were required to remove, or to use compulsion, so far as owners were concerned.. These Commissions were anxious to be more definitely informed as to proposed military changes. I went accordingly, at their request, to Savannah, and saw General Lee. He stated that there was really no positive change in the military policy, but that he was more than ever convinced, from recent developments, that the enemy meant to attack both Savannah and Charleston, and that when Charleston was attacked he felt more than ever assured that it would be in such force that its defence would require the concentration of his own forces, particularly General Pemberton's command, and that this would, necessarily leave a large and wealthy portion of the State at the mercy of the enemy. I returned the next day, and being unable to assemble the Commissions that evening, called them together for the next day. I reported at this meeting, and the Commissions seemed convinced of the neces sity of immediate proceedings. The Commissions further requested that I would obtain a central Secretary, residing in Charleston, to aid the Commissions in the contemplated removals. James Tupper, Esq., a gentleman eminently qualified for these dutics, had previously volunteered his services in any way he could be made useful to the State. I spoke to him after the meeting of the Commissions, and obtained his consent to serve in this way. I recommend his appointment by the. Governor and Council. It was at the first meeting of the Commissions that the resolutions communicated to this body, and upon which it has since acted, were adopted, in regard to an appropriation of money to aid in increasing the means of transportation on the Charleston and Savannah Railroad. I returned to Columbia in the night train of Friday, immediately after the business above referred to was completed. I. W. HAYNE, Chief of the Department of Justice and Police. B. Abstract of Contracts with the State for the Manufacture and Delivery of Salt, under the Resolutions of the Executive No. 1 William J. Graham. To deliver on Waccamaw 600 To deliver on Waccamaw 500 bush- To deliver on Waccamaw one-half 6,000 To deliver at Fair Bluff, on Wil August 13, 1862, Contract made not by J. T. Walsh, Aug 13, 1862, op- Contract made Aug 13, 1862, op- Contract made Commenc'd op- REPORT OF THE CHIEF OF THE DEPARTMENT OF TREASURY AND FINANCE. EXECUTIVE COUNCIL, SOUTH CAROLINA, DEPARTMENT OF TREASURY AND FINANCE, TO HIS EXCELLENCY GOV. PICKENS: COLUMBIA, August 1st, 1862. SIR: In accordance with your request, I have the honor to submit a Report upon the transactions of the Department of the Treasury and of Finance. This Department was assigned by the Governor and Council to the Hon. Wm. H. Gist and myself, under the Ordinance of the Convention, entitled an "Ordinance to strengthen the Executive during the exigencies of the present war." My associate having been subsequently appointed Chief of the Department of Construction and Manufacture, the duties of this Department have, since that time, devolved principally upon me. Rules for the management of this Department were adopted by the Governor and Council, on the 17th of January, 1862. A copy of these rules are herewith submitted, marked A. By these rules the Chiefs of the Treasury were required to ascertain what funds were subject to the drafts of the Governor and Council, and what demands existed against the said funds; to enforce the proper accounting of disbursing officers, and to require to be submitted, whenever practicable, estimates for expenditures, before advances were made from the said funds; to adjust and present for payment such claims of the State against the Confederate Government as had not been entrusted to other hands; and to keep regular accounts of the receipts and disbursements of the Department, and exhibit them to the Governor and Council whenever required. The only fund upon which drafts have been drawn by the Governor and Council has been that derived from the sale of stocks issued under the Act of Assembly passed in December, 1861, and entitled "An Act to authorize the issue of stock to the amount of $1,800,000, for the military defence of the State, and for other purposes." The funds arising from the sale of this stock were subjected to the order of the Governor by the Appropriation Act of 1861, and these funds have been drawn and disbursed, in every instance, upon your Excellency's drafts upon the Treasury and checks on the Bank of the State and its Branch in Columbia, countersigned by one of the Chiefs of the Treasury. From the Statements 1 and 2 of the Treasurer of the Lower Division, herewith submitted as Exhibit B., it will appear that of the $1,800,000. authorized to be raised by the Act of 1861, there has been realized, from the subscriptions of sundry Banks of this State to the stock issued under the said Act, including interest, the sum of $1,521,180 81. The difference between the principal of this sum and the whole issue authorized by the Act ($285,290), is the proportion of the Bank of the State to the said subscription. For this balance of stock unsold, no issue, as I am informed, will be made, but the said sum will be advanced by the Bank of the State as the exigencies of the Treasury may require. Of the cash realized from the sales of the said stock, $300,000 was appropriated by the last Legislature to the payment of the loan to the State, made by certain Banks under the resolution of the General Assembly, adopted at its extra session, held in November, 1861. This last sum, together with the interest thereon ($2,803 09), deducted from the cash proceeds of the sale of the stock, will give $1,218,377 72. The amount paid into the Treasury by the Bank of the State, according to the statement of the Treasurer of the Lower Division, is $1,254,706 98, which is $36,329 26 in excess of the proceeds of sales, after providing for the loan of $300,000, and is to be reimbursed to the Bank from the balance of stock unsold. Exhibit B. No. 3, will show the details of this computation. As to the periods at which the stock was sold, it may be proper to state that the President of the Bank of the State found it impracticable, as I am informed by him, to act upon the suggestion of your Excellency, that the stock should be sold only as the demands upon the Treasury might require, and thus avoid the loss of interest which the State would otherwise incur. The Banks which subscribed for the stock, having set apart funds for that purpose, were unwilling to postpone their investments, or hold their quotas idle, and hence the sales were made at the times mentioned in the Statement of the Treasurer. The accompanying account marked C., exhibits in detail, all the receipts and disbursements by the Governor and Council up to the date of this report. The aggregate of expenditures is $938,235 57. The items which make up this sum, are arranged under the different heads |