APPENDIX. (continued 2)

Headquarters Third Division, San Francisco, April 5, 1849.

General:—Since my last communication no troops have arrived to change the strength of the force here; but the steam transport Edith arrived on the 21st of March, and reports that the transports Iowa and Massachusetts, the former having General Riley with a part of the 2d infantry, and the latter having the command of artillery for Oregon on board, left Valparaiso about the 8th of February. The former is expected here every day, and the Edith is held in readiness to convey the troops south to the position they are to occupy.

There will be great difficulty in establishing and maintaining a post at the mouth of the Gila, until more knowledge is acquired of the navigation of the head of the gulf of California and the lower part of the Colorado. Transportation by land from San Diego is impossible for large quantities of stores.

In the gulf, the winds blow in the winter almost invariably from the northward; and in the summer, when they come occasionally from southward, it is in violent gales, with severe squalls and thunder, rendering it very dangerous to be in the gulf then. In other words, it is always difficult to run up the gulf, but almost always easy to run south. These circumstances render the employment of steam vessels very advantageous. If the navigation of the gulf permits the Edith to be used she will answer, having both sails and steam. If she draws too much water, others of lighter draught could be procured. I mention this now, as the boundary commission will commence their labors on this end of the line, and will be on the Gila next season. I should have observed that the Colorado is supposed to be navigable only for boats drawing three or four feet.

I see no reason for posting troops on any other point out of reach of the ports on the Pacific. The Indians in the interior do not make it necessary, and it would be useless to place them near the mines to maintain order there. Nothing but the establishment of a regular civil government, to be carried on by those most interested in the existence of good order, will answer that end.

Such detachments as go to the southern part of the Territory will accordingly be placed, as heretofore mentioned, in healthy and convenient positions, and those on this bay at such points as will combine good climate, convenience of supply, and facility of movement. I propose, when such a point is found, to have removed all the public stores there, both from this place and Monterey, leaving the heavy ordnance and stores.

The town of San Francisco is no way fitted for military or commercial purposes; there is no harbor, a bad landing-place, bad water, no supplies of provisions, an inclement climate, and it is cut off from the rest of the country, except by a long circuit around the southern extremity of the bay. In time of war, enemies' troops could be landed for many miles south of the entrance of the bay on the sea beach, and thus cut it off by a short line across the peninsula on which it stands. There are points on the bay, more inland, having good harbors and landings, good water, and open to the whole country in rear, and accessible without difficulty to ships of the largest class. One of these should be the point at which the future depots should be established; and I propose to go to-morrow in the Edith, in company with Commodore Jones and other officers of the army and navy, to examine the straits of Karquinez, said to combine most advantages. I hope to return and report the result of our examination before the next mail boat leaves, (on Monday, 9th,) but at any rate by the succeeding boat, a few days afterwards.

I hope that in fixing the port of entry, capital, or other public places, the law will leave to the President the selection; otherwise, private interests already involved in speculation here, will, by misrepresentation, lead to a very bad choice.

If Congress has not provided by law for the government of this Territory, or its admission as a State, I would be very glad that the government would officially promulgate its views as to the civil authority now exercised here. Some important questions of law, involving both life and property, are now depending; and judges and jurors, without experience in these difficult questions, are called upon to act under great responsibility.

It appears to be the opinion of merchants in many of the ports of the Pacific—and they allege in support of it the advice of some of our consuls—that in virtue of the circular of the Secretary of the Treasury of October 30, as the Treasury Department could not collect duties on imports in California, their goods, though dutiable, could be imported without paying duty. I have held that this was not the construction proper to be given to the circular, but only that the law had not provided the means of collecting duties here, that law being still in force which prohibits certain goods being introduced into the United States, unless they pay duties as prescribed; that consequently no dutiable goods can be landed in California unless they shall have paid their duties elsewhere—the effect of which would be, that they could not be admitted at all from foreign ports.

Under the circumstances, which showed a very hard case, I thought it proper that the parties should be allowed to deposit the amount of duties and land the goods; but, lest this should be construed as giving them a right for the future, and as the president may think proper to put an end to this indulgence, I have addressed a circular to all our consuls on these seas, warning them of this possibility—a copy of which is inclosed.

I was directed, when coming here, by the Secretary of War, to do all I could to facilitate the arrival of the civil officers of government in Oregon, as the public service required their presence there. The steamer in which we came here could go no farther north, and there was no possible way of those gentlemen getting there, except on a small vessel about sailing, on which there were no accommodations.

Commodore Jones kindly sent carpenters from the fleet to put up some berths, and on General Adair's (the collector's) representation, that no bedding could be procured, I directed the quartermaster to issue him the necessary number of blankets for the voyage, and take his receipt for them. I respectfully ask that this may be approved, and the amount charged to General Adair. The quartermaster could not tell him the price of the blankets when he took them.

As the rainy season has ended, people are again repairing to the mines. New discoveries farther south are said to have been made; and it is now pretty certain that the whole slope of the Sierra Nevada, comprised within the head waters of the San Joaquin to the south and those of the Sacramento to the north, contains gold. These two rivers, forming, as it were, a bracket, join to enter the bay of San Francisco; and their tributaries from the east, in their beds, expose the deposits of gold as they descend from the mountains. It is on the banks and branches of these streams that adventurers are now at work; but some excavations elsewhere, to a depth equal to that worn by the creeks, have disclosed quantities similar to those most generally found. There appears to be a line parallel to the summit of the main ridge, and some distance down the slope, at which the product of gold is at its maximum; but whether this be from the quantity deposited, or from the different position as relates to the surface, or from the difficulty of working it, I have not the means of knowing.

The gold is found in small particles: the largest I have seen, but such are rare, weighs seventy-one ounces troy. The appearance invariably is as though it had been spurted up when melted through crevices and fissures in drops, which have often the form of the leaves and gravel on which they have fallen. I speak of this as an appearance, not as a theory or hypothesis. The extent ascertained within which gold is thus found is at least four hundred miles long by forty wide; in almost every part of which, where the surface is depressed by the beds of rivers, gold has been obtained without digging more than ten feet below the surface, and very seldom that much.

It is impossible to furnish any grounds for estimating the number of people engaged in mining, or the amount they have produced. Persons engaged in trading with the miners say they amount to about ten thousand, but I cannot say with what reason. They can better judge of the amount produced, which the lowest estimate places at $4,000,000. More than three thousand persons have been added to the miners up to this time,—chiefly from Mexico and South America.

When the mines were first discovered, all the ports of South America on the Pacific, and of the Sandwich islands, sent the merchandise collected and stored there to be sold here. They realized enormous profits, before any competition from our eastern States could meet them; and these goods were generally owned by European houses, who thus became possessed of the first fruits of the mines, which were shipped to Europe on their account; and it is thus that so little gold has reached the United States.

When the merchandise now on its way from our Atlantic States arrives, and is sold, the current will set that way; but the profits will be much diminished by competition, and still more by the enormous expenses here for labor, storage, &c. These are almost incredible; the ordinary wages for the poorest laborer is $6 per day; many receive $10.

The extent and richness of the gold region have not been exaggerated; and the exorbitant prices paid for labor, rent, and subsistence, have hardly been fully set forth. But all the estimates of the amount actually produced are but mere suppositions, which may surpass or may fall short of the truth.

I have already directed that the men to whom their commanding officers may give short leaves of absence may be employed by the quartermasters at the usual rates here. This will be an encouragement to the men and an advantage to the public service, as labor is hard to get. But I doubt the propriety of yielding to the current of gold-seeking, and allowing large bodies of the men to go to the mines. It may be permitted to reward good conduct, as any other indulgence is; but to make it general, would be either to acknowledge the right of the men to modify their obligations as they please, or to confess our inability to enforce their fulfilment. For the sake of principle and preciseness, it would be better to adhere to what is right now, though the effect here in this particular instance would be the desertion of the men.

I am, with respect, your obedient servant,

PERSIFOR F. SMITH, Brevet Major-General, commanding 3d Division.

Brigadier-General R. Jones, Adjutant-General.

Appendix F.

The following despatch contains instructions to General Kearny concerning the conquest of California, contained in a despatch from the Secretary of War, marked confidential. But a portion of these instructions were carried out, in consequence of the anticipation of the conquest by Commodore Stockton and Colonel Fremont.

[Confidential.]

War Department,

Washington, June 3, 1846.

Sir: I herewith send you a copy of my letter to the governor of Missouri for an additional force of one thousand mounted men.

The object of thus adding to the force under your command is not, as you will perceive, fully set forth in that letter, for the reason that it is deemed prudent that it should not, at this time, become a matter of public notoriety; but to you it is proper and necessary that it should be stated.

It has been decided by the President to be of the greatest importance in the pending war with Mexico to take the earliest possession of Upper California. An expedition with that view is hereby ordered, and you are designated to command it. To enable you to be in sufficient force to conduct it successfully, this additional force of a thousand mounted men has been provided, to follow you in the direction of Santa Fe, to be under your orders or the officer you may leave in command at Santa Fe.

It cannot be determined how far this additional force will be behind that designed for the Santa Fe expedition, but it will not probably be more than a few weeks. When you arrive at Santa Fe with the force already called, and shall have taken possession of it, you may find yourselves in a condition to garrison it with a small part of your command (as the additional force will soon be at that place), and with the remainder press forward to California. In that case you will make such arrangements as to being followed by the reinforcement before mentioned, as in your judgment may be deemed safe and prudent. I need not say to you that in case you conquer Santa Fe, (and with it will be included the department or state of New Mexico), it will be important to provide for retaining safe possession of it. Should you deem it prudent to have still more troops for the accomplishment of the objects herein designated, you will lose no time in communicating your opinion on that point, and all others connected with the enterprise, to this department. Indeed, you are hereby authorized to make a direct requisition for it upon the governor of Missouri.

It is known that a large body of Mormon emigrants are en route to California for the purpose of settling in that country. You are desired to use all proper means to have a good understanding with them, to the end that the United States may have their co-operation in taking possession of and holding that country. It has been suggested here that many of these Mormons would willingly enter into the service of the United States, and aid us in our expedition against California. You are hereby authorized to muster into service such as can be induced to volunteer; not, however, to a number exceeding one-third of your entire force. Should they enter the service they will be paid as other volunteers, and you can allow them to designate, so far as it can be properly done, the persons to act as officers thereof. It is understood that a considerable number of American citizens are now settled on the Sacramento River, near Sutter's establishment, called "Nueva Helvetia," who are well disposed towards the United States. Should you, on your arrival in the country, find this to be the true state of things there, you are authorized to organize and receive into the service of the United States such portion of these citizens as you may think useful to aid you to hold the possession of the country. You will in that case allow them, so far as you shall judge proper, to select their own officers. A large discretionary power is invested in you in regard to these matters, as well as to all others, in relation to the expeditions confided to your command.

The choice of routes by which you will enter California will be left to your better knowledge and ampler means of getting accurate information. We are assured that a southern route (called the caravan route, by which the wild horses are brought from that country into New Mexico) is practicable, and it is suggested as not improbable that it can be passed over in the winter months, or at least late in autumn. It is hoped that this information may prove to be correct.

GAMBLING SCENE AT SAN FRANCISCO.

In regard to the routes, the practicability of procuring needful supplies for men and animals, and transporting baggage, is a point to be well considered. Should the President be disappointed in his cherished hope that you will be able to reach the interior of Upper California before winter, you are then desired to make the best arrangement you can for sustaining your forces during the winter, and for an early movement in the spring. Though it is very desirable that the expedition should reach California this season, (and the President does not doubt you will make every possible effort to accomplish this object), yet if, in your judgment, it cannot be undertaken with a reasonable prospect of success, you will defer it, as above suggested, until spring. You are left unembarrassed by any specific directions in this matter.

It is expected that the naval forces of the United States which are now, or will soon be in the Pacific, will be in possession of all the towns on the seacoast, and will co-operate with you in the conquest of California. Arms, ordnance, munitions of war, and provisions to be used in that country, will be sent by sea to our squadron in the Pacific for the use of the land forces.

Should you conquer and take possession of New Mexico and Upper California, or considerable places in either, you will establish temporary civil governments therein—abolishing all arbitrary restrictions that may exist, so far as it may be done with safety. In performing this duty, it would be wise and prudent to continue in their employment all such of the existing officers as are known to be friendly to the United States, and will take the oath of allegiance to them. The duties at the custom-house ought at once to be reduced to such a rate as may be barely sufficient to maintain the necessary officers, without yielding any revenue to the government. You may assure the people of those provinces, that it is the wish and design of the United States to provide for them a free government with the least possible delay, similar to that which exists in our territories. They will then be called on to exercise the rights of freemen in electing their own representatives to the territorial legislature. It is foreseen that what relates to the civil government will be a difficult and unpleasant part of your duty, and much must necessarily be left to your own discretion. In your whole conduct you will act in such a manner as best to conciliate the inhabitants and render them friendly to the United States.

It is desirable that the usual trade between the citizens of the United States and the Mexican provinces should be continued, as far as practicable, under the changed condition of things between the two countries. In consequence of extending your expedition into California, it may be proper that you should increase your supply for goods to be distributed as presents to the Indians. The United States superintendent of Indian affairs at St. Louis will aid you in procuring these goods. You will be furnished with a proclamation in the Spanish language, to be issued by you and circulated among the Mexican people on your entering into or approaching their country. You will use your utmost endeavors to have the pledges and promises therein contained carried out to the utmost extent.

I am directed by the President to say that the rank of brevet brigadier-general will be conferred on you as soon as you commence your movement towards California, and sent round to you by sea or over the country, or to the care of the commandant of our squadron in the Pacific. In that way cannon, arms, ammunition, and supplies for the land forces will be sent to you.

Very respectfully, your obedient servant, W. L. MARCY, Secretary of War.

Colonel S. W. Kearny. Fort Leavenworth, Missouri.

Appendix G.

The particulars of the conquest of Upper California, as well as the suppression of the insurrections, we have already given in substance as they are in the despatches of General Kearny and Commodore Stockton. But we have said nothing of the transactions in the Peninsula, as that afterwards was surrendered to Mexico. All that is interesting in the conquest of Lower California, will be found in the following despatches from the commander of the New York regiment of volunteers, which with a number of marines were the only troops employed in that quarter. We premise, that, after the United States marines had taken San José, the natives rose, and they were reduced to the necessity of taking refuge in an old fort, or cuartel, in the town.

Barracks, Lower California,

San Jose, February 20, 1848.

Sir: I continue my report from the 22d ultimo, from which time my force consisted of twenty-seven marines and fifteen seamen, of whom five were on the sick report, besides some twenty volunteers, Californians, who at least served to swell the numbers. From that date the enemy were continually in sight of us, intercepting all communication with the interior, and driving off all the cattle from the neighborhood. A party of our men who went out to endeavor to obtain cattle, were driven in and narrowly escaped being cut off. We succeeded in obtaining a few cows, however, which were very necessary to us in the reduced state of our provisions, as, in addition to our garrison, we were obliged, in humanity, to sustain some fifty women and children of the poor, who sought our protection in the greatest distress. I found it necessary, as soon as our fresh beef was consumed, to put all hands on half allowance of salt provisions. We had no bread. On the 4th of February, the enemy closed around us more, and commenced firing upon all who showed themselves at our port-holes, or above the parapets. On the morning of the 6th the enemy appeared to be a little scattered, a considerable force being seen riding about some distance from the town, and at the same time a strong party of them posted at the lower end of the street were keeping up an annoying fire upon us. I judged this a favorable opportunity to make a sortie upon them, and taking twenty-five men with me, closed with them and dislodged them, driving them into the hills without the loss of a man on our part, and returned to the cuartel. On the morning of the 7th it was reported to me that the enemy had broken into the houses on the main street, and there was some property exposed which might be secured. I took a party of men and went down and brought up a number of articles belonging to the Californians, who were in the cuartel; some distant firing took place, but no injury was sustained. On the same day, hearing there were some stores of rice and tobacco in a house some three hundred yards down the main street, I determined upon an effort to obtain them, and sallied out with thirty men: these were immediately fired upon from several different quarters, and some fighting ensued, resulting in the death of one of my volunteers—shot through the heart. We charged down the end of the street, and drove the enemy to the cover of a cornfield at the outside of the town, where they were considerably reinforced, and recommenced a hot fire; but we were enabled to save a part of the articles which we were in search of, though we found that the enemy had anticipated us in this object, having forced the building from the rear. On the afternoon of the following day, Ritchie's schooner, having provisions for us from La Paz, came in sight and anchored, but a canoe which was enticed toward the shore by a white flag displayed by the enemy, was fired upon, and the schooner immediately got under way.

On the 10th the enemy had entire possession of the town: they had perforated with port-holes all the adjacent houses and walls, occupying the church, and, hoisting their flag on Galindo's house, ninety yards distant, held a high and commanding position, which exposed our back yard and the kitchen to a raking fire, which from this time forth was almost incessant from all quarters upon us, the least exposure of person creating a target for fifty simultaneous shots. The enemy appeared to have some excellent rifles, among other arms; and some of them proved themselves tolerably sharp shooters, sending their balls continually through our port-holes. On the 11th the fire was warm, but on our part it was rarely that we could get a sight of them. In the afternoon of this day we had to lament the death of Passed Midshipman McLanahan, attached to the United States ship Cyane; a ball striking him in the right side of the neck, a little below the thyroid cartilage, lodged in the left shoulder. He died in about two hours. He was a young officer of great promise, energetic, of much forethought for his age, and brave to temerity. All lamented his untimely fate, and all bear willing testimony to his worth.

On the morning of the 12th, at daylight, we discovered that the enemy had thrown up a breastwork upon the sand, about one hundred and fifty yards to the north-east of the cuartel, and entirely commanding our watering place. We fired several round shot at it, with little effect. We succeeded in getting in being in strong force, and kept a close watch upon us. Their force was over three hundred, speaking within bounds. I immediately commenced digging a well in the rear of Mott's house, which is the lowest ground. I found that we had to go through rock, and judged we should have to dig about twenty feet. I thought it imprudent to blast, as the enemy, suspecting our intention, would throw every obstacle in our way. The men worked cheerfully on this and the succeeding day against all difficulties. Our situation was becoming now an imminently critical one, having with the greatest economy but four days' water. On the 14th we continued digging for water. We found that the enemy had thrown up a second breastwork more to the westward, giving them a cross-fire upon our watering place: there was a continual fire kept up upon the cuartel during the day. At three o'clock, 30 minutes P.M., a sail was reported in sight, which proved to be the United Ship Cyane. She anchored after sundown. It was of course a joyful sight to us to see friends so near; but I was apprehensive that they could render us but little assistance, the enemy being so vastly superior in numbers. The enemy continued their firing upon us during the night. On the 15th at day-light, we became aware that the Cyane was landing men. They soon commenced their advance, which for a few moments was opposed only by a scattering fire; then the enemy opened upon them in earnest. They had concentrated nearly their entire force near San Vincente. We saw the flash of musketry through all the hills above the village. There was the odds of three to one against our friends. Steadily they came on, giving back the enemy's fire as they advanced. There was still a party of the enemy occupying the town, firing upon us. I took thirty men, and sallied out upon them, drove them from cover, killed one and wounded several of them, and marched out to join the Cyane's men, who, with Captain Dupont at their head, had now drawn quite near to us. There were small detached parties of the enemy still hovering about them, and firing at them, but the main body of the enemy had been broken, and retired to "Las Animas," distant two miles. The march of the Cyane's men to our relief, through an enemy so vastly their superior in numbers, well mounted and possessing every advantage in knowledge of the ground, was certainly an intrepid exploit, as creditably performed as it was skilfully and boldly planned, and reflects the greatest honor on all concerned. It resulted most fortunately for us in our harassed situation. They had but four wounded; this cannot be termed any thing but the most remarkably good luck, considering the severe fire that this heroic little band were exposed to. The loss of the enemy we have not positively ascertained: we hear of thirteen killed, with certainty, and general report says thirty-five; wounded not known. Of the total loss of the enemy in their attack upon the cuartel, I cannot speak with certainty; we have found several graves, and know of a number wounded, one of whom we have in the cuartel a prisoner. I suppose their total loss to be not far from fifteen killed, and many wounded; I am sure it could not be less than this. Our own total loss was three killed and four slightly wounded. After the death of Passed Midshipman McLanahan, there remained but one officer to my assistance, Passed Midshipman George A. Stevens, to whom, for his coolness and indefatigable zeal at a time when so much devolved upon him, I am most happy to accord the highest credit; and at the same time I must honorably mention the conduct of a volunteer, Eugene Gillespie, Esq., who, although suffering from illness, never deserted his post, and was with me in the sortie of the 7th. The non-commissioned officers and men went through privation, unceasing watchfulness, and danger, without a murmur. I cannot express too highly my satisfaction in their conduct. Captain Dupont immediately upon his arrival here, becoming aware of our situation as regards provisions, took measures for our supply. The day after the battle of San Vincente he despatched a train, which brought us by hand (the enemy having driven off all the mules and horses) a quantity of stores and articles of which we stood most in need, among the rest, bread, and has since been unceasing in his exertions for our relief. I cannot too earnestly express the obligations which we are under for the prompt and efficient assistance which Captain Dupont, his officers, and crew have rendered us.

I am, sir, respectfully, your obedient servant,

CHAS. HEYWOOD, Lieutenant U.S. Navy, com'g., San Jose.

Lieut. Col. Henry S. Burton, U.S. Army, com'g. troops in Lower California.

W. T. SHERMAN, First Lieutenant 3d Artillery, A.A.A. General.

H.

United States Barracks,

La Paz, California, April 13, 1848.

Sir: I have the honor to acknowledge the receipt of your letter of March 1, 1848, and to report the arrival of the army storeship "Isabella" at this place on the 22d of March, 1848, with Captain Naglee's company (D) New York volunteers, and one hundred and fourteen recruits for the detachment of New York volunteers stationed at this place.

The rescue of the prisoners of war on the 15th ultimo caused great excitement among the enemy, and tended very much to disorganize their forces, and the important arrival of the reinforcements to my command determined me to take the field as soon as possible; accordingly, I left this place on the morning of the 26th instant with two hundred and seventeen officers and men; Lieutenant Halleck, United States engineers, acting chief of staff, and Passed Midshipman Duncan, United States navy, temporarily attached to the mounted portion of Captain Naglee's command.

The afternoon of the 27th, a party of fifteen men captured, in San Antonio, Pineda, the commander of the Mexican forces, with his secretary, Serrano.

The morning of the 29th, having received information that the enemy had concentrated their forces in Todos Santos, we pressed on with all speed, fearing they might evade us, by retreating towards Magdalena Bay. The morning of the 30th, about ten o'clock, having received accurate information respecting the enemy, Captain Naglee with forty-five mounted men was despatched to intercept the road leading from Todos Santos to Magdalena Bay, and, if practicable, to attack the enemy in the rear at the same time our main body made its attack in front.

The road leading from Todos Santos to La Paz, for some distance before reaching the first named place, passes through a dense growth of chaparral, (very favorable for an ambush), and in this the enemy made their arrangements to receive us. We left the road about five miles from Todos Santos and marched along a ridge of high land on the north side of the river, having full view of the enemy's operations.

They then took possession of a commanding hill directly in our route, between three and four miles from Todos Santos, with their Indians in front. Companies A and B, under the direction of Lieutenant Halleck, were deployed as skirmishers in such a manner as to expose the enemy to a cross-fire. The enemy opened their fire at long distance, but our force advanced steadily, reserving their fire until within good musket range, when it was delivered with great effect, and the enemy retreated very rapidly, after a short but sharp engagement. At this time, Captain Naglee being near Todos Santos, and hearing the firing, attacked the enemy in rear, and after a severe action completed their dispersion. Our men and horses being too much fatigued by their long march to pursue the scattered enemy, we marched on to Todos Santos.

The loss of the enemy in this engagement cannot be ascertained with any accuracy; we know of ten killed and eight wounded. Our loss was nothing; one man and the horse of Acting Lieutenant Scott were slightly wounded, the enemy, as usual, firing too high.

Our officers and men fully sustained the character they won on the 16th and 27th of November last.

My warmest thanks are due to Lieutenant Halleck, for his assistance as chief of staff, and I present him particularly to the notice of the colonel commanding, for the able manner in which he led on the attack on the 30th ultimo.

Captain Naglee also deserves particular notice for the energetic and successful manner in which he fulfilled his instructions.

On the 31st ultimo, Captain Naglee, with fifty mounted men of his company, was ordered to pursue the enemy in the direction of Magdalena Bay. He returned to La Paz on the 12th instant, having pursued the enemy very closely, capturing five prisoners and some arms.

Lieutenant Halleck started for San José with a party of mounted men, consisting of one officer and twenty-five non-commissioned officers and privates, on the 5th instant, for the purpose of communicating with Captain Dupont, commanding United States sloop-of-war Cyane. He returned here on the 11th instant, having captured ten prisoners on his march, and taken a number of arms.

From him I learn that the naval force at San José have thirty odd prisoners, and among others "Mauricio Castro," the self-styled political chief of Lower California. Lieutenant Selden, with a party from the Cyane, made a most opportune march on Santiago, where he captured a number of the enemy who had fled from the field of Todos Santos. Castro, who commanded the enemy's forces in the action of the 30th, was arrested near Maria Flores by the civil authorities and delivered up to Lieutenant Selden.

During the stay of our main body at Todos Santos fourteen prisoners were captured; among them two sons of the reverend padre Gabriel Gonzales, officers of the Mexican forces.

We left Todos Santos on the 5th instant, and arrived at this place on the 7th. The result of this short campaign has been the complete defeat and dispersion of the enemy's forces.

We have captured their chief and six officers, and one hundred and three non-commissioned officers and privates; and others are daily presenting themselves to the civil authorities in different parts of the country.

The captured arms have been given to those rancheros known to be friendly to the interests of the United States, for their protection.

I am, sir, with much respect, your obedient servant,

HENRY S. BURTON, Lieutenant Colonel New York Volunteers.

Lieutenant W. T. Sherman, Act. Ass. Adjt. Gen. Tenth Mil. Dep.

W. T. SHERMAN, First Lieut. 3d Artillery A.A.A. General.

Appendix I.

The following despatch from Governor Mason, gives an account of the state of affairs in Upper California, in October, 1847:

Headquarters Tenth Military Department,

Monterey, California, October 7, 1847.

Sir: I returned from San Francisco yesterday, and found here Mr. Toler, with despatches from Washington, the receipt of which I have the honor to acknowledge. I am also informed by Commodore Shubrick that the sloop-of-war Preble is ready to sail for Panama, with Passed Midshipman Wilson as bearer of despatches for the United States. I therefore avail myself of the opportunity to send you my letter of the 18th of September, with its several packages, and now have to communicate the result of my visit to San Francisco.

I found the town flourishing and prosperous, with a busy, industrious population of Americans, and refer you to the copies of my military correspondence for the steps adopted to give them a good town government. The Bay of San Francisco, you are well aware, is a spacious, elegant harbor, susceptible of the most perfect defence; but as yet nothing has been done towards fortifying it, or even placing any of the heavy guns in position at the old fort. It is found almost impossible to get much work out of the volunteers; and all that I can now expect of the two companies of Major Hardie's command will be to improve their quarters at the old presidio. This they are at present engaged upon, using lumber made at the horse saw-mill, under direction of the assistant quartermaster, Captain Folsom. All this labor is done by the volunteers, so that the improvements will be made at very little expense to the government. The price of lumber at San Francisco is $50 per M.; but Captain Folsom says that he has it sawed and delivered, by the labor of the volunteers and his own machinery, at about $16. The mill is placed in the timber known as the Red Woods, near the mission of San Rafael, on the west and north sides of the bay, where any amount can be had. If the government design to erect permanent structures to any extent in this country, it would be advisable to send out a steam engine, with all the necessary frames and iron-work to adapt it to immediate use in connexion with the saw and grist mills now in possession of the quartermaster's department here. The site at present selected by Captain Folsom is well adapted, as easy water communication is had with the San Joaquin and Sacramento Rivers as well as the parts of the country south of San Francisco.

At San Francisco I found all the powder, arms, accoutrements, and perishable ordnance property well stored in a building prepared for the purpose at the presidio barracks; but the guns, mortars, carriages, shot, and shells are in the town in the open air, protected by paint alone. The great difficulty of hauling such articles over the rugged hills between the town and presidio will prevent their being hauled to the latter place this season.

I did design to continue my tour of inspection to Sonoma and the Sacramento River, but was recalled by hearing of the arrival of the bearer of despatches at Monterey.

When on my way up to San Francisco, I was overtaken by Captain Brown, of the Mormon battalion, who had arrived from Fort Hall, where he had left his detachment of the battalion, to come to California to report to me in person. He brought a muster-roll of his detachment, with a power of attorney from all its members to draw their pay; and as the battalion itself had been discharged on the 16th of July, Paymaster Rich paid to Captain Brown the money due the detachment up to that date, according to the rank they bore upon the muster-rolls upon which the battalion had been mustered out of service. Captain Brown started immediately for Fort Hall, at which place and in the valley of Bear River he said the whole Mormon emigration intended to pass the winter. He reported that he had met Captain Hunt, late of the Mormon battalion, who was on his way to meet the emigrants and bring into the country this winter, if possible, a battalion according to the terms offered in my letter to him of the 16th of August, a copy of which you will find among the military correspondence of the department.

In my letter I offered Captain Hunt the command of the battalion with the rank of lieutenant-colonel, with an adjutant; but I find, by the orders lately received, that a battalion of four companies is only entitled to a major and acting adjutant. I will notify Captain Hunt of this change at as early a moment as I can communicate with him. I am pleased to find by the despatches that in this matter I have anticipated the wish of the department.

Last season there was a great scarcity of provisions on the coast of California; but when the stores are received that are now on their way, there will be an ample supply for the coming winter. The crops in this country have been very fine this season, and at present wheat is plenty and cheap at San Francisco. Beef is also plenty. Beans can be purchased at the southern ports, and sugar imported from the Sandwich Islands; but for all other subsistence stores we are dependent upon the South American ports or those of the United States. I have directed Captain Marcy, acting commissary of subsistence at this post, to supply the chief of his department with the market price of all kinds of provisions, with such other facts as may enable his department to act with the proper economy. The want of good clothing for the regulars and volunteers is already felt in California; and unless a supply has already been despatched, many of the garrisons will be without shoes and proper clothing this winter. The price of such articles here is so exorbitant as to place them beyond the reach of the soldiers. The volunteer clothing brought by Sutler Haight has already been disposed of to citizens and soldiers, and there are no means of his renewing the supply except by sending to the United States. Justice to the soldier demands that he either be comfortably clad by the government, or that it should be within his power to clothe himself on the allowance provided for that purpose by law.

I respectfully recommend, if it has not already been done, that a large supply of infantry undress winter clothing be sent immediately to this country, to be distributed, so as to enable each volunteer to purchase for his own immediate use at cost prices. No summer clothing is needed, as the climate is too severe, summer and winter. Such articles as good blankets, cloth overcoats, caps, jackets, overalls, stockings, and shoes with stout shirts and drawers, are the only ones that will ever be needed here.

General orders No. 10, of 1847, promotes Lieutenant Loeser, third artillery, and orders him to join his company. I regret that at this moment his services cannot be spared, and I am compelled to retain him on duty with company F, third artillery, because the absence of Captain Tompkins, the death of Lieutenant Minor, and Lieutenant Sherman being detached as acting assistant adjutant general, has reduced the number of officers of that company to but two—Lieutenants Ord and Loeser. I trust that the two companies of regulars in this country will be kept with a full supply of officers, that an officer, upon being promoted, may be enabled to join the army in the field, and participate in the active operations to which he looks for distinction and experience.

Captain H. M. Naglee, seventh New York volunteers, with a strong detachment of his company, is now absent in pursuit of Indians in the valley of the San Joaquin. He has with him Lieutenant Burton's company of California volunteers, which is expected to return to Monterey before the end of this month; in which case I shall cause it to be mustered out of service, and discharged on the 31st day of October.

Again I have to report the death, by sickness, of an officer of my command—Lieutenant C. C. Anderson, seventh New York volunteers, who contracted a fever when on duty at Fort Sacramento, and died in consequence at San Francisco on the 13th of September. He was buried with military honors by the troops at San Francisco, under direction of Major Hardie. This death reduces the number of officers in Captain Brackett's company, seventh regiment New York volunteers, to one captain and one second lieutenant.

Commodore Shubrick will sail for the west coast of Mexico from this harbor next week; and having made application to me, I have directed Lieutenant Halleck, of the engineer corps, to accompany him, and shall give Lieutenant Colonel Burton, in command at La Paz, Lower California, authority to accompany Commodore Shubrick, should the latter design an attack upon any point or points of the west coast of Mexico, with orders, of course, to resume his position at La Paz as soon as the object is accomplished for which his command is desired.

Note.—Colonel Burton will be directed to leave a sufficient number of men at La Paz to keep the flag flying.

It affords me much pleasure to assure the department that the most perfect harmony subsists between the members of the naval and land forces on this coast, and that the most friendly intercourse is kept up between the officers. I have had frequent occasion myself to ask assistance of Commodores Biddle and Shubrick, and my requests have been granted with promptness and politeness; and in return I have afforded them all the assistance in my power. Our consultations have been frequent and perfectly harmonious, resulting, I hope, in the advancement of the common cause of our country.

I have the honor to be, your most obedient servant,

R. B. MASON, Colonel 1st Dragoons, Commanding.

To General R. Jones, Adjutant-General, Washington, D.C.

Appendix J.

We have already given the substance of Governor Mason's despatch to the government, giving an account of the gold discovery and a visit to the placers. There is, therefore, no necessity for inserting that official document. The appearance in Upper California, in July 1848, of Don Pio Pico, the former governor of the territory, gave rise to serious apprehensions of another insurrection. The despatch of Col. Stephenson, the commander of the garrison at Los Angeles, to Colonel Mason, contains an account of the matter, together with a description of the ex-governor.

Headquarters Southern Military District,

Los Angeles, California, July 20, 1848.

Sir: By the last mail I informed you of the arrival of Don Pio Pico in this district. I subsequently learned that he had passed through San Diego without presenting himself to Captain Shannon, or in any manner reporting his arrival. Immediately after his arrival, rumors reached me of conversations had by him with his countrymen, in which he stated that he had returned with full powers to resume his gubernatorial functions, and that he had only to exhibit his credentials to you to have the civil government turned over to him. I found the people becoming very much excited, and some rather disposed to be imprudent. I sent for Jose Ant. Carrillo and some others in the town, who were giving currency to these reports, and informed them that I should hold them responsible for any imprudent or indiscreet act of their countrymen, and that, at the first appearance of any disrespect to the American authorities, I should arrest and confine them in the guard-house. This had the effect to check all excitement here; but as Don Pio removed up the country, the same excitement began to spread among the rancheros. In the mean time, his brother Andreas informed me that he, Don Pio, would come in and report to me in person in a few days, as soon as he had recovered from the fatigue of his journey. On Saturday, the 15th instant, he reached the ranch of an Englishman named Workman, some eighteen miles from here. This man has ever been hostile to the American cause and interest, and is just the man to advise Pico not to come in and report to me.

On Sunday and Monday I was advised that many Californians had visited Pico at Workman's, and that the same story had been told them of his having returned to resume his gubernatorial functions, &c., and also that he should not report to me, but go direct to San Fernando, from whence he would communicate with you. The moment I became satisfied that he intended to adopt this course, I issued an order (copy inclosed) requiring him to report to me immediately in person. I sent my adjutant with a detachment of men to the ranch of Workman to deliver to Don Pio in person a copy of this order, with instructions to bring him in by force, in case he refused or even hesitated to obey. The adjutant returned here at twelve o'clock on Monday with information that the Don had left for San Fernando. I immediately despatched Lieutenant Davidson with a detachment of dragoons and a copy of the order, with instructions similar to those given Adjutant Bonnycastle. About five o'clock on Tuesday morning I received a visit from a gentleman named Reed, living at the mission of San Gabriel, who informed me that Don Pio Pico had arrived at his house quite late in the evening of Monday, on his way to San Fernando. Reed inquired if he did not intend reporting to me in person; he answered in the negative; when Reed assured him, if he attempted to pass my post without reporting, I would cause him to be arrested, and that he was aware of my being displeased at his passing through San Diego without reporting to the commandant of that post. Don Pio Pico, upon receiving this information, became alarmed, and requested Reed to come in and see me, to say he intended no disrespect, and would come and report at any hour I would name. Reed is a highly respectable man, and has ever been friendly to the American cause; and I gave him a copy of the order I had issued in regard to Don Pio, requesting him to deliver it, and say to Don Pio, he could come in at any hour he chose, within twenty-four hours. Accordingly about eight P.M., the same evening, the ex-governor came in. He was unaccompanied even by a servant, evidently desiring it should not be known he was in town. I received him kindly, told him I had no desire to treat him harshly, but that the American authorities must be respected, and if he had not come in I should certainly have arrested him. He informed me that he left Guaynas on the 22d of May, crossed to Mulige, which he left for California on June third, and arrived at San Diego, July sixth. He says that when he left Guaynas nothing had been heard of the action of the Mexican Congress upon the treaty, but it was generally supposed it would be ratified. He says the Mexican government did not answer any of his communications; and the moment he saw the armistice published in a newspaper, he determined to return home, as he supposed he could return with credit, under the stipulations of the armistice. He brings with him no other authority for his return, and says he desires to live peaceably, and attend to his private affairs. He denies ever having said that he came back with powers to resume his gubernatorial functions, and that he rebuked such of his friends as he had seen for their last attempt at a revolution, and advises that they remain quiet and obey the laws, as no part of the people of the conquered Mexican territory have been treated as kindly as the Californians have been by the American authorities. He thanked me for my personal kindness to his family and countrymen in general, and said if I would permit him he would go to San Fernando, from whence he would answer that part of my order which required a written communication from him. I gave him permission to leave, and offered him an escort, which he thanked me for, but declined. Don Pio Pico is about five feet seven inches high, corpulent, very dark, with strongly-marked African features; he is, no doubt, an amiable, kind hearted man, who has ever been the tool of knaves; he does not appear to possess more intelligence than the rancheros generally do; he can sign his name, but I am informed he cannot write a connected letter; hence, as he informed me, he would be compelled to send for his former secretary before he could answer my order or communicate with you, which he advised me he intended doing. I have promised to take charge of and forward any communication he may choose to make you. He left town on Wednesday morning very early, as obscurely as he had entered it; and those who advised him to assume the bombastic tone he did upon his first arrival, have done him irreparable injury for he is now ridiculed by many who before entertained a high respect for him.

I have the honor to be, very respectfully, your obedient servant,

J. D. STEVENSON, Colonel 1st New York Regiment, commanding S. M. District.

Colonel R. B. Mason, 1st U. Dragoons, Governor of California.

P. S.—Since writing the above, I have received the inclosed note from Don Pio Pico, inclosing a communication to your excellency. In the note of Don Pio to me, you will perceive that he is no sooner arrived at San Fernando than he claims to have returned to California as its Mexican governor, to carry out the provisions of the armistice. I shall not answer his note until I have heard from you; but I shall keep an eye on him, and if I find he is preaching sedition, I will bring him in here at short notice.

J. D. STEVENSON, Colonel, commanding.

W. T. SHERMAN, First Lieutenant 3d Artillery, A.A.A. General.

Appendix K.

On the 13th of April, 1849, Colonel Mason at his own request, was relieved from the post of Governor of California, and Brigadier-General Riley took his place. The despatch of that officer, dated 30th of June, following his assuming the duties of his post, is important, as containing an account of the state of feeling in California, upon the subject of the laws at that time in force, and the difficulties with various assemblies elected in the northern part of the territories.

Executive Department of California,

Monterey, June 30, 1849.

General: I have the honor to transmit herewith copies of all civil correspondence and papers since the 13th of April last, at which time I relieved Colonel Mason from his duties as Governor of California.

It was (with the advice of Colonel Mason) my intention, on assuming the direction of civil affairs in this country, to complete the organization of the existing government; at the same time to call a convention for forming a State Constitution, or plan of territorial government, to be submitted to Congress for its approval. But on further consultation it was deemed best to postpone all action on this subject, until I could ascertain what had been done in Congress. On the first instant I received reliable information by the steamer "Edith" that that body had adjourned without organizing any territorial government for this country; and accordingly, on the 3d instant I issued my proclamation to the people of California, defining what was understood to be the legal position of affairs here, and pointing out the course it was deemed advisable to pursue in order to procure a new political organization better adapted to the character and present condition of the country. The course indicated in my proclamation will be adopted by the people, almost unanimously, and there is now little or no doubt that the convention will meet on the first of September next and form a State Constitution, to be submitted to Congress in the early part of the coming session.

A few prefer a territorial organization, but I think a majority will be in favor of a State government, so as to avoid all further difficulties respecting the question of slavery. This question will probably be submitted, together with the Constitution, to a direct vote of the people, in order that the wishes of the people of California may be clearly and fully expressed. Of course, the Constitution or plan of territorial government formed by this convention can have no legal force till approved by Congress.

On the receipt of the treaty of peace with Mexico, doubt was entertained by a portion of the people here respecting what constituted the legal government and laws of the country. A few contended that all government and all laws in California were at an end, and that therefore the people, in their sovereign capacity, might make such government and laws as they should deem proper. Accordingly, in two of the northern districts, local legislative assemblies were organized, and laws enacted for the government of the people of these districts. The members of the Sonoma assembly, however, soon became convinced of their error, and that body was dissolved. But in San Francisco the assembly continued its sessions, making laws, creating and filling offices, imposing and collecting taxes, without the authority and in violation of law, and finally went so far as to abolish the office of alcalde, whose records and papers were seized and forcibly removed from his custody. On receiving official information of these facts, I issued my proclamation of the 4th instant. Since then I have made a personal visit to San Francisco, and find that the more respectable members of the so-called district assembly are convinced of the impropriety of the course pursued by that body, and in a very short time I think all the difficulties will be amicably arranged. These difficulties arose in part from a misapprehension as to what constituted the legal government of the country, and in part from the unpopularity of the first alcalde of that district, against whom serious charges had been made. Unfortunately, there was at the time no legal tribunal for investigating these charges; and, there being no other magistrate in that district, I could not, with propriety, remove him from office. A new election, however, will soon be held to supply his place; and on the organization of the "superior court," the charges against him can be properly investigated.

The publication of a portion of the instructions received from Washington respecting the government of this country, and the disposition manifested by the authorities here to enforce the existing laws, have done much to remove the erroneous opinions which were for a time entertained by a portion of the people of California. The civil government of this country has been, and will continue to be, administered on the principle laid down by the Supreme Court of the United States, viz: on the transfer of the ceded territory, it has never been held that the relations of the inhabitants with each other undergo any change. Their relations with their former sovereign are dissolved, and new relations are created between them and the government which has acquired their territory. The mere act which transfers their country transfers the allegiance of those who remain in it; and the law which may be denominated political is necessarily changed, although that which regulates the intercourse and general conduct of individuals remains in force until altered by the newly-created power of the State.

The treaty is the law of the land, and admits the inhabitants of [California] to the enjoyment of the privileges, rights, and immunities of citizens of the United States. It is unnecessary to inquire whether this is not their condition, independent of stipulation. They do not, however, participate in political power; they do not share in the government till [California] shall become a State. In the mean time, [California] continues to be a territory of the United States, governed by virtue of that clause of the constitution which empowers Congress to make all needful rules and regulations respecting the territory and other property belonging to the United States.

When we take into consideration the great mass of floating population of the United States and of other countries—people of all nations, kindreds and tongues—which has been suddenly thrown into this country, it must be acknowledged that every thing has, thus far, remained remarkably quiet, and that the amount of crime has been much less than might, under the circumstances, have reasonably been expected. It is to be feared, however, that during the coming winter, when large numbers of the miners collect in the towns, public order may be occasionally disturbed. But it is believed that in the mean time a more complete organization of the existing government will be effected, so as to enable the authorities to enforce the laws with greater regularity and efficiency.

Rumors have reached me that there is no very amicable feeling existing between the Americans and foreigners in the gold regions, and that the former are disposed to forcibly expel the latter from the placer districts. I shall soon visit the valleys of the Sacramento and San Joaquin, and hope to be able to report upon the true state of affairs there by the August steamer. As Congress has declined passing any laws restricting the working of the placers, I shall not deem myself authorized to interfere in this matter, any further than may be necessary to preserve the public tranquillity. Indeed there is much reason to believe that Congress has pursued the best policy, under the circumstances, in leaving the placers open to all; for it would be exceedingly difficult to enforce any regulations not absolutely required by the necessity of the case, and it is more than probable that any attempt at this time to rent out the mineral lands, or to tax their products, would involve a great expense, and it is quite possible that such an attempt would lead to very serious difficulties. Of the large numbers who have been attracted to this country by the flattering prospect of sudden wealth, and with the intention of returning to their former homes to enjoy their gains, many foreigners as well as Americans are becoming established in business, and will make California their permanent place of residence. It is therefore well worthy of serious consideration whether the present system may not prove equally beneficial with that of a more exclusive policy. It certainly conduces much towards developing the resources of the country, extending its commerce, and rapidly augmenting its wealth and population. As soon as I have made a personal examination of the gold regions, I shall be prepared to express my views on this subject; but I cannot omit the present occasion to urge upon the government the importance of establishing a mint in California, with the least possible delay.

Information, not official, has been received, that the revenue laws of the United States have been extended over this country, and that a collector and deputies may soon be expected to take charge of the collection of revenue in this district. On their arrival, all custom-houses and custom-house property will be turned over to them, and the temporary collectors employed by my predecessor and by myself will be discharged. The moneys collected during and since the war, under the direction of the governor of California, and not required for defraying the expenses of the civil government, will be kept as a separate and distinct fund, subject to the disposition of Congress. The grounds upon which this revenue has been collected since the declaration of peace, are fully stated in a letter to the collector of San Francisco, dated the 24th of February last. It may be proper to add, that the course pursued by my predecessor was rendered absolutely necessary by the peculiar circumstances of the case. The wants of the country rendered it imperative upon him to permit the landing of foreign goods in this territory; and had this been done without the collection of duties, large amounts of dutiable goods would have been placed in depot on this coast, to the manifest injury of the revenue and prejudice to our own merchants. The importers have sold their goods at such prices as to cover the duties paid, and still leave them enormous profits; and to now return these duties to the importers would be a virtual gift, without in any way benefitting the people of California. But, to expend this money in objects of public utility in the country, would confer a lasting benefit upon all. I would therefore recommend that such portions of these moneys as may be left, after defraying the expenses of the existing civil government, be given to California as a "school fund," to be exclusively devoted to purposes of education. No difficulty has been experienced in enforcing the tariff of 1846, and the revenue has been collected at a very moderate expense, considering the peculiar circumstances of the times.

All officers of the civil government of California will be paid out of the "civil fund" arising from the customs, the salaries fixed by law, and I would recommend that those officers of the army and navy who have been employed as collectors and receivers of customs in California, both during and since the war, be allowed a fair per centage on the money which they have collected and disbursed. Two and a half per cent. on the amount collected, with the restriction contained in section 2 of the Act of March 3, 1849, is deemed a fair allowance for collecting these customs, and two and a half per cent. on the amount actually expended is deemed ample compensation for keeping and accounting for the same. It would be more just and proper to make the allowance for the actual expenditures than for receiving and keeping these moneys; because, if the reversed rule were established, officers who have received large sums, and within a few days transferred them to others, with no other trouble than merely passing receipts, would be entitled to a higher pay than those who have had all the trouble of expending this money in small sums, and in keeping and rendering accounts of these expenditures.

As soon as these "civil funds" can be collected from the officers now holding them, it is proposed to place them in the hands of some officer, or other responsible person, who will act as treasurer for the civil government, with a fixed compensation for his services. On the arrival of the regular collector and deputies, appointed according to law, a full statement will be made of all the moneys which have been collected in California, and the papers and accounts connected with the expenditure of this civil fund will be sent to Washington, as heretofore, in order that all officers who shall receive or expend the same may be held to a strict accountability.

I am, sir, very respectfully, your obedient servant,

B. RILEY, Brevet Brig. Gen. U.S.A., and Governor of California.

Major-General R. Jones, Adjutant General of the Army, Washington, D.C.

Appendix L.

Governor Riley took occasion to make an excursion through the gold regions, soon after his affairs with the assemblies were disposed of. A reconnoisance of the valleys of the Sacramento and San Joaquin was made, and particular care given to the matter of establishing military posts for defending the miners and others from the attacks of the Indians. After his return to Monterey, the following despatch was sent to the headquarters of the United States army. The subject of the Indian troubles receives especial consideration.

Headquarters Tenth Military Department,

Monterey, California, August 30, 1849.

Colonel: I found, on my return to this place from a reconnoissance of a portion of the valleys of San Joaquin and Sacramento Rivers, general orders No. 1 from the headquarters of the army; and, as I cannot have copied in season for transmission by the steamer of the 1st proximo the military correspondence at these headquarters, I respectfully submit, for the information of the commander-in-chief, a brief summary of reports heretofore made in relation to military affairs in this department.

My attention was directed, on my arrival in this country, to the unparalleled excitement in relation to the mineral regions; the imminent danger that our troops, as they arrived, would desert to the "placers," and, instead of giving protection to the parties, and aid in the preservation of order and tranquillity, would themselves become the very worst element of disorder; the great extent of Indian frontier to be guarded, and the difficulties then apprehended from the unsettled state of affairs in the mining districts. An attentive consideration of these subjects impressed me with the opinion that the policy most likely to prove advantageous to the service, would be the concentration of all the troops serving in this department, except the necessary guards for the depots at one or more points in the immediate vicinity of the gold regions, from whence a portion of them might be permitted to visit the placers for the purpose of working them for their own benefit—the remainder to be held embodied in a proper state of discipline, in readiness for any emergency that might occur. After the expiration of the furlough of the first class, a second class to be furloughed, and so in succession with the remainder; the troops stationed at points so distant from the mines, that they could not be furloughed, to be relieved by exchange with commands that have been more favorably situated. The practice of granting furloughs, adopted at some of the posts in this country, with the sanction of the former department commander, had succeeded well, and the information received about the time of my arrival from the southern part of this department confirmed me in the opinion previously entertained, that the mania for gold-hunting would exist, in its most exaggerated form, at points most remote from the placers. I accordingly, immediately after relieving Colonel Mason in the command of the department, recommended the adoption of the policy above indicated. It is a matter of regret, that the emergencies of the service have been such that it could not be carried out to the extent recommended; for the experience of the past four months has convinced me that it is the only course that can be adopted, with reasonable hope of success, until the state of affairs in this country is materially changed. In addition to the mere question of expediency, Indian difficulties that were then occurring, and the threatening danger of a proximate collision between the different classes at work in the gold region, made it highly important that a strong military force should be established in the immediate vicinity of the mining region.

For the disposition of the troops in the department, and the measures taken to prevent desertions, &c., I respectfully refer to department order and special orders forwarded to you by this mail. These furnish you with a history of the operations in the department since my assumption of the command. The present disposition of the troops is the same as indicated in orders No. 16, except that company A, 2d infantry, re-inforced by details from other companies—in all, four officers and eighty men—has been detached, under instructions from the commander of the division, as an escort for Captain Warner, topographical engineers, and company E, 1st dragoons, when en route for the station, was diverted from that route, for the purpose of securing the perpetrators of some murders committed by Indians on or near Los Reyes River.

The difficulties apprehended from a collision between the different classes of the mining population have not yet occurred in the form which it was feared they would assume, and at present I do not apprehend any serious difficulty from that source. Some serious Indian disturbances have occurred on the American fork of the Sacramento, and a few isolated murders have occurred at other points; but at the date of the last report from the frontier, every thing was quiet. The Indians of the Sierra Nevada, although in a great number, are of a degraded class, and are divided into so many different tribes, or rancherias, speaking different languages, that any combination on their part is scarcely to be apprehended. Their depredations heretofore have been confined generally to horse-stealing, and only occasionally have murders been committed by them. These, however, have been made the pretence, by the whites in their neighborhood, for the commission of outrages of the most aggravated character—in one or two cases involving in an indiscriminate massacre the wild Indians of the Sierra and the tame Indians of the ranchos. The commanders of detachments serving on the Indian frontiers are instructed to prevent any authorized interference with the Indians by the whites, and to support the Indian agents of their districts in the exercise of their appropriate duties. From the character of the mining population, and the nature of their occupations, unless a strong military force be maintained on that frontier, it will be impossible to prevent the commission of outrages upon the Indians; and they, in turn, will be avenged by murders committed upon isolated parties of whites. Unfortunately, the eagerness with which gold is sought after by detached parties of miners, gives many opportunities for the commission of such outrages. To seek after and apprehend the perpetrators in cases of this kind, a mounted force is absolutely necessary; and, although great difficulty will be experienced in obtaining forage and replacing horses that may be disabled, its services are so indispensably necessary, that I greatly regret my inability to supply more than one company on the Indian frontier until after the company now on duty with the commissioner of the boundary survey is relieved.

I have heretofore called the attention of the War Department and the division commander to the insufficiency of the force assigned to this department by general order No. 49 of 1848. As it may not be possible, with the present military establishment, to order any additional force to this country without the action of Congress, I respectfully invite the attention of the commanding general to the views heretofore expressed on this subject. A topographical sketch of a portion of this department is herewith inclosed, upon which I have indicated the positions or neighborhoods in which I deem it important that troops should be established. The amount and character of the force required in my report to division headquarters, of June 11, is also inclosed.

The embarrassments under which the service has labored will be so readily appreciated at home, that it is unnecessary to refer to them here except to say that, great as these embarrassments have been, they have been greatly increased by the want of line and staff officers.

GOING TO A FANDANGO.

In consequence of the extraordinary prices of labor, and the consequent enormous expenditures in this country, young officers of the line should not be, in justice to the service and themselves, as they have unnecessarily been, encumbered, in addition to their company duties, with money and property responsibilities to a very great amount. Experienced officers of the quartermaster's department are required at San Francisco, San Diego, and with the commands on the upper Sacramento and San Joaquin Rivers. I have now but one officer, Captain Kane, of that department, under my control; and he is necessarily detained at department headquarters in the preparation of my estimates for the services of the ensuing year. Quarters must soon be erected at several of the posts in this department; and I cannot spare line officers for this duty, without destroying their efficiency with their companies, even were it proper to do so. There are no topographical engineers on duty in this department, and, in consequence of the want, I have been able to perform very little of the duty devolved upon me by the 111th paragraph general orders No. 49, of 1848. A reconnoissance of a portion of the valleys of the Sacramento and San Joaquin Rivers, undertaken for the purpose of determining the position to be occupied, as recommended in my report to division headquarters of April 16, to the War Department of the 25th of the same month, has strengthened my opinion of the importance of giving the country a most thorough examination before any military posts are permanently located in the interior. The whole district of country lying between the coast range and the Sierra Nevada is exceedingly sickly at certain seasons of the year. The common timber of the country (oak) is not fit for building purposes; and I was greatly disappointed in finding that south of the Sacramento River, pine fit for lumber exists only on the spur of the mountains in small quantities, and in places difficult of access. Stone, as a building material is scarce; and at several of the points where it may be desirable to establish military posts, grain for forage is out of the question, and grass can only be found in exceedingly limited quantities. I expressed a hope in my despatches to the War Department of June 30, that I would be able to make an examination of the country along the western slope of the Sierra Nevada, from the source of the San Joaquin to the southern boundary of California; but the season is now so far advanced that I fear I shall not be able to accomplish more than the determination of a position to be occupied in the neighborhood of Los Reyes River. It is of great importance that this point should be determined as soon as possible; for the new discoveries of gold constantly being made in that direction, are attracting thither a large portion of the mining population. The rapidly increasing population of the northern placers is gradually forcing the Indians to the south, and congregating them on the waters of the Lake Buena Vista, (Tula.) This position should be occupied, if possible, before the miners have become established in Los Reyes and the neighboring rivers; and the necessary examinations and arrangements will be made as soon as it is possible to do so.

Since my application (April 25) for officers of the quartermaster's department was made, two officers of that corps, Majors Allen and Fitzgerald, whom I had supposed would be available for duty in this department, have been permanently separated from it; and the number then applied for should be increased by two.

Two of the medical officers in this department are now prostrated by disease; and as their places cannot be supplied here, there should be at least three in this department, in addition to those actually required for duty at the different posts in the department, to meet emergencies of this kind.

The ordnance depots at Monterey and San Francisco are under the charge of military store-keepers. It is important, for the preservation of this property in a serviceable condition, that they should be under the supervision of an experienced ordnance officer.

With the exception of the assistant quartermaster above referred to, the officers above enumerated have heretofore been applied for; but as none have been reported to me, I will state in detail what officers are absolutely required with this command:

Four officers of the quartermaster's department in addition to Captain Kane now on duty here:

Two topographical engineers:

Three additional medical officers:

One officer of the ordnance department:

One officer of the subsistence department.

The irregular communication with some of the interior posts, creates a good deal of embarrassment by delaying the department returns. In consequence of this I am unable to furnish a later return than for June. The transport Mary and Adeline, with companies A and F, 2d infantry, reached San Francisco on the 8th ultimo. The detachment of dragoons, on their march to the department with the collector of this district and the Arkansas emigrants, have not yet arrived. During the months of July and August, so far as reports have been received, there were but few desertions, except from the company detailed for the escort of Captain Warner, topographical engineers; thirty-four men, more than half the whole number reported, have deserted from this company. The entire force in the department at this time does not probably exceed six hundred and fifty, (aggregate;) and consequently more than four hundred recruits are now required to fill up these companies to the standard authorized for this department.

A detailed report of my reconnoissance in the valleys of the San Joaquin and Sacramento will be forwarded by the next steamer. I have delayed it in order to embody in it information in regard to the country in the neighborhood of the Tula, which I am in the daily expectation of receiving.

The want of company officers is very much felt; and I request that authority may be given me to break up the companies whose captains are permanently absent, transferring the officers to other companies, as their services may be needed.

I have the honor to be, very respectfully, colonel, your obedient servant,

B. RILEY, Brevet Brigadier-General U.S. Army, commanding.

Lieut.Col. W. G. Freeman, Assistant Adjutant General U.S. Army, Headquarters of the Army, New York.

Appendix M.

In the early part of 1848, Lieut. H. W. Halleck, of the Engineers, was ordered to make a reconnoisance of the coast of Lower California, with reference to the location of works of military defence. In his report to Colonel Mason, after giving a general description of the coast and harbors, and proposing a system of military defence, he submits some remarks upon the commercial and military importance of the peninsula. The whole report is interesting, and furnishes the most correct information upon the subject of the reconnoisance. It will form an interesting conclusion to a work which has been principally devoted to a description and history of Upper California.

La Paz, April 12, 1848.

Sir: In compliance with the instructions of the commanding general of the department to make a "reconnoisance of the coast of California, with reference to the location of works of military defence," I reported in my last upon so much as relates to the upper province, and I now submit a few remarks on the military defence of the peninsula of Lower California.

I. General description of the coast and harbors.—The principal ports of the coast of Lower California, visited by whaling and merchant vessels, are San Quintin, Magdalena, San Jose, La Paz, Escondido (near Loreto), and Mulige.—There are some other points which vessels occasionally touch for supplies and at trade, but they are comparatively of little commercial or military importance. The port of San Quintin, in latitude thirty degrees twenty-three minutes, is represented as affording a secure anchorage for vessels of every description, and to be sufficiently commodious for the reception of a numerous fleet. The extensive bay of Magdalena has acquired considerable notoriety from its being resorted to every winter by large numbers of whaling vessels. Its size gives it the character of an inland sea, its waters being navigable for the distance of more than a hundred miles. It furnishes several places of safe and commodious anchorage. The bay of San Jose, near Cape Saint Lucas, is much frequented by coasting vessels, and occasionally visited by whalers and men-of-war. Being the outlet of a fertile valley, extending some forty or fifty miles into the interior, it is probably the best place in the peninsula for supplying shipping with water and fresh provisions. It is, however, a mere roadstead, affording no protection whatever during the season of southeasters.

La Paz is the seat of government and the principal port of Lower California, and its extensive bay affords excellent places of anchorage for vessels of any size, and is sufficiently commodious for the most numerous fleets. The principal pearl fisheries are in this immediate vicinity, and also the most valuable mining districts. It is the outlet of the fertile valley of the Todos Santos, and of the produce of the whole country between Santiago and Loreto. The cove or estero, opposite the town of La Paz, furnishes spacious and safe anchorage, which may be reached by vessels drawing not more than eighteen or twenty feet of water; and the cove of Pichilingue, at the south-eastern extremity of the bay, and about six miles from the town, affords an excellent anchorage for vessels of any size; but the inner bay can be reached only by small merchant vessels. The bar, however, between the two is only a few yards in extent; and if the importance of the place should ever justify it, the channel might be made deeper without difficulty or great expense. The adjacent country being barren and mountainous, and the roads to the interior exceedingly difficult, this place can never be the outlet of much agricultural produce. But as the island of Carmen, nearly opposite the entrance to this bay, contains an almost inexhaustible supply of salt, very easy of access, it is possible that the trade in this article may eventually give considerable importance to the port of Escondido.

The bay of Mulige contains several places of anchorage, but none of them are deemed safe for large vessels, or even from small vessels, at all seasons of the year. There are also several other parts in the gulf farther north which are occasionally visited by coasting vessels, but it is not known that any of them are likely to be of much commercial importance.

II. Proposed system of defence.—It is not supposed that, under existing circumstances, any military post will be necessary on the western coast of the peninsula; nor is it probable that, for many years, any place there will become of sufficient importance to justify the construction of military works for its defence. It is true that the whale fishery on this coast has become, from the amount of shipping engaged in it, an object of the highest consideration; but our having ports of refuge at San Francisco or San Diego, and at La Paz, strong enough to resist a naval coup de main, will, it is believed, afford sufficient security to these whalers in case of a war with a maritime power.

On our arrival here in October last, it was deemed desirable to establish a small military post at San Jose, for the double purpose of giving protection to the friendly inhabitants against a band of Mexican freebooters who had crossed the gulf from Guaynas to Mulige and Loreto, and of preventing the further introduction of men and munitions from the opposite coast. The old mission building was found well adapted to the purpose in view, and with a few repairs and improvements served as an admirable protection for the little garrison in the several attacks which it afterwards sustained from greatly superior forces. It will probably be necessary to continue this post during the war with Mexico, or at least so long as there is any danger of the enemy's sending troops from the opposite coast to again disturb the tranquillity of the peninsula; but it is not deemed advisable to establish at this place any works of permanent defence, the character of the port not being such as to warrant expenditures for this purpose. The defences of the cuartel or mission building are deemed sufficient for all purposes of temporary occupation.

Should the war with Mexico continue, and the naval forces be again withdrawn from the gulf, it may be necessary to establish temporarily a small military post at Mulige; but no permanent garrison will be required either at that place or Escondido, unless, perhaps, hereafter the commercial importance of the latter port should justify such a measure.

La Paz is, therefore, the only port in Lower California which it will be necessary, for the present, to occupy with a permanent military force, or to secure by means of fortifications. For temporary purposes, the site of the old cuartel is well suited for the construction of defensive barracks, inasmuch as it commands the town, and may readily be secured against an attack from the side. The buildings at present occupied as barracks are not judiciously located. A permanent work on Punta Colorada will completely close the entrance to Pichilingue cove, and its heavy guns will reach the entrance to the channel of La Paz; but to give the requisite security to the latter, a small battery will be necessary on Punta Prieta. The topographical features of both these points are favorable for the construction of small fortifications: Stone of good quality for building purposes is found in the immediate vicinity, and good lime may be procured at the distance of only a few miles. Quarries have been opened in the "Calaveras," and the stone, though soft and easily worked, is found to be in this climate of a very durable character. La Paz is not difficult to defend against a naval attack, and the proposed fortifications may be constructed in a short time and without a very large expenditure of money. The commercial character of the place, its military importance as connected with the defence of the peninsula, its great value as a naval depôt and port of refuge for our commercial and military marine in case of war with any naval power, will, it is believed, fully justify the expenditures necessary for securing this port against a maritime attack.

III. Commercial and military importance of Lower California.—Thus far in my report I have proceeded on the supposition that it is the intention of our government to retain the whole of California in any treaty of peace with Mexico; but doubts have recently been expressed on the policy of retaining this peninsula, on account of its being of little or no value to the United States. As the guerrilla forces which were sent over from Mexico the past summer, during the absence of our squadron from this coast, to regain possession of Lower California, and force the inhabitants to their allegiance to the Mexican government, have been defeated and completely dispersed, leaving our own troops in undisputed possession of the territory, nothing but a conviction of the utter worthlessness of the country could now induce our government to consent to its abandonment. On this subject I beg leave to add a few remarks:

The peninsula of California lies between twenty-two degrees fifty minutes and thirty-two degrees thirty minutes north latitude, being about seven hundred miles in length, and varying from fifty to one hundred miles in breadth. An irregular chain or broken ridge of mountains extend from Cape St. Lucas to the frontiers of Upper California, with spurs running off on each side to the gulf and ocean. Between these spurs are numerous broad plains covered with stunted trees, and during the rainy months with a thin but nutricious grass. In the dry season this grass is parched up like hay, but from its nutricious character it affords abundant food for the herds of cattle and horses which constitute the principal wealth of rancheros. The dryness of the soil prevent the growth of trees of any considerable magnitude, except on the borders of a few mountain streams. This timber, though far from being plentiful, is exceedingly durable and much esteemed in ship-building. The greatest height of the mountains is estimated five thousand feet; many of them are piles of mere broken rocks, while others are covered with grass, shrubbery, and small trees. The plains are sandy and mostly unproductive—not, however, from any natural barrenness in the soil, but from a deficiency of water. There are but few durable streams in the whole country, and streams of good water are extremely scarce. But in the plains and most of the dry beds of rivers water can be obtained by digging wells only a few feet in depth; and wherever irrigation has been resorted to by means of these wells, the produce of the soil, from its remarkable fertility, has abundantly rewarded the labor of the agriculturist. Much of this soil is of volcanic origin, having been washed from the mountains by the action of heavy rains, and the produce extracted by means of irrigation from these apparently barren and unprolific sands is something most marvellous. The general aspect of the country on the coast is exceedingly barren and forbidding, but I have seen no instance where the soil is properly cultivated that the labor bestowed on it is not well rewarded. The growth of vegetation is exceedingly rapid, and the soil and climate are such as to produce nearly all the tropical fruits in great perfection. But the inhabitants are disinclined to agriculture, and most of them live indolent and roving lives, subsisting principally upon their herds. Notwithstanding the unfavorable character of the country, it is capable, in the hands of an industrious and agricultural people, of supporting a population much more numerous than the present. In the time of the missions, when very small portions of the soil were cultivated, and even these but rudely, by the Indians, the four districts of San Jose, Santiago, San Antonio, and Todos Santos contained a population of thirty-five thousand souls, whereas, the present population of the same districts is only seven thousand.

SACRAMENTO CITY.

The agricultural products of Lower California are maize, sugar-cane, potatoes, dates, figs, grapes, quinces, lemons, and olives. A considerable quantity of hides, beef, cheese, soap, sugar, figs, raisins, &c., is annually exported to Mexico and Upper California, flour and merchandise being received in exchange. The vegetable market of Mazatlan is also in part supplied from the valley of San José.

ONE OF THE OLD SPANISH HOUSES, SAN FRANCISCO.

But the value of Lower California does not result from its being either a grazing or agricultural country. Its fisheries, mines, commerce, and the influence of its geographical position, are matters of much higher importance than its agricultural productions.

The whole coast of the peninsula abounds with fish; clams and oysters are found in great plenty and of every variety. The islands of the gulf abound with seal, and the whaling grounds on the Pacific coast are of great value. During the past year Magdalena bay alone has, at one time, contained as many as twenty-eight sail, all engaged in this fishery. The pearl fishery is also exceedingly valuable. Formerly, when it was conducted with system and regularity, the annual produce of a single vessel with thirty or forty divers, between the months of July and October, usually amounted to about $60,000; and now, badly as the fishery is conducted, the annual exportation of pearls amounts to between forty and fifty thousand dollars. Tortoise and pearl shells are also articles of exportation.

Lower California contains valuable mines of gold, silver, copper, and lead; but, for the want of capital, very few of these are worked, and this in the rudest manner possible. Nevertheless, the labor expended on them is well rewarded; and there can be no doubt that with capital and suitable means they would yield very handsome profits. The salt mines on Carmen island are capable of supplying the whole coast of Mexico and California; already the duties on this article amount to a considerable sum.