sent to New Berne. Some of theme were used in the Trent River carrying supplies to Kinston bridge, but the grater part of them were released from service by the surrender of the rebel armies and have been returned to the Chesapeake and to their owners or sold.

In all the active movements by sea during the fiscal year, employing a fleet in which nearly all the seagoing steamers of the country have been employed, but three vessels have been lost while in the service of this department.

The North America, a character side-wheel steamer of the first class, perfectly new, went down in a gale off Cape Hatteras, the General Lyon was burned, and the Admiral Du Pont was run down at sea.

After the surrender of the rebel armies orders were given to discharge all the chartered steamers and to sell those which were the properly of the department as fast as they could be spared. Very heavy movements,however, ordered before much progress in the reduction movements, however, order before much progress in the reduction was made, have delayed the discharged and sale of some of the transports.

In May the Twenty-fifth Army Corps was ordered from City Point to Texas. The corps numbered about 25,000 men, with artillery and baggage. Its guns, ambulances, wagons, and harness, subsistence and ammunition, went with it. About 2,000 horses and mules also accompanied it. The greater part of its artillery, cavalry, and team horse were left behind. This movement required a fleet of fifty-seven ocean steamers, one of which made two voyages. The entire tonnage of the fleet was 56,987 tons. The vessels were all provided for a twelve-days" voyage, consuming 947 tons of coal and 50,000 gallons of water daily. The daily expense of this fleet amounted to $33,311. There vessels were fitted with bunks for the troops, and with stalls for 2,139 horses and mules, which formed part of the expedition. The vessels were all provided for a twelve-days" voyage, consuming 947 tons of coal and 50,000 gallons of water daily. The daily expense of this fleet amounted to $33,311. The vessels were fitted with bunks for the troops, and with stalls for 2,139 horses and mules, which formed part of the expedition. The vessels were all rigidly inspected before sailing, and all reached their destination in safety. No accident to any of them has been reported. A list of the vessels accompanies this report.

While this expedition of 25,000 troops was afloat another, of 7,000 troops, was sent by sea from Washington to Savannah, and 3,000 rebel prisoners were sent from point Lookout, on the Chasepeake, to Mobile. Besides this large numbers of convalescent and discharged men were then returning from the Southern ports, and recruits were forwarded to the regiments on the coast.

There were, therefore, more than 30,000 troops and prisoners afloat upon the ocean in steam transports at the same time.

The last annual report of this department gives information as to the army transport fleet owned and employed on the 15th of October, 1864.

This list omitted to give the names of the Western river steamers, of which the department then owned a large number.

There were in the employment of the department of ocean and lake transportation, in the spring of 1865, owned by the department, steamers, 106; steam-tugs, 29; sailing vessels, 15; barges, 21; total, 171 vessels, with a tonnage of 49,358 tons. The department also had under charter at that time-steamers, 275; tugs, 91; sailing vessels, 75; barges, 171; with a tonnage of 191,149 tons.

Total number of vessels employed, 783; tonnage, 240,507 tons.

Average daily expense of this fleet, $97,500.

On the 1st of July, 1865,the fleet owned consisted of -steamers, 115; tugs 23; sail-vessels, 12; barges, 20; tonnage, 55,496 tons.