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>5* w #1 ?£* ^ sASJjS:; « i f fm President's Message. r " RESIDENT M'KIN LEX'S third ! i", ,% ^ * ' Jr^annua' message was not delivered / f"? * | to Congress until the second day of the session. The message is of un the only remaining «tt» tjf conferring the fall and necessary power wr the Sec­ retary of the Treasury and impose upon him the duty to uphold the present gold „ „M ir • • " r,L- "" standard and preserve the corns of the usual length, comprising ncarlj Ju.UOU two metals on a parity with each other, I u words, and is regarded as one of the most important over emanating from the White House. The leading features of the mes­ sage relate to the new dependencies and to the financial question. Sovereignty is to be maintained in the Philippines until Congress deckles a form of gov­ ernment. Civil government is to be extended throughout the islands as rap­ idly a» possible. Attention is invited to the report of the Philippines commission as to why it is impossible for the United State* to part' with the islands and as to the great commercial advantages in hold­ ing them. Civil government in Cuba un­ der military control is recommended un­ til some substantial progress has been Hade through the .medium of suffrage toward the establishment of an indepen- ient form of government. For Porto ltico be asks the appointment of a civil gov­ ernor amd the election by the people of a council or legislature, property and edu­ cational qualifications to-be prescribed for voters. Immediate legislation is suggest­ ed for Hawaii. On the financial question the President recommends that the gold standard be provided for hy law, and the interest- bearing obligations of the United States be specifically made payable in gold. The regulation of trusts and great commer­ cial combinations so as to prevent the stifling of competition, but' without in any way hamperiug the development of American manufactures and commerce, is urged. The President, in the opening para­ graph, refers feelingly to the recent death of Vice-President Hobart and then pro­ ceeds in substance as follows: The Fifty-sixth Congress convenes in its first regular session with the country «a condition of unusual prosperity, of univtrs*l good will among the people at home, anH*in felatltuis of peace ami friendship with every government of the world. Our foreign commerce has shown great increase in volume and value. The combined imports and exports for the year are the largest ever shown by a sin­ gle year in all our history. Our exports for 1899 alone exceeded by more than a billion dollars our imports and exports combined in 1870. The imports per cap­ ita are 20 per cent less than in 1870, while the exports per capita are 58 per cent more than in 1870, showing the en­ larged capacity of the United States to satisfy the wants of its own increasing population, as well as to contribute to those of the peoples of other nations. Exports of agricultural products were $784,776,142. Of manufactured products we exported in value $339,592,148. Gov­ ernment receipts from all sources for the fiscal year ended June 30. 1899, including $11,798,314.14. part payment of the Cen­ tral Pacific Railroad indebtedness, aggre­ gated $(110,982,004.35. Customs receipts were $200,128,481.75. and those from in­ ternal revenue $273,437,101.51. For the fiscal year the expenditures were $700,- 093.5U4.02. leaving a deficit of $89,111.- 659.07. For the fiscal year ended June 30, 1899, the internal revenue receipts were increased about $100,000,000. Condition of the Treasury. The present gratifying strength of the treasury is shown by the fact that Dec. 1, 1899, the available cash balance was $278.004,S37.72. of which $239,744,905.3(5 was in gold coin and bullion. The condi­ tions of confidence which prevail through­ out the country have brought gold into Wore general use and customs receipts •re now almost entirely paid in that' coin, .The strong condition of the treasury with tespect to cash on hand and the favornble thowing made by the revenues have made t possible for the Secretary of the Treas- •rv to take action under the provisions of fection 3091, Revised Statutes, relating to the sinking fund. The Treasury De­ partment therefore offered to purchase during November $25,000,000 of the f» per cent loan of 1904, or the 4 per cent fund­ ed loan of 1907, at the current market price. The success of this operation was sufficient to induce the Government to continue the offer to purchase bonds to and including the 23d day of December, instant. Increased activity in industry, with its welcome attendant--a larger employment for labor at lusher wages--gives to the body of the people a larger power to ab­ sorb the circulating medium. It is further true that year by year, with larger areas of land under cultivation, the increasing volume of agricultural products, cotton, corn and wheat, calls for a larger volume of money supply. In its earlier history the national bank­ ing act seemed to prove a reasonable ave­ nue through which needful additions to the circulation could from time to time be made. Changing conditions have appar­ ently rendered it now inoperative to that etid. The attention of Congress is re­ spectfully invited to this important mat­ ter with the view of ascertaining whether or not such reasonable modifications can be made in the national banking act as will render its service more responsive to the people's needs." To Maintain Gold Standard. I urgently recommend that to support the existing gold standard and to main­ tain "the parity in value of the coins of the two metals (gold and silver) and the equal power of every dollar at all times in the market and in the payment of debts," the Secretary of the Treasury be given additional power and charged with the duty to sell United States bonds and to employ such other effective means as may be necessary to fhese ends. The authority should inelude\the power to sell bonds on long and short time, as con­ ditions may require, and should provide for a rate" of interest lower than that fixed by the act of Jan. 14, 1875. The financial transactions of the Government are conducted tipon a, gold basis. We are maintaining the parity of all the money issued or coined by authority of the Government. We are doing these things with the means at hand. Happilv at the present time we are not compelled to resort to loans to supply gold. It has been done in the past, how­ ever, and mav have to be done in the future. It behooves U6, therefore, to provide at once the best means to meet the emergency when it arises, and the best means are ihose which are the most certain «ud economical. Our receipts now which is Ihe rejieatedly declared policy of the United States. American Merchant Marine. The value of an American merchant marine to the extension of our commer­ cial trade and the strengthening of our power upon the sea invites the immedi­ ate action of Congress. Our national de­ velopment will be one-sided and unsatis­ factory so long as the remarkable growth of our inland industries remains unaccom­ panied by progress on the seas. There is no lack of constitutional authority for legislation which shall give to the country maritime strength commensurate with its industrial achievements and with its rank among the nations of the earth. The other great nations have not hesitated to adopt the required means to develop their shipping as a factor ip national defense, and as one of the surest and speediest means of obtaining for their producers a share in foreign markets. Like vigilance and effort on our part" cannot faii to im­ prove our situation. The expense is as nothing compared to the advantage to be achieved. Calls Attention to Trusts. Combinations of capital organized into trusts to control the conditions of trade among our citizens, to stifle competition, limit production and determine the prices of products used and consumed by the people are justly provoking public discus­ sion. and should early claim the attention of the Congress. The industrial commis­ sion. created by the act of Congress of June 18, 1898, has been engaged in ex­ tended hearings upon the disputed ques­ tions involved in the subject of combi­ nations in restraint of trade and compe­ tition. They have not yet completed their investigation of this subject, and the con: elusions and recommendations at which they may arrive are undetermined. It is universally conceded that combina­ tions which engross or control the market of any particular kiud of merchandise or commodity necessary to the general com­ munity, by suppressing natural and ordi­ nary competition, whereby prices are un­ duly enhanced to the general consumer, are obnoxious not only to the common law. but also to the public welfare. There must be a remedy for the evils involved in such organizations. Whatever power the Congress possesses over this most important subject should be promptly as­ certained and asserted. An act to protect trade and commerce against unlawful restraints and monopo­ lies was passed by Congress the 2d of July, 1890. The provisions of this stat­ ute arc comprehensive aud stringent. It declares every contract or combination in the form of a trust or otherwise, or con­ spiracy in the restraint of trade or com­ merce among the several States or with foreign nations, to be unlawful. It de­ nominates as a criminal every person who makes any such contract or engages in any such combination or conspiracy, and provides a punishment by fine or impris­ onment. It invests the several Circuit Courts of the United States with jurisdic­ tion to prevent and restrain violations of the act, and makes it the duty of the several United States district attorneys, under the direction of the Attorney Gen­ eral, to institute proceedings in equity to prevent and restrain such violations. It further confers upon any person who shall be injured in his business or prop­ erty by any other person or corporation by reason of anything forbidden err de­ clared to be unlawful by the act the pow­ er to sue therefor in any Circuit Court of the United States, without respect to the amount in controversy, and to recover three-fold the damages by hint sustained and the costs of the suit, including rea­ sonable attorney fees. It will be perceiv- ed that the act is aimed at every kind of combination in the nature of a trust or monopoly in restraint of interstate or in­ ternational commerce. The prosecution by the United States of offenses under the act of 1890 has been frequently resorted to in the federal courts, and notable efforts in the restraint of interstate commerce, such as the Transmissouri Freight Association and the Joint Traffic Association, have been successfully opposed and suppressed. State legislation for relief from the evils of trusts has. failed to accomplish fully that object. This is probably din- to a great extent to the fact that the dif­ ferent States take different views as to the proper way to discriminate between evil and injurious combinations and those associations which are beneficial and nec­ essary to the business prosperity of the country. It is apparent that uniformity of legislation upon this subject in the sev­ eral States is much to be desired. It is to be hoped that such uniformity may be ob­ tained and that means may be found for the Congress within the limitations of its constitutional power so to supplement an effective code of State legislation as to make a complete system of laws throughout the United States adequate to compel a general observance of the salu­ tary rules to which I have referred. Review of Koreiuri Relations. A review of our relations with foreign states is presented with such recommend­ ations as are deemed appropriate. In my last annual message I adverted to the ctaim of the Austro-Hungarian Gov­ ernment for indemnity for the killing of certain Austrian and Hungarian subjects by the authorities of tile State of Penn­ sylvania, at Lattimer, while suppressing an unlawful tumult of miners, Sept. 10. 1897. In view of the verdict of acquit­ tal rendered by the court' before which the sheriff and his deputies were tried for murder, and following the established doctrine that the Government may not be held accountable for injuries suffered by individuals at the bands of the public authorities while acting in the line of duty in suppressing disturbances of the public peace, this Government was con­ strained to decline liability to indemnify the sufferers. « The Belgian Government has mitigated the restrictions on the importation of cat­ tle from the United States, to which 1 re­ ferred in my last annual message. A convention of extradition with Brazil, signed May 14, 1897, has been ratified by the Brazilian Legislature. The claim growing out of the seizure of the American-owned newspaper, the Pan­ ama Star and Herald, by the authorities of Colombia has been settled, after a con­ troversy of several years. The good will of Colombia toward our country has been testified anew by the cordial extension of facilities to the Nic- equal our expenditures; deficient revenues araguan canal commission in their ap- no longer create alarm. Let us remove. proaching investigation 'of the Panama canal and other projected routes MTOm the Isthmus of Darien. Nicaragua Ship Canal. The contract of the Maritime 'Canal Company of Nicaragua was declared for­ feited by the Nicaraguan Government the 10th of October, on the ground of yon- fulfillment within the ten years'term stip­ ulated in the contract. The Maritime Canal Company has lodged a protest against this action, alleging rights in the premises which appear worthy of consid­ eration. This Government expects that Nicaragua will afford the protestants a full and fair hearing upon the merits of the case. The Nicaraguan canai commission, which had been engaged upon the work of examination and survey, for a ship canal route across Nicaragua, having complet­ ed its labors and made its report, was dissolved May 31, and June 10 a new commission, known as the isthmiau canai commission, was orgauized under the terms of the act approved March 3, 1899, for the purpose of examining the Ameri­ can isthmus 'with a view to determining the most practicable and feasible route for a -ship canal across that isthmus, with its probable cost and other essential details. This com mission, under the presidency of Rear Admiral John G. Walker, U. 8. N. (retired), entered promptly upon the work intrusted to it, and is now carrying on examinations in Nicaragua along the route of the Panama canal, and in Da­ rien from the Atlantic, in the neighbor­ hood of the Atrato river, to the Bay of Panama, on the Pacific side. The great importance of this work cannot be too often or too strongly pressed upon the at­ tention of the Congress. Chili Shows Friendship. A pleasing incident in the relations of this Government with that of Chili oc­ curred in the geuerous assistance given to the warship Newark when in distress in Chilian waters. Not alone in this way has the friendly disposition of Chili found expression. That country has acceded to the convention for the establishment of the bureau of the American republics, in which organization every independent state of the continent now shares. American Interests in China. The interests of our citizens in that vast empire have not been neglected dur­ ing the last year. Adequate protection has been secured for our missionaries and some injuries to their property have been redressed. In my message to Congress of Dec. 5, 1898, I urged that therrecom­ mend at ion which had been made to the Speaker of the Houst of Representatives by the Secretary of the Treasury the 14th of June, 189S, for an appropriation for a commission to study the commercial and industrial conditions in the Chinese Empire and report as to the opportunities for. aud obstacles to, the enlargement of markets in China for the raw products and manufactures of tve United States, should receive at your hands the consid­ eration which its importance and time­ liness merited, but? the Congress failed to take action. I now renew this recom­ mendation. Paris Kxposition of 1900. Preparations for the representation of the industries, arts and products of the United States, at the world's exposition to be held in Paris next year continue on an elaborate and comprehensive scale, thanks to the generous appropriation pro­ vided by Congress and to the friendly in­ terest the French Government has shown in furthering a typical exhibit of Ameri­ can progress. There has been allotted to the United States a considerable addition of space. The American exhibit at Paris should, and I am confident will, be an open volume, spreading abroad a clearer knowledge of the worth of our produc­ tions and the justice of our claim to an important place in the marts of the world. Cordial Relations With Germany. Our relations with Germany continue to be most cordial. The increasing intimacy of direct association has been marked dur­ ing the year by the granting permission In April for the landing on our shores of a cable from Borkum, Emdem, on the North Sea, by way of the Azores, and also by the conclusion Sept. 2 of a parcels post conven­ tion with the German E nip ire. The several governments of the empire seem reluctant to admit the natural excellence of our food products and to accept the evidence we con­ stantly tender of the care with which their purity is guarded by rigid inspection from tlie farm, through the slaughter-house and the parking establishments, to the port of shipment. It Is to tie hoped that In time the two governments'will act in common accord toward the realization of their common pur­ pose to safeguard the public health and to fhe Insuring of the purity and wholesome, ness of all food products imported by either country from the other. Joint High Commission. In ny last annual message 1 referred to the pending negotiations with Great Britain in respect to the Dominion of Canada. By means of a:i executive agreement a joint high commission has been created for the purpose of adjusting till unsettled questions between the United States and Canada, cm- bracing twelve subjects, among which were ihe questions of fur seals, the fisheries of the coast and contiguous inland waters, the Alaskan Itoundary, the transit of merelinn- lise In bond, the alien labor laws, mining rights, reciprocity in trade, revision of the lgreement respecting uaval vessels in the great lakes, a more complete marking of parts of the boundary, provision for the conveyance of criminals aud for wrecking and salvage. Much progress has been made by the com­ mission towards the adjustment of many ot these questions when it became apparent that an irreconcilable difference of view was entertained respecting the delimitation of the Alaskan boundary. An adjournment was takeu until the boundary should be adjusted by the two governments. The sub­ ject has been receiving the careful attention which its importance demands, with the re­ sult that a modus viveudi for 'provisional demarcations in the region about the head •>TT Lynn Cunal has been agreed upon. Neutrality in Boer War. This government has maintained an atti­ tude of neutrality in the unfortunate con­ test between Great Britain and the Boer States of Africa. We have remained faithful -to the precept of avoiding entangling alii- •lnccH as to affairs not of our direct con­ cern. Had circumstances suggested that the parties to the quarrel would have welcomed •my kindly expression of the hope of the American people that war might be averted rood offices would have been gladly ten­ dered. Upon the withdrawal of the British agent from Pretoria the United States consul was authorized, upon the request of the British overument and with the assent of the South African and Orange Free Stuto Govern­ ments, to exercise the customary good offices of a neutral for the care of British interests. In the discharge of this function I am happy to say that abundant opportunity has been offered to show the Impartiality of this gov- "rnment toward both the combatants. Lynching of Aliens. For the fourth time in the present decade questton has arisen with the government of Italy In regard to the lynching of Itulian subjects. The latest of these deplorable "vents occurred at Tallulah, La., whereby five unfortunates of ltali in or'gin were taken rom ^a I and hanged, 'ihe authorities of tne State and a representative of the Italian embassy having separately investigated the occurrence, with discrepant results, particu­ larly as to the alleged citizenship of the vic­ tims, and it not appearing that tne State bad been able to discover and punish the vlola- tors of the law, an independent investigation has been set on foot, through the agency of the Department of mate, and is still in progress. The recurrence of these distressing mani­ festations of Idind mob fury directed at de­ pendents or natives of a foreign country sug­ gests that the contingency has arisen for action by Congress in the direction of con ferring upon the Federal courts jurisdiction in this class of international cases where the ultimate responsibility of the Federal government nr.iy be involved. Treaty with Japan. The treaty of commerce and navigation lie*' tween the united States and Japan Nov. 22, 1894, took effect in accordance with the terms of its nineteenth article the 17th ot July last, simultaneously with the enforce­ ment of like treaties with the other powers, except France, whose convention did not go into operation until Aug. 4, the United States being, however, granted up to that date all the privileges and rights accorded to French citizens under the old French treaty. Cable to Philippines. The Japanese government has shown a lively Interest in the proposition of the Pn- cltlc Cable Company to add to its projected cable lines to Hawaii. Guam and the Phil­ ippines a branch connection with the coast of Japan. Without repeating the observa­ tions of my special message of Feb. 10, 1899, concerning the necessity of a cable to Ma­ nila, ! respectfully invite attention to it. 1 recommend that, in case the Congress should not take measures to bring about this result by direct action of the government, the post­ master general be authorized to invite com­ petitive bids for the establishment Of a cable. Mexican Extradition Treaty. Following the termination Jan. 20, 1R99. by Mexico of the convention of extradition Of Dec. 11. 1861. a uew treaty more in accord­ ance with the ascertained needs of both countries was signed Feb. 22, 18V.*, and ex­ changed in the City of Mexico the i-I'd ot April last. Its operation thus far has been effective and satisfactory. The new ireaty stipulates that neither government shall as­ sume Jurisdiction in the punishment ot crimes <>onimittcd exclusively within the ter­ ritory of the other. Rio Grande Boundary. The international water boundary commis­ sion, organized by the convention of March 1, 1889, for the adjustment of questions af­ fecting the Rio Grande frontier, has not yet completed its Inbors. Claims growlug out of the seizure of American sealing vessels In Bering Sea have been under discussion with the gov­ ernment of Russia for several years, with the recent happy result of nil agreement to submit them t^ the decision of a single arbitrator. Rvents in Samoa. Important events have occurred in the Samoan Islands. The election, according to the laws and customs of Samoa, of a suc­ cessor to the late king, Malietoa Laupepa, developed a contest as to the validity of the result, which issue, by the term's of the general act, was to be decided'by the chief justice. Upon his rendering a "judg­ ment In favor of Malietoa Tanu. the rival chief. Mataafa, took tip anus. The active intervention of American and British war ships became Imperative to restore order, at the cost of sanguinary encounters. In this emergency a joint -commission of rep­ resentatives of the United States. Germany, and Great Britain was sent to Samoa to investigate the situation and provide a tem­ porary remedy. By Its active efforts a peaceful solution was reached for the time being, the kingship being abolished and a provisional government established. Recommendations unanimously made hy the commission for a permanent adjustment of the Samoan question were takeu under consideration by the three powers parties to the general act. But the more they were examined the more evident It became that a radical change was necessary in the rela­ tions of the power* to Samoa. A satisfactory arrangement was concluded between the governments of Germany and Kngland, by virtue of which England re tired from Samoa in view of compensations in other directions, and both powers re­ nounced in favor of the I'nited States all their rights and claims over and in respect to that portion of the group lying to the east of the 171st degree of west longitude, embracing the islands pf Tutulla, Ofoo, Oloseuga and Manua. I transmit to the Senate, for its const Itn- tlonal action thereon, a convention, which, besides the provisions above mentioned, also guarantees us the same privileges and con­ ditions In respect to commerce and commer­ cial vessels in all of the islands of Samoa as those possessed by Germany. Treaty with Spain. My annual message of last year was neces­ sarily devoted in great part to a considera­ tion of the Spanish'war, and of the results it wrought and the conditions it imposed for the future. I am gratified to announce that the treaty of peace has restored friendly re­ lations between the two powers. Kffect has been given to Its most important provis­ ions. Home Rule for Cuba. The withdrawal of the authority of Spain from the Island of Cuba was effected by the 1st of January, so that the full re-establish­ ment of peace found the relinquished terri­ tory held by us In trust for the inhabitants, maintaining, under the direction of the ex­ ecutive. such government and control therein as should conserve public order, restore the productive conditions of peace, so long dis­ turbed by the Instability and disorder which prevailed for the greater part of the preced­ ing three decades, and build up that tranquil development of the domestic state whereby alone can be reulized the high purpose, as proclaimed in the joint resolution adopted by the Congress the 19th of April, 1898, by which the United States disclaimed anv dis­ position or intention to exercise sovereignty, jurisdiction or control over Cuba, except for the pacification thereof, and asserted its de­ termination when that wus accomplished to leave the government and control of the isl­ and to Its people. The pledge contained In this resolution (s of the highest honorable obligation and must lie sacredly kept. America's Great Responsibility. This nation has assumed before the world a grave responsibility for the future good government of Cubn. We have accepted a t-ust, the fulfillment of which calls for the Jest integrity of purpose and the exer­ cise of the highest wisdom. The new Cuba yet to arise from the ashes of the past must neds be bound to lis by ties of singular In­ timacy and strength If its enduring welfare is to be assured. Whether those ties shall be organic or conventional, the destinies of Culm are in some rightful form and manner irrevocably linked with our own. but how and how far is for the future to determine In the ripeness of events. Whatever be the outcome, we must see to it that free Cuba be a reality, not a name: a perfect eutitv, not a hasty experiment bearing within it­ self the elements of failure. By the treaty of peace the Spanish people on the island have until April 11. l'.XiO. to elect whether they will remain citizens of Spain or become citizens of Cuba. Until then it cannot be definitely ascertained who shall be entitled to participate in the for­ mation of the government of Cuba. By that time the results of the census will' have been tabulated nnd we shall proceed to pro­ vide for elections which will commit the municipal governments of the island to the officers elected by the people. Meantime aud so long as we exercise control over the island the products of Cuba should have a market in the United States on as good terms and with as favorable rates of duty as are given to the West India Islands under treaties of reciprocity which shall be made. Diplomatic Relations Resumed.' . Following the exchange of ratifications of the treaty of peace the two governments accredited ministers to each other. Spain s<#.dlng to Washington the Duke of Arcos, au eminent diplomatist, previously stationed In Mexico, while the United States trans­ ferred to Madrid Bellamy Storer, its minis­ ter at Brussels. This was followed by the respective appointment of consuls, thereby fully resuming the relations interrupted by the war. Judicial intercourse between the courts ot Cuba and Porto Ui<;<> and of Spalu has been established, as provided by the treaty ot peace. The Cuban political prisoners in Spanish penal stations have been and are being released and retnrued to their homes la accordance with article 6 of the treaty. Negotiations are about to be had for defining' the conventional relations between the two' countries, which fell into abeyance by rea­ son of the war. I trust that those will ia- » elude a favorable arrangement for commer­ cial reciprocity under the terms of sections S and 4 of the current tariff act. Claims Against Turkey. The I'nited States minister to Turkey coa- tinues. under instructions, to press for a| money payment in satisfaction of the Inst; claims for iujurics suffered by American citi­ zens in the disorders of several years past; and for wrongs done to them by the Ottoman, authorities. In the Turkish Umpire the sit­ uation of our citizens remains unsatisfac­ tory. Our efforts during nearly forty year* to bring about a convention of naturalisa­ tion seem to be on the brink of Ural failure.: Venezuela Boundary Award. The international commission of arbitra-i tioa, appointed under the Anglo-Venezuelan treaty of 1 >07. rendered an award. Oct. Sj last, whereby the boundary line between) Venezuela aud British Guiana is determined,! thus ending a controversy which has ex­ isted for the greater part of the century. The award, as to which the arbitrators were' unanimous, while not meeting Ihe extremal contention of either party, gives to Greatl Britain a large share of the interior terri-i tory in dispute and to Venezuela the entire) mouth of the Orinoco, including Barima! Point and the Caribbean littoral for somej distance to the eastward. The decision a»-j pears to be equally satisfactory to both1 parties. Treaties Under Tariff Acti The fourth section of the tariff act, ap-, proved .Inly 24, 1897, appears to provide only' for commercial treaties which should be entered into by the President and also rati-, fled by the Senate within two years fromi Its passage. Owing to delays, Inevitable in. negotiations of this nature, none of the. treaties initiated under that section could' be concluded in time for ratification by the Senate prior to its adjournment the 4th of March fast. Some of the pending negotla-. Hons, however, were near conclusion at that time, and the resulting conventions have since been signed by the plenipotentiaries.. Conventions of reciprocity have been- signed during the congressional recess with Great Britain for the respective colonies of British Guiana. Barbados, Bermuda. Ja- mnlca and Turks aud Calcos Islands, and with the Uepublic of Nicaragua. Important reciprocal conventions have also been concluded with France and with the Argentine Republic. The Interest taken by the various States forming the International Unl a of Amer can Republics in the work of Its organic bureau is evidenced by the fact that for the first time since its creation In 1890 all the repub­ lics of South and Central America are now represented in it. Its maintenance is there­ fore assured for the next ten years. Pan-American Kx position. The act to encourage the holding ot the Pan-American Kxposition on the Nlajtara frontier, within the county of Erie or Niag­ ara. in the State of New York, in the year l'.tOl, was approved March 3, 1899. This exposition, which will he held In the city ot Buffalo, iu the near vicinity of the great Niagara cataract, and within a day's journey of which reside 40.000,000 of our people, will be confined entirely to the western hem­ isphere. Satisfactory assurances have al­ ready been given by the diplomatic repre­ sentatives of Great Britain, -Mexico, the Central and South American republics and most of the States of the United States that these countries and States will make an unique, interesting and instructive exhibit, peculiarly illustrative of their material prog­ ress during the centry which is about to close. Philadelphia Commercial Congress. In accordance with an act of Congress, approved Dec. 21. 1898. and under the aus- plees of the Philadelphia Commercial Muse­ um. a most Interesting and valuable exposi­ tion of products and manufactures especially adapted to export trade was held In Phila­ delphia from the nth of September to the 1st of December, 1890. Peace Congress at The Hagne. In response to the Invitation of his maj­ esty the ICmperor of Russia, delegates from twenty-six countries were assembled at The Hague May 18, as members of a conference In the Interest of peace. The final act of the conference Includes conventions upon the amelioration of the laws and customs of war on land, the adaptation to maritime warfare of the principles of the Geneva con­ vention of 1801 and the extension of Judi­ cial methods to international cases. The convention for the pacific settlement of In­ ternational conflicts embodies the lending features of the American plan, with such modifications as were rendered necessary by the great diversity of views aud interests represented by the delegates. While ear­ nestly promoting the Idea of establishing a permanent International tribunal, the dele­ gation of the United States was not unmind­ ful of the Inconveniences which might arise from au obtrusive exercise of mediation, and in signing the convention carefully guarded the historic position of the United State*. . >ud Increase in Army. Since my last annual message and In obe­ dience to the acts of the Congress of April 22 and 20, 1808, the remaining volunteer force enlisted for the Spanish war, consist­ ing of .'$4,834 regulars and 110,202 volunteers, with over 5,000 volunteer officers, has been discharged from the military service. By the act of March 2, 1899. Congress gave au­ thority to Increase the regular army to a maximum not exceeding 65,O0i> enlisted men and to enlist a force of 35.000 volunteers, to be recruited from the country at iargt. By virtue of this authority the regular army has been increased to the number of 01,999 enlisted men and 2.248 officers, and new vol. unteer regiments have been organized aggre­ gating 33.050 enlisted men and 1.524 officers. Two of these volunteer regiments are made up of colored men, with colored line officers. Tne new troops to take tlie places of those returning from the Philippines have been transported to Manila to the number of 581 officers and 20.322 enlisted men of the regu­ lar ariny. and 594 officers and 15,380 enlisted men of the new volunteer force, while 501 officers and 14,119 men of the volunteer force are on the ocean en route to Manila. The force now in Manila consists of 905 officers and .'(0.578 regulars and 594 officers and 15.388 of the volunteers, making an agr gregate of 1,4!K) officers and 45,900 men. When the troops now under orders shall reach Manila, tne force in the archipelago will comprise 2,051 officers and 03,483 met. During the last year we have reduced our force in Cuba and Porto ltico. Postal Needs in Islands.fl In restoring peaceful conditions, orderly rule and civic progress in Cuba, Porto &ico and, so far as practicable, in the Philippines^ the rehabilitation of the postal service baa been au essential and important part of tho work. American trained officials have been assigned to the directing and executive posi­ tions. while natives have been chiefly em­ ployed in making up the body of the "force. The development of the service In all of the islands has been rapid and successful. It has moved forward on American lines, with free delivery, money order and registry sys­ tems. and has given the people mail facili­ ties far greater aud more reliable than anyi they have ever before enloycd. Domestic Postal Service. The domestic postal service continues to grow with extraordinary rapidity. The ex­ penditures ami the revenues will each ex­ ceed $100,000,000 during the current year. Fortuuutely, since the revival of prosperous times the revenues have grown much faster than the expenditures, and there is every indication that a short period will witness the obliteration of the aunual deficit. Re­ forms suggested in the report of the Post­ master General, woukl. In Ills opinion, not only put the postal service at once on a self-sustaining basis, and I commend the subject to the consideration of the Congress. Naval Prestige Maintained. The navy lias maintained ihe spirit and high efficiency which have always charac­ terized that service, and has lost none of the gallantry in heroic action which has sig­ nalized its brilliant and glorious past. The nation has equal pride in its early and later achievements. Its habitual readiness for every emergency has wou the confidence and. admiration of the country. The people are interested in the continued preparation and prestige of the navy and will justify liberal, appropriations for its maintenance and in- provement. I heartily concur in the N*- / ' '