Joint congressional committee announces to President that Congress is ready to receive communications. Senate Journal, 6.

President communicates Second Annual Message to Congress: Foreign relations are more satisfactory than might be expected. Treaty with Great Britain for suppression of slave trade is in operation with prospect of success. Negro colonies from U.S. may soon migrate to Liberia and Haiti. Commercial relations with leading nations are undisturbed. System of banking associations will circulate notes of uniform appearance and security. Treasury receipts amounted to $583 million, expenditures to $570 million. Public lands are no longer source of revenue. System for Indian affairs may need remodeling. Progress has been made on construction of Pacific railroad. Department of Agriculture has been organized. President recommends that Congress propose three amendments to Constitution: 1. Every State that abolishes slavery before January 1, 1900, shall receive compensation from the U.S. 2. All slaves who shall have enjoyed actual freedom by chances of war shall be forever free. 3. Congress may appropriate money, and otherwise provide for colonizing free colored persons with their own consent, at any place or places outside U.S. Annual Message to Congress, 1 December 1862, CW, 5:518-37.

President writes Judge Adv. Gen. Joseph Holt: "Three hundred Indians have been sentenced to death in Minnesota by a Military Commission, and execution only awaits my action. I wish your legal opinion whether if I should conclude to execute only a part of them, I must myself designate which." Abraham Lincoln to Joseph Holt, 1 December 1862, CW, 5:537-38.