The Portland daily press., 1866-01-05

relief to the soldiers and comfort to thei
friends. For the past year it has been il
charge of brevet lieutenant colonel Derby, II
whom, as well as to his assistants, tender
my thanks for the fidelity and kindness with
which they have discharged their duties. Fol
the present and until the residue OF our regi
ments are mustered out of the service, post
hospital will be maintained here.
REPORT OF THE ADJUTANT GENERAL.
The forthcoming report of the Adjutant
General, embracing the operations OF his Of
flee for the years 1854 and 1865, and the his
tory OF our soldiers for the same period, will
constitute amost full and complete compendi-
UNI of facts invaluable to them and their
friends as furnishing the clew by which their
rights may be effectively secured. 1t will be
an enduring monument to the ability and in
defatigable industry of that officer. You are
respectfully referred to it for suggestions in re-
lation to the organization Of the militia OF the
State. e. .
FINANCE. ~
Passing from these considerations, your at
tention is invited to the financial condition of
the State as it was at the outbreak of the re-
bellion, and as it is at the close of the year
1860. On the first day of January, A. D.,
| 1881, the funded debt of the State was 5000,
| 500. At the commencement of the present
year, it is $5, ,164 500. The difference between
these sums does not exhibit the amount of
State expenditure made directly in aid of gov
| eminent in the prosecution of the war, for the
debt existing at its commencement has been
reduced $197,500, and very large amount
added to the current revenues of the treasury
| from the increased taxation which has been
| imposed upon the citizens of the State from
| year to year, during the continuation of the
struggle. The expenditure for war purposes,
embracing the outtitting of the first ten regi-
ments, bounties, aid to families of soldiers, for
| sick and wounded and other objects, including
interest on the war debt, reaches the sum Of
| $7,357 ,572.97, distributed among the different
| years as follows: .."-
| 1851 $1,OOS.578 II
1852 = 165S7S 90
1858 642OSO 90
1854 3,7S44S1 IS
1865 - 1,756,603 rs
Ofthese sums there has been paid for boun-
ties alone, including scrip issued to soldiers
since the eighteenth of February last, S4,575,-
636.OO The amount advanced by cities and
towns for aid to the families of the soldiers to
January first 1855, was 81 500 ,536.66, which
has been refunded by the State or provision
made therefor To this is to be added the es-
timated sum of s4OO,OOOOO, being advanced
for the same purpose in 1865, which has been
already provided for by the tax for that year.
The returns have not been received from the
cities and tows, SO that the precise sum can
not be stated but the estimate is believed to be
large enough to cover it. Deducting from the
foregoing aggregate the three hundred and
twenty thousand dollars refunded by the Uni
ted States, the State has expended $7,037 ,572.-
81 already for the support Of the war including
interest on war debts, exceeding the amount
of war loans including scrip by S2,217,572,97.
The expenditure of1S61 was largely for out
fitting the regiments raised that year, the ex-
pensc of doing so having been cheerfully as
sumed by the State in consequence o the ut
ter want of preparation on the part of the gov
ernment of the United States to meet the ter
rible emergency in which it found ITSELF
financial credit at the outbreak of the rebel
lion being far weaker than at any subsequent
period of the struggle. The greater portion of
these advances are still due from the United
States, and the accounts, at this lime, are in
process of examination. These claims will be
pressed to a settlement at the earliest possible
moment, and l trust the State may real
ize what is fairly due to it. She made the ad-
vances in an ungrudging spirit, at time when
it was uncertain whether there would re-
main a government to refund. Under these
circumstances, a liberal allowance of the ex-
penditures, though not vouched strictly ac-
cording to regulations" may fairly be claim
ed. Beyond all these for US large amounts,
returns received from the cities, towns and
plantation ofthe State, under the requirements
OF the law, show that they are in debt, not
less than S6,556, ,183, which they have paid for
bounties. To this sum is to be added what
ever has been obtained by taxation for this
purpose, There being many towns which have
so raised portion of the bounties paid by
them; and still others which have assessed
and collected the whole amount without re-
course to taxes and are free from debt on that
account Putting all these sums together,
there has been expended by the people of this
State for the support of the national cause
| S14093 SIP, for which they owe to day about
S12OOO,OOO, saying nothing about private con-
tributions, which through their liberality have
continually flowed as freely as water.
These large debts will be met with unfinch-
ing integrity, the burden though heavy, being
lightened by the conviction of its necessity
and the grand results achieved.
| For the year 1865 the total expenditures of
| the State have been S2S72, ,0S0.S9, ofwhich, the
sum of 1926, 1888 represents the entire cost
of its civil administration including appropria-
| tions for the enlargement and improvement of
| our public institutions. The civil expenses of
| the government have been somewhat, though
| slightly, increased by the war, but the dispo-
sition to economy has been enforced by the in
eyitably heavy burdens growing out of the
| struggle. ...-
common with the people, the Legislature
| of 1865 was strongly impressed with the con-
| viction that the funded debt of the State was
| as large as could be maintained with safety
| to its credit. Such was my own view of the
| matter and that the policy of providing for our
| wants by immediate taxation should be adopt
| ed. To enforce this policy, it became neces-
sary to levy very heavy State tax for the
! year 1866. This was accordingly done, and
| tax of one cent and five mills upon the yalua-
ton of 1850 was imposed, producing the sum
of two millions, four hudred and seventy-six
thousand, eight hundred and twenty one dol
| lars and twenty-one cents, to meet exist
ing deficiencies and provide for the payments
which the treasury would be called to make
during the year 1896. As this tax was not
payable till the first day of January of the
present year, authority was granted to the
| treasurer OF State to make temporary loans to
| the amount of one million OF dollars, not ex-
ceeding year to run, in anticipation of and
to be paid from the proceeds of this tax. This
| policy, and the establishment of a sinking
| fund to be obtained by an annual tax OF three
fourths of mill upon every dollar of the State
valuation, producing about one hundred and
twenty thousand dollars. has had the effect to
maintain the high financial character of the
State, her bonds having been sold in the clos
est money market of the year within one or
two per cent. as high as the 7-30 bonds of the
United States, with all their advantage Of ex-
emption from taxation and superior rate of
interest. l cannot too strongly piess upon
your consideration the necessity as well as the
value of adhering to this policy of gradually
paying off the public debt through the instru-
mentality of the sinking fund. 1t distributes
the burden over series of years and looks to
its final extingulshment. 1
The Treasurer Of State, having funds to
spare, under the advice Of the Executive, in
conformity with the law, has invested, by pur-
chasing for the sinking fund, bonds of the
State to the amount Of $100,50000. These
were bought at prices ranging from ninety-five
to ninety-six dollars on the hundred, and
very handsome saving secured thereby. In
this connection, would recommend, as some
amounts will be received from the United
States in liquidation Of our claims against the
general government for advances, that what
ever is SO refunded shall also be added to the
sinking fund, for the reason that this money
was borrowed by the State under the authori-