found than my imaginatiou had formed. Doubtless the selfishness of the German Emperor is a bar to the exertions of the conquered States; a glorious opportunity has been lost to destroy the power of Jacobinism. So much depends on opinion, that the successes of the campaign in Italy would have armed half of Europe against France, and half of France against the usurpers, if the coalition had acted fairly on principles entirely just, and had supported faithfully their first enterprises. Suwarrow had consumed his army by employing them in the service he had to perform. He was exhausted, though always victorious, and as he approached France, the main body of his enemy, he was almost alone. But will not the adversity which closes the campaign, operate to unite more closely and effectually the three great powers? I confess to you, nothing can exceed my chagrin at seeing a campaign which promised every thing to my hopes, produce so little. Still, however, it has produced something of value. It has proved to the terrified people of various countries, that their oppressors are not immortal, and that whoever opposes them with courage will defeat them. It has shown France incapable of such great efforts as she made for several successive years, when she easily sent forth eighty or one hundred thousand soldiers, to plunder and destroy those who refused to be her willing slaves. She has, this year, manifested great anxiety for the safety of her system, and has been unable to command for her own defence. The recall of several great leaders from Egypt, indicates an abandonment of all hope of any success in that quarter, and probably was in part occasioned by a want of the name and talents of some of them, and the support of their united partisans.

I do not yet despair of reaping, next year, the golden harvest I vainly expected at this time. The success in Holland may tempt the French once more to expose their fleet. They have strong inducements, and if they yield to them, England will probably be invigorated by another naval victory. Heaven bless you and yours,

FROM GEORGE CABOT.

G. CABOT.

My Dear Sir,

BROOKLINE, February 28, 1800.

If Mr. Babcock shall not have left your city when this letter arrives, will you have the goodness to charge him with the various letters addressed to my son, some of which are probably in the post office at Philadelphia; and if Mr. B. is departed, will you desire the post master to direct and forward them to New York.

I presume you have learnt that the King of Denmark has joined the coalition, and that a treaty is negotiating at Stockholm with a view to engage Sweden. It is determined, if this can be accomplished by England and Russia, to treat other powers who shall trade with France, as accomplices.

Talleyrand was taken under the consular patronage, upon the belief that the Envoys from the United States were on their passage to France. It is hoped in England, that Suwarrow will be largely reinforced, and with the addition of a

German division, will act on the Rhine, and that Austria will act separately. Doubtless, if the Emperor of Germany is disposed, the allies may carry all before them; but our past experience does not authorize us to expect the sincerity and good faith which the interest of all requires. I remain, &c.,

GEORGE CABOT.

FROM RUFUS KING.

Dear Sir,

LONDON, December 31, 1799.

I took an early occasion after the receipt of your letter of the 4th October, to mention its contents to Mr. Pitt, who appears to think that your views in the main agreed with his, and desired me to give him the earliest information of the result of such propositions, as you should make to Congress. In consequence of the pecuniary embarrassments, arising in part from the fall in the prices of West India productions, the law that took off the drawback on sugar and coffee, was during the last session of Parliament suspended for a year. Should the embarrassment continue, as it is not improbable, it will be requisite to prolong the suspension. Notwithstanding the unexampled liberality of the bank in its discounts, the permission to bond the duties on sugar, coffee, &c., instead of paying them as formerly at the time of entry, and the re-establishment of the drawback, the difficulties among commercial men are extensive and serious. The early and severe setting in of the frost, which has totally cut off the trade to Hamburg, and which improves that of Holland, has added to the distress, that will scarcely be removed before the disappointments expected in the remittances from America will begin to be felt; so that whatever the commercial difficulties may now be, it is apprehended that they may be still greater towards midsummer. With all the management of government, the necessary collection of money to pay the half yearly dividends is supposed considerably to affect its circulation, and united with other occasional causes produces a periodical stagnation that excites inquietude, as well as impairs the general propriety. This evil increases with the increase of the public debt, and in the eyes of some speculative men is already formidable.

My persuasion is, that no peace will be made this winter, and that the next campaign will be as vigorous and bloody as the last. I hope the Washington, in which, as I informed you in my letter of the 7th September, we have 2000 muskets, and some other articles of public property, may arrive safe. The Woodrop Sims, in which, as I also informed you in my letter of the 7th September, we had 1500 muskets, with two or three boxes, containing the dies of the Indian medals, ordered by Col. McHenry, some books, charts, and a few other small articles, has been taken and carried to Bordeaux.

With sincere regards, &c., &c.

RUFUS KING.

The report of the Secretary of War to the President, on measures which appeared to him necessary for the

improvement of the military system, was transmitted to Congress on the 14th of January. It recommended the formation of a military academy for the education of a body of officers and engineers, adequate to any future exigency, and qualified to discipline troops for the field, and to give efficiency to their operations. The project had been a favorite one with Washington, and was recommended by every consideration of policy, in a country where a standing army of force was both impossible and undesirable. Mr. McHenry submitted the details of his plan, which contemplated likewise naval instruction. The report exhibited a statement of the progress made in the augmentation of the forces and their disposition, and suggested a number of material improvements in the service, including the introduction of horse artillery, a system of fortifications, and a revision of the military code. At a subsequent period of the session a further communication on the subject of the schools was made to the committee of the House, but no definite action was taken upon it.

The Committee of Ways and Means, to whom the estimates for 1800 were referred, addressed the Secretary on the 6th of January, requesting an estimate of the expense and revenues according to existing laws; a statement of the receipts and expenditures for the last quarter of 1799, as far as ascertained, and a statement of the account between the United States and the bank, especially with respect to the reimbursement of former loans. These were returned on the 22d, and were as follows:

EXPENDITURES.

ESTIMATES OF Expenditure and Revenue for 1800.

For the foreign debt due in Amsterdam and Antwerp, principal

and interest,

For the Domestic Debt, exclusive of the Sinking Fund,
For the interest on stock belonging to the Sinking Fund,
For interest and reimbursement of domestic loans,

$911,121 00

3,402,369 18

193,018 51

404,400 00

Expenditures for 1800 on the basis of the estimates of December 7, 1798,

Monies in the Treasury, and applicable, to the amount of
Balance to be provided,

7,000,000 00

800,000 00 1,200,000 00

36,000 00

1,400 00

71,040 00

193,018 51

$9,301,258 51

1.000,000 00

5,091,775 60

$15,393,034 11

In transmitting these statements, Wolcott observed, that various enquiries having been made respecting the public debt, he had judged it expedient to state the capitals of the different stocks at the close of the year. These it is unnecessary to repeat here, as they will be noticed in reviewing a subsequent report.

The following statement exhibited the increase which had taken place in the debt under the constitution.

The debts incurred and remaining unpaid were:

Six per cent. stock issued pursuant to act of May 31. 1796, Eight per cent. stock issued pursuant to act of July 16, 1798, Six per cent. navy stock issued pursuant to act of June 30, 1798, Do. to be issued in payment for ships now preparing for service, and which might be considered a debt incurred, but not liquidated,

80,000 00 5,000,000 00

109,200 00

820,000 00

$8,761,200 00

To which were to be opposed the following sums, viz:

Sums of stock purchased, redeemed, and vested in the trustees

of the Sinking Fund, Sums re-imbursed Jan. 1, 1800, of the principal of the 6 per cent. stock, pursuant to act of March 3d, 1795, computed at, 2,540,641 90

4,704,219 61

$7,244,861 50

The principal of the debt of the United States had therefore increased since the establishment of the present government, the sum of

$1,516,338 50

Although the President had in his opening speech expressed his conviction, that " the result of the mission to France was uncertain; but, however, it might terminate, a steady perseverance in a system of national defence, commensurate with our resources and the situation of the country, was an obvious dictate of wisdom," and although he had strongly urged upon the attention of Congress, the able and judicious recommendations of the Secretary of War, in regard to his department, it was seen at a very early period of the session, that his conduct had produced a stronger impression than his advice; that either the desire of peace had begotten in Congress an expectation of obtaining it, or that they felt that it would prove impossible to sustain active measures under circumstances which were presumed to have rendered negotiation justifiable. A bill had accordingly been introduced, suspending all