This evil calls for an immediate remedy, which will be afforded, so far as the means at my disposal will admit.
I beg leave, in this place, to add a few remarks on the use which has been, and will continue to be, made of this "civil fund."
In the instructions from Washington to General Kearny, in 1846, for his guidance in California, the establishment of port regulations on this coast was assigned to the commander of the Pacific squadron, while it was said "the appointment of temporary collectors at the several ports appertains to the civil governor of the province."
It was also directed that the duties at the custom-houses be used for the support of the necessary officers of the civil government. This division of duties, and this disposition of the proceeds of the customs were continued during the whole war.
On the receipt of the Treasury Department regulations respecting the collection of military contributions in Mexico, officers of the army and navy were made collectors at some of the ports, but at others the civil collectors appointed by the Governor of California were retained.
At the close of the war, Governor Mason, for reasons already communicated, determined to continue the collection of revenue in the country, on the authority which had previously been given to him, until Congress should act in the matter, or orders to the contrary be received from Washington. He, therefore, as governor of California, again appointed civil collectors in the ports where military officers had temporarily performed those duties, and collected the customs on all foreign goods, in accordance with the provisions of the tariff of 1846, while the commander of the Pacific squadron continued the direction of all matters relating to port regulations. A double necessity impelled the governor to this course. The country was in pressing need of these foreign goods, and Congress had established no port of entry on this coast. The want of a more complete organization of the existing civil government was daily increasing, and, as Congress had made no provisions for supporting a government in this country, it was absolutely necessary to create a fund for that purpose from the duties collected on these foreign goods. It is true that there were no laws authorizing the collection of these duties; but at the same time the laws forbade the landing of the goods till the duties were paid. Governor Mason, therefore, had no alternative but to pursue the course which he adopted. He immediately communicated to Washington his action in the case; and as the receipt of his despatch was acknowledged without any dissent being expressed, it must be presumed that his course met the approbation of the government. When I assumed command in this country as civil governor, I was directed to receive these communications and instructions from Governor Mason, for my guidance in the administration of the civil affairs of this Territory. I have accordingly continued the collection of the revenue, and added the proceeds to the "civil fund," using that fund for the necessary expenses of the civil government. The expenses of employing civil officers in this country are very great; and as I have no authority to lay taxes, this fund forms my only means of carrying on the government. The necessity of employing these officers, and of paying them the full salaries authorized by law under the existing state of affairs, is too obvious to require comment. I have pledged myself to pay these salaries from the "civil fund," unless forbidden to do so by direct orders from Washington; and that pledge will be fulfilled. This "civil fund" was commenced in the early part of 1847, and has been formed and used in the manner pointed out in the early instructions to the governor of the Territory. This money has been collected and disbursed by the "Governor of California" and by those appointed by him in virtue of his office. He is, therefore, the person responsible for this money, both to the government and to the parties from whom it is collected, and it can be expended only on his orders. None of the military departments of the army, nor any army officer simply in virtue of his commission, can have any control, direct or indirect, over it. It is true that some of this money has, from time to time, as the wants of the service required, been transferred to the different military departments; but this transfer was in the form of a loan, and the money so transferred will be returned to the "civil fund" as soon as arrangements can be made for that purpose. The increased expenditures for the support of the existing government will soon render the restoration absolutely necessary; especially as the transfer of the custom-houses to the regular collectors appointed by the general government, will now cut off all further means of supplying the civil treasury. These collectors have not yet arrived, but are daily expected.
Very respectfully, your obedient servant,
BENNET RILEY,
Brevet Brig. Gen. U.S. Army,
and Governor of California.
Major-General R. Jones,
Adjutant-General of the Army, Washington, D.C.