WATCHMA J; SALISBURY, N. O. The President's: Message. A Comprehensive, Able and i-'piniea uocuraeuu v The Congress of the United States: jLs jou assemble for the discharge of the duties yoa have assumed as the representatives of a free and gener ous people, yon? meeting is marked by an interesting and -impressive inci dent. ' - vi With the expiration of the present BeBsion of Congress, the first century of our Constitutional exist ' encess a nation will be completed. Our survival for one hundred years i Is not sufficient to assure us that we no longer have dangers to fear in the maintainance, with all its prom ised blessings, of a government found ed upon the freedom of the .-people. The, time rather admonishes us to soberly inquire whether in the past we have always closely-kept in the -coursevof safety, and whether we Lave before us a way plain and clear which leads- to happiness and perpetuity. When the'experiment of our govern- ment ,was undertaken, the chart ' adopted for our guidance was the Constitution. Departure, from the lines there laid down is failure. It is Only by a strict adherence to the direction theylindicale and by restraint within the limitations they fix that we can furnish proof to' the world of the fitness of the American people for self-government. The equal and exact justice of which we boast asthe underlying principle of our institutions should not be con fined to the relations of our citizens to each other. The government itself is under bond to the American peo ple, that in the exercise of its func tions and powers it will deal with the body of our citizens in a manner scru pulously honest and fain and abso lutely just. itnas agreed that Amer ican citizenship shall be the only cre dential necessary to justify tbe claim of equality before theJ law, and that no condition in life shall give rise to discrimination in the treatment of the people by their government. The citizen of our republic in its early days rigidly insisted upon fall compliance with the letter of this bond, and saw stretching out before him a clear field for individual en deavor. His tribute to the support of his government was measured by the . cost of its economical maintenance, and, be was secure in the enjoyment of the re maming recompense of his steady and contented toil. In those days the frugality of the people was stamped upon tneir government, and was en forced by the free, thoughtful, and i 'j. i intelligent suffrage of the citizen Combinations, monopolies and aggre gations of capital were either avoided or strictly regulated and restrained. The. pomp and glitter of governments less free offered no temptation and presented no delusion to the plain -people, who, side by side, in friendly competition, wrougnt ior tne en noblement and, dignity of man. for. the ! solution of the problem of free government and for the .achievement of the grand destiny awaiting tbe land which God had given them. A. century has passed Our cities arj the abiding . places of wealtn and luxury; Our manufactories yield fortunes never dreamed of by I the fathers of thereoublic: our bnsi I ness men are madly striving in the race for riches and immense aggre gations of capital outrun the imagi nation in the magnitude of " their undertakings. f We view with pride and satisfac tion, this bright picture of our coun try a growth and prosperity, while only a" closer scrutiny develops a sombre shading. Upon more careful inspection we find the wealth and luxury of our cities mingled with poverty and wretchedness, and unre- munerative toil. A crowded and constantly increasing urban pop ulakon suggests the impoverishment oi rural sections and discontent with agricsltural pursuits. The farmer's son, not satisfied with bis brother's simple and laborious, life, joins tbe eagerchase Jot easily-acquired wealth. We discover that the fortunes realized I by our manufacturers are no longer I solely the reward of sturdv industry and -enlightened foresight; but that mey result from the discriminating favorl of the erovernment &nA r largely built upon undue exactions of our people. Thegulf between employ ers and the employed is constantly .widening, .and classes are rapidly forming, one comprising' the very rich and .powerful, while in another are lound the terribly poor. as we view the achievements of aggregated capital, we discover the existence of trusts, combinations and monopolies, while the: citizen is strug gling far in the rear o is trampled to death beneath an iron: heel. Hnm. . I , . , , , , , ----- r v. . - vniuico vk iuu iaw ana ne servants of the people, are fast becoming.he people's masters. btul, congratulating ourselves upon - .nu piusperuy oi our noii.u anu prosperitv of country, and complacently contem- b5 vTorj mciaent of chaDge "woiuj irom tnese conditions, I it is our duty as patriotic I .vbioM bo inquire, at the present . -stage oi our progress, how the bond' oi government madd with the peo Pnaarjeen kepfc.'and performed - - w uuug inoute drawn xtuiu-uur citizen its economical fwmmr.eitiMmto its economicaTn lTZSt exaSSg from wmcn. unapplied anrl uormans in its treasury.. J A . . . useless, l,e - i . . l t Mt2 - i rantriniustice and Uhia breach of faith wvmkbwub aaa to ntnrfmft i sue country from the legitimate channels rf ko;- Under the Ea!me kws. br whinK K-.i results produced the government S'VT? minions more to be ad- wob wi me liTing Of Our Fopi anq to be taken from our con- FbMiiwej ywuicn. unreasonably swell eniMjui.1 n 1. l . the profits of a : small but powerful minority r - f - -- ? The people must still be taxed for the support of the government, un der the operation of tariff laws. But to the .extent that the mass ? of our citizens -are inordinately ' bar dened beyond any useful public pur poses, and for the1 benefit -of a favored few, the' government, under the pretext of an elerciid of its taxing power, enters gratuitously intO parmerBLlip WlbU WHO 1BIW4I to their advantage and to the injury Of a vast majority of our people. This is not equality before the law. ; The existing situation is injurious io the health of our entire body politic. It stifles in those for whose benefit it is permitted all patriotic love of conn-1 are related to, if they are not respon tryand substitutes in its place self -1 Bible for, the sentiment largely pre-1 isn greea ana grasping avancu. xjoiu- tibn to American citizenship for its own sake and for what it should accom- plish as a motive to our nation's ad- ancement and the haDDiness of all our people, is displaced by the asr sumption that the government in stead of being the embodiment of equality is but an instrumentality through, which special individual ad vantages are to be gained. The ar rogance of this assumption is uncon cealed. It appears in the disregard of all but personal interests: in the refusal to abate for the benefit of others one jot of the selfish advan vantages enjoyed, and in combinations to 7 perpetuate such advantages through efforts to control legislation and improperly influence the suf f rages of the people. PEBILB TO THE GOVERNMENT. The grievances of those not includ ed within the circle of -these benefi ciaries, when fully realized, will surely arouse irritation and discontent. Our farmers, long-suffering and pa tient, straggling in the race of life with the hardest and most unremit ting toil, will not fail to see, in spite of misrepresentation and misleading I fallacies, that they are obliged to ac cept such prices for their products as are fixed in foreign markets where they compete with the farmers of the world ; that their lands are declining in vaiue, wniie ineir aeucs increase ; v buuu uuiwtB Duuuwaw iuu puon and that, without compensating favor, pone action upon subjects Of great they' are forced by the Government public importance, but inrolving to pay for the benefit of others such enhanced prices for tbe things they need that the scanty returns of their labor fail to furnish their support, or leave no margin for accumulation. Out workingmen, enfranchised from all delusions and no longer fright ened by the cry that their wages are endangered by a just revision of our tariff laws, will reasonably demand through such revision steadier em- ployment, cheaper means of living in their homes, freedom for themselves and their children from the doom of perpetual servitude and an open door to their advancement beyond the lim its of a laboring class. Others of our citizens, whose comforts and expen ditures are measured by moderate salaries and fixed incomes, will insist j upon- the fairness and justice of cheapening, the cost of necessaries for themselves and their families. When to the selfishness of l' the bene ficiaries of the unjust discrimination under our laws there shall be added the ' discontent of those who suffer from such discrimination, we will re alize the fact that the beneficent pur poses of our government, dependent upon the patriotism and contentment of our people, are endangered. Com taunism is a nateiui miner, and a menace to peace and organized gov ernment, but the communism of com bined Wealth and capital, the out growth of overweening cupidity and selnshness, which insidiously under mines the justice and integrity of free institutions, is not less dan gerous than the communism of op pressed poverty and toil, which, ex asperated by injustice and dis content, a'tacks with wild dis- order the citadel of government. He mocks the people who proposes that the government shall protect the rich and that they in turn will care for the laboring poor. Any inter mediary between the people and their government, or the least delegation of the care and protection the govern ment owes to the humblest citizens in the land makes the boast of free- iastitutiqns a glittering delusion and tbe pretended boon of American citi- zenship a shameless imposition T4RIPF BEVISIOX. A just and sensible revision of our tariff laws should be made for the relief of those of our countrynirln who suffer under present conditioiia. Such a revision should receive the support of all who Jote that 'justice ana equality due to American citizen-. ship; of all who realize that in this justice and equality. our government finds its strength and its power to protect the citizen and his propertv: oi an wno Deiieve tnat the contented competence and comfort of the miny, accord better with the BDirit of Ymr iiioufcuiiuuH man institutions than colossal fortu in the hands cf few; of all who appreciate that a for bearance and fraternity amoncr our people; which recognize the value of every, American interest, are the surest guaranty of our national uro- gress, and of alljwho desire to see the products of American skill and m. genuity in every market of the wori with a resulting rPRtnrinn nt & can commerce. r - mv.wu vi auiDIl- The necessity of the reduction of our revenue is so apparent as to be generally conceded. But the means inis.end shall be aoconP the sum of the direct shall result toour;cifhushififflhe work etAA h ;n f ... no scheme accepted as satisfactor or w 11 it; 1 1 i r u niimf.no r -iAKA . J.. . btii- furniahmffapwtextforreaff rirooAvt s per reduction in tariff rates. Tle exist- ma mt. ing evua and iniustice should h. . est.y recognized,- boldly met aud c-f-fectiTeiy remedied. There should be 9 with all their r v?mnrotw; . J fc."1 " ion wiu isaa us to strongly quench -ahouMS to 5 iT-cn the ConstilutiSn 2SmWif-?r1?!? ial HmitatroM oi Fiderai power, and t eWr tbe F?;e.tently check tbe creasing -fiuuuouuuB OI PUDllC mnnB HTk . X, : ;i, i . no cessation ox the strusrgie until an appliance is perfected -fair and con servative' to wsrd existing industries but' which will reduce, the cost to the consumer ol tne ' necessaries 01 nie while it provides: for: our manufac-i tnrers. the advantage of freer raw ma t rial and permits ho injury to' the interests ' of . American - labor.; The cause.for which the: battle': is. waged is comprised within lines clearly and distinctly drawn. It should never be I UULU;tJ.UUBOll XbJO UUJ3 JOUpCA VUOO : THJC- PA.TXBXAL ID! A.. It cannot be denied that the selfish; and private interests which' are set ; persistently heard " when . efforts are' ! made to deal in a just and compre hensive manner, with our . tariff laws jmnog tuugog iuo yvuuie, iut iuo general government is the fountain; of individual and private aid ; that it znay be expected to relieve with pa ternal care tne distress . of, citizens and communities and that from tbe fullness of its treasury it should upon the slightest possible pretext of promoting the general good, apply public funds to the benefit of, locaty ties and individuals. Nor can it be denied that there is a growing as sumption that as against governmental aid in favor of private claims and in terests the usual rules and limitations Of business principles and just dealing should be waived. These ideas have been unhappily much encouraged by I legislative acquiescence. Relief from I contracts made, with tbe is too e the citizen port claims a&ramst tne covern ment by proof, is often supplied by nor better consideration than the wealth of the government 'and the poverty of the claimant. Gratuities in the form of pensions are granted upon no other real ground than the needy condition of the applicant, or for reasons -less valid, and large sums are expended for public buildings and Other improvements upon reprtsenta- tions scarcely claimed to be related to the public needs and necessities, The extent to which the consideration no special, private or partisan interest should arrest attention and . lead to reformation.. A few of the numerous illustrations of this condition may be stated. The crowded condition of the calendar of the Supreme Court and the delay to suitors and denial of justice there from has been strongly urged upon we awenwon oi uongreBs wiin a pian 1 a M a . 1 ior ine reiiei .oi tne situation ap- proved py tnose well able to judge or Its merits, wniie tnis suDject re mams witnout elective consideration iuujr,iwB uwmi fmu pruyiu- ing ior tne noiding or terms of infe- rior courts at places to suit the con venience of localities, or to lay the foundation of an application for the erection of new public buildings. I . Reneated recommendatinnfi havA been submitted for the amendment and change of the laws relating to pur public lands so that their spolia tion and diversion to other uses than as homes for honest settlers might be prevented. While a measure to meet this conceded necessity of reform re mains awaiting the action of Con gress, many claims to the public lands and applications for their do nation in favor of States and indi viduals have bcea allowed. - A plan in aid of Indian manage ment, recommended by those well informed as containing valuable fea tures in furtherance of the solution cf the Indian problem, has thus far failed of legislative sanction, while grants of doubtful expediency to rail road corporations, permitting them to pass through the Indian reserva tion, have greatly multiplied. The propriety and necessity of the erection of one or more orisons for the confinement of Unif6d States convicts and a ppstofiice building in the national capital are not disputed, but these needs yet remain unan swered while scores of public build ings have been erected where thsir necessity for public purposes is not apparent. 5 A revision of our pension laws could easily be made which would rest upon just ptinciples and provide for every worthy applicant, but while our general pension iaw s remain con- fused and imperfect, hundreds of I private pension las are annuallv passed which are the sournan nf nn. just discrimination and popular de- anoi aiizition. i j Appropriation bills for the support ui me Items j ends, and it is freely asserted bv re- sponsible and experienced parties buab a um appropriating no money for public . internal improvements would fail to meet with favor unless it contained items more for local and private advantage than for public benefit. These -statements can be much emphasized by an ascertain ment of the proportion of federal ik.i l :i i j jrgituttuuu wnica eitner Dears upon its face its private character or which, upon examination, develops such a motive power. And yet the people wait and expect from thtir cuoaen representatives such patriotic action as will advance the welfare of the entire country; and this expectation caiionly be answered by the performance of public duty with unselfish purpose. CUB MISSION AS A XATIOS. - Our mission amoner the nations of r -i.-r . o - . ne earin end tur " e mtrusrea witn tne making and v- v - v ether thing,, to the ofFed: aii!Pj nto-the domain of ae aud iocal ririsdiction. unon.th plea of subeVvsgtbe pablic welfare rtie prese vation-of the partitions between the. proper subjects of Fed- f r " eral and local care and regulation 1 la ox fiucn importance under the uonsti tution, which is the law; of jour yery existence, that no : consideration of expediency or sentiment should tempt us to stray therefrom.; .We have un dertaken to discover . and proclaim the richest blessings of V free gov ernment, with the Constitution . as our guide'. " Let us follow the way it points out; it will not mislead 1 us. Ajaid ' s arely ' no '.one1 'who7 has . taken upon himself the solemn' oblicration for disloyalty in ftHei -excuse r that he (ouoo cumaa luatmcauxmr, source has wanderedampdisobeyed in search ox a Detter wav to ireacntne-T) welfare than the ;t)dilBtitfltion -Offers. What has pMMZft jAW not inappropriate at time: when, from a century's height weiyiew7 - the f'way j already trod Dy tne 'American- people and atlemot to discover' their future rpathr-The seventS 'PrBideni ofe . tVikk fcr14TiV anI araf ab. man and at all times tee rum: and nfSTfi, I rl ATI a. tit IDA rOni0i -im.vmnii of popular Tights1 and thd ; champion ' of true American citizenship declared : "xne sxnDiuon wcica ipaas me on is an anxious aesire ana nxea aeiermi 4ai6n to restore to the peo-i pie,: unimpaired,- 'the : sacred trust; they have confided to my charge; to heal the wounds f the - Constitution' nent so expressed- t - A com andpresenre it froni future Violation:1! prehehsive trfa,ty of amity, and com- tow persuade my countrymen so far as l.may tnat it is not ;in a splendid Einess, or- thefr,J liberties "prctec; ion,' ut in a plain system, 'void of pomp-U protecting all and granting favors d none dispensing., Jti sb:easug8 , liej tha dews oi heaven unseen aod nnfejfc save in the freshness end bc-aaty they contribute to produce It is -such' a government that the genius of our people requires; such a one only under which our States may remain for ages to come, united, prosperous and free.;' THE STATE OF THS US ION. In pursuance of a Constitutional pro- visicn requiring the President from time to time to give to the Congress1 information of tbe state cf the Union,' I have the satisfaction to announce that the close of the year finds the United States in tne enjoyment of domestic trarquility and at peace with all na - tions. Since my last annual message our foreign relations have been strengthened and improved by the periormance of international good omces and by new and renewed treaties of amity, commerce and re oiprocal extradition of criminals. Those international questions which Btill await settlement are all reason ably within tbe domain of amicable negotiation and there is no existing subject of dispute between the Uni ted States and any foreign power that is not susceptible of satisfactory ad justment by frank diplomatic treat - w . ment: Of the Fisheries treaty the President says: Having essayed in the discharge of my duty to procure by negotiation the settlement' of a long standing cause oi dispute, ana to removs a constant menace to the good relations of the two countries; and continuing to do ox tne opinion mat tne treaty of Februaryi last, which failed to re ceive the approval of the Senate, did supply a satisfactory practical and final adjustment upon a basis hon orable and just to both1 parties of the dim cult and; vexed Question to which it related, and having subsequently and unavailing!? recommended other legislation to Congress which l hoped would suffice to meet the exigency created by the rejection of the treaty, I now, again mvoKe the earnest and immediate attention of Cos gross to the condi tion of this important question as it now stands before tbtin and the country and for the sett'ement of which I am deeply solicitous. THX SACXVIIXE JKCIDLKT Near the close of the month of October last, occurrence f a deeply .avm..11aI1a -4. i i. ... .. ! 1 J a icgicnouin uaiutt, weiu uruugQl lO my knowledge which made it mv painful but imperative duty to obtain with as little de. a j as possible a new person as the channel of diplomatic intercourse m this coun ry with the government of G eat Britain. The correspondence in relation to this incident will in due course be laid Defore jou and will disclose the un pardonable conduct of the official rIerred to in his interference by ad- auu comiaei: .wim ttne sunrages OI encan citizens in the very crisis Pablic declarations to justify his ac"on superadding impugnment of bue fliBcuuje.jwq oenaie oi tne ; U S. in connection with important ques tions now j pending m controversy Detween tne two 'governments. The offense thus committed "was most grave, involving disastrous.5 ppssibili, ties to the good relations of. the United States and Great Britain, con stituting a gross breach of diplomatic i - . . Pnv"ftg and an invasion of the Parely. domestic affairs and essential sovereignty of the government to wnich the envoy was accredited. ilavingnrst fulfilled the just de- mands ?x international comity, by af- iordmg full opportunity : for Her Majesty s government to a ;t in relief bio Dibuauon, x consiaered pro- lougation oi discussion to be unwar rautea. and therennon iolinri tn further recognize the diplomatic char acter oi-tne person whose continuance m ueh function would destroy that mutual COnfidfiTlftA whirtVi fa waT.ti.f I . -j - . . . r vnasuuw to. xtfsjpm understanding of the two g9yP?enlSi and ' was inconsistent with-tH.e welfare and self-respect of the govemmsnfc of the United -States. The Tinnal ihteroKor, of r" . " -rw y ZViAt f!n tnKmgh Her- Majesty's legation in this city. THE CHUTKI JdCLUSION BILL. In a message accompanying my ap proval on the 1st day of October la3t 6f abiil for the exclusion of Chinese laborers I laid before Congress full information and all correspondence M &t treat, ' with China concluded at this Capital on Jhe 12th dayif: Marchl888, and winch, having been confirmed by the Senate, with certain amendments, was rejected by the Chinese government. This -message' contained a recommen dation that a sum' of money be ap propriated as compensation to Chinese subjects who had suffered injuries at the nands of lawless men within our jurisdiction. Such appropriation hav ing been duly made, the fund awaits reception by the Chinese government. is is sincerely noped mat by tne ces eatiSn of the influx; Of this class of Chinese subjects, in accordance with the expressed wish ' of both govern ments, a cause of ; unkind feeling has been permanently removed. . A seizure of vessels under the American fUg (ur Hayti) has' been re ported, and in consequence, measures to prevent and redress , any molesta tion or our innocent.: rrcuantmen have been adopted. - ' . -No feature presents- stronger re commendations for Congressional action than the establishment of com munication by sub marine telegraph with Honolulu. '.', 1 The wisdom of commercial reel procity, with Mexico has been hereto fore etated in my message to Cbn- gres"ana 'the lapse of time and crrowth of commerce with" that close - I neighbor Itep.ublio confirm the judg. meree with :PerU was proclaimed on I Atotemoer 7tU laetand it is expected As authorized by the Congress, preliminary steps have . been ; taken for the assemblage at this capital during the coming year of the repre sentatives of the South and i Central American States together with those ci iuexico, nayii ana oan ivomingo to discuss sundry important topics. ( ' It is believed that com mercial policies inducing freer mu tual exchange ' of products can be mo.afi advantageously arranged by, in - dependent but co-operative legisla tion:' In the mode last mentioned the control of our taxation for reve nue will be always retained, in our own hands unrestricted by conven- I tional agreements with other govern- I ments. 1 In conformity also with Conges I sional authority, the maritime powers I have been invited to confer in Wash- I ington in April next upon the practi- I cabuity of devising uniform rules and f.. . . nr f ha cnonrit xt rT ... - .www.wo Keac ocvuAtuj wi . With the rapid increase of immi gration to our shores and the facili ties of modern travel, the abuses of the generous privileges afforded by our naturalization laws call for their careful revision. . j THE COKBULAB SERVICE. The reorganization of the consular service is a matter of serious impor tance to our national interests. The number of existing principal consular offices is believed to be greater than is at all necessary for the conduct of the business. I repeat the recommenda ions here tofore made by me that the appro- pi iations for the maintenance of our j diplomatic and consular service should be recast; that the so-called notarial or unofficial fees, which our representatives abroad are now per mitted to treat as personal perquisites should be forbidden; that a system of consular inspection should be in- ber of secretaries of legation at large should be authorized. the finances. The report of the Secretary of the Treasury exhibits in detail the condi- tion of our national finances and the operation of the several branches of the government related to this de- partment. The total ordinary reve- nues of the government for the fiscal year ended January 30th, 1881,Th "ZY-r amounted to $379. 266,074.76: of which $219,091,173.63 were from cus toms duties and $124,296,871.98 from internal revenue taxes. The totar re ceipts from all sources exceeded those for the fiscal year ending June 30th, 1887 by $7,862,797-10. The ordinary expenditures of the government for the fiscal year ending June 30th, 1888, were $259,53,958.67, leaving a sur plus of $119,612,116.09. The de crease in these expenditures as com pared with the fiscal year ended June 30th, 1887. was $8,278,221.31, notwithstanding the payment of more than $5,000,000 for pensions in excess of What was paid for that purpose in the latter men tioned years. The revenues of the government for the year ending June 30, 1889, ascertained for the quarter ended bept. 30, 1888, and estimated for the remainder of the term, amount to $377,000,000, and the actual and estimated ordinary expenditures for the same year are $273,000,000, leav ing an estimated surplus of $104,000, 000. The estimated receipts for the year ending June 30, 189Q are $377, 000,000 and the estimated ordinary expenses for the same time are $275,867,488 32, showing a surplus of $101,232,511.66. The foregoing state ments of surplus do not take into account the sum necessary to be expended to meet the requirements of the sinking fund act, amounting to more than $47,000,000 annuallv. The cost of collecting the customs reve nue a for the last fiscal year was 2 44 per cent. For . the year 1X85 it was 3 77 per cent. The excess of internal revenue taxa collected during the last fiscal year over those collected for the Tear ended June 30. 1887. was $sxao i74 26andtheco8tof -collectmgthis Lfa- ,1 i BnowS tnat ntwith revenue decreased from 3 and 4 10 f!d"? he e!P!ifnres for per cent in 1887 to less than 3 and The r v -AU ye"- tax collected on oleomargarine was $723 998.04 for the year eSdZ Jnil 30, 1887, and $864,139 83 for the fol lowing year. A resolution bavin? been r.no.Q by both houses of Contrresa mmncin. till ftnKf na 4 t V. . . . , . . 6 ..v.vuwv bo uj vucj executive autnoritv, daiij purchases of bonds were mm. SSffia menced on the 23d dav of Anrii iccq time.' ; By this - plan' bonds - oi the crorernment not yet dne: feave been arc based up to ana lncmuing :, Oth day of Norember, 1888, amount ing to $94,700,400, the premium paid thereon amounting to $17,508,- 613.08.,- . r :..- v--'; The premium added to the princi pal of these bonds represents an in vestment Yielding ' about 2 per cent interest for the time they still had to run; and the saving, to the govern ment represented by the difference between the amount of interest at 2 per cent upon the sum paid for prin cipal and premium, and which it would have taid for interest at the rate specified in the bonds if they had run to their maturity, is about $27,165,000. At first sight this would seem to be a profitable and sensible transaction on the . part of .the gov ernment. As suggested by the Secretary of the Treasury, the surplus . expended for the purchase of bonds was money drawn from the people in excess of any actual need of the government, and was so expended rather than allow it to remain idle in the treasury. I to $52,700,000 in 1888, despite redue If this surplus under the operation I tions of Dostacre which Wo " of just and equitable laws had been would have been worth in their busi ness at leas sixt per cent per an num. Deducting from the amount of interest on the principal and pre mium of these bonds for the time they had to run at the rate of run at tne rate oi six percent, the saving of two per 'cent, made for the people by the purchase of such bonds, tbe loss would appear to be S55.760.000. This would seem to demonstrate that if excessive and unnecessary taxation; is continued and the government is forced to nnrsufi thin nnlin.v rt rinr. chasing its own bonds at tne premi ums which it will be necessary to pay the loss of the people will be hun dreds of millions of dollars. 8 Notwithstanding the large sum paid out in the purchase of bonds, the surplus in the treasury on the 30th 1 day of November, 1888, was $52,234,- 610.01, after deducting about $20,- 000,000 just drawn out for the pay ment of pensions. At the close of the fiscal year ended June 30th, 1887, there had been coined under the compulsory silver coinage act $266,980,280 in silver dol- 1 i mw mm m a m ... . . 1 A.OU.B, VUu,uui,uxu ui wiiiuii wero in lu hands of the people. On the 30th day of June, 1888, there had been coined $299,708,790; and of this $55,- 829,303 was in circulation in coin, and I OVO I 1 Will 4 U k. . 41. I VQAA OOT OiTO 2 ;i . ir j cuViuOliOlU 111 BllTm COln CfirLlnPHLfiR. 1 ' ' .-. iur mo reaempuon oi wmcn Buver dollars to that amount were held bv X . aI 3 A t 1 the government. On the 30th -day of November, 1000, $diz,oyu,a9U Had been coined $60,970,990 of the silver dollars were actually in circulation, and $237,418, 316 in certificates. The Secretary of the Treasury recommends the sup pression of the further coinage of silver, and in such recommendation I earnestly concur. the AEmr. The Secretary of War reports that the army, at the date of the last con solidated returns, consisted of 2,189 officers and 25,540 enlisted men The actual expenditures of the War Department for the fiscal year ended June du, amounted to $41,165, - 107.07, of which sum $9,158,516.63 was eipenuea ior puoiic works, in eluding river and harbor improve ments. I earnestly request that the recom mendations contained in the Seer eta 2il ff ?V ' lch -are'if my -opinion, uJate.d, to increase the usefulness and discipline of the army, may re receive 'he consideration of the Con- fhTt'hZM v!fe th ?rP?8al ProLldea a4 Pe fSi,-! "to ?mr8 ? fc leir fitness for promotion is of the Utmu!V.mPurAaie- , , . , . il ZCiZtT i SS" V?111 OI "a nA. :tk:. a. . , nuu in hut mull- w wuw wibuiu bue range oi nis per Huuai association will never fii never fail to pay deserved and willing homage to uia greatness and the glory of his career. The Apache Indians, whose removal from the reservations in Arizona fol lowed the capture of those of their number who organized in a bloody and murderous raid during part of the years 1885 and 1886, are now held as prisoners of war at Mount vernon barracks in the State- of Ala bama. The commanding officer states that they are in good health and con tented and that they are kenfc euipioyea as iuny as .1 j ii " . rw IS possible. These persons should be treated Kindly and kept m rest far from the locality of their former reservations. They should be subiected to effort- calculated to tend to their, improve ment and the softening of their savage and cruel instincts, but their return to their homes should be rer- sistently resisted. The Secretary io ma report gives a graphic history of "va" uus uiu recites witn pain ful vividness their bloody deeds and tneunnappy failure of the govern ment to manage them by peaceful means. It will be amazing if a pe rusal of their history will allow the survival of a desire for the return of .1 .... I tnese persons to their reservation i. - . . , w i or wut vmci vrunnni THJE HAVr. w O w The report of the Secretary of the Navy demonstrates very intelligent management in that important de partment and discloses the most satis factory progress in the work of re constructing tne navy made during the past year. . lhe report shows tw. labor they involve, the total ordinary or current expenditures of the depart ment for the three years ended June 30th, 1888,6 lesB by at re than 20 per cent than such expenditures for the three' years ending June 30, 1884.' THB FOST-OFTICS DIPAaTlCErT. The report of the Postmaster Gen eral shows a marked increase of hoi. uv-t VVUDU UUL1UD HTlfl THO ttrldit Ana WW WMVAl blUUBl ness m every branch of the postofiicW service. Ttie number of JuTt 1 UU crease of 6,124 in three year and 9 01 Q fnr ik. 1-- 0t .--r7irTi'x v wte wa usmm JWHT. : j - In tne railway mail service the h. been an increue in one vear of t routes, and in the number of mi!a traveled per annum an'inM-M -z. 15,795,917. The estimated increa of railroad service for the year was 6,000 miles, butthe, amount of new railroad service actually put von 12,764 miles. - - r ; r nas The . volume of business in tna Money Order : Division, ; includinff transactions in postal notes, reached the sum of upwards of $143,000 000 for the jear. '' . - The' increase of correspondence with foreign countries during tbs past three years is gratifying, it i, especially notable andjexoeptional with the Central - and; South ! American States and with Mexico.' As ths greater part of mail matter exchanged with these countries is commercial in its character this increase is evidence of the improved business relations with them. "r A department whose revenues have increased irom i9lrUUU in ic?n I moualy reduced the rates oItpv' while greatly increasinsr its baaint7 demands the careful consideration of the Congress as to all matters sop.I gested by those familiar with its om-J rations, and which are calculated to increase its efficiency and usefulness It is gratifying to note from the7 carefully prepared statistics accompa. 1 nort thfc Tintwi'th.f anrUnr, ih J"ei uotuiaovoi vjrouerai 8 re- expansion of the service the rate of expenditure has been lessened and efficiency has been improved in I KvAnnVi. fd4 fn . i orancn; tnas-fraud and crime have decreased: that losses from the have been reduced and that the num. ber of complaints of the service made' to postmasters and to the Department are far. less than ever before. THX DZPABTlfXNT GT JTJStlCX. I The transactions of the Department of Justice for the fiscal year jended June 30, 1888, are contained in the report oflhe Attorney General sa well as a number of. valuable recom mendations, the most of which are repetitions of those previously made, and ought to receive recognition.1 it is stated in this resort that A 1 1 " 1 - . . inougn juagmenis in i civil suits amounting to $552,021.08, were re- covered in favor of the government during the -year, only the sum of $132. 934 wm onUiaA 4haMnn I J w ttUWAwwUt BkLLA I . i ... . ... 7 " ". UWB, HUH 1UI- I T. nRt t.nrkllfrh finoa nonilfin. t I leitures were imposed amounting to I 541.808.i3. rinlv l09.fii?-i9 nf w I sum was paid thereof. These facts may furnish an illustration of the sen- : timent, which extensively rrevailp. tnat aeot due to the government should cause no inconvenience to the citizen. THE BEPABTHXKT OF THE IHTEEI0B. In the report of the Secretary of the Interior, which will be laid be fore you, the condition of the various I nected withjhat department and its Drancnea oi our domestic affairs con- operations during the paBt year are fully exhibited. I cannot too strenuously .insist upon the im portance of proper measures to in sure a right disposition of our public 1 lands: not only as a matter of justice, but in prompt present forecast of the .- consequences to future generations. The broad, rich acres of our agricultural plains hare been long preserved by nature to tif uuuio uer untrammei ea out to & people civilized and free, upon which should rest in well distributed owner- ship the numerous homes of en- lightened, equal and fraternal citi- Ze?!. It is gratifying to know that some-- lDg done at last to redress the injuries to on! people and check 8 tendency of the reckless waste of l?n???? Tbat over uie.gw usurpation, improvident grants uiu iraun ninnr ont.rioa orvn niaimo tn I. . . r " .w be taken for the homesteads of the honest industrious although lees than the greater areas thus unjustly lost must afford a profound grati fication to right-feeling citizens. BUSISXSS A5D FKKSIOKS. The number of pensioners added to the rolls during the fiscal year ended June 301888, is 60,252; and an increase of pension was granted in 45,716 cases. The names of 15,730 pensioners were dropped Srm the rolls during the year l f I various causes and at the close of the year the number of persons of all classes receiving pensions was 452.557. Of I these were 1 1 ROR anfvitnra nf tht war I of 1812. in 7S7 iinVa served inthat war, 16,060 soldiers of the Mexican war and 6,104 widows of said soldiers. One hundred and two different rates of pensions are paid to these beneficiaries, ranging from $2 to $41b.bb per month. The amount paid for pensions during the fiscal year was $78,775,861.92, being an in- creasrover the previous jear of $5, 308,280.20. . The expenses attending the main tenance and operation of the Pension Bureau during that period $326,252 467, making the entire expenditures Of the bureau S!82.03fi.aSfi.S7. heinc wv VUJOCkU 0OAVU(7iVOUU I t IJVIUU -a rv wu v we girusa uiuuuir, linn naaMs vi . 4-u iaui aWAw UDr Li. Ill LULAl expenditures of the government dur ing the year.. I am thoroughly convinced that our ; government pension laws should be r revised and adjusted to meet, as far , as possible, in the light of "our expe rience, all meritorious cases. The fact that one hundred and two different rates of pension - are. paid cannot, in my opinion, be made consistent with jUotice to pensioners or to the, gov- ernment ; and,the numerous private pension Jbilis that are passed, predi cated upon the imperfection fof our general laws, while they increase in many, cases the. 'existing .inequality and injustice; lend additional force to -the recommendation for a revision of the general laws on this ( subject. The laxity of fdead prevailicg . among a largd humbeVofr.Oiir ; people regardm g' pensions is becominkr every ' 3 J day more marked The -prmcfples - V- was 67,376, an in i-1

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