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President[ Chester A. Arthur

         Date[ December 4, 1882


To the Senate and House of Representatives of the United States:


It is provided by the Constitution that the President shall from time to

time give to the Congress information of the state of the Union and

recommend to their consideration such measures as he shall judge necessary

and expedient.


In reviewing the events of the year which has elapsed since the

commencement of your sessions, I first call your attention to the

gratifying condition of our foreign affairs. Our intercourse with other

powers has continued to be of the most friendly character.


Such slight differences as have arisen during the year have been already

settled or are likely to reach an early adjustment. The arrest of citizens

of the United States in Ireland under recent laws which owe their origin to

the disturbed condition of that country has led to a somewhat extended

correspondence with the Government of Great Britain. A disposition to

respect our rights has been practically manifested by the release of the

arrested parties.


The claim of this nation in regard to the supervision and control of any

interoceanic canal across the American Isthmus has continued to be the

subject of conference.


It is likely that time will be more powerful than discussion in removing

the divergence between the two nations whose friendship is so closely

cemented by the intimacy of their relations and the community of their

interests.


Our long-established friendliness with Russia has remained unshaken. It has

prompted me to proffer the earnest counsels of this Government that

measures be adopted for suppressing the proscription which the Hebrew race

in that country has lately suffered. It has not transpired that any

American citizen has been subjected to arrest or injury, but our courteous

remonstrance has nevertheless been courteously received. There is reason to

believe that the time is not far distant when Russia will be able to secure

toleration to all faiths within her borders.


At an international convention held at Paris in 1880, and attended by

representatives of the United States, an agreement was reached in respect

to the protection of trade-marks, patented articles, and the rights of

manufacturing firms and corporations. The formulating into treaties of the

recommendations thus adopted is receiving the attention which it merits.


The protection of submarine cables is a subject now under consideration by

an international conference at Paris. Believing that it is clearly the true

policy of this Government to favor the neutralization of this means of

intercourse, I requested our minister to France to attend the convention as

a delegate. I also designated two of our eminent scientists to attend as

our representatives at the meeting of an international committee at Paris

for considering the adoption of a common unit to measure electric force.


In view of the frequent occurrence of conferences for the consideration of

important matters of common interest to civilized nations, I respectfully

suggest that the Executive be invested by Congress with discretionary

powers to send delegates to such conventions, and that provision be made to

defray the expenses incident thereto.


The difference between the United States and Spain as to the effect of a

judgment and certificate of naturalization has not yet been adjusted, but

it is hoped and believed that negotiations now in progress will result in

the establishment of the position which seems to this Government so

reasonable and just.


I have already called the attention of Congress to the fact that in the

ports of Spain and its colonies onerous fines have lately been imposed upon

vessels of the United States for trivial technical offenses against local

regulations. Efforts for the abatement of these exactions have thus far

proved unsuccessful.


I regret to inform you also that the fees demanded by Spanish consuls in

American ports are in some cases so large, when compared with the value of

the cargo, as to amount in effect to a considerable export duty, and that

our remonstrances in this regard have not as yet received the attention

which they seem to deserve.


The German Government has invited the United States to participate in an

international exhibition of domestic cattle to be held at Hamburg in July,

1883. If this country is to be represented, it is important that in the

early days of this session Congress should make a suitable appropriation

for that purpose.


The death of Mr. Marsh, our late minister to Italy, has evoked from that

Government expressions of profound respect for his exalted character and

for his honorable career in the diplomatic service of his country. The

Italian Government has raised a question as to the propriety of recognizing

in his dual capacity the representative of this country recently accredited

both as secretary of legation and as consul-general at Rome. He has been

received as secretary, but his exequatur as consul-general has thus far

been withheld.


The extradition convention with Belgium, which has been in operation since

1874, has been lately supplanted by another. The Senate has signified its

approval, and ratifications have been duly exchanged between the

contracting countries. To the list of extraditable crimes has been added

that of the assassination or attempted assassination of the chief of the

State.


Negotiations have been opened with Switzerland looking to a settlement by

treaty of the question whether its citizens can renounce their allegiance

and become citizens of the United States without obtaining the consent of

the Swiss Government.


I am glad to inform you that the immigration of paupers and criminals from

certain of the Cantons of Switzerland has substantially ceased and is no

longer sanctioned by the authorities.


The consideration of this subject prompts the suggestion that the act of

August 3, 1882, which has for its object the return of foreign convicts to

their own country, should be so modified as not to be open to the

interpretation that it affects the extradition of criminals on preferred

charges of crime.


The Ottoman Porte has not yet assented to the interpretation which this

Government has put upon the treaty of 1830 relative to its jurisdictional

rights in Turkey. It may well be, however, that this difference will be

adjusted by a general revision of the system of jurisdiction of the United

States in the countries of the East, a subject to which your attention has

been already called by the Secretary of State.


In the interest of justice toward China and Japan, I trust that the

question of the return of the indemnity fund to the Governments of those

countries will reach at the present session the satisfactory solution which

I have already recommended, and which has recently been foreshadowed by

Congressional discussion.


The treaty lately concluded with Korea awaits the action of the Senate.

During the late disturbance in Egypt the timely presence of American

vessels served as a protection to the persons and property of many of our

own citizens and of citizens of other countries, whose governments have

expressed their thanks for this assistance.


The recent legislation restricting immigration of laborers from China has

given rise to the question whether Chinese proceeding to or from another

country may lawfully pass through our own.


Construing the act of May 6, 1882, in connection with the treaty of

November 7, 1880, the restriction would seem to be limited to Chinese

immigrants coming to the United States as laborers, and would not forbid a

mere transit across our territory. I ask the attention of Congress to the

subject, for such action, if any, as may be deemed advisable.


This Government has recently had occasion to manifest its interest in the

Republic of Liberia by seeking to aid the amicable settlement of the

boundary dispute now pending between that Republic and the British

possession of Sierra Leone.


The reciprocity treaty with Hawaii will become terminable after September

9, 1883, on twelve months' notice by either party. While certain provisions

of that compact may have proved onerous, its existence has fostered

commercial relations which it is important to preserve. I suggest,

therefore, that early consideration be given to such modifications of the

treaty as seem to be demanded by the interests of our people.


In view of our increasing trade with both Hayti and Santo Domingo, I advise

that provision be made for diplomatic intercourse with the latter by

enlarging the scope of the mission at Port au Prince.


I regret that certain claims of American citizens against the Government of

Hayti have thus far been urged unavailingly.


A recent agreement with Mexico provides for the crossing of the frontier by

the armed forces of either country in pursuit of hostile Indians. In my

message of last year I called attention to the prevalent lawlessness upon

the borders and to the necessity of legislation for its suppression. I

again invite the attention of Congress to the subject.


A partial relief from these mischiefs has been sought in a convention,

which now awaits the approval of the Senate, as does also another touching

the establishment of the international boundary between the United States

and Mexico. If the latter is ratified, the action of Congress will be

required for establishing suitable commissions of survey. The boundary

dispute between Mexico and Guatemala, which led this Government to proffer

its friendly counsels to both parties, has been amicably settled.


No change has occurred in our relations with Venezuela. I again invoke your

action in the matter of the pending awards against that Republic, to which

reference was made by a special message from the Executive at your last

session.


An invitation has been received from the Government of Venezuela to send

representatives in July, 1883, to Caracas for participating in the

centennial celebration of the birth of Bolivar, the founder of South

American independence. In connection with this event it is designed to

commence the erection at Caracas of a statue of Washington and to conduct

an industrial exhibition which will be open to American products. I

recommend that the United States be represented and that suitable provision

be made therefor.


The elevation of the grade of our mission in Central America to the

plenipotentiary rank, which was authorized by Congress at its late session,

has been since effected.


The war between Peru and Bolivia on the one side and Chile on the other

began more than three years ago. On the occupation by Chile in 1880 of all

the littoral territory of Bolivia, negotiations for peace were conducted

under the direction of the United States. The allies refused to concede any

territory, but Chile has since become master of the whole coast of both

countries and of the capital of Peru. A year since, as you have already

been advised by correspondence transmitted to you in January last, this

Government sent a special mission to the belligerent powers to express the

hope that Chile would be disposed to accept a money indemnity for the

expenses of the war and to relinquish her demand for a portion of the

territory of her antagonist.


This recommendation, which Chile declined to follow, this Government did

not assume to enforce; nor can it be enforced without resort to measures

which would be in keeping neither with the temper of our people nor with

the spirit of our institutions.


The power of Peru no longer extends over its whole territory, and in the

event of our interference to dictate peace would need to be supplemented by

the armies and navies of the United States. Such interference would almost

inevitably lead to the establishment of a protectorate--a result utterly at

odds with our past policy, injurious to our present interests, and full of

embarrassments for the future.


For effecting the termination of hostilities upon terms at once just to the

victorious nation and generous to its adversaries, this Government has

spared no efforts save such as might involve the complications which I have

indicated.


It is greatly to be deplored that Chile seems resolved to exact such

rigorous conditions of peace and indisposed to submit to arbitration the

terms of an amicable settlement. No peace is likely to be lasting that is

not sufficiently equitable and just to command the approval of other

nations.


About a year since invitations were extended to the nations of this

continent to send representatives to a peace congress to assemble at

Washington in November, 1882. The time of meeting was fixed at a period

then remote, in the hope, as the invitation itself declared, that in the

meantime the disturbances between the South American Republics would be

adjusted. As that expectation seemed unlikely to be realized, I asked in

April last for an expression of opinion from the two Houses of Congress as

to the advisability of holding the proposed convention at the time

appointed. This action was prompted in part by doubts which mature

reflection had suggested whether the diplomatic usage and traditions of the

Government did not make it fitting that the Executive should consult the

representatives of the people before pursuing a line of policy somewhat

novel in its character and far reaching in its possible consequences. In

view of the fact that no action was taken by Congress in the premises and

that no provision had been made for necessary expenses, I subsequently

decided to postpone the convocation, and so notified the several

Governments which had been invited to attend.


I am unwilling to dismiss this subject without assuring you of my support

of any measures the wisdom of Congress may devise for the promotion of

peace on this continent and throughout the world, and I trust that the time

is nigh when, with the universal assent of civilized peoples, all

international differences shall be determined without resort to arms by the

benignant processes of arbitration.


Changes have occurred in the diplomatic representation of several foreign

powers during the past year. New ministers from the Argentine Republic,

Austria-Hungary, Brazil, Chile, China, France, Japan, Mexico, the

Netherlands, and Russia have presented their credentials. The missions of

Denmark and Venezuela at this capital have been raised in grade.

Switzerland has created a plenipotentiary mission to this Government, and

an embassy from Madagascar and a minister from Siam will shortly arrive.


Our diplomatic intercourse has been enlarged by the establishment of

relations with the new Kingdom of Servia, by the creation of a mission to

Siam, and by the restoration of the mission to Greece. The Shah of Persia

has expressed his gratification that a charge d'affaires will shortly be

sent to that country, where the rights of our citizens have been hitherto

courteously guarded by the representatives of Great Britain.


I renew my recommendation of such legislation as will place the United

States in harmony with other maritime powers with respect to the

international rules for the prevention of collisions at sea.


In conformity with your joint resolution of the 3d of August last, I have

directed the Secretary of State to address foreign governments in respect

to a proposed conference for considering the subject of the universal

adoption of a common prime meridian to be used in the reckoning of

longitude and in the regulation of time throughout the civilized world.

Their replies will in due time be laid before you.


An agreement was reached at Paris in 1875 between the principal powers for

the interchange of official publications through the medium of their

respective foreign departments.


The admirable system which has been built up by the enterprise of the

Smithsonian Institution affords a practical basis for our cooperation in

this scheme, and an arrangement has been effected by which that institution

will perform the necessary labor, under the direction of the Department of

State. A reasonable compensation therefor should be provided by law.


A clause in the act making appropriations for the diplomatic and consular

service contemplates the reorganization of both branches of such service on

a salaried basis, leaving fees to inure to the benefit of the Treasury. I

cordially favor such a project, as likely to correct abuses in the present

system. The Secretary of State will present to you at an early day a plan

for such reorganization.


A full and interesting exhibit of the operations of the Treasury Department

is afforded by the report of the Secretary.


It appears that the ordinary revenues from all sources for the fiscal year

ended June 30, 1882, were as follows:


From customs - $220,410,730.25


From internal revenue - 146,497,595.45


From sales of public lands - 4,753,140.37


From tax on circulation and deposits of national banks - 8,956,794.45


From repayment of interest by Pacific Railway companies - 840,554.37


From sinking fund for Pacific Railway companies - 796,271.42


From customs fees, fines, penalties, etc. - 1,343,348.00


From fees--consular, letters patent, and lands - 2,638,990.97


From proceeds of sales of Government property - 314,959.85


From profits on coinage, bullion deposits, and assays - 4,116,693.73


From Indian trust funds - 5,705,243.22


From deposits by individuals for surveying public lands - 2,052,306.36


From revenues of the District of Columbia - 1,715,176.41


From miscellaneous sources - 3,383,445.43


Total ordinary receipts - 403,525,250.28


The ordinary expenditures for the same period were--


For civil expenses - $18,042,386.42


For foreign intercourse - 1,307,583.19


For Indians - 9,736,747.40


For pensions - 61,345,193.95


For the military establishment, including river and harbor improvements,

and arsenals - 43,570,494.19


For the naval establishment, including vessels, machinery, and

improvements at navy-yards - 15,032,046.26


For miscellaneous expenditures, including public buildings, light-houses,

and collecting the revenue - 34,539,237.50


For expenditures on account of the District of Columbia - 3,330,543.87


For interest on the public debt - 71,077,206.79


Total ordinary expenditures - 257,981,439.57


Leaving a surplus revenue of $145,543,810.71, which, with an amount drawn

from the cash balance in the Treasury of $20,737,694.84, making

$166,281,505.55, was applied to the redemption--


Of bonds for the sinking fund - $60,079,150.00


Of fractional currency for the sinking fund - 58,705.55


Of loan of July and August, 1861 - 62,572,050.00


Of loan of March, 1863 - 4,472,900.00


Of funded loan of 1881 - 37,194,450.00


Of loan of 1858 - 303,000.00


Of loan of February, 1861 - 1,000.00


Of five-twenties of 1862 - 2,100.00


Of five-twenties of 1864 - 7,400.00


Of five-twenties of 1865 - 6,500.00


Of ten-forties of 1864 - 254,550.00


Of consols of 1865 - 86,450.00


Of consols of 1867 - 408,250.00


Of consols of 1868 - 141,400.00


Of Oregon War debt - 675,250.00


Of old demand, compound-interest, and other notes - 18,350.00 -


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