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A proportion stated on these principles will ascertain the amount of the monthly issue for which the Engineer is to make his certificate.

Of this whole amount ($650,000) $455,235.92 has been advanced, leaving $194,764.08. In the month of July last the contractors on the road suspended work, and have not resumed it; so that no issue since that made on the certificate of July, has been required. This suspension was in consequence of the dissatisfaction of the contractors with the finding of the Engineer, by which he estimated the cost of finishing the road in a substantial manner, at a sum larger than that of the previous Engineer. He included therein the sum of $97,035 for finishing the bridges, taking out slopes which he found too steep, filling up trestle-work, protecting the banks from the rivers, &c.; which had not been previously included in the estimate. I do not understand that any question was made as to the correctness of this estimate in its amount; but it was denied that these items should have been reckoned into the account at all. It was contended that the road could be put into running order and would be run a long time before this work would need to be done; and that economy required the early running of the road, after which, from the earnings of the road these things could be done and paid for. Whether this was true or not, was not deemed to be a question for the State authorities; while it was a very proper one for

a railroad company, constructing its road, and having the means to build its stations, and to buy its rolling stock, equipments, &c. But, if the work in question was necessary to the completion of the road in a substantial manner, it was not seen how the State scrip could be issued upon any expectation of what might be done in the future, but only on the fact of what had been done already. It was the duty of the Engineer to require the road to be ordinarily well built, according to the existing standard of good work in similar locations, constructed by competent engineers at the present day. And the governor had no right to issue scrip without the Engineer's certificate. The opinions of the Engineer being called in question, it was deemed proper to subject them to careful examination; since if he was found to be mistaken, and unwilling to correct them, another Engineer could be appointed in his stead. To my own mind the questions were entirely new. They pertained to the science of civil engineering applied to the construction of railways;-and could be best answered by those skilled and practiced in that knowledge. Accordingly, a large number of experienced and skilful railway engineers, managers, and experts, were summoned by the Governor and Council, examined by them, and by the present State Engineer and his predecessor. Their testimony confirmed the opinion of the State Engineer. The testimony and the decision given by the Governor, both phonographically reported and in print, I have the honor to lay

before the General Court, with a similar report of a

before a committee of three

prior investigation before

members of the Council.

work

upon

No question arose relating to the tunnel, but the the tunnel, as well as upon the road east of it, was discontinued by the contractors. It is proper to observe that if the decision of the Governor is subject to any criticism, it must be borne by him alone, since no question was reached proper to be submitted to a vote of the Council.

A large quantity of railway iron included by the Engineer in his estimate, and therefore covered by the scrip issued on his certificate of June last, it is now alleged had not been delivered to the company; and it is now claimed by carriers, under their lien for freight, and is under attachment in three suits for its purchase money. The suits are pending, and the interests of the Commonwealth are under the care of the Attorney-General.

I regretted encountering any questions connected with this subject. It has involved a great deal of interest and feeling, and has largely entered into the legislation and somewhat into the politics of the State. The question which in fact arose, however, was eminently and simply a practical one; and it was necessary to be governed by the law as the legislature had made it, and by the facts as they were found to exist. The subject is now before the General Court, where the law will receive alteration if it is found to require

any. The suspension of the work on the railway, it is thought by many, will cause injury to the road, by means of the action of the frost and freshets, while it remains incomplete. This point will require your early attention. As the law now stands, the State authorities cannot interfere; and I understand the railway company does not.

It becomes important for the General Court to decide what measures, if any, are necessary to protect the interests of the Commonwealth in a public work to which it has already loaned its scrip to the amount of $725,388.88, and has paid up to October, 1861, interest to the amount of $18,093.34. The grand enterprise of tunnelling the mountain must either be abandoned or suspended, or the Commonwealth must take the business in hand, and adopting a policy at once simple, plain, effectual, and decisive, put it beyond such contingencies, and ensure both economy and

success.

For the present condition of the road and tunnel, and the progress of the work, or both, I refer the General Court to a recent communication from the State Engineer, which contains the most authentic and compact statement in my power to impart.

The following table exhibits the amounts of State scrip loaned to the road from the time of the first issue, of which amount it will be observed that more than $250,000 have been advanced during the last year.

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And in addition to this sum, is to be computed also scrip to the amount of $200,000, issued on May 4th, 1860, to the owners of the Southern Vermont Railroad for the purchase of the road.

Harbors and Flats.

I had the honor, in addressing the General Court of 1861, to allude to the duty of watchfully guarding the Harbor of Boston against injury by encroachments, or by misuse of its flats and misdirection of its water. And I desire, at this time, in a more emphatic and direct manner, to invoke the attention of the Legislature to the subject of the preservation and improve

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