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JOHN A. KERR & CO., PRINTERS TO THE STATE.

REPORT.

ST. MARY'S FALLS SHIP CANAL OFFICE,
December 1st, 1862.

TO HIS EXCELLENCY AUSTIN BLAIR,

Governor of the State of Michigan:

As Superintendent of the St. Mary's Falls Ship Canal, I have the honor to submit this my annual report for 1862, showing the amount of money received from all sources, the amount de posited with the State Treasurer to be placed to the credit of the Canal fund, the amount expended for all purposes, the whole number of vessels, the number and tonnage of each class of vessels, the number of tons of iron, copper, grain, flour, &c., that has passed through the Canal; and a reference to improvements made this year, and a reference to those that, in my opinion, should be made the coming year; and a reference to such other matters and things as are directly connected with and growing out of the management, protection and permanency of this very important commercial work, through which there has passed this year twelve millions of dollars worth of copper and iron, and about ten millions of dollars worth of general merchandise.

You will see by reference to table A, showing the receipts, expenses, amount deposited, &c., for every year since the Canal was opened, that the receipts for tolls this year have been twenty-one thousand six hundred and seven dollars and seventeen cents; that there was received last year for tolls, $16,672 16, that the increase this year over last is $4,935; that there has been deposited with the State Treasurer this year, $14,120 25; that there has been expended upon the embankment, including the estimated time of the lock hands on the same, $2,054, and

for all other purposes, $4,797 78; that the balance left in the

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The rate of tolls is now six cents a ton, and with the tonnage this year of 359,612 tons, amounts to $21,576 72; at four cents a ton would amount to $14,384 48, and at three cents a ton to $11,788 36. It is confidently claimed by a large majority of those mostly interested in the payment of tolls, that three cents a ton on each vessel's enrolled tonnage would pay the current expenses of the Canal, and the interest; and it is in view of the foregoing facts, as they are alleged to be, that several vessel owners are protesting against the payment of more than three cents a ton on their enrolled tonnage. We have hundreds of such sworn protests on file in the Canal office.

For a full and particular statement of every article purchased for the Canal, for every dollar paid out for any and every purpose during the past year, I would most respectfully refer you to my monthly reports made to the Hon. L. G. Berry, Secretary of the Board of Control, in which you will find a full statement of receipts, the name of each vessel that has passed through the Canal, her tonnage and her cargo; also the name of every person to whom money has been paid, and the purpose for which it was paid. You will also find for each month a statement of the amount deposited with the State Treasurer, amount expended for all other purposes, and the balance left in the office from month to month, through the season of naviga tion; and in the report for the month of May last, a statement

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