spect for the Constitution and the laws.

The report of the Secretary of the Treasury affords much information
respecting the revenue and commerce of the country. His views upon
the currency and with reference to a proper adjustment of our revenue
system, internal as well as impost, are commended to the careful
consideration of Congress. In my last annual message I expressed my
general views upon these subjects. I need now only call attention to the
necessity of carrying into every department of the Government a system
of rigid accountability, thorough retrenchment, and wise economy.
With no exceptional nor unusual expenditures, the oppressive burdens of
taxation can be lessened by such a modification of our revenue laws as
will be consistent with the public faith and the legitimate and
necessary wants of the Government.

The report presents a much more satisfactory condition of our finances
than one year ago the most sanguine could have anticipated. During the
fiscal year ending the 30th June, 1865 (the last year of the war), the
public debt was increased $941,902,537, and on the 31st of October,
1865, it amounted to $2,740,854,750. On the 31st day of October, 1866,
it had been reduced to $2,551,310,006, the diminution during a period of
fourteen months, commencing September 1, 1865, and ending October 31,
1866, having been $206,379,565. In the last annual report on the state
of the finances it was estimated that during the three quarters of the
fiscal year ending the 30th of June last the debt would be increased
$112,194,947. During that period, however, it was reduced $31,196,387,
the receipts of the year having been $89,905,905 more and the
expenditures $200,529,235 less than the estimates. Nothing could more
clearly indicate than these statements the extent and availability of
the national resources and the rapidity and safety with which, under
our form of government, great military and naval establishments can be
disbanded and expenses reduced from a war to a peace footing.

During the fiscal year ending June 30, 1866, the receipts were
$558,032,620 and the expenditures $520,750,940, leaving an available
surplus of $37,281,680. It is estimated that the receipts for the fiscal
year ending the 30th June, 1867, will be $475,061,386, and that the
expenditures will reach the sum of $316,428,078, leaving in the Treasury
a surplus of $158,633,308. For the fiscal year ending June 30, 1886, it
is estimated that the recei