With great Difficulty & repeated Solicitations I procured permission from Congress to return here & arrived in the Frigate the Confederacy the beginning of May— Previous to my Departure, I addressed you several Letters from Martinico which I hope you have received—1

It has given me peculiar pleasure to hear of your late Arrival at Cadiz, & of the favorable reception you are like to meet with at the Court of Madrid—

The Sentiments of the people of this Country I found surprizingly altered since I left it—they were no longer governed by that pure disinterested patriotism, which distinguished the Infancy of the Contest—private Interest seemed to predominate over every Consideration that regarded the public Weal— It was necessary that they should experience some signal Misfortune to rouse them into Activity— The Loss of Charlestown & its important Garrison, has in a great Measure had that Effect, & I am happy to see the Spirit of the people begin to rise on a Discovery of their Danger & actual Situation—2 But what was near to prove of very fatal Consequence, was the State of our Finances, which by not being properly Organized & established on a Solid Footing, were incompetent to the purpose of furnishing the necessary Supplies for the Army—3 At an alarming Moment when the Treasury was exhausted & the Army suffering, & threatening to disband for the Want of provisions, the Virtue of Individuals was roused, which warded off the impending Blow— A Bank was established on private Credit under the Auspices of Gentlemen of the First Fortune in this City— It was to raise the sum of Three Hundred thousand pounds in Specie, or its Value, for supplying the Army with provisions for a certain time— The Subscription was filled up in a few Days, & much larger Sums might have been procured.

The Direction of this Bank is committed to the Care of Gentlemen of known Abilities & Integrity, & inspectors of equal Reputation are appointed by the Subscribers, for superintending its Affairs— The purchases will be made on the most advantageous Terms, & the public will soon discover the immense Difference that will arise in their favor by having the Supplies of the Army furnished by such Men or by a Band of Commissaries, Quarter Masters, et id Genus omne— If the same public Spirited Establishments take place in every State, we shall derive the greatest & most essential Advantages from them—4

The Flame of Patriotism has not confined itself altogether to our Sex— The Ladies caught this enlivening Warmth— A Subscription was set on foot by them for the purpose of relieving the Army, & very liberal Sums have been collected— Altho’ the Loss of Charlestown is a very serious Matter, yet I am in great hopes that we shall more than Counterballance its bad Effect by our Successes before the Campaign is over.

But the reliance is in great Measure founded in the Exertions of the French Forces, which are daily expected here to our Assistance—

Untill they Arrive, we must remain altogether on the defensive, & endeavor to prevent the Enemy from penetrating into this Country, & carrying Devastation throughout it.

General Gates is appointed to the Command of the Southern Army, & I believe will soon be able to collect a very respectable Force, as the States of North Carolina & Virginia are alarmed, & making great preparations & Exertions— Our Allies will be engaged in a very active Campaign in the West Indies, which I hope will be successfull, & attended with Decisive Consequences— Twelve Spanish Ships of the Line, & a large Body of Troops have arrived at Martinico, which Reinforcement is to cooperate with the French in the reduction of the British Islands

Your Friends in the Jersies are all well—they have lately been alarmed by the Incursions of the Enemy, who have been laying waste the Country about Elizabeth Town & Springfield—however they have generally retreated with Considerable Loss, the Militia having poured in upon them from all Quarters— Genl. Clinton after having garrisoned Charlestown returned with a large Body of Troops to New York, & is thought from his present Movements has a design on ^upon^ West Point—however there is little reason to apprehend Danger from that Quarter, as it is well supplied with Men & they are throwing in Provisions daily—

An Unlucky Accident lately happened to Gouverneur Morris— In attempting to drive a pair of Wild Horses in a Phaeton, he was thrown out, & in the Fall his left Leg caught in the Wheel & was greatly Shattered—he was under the necessity of having it amputated below the Knee, & is now in a fair way of recovery—

No nomination has as yet been made to the Secretaryship of the Embassy in France, altho many Candidates have entered the Lists— My name has not as yet appeared amongst them—5

I hope Mrs. Jay passes her Time agreably at Madrid, It will be some time I imagine, before she will be reconciled to the Etiquette of so formal a Court.—please to present my Respects to her, as well as my Compliments to Col. Livingston I am, with great Regard & Esteem, &c., Dear Sir, Your obedt hble Servt.