By this you will perceive that our income for 1799, being ten millions, and expenses nine millions, we have a surplus of one million, which, with the five millions to be borrowed, it is expected, will build the Navy and raise the Army. When they are complete, we shall have to raise by new taxes about five millions more, making in the whole fifteen millions, which if our population be five millions, will be three dollars a head. But these additional taxes will not be wanting, till the session after the next. The majority in Congress being as in the last session, matters will go on now as then. I shall send you Gerry's correspondence and Pickering's report on it, by which you will perceive the willingness of France to treat with us, and our determination not to believe it, and therefore to go to war with them. For in this light must be viewed our surrounding their islands with our armed vessels instead of their cruising on our coasts as the law directs. According to information, there is real reason to believe that the X. Y. Z. delusion is wearing off, and the public mind beginning to take the same direction it was getting into before that measure. Gerry's dispatches will tend strongly to open the eyes of the people. Besides this several other impressive circumstances will all be bearing on the public mind. The alien and sedition laws as before, the direct tax, the additional army and navy, an usurious loan to set these follies on foot, a prospect of heavy additional taxes as soon as they are completed, still heavier taxes if the government forces on the war, recruiting officers lounging at every court-house and decoying the laborer from his plough. A clause in a bill now under debate for opening commerce with Toussaint and his black subjects now in open rebellion with France, will be a circumstance of high aggravation to that country, and in addition to our cruising around their islands will put their patience to a great proof. One fortunate circumstance is that, annihilated as they are on the ocean, they cannot get at us for some time, and this will give room for the popular sentiment to correct the imprudence. Nothing is believed of the stories about Bonaparte. Those about Ireland have a more serious aspect. I delivered the letter from you of which I was the bearer. No use was made of the paper, because that poor creature had already fallen too low even for contempt. It seems that the representative of our district is attached to his seat. Mr. Bachley tells me you have the collection of a sum of money for him, which is destined for me. What is the prospect of getting it, and how much? I do not know whether I have before informed you that Mr. Madison paid to Mr. Barnes $240 or $250 in your name to be placed to your credit with Mr. Short, I consequently squared that account, and debited you to myself for the balance. This with another article or two of account between us, stands therefore against the books for which I am indebted