The civil list is so large that a personal knowl- | lic debt. It is quite possible, I am sure, to edge of any large number of the applicants is effect the necessary reduction in our revenues impossible. The President must rely upon the without breaking down our protective tariff or representations of others, and these are often seriously injuring any domestic industry. made inconsiderately and without any just sense The construction of a sufficient number of of responsibility. I have a right, I think, to modern war ships and of their necessary armainsist that those who volunteer or are invited to ment should progress as rapidly as is consistent give advice as to appointments shall exercise with care and perfection in plans and workmanconsideration and fidelity. A high sense of ship. The spirit, courage and skill of our naval duty and an ambition to improve the service officers and seamen have many times in our should characterize all public officers. history given to weak ships and inefficient guns a rating greatly beyond that of the naval list. That they will again do so upon occasion I do not doubt; but they ought not, by premeditation or neglect, to be left to the risks and exigencies of an unequal combat. We should encourage the establishment of American steamship lines. The exchanges of commerce demand stated, reliable and rapid means of communication, and until these are provided the development of our trade with the States lying south of us is impossible. There are many ways in which the convenience and comfort of those who have business with our public offices may be promoted by a thoughtful and obliging officer, and I shall expect those whom I may appoint to justify their selection by a conspicuous efficiency in the discharge of their duties. Honorable party service will certainly not be esteemed by me a disqualification for public office, but it will in no case be allowed to serve as a shield of official negligence, incompetency or delinquency. It is entirely creditable to seek public office by proper methods and with proper motives, and all applicants will be treated with consideration. But I shall need, and the heads of Departments will need, time for inquiry and deliberation. Persistent importunity will not, therefore, be the best support of an application for office. Heads of Departments, bureaus and all other public officers having any duty connected therewith will be expected to enforce the Civil Service law fully and without evasion. Beyond this obvious duty I hope to do something more to advance the reform of the Civil Service. The ideal, or even my own ideal, I shall probably not attain. Retrospect will be a safer basis of judgment than promises. We shall not however, I am sure, be able to put our Civil Service upon a non-partisan basis until we have secured an incumbency that fair-minded men of the opposition will approve for impartiality and integrity. As the number of such in the civil list is increased removals from office will diminish. While a Treasury surplus is not the greatest evil, it is a serious evil. Our revenue should be ample to meet the ordinary annual demands upon our Treasury, with a sufficient margin for those extraordinary but scarcely less imperative demands which arise now and then. Expenditure should always be made with economy and only upon public necessity. Wastefulness, profligacy, or favoritism in public expenditures is criminal. But there is nothing in the condition of our country or of our people to suggest that anything presently necessary to the public prosperity, security or honor should be unduly postponed. It will be the duty of Congress wisely to forecast and estimate these extraordinary demands, and, having added them to our ordinary expenditures, to so adjust our revenue laws that no considerable annual surplus will remain. We will fortunately be able to apply to the redemption of the public debt any small and unforeseen excess of revenue. This is better than to reduce our income below our necessary expenditures, with the resulting choice between another change of our revenue laws and an increase of the pub Our pension laws should give more adequate and discriminating relief to the Union soldiers and sailors, and to their widows and orphans. Such occasions as this should remind us that we owe everything to their valor and sacrifice. It is a subject of congratulation that there is a near prospect of the admission into the Union of the Dakotas and Montana and Washington Territories. This act of justice has been unreasonably delayed in the case of some of them. The people who have settled these Territories are intelligent, enterprising and patriotic, and the accession of these new States will add strength to the nation. It is due to the settlers in the Territories who have availed themselves of the invitations of our land laws to make homes upon the public domain, that their titles should be speedily adjusted and their honest entries confirmed by patent. It is very gratifying to observe the general interest now being manifested in the reform of our election laws. Those who have been for years calling attention to the pressing necessity of throwing about the ballot-box and about the elector further safeguards in order that our elections might not only be free and pure, but might clearly appear to be so, will welcome the accession of any who did not so soon discover the need of reform. The National Congress has not as yet taken control of elections in that case over which the Constitution gives it jurisdiction, but has accepted and adopted the election laws of the several States, provided penalties for their violation and a method of supervision. Only the inefficiency of the State laws or an unfair or partisan administration of them could suggest a departure from this policy. It was clearly, however, in the contemplation of the framers of the Constitution that such an exigency might arise, and provision was wisely made for it. The freedom of the ballot is a condition of our National life, and no power vested in Congress or in the Executive to secure or perpetuate it should remain unused upon occasion. The people of all the Congressional districts have an equal interest that the election of each shall truly express the views and wishes of a majority of the qualified electors residing | worthy of their respect and love, or a land so within it. The results of such elections are not magnificent in extent, so pleasant to look upon, local, and the insistence of electors residing and so full of generous suggestion to enterprise in other districts that they shall be pure and free and labor. God has placed upon our head a does not savor at all of impertinence. diadem, and has laid at our feet power and wealth beyond definition or calculation. But we must not forget that we take these gifts upon the condition that justice and mercy shall hold the reins of power, and that the upward avenues of hope shall be free to all the people. If, in any of the States, the public security is thought to be threatened by ignorance among the electors, the obvious remedy is education. The sympathy and help of our people will not be withheld from any community struggling with special embarrassments or difficulties connected with the suffrage, if the remedies proposed proceed upon lawful lines and are promoted by just and honorable methods. How shall those who practice election frauds recover that respect for the sancity of the ballot which is the first condition and obligation of good citizenship? The man who has come to regard the ballot-box as a juggler's hat has renounced his allegiance. I do not mistrust the future. Dangers have been in frequent ambush along our path, but we have uncovered and vanquished them all. Passion has swept some of our communities, but only to give us a new demonstration that the great body of our people are stable, patriotic and law-abiding. No political party can long pursue advantage at the expense of public honor or by rude and indecent methods without protest and fatal disaffection in its own body. The peaceful Let us exalt patriotism and moderate our agencies of commerce are more fully revealing party contentions. Let those who would die for the necessary unity of all our communities, and the flag on the field of battle give a better proof the increasing intercourse of our people is proof their patriotism and a higher glory to their moting mutual respect. We shall find unalcountry by promoting fraternity and justice. A loyed pleasure in the revelation which our next party success that is achieved by unfair methods census will make of the swift development of or by practices that partake of revolution is hurt- the great resources of some of the States. Each ful and evanescent, even from a party stand- State will bring its generous contribution to the point. We should hold our differing opinions great aggregate of the Nation's increase. And in mutual respect, and having submitted them when the harvests from the fields, the cattle from to the arbitrament of the ballot, should accept the hills, and the ores of the earth, shall have an adverse judgment with the same respect that been weighed, counted and valued, we will turn we would have demanded of our opponents if from them all to crown with the highest honor the decision had been in our favor. the State that has most promoted education, virtue, justice and patriotism among its people. No other people have a government more XV. PRESIDENT HARRISON'S FIRST ANNUAL MESSAGE, DECEMBER 3, 1889. To the Senate and House of Representatives: * It is a matter of high significance, and no less of congratulation, that the first year of the second century of our constitutional existence finds, as honored guests within our borders, the representatives of all the independent states of North and South America, met together in earnest conference touching the best methods of perpetuating and expanding the relations of mutual interest and friendliness existing among them. That the opportunity thus afforded for promoting closer international relations and the increased prosperity of the states represented will be used for the mutual good of all, I can not permit myself to doubt. Our people will await with interest and confidence the results to flow from so auspicious a meeting of allied and, in large part, identical interests. The recommendations of this international conference of enlightened statesmen will doubtless have the considerate attention of Congress, and its co-operation in the removal of unnecessary barriers to beneficial intercourse between the nations of America. But while the commercial results, which it is hoped will follow this conference, are worthy of pursuit and of the great interest they have excited, it is believed that the crowning benefit will be found in the better securities which may be devised for the maintenance of peace among all American nations and the settlement of all contentions by methods that a Christian civilization can approve. While viewing with interest our national resources and products, the delegates will, I am sure, find a higher satisfaction in the evidences of unselfish friendship which everywhere attend their intercourse with our people. Another international conference, having great possibilities for good, has lately assembled and is now in session in this Capital. An invitation was extended by the Government, under the act of Congress of July 9, 1888, to all maritime nations to send delegates to confer touching the revision and amendment of the rules and regulations | laws and regulations applicable to the fisheries governing vessels at sea, and to adopt a uniform with as little occasion for friction as was possible, system of marine signals. The response to this and the temperate representations of this invitation has been very general and very cordial. Government in respect of cases of undue hardDelegates from twenty-six nations are present in ship or of harsh interpretations have been in the conference, and they have entered upon most cases met with measures of transitory retheir useful work with great zeal, and with an lief. It is trusted that the attainment of our just evident appreciation of its importance. So far rights under existing treaties and in virtue of the as the agreement to be reached may require concurrent legislation of the two contiguous legislation to give it effect, the co-operation of countries will not be long deferred and that all Congress is confidently relied upon. existing causes of difference may be equitably adjusted. * It is an interesting if not indeed an unprecedented fact, that the two International Conferences have brought together here the accredited representatives of thirty-three nations. Our relations with China have the attentive consideration which their magnitude and interest demand. The failure of the treaty negotiated under the administration of my predecessor for the further and more complete restriction of Chinese labor-immigration, and, with it, the legislation of the last session of Congress dependent thereon, leave some questions open which Congress should now approach in that wise and just spirit which should characterize the relations of the two great and friendly powers. While our supreme interests demand the exclusion of a laboring element which experience has shown to be incompatible with our social life, all steps to compass this imperative need should be accompained with a recognition of the claim of those strangers now lawfully among us to humane and just treatment. * The present state of affairs in respect to the Samoan Islands is encouraging. The conference which was held in this city in the summer of 1887 between the representatives of the United States, Germany, and Great Britain having been adjourned because of the persistent divergence of views which was developed in its deliberations, the subsequent course of events in the islands gave rise to questions of a serious character. On the 4th of February last, the German minister at this Capital, in behalf of his Government, proposed a resumption of the conference at Berlin. This proposition was accepted, as Congress, in February last, was informed. Pursuant to the understanding thus reached, commissioners were appointed by me, by and with the advice and consent of the Senate, who proceeded to Berlin, where the conference was renewed. The deliberations extended through several weeks, and resulted in the conclusion of a treaty which will be submitted to the Senate for its approval. I trust that the efforts which have been made to effect an adjustment of this question will be productive of the permanent establishment of law and order in Samoa, upon the basis of the maintenance of the rights and interests of the natives as well as of the treaty powers. The questions which have arisen during the past few years between Great Britain and the United States are in abeyance or in course of amicable adjustment. On the part of the Government of the Dominion of Canada an effort has been apparent during the season just ended to administer the A just and acceptable enlargement of the list of offenses for which extradition may be claimed and granted is most desirable between this country and Great Britain. The territory of neither should become a secure harbor for the evil-doers of the other through any avoidable short-coming in this regard. A new treaty on this subject between the two powers has been recently negotiated and will soon be laid before the Senate. * * In pursuance of the charter granted by Congress, and under the terms of its contract with the Government of Nicaragua, the Inter-oceanic Canal Company has begun the construction of the important water-way between the two oceans which its organization contemplates. Great complications for a time seemed imminent, in view of a supposed conflict of jurisdiction between Nicaragua and Costa Rica in regard to the accessory privileges to be conceded by the latter Republic toward the construction of works on the San Juan River, of which the right bank is Costa Rica territory. I am happy to learn that a friendly arrangement has been effected between the two nations. This Government has held itself ready to promote in every proper way the adjustment of all questions that might present obstacles to the completion of a work of such transcendent importance to the commerce of this country, and indeed to the commercial interests of the world. * This Government has accepted, under proper reserve as to its policy in foreign territories, the invitation of the Government of Belgium to take part in an International Congress, which opened at Brussels on the 16th of November, for the purpose of devising measures to promote the abolition of the slave-trade in Africa and to prevent the shipment of slaves by sea. Our interest in the extinction of this crime against humanity, in the regions where it yet survives, has been increased by the results of emancipation within our borders. * * Questions continue to arise in our relations with several countries in respect to the rights of naturalized citizens. Especially is this the case with France, Italy, Russia, and Turkey, and to a less extent with Switzerland. From time to time earnest efforts have been made to regulate this subject by conventions with those countries. An improper use of naturalization should not be permitted, but it is most important that those who have been duly naturalized should everywhere be accorded recognition of the rights pertaining to the citizenship of the country of their adoption. * The recent revolution in Brazil in favor of the bonds, beyond the requirements of the sinking fund, but any unappropriated surplus in the Treasury should be so used, as there is no other lawful way of returning the money to circulation, and the profit realized by the Government offers a substantial advantage. establishment of a republican form of govern- | revenue for the purpose of anticipating our ment is an event of great importance to the United States. Our minister at Rio Janeiro was at once instructed to maintain friendly diplomatic relations with the provisional government, and the Brazilian representatives at this capital were instructed by the provisional government to continue their functions. Our friendly intercourse with Brazil has, therefore, suffered no interruption. Our minister has been further instructed to extend on the part of this Government a formal and cordial recognition of the new Republic, so soon as the majority of the people of Brazil | shall have signified their assent to its establishment and maintenance. Within our own borders a general condition of prosperity prevails. The harvests of the last summer were exceptionally abundant, and the trade conditions now prevailing seem to promise a successful season to the merchant and the manufacturer, and general employment to our working people. The loaning of public funds to the banks without interest, upon the security of Government bonds, I regard as an unauthorized and dangerous expedient. It results in a temporary and unnatural increase of the banking capital of favored localities, and compels a cautious and gradual recall of the deposits to avoid injury to the commercial interests. It is not to be expected that the banks having these deposits will sell their bonds to the Treasury so long as the present highly beneficial arrangement is continued. They now practically get interest both upon the bonds and their proceeds. No further use should be made of this method of getting the surplus into circulation, and the deposits now outstanding should be gradually withdrawn and applied to the purchase of bonds. It is fortunate that such a use can be made of the existing surplus, and for some time to come of any casual surplus that may exist after Congress has taken the necessary steps for a reduction of the revenue. Such legislation should be promptly, $223,832,741.69 but very considerately, enacted. 130,881,513.92 I recommend a revision of our tariff law, both From miscellaneous sources 32,335,803.23 in the administrative features and in the schedThe ordinary expenditures for the same period were $281,996,615.60, and the total expenditures, including the sinking fund, were $329,579,929.25. The excess of receipts over expenditures was, after providing for the sinking fund, $57,470,129.59. * The report of the Secretary of the Treasury for the fiscal year ending June 30, 1889, has been prepared, and will be presented to Congress. The aggregate receipts from all sources for the year were $387,050,058.84, derived as follows: From customs From internal revenue For the current fiscal year the total revenues, actual and estimated, are $385,000,000, and the ordinary expenditures, actual and estimated, are $293,000,000, making, with the sinking fund, a total expenditure of $341,321,116.99, leaving an estimated surplus of $43,678,883.01. During the fiscal year there was applied to the purchase of bonds, in addition to those for the sinking fund, $90,456,172.35, and during the first quarter of the current year the sum of $37,838,937.77, all of which were credited to the sinking fund. The revenues for the fiscal year ending June 30, 1891, are estimated by the Treasury Department at $385,000,000, and the expenditures for the same period, including the sinking fund, at $341,430,477.70. This shows an estimated surplus for that year of $43,569,522.30, which is more likely to be increased when the actual transactions are written up. The existence of so large an actual and anticipated surplus should have the immediate attention of Congress, with a view to reducing the receipts of the Treasury to the needs of the Government as closely as may be. The collection of moneys not needed for public uses imposes an unnecessary burden upon our people, and the presence of so large a surplus in the public vaults is a disturbing element in the conduct of private business. It has called into use expedients for putting it into circulation of very questionable propriety. We should not collect ules. The need of the former is generally conceded, and an agreement upon the evils and inconveniences to be remedied and the best methods for their correction will probably not be difficult. Uniformity of valuation at all our ports is essential, and effective measures should be taken to secure it. It is equally desirable that questions affecting rates and classifications should be promptly decided. The preparation of a new schedule of customs duties is a matter of great delicacy because of its direct effect upon the business of the country, and of great difficulty by reason of the wide divergence of opinion as to the objects that may properly be promoted by such legislation. Some disturbance of business may perhaps result from the consideration of this subject by Congress, but this temporary ill effect will be reduced to the minimum by prompt action and by the assurance which the country already enjoys that any necessary changes will be so made as not to impair the just and reasonable protection of our home industries. The inequalities of the law should be adjusted, but the protective principle should be maintained and fairly applied to the products of our farms as well as of our shops. These duties necessarily have relation to other things besides the public revenues. We can not limit their effects by fixing our eyes on the public treasury alone. They have a direct relation to home production, to work, to wages, and to the commercial independence of our country, and the wise and patriotic legislator should enlarge the field of his vision to include all of these. The necessary reduction in our public revenues can, I am sure, be made without making the smaller burden more onerous than the larger by reason of the disabilities and limitations | making the bullion value of the dollar 93 cents. which the process of reduction puts upon both Since that time the price has fallen as low as capital and labor. The free list can very safely 91.2 cents per ounce, reducing the bullion value be extended by placing thereon articles that do of the dollar to 70.6 cents. Within the last few not offer injurious competition to such domestic months the market price has somewhat adproducts as our home labor can supply. The vanced, and on the 1st day of November last removal of the internal tax upon tobacco would the bullion value of the silver dollar was 72 relieve an important agricultural product from a cents. burden which was imposed only because our revenue from customs duties was insufficient for the public needs. If safe provision against fraud can be devised, the removal of the tax upon spirits used in the arts and in manufactures would also offer an unobjectionable method of reducing the surplus. A table presented by the Secretary of the Treasury, showing the amount of money of all kinds in circulation each year from 1878 to the present time, is of interest. It appears that the amount of national-bank notes in circulation has decreased during that period $114,109,729, of which $37,799,229 is chargeable to the last year. The withdrawal of bank circulation will necessarily continue under existing conditions. It is probable that the adoption of the suggestions made by the Comptroller of the Currency, viz, that the minimum deposit of bonds for the establishment of banks be reduced, and that an issue of notes to the par value of the bonds be allowed, would help to maintain the bank circulation. But, while this withdrawal of bank notes has been going on, there has been a large increase in the amount of gold and silver coin in circulation and in the issues of gold and silver certificates. The evil anticipations which have accompan ied the coinage and use of the silver dollar have not been realized. As a coin it has not had general use, and the public Treasury has been compelled to store it. But this is manifestly owing to the fact that its paper representative is more convenient. The general acceptance and use of the silver certificate show that silver has not been otherwise discredited. Some favorable conditions have contributed to maintain this practical equality, in their commercial use, between the gold and silver dollars. But some of these are trade conditions that statutory enactments do not control, and of the continuance of which we cannot be certain. I think it is clear that if we should make the coinage of silver at the present ratio free, we must expect that the difference in the bullion values of the gold and silver dollars will be taken account of in commercial transactions, and I fear the same result would follow any considerable increase in the present rate of coinage. Such a result would be discreditable to our financial management and disastrous to all business interests. We should not tread the dangerous edge of such a peril. And, indeed, nothing more harmful could happen to the silver interests. Any safe legislation upon this subject must secure the equality of the two coins in their commercial uses. The total amount of money of all kinds in circulation on March 1, 1878, was $805,793,807, while on October 1, 1889, the total was $1,405,018,000. There was an increase of I have always been an advocate of the use of $293,417,552 in gold coin, of $57,554,100 in silver in our currency. We are large producers standard silver dollars, of $71,311,249 in gold of that metal, and should not discredit it. To certificates, of $276,619,715 in silver certificates, the plan which will be presented by the Secreand of $14,073,787 in United States notes, tary of the Treasury for the issuance of notes or making a total of $713,976,403. There was certificates upon the deposit of silver bullion at during the same period a decrease of $114,109,- its market value, I have been able to give only a 729 in bank circulation, and of $642,481 in hasty examination, owing to the press of other subsidiary silver. The net increase was $599,- matters and to the fact that it has been so re224,193. The circulation per capita has in-cently formulated. The details of such a law creased about five dollars during the time covered by the table referred to. The total coinage of silver dollars was, on November 1, 1889, $343,638,001, of which $283,539,521 were in the Treasury vaults and $60,098,480 were in circulation. Of the amount in the vaults, $277,319,944 were represented by outstanding silver certificates, leaving $6,219,577 not in circulation and not represented by certificates. The law requiring the purchase, by the Treasury, of two million dollars' worth of silver bullion each month, to be coined into silver dollars of four hundred and twelve and one-half | grains, has been observed by the Department; but neither the present Secretary nor any of his predecessors has deemed it safe to exercise the discretion given by law to increase the monthly purchases to four million dollars. When the law was enacted (February 28, 1878) the price of silver in the market was $1.20 per ounce, require careful consideration, but the general plan suggested by him seems to satisfy the purpose-to continue the use of silver in connection with our currency, and at the same time to obviate the danger of which I have spoken. At a later day I may communicate further with Congress upon this subject. The enforcement of the Chinese exclusion act has been found to be very difficult on the northwestern frontier. Chinamen, landing at Victoria, find it easy to pass our border, owing to the impossibility, with the force at the command of the customs officers, of guarding so long an inland line. The Secretary of the Treasury has authorized the employment of additional officers who will be assigned to this duty, and every effort will be made to enforce the law. The Dominion exacts a head tax of fifty dollars for each Chinaman landed, and when these persons, in fraud of our law, cross into our territory and are apprehended, our officers do not know what to |