that profound peace prevails. The receipts
from internal revenues and customs have during the past three years
gradually diminished, and the continuance of useless and extravagant
expenditures will involve us in national bankruptcy, or else make
inevitable an increase of taxes, already too onerous and in many
respects obnoxious on account of their inquisitorial character. One
hundred millions annually are expended for the military force, a large
portion of which is employed in the execution of laws both unnecessary
and unconstitutional; one hundred and fifty millions are required each
year to pay the interest on the public debt; an army of taxgatherers
impoverishes the nation, and public agents, placed by Congress beyond
the control of the Executive, divert from their legitimate purposes
large sums of money which they collect from the people in the name of
the Government. Judicious legislation and prudent economy can alone
remedy defects and avert evils which, if suffered to exist, can not fail
to diminish confidence in the public councils and weaken the attachment
and respect of the people toward their political institutions. Without
proper care the small balance which it is estimated will remain in the
Treasury at the close of the present fiscal year will not be realized,
and additional millions be added to a debt which is now enumerated by
billions.

It is shown by the able and comprehensive report of the Secretary of
the Treasury that the receipts for the fiscal year ending June 30, 1868,
were $405,638,083, and that the expenditures for the same period were
$377,340,284, leaving in the Treasury a surplus of $28,297,798. It is
estimated that the receipts during the present fiscal year, ending June
30, 1869, will be $341,392,868 and the expenditures $336,152,470,
showing a small balance of $5,240,398 in favor of the Government. For
the fiscal year ending June 30, 1870, it is estimated that the receipts
will amount to $327,000,000 and the expenditures to $303,000,000,
leaving an estimated surplus of $24,000,000.

It becomes proper in this connection to make a brief reference to our
public indebtedness, which has accumulated with such alarming rapidity
and assumed such colossal proportions.

In 1789, when the Government commenced operations under the Federal
Constitution, it was burdened with an indebtedness of $75,000,000,
created during the War of the Revolution. This amount had been reduced
to $45,000,000 when, in