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Show CLEVELAND'S MESSAGE. I IjU Exhaustive Review of Our Amicable Amica-ble Relations With the Foreigrn I ihe Chinese Ti ?cbles Excite the Presi-f Presi-f . dent's Mind, and Ke Calls tor an I Enforcement of the Larr. - - I saturalizatlwa aK( Citizenship Prom-I Prom-I inently AIHied To, Bat the Mor-I Mor-I men Qneslion Not Tet Beached. :i . . " president Cleveland's Message. To the Congress of the United States: Yo-ar assembling is rlv-"d by a sense of public bereavement - J by. the recent aud sudden death of lhrr . , A. Hendricks, Vice-President 'of .1'. :od States. His I distinguished public Eervi . his complete, integrity aud devoti n to cru-ry duty, and his I personal virtues, will find ho.uori.ble record in his country's history. Au.ple and repeated repeat-ed proofs of the esveein and confidence in rhicb. he was held by his fellow-countrymen were manifested by his election lo offices of I the most important trust f.ud hitf'f"t dignity digni-ty and at length, full of ytf.M und honors, he has beeu laid to rest amidst general sorrow sor-row and benediction. . ; The Constitution which requires those , chosen to lesislate for the people to annually i meet in the discharge of their solemn trust, J also requires the President to gi& to Con- : i irrpw information of I I THE STATE OF THE UlilON, And recommend to their consideration such rnensares as he shall deem necessary to expedite ex-pedite at the threshold a compliance with these constitutional directions. Ic is well for us to bear in mind that our usefulness to the people's interests will be promoted by a constant appreciation of the scope and character char-acter of our respective duties as they relate i ' to Federal legislation. While the Executive mav recommend such measures as he Bhall deem expedient, the responsibility for legislative legis-lative action must and should rest upon tttoseselected by the people to make the laws. Contemplation of the grave and responsible functions assigned to the Executive branch of the Government under the Constitution vill disclose the partitions of power between onr respective departments and their necessary neces-sary independence, and also the need for the evercisa of all the power entrusted to each in that spirit of comity and co-operation which is essential to the proper fulfillment fulfill-ment of the patriotic obligations which rest npon us as faithful servants of the people. The jealous watchfulness of our constituencies, constituen-cies, great and small, supplements their suffrasje. and, therefore, by the tribunal they establish every public servant should be judged. It is gratifying to announce that THE RELATIONS OF THE UNITED STATES With all foreign Powers continue to be friendly. Our position, after nearly a century cen-tury of successful constitutional government, govern-ment, the maintenance of good faith in all of our engagements, the avoidance of complications com-plications with other nations, and consistent aud amicable attitude toward the strong and weak alike, furnish proof of a political disposition which render professions of good will unnecessary. There are no questions of difficulty pending with any foreign government. THE ARGENTINE GOVERNMENT Has revived tha long dormant question of the Falkland Islands, by claiming from the United States indemnity for their loss attributed at-tributed to the commander of the sloop-of-war "Lexington," in breaking up a colony of these Islands in 1831. and their subse- j qaent occupation by Great Britain. In vie w of the ample justification of the act of the "Lexington," and the direct condition of the Islands before and after their occupation by the Argentine colonists, that Government's claim is wholly groundless. MB. KIELT'S APPOINTMENT. A question has arisen with the Government Govern-ment of Austro-Hungary touching the representation repre-sentation of the United States at Vienna. Having under my constitutional prerogative appointed an estimable citizen of unim-peached unim-peached probity and competence as Minister at that court, the Government of Austro-Hungary Austro-Hungary invited this Government to cognizance cogni-zance of certain exceptions, based upon allegations against the personal acceptability ac-ceptability of Mr. Kiely, the appointed envoy, asking that in view thereof the appointment should be withdrawn, not be acquiesced in without violation of my oath of oflice and the preoepts of the Constitution, Consti-tution, since they necessarily involved a limitation lim-itation in favor of a foreign government upon t he right of selection by the Executive, Execu-tive, and required such an application of a religious test as a qualification for office under un-der the United States as would have resulted in the practical disfrancisement of a large class of our citizens, and the abandonment of a vit al principle of our Government. The Austro-Kungarian Government finally de-f de-f cided not to receive Mr. Kiely as the envoy 1 of the United States, and that gentleman has since resigned his commission, leaving the post vacant. I have made no new nomination, nomina-tion, and the interests of this Government at Vienna are now in the care of the Secretary Secre-tary of the Legation as charge d' affaires ad interim. THE CENTBAL AMERICAN WAE. Early in March last war broke out in Central Cen-tral America, caused by the attempt of Guatemala to consolidate the several States into a single government. In these contests between our neighboring States the United States f orebore to interfere actively, but let the aid of their friendly offices in depreoa-tion depreoa-tion of war and to promote peace and concord con-cord among the belligerents, and by such counsel contributed importantly to the restoration res-toration of tranquility in that locality. THE TBOOBLES ON THE ISTHMUS. Emergencies growing out of civil war in the United States of Colombia demanded of the Government at the beginning of this Administration the employment of an armed force to fulfill its guarantees under the thirty-fifth article of the treaty of 184G. In ! order to keep the transit open across the Isthmus of Panama, desirous of exercising only the powers expressly reserved to us by the" treatv, and mindful of the rights of Colombia," the forces sent out to the Isthmus were instructed to confine their ' action to positively and efficaciously preventing the transit and its accessions from being intercepted inter-cepted and embarrassed. i he execution of this delicate and responsible respon-sible task necessarily involved the police control where the local authority was temporarily tem-porarily powerless, but always in, and of the sovereignty of Colombia. The prompt and successful fulfillment of its duty by this Government was highly appreciated by f the Government of Colombia, and has been followed by expression of its satisfaction of high praise to the officers and men engaged in their service. The restoration of peace on the Ist hmus by the re-establishment of the constituted government there, being thus accomplished, the forces of the United States were withdrawn. Pending these occurrences, oc-currences, a question of much importance ws presented by decrees of the Colombian Government proclaiming the closure of certain ports then in the- hands of Jhe insurgents, and declaring vessels held by the revolutionists to be partial and liable tp capture by any power. To neither of wese propositions" could the United States assent. An effective closure of the forts not in the possession of the Government, but ' neid by the hostile partisans, cculd not be recognized, neither could the vessels of the insurgents against the legitimate sovereignty sover-eignty be deemed hoslis humani generis within with-in the precepts of International law. whatever what-ever might be the definition of the penalty w their acts under the municipal law of the A State against whose authority they were in revolt. The denial by the Government of the Columbian propositions did not, however, how-ever, imply the admission of a beligerent .status on the part of the insurgents. The Columbian Government has expressed its willinsness to a negotiation of conventions for adjustment by arbitration of the claims by foreign citizens arising out of the destruction de-struction of the City of Aspinwall by the insurrectionary in-surrectionary forces. THE NICABAGUAN CANAL. The interest of the United States in a practicable transit for ships across the strip of land separating the Atlantic from the Pacific Pa-cific has been repeatedly manifested during the last half -century. My immediate predecessor prede-cessor caused to be negotiated with Nicaragua Nica-ragua a treaty for the construction by and i tole cost of the Waited States of a canal through Nicaraguan territory, and laid it before the Senate. Pending the action ac-tion of that body thereon, I withdrew the treaty for re-examination, and attentive consideration con-sideration of its provisions leads me to withhold with-hold it from re-submission to the Senate. Maintaining, as I do, the tenth of a line of Presidents from Washington's days which I proscribe enlarging entangling alliances with foreign States, I do not favor a policy of acquisition of new and distant territory or the incorporation of remote " interests inter-ests with our own.-1 ..The -laws, of pro gress are ntal and organic, and we must be conscious of that irresistable tide of commercial expansion which, as the concomitant con-comitant of our active civilization, day by bay, is being urged onward by those increasing-facilities of production, transportation transport-ation and communication to which steam and electricity have given birth. But our duty in the present instructs us to address ourselves mainly to the development of the vast resources of the great area committed to our charge, and to the cultivation of the arts of peace within our borders, though jealously alert in preventing the American hemisphere from being involved in the pol itical problems and complications of distant dis-tant governments. Therefore, I am unable to recommend a proposition involving paramount para-mount privileges of ownership or right outside out-side of our own territory when coupled with absolute and unlimited engagements to defend de-fend the territorial integrity of the State where such interests be. Whale the general project of connecting the two oceans by means of a canal is to be encouraged, I am of opinion that any scheme to that end, to be considered with favor, shall be free from the features alluded to. THE TEHUANTEPEC B0UTE Is declared by engineers of the highest repute, and by competent scientists, to afford an entirely, practical transit for vessels and cargo, and by means of a ship railway from the Atlantic to the Pacific. The obvious advantage ad-vantage of such a route, if feasible, over others, more from the axial lines of traffic between Europe and the Pacific, and particularly par-ticularly between the valley of the Mississippi Missis-sippi and the western ooast of North and South America, are deserving of consideration. considera-tion. Whatever highway may be constructed construct-ed across the barrier dividing the two greatest great-est maritime areas of the world must be for the world's benefit, a trust for mankind, to be removed from the chance of domination by any single power, nor become a point of invitation of hostilities or a prize for warlike ambition. An engagement combining the construction, ownership and operation of such a work by this Government, with an offensive and defensive de-fensive alliance for its protection with the foreign State whose responsibilities and rights we would share, is, in my judgment, inconsistent with such dedication to universal uni-versal and neutral use, and would, moreover, more-over, entail measures for its realization beyond be-yond the scope of our national policy or present means. The lapse of years has abundantly confirmed the wisdom and fore sight of these earlier Administrations which, long before the conditions of maritime intercourse in-tercourse were changed and enlarged by the progress of the .age, proclaimed the vital need of inter-oceanic traffic across the commercial com-mercial isthmus, and consecrated it in advance ad-vance to the common use of mankind by their positive declarations and through the formal obligations of treaties. Toward such realization the efforts of my Administration will be applied, ever bearing in mind the principles on which it must rest, and which were declared in no uncertain tones by Mr. Cass, who, while Secretary of State, in 1858, announced that "what the United States want in Central America, next to the happiness happi-ness of its people, is the security and neutrality neu-trality of the inter-oceanio routes which lead through it." The construction of THEEE T BANS-CONTINENTAL LINES OF BATLWAT, All in successful operation, wholly within our territory, and uniting the Atlantic and Pacific oceans, has been accompanied by results re-sults of a most interesting and impressive nature, and has created new conditions, not in the routes of commerce only, but in political poli-tical geography, which powerfully affect our relations toward, and necessarily increase our interests in, any trans-isthmian route which may be opened and emploved for the ends of peace and traffic, or in other contingencies, con-tingencies, for use inimical to both. Transportation is a factor in the hosts of commodities scarcely second to that of their production, and weighs as heavily upon the consumer. Our existence already has proven the great importance of having the competition compe-tition between land carriage and water carriage, car-riage, the full devolopment of each acting as a protection to the public AGAINST THE TENDENCIES OF MONOPOLY, Which are inherent in the consolidation of wealth and power in the hands of vast corporations. cor-porations. These suggestions may serve to emphasize what I have already said on the score of the necessity of a naturalization of any inter-oceanic transit. This can only be accomplished by making the uses of the route open to all nations, subject to the ambition and warlike necessities of none. The drawings and report of a recent survey sur-vey of the Nicaragua canal route, made by Chief Engineer Menocal, will be communicated communi-cated for your information. The claims of citizens of the United States for losses by reason of the late military operations op-erations of Chili, in Peru and Bolivia, are j the subject of a negotiation for a claims ; convention with Chili, providing for their ; submission to arbitration. -' THE HABMONT OF OUB BELATIONS WITH CHINA Is fully sustained in the application of the j acts lately passed to execute the treaty of 1880, restrictive of the immigration of Chinese Chi-nese laborers into the United States. : Individual Indi-vidual cases of hardship have occurred beyond be-yond the power of the Executive to remedy, and calling for judicial determination. The condition of the Chinese question in the Western States and Territories is, despite this restrictive legislation, far from being satisfactory. - The recent outbreak in Wyoming Wy-oming Territory, where numbers of unoffending unof-fending Chinamen, indisputably within the protection of the treaties and the law, were murdered by a mob, and the still more recent re-cent threatened outbreak of the same character char-acter in Washington Territory, are still fresh j in the minds of all, and there is apprehension apprehen-sion lest the bitterness of feeling against the Mongolian race on the Pacific slope may find vent in similar lawless demonstrations. All the power of this Government should be exerted to maintain the amplest - good faith toward China in the treatment of these men, and the inflexible sternness of the law in bringing the wrong-doers to justice, should be insisted upon. Every effort has been made by this Government to prevent these violent outbreaks and to aid the representatives representa-tives of China in their investigation of these outrages, and it is but just to say that" they are traceable to tbe . LAWLESSNESS OF MEN, SOT CITIZENS Of the United States, engaged in competi- j tion with Chinese laborers. Eace prejudice is the chief factor in originating these disturbances, dis-turbances, and it exists in a large part of I our domain, jeopardizing our peace and the good relationship we try to maintain with China. The admitted right of a government govern-ment to prevent the influx of elements hostile hos-tile to its internal peace and security may not be questioned, even where there is no treaty stipulation on the subject. That the exclusion of th Chinese labor is, demanded in other countries, where like conditions ! prevail, is strongly evidenced in the Dominion Domin-ion of Canada, where Chinese immigration I now regulated by laws more exclusive than our own. If existing laws are inadequate inade-quate to compass the end in view, I shall be prepared to give earnest consideration to any further remedial measures within the treaty limits which the wisdom of Congress may devise. THE INDEPENDENT STATE OF THE CONGO i Has been organized as a government under r sovereignty of His Majesty the King of the Belgians, who assumes the chief magis- j tracy in his personal character only, without with-out making the new State a dependency on Belgium. It is fortunate that a benighted region, owing all it has of quickening civilization civil-ization to the beneficience of the philanthropic philan-thropic spirit of thi3 monarch, should have the advantage and security of his benevolent benev-olent supervision. The action taken by this Government last year in being the first to recognize the flag of the International Association As-sociation of the Congo, has been followed by formal recognition of the new nationality nation-ality which succeeds to its sovereign powers. A conference of delegates of the principal commercial nations was held at Berlin last winter to disouss methods whereby the Congo basin might be . kept open to the world's trade. Delegates attended on behalf be-half of the United States on the un- HarofQTirlinn thni A"U " . L I 1 1 , vutvb UUCli. part NUUUIU be - merely deliberative without imparting im-parting to the results any binding character, charac-ter, bo far as the United States were concerned. con-cerned. This reserve was due to the indisposition indis-position of this Government to share in any disposal by an international congress of jurisdictional questions in the Senate of foreign territories. The results of the conference con-ference were embodied in a formal act of the nature of an international convention, which laid down certain obligations purporting to be binding on the signatures, subject to ratification rati-fication within one year. Notwithstanding the reservation under which the delegates of tho United States attended, their signatures were attached to the. general act in the same manner as those of the plenipotentiaries of other governments, . thus making the United States appear without : the rs-serve rs-serve of our qualifications as signatories to a joint internationalSengagement imposing impos-ing on the signers the conservation of the territorial integrity of distant regions where we have no established interests or control. This Government does not, however, regard! its reservation of liberty of action in the premises as at all impaired, and holding that an engagement to share in the obligation obliga-tion of enforcing neutrality in the remote valley of the Congo to be an alliance whose responsibilities we are not in a position to assume, I abstain from asking the sanction of the Senate to that act. The correspondence correspond-ence will be laid before you, and the instructive instruc-tive and interesting report of the agent sent by this Government to the Congo country, and his recommendations for the establishment establish-ment of commercial agencies on the African coast are also submitted for your consideration. considera-tion. The commission appointed by my prede-I prede-I cessor last winter to visit THE CENTBAL AND SOUTH AMEEICAN COUNTBIES And report on the methods of enlarging the commercial relations of the United States therewith, has submitted reports which will be laid before you. No opportunity has been omitted to testify the friendliness of this Government toward Corea, whose entrance into the family of treaty powers the United States was the first to recognize. I regard with favor the application made by the Corean Government to be allowed to employ American officers as military instructors, in-structors, to which the assent of Congress becomes necessary, and I am happy to say this request has the concurrent sanction of China and Japan. THE ABBE3T AND . IMPRISONMENT OF JULIAN SANTOS. A citizen of the United States, by the authorities author-ities of Ecuador, gave rise to a contention with that Government, in which his right to be released or to have a speedy and impartial impar-tial trial on announced charges, and with all the guarantees of defense stipulated by the treaty, was insisted upon by the United States. After an elaborate correspondence and repeated aud earnest representations on our part, Mr. Santos was, after an alleged trial and conviction, eventually included in a general decree of amnesty, and pardoned by the Ecuadorian Executive and released, leaving the question of his American citizenship citizen-ship denied by the Ecuadorian Government, but insisted upon by our own. The amount adjudged by the late FBENCH AND AMEBICAN CLAIMS COMMISSION To be due from the United States to French claimants on account of injuries suffered by them during the war of the secession having been appropriated by the last Congress, has been duly paid the French Government. The act of February 25, 1885, provided for a preliminary search of the records of the French Prize court for evidence bearing on the claims of American citizens against France for spoiliations committed prior to 1801. The duty has been performed and the report of the agent will b9 laid before you. I regret to sav that the restrictions upon the . , IMPOBTATION OF OUB POBK INTO FBANCE, Still continue, notwithstanding the abundant abun-dant demonstration of the absence of sanitary sani-tary danger in its use; but I entertain strong hopes that with a better understanding of the matter this vexatious prohibition will be removed. It would be pleasing to be able to say as much with respect to Germany, Austria and other countries, where our food products are absolutely excluded without present prospect of reasonable change. GERMANY AND OUB NATUBALIZATION LAWS. The interpretation of our existing treaties past year has attracted attention by reason of an apparent tendency "on the part of the Imperial Government to extend the scope of the restrictions to which returning naturalized citizens of German birth are asserted to be liable under the laws of the Empire. The temperate and just attitude taken by this Government witlrregard to this class of questions will doubtless lead to a satisfactory understanding. THE DISPUTE OF GEBMANX AND SPAIN Relating to the dominion of the Caroline Islands has attracted the at tention of this Government by reason of an extension of the interests of American citizens having grown up in those parts during the last thirty-nine years, and because of the question ques-tion of ownership involved in the jurisdiction jurisdic-tion of matters affecting the status of our citizens under the civil and criminal laws. ! While standing wholly . aloof from the proprietary pro-prietary issues raised between the Powers, to both of which the United States are friendly, this Government expects that nothing noth-ing in the present contention shall unfavorably unfavor-ably affect onr citizens carrying on a peaceful peace-ful commerce or their domiciliary rights, and so informed the Government of Spain. The marked good-will between j THE UNITED STATES AND GBEAT BBrTATN Has been maintained during the past year. The termination of the fishing clauses of the treaty of Washington in pursuance of the joint resolution of March 3d, 1883, must have resulted in the abrupt cessation on the 1st of July of this year, in the midst of their ventures, of the operations of citizens of the United States engaged in fishing in British-American British-American waters, but for a diplomatic understanding un-derstanding reached with Her Majesty's government in June last, whereby assurance assur-ance was obtained that no interruption of those operations should take place during the current season. In the interest of the good neighborhood of the commercial interest of adjacent communities, com-munities, the question of the North American Ameri-can fisheries is one of much importance. Following out the intimation given by me when the extensary arrangements above described de-scribed were negotiated, I recommended that Congress provide for the appointment of a commission on which the Governments of the United States and Great Britain shall be respectively represented, charged with the ' consideration and settlemnt, upon a just, equitable and honorable basis of the entire question cf the fishing rights of tha two Governments and their respective citizens, on the const of the United States and British Brit-ish North America, . , I, THE FISHING INTEBESTS Being intimately related to other general questions dependent upon contiguity and intercourse, the consideration thereof in all their equities might also properly come within the purview of such commission, and the fullest latitude of expression of both sides should be permitted. The correspondence correspond-ence in relation to the fishing rights will be submitted. The Arctic exploring steamer "Alert," which was generously given by Her Majesty's Government to aid in the relief of the Greeley Gree-ley expedition, was, after the successful attainment of that humane purpose, returned to Great Britain, in pursuance of the authority author-ity conferred by the act of March 3d, 1885. The inadequacy of the existing engagements engage-ments for extradition between the United States and Great Britain has been long apparent. ap-parent. . The tenth article of the treaty of 1842, one of the earliest compacts in this regard entered into-by the United States, stipulated for surrender in respect of a limited lim-ited number of offenses. Other crimes no less inimical to the social welfare shonld be embraced, and THE PBOCEDUBE OF EXTBADITION Brought into harmony with present international inter-national practices. Negotiations 'with Her Majesty's Government f or an enlarged treaty have proceeded since :1870, and I entertain strong hopes that a satisfactory result may be soon attained. v The. frontier line between Alaska and British Columbia, as defined by the treaty of cession with Russia, follows the demarcation demarca-tion assigned in a prior treaty between Great Britain and Russia. Modern exploration explora-tion discloses that this ancient boundary is impracticable, as a geographical fact. In the unsettled condition of that region the question has lacked importance, but the discovery dis-covery of mineral wealth in the territory the line is supposed to traverse, admonishes us tnat tne time nas come when an accurate knowledge of the boundary is needful to avert jurisdictional complications. 1 recommend, therefore, that provision be made for a preliminary pre-liminary reconnoisance by officers of the United States to the end of acquiring more precise information on the subject. 1 have invited other governments to consider with us the adoption of a more convenient line, to be established by meridian observations ' as by known geographical features, without the necessity of an expensive survey of the whole. """" . MATTERS IN HATTI. The late insurrectionary movements in Hayti having been quelled. The Government of that republic has made prompt provision for adjusting the losses suffered by foreigners because of hostilities there, and the claims of certain citizens of the United States will be in this manner determined. . The long pending claims of the two citizens of the United States, Pelletier and Lazare, have been disposed of by arbitration, and an award in favor of each claimant has been made, which, by the terms of the engagement, engage-ment, is final. It remains for Congress to provide for the payment of the stipulated moiety of the expenses. A question arose with Hayti during the past year by reason of the exceptional treatment treat-ment of an American citizen, Mr.' Van Bok-kelen, Bok-kelen, a resident of Port-au-Prince, who, on suit by creditors residing in the United States, was sentenced to imprisonment, and under the operation of a Haytien statute wa3 denied the relief secured to a native Haytien. This Government asserted his treaty right to equal treatment with natives of Hayti in all suits at law. Our contention was" denied by the Haytien Government, which, however, while still professing to maintain the ground taken against Mr. Van Bokkelen's right, terminated the controversy contro-versy by setting him at liberty without ex- An international conference to consider the means of ARRESTING THE SPBEAD OF CHOLEBA And other epidemic diseases was held at Rome in May last, and adjourned to meet again on further notice. An expert delegate on behalf of the United States has attended and will submit his report. Our relations with Mexico continue to be most cordial, as befits those of neighbors between be-tween whom the strongest ties of friendship and commercial intimacy exist, as the natural and growing consequences of our similarity of institutions and geographical propinquity. The relocation of the boundary bound-ary line between the United States and Mexico, eastward of the Rio Grande, under the convention of July 29th, 1882, has been unavoidably delayed, but I apprehend no difficulty in securing a prolongation of the period for its accomplishment. The lately concluded COMMERCIAL TREATY WITH MEXICO Still awaits the stipulated legislation to carry its provision into effect, for which one year's additional time has been secured by a supplementary article signed in February Febru-ary last, and since ratified on both sides. As this convention, so important to the commercial welfare of the two adjoining countries, has been constitutionally confirmed con-firmed by the treaty-making branch, I express ex-press the hope that legislation to make it effective may not be long delayed. The large influx of capital and enterprise to Mexico from the United States continues to aid in the development of the resources, and in augmenting the material well-being of our sister Republic. Lines of railway, penetrating pen-etrating to the heart and capital of the country, bringing the two people into mutually mutu-ally beneficial intercourse, and enlarged facilities fa-cilities of transit add to profitable commerce, com-merce, create new markets, and furnish avenues av-enues otherwise isolated communities. I have already adverted to; the suggested rTifltmnt,irn rf a shin railwav across the narrow fromation of; the territory of Mexico at Tehauntepic. With the gradual recovery of Pern from the effects of her late disastrous dis-astrous conflict with Chili, and with the restoration of civil authority in that distracted dis-tracted country, it is hoped that the pending pend-ing claims of our oitizens will ' be adjusted. ad-justed. In conformity with notification given by the Government of Peru, the existing exist-ing treaties of commerce and extradition between the United States and that country will termenate March 31st, 1886. OUB GOOD RELATIONSHIP ' WITH BUSSIA CONTINUES. CON-TINUES. An officer of the navy detailed for the purpose, pur-pose, is now on his way to Siberia bearing the testimonials voted by Congress to those who generously succored the survivors of the unfortunate 1'Jeannette" expedition. It is gratifying to advert to the cordiality of our intercourse with Spain. The long pending claim of the owners of the ship "Masonio," for loss suffered through the admitted direliction of the Spanish authorities author-ities in the Phillippine Islands, has been adjusted by arbitration and an indemnity awarded. The principle of arbitration in such cases, to which the United States have long and consistently adhered, thus receive a fresh and gratifying confirmation. OTHEB QUESTIONS WITH SPAIN Have been disposed of or are under diplomatic diplo-matic consideration, with a view to just and honorable settlement. The operation of the commercial agreement with Spain, of January Janu-ary 2d and February 13th, 1884, has been found inadequate to the commercial need of the United States and the Spanish Antilles, and the terms of the agreement are subjected subject-ed to conflicting interpretations in those Islands. Negotiations have been instituted at Madrid for a full treaty, not open to the objections, and in the line of the general policy touching the neighborly intercourse of proximate communities to which I elsewhere else-where advert, and aiming, moreover, at the removal of existing burdens and annoying restrictions, and although a satisfactory termination is promised I am compelled to delay its announcement. AH INTERNATIONAL COPYRIGHT CONFERENCE Was held at Berne in September, on the 'n-vitation 'n-vitation of the Swiss government. The en-i en-i voy of the United States attended as a dele-; dele-; gate, but refrained from committing the j Government to the results, even by signing the reoommendatorj protocol adopted. The ' interesting and important subject of inter- ' . - - ' ? f- national copyright has been before you for several years. Action is certainly desirable to effect the object in view, and while there I may be a question as to the relative advant-! advant-! age of treating it by legislation or by specific treaty, the matured views of the Berne conference con-ference cannot fail to aid your consideration of the subject. The termination of the commercial treaty of 1862 between the United States and Turkey Tur-key has been sought by that government. While there is question as to the sufficiency of the notice of termination given, yet as the commercial rights of our citizens come under the favored nation's guarantees of the prior treaty of 1830, and as equal treatment is admitted by the Porte, no inconvenience can result from the assent of this Government Govern-ment to the revision of the Ottoman tariffs on which the treaty powers have been invited in-vited to join. The questions concerning OUB CITIZENS XN TURKEY May be affected by the Porte's non-acquiescence in the right of expatriation and by the imposition of religious tests, as a uumuuon oi evidence in wnicn inis government govern-ment cannot concur. The United States must hold in their intercourse with every Power that the status of their citizens, is to be respected and full civil privileges allowed to them without regard to creed,and affected by no considerations,save those growing out of domiciliary return to the land of original allegiance, or of unfulfilled personal obligation obliga-tion which may survive under municipal laws on such voluntary return. - The negotiation with Venezuela, relating to the rehearing of the awards of the mixed commission constituted under the treaty of 1866, were resumed, in view of the recent acquiescence of the Venezulans in the principal point advanced by this Government, Govern-ment, that the effects of the old treaty could only be set aside by the operation of a new convention. A result in substantial accord ac-cord with the advisory suggestions contained in the joint resolution of March 3d, 1883, has hsfin ncrrAAfl nnnn nnH will nhnrtlv Vio submitted to the Senate for ratification. Under section 8659 of the Revised Statutes all funds held in trust by the United States and the annual interest accruing thereon, when not otherwise required by treaty, are to be invested in stocks of the United States bearing a rate of interest not less than 5 per centum per annum. There being now no procurable stocks paying so high a rate of interest, the letter of the statute is at present pres-ent inapplicable, but its spirit is subserved by continuing to make investments of this nature in current stocks bearing the highest interest now paid. The statute, however, makes no provision for the disposal of such accretions, it being contrary to the general rule of this Government Govern-ment to allow interest on claims. I recommend recom-mend the repeal of the provision in question, ques-tion, and the disposition under a uniform rule of the present accumulation from investment in-vestment of trust funds. The inedequacy of existing legislation TOUCHING CITIZEN SHIP AND NATUBALIZATION Demands your consideration. While recognizing recog-nizing the right, of expatriation, no statutory statu-tory provision exists providing means for renouncing citizenship by an American citizen, citi-zen, native-born or naturalized, nor for terminating ter-minating and vacating an improved acquisition acqui-sition of citizenship. Even a fraudulent decree of naturalization cannot now be cancelled. The privilege and franchise of American citizenship should be granted with care, and extended to those only who intend in good faith to assume the duty and responsibility when attaining its privilege. It should be withheld from those who merely go through the forms of naturalization with the attempt of escaping duties with their original allegiance, alle-giance, without taking upon themselves those of their new status, or who may acquire ac-quire the rights of American citizenship for no other than a hostile purpose towards their original government. These evils have had many flagrant illustrations. I regard with favor the suggestion put forth by one of my predecessors that provision provi-sion may be made for a central bureau of record of the decrees of naturalization granted by the various courts throughout the United States now invested with that power. The rights which spring from domicile domi-cile in the United States, especially when coupled with a declaration of intention to become a citizen, are worthy of definition by statute. The stranger coming hither with intent to remain, contributing to the general welfare, and by his voluntary act declaring his purpose to assume the responsibility of citizenship, thereby gains an inchoate status which legislation may properly define. The laws of certain States and Territories admit a domiciled alien to the local franchise, conferring on him the rights of citizenship to a degree which places him in the anomalous position of being a citizen of a State, and yet not of the United States within the purviews of Federal and International laws. It is important within the scope of national legislation to define this right of alien domicile as distinguished from Federal naturalization. The commercial relations of the United States with their immediate neighbors and with important areas of traffic near our shores, suggest especially liberal intercourse between them and the United States. Following Fol-lowing the treaty of 1883 with Mexico, which rested on the basis of reciprocal exemption from customs duties, other similar treaties were invited by my predecessors. Recognizing Recog-nizing the need of lessobstructed traffic with CUBA AND POBTO BICO, And met by the desire of Spain to succor languishing interests in the Antilles, steps were taken to attain those ends by a treaty of commerce. A similar . treaty was afterwards after-wards signed by the Dominican Republic. Subsequently overtures were made by Her Majesty's government for a like mutual extension of commercial intercourse with the British West Indian and South American Ameri-can Independencies, but without result. On taking office I withdrew for re-examination the treaties signed with Spain and Santo Domingo, then pending before the Senate. The result has been to satisfy me of the inexpediency in-expediency of entering into engagements of this character not covering the entire traffic. These treaties contemplated ihe surrender by the United States of large revenues for inadequate considerations. Upon sugar alone, duties were surrendered to an amount far exceeding all the advantages offered in exchange. Even were it intended to relieve our consumers, it was evident that so long as the exemption but partially covered our importation such relief would be illusory. To relinquish a revenue so essential essen-tial seemed highly improvident at - a time when new and large drains upon the Treasury were attempted. Moreover, embarrassing questions would have arisen under the favored nation clauses of treaties with other nations. As a further objection, j it is evident that tariff regulation by treaty diminishes that independent control over its own revenues which is essential for the safety and welfare of any government. An emergency emer-gency calling for an increase of taxation may at any time arise, and no engagement with a foreign power should exist to hamper the power of the Government. By the fourteenth four-teenth section of the Shipping Act.-approved June 26th, 1884, certain reductions and contingent con-tingent exemptions from tonnage dues were made on vessels entering the ports of the United States from any foreign port in North . and Central America. The West India Islands, the Bahamas and Bermudas, Mexico and the Isthmus, as far as Aspinwall and Panama, the Governments of Belgium, Denmark, Germany, Portugal and Sweden and Norway have as serted, under the favored nation clause, in their treatie3 with the United States, a claim of like treatment in respect to vessels coming com-ing to the United States from their home ports. This Government, however, holds that the privileges granted by the acts are purely goakraphical, accruing to any vessel of any foreign power that may choose to engage in traffic between this country and any port within the . defined zone, and no , warrant" exists under the most favored nation clause, for the extension of the privileges in question to vessels sailing to this country from ports outside the limitation limita-tion of the aot. Undoubtedly the relations of commerce with our neighbors whose territories terri-tories form so long a fronter line difficult to be guarded, and who find in our country, and equally offer to us, natural markets, de. mand special consideration and treatment. It rests with Congress . to consider what legislative action may increase facilities of intercourse which contiguity makes natural and desirable. . . I earnestly urge that Congress recast the appropriations for the maintenance of THE DIPLOMATIC AND CONSULAR SERVICE On a footing commensurate with the importance im-portance of our national interests. At every post where a representative is necessary the ! salary should be graded so as to permit him to-live with comfort. ,With the arrangement of adequate salaries the so-called notorial extra official fees which our officers abroad are now permitted to treat as personal perquisites, per-quisites, should be done nwav with. I favor also authorization "for the details of officers of the regular service as military or naval attaches at legations. Some foreign for-eign governments do not recognize the union of consular with diplomatic functions. Italy and Venezuela will only receive the appointee in one of his two capacities, but tnis does not prevent the requirement of a bond and submission to the responsibilities of an officer whose duties he cannot discharge. dis-charge. The superadded -title of Consul-General Consul-General should be abandoned at all missions. Every act requiring the certification and seal of .the office should be taxable at schedule sched-ule 'rates, and the fee therefor returned to the Treasury. By restoring these revenues to the public use, the Consular service would be self-supporting, even with a liberal increase in-crease of the present- low salaries. In the further prevention of abuses, a system of Consular inspection should be instituted. The appointment of a limited number of secretaries of legations at large, to be assigned as-signed to duty wherever necessary, and in particular for temporary service at missions whioh for any causo may be without a head, . should also be authorized. In Corea the late Minister was permitted to purchase a building from the Government rented for the legation are favored as to local charges. At Tangier the house occupied occu-pied by our representative has been for many years the property of this Government, Govern-ment, having been given for that purpose in 1822 -by the Sultan of Morocco. I approve the suggestion heretofore made, that in view of the conditions of life and administration in the eastern countries, the legation buildings build-ings in China, Japan, Corea, Siam. and perhaps per-haps Persia, should be owned and furniseed by the Government with a view to permanency perma-nency and security. i J deem it expedient that a well-desired measure for re-organization replace the present system, which labors under the disadvantage dis-advantage of combining judicial and executive execu-tive functions in the same office. In several Oriental countries offers have been made of premises for housing the. legation of the United States. A grant of land for that purpose was made some years since by Japan, and has been referred to in the annual an-nual messages .of my predecessors. The Siamese Government has mada a gift to the United States of commodious quarters in . Bangkok. To this end I recommend that authority be given to accept the gifts adverted to in Japan and Siam, and to purchase in the other countries named, with provision for furniture and repairs. A considerable saving in rentals would result. THE WORLD'S INDUSTRIAL EXPOSITION Held at New Orleans last winter, with the assistance of the Federal Government, attracted at-tracted a large number of foreign exhibits, and proved of great value in spreading among the concourse of visitors from Mexico Mex-ico and Central and South America a wider knowledge of the various manufactures and productions of this country, and their availability avail-ability in exchange for the productions of those regions. Past Congresses have had under consider ation the advisability of abolishing the discrimination dis-crimination made by the tariff laws in favor of the works of American artists. The odium of the policy which subjects to a high rate of duty the paintings of foreign artists, and exempts the productions of American artists residing abroad, and who receive gratuitously gratuitous-ly advantages and instruction, is visited upon our citizens engaged in art culture in Europe, and has caused them, with practical unanimity, to favor the abolition of such an ungenerous distinction, and in their interest and for other obvious reasons I strongly recommend it. THE BEPOBT OF THE SECRETARY OF THE TREASURY Fully exhibits the condition of the public finances, and of the several branches of Government connected with this department. depart-ment. The suggestions of the Secretary relating re-lating to the practical operations of this important im-portant department, and his recommendations recommenda-tions indicative of simplification and economy, econ-omy, particularly in the work of collecting customs duties, are especially urged upon the attention of Congress. The ordinary receipts from all sources for the fiscal year ended June 30th, 1S85, were 322,690,706.38. Of this sum $181,471,939.34 was received from customs and $112,498,-725.ct $112,498,-725.ct from internal revenue. The total receipts, re-ceipts, as given above, were 24,829,163.54 less than those for the year ending J une30th, 1884. This diminution embraces a falling off of $13,595,550.42 in the receipts from customs and $9,687,816.97 in the receipts from internal revenue. The total ordinary expenditures of the Government for the fiscal year were $260,-226,835.50, $260,-226,835.50, leaving a surplus in the Treasury at the close of the year of $63,463,771.27. This is $40,929,854.32 Jess than the surplus reported. The expenditures are classified as follows: For civil expenses, $23,826,942.11 ; for foreign intercourse, $5,439,609.11 : for Indians, $6,552,494.63 For pensions, $56,102.26.49; for the mili- ment and arsenals, $42,670,578.47; for the navy, including vessels, machinery and improvements im-provements of navy yards, $16,021,079.69; for interest of the public debt, $51,386,256.-41; $51,386,256.-41; for the District of Columbia, $3,497,650.-95; $3,497,650.-95; for miscellaneous expenditures, including includ-ing public revenue, $54,728,054.21. OUB PUBLIC DEBT. The amount paid on the public " debt during dur-ing the fiscal year ending June 30th, 1885, was $45,993,235.43, and there has been paid since that date and up to November 1st, 1885, the sum of $369,828 (?), leaving the amount of the debt at the last-named date, $1,514,475,860.47. There was, however; at that time in the Treasury, applicable ap-plicable to the general purposes of the Government, the sum of $66,818,292.38. I The total receipts for the current fiscal vear ending June 30th, 1886, ascertained to October Octo-ber 1st, 1885, and estimated for the remainder remain-der of the year, were $315,000,000. The expenditures ascertained and estimated for the same time are $245,000,000, leaving a surplus at the close of the year estimated at $70,030,000. The value of exports from the United States to foreign countries during the last fiscal year are as follows: Domestic merchandise, $726,682,-746; $726,682,-746; foreign merchandise, $15,504,809; gold, $8,477,892; silver, $33,753,633; total, $784,-421,280. $784,-421,280. - The balance of the message is now coming com-ing over the wires, but too late for publication publica-tion this afternoon. Ed. Democbat. |