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Congress voted last year $80,000 for free passages to immigrants and supplies for food, etc. We only spent $16,022, namely, in bringing out Tyrolese settlers for Entre-Rios, and sending supplies to the Chubut colony.

The homestead law is imperatively called for, as every dollar we spend on immigration gives 150 per cent. per annum in increase of revenue. Last year our Immigration Department cost altogether $207,447, which, in relation to 42,000 new-comers, represents an outlay of $4.93, which, for 42,000 newcomers, is equal to an increase of $352,000 in import revenue. Moreover, it is impossible to estimate the increase of products to be obtained by the introduction of 100,000 agricultural settlers, which would cost the republic only a million dollars.*

Señor Olivera's report upon the Post-Office Department shows a saving of $95,797 on the sum appropriated by Congress, and an improvement of 852,000 in favor of the Treasury, as compared with

1974.

Some of the provinces want to tax the coaches we employ to carry the mails, and Congress must pass a law exempting the lines from local taxation. By abolishing Government mail-cars, and subsidizing private ones, we have effected a saving of $50,000. The Galles contract, for carrying mails to Patagonia, has been rescinded. As the European mailsteamers complained of the number of free passages granted, we have agreed to reduce them to one first

and two steerage passages.

The number of telegraphic dispatches increased from 262,376 in 1874 to 277,254 in 1875.

The department is now annexed to the Post-Office. Mr. Rogers is making the telegraph-line from Rio Cuarto to Rio Quinto. Señor Carranza has received materials for the line from Jujuy to Bolivia, for *This law has since been passed.

which we pay him £120 per mile. Mr. James Anderson is making a line from Córdoba to Salto, and Señor A. Santamaria one from Concepcion to Paysandú.

It is desirable to plant trees throughout the Pampas, from Buenos Ayres to San Luis, but this will be a work of years. Mr. Oldendorff distributed last year 32,300 collections of seeds among 1,326 persons. In future we propose to sell the seeds and plants, instead of giving them gratis. The Botanical Garden has $20,000 worth. We have given $1,440 for certain colonists at Tortugas, who have planted 18,000 mulberry-trees; also $724 to colonists in Concepcion, for rearing silk-worms.

A subsidy of $250,000 has been paid to the Bermejo Navigation Company.

ARIZONA. The Governor in his message to the biennial session of the Legislature, commencing January 4, 1875, states that the amount on hand and in the general fund, December 31, 1872, was $16,466.33; receipts to December 31, 1874, $19,721.53; making a total of $36,187.86. The disbursements from the general fund were $27,827.33; balance, $8,360.53. At no period had the Indian affairs been so satisfactory; comparative peace reigned throughout the Territory. The subject of obtaining water by means of artesian wells was engaging attention, and it was recommended that a reward of $5,000 be offered for the first flowing water obtained by means of an artesian well in the Territory. "The advantages that would be derived from developing flowing water by artesian wells can hardly be estimated. We have millions of acres of grazing and agricultural lands, and many valuable mines, unserviceable unless water be developed upon them." With reference to mining, agriculture, and grazing, the Governor says:

There has been a marked increase in mining enterprises during the past year. Many new and valgold, silver, copper, and lead, is being extracted, uable discoveries have been made, and considerable work mines; but in a small way, and with rude maThere is but little capital among us to develop and chinery, our hardy miners have started and are succultural interests are not prosperous, in consequence cessfully operating a large number of mines. Agriof the low price of grain. Farmers have supplied have had a surplus left. No greater encomium could the citizens, military, and Indians, with produce, and be paid the productiveness of the Territory. The embarrassed the farmers, but, with the development market being limited, the low prices have seriously for produce. Our unequaled grazing facilities are of the mines, a more extended market will be opened beginning to be appreciated. Large numbers of here from the adjoining States and Territories, and horses, cattle, and sheep, have already been brought

far distant when Arizona will be one of the first many thousands are now en route. The time is not Wool-producing Territories of the Union.

The condition of the public schools for the year ending December 31, 1875, was as follows: Total receipts from all sources, $28,759.92, an increase over the previous year of $16,986.77 ; total disbursements, $24,151.96, an increase over the previous year of $14,999.82; balance, $4,607.96. Says the report:

A tax of 15 cents on each $100 worth of taxable property is levied and collected annually for a Territorial school-fund, and is divided between the sev

eral counties in proportion to the average daily attendance at the various public schools. A tax of 35 cents on each $100 worth of taxable property is levied and collected by each county in its own confines, for a county school-fund, and is divided between the public schools of the county on the same basis as is the Territorial school-fund. This makes a total tax of 50 cents on each $100 worth of taxable property in the Territory, for the maintenance of public schools, and I believe is the largest direct public-school tax paid by any State or Territory in the Union.

The total number of children in the Territory, between the ages of six and twenty-one years, reported up to December 31, 1875, was as follows, by counties:

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Of these 2,508 children, 1,265 were boys and 1,243 girls, and 908 could read and write, leaving 1,600 who could not read and write. There were eleven public schools in operation during the year, with 560 pupils enrolled, and an average daily attendance of 412. A schoolhouse was erected in Tucson during the year, at a cost of $9,781.96, and paid by donations from the people. In this school three teachers are employed. There are three rooms in the building, one occupied by girls, one by boys of higher grade in studies, and the third by boys in primary studies. The boys in the primary room are taught Spanish and English. In the other rooms English only is taught.

ARKANSAS. There was a very quiet state of affairs in Arkansas during the year, general acquiescence in the supremacy of the constitution of 1874, and the administration established under it. Peace was preserved and the laws executed throughout the State, and a fair degree of progress made toward a condition of prosperity. The political canvass of the year was remarkably free from excitement.

The Republicans met in convention at Little Rock on the 27th of April. After the organization had been effected and delegates appointed to the National Convention of the party at Cincinnati, the following resolutions were adopted:

Resolved, That the Republicans of Arkansas renew their allegiance to the Republican party of the nation, and reaffirm its principles of free government as proclaimed and defended by the Father of the Republic one hundred years ago.

Resolved, That the citizens of the several States are also citizens of the nation, equal under the Constitution and the law, without regard to place of birth, color, race, or previous condition, and it is the duty of the General Government to enforce free and equal protection in their enjoyment and exereise.

Resolved, That we favor an honest and economical administration of the State and national Governments; that integrity and fidelity should be required of all officials, and, if found dishonest or rrupt, should be promptly prosecuted and punished.

Resolved, That we favor an efficient system of free schools, wherein the youth of the State may receive such education as will fit them for all the duties of citizenship; and we hold the Democratic party responsible for robbing the State of its schoolfunds to pay the per diem and salaries of officials, whereby the public schools were closed by reason of the theft.

Resolved, That to the soldiers and sailors, who fought to preserve the Union, the nation owes a debt of gratitude, and they, as well as the widows and orphans of those who have fallen, are justly entitled to a liberal provision for their support.

Resolved, That we hereby declare Hon. Oliver P. Morton to be the choice of the Republicans of the State for President.

With regard to the nomination of a State ticket, the following was adopted on motion of Judge McClure:

Whereas, The Democratic party at the election held in September of 1874, for the adoption of the present constitution, and the election of State and county officers in twenty-nine counties, cast nine thousand and more votes than there were male persons over the age of twenty-one years resident therein, according to the census; and

session, changed the time of holding all State and Whereas, The Democratic Legislature, at its last county elections from the first Monday in September to the first Tuesday after the first Monday in November, but refused to make any change as to the next election for State and county officers; andWhereas, The refusal aforesaid could not have been based upon any other theory or idea than to repeat the frauds which were perpetrated in 1874, which could not be done, if held where a United States supervisor was present; and

publican party to put a State ticket in nomination, Whereas, It would be worse than folly for the Rewith hope of electing the same, at an election held by Democratic judges and clerks of election, at which a Republican would not be allowed to be present: therefore

in view of our personal but bitter experience, we Be it resolved, That in view of the facts stated, and deem it advisable not to put a State ticket in nomination.

A State Central Committee was appointed, to whom was left the duty of nominating candidates for presidential electors.

The Democratic State Convention was held at Little Rock on the 14th of June. Presidential electors were nominated, together with the following State ticket: For Governor, William R. Miller, of Independence; for Seeretary of State, Benton B. Beavers, of Saline; for Auditor of State, John Crawford, of Howard; for Treasurer of State, Thomas J. Churchill, of Pulaski; for Attorney-General, William F. Henderson, of Randolph; for Commissioner of State Lands, James N. Smithee, of Pulaski; for Superintendent of Public Instruction, George W. Hill, of Calhoun. The following resolutions were unanimously adopted:

Resolved, That the present State administration has realized the hopes and expectations of the Democracy of the State, and its course is most cordially and fully indorsed.

Resolved, That the present Executive of this State having been recommended almost unanimously for the position of United States Senator by the different County conventions recently held, he is most heartily indorsed for such position by this convention as the reflection of the will of the people.

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S. J. Tilden as the candidate for President was defeated by the adoption of a substitute declaring the choice of the St. Louis Convention to be the choice of this convention. The State election occurred on the 4th of September, and resulted in the choice of the Democratic candidates. The vote was as follows:

At the presidential election in November, 97,029 votes were cast, of which 58,071 were for the Democratic electors, and 38,669 for the Republican; majority for the former, 19,402.

The total vote for Governor was 108,007, of which the Democratic candidate, Miller, received 71,298, and the Republican candidate, Bishop, 37,306; Democratic majority, 33,992. The Legislature consists of 29 Democrats and two Republicans in the Senate, and 76 Democrats and 17 Republicans in the House. Four Democrats were elected to Congress.

An act of the Legislature approved November 16, 1875, created a Board of Finance, and authorized it to borrow money for State expenses, etc. Two loans were contracted by the board, one of $250,000, at ten per cent. interest, which has been repaid. The other was of the same amount, at eight per cent. interest, and payable in July, 1877.

The Board of Finance has caused a statement to be made of the State debt, from which it appears that it amounts, with interest to September 30, 1876, to $17,620,362. This includes the whole nominal debt.

The board has had an extensive correspond ence with persons holding evidences of the State's indebtedness, with a view to ascertain what could be done toward making such a settlement of it as would be fair and just, and within the ability of the State to meet. While in a general way the holders of the paper of the State have expressed a desire to settle the debt on such terms as might be equitable, and within the probable resources of the State, there has not been, as far as the board has been advised, any such concert of action among

the creditors of the State as could result in any definite offer. The creditors have delayed any such step, saying that, on account of the embarrassments growing out of the outstanding floating debt of the State, they did not find that the State could at present assume the payment of the interest on any new bonds which might be issued on the basis of such a settlement. They therefore express themselves as preferring to let the matter stand until the ability and resources of the State can be more clearly ascertained.

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The present amount of the outstanding Treasurer's warrants is about $1,400,000. amount of such warrants paid into the State Treasury from other sources than that of direct taxation is $154,321.47. This sum includes all payments made into the Treasury from the first quarter in 1874 up to the close of the third quarter in 1876.

Two hundred and forty thousand dollars of Treasurer's warrants have been funded in the six per cent. bonds of the State.

From the estimates that have been made, it will appear that it will require the taxes of between two and three more years to retire all the outstanding Treasurer's warrants, provided that the present rate of taxation is continued, and that no further issue of said warrants is made. It is the deliberate opinion of the members of the board that it will be better for the State to continue the policy that has been pursued since its organization, of borrowing money to pay current expenses until all the outstanding Treasurer's warrants are taken up and canceled, rather than to renew the system of issuing more warrants, and thus bringing about a further and constantly-increasing depreciation of such paper. The result of that depreciation would be, that the public institutions of charity would perish for want of support; official salaries would be reduced so low that good men of fair abilities would be compelled to decline the public service, and the State would have to pay enhanced prices for everything purchased by it. In the end the State would have to adopt, under augmented difficulties, the same policy which is now being successfully acted upon; or otherwise the State government would become so clogged with irredeemable and uncurrent paper as to render all its operations difficult if not hopelessly impracticable. The board say that they have every reason to believe that the six per cent. bonds of the State could be disposed of at as much as seventy-five cents on the dollar; but it may easily be shown that such a method of raising money is far less economical to the State than that of yearly loans at a rate of interest even much higher than that paid for the loan negotiated in 1875. There will be no necessity for continuing these loans beyond the term of the next two years; and at the end of that time it will certainly be a satisfaction to the people of the State to reflect that, amid all the difficulties of the situation

caused by a reckless issue of bonds and Treasury warrants, the permanent debt of the State has not been increased.

With regard to the payment of the State debt the board say:

In regard to the settlement of the mass of the debt of the State, the board, after the most thorough consideration that they have been competent to give to the subject, are of the opinion that no final action should be taken at this time. It admits of a mathedition to pay the interest on the nominal outstanding debt; and no creditor, as far as the board is advised, entertains any opinion different from that which is here expressed. As to what offer they will finally make is unknown even to themselves, from the want of due deliberation, and such consultation as could result in any concerted and definite offer. It is known that the legality of many of the bonds of the State admits of grave question; and bonds of the classes affected by this consideration have fallen on the market, and are now selling at prices far below the other bonds which labor under no such imputation.

matical demonstration that the State is not in a con

The board has felt itself precluded from expressing any decided opinion on the subject of the valid ity of these bonds. The constitution contemplates the payment of the just debts of the State, but fails to provide any tribunal to decide what debts are just and what are not; nor has it prescribed any criterion by which these two classes of debts may be distinguished.

Cases may be conceived in which bonds would be so wholly destitute of all legality and merit as to amount to no more than waste-paper. Other cases may be conceived where bonds might be technically invalid, and where the State would still be bound in justice and fair dealing to pay to the holders of such bonds the equivalent of any benefit actually purchased by the State with them. In any event, the State must always be the final arbiter in the matter; and as no inferior tribunal can decide in the premises, the duty of making any final adjudication must devolve on the Legislature as the supreme power of the State.

As the subject must then come before a body that cannot claim to be wholly impartial, we would recommend such an investigation as should fitly stand in the place of a judicial inquiry, so that no one could say that he had been condemned unheard, in defiance of the principles of natural justice. We are convinced that by proceeding with circumspection, and giving to the holders of the bonds of the State an opportunity of perceiving the whole situation, in all its details of calamity and hardship; by evincing a frank, fair, and manly purpose in every step, the public debt can be more satisfactorily settled for the people of the State, and the honor of the State more perfectly sustained, than by any hasty expedient which might suggest that the State precluded inquiry because it might be productive of unfavorable results in some moral point of view.

The Blind Institute is established on a solid foundation, and in successful operation. The appropriation required is $7,000. A Deaf-Mute Institute is also in operation, with every promise of future permanency. An appropriation of $50,000 was made for the erection of an asylum for the insane; the ground has been obtained, and plans of the building proposed. There are about two hundred insane persons in the State. A new building has been erected for the State penitentiary, which with the old one furnishes 406 cells for prisoners. The number of prisoners is about 385. An act of the Legislature allows to every convict two days for every month that he has, during his confinement, conducted himself in an exemplary manner.

The total number of enlisted men enrolled in the militia is 13,057, and the estimated total of effective militia in the State is estimated at 93,000 men.

On the subject of immigration, the recentlyinaugurated Governor Miller says:

Perhaps our one greatest need is that of capital and labor, to bring out the great and undeveloped resources of the State. With a mild and healthy climate, a soil of fertility unsurpassed, and capable of producing grains, grasses, fruits, vegetables, and textile growths in almost endless variety; with forests of timber, adapted to purposes of manufacture, such as have no parallel in any other State on the Atlantic slope; with ample mines of coal, lead, iron, and other valuable metals; with a greater length of navigable streams than any other State in the Union; with railroads traversing her territory from east to west and from north to south; with water-power in great abundance, and with absolute peace and tranquillity within her borders, Arkansas offers to the immigrant inducements such as are afforded by no other portion of the West. Every means within the resources of the State should be employed to set before the world our true condition. Let the country know, as we know, that the immigrant, from whatever realm of Europe, from whatever section of our own land, he may come, will meet, here, a cordial welcome, and will be protected in every right of person, of opinion, and of property. The diffusion of reliable information upon these subjects by our highest official authorities cannot fail to be one of the very best methods of bringing our State into notice, and demands the patronage and support of the representatives of the people.

ARMY OF THE UNITED STATES. The subject of the reform and reorganization of the Army was referred by the act of July 24, 1876, to a commission consisting of two members from each House of Congress, the Secretary of War, and two officers of the Army. This commission met on the 11th of August, and subsequently collected for transmission to Congress a large mass of valuable statistics and opinions bearing upon the questions before it.

An efficient law for common schools has been in force in the State for a short time; its operation is such as to give the friends of the system strong hopes of its success. The only embarrassment met with arises from the finan cial condition of the State. Full reports have been received from all the counties but fifteen. There is an Industrial University supported by the State, and intended for the direct benefit Fortifications and other works of defense...... River and harbor improvements... of the colored population, which promises to Buildings and grounds in and around Washington accomplish its object. A proposition is also Washington Aqueduct..... made to connect with St. John's College a Surveys..... Normal School and a Geological Department.

At the close of the year the Chief of Engineers submitted estimates as follows:

Total.....

$2.228.000

18,220,100

229,050

349,500

882,000

16,408,650

"I submit this," said Secretary Cameron, "without further comment than to remark that this is not an estimate' in the sense of the estimates asked for other purposes; it is not approved nor disapproved, but it is forwarded in response to various acts of Congress calling for surveys and estimates for improvement at various localities."

For all purposes except those above named, the estimates for 1877-78 amount to $37,583,555. The appropriations for 1876-'77 were $30,610,351; for 1875-'76, $31,325,822; and 1874-75, $30,915,265. The increase in the present estimates over the appropriations for the current year is made up as follows:

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The public works are the new building for the War, State, and Navy Departments, the Rock Island Hospital, and the hospital and other works at West Point, all of which are in course of construction. The increase in miscellaneous estimates is made up of $350,000 for refunding to States the expenses incurred in raising volunteers; $98,000 for furnishing artificial limbs under existing laws; $50,000 for the Signal Service; $77,850 for printing and binding; and the remainder, $88,358, for various minor objects. The increase asked for the military service is made up of $1,385,000 for armament of fortifications, manufacture of small-arms, and the purchase of a site for a powder-depot, and nearly $3,000,000 for quartermasters' and subsistence supplies. "The appropriations for the current year," says the Secretary, "furnish no criterion of what is required for the support of the Department. It is probable that a deficiency will be necessary in order to meet the expenses during the latter months of the year, although no efforts will be spared to avoid it."

The report of the Inspector-General shows that the desertions have decreased from about 30 per cent. of the entire force in 1871 to about 7 per cent. in 1876. That officer recommends that Congress pass a law making desertion a felony cognizable by the ordinary courts of the country invested with jurisdiction over criminal cases.

Nearly 30,000 claims of loyal citizens, amounting to $8,000,000, are pending in the Quartermaster-General's office, under the act of July 4, 1864. It is stated that the only difference between this class of claims and those before the Southern Claims Commission is in the residence of the claimants, the QuartermasterGeneral investigating those in Northern States and the Southern Claims Commission those in States proclaimed as in insurrection against the United States.

There are now seventy-eight national cemeteries, which were maintained during the past

year at a cost of $146,960. The number of interments June 30, 1876, was 310,356, of which 164,655 were of unknown persons. The work of erecting head-stones over the graves has Leen completed at fifty-seven of the cemeteries, and 92,046 known and 87,242 unknown graves have been marked. There are about 17,000 graves of Union soldiers who fell during the war and were buried by the War Department in various public and private incorporated cemeteries not known as national military cemeteries.

The health of the Army during the year has been good, and the mortality from disease (8 per 1,000 of mean strength) unusually small. The number of deaths from wounds has been exceptionally large (15 per 1,000).

The Signal-Service organization comprises 145 stations, from which telegraphic reports of observations are received in addition to the reports from the Dominion of Canada. From these reports tri-daily forecasts or "probabilities" are made in the Central Office, and furnished to the press throughout the country. Of these probabilities 88 per cent. are verified. Cautionary signals, of which 77 per cent. have been justified, are displayed when necessary by day and night at forty-eight of the principal ports of the sea and lake coasts. Farmers' bulletins, containing much information valuable to agriculturists, are posted daily in several thousand post-offices. River reports, giving the depth of certain rivers at certain points, are published daily.

The small force of effective troops in the Army has been actively employed during the past year. Their employment has been mainly directed to two objects: First, to compel the Sioux Indians to acknowledge the authority of the Government; and, second, to preserve order at the South. To be prepared for any disturbance that might arise during the excitement of the presidential election, LieutenantGeneral Sheridan was instructed to concentrate a sufficient number of troops in New Orleans under Brigadier-General Augur, commanding the Department of the Gulf; and Major-General Hancock was directed to detach

a

sufficient number of companies from the garrisons on the sea-coast and send them to South Carolina for duty, under the orders of Colonel Ruger, who had lately been assigned to the command of the Department of the South, and ordered to make his headquarters temporarily at Columbia.

In the early part of the year W. W. Belknap was charged with official corruption, and resigned his position as Secretary of War. He was succeeded by Judge Alonzo B. Taft, of Ohio, who after a short term of service in the War Department was made Attorney-General; and in May J. Donald Cameron, of Pennsylvania, son of Senator Simon Cameron, became Secretary of War.

In the early part of the year military operations were begun against the hostile Sioux

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