, inasmuch, as, it, contemplates a redaction of the international letter postage to one half the exietingxrates; a: , reduction of .postage- with , Ali ether countries to and from which cerrespondence is transmitted, in the British .mail, or in closed mails through the Znited.Hiugdom ;_ the estab 4 . lisbment of uniform and reasonable. char ges,for,the sea' and territorial transit of .correspondence in closed and an • allowance to._ each Postioll/cCDepUtte, Anent, of the...right tomen nulitecuarod• reagops.eatabliobed nude., the authority. of the other for the deepatoh of coffee. T~" j~'^.c - : er w ids;ri':.."`~."T%~-.:..~Nwt~dc::lta._-'a24?,e=wC::G i , V,Otto - *Vit,*ikiiTEit - *-' : Rerienee, either, open or eleeedAtiON. on the eame.teme as thope.applinnWo the Inhabit:min of the country provi4ing the te!anaof transportation., . =MOD DEPARTMENT. •, The report of the Secretary of the In terior' exhibits the. condition of 'thosi:l • branches of tbc4ublio service which ate committed his supervision: During the lastilsol . .year four million Bil hand- • red and twenty-bine thousand three hub dred 'and ;twelve. acres of public land were disposedbf, and 1,892,518 acrekwere tered-tinder the homestead act. , , The po'-1 cy, originally adopted relatin to the pub lic lands has undergone essential)modiflL' cations. Immediate _ -revenue and not d. their rapid , settlement , was tike.cardigal feature of our land system.. Long_ experi ence ded'earnest discussion have resulted in, the .conviction that the early develop , ment of our, agricultural xesources and the &fusee cilfon energetic population.. over our vist - teiritory, are objects„of far greater importance to our national growth than the prociedebf the sate of the pub lics land to the highest bidder •in open. market. -.The preemption law confers upon the pioneer • who .complies with 'the terms they impose the-privilege of purchasing 10 limited portion " utioffered . lands at the minimum price. The homestead actments relieve the settler from the'payy meat of purchase money, and secure - him a permanent home, upon the condition of residence of a term, of years.,. This liber al policy invites emigration from the old, and from the more crowded portions of the new world. Its prepitious. _results are undoubted, and will be mere signally, manifested when time shall have givercte, it a wider development. Congress has. made liberal grants of public lands to corporations in aid of the constriction of railroads and other nal improvements. Should this policy hereafter prevail, more stringent provia-, ions will be required to secure a faithful application of the fund. The title to the lands should not pass, by patent or other wise, but remain in the government and subject to its control until some portion of the road has been actually bulk. Poe tions of them might then, from time to time, be conveyed to the corporation, but never in greater ratio to the whole quan tity embraced by the grant than the corn pjated . parte,bear to the entire length of ' would not operateto the prejudice. of any undertaking conceived in good faith and executed with reasonable energy, as it is • the settled praCtice to withdraw from market the lands 'falling within the opera tion of such grants, and thus to exclude the inception of a subsequent adverse right. A breach of the conditions which Congress may deem proper to itnpOlie should work a forfeiture of claim to the lands so withdrawn but nnconveyed, and of title to the lands conveyed ichich'itv main unsold. ' •.- THE PACIFIC RAILF.nAD. Operations on the Elevenl lines of the Pacific railroad have been prose cuted with unexampled vigor and success.,,, Should - no unforseen causes of delay op our, it is confidently anticipated that this great thoroughfare will be potrinteted be ore the expiration of the period designa ted by Congresii. During the last fiscal year the amount , paid .to pensioners, including the eitpen- • see of disbursement, was $13,459,988,and., 50,177 names were, added te.the pfnsion rolls: The" entire number' of pensioner . , June 30, 1866, was 126,722. Thisi &et furnishes melancholy and striking proof' of the sacrifices Made to vindientertbe na tional authority of Abit!Federa) Goyern.- ment, sad to maintain inviolate the integ rity of theXnion. They impose'upon us corresponding obligations. It is estima ted that $33 . ,000,000 will , be required to meet the eitgences of 'this branch of the service during the next , fiscal year.- Treaties have been concluded with the Indians Who' entieed' into armed opposi tion to our Qnvernment at the_ outbreak of Rebellion, tisk nneonditionaily; submitted to Our antborty, and manifes.,.. l ted ah earnest - desire for; . a renewal of - friendly relations. • - TUB PATENT OFFICE, Daring the year endiiag September $O, 18a6otjght thousand fikevn .huudre4l,:and sixteen patents fOr useful , jnvputions and designs, w,.cre issued, and: at,that i dge,the balance - in the . TreaSury :the A eredit :.of . the Patent fund was two "bun.died And 'twenty eight thousand twoiiiindred,ind ninety haven - . As a subject upon which ...depends swim.. mouse ,ablount of the;, production and commerce :of .the ,country I: recommend to. Congress snob: legislation an may be necessary for the preservation of thetas , . eea.of tho Mississippi river: -. It. is a tualm-s. ter, of nationaliroportanoe that earlYst*" cold bel taken pot only to add to the tef;:‘ Sitoooy of these barriers against ilestrtto , liveinnodations; but for: ;the ,ri3movat r all obstructions - 3o the free • and safe;navi.,.,!. gation of that great channel of.. trade:and coonueroi. .1 The distriat of .•Columbia,nnaar reap,: ling laws, is not entitled to that represon- 7 ~-.1 PENSIONS. TEEATIEB WITI'I! THE'INDIANS. THE