lation over our vast territory are objects
of far greater importance to the national growth and prosperity than the
proceeds of the sale of the land to the highest bidder in open market.
The preemption laws confer upon the pioneer who complies with the terms
they impose the privilege of purchasing a limited portion of "unoffered
lands" at the minimum price. The homestead enactments relieve the
settler from the payment of purchase money, and secure him a permanent
home upon the condition of residence for a term of years. This liberal
policy invites emigration from the Old and from the more crowded
portions of the New World. Its propitious results are undoubted, and
will be more signally manifested when time shall have given to it a
wider development.

Congress has made liberal grants of public land to corporations in
aid of the construction of railroads and other internal improvements.
Should this policy hereafter prevail, more stringent provisions will
be required to secure a faithful application of the fund. The title to
the lands should not pass, by patent or otherwise, but remain in the
Government and subject to its control until some portion of the road has
been actually built. Portions of them might then from time to time be
conveyed to the corporation, but never in a greater ratio to the whole
quantity embraced by the grant than the completed parts bear to the
entire length of the projected improvement. This restriction would not
operate to the prejudice of any undertaking conceived in good faith
and executed with reasonable energy, as it is the settled practice to
withdraw from market the lands falling within the operation of such
grants, and thus to exclude the inception of a subsequent adverse right.
A breach of the conditions which Congress may deem proper to impose
should work a forfeiture of claim to the lands so withdrawn but
unconveyed, and of title to the lands conveyed which remain unsold.

Operations on the several lines of the Pacific Railroad have been
prosecuted with unexampled vigor and success. Should no unforeseen
causes of delay occur, it is confidently anticipated that this great
thoroughfare will be completed before the expiration of the period
designated by Congress.

During the last fiscal year the amount paid to pensioners, including the
expenses of disbursement, was $13,459,996, and 50,177 names were added
to the pension rolls. The entire number of pensioners June 30, 1866,
was 126,722.