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L . E M E N T . PRESIDENT M K1NLEY S MESSAGE. Washington, D. C., Deo. C.--President | States notes are presented for redemption McKinley sent the following message to j in gold and are redeemed in gold such congress to-day: I notes shall be kept and set apart, land only To the Senate and House of Repre- j paid out in exchange for gold. This is an •entatives: It civejs me pleasure to ex- ! obvious duty. If the holder of the United tend greeting to the Fifly-fifth congress ! States' note prefers the gold and gets it assembled at the Beat^of government with i from the government he should not receive many of whose senators and representa- | back from the government a United Statco lives I have been associated in the legis- j note without paying gold in exchange for lative service. Their meeting occurs under it. The reason for this is made all the felicitous conditions, justifying sincere j mere apparent when the government issues congratulation and calling for our grate- j an interest-bearing deb.t to provide gold ful acknowledgement to a beneficent ! for the redemption of United States notes- Providence which has so signally blessed j a non-interest-bearing debt.' Surely it and prospered us as a nation. Peace and ; should not pay them out again except on good will with all the nations of the j demand for gold. If they are put out in earth continue unbroken. j any other way they may return again to be A matter of genuine satisfaction is the followed by another bond issue to redeem (rowing feeling of fraternal regard and them--^another interest-bearing debt to re­ unification of all sections of our country, the incompleteness of which has too long delayed realisation of the highest blessings of the Union. The spirit of patriotism is universal and Is ever Increasing in fervor: The public questions which now most en deem a non-intereet-bearing debt. To Relieve, tli« Government. In my view it is of the ufHagst import­ ance that the government ahould be re­ lieved from the burden of providing all Cross us are lifted far above either par- j the gold required for exchanges and ex- tisanship, prejudice or former sectional • Port. This responsibility is alone borne differences. They affect every part of our ^5 the government, without any of the common. country alike and permit of no division on ancient lines. Questions of foreign policy, of revenue, the soundness of the currency, the inviolability of na­ tional obligations, the improvement of the public * service, appeal to the individual •conscience of every earnest citizen to whatever party he belongs or in what­ ever section of the country he may re­ side. . • r The extra session of this congress which closed during July last enacted important legislation and while its full effect has not yet been realized, what it has already ac­ complished assures us of its timeliness and wisdom. To test its permanent value further time will be required, and the people, satisfied with its operation and re­ sults thus far, are in no mind to withhold from it a fair trial. usual and necessary banking powers to help itself.. The banks do not feel- the strain of gold: redemption. The whole strain rests upon the government, and the size of the gold reserve in the treasury has come to be. with or without, reason, the signal of danger or of security. This ought to be stopped. If we are to have an era of prosperity in the„ country, with sufficient receipts for the expenses of the government, we may feel no immediate embarrassment from ®ur present currency; but the danger still •exipts and will be ever present, menacing <us so long as the existing system contin­ ues. And besides, it is in times of ade­ quate revenues and business tranquility that the government should prepare for the worst. We cannot avoid without se­ rious consequences the wise consideration Tariff legislation having been settled "by j and prompt solution of this question. the extra session of Congress the question next pressing for consideration is that of the currency. THE CURRENCY QUESTTOX. The secretary of the treasury has out­ lined a plan in great detail for the pur­ pose of removing the threatened recur­ rence of a depleted gold reserve and save us from future embarrassment on that ac­ count. To this plan I invite your careful consideration. I concur with the secretary of the treas­ ury in his recommendation that national banks be allowed to issue notes to the face value of the bonds which they have deposited for circulation, and that the tax on circulating notes secured by deposit of President Review* ExIiDdk -tUiendi- tlons--H ertmimeiHlRtion*. The work of putting our finances mpon & sound basis, difficult as it may seem, will appear easier when we recall the .financial operations of the government since 1866. On the 30th day of June of that year we had outstanding) demand liabilities in the i sjtch bonds be reduced to one-half of 1 •um of $728,868,447.41. On the first of Jan- I Pfr .cenL Per annum I also join uary, 1897., ithBse liabilities had been re- | recommending that authority te duced to $443,889,495.88. Of our interest- Kiven for the establishment of national hearing obligations, the figures are even • hanks with a minimum capital of $25,000. more striking. On July 1, 1866, the prin- | Tbis wiu enable the smaller villages and cipal of the interest-bearing debt of the j agricultural regions of the country to be government was *2,332,331.208. On the ! supplied with currency to meet their first day of July, 1893, this sum >had been needs. reduced to $585,037,100, or an aggregate re­ duction of $1,747,294,108. The Interest-bear­ ing debt of the United States on the l6t day of ©ecember, 1897, was $847,365,620. The government money nor outstanding (Dec. 1) consists of $346,681,016 of United States notes, $107,793,280 of treasury notes issued by Authority of the law of 1890, $384,963,503 of -silver . certificate® and $61,- 230,761 of standard silver dollars. With the great resources of the govern­ ment and with the honorable example of the past before i»s, we ought :not to hesi­ tate to enter upon a currency revision •which will make our demand obligations? less onerous to the government and relieve our financial .laws from .ambiguity and doubt. The brief review of what was accom­ plished from the close of the war to 1893 Bake* unreasonable and groundless any distrust (either of our financial ability or soundness, while "the situation from 1893 to 1897 must admonish congress of the im­ mediate necessity of -so legislating as to make the return of ^the conditions then prevailing Impossible. Every Dollar ttm 'Good. There are rmany .plans proposed as a remedy lor ;the -evil. Before we can find the true remedy we must appreciate the real e«dl. Jt is ;not that our currency of every kind is not good, for every dollar of It is good--good because .the government's pledge is out .to Jteep it so,.and that pledge will not .he .broken. However, the guar­ anty of our purpose to .keep the pledge will be best shown .by .advancing toward its fulfillment. The evil of the .present >system is found I recommend that the issua. of national bank hotes_he restricted to the denomina­ tion of *10 and upwards. If tbe •sugges­ tions I have herein made shall have the approval of congress then 1 would Tecom- mend that national banks fee required to redeem the notes in gold. THE, CI B AN QI EfTlOX \ Inlnn<l Mnnt Not Pn** !nt« tlie RnndA of Another Power, The most important problem •with.which this government is now called npon to 'deal pertaining to its foreign relations 'con­ cerns its duty toward Spain and "the Cuban insurrection. Problems and condi­ tions more or less in common -with those now existing have confronted this gov­ ernment at various times in -the .past. The story of Cuba for many years has 'been'oae of unrest, growing discontent, an effort toward a larger enjoyment of 'liberty .and self control, of organized (resistance *o the mother country, of depression after dis­ tress and warfare and of ineffectual settle­ ment to be followed toy renewed revolt. For no endurintc .period since the en­ franchisement of the continental posses­ sions of Spain in tbe "Western 'continent has the condition of Cuba ur rthe policy of Spain toward Cuba cot caused -eoucerq to the United States. The prospect from time to time that the weakness of Spain's hold upon the island and the political vicissitudes and embar­ rassments of the home government might lead to the transfer of CUba to a con­ tinental power called forth, "between 1823 - , and 1860, various emphatic declarations of in the great coat of the government of * the policy of the United States to permit maintaining the ,parity .of our different forms of money; that its, ^keeping all of them at jar .with gold. We .-surely cannot be longer heedless of the burden this im­ poses upon rthe ajeqpie even under fairly prosperous conditions, while the past four years have demonstrated that it is not only an expensive charge upon the govern­ ment, but .a dangerous menace to. the na­ tional credit. It is manifest that \we imuat devise some plan to protect the government against bond issues for repeated :redemptions. We must either curtail the .opportunity for •peculation, made -easy by the multiplied redemptions -nf our .demand obligations, or increase Hue ®did reserve for .their re­ demption. W-e haste $900,000,000 of cur­ rency which the government by solemn en­ actment has undertaken to keep at par with gold. JSobody iis obliged to redeem In gold but the government. The .banks Are not required to iredeem in gold. The government is obliged to keep -equal with gold all Its outstanding currency ;and coin obligations, while its -receipts .are .not re- •quired to be paid 2m sold. Tbey are .paid in every kind of money .but gold, and the only means by which the government .can with certainty get gold Is by borrowing. 2t can get it in no other way when it most needs it. The government without amy fixed gold revenue ia ;pledged to main­ tain gold redemption, which it has steadily and faithfully done and which under 7he Authority now given it wfll continue it© do. The law which requires the govern mens , After having redeemed fcfcs United Siai-es notes, to pay them oat again as carrent no disturbance of Cuba's connection with Spain unlss in the direction of independ­ ence or acquisition toy us through pur­ chase; nor has there been a:ny -change of this declared policy siaoe 'upon the ;part of the government. The revolution which began in '1868 lasted for ien years, despite the strenuous efforts of the successive peninsular gov­ ernments to suppress it. Then, as now, the government of the United States testi­ fied its grave concern and offered its aid to out an end to bk>oaShed "in Cuba. The overtures made by Gen. Grant were refused and the war dragged on, entailing great loss of life and treasure and in­ creased injury to American interests, be­ sides throwing enhanced "burdens of neu­ trality on the government. In 1878 peace was brought about by the iferuoe of Zanjon, obtained bv . negotiations between the Spanish commander. Martinez -de Campos, and the insurgent leaders. Code of War DI(frs««d«d. The present insurrection broke out tn February, 1895. It is not my purpose .at this time to recall its remarkable increase or to characterize its tenacious resistance against the enormous forces massed against it by Spain. The x*iolt and the fefforts to subdue it carried destruction to every quarter of the island, developing wide proportions and defying the efforts of Spain for its suppression. The -civilized code of war has been disregarded, no less so by the Spaniards than by the Cubans. The existing conditions cannot but fill American citizens under arrest. Before the change of the Spanish cabinet, in October last, twenty-two prisoners, citizens of the United States had been given their free­ dom. For the relief of our own citizens, suf­ fering because of the conttict, the aid of congres.,- was sought in a special message, and under the appropriation of April 4, 185 7, effective aid has been givenTo^merl- can citizens in Cuba, many of tocm at their own request having been returned to the United States.' Infttrnctionn to Woodford. The instructions given to pur new min­ ister to Spain before his departure for his popt directed him to impress upon that government the sincere wish of the United States to lend its aid toward the ending of the war in Cuba by reaching a peaceful and lasting result, just and honorable alike to Spain and to the Cuban people. Those instructions recited the character and du­ ration of the contest, the widespread losses it entails, the burdens and restraints it Imposes upon us. with constant disturbance of national interests and the injury re­ sulting from an indefinite continuance of thic state of things. It was stated that at this juncture our, government was con­ strained to seriously Inquire if , the time was not ripe when Spain, of her own voli­ tion, moved by her own interests and every sentiment of humanity, should put a stop to this destructive war and make proposals of settlement honorable to herself and just, to her Cuban polony. It was urged that, as a neighboring nation with large interests In Cuba, we could be required to wait only a reasonable time for the mother country to establish its authority and re­ store order within the borders of the is­ land; that we could not contemplate an in­ definite period for the accomplishment of this result. No solution was proposed to which the slightest idea of humiliation to Spain could attach, and, indeed, precise proposals were withheld to avoid embarraesment to that government. All that was asked or ex­ pected was that some safe way might be speedily provided and permanent peace re­ stored. It so chanced that the considera­ tion of this offer, addressed to the same Spanish administration which had declined the tenders of my predecessor, and which for more than two years had poured men and treasure into Cuba in the fruitless eV- fort to suppress the revolt, fell to others. Between the departure of Gen. Woodford, the new envoy, and his arrival in Spain, the statesman who had shaped the policy of his country fell by the hand of an as­ sassin, and although 'the cabinet of the late premier still held office and received from our envoy the proposals he bore, that cabinet gave place within a few days there­ after to a new administration under the leadership of Sagaeta. The reply to our note was received on the 23d day of October, It is in the di­ rection of a better understanding. It ap­ preciates the friendly purposes of this government. It admits that our country is deeply affected by the war in Cuba and that its desires for peace are just. It de­ clares that the present Spanish govern­ ment is hound by every consideration to a change of policy that should satisfy the United States and pacify Cuba within a reasonable time. To this end Spain has decided to put into effect the political reforms heretofore advocated by the present premier, without halting for any consideration in the path which in its judgment leads to peace. The military operations, it is said, will con­ tinue, but will be humane and conducted with all regard for private rights, being accompanied by political action leading to the autonomy of Cuba while guarding Spanish sovereignty. This, St is claimed, will result in in- •vesting Cuba with a distinct personality; the island will be governed by an execu­ tive and by a local council or chamber, reserving to Spain the -control of the for­ eign relations, the army and navy and the judicial administration. To accomplish this the present government proposes to modify -existing Segislation by decree, leaving the Spanish cortes with the aid of Cuban senators -and deputies, to solve the economic problem and properly dis­ tribute the existing debt. In the absence of a declaration of the measures tha't this government proposes to take in carrying oat its proffer -of good of­ fices it suggests that Spain be left free to conduct military operations and grant po­ litical reforms, while the United States for its part, shall enforce its neutral obliga­ tions anii cut off the assistance, which, it is asserted, the insurgents receive from this country. The supposition Of an indefinite pro­ longation of the war is denied. It is as­ serted that the Western provinces are al­ ready well nigh reclaimed; that the plant­ ing of cane and tobacco therein has been resumed and that by force of arm.? and new and ample reforms very early and -complete [pacification is hoped for. Spain IProiuixcK Amelioration. "The immediate amelioration of existing • conditions under the new administration of 'Cuban affairs is predicted, and therewith all the disturbance and all occasion for any change of attitude an the .part of the Unit­ ed States is .obviated. Discussion of the question of the inter­ national duties and responsibilities of the •United States, as Spain understands them, are presented, with an apparent disposition ^to charge us with failure in this regard. The Charge is without any basis in fact. It could not have been made if Spain had been cognizant of the constant efforts this government has made -at the -cost of mil­ lions and by the employment of the admin­ istrative machinery of the nation at com­ mand to perform its full duty according to the law of nations. That It has successful­ ly prevented the departure of aslngle mili­ tary expedition -or armed vessel from our shores in violation of our laws wouid seem to 'be a sufficient answer. But of this as­ pect of the Spanish note it is not necessary to speak further now. Firm in the con­ viction of a wholly performed obligation, due -response to this -charge has been made 3ai -diplomatic <oourae. Throughout all these horror* and dan­ gers to our own peace this government has never broken nor -even in any way abne­ gated its -sovereign prerogative of reserv­ ing ts itself the determination of its poliey and course according to its own high sense of right and in consonance with the dearest this government and the Americas people funds demands a constant replenishment of •! with the gravest apprehension. There is the gold reserve. This is especially so h. i no desire on the part of our people to times of.business panic and when the reve- ! profit by the misfortunes of Soaia Wp 1,0 "*•" ,he ha™ on,y ,hV!"re to°»b"" •of tbe government. prosperous and contented enjoying that i should the prolongation of the war £••> de- Ax such times the government has no measure of self-controi which is the in- i'mand. alienabie right of man, protected in their j Of the untried measures there remain ngfct to reap the benefit of exhaustless j only: Recognition of the insurgent" as Tp°r m! LCOhl"ltry' i belligerents; recognition of the independ- A^« 1898 llri l l ,T' fPred^,eS80It 1n i euce of Cuba: neutral intervention to end tendering the friendly offiees ! tbe war by imposing a rational compro- of this government, failed. Any media-j mise between th.e contestants and inter- ™ ounr Part accepted. In j vention in favor of one or the other part v. •tw! " " , ;I sPeak not of forcible annexation for „ J" . 18 "° effectual y*y to pacify that cannot be thought of. That by our Cuba unless i begins wl.h the actual code of morality would be criminal ag- submission of the rebels to the mother J gression. f 0JiF'r'r* , ., _ . J Recognition of the belligerency of the ®",y' .cou,(J -Pain act in the j Cuban insurgents has often been can- promised direction of her own motion and vassed--a possible if not inevitable step a Th- trn^T^nni.v18' f . ^ I both in regard to the previous ten years' inHat JTi k iwe co£?entrtttion was j struggle and during the present war. I districts rlmrn 'o',1 hv it, ^ Pr?£pective i am not unmindful that the two houses of controlled b> the Spanish armies Congress, in the spring of 1896, expressed <i®popu,ate5j- T*1® agricultural In- j the opinion by concurrent resolution that habitants were herded in ard about the j a condition of public war existed requir- fi i n^n*' i 4 , if. . waste and l ing or justifying recognition of the state tl P°Ucy the 1 of belligerency in Cuba, and during the late cabinet of ..pain justified as a neces- | extra session the Senate voted a Joint res­ olution of like Import, which, however, was not brought to a vote In the House of Representatives. In the prerjjnce of these significant ex­ pressions of the sentiment of the legisla­ tives branch it behooves the executive to soberly consider the conditions under which so important a. measures must needs rest for justification. It is to be seriously considered whether the Cuban insurrec­ tion possesses beyond dispute the attri­ butes of statehood which alone can de­ mand the recognition of belligerency in its favor. Possession, in short, of the es­ sential qualifications of sovereignty by the other way to supply its deficit and main­ tain redemption but through the increase of its bonds, as during the administration of my predecessor, when $262,315,400 of 4% per cent, bonds were issued acd sold and the proceeds used to fray the expenses of the government in excess of the revenues and sustain the gold reserve. While it is true that the greater part of tbe proceeds of these bone.,- were used to supply defi­ cient revenues, a considerable porticn was required to maintain the gold reserve, Tl»o Need of Reform. With our revenues equal to our expenses, there would be no deficit requiring tbe Issuance of bonds. But if the gold reserve falls below $100,000,000, how will it be re­ plenished except by selling more bonds? Is there any other way practicable under exisiting laws? The Gerious question then is, shall we continue the policy that has been pursued in the past; that is when the gold reserve reaches the point of danger, issue more bonds and supply the needed gold, or sboll we provide other means to prevent these recurring drains upon the gold reserve? If no further legislation is bad and the policy of selling bonds is to toe continued then congress should give the secretary of the treasury authority to •ell bonds at leng or short periods, bear­ ing a less rate of interest than is now authorized by law. I earnestly recommend, as soon as the receipts of. tbe government are quite suffi­ cient to pay all the expenses of the gov- 'Moment, teat when any of the United sarv measure of war and as a means of cutting off supplies from the insurgents. It has utterly failed as a war measure. It was not civilized warfare. It was exter­ mination. Against this abuse of the rights of war I have felt constrained on repeated occa­ sions to enter the firm and earnest protest of this government There was much of public condemnation of the treatment of American citizens by alleged Illegal arreots and long imprisonment awaiting trial or pending protracted judicial proceedings. I felt it my first duty to make instant de­ mand for the release or speedy trial of all insurgents, and the conduct of the war by them according to the recognized code 'of war are no less important factors toward the determination of the problem of bel­ ligerency than are the influences and con­ sequences of the struggle upon the in­ ternal policy of the recognizing state. The utterances' of President Grant in his memorable message on December 7. 1875, are signally relevant to the present situation in Cuba, and it may be whole­ some now to recall them*. At that time a ruinous conflict had for seven years wasted the neighboring island. During all those years an utter disregard of the laws of civilized warfare and of the just demands of humanity, which called forth expressions of con­ demnation from the nations of Chris­ tendom, continued unabated. Desola­ tion and ruin pervaded that productive region, enormously affecting the com­ merce of all commercial nations, but that of the United States more than, any other by reason of proximity and larger trade and intercourse. At that juncture Grant, Uttered these words which now as then sum up the elements of the problem: Rrcognltioit I« Iinpracticable. "A recognition of the independence of Cuba being, in my opinion, impracticable and indefensible, the question which next presents itself Is that of the recognition c-f belligerent rights in the parties to the contest. Ia a former message to congress I had occasion to consider this question, and reached the conclusion that the con­ flict in Cuba, dreadful and devastating as were its incidents, did not rise to the fearful dignity of war. It is possible that the acts of foreign powers, and even acts of Spain herself of this very nature might be pointed to in defense of such recog­ nition. But now, as in its past history, the United States should carefully avoid the false lights which might lead it into the mazes of doubtful law and of ques­ tionable propriety, and adhere rigidly and sternly to the rule which has been Its guide, of doing only that which is right and honest and of good report. The ques­ tion of according or of withholding rights of belligerency must be judged in every case, in view of the particular attending facts. "Unless justified by necessity, it is al­ ways, and justly, regarded as an unfriend­ ly act and a gratuitous demonstration^ of moral support to the rebellion. It is nec­ essary, and it is required, when the inter­ ests and rights of another government or of its people are so far affected by a pend­ ing civil conflict as to require a definition of its relations to the parties thereto. But this conflict must be one which is recog­ nized the sense or international law as war. "Belligerence, too, is a fact. The" mere existence of contending armed bodies and their occasional conflicts do not constitute war in the sense referred to. Applying to the existing condition of affairs in Cuba the tests recognized by publicists and writers on international law, and which have been observed by nations of dignity, honesty and power when free from sensi­ tive or selfish and unwoxthy motives, I fail to find in the insurrection the exist­ ence of such a substantial political organ­ ization, real, palpable and manifest to the world, having the forms and capable of the ordinary functions of government to­ wards its own people and to other states with courts for the administration of jus­ tice with a local habitation, possessing such organization of force, sach material, such occupation of territory as to take the contest out of the category of a mere rebellious insurrection or occasional skir­ mishes and place it. on the terrible foot­ ing of war, to which a recognition of bel­ ligerency would aim to elevate It. "The contest, moreover, is solely on land; the insurrection has not possessed it­ self of a single seaport whence it may send forth its flag, nor has it any means of communication with foreign powers except through the military lines of its adversa­ ries. No apprehension of any of those sud­ den and difficult complications which a war upon the ocean ;s apt to precipitate upon the vessels, both commercial imd national and upon the consular officers of other powers, calls for the definition of the rela­ tions to the parties to the contest. Con­ sidered as a question of expediency, I re­ gard the accordance of belligerent rights still to be as unwise and premature, as I regard it to be. at present, indefensible as a measure of right. "Such recognition entails upon the coun­ try, according the rights which flow from it, difficult and complicated dutle6 and requires the exaction from the con­ tending parties of tbe strict observance of their rights and obligations. It confers the right of search upon the high seas by vessels of both parties; it would subject the carrying of arms and munitions of war, which now may be transported freely and without interruption in vessels of the United StateE, to detention and to possible seizure; it would give rise to countless vexatious questions, would release the parent government from responsibility tor acts done by the insurgents and would' in­ vest Spain with the right to •exercise the supervision recognized by our treaty of 1795 over our commerce -on the seas, a very large part of which, in its traffic between the Atlantic and the Gulf states' and be­ tween all of them and the states on tbe Pacific, passes through the waters whigli wash the shores of Cuba. The exercise of this supervision could scarce fail to lead, if not to abuses, certainly to collisions perilous to the peaceful relations of the two states. o There can be little doubt as to what re­ sult 6uch supervision would before long draw this nation. It would be unworthy of the United States to inaugurate the pos­ sibilities of such result, by measures of questionable right or expediency, or by any indirection. More Hamanr Method* in Cuba. The first acts of the new government lye In these honorable paths. The policy ©f cruel rapine and extermination that' 60 long shocked the universal sentiment of humanity has been reversed. Under the new military commander a broad clemency is preferred. Measures have already been set on foot to relieve the horrors of star­ vation. The power of the Spanish armies, it is asserted, is to be used not to spread ruin and desolation, but to protect the resumption of peaceful agricultural pur­ suits and productive industries. That past methods are futile to force a peace by subjugation is freely admitted and ruin without conciliation must inevitably fail to win for Spain the fidelity of a cotented dependency. Decrees in application of the foreshad­ owed reforms have already been promul­ gated. The full text of these decrees has not been received, but as furnished in a telegraphic summary from our minister are: "All civil and electoral rights of penin­ sular Spaniards, are. in virtue of existing constitutional authority, forthwith extend­ ed to colonial Spaniards. A scheme of autonomy has been proclaimed by <ky:ree, to become effective upon ratification by the Cortes. It creates a Cuban Parliament which, with the insular executive can con­ sider and vote upon all subjects affecting local order and'Interests, possessing un­ limited powers save as to matters of state, war and the navy, as to which the gov­ ernor-general acts by his own authority as the delegate of the contral government. This parliament requires the oath of the governor-general to preserve faithfully the liberties and privileges of the colony* and to It the colonial secretaries are responsi­ ble. It has the right to propose to the central government, through the governor- general modifications of the national char­ ter and to invite new projects of law oi- executive measures in the interest of the colony. Besides its local powers, it is competent, first, to regulate electoral reg­ istration and procedure and prescribe the qualifications of electors and the manner of exercising suffrage; second, to organize courts of Justice with native judges from members of the local bar; third to frame the insular budget, bcth at to expendi­ tures and revenues, without limitation of any kind and to set apart the revenues to meet the Cuban share of the national bud­ get, which latter will be voted by the na­ tional Cortes with the assistance of the Cuban senators and deputies; fourth, to initiate or take part in the negotiations of the national government for commercial treaties which may affect Cuban interests; fifth, to accept or reject commercial trea­ ties which the national government may- have concluded without the participation of the Cuban government; sixth, to frame the colonial tariff, acting in accord with the penlncular government in scheduling articles of. mutual commerce between the mother country and the colonies. Before introducing or voting upon a bill, the Cuban government or the chambers will lay the project before the-central govern­ ment and hear ijs opinion thereon, all the correspondence in such regard being made public. Finally, all conflicts of jurisdic­ tion arising between the different municipal, provincial and ^insular a«- semblic-j, or between the latter and the insular executive power, abfi which from their nature may not be referable to the central government for decision, Bhall be submitted to the courts. Confidence in Spain's Sincerity. That the government of Sagaeta has. en­ tered upon a course from which recession with honor is Impossible can hardly be questioned; that in the few. weeks it has existed it has made earnest of the sin­ cerity of its professions i« undeniable. I shall not impugn Its sincerity, nor should impatience be suffered to embarrass it in the task it has undertaken. It Is honest­ ly due to Spain, and to our friendly rela^ tions with Spain, that she should be given a reasonable chance to realize her ex­ pectations and to prove' the asserted efficacy of the new order of things to which she stands irrevocably committed. She has recalled the commander whose brutal orders inflamed the American mind and shocked the civilized world. She has modified the horrible order of concentration and has undertaken to care for the helpless and permit those who de­ sire to resume the cultivation of their fields to do so, and assures them of the protection of the Spanish government in their lawful occupations. She has just released the Competitor prisoners, hereto­ fore sentenced to death, and who have been the subject of repeated diplomatic correspondence during both this and the preceding administration. Not a single American citizen is now in arrest or confinement in CulM. of whom this government has any knowledge. The near future will demonstrate whether the indispensable condition of a righteous peace, just alike to the Cuban and Spain, as well as equitable to all our interests so intimately involved in the welfare of Cu­ ba, Is likely to be attained. If not, the exigency of further and other action by the United States will remain to be taken. When that time comes that action will be determined in the line of indisputable right and duty. It will be faced, without misgiving or hesitancy, in the light of the obligation this government owes to itself, to the people who have confided to it the .protection of their interests and honor and to humanity. Sure of the right, keeping free from all offense ourselves, actuated only by upright and patriotic considerations, moved neith­ er by passion nor selfishness, the gov­ ernment will continue its watchful care over the rights and property of American citizens and will abate none of its efforts to bring about by peaceful agencies a peace which shall be honorable and en­ during. If it shall hereafter appear to be a duty imposed by our obligations to our- eelves, to civilization and humanity to Inr tervene with force, it shall be without fault on our part and only because the necessity for such action will be so clear as to comihand the support and approval of the civilized world. ali possible ulterior questions ia broadest spirit of friendliness. CAUSE OF BHEETALLISir.. HAWAIIAN ANNEXATION, The Senate L'rced to Approve of the Treaty. By a special message dated the 16th day of June last, I laid before the senate a treaty signed that day by the plenipo­ tentiaries of the United States and of the republic of Hawaii, having for its purpose the incorporation of the Hawaiian islf.^'J"! as an integral part of the United States and under its sovereignty^ The senate having removed the injunction of secrecy, although the treaty is still pending be­ fore that body, the subject maybe prop­ erly referred to in this message because the necessary action of congress is re­ quired to determine by legislation many details of the eventual union should the fact of annexation be accomplished as 'I believe it should be. While consistently disavowing from a very early period any aggressive policy of absorption in regard to the Hawaiian group, a long series of declarations through three-quarters of a century has proclaimed the vital interest of the United States ' in the independent life of the islands and their intimate commercial de­ pendence upon this country. At the same time it has been repeatedly asserted that in no event could the entity of Hawaiian statehood cease by the passage of the islands under the denomination or in­ fluence of another power than the United States. Under these circumstances the logic of events required that annexation, heretofore offered but declined, should in the ripeness of time come about as the natural result of the strengthening ties that bind us to those islands and be re­ alized by the free will of the Hawaiian state. Ratified by Hawaii. That treaty was unanimously ratified without amendment by the Senate and President of the republic of Hawaii on the 10th of September last and only awaits the favorable action of the American senate to effect the complete absorption of the islands into' the domain of the United States. What the conditions of such a union shall be, the political relation there­ of to the United States, character of the local administration, 'the quality and de­ gree of the elective franchise of the In­ habitants, the extension of the federal laws to the territory, or the enactment of special laws to fit the peculiar condition thereof, the regulation if need be, of the labor system therein, are all matters which the treaty has wisely relegated to Con­ gress. If the treaty is confirmed, as every con­ sideration of dignity and honor requires, the wisdom of Congress will see to it. that avoiding abrupt assimilation of events perhaps hardly yet .fitted to share in the highest franchises of citizenship, and hav­ ing due regard to tbe geographical condi­ tions. the most Just provisions for self rule in local matters with the largest po­ litical liberties as an integral part of our nation will be accorded to the Hawaiians. No less is due to a people, who. after nearly five years of demonstrated capacity to fulfil the obligations of self governing statehood, come of their own free will to merge their destinies in ouv body politic. Hawaii nnd Japan. The questions whioh have arisen be­ tween Japan and Hawaii, by reason of the treatment, of Japanese laborers emigrating to the islands under the Hawaiian-Japan- ese convention of 1888, are in a satisfactory- stage Of settlement by negotiation. This government has n<?t been invited to medi­ ate, and on the other hand has sought no intervention in that matter further than to e\ ince its kindliest, disposition towards such a speedy and direct adjustment by the two sovereign states in interests as shall comport with equity and honor. It is gratifying to learn that the appre­ hensions at first displayed on the past of Japan, lest the cessation of Hawaii's na­ tional life through annexation might im­ pair privileges to which Japan honorably laid claim, have given place to confidence in the uprightness of this government and ia the sincerity of its purpose to deal with Still Room for Hope oC an Istt tiocnl Agreement. Under the provisions of the act of' gress approved March 3, 1897 for tfe* _ motion of an international agre«mca& specting bimetallism, I appointed 14th day of April 1897 Edward O. of Colorado, Adlai E. Stevenson of and Charles J. Paine of Massachuset&s mm special envoys to represent the UaSBefl States. They have been diligent ia efforts to secure the co-operation of pean countries in the international ment of the question, but up to this have not been able to secure the agreemcnt: contemplated by their mission- The gratifying action of our great c&tn- republic of France in joining this coKatry in the attempt to bring about an ment among the principal comE&roc&fi tions of* Europe, whereby a fixed «a&; tive vAlue between gold and silver be secured, furnishes assurance thaft. m are not alone among the larger nation* the world in realizing the international character of the problem and in tie ' of reaching some wise and practical tion Of it. The British governmenft published a resume of the steps tadtea jointly by the French ambassador &»• Icb- don and the special envoys of the ValUbeSt. States, with whom our ambassador a* ̂Lon­ don actively co-operates in the ptegsafca-- tion of this subject to her majesty'k gwr-- ernment. This will be laid before Ckws-- gress. Our special envoys have not made t&etr" final report, as further negotiations 3*-- tween the representatives of this gu*R»ra-- ment and the governments of qth«r <xraa-- tries are pending and in con'tempIa&Mfcu They believe that dcubts which haw Kana raised in certain quarters respecting tJfie position of maintaining the stability of parity between the metals and kindred question? may yet be solved by furth«r negotiations. Meanwhile, it gives me satisfaction tw state that the special envoys have already demonstrated their ability and fitness t®. deal with the subject, and it is to be easra-- esly hoped that their labors may resGia isci an international agreement whicfr wilS bring about recognition of both gold" and'J silver as money upon such terms and' vritik! such safe-guards as will secure the esse «f " both metals upon a basis which shall wvwtf no injustice to any class of our citizens. PAN-AMERICAN UEI.ATIOXSO Difficulty Encountered toy a Mljihle* to the Greater Republic*:- As to the representation of this gevesn-- ment to Nicaragua, Salvador and Costa. Rica, I have concluded that Williaas I*. Merry, confirmed as minister to 45m states of Nicaragua, Costa Rica and Salva­ dor from the United States shall pcawwi to San Jose, Costa Rica, and there tem­ porarily establish the headquarters of tlm United States to those three states. 3 took: thic action for what I regarded as the par­ amount interests of this country. Ill wan- developed upon an investigation 6? tins secretary of state that the government saff" Nicaragua, while not unwilling to reeeswa Mr, Merry in his diplomatic quality* ww unable to do so because of the cojassaefc: concluded June 20, 1895, whereby republic and those of Salvador and Hon-- durae, forming what i& known- a®-' the Greater Republic o£ SbaSsnS America, had surrendered to t&n • representative diet there of their right tn receive and send diplomatic agents. diet was not willing to accept him cause he was not accredited to that I could not accredit him to that" bed; be­ cause the appropriation law of Coast3aaa> did not permit it. Mr. Baker, tho preaentr minister at Managua, has been directed 4n present his letters of recall. W. Godfrey Hunter has likewise Iteen accredited to the governments of Gtnte- mala and Honduras, the same as bis paas- deccssor. Guatemala is not a member «if the Great Republic of Central Amccia, but Honduras is. Should this latter government deeSan to receive him he has been instructed tn report this fact to his government sai. await its further instructions.. THE CIVII. SERVICE*.. It Will Be Placed on IT Still Fin Bai-ls, The important branch of our pp^rernn known as the civil service, the jirarffcaS. improvement of which has long ai subject of earnest discussion haff «S years received increased legisiatrwi rat executive approval. During the past tans- months the service has been placed 8<n*«a! a still firmer basis of business sietboda and personal merit. Whilte the our veteran soldiers to reihstateaaeat inrs deserving cases has been asserted, sals for merely political reasons been carefully guarded against, the «k- , aminations for admittance to the section - enlarged and at the same time readteaft1 less technical and more practical; and at-- distinct advance has been made by gistiqc ' a bearing before dismissal upon all oases . where incompetency is charged orr demand made for the removal of officials in assy of the departments. „> This order has been made to give £o tfcf > accused his right to be heard but wftftoaSr in any way impairing the power of t*- moval which should always be exenssatt. in cases of inefficiency and incompetency;.' and which is one of the vital saffe-gBastini of the civil service reform system,, pus- venting stagnation and deadwood and: keeping every employe keenly alive t» tfen- fact that security of his tenure not on favor but on his own tested carefully watched record of service. Room tow Improvement, * Much of course still remains to be compllshed before the system can be reasonably perfect for our needs, are places now in the classified which ought to be exempted, and; others not classified may properly be inctodtaL I: shall not hesitate to exempt cases whidb think have been improperly included ta-. the classified service or include which in my judgment will best the nubile service. The system approval of the people and it wfll ba< endeavor to uphold and extend it. I am forced by the length of this mess­ age to omit many important references affairs of the government with congress will have to deal at the _ session. They are fully discussed' fir departmental reports, to all of v&ii C ipvite your earnest attention. The estimates of the expenses of tfie-gyr-- ernment by the several departments,, win,. I am sure, have your careful' serEttay.. While the congress may not find' ft easy task to reduce the expenses of government, it should not encourage increase. These expenses will, la ad­ judgment, admit of a decrease in jtuasv branches of the government without faStasj; to the public service. It is a commsndSaf duty to keep the appropriations witftJa tbe receipts of the government and tints svoML a deficit. WILLIAM .V-KIXUKT. K.veeuiive Msnsion, Dec. 6, 1S87. Is Salt Necessary T All vegetarians, it is said. disapprsTf» for the most part, of artificial seasGBuag^ though many of them still confinae tbn use of common salt. It seems in ns way to build up tbe body, and those who dis­ pense with it altogether soon experieaee ah improvement in the sense of tutn which adds greatly to the enjoyment aff food. Some writers have asserted that fifc is not possible to exist without salt, the want of it eft uses a -softening of the bones. Others assert that all planta eon- tain salt sufficient for the requirements of the system. •• X