REPORT.

The receipts into the Treasury during the fiscal year of 1866, from all sources, including the balance on hand at the close of the year 1865, amounted to $529,455 22 The disbursements for the same period were, 461,265 29

Leaving balance in Treasury, Dec. 1, 1866, of

$68,189 93

This balance belonged to the several funds as follows:

Income from permanent school fund,
From U. S., for internal improvements,

Per centage received from railroads in lieu of

82,680 75

7,095 72

taxation,

From prison warden, proceeds of convict la-
bor,

From patients of hospital for the insane,
From tax on state banks,

Amount refunded by sanitary commission,

From interest on bonds belonging to sinking fund,

4,078 21

654 22

716 58

637 34

395 70

3,720 00

$450,861 00

78,594 22

$529,455 22

$193,901 47

37,417 80

1,365 43

$232,584 70

109,000 00

Payment of bounty for blackbirds,

Apportionment of internal improvement fund

82,396 37 36,795 34 384 00

15 84

paid,

89 04

$461,265 29

THE CONTINGENT FLOATING DEBT OF THE STATE.

This debt consists of treasury warrants unredeemed, salaries and claims subject to payment on presentation, and

expenses incurred under the authority of law, but in advance of appropriations. This debt, on the 30th of November, 1865, was estimated at $31,560 81.

Estimated debt from these sources on the 30th Nov., 1866, was as follows:

Unredeemed treasury warrants,

Claims subject to payment,

1,849 14

11,500 00

Legal expenditures in advance of appropriations, 12,000 00

Total,

$25,349 14

The last item of twelve thousand dollars is due principally for expenses incurred by the charitable institutions, expenses of board of commissioners for the adjustment of the railroad bonds, salary of judge of the seventh judicial district, and registers' and receivers' fees for the location of internal improvement lands.

The amount of claims subject to draft remain, usually, the same, from year to year. The balance of outstanding treasury warrants has been reduced from $4,730 95 to $1,849 14; the expenditures, in advance of appropriations, have been reduced $3,000, and the whole debt, over $6,000. The balance transferable from the interest fund to the general revenue fund would liquidate this debt, if presented immediately, of which there is no probability.

The following comparative statement will show the bal. ance in the treasury to the credit of the general revenue fund, the amount of warrants outstanding, and the estimated amount of floating debt due at the close of each year from the organization of the state government to the close of the past fiscal year, ending November 30, 1866:

Estimated

Balance in Treasury. Outstanding Warrants. Floating Debt.

Year. 1858.

1859.

$4,063 56
1,014 16

$35,720 65

$44,228 86

1860.

675 78

51,314 44

68,636 55

1861.

4,729 42

48,267 46

66,682 47

The indebtedness of the state for which bonds have been issued was as follows:

State loan of July, 1858, bearing 8 per cent. interest, payable semi-annually in New York. Principal payable July 1, 1867,

Sioux war loan of November 1, 1862, bearing 7 per cent. interest, payable semi-annually in New York. Principal payable in 1872,

Total,

$250,000 00

100,000 00

$350,000 00

The amount in the sinking fund for the payment of thə loan due the first of July, 1867, was $76,212 63. This sum will be increased before the maturity of the bonds, by receipts from taxes, to $100,000, thus leaving $150,000 to be provided for outside the sinking fund proper.

The balance due the state from the general government for Sioux war expeditions, will form a part of the sinking fund, when collected; and, if received in time, will nearly · pay the balance of the debt, not leaving over $50,000 to be carried by the school fund until redeemed by the annual collections for the sinking fund, which will be by the first of January, 1868. In view of the uncertainty of the claims against the United States being settled in time, the commissioners for the investment of the school funds should be authorized to redeem all the bonds remaining unprovided for after exhausting the sinking fund, and, if necessary for that purpose, should be allowed to exchange other securities.

The transactions of the several funds, in the aggregate, during the past year, and the condition of the finances generally, are shown by the following statement of accounts;