The following is an estimate of the cost of transportation of military stores westward across the plain by contract during the fiscal year ending June 30, 1865:

I. Northern and western route:

To Utah and post on that route...................$1,524,119.00

II. Southwestern route:

To Fort Union, N. Mex., and posts on that route.....$1,301,400

Posts in the interior of New Mexico....................138,178

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1,439,578.00

Cost of the transportation of grain on above routes, where the grain was delivered by contractors and the transportation entered into the price paid, same year-

1. Utah route.....................................$2,526,727,68

2. New Mexico route..................................697,101.69

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3,233,829.37

Cost of transportation of military stores across the plains same year by Government trains-

1. Utah route..........................................$34,600

2. New Mexico route....................................166.730

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201,330.00

Total by contract and Government trains...........6,388,856.37

This expenditure would be reduced by the opening of railroads by a sum which would aid materially in paying interest upon the cost of their construction.

The present season has been a very wet one upon the plains. In wet weather the heavy wagons are generally compelled to go into camp and wait patiently till dry weather makes the roads practicable. Any effort to move exhausts the animals and destroys the wagons while the progress of such a train would not average in bad weather over many portions of the roads one mile a day. Trains from Fort Leavenworth to Denver City have this year occupied from forty-five to seventy-four days in the march.

DIVISION OF INSPECTION.

The Eighth Division of this office is the division of inspection. Its duties are delicate and difficult. It receives, registers, analyzes, and prepares for action of the Quartermaster-General all report of the regular inspector, of officers acting as inspectors under orders of the Quartermaster's Department, and all reports of inspections of that department by the Inspector- General of the Army which may be referred to this office for action.

It keeps the roster of the officers of the Quartermaster's Department, and keeps a careful and minute record of the service of all officers as reported to this office. It also prepares and records the general and special orders of the department and its nominations for assignment to duty.

The organization of the inspectors of the Quartermaster's Department provides for six inspectors, with the rank of colonel, and a chief of the division of inspection. Other officers of the department are placed on inspection duty from time to time, as their service are needed.

Since report of Colonel G. V. Rutherford, chief of the division of inspection, which is herewith, gives in detail the operations of the office.