I took occasion in my former message to develop with unusual minuteness, through comparative tabular statements, the financial action of every department of the State, as well as of the local governments, for the previous ten years; and now propose to continue the exposition to the present time.

I refer you with equal confidence and pleasure to the last two reports of the Auditor of State for any information you may desire in relation to our financial affairs. The untiring industry with which that officer has attended to his public duties, and the care and fidelity which he has always displayed in guarding the treasury of the people, constitute his administration an epoch in the history of our financial transactions.

From these reports, it appears that the State treasury has been the recipient of the following revenues during the past two years:

The revenue received through taxes levied upon the grand duplicate placed at the head of each column, are the proceeds of taxes levied and colected the year previous; a fact which it is necessary to observe, in order to fix correctly the responsibility of the respective levies. That returned in the column of 1854 is the first under the present valuation of real estate. The proceeds of the taxes levied in the year just past will go into the revenue of 1856.

Mr. Matthews, from the Joint Select Committee appointed to wait upon the Governor, reported:

That they had performed the duty assigned them, and that the Governor would communicate with the Senate and House of Representatives this day in writing. The following Message was then received, by the hands of Lot L. Smith, Private Secretary to the Governor, and read at the Clerk's desk:

GOVERNOR'S ANNUAL MESSAGE.

Gentlemen of the Senate, and House of Representatives :

In accordance with the requirements of the Constitution, and the biennial system of legislation which has been thereby established, you have assembled in your official capacities to take into consideration the condition of our public affairs, and to prepare and pass such laws as the experience of the last two years and the interests and wants of the people may appear to demand.

The first year of the biennial period which has just elapsed, was attended with the various trials and vicissitudes incident to all human associations. The extraordinary drought that prevailed throughout this and most of the other States of the Union occasioned a very general failure of the crops, and the consequent reaction that occurred in the monetary affairs of the country caused much solicitude, and retarded, to some extent, the progress of public as well as of individual improve

ment.

The great abundance and rich returns of the last year, however, fully compensate the deficiencies of its predecessor, and afford ample cause for gratitude to that beneficent and all-wise Being who directs all things for the best, and whose goodness and favor are apparent in the still increasing happiness and prosperity of our people.

In complying with the provisions of the Constitution which make it my duty to communicate to the General Assembly the "condition of the State," and to recommend such "measures" as in my judgment may tend to promote the public welfare, I invite your attention, in the first place, to the accompanying reports of the several State officers. They have been prepared with much care and ability, and contain a full and detailed exposition of the operations and present condition of their respective departments.

I entered upon the duties of the chief Executive office of the State, under an impression, which subsequent experience has only tended to strengthen, that too great a laxity of practice prevailed in certain branches of the public service, from which serious evils might possibly result. The laws regulating the administration of these branches had been adopted under circumstances widely different from those which now surround us, and the few simple safeguards that were formerly deemed sufficient, could be no longer regarded as adequate to the varied and greatly increased business entrusted to their care. Our county and other local organizations, especially, were without those limitations and restrictions which are necessary in all public institutions.

This state of things could not fail, if continued, to exert an unfavorable and demoralizing influence on the affairs of Government; and I availed myself of the earliest opportunity that was afforded me to recommend such legislation in reference to this subject as was most likely in my judgment to effect the required reformation. Much has certainly been accomplished, but the failure of the General Assembly to adopt and carry out my suggestions more fully, has retarded the matter, and imposes on me the necessity of again calling attention to the subject.

I took occasion in my former message to develop with unusual minuteness, through comparative tabular statements, the financial action of every department of the State, as well as of the local governments, for the previous ten years; and now propose to continue the exposition to the present time.

I refer you with equal confidence and pleasure to the last two reports of the Auditor of State for any information you may desire in relation to our financial The untiring industry with which that officer has attended to his public duties, and the care and fidelity which he has always displayed in guarding the treasury of the people, constitute his administration an epoch in the history of our financial transactions.

From these reports, it appears that the State treasury has been the recipient of the following revenues during the past two years:

The revenue received through taxes levied upon the grand duphere placed at the head of each column, are the proceeds of taxes levied and colected the year previous; a fact which it is necessary to observe, in order to fix correctly the responsibility of the respective levies. That returned in the column of 1854 is the first under the present valuation of real estate. The proceeds of the taxes levied in the year just past will go into the revenue of 1856.

The following are the disbursements from the State Treasury, for all purpose,

during the same period :

This places before you the receipts and expenditures of the State Government during the last two years, and there is no difficulty in ascertaining the departments in which increased or diminished expenditures or revenues have taken place. To determine, however, whether the State authorities or those of the counties, townships and cities, are responsible for the high taxes complained of by the people, we must examine into the various amounts levied by these several authorities; and for this purpose the following tabular statement has been prepared, exhibiting the taxes levied for the specified purposes in the years named:

I was anxious to present in a tabular statement such detailed information in reference to our county, township and city transactions, as would enable the people to compare their own local administrations with those of other portions of the State. I found, however, that this was not attainable at the seat of government without much labor, and certain additional facts which those organization themselves can alone supply. Existing laws provide for the publication at home of the amount o