service, to $222,892 22 per year less, in proportion to the service perfoimed, than the expense of transportation in 1829, besides a great increase in expedition between the principal commercial cities, and a much greater proportion of the whole performed in stages.

Aster carrying into effect the law of the last Congress establishing new mail router, the present length of mail roads in the United States, amounts to 119,916 miles, viz : Maine.. ... miles 3,824 Maryland .. miles 2,102 Tennessee....miles 6,761 New Hampshire.. 2,460 Virginia.........10,589 Kentucky.... ....5,993 Vermont...........2,531 North Carolina ..6,850 Ohio..............

.8,977 Massachusetts.. ..4,845 South Carolina ..4,516 Michigan.... ...1,495 Rhode Island.. 491 Georgia.... ..5,274 Idiana.........

....5,361 Connecticut........2,701 Florida...... ....1,131 Illinois..............4,459 New York.... 13,256 Alabama.. .......4,433 Missouri..........2,170 New Jersey.. ....1,961 Mississippi........2,462 Pennsylvania.....11,010 Louisiana... ...1.462

Making..119,916 Delaware.........

494 Arkansas....... ..2,309 Over these roads, the annual transportation of the mail on the Arst or July last, was

On horse back!
STATES.

In stages.
In steamboats. and

Total.

in sulkies.
Miles.
Miles,
Miles

Miles.
Maine..............

708,184 3,328 267,010 978,529 New Hampshire.. 622,238

111,854 734,092 Vermont............ 634,666

106,260 740,926 (Massachusetts....... 1,563,640 23,712 150,037 1,737,389 Rhode Island........ 117,988

16,692 134.680 Connecticut........ 598,987 17,376 175,608 791,971 New York

3,053,558 155,339 854,9374,063,834 New Jersey.. 548,330

100,840 649,170 Pennsylvauia... 2,414,801

762,873 3,177,674 Delaware..... ..... 92,674

i 17.264 109,938 Maryland............ 585,792 58,380 161,588 805,760 Virginia .....

1,277,846 88,500 778,906 2,145,252 North Carolina. ... 829,415 15,288 427,076 1,271,779 South Carolina... 658,524

275,548 934,072 Georgia ......... 368,012

498.626 866,638 Florida.........

47,112 41,600 86,612 175,324 Alabama

429,978 96,360 353,652 879.990 Mississippi. 78,002

282,756

360,758 Louisiana. 48,516 15,704 156,676

220,896 Arkansas.........

231,556

231,556 Tennessee.............. 513,453

502,320 1.015,773 Kentucky....

628,072 45 000 540,240 1,213,312 Ohio..............

1,216,801 47,150 618,190 | 1,882,141 Michigan........ 144,952

89,512 234,464 Indiana .........

196 268 21,000 487,814 705,082 Illinois......... 236 522

293,278 529,800 Missouri.............

79,508 Total, miles (17,09:5,839 628,737 8,531,909 26 854.485

184,184 263,692

The increase of trausportation from the 1st July, 1832, to the 1st July, 1833, has been, In stages,

1,471,096 miles. Jo steamboats,

129,436 miles On horse back and in sulkies,

1,628,932 miles. Making together,

3,229,464 miles. The method in which the accounts of the expenses of transporting the mail have always been kept in this department, has led to a misapprehen sion of the means of extending improvements in mail facilities It appears from the earliest records of the department, to have been a rule not to enter to the credit of a contractor, nor to charge to the account of transportation the expense of carrying the mail on his route, till after he had signed his contract and bond, and returned them to the department wiih proper secu rity, though the service may haye been regularly performed, and in many 10stances the moneys actually paid. It has sometimes happened that conuacts of the greatest magnitude have, from various causes, renained for more than a year unreturned. In such cases though the expenses have been incurred, they do not appear in the transportation account, and though the

in neys may have been paid to the contractors, they stand on the books as balances to that amount due from them to the department, constituto ing a part of its surplus fund ; when, in fact, they constitute a part of the actual expense incurred for the transportation of the mail. The con sequence has been, that the expenses for transporting the mail within any given period of time, as shown in the accounts, and reported annually through the Executive, have been always calculated to exhibit an amount considerably less than what has actually been incurred. This is au im. perfection not of recent origin, but one which appears to have been coexistent with the department. When the number of contracts was few, and the surplus revenue bore a large raujo to its whole annual amount, the effect was unimportant; but in the increased number of mail routes, and the diminution of its surplus revenue, it was calculated to produce serious inconvenience From the statements growing out of this system, thus illusory in their results, together with the great expense of carrying into effect the law of the last Cougiess establishing new mail routes, and a disposition to gratify the wishes of the public in the improvement of mail facilies, I was led to carry those improvements to an extent which it was found the resources of the department would not well sustain.

When the inconvenience was felt, the cause was carefully investigated, and the following result was disclosed. Prompt directions were given for the correction of the error in future. It is not possible to determine, to an exact certainty, the whole expense incurred for transportation within any recrut period ; because it will often happen that improve

ments will become necessary, even for the fulfilment of existing laws, the expenses of which, for want of proper evidence, must be reserved for sub sequent adjustment, and so come into the account for a later period than that in which the services were performed. But these variations are of an incousiderable amount compared with the differences resulting from the system heretofore observed.

On the 30th of June, 1829, which was the close of the first quarter in which lbad assumed the functions of the depart vient, the expenses which

had been incurred for transporting the mail were $64,248 76 more than the amount stated in my report to that day

On the 1st day of July, 1832, ihe day to which ny last report reaches, there was stated to be a surplus of available funds, after defraying all the expenses of the department up to that day, of

$202,811 401 It is however now ascertained, that the expenses in. curred for transportation which had actually been performed prior to the 1st July, 1832, beyond the amount stated in that report, were

205,656 07 Su that, instead of a surplus on that day, the department was actually indebted on the 1st day of July, 1832. beyoud the whole amount of its available funds, admitting that no losses of postages should be sustained,

2.844 67 The gross amount of poslages for the year ending the 30th June, 1832, was

2,258,570 17 The gross amount of postages for the year ending the 30th of June, 1833, was

- 2,616,538 27

Making an increase for the year over the former year of $357,968 10

The nett proceeds of postages, after deducting commissions to postmas ters and the contingent expenses of their offices, for the year ending the 3016 June, 1832, was For the year ending June 30, 1933, it was

$1,543,098 49

1,790,254 65 Making au increase of nett proceeds for the year, of $247, 156 16

The expenses of the department, incurred for the year ending June 30, 1833, were as follows, viz.

Compensation to postinasters, including the contingent expenses of their offices3d quar er, 1832,

S202,431 26 4th quarter, 1832,

200,151 51 1st quarter, 1833,

214,935 50 2d quarter, 1833,

208,765 35

$826,283 62 Transportation of the mail 30 quarter, 1832,

435,892 95 4th quarter, 1832,

441,183 01 1si quarter, 1833,

493,185 96 2d quarter, 1833,

518,426 16

1,894,688 08 Incidental expenses for the year

87,701 61 Making together, .

$2,208,673 31 The gross an oint of postages for the same perind was 3d quarter, 1832,

642.689 22 4th quarter, 1832,

630,464 47 1st quarter, 1833,

673,957 67 2d quarter, 1833,

669,426 91

2,616 538 27 Leaving a deficit of

192,135 04

Brought Foruard,

$192, 135 14 And this sum paid into the Treasury by irregular depo

sites, having been placed by the receiving officer to the credit of that department instead of this,

228 69 The balance due by the department on the 1st July, 1832, as above stalen.

2,844 67 And the department was indebted on the 1st July, 1833, beyond the amount of a vailable balances due to it, in the sum of

$195.208 401 The annual expense of transporting the mail under existing contracts, with all their improvements, is

$2,033, 289 42 The incidental expenses of the department, estimaled at 90,000 00 Making the aggregate expense for a year

$2,123,289 42 The net proceeds of postages for the year ending the (30th June, 1833, amounted to

$1,790,254 65 The neli increase for that year over the preceding year, and which may be safely estimated as continuing, was

247,156 16

eee

Making the nett revenue for the current year

$2,037,410 81 Leaving a deficit of

$85,878 61 The former method of keeping the accounts of the expenses of transportation would have left out of this report expenses for transportation, as if they had not been incurred, because not entered under their proper dates, the sum of 891,658 82, viz. For services performed prior to July 1, 1832,

22,294 44 For services performed during 3d quarter, 1832,

9.420 50 Do do 4th quarter, 1832,

9,932 21 Do do 1st quarter, 1833,

22,872 70 Do do 2d quarter, 1833,

27,138 97 Making, together,

$91,458 82 This, had the'imperfection of that system remained unobserved, would have made the departinent appear to be less indebted, by that amount, than what it is in reality.

The discovery of the excess of expenditures beyond its revenues, at once showed the necessity of retrenchment.

The only practicable means of doing this, was the withdrawal of some of the improvements which had been made, and on such routes ns would be least injurinus to the public, and least prejudicial to the revenues of the Department.

This has been done with great care and attention to ense iwo points. The reductions have been directed on the feransportation to take effect from the 1st of January next, in the annual amount of

$ 202,370 The contracts have been renewed for the southwestern ection, comprising the States of Louisiana, Mississippi, Ala. bima, Tennessee, Missouri, Illinois, and Indiana, and tho iTerritory of Arkansas, with a greater amount of improve

Brought Forward,

$202,370 ments than curtails, at an annual saving of

71,893 Making togeiher an annual retrenchment in the expenses of the department, of

$274 263 In making these retrenchments, many of the principal contractors who were to be affected by them, seeing the necessity which iu luced ihe measure, have readily declared their cordial acquiescence in it; and with a patriotic spirit becoming their character, have shown a determination to sustain the department, as a paramount object, at any sacrifices which it may require on their part.

After the reductions shall take effect, the annual transportation of the mail wi'l still be 25,527,957 miles, viz.

In steam- (Horseback and
STATES.

In stages.
boats. sulkies.

Total.
In Mame..

635,402 3,328 271,274 910,004 New Hampshire 622,238

111,854 734.092 Vermont. 636 122

104 076 740,198 Massachusetts... 1,553,248 23,712 •145,229 1,722,189 Rhode Island.... 117,988

16,692 134,680 Connecticut ..

587,739 17,376 175,608 780,723 New York..... 2,982,638 | 155,339 884,229 4,022.206 New Jersey. 517,854

100,840 618,694 Pennsylvania.... 2,080.929

764,329 2,845,258 Delaware........ 104.010

17,264 121,274 Marylani....... 570,726 58,380 161,588 790,694 Virginia

1,044,246 46,900 778,906 1,870,052 North Carolina.. 733 423 15,288

413,660 1,162,371 South Carolina. 602 256

275,548 877,804 Georgia 278,024

498 626 776.650 Florida .......

47,112 41,600 86,612 175.324 Alabama .....

429,978 96,360 353,652 879,990 Mississippi....

78,002

282,756 360,758 Louisiana .......

48,516 15,704

156,676 22,896 Arkansas .......

231,556 231,556 Tennessee....... 513,453

502,320 1,015 773 Kentucky

586,992 45,000 526,824 1.158,816 Ohio..............

1,005,369 47,150 617,358 1,669.877 Michigan.. 112.088

97,416 209,504 ludiana

196,268 21,000 487.814 705,082 Illinois....... 236,522

293,278

529,800 Missouri

79,508

184,194 263,692 Total miles 16,400,651 587,137 8,540,169 25,527.957 Thus, it will appear, that but part of the improvements will be with drawn to enable the department sull to rely exclusively on its own resources, as the annual transportation will still be, after the 1st January oext, 1,902.936 miles more than it was on the 1st July 1832. I bave the honor to be, very respectfully, Your obedient servant,

W.T BARRY.