Mr. HENDRICKS. It is not my intention to occupy the attention of the Senate more than a lbw moments in the further discussion of this bill. At the time of the adjournment on Wednesday last I was showing the effect of the action of the Dept upon these contractors, and was illustrating it by the cases of 3 other vessels that were constructed by Messrs. Secor db CO., the Tecumseh, Mahopac, and Manhattan, 3 of the river and harbor monitors. As I said, the contract by Messrs. Secor Jr, Co. for the construction of those vessels was made on the 1st of September, 1862, and they were to he completed in 6 months, but in fact they were not completed for about 18 months. Now, I wish to show to the Senate how it came that they were not completed within the time or within a short time after the time limited, and what was the effect of that delay in the completion of the vessels upon the contractors themselves. The contract price for these vesselswas considerably above a million dollars, and thelwork was commenced. I believe. almost immediately after the contract was made; but very shortly afterward the superintendent commenced making changes in die plans of the vessels and in the mode of doing the work. I will show the extent to which the changes were ordered. I will refer very briefly to some of the evidence that was before the board. These contracts, as I have said, were made on the 1st of September. In the latter part of September the 1st instructions were given, the drawin of the particular plans, hos. 2, 6, 5, 8, an 7, signed by Stimers, the general inspector. “0n the 9th of October, a 2ndspecificationwas received fromtho generalinspectorwhich demanded the following changesfrom the specifications upon which we built." The changes are given; the different item; the cost of these changes amounting to a good many 1,000s of dollars. The Senate will observe that that was a little more than a mouth after the contracts were made. Then twain on the 14th of October, a month and a lIialf after the contracts were made, other changes were ordered; again on the 14th of November; again on the 19th of November, and the last modifications were very extensive, involving a great change in the p an of the work and a great increase of the cost of the vessels. On the 15th of January other instructions were received, and from time to time thereafter almost during the entire time of the construction of the vessels. Messrs. Secor d: Co., I believe, built live vessels in all, 2 of this particular class, and (upon which they sustained such serious loss) they built 3 vessels, the Tecumseh, the Mahopae, and Manhattan, river and harbor monitors, a ver important class of vessels. The Senate will observe on page 9 of the report a copy of one of the letters written by Stimers, as general inspector, to the contractors. That letter is dated December 22, 1862. It commences thus: “ Gssnarpjssrse rons Orricii, nos 0mm Srizinans. "413 Baoiinwav, NewYork, Daimibu22.1502. "GBKTLRMEN: You are probably aware that the iron clad steamers Mahopac. Tecumseh and Man hattan. now in processofconstruction byyou.are, in their general plan simply a modificationof the Pus snic class. That the original designemanated from Captain Ericsson, the inventor of this system and that this office was established by the Government for the purpose ofinnking and issuing to the various builders of the vessels the detailed working drawings. the deSigriofEnptnin Iii lessoncontemplated the deck covered with one inch thickness of iron. The dock planking and muchof the side armor of pine Wood and all armor plates to be of 15 16ths inch thick each. “ After this plan left the handof the designer, there wasadded another inch to the thicknessof the deck plating: the pine wood in the deck planks and side armor was changed to oak the full thicknessof ong inch each was demanded for all armor plates: th weight of the boilerswas increased 15% and in some mine r respects wcight was addedto what was originally intended, until, after having in vain protested against these additions, Ca itain Ericsson avo notice that he would no longer is responsible or the flotative power of these vessels. I have, therefore. caused the displacement and the weights to be carefully calculated, and to avoid the necessityof carrying any ballast to balance the vessels, the cal culations extendedto balancing the wcights equally with the displacement. As theresult of these investi Finagtioanltse.riatthioanss.b”een determined to make the follow I will not undertake to describe to the senate what these alterations amounted to, for I cannot very well understand them myself, not being a mechanic or engineer; but they were veryimportant alterations. This was one of a series of communications from the general ins cctor to these contractors. This was about mi way in the period fixed for the completion of the vessels, and from time to time onward alterations were made; so that, as a matter of course, the vessels had not a preached completion when the time limited or their completion had expired. Again, on the 18th of June, 1863, very elaborate instructions were given by General Ins ector Stimers to the contractors. Senators will find that letter on the 10th, 11th, and 12th pages of the report, and can see by referring to it the extent of the alterations and modifications of the work. Now, sir what was the effect of it? As I said the other day, the entire alterations and modifications of the plan of these vessels caused extra work to be required, amounting to above half a million of dollars. That extia work was paid for by the Dept. There is no claim by these coutiactors for that. The point is just this: that by requiring so much additional work and such a departure from the original plan from time to time, the work could not be completed within any reasonable period, and instead of the vessels being built from the 1st of September, 1862, to the 1st of March, 1863, the work ran through the whole of the year 1863 and up to March, April, and May 1864. If Senators will turn to the 8th page of the report they can see the effect of this necessary clay, occasioned by the action of the Government or by the instructions of the General inspector, upon the contractors. As a part of this report, there is a statement of the advance in the price of labor and material, which is certified to be correct by Admiral Gregory who had charge of this wor. Let us take a few of the items. This contract was made in September, 1862. It should have been completed in March, 1868, but was not, and I presume it would not have been completed at that time, even, if no alterations had been required; but the modifications rendered it impossible to complete this work until 18 or 20 months after the time of the contract. Supposing the vessels had been completed by the 1st of March, 1863, the followin advances in prices would not have occurre to the contractors. In September, 1862, flange iron was 6 cents perpound; in March, 1863, it was 8 and one 4th cents. In September, 1862, common iron was 65 dollars perton; in March followin it was $87 60 perton a very considerable vance. Now as to labor: finishers in September, 1862, were receiving 18 cents perhour; in March, 1863, they were receiving 21 gents perhour an advance of 3 cents perour. Because of the modifications required by the general ins cctor these vessels were not completed unti the spring of 1864. Now, I ask Senators to observe the increased cost of may terial and labor running up to that period, and I will take the same items. Flange iron in September, 1862, was 6 cents perpound; in May, 1864, it was ten cents. Common iron in september, 1862, was 65 dollars perton; in Iay, 1864, it was $145, being an advance of more than 100%. American iron in September, 1862, was 26 dollars perton; in May, 1864, it was 60 dollars perton, being an advance of more than 100%. With regard to labor, finishers in September, 1862, received 18 cents per hour; in May, 1864, 28 cents perour. Laborers in September, 1862, received 11 cents perhour, and in May, 1864, 20 one cents per hour, an advance of ten cents perhour, a most 100%. Smiths, in September 1862 received 19 cents perhour, an in May; 1864, 30 cents perour. Carpenters in Setcmber, 1862, received 18 cents, and in ay, 1864, 27 cents perhour. Mr. President, I have referred to the cases of these 3 vessels for the purpose of illustration before the Senate. It is impossible for me to refer to each particular case that is provided for in this bill; but I give these 3 vessels for the reason that the allowance made by the board to Messrs. Secor & Co. upon these 3 vessels seemed to me to be as large as any in the list of the awards.