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President[ Chester A. Arthur

         Date[ December 1, 1884


To the Congress of the United States:


Since the close of your last session the American people, in the exercise

of their highest right of suffrage, have chosen their Chief Magistrate for

the four years ensuing.


When it is remembered that at no period in the country's history has the

long political contest which customarily precedes the day of the national

election been waged with greater fervor and intensity, it is a subject of

general congratulation that after the controversy at the polls was over,

and while the slight preponderance by which the issue had been determined

was as yet unascertained, the public peace suffered no disturbance, but the

people everywhere patiently and quietly awaited the result.


Nothing could more strikingly illustrate the temper of the American

citizen, his love of order, and his loyalty to law. Nothing could more

signally demonstrate the strength and wisdom of our political

institutions.


Eight years have passed since a controversy concerning the result of a

national election sharply called the attention of the Congress to the

necessity of providing more precise and definite regulations for counting

the electoral vote.


It is of the gravest importance that this question be solved before

conflicting claims to the Presidency shall again distract the country, and

I am persuaded that by the people at large any of the measures of relief

thus far proposed would be preferred to continued inaction.


Our relations with all foreign powers continue to be amicable.


With Belgium a convention has been signed whereby the scope of present

treaties has been so enlarged as to secure to citizens of either country

within the jurisdiction of the other equal rights and privileges in the

acquisition and alienation of property. A trade-marks treaty has also been

concluded.


The war between Chile and Peru is at an end. For the arbitration of the

claims of American citizens who during its continuance suffered through the

acts of the Chilean authorities a convention will soon be negotiated.


The state of hostilities between France and China continues to be an

embarrassing feature of our Eastern relations. The Chinese Government has

promptly adjusted and paid the claims of American citizens whose property

was destroyed in the recent riots at Canton. I renew the recommendation of

my last annual message, that the Canton indemnity fund be returned to

China.


The true interpretation of the recent treaty with that country permitting

the restriction of Chinese immigration is likely to be again the subject of

your deliberations. It may be seriously questioned whether the statute

passed at the last session does not violate the treaty rights of certain

Chinese who left this country with return certificates valid under the old

law, and who now seem to be debarred from relanding for lack of the

certificates required by the new.


The recent purchase by citizens of the United States of a large trading

fleet heretofore under the Chinese flag has considerably enhanced our

commercial importance in the East. In view of the large number of vessels

built or purchased by American citizens in other countries and exclusively

employed in legitimate traffic between foreign ports under the recognized

protection of our flag, it might be well to provide a uniform rule for

their registration and documentation, so that the bona fide property rights

of our citizens therein shall be duly evidenced and properly guarded.


Pursuant to the advice of the Senate at the last session, I recognized the

flag of the International Association of the Kongo as that of a friendly

government, avoiding in so doing any prejudgment of conflicting territorial

claims in that region. Subsequently, in execution of the expressed wish of

the Congress, I appointed a commercial agent for the Kongo basin.


The importance of the rich prospective trade of the Kongo Valley has led to

the general conviction that it should be open to all nations upon equal

terms. At an international conference for the consideration of this subject

called by the Emperor of Germany, and now in session at Berlin, delegates

are in attendance on behalf of the United States. Of the results of the

conference you will be duly advised.


The Government of Korea has generously aided the efforts of the United

States minister to secure suitable premises for the use of the legation. As

the conditions of diplomatic intercourse with Eastern nations demand that

the legation premises be owned by the represented power, I advise that an

appropriation be made for the acquisition of this property by the

Government. The United States already possess valuable premises at Tangier

as a gift from the Sultan of Morocco. As is stated hereafter, they have

lately received a similar gift from the Siamese Government. The Government

of Japan stands ready to present to us extensive grounds at Tokyo whereon

to erect a suitable building for the legation, court-house, and jail, and

similar privileges can probably be secured in China and Persia. The owning

of such premises would not only effect a large saving of the present

rentals, but would permit of the due assertion of extraterritorial rights

in those countries, and would the better serve to maintain the dignity of

the United States.


The failure of Congress to make appropriation for our representation at the

autonomous court of the Khedive has proved a serious embarrassment in our

intercourse with Egypt; and in view of the necessary intimacy of diplomatic

relationship due to the participation of this Government as one of the

treaty powers in all matters of administration there affecting the rights

of foreigners, I advise the restoration of the agency and consulate-general

at Cairo on its former basis. I do not conceive it to be the wish of

Congress that the United States should withdraw altogether from the

honorable position they have hitherto held with respect to the Khedive, or

that citizens of this Republic residing or sojourning in Egypt should

hereafter be without the aid and protection of a competent representative.


With France the traditional cordial relationship continues. The colossal

statue of Liberty Enlightening the World, the generous gift of the people

of France, is expected to reach New York in May next. I suggest that

Congressional action be taken in recognition of the spirit which has

prompted this gift and in aid of the timely completion of the pedestal upon

which it is to be placed.


Our relations with Germany, a country which contributes to our own some of

the best elements of citizenship, continue to be cordial. The United States

have extradition treaties with several of the German States, but by reason

of the confederation of those States under the imperial rule the

application of such treaties is not as uniform and comprehensive as the

interests of the two countries require. I propose, therefore, to open

negotiations for a single convention of extradition to embrace all the

territory of the Empire.


It affords me pleasure to say that our intercourse with Great Britain

continues to be of a most friendly character.


The Government of Hawaii has indicated its willingness to continue for

seven years the provisions of the existing reciprocity treaty. Such

continuance, in view of the relations of that country to the American

system of States, should, in my judgment, be favored.


The revolution in Hayti against the established Government has terminated.

While it was in progress it became necessary to enforce our neutrality laws

by instituting proceedings against individuals and vessels charged with

their infringement. These prosecutions were in all cases successful.


Much anxiety has lately been displayed by various European Governments, and

especially by the Government of Italy, for the abolition of our import

duties upon works of art. It is well to consider whether the present

discrimination in favor of the productions of American artists abroad is

not likely to result, as they themselves seem very generally to believe it

may, in the practical exclusion of our painters and sculptors from the rich

fields for observation, study, and labor which they have hitherto enjoyed.


There is prospect that the long-pending revision of the foreign treaties of

Japan may be concluded at a new conference to be held at Tokyo. While this

Government fully recognizes the equal and independent station of Japan in

the community of nations, it would not oppose the general adoption of such

terms of compromise as Japan may be disposed to offer in furtherance of a

uniform policy of intercourse with Western nations.


During the past year the increasing good will between our own Government

and that of Mexico has been variously manifested. The treaty of commercial

reciprocity concluded January 20, 1883, has been ratified and awaits the

necessary tariff legislation of Congress to become effective. This

legislation will, I doubt not, be among the first measures to claim your

attention.


A full treaty of commerce, navigation, and consular rights is much to be

desired, and such a treaty I have reason to believe that the Mexican

Government stands ready to conclude.


Some embarrassment has been occasioned by the failure of Congress at its

last session to provide means for the due execution of the treaty of July

29, 1882, for the resurvey of the Mexican boundary and the relocation of

boundary monuments.


With the Republic of Nicaragua a treaty has been concluded which authorizes

the construction by the United States of a canal, railway, and telegraph

line across the Nicaraguan territory.


By the terms of this treaty 60 miles of the river San Juan, as well as Lake

Nicaragua, an inland sea 40 miles in width, are to constitute a part of the

projected enterprise.


This leaves for actual canal construction 17 miles on the Pacific side and

36 miles on the Atlantic. To the United States, whose rich territory on the

Pacific is for the ordinary purposes of commerce practically cut off from

communication by water with the Atlantic ports, the political and

commercial advantages of such a project can scarcely be overestimated.


It is believed that when the treaty is laid before you the justice and

liberality of its provisions will command universal approval at home and

abroad.


The death of our representative at Russia while at his post at St.

Petersburg afforded to the Imperial Government a renewed opportunity to

testify its sympathy in a manner befitting the intimate friendliness which

has ever marked the intercourse of the two countries.


The course of this Government in raising its representation at Bangkok to

the diplomatic rank has evoked from Siam evidences of warm friendship and

augurs well for our enlarged intercourse. The Siamese Government has

presented to the United States a commodious mansion and grounds for the

occupancy of the legation, and I suggest that by joint resolution Congress

attest its appreciation of this generous gift.


This government has more than once been called upon of late to take action

in fulfillment of its international obligations toward Spain. Agitation in

the island of Cuba hostile to the Spanish Crown having been fomented by

persons abusing the sacred rights of hospitality which our territory

affords, the officers of this Government have been instructed to exercise

vigilance to prevent infractions of our neutrality laws at Key West and at

other points near the Cuban coast. I am happy to say that in the only

instance where these precautionary measures were successfully eluded the

offenders, when found in our territory, were subsequently tried and

convicted.


The growing need of close relationship of intercourse and traffic between

the Spanish Antilles and their natural market in the United States led to

the adoption in January last of a commercial agreement looking to that end.

This agreement has since been superseded by a more carefully framed and

comprehensive convention, which I shall submit to the Senate for approval.

It has been the aim of this negotiation to open such a favored reciprocal

exchange of productions carried under the flag of either country as to make

the intercourse between Cuba and Puerto Rico and ourselves scarcely less

intimate than the commercial movement between our domestic ports, and to

insure a removal of the burdens on shipping in the Spanish Indies, of which

in the past our shipowners and shipmasters have so often had cause to

complain.


The negotiation of this convention has for a time postponed the prosecution

of certain claims of our citizens which were declared to be without the

jurisdiction of the late Spanish-American Claims Commission, and which are

therefore remitted to diplomatic channels for adjustment. The speedy

settlement of these claims will now be urged by this Government.


Negotiations for a treaty of commercial reciprocity with the Dominican

Republic have been successfully concluded, and the result will shortly be

laid before the Senate.


Certain questions between the United States and the Ottoman Empire still

remain unsolved. Complaints on behalf of our citizens are not

satisfactorily adjusted. The Porte has sought to withhold from our commerce

the right of favored treatment to which we are entitled by existing

conventional stipulations, and the revision of the tariffs is

unaccomplished.


The final disposition of pending questions with Venezuela has not as yet

been reached, but I have good reason to expect an early settlement which

will provide the means of reexamining the Caracas awards in conformity with

the expressed desire of Congress, and which will recognize the justice of

certain claims preferred against Venezuela.


The Central and South American Commission appointed by authority of the act

of July 7, 1884, will soon proceed to Mexico. It has been furnished with

instructions which will be laid before you. They contain a statement of the

general policy of the Government for enlarging its commercial intercourse

with American States. The commissioners have been actively preparing for

their responsible task by holding conferences in the principal cities with

merchants and others interested in Central and South American trade.


The International Meridian Conference lately convened in Washington upon

the invitation of the Government of the United States was composed of

representatives from twenty-five nations. The conference concluded its

labors on the 1st of November, having with substantial unanimity agreed

upon the meridian of Greenwich as the starting point whence longitude is to

be computed through 180 degrees eastward and westward, and upon the

adoption, for all purposes for which it may be found convenient, of a

universal day which shall begin at midnight on the initial meridian and

whose hours shall be counted from zero up to twenty-four.


The formal report of the transactions of this conference will be hereafter

transmitted to the Congress.


This Government is in frequent receipt of invitations from foreign states

to participate in international exhibitions, often of great interest and

importance. Occupying, as we do, an advanced position in the world's

production, and aiming to secure a profitable share for our industries in

the general competitive markets, it is a matter of serious concern that the

want of means for participation in these exhibitions should so often

exclude our producers from advantages enjoyed by those of other countries.

During the past year the attention of Congress was drawn to the formal

invitations in this regard tendered by the Governments of England, Holland,

Belgium, Germany, and Austria. The Executive has in some instances

appointed honorary commissioners. This is, however, a most unsatisfactory

expedient, for without some provision to meet the necessary working

expenses of a commission it can effect little or nothing in behalf of

exhibitors. An International Inventions Exhibition is to be held in London

next May. This will cover a field of special importance, in which our

country holds a foremost rank; but the Executive is at present powerless to

organize a proper representation of our vast national interests in this

direction.


I have in several previous messages referred to this subject. It seems to

me that a statute giving to the Executive general discretionary authority

to accept such invitations and to appoint honorary commissioners, without

salary, and placing at the disposal of the Secretary of State a small fund

for defraying their reasonable expenses, would be of great public utility.


This Government has received official notice that the revised international

regulations for preventing collisions at sea have been adopted by all the

leading maritime powers except the United States, and came into force on

the 1st of September last. For the due protection of our shipping interests

the provisions of our statutes should at once be brought into conformity

with these regulations.


The question of securing to authors, composers, and artists copyright

privileges in this country in return for reciprocal rights abroad is one

that may justly challenge your attention. It is true that conventions will

be necessary for fully accomplishing this result; but until Congress shall

by statute fix the extent to which foreign holders of copyright shall be

here privileged it has been deemed inadvisable to negotiate such

conventions. For this reason the United States were not represented at the

recent conference at Berne.


I recommend that the scope of the neutrality laws of the United States be

so enlarged as to cover all patent acts of hostility committed in our

territory and aimed against the peace of a friendly nation. Existing

statutes prohibit the fitting out of armed expeditions and restrict the

shipment of explosives, though the enactments in the latter respect were

not framed with regard to international obligations, but simply for the

protection of passenger travel. All these statutes were intended to meet

special emergencies that had already arisen. Other emergencies have arisen

since, and modern ingenuity supplies means for the organization of

hostilities without open resort to armed vessels or to filibustering

parties.


I see no reason why overt preparations in this country for the commission

of criminal acts such as are here under consideration should not be alike

punishable whether such acts are intended to be committed in our own

country or in a foreign country with which we are at peace.


The prompt and thorough treatment of this question is one which intimately

concerns the national honor.


Our existing naturalization laws also need revision. Those sections

relating to persons residing within the limits of the United States in 1795

and 1798 have now only a historical interest. Section 2172, recognizing the

citizenship of the children of naturalized parents, is ambiguous in its

terms and partly obsolete. There are special provisions of law favoring the

naturalization of those who serve in the Army or in merchant vessels, while

no similar privileges are granted those who serve in the Navy or the Marine

Corps.


"An uniform rule of naturalization" such as the Constitution contemplates

should, among other things, clearly define the status of persons born

within the United States subject to a foreign power (section 1992) and of

minor children of fathers who have declared their intention to become

citizens but have failed to perfect their naturalization. It might be wise

to provide for a central bureau of registry, wherein should be filed

authenticated transcripts of every record of naturalization in the several

Federal and State courts, and to make provision also for the vacation or

cancellation of such record in cases where fraud had been practiced upon

the court by the applicant himself or where he had renounced or forfeited

his acquired citizenship. A just and uniform law in this respect would

strengthen the hands of the Government in protecting its citizens abroad

and would pave the way for the conclusion of treaties of naturalization

with foreign countries.


The legislation of the last session effected in the diplomatic and consular

service certain changes and reductions which have been productive of

embarrassment. The population and commercial activity of our country are

steadily on the increase, and are giving rise to new, varying, and often

delicate relationships with other countries. Our foreign establishment now

embraces nearly double the area of operations that it occupied twenty years

ago. The confinement of such a service within the limits of expenditure

then established is not, it seems to me, in accordance with true economy. A

community of 60,000,000 people should be adequately represented in its

intercourse with foreign nations.


A project for the reorganization of the consular service and for recasting

the scheme of extraterritorial jurisdiction is now before you. If the

limits of a short session will not allow of its full consideration, I trust

that you will not fail to make suitable provision for the present needs of

the service.


It has been customary to define in the appropriation acts the rank of each

diplomatic office to which a salary is attached. I suggest that this course

be abandoned and that it be left to the President, with the advice and

consent of the Senate, to fix from time to time the diplomatic grade of the

representatives of this Government abroad as may seem advisable, provision

being definitely made, however, as now, for the amount of salary attached

to the respective stations.


The condition of our finances and the operations of the various branches of

the public service which are connected with the Treasury Department are

very fully discussed in the report of the Secretary.


It appears that the ordinary revenues for the fiscal year ended June 30,

1884, were:


From customs - $195,067,489.76


From internal revenue - 121,586,072.51


From all other sources - 31,866,307.65


Total ordinary revenues - 348,519,869.92


The public expenditures during the same period were:


For civil expenses - $22,312,907.71


For foreign intercourse - 1,260,766.37


For Indians - 6,475,999.29


For pensions - 55,429,228.06


For the military establishment, including river and harbor

improvements and arsenals - 39,429,603.36


For the naval establishment, including vessels, machinery,

and improvements at navy-yards - 17,292,601.44


For miscellaneous expenditures, including public buildings,

light-houses, and collecting the revenue - 43,939,710.00


For expenditures on account of the District of Columbia - 3,407,049.62


For interest on the public debt - 54,578,378.48


For the sinking fund - 46,790,229.50


Total ordinary expenditures - 290,926,473.83


Leaving a surplus of - 57,603,396.09


As compared with the preceding fiscal year, there was a net decrease of

over $21,000,000 in the amount of expenditures. The aggregate receipts were

less than those of the year previous by about $54,000,000. The falling off

in revenue from customs made up nearly $20,000,000 of this deficiency, and

about $23,000,000 of the remainder was due to the diminished receipts from

internal taxation.


The Secretary estimates the total receipts for the fiscal year which will

end June 30, 1885, at $330,000,000 and the total expenditures at

$290,620,201.16, in which sum are included the interest on the debt and the

amount payable to the sinking fund. This would leave a surplus for the

entire year of about $39,000,000.


The value of exports from the United States to foreign countries during the

year ending June 30, 1884, was as follows:


Domestic merchandise - $724,964,852


Foreign merchandise - 15,548,757


Total merchandise - 740,513,609


Specie - 67,133,383


Total exports of merchandise and specie - 807,646,992


The cotton and cotton manufactures included in this statement were valued

at $208,900,415; the breadstuffs at $162,544,715; the provisions at

$114,416,547, and the mineral oils at $47,103,248.


During the same period the imports were as follows:


Merchandise - $667,697,693


Gold and silver - 37,426,262


Total - 705,123,955


More than 63 per cent of the entire value of imported merchandise consisted

of the following articles:


Sugar and molasses - $103,884,274


Wool and woolen manufactures - 53,842,292


Silk and its manufactures - 49,949,128


Coffee - 49,686,705


Iron and steel and manufactures thereof - 41,464,599


Chemicals - 38,464,965


Flax, hemp, jute, and like substances, and manufactures thereof -

33,463,398


Cotton and manufactures of cotton - 30,454,476


Hides and skins other than fur skins - 22,350,906


I concur with the Secretary of the Treasury in recommending the immediate

suspension of the coinage of silver dollars and of the issuance of silver

certificates. This is a matter to which in former communications I have

more than once invoked the attention of the National Legislature.


It appears that annually for the past six years there have been coined, in

Compliance with the requirements of the act of February 28, 1878, more than

27,000,000 silver dollars.


The number now outstanding is reported by the Secretary to be nearly

185,000,000, whereof but little more than 40,000,000, or less than 22 per

cent, are in actual circulation. The mere existence of this fact seems to

me to furnish of itself a cogent argument for the repeal of the statute

which has made such fact possible.


But there are other and graver considerations that tend in the same

direction.


The Secretary avows his conviction that unless this coinage and the

issuance of silver certificates be suspended silver is likely at no distant

day to become our sole metallic standard. The commercial disturbance and

the impairment of national credit that would be thus occasioned can

scarcely be overestimated.


I hope that the Secretary's suggestions respecting the withdrawal from

circulation of the $1 and $2 notes will receive your approval. It is likely

that a considerable portion of the silver now encumbering the vaults of the

Treasury might thus find its way into the currency.


While trade dollars have ceased, for the present at least, to be an element

of active disturbance in our currency system, some provision should be made

for their surrender to the Government. In view of the circumstances under

which they were coined and of the fact that they have never had a

legal-tender quality, there should be offered for them only a slight

advance over their bullion value.


The Secretary in the course of his report considers the propriety of

beautifying the designs of our subsidiary silver coins and of so increasing

their weight that they may bear their due ratio of value to the standard

dollar. His conclusions in this regard are cordially approved.


In my annual message of 1882 I recommended the abolition of all excise

taxes except those relating to distilled spirits. This recommendation is

now renewed. In case these taxes shall be abolished the revenues that will

still remain to the Government will, in my opinion, not only suffice to

meet its reasonable expenditures, but will afford a surplus large enough to

permit such tariff reduction as may seem to be advisable when the results

of recent revenue laws and commercial treaties shall have shown in what

quarters those reductions can be most judiciously effected.


One of the gravest of the problems which appeal to the wisdom of Congress

for solution is the ascertainment of the most effective means for

increasing our foreign trade and thus relieving the depression under which

our industries are now languishing. The Secretary of the Treasury advises

that the duty of investigating this subject be intrusted in the first

instance to a competent commission. While fully recognizing the

considerations that may be urged against this course, I am nevertheless of

the opinion that upon the whole no other would be likely to effect speedier

or better results.


That portion of the Secretary's report which concerns the condition of our

shipping interests can not fail to command your attention. He emphatically

recommends that as an incentive to the investment of American capital in

American steamships the Government shall, by liberal payments for mail

transportation or otherwise, lend its active assistance to individual

enterprise, and declares his belief that unless that course be pursued our

foreign carrying trade must remain, as it is to-day, almost exclusively in

the hands of foreigners.


One phase of this subject is now especially prominent in view of the repeal

by the act of June 26, 1884, of all statutory provisions arbitrarily

compelling American vessels to carry the mails to and from the United

States. As it is necessary to make provision to compensate the owners of

such vessels for performing that service after April, 1885, it is hoped

that the whole subject will receive early consideration that will lead to

the enactment of such measures for the revival of our merchant marine as

the wisdom of Congress may devise.


The 3 per cent bonds of the Government to the amount of more than

$100,000,000 have since my last annual message been redeemed by the

Treasury. The bonds of that issue still outstanding amount to little over

$200,000,000, about one-fourth of which will be retired through the

operations of the sinking fund during the coming year. As these bonds still

constitute the chief basis for the circulation of the national banks, the

question how to avert the contraction of the currency caused by their

retirement is one of constantly increasing importance.


It seems to be generally conceded that the law governing this matter exacts

from the banks excessive security, and that upon their present bond

deposits a larger circulation than is now allowed may be granted with

safety. I hope that the bill which passed the Senate at the last session,

permitting the issue of notes equal to the face value of the deposited

bonds, will commend itself to the approval of the House of

Representatives.


In the expenses of the War Department the Secretary reports a decrease of

more than $9,000,000. Of this reduction $5,600,000 was effected in the

expenditures for rivers and harbors and $2,700,000 in expenditures for the

Quartermaster's Department.


Outside of that Department the annual expenses of all the Army bureaus

proper (except possibly the Ordnance Bureau) are substantially fixed

charges, which can not be materially diminished without a change in the

numerical strength of the Army. The expenditures in the Quartermaster's

Department can readily be subjected to administrative discretion, and it is

reported by the Secretary of War that as a result of exercising such

discretion in reducing the number of draft and pack animals in the Army the

annual cost of supplying and caring for such animals is now $1,108,085.90

less than it was in 1881.


The reports of military commanders show that the last year has been notable

for its entire freedom from Indian outbreaks.


In defiance of the President's proclamation of July 1, 1884, certain

intruders sought to make settlements in the Indian Territory. They were

promptly removed by a detachment of troops.


During the past session of Congress a bill to provide a suitable fire-proof

building for the Army Medical Museum and the library of the

Surgeon-General's Office received the approval of the Senate. A similar

bill, reported favorably to the House of Representatives by one of its

committees, is still pending before that body. It is hoped that during the

coming session the measure may become a law, and that thereafter immediate

steps may be taken to secure a place of safe deposit for these valuable

collections, now in a state of insecurity.


The funds with which the works for the improvement of rivers and harbors

were prosecuted during the past year were derived from the appropriations

of the act of August 2, 1882, together with such few balances as were on

hand from previous appropriations. The balance in the Treasury subject to

requisition July 1, 1883, was $10,021,649.55. The amount appropriated

during the fiscal year 1884 was $1,319,634.62 and the amount drawn from the

Treasury during the fiscal year was $8,228,703.54, leaving a balance of

$3,112,580.63 in the Treasury subject to requisition July 1, 1884.


The Secretary of War submits the report of the Chief of Engineers as to the

practicability of protecting our important cities on the seaboard by

fortifications and other defenses able to repel modern methods of attack.

The time has now come when such defenses can be prepared with confidence

that they will not prove abortive, and when the possible result of delay in

making such preparation is seriously considered delay seems inexcusable.

For the most important cities--those whose destruction or capture would be

a national humiliation--adequate defenses, inclusive of guns, may be made

by the gradual expenditure of $60,000,000--a sum much less than a

victorious enemy could levy as a contribution. An appropriation of about

one-tenth of that amount is asked to begin the work, and I concur with the

Secretary of War in urging that it be granted.


The War Department is proceeding with the conversion of 10-inch smoothbore

guns into 8-inch rifles by lining the former with tubes of forged steel or

of coil wrought iron. Fifty guns will be thus converted within the year.

This, however, does not obviate the necessity of providing means for the

construction of guns of the highest power both for the purposes of coast

defense and for the armament of war vessels.


The report of the Gun Foundry Board, appointed April 2, 1883, in pursuance

of the act of March 3, 1883, was transmitted to Congress in a special

message of February 18, 1884. In my message of March 26, 1884, I called

attention to the recommendation of the board that the Government should

encourage the production at private steel works of the required material

for heavy cannon, and that two Government factories, one for the Army and

one for the Navy, should be established for the fabrication of guns from

such material. No action having been taken, the board was subsequently

reconvened to determine more fully the plans and estimates necessary for

carrying out its recommendation. It has received information which

indicates that there are responsible steel manufacturers in this country

who, although not provided at present with the necessary plant, are willing

to construct the same and to make bids for contracts with the Government

for the supply of the requisite material for the heaviest guns adapted to

modern warfare if a guaranteed order of sufficient magnitude, accompanied

by a positive appropriation extending over a series of years, shall be made

by Congress. All doubts as to the feasibility of the plan being thus

removed, I renew my recommendation that such action be taken by Congress as

will enable the Government to construct its own ordnance upon its own

territory, and so to provide the armaments demanded by considerations of

national safety and honor.


The report of the Secretary of the Navy exhibits the progress which has

been made on the new steel cruisers authorized by the acts of August 5,

1882, and March 3, 1883. Of the four vessels under contract, one, the

Chicago, of 4,500 tons, is more than half finished; the Atlanta, of 3,000

tons, has been successfully launched, and her machinery is now fitting; the

Boston, also of 3,000 tons, is ready for launching, and the Dolphin, a

dispatch steamer of 1,500 tons, is ready for delivery.


Certain adverse criticisms upon the designs of these cruisers are discussed

by the Secretary, who insists that the correctness of the conclusions

reached by the Advisory Board and by the Department has been demonstrated

by recent developments in shipbuilding abroad.


The machinery of the double-turreted monitors Puritan, Terror, and

Amphitrite, contracted for under the act of March 3, 1883, is in process of

construction. No work has been done during the past year on their armor for

lack of the necessary appropriations. A fourth monitor, the Monadnock,

still remains unfinished at the navy-yard in California. It is recommended

that early steps be taken to complete these vessels and to provide also an

armament for the monitor Miantonomoh.


The recommendations of the Naval Advisory Board, approved by the

Department, comprise the construction of one steel cruiser of 4,500 tons,

one cruiser of 3,000 tons, two heavily armed gunboats, one light cruising

gunboat, one dispatch vessel armed with Hotchkiss cannon, one armored ram,

and three torpedo boats. The general designs, all of which are calculated

to meet the existing wants of the service, are now well advanced, and the

construction of the vessels can be undertaken as soon as you shall grant

the necessary authority.


The act of Congress approved August 7, 1882, authorized the removal to the

United States of the bodies of Lieutenant-Commander George W. De Long and

his companions of the Jeannette expedition. This removal has been

successfully accomplished by Lieutenants Harber and Schuetze. The remains

were taken from their grave in the Lena Delta in March, 1883, and were

retained at Yakutsk until the following winter, the season being too far

advanced to admit of their immediate transportation. They arrived at New

York February 20, 1884, where they were received with suitable honors.


In pursuance of the joint resolution of Congress approved February 13,

1884, a naval expedition was fitted out for the relief of Lieutenant A. W.

Greely, United States Army, and of the party who had been engaged under his

command in scientific observations at Lady Franklin Bay. The fleet

consisted of the steam sealer Thetis, purchased in England; the Bear,

purchased at St. Johns, Newfoundland, and the Alert, which was generously

provided by the British Government. Preparations for the expedition were

promptly made by the Secretary of the Navy, with the active cooperation of

the Secretary of War. Commander George W. Coffin was placed in command of

the Alert and Lieutenant William H. Emory in command of the Bear. The

Thetis was intrusted to Commander Winfield S. Schley, to whom also was

assigned the superintendence of the entire expedition.


Immediately upon its arrival at Upernavik the fleet began the dangerous

navigation of Melville Bay, and in spite of every obstacle reached

Littleton Island on June 22, a fortnight earlier than any vessel had before

attained that point. On the same day it crossed over to Cape Sabine, where

Lieutenant Greely and the other survivors of his party were discovered.

After taking on board the living and the bodies of the dead, the relief

ships sailed for St. Johns, where they arrived on July 17. They were

appropriately received at Portsmouth, N. H., on August 1 and at New York on

August 8. One of the bodies was landed at the former place. The others were

put on shore at Governors Island, and, with the exception of one, which was

interred in the national cemetery, were forwarded thence to the

destinations indicated by friends. The organization and conduct of this

relief expedition reflects great credit upon all who contributed to its

success.


In this the last of the stated messages that I shall have the honor to

transmit to the Congress of the United States I can not too strongly urge

upon its attention the duty of restoring our Navy as rapidly as possible to

the high state of efficiency which formerly characterized it. As the long

peace that has lulled us into a sense of fancied security may at any time

be disturbed, it is plain that the policy of strengthening this arm of the

service is dictated by considerations of wise economy, of just regard for

our future tranquillity, and of true appreciation of the dignity and honor

of the Republic.


The report of the Postmaster-General acquaints you with the present

condition and needs of the postal service.


It discloses the gratifying fact that the loss of revenue from the

reduction in the rate of letter postage recommended in my message of

December 4, 1882, and effected by the act of March 3, 1883, has been much

less than was generally anticipated. My recommendation of this reduction

was based upon the belief that the actual falling off in receipts from

letter postages for the year immediately succeeding the change of rate

would be $3,000,000. It has proved to be only $2,275,000.


This is a trustworthy indication that the revenue will soon be restored to

its former volume by the natural increase of sealed correspondence.


I confidently repeat, therefore, the recommendation of my last annual

message that the single-rate postage upon drop letters be reduced to 1 cent

wherever the payment of 2 cents is now required by law. The double rate is

only exacted at offices where the carrier system is in operation, and it

appears that at those offices the increase in the tax upon local letters

defrays the cost not only of its own collection and delivery, but of the

collection and delivery of all other mail matter. This is an inequality

that ought no longer to exist.


I approve the recommendation of the Postmaster-General that the unit of

weight in the rating of first-class matter should be 1 ounce instead of

one-half ounce, as it now is. In view of the statistics furnished by the

Department, it may well be doubted whether the change would result in any

loss of revenue. That it would greatly promote the convenience of the

public is beyond dispute.


The free-delivery system has been lately applied to five cities, and the

total number of offices in which it is now in operation is 159. Experience

shows that its adoption, under proper conditions, is equally an

accommodation to the public and an advantage to the postal service. It is

more than self-sustaining, and for the reasons urged by the

Postmaster-General may properly be extended.


In the opinion of that officer it is important to provide means whereby

exceptional dispatch in dealing with letters in free-delivery offices may

be secured by payment of extraordinary postage. This scheme might be made

effective by employment of a special stamp whose cost should be

commensurate with the expense of the extra service.


In some of the large cities private express companies have undertaken to

outstrip the Government mail carriers by affording for the prompt

transmission of letters better facilities than have hitherto been at the

command of the Post-Office.


It has always been the policy of the Government to discourage such

enterprises, and in no better mode can that policy be maintained than in

supplying the public with the most efficient mail service that, with due

regard to its own best interests, can be furnished for its accommodation.


The Attorney-General renews the recommendation contained in his report of

last year touching the fees of witnesses and jurors.


He favors radical changes in the fee bill, the adoption of a system by

which attorneys and marshals of the United States shall be compensated

solely by salaries, and the erection by the Government of a penitentiary

for the confinement of offenders against its laws.


Of the varied governmental concerns in charge of the Interior Department

the report of its Secretary presents an interesting summary. Among the

topics deserving particular attention I refer you to his observations

respecting our Indian affairs, the preemption and timber-culture acts, the

failure of railroad companies to take title to lands granted by the

Government, and the operations of the Pension Office, the Patent Office,

the Census Bureau, and the Bureau of Education.


Allusion has been made already to the circumstance that, both as between

the different Indian tribes and as between the Indians and the whites, the

past year has been one of unbroken peace.


In this circumstance the President is glad to find justification for the

policy of the Government in its dealing with the Indian question and

confirmation of the views which were fully expressed in his first

communication to the Forty-seventh Congress.


The Secretary urges anew the enactment of a statute for the punishment of

crimes committed on the Indian reservations, and recommends the passage of

the bill now pending in the House of Representatives for the purchase of a

tract of 18,000 square miles from the Sioux Reservation. Both these

measures are worthy of approval.


I concur with him also in advising the repeal of the preemption law, the

enactment of statutes resolving the present legal complications touching

lapsed grants to railroad companies, and the funding of the debt of the

several Pacific railroads under such guaranty as shall effectually secure

its ultimate payment.


The report of the Utah Commission will be read with interest.


It discloses the results of recent legislation looking to the prevention

and punishment of polygamy in that Territory. I still believe that if that

abominable practice can be suppressed by law it can only be by the most

radical legislation consistent with the restraints of the Constitution.


I again recommend, therefore, that Congress assume absolute political

control of the Territory of Utah and provide for the appointment of

commissioners with such governmental powers as in its judgment may justly

and wisely be put into their hands.


In the course of this communication reference has more than once been made

to the policy of this Government as regards the extension of our foreign

trade. It seems proper to declare the general principles that should, in my

opinion, underlie our national efforts in this direction.


The main conditions of the problem may be thus stated:


We are a people apt in mechanical pursuits and fertile in invention. We

cover a vast extent of territory rich in agricultural products and in

nearly all the raw materials necessary for successful manufacture. We have

a system of productive establishments more than sufficient to supply our

own demands. The wages of labor are nowhere else so great. The scale of

living of our artisan classes is such as tends to secure their personal

comfort and the development of those higher moral and intellectual

qualities that go to the making of good citizens. Our system of tax and

tariff legislation is yielding a revenue which is in excess of the present

needs of the Government.


These are the elements from which it is sought to devise a scheme by which,

without unfavorably changing the condition of the workingman, our merchant

marine shall be raised from its enfeebled condition and new markets

provided for the sale beyond our borders of the manifold fruits of our

industrial enterprises.


The problem is complex and can be solved by no single measure of innovation

or reform.


The countries of the American continent and the adjacent islands are for

the United States the natural marts of supply and demand. It is from them

that we should obtain what we do not produce or do not produce in

sufficiency, and it is to them that the surplus productions of our fields,

our mills, and our workshops should flow, under conditions that will

equalize or favor them in comparison with foreign competition.


Four paths of policy seem to point to this end:


First. A series of reciprocal commercial treaties with the countries of

America which shall foster between us and them an unhampered movement of

trade. The conditions of these treaties should be the free admission of

such merchandise as this country does not produce, in return for the

admission free or under a favored scheme of duties of our own products, the

benefits of such exchange to apply only to goods carried under the flag of

the parties to the contract; the removal on both sides from the vessels so

privileged of all tonnage dues and national imposts, so that those vessels

may ply unhindered between our ports and those of the other contracting

parties, though without infringing on the reserved home coasting trade; the

removal or reduction of burdens on the exported products of those countries

coming within the benefits of the treaties, and the avoidance of the

technical restrictions and penalties by which our intercourse with those

countries is at present hampered.


Secondly. The establishment of the consular service of the United States on

a salaried footing, thus permitting the relinquishment of consular fees not

only as respects vessels under the national flag, but also as respects

vessels of the treaty nations carrying goods entitled to the benefits of

the treaties.


Thirdly. The enactment of measures to favor the construction and

maintenance of a steam carrying marine under the flag of the United

States.


Fourthly. The establishment of an uniform currency basis for the countries

of America, so that the coined products of our mines may circulate on equal

terms throughout the whole system of commonwealths. This would require a

monetary union of America, whereby the output of the bullion-producing

countries and the circulation of those which yield neither gold nor silver

could be adjusted in conformity with the population, wealth, and commercial

needs of each. As many of the countries furnish no bullion to the common

stock, the surplus production of our mines and mints might thus be utilized

and a step taken toward the general remonetization of silver.


To the accomplishment of these ends, so far as they can be attained by

separate treaties, the negotiations already concluded and now in progress

have been directed; and the favor which this enlarged policy has thus far

received warrants the belief that its operations will ere long embrace all,

or nearly all, the countries of this hemisphere.


It is by no means desirable, however, that the policy under consideration

should be applied to these countries alone. The healthful enlargement of

our trade with Europe, Asia, and Africa should be sought by reducing tariff

burdens on such of their wares as neither we nor the other American States

are fitted to produce, and thus enabling ourselves to obtain in return a

better market for our supplies of food, of raw materials, and of the

manufactures in which we excel.


It seems to me that many of the embarrassing elements in the great national

conflict between protection and free trade may thus be turned to good

account; that the revenue may be reduced so as no longer to overtax the

people; that protective duties may be retained without becoming burdensome;

that our shipping interests may be judiciously encouraged, the currency

fixed on firm bases, and, above all, such an unity of interests established

among the States of the American system as will be of great and

ever-increasing advantage to them all.


All treaties in the line of this policy which have been negotiated or are

in process of negotiation contain a provision deemed to be requisite under

the clause of the Constitution limiting to the House of Representatives the

authority to originate bills for raising revenue.


On the 29th of February last I transmitted to the Congress the first annual

report of the Civil Service Commission, together with communications from

the heads of the several Executive Departments of the Government respecting

the practical workings of the law under which the Commission had been

acting. The good results therein foreshadowed have been more than

realized.


The system has fully answered the expectations of its friends in securing

competent and faithful public servants and in protecting the appointing

officers of the Government from the pressure of personal importunity and

from the labor of examining the claims and pretensions of rival candidates

for public employment.


The law has had the unqualified support of the President and of the heads

of the several Departments, and the members of the Commission have

performed their duties with zeal and fidelity. Their report will shortly be

submitted, and will be accompanied by such recommendations for enlarging

the scope of the existing statute as shall commend themselves to the

Executive and the Commissioners charged with its administration.


In view of the general and persistent demand throughout the commercial

community for a national bankrupt law, I hope that the differences of

sentiment which have hitherto prevented its enactment may not outlast the

present session.


The pestilence which for the past two years has been raging in the

countries of the East recently made its appearance in European ports with

which we are in constant communication.


The then Secretary of the Treasury, in pursuance of a proclamation of the

President, issued certain regulations restricting and for a time

prohibiting the importation of rags and the admission of baggage of

immigrants and of travelers arriving from infected quarters. Lest this

course may have been without strict warrant of law, I approve the

recommendation of the present Secretary that the Congress take action in

the premises, and I also recommend the immediate adoption of such measures

as will be likely to ward off the dreaded epidemic and to mitigate its

severity in case it shall unhappily extend to our shores.


The annual report of the Commissioners of the District of Columbia reviews

the operations of the several departments of its municipal government. I

ask your careful consideration of its suggestions in respect to

legislation, especially commending such as relate to a revision of the

civil and criminal code, the performance of labor by persons sentenced to

imprisonment in the jail, the construction and occupation of wharves along

the river front, and the erection of a suitable building for District

offices.


I recommend that in recognition of the eminent services of Ulysses S.

Grant, late General of the armies of the United States and twice President

of this nation, the Congress confer upon him a suitable pension.


Certain of the measures that seem to me necessary and expedient I have now,

in obedience to the Constitution, recommended for your adoption.


As respects others of no less importance I shall content myself with

renewing the recommendations already made to the Congress, without

restating the grounds upon which such recommendations were based.


The preservation of forests on the public domain, the granting of

Government aid for popular education, the amendment of the Federal

Constitution so as to make effective the disapproval by the President of

particular items in appropriation bills, the enactment of statutes in

regard to the filling of vacancies in the Presidential office, and the

determining of vexed questions respecting Presidential inability are

measures which may justly receive your serious consideration.


As the time draws nigh when I am to retire from the public service, I can

not refrain from expressing to the members of the National Legislature with

whom I have been brought into personal and official intercourse my sincere

appreciation of their unfailing courtesy and of their harmonious

cooperation with the Executive in so many measures calculated to promote

the best interests of the nation.


And to my fellow-citizens generally I acknowledge a deep sense of

obligation for the support which they have accorded me in my administration

of the executive department of this Government.


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