MESSAGE
of
The President of the United States,

Communicating

The report of the Director of the Mint, showing the operations of the mint and branch mints during the year 1850.

. . . . . . . .

February 4, 1851.

Referred to the Committee on Finance, and ordered to be printed.

. . . . . . . .

To the Senate of the United States:

I transmit herewith the annual report of the director of the mint at Philadelphia, showing the operations of the mint and branch mints for the year 1850.

MILLARD FILLMORE.

WASHINGTON, January 30, 1851.

. . . . . . . .

MINT OF THE UNITED STATES,
January 27, 1851.

SIR: In compliance with the 2d section of the mint act of January 18, 1837, I have the honor to make a report to you of the operations of the mint and branch mints during the past year.

The coinage of the principal mint in 1850 amounted to $27,756,445½ in gold, $409,600 in silver, and $44,467½ in copper coins, and was composed of 10,039,535 pieces. The deposites for coinage amounted to $33,149,858 in gold, and $633,628 in silver.

The coinage at the New Orleans branch mint amounted to $3,619,000 in gold, and $1,456,500 in silver coins, composed of 4,404,500 pieces. The deposites were $4,647,315 in gold, and $1,305,413 in silver.

The coinage at Charlotte amounted to $347,791 in gold, composed of 79,705 pieces. The deposites were $320,289 in gold.

The coinage at Dahlonega amounted to $258,502 in gold, composed of 64,480 pieces. The deposites amounted to $247,698 in gold.

The coinage at the four mints was $33,892,306, comprising $31,981,738½ in gold, $1,866,100 in silver, and $44,467½ in copper coins, and composed of 14,588,220 pieces. The total deposites were $40,304,201; of which $38,365,160 were in gold, and $1,939,041 in silver.

I refer you to certain tables, which are annexed to this report, for statistics relating to the operations of the mint in the past and former years. Table A exhibits, in detail, the deposites and coinage during the past year. Table B exhibits details of the coinage from the organization of the several mints. Table C shows the total deposites of gold bullion of United States production, together with the sources whence they were derived.

From these tables it may be perceived that the operations of the mints during the past year have been unprecedented in our history. The largest coinages before executed were in 1847 and in 1843 - the total amount at all the mints being, in the former year, $22,657,672; in the latter year $11,967,830. But the coinage of 1850 exceeded that of 1847 by over $11,000,000, and was nearly three times that of 1843. At the Philadelphia mint the coinage of the past year was nearly twice that of 1847, and over four times that of 1843.

The increase in the proportion of our gold to our silver deposites, and the enormous amount of the former, derived from the mines of the United States, are deserving of especial notice. Of the bullion received the silver comprised less than a twentieth part of the whole value; and even of this small proportion as much as one-eighth was derived by separation from the California gold. Of the deposites of gold received, only about one thirty fifth part was in foreign coins or bullion. The remainder, amounting to $36,938,314, was of United States production, of which $36,273,097 were from California. The entire receipts from that source, from the discovery of the mines to the close of 1850, were $42,469,758.

A comparison of the deposites and coinage of gold at the Philadelphia and New Orleans mints exhibits large uncoined balances at the close of the past year; the amounts being, at Philadelphia $5,393,413, at New Orleans $1,028,315. I feel it to be my duty to present a brief and very general explanation of the causes to which this circumstance is to be attributed.

Prior to the discovery of the California mines, the deposites at this and the New Orleans mint were almost entirely in foreign coins, which, being already refined, were fit to pass into ingots for coinage, without other preparation than a proper admixture to bring them to our own standard. The apparatus and coining arrangements were quite ample for converting into our own money any probable amount of deposites of this character.

California gold, however, contains a large proportion of silver, above one-ninth of the mass being in that metal. This is much more than we are allowed by law to leave in the gold coin as alloy. A separation of the superfluous silver, therefore, became necessary.

This department of labor, although it forms, generally, in other countries, no part of the functions of their mints, has been made obligatory upon the mints of our own country. Separating (or refining) departments had accordingly been organized upon a scale quite moderate, indeed; but much more than sufficient for all the business of that kind prior to the influx of the California gold.

The refinery of the Philadelphia mint at the close of 1848, when the first deposites from California were received, was capable of separating about $100,000 per month of argentiferous gold bullion. Since then, the amount of that bullion received has gone on increasing, month by month, until it reached the sum of $4,600,000 in December last.

To meet the demands thus made upon us very extensive enlargements became necessary and have been effected, in the refining department of the mint. By arrangements now on the point of completion, the capacity of this establishment for refining will have reached to from six to seven millions of dollars per month, by the separating process now in use.

This large increase of power has not been attained without many necessary delays and interruptions in the progress of our work, while the stream of our deposites was constantly on the rise; so that, although the changes indicated were prosecuted with the greatest energy, we have not been able to avert the accumulation of the large uncoined balance to which I have referred.

I see no reason to doubt, however, that, with the means now at our disposal, and such further enlargements as are in our power, the mint will be enabled in a few months both to free itself from the debt now accumulated, and to secure prompt payment of all future deposites.

At the New Orleans mint, difficulties analogous to our own have been sustained, with some others to which we have not been subjected. There is no reason, however, to doubt the competency of that mint to any coinage which is likely to be demanded of it.

In the coining department of this mint no changes of a marked character were required. In consequence of the increasing demand for the smaller gold coins, we have, however, found it necessary to add largely to the adjusting force, whose duty it is to test the weights of the separate pieces before they are struck. At the suggestion of the chief coiner I authorized him to employ females for this purpose, the labor being entirely suited to their capacity. Nearly forty have already been introduced into that service; and the number will be still further increased. We are consequently enabled, in addition to the necessary supply of the larger pieces, to extend very greatly our coinage of the smaller gold pieces, with a view to meet the deficiency created by the withdrawal of silver from circulation.

It is proper that I should state, to prevent misapprehension, that the discrepancy between the deposites and coinage of silver at the Philadelhpia mint, is apparent only. The amount of those deposites stated as of United States production is constituted almost altogether of the silver contained in California gold; which, though credited in full to the depositor is subject to certain charges growing out of the expense of its separation, the net amount only being included in the payment of the deposite. Some portion of this silver is, likewise, retained in the refineryy it being indispensably necessary as a material in the process of separating mixed bullion at present adopted.

Very respectfully, your faithful servant,

R. M. PATTERSON,
Director.

MILLARD FILLMORE,
  President of the United States.

A.

Statement of deposites and coinage at the mint of the United States and its branches, in the year 1850.

B.

Coinage of the mint and branch mints from their organization to the close of the year 1850.