LETTER

OF

THE SECRETARY OF THE NAVY,

COMMUNICATING

Report of the board appointed July 6, 1867, to "examine the claims of certain contractors for the construction of vessels of war and steam machinery," under act of Congress approved March 2, 1867.

DECEMBER 4, 1867.--Read, referred to the Committee on Naval Affairs, and ordered to be

printed.

NAVY DEPARTMENT, December 4, 1867.

SIR: An act of Congress approved on the 2d of March last directs the Secretary of the Navy "to investigate the claims of all contractors for building vessels of war and steam machinery for the same, under contracts made after the first day of May, eighteen hundred and sixty-one, and prior to the first day of January, eighteen hundred and sixty-four," and to "report to Congress a tabular statement of each case, which shall contain the name of the contractor, a description of the work, the contract price, the whole increased cost of the work over the contract price, and the amount of such increased cost caused by the delay and action of the government aforesaid, and the amount already paid the contractor over and above the contract price."

To comply with the requirements of this act, it became necessary to convene a board of officers for the examination of the several claims presented. Commodore J. B. Marchand, Chief Engineer J. W. King, and Paymaster Edward Foster, were assigned to this duty, and their report is herewith transmitted. I have the honor to be, very respectfully,

Hon. BENJ. F. WADE,

President of the Senate pro tem.

GIDEON WELLES,

Secretary of the Navy.

NAVY DEPARTMENT,

November 26, 1867.

SIR: We have the honor to report that, in obedience to your order of July 6, 1867, we have carefully scrutinized each of the claims presented under the act of Congress approved March 2, 1867, "to investigate the claims of certain contractors for building vessels of war and steam machinery," and respectfully beg leave to enclose, herewith, the tabular statement called for by said act of Congress.

Messrs. Harlan & Hollingsworth, of Wilmington, Delaware, did not present a statement of their claim for delays occasioned by the government while constructing the harbor and river monitor Saugus and light-draught monitor Napa; but in a letter to you, under date of October 12, they claim to be entitled to the same sum for the Saugus that the board may award to the Tecumseh, and also to the same sum in case of the Napa that may be awarded to the Casco.

After examination, the board finds that Messrs. Harlan & Hollingsworth are entitled for the Saugus to the same sum that was awarded to Mr. Harrison Loring in case of the Canonicus, viz., $38,513, but do not find anything due in case of the Napa.

We have the honor, sir, to be, very respectfully, your obedient servants,
J. B. MARCHAND,

Commodore and President. J. W. KING,

Chief Engineer and Member. EDWARD FOSTER,

Paymaster and Member.

Hon. GIDEON Welles,

Secretary of the Treasury.

OTH

50

Tabular statement showing the result of the action of the board appointed July 6, 1867, &c-Continued.

*Not considered as within the province of the board.

NAVY DEPARTMENT, Washington, D. C., November 26, 1867.

J. B. MARCHAND,

Commodore and President of Board.

J. W. KING,

Chief Engineer and Member of Board.
EDWARD FOSTER,

Paymaster and Member of Board.

LETTER

OF

THE SECRETARY OF THE TREASURY,

COMMUNICATING,

In compliance with a resolution of the Senate of the 29th of November, information in relation to the proceeds of captured and abandoned property received by Colonel S. B. Holabird, of the quartermasters' department, while chief quartermaster of the department of the gulf.

DECEMBER 2, 1867.-Read.

DECEMBER 4, 1867.-Ordered to be printed.

TREASURY DEPARTMENT,

November 30, 1867.

SIR: In reply to a resolution of the Senate of the United States of the 29th ultimo, calling on me to inform the Senate, at my earliest convenience, whether a sum of $834,529 34, which appears from House of Representatives Ex. Doc. No. 97, second session thirty-ninth Congress, page 38, to have been received by Colonel S. B. Holabird, assistant quartermaster, chief quartermaster of the department of the gulf, up to February, 1865, as the net proceeds of captured and abandoned property, and to have been used in the quartermasters' department as if belonging to the regular funds of that department, by direction. of the major general then commanding the department of the gulf, "has been credited to the account of captured and abandoned property in the treasury of the United States, and is included in the net sum realized from such property, as shown in said report; and whether the said sum of money has been charged to the account of the quartermasters' department; and if not so charged to the quartermasters' department, what legislation is necessary to effect that object"I have the honor to state that the exhibit referred to, appearing in the Ex. Doc. No. 97, second session thirty-ninth Congress, shows the result of a preliminary examination of Colonel Holabird's accounts by the quartermasters' department; that in the regular routine of official business they have been under examination for about a year last past in the office of the Third Auditor, which examination will probably be completed during the next two months; that whatever amount shall thereupon be ascertained to have accrued from the sale of captured and abandoned property, and to have been used for expenses of the quartermasters' department, will then be transferred by executive action already authorized by law, upon the statement of the Third Auditor, to the fund to which it belongs, and be charged against the quartermasters' department; and that no legislation is necessary to effect this object.

I have the honor to state further that such amount is not included in the total net sum shown by the report referred to to have been thus far realized from captured and abandoned property.

I have the honor to be your obedient servant,

H. MCCULLOCH, Secretary of the Treasury.

The PRESIDENT OF THE SENATE of the United States.