In investigating the subject of railway mail pay, we have been struck very forcibly with changes which have taken place in the revenues and expenditures of the Postoffice Department since 1899, when this subject was last reviewed. Although postal operations still show a deficit, it is a fact that its revenues have increased in a remarkable degree, and the deficit is certainly not due to the amounts paid to the railroads for hauling mail, as these payments are relatively far less now than formerly. Revenues of the Postoffice Department have grown from $102,000,000 in 1900 to over $191,000,000 in 1908, or 87 per cent., this increase in revenue in eight years being as great as the entire increase in the previous thirty-five years. But in this same period of eight years there was an increase of $100,600,000, or 93 per cent., in Postoffice Department expenditures, of which only $10,900,000, or 11 per cent., was paid to the railroads, $33,935,000, or 34 per cent., going to Rural Free Delivery, $25,000,000, or 25 per cent., to postmasters and their clerks, and the balance to other items. The following statement shows for the year 1895 and for the years 1899 to 1908, inclusive, postal revenue and postal expenditures divided between amounts paid the railroads, cost of rural delivery and other expenditures: REVENUE. EXPENDITURES. Paid Rural Year. Railroads. Delivery. Other. Total. 1895 $ 70,983,000 $31,189,000(a) $ -- $57,637,000 $ 88,826,000(a) 1899 95,021,000 35,775,000 150,000 65,607,000 101,632,000 1900 102,355,000 37,315,000 420,000 70,005,000 107,740,000 1901 111,631,000 38,161,000 1,778,000 75,616,000 115,555,000 1902 121,848,000 39,519,000 3,998,000 81,269,000 124,786,000 1903 134,224,000 41,377,000 8,102,000 89,305,000 138,784,000 1904 143,583,000 43,971,000 12,682,000 95,709,000 152,362,000 1905 152,827,000 45,482,000 20,824,000 101,093,000 167,399,000 1906 167,933,000 46,953,000 24,774,000 106,543,000 178,270,000 1907 183,585,000 49,831,000 26,643,000 113,754,000 190,238,000 1908 191,479,000 48,155,000 34,355,000 125,842,000 208,352,000 (a) Includes $1,646,741 accrued in favor of Pacific Railroads in 1895, but not charged to postal expenditures. The railroads are themselves large contributors to the revenues of the Postoffice Department. It is ascertained that nine roads, covering 27,500 miles, pay annually $261,000 for postage stamps, or at the rate of $2,000,000 for the entire railroad mileage of the country.