When the country is in a state of war no contingency should be permitted to occur in which there would be a deficiency in the Treasury for the vigorous prosecution of the war, and to guard against such an event it is recommended that contingent authority be given to issue Treasury notes or to contract a loan for a limited amount, reimbursable at an early day. Should no occasion arise to exercise the power, still it may be important that the authority should exist should there be a necessity for it. It is not deemed necessary to resort to direct taxes or excises, the measures recommended being deemed preferable as a means of increasing the revenue. It is hoped that the war with Mexico, if vigorously prosecuted, as is contemplated, may be of short duration. I shall be at all times ready to conclude an honorable peace whenever the Mexican Government shall manifest a like disposition. The existing war has been rendered necessary by the acts of Mexico, and whenever that power shall be ready to do us justice we shall be prepared to sheath the sword and tender to her the olive branch of peace. JAMES K. POLK. WASHINGTON, _June 16, 1846_. _To the Senate of the United States_: In accordance with the resolution of the Senate of the 12th instant, that "the President of the United States be, and he is hereby, advised to accept the proposal of the British Government accompanying his message to the Senate dated 10th June, 1846, for a convention to settle boundaries, etc., between the United States and Great Britain west of the Rocky or Stony Mountains," a convention was concluded and signed on the 15th instant by the Secretary of State, on the part of the United States, and the envoy extraordinary and minister plenipotentiary of Her Britannic Majesty, on the part of Great Britain. This convention I now lay before the Senate, for their consideration with a view to its ratification. JAMES K. POLK. WASHINGTON, _June 17, 1846_. _To the House of Representatives of the United States_: I communicate herewith a report from the Secretary of the Navy, accompanied with the correspondence called for by the resolution of the House of Representatives of the 4th of May last, between Commander G.J. Pendergrast and the Governments on the Rio de la Plata, and the foreign naval commanders and the United States minister at Buenos Ayres and the Navy Department, whilst or since said Pendergrast was in command of the United States ship _Boston_ in the Rio de la Plata, touching said service. JAMES K. POLK. WASHINGTON, _June 23, 1846_. _To the Senate of the United States_: