[Comptrollers Office December 24. 1795 No 2 — one encl. [undecipherable] [circled: 347]] Treasury Department Comptrollers Office, 24.^th December 1795— Sir, In conformity with the request contained in your letter of the 21.^st of October last, addressed to the Secretary of the Treasury; and by him referred to this Office, I now communicate certain instructions in respect to the accounts to be opened in the Books of your Office, for the pay and Subsistence of the Navy, which having been approved by the Secretary of the Treasury, are hereafter to be observed.— For the purpose of referring to proper general accounts of expenditures, such monies as have already been advanced, as well as those which may hereafter be advanced on account of the Naval Department; the accounts of which are to be exhibited to you for settlement, it will be expedient that three general accounts under the following heads, should be opened in the Books of your Office.— Viz: 1. Pay of the Navy.— 2. Subsistence of the Officers of the Navy.— 3. Pay of Naval Constructors, of Clerks of Ship yards &c and incidental & contingent expenses. The first of these accounts will include all payments made on account of the [underline: pay of the Navy.] the second account will include all payments which may be made on account of the [underline: Subsistence of the officers of the Navy,] and the third account is to include all payments which may be made on account of the pay of Naval Constructors, Clerks of Ship Yards &c., and all incidental and contingent expenses incurred, either by the Officers of the Navy, or any of the persons appointed by the Secretary of War, to superintend the building of the Frigates, and which may be exhibited to you for liquidation.— As the entries which will become necessary, in consequence of the general accounts before mentioned, will be made on similar principles with those directed to be made by the late Comptroller, in his letter of the 13.^th of August 1792, to your predecessor, in respect to monies advanced on account of the Military establishment, and duly accounted for, it is hardly conceived necessary to give a particular explanation of the purposes intended to be attained by these accounts, in order however that this intention may not be misconstrued, I deem it proper to state a case, in which the use of one or more of these general accounts will be exemplified.— In a case where an individual may duly account for monies which may have been previously advanced to him, one or more of the general accounts before mentioned, will be debited to such individual, for the sum or sums so accounted for, and these general accounts will be closed at the end of each quarter, by transferring the Balances thereof, to the debit of a general account with the United States, in the same mode, in which the general accounts of expenditures in relation to the Military establishment are now closed.— The accounts relative to the Naval Department, are to be rendered to the Treasury quarterly, incorporated with your other quarterly accounts, in the following manner.— Accounts are to be separately stated under each of the general heads of expenditures before mentioned, the debit entries of which will consist of charges for all accounts settled and admitted by you during the quarter, referring by suitable marks or numbers to the vouchers, which are also to be transmitted with the accounts,— the balances or amounts of these accounts are then to be transferred to the debit of the General Account Current with the United States.— Accounts being thus stated under each of the heads of expenditure, and the balances transferred to the debit of the United States, an Abstract is to be formed of all advances made pursuant to Warrants of the Secretary of War on the Treasurer, on account of the Naval Department, specifying the particulars of said advances.— The amount of this Abstract is also to be extended to the debit of the United States, under the head of [underline: monies advanced on account of the Naval Department, unsettled at the end of the Quarter;]— A list of Warrants in favour of the Treasurer, for repayment of monies which may have been previously advanced on account of the Naval Department, (if any should be so repaid during the quarter) is also to be made out, which will be carried in the same manner to the debit of the account current of the United States.— In order that the advances on account of the Military and Naval Departments, may be separately exhibited as credits in the quarterly account current, with the United States, to be rendered to the Treasury, it will be proper, that in the descriptive list of Warrants drawn on the Treasurer during a quarter, the Warrants for advances on account of the Military Department, and those for advances on account of the Naval Department, should be extended into different columns.— I am, very respectfully Sir, Your Obedient Servant— [undecipherable: probable reading J. Davis] [undecipherable: probable reading Comptr] William Simmons Esq^r.— Accountant to the War Department.