notes. These are considerations which will, no doubt, enter into the question of the permanency of the national-banking system; but as the banks of this system are each organized under the law for twenty years, and none of them expire until June, 1883, it is respectfully submitted that it is good policy to continue the experiment until that date, when the public mind will be better prepared to consider the questions involved.

COINS AND COINAGE.

The annual report of the Director of the Mint exhibits in detail the operations of the several mints and assay offices, and also presents interesting information relative to the production of gold and silver in the United States, the estimated amount of gold and silver coin and bullion in the country, the depreciation of silver, the position of the American trade-dollar in the Oriental trade, and other subjects connected directly or indirectly with the coinage.

The value of the gold coinage executed during the

In addition to the coinage, fine and unparted bars were prepared for depositors in the amount of $12,501,926 23 in gold, and $11,854,385 87 in silver.

It is manifest, from the proven capacity of the several mints, that our coinage facilities are ample for all purposes.

The present production of bullion from the mines of the United States appears to approximate one hundred million dollars in value. All the gold bullion produced in the country contains more or less silver, and the greater portion of the silver bullion from our mines contains a percentage of gold, making it difficult to determine with accuracy the proportion of each. It is safe, however, to state that the production, of the two metals, calculated at their coining-rates, is nearly equal.

During the year 1877 and the first few months of the present year, trade-dollars, to the amount of probably four million pieces, were placed in circulation in the States east of the Rocky Mountains, with

a full knowledge on the part of the parties engaged in the business that the coin was not a legal tender.

This coin is in no sense money of the United States which the Government is bound to redeem or care for. The Government stamp upon it is to certify to its weight and fineness for the convenience of dealers in silver bullion. It is precisely like any other silver bullion assayed at any assay office or mint. The limited legal-tender quality originally given to it was taken away before any of the coins were put into domestic circulation, and it should not now be given any value or attribute at the expense of the public that is not incident to any other silver bullion. The Government has received no benefit from this coinage, and has neither received it nor paid it out. The whole connection of the Government with this bullion was to perform the mechanical work of assaying and dividing it into convenient form for the merchant, at his cost, and for his benefit, for exportation only.

Recent advices from our Minister to China indicate that a considerable amount of trade-dollars is now being hoarded in that empire, and will be returned to us if a discrimination is made in their favor over other bullion. No distinction can be made between trade-dollars in the United States and those out of the United States; but, if redeemed at all, they must all be redeemed alike. The bullion in 35,853,360 trade-dollars outstanding can now be purchased from our miners for $31,256,050. It would be a manifest injustice to deprive them of our market for their bullion, in order to discriminate in favor of bullion coined for exportation and held chiefly in foreign countries.

At times the fractional coins of the United States accumulate at certain places and are wanted at others. It is recommended that this Department be authorized to redeem them in United States notes when presented in sums of one hundred dollars, or any multiple thereof, at the mint at Philadelphia, where they can be recoined, if necessary, and distributed.

The amount of gold coin and bullion in the country September 30, is estimated by the Director at $259,353,390, and of silver coin and bullion at $99,090,557-a total of $358,443,947.

The estimating of the production of the precious metals in this country, and of the amount of coin and bullion, is a matter attended with great difficulties, and the estimates can only be regarded as approximately correct, though they have been compiled from the best. attainable sources.

By reason of the acts authorizing this Department to purchase gold and silver bullion at the several mints and assay offices, its trans

portation is thrown upon the Government. The great body of the bullion accumulates in San Francisco and Carson, and the chief transportation is from those places to New York. Efforts were made to secure favorable rates, but the lowest offer was three-tenths of one per cent. for gold and one and two-tenths per cent. for silver, which was deemed to be excessive. Silver coin and bullion can be transported with but little risk, while at the rate proposed for transporting a car containing $250,000, or about eight tons, the cost would be $3,000. The chief cost is in the transportation over the Central and Union Pacific Railroads, both largely indebted to the United States. It is respectfully submitted that the rate over these roads be prescribed by Congress, and that the proceeds form part of the sinking-fund of said railroads, provided by law.

BUREAU OF ENGRAVING AND PRINTING.

At the close of the last fiscal year there was an unexpended balance of $652,836 17 of the appropriation for labor and other expenses of this bureau. Of this amount, in accordance with the act approved June 20, 1878, the sum of $327,536 50 will be expended in the purchase of a site for and the erection of a fire-proof building for the bureau, the work on which is now progressing satisfactorily, and will probably be completed during the fall of 1879. It is assumed, from the action of Congress at its last session, that it holds that the engraving and printing of the public securities can be more cheaply, perfectly, and safely done in this bureau than in private establishments, and the Secretary has, therefore, directed that all work of this description, except certain proprietary stamps, shall be done therein. The cost of the work is less than one-half the prices previously paid.

After careful inquiry, it has been ascertained that the prices paid for the paper used for public securities are greatly in excess of its cost, and proposals have been invited for the manufacture of a suitable paper, of a distinctive character, for this purpose, no action upon which has yet been taken.

DISBURSEMENTS OF THE

COMMISSIONERS OF THE DISTRICT OF
COLUMBIA.

The act of Congress of last session providing a permanent form of government for the District of Columbia, committed Congress to an appropriation for the fiscal year ending June 30, 1879, and for future years, so long as said act should remain in force, of one-half of the expenses for the government of said District, as estimates therefor should

be approved by Congress. It also provided that all taxes collected should be paid into the Treasury of the United States, and that they, as well as the appropriations to be made by Congress, should be disbursed for the expenses of said District on itemized vouchers, audited and approved by the auditor of the District, and certified by said commissioners, or a majority of them; and that the accounts of said commissioners, and the tax-collectors, and all other officers required to account, should be settled and adjusted by the accounting officers of the Treasury Department of the United States.

A provision was, however, enacted that the interest on the 3.65 bonds of the District should be paid by the Secretary of the Treasury and credited as a part of the appropriation for the year, by the United States, towards the District's expenses.

The act was approved June 11, 1878, and the approval was consequently too near the end of the session of Congress to have estimates prepared for the fiscal year ending June 30, 1879, in conformity to the provisions of said act.

The commissioners of the District had, however, on the 21st of January, 1878, submitted estimates to Congress, amended afterwards by them on the 4th of June of that year, for the general expenses of the District for the fiscal year ending June 30, 1879, and Congress, by the sundry civil act, approved June 20, 1878, appropriated, for the general expenses of the District, one million two hundred and fifty thousand dollars, to be disbursed by the commissioners for the purposes set forth in said last-named estimates; and the Secretary of the Treasury was authorized to advance, from time to time, to said commissioners, from the money thus appropriated, such sums as, in his judgment, might be necessary to carry on the government of the District, including accruing interest on bonds.

It has been held by the accounting officers that these acts are to be construed together as parts of one scheme of legislation. It will be perceived that the disbursements made by the commissioners are to be regulated and limited by estimates approved by Congress; that accounts are to be kept by the commissioners of the District, independent of those kept by the tax-collector and other officers.

It has also been held that all disbursements for the expenses of the District, except where otherwise particularly specified, are to be made by the commissioners; that these disbursements are to be regulated and limited by estimates approved by Congress; that an accurate account is to be kept by the commissioners of receipts and disbursements that they are to be made upon vouchers, audited and

approved by the auditor of the District, and certified by at least two commissioners; that the accounts of the commissioners, with the original vouchers for disbursements, are to be submitted to the accounting officers of the Treasury Department of the United States for settlement and adjustment; and that advances for the payment of the current expenses of the District are to be made to the commissioners, from time to time, by the Secretary of the Treasury, as he shall approve requisitions made by them.

This construction has been adopted after a careful examination of the acts, and will be continued unless Congress shall signify its disapproval by additional legislation.

CLAIMS.

The attention of Congress is again called to the necessity of some legislation as to the adjudication of claims which are now within the jurisdiction of this Department.

While the Department is well organized for the investigation of accounts accruing in the ordinary course of current business, it is not adapted to the examination of old and disputed claims of a different character.

For the proper investigation of such claims the methods adopted in all our courts for ascertaining the truth, are undoubtedly the best. For this purpose a tribunal, which will require the best evidence of which the nature of the case will admit, the production of original papers rather than pretended copies, the sworn statement of the witness himself to facts in his own knowledge and not the hearsay of third parties, the examination and cross-examination of the witness, not his ex parte statement privately taken, a public hearing, and a public record of proceedings open to inspection, is essential.

These are some of the safeguards which the experience of the wisest legislators has placed around the judicial investigation of questions of law and fact.

It is evident that this Department cannot furnish these safeguards; and a provision of law which will relieve the Department of all important disputed questions of law and fact is recommended. The Court of Claims is a tribunal well qualified for such jurisdiction. It has the prestige of a court of justice; its judges are appointed for life, and transact their business deliberately, systematically, and publicly. They are governed by the ordinary rules of law, and their decisions are of record, with an appeal in proper cases to the Supreme Court of the United States.