LETTER From the Secretary of the Treasury, transmitting his Annual Report, prepared in obedience to the act, supplementary to the act, entitled "An act to establish the Treasury Department.” SIR, Treasury Department, November 22d, 1811. I have the honour to inclose a Report prepared in obedience to the act, entitled "An act to establish the Treasury Department." I have the honour to be, Very respectfully, sir, Your obedient servant, ALBERT GALLATIN, The Hon. The Speaker of the House of Representatives. REPORT IN obedience to the directions of the "Act supplementary to the act, entitled An act to establish the Treasury Department,' the Secretary of the Treasury respectfully submits the following report and estimates: RECEIPTS AND EXPENDITURES. 1. To the end of the year 1811. The actual receipts into the Treasury, during the year ending on the 30th of September 1811, have consisted of the following sums, viz: CUSTOMS, sales of lands, arrears, repay ments, and all other branches of revenue, Total amount of receipts Making, together with the balance in the treasury, on the 1st of October 1810, and amounting to $3,459,029 72 $13,541,446 37 2,750,000 $16,291,446 37 An Aggregate of $19,750,476 09 The disbursements during the same year have been as followeth, viz: Civil department, including miscellaneous expenses, and those incident to the intercourse with foreign nations, Army, fortifications, arms and arsenals, $2,129,000 $1,360,858 98 2,136,000 142,725 4,407,725 2,225,800 93 7,994,384 91 2,750,000 5,058,272 82 The actual receipts arising from revenue alone, and exclusively of the temporary loan, since reimbursed, appear from this statement to have exceeded the current expenses, including therein the interest paid on the debt, by a sum of more than five millions and a half of dollars. But the payments on account of interest, during the year ending on the 30th September 1811, have, from an unavoidable delay in making the usual remittances to Holland, fallen short of the amount due during the same period: and the real excess of receipts arising from revenue, beyond the current expenses, including therein the interest accrued on the debt, amounts only to near 5,100,000 dollars. The receipts for the last quarter of the year 1811, are estimated at 3,300,000 dollars; and the expenditures (including the payment of arrears of interest, and near 2,160,000 dollars on account of the principal of the public debt) at 4,300,000 dollars, which will leave at the end of the year, a balance in the treasury of near three millions of dollars. It will not, therefore, be necessary to resort, for the service of the present year, to the loan authorized by the act of the last session of Congress. 2. Year 1812. It is ascertained that the net revenue arising from duties on merchandise and tonnage, which has accrued during the three first quarters of the year 1811, exeeeds six millions of dollars; and it may for the whole year be estimated at 7,500,000 dollars. The customhouse bonds outstanding on the first day of January 1812, and falling due in that year, are also estimated, after deducting bad debts, at 7,500,000 dollars. This sum may therefore be assumed as the probable amount of receipts into the treasury, during the year 1812, on account of duties on merchandise and tonnage; the portion of the revenue arising from importations subsequent to the present year, which will be received in 1812, being considered sufficient to pay the debentures, and expenses of collection of that year. The payments made by purchasers of public lands north of the river Ohio having, during the two last years, after deducting the expenses and charges on that fund, amounted to near 600,000 dollars a year, that branch of revenue may for the present be estimated at that sum. Allowing one hundred thousand dollars for the other small items of revenue, which consist principally of arrears and repayments, the whole amount of actual receipts into the treasury during the year 1812, may therefore be esti mated at $ 8,200,000 The current expenses for the same year are estimated as fol loweth, viz: and exceeding by 1,200,000 dollars the probable amount of receipts. This deficit may be paid out of the sum of three millions of dollars in the treasury. But under existing circumstances, it does not seem eligible to exhaust that fund; and the estimate of receipts being also liable to more than usual uncertainty, the propriety of authorising a loan sufficient to supply that difference, and to defray such other extraordinary expenses as may be incurred during the year, is respectfully submitted. ** It must at the same time be observed, that the sum of 9,400,000 dollars thus stated as the amount of current expenses for the year 1812, includes in fact a portion of extraordinary expenses arising from the present state of affairs. For if the military and naval expenditure had been estimated at a sum not exceeding the amount actually expended for those objects during the year ending on the 30th of September 1811, that is to say, at 4,400,000, instead of 5,900,000 dollars, the estimate of receipts would exceed that of current expenses. The disbursements on account of the naval estab- And in the year ending on 30th September 1811, to The disbursements on account of the military esta- And in the year ending on 30th September 1811, to $1,675,000 2,136,000 2,500,000 $ 2,309,000 2,129,000 3,195,000 But the detailed annual estimates of the year 1812, will show that they are predicated on the employment of almost the whole naval force, and of the whole military establishment of the United States, as authorised by law, covering, besides several other items, all the expenses of more than 17,000 effective men in the land and sea service. With respect to the payments on account of the principal of the debt, it is evident that an authority to borrow a sum equal to that which will be reimbursed during the year 1812, will be necessary. The payments which, according to law, must be made during that year, on that account consists of 1. Annual reimbursement of six per cent. and defered stocks, $ 1,570,000 2. Reimbursement of the residue of the converted stock Amounting together, to 565,318 41 $2,135,318 41 This sum, and that payable for interest, amounting together to 4,360,000 dollars, leave in order to complete the annual appropriation of eight millions, a balance of 3,640,000 dollars, which can be applied in no other manner than in purchases of stock at the prices limited by law. The amount which may be thus applied, is thereføre uncertain. PUBLIC DEBT. It appears that the payments on account of the principal of the public debt will, from the 1st of October 1810, to the 31st December 1811, have exceeded six millions four hundred thousand dol lars. With the exception of the annual reimbursement of the six per cent. and deferred stocks, there will remain at the end of the year 1811 no other portion of the public debt reimbursable at the will of the United States, than the residue of converted stock amounting, as above stated, to 565,000 dollars, and which will be paid in the year 1812. There being nothing afterwards left, on which the laws passed subsequent to the year 1801, for the redemption of the debt can operate, a general view of the result and effect of those laws, will now be presented. to as will appear by statement (D.) Exclusively of near three millions of unfunded debt, since reimbursed, as detailed in the report of 18th April 1808, the public debt of the United States amounted on the 1st of April 1801, $ 79,926,999 The whole amount of principal extinguished during the period of ten years and nine months, commencing on the 1st of April 1801, and ending on the 31st December 1811, exceeds forty six millions of dollars, viz: Foreign debt paid in full, Eight per cent. five and a half per cent. four and a half per cent. and navy six per cent. stocks, and temporary loans due on the 1st of April 1801, to the Bank of the United States, all paid in full, Six percent.and deferred stocks, includ $ 10,075,004 12,657,700 ing the exchange stock reimbursed, 20,820,744 Three per cent. stock including converted stock reimbursed, Registered debt, and debt due to foreign officers, 2,379,269 90,093 46,022,810 33,904,189 $ 17,067,096 16,157,890 565,318 16,723,208 80,000 33,885, 33,904,189 Registered debt, and debt due to fo reign officers, |