The country on either side of Weber's creek is much broken up by hills, and is intersected in every direction by small streams or ravines, which contain more or less gold. Those that have been worked are barely scratched; and although thousands of ounces have been carried away, I do not consider that a serious impression has been made upon the whole. Every day was developing new and richer deposits; and the only impression seemed to be, that the metal would be found in such abundance as seriously to depreciate in value.
On the 8th of July I returned to the lower mines, and on the following day to Sutter's, where, on the 19th. I was making preparations for a visit to the Feather, Yubah, and Bear rivers, when I received a letter from Commander A. R. Long, United States Navy, who had just arrived at San Francisco from Mazatlan, with a crew for the sloop-of-war Warren, with orders to take that vessel to the squadron at La Paz. Capt. Long wrote to me that the Mexican Congress had adjourned without ratifying the treaty of peace, that he had letters from Commodore Jones, and that his orders were to sail with the Warren on or before the 20th of July. In consequence of this I determined to return to Monterey, and accordingly arrived here on the 17th of July. Before leaving Sutter's I satisfied myself that gold existed in the bed of the Feather river, in the Yubah and Bear, and in many of the smaller streams that lie between the latter and the American fork; also that it had been found in the Cosummes to the south of the American fork. In each of these streams, the gold is found in small scales, whereas in the intervening mountains it occurs in coarser lumps.
Mr. Sinclair, whose rancho is three miles above Sutter's on the north side of the American, employs about fifty Indians on the north fork, not far from its junction with the main stream. He had been engaged about five weeks when I saw him, and up to that time his Indians had used simply closely woven willow baskets. His nett proceeds (which I saw) were about $16,000 worth of gold. He showed me the proceeds of his last week's work-- fourteen pounds avoirdupois of clean-washed gold.
The principal store at Sutter's Fort, that of Brannan & Co., had received in payment for goods $36,000 (worth of this gold) from the 1st of May to the 10th of July. Other merchants had also made extensive sales. Large quantities of goods were daily sent forward to the mines, as the Indians, heretofore so poor and degraded, have suddenly become consumers of the luxuries of life. I before mentioned that the greater part of the farmers and rancheros had abandoned their fields to go to the mines. This is not the case with Capt. Sutter, who was carefully gathering his wheat, estimated at 40,000 bushels. Flour is already worth at Sutter's $36 a barrel, and soon will be fifty. Unless large quantities of breadstuffs reach the country, much suffering will occur; but as each man is now able to pay a large price, it is believed the merchants will bring from Chili and Oregon a plentiful supply for the coming winter.
The most moderate estimate I could obtain from men acquainted with the subject, was, that upwards of four thousand men were working in the gold district, of whom more than one-half were Indians; and that from $30,000 to $50,000 worth of gold, if not more, was daily obtained. The entire gold district, with very few exceptions of grants made some years ago by the Mexican authorities, is on land belonging to the United States. It was a matter of serious reflection with me, how I could secure to the Government certain rents and fees for the privilege of procuring this gold; but upon considering the large extent of country, the character of the people engaged, and the small scattered force at my command, I resolved not to interfere but to permit all to work freely, unless broils and crimes should call for interferance. I was surprised to learn that crime of any kind was very unfrequent, and that no thefts or robberies had been committed in the gold district.
All live in tents, in bush arbors, or in the open air; and men have frequently about their persons thousands of dollars worth of this gold, and it was to me a matter of surprise that so peaceful and quiet state of things should continue to exist. Conflicting claims to particular spots of ground may cause collisions, but they will be rare, as the extent of country is so great, and the gold so abundant, that for the present there is room enough for all. Still the Government is entitled to rents for this land, and immediate steps should be devised to collect them, for the longer it is delayed the more difficult it will become. One plan I would suggest is, to send out from the United States surveyors with high salaries, bound to serve specified periods.
A superintendent to be appointed at Sutter's Fort, with power to grant licenses to work a spot of ground--say 100 yards square--for one year, at a rent of from 100 to 1,000 dollars, at his discretion; the surveyors to measure the ground, and place the rentor in possession.
A better plan, however, will be to have the district surveyed and sold at public auction to the highest bidder, in small parcels--say from 20 to 40 acres. In either case, there will be many intruders, whom for years it will be almost impossible to exclude.
The discovery of these vast deposits of gold has entirely changed the character of Upper California. Its people, before engaged in cultivating their small patches of ground, and guarding their herds of cattle and, horses, have all gone to the mines, or are on their way thither. Laborers of every trade have left their work benches, and tradesmen their shops. Sailors desert their ships as fast as they arrive on the coast, and several vessels have gone to sea with hardly enough hands to spread a sail. Two or three are now at anchor in San Francisco with no crew on board. Many desertions, too, have taken place from the garrisons within the influence of these mines; twenty-six soldiers have deserted from the post of Sonoma, twenty-four from that of San Francisco, and twenty-four from Monterey. For a few days the evil appeared so threatening, that great danger existed that the garrisons would leave in a body; and I refer you to my orders of the 25th of July, to show the steps adopted to met this contingency. I shall spare no exertions to apprehend and punish deserters, but I believe no time in the history of our country has presented such temptations to desert as now exist in California.
The danger of apprehension is small, and the prospect of high wages certain; pay and bounties are trifles, as laboring men at the mines can now earn in one day more than double a soldier's pay and allowances for a month, and even the pay of a lieutenant or captain cannot hire a servant. A carpenter or mechanic would not listen to an offer of less than fifteen or twenty dollars a day. Could any combination of affairs try a man's fidelity more than this? I really think some extraordinary mark of favor should be given to those soldiers who remain faithful to their flag throughout this tempting crisis. No officer can now live in California on his pay, money has so little value; the prices of necessary articles of clothing and subsistence are so exorbitant and labor so high, that to hire a cook or servant has become an impossibility, save to those who are earning from thirty to fifty dollars a day. This state of things cannot last for ever. Yet from the geographical position of California, and the new character it has assumed as a mining country, prices of labor will always be high, and will hold out temptations to desert. I therefore have to report, if the Government wish to prevent desertions here on the part of men, and to secure zeal on the part of officers, their pay must be increased very materially. Soldiers, both of the volunteers and regular service, discharged in this country, should be permitted at once to locate their land warrants in the gold district.