Star.
London, England, 1810-01-11 00:00:00

SENATE OF THE UNITED STATES, DEC. 8.

The resolution of Mr. GILES, in relation to Mr.
Jackson, the British Minister, was taken up in Senate,
and after a speech of some length from its mover,
was adopted. Ayes, 20—Nays, 4.
The bill authorising the President to send out of the
country offending Foreign Ministers, passed to a third
reading, and was postponed until Monday.

AMERICAN BUDGET.
MR. GALLATIN'S REPORT.

In obedience to the directions of the act supple-
mentary to the act entitled •4 An act to establish the
Treasury Department," the Secretary of the Trea-
sury respectfully submits the following report and
estimates :

The duties of merchandize and tonnage which accrued during
the year 1807, amounted, after deducting the expences of col-
lection, to
From which deducting for debentures issued
on.account of re-exportations . . . . 10,061,191
Left for the nett revenue accrued during

that year
The same duties during the year 1808,
amounted, after deducting the expence of
collection, to . 10,581459
From which deducting for debentures issued,
and which, on account of the embargo,
did not exceed
Leaves for the nett revenue accrued during
that year, as will appear by the statement 10,332,163

After some few explanations the report proceeds thus
The actual receipts into the Treasury during the year ending
the 30th Sept. 1809, have amounted to . . 9,315,753,15 dolls
Making together, with the balance in the
Treasury on the lit of October,lBoB, and
amounting to

An aggregate of . . . 23,162,47C,68
The disbursements during the same year have con
sisted of the following items, viz.—
Civil Department, including miscellaneous
expences, and those incident to the inter-
course with Foreign Nations
Military and Naval Establishments, inclu-
ding the Indian Department, viz.
Military, including arms and
Fortifications 3,366,403 12
Navy 2,379,20 80
Indian Department 292,303 84

Interest on the Public Debt

1,439,639,28

6,037,974 76
3,126,149 15

10,683,757 14

Reimbursement of the Principal of the
Public Debt -

6,729,777 SS

17,333,534 65

Amounting together, as will appear more In
detail by the Statement (E) to
And leaving in Treasury on the 30th of Sep-
tember, 1809, a balance of 5,828,996 01
Whence it appears that the expences of Govern.
ment, exclusively of the payments on account of the
principal of the debt, have exceeded the actual re*
ceipts into the Treasury by a sum of near thirteen
hundred thousand dollars ; and that that deficiency,

as well as the reimbursement of the principal of the
debt, have been patti out of the sums previously
icy
the Treasury, or in ether words, out of the surplus of
the revenue of the preceding years.
The outstanding revenue bond, may, after deducting tit, expences
of collection, and allowing for bad debts, be estimated to have
amounted on the Seth Sept. 1809, to 7,500,000 dolls.
The Duties en the Importations during the
last quarter will not probably, after mak-
ing a similar deduction, fall short of 2,11110,000
If those will fall due prior to the Ist lan.
1810, and make together with the balance
in the Treasury on the 80th Sept. 1809,
and amounting as above stated, to 5,800,000

An aggregate of 16,100,000
The expences of the present quarter, though
not yet precisely ascertained, will not pro-
bably, including the payments on account
of the public debt, exceed 3,600,000
Leaving on the Ist Jan. 1810,a sum of 12,500p00
About twelve millions and a half of dollars in cash
for bonds payable during the year 1810, and applica-
ble to the expences of that year.—This estimate, how-
ever, is founded on the supposition that the amount of
debentures payable in that year will not exceed two
millions of dollars, and; that the receipts during the
year arising from importation subsequent to the Ist
of January next, and from the sales on land, will be
sufficient to pay these debentures, and to leave at all
times in the Treasury at least one million of dollars.
Estimating the expenses of a civil nature, both domestic and fo-
reign, for the year 1810, at the same amount annually expend-
ed for those objects during the preceding year, or at about
1,500,000 dolls.
Adding thereto the annual appropriation of 8,000,000
For the public debt, (of which sum, about
three millions seven hundred and fifty
thousand dollars will be applied to the
final reimbursement of the Exchange six
per stock), it follows, that unless the ag-
gregate of the expellees for the military
and naval establishments should ha redu-
ced to about 3f9110,0011

12,500,000
Three millions of dollars, a loan will be necessary to
make up the deficiency. That state of the Treasury
had been anticipated; and, for that reason, an in-
crease of duties had been respectfully submitted in
the last annual report. But should that measure be
now adopted, it would not, on account of the terms'
of credit allowed for the payment of duties, supersedel
the necessity of a loan for the service of the year 1810,
commensurate with the extent of those establish.
ments, and with the appropriations which may be
made for their support by Congress. No precise
sum is suggested, since this must vary according to
the plans which may be adopted in relation to foreign'
nations, and will particularly depend on the decision
of Congress, on the question of w, or peace. It is
sufficient to state that if the actual expenditure of the
year one thousand eight hundred and ten, for all mili-
tary andnaval purposes, should be estimated at the same
sum which was disbursed by the Treasury for these ob-
jects during the year ending on the 30th September,
1809, and exceeding, as above stated, six millions of
dollars, the deficiency, according to the preceding
estimates, would amount to three millions ; on which
supposition it would seem prudent, in order to pro-
vide against any deficiency in the receipts, beyond
what has been estimated, to authorise a loan of four
millions of dollars. In the event of war, the neces.
sty of rendering it efficient and of calling for that
purpose into action all the resources of the country,
is too obvious to require any comment. On that sub-
ject nothing will at this time be added by this depart-
ment to the suggestions respectfully submitted in the
two preceding annual reports. Loans reimbursable
by instalments, and at fixed periods, after the return
of peace, must constitute the principal resource for
defraying the extraordinary expenses of the war. For
the support of credit, the basis on which rests the
practicability of obtaining loans on reasonable terms,
it appears necessary that the revenue should, in the
meanwhile, be equal to the interest on the public
debt, including that on the new loans, and to all the
current expences of Government calculated on a peace
establishment, or, for the present, to about eight mil-
lions of dollars. An immediate and considerable in-
crease of the existing duties will, it is believed, be re-
quisite for that purpose, in order to cover the defal-
cation which a maritime war must necessarily pro-
duce in a revenue almost exclusively depending on
commerce. That increase appears preferable in the
present situation of the United States to any other
source of taxation, and is not, in time of war, liable
to the objection of its encouraging smuggling. It is
only in the event 9f that revenue being still more af-
fected by a war than is apprehended, that a resort to
internal taxes, either direct or indirect, may become
necessary.
46 If war should not be resorted to, it does not ap-
pear requisite, unless Congress should resolve on a
permanent increase of the military and naval esta-i
blishments in time of peace, to lay at present any ad-
ditional duties beyond a mere continuance of the
two and a half per cent. known under the name of
4 Mediterranean Fund.' It has already been stated
that an increase of the impost would not supply the
deficiency which may take place in the year 1810,
and exclusively of the reimbursement of the loan
which may be wanted for the service of that year, all
the national expences calculated on a peace establish-
ment and on the average of the actual expenditures of
the six years 1802 a 1807, will not exceed ten millions
of dollars for the year 1811, and eight millions after
that year."
The Report concludes thus—
Whatever may be the decision of Congress in
other respects, there is a subject which seems to require,
immediate attention. The provisions adopted for the
purpose of carrying into effect the non-intercourse with
England and France, particularly as modified by
the act of last session, under an expectation that
the Orders of Council of Great Britain had been re-
voked, are inefficient, and altogether inapplicable to
existing circumstances. It will be sufficient to ob-
serve, that the exportation by land is not forbidden,
and that no bonds being required from vessels osten-
sibly employed in the coasting trade, nor any autho-
rity vested by the law which will justify detention,
those vessels daily sail for British ports, without any
other remedy but the precarious mode of instituting
prosecutions against the apparent owners. It is un-
necessary, and it would be painful to dwell on all the
effects of those violations of the laws. But without
any allusion to the efficiency or political object of any
system, and merely with a view to its execution, it is
incumbent to state, that from the experience of the two
last years, a perfect conviction arises, that either the
system of restriction pray abandoned must be re-

ustratta in all its partg, and with all the provisions
necessary for its strict and complete execution, or that
all the restsioions, se far at least as they affect the
commerce and navigation of the citizens of the United
States. ought to be removed.—All which is respect.
fully submitted. a ALBERT GALLATis,
“ Secretary of the Treasury,
" Treasury Department, Dec. 9, 1909."