The fiscal means of the department since the last report in 1860, have been as follows, viz:

Amount, as per last report, undrawn from the Treasury

on June 30, 1860..................................... $350,458.28

In the Government depositories to the credit of

disbursing officers, same date....................... 114,954.24

Amount of appropriation from that date to the end of

the last fiscal year, including the fixed annual

appropriations for arming and equipping the militia.. 41,367,765.00

Received since June 30, 1862, on account of damages

to arms in hands of troops, from sales of condemned

stores, and all other sources not mentioned before... 410,779.35

------------

--

Total................................................ 42.423,956.87

------------

--

--------

------

Amount of expenditures since June 30, 1860............ 38,805,223.15

In the Government depositories to the credit of

disbursing officers, June 30, 1862................... 1,318,241.47

Remaining in the Treasury, same date................. 2,300,492.25

------------

--

Total................................................ 42,423,956.87

The estimates for the next fiscal year have been prepared with care and indicate the amounts which will be necessary to carry on the operations of the department during that period with as much accuracy as is possible in view of the extensive military operations which may be anticipated and of unforeseen contingencies. As compared with the appropriations and expenditures for similar purposes during the last eighteen months, the amount estimated is less than proportional to the increased force, in consideration of the supplies on hand, of the greater means of fabrication at our own arsenals, of the better system of taking care of and repairing arms and other ordnance stores, and of the more rigid economy in making purchases and contracts; all of which this department has kept constantly in view, and has succeeded in a great measure in effecting. No exertions or vigilance to this end will be spared until complete success is attained and the Government is secured in being served, so far as this department is concerned, with fidelity and honesty, and on the best terms, regardless of any influences or considerations except those of public interest.

Nothing but what is considered essential has been included in these estimates, and they will not bear curtailment consistently with the public interests under existing circumstances. The supplies which it is the duty of this department to provide, and which it has procured by fabrication and purchase and has furnished, as well, also, as the available means of its arsenals and depots, are stated in detail in the accompanying statements.

From these it will be seen that the principal articles provided through this department, from the beginning of the rebellion to the end of the last fiscal year, were:

Field cannon, different calibers....................... 1,608

Siege cannon, different calibers....................... 211

Sea-coast and garrison cannon, different calibers...... 302

Cannon balls, shells, and other projectiles:

For field artillery.................................... 813,212

For siege artillery.................................... 135,729

For sea-coast forts.................................... 361,748

Artillery carriages:

For field service...................................... 1,620

For siege service...................................... 377

For sea-coast forts.................................... 247

Mortar beds............................................ 232

Caissons, traveling forges, and battery wagons......... 2,111