Mr. HOWE. The report of the canal board made on the 12th of March, 1866, states the account somewhat differently. it is here stated that all the canals of the State have costin construction, land damages, superintendence. re airs, interest on loans, and everything else, in round numbers, about 100 million dollars, instead of 166 millions, and have paid back between 83 and 84 millions, leaving a debt upon them today of about 16 millions. The report also states: “No direct taxation upon the people on account of the canals remainstoday unpaid. but up the con trary the treasuryof the State has beenreimbursed, rineipal and interest, in full, andhas nowin its cof ersnearly one million dollars from the canal revenuein advanceof any taxation for canal purposes. The Eric canal account shpwsthe gratifying result of a credit efover 9 million dellars aboveall cost to the State." Thus stands the account with the State of NewYork. With the exception of the Erie canal, all the rest of the canals built under her system are for local uses, merely for the bene'fit of the State, and are in no way chargeable to the nation. The question was asked, a moment since, and it is the only other question that I propose to allude to, how is the commerce which is to pass from Lake Erie into Lake Ontario through this canal to be taken out of Lake Ontario? Several ways. The Senfrom NewYork suggested that it can go down the StLawrence, and go out of the StLawrence. It can go down the StLawrence to Ogdensburg, where it'will find one line of railway. It can leave Lake Ontario at Os wego, either by a canal or by a railroad connecting with the Eric canal or with the Central railroad. But what can be done beyond all this, and what I want to say to the Senate must and will be done, is to construct between Lake Ontario and the Hudson river a new and a larger water communication over which corn merce can be moved by steam. This is one step toward it. This will overcome 1/2 of the distance of the Erie canal. Your commerce that goes by the canal from Lake Ontario will only have about half the distance to be drawn by iorses that it now has.