The Sun.
London, England, 1840-01-16 00:00:00

funds in charge of the Government—had been largely
increased by appropriations for the removal of the In-
diens, for repelling Indian hostilities, and for other less
urgent expenses which grew out, of an overflowing Tren*-
sury. Independent of the redemption of the public
debt and trusts, the gross expenditures of seventeen
and eighteen millions in 1834 and 1835, had, by these
causes swelled to twenty-nine millions in 1836 ; and the
appropriation for 1837, made previously to the 4th of
March, caused the expenditure to rise to the very large
amount of thirty-three naives. We were enabled
during the year 1838, notwithstanding the continuance
of our Indian embarrassments, somewhat to reduce
this amount ; and that for the present year, 1839, will
not in all probability exceed twenty-six millions—or
six millions less than it was last, year. With a deter-
mination so far as depends on me to continue this re-,
duction, I have directed the estimates for 1840 to be
subjected to *the severest scrutiny, and to be limited, to
the absolute requirements of the public service. They
will be found less than the expenditures of 1839 by
over five millions of dollars.
The precautionary measures which will be recom-
mended by the Secretary of the Treasury, to protect
faithfully the public credit under the fluctuations and
contingencies to which our receipts and expenditures
are exposed, and especially in a commercial crisis like
the present, are commended to your early attention.
On a former occasion your attention was invited to
various considerations in support of a presumptive law
in behalf of the settlers on the public lands ; and also
of a law graduating the prices for such lands as had long
been in the market unsold, in consequence of their in-
terior quuality. 'The execution of the Act which was ,
passed on the first subject has been attended with the
happiest consequences, in quieting titles and securing
improvements to the industrious; and it has also, to a
very gratifying extent, been exempt from the frauds
which were practised under previous pre-emption laws.
It has, at the same time, as was anticipated, contributed
liberally during the present year to the receipts of the
treasury. _ _ _

The passage of a graduation law, with the guards be-
fore recommended, would also, lam persuaded, add
considerably to the revenue for several years, and prove

in other respects just and beneficial.
Your 'early consideration of the subject is, therefore,
once more early requested.
The present condition of the defences of our prin-
cipal sea-ports and navy yaids, as represented by the
accompanying report of the Secretary of War, calls for
the early and serious attention of Congress ; and, as
connecting itself intimately with the subject, I cannot
recommend too strongly to your consideration the plan
submitted by that officer for the organisation of the
militia of the United States.

In conformity with the expressed Wishes of Congress,
an attempt was made in the spring to terminate the
Florida war by negotiation. It is to be regretted that
these humane intentions have been frustrated, and that
the effort to bring these unhappy difficulties to a satis-
factory conclusion should have failed. But after enter-
ing into solemn engagements with the Commanding Ge-
neral, the Indians, without any provocation, recom-
menced their acts of treachery and murder. The re-
newal of hostilities in that territory renders it necessary
that I should recommend to your favourable considera-
tion the plan which will be submitted to you by the
Secretary of War, in order to enable that department
to conduct them to a successful issue.

Having had an opportunity, of personally inspecting
a portion of the troops during the last summer, it gives
me pleasure to bear testimony to the success of the ef-
fort to improve their discipline, by keeping them together
in as large bodies as the nature of our service will per-
mit. I recommend, therefore, that commodious and
permanent barracks be constructed at the several ports
designated by the Secretary of War. Notwithstanding
the high state of their discipline and excellent police,
the evils resulting to the service from the deficiency of
company officers were very apparent, and I recommend
that the staff officers be permanently separated from the
line. _ _

The navy has been usefully and honourably employed
in protecting the rights and property of our citizens,
wherever the condition of affairs seemed to require its
presence. With the exception of one instance, where an
outrage, accompanied by murder, was committed on a
vessel of the United States while engaged in lawful
commerce, nothing is known to have occurred to im-
pede or molest the enterprise of our citizens on that ele-
ment where it is so signally displayed. On learning this
daring act of piracy, Commodore Reed proceeded im-
mediately to the spot, and receiving no satisfaction,
either in the surrender of the murderers or the restora-
tion of the plundered property, inflicted severe and
merited chastisement on the barbarians.

It will be seen by the report of the Secretary of the
Navy respecting the disposition of our ships of war, that
it has been deemed necessary t., station a competent
force on the coast of Africa, to prevent a iraudulent use
of our flag by foreigners.
Recent experience Las shown that the provisions in
our existing laws which relate to the sale and transfer of
American vessels while abroad,'are extren.ely defective.
Advantage has been taken of these defects to give to
vessels wholly belonging to foreigners, and navigating
the ocean, an apparently American ownership. This
character has been so well simulated as to afford them
comparative security in prosecuting the slave trade, a
traffic emphatically denounced in our statutes, regarded
with abhorrence by our citizens, and of which the effec-
tual suppression is nowhere more sincerely desired than
in the United States. These circumstances make it
proper to recommend to your. early attention a careful
revision of•these laws, .so that without impeding the
freedom and facilities of our navigation, or impairing an
important branch of our industry connected with it, the
integrity and honour of our flag may be carefully pre-
served. Information derived from our Consul at Ha-
vannah, showing the necessity of this, was communi-
cated to a Committee of the Senate near the close of the
last session, but too late, as it appeared, to be acted
upon. It will be brought to your notice by the proper
department, with additional communications from other
sources.

The latest accounts from the Exploring Expedition
represent it as proceeding successfully in its objects,
and promising results no less useful to trade and navi-
gation than to science.
The extent of post roads covered by mail service on
the Ist of July last was about 133,990 miles, and the
rate of annual transportation upon them 34,496,878
miles. The number of post-offices on that day was
twelve thousand seven hundred and eighty, and on the
30th ultimo, thirteen thousand and twenty-eight.
The revenue of the Post-office department, for the
year ending with the 30th of June last, was four million
four hundred and seventy-six thousand six hundred and
thirty-eight dollars—exhibiting an increase over.the pre-
ceding year of two hundred and forty-one thousand five
hundred and sixty dollars. The engagements and liabi-
lities of the department for the same period arc four
million six hundred and twenty-four thousand one hun-
dred and seventeen dollars.
The excess of liabilities over the revenue for the last
two years has been met out of the surplus which bad
previously accumulated. The cash in hand, on the
30th ultimo, was about 206,701 dols. 9.5 c. and the
current income of the department varies very little from
th• rate of current. expenditure. Most of the service
suspended last year has been restored, and:most of the
new routes estatisbod by the Act of 7th .1 uly, 1838,
have been set in operation at an annual cost. of 136,963
dollars. Notwithstanding the pecuniary dildiculties of
the country, the revenue of the department appears to
be increasing ; and unless it shall be, serious ly checked
by the recent suspension of payment by so many of the
banks, it will be able not only to maintain the present
mail service, but in a short time to exteiwi it. It is
gratifying to witness the proziptitude and fidelity with
which the agents of this department in general perform
their public duties.
Some difficulties have risen in relation to contracts
for the transportation of mails by rail-road and steam-
boat companies. It appears that the 'maximum of
compensation provided by Congress for the transporta-
tion of the mails upon railroads is not sufficient to induce
some of the companies to convey them at such hours as
are required for the accommodation of the public. It
is one of the most important duties of the general Go-
vernment to provide and maintain for the use of the
people of the States the best prude able mail establish-
' meat. To arrive at that end it is indispensable that
the Post-office department shall be enabled to control
the hours at which the mails shall be carried over rail-
roads, as it now does over all other roads. Should
serious inconveniences arise from she inadequacy of the
compensation now provided by law, oT from unreasonable
ticmands by any of the railroad com!Fanies, the subject
is o: such general importance as to require the prompt
attention of Congress.
In relation to steam-boat lines. the most efficient
remedy is obvious, and has been suggested by the Post-
master-General. The War and Navy D apartments al-
ready employ steam-boats in their s en ice ; and although
it is by no means desirable that the Ciovernment should
undertake the transportation of pr,ssen gers or freight as
a business, there can be no reasonable objection to
running boats; temporarily, whenever it may be neces-
sary to put down attempts at er.tertien, to be discon-
tinued as soon as reasonable cssntracts can be obtained.
The stigestions of the Posfmaster-Gcneral relative
to the inadequacy of the legal allow anca to witnesses in
eases of prosecution for mail depred aloes, merits }cur
serious consideration. The safety c f the mails requires
that such prosecutions shall be eflic tient, and justice to
the citizen vvlmc time is required to be given to the
public, demands not only that his e: ttxmstis shall be paid,
but that lie shall receive a reasona'ole compensation.
The reports from the NVar, Lsliavy, and Post-office
Departments will accompany this c ommunicatipn, and
one front the Treasury Departunn t will be presented
to Congress in a few days.
For various details in respect to the matters it, charge
of !hese departments, I would raft r you to those im-
portant documents, satisfied that .you will find in them
many valuable suggestions. whicl s will be found well
deserving the attention of the Le; Sislaturs.
I Pram a report made in Decemi )er of last year by the
Sseretary of State to the Son ste, sbovving the trial,
docket of each of the Circul: Co arts, and the numi ,r