$400,000, became due at the State Treasury on the first days of July last and of January current.

The price of coin to pay this interest July 1, 1862, was 10 per cent.; January 1, 1863, 33 per cent.

The amount of interest due July 1, 1862, was $24,500, the premium on gold, 10 per cent., $2,450; the amount of interest due January 1, 1863, was $24,500, premium on gold 33 per cent., $8,085. Total, $49,000, at a premium of $10,535.

The payments were made by the Treasurer in coin as required by law, but their reimbursement in coin, demanded by the Treasurer, was refused by the corporations for whose benefit the credit of the State was pledged, which repaid those sums only in United States currency, legally tendered to the Treasurer, at a loss to the treasury of $10,535.

Raising troops in 1862.

At the close of the year 1861, Massachusetts had sent to the field 3,736 militia for three months' service, and twenty-two regiments and eight companies of infantry, one regiment of cavalry, five batteries of light artillery, and two companies of sharpshooters, volunteers for three years. During the year 1862, 4,043 militia were assembled at Boston, (in the month of May,) on requisition from the Federal Govern

ment; and thirty regiments and four companies of infantry, three companies of cavalry, five batteries of light artillery, five companies of heavy artillery, and two companies of militia (Cadets,) were sent into Federal service. Since the new year another battery of light artillery has gone to the field. Of these, thirteen regiments and three companies of infantry, the three companies of cavalry, four batteries of light artillery, and the five companies of heavy artillery, were three years' volunteers; seventeen regiments of infantry and one battery of light artillery were mustered for nine months, and one battery of light artillery and one company of infantry for six months. Of the two Cadet companies, one remained in Federal service for two months. and one for five months. There are now recruiting in the State an additional regiment of cavalry, three more light artillery batteries, and another company of sharpshooters. Including these, Massachusetts has at this time in the service of the United States fifty-two regiments of infantry, two regiments and three companies of cavalry, fourteen batteries of light artillery, one regiment and three companies of heavy artillery, and three companies of sharpshooters, which computed at their full strength would make an aggregate of 60,000 men. But many of these corps

are now far from full. The rolls of some show less than a third of the full strength for duty, such has been the loss by battle and disease, without a corresponding accession of recruits. During the year 1862, however, nearly 7,000 recruits appear, by the statement of the Federal Superintendent of the Recruiting Service, to have been sent to the Massachusetts regiments in the field; and according to an estimate reported to me by the Adjutant-General, more than 1,200 were sent in 1861. This branch of the service has long been within exclusive control of Federal officers, having been organized in December, 1861, by an Order of the War Department. A General Superintendent of the Recruiting Service was designated by the Secretary of War, and stationed at Boston, under whose direction recruiting parties sent back to the State from the corps in the field, pursue their work, and from whom, together with the Federal staff officers on duty here, the funds are drawn for the Federal bounty and advance pay, the authorized expenses of recruiting, and the subsistence, equipment and transportation of recruits. The extent of the power of the State Government has been to encourage enlistments into old corps in preference to new organizations, whenever and however it has had opportunity, by popular appeals, and by personal and

written advice to municipal magistrates. Its exertions to this end would have been more effective, had the duties of this recruiting service also been imposed upon it, in like manner with the original raising of volunteer corps. The line of demarcation drawn by the Federal Government, is well defined, assigning to the State Governments the labor of raising new corps, the recruitment for which, after they have once been completed, and have passed into Federal service, it reserves to itself, and executes through the recruiting parties detailed by regimental commanders, and acting under the army officers detailed from the head-quarters of the army to superintend recruiting in the States. During the past year, it has reserved also the provision of all supplies, of whatever description, pertaining to the staff departments of the army, as well for the new troops raised by the States, as for recruits for old corps. The advantages to the Federal Government of this system, are obvious, in preventing inflation of the prices of goods by competition between the different States, and in securing uniformity of cost, color, shape and quality. But its inevitable circumlocution, in respect to the new corps, and the inability of the State Government always to control the provision and issue of supplies to the best advantage-in the absence

of any depot of supply in New England-were clogs on our recruiting service which we did not encounter in 1861, when the State delivered its regiments to the Federal Government, fully armed and equipped at its own expense. Nevertheless, the number of troops sent from the State in 1862, largely exceeded that of the previous year, the period occupied being about the same in both, for during the spring of 1862 the Federal Government pursued the policy of refusing to accept new troops, and even discontinued for awhile the recruiting for corps already in the field. Early in June, however, it was resumed, and a call for 15,000 more volunteers for three years was made on Massachusetts, which in August was followed by the call for 19,000 militia for nine months. A comparison of the dates at which the various corps raised by the State during the two years, were sent into active service, shows that notwithstanding the change in the system of supplies, and the increased difficulty of recruiting, by reason of so large a portion of the population of military age having already been enlisted, the military movements of 1862 were as prompt and active as were those of 1861. [The table marked (A) attached to the printed copy of this Address, affords means for the comparison.]