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THE OMAHA DAILY BEE, TUESDAY, DECEMBER 2, 1890. 9rn9ulco by the military commander at San 080 @8 his warrant to take the pas- genger from the steamer. General Barrundia resistea capture and was killed It being evident that the minister, Mr. Mi or, has exceeded the bounds of his authority n intervening, in compliance with the de- mands of the Guatemalan authorities, to uthorize and effect, in violation of prece- nt, the seizure on'a vessel of the United States of a passenger of transit charged with political offenses in order that he might be tried for such offenses under what was do- geribed us martial law, 1 was constrained to disavow Mr. Mizner's act and recall him from his post. Nicaragua Canal. The Nicaragua conal project, under the control of our citizens, {5 making most en- pouraging progress, all the preliminary con- ditions and initial operations having been necomplished within the prescribed time, Cinims Against Chiti, During the past year negotiations have been renewed for the settlement of of American citizens against the ment of Chill, principally growing out ¢ late war with Peru. The reports from our Sninister at Santiago warrant the expectation ofan early and satisfactory adjustument. Our Relations with China Our relations with China, which have for gevera; years occupied so important a place in our diplomatic history, have ecalled for careful consideration and” have been the sub- gect of much correspondenc The communi- vations of the Chinese minister huve brought nto view the whole subject of our conven- tioual relations with his country and at the same time this government, through its lega- tion av Pekin, sought to arrange various mat- ters and complaints touching the interests and protection of our citizens in China, In pursuance of the concurrent resolution of Oc- tober 1, 1860, 1 have proposed to the govern- ments of Mexico and Great Britain to con- slder a conventional regulation of the passage of Chinese laborcrs across our southern and northern frontier We Got Nothing from Denmark. On August 22 last Sir Edward Monson, the arbitrator selected under the treaty of December 6, 1888, rendered an award to the offect that no compensation was due from the Danish government to the United States on account of what is commonly kuown as the Carlos-Butterfield claim, On Cordial Terms with France. Our relations with the French continue to wo cordial. Our representative at that court Mas very diligently urged the removal of the gestrictions imposed upon our meat produets, @nd it is believed that substantial progress has been made toward a just se tlement. Sxtradition Treaty with England. The new treaty of extradition with ( Britain, after due ratification, was pr claimed on March 25 last. Its beneficent working is already apparent. The difference between the two govern- ments touching the fur seal question in the Behring sea is not djusted, as will be seen by the correspondence which will soon be laid before congress. The offer to submit the question to arbitration, as proposed by her majesty's government, has not been ac- cepted, for the reason that the form of sub- n proposed is not thougnt to be calcu- 3 to assure to a conciusion satisfactory W either party. It is sincerely hoped that be- fore the opening of another sealing season some arrangement, may be effected which will assure to the United States a property right, derived from Russia, which was not disregarded by any nation for more than cighty years precoding the outbreak of the existing trouble. Hawail Wro ed by the Tariff. Tn the tariff act a wrong was done to the kingdom of Hawaii which I am bound to p sume was wholly unintentionul. Duties were levied on certain commodities wh Are included in the rec ¥ NOW exist- and the king- of Hawaii without indicating the neces- exception in favor of that kingdom. I hope congress will repair what might other- wise seem to be a breach of faith on the part of this government. Against Hayti. An award in favor of the United States in the matter of the claim of Mr. VauBokkelen against Hayti was rendered Decomber 4,158, but owing to disorders then and afterwards provailing in Hayti tho terms of payments ‘were not observed. A new agreement as to the time of payment hns been approved and 18 now in force. Other just claims of citizens of the United States for redress of wrongs suffered during the late political conflict in Hayti will, it is hoped, speedily yield to friendly treatment. Treaty with Japan, The revision of our treaty relations with the empire of Japan has continued to be a subject of consideration and of correspond- ence. The questions involyed are both grave and delicate, and while it will be my duty to see that the interests of the United States are not by any changes exposed to undue dis crimination, I sincerely hope that such rev sion as will satisfy the legitimate expecta- tions of the Japanese government and main- tain the presentand long-existing friendly relations ween Japan and the United States will be effected, Close Friendship with Mex The friendship betwe Mexico, born of close neighboring and strengthened by many considerations of in- timate intercourse and reciprocal interest, has never been more conspicuous than now mnor more hopeful of increased bendfit to both nations. The intercourse of the two coun- tries by rail, already great, is making con- stant growth. The established lines and those recently projected add to the intimacy of traffic and open new channels of access to fresh areas of demand and supply. The im- rtance of the Mexican railway system will further enhanced to a _degree almost im- sible to forecast if it should become a link n the projected inter-continental railway. Irecommend that our mission in the city of Mexico be raised to the first class, We Stand Well with Spain. The cordial character of our relations with Spain warrants the hope that by the continu- ance of methods of friendly negotiation much may be accomplished in the dirvection of an adjustment of pending questions and of the increase of our trade. The extent and development of our trade with the island of Cuba invest the commercial relations of the United States and Spain with a peculiar im- portance. It is not doubted that a special arrangement in regurd to commerce, based upou the reciprocity provision of the recent tariff act, would operate most beneficially for both governments. This subject is now re- ceiving attention. The Venexuela Claims Convention. On September 2 last the commission ap- pointed to revise the proceedings of the com- mission under the claims convention between the United States and Venezueia of 1866, brought its labors to a close within the period fixed for that purpose. The proceedings of the late commission were characterized b it of impartiality and a high sense of justace, and an incident which was for many years the subject of discussion between tho two governments has been disposed of in & manner alike honorable und satisfactory to both parties. For the settlement of the claim of the Venezuelan steam_transportation com- any, which was the subject of & joint reso- ution adopted at the last session of con- Rress, nerul.iu!inm are still in progress and theur early conclusion is auticipated. 1ts Importance Urged Upon the At- tention of Cong The logislation of tho past fow years has ovidenced on the part of congress a growing realization of the importance of the consular service in fostering our commercial relations abroad and in protecting the domestic rov- onues, As the scopo of oporations expand increased provision must be made to keep up the essential standard of efficiency. Tho necessity of some adequate measure of supervision and inspection has boen so often resented that 1 need only commend the sub- ect to your attention, A Statemenc of the Financial Affairs of the Government. The revenucs of tho government from all ar euding June 0, 1540, were $AG3, 00 and the total ex: jlures for tho sumo period were 108, 18,084.53. ‘P postal receipts have not here- tofore beew ineluded in the statement of these sggregetes, and for the purpose of compari- 800 tie sum of $30,852,007.92 should ve de ducted frow both sides of the aecount. The surplus for e yoear, including the amount a W the shikng fund, was $100,- 406,08, Fhe recelpt 1590 were L0, 00, 0.9 s Lhie ex 5,750,871 U Ex0eas Of thow of |8 U8l re- celpls Lucrenscd .58, 544 58 wud tho recelpts Lrow Lutersad sovenue §11,726 10159, while on the alde of expenditurds thut for pensions was $10,312,075.06 in excess of the preceding year, ? The treasury statement for the current fls- cal year, partly actual and partly estimated, is as follows: Receipts from all sources, £4006,000,000, total expenditures, £354,000,000, leaving 8 surplus of $52,000,000, not taking the postal receipts into the account of either side. The loss of from customs for the ldst quarter is §25,000,000, but from this is deducted gain of about $16,000,000 realized dur- ing the first four months of the year. For the year 1502 the total estimated receipts 0,000 and the estimated expendi- 42, leaving an estimated 58, which, with a_cash alance of & the beginning of the \ will giv nin ail- able for the redemption of outstanding bonds or other uses The estimates of receipts and expenditures for the postoftice deparime | not included in this statement on either side. THE SILVER LAW. surplus of 81 A Longer Trial Necessary to Deters mine Its Permanent Effect. The act directing the purchase of silver bullion und the issue of treasury notes thereon, approved July 14, 1800, has been administered by the tary of the treasury withan earnest purpose to get into cireulation at the earliest possible dates the full monthly amounts of treasury notes contemplated b3 its provisions and 4t the same time to give to the market for silver bullion such sup- port as the law contemplates. The recent. depreciation in the price of silver has been observed with regret. The rapid n price which followed the passage of the act was followed by specula- tion and the reaction is part of the result of the same cause and part of the recent mone- tary disturbanc Some months of further trial will be necessary to determine the per- manent effect of the recent legislation upon silver values, but it {5 gratifying to know that the incrensed circulation secured by the act has exerted and will continue to exert a most beneficial influence upon business and upon general values, While it has not been thought best to renew formally the sugges- tion of an international conference looking to an ag ment touching the fulluse of silver for coinage at a uniform ratio, care has been taken to observe closely ar ige in the situation abroad, and no favorable opportuni- ty will be lost to promote a result which it is confidently believea would confer very large benefits upon the commerce of the world. The recent monetary disturbances in Eng- land are not unlikely to suggest o recxamin- ation of opinions upon this subject. Our very large supply of gold will, if not lost by impulsive legislation in the supposed interest of silver, give us a position of advantage in promoting a permanent aud safe international agreement for the free use of silver as a coin metal. nereasing the Circulating Mediu The efforts of the secretary to inerease the volume of money in civculation by keeping down the treasury surplus to the lowest ble limit have been unremitting and in a very high d ssful. The tables presented by hinm, showing the increasg of money in circulation during the last two de- cades, and especially the table showing the increase during the nineteen mouths he has administered the affairs of the department, are interesting and instructive, The merease of money in circulation duri the nineteen months has been in the aggregate 503,556,581 or about # pita, and of the increase only £7,100, due 'to the recent silver legislation. That this substantial and needed aid given to commerce resulted in an enormous reduction of the public debt and of the annual interest charge is a matter of in- creased satisfation, There have been pu chased and redeemed since March 4, 1589, 4 and 435 per cent bonds to the amount of £211,582,450 at a cost of §216,620,741, resulting in the reduction of the annual interest charee of $3,107,609, and a total saving of - terest of §3 INTERNAL REVENUES. An Increase of Nearly Twelve Mil- lions in Receipts, 1 notice with great pleasure the statement of the secretary that the receipts from inter- nal revenue have increased during the last fiscal year nearly $12,000,000 and thav the cost of collecting lllfs large revenue was less by $00,617 than for the sume purpose in the pre- ceding yoar. The percentage of cost of collecting the cus- toms revenue for the last fiscal year was less than ever before. The customs administra- tion board provided for by the act of June 10, 1890, was sclected with great care aud is com- posed in part of menwhose previous experi- ence in the administration of the old customs regulations had made them familiar with the evils to be rvemedied and iv part of men whose iegal and judicial acquirements and experience seemed to fit them for the work of irterpreting and applying the new statute. The chief aim of the law is to secure honest valuations of all autiable merchandise and to make these valuations uniform at all our ports of entry. It had been made mani fest by a congressional investigation that a system ot undervaluation had been long in use by certain classes of importers, resulting not only in a_great loss of revenue, but in a most intolerable discrimination against hon- esty. Itis not seen how this legislation, when it is understood, can be regarded by the citi- zens of any country having commercial deal- wgs with us = as unfriendly. Any duty is supposed to be oxcessive. Let the complaint be lodged there. It will surely be claimed by any well dis- vosed people that o remedy may be sought aud allowed in a system of quasi smuggling. THE WAR DE. RTMENT. Some Very Gratifying Results At- tained During the Year. The report of the secretary of war exhibits several gratifying results attained durving the vear by wisé and unostentatious methods. The percentage of desertions from the urmy (an evil for which both congress and the de- partment have long been secking a remedy ) has been reduced during the past year 24 per cent, and for the months of August aud Sep- tember, during which time the favorable effects of the act of June 16 were felt, 33 per cent as compared with the same months of 1880, The results attained by a reorganization and consolidation of the divisions having charge of the hospital service records of the volunteer soldiers are very remarkable. This change was effected in July, 1889, and at that time there were 40,654 cases awaiting atten- tion, more than half of these being calls from the Iwusiou office for iuformation necessary to the adjudication of pension ms. On June #0 last, though over threc hundred thousand new calls had come in, there was not a single case that had not been examined and entered. I concur in the recommendations of the " ¢ that adequate and regularappropri- ations be ('nminmu] for coast defense works and ordnance. Plans have been practically agreed upon and there can be no good reason for delaying the execution of them, while the defenseless state of our great seaports furnishes an urgent reason for wise expedi- tion. The encouragement that has been extended 1o the militia of the states generally, most ap- propriately designated the **National Guard,” should be continued and enlurged. These military ovganizations constitute, in a large sense, the army of the United States, while about five-sixths of the annual cost of their wmaintenance is defrayed by the states. DEPARTMENT OF JUSTI Vigorous and Effctive Measures Against Violators of Law. ‘The report of the attorney general is, under tho law, submitted directly to congress, but as the department of justice is one of the ex- ecutive depurtments, some reference to the work done is appropriate here. A vigorous and, {u the main, an effective effort has been made to bring to trial and punishment all violators of the laws, but at the same time care has been taken that frivolous and tech- nical offenses should not be used to swell the fees of ofticers or to harass well disposed _citizens. pecial attention is called to the facts connected with the prosecution of violations of the elec- tion laws, and of offenses ugaiust United ates officers. The number of convictions secured, very many of them upon pleas of guilty, will, it is hoped, have a salutury re- straining influence. ‘There huve been several cases where post masters appointed by me have been subjected to violent interference in the discharge of their ofticial duties and to persecutions and personal violence of the most extreme char- uctor. Some of these cases have been dealt | with through the department of justice, and in some cases the postofices have been abolished or suspended. 1 have directed the postmaster general o pursue this course in | all cases where other efforts failed 1o secure for any postwaster, not biwself in fault, an 0] %nrmnlty peacefully to exercise the duties of his office. But such action will not sup- plant the efforts of justice to bring the particular offenders to punishment. Fraudulent Naturalization. The vacation by judicial decrees of fraudu- lent certificates of naturalization upon bills 1 equity filed by the attorney general in the cireuit court of the United Btates is anew application of a familiar equity jurisdiction., Nearly one hundred such decrees have been taken during the year, the evidence disclos- ing that a very large number of fraudulent certificates of naturalization have been is- sued. And in this connection I beg to renew my recommendation that the laws bo 8o amended as to require a more full and search- ing inquiry into all the facts necessary to nnturalization before any certificates “are eranted. It certaiuly is not too much to quire that an application for American citi- zenship shall be heard with as much care and recorded with as much formality as are given to cases involving the pettiest property right, : At the last session 1 retuined without my approval bill entitled “An act to prohibit book-making and _pool-selling in the District of Columbia,'* and stated my objection to be that it did not prohibit, but in fact licensed what it purported to prohibit. An effort will be made ander existing laws to suppross this evil, though it is not - sure that they will be found adequate, POSTAL AFEAIRS, Gratifying Result, of Business Princi- ples in the Department. Tho report of the postmaster general shows the most gratifying progress in the work committed to his direction, Tho busi- ness methods have been greatly improved, & large economy in expenditures and an in- crease of #,350,000 in reccints have been realized. Tile deficlency this year is #),78: 00, as against $,350,183 last year, notwith standing tho great enlargoment of the ser- vice. Mail routes have becn extended and quickened and greater accuracy and dispateh in distribution and delivery have been ab- tained, The roport will be found full of in- terest and suggestion, not only to congress, but to those thoughtful citizens who may be interested to know what business methods can do for that department of public admin- istration which most nearly touches all our people. The Anti-Lottery Law. The passage of the act to amend certain sections of the revised statutes relating to lotterics, approved September 19, 1560, has been received with great and deserved popu- lar favor, The postolice department and the department ()g justice at once entered upon the enforcement of the law with sym- pathetic vigor, and already the public mails have been largely freed from the fraudulent and demoralizing appeals and literatu ce.ema- uating from the lottery companies NAVAL COMSTRUCTIO Satisfactory Progress Made in the Equipment of New Ships. The construction and equipmentof the new ships for the navy has made very satisfac- tory progress. Since March 4. 1880, nine new vessels have been put in commission and during this winter four more, including one monitor, will be added. The construction of the other vessels authorized is being pushed both in the government aud private yards with energy and watched with the most scrupulous — care, "The experiments conducted during theyear 1o test the relative resisting power of armor plates have been so valuable as to attract great attention in Kurope. The ouly part of the work upon the new ships that is threat- ened by unusual delay is the avmor plating, and e ffort is being made to reduce that to the minimum. It is & source of congratula- tion that the anticipated influen of these modern vessels, upon the esprit de_corps of the officers and seamen has been fully real- zed. Confidenceand pride m the ship smong the crew are equivalent to & secondary bat- tery. Your favorable consideration is in- vited to the recommendations of the secre- tary. THE INTERIOR DEPARTMENT. Secretary Noble's Suggestions Ear- nestly Commended to Congress. The report of the secretary of the interior exhibits with great fullness and clearness tho vast work of that great department and the satisfactory results attained. The “sugges- tions made by him are carnestly commended to the cousideration of congress, though they cannot all be given particular mention hers, The several acts of congress looking to the reduction of the larger Indian reservi- tions, to the more rapid _settle- ment of the Indians upon individual allotments and the restoration to the public domain of lands in excess of tneir needs have been largely carried into of 50 fur as the work was contided to the executive. Agree- ments ve been concluded since March 4, 1889, involving the cession to the United States of ab acres of land, These contracts ha quired by law, been sub- mitted to cougress for ratification and for the tions necessary to carcy them into hose with the Sisseton und Wah pe- ton, Sac and Fox, Jowa, Pottawattamies and absentee Shawnees and Cwer o'Alene tribes have not yet received the sanction of congre Attention is also called to the fact that the appropriations made in the case of the Sioux Indians nave not covered ali the lated payments. This should be corrected, If an agreement is confi of its terms should be complied with without delay and full approprations should be made. THE LAND OFFICE. Claims Adjudicated with Promptness nd Impartiality. The policy outlined in my annual mes- sugen relution to. the patenting of lunds to scttlers upon the public domain s been car- vied out_in the administration of tho land office. No general suspicion or imputation of fraud has been allowed to delay the hearing and adjudication of individual cases upon their merits. Their purpose has been to per- fect the title of honest settlers with such promptness that the value of the entry might not be swallowed up by the expense and ex- tortions to which detay subjected the claim- ant, The average monthly issuc of agri- cultural patents has been increased about six thousand. THE PENSION BUREAU. Settlements Under the Disability Act Hav: Gone Forward Rapidly. The disability pension act, which was ap- proved June 27 last, has been put into opera- tion us rapidly as was practicable. The in- creased clerical force provided was selected and assigned to work, and a considerable part of the force engaged in the examinations in the field was recailled and added o the working force of the ofice. The examination and adjudication of claims have, by reason of the improvea methods, been more rapid than ever before, There is no economy to the gov- ernment in delay, while there is much hard- ship and injustice to the soldie The anticl- pated expenditure, while very iarge, will not, t is belioved, be in excess of the estunates made before the enactment of the law. This liberal enlargement of the general law should suggest a move careful scrutiny of bills for special relief, both as to care with which relief is granted and as to the amount allowed. THE MORMON SUBJECT. A Good Decrease in the of the Faithful, The increasing numbers and influence of the non-Mormon ponulation in Utah are ob- served with satsfaction, The recent letter of Wilford Woodruff, president of the Mor- mon chureh, in which he advised his people o refrain trom contracting any marriage the laws of the land,’” has at- tracted wide attention, and it is hoped that its influence will be lghly beneficial in restraining infractions of the laws of the United States, But the fact should not be overlooked that the doctrine or belief of the church fhat polygamous marriages are rightful aud supported by diviue revelation remains unchanged. President Woodruft does not renounee the doctrine, but refraius from teaching it, avd advises against the practice of it because the law is against it. Jow, it is quite truo that the law should not attempt to deal with the faith or belief of any one, but it is quite another thing, and the ounly safe thing, so to deal with the territory of Utah 5o that those who belieye polygamy to be rightful shall not have the pos 0 make it lawtul. Admission o The admission Number Wyoming and Idaho. of the territories of Wyoming and Idaho to the union of states are events full of in- terest and congratulation, not only to the people of those states now happily endowed With a full participation m our privileges and responsibilities, but to all our people. Aa- other belt of staes tio to the Pacific, The PRleht Omoe. The work of the patent ofice has won from all sources very Mgt commendation, T amount accomplished has been very largely increased, and all thy results have béen such as to secure confidauce aud consideration for the suggestions of the commissioner. The El&teith Census. The enumeration bt'the peopie of the United States under the provisions of the act of March 1, 1800, has completed and the ro- sult will'be at once eMicially communicated to congress, The com feghm of this decennial euumeration devolved Wpon coagress the duty of making a new apporiionment of represen- tatives “among the soyeral states according to their respective nimber.” The Public Building Veto. At tho last session I had oceasion to return with my objections several bills making pro- visions for the erection of public buildings for the reason that the oxpenditures were in my opinion greatly in cxcess of any public need. No class of legislation is more liable to abuse or to degenerate into an unscemly seramble about the public treasury than this, There should be excrcised in this mattera wise economy based unon soume respousible and impartial examination and report asto each case under a general 1w, AGRICULTURE. 'sirftehes from tho Atla Encouraging Increase in Prices of Products and in Exports. The report of the secretary of agriculture deserves especial attention in_view of the fact that the year has been marked in a very unusual degree by agrtation and organization among the farmers looking to an increase in the profits of their business. It will be found that the efforts of the department have been intelligently and zealously devoted to the promotion of the interests mtrusted to its care. A very substauntial improvement in the market prices of the leading farm pro- ducts during the year 1s noticed. The price of wheat advanced from 81 cents in October, 18¢0, to $L00%{ in October, 18%0; corn, from B1 cents to 50’y cents; oats, from 2% cents to 4 cents, and barley, from 63 cents to 8 cents. Meats showed a substantial but not s0 large an incpease, The export frade in live animals and fowls shows u very large increase. The total in such exporis for the year ending June 30, 1860, was 33,000,000, aud the increase over the preceding year was over $15,000,000. Nearly 200,000 cattle and over 45,000 more hogs “were' exported than in the precediug v The export trade in beef und pork and in dairy products was very largely increased, the increase in_ the article of Dutter alone being from 15,504,078 pounds to 20,748,042 pounds, and the total increase in the value of meat and duiry products exported being 34,000,000 This trade, 80 directly helpful to the farmer, it is be- lioved will be yet further and largely increased when the system of inspec- tion and sanitary sion now provided by law is brought fully into operation. The effor sh the health- fulness of our meats against the disparaging imputations that Lave been put ou them abroad have resulted in substantial prozress. Veterinary surgeons sont out by the depart- ment are now allowed to participate in thein- spection of the live catle in this country Janded at Knglish docks, aud during the sev- eral months they have béen on duty no case of contagious pleuro-pneumonia been re- ported This inspectionabroad and the do- mesté. inspection of live animals and pork products, provided for by the act of August 50, 158, will afford as pe fect u guarinty for' the wholesomeness of our meats offered for foreign_ consumption a nywhere riven 10’ any food product, and its non-ucceprance will quite clearly r veal the real motiveof any continued rest tion of their use. ._yd that having been made clear the duty of the exdeutive will be very plain. The Beet Sugar Industry. The information given'by the secretary of s and prospedts of the beet sugar full of interpst. It has already wutal gtage and is a com- ‘Ihe grea over which the sugar beet can be successfully cultivated is very lurge und another field crop of great value is offered to:the ghoice of the farmers. The secretary of | the . treasury concurs in the recommendation of the secrstary of agri~ culture that the officiad supervision provided by the tariff law for sugar of domestic pro- duction shall be tranisforzed to the depart- nient of agriculture, v THE CIVIL §:RVICE. Good Work Done with Very Limited Appropriations. The law relating to the civil service has, so those in the with_fidelity and inparti- crvice has been inereasingly satisfactor The report of the i shows u largeamount of good work done dur- ing the year with very limited appropriutions. W LAWS ENACTED. faras Ican learn, been exceuted by having the power of appointment classified sorvic ality and the Beneficial Results of the Liegislation of the Recent Session, 1 congratulate the congress and the coun- try upon the passage at the first session of the Fifty-first congress of an unusual number of laws of v high importance. That the results of th slation will be the quicken- ing and enlargemient of our manufacturing industries; larger and better markets for our breadstuffs and provisions, both at home and abroad: more constant employment and better wages for our working people, and an in- creased supply of a safe currency for the transaction of business, I do not doubt. Some of thése measures were enacted at so late a period that the beneficial effects apon com- meree which were in the contemplation of congress have, as yet, but partially mani- fested themselve: Improved Business Oonditions. The general trade and industrial conditions throughout the country during the year have shown a marked improvement. 1or many years prior to 1588 the merchandise balauces of forcign trade had been lurwely in our favor, but during that yeas and the year fol- lowing they turned against us. 1t is very gratifying to know that the last fiscal year again shows u balance in our faver of over £08.000,000. The bank clearings, which fur- nish a good test of the volume of business transacted, for the first ten months of the year 1800 show, as compared with the same months of 1889, an inc e for the whole country of about 3.4 per cent, while the in- crease outside of the city of New York was over 13 per cent. During vhe month of Octo- ber the clearings of the whole country showed an incecase of 3.1 per cent over Octo- ber, 1859, while outside of New York the in- crease was 115-10 percent. These figures show that the increase in the volume of busi- s was very general throughout the coun- try. That this larger busir was being conducted upon a safe and profitable basis is shown by the fact that there were 300 less failures reported in Octover, 1 than in the same wonth of the preceding year, with liabilities diminished by about 5,000,000, Increased Value of Exports. The value of ofif éxports of domestic merchundise during fhe last vear was over £115,000,000 greater than the preceding year and was only excegfiéd once in our history. About §100,000,000 of " this exc was in agri- cultural products, (The; production of pig iron, always a godd gapie of general pros- perity, is shown by & ¥eent consus bulletin to have been 153 por; gept, greater in 1590 than in 1880 and roduction of steel 200 por cont jerod Mining in coal has had no_limitagion except that result- ing from ineflicient tyagsportation. The gen- oral testimony is thay Jabor is everywhere fully employed and tlg reports for the last yoar show a smajpeg yumber of employes affected by strikes ant fo«-lmm than in any year since 1534, e The Kecent'Wigancial Flurry, The depression in the prices of agricultural roducts had been eatly relicved and a buoyant and hopeful feeling was beginning to be felt by all our people. These promisiug in- fluences have been in'some degree checked by the surprising and very unfavorable monetary events which have recently taken place in [ingland, It is gratifying to know this did not grow in any dogree out of the financial relations of London with our people or out of any discredit gftached to our securi- ties held in that market. The return of our bonds and stocks was caused by @ money stringency in England, not by any loss of value or crediv in the securities them- selves, We could not, however, wholly es cape the ill-effects of a foreign monetary agi- tation, accompanied by such incidenis as characterized this, It is not believed, how- ever, that these evil incidents, which have for the time unfaverably affccted values in this country, can long withstand the strong, safe and wholesome influences which are op- eratiug to_give to our people profitable re- turns ru all branches of legitimate trade and industry. The apprehension that our tarift may again afd at once be subjected to im- portant general changes would undoubtedi add a denressing influence of the most seri- ous character, THE MKINLEY BILL. It Shonld at Least Be Given a Fair ‘U'rial. tariff act has only partially gone into operation, some of its important provisious being limited o tako effect ot dates ?‘(‘l in the future, The geueral provis- ions of the law have sixty d Its permauent effect upon trade and prices still largely stands in conjecturo. It is curious to note that the advance in the price of articles wholly unaffectod by the tariff act was by many hastily aseribea to that act. Notice was not taken of the fact that the goneral tendency of the markets was upward from influences wholly apart from the recent tariff legislation. The e Jargoment of our currency by tho silver bill undoubtedly gavo an upward tendency to trade and had a marked effect on prices, but this natural and desired effect of thesilver legislation was by many crroncously at- tributed to the tariit act. ‘I'here is neither wisdom nor justicein tho suggestion that the subject of tariff revision shall be opened before this law has had a fair trial. It is quite as true thatev tariff schedule is subject to objections, No bill was ever framed, [ suppose, that in all of its rates and classifications had the full ap- proval even of a party caucus, Such legis- ution is always and nocessarily the product of comproniise as to dotails, arnd the prosent law is no exception. But in its general scope and eoffect I think it will justify the support of those who believe that American legislation should conserve and defend American trade and the wages of American workmen. The misin- formation as to the terms of the act, which have been so widely disseminated at home and abroad, will be corrected by experience, and the evil auguries as to its results con- founded by the market reports, the savings banks, intérnational trade balances, and the general prosperity of our people. Already we begin to hear from abroad and from our custom houses that the prohibitory effect upon importations 1mputed to the act is not justified. The imports at the vort of New York for the first threa weeks of November were neavly 8 per cent greater than for the same period in 1889, and 20 per cent greater than in the same period of 1888, And so far from being anact to limit exports, I confidently belicve that under it shall secure u lavger and more profitable icipation in foreign trade than we have enjoyed, and that we shall recover a proportionaté participation in the ocean car- rywg trade of the world. Criticisms of the bill which havecome to us from foreign sources, may well be rejected for repugnan If these critics really believe that adoption by us of a free trade policy or of tariff rates having reference solely 0 would diminish the participation of their own countries in the commerce of the world, their advocacy and the promotion by speech and other torins of an organized effort of this movement among our people, is a rare exhibition of unselfishuess in trade. And on the other nand, if they si believe that the adoption of a protective tariff policy by this country inures to their profit and our hurt, it is nof ably strange that they should lead the outery aganstihe authors of a policy so helpful "to their countrymen and crown awith their favor . those who would snatch from them a substantial share 1e with other lands already inadeq necessitie There is 1o disposition among any of our people to promote. probibitory or retaliatory legislation, Our policies are not adopted to the bury of others, butto secure for ourselves those advantages that fairly grow outof our favored position asa nation Our form of government, with its incident of universal suffrage makes it imperative that we shall save our working people from the agitations and distresses which scant work that has no margin for cownfort always begets, But after all this 18 done, it will be found that our markets are open to friendly commercial exchanges of enormous value to other great powers, From the time of my induction into office, the duty of using every power and influence given by law to the executive department for the development of larger markets for our products, especially our farm products, has been t constantly in mind, and no effort has been or will be spared to promote thav end, Weare under no disadvantage in any foreign market except that we pay our work- ingmen and workwomen better wages than are paid elsewhere—better — abstractly, better clatively to the cost of the necessaries of life. 1 do not doubt that @ very largely increased foreign trade is accessible to us without bartering for either our home market for such products of the farm and st 5 our own people can supyly, or the wages of our work- ing people, In many of the products of wood and irom, and in meéats and breadstuffs, we have advantages that only need better facili- ties of intercourse and transportation to secure for them large foreign markets, The Reciprocity Clause, The reciprocity clause of the tariff act wisely and in efféct opens the way to securo a large reciprocal trade in exchunge for the free admission to our ports of certain products. The right of independent nations to make special reciprocal trade concessions is well ablished and does not impair either the comity due to other powers or what is known as the ‘“‘favored nation clause,” so generally found in commercial treat- ies. What is given o one for an adequate, agreed cousideration cannot be claimed by another freely. The state of the revenues was such that we could dispose with any 1mport duties upon coffec, tea, hides and the lower gradesof sugar and molasses, That the large advantage result- ing to the countries producing aud exporting these articles, by pl them on the free list, entitled us to expect a fair return in the Of CUSLOMS CONCESSIONS Upou ur- exported by us to them, 50 obvious that to have gratuitously abandoned this opportunity to enlarge our trade would have been an un- pardonable error. There were but two methods of maintaining control of this que: tion open to congress—to place all of thes articles upon the dutiable list, subject to such treaty agreements as could be secured, or lace them all presently upon the free list, ut subject to the reimposition of specified duties if the countries from which ceived them should 156 10 give us suitable veciprocal benefits. This latter method pos- sesses great advantages. 1t expresses in ad- vance the consent of congress _reciprocity arrangements affecting these products whicl must otherwise have been delayed and un- acertained until each treaty was ratified by the senate and the neccssary legislation enacted by congress. Kxperience has shown that somo treaties looking toward reciprocal trade have failed to secure u two-thirds vote in the senate for ratification, and others ha ing passed that stage have for yea the concurrence of the house and senate in such modifications of our revenue laws as were necessary to give effect to their pro- visions. We now have the coneurrence of both houses in advance in a distinct and defi- nite offer of free entry to our p: arti The executive quire to deal 1n conjucture as what congress will aecept. Indeed, this reciprocity provision is more than an offer, Our part of the bargain is complete; Qelivory has been made and when countrios from which we receive sugar, coffee, tea and hides have placed on their free lists such of ourproducts as shall be agreed upon as equivalent for our concession, of that fact comp! the trs 3 in the meantime our own people huye free sugar, wa, coffee and hides. ‘The indica- tions thus far given are very hopeful of early and favorable action by the countrics from which we receive our large imports of coffes and sugar, and it is confidently believed that if steam communication with these countries can be promptly improved und enlarged, the The general is mnot re- next year will show a most gratifying in- | crease in our exports of breadstuffs and pro- visions as well us of some important lines of manufactured goods, "AMPORTANT MEASURES, Legislation Which Should toat this Session. In addition to the bills that became laws before adjourament of the last session some other bills of the highest importance were well advanced toward a final vote and now stand upon the calendars of the two houses in favored positions. Tho present session has. a fixed limit, and if theso measures are not now broughtt to a final vote ail the work that has been done upon them by this congress is lost, Tho proper considcration of these, ofan apportionment bill and of the annual appro- priution bills will require not_only that no working day of tue session shall bo lost, but that measures of minor and'local Interest shall not be allowed toin= Attended been in force less than | | and | the establishment of | of such nations as may meet our torrupt or retard the progres are of universal futerest. In of th that view of these conditions I refrain from bringing before | you at this time some suggestions that would otherwise be made, and yoke your attention to the duty of perfecting the 1mportant legislation now well advanced. Td some of the measure: most enrnestly in- | the government for the e, At fair Tates, of the homestend set- tlers who'will eventuaily take up these lands. The United States should not, in my opinion, undertake the constriction of dars or canals, | but should limit its work to such surveys and obsorvations as will determine the watorsup vhich seem to me | ply, both surface and subterranean, the areas most important, I now briefly eall your at- | capible of ierigation and tho useand loc tention, 1 desire to repeat with added urgeucy the | This donoe the use of the w recommendations contained in my last annual message in relation to the development ot Amevican steamship lines. The reciprocity clause of the tariff bill will be largol limited, ~and its benefits retarded diminished f provision is not contemporancously made to encourage first-class steam com- munication between our ports and the ports overtures for enlarged commercial exchan The steamships carrying the mails statedly and frequently, and offering to passong fortable, ‘safe and speedy transit i condition of foreign t 1t ho order of the buyer, but not all t is ordered orbought. It gives to the saiiing vesseis such cargoes as aro 1ot urgent or perishab) and indirectly at least promotes that impor ant adjunct of commerce, There is now both in this country and in the o tions of Central and South America a state of expectation and contidence as to in- creased trade that will give a double valuo to your pronipt action upon this question, The prosent situation of our mail communication with Australia illustrates the importance of carly action by congress. The Oceanicsteam- ship company maintains a line of stoauners between Sai Francisco, Sydney and Auck- land, consisting of throo vessels, two of which are of Uhited States registry and one of foreign registry. Kor the service done by this live in cariying the mails we pay an- nually the sum of $46,000, being estimated the en and United States inland postage, which is the mitfixed by law. The cotonios of New South Wales and New Zealand have been paying annually to these li for carrying the mails from §; Auckland toSan Francisco. The contract under which this paymeut has been made is now about to expire “and those colonies haye refused to renew the contract unless the Umted States shall pay o more cquitablo proportion of the sum necessary to hold the service, I am advised by the postmaster general the United States receives for carr ing the Australian mails brought to Fraucisco in those steamers by rail to Van- couveran estimated annual income of £, 000, while, us & have stated, weare paying, out for thesupport of the steamship line that brings this mail to us ouly £16,000, leaving an_ anuual surplus resulting from this service of $20,000. ‘I'he trade of the ited States with Aust which is in a considerable part earried by these steamers, aud the whole of which is practically depen= dent upon the mail communication which they maintain, 1s largely in our favor, Our total exports of merchandise to Australiun ports during the fiscal year ending June 0, 1800, were §11,206,48, while the total imports of merchandiso from these ports were ozly —$1,277,076. 1f we are not willing tosee this important steam- ship line withdvawn orcoutinued with Van- couver substituted for San Fran- clsco as the American terminal, coa- gress should put it in the power of the postmaster general to make aliberal increase in the amount now paid for the trans- portation of this important mail. The south Atlantic and gulf ports oceupy avery favored position towards the new and important com- merce which the reciprocity clause of the tar- ifactand the postal shipping bill are de- signed to promote. Steamship iines from these ports to some northern port of South America will almost certainly effect a connec- tion between the railroad systems of the con- tlnents long before any continuous line of rail- roads ean be put into operation, The very large appropriation made at the Jast session for the harbor of Galveston was justified, us it seemed to be, by those considerations. The great northwest will feel the advantage of trunl lines to the south as_well as to the east and of the new mavkets offered for the sup- ply of food products and for many of their wanufactured products. luternational American Bank. I had oceasion in May last to trausmnit to congress @ report adopted by the interna- tionaleAmerican conference upon the subject of the incorporation_of an international A mer- ican bank with a view to facilitating money exchanges between the states represented in that_conference, Such an institution would 5mutly promote the trade we ar ing to evelop. I renew the recommen careful and well guarded charter beo granted. 1do not think the powers granted should in- clude those ovdinarily exercised by trust, guarauty and safe deposit companies, or that more branches in the United States should be authorized than are strictly neces ary to uccomplish the object” prim ily “in view, namely, convenient forcign exchanges. It is quite important that prompt- action should be taker in this matter in_ order that any appropriations in order for better communication with those countries a agreements that may be made for trade way not. be hindered for the convenience of making exchanges through Iuropean money centers or burdencd by the tribute which is an incident of that method of busi- u the first Relicf of the Suprem The bill for the relief of the supreme court las, after many years of discussion, reached aposition where final action is casily attain- able, and itis hoped that any differences of opinion may be 50 harmonized as to save the cssential features of this very important measure. In this connection 1 earnestly re- new wy recommendation that the salaries of the judges of the United States district courts be so readjusted that none of thom shaall receive less than 5,000 per annum. Spanish and Mexican Land Grants, ‘The subject of the unadjusted Spanish and Mexican land grauts and the urgent necessity for providing some commission or tribunal for the trial of questions of title growing out of them were twice brought by me to the atten- tion of congress at the last have been reported from the prop tees in both houses on the subject carnestly hope that, this congross will put an end to the delay which hus attended the set- tlement of the disputes as to title between sottlers and the cla s underthose grants. These disputes rotard the prosperi turb the peace of large aud important com- munities. small Holdings of Farm Lands. The govornor of New Mexico in bis last re- port to the secretary of the interior suggests some modifications “of the provisions of the pending bills relating to the small holdings of farm lands. 1 commend to your attention the suggestions of the sec rior upon this subject. National Bankrupt Law. The enactment of a national bankrupt law I still regard as very desivable. The const Court. of this subject 1t should be exercised and uni- form rules provided for the administration of of insolvent debtors. The incon- veniences resulting from the occasional tem- porary exerciseof ~this power by conpgress and from the conflicting state codes of in: veney which come into foree intermed shoull be removed by the enactment of a simple, inexpensive and permanent uational bankrupt law. Copyright Protection for Authors. T also renew my recommendation in favor of legislation affording just copyright prote tion for foreign authors on a }lm\ilmuf n procal advantage for authors abroad, Kailroad Safety Appliances Urged. It may still be possible for this cong inaugurate by suitable legislation o ment looking to uniformity and iner oty in the useof coupiers and brakes upon | reight trains engaged in interstate com- The chief dificulty iu the way is to | » agreement as Lo the best upl:limuw - simplicity, effectivencss and_cost being con- | sidered. "~ This dificulty will only yield to legrislation, which should be based upon full inquiry and impartial tests. should beto secure the co-operation of all well-disposed nunagers and oaners, but the fearful fao that every year's delay involves the sacrifice of 2,000 lives and the maiming of 20,000 young men, should plead both with congress aud managers against any necdless del; s 4 com- | | velopmeit of its mau | law of its commuu tion of the storage capacity of reservol ter and the roser- sites might be granted 1o tho respective s or: torritories or to ndividuals or asso- fons upon the condition that the neces works should be constructed and the water furnished at faic rates without dis- crimination, the rates to be subject to super. vision by the legislitures or by boards of water commissioners duly constituted. Tho essential thing to be secured is the common and equal use at fair rates of the ac cumulated water supply. It were almost better that these lands should remain avid than that thoso who oceupy them should be- como t slaves of restrained monopolies controlling the one essential elerent of land values and crop resuits, The Postal Telegraph, The uso of the telograph by the postofica department as o means for tho rapid transmis sion of written communications is, I believe, Upon proper terms, quite desivable, Thegoy ernment does not own or operate the rail roads, and it should not, I thiuk, own or op orate the telegraph lines. 1t does, however, seem to be quite practicable for the govern: ment to contract with the telegraph, as it does with the railroads, to carry at specifiod communications as the senders may designate for this method of transmis- sion, 1 recommend that such logislation bo enacted as will enable the postofiice depart- ment fairly to test by ox]mr“m'ut\hl‘ advant- ages of such a use of the telegraph. FEDERAL ELEC TIOAS. Whuat the Chief Executive Has to Say on the Subject If any intelligent and loyal company of American citizens were required to catalogue the essential human conditions of national Life 1 do not douby that with absolute unanimity would begin with*‘free and honest elec and it is gratifying 0 know that generaily thereis a growing and non-partisan demand for better election’ law: }lm against this signof hope and progress must be set the depressing and undeniable fact that election laws and methods are sowetimes cunningly contrived — to insur minority con trol, while violence completes the shortcomings of fraud. In last annual message I suggested that the development of the existing law providing a federal supervision of congressional clections offered an effective method of reforming these abuses. The need of such a law has mani- fested itsell in many parts of the countr and its wholesome restraints and penaltic will be useful in all. The coustitution- ality of such legislation has beon med by the supreme court, Its probable effectiveness is evidenced by the character of the opposition that is made o it. 1t has been denounced as if it were a uew exercise of federal power and an invasion of the rights of the states. Nothing could be further from the truth. Congress has already fixed tho time for the election of members of congress, It has declared that votec for members of by written or printed provided for the appoint ment by the clrcuit courts in certain casos and upon the petition of a certain number of citizens of election supervisors and made it their duty to supervise the registration of voters conducted the state olicers; to challenge persons offoring to register; to per sonally iuspect and scrutiuize the registry lists and to afix their names to the lists for the purpose of identification and the pr tion of frauds; to attend at elections and remain with the boxes until the votes are all castand counted; to attuch to the registry lists and eleciion returns any statement hing the aceuracy and fairness of the egistry and electicns; to take and transmit 10 the clerk of the house of representatives any evidence of fraudulent practices which may be presented to them, The samo law provides for the appointment of deputy United States wmarshals to attend at the poils, support the supervisors in the dischargoof their duties and to arrest per sons violating the clection laws. The provi- sions of this familiar title of the revised stat- utes have beea put into exercise by both tho sat political parties and in the north as well as the south by the filing with the court of the petitions required by law. It is not, thefore, & question whether we shall hav a federal election law-for we now have one and have had for nearly twenty years—but whethor we shall have an eficctive taw, The present law stops just short of effectivencss, for it surrenders to the local authorities all control overthe certification which establishes the prima facie right to aseat in the house of spresentatives, This defect should be cur Iquality of vepresentation and the purity the electors must maintained or - every- thing thatis valuable in our system of goy- ernment is lost. ‘Thoe qualizication of an elec- tor must be sought in the law,notin the opin- jons, prejudices or foars of any class, how. wor powerful. The path of the elector to the ballot-box must be free from the ambush of fear and the enticem™ts of fraud; the count 50 true and open that none shall gaiusay it. Such a law should be absolutely non-partisan and impartial. Tt should give the advantage to honesty and the control to majorities. Surely th s nothing sectional about this creed, and if itshall happen that the penalties of laws intended to enforce these rights fail here and not there, it is not because the law is scctionai, but because, happily, crime is local and not universal. Nor should it be forgotten that every law, whether relating to tions or toany other subject, whether en- y the state or by the nation, has force behind~ it. The courts, the m il or constable, the posse comitatus, the prison, are all and alvays behind the law. One cannot be justly charged with unfriendliness to auy section or class who secks only to restrain violation of law and of persoual rignt. No community willfind lawlessness profitable. No community can afford to have it known that the oficers who are charged with the preservation of the public peace and the restraint of the minal class are themselves the products of fraud or violence, The mag istrate is, then, without respeet, aud the lav without sanction. The floods of lawlessness can be leveed and made to run in one chan nel. The killing of a United States murshal carying & writ of arrest for an election offense is full of prompting and gizestion to men who are pursued by a city marshal for a crime against *life or property. But it is said that this legislation will revive raco animositics, and some have even sug- gested that whenthe peaceful methods of fraud are made impossible they may be supplanted by intimidation and violence, If the proposed law gives to any qualified ciector by a hair's weight more 1 his equal share of influcnce or detracts 3 other qualified elector s fatally impeached. But if the law is oequal and the animosities it is to evoke grow out of the fact that some electors have been ustomed to exercise the franchise afor hers as well as [ thei then these animosities ought not to be ed without shameand cannot be given any weight inthe discussion without dis- honor. No choice is left to me but to enforce with vigor all laws intendea to secure (o the citizen his constitutional rights and to recom mend that the inadequacics of such luws be promptly remedicd. 1f to promote with zeal and ready every project for the de srial interests, its rivers, and factories, and the and security undor tho s and its homes, Is not ndliness conniv con harbors, mines tellfgenco, pece accepted as sufticient ovidence of to any state or section, I cannot add ance at election practices that not only dis turd local results, but rob the electors of other states and sections of their most price Tho purpose | less political rights. CLOSING SUGGESTIONS, Congress Should Attend to Bu and Not Waste Time, The preparation of the geueral approw ation bills should be conducted with the Water Supply in Arvid Regions, The subject of t distribution of the water supply of the arid | itures. Appropris regions has hud much attention from con- gress, but has not as yet be |Vm‘ upon a perminent and satisfactory basis. The | urgency of the subject does not grow out of | any lurge present demand for (he use of the larids for agriculture, but out of dang that the water supply and the sites for the necessury catel-basins may fall into the hands of individuals or private corporations and be used to render subservient the lirge | areas dependent upon such supply. The owner of the water is the owner of the lands, however the tities may | run, Al unappropriated natural water | sources aud all necessary reservoir sites | | people. s conservation and cqual | greatest care and dlosest serutiny of expend- fons should be adequate to the mneeds the public service, but they shtould be absolutely freo from prodigality. 1venture again to re mind you that the brief time remaiulug for the consideration of the important legislaticn now awaiting your atteation offers no margii forwaste, 1t the present duty is discharged with diligence, Adelity and courage, the work of the Fifty-first congress may be confdently submitted to the considerate judgment of tho Bexoasmin HanrizoN, Exgcrnive Maxsion, Dec. |, 18, of 13 e Y2 A S -