distributing the supplies forwarded to them with commendable efficiency and success. They have also, be great energy, been able to a considerable extent to subsist the troops upon the resources of the country in which the armies were operating, or through which they were passing. It is believed that during the entire war no campaign, contemplated movement, or expedition has failed on account of the inability of the Subsistence Department to meet its proper requirements, and that the troops, wherever stationed or operating, have, with rare exceptions, been supplied with rations in good and wholesome condition.

The muster out of a largey, consequent upon the sudive military operations, unavoidably left on hand in some of the depots on excessive supply of subsistence stores. These have been sent to other points where they were required. Surplus and damaged stores will be disposed of by sale. A sufficient quantity of hard bread and other articles have been kept from earlier sale with the view of meeting in an economical manner the wants of those people, white and colored, who by the events of the war have been reduced to a suffering condition.

Under orders of June 29, 1865, the whisky ration was discontinued, and the sale of the supply on hand has already taken place at many points, and will soon be completed.

During the past year, as in previous years of the war, a very considerable income has been derived from the sale of the hides, tallow, and other parts of beef-cattle not issuable as beef to the troops.

Prisoners of war held a thirty-two forts, prison barracks, camps, and hospitals have been well subsisted, having received a sufficient portion and variety of the ration to insure health, leaving in the hands of the several issuing commissaries as 'savings" that portion of the ration not deemed necessary for persons living in entire idleness. The pecuniary value of these 'savings" has constituted a prison fund, available under the instructions of the Commissary-General of Prisoners, for the purchase of articles necessary for the prison barracks and hospitals, and for meeting other necessary expenses of the prisons. There has been transferred to the Subsistence Department a 'savings" credit of the amount of $1,507,359.01, and there remains yet to be transferred an amount not less than $337,766.98, making a total amount of $1,845,125.99.

Under section 3 of the act of July 4, 1864, 1,470 claims have been submitted, of which 50 have been approved for payment, and 413 disallowed; 650 are awaiting explanation, and 357 remain to be examined.

It is proposed to ascertain and exhibit, in a tabular form, the total quantity of each article of subsistence stores purchased for the use of the Army during each year of the war, from 1861 to 1865, inclusive. Such a statement, it is believed, would prove an interesting addition to the commercial statistics of the country.

The officers of the Subsistence Department, regular and volunteer, have, with but a few exceptions, discharged their duties with fidelity and success.

SURGEON-GENERAL.

The Surgeon-General reports that the receipts from all sources and available for the expenses of the Medical Department during the fiscal year ending June 30, 1865, were $20,489,680.47. Disbursements during the year, $19,328,499.23, leaving a balance in the Treasury on June 30 of $1,161, 181.24.