I have the honor to submit this my second quarterly report. It is with pleasure that I can state that our daily trains have made their trips with unusual regularity, no serious delay having occurred in the entire 6 months. The road bed is in fair condition a great many new ties having taken the place of the old and rotten ones. All the bridges have been thoroughly overhauled at considerable expense for new timbers. Two new bridged have been built entire to take the places of two tressels between Henry & Old Fort. 
The March report audited by your appointee Mr. J. A. Claywell, is here with submitted, it is my full giving in detail the entire workings of the road and in tabular form, so as to be readily understood. Our earnings are increasing but are yet short of previous years. Taking the last month September for comparison actual

earnings for 6 mo ending Sept 30th 1877 $39877
Do    Do    “    “    1876 $40807
Do    Do    “    “    1875 $46843
Being $930 less than for 1876 and $6966 less than for the corresponding time in 1875. 

The number of days working by convicts in the past 3 months was 18228 and the amount of work done amounts to 

2230 yds of Tunnel @ $4    $8922
8000 yds of Rock @ $1     8000
22300 yds of Earth @ 15 c     3345
Total    $20267

The locomotive is now at work over the ridge, the star drill will be fixed in place in a few days. Which together with a late increase of the number of convicts will enable us to make a good showing during the winter if the weather is at all favorable.