The State Treasurer in his report to this Legislature has estimated the probable receipts and disbursements for the years 1857 and 1858, as follows:

From the United States, five per cent. on sales of Gov

ernment lands,..

30,000 00

State tax lands for 1856 and collected in the returns from

ESTIMATED DISBURSEMENTS FOR 1857 AND 1858.

Pontiac R. R. bonds, due July 1 1858,...

$97,000 00

2,000 00

Mining companies paid back to counties when collected, one

half their specific taxes,

8,599 00

Wolf bounties,..

1,768 00

Postage in public offices,..

1,798 00

Expenses of Legislature of 1857,..

25,000 00

Legislative printing, publishing laws passed,

21,000 00

Sate Agricultural School, balance of appropriation,- -

22,139 50

$1,026,732 15

It will be seen by an inspection of the foregoing table, that the estimated disbursements for the years 1857 and 1858, exceed the estimated receipts for the same period by the sum of $79,188 38. .It therefore becomes the duty of this Legislature to provide not only for the above deficiency, but also for all the appropriations made during this session, not included in the foregoing estimate.

The following table will show what sum will be necessary, in the opinion of your committee, to meet the demands upon the Treasury be fore the meeting of another Legislature:

Deficiency stated above,

Asylum for the Deaf, Dumb and Blind,.

Asylum for the Insane,.

House of correction for juvenile offenders,

Agricultural college,..

-$ 79,188 38

75,000 00

50,000 00

24,000 00

In aid of the Kansas settlers, citizens of the State of

Michigan,

10,000 00

$354,688 38

Thus it will be seen that the sum of $354,688 38 must be provided for by this Legislature, if we would make provision for all the demands upon the Treasury, occuring with the two succeeding years, if the foregoing appropriations shall be made by this Legislature.

It is provided by the Constitution of this State that the Legislature shall provide for an annual tax sufficient with other resources to pay the estimated expenses of the State Government, the interest of the State debt, and such deficiency as may occur in the resources.

It is further provided by the Constitution that the Legislature shall provide by law for a sinking fund of at least $20,000 per annum, to be applied solely to the extinguishing of the principal of the State debt.

Within the last preceding two years a large amount of the principal of the State debt has been paid, and within the two next years about $225,009 will fall due, as has been already shown, and will probably be presented and paid, leaving, on the assembling of the next Legislature, the entire balance of the $5,000,000 loan, but a little above $2,000,000 unpaid.

Should the people be so fortunate in the choice of their financial agents in the future as they have been for the two preceding years, we may look for a speedy payment of the balance of the State debt, when our specific taxes will be nearly sufficient to pay the ordinary expenses of government, and the people freed, or nearly so, from taxation, except for town and county purposes.

The committee presume that this Legislature will provide for the sale of the Swamp Lands and for the payment of the proceeds of the sales into the Treasury of the State to the credit of some named fund,

and that the money arising from such sales shall be considered as loaned to the State, to be applied (should it be found necessary) in payment

of the State debt.

With these views of the subject, the committee herewith report a bill providing for the assessment and collection of a State tax for the years 1857 and 1858.

S. ABEL,

Chairman.