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' PRESIDENT’S MESSAGE
‘Read to‘Both Houses of Congress
A VERY ABLE STATE PAPER
Ileaves IVitli ‘Congress the Government of
Our Newly Acquired Possessions. Urges
Increased Efficiency in Army and Navy.
War Tax Must Continue But Would Not
Disturb Monetary System or Tariff.
To the Senate and House of Rep-
resentatives: Notwithstanding the
added burdens rendered necessary by
the war, our people rejoice in a very
» satisfactory and steadily increasing de-
gree of prosperity, evidenced by the
largest volume of business ever record-
ed. Manufacture has been productive,
agricultural pursuits have yielded abun-
dant returns, labor in all fields of in-
dustry is better rewarded, revenue leg-
islation passed by the present Congress
has increased the Treasury's receipts .to
the amount estimated by its authors,
the financesnof the Government have
been successfully administered and its
credit advances to the first rank, while
its currency has been maintained at the
werld's highest standard. Military serv-
ice under a common flag and for a
righteous cause has strengthened the
national spirit and served to cement
more closely than ever the fraternal
bonds between every section of the
country.
In my last annual message very full
consideration was given to the question
of the‘duty of the Government of the
United States toward Spain and the
* Cuban insurrection as being by far,- the
most important problem-with which We
’ were then called upon to deal. 'The cori-
siderations then advance-J, and the ex-
position of the views therein expressed,
disclosed my sense of the extreme grav-
ity of the situation. Setting aside as
logically unfounded or practically inad~
mi‘ssible the recognition of the Cuban
insurgents as belligerents, the recogni-
tion of the independence of Cuba. neu-
tral interyention to end the war by im-
posing a ratiOnai compromise between
the conteStants, tervention in favor of
one or the othei‘srty, and forcible an-
nexation of the, sland, I concluded it
was honestly the to our friendly rela-
tions 'with Spain that she should be
given a reasonable chance to realize her.
expectations of reform to which she had
become irrevocably committed. Within.
a few weeksyprevlously .she had an-
nounced comprehensive plans which it
was confidently asserted would be efli-~
cacious to remedy the evils so deeply
affecting our own country. so injurious
to the true interests of the mother coun-
try as well as to those of Cuba, and so
repugnant to the universal sentiment of
humanity.
The war continued on the old footing
without comprehensive plan, developing
only the same spasmo c encounters;
barren of strategic result, that had
marked the course of the earlier ten
years’ rebellion, as well as the present
insurrection from its start. No alterna-
- tlve save physical exhausaion of either
combatant, and therewithal the practi-
cal ruin of the island, lay in sight, but
how far distant no one could venture to
conjecture. At ‘this juncture, on the
15th of February last, occurred the de-
strucrion of the battleship Maine while
rightfully lying in the harbor ,of
Havana, on a mission of international
courtesy and good will—a catascrophe
the suspicious nature and horror of
which stirred the nation’s heart pro-
foundly. It is a striking evidence of the
poise and sturdy good sense distinguish-
ing our national character that this
shocking blow, falling upon a generous
people, already deeply touched by pre-
ceding events in Cuba, did not. move
them to an instant desperate resolve to
tolerate no longer the existence of a
condition of danger and disorder at our
doors that made possible such a deed, by
whomsoever wrought. Yet the instinct
of justice prevailed and the nation anx-
ious awaited. the result of the search-
ing investigation at once set on foot.
The finding of the Naval Board of In-
quiry established that the origin of the
explosion was external by a submari e_
mine, and only halted through lack of
positive testimony to fixihe responsi-
bility of its authorship. All these
.things .carried conviction to the most
thoughtful even before the finding of
the Naval Court that ' a crisis in our
relations with Spain and toward Cuba
was at hand. So strong was this belief
that it needed but a brief Executive
suggestion to the Congress to receive
immediate answer totheaduty of mak-
ing instant provision for the. positive
and perhaps speedily probable. emer-
gency of war, and the remarkable, al- ;
most unique, spectacle, was presented
of a unanimousyote of both houses on
the ,9th.ot March “appropriating $50,-
000,000_for the national defense, and for ;
' 1 so far exceeding the call as to cover it
each "and every purpose connected
therewith—to be expended at the dis-
cretion of the President.” That this act
of prevision came none too soon was
disclosed when the application of the
ffind was undertaken. Our coasts were
practically undefended. Our navy need- ,
ed large provision for increased am-
munition and supplies, and even num- .'
hers, to cope with any sudden attack
from the navy of Spain, which. com-
prised modern vessels of the highest
type of continental perfection.
Our army also required enlargement
of men and munitions. It is sufficient
to say that the outbreak of war, when
it did come, found our nation not pre-
pared to meet the conflict. Nor was the
apprehension of coming strife confined
to our own country! It was felt by the
continental powers. which on April 6,
through their AmbasSadors and En-
voys, addressed to the Executive an ex- .
pression of hope that ,,htlnanity and
moderation might mark the cOurse of‘
this Government and people, and that
further'negotiations would._.le_ad to an
agreement which, while securing the
maintenance of_peace,.would afford all
necessary guarantees for the re-estab-»
lishment of orderjin Cuba. In respond-
ing to that representation ‘1 said I
shared the hope theEnvoys had ex«
"pressed that peace might be preserved
in a manner to terminate the chronic
condition of disturbance in Cuba, so in-
jurious and menacing to _our interests
and. tranquillity _as wellzasshocking to
' our sentimentgof humanity; and while
appreciating the humanitarian anddis-
interested. character of the. communica-
tion they had made on behalf-of.'the
Powers, I stated the confidence of this
Government, for its part, that equal'ap-
preciation would be shown for its owu
interest and unselfish endeaVors to ful-
fill a duty to humanity by- ending a sit-
uation the indefinite prolongation of
. which had become insufferable. Grieved
, view of all. . is. the
and disappointed at this barren out-
come of my sincere endeavor to reach a
practicable solution. I found it my duty
to remt': is whole question to the Con-
gress. In the message of April 11, 1898,
I announced that with this last over-
ture in the direction of immediate
peace "in Cuba, and its. disappointing
reception by Spain, the effort of the,
Executive w brought,to.an' end. In
; was
r -
1%
.might be assured during the war.
"greatly needed in case of war.
‘a‘ike'd't'o anthorlze. End ‘efii’pcfi’v'er The?
President to take measures to secure a
full and fin‘al termination of hostilities
between Spain and the people of Cuba.
and to secure in the island the estab-
lishment of a stable government, ca-
pable of maintaining Order and observ-
ing its international obligations. insur-
ing'peace and tranquillity. and fhe se-
curity of its citizens as well as our own,
and for. the accomplishment of these
ends to use the military and naval
forces of the United States as might be
necessary: with added authority to
continue generous relief to the starving
people of Cuba.
The response of Congress, after nine
may: or earnest discuSSion, during Which
the almost . unanimous sentiment of
your body was developed on every point
save as to the expediency of coup-ling
the proposed action with a formal
recognition of the republic of Cuba as
the true lawful Government of that
island—a proposition which failed of
adoption—the Con-gross, after confer-
ence, on the 19th of April, by a vote of
42 to 35 in the Senate, and 311 to 6 in
the House of Representatives, passed.
the memorable joint resolution. This
resolution was approved by the Execu-
tive on the next day, April 20. A copy
was at once communicated to the Span-
ish Minister at this capital, who forth-
with announced that his continuance in
Washington had thereby become impos-
sible, and asked for his passports,
which were given him. He thereupon
withdrew from Washington, leaving the
prOtection of Spanish interests in the
United States to the French Ambassa-
dor and the Austria-Hungarian Minis-
ter.. Simultaneously with its communi-
cation to the Spanish Minister here
General Woodford, the American Minis-
ter at Madrid, was telegraphed co!-
firmation of the text of the.joln-t reso-
lution and directed to communicate
with the Government of Spain, with the
formal demand that it at once relin-
quish its authority and government in
the Island of 'Cuba and withdraw its
forces therefrom, coupling this demand
with announcement of the intentions of
this Government as to the future of the
island, in. conformity with the fourth
clause of , the resolution, and giving
Spain until noon of April 23 to comply.
That demand, although,as above shown,
ofiicially made known to'the Spanish
Envoy here, was not delivered at Mad-
rid.
On April 22 I proclaimed :1 blockade
of the north coast of Cuba, including
ports on said coast between Cardenas
and Bahia Honda and the port. of Glen-
fuegos in the south coast of Cuba, and
on the 23rd inst. I called for volunteers
_to execute the purpose of the resolu-
tion. Due notification of the existence
of war as aforesaid was given April 25
by telegraph to all other governments
with which the United States maintain
relations, in order that their neutrality
It is
not among the least gratifying inci-
dents of the struggle that the obliga-
tions. of neutrality were impartially
discharged by all, often under delicate
and difficult circumstances.
Our country thus, after an interval
of half a century of peace with all na-
tions, found itself engaged in deadly
conflict with a foreign enemy. Every
nerve was strained to meet the emerg—
ency; the response to the initial call for
125,000 volunteers was instant and com-
plete, asc was also the result of the
second call of May 25 for 75,000 addi-
tional volunteers. The ranks of the
regular army were increased to the
giggit provided by the act of April 26,
The enlisted force of the navy on the
15th day of August, when it reached its
maximum, numbered 24,123 men and ap-
prentices. One hundred and three ves-
sels were added to the navy bv pur-
chase, one was presented to the Gov—
ernment, one leased and the four ves-
sels of the International Navigation
Company—the St. Paul, St. Louis, New
York and Paris—were chartered. In ad-
dition to these the revenue cutters and
lighthouse tenders were turned over to
the Navy Department and became tem-
porarily a part of the auxiliary navy.
The auxiliary navy was created under
the authority of Congress and was offi-
cered and manned by the naval militia
of the several States. This organiza-
tion patrolled the coast and performed
the duty of a second line of defense.
The Signal Corps was promptly or-
ganized and performed service of the
most difficult and important character.
Its operations during the War covered
the electrical connection of all coast
fortifications, the establishment of tele-
phonic and telegraphic facilities for the
camps at Manila, Santiago and in Porto
Rico.
The national defense fund of $50,000,-
000 was expended in large part by the
army and navy, and the objects for
which it was used are fully shown in
the report of the several secretaries.
It was a most timely appropriation, en-
abling the government to strengthen
its defenses and make preparations
This
fund being inadequate to the require-
ments of equipment and for the con-
duct of the war, the patriotism of the
Congress provided the means in the
war revenue act of June 13 by author-
lzing a 3 per cent. popular loan not to
exceed $400,000,000 and by levying addi-
tional imposts and taxes. Of the au-
thorized loan, $200,000,000 were offered
and promptly taken, the subscriptions
, many times over, while, preference be-
ing given to the smaller bids, no single
allotment exceeded $5,000. This was a
- most, encouraging and significant re—
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; harbor forts,
suit, Showing the vast resources of the
nation and _the determination, of the
people to uphold their country's honor.
I: is not within the province of this
message to narrate the history of the
extraordinary war that followed the
Spanish declaration of April 21, but a
brief recital of its more salient features
is’appropriate. The first encounter of
the war 1:.- point of date took place
April 27, when a detachment of the
blockading squadron! made a reconnais—
ance in force at Matanzas, shelled the
and demolished several
new works in construction.
The next engagement was destined to
marka memorable epoch in maritime
warfare. The Pacific fieet, under Com-
modore George Dewey, had lain for
some weeks at Hong Kong. Upon the
colonial proclamation of neutrality be-
ing issued and the customary twenty-
four hours’ notice being given it re-
paired to Mirs Bay, near Hong Kong.
whence it proceeded to the Philippine
islands under telegraphed orders to cap-
ture or destroy the formidable Spanish
fleet then assembled at Manila. Not a
life was lost on our ships, the wounded
only numberingseven, while not a. ves—
l{sel was materially injured. For this
gallant‘achievement the Congress, upon
my 'reCommendation, fit-ly bestOWed
upon the actors preferment and sub-
stantial reward. ,
The effect of this remarkable victory
upon the spirit of our people and upon
the fortunes of the war was instant. A
prestige of invincibility thereby at-
tached to our arms, which . continued
throughout the struggle.
Meanwhile the Spanish naval prepar-
ations had been pushed with great
vigor. A powerful squadron under Ad-
miral Cervera, which had assembled at
the Cape Verde Islands before the out-
break of hostilities; had crossed the
ocean, and by its erratic movements in
the Caribbean Sea delayed our military
plans, while baffling the pursuit of our
lleets. Not until Admiral Cervera, took
refuge inthe harbor. of Santi 0 de
Cuba, about May'19, was it pract cable
‘to plan a systematic naval and military
attack upon the Antilllan possession-of
3291!; museum; was:
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curred »~ on: the chaste. ~15: m a‘iid ‘
_Porto Rico in preparation for the larger
On May 13 the North Atlan-
tic 'squadrbn shelled San Juan - de
Porto Rico. On May 30 Commodore
Schley's squadron bombarded the forts
guarding the mouth of Santiago Har-
bor. Neither attack had any material
result. _It was evident that well ordered
land operations were indispensable to
achieve a decisive advantage. On June
[0, under a heavy protecting fire, a
landing of 600 marines from the Ore-
Iron, Marblehead and Yankee was ef-
fected in Guantanamo Bay, where it
had been determined to establish a
naval'station. This important and es-
sential port was taken from the enemy
after severe fighting by the marines,
w-hqwere the first organized force of
the’United States to land in Cuba.
The position so won was held despite
desperate attempts to dislodge our
forces. By June- 16 additional forces
were landed and strongly intrenched.
On June 22 the advance of the invading
army under Major General Porter
even t.
landed at Daiquiri, about '15 miles east.
of Santiago. This was accomplished
under great difficulties, but with mar-
velous dispatch. On June 23 the move-
ment against Santiago was begun. On
the ,24th ult. the first engagement took
place, in which the First and Tenth
Cavalry and the First United States
Volunteer Cavalry, General Young’s
brigade of General Wheeler's division,
participated, losing heavily. By night-
fall, however, ground within five miles
of Santiago was won. The advantage
was steadily increased. On July 1 a se-
vere battle tack place, our forces gain-
ing the outworks of Santiago; on' the
2d El Caney and San. Juan were taken
after a desperate charge, and the in-
vestment of the city was completed.
The navy operated by shelling the
town and the coast forts.
On the day following this brilliant
achievement of our land forces the 3d
of July occurred the decisive naval
combat of the war. .
The Spanish fleet, attempting to leave
the harbor, was met by the American
squadron under command of Commo-
dore Sampson. ‘
In less than three hours all the Span-
ish ships were destroyed, the two tor-
pedo boats being sunk and the Maria
Teresa, Almirante Oquendo, Vizcaya
and 'CristObal Colon driven ashore.
TheVSpanish Admiral and over 1,300
men were taken prisoners, while the
enemy's loss of life was deplorably
large, some 600 perishing. On our side
but one man was killed, on the Brook-
lyn, and one man seriously wounded.
Although our ships were repeatedly
struck not, one was seriously injured.
Where all so conspicuously distin-
guished themselves, from the com-
manders to the gunners and the un-
named heroes in the boiler rooms, each
and all contributing toward the
achievement of this astounding vic-
tory, for which neither ancient nor
modern history affords a parallel in the
completeness of the. event and the mar-
velous disproportion of casualties, it
Would be invidious to single out any
for especial honor. Deserved promotion
has rewarded the more Conspicuous
actors. The nation’s gratitude is due
to all of these brave men, who by their
skill and devotion in a few short hours
crushed the sea power of Spain and
wrought a triumph whose decisiveness
can scarcely be measured. Nor can we
be unmindful of the achievements of
our builders, mechanics and artisans
for their skill in the construction of
our warships. The capitulation of San-
tiago followed. The city was closely
besieged by land, while the entrance
of our ships into the harbor cut off all
relief on that side. After a. truce to
allow of the removal of non-combatants
protracted negotiations continued from
July 3 to July 15, when, under menace
of immediate assault, the preliminaries
of surrender were agreed upon: 0n the
17th General Shafter occupied the city.
The capitulation embraced the entire
eastern end of Cuba.
The individual valor of officers and
soldiers was never more strikingly
shown than in the several engagements
leading to the surrender of Santiago,
while the prompt movements and suc-
cessive victories won instant and uni-
versal applause. To those who gained
this complete triumph, which estab.
lished the ascendency of the United
States upon land as the fight off San—
tiago had fixed our supremacy on the
seas, the earnest and lasting gratitude
of.the nation is unsparlngly due. Nor
should we alone remember the gallantry
:of the living; the dead claim our tears,
and our losses by battle and disease
must cloud any exultation in the result
and teach us to weigh the awful cost of
war, however rightful the cause or sig-
nal the victory. With the fall of San-
tiago, the occupation of Porto Rico be-
came the next strategic necessity. Gene
eral Miles had previously been assigned
to organize the expedition for that pur-.
pose. Fortunately he was already at
Santiago, where he had arrived on the
11th of July with reinforcements for
General Shafter’s army. On July 27 he
entered Ponce, one of the most impor-
tant ports in the island, from which he
thereafter directed operations for the
capture of the island. With the excep«
tion of encounters with the enemy at
Guyama, Hormagueros, Coamo and
Yauco, and an attack on a force landed
at Cape San Juan, there was no serious
resistance. As a potent influence to-
ward peace the outcome of the Porto
Rican expedition was of great conse-
quence, and generous commendation is
due to those who participated in it.
The last scene of the war was enacted
at Manila, its starting place. On Aug.
15; after a brisk assault upon the works
by the land forces, in which the squad-
ron assisted, the capital surrendered
unconditionally. The casualties were
comparatively few. By this the con-
quest of the Philippine Islands, vir-
tually accomplished when the Spanish
capacity for resistance was destroyed
by Admiral Dewey’s victory of the lst
of May, was formally sealed.
' The total casualties in killed and
wounded in the army during the war
with Spain were: Ofilcers killed, 23; en-
.isted men killed, 257; total, 280; ofiicers
wounded, 113; enlisted men wounded.
1,464; total, 1,557. 0f the navy: Killed,»
17; wounded, 67; died as result of
wounds, 1; invalided from service, 6:
total, 91.
It will be observed that while our
navy was engaged in two great battles
1nd in numerous perilous undertakings
n blockade and bombardment, and
more than 50,000 of our troops Were
:ransported to distant lands and were
engaged in, assault and siege and battle,
ind many Skirmishes in unfamiliar ter—.
ritory, we lost in both. arms of. the ser-
vice a total of 1,668 killed and wounded;
1nd in the entire campaign, by land and
sea, we did not lose a. gun or a flag or
a transport or a ship, and with the ex-
ception of the crew or the Merrimac.
not a soldier or sailor was taken pris- 15¢
oner. On Aug. 7, forty-six days from
:he date of the landing of General
Shafter’s army in Cuba, and twenty-
nne days from the surrender of San-
tiago, the United States troops com-
henced embarkation for home, and our'
entire force was returned to the United
States as early as Aug. 24. They were
absent from the United States only two
months. It'is fitting that I should bear
testimony to the patriotism and devo-
;ion of that large portion of our army
ivhlch; although eager to be ordered to
the post of greatest exposure, fortun~
ately was not required outside of the
United States. They did their whole
duty, and, like their comrades at the
front. hare. earned thasrautsde Q; the
fiifldii.fi..fri..tmonn§ctlfinf {Eli‘s} p‘TesEs
mitor me-to, mention in terms of our
lial appreciation the timely and useful
work of the American National Red
Urosu, both in relief measures prepara-
sistance at severalof the camps of as
uemblage, and, later, under the able and.
‘experlenced leadership of the president
of the society, Miss Clara Barton, on
the fields of battle and in the hospitals
at the front in Cuba. In tracing these
events We are constantly reminded" of
ur obligations to the Divine Master for
is watchful care over us and HE
guidance, for which the nation make!
reverent acknowledgment and offers
humble prayer for- the continuance of
His favor. ..
The annihilation of Admiral Cer-
vera’s fleet, followed by the capitula-
tion of Santiago having brought to the
Spanish government a realizing sense
of the hopelessness of continuing a
struggle, now become ’wholly unequal.
it made overtures of peace through the
sent of his government had acted as
the friendly representative of Spanish
interests during the war. On the 26th
of July M. Cambon presented a com-
munication signed by the Duke of Al-
modovar, the Spanish Minister of
State, inviting the United States ,to
state the terms upon which it would
be willing to~ make .peace. 0n the 30th
of July, by a communication addressed
to the Duke of Almodovar and handed
to M. Cambon, the terms of this Gov-
ernment were announced, substantially
as in the protocol afterward signed.
0n the 10th of August the Spanish re-
ply dated August 7 was handed by M.
Cambon to the, Secretary of State. It
accepted unconditionally the terms im-
posed as to Cuba, Porto Rico and an
island of the Ladrones group, but ap-
peared to seek to introduce inadmis-
sible reservations in regard to our de-
mand as to the Philippine Islands.
Conceiving that discussion on this
point could neither- be practical nor
should be forthwith closed by propos-
ing the embodiment in formal pro-
tocol of the terms upon which the ne-
gotiations for peace were to be under-
taken. The vague and lnexpliclt sug-
gestions. of the Spanish note could not
be accepted, the only reply being to
present as a virtual ultimatum a draft
of a protocol embodying the precise
terms tendered to Spain in our note of
July 30, with added stipulations of de-
tail as to the appointment of Commis-
sioners to arrange for the evacuation
of the Spanish Antilles. On- August 12
M. Cambon announced his receipt of
his full powers to sign the protocol so
submitted, so accordingly on the after-
noon of August 12 M. Cambon as the
Plenipotentiary of Spain, and the Sec-
retary of State as the Plenipotentiary
of the United States, signed a protocol.
Immediately on the conclusion of the
protocol I issued a proclamation of Aug.
12 suspendinghostilities on the part of
the United States.
Pursuant to the fifth article of the
protocol, I appointed William R. Day,
lately Secretary of State; Cushman K.
Davis, William P. Frye and George
and Whitelaw Reid, to be the Peace
Commissioners on the .part of the
United States. Proceeding in due sea-
son to Paris, they there met on the let
of October five Commissioners similarly
appointed on the part of Spain. Their
negotiations have made hopeful prog-
ress, so that I trust soon to be able to
lay a definite treaty of peace before the
Senate, with a review of the steps lead-
ing to its signature. _
I do not discuss at this time the gov-
ernment or the future of the new pos-
sessions which will ccme to us as the
result of the war with Spain. Such dis-
cussion will be appropriate after the
meantime, and until the Congress has
legislated otherwise, it will be my duty
to continue the military governments
which have existed since our occupancy
and give to the people security in life
and property and encouragement under
a just and beneficent rule.
As soon as we are in possession of
Cuba and have pacified the island, it
will be necessary to give aid and direc-
tion to its people to form a govern-
ment for themselves. This should be
undertaken at the earliest moment con-
sistent with safety and assured success.
It is important that our relations with
this people shall be of the most friendly
character and our commercial relations
close and reciprocal. It should be our
duty to assist in every proper way to
build up the waste places of the island,
encourage the industry of the people,
and assist them to form a government
which shall b‘e free and independent,
thus realizing the best aspirations of
the Cuban people. Spanish rule must
be replaced by a just, benevolent and
humane government, created by the
people of Cuba, capable of performing
all international obligations, and which
shall encourage thrift, industry and
prosperity, and promote peace and good
will amOng all of the inhabitants, what-
ever may have been their relations in
the past. Neither revenge nor passion
should have a place in the new Govern-
ment. Until there is complete tran-
quility in the island and a stable gov-
ernment inaugurated military occupa-
tion will be continued.
With the one exception of the rupture
with Spain. the intercourse of the
United States with the great family of
nations has been marked with cor-
diality. and the close of the eventual
vear finds most of the issues that neces-
sarily arise in the complex relations of
sovereign States adjusted, or presenting
no serious obstacle to a just and hon-
orable solution by amicable agreement.
The 'Nicarauga Canal Commission,
under the chairmanship of Rear Ad-
miral John 'C. Walker, .appointed July
24, 1897, under the authority of a pro-
vision in the Sundry Civil act of June 4
of that year, has nearly completed its
labors, and the results of its exhaustive
inquiry into the proper route, the feasi-
bility and the cost of construction of an
inter-oceanic canal by a Nicaraguan
'route will be laid before you. That the
construction of such a maritime high-
way is now more than ever indispensa-
ble to that ultimate and ready inter-
communication between our Eastern’
and Western seaboards demanded by
the annexation of the Hawaiian, Islands
and the prospective expansion of our
influence and commerce in the Pacific.
and that our national ,policy now more
lmperatively than ever calls for its con-
trol by this Government, are proposi-
tions which I doubt not the Congress
will duly appreciate and wisely act
upon.
The United States has not been an in-
differennpectator of the extraordinary
events transpiring in the ChineseEm-
pire, whereby portions’ of its maritime
provinces are passing under the control
of various European powers; but the
prospect that the vast commerce which
the energy of our citizens and the ne—
cessity of our staple productions for
Chinese uses has built up in these
regions may not be prejudiced through
any exclusive treatmentby the new oc-
cupants has obviated the need of our
country becoming an actor in the scene.
Our relations with Great Britain
have continued on the most friendly
footing. Assenting to our request, the
protection of Americans and their m-
terests in Spanish jurisdiction. was as-
sumed‘ by the diplomatic and consular
representatives of Great Britain', who
fulfilled their delicate and .arduous
trust with tact and zeal, eliciting high
commendation. - . _'
It mitigate tomespedalusatisfactl 01‘
French Ambassador, who with thg as-.‘
profitable. I directed that in order to: ,
avoid misunderstanding the matter - Porated territory. subject to my power
Gray, Senators of the United States,’
treaty offipeace shall be ratified. In the,
if 1 stair oe‘an'tfiéfiz‘ed’ to semifinal.-
cute to you, a favorable conclusion of
the pending negotiations with Great
‘ Britain in respect to the Dominion of
lory to the campaigns in sanitary as~ I’ Canada. ‘It is the earnest wish of this
Government to remove all sources of
' discord and irritation in our relations
with the neighboring Dominion, The
trade betwaen the two countries is con-
stantly increasing, and it is important
to thh countries that all reasonable
facilities should be granted for its de-
, velopment.
Pending the consideration by the
Senate of the treaty signed June 16,
, 1897, by the Plenipotentiaries of the
: United States and. of the republic of
placed
‘greenbacks should be redeemed upon
i
l
s
Hawaii, providing for the annexation
of the Islands, a joint resolution to
accomplish the same purpose by ac-
cepting the offered cesslon and incor-
porating the ceded territory’into the
Union was adopted by, the Congress
and approved July 7, 1898. ,I thereupon
directed the United States steamship
Philadelphia to convey Rear‘Admiral
Miller to Honolulu and intrusted to his
hands this important legislative act to
be delivered to the President of the
Republic of Hawail,with whom the Ad-
miral and the United States Minister
were authorized to make. appropriate
“arrangements for transferring the sov-
ereignty of the Islands to the' United
States.
This was simply but impressively ac-
complished on the 12th of August last
by the delivery of a certified copy of
the resolution of President Dole, who
thereupon yielded up to the representa-
tive of the Government of the United
States the sovereignty and public prop-
erty _of the Hawaiian Islands. Pursu-
ant to the terms of the joint resolution
and in exercise of the authority there-
by conferred upon me, I directed that
the civil, judicial and military powers
heretofore exercised by the officers of
the Government of the Republic of
Hawaii should continue to be exercised
by these ofl‘icers until Congress shall
provide a government for the incor-
to remove such officers and to fill va-
cancies. The President, officers and
troops .of the Republic thereupon took
the oath of allegiance to the United
States, thus providing for the uninter-
rupted continuance of all the adminis-
trative and municipal functions of the
annexed territory, until Congress shall
otherwise enact.
The proposal of the Czar for a gen-
eral reduction of the vast military es?
tablishments that weigh so heavily
upon many peoples in time of pe'aCe was
Communicated to this Government, with
an earnest invitation to be represented
in the conference which it is contem-
plated to assemble, with a view to dis-
cussing the means of accomplishing sc
desirable a result. His Majesty Was at
once informed of the cordial sympathy
of this Government with the principle
involved in his exalted proposal and 0f
the readiness of the United States to
take part in the conference.
We desire, in common with most civi-
lized nations, to‘ reduce to the lowest
possible point the damage sustained in
time of war by peaceable trade and
commerce. It is true we may suffer in
such cases less than other communi-
ties, but all nations are damaged more
or less by the state of uneasiness and
apprehension into which an outbreak of
hostilities throws the entire commercial
world. It should be our object, there-
fore, to minimize so far as practicable
this inevitable loss and disturbance.
This purpose can probably best be ac-
complished by an international agree-
ment to regard all private prOperty at
sea as exempt from capture or destruc-
tion by the forces of belligerent powers.
The United States Governmeint has for
many years advocated this humane and
beneficent principle, and is now in po-
sition to recommend it to Other powers
without the imputation of selfish mo-
tives. I therefore suggest for your con-
sideration that the Executive be au-
thorized to correspond with the govern-
ments of the principal maritime powers
with a. view of incorporating into the
permanent law of civilized nations the
principle of the exemption of all private
property at sea, not contraband of war,
from capture or destruction by belliger-
ent powers.
The Secretary of the Treasury re-
ports that the receipts of the Govern-
ment from all sources during the fiscal
year ended June 30, 1898. including
$64,751,223 received from sale of Pacific
railroads, amounted to $405,322,335, and
its expenditures to $443,368,582. There
was collected from customs $149,575,068
and from internal revenue $170,900,641.
It is estimated upon the basis of pres-
ent revenue laws that the receipts Of
the Government for the year ending
June 30, 1899, will be $577,874,647, and its
expenditurm $689,874,647, restd-ting in a.
deficiency of $112,000,000. 0n the lst of
December, 1898, there was held in the
Treasury gold coin amounting to $138,-
441,547, gold bullion amounting to $138,-
502,545, silver bullion amounting to 893,-
359,250, and other forms of money
amounting to $451,963,981. On the same
date the amount of money of all kinds
in circulation or not included in Treas-
ury holdings was $1,886,879.504, an in-
crease for the year of $165,794,966. Es—
timating our population at 75,194,000 at
the time mentioned the per capita cir—
culation was $25.09. On the same date
there was in the Treasury gold bullion
amounting to $138,502,545.
In my judgment, the present condition
of the Treasury amply justifies the im-
mediate enactment of the legislation
recommended one year ago, under which
a portion of the gold holdings should be
in a trust fund, from which
presentation, but when once redeemed
should not thereafter be paid out except
for gold. It is not to be inferred that
;other legislation relating to our our-
rency is not required; on the contrary.
there is an obvious demand for it. The
importance of adequate provision
which will insure to our future a money
standard, related as our money standard
now is to that of our commercial rivals,
is generally recognized. The compan-
ion proposition, that our domestic paper
currency Shall be kept safe, and yet be
so related to the needs of our industries
and internal commerce as to be ade-
quate and responsible to such needs, is
a proposition scarcely less important.
The subject in all its parts is commend-
ed to the wise consideration of the
Congress. .
The annexation of Hawaii and the
changed relations of the United States
in Cuba, Porto Rico and the Philippines
resulting from the war compel the
prompt adoption of a maritime policy
by the United States.
There should be established regular
and frequent steamship communication
encouraged by the .United States, under
the American flag, with the newly ac-
quired islands, Spain furnished to its
colonies, at an annual cost of about
$2,000,000, steamship lines communicat-
ing with a portion of the world’s mar~
kets as well as with trade centers of
the home Government. The United
States will not undertake to do lees. In
my last annual message I recommended
that Congress authorize the appoint-
ment of a commission for the purpose
of making systematic investigations
with reference to the cause and preven-
tion of yellow fever. I therefore renew
my recommendation that the authority
of Congress may be given and a suit-
able appropriation made to provide for
a commission of experts to be appointed
for the purpose indicated. -
Under :the act of Congress approved
April 26, 1898, authorizing the Presi-
dent, in his discretion, "upon a dec-
laration of marl)! Ewes-hr anec-
i‘
me by ‘Cdiig'i'es’s‘WEt‘v'vaF‘e‘x'lsts,’
I directed the increase of the regular
army to the maximum of 62.000 author!
ized in said act. Thereare now in th‘I
regular army 57,862 officers and._‘men,‘
The importance of legislation, (for the,
permanent increase of the; army ll
therefore manifest, 'and’jthef ream
mendation of, the Se'cretary‘of War for
.that purpose has my unqualified ap-
proval. There can be no question, that
at this time. and probably for some
time in the future,_one hundred thou-
sand will be none too, many to meet the
necessities of .the, situation- At at!
events. whether that number shall I).
required permanently» or not, the powa
should be given to the President to en-
,list‘ that force if in his discretiou it
should be necessary, and the furthel ‘
discretion should be given him to re-
cruit for the army within the above
limit from the inhabitants- of‘the isl-
ands with the government of 'which N"
are charged.-~ - ' g
It ismy purpose to‘ niusterout thc
_ entire volunteer army as each as the
Congress shall, provide for the increase
of the regular establishment. This will
be only an actflof justice, and will be
much appreciated by,the brave men
who left their homes and employment:
to help the country in its emergency.
I .join with the Secretary of the Navy
in recommending that, the grades of
Admiral an-d’ Vice-Admiral betempor-
arily revived to be filled by officers
who have specially distinguished them‘
selves in the .war with Spain. There
were on the pension rolls on June 30,
1898, 993,714 names, an increase of near‘
'ly 18,000 over the number on the rolls
on the same day ‘of the preceding year. '
The amount appropriated by the act
of December 22, 1898, for the payment
of pensions forthe fiscal year of 189!
was $140,000,000 ($8,070,872.46 was appro:
priated by the act of March 31, 1898, to
cover deficiencies in army pensions and
repayments in the sum of $12,020.33,
making a total of $148,082,092.79 avail-
able for the payment of pensions dur-
ing the fiscal year 1898). Theamount
disbursed from that sum was $144,651,-
879.80, leaving abalance of $3,431,012.99
unexpenaded on the 30th of June, 1898,
which was converted into the Treasury.
There were 389 names added to the
rolls during the year by special acts
passed at the second session of the
Fifty—fifth Congress, making a total of
36,486 pensions by Congressional enact‘
ments since 1861.
In the year 1900 will occur the centen~
' nial anniversary of‘the founding of the
City- of Washington for the permanent
capital of the Government of the United
.States, by authority of ,an' act of Con-
.gress approved July 16, 1790. In May,
1800, the archives and general offices of
the Federal Government were removed
to this place. On the 17th of November.
1800, the National Congress. met here for
the first time, and assumedexclusive
control of the Federal district and city.
This interesting event, assumes all the
more significance when _we ' recall the
circumstances attending the choosing of
the site, the namingof the capital in
honor'of the father of his country, and
the interest taken by him in the adopa
tion of plans for its future development
on a magnificent scale. A movement
lately inaugurated by the citizens to
have the anniversary celebrated with fit-
ting ceremonies, including perhaps th!
establishment of a handsome permanent
memorial to mark so historical an occa—
sion and to give it more than local
recognition has met with general favor
on the part of the public.
I recommend to the Congress the
granting of an appropriation for this
purpose and the appointment of a com—
mittee from its respective bodies. It
might also be advisable to authorize the
President to appoint a committee from
the country at large, which, acting with
the Congressional and Districtof Co—
lumlbi-a Committee, can complete the
plans for an appropriate national cele-
bration. ’
The several departmental reports will
be laid before you. They give in great
detail the conduct of the affairs of the
Government during the past year, and
discuss many questions upon which the
Congress may be feel called upon to act.
WILLIAM McKINLEY.
Executive Mansion, Dec. 5, 1898.
nreuy Silk none;
Separate waists for wear with hand-
some skirts of black velvet, faille or
_ satin are built of rose colored peau do
soie and other rich silks and make very
pretty combinations.
A handsome blouse of silk is slightly
pouched in front, the material being
laid in three box pleats, on either side
of a, vest of figured silk, trimmed with
lace to simulate a corselet. The spam
lets are of figured silk, edged with lace
The tight fitting sleeves are made into
tucks above the elbows and are finished
with two frills on the shoulder. A high
stock collar of the silk with lace frills,
and a jeweled belt completes this pret-
ty waist.
New Silks.
In an array of elegant “dress” silks
recently displayed were bayadere and
iridescent taffetas, in plain patterns or
brocaded with very beautiful Marie
Antoinette designs; corded silks in
both fine and heavy reps, and in~ ex-
quisite evening colorings in mono- ‘
chromes ‘or fighred with dainty gar-
lands of/iroses; Victories and moires
with woven patterns resembling lace- .
work or passementerie scrolls, and
Lyons silks in vivid colorings and of
superb texture, whose designs are toned
by a film-like over-weaving which
gives them a silvery or chine effect. .
I
Norwalk Chronicler