[April 3^d 1800 The Secretary of War received [undecipherable] immediately on the subject of Warrants through [undecipherable] Jordans, Brindley, [undecipherable] Small r] [Address panel: The Accountant of the War Department] War Department, April 3. 1800. Sir, I have received your letter of the 1^st instant relative to the accounts of John Mackhay paymaster and Storekeeper for the Armory at Harpers Ferry. Having instructed Mr. [undecipherable: probable reading "Mackhay"] to conduct according to his best judgment the works ordered at Harpers Ferry, and he being in the City, I submitted to him the exhibits stated in your letter for his explanation which is enclosed. From information I have received, the charge made by Mr. Brindley the Engineer is not higher than the compensation he has received from Individuals or Corporations for like Services. The United States cannot expect to get their work done on better terms. The reasons assigned by Mr. Maackay for the compensation he has allowed to Mr. Shepherd for superintending the Canal induce me to believe, that he could not have procured a Man of character and qualifes for the tasks on lower terms. And it is understood that particular circumstances strongly recommended the employment of Mr. Shepherd. From the nature of the work to be prosecuted at Harpers Ferry, it was necessary to devolve a discretion upon some person on the Spot, relative to many things indispensable to the due execution of it. This discretion was confided to Mr. Moackey — and if no fraud appears I do not think he can justly be made accountable for a mere error of judgment in making too too high an allowance to Mr. Shepherd, but it does not appear to me that this is the fact. The actual agreement by a person authorized to make it must be complied with — But as the compensation has now been brought before me, for a given service, I shall take measures to discover whether it cannot be equally well done in future at a less Sum. If I recollect right, the warrants granted to Perkins were founded on accounts exhibited of expenses that had been incurred by himself and Brindley and the Services of the latter at Harpers Ferry and their expenses for returning. I also recur that there is some salary due to Small besides compensation for the use of his tools at the Armory at Harpers Ferry. If these accounts cannot be settled here by calling upon the Individuals it may be proper to instruct the Successor of Mr. Mackay to settle them and exonerate the latter. This can be attended perhaps with little difficulty respecting the Warrants issued to Perkins as he continues in employ, but more apparently may attend the Warrant issued to Small who is out of employ — he however is understood to have claims for the use of his tools as mentioned and the expense of removing them from the Armory when he was dismissed. I am Sir, Your obt. Servant, James McHenry The Accountant of the War Department. --- [Enclosure] 1799 — May 10^th paid James Brindley &c — This charge exhibited by Mr. Brindley was objected to. But he alledged that he already received an equivalent compensation for similar services rendered the preceding Summer at Harpers Ferry. When the short duration of this service is taken into view, and when it is considered that he had to ride 300 Miles to & from Harpers Ferry, and at a season of the year when his attention to domestic affairs would be most necessary, $180 may not be regarded an exorbitant price for his services October 25^th paid James Brindley &c. This charge of $5 per day cannot be considered excessive — Because it is sanctioned by usage, for he has received the same compensation for his services on the Susquehanna, where he was employed for more than a year, a Circumstance which not only sanctions the charge exhibited, but would also seem to justify a claim for higher wages per day for his services at Harpers Ferry; because the value of any employment, if valuable at all, must be enhanced by the duration of it. The reasons why he was employed to direct the building of the Dam, have been stated in a report to the Secretary of War of Dec^r 1799 — October 15^th paid John Tully } These auxiliaries were not — 31 — paid Robert Whittel } only useful, but indispensably necessary. Without them, how could 130 Labourers extended on a Line of a quarter or half mile long be employed to advantage? While Mr. Shepherd was employed in levelling, and laying out ground for the labourers, how could it be known that they performed their duty, while out of view, and subject to no command. Our knowledge of the artifices practised by them to evade their work had inculcated the necessity of not only watching them, but of often reprimanding, and sometimes expelling them for laziness. 1800 — February 10^th paid Mr. Shepherd &c — The wages paid to Mr. Shepherd are believed to be moderate, because some have received higher wages, and others have received the same compensation for similar services; and because, having devoted the summer months to the Canals, and entirely neglected his domestic concerns, he lost the fruits which they would yield, and consequently suffered the full effect of one year's neglect. The annuals averaged product of his business far exceeds the compensation which he received. 1800 [strikethrough: April] March 6^th paid Robert Breadin[undecipherable]. The multitude of accounts with Material & consequent writings produced by the Buildings & Canals, indispensably created the necessity of calling in assistance. This was approved by the Secretary of War in a conversation with Mackey on that Subject. The Warrants 3119 — for 100 Dollars } 3213 — 50 — } Were issued in favour of 3476 — — 212-20 } Joseph Perkins, for which also he was held accountable. It is still in the power of Mr. Perkin to show for what purposes he received the money. He may readily give a Statement of his services & Expenses and those of Mr. Brindley, which it was the object of those Warrants to liquidates. This mode of adjusting the difficulty in question will, it is respectfully presumed, have all the efficacy as though the warrants had been accounted for by the Storekeeper & Paymaster — For the whole Transaction began & ended in Perkins & Brinaley, and the former was held accountable. Warrant 3532 for 190 $ was issued to Small, and Mackey was held accountable for it. There is no method of adjusting this difficulty but by obliging Small to exhibit an account of the Time at Which his appointment commenced, and comparing it with the date of his career at Harpers Ferry. It will be found probably, that the 190 $ were designed to pay him for the interval. John Mackey