Image provided by: University of Nebraska-Lincoln Libraries, Lincoln, NE
About The McCook tribune. (McCook, Neb.) 1886-1936 | View Entire Issue (Dec. 16, 1886)
THE TEIBUNE. F. M. & E. ICIIUiUELL , Pub * . McCOOK NEB , - - - The Annual Document of the Chief Ex ecutive as Head Before Coneress. N' , Dec. G. The following is the annual message of the President , as read hcfore Congress to-day : Tothe Congress of the United States : In the discharge of a constitutional duty , and following a well established precedent in the executive office , I herewith transmit to Con gress at Its reassembling certain information concerning the state of the Union , together with such recommendations .for legislative consideration as appear necessary and expe dient. Our Government has consistently maintained Its relations of friendship toward all other powers , and of neighborly interest toward those whose possessions are contigu ous to our own. Few questions have arisen during the post year with other Govern ments , and none of those are beyond the reach of settlement In friendly council. We are yet without provision for the settlement of claims of citizens of the United Suites against Chili for injuries during tlie late war with Peru and Bolivia. The mixed commissions organized tinder claims conventions , concluded by the Chilian Government with certain Kuropcan States , have developed an amount of friction which we trust can be avoided in the convention which our represent ative at Santiago is authorized to ne gotiate. The cruel treatment inoffensive Chinese has , I regret to say , been repeated In BOine of the far "Western States and Terri tories , and acts of violence against these people , beyond the power of the local consti tuted authorities to prevent , and difficult to punish , are reported even in distant Alaska , iluch of this violence can be traced to race prejudice and competition of labor , which cannot , however , Justify the oppression of strangers whose safety is guaranteed by our treaty with China equally with the most favored nations. In opening our vast domain to these elements the purpose of our lawgiv ers was to invite assimilation and not to pro vide an arena for endless antagonisms. The paramount duty of maintaining public order * md defending the interests ot our own people may roquire the adoption of measures of re striction , but they should not tolerate the op pression of Individuals of a special race. I am not without assurance that the government of China , whose friendly dis position toward us I am most happy to recognize , will meet us half way in devis- islation is needed to execute the provisions of our Chinese convention of 1SSO , touclrtng the opium traffic , and while the good will of tiie Columbian Government toward our Govern ment Is manifest , tlie situation of American Interests on the Isthmus of Panama has at times-excited concern and invited friendly action looking to the performance of tlieen- gagcments ofthe two nations concerning tlie territory embraced in the inter-ocean it ; transit. With the subsidence of the Isthmus disturbances and the erection of the State of Panama into a Federal district under the direct government of the constitutional ad ministration at Uogota , a new order of things has been inaugurated which , although as yet somewhat experimental and affording scope tor arbitrary exercises of power by the dele- Bates of the National authority , promises much Improvement. The sympathy between the people of the United States and France , born during our colonial struggle for Inde pendence , and continuing to-day , has receiv ed a fresh impulse in tlie successful comple tion and de Ication of the colossal statue of "Liberty Knliglitening the World" in New York harbor , the gilt of Frenchmen to Americans. THE TKIUSUUY. Facts Taken From the Itcjiort of Secretary 3Ian- nins. The report ofthe Secretary of the Treasury exhibits in detail the condition of tiie public finance ana of the several branches of the Government related to this department. I especially dcct > the attention of Congrcs- the recomn.endation contained in this and the last precedingoport of tlie Secretary touching tlie simplification and amendment of tlie laws relating to the collection of our revenues ; and , in the interest of economy and Justice to the Government , I hope they may be adopted l > y appropriate legislation. The ordinary receipts of tlie Government for the fiscal year ended June SO , ISfti , were 3 > ( ; ,4&- ) T/T.OU. Of this amount Sl'Ji'.KG.fi'.rui was re ceived from cust > * ns and SllliSffi , ; > : > OViS from internal revenue , while the total receipts as here stated were I3,7 ! > , ( )20..S ) ( ! greater than for the previous vear. Hut the increase from customs was Sll.-tff.OSJ.lO and from internal revenue $4,707,210.91 , making a gain in these items for the hist year of Sl.lSll,295.0J. a tilling off in other resources reducing the total increase to tlie smaller amount men tioned. The expense at tlie different custom houses of : ollecting tills Increased customs revenue was less than the expense attending the collection of such revenue for the preced ing year , by $490,003 and the increased re ceipt * of internal revenue collected at a cost to the Internal revenue bureat of $15,594,48 ! ) less than the expense of fciich collection for the previous year. The total ordinary expen ses of the government for the fiscal vcar year ended June SO , ISSfi , were S212,4S.Vf..r > o , being less by S17,7SS,7i7 ! , than such expenditure for the year preceding , and leaving a surplus in the treasury at the close of the lat fiscal of .f93,05G.5SS.5'ias ' againstSKJ-1S,771.27 ( at the close 'of tlie previous year , showing an increase in such surplus of 50,492,817.29. Tin expenditures are compared with those of the preceding fis cal year and classified as follows : 1SSG. ISS5. Civil expenses year ending June : tO. . . _ S21,055.fi04.01 S 23.821,042.11 For foreign inter course lrr2:520.fiS ! : 5-4.nri09.11 ! For Indians _ - ( iOU9,15S.17 6,5.2I92P } For pensions C3.401.SW.03 66,102.2u7.43 For the military , in cluding river and harbor improve ments and arse- * " nals S1.D2J,152.74 42,670,573.49 For the navyinclud- ing vessels , ma chinery and im provements of na vy yards _ _ 13,907,857.71 10,021,079.09 For interest on pub lic debt 50,580,113,07. 51,350,2-30,47 For District of Col- nmbi- 2,802 21.89 3,413,150.95 For miscellaneous expenses , includ ing public build ings , light houses 1 and collecting the revenues47,950,053.01 54,725,050.21 For the current year , to end June 30 , 16S7 , the ascertained receipts up to October 1 , I8S6. with such receipts estimated for the re mainder of the year amount to 550,000,000. The expenditures ascerUiinc'i and estimated for the same period are $2t > G,000,000 , indicating an anticipated surplus at the close of the year of 500,000,000. The total value of the ex ports from the United States to foreign coun tries "during the fiscal year is stated and com pared with the preceding year as follows : For the year ending Juno HO , 1856. June ? 0,1885 Domestic mdseSGG3,9G4,5.9 00 S72U,082WG 00 Foreign nidse i:5.5HO , : > 01 00 00 Gold 42.9-J2.I91 00 3,477,892 00 Silver. 2 < i,51l219 00 00 u'he value of some or"our leading exports during the last fiscal year as compared with the value of the same for the year Imme diately preceding is here given and fur nishes information both interesting and sug gestive. Year ending June SO , 1SSC. Juno 30,1885. Cotton and Cotton Manufactures $219,045,578.00 S213.790.049.00 Tobacco and Its Manufactures S0,424,90.ro 24,7C7 , : > .00 Breadstuff's 125Sti"S.OO ( 100.i70S21.00 : Provisions 90,10.5,210.00 107t52,45l.00 Our Imports during the last fiscal year , as compared the previous vear. were as follows : 'S&S ISiyi Merchandise $ < P.v i5I.mOO 5379,580,03.1.80 Gold _ - 20,743W9.00 25 , H , .W Bilver I7S30 , : > 07.00 10,550,627.00 SURPLUS RCVEXUE. Suggestions on Disposition of Funds Unnecessary Taxation. In my last annual message to Congress at tention was directed to the fact that the rev enues of the government exceed its actual needs , and It was suggested that legislative action should be taken to relieve the people from the unnecessary burden of taxation thus made apparent. In view of the pressing im portance of the subject I deem it my duty to -sealn urge its consideration. Tho income of \ the Government Increased through econo mics In Its collection Is now more than ever in excess of public necessities. The appli cation of the surplus to the payment of such portion of the public debt us Is now at our option , subject to extinguishment If con tinued at the rate which has lately prevailed would retire that class of indebtedness with in less than one year from this date. Thus a continuation of our present revenue would result in the receipt of an annual income milch greater than necessary to meet government expenses with no indebtedness upon which it could he applied.Ve should then be confident with a , vast quantity of money , the circulaflngmediuinof thepeople , hoarded in the treasury when it should be in their hands , or we stiould'be drawn into wasteful public extravagance with all the corrupting national demoralization which follows in its train. But it is not the simple existence of this surplus and its threatened attendant evils which furnish the strongest argument against our present scaleof Federal taxation. Its worst phase is the exaction of such a surplus through a pervertion of the relations between the people and their Gov- crnment a dangerous departure from the rules which limit therightof federal taxation. Good government , of which every ; American citizen boasts , has for its objects the protec tion of every person within its borders with the greatest liberty consistent with the good of the country , and ills perfect security in the enjoyment of his earnings. Avith the least possible diminution lor public needs. When more of the people's sustenance is exacted through the form of taxation than is necessary to meet the just obligations of the Government and the ex pense of its economical administration , such action becomes ruthless extortion and a vio lation of the fundamental principles of a free government. The indirect manner in which these exactions are made has a tendency to conceal their true character and their extent. But we have arrived at a stage of superfluous revenue , which lias aroused the people to a realization of the fact that the amount raised professedly for thcsupportof the Government Is paid by them as absolutely , if added to the price of the things which supply their daily wants , as if it was paid at Hxed periods into the hands of the taxgatlicrcr. Those who toil for daily wages are beginning to understand that capital , though sometimes vaunting its Importance and clamoring for the protection and favor of the government , is dull and slug gish till , touched by the magical hand of labor , it springs into activity , furnishing an occasion for federal taxation and gaining the value which enables it to bear its burden , and the laboring man is thoughtfully inquiring whether , in these cir cumstances and considering the tribute ho constantly pays into the public treasury as he supplies his daily wants , he receives his fair share of advantages. There is also a suspicion abroad that the surplus of our revenues indi cates abnormal and exceptional business protits , which , under the system which pro duces such surplus , increase , without corre sponding benefit to the people at large , the vast accumulations of a few among our citi zens whose fortunes , rivaling the wealth of the most favored in anti-democratic nations , are not the natural growth of a steady , plain and industrious Republic. Our farmers , too , and those engaged directly and indirectly in supplying the products of agriculture , see that , day by day , and as often as the daily wants of their households recur , they ura forced to pay needless and excessive taxa tion , while their products struggle in foreign markets with the competition of nations/ which , by allowing a freer exchange of pro ductions than we permit , enable their people to sell for prices which distress the American farmer. As every patriotic citizen rejoice * in the constantly increasing pride of our people in American citizenship and in the glory of our national achievements and progress , a sentiment prevailed that the lead ing strings useful to a nation in its infancy may well , to a great extent , be discarded 111 the present stage of American ingenuity , courage and fearless self-reliance. And for the privilegeof indulgingthis sentiment with true American cntnusiasm , our citizens are quite willing to forego an idle surplus in the public treastirv. And all the people know that the average rate of federal taxation upon imports is to-day , in time of peace , but little less , while upon some articles of necessary consumption it is actually more than was im posed by the grievous burdens , willingly borne , at a time when the Government needed millions to maintain by war the safety and integrity of the United States. It lias been the policy of the Government to collect the principal part of its revenues by a tax upon imports , and no change in this policy is de sirable. But the present condition of affairs constrains our people to demand that by a re vision of our revenue laws the receipts of the Government shall be reduced to the necessary expense of its economical administration , anil this demand should be recognized and obeyed by the people's representatives in the legislative branch of the Government. In re adjusting the questions of federal taxation , : i sound public policy requires that such of our citizens as have built tip large and important industries under present conditions , should not bo suddenly , and to their injury , de prived of advantages to which they have adapted their IIUMIICSS , but if the public good requires it they should be ivntcnt with biich consideration as shall deal fairly and cau tiously with their interests , while the just de mand of the people for relief from needless taxation is honestly answered. A reasonable and timely submission to such a demand should certainly be possible without di < as- trous shock to any inter.'st and a cheerful concession sometimes averts abrupt and heedlcssactionoften the outgrowth of impa tience and delayed justice. CAPITAL AND LABOR. Advocating the Adjustment of Differences out Violence. Due regard should be also be accorded to any pronosed readjustment of the interests of American labor , so far as they are involved. We congratulate ourselves that there is among us no laboring class llxed with unyielding bounds and doomed under all conditions to the inexorable fate 01 daily toil. We recognize in labor a chief fac tor 'in the wealth of the republic , and we treat those who have it in their keeping as citizens entitled to the most careful r. gard and thoughtful attention. This regard and attention should be awarded them not only because labor is the capital of our working- men , justly entitled to its share of govern ment favor , but for the further and not less important reason that the laboring man , surrounded by his family in his humble home , as a consumer is vitally interested in all that cheapens the cost of living , and ena bles him to bring within his domestic circle additional comforts and advantages. This relation of the workingman to the revenue laws of the country , and the manner in which it palpably influences the ques tion of wages , should not be forgotten in tiie justifiable prominence given tc the proper maintenance of the supply and protection of well paid labor , and these con siderations suggest such an arrangement ol government revenue , as shall reduce the ex pense of living while it does not curtail the opportunity for work nor reduce the com pensation of American labor and injuriously aflect its condition and the dignified place it holds in the estimation f our people. But our farmers and agriculturalists , those who , from the soil produce the things consumed by all , arc perhaps more directly and plainly con cerned than : > : iy other of our citizens , in a just , and careful system of Federal taxation. Those actively engaged inandmoreremotely connected with this kind of work , number nearly one-half of our population. None la bor harder or more continuously than they. No enactments limit their hours of toil , and no Interposition of the Government enforces to any great extent the value of their pro ducts ; and yet for many of the necessaries and comforts of life , which the most scrupulous economy enables them to bring into their homes and / for their implements of husbandry , they are obliged to pay a price largely increased by an unnatural profit which , by the action of the Government , is given to the morn favored manufacturers. I recommend that , keeping in view all these considerations , the increas ing and unnecessary surplus of national in- comeannualyaccuinulatingreleasedtothebe people by an amendment to our revenue laws which sliall cheapen the price of the necessa ries of life and give freer entrance to such im ported materials as by American labor may be manufactured into marketable commodi ties. Nothing can be accomplished , however , in the direction of tins much-needed reform unless the subject is approached in a patriotic spirit of devotion to the interests of the entire country and wit > > .1 willingness to yield some thing for the iuolio good. The sum paid upon the public debt , during the fiscal yeai ending June SO , IS U , was $44,551,013.36' . Dur ing the twelve months , ended Octber,31,1SSG , three percent , bonds were called for redemp tion , amounting to 5127.283,100 , of which SbO- 343,200 was so called to answer the require ments of the law relating tc the sinking fund , and S4JB ( J.OOO for the pur pose of reducing the public debt oy applica tion of a part of the surplus in the treas ury to that object. Of the bonds thus called. ? lU2,2 < ! ) , became subject , under such calls ! ' to redemption prior to .Nov. 1 , ISSti. The re- maindcr , amounting to $2.3,013,630 , matured under thecatls after that date. In addition to the amount subject to payment and can cellation prior to Nov. 1 , there were also paid before that day certain of these bonds , with interest thereon , amounting to 5,072.350. which were anticipated as to the maturity , o ; which S2. ( G4 , : 50 had not been called ; thus S10741,800 had been actually applied prior tc the 1st of November , isSO , to the extinguish- ment of our bonded and interest-bearing debt , leaving on that day still outstanding the sum of 51,115,443,112. Of this amount $80,543,700 , werestill represented by 3 per cent bonds. They , however , have been , since Nov. 14 , or will at once be , further reduced by S22- fjOtfI50 , being bonds which have been culled , as already stated , but not redeemed and can celled before the latter date. THE SILVKK DOLLAR. Suspension of Compulhor - t'oinnge Again Urged for Stated Itra > ons. During the fiscal year ended June 30ISSO , there were coined under the Compulsory Silver Coinage act of 1878,29,838,819 silver dol lars , and the cost of the silver used in such coinage was $21,448,030.01. There had been coined up to the close of the previous fiscal year under the provisions of the law 203,882,554 silver dollars , and on the first day of Decem ber , 1880 , the total amount of such coinage was $217,131,519. The Director of the Mint re ports that , at the time of the passage of the act. of 1878. directing this coinage , the intrinsic value of the dol lars thus coined was ninety-four an done-fourth cents each , and that on the 31st dny of July , 188'i ' , the price of silver reached the lowest stage ever known , so that the intrinsic or bullion price of our standard silver dollar at this date was less than 72 cents. The price of silver on the "Oth of No vember last was such as to make the dollars intrinsically worth 73 cents each. These dif ferences in value of the coins represent the fluctuations in the price of silver , and they certainly do not indicate that compulsory coinage by the Government enhanced the price of that comirmdity or secures uniformi ty iu jts value. liX-cry fuir and legal effort has been made by the Treasury Department to distribute this currency among the people. The withdrawal of United States treasury notes of small denominations and the issuing of small silver certificates have bee'i resorted to in the endeavor to accomplish this result in obedience to the will and sentiments of the representatives of the people in the Congress. On the 27th day of No vember , 188 ! ! , the people held of these coins or certificates representing the nominal sum of $100,873,011 , and we still have $79,404,343 in the treasury , as against about SI 12,891.0.35 in the hands ol the people and S72Si ; vJ70 remaining in the treasury one year ago. The Director of the Mint again urges the necessityof more vault room for the purpose of storing those silver dollars which arc not needed for circulation by the people. I have seen no reason to change the views ex pressed in my last annual message on the subject of this compulsory coinage , and I again urge its suspension on all the grounds contained in my former recommendation , reinforced by the significant increase of our gold exportations during t'ie last year , as ap pears by the comparative statement herewith presented , and for the further reasons that the more tills currency is distributed among the people , the greater becomes our duty to protect it from disaster ; that we have now abundance for all our needs , and that there seems but little propriety in building vaults to store such currency when the only pretense for its coinage is the necessity of its use by the people as a. circulating medium. CUSTOMS-REYKXUKS SUITS. The Appointment of Another Federal Judge Rec ommended. The great number of suits now pending in the United States courts for the southern dis trict of New York , growing out of the collec tion of the customs-revenue at the port of New York , and the number of such suits that arc almost daily instituted , are certainly worthy the attention of the Congress. These legal controversies , based upon conflicting views by importers and the collector as to'the interpretation of our present complex and in definite revenue laws , might be largely obvi ated by an amendment of those laws. But pending such amendment , the present condi tion of this litigation should be relieved. There are now pending about twenty-live hundred of these suits. More than eleven hundred have been commenced within.the past eighteen months , and many of the others have been at issue for more than twenty-live years. These delays subject the Government to loss ofovidenceand'prevent the preparation necessary to defeat unjust and fictitious claims , while constantly accruing interest threatens to double the demands involved. In the present condition of the dockets of the courts , well filled with private suits , and of the force allowed the district attorney no greater than is necessary for the ordinary and current business of his office , these revenues litigations cannot be considered In default- of the adoption by the Congress of a plan for the general reorganization of the Federal courts , as has heretofore been recommended , I urge the propriety of passing a law permit ting ihcappuintmcntiof an additional Fede'al judge in the district where these Government suits have accumulated.so that , by continued sessions of the courts devoted to the trial of those cases , they may be determined. It is entirely plain that a great saving to the Gov ernment would be accomplished by such a remedy and the suitors who have honest claims would not be denied justice through delay. THE tVAU nKPAimiEXT. Coast Defenses SliouU be Enlarge : ! The Hostile Aparlics. The report of the Secretary of War gives a detailed account of the administration of his department and contains sundry recommen dations for the improvement of the service , which I fully approve. The army consisted at the date of the last consolidated return ol 2,103 officers and 21'JI'j ' enlisted men. The ex penses of the department for the last fiscal year were SMyjOiVHB..S , including ( ! , taiui3.4j : : for public works and river and harbor im provements. I especially direct the attention of Congress to the recommendation that of ficers be required to submit - o an examina tion as a preliminary to their promotion. I see mi objection but many advantages in adopting this feature , which has operated so beneficially in our navy department as well as in some branches of the army. The subject of coast defenses and fortifications has been fully and : carefully treated by the Board on Fortilicaj j tions , whose report was submitted at the last . session of Congress ; but no construction work | of the kind recommended by the board has been possible during the last year from the l.tck of appropriations for such purposes. The defenceless condition of our sea coast and lake frontier is perfectly palpable. The ex aminations made must convince us all that certain of our cities named in the report ot the board should be fortified "and that work on the most important of these fortifications should be commenced at once. The work lias been thoroughly considered and laid out , the Secretary of War reports , but all is delayed ; in default of Congressional action. Theabsoj j lute necessity , judged by all standards of pru dence and foresight , of preparation for an ef- fectur.l resistance against the armored ships . and steel guns of modern construction which i may threaten the cities on pur coasts is so ap parent that I hope effective s'.cps will be taken in that direction immediately. The ; valuable and suggestive treatment ot tin's subject , by the .Secretary of ' War is earnestly commended to the consid eration of the Congress. In September and i October last the hostile Apaches who , under the leadership of Geronimo , had for eighteen : mouths been on Uic warpath , and during : that time had committed many murders and < been the cause of constant terrors to the set- : tiers of Arizona , surrendered to General < Miles , the military commander who sue- : cccded General Crook in the management ' and direction of their pursual. Under the 1 terms of their surrender as then reported , 1 and in view of the understanding which this murderous savage seemed to entertain of the 1 assurances given them , it was thought best < to imprison them in such manner as to pre- vent them ever engaging in such outrages ' again , instead of trying them for murder. I Fort I'ickens having been selected as a safe ' place of confinement , all the adult males ] were sent thither and will be closely guarded s as prisoners. In the meantime the residue of ' the band who , though still remaining upon j the reservation , were regarded as unsafe and 1 suspected of furnishing aid to those on tho ' warpath , had been removed to Fort Marion. ] The women and largerchildren of the hostiles ] were lso taken there and arrangements ' have been made for putting the children of < proper age in Indian schools. i < KAVY DEl'AHTMEXT. 'j ' The Recommendations of Secretary Whitney En- ' dorsed. j The report of the Secretary of the Navy con- < tains a detailed report of the condition of his < department , with such a statement of the ac- 1 tion needed to improve the same as should t challenge the earnest attention of Congress , t The present navy of the United States , aside i from the ships in course of construction , cun- ' sists of : f Fiibl Fourteen single-turrcted monitors , I none of which are in commission nor at the < present time serviceable. The batteries of i these ships are obsolete , and they can only be I relied upon as auxiliary ships in harbor de fence , and then after such an expenditure as s might not be deemed justifiable. c Second Five fourth-rate vessels of small 1 tonnage , only one of which was designed as a f war vessel , and all of which are auxiliary t merely. t Third Twenty-seven cruising ships , three t of which are built of iron , of small tonnage , < and twenty-four of wood. Of these wooden i vessels it is estimated by the Navy Departi J ment that only three will-be serviceable be- i yond a period of six years , at xvhich time It may besai * that of the present naval force nothing worthy the name will rt'main. All the vessels heretofore authorized are under contract or in course of construction , except the armored ships , the torpedo and dynamite boats , and one cruiser. As to the last of these , the bids were in excess of the limit fixed by Congress. The production In the United States of armor and gun-steel Is a question which It seems necessary to settle at an early day , if the armored war-vessels are to be completed with those materials of lioiiie manufacture. Tills lias been the subject of investigation by two boards and by two spe cial committees of Congress within the last three years. The report of the gun-foundry board in IS84 , of the board on fortifications , made in January last , and the reports of the select , committees of the two houses made at the last session of Congress , have entirely ex hausted the subject so far as preliminary in vestigation is involved and in their recom mendations they are substantially agreed. In the event that the present invitation of the department for bids to furnish such of this material iis is now authorized shall fail to in duce domestic manufacturers to undertake the large expenditures required to prepare for this new manufacture , no other steps are taken by Congress at its coming session , the Secretary contemplates , with disaffection , the necessity of obtaining abroad the armor and the gun-steel for the authorized ships' . It would seem desirable that the wants of the army and the navy in this regard should be reasonably met and that by uniting the con tracts , such inducement might be offered as would result in securing the domestication of these important interests. 1'OSTAL AFFAIRS. Present Rates of Rcieuae Will Sustain thz Scrr- Ice. The affairs of the Postal service show maekcd'and gratifying improvement during the past. year. A particular account of its transactions and conditions is given in the re port of the Postmaster General , which will be laid before you. The reduction of the rate of letter postage in 1SS3 , rendering the postal revenues inadequate to sustain the expend itures , and business depression also contrib uting , resulted in an excess of cost , for the fis cal year ended Juno 39IStS , of eight and one- third million dollars. An additional check upon receipts by doubling ths measure .of weight in rating scaled correspondence and diminishing one-ball' the charge for newspa per's carriage , was imposed by legislation , which took effect with tlie beginning of the past fiscal year , while the constant demand of our Territorial development nmi growing population , for the extension and Increase of mail facilities and machinery necessitates a steady annual advance in outlay ; and the careful estimate of a year ago , upon theratio of expenditure then existing contemplated the unavoidable augmentrtion of the deficiency In the last fiscal year by nearly $2,000,000. The anti cipated revenue for the laabycar failed of real ization by about $01,000 , but proper measures of economy have so satisfactorily limited the growth of expenditure that the total defi ciency , In fact , fell below that of 1SS5 , and at this time the incrcaseof revenue is in gaining ratio over the increase of cost , demonstrating the sufficiency of the present rates of postage ultimately to sustain the service. This is the more pleasing because our people enjoy now both cheaper postage , proportionately to dis tances , and a vaster and more costly service , than any other on the globe. Retrenchment has been effected in the cost of supplies , some expenditures unwarranted by law have ceased , and theoutlaysfor mail carriage have been subjected to beneficial scrutiny. At the close of the last fiscal year the expense of transportation on st-ir routes stood at an annual rate of cost less by over $5 < X,000 ) than at the close of the previous year , and steamboat and mail messenger service at nearly $200,000 less. The serice has been in the meantime enlarged and extended by the establishment of new ofiices.increase of routes of carriage.expansion of carriersdelivery con veniences , and additions to the railway mail facilities , in accordance with the growing exi gencies of the country and the long establish ed policy of the Government. The Post- tnaster-General calls attention to the exist ing law for compensating railroads and ex presses the opinion that a method maybe devised which will prove more just to car riers and beneficial to the Government , and the subject appears worthy of your early con sideration. The differences which arose dur ing the year with certain of the steamship companies have terminated witii the ac- quiescences of all in the policy of tho Govern ment approved by Congress in f ho postal ap propriation at its last session ; and tho de- liartment now enjoys the utmost service af forded by all vessels which sail from our , ports upon either ocean , i service generally adequate to [ he ifod.s of our intercourse. Petitions liave , however , been presented to the depart ment by numerous merchants and manufac turers tort lie establishment oi'a direct service to the Argentine Republic , a d for semi monthly dispatches to the empire of Ira/il , and tho object is commended to your consid eration. It is an obvious duty to provide the means of postal communication which our commerce requiresand with prudejit fore cast of result , the wise extension of it may lead to stimulating intercourse and become the harbinger of a profitable traffic , which will open new revenues fur the disposal of the products of our industry. The circum stances of the country at the far south of our continent arc such as to invite our en terprise and afford the promise of sufficient advantages to justify an unusunl effort to bring about the closer relations which greater freedom of communication would establish. I suggest that as distinguished from a grant or subsidy for the mere benefit ot any line of trade or travel , whatever outlay may be re quired to secure additional postal service necessary ami proper , and not otherwise ob tainable , should be regarded as within the limit of legitimate compensation forsuchscrv- icc. The extension of the frae delivery serv ice is suggested by the Postmaster-General , has heretofore received my sanction , and it is to be hoped a suitable enactment may soon be agreed upon. The request for an appro priation sufficient to enable the general in spection of fourth class offices has my appro bation. I renew my approval of the recom mendation of the Postmaster-General , that another assistant be provided for the Post- ollice Dcpartmentand I inviteyourattention to the several other recommendations in his report. DOMAIN OF JUSTICE. Government Prisons for Federal Prisoners Con vict Labor. The conduct of the Department of Justice for the last fiscal year is tully detailed in the report of the Attorney-General , and I invite the earnest attention of the Congress to the same i and due consideration of the recom mendations therein contained. In the report submitted by this officer to the last session of the Congress he strongly recommended the erection ' of a penitentiary for the confinement of prisoners convicted and sentenced in.tlie United States courts , and he repeats the rec ommendation in his report for tiie last year. This matter is of very gre it importance and should at once receive Congressional action. United States prisoners are now confined in more than thirty different Slate prisons and penitentiaries situated in every part of the country. They are subjected to nearly as many different modes of treatment and discipline , and are far too much re moved from the control and regulation of the Government , So far as they are enti tled to humane treatment and opportunity for improvement and reformation , the Gov ernment is responsible to them and society that these thing * are forthcoming. But this duty can scarcely be discharged without more absolute control and discretion than is possi ble under the present system. Many of our good citizens have Interested themselves with the most beneficial results on the question of prison , reform. The general government should' in a situation , since there must be United States prisoners , to furnish important aid in this movement and should be able to illustrate what may be practically done in the direction of this reform to present an exam ple in the treatment and improvement of its prisoners'worthy of imitation , with prisons under its own control. The Government could deal with thesomewhat vexed question of convict labor , so far sis its convicts were , concerned , according to a plan of its own adoption and with due regard to rights and : interests of our laboring citizens , instead of sometimes aiding in theoperation of a system which causes among them irrita tion and discontent. Upon consideration of this subject it might be thought wise to erect more than one of the.se institutions located in such places as would best subserve the purposes of convenience and economy in transportation. The considerable cost of . maintaining these convicts , as at present in 5-iHte institutions , would be saved by the adoption of 4.he plan proposed and. l v f i- > ploying them in the manufacture of such arti . clcs as were needed for use by the Govern ment , quite a large pecuniary benefit would be realized in partial return for our outlay. I again urge a change in the Federal judicial > system to meet the wants of the people and obviate tlie delays necessarily attending the present condition of affairs in our courts. All arc agreed that something should be done and much favor is slinwii by tiii.se well able to advise. To ttie plan suggested by the Attorney-General at the last session of the Congress and recommended iu my lust an nual message , the recommendation is here renewed together with another made at the aino time , touching ft chanso Inthamnn. nor of rompenimtlnjr district attorneys ftixl rmirnhnUntid tho latter subject Is pommendmt to tho ConjrrcM for ltn action In tho Interest of economy to the Government , tmd Immuni ty and fairness and Justice to our people. IXTKUIOK INTERESTS. I.snds in Serenity for Indian : * Schools and Ciril- izntion. The report of the Secretary of the Interior presents a comprehensive summary of the work of tlie various brandies of tlie public service connected with his department , and tiie suggest ions and recommendations which it contains ; for tlie iniprovementof the service should receive your careful consideration. The exhibit made of the condition of our In dian population and the progress of the work for their enlightenment , notwithstanding the many embarrassments which hinder the bet ter administration of this important branch of the servile , is a gratifying and hopeful one. The funds appropriated for tlie Indian service for the fiscal year just passed , \ \ itli tho avail able income from Indian land and trust moneys , amounting in all to $7,850,775.12 , were ample for.the service under the conditions and restrictions of laws regulating their ex penditure. There remained a balance on hand on June 30 , 1S.SG , of Sl,8W,02"i : ) , of which $1,337,703.21 are permanent funds for the fulfillment of treaties and other jike purposes , and the remainder. $322,255,0 ! ) . is subject to be carried to the surplus fund as required by law. The estimates presented for appropriations for the ensuing fiscal year amount , to S5. ) $ ,873.i. ( or > M2 , : oVJO less than those laid beforo the Congress last year.The present system of agencies , while absolutely necessary and well adapted to tlie manage ment of our Indian afiairs , and for tho ends in view-when adopted , is in the present stage of Indian affairs inadequate , standing alone for the accomplishment of an object which has become pressing in its importance tlie more rapid transition from tribal organiza tions to citizenship of such portions of the In dians as are incapable of civilized life. When the existing system was adopted the Indian race was outside of tlie limits of organized States and Territories , and beyond the imme diate reach and operation of civiliza tion , and all efforts were mainly di- rcctejl to tlie maintenance of friendly relations and the preservation of peace and quiet on tlie frontier. Ail this is now changed. There is no such thing as the Indian frontier. Civilization , with the busy hum of industry and the influence of Chris tianity , surrounds these people at every point. None of the tribes are outside of the bounds of organized government and society , except that the territorial system has not been extended over that portionf the coun try known as the Indian Territory. As a race the Indians are no longer hostile , but may be considered as submissive to the con trol of the Government , as few of them only are troublesome. Kxcvpt tlie fragments of sev eralI bands , all are now gathered upon res ( > r- vations. It is no longer possible for them to subsist by the chase and the spontaneous productions of the earth. With abundance of land , if furnished with the means and im plements for profitable husbandry , their lifo of entire dependence upon govern ment rations from day to day is no longer defensible. Their inclination , long fostered by a defective system of control , is to cling tothe hubitsandcustomsof their ances tors and struggle with persistence against the change of life which their altered circum stances press upon them. But barbarism and civilization cannot live together. It is impossible that such incongruous conditions should co-exist on the same soil. They are a portion of our pe < > - ple. are under the authority of our Govern ment , and have a peculiarclaim upon , and are entitled to , the fostering care ami protec tion of the nation. The Government cannot relieve itselfof this responsibility until they are so far trained and civilized as to be able wholly to manage and care for themselves. The path in which they should walk must be clearly marked out for them , and they must bo led or guided until they are familiar with the way and competent to assume the duties and responsibilities of our citizenship. Pro gress in tliis great work will continue only at the present slow pace and at great ex pense , unless the system and methods of management are improved to meet the changed conditions and urgent demands of the service. Tiie agents having general charge and supervision , in many cases of more than five thousand Indian ! ; scattered over large reservations and burdened with tho details of accountability for funds and supplies , have time to look after the indus trial training and improvement of a few In dians only. There are many neglected and remain idle and dependent conditions not favorable for progress in civilization. The compensation allowed these agents and the conditions of the service anint calculated t- > secure for them workmen who arc fitted by ability and skill to properly plan and intel ligently direct tin ; met hods'best adapted to produce tiie mobt speedy lesults and perma nent benefits. Hem-e the m-ccssity fr a supplemental a-r.-ncy or system , directed to the end of proiiialii : the em-rul and moro rapid transition of iris ! from habits and customs of barbariani-m to the ways of civilization. With an anxious d siru to clo\isc some plan of operation by which to secure the wclf.trc of the Indian1 : , to relieve tli > s Treas ury , so far as possible , from the support of an idle and dependent population , I recommended in my previous annual mes sage the passage of a law authorizing the ai - pointment of a commission as an in.-triuncn- tality auxiliary to those already established for the care of the Indians. It was designed that tins committee-commission should be composed of six intelligent and capable per sons , three to be detailed from the army , hav ing pnirV'ial ideas upon the subject of treat ment of Indians and interested in their wel fare , and that it should be charged , under the direction of the Secretary of the Interior , with the management of such matters of de tails as cannot with the present organization be properly and successfully conducted , and which present different phasesas the Indians themselves differ in their progress , disposi tion and capacity for improvement or imme diate self-support. By the aid of such com mission much unwise and useless expendi ture of money , waste of materials , and un availing efforts might be avoided , anil it is hoped that this or some meas ure which the wisdom of Congress may better devise , to supply the deficiency of the pres-nt system , may receive your considera tion and the appropriate legislation bo pn > - vided. The time is ripe fur the work of such an agency. There is less opposition to the education and training of the Indian youth , as shown by the Increased attendance upon the schools , and there is a yielding tendency for the individual holding of lands. leveloi > - ment and advancement in the.--o directions are essential and should have every cnc'uir- ngomeiit. As the rising gencratioitareiairjrht the language of civilization and trained in habits of iudu.stry , they should assume the duties , privileges and responsibilities of citi zenship. No obstacles should hinder tlie lo cation and settlement of any Indian willing to take land in severally. On the contrary , the inclination to do soshoulil be stimulated at all times when proper and expedient. But these is no authority of law for making allot ments on some of the * reservations , and on others the allotments provided for arc so small that the Indians , though re idy and desiring to settle down are not willing to accept sich small areas , when their reservations contain ample lands to afford them home steads of sutllcient size to meet their present and future needs. These inequalities of ex isting special laws and treaties should be cor rected , and some general legislation on the subject should be provided , so that the more progressive members of the different tribes may be settled upon homesteads , and by their example teach others to follow , break ing away from tribal customs and substi tuting the love of home , tiie interest of tlie Family and the rule of the State. The Indian characters are such they are not easily led while brooding over unadjusted wrongs , riiis is especially so regarding their lands. Matters arising from the constructing and operation of railroads across some of tho reservations , and claims of title and right of xicupancy set up by white persons to some of Ju-best land within other reser\atlons. re quire legislation for their final adjustment , I'lie settlement of these matters will remove nany embarrassments to progress in the vork of leading the Indians to the adoption if our institutions and bringing them , under he operation. PUBLIC LANDS. lepeal of the Pre-emption and Tlmbcr-Cnlluro Art Recommended. The influence and the protection of the uni versal laws of our country , the recommenda- .ionsof the Secretary ofthe Interior and the JommisMonerof the General Land Ofiice.look- ngtothe better nrotection of public lands .tnd f the public surveys , tlie preservation of na- .ional forests , the adjudication of grants to states and corporations , and of private land laims. and tlie increased efficiency of public and service are commended to the attention f Congress. To secure tlie widest distribution if public lands among settlers of residence ind cultivation , and thus make the greatest lumber of Individual hoincs was the prim- iry object of the public land legislation in he early days of the Kcpublie. ' 1 his system vasp simple one. It began with an admir- ible scheme of public survey by which the iiimble.st citizen could identify the ract upon which Ii3 % vi hed to establish his loine The price of laud was placed within the reach of alt tho enterprising. In dustrious , and honest pioneer citizens of the country * It was soon , however , found that tho object of tlie laws was perverted under the svhtem of cash sales from a distribution of land among the people to an accumulation of land capital by wealthy and speculative- persons. To check this tendency a prefer ence right of purchase was given to settler * on tlie land , n plan which culminated In the- general pre-emption act of 1SII. The founda tion of tins system wsis actual residence ana cultivation. Twenty years later tho home stead law was devised to more surely place- actual hoincs In tlie possion of actual cultl- vatoisof the soil. The land was given with out price , tire solo conditions being residence , improvement , and cultivation. Other law * * * have followed , each designed to encourago the acquirement and use of land in limited individual quantities. But In later years these laws , through vicious administrative methods and under changed conditions of communication and transportation have been so evaded and violated thr.t t'leir ' beneficent purpose is threatened with entire defeat. The methods of such evasions and violations arc set forth in detail in tho re ports of the Secretary of the Interior , anu Commissioner of the General I > and Office. Tlie rapid appropriation of our public lands without bona fide settlements or cultivation , and notonlv without intention of residence , hut for the purpose of their aggregation in large holdings , in many coses in the hands of foreigners , invites the serious and immediate attention of Congress. Tlie energies 01 tho -Land Department have been devoted during the present administration to remedy defects and correct abuses In the public land Service. The results of these efforts arc so largely in the nature of reforms In the process ami methods of our land system : is to prevent adequate estimates , bittit appears by a com pilation from the reports oftheCommisstoner of the General Land Ofiice that the Imme diate effect in leading cases , which have como to a final termination , has been the restoration to the mass of public lands of 2,750,000 acres ; that 2,370,000" acres are embraced In Investigations now pending before tlie department or the courts , and that action of Congress has been asked to effect the restoration of 'ATUO.tWO acres addi tional , besides which 1,000,000 acres have been withheld from reservation anil the. rights or entry theron maintained. I recommend tho repeal of the pre-emption ami timber culture' acts , and that the homestead laws be so amended as to better secure compliance with , and cultivation for , the period of live years from date of entry , without commutation or provision for speculative relinquisluncnt. I also recommend the repeal ofthe desert land laws , unless it sliall bo the pleasure of tho Congress to so amend these laws as to render them less liable to abuse. As the chief motive for the evasion of the laws and the principal cause of their result in land accumulation , instead of land distribution , is tho facility with which transfers are made of tho right intended to he secured to settlers , it may be deemed advisable to provide by legis lation some guards and checks upon the alienation of vented rights and land covered thereby until patents "are issued. Last year an Executive proclamation was issueddirect ing tlie removal offences which enclosed tho public domain. Many of these have been re moved in obedience t such order , but much of tho public land still remains within the lines of these unlawful fences. The ingenious methods resorted t in order to continue theso trespasses , and the hardihood of the pretences by which , in sonic cases , such enclosures are- justified , are fully detailed In tlie report of the Secretary of the Interior. Tho removal of the fences still remaining which enclose public lands will be enforced with all tlie au thority and means with which the executive branch of tho Government is or shall bo in vested by the Congress for that purpose. PENSIONS ANll PENSIONERS. Tender Consideration fur Those Who Served Their Country. The report of the Commissioner of Pensions contains a detailed and must satisfactory ex hibit of the operations of tlie pension bureau. During the hist fiscal year the amount of work done was the largest iu any year since the organization of the bureau , and has been done at least cost in cverv division. On the thirtieth day of June. 185 , there were : ui. > ,7& pensioners 011 the rolls of the bureau. Since tSiJl there have been 1.01 .75 : ! applications for pension filed , of which 7Sb3 ! were bat-'cd upon service in the war of 1M2. There were 021,751 of these applications allowed , including U- , 17.-'to the soldiers of Ibl2ind their widows. The total amount paid for pensions since 18UI isJ.SOS , )21.SI1.57. The number of new pensions allowed during the year ended June . ' ! > ) , ISHii , is 40S57 , , a larger number than has been al lowed in any year , saveone , since ISl. Tho namesot"2,2ipensiiiiiers ) , whii-lihad previousjt r ly l > eeii dropped from the rolls , wenitstored , f during the year and alter detluiing tlmso dropped within the s.mo tiim ; fur variou * cniiM'S a net increase remains fur tho year of 20 , ' 5naim .s. From January 1 , 1S..1 , t ; > l eim - ber 1 , iss'i , llirr , ! private p--n > ion nets had been ; . : v-si.l since tktf li-t nientiidie 1 date , anil during the last se < ioi of l'uii'rf-s < > M such acts ln'i-aiiif laws. It sems ti > nn thai ii iun ean e.--it'inei.ur pension t % tat > li < isiictit and its operations without li'-iii convtii'-ed liit : , tltrouuli its instrumentality , justice - : .n bu very nearly ilono to all who are entitled under present Iax\s to tho pension bounty of the Goverment. But it is ntnlrniahlu Ihat eases exist well entitled to relief , in which tho pension bureau is powerless to relieve. Tho really worthy easts of this class are such as only lack by misfortune the kind or quantity of proof which the law and regulations ol tho bureau require , or which , though their merit is apparent , fur somc tn-r ! reason cannot bo ustl.y dealt witti through general laws. The > e > conditions fully justify application to the Congress and special enactments. But report * to the Congress for a special pension act lo > overrule the careful determination of tho pension bureau of the merits or to secure fa vorable action when it t-onld not IHJ ex pected under tlie ino t liberal execution of general laws , it must bo admitted , opens tho door to the allowance of questionable claims , and presents to the legislative and executive brunches of thn ( iovcrninent applications conceded not within tlie law and plainly de void of merit , but so surrounded by senti ment and patriotic reeling that they are hard to resist. I suppose it will not be denied that many claims for pension arc made without merit , and that many have been allowed upon fraudulent representations. This has. been declared from tli < ; pcn.iimi bureau , not only in this , but in prior administrations. The usefulness and the justice of any system for the distribution of pensions depend upon the equality and uniformity of its operation. It will be seen from tho n-pnrt of thcConimis- Kion that there are now paid by the Govern ment one hundred and thirty-one different rates of pension estimates from the best infor mation Incan obtain ; that mm : thousand of those who have served in the army and navy othe United s-tatfs nre nor.-supported in whole or in part by p'.i'ilic funds or by organ ized charities , exelu-i\e nf those in tho Soldiers' Homes under the direction and con trol of the Government. Only I { per cent , of them are pensioners , while of tho entire number of men furnished for the late war something like 20 per cent , including their wi'tows and relatives , have been or aro no\r in the receipt of pensions. The American people with a patriotic and grateful regard for our ex-soldiers , too broad and t < x > sacred to be monopoliz'-d by any special advocates , are not only willing , l.nt anxious , that equal and exact justice should be done to all honest claimants for pensions. In their sight tho friendless and destitute soldier , dependent on public charity , if otherwise entitled has precisely the same right to share in the pro vision made for those who fought their coun try's battle as those better able , through friends and influence , to push tin-ir claims. Every pension that is granted under our present plan upon any other grounds than actual service injury or disease incurred ID such service.and every instance of the many in which pensions are increased on other grounds than the merits of the claim , work an injustice to the brave and crippled , but poor and friendless soldier who is entirely neglected or who must be content with tlfa smallest sum allowed under general laws , and there are far too many neighborhoods in which are found glarinreasosof inequality of treatment in the matter of envious ; and they arc largely due to a yield ! g in tlie pen sion bureau to importunity 01 the part ot those other than the pcnnii r , who aro especially interested ; or til ari < e from special acts passed for the bene of Individ uals. The men who fought side by sido should stand side by side when they partici- t pate in a grateful nation'skind remembrance. Kvery consideration of fairness and justice t to our ex-soldiers and the protection of tho f patriotic instincts of our citizens from per- version and violence point to thu adoption ol a pension system broad and comprehensive- enough to cover every cun'l.igency , and which shall make unne.-essa.y an objection able volume of special legislation. As long as we adhere to the prinip ! " of granting pen sions for service and disability as the result of the service , thallowance of pensions should be restricted to eases presenting these features. Kyery patriotic heart responds to a tender consideration for these whn. having served their countrylong and well , are reduced to destitution and de pendence , not as ar. incident of their service but with advancing age or through sickness or misfortune. We aro tempted by the contemplation of such a con dition to supply relief. Yielding to no one if the desire to indulge this feeling of consider ation I cannot rid myself of the convicthtu that if these ex-soldiers are to be relieved , they and their cause are entitled to the bcnc-