If THE BLESSINGS OP GOVEBSMElfT, LIKE THE DEWS OF HEATEST, SHOCLD BS DrSTIirB;.!? ALIKE TUB HIGH AND TIE LOW, THE RICH AND THE POOC. 0 EBENSBERG, P1,-WEDNESDAY, DECEMBER 22, 1808 VOL. 6 NO. 5. . ,nm)iT.t. SP.TI'P1 TS-PTin. 1 l , , WlnrCfta-l7 AT nrn i n or of hv-e Dollar and v,r..ia i-ci uuuiu, :;valle in advance; One Dollar and Sevbxty P t Cents if not paid within six months, and Xiva Dollars if not paid until the termination 'KoUScription will be taken for a shorter k; than six. months, and no subscriber will be ter.'?" J'iWnntinuc his naper until all ar- S;Ve pall, except at the option of the V.'.tor. subscribing for six months will be ,-tt h mitrs tlio monev is tiaitl 'iivcd o& " J 4 Xdvertlslns Kales. One insert'n. 2'tco do, Three do ri2 lines) v S 50 1 nqimre, 4 lines 1 00 1 50 months l 50 1 00 2 Oo 2 00 3 00 C do. 12 do $3 00 $5 CO 36 lines I Mines or lcs. isqiuro. f 12 lines V spares, lines , .pares, f tt lines lull a oi.hiinn, i- r column. 2 50 4 50 9 00 4 00 7 00 12 00 C 00 9 00 14 00 10 00 12 00 20 00 15 00 22 00 35 00 i.Kvrtisements must oe marked with t'M.'inil'or ,.f insertions desired, or they will be ",:;; lie I ur.t'.l frbil. anil charged accordingly. PRESIDENT'S MESSAGE. .CONCirDKP Io August, 1S-V2, the Accessory Transit Company made its firtt interocoauic trip over the Nicarnguan route, aLd continued in suc cfiil operation, with great advantage to i!.f public, uutil the lOtb of February, 1850, t.en it was closed, r.nd the grant to this tcjpany, as well as its charter, was sum mri!y and arbitrarily revoked by the Gov ittHiit of Rivas Previous to this date, Iwvcvcr, in 1554, serious disputes concerning tie settlement cf their accounts bad arisen loiween the Company and the Government, threatening the interruption of the route at moment. Those the United States in rain endeavored to compose. It would be twtaa to narrate the variou? proceedings !,ir!i took niacc between the parties, up till time when the transit was discontinued. 'uflice it to s:iy, that since February-, 1850, it hi rf maim d eloped, greatly to the preju dice of titi.-ns of the United States Since hat time the coa. petition has ceased between tho rival routes of Panama and Nicaragua, and in conMo4uir.ee thereof, un w ji.st and unreasonable amount ha been exacted from our citizens ttr their passage to and from iVifortia. A treaty was signed on the 10th day of N'overuber, 1857, by the Secretary of State md Minister of Nicaragua, under the stipu lations of which tne use and protection of the transit route would have been secured, not ca'.y to the United SrHU;, I'.hff nations. How atid but equally to all on wii.it pretexts ibis treaty lias railed t. recuve tne raiiiica tn cf the Ni'Mi'igu.TU (r veru:ooijt will ap pear I v the papers, herewith communicated fmiii the Stare Depariiin-iit. 'i'he principal cljfct'uu s-Hins to have been to the provision ixbcriiin the United States to eta t by force t) keep tin route open, in (bouM fail to perform her sp-'ct. case Niciragui duty f in this re Troai tlie feelleness of t L : t r public, its fre.juent changes of government, and the ectistant internal dissentious, this had become nst important stipulation, and one csseu v.vUy nccefsary not only for the security of lie route, but fur the safety of American ciiizens passing and repassing to and from cur Pac'Se possessions. Wcro such a stipu lation embraced in a treaty between the Unite. Stated and Nicaragua, the knowledge of thii fact would of itself most probably frerent hostile parties from committing ag gressions on the route, and render our actual interference for its protection unnecessary. The Executive Government of this country, in its intercourse with foreign nations, is lim ited to the employment of diplomacy alone. tt'LeL this fails it can proceed no further. It cannot legitimately resort to force, without the direct authority of Congress, except in listing and repelling hostile attacks. It :uld have no authority to enter the terri fies of Nicaragua, even to preveut the de duction of the transit, and protect the lives ni property of their own citizens on their passage. It is true, that on sudden emer gency of this character, the President would direct any armed force in the vicinity to t&rch to their relief; but in doing this, he would act upon bis own responsibility. Under these circumstances I earnestly Kcommend to Congress the passage of the W huthorizius the President, under such restrictions as they may deem proper, to em I'pj the land and naval forces of the United tcs in preventing the transit from being V.ructed or closed by lawless violence, and :n protecting the lives and property of Amer ican citizens travelling thereupon, requiring w the same time that these forces shall be with kawu the moment the danger fehall have pissed away. Without such a provision, citizens will be constantly exposed to in Ttiption in their progress, and to lawless Violence. A similar necessity exists for the passage cfEuch an act for the protection of the Pa aaia and Tehuantepec routes. J;Dited States, by their existing treaty with e Granada, expressly guarantee the neu- tfcf70 tlie Isthiuu3. "with the view that iree transit from the one to the other sea interrupted, or embarrassed in ay future time while this treat? exists." .'Ha regard tn ihn Tnh "aich haa hoon .nii.. i J u C .-w UUrvW .-vw, u Vorable ausnices. onr treaty with SC.0f tLe 30tQ December, 1858, s cures hujuiko, gur ireaiy . vua ui iub uuneu oiaies a rigui oi iise jVer lt 0r ltlT Pers0DS a0(l nierchan tlali o 8ti?ulates tbat neither Government llsa , mUi rpose obstacle" thereto. It concedes to the United States tho "right '""port icroBB the Ifcthmus, in closed bags, the mails of the United States not in tended for distribution along the line of the communication ; also the effects of the United States Government and its citizens which may be intended for transit, and not for dis tribution on the Isthmus, free of custom house or other charges by the Mexican gov ernment " These treaty stipulations with New Grana da and Mexico, in addition to the considera tions applicable to the Nicaragua route, seem to require legislation for the purpose of carry ing them into effect. The injuries which have been inflicted upon our citizens in Costa Rica and Nicara-. gua, during the last two or three years have received the prompt attention of this Gov ernment. Some of these injuries were of the most aggravated character. The transaction at Virgin Bay in April, 185G, when a com- pany or unarmed Americans, who were in no way connected with any belligerent con duct or party, were fired upon by the troops of Costa llica, and numbers of them were killed and wounded, were brought to the knowledge of Congress by my predeces sor soon after its occurrence, and was also presented to the government of Costa Rica, for that immediate inv2stigation and redrcsf which the nature of the case demanded. A similar course was pursued with refer ence to other outrages in these countries, soma of which were hardly less aggravated in their character than the transaction at Virgin Ray. At the time, however, when our minister to Nicaragua was appointed, in December, 1S57. no redress had been obtain ed for any of these wrongs, and no reply even had been received to the demands which had been made by this government upon that of Ciwfa Rica, more than a year before. Onr minister was instrncted, there fore, to lose no time in expressing to those Governments the deep regret with which thy? President had witnessed this inattention to the just claims of the United States, and in demanding their prompt and satisfactory ad-, justment. Unless this demand shall be complied with at on early day, it will only remain for this government to adopt such measures as may be necessary, ia order to obtain for itself that justice which it has in vain attempted to secure by peaceful means from the Governments of Nicaragua and Costa Rica. While it has shown, and will continue to show, the most siucere regard for the rights and honor of these Republics, it cannot permit this regard to be met by an utter neglect, on their part, of what is due to the Government and citizens of the United States. Against N w Grenada, we have long stan ding causes of complaint, arising out of the unsatisfied ei;ii ui.-i of our citizens i . t i upon that republic: and to tuese Lave been more re cently added tne outrages committed upon cur citizens at Panama, in April, 18iG. A treaty for the adjustment of tl esc difficulties, was concluded by the Secretary of State and the minister of New Grenada, in September, which contained ju-t nnd acceptable provis fCT tLut pu"rnartr '-This treaty was trans mitted to Hogato, and was ratified ry government of New Granada, lut with ccr tain amendment.'?. It .was not, however, returned to this city until after the close of the last session of the Senate. It will be im mediately transmitted to that body for their advice and consent; and should thi3 be ob tained, it will remove all our existing causes of complaint against New Granada on the subject of claims. Questions have amen between the two governments as to the right of New Grana da to levy a tonnage duty npon the vessels of the Liutcd States in its ports of the Isthmus, and to levy a passenger tax upon our citizens arriving in that country, whether with a de sign to remain there or to pass from ocean to ocean by the transit route; and also a tax upon the mail of the Uuited States transpor ted over the Panama Railroad. The gov ernment of New Grauada has been informed that the Uuited States would consider the collection of cither of these taxes as an act in violation of the trsaty between the two countries, and as such would be resisted by the United States At the same time, we are prepared to discuss these questions in a spirit of amity and justice, and with a sincere desire to adjust them in a satisfactory man ner A negotiation for that purpose has already been commenced. No effort has re cently been made to collect these taxes, nor is any anticipated under present circumstan ces. With the empire of Rrazil, our relations arc of the most friendly character. The productions of the two countries, and espe cially tuoso of an agricultural nature, arc buch as to invite extensive mutual exchange. A large quantity of American flour is consu med in Brazil; whilst more than treble the amount in value of Brazilian coffee is consu med in the United States. Whilst this is the case, a heavy duty has been levied, until very recently, upon the importation of American flour into Brazil I am gratified, however, to be able to inform you that in September last, this has been reduced from 1.32 to about forty-niae cents per barrel, and the duties on other articles of our production have been diminished in nearly the" same proportion 1 regret to state that the government of Brazil still continues io levy an export duty of about 11 percent, on coffee, notwithstand ing this article is admitted free from duty in the United States. This is a heavy charge upon the consumers of coffee in our country, as wo purchase half cf the entire surplus crop of that article raised in Brazil. Our minister, under instructions, will reiterate his efforts to have this export duty removed; and it is hoped thst the enlightened govern ment of tho Emperor will adopt this wise, just and equal policy. In that event, there is good reason to believe that the commerce between tho two countries will greatly in- I crease, much to the advantage of both. The claini3 of our citizens against the gov ernment of Brazil are not, in the aggregate, of very large amount; bnt some of these rest upon plain principles of justice, and" their settlement ought not to be longer delayed. A renewed and earnest, and I trust suco ess ful effort, will be made by our minister to procure their final adjustment. On the 2d of June last, Congress passed a joint resolution authorizing the President 'to adopt such measures and use such force as, in his judgment, may be deemed necessary and advisable" "for tho purpose of adjusting the differences between the United States and the republic of Paraguay, in connection with the attack on the United States steamer, Wa ter Witch, and with other measures referred to" in his annual massage. And on the 12th July following, they made an appropriation to defray the expense and compensation of a commissioner to that republic, should the President deem it proper to make such an appointment. In compliance with these enactments, I have appointed a commissioner, who has pro ceeded to Paraguay, with full powers and in structions to settle these differences in an amicable and peaceful manner, if this be practicable. His experience and discretion justify the hope that he may prove successful in convincing the Paraguayan government, that it is due both to honor and justice, that they should voluntarily and promptly make atonement for the wrongs which they have j committed against the Lnited States, and in demnify our injured citizens whom they have forcibly despoiled of their property. Should our commissioner prove unsuccess ful, after a sincere and earnest effort, to ac complish the object of his mission, then no alternative will remain, but the employment of force to obtain "just satisfaction" from Paraguay. In view of this contingency, the Secretary of the Navy, uuder my direction, has fitted out and despatched a naval force, to rendezvous near Buenos Ayres, which, it is believed, will prove sufficient for the occa sion. It is ray earnest desire, however, that it may not be found necessary to resoit to this last alternative. When Congress met in December last, the business of the country had just been crush ed by oac of those periodical revulsions, which are the inevitable consequence of our unsound and extravagant system of bank credits and inflated currency. With all the elements of national wealth ia abundance.our manufactures were suspended, our useful pub lie and and private enterprises were arrested, and thousands of laborers were deprived of employment and reduced to want. Univer sal distress prevailed among the commercial, manufacturing, and mechanical classes. This revulsion was felt the more severely in the United States, because similar causes had produced the like deplorable effects through out the commercial nations of Europe. All were experiencing sad reverses at the same moment. Our manufacturers everywhere suffered severely, not because of the recent reduction in the tariff of duties ou imports, but because there was no demand at any nrice for their productions. The people were obliged to restrict themselves, in their pur chases. tO ?rticles of rime necessity. In the general prostration of business, the iron t manufacturers in different Slates probably j suffered more than any other class, and much aesiiiuiiou was me lneviiaoie consequence, among the great number of workmen who had been employed in this useful branch of our industry. There could he no supply where there was no demand. Io present an example, there could bo no demand for ra'l road iron, after our magnificent system of railroads, extending it3 benefits to every por tion of the Uniou, had been brought to a dead pause. The same consequences have resul ted from similar causes to many other bran ches of useful manufactures. It is self-evi- j dent that where there is no ability to pur chase manufactured articles, these cainot be sold, and consequently must cease to be pro duced. No government, and especially a govern ment of such limited powers as that of the United States, could have prevented the late revulsion. The whole commercial world seemed for years to have been rushing to this catastrophe The same ruinous consequences would have followed in the United States, whether the duties upon foreign imports had reamained as they were under the tariff of 184.6, or had been raised to a much higher standard. The tariff of 1857 had no agency in the result. The general causes existing throughout the world, could not have been controlled by the legislation of any particular country. lhe periodical revulsions which have ex isted in our past history, must continue to return at intervals, so long as our present unbounded sy&tem of bank credits shall pre vail. They will, however, probably be the less sovere in future; because it is not to be expected, at least for many years to come, that the commercial nations of Europe, with whose interests our own are so materially in volved, will expose themselves to similar calamities. But this subject was treated so much at large in my last annual message that I shall not now pursue it further. Still, I respectfully renew the recommendation, in favor of the passage of a uniform bankrupt law, applicable to banking institutions. . This is all the power over the subject which, I believe, the federal government possesses. Such a law would mitigate though it might not prevent the evil. Tho instinct of self preservation might produce a wholesome re straint upon their banking business, if they knew in advance, that a suspension of specie payments would inevitably produce their civ il death. But the effects of tho revulsion aro now slowly but surely passing away, Tho ener gy and enterprise of our citizens, with our unbounded resources, will, within tho period of another year, restore a state of wholesome industry and trade. Capital has again ao cumulated in our large cities. The rate of interest is there very low. Confidence is gradually reviving, and so soon as it is dis covered that this capital can be profitably em ployed in commercial and manufacturing en terprises, and in the construction of railroads and other works of public and private im provement, prosperity will again smile thro' out the land. It is vain, however, to disguise the fact from ourselves, that a speculative inflation of our currency, without a corres ponding inflation in other countries whose manufactured come into competition with our own, must ever produce disastrous results to our domestic manufactures. No tariff, short of absolute prohibition, can prevent these evil co2$equences. - In connection with this subject.it is proper to refer to ouj financial condition. The same causes which have produced oecuniary dis tress throughof the country, have so reduced the amount of imports from foreign countries that the revenue has proved inadequate to meet the necessary expenses of the govern ment. To supply the deficiency, Congress, by the act of the 23d of December, 1857, authorized the issue of 20,000,000 of treas ury notes; and, this proving inadequate they authorised, by the act of June 14th, 1858, the loan of 320.000,000, "to be applied to the payment of appropriations made by law No statesmen would advise, that we sho'd go on increasing tha national debt to meet the ordinary expenses of the government. This would be a most ruinous policy. In case of war, our credit must be our chief re source at least for the first year, and this would be greatly impaired by having con tracted a large debt in time of peace. It is our true plicy, to increase our revenue so as to equal our expenditures. It would be ruiuous to continue to borrow. Beside, it may be proper to observe that the incidental protection, thu3 afforded by a revenue tariff, would at the present moment, to some extent increase the confidence of the manufacturing interests, and give a fresh impulse to our re viving business To this, surely, no person will object. In regard to the mode of assscssing and collecting duties under a strictly revenue tariff, I have long entertained and often ex pressed the opinion, sound policy requires this should be done by specific duties, in ca ces to which these can be properly applied. They are well adapted to commodities which are usually sold by weight or by measure, and which, from their nature, are of eual or of nearly equal value. Sash, for exam le, are the articles of iron of differant clas ses, raw sugar, and foreign wines and spirits. In my deliberate judgement, specific du ties are the best, if not the ouly means of securing the revenue against false and fraud ulent invoicces, and such has been the prac. lice adopted for this purpose by other com mercial nations. Besides, specific duties would afford to tho American manufactucr the incidental advantages to which he is fair ly entitled under a revenue tariff. The pre sent system is a sliding scale to his disadvan tage. Under it, wheu prices are high and business prosperous, tho duties rise in amount when he least requires aid. On the contra ry, when prices uu!, alii he iz struggling a"aiuat ?'Jversity, the duties are diminished O T. ....... ia the same prAcrtion, greatly to his iuju ry Neither would there be danger that a high er rate of duty than that intended by Con gress, could be levied iu the form of specific duties, It would be easy to ascertain the average value of any imported article for a scries of years; and, instead of subjection it to an ud valorem duty at a certain rate per centum, to substitute in its place an equiv alent specific duty. By such an arrangement the consumer would not be injured. It is true, he. might have to pay a littlt more duty on a given ar ticle in one year; but if so, he would pay a a little less in an other, und in a series of years these would countcrbalacce each other, and amount to the same thing, so far as his interest is concerned. This inconven ience would be trifling, when contrasted with the additional security thus afiorded against frauds upon the revenue, in which every consumer is directly interested. I have thrown out these suggestions as the fruit of my own observation, to which Con gress, in their better judgement, will give such weight as they may justly deserve. The report of the Secretary of the Treas ury will explain in detail the operations or that department of the government. The receipts into the treasury from all sources du ring the fiscal year ending 30th June, 1858, including the treasury notes authorized by the act of December 23, 1857, were $70, 273, 869 59, which amount, with the bal lanceof$l7, 710, 114 27 remaining in the treasury at the commencement of the year, made an aggregate for the service of the year of 887'. 983 983 86. lhe public expenditures elunng the hscal ar ending June 30, 185S, amounted to year 81,585, 667 76, of which $9. 634, 837 99 invlts congress w inuu, a 4.SM were applied to the payment of the public tiny to ascertain whether he expsea .in all debt, and the redemption of treasury notes the departments cannot be still further re with the interest thereon, leaving ia the tre- j duxed ; and I promise tuem all the aid m my - t 1 ia-.9 k ,r,, nower in pursuing the investigation. ment of the present fiscal year, $6, 398, 317 10. The receipts in the treasury, during the first quarter of the present fiscal year, com mencing the 1st J uly, 1853, including one half of the loan of 20,000. 000, with the premium upon it, authorized by the act of 14tu June1858, were $25, 240,879 47, and the estimated receipts for tho remaining three quarters to tho 30th June, 1859, from ordinary sources, are $38, 500, 000, making with the balance before stated, an aggregate of $70,120,105 5G. The expenditures, during tho first quar. ter of the present fiscal year, were $21,768 103 51. of which 81. 010. 142 37 were ap plied to the payment of the public debt and - J the redemption of treasury and the interest thereon. The estimated expenditures, du ring tho remaining three quarters to 30th June, 1850, are $55,157,698 48, making an aggregate of $4'0Go.906 90, being an ex cess of expenditure, beyond the estimated re ceipts into the treasury from ordinary sources, during the fiscal year to the oOth June, 1.809, of $3,036,701 44. Extraordinay means are placed by law within the command of the Secretary of the Treasury, by the reissue of treasury notes redeemed, and by negotiating the balance of the loan authorized by the act of 14th June, 1858, to the extent of $11, 000,000, which, if realized during the pre sent fiscal year, will leave a balance in the treasury, on the 1st day of July, 1859, of $7,063.208 57 : The estimated receipts during the next Cscal year ending 30th June, 1860, are $62 000,000, which, with the above estimated ballance of $7,063,168 57, make an aggre gate for the service of the next fiscal year of $69,063,298 57. The estimaed expend itures during the next fiscal vcar ending 30th June, 1860, are $73,139"l47 46. which leave a deficit of estimated means, compared with the estimated expanditures for that year, commencing on the 1st of July. 1859, of $1,075,848 89. In addition to this sum, the Postmaster nnril Trill Mfmipo frnm tl.A trpnnrT? for the service of the Post Office DepartmelCS S3.838.728, as explained in the report of the j Secretary of the Treasury, which will increase the estimaton the 30th. June, lbOU, to $7,914,576 83. To provide for the payment of this estimated deficiency, which will be in creased by such appropriations as may be made by Congress, not estimated for in the report of the Treasury Depar tment, as well as to provide for the gradual redemption' from year to year, of the out unstanding treasury notes, t e Secrccary of the Treasury recommends such a revision of thj pre; e -t tariff as will raise the required amount. After what I have already said, I need scarcely add that I concur in jthe opinion expressed in bis re port that the p'iplic debt should not be in cr.ased by an additional loan, and would therefore strongly urge upon Congress the duty or muM.,5;, a w?ir prw .EC?, necessary provision for meeting there liabil ities. The public debt on the 1st of July, 1858, the coiiitueiicjment of the present fiscal year, was $26,155,977 06. During the first quarter of the present year, the sum of $10,000,000 has been negotiated of the loau authorized by the act of 14th June, 1858 making the present outstand ing public debt, exclusive of treasury notes. $35,155,977 66. There was on the 1st of July, 1857, of treasury notes issued by au thority of the act of December 23, 1S57, unredeemed, the sum of $19,754,900 making the amount of actual indebtedness, at that date, $54,910,777 60. To this will be added $10,000 000 during the present fiscal year this being the remaiuing halfcf the loan of $20,000,000 not 3-et negotiated Tho rapid increase of the pablic debt, and the necessity which exists for a modification of tha taritl, to m --el even the ordinary ex penses of tho gov us an, m onr re the practice of of expenditure should bo limited in number, as far as this may ha practicable, and the ap propriations necessary to carry the. a into effect, ou.ht U b? disbi-sjl unlrthe strictest-accountability Enlightened econ omy docs not consist iu the refusal to appro Driate money for constitutional purposes es sential for the dt fence, progress and propri ety of the Republic, but in taking care that none of this money shall be wasted by mis management in its application to the objects designated by law Comparisons between the expenditures at the present time aud what it was t'venty years ago, are altogether fallacious Tho rapid increase of our country in extent and population renders a corresponding increase of expenditure, to some extent, unavoidable. This is constantly creating new objects of tspcuditure, and augmenting the amount required for the old. The true questions, then are have these objects been unnecessa rily multiplied ? or, has the amount expended upon any or all been larger than comports with due economy ? In accordance with these principles, the different executivs de partments of the governmsnt have been in structed to reduce their estimates for the next fiscal year to the lowest standard consistent with the efficiency of the service, and this duty they have performed iu a spirit of economy. The estimates of tho Treasury, War, Navy and Interior Departments have each been in some degree reduced ; and unless a sudden and unforeseen emergency should arise, it is not anticipated that a deficiency will exist cither the present or the next fiscal year. The Post Office Department is placed in a peculiar position, different to the other de r . . . 1 t 1.111 v e nartmeuts ana to tnis 1 snau uereauer xciei . n . . .... -1 I transmit herewith the reports made to me by the Secretaries of War, of the Navy, of the Interior and of the Postmaster Gen eral. They each contain valuable informa tion aui important recommendations, to which I invite the attention of Congress. Ia mv last annual message, I took occasion era-nont ought to admonish 10 lue guKruu-.u b iuuch .. . .l- - ' renuirin' that the rn:u shall be cameu m pjcuve spueres or uury, iu 1 4, , ,, , . Tho such vchisles as will accommodate passen- . , - -j 1 to recommend the immediate construction of pertormea as . iu iu. ten small steamers, of light draught, for tho New ork and this city, purpose of increasing the efficiency of the Whilst disclaiming all authority to appro navy. Congress responded to the T recoui- priata money for the .construction of this road i,.Jnn nntWilin th construction of (except that derived from tho war making eight ot them. The progress which has been ma.lr in cxecutiucr this authority is stated in the report of the Secretary of the Navy. 1 concur with him in tha opinion tbat a greater number of this class of vessels is necassary numoer 01 mis ciass ui vut.acio a for the purpose of protecting iu a more effi cient jianner the persons and property of American citizens on the high seas, end for eign countries, as well as in guarding more effectually our own coasts. I accordingly recommend the passage of an act for this purpose. The suggestions contained in the report of the Sectetary of the Interior, especially those in regard to the disposition of tha public domain, the pension and bounty-land system, the policy towards the Indians, and the amendment of onr patent laws, are wor thy of the serious consideration of Con gress. The Post Office Department occupies a position very different from that of the other departments. For ' many years it was th policy of the government to render this a self-snstaming department; and if this can not now be accomplished, in the present con dition of the country we ought to make as near an approach to it cs may be practica ble. The Postmaster General is placed in a most embarrassing position by the existing laws lie is obliged to earry these into effect. lie has no alternative. He finds, however, that this cannot be done without heavy demands upon the treasury over and above what is received for postage; and these have been progressively increasing from year t0 Jear til they amounted for the last fis Jar ending ou the oOth of June, I00S cal to more than four millions and a half of dollats; whilst it is estimated that for the present fis cal year they will amount to $6,290,000. These sums are exclusive of the annual ap propriation of $700,020 for "compensation lor the mail service performed for the two houses of Congress and the other departments and office! s of the government in the trans portation of free matter." The cause of these large deficits is mainly attributable to the increased expense of trans porting the mails. In 1852 the sum pail tor this service was but a fraction above four millions and a quarter Since that year it has annually increased until in 1858 it has reached more than eight millions and a quar ter; and for the service of 1859, it is estima ted that it will amount to more than ten mil lions of dollars. The receipts of the Post Ofiice Department can be made to approach or equal its expen diture, only by means of the legislation of Congress. In applying any remedy, care should be taken that the people shall not be deprived of the advantages, which they ara fairly entitled to enjoy trom the Post Offiea Department. Tho principal remedies re commended to theconsideration of Congress bv the Post Master General, are to rcstora the former rate of postage upon single letters to five cents; to substitute for the franking privilege the delivery to those now entitled to enjoy it, cf postage stamps for thoir corre spondence, and to direct the department, in making contracts fur the transportation of the mai , to confine itself to the payment of the sum necessary for this single purpose, without rcquiriug it to be transported in post coaches or caraiages of ar.y particular descrip tion Under the present system, the expense rers. lnis Will oe uonc wnuoas pay irom . 1 .i -.1 1 r the department, over ell roads where tha travel will remunerate the contractors. These recommendations deserve the grave considerations of Congrcs?. I would again call your attention to tho construction of a Pacific railroad. Time aud reflection have but served to coL-firm me ia the truth and justice of the observations which I made, on this subject, in my last annual message, to which I beg leave respectfully to rcic-r It is freely almitted that it would be in expedient for this government to exercise tha power of constructing the Pacific railroad by its own immediate agents. Such a policy would increase the patronage of the execu tive to a dangerous extent, and .introduce a system of jobbing and corruption, which no vigilance on the part of federal officials could either prevent or detect. This can only be done by the keen eye, and the active and careful supervision of individual and private interest. The construction of the road, ought, there fore, to bo committed to companies incorpo rated by the States, or other agencies whosa pecuniary interesrTwwild be directly invol ved. Congress might then assist them la the work by grants of land or of money, or both, under such circumstances and restric tions as would secure the transportation of troops and munitions of war free from any charge, and that of the United States at a fair aud reasonable price. The progress of events since tha com mencement of your last session has shown how soon difficulties disappear before a firm and determiued resolution. At that time such a road was deemed by wise and patri otic men to be a visionary project. The great distance to be overcome, and the inter vening mountains aim uteris ju me way, were obstaales which, in the opinion of mauy could not bo surmounted. Now after tha lapse of but atsingle year, these obstacles, it has been discovered, are far less formidabla than they were supposed to be; and mail sta ges, with passengers, now puss and repass regularly twice ia each week, by a common waon road between Sau Francisco and St . L.ouis and Memnhis, in less than twenty-five days. The service has been as regularly power of the Constitution 1 there : are impor- tant oouaierai coaswerauuua "6lu5 mv dertake the work as speedily as possible. The first and most momentous of these is. . 4. 1 1 that such a road would be a powcriui . Dona i - - . . - cf uuion between the State east and weal ! ' Y, a o o