n of
his Government not to prolong the treaty of 1828, it will cease to be
obligatory upon either party on the 12th day of December, 1841, when the
extensive commercial intercourse between the United States and that vast
Empire will no longer be regulated by express stipulations.

It affords me pleasure to communicate to you that the Government of
Chili has entered into an agreement to indemnify the claimants in the
case of the _Macedonian_ for American property seized in 1819, and to
add that information has also been received which justifies the hope of
an early adjustment of the remaining claims upon that Government.

The commissioners appointed in pursuance of the convention between the
United States and Texas for marking the boundary between them have,
according to the last report received from our commissioner, surveyed
and established the whole extent of the boundary north along the western
bank of the Sabine River from its entrance into the Gulf of Mexico to
the thirty-second degree of north latitude. The commission adjourned
on the 16th of June last, to reassemble on the 1st of November for the
purpose of establishing accurately the intersection of the thirty-second
degree of latitude with the western bank of the Sabine and the meridian
line thence to Red River. It is presumed that the work will be concluded
in the present season.

The present sound condition of their finances and the success with which
embarrassments in regard to them, at times apparently insurmountable,
have been overcome are matters upon which the people and Government of
the United States may well congratulate themselves. An overflowing
Treasury, however it may be regarded as an evidence of public
prosperity, is seldom conducive to the permanent welfare of any people,
and experience has demonstrated its incompatibility with the salutary
action of political institutions like those of the United States. Our
safest reliance for financial efficiency and independence has, on the
contrary, been found to consist in ample resources unencumbered with
debt, and in this respect the Federal Government occupies a singularly
fortunate and truly enviable position.

When I entered upon the discharge of my official duties in March, 1837,
the act for the distribution of the surplus revenue was in a course
of rapid execution. Nearly $28,000,000 of the public moneys were, in
pursuance of its provisions, deposited with the States in the months of
January, A