lling it is that prescribed by a steady regard to
the true interests of the United States, which equally avoids an
abandonment of their just demands and a connection of their fortunes
with the systems of other powers.

The receipts in the Treasury from the 1st of October to the 31st day of
March last, including the sums received on account of Treasury notes and
of the loans authorized by the acts of the last and the preceding
sessions of Congress, have amounted to $15,412,000. The expenditures
during the same period amounted to $15,920,000, and left in the Treasury
on the 1st of April the sum of $1,857,000. The loan of $16,000,000,
authorized by the act of the 8th of February last, has been contracted
for. Of that sum more than $1,000,000 had been paid into the Treasury
prior to the 1st of April, and formed a part of the receipts as above
stated. The remainder of that loan, amounting to near $15,000,000, with
the sum of $5,000,000 authorized to be issued in Treasury notes, and the
estimated receipts from the customs and the sales of public lands,
amounting to $9,300,000, and making, in the whole, $29,300,000, to
be received during the last nine months of the present year, will
be necessary to meet the expenditures already authorized and the
engagements contracted in relation to the public debt. These engagements
amount during that period to $10,500,000, which, with near one million
for the civil, miscellaneous, and diplomatic expenses, both foreign and
domestic, and $17,800,000 for the military and naval expenditures,
including the ships of war building and to be built, will leave a sum
in the Treasury at the end of the present year equal to that on the 1st
of April last. A part of this sum may be considered as a resource for
defraying any extraordinary expenses already authorized by law beyond
the sums above estimated, and a further resource for any emergency may
be found in the sum of $1,000,000, the loan of which to the United
States has been authorized by the State of Pennsylvania, but which has
not yet been brought into effect.

This view of our finances, whilst it shows that due provision has been
made for the expenses of the current year, shows at the same time, by
the limited amount of the actual revenue and the dependence on loans,
the necessity of providing more adequately for the future supplies
of the Treasury. This can be best done by a well-digested system of
internal revenue in aid of existing sources, w