p
Full'Text of the Chief Exec
"utive's Address to
'. . Congress.
To the Senate and House of Representa
tives: It gives me pleasure to extend
greeting to the 65th congress assembled
In regular session at the seat of govern
ment, with many of whose senators and
.representatives I have been associated
tn the legislative service. The meeting oc
curs under felicitous conditions, Justify
ing sincere congratulation and calling for
our grateful acknowledgment to a be
neficent providence which has eo signally
. Messed and .prospered us as a nation.
Peace" andgood will with all the nations
of the earth continue unbroken.
A matter of genuine satisfaction Is the
crowing feeling of fraternal regard and
unification of all sections of our country,
he Incompleteness of which has too long
delayed realization pi the highest blessings
of the-tinloni The spirit or patriotism is
universal and is ever increasing In fervor.
The public questions which now most en
gross us are lifted far above either par
tisanship, prejudice or:-, former sectional
difference. They affect every part of
cur common country alike and permit of
mo division on andtent line's. Questions of
foreign policy, of,: revenues the soundness
f the currency, the Inviolability of na
tional obligations, the Improvement of the
public service, appeal to the individual con
science of every earnest citizen, to what
ever party he belongs, or In whatever sec
tion of the country he may , reside.
The extra session of this congress which
elosed during July last, enacted Important
legislation, and, while Its full effects have
Sot 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 peo
ple, satisfied with Its operation and re
sults thus far, are In no mind to withhold
from It a fair trial.
the: currency question.
Hetmlty of Pnttlnr Onr Finances
" Upon a. Sound Basis.
Tariff legislation having been settled by
the extra session of congress, the question
next pressing for consideration is that of
the currency. The work of putting our
finances upon a sound basis, difficult as It
nay seem, will appear when we recall
the financial operation of the government
since .1865. On the 30th day of June of
that 'year, we had outstanding demand
liabilities in the sum of $728,868,447 41. On
the 1st d&y of July, 1879. these liabilities
fcad been reduced to $443,889,495 88. Of our
Interest-bearing - obligations, the figures
axe even more striking. On July 1, 1866,
the principal of the interest-bearing debt
at the gdvernmentA-waS $2,332,331,208. On
the 1st dayv.of July, 1893,,; this sum had
been reduced to $58olo37,100;'"or an aggre
rate reduction of $1,747,294,108. The inter-sst-bearlng
debt of the United States on
the 1st "day of .December, 1897, was $847,
Sffi.620.' The government money now out
Standing (December 1) consists of $346,
S1.016 of United States notes; $107,793,280
f treasury notes issued by authority of
the act of 1890; $384,963,504 of silver certifi
cates and $61, 2,80,761 of standard silver
dollars.
With the great resources of the govern
ment and with the time-honored example
f the past before us, we should not hesi
tate to ent 'upon. currency revision
-which will make our demand obligations
. less onerous to the government and re
lieve our financial laws Horn ambiguity
and doubt.
The. brief - review of .' what was accom
plished from-the close of the war until
U93 makes unreasonable and. groundless
suit distrust either of our financial abil
ity or soundness; while the situation from
IS9S to 1897 must admonish congress of the
Immediate necessity for so legislating as
te make the return of the conditions then
prevailing impossible. '
There are many 1 plans proposed as a
remedy for the evil. Before we can find
the true remedy we must appreciate the
Seal evil. It is not that our currency of
very kind is not good, for every dollar
t It is good; good because the govern
ment's pledge Is out to keep it so, and
that pledge - will not be broken. How
ver, the guaranty of our purpose to keep
the pledge will be best shown by advanc
ing toward 'ts fulfillment.
Evil of the Present System.
The evil of the present system Is found
tn the great cost to' the government of
maintaining the parity of. our different
farms of money;, that Is, keeping all of
them at paf'with gold. We surely cannot
fee longer heedless of the burden this Im
poses upon the people, given under Valrly
prosperous conditions, while the past four
years have demonstrated that It is not
only an expensive charge upon the gov
ernment, but a dangerous menace to the
national credit.
It Is manifest that, we must devise some
plan to, protect the government against
txnd issues for repeated redemptions. We
must either curtail the opportunity for
speculation, made easy by the multiplied
redemptions; of. our demand obligations, or
increase the gold reserve for their re
demption. - We have $900,000,000 of currency
which the' government, by solemn enact
ment, has undertaken to keep at par with
srold. Nobody. . Is obliged to redeem in
cold but the government. The, banks are
lot required , to redeem In gold. The gov
ernment Is obliged to keep equal' with
srold all its outstanding currency and coin
bligatlbns, -while its receipts are not re
quired to be paid In goia. They are paid
an every kind of money but gold, and the
nly means by which the government can,
with certainty, get gold Is by borrowing.'
Jtcan get it in no other 'way when it most
steeds It. The. , government without any
tlxed gold" revenue! Is pledged to maintain
-gold redemption, which It has steadily and
faithfully done;, and which, under the au.
thority now giye'n.Ut Will continue to do.
The lai which requires the government,
sfter having, redeemed Its notes, to pay
them out again as current funds demands
a constant replenishment of the gold re
a.rua , Thljv Is sneninllv m In timpn nt
business panic and when the revenues are
Insufficient : to meet the expenses- of the
government; At such : times the govern
ment1 has no other way to supply Its def
trclt and maintain redemption but through
the Increase of its bonded debt, as during
the administration of my predecessor,
when $262,315,400 of '4 per cent bonds
were Issued and sold and the proceeds
-used to piy'the expenses of the govern
ment In excess of the revenues and sustain
the gold reserve. While It is true that
the greater part of the proceeds of these
rands were, used to supply deficient reve
nues, a considerable portion was required
to maintain the, gold reserve.
Replenishing1 the 'Gold Reserve..
With our revenues equal to our expenses,
there would be o' deficit requiring the is
suance of bonds. ' But if the gold reserve
falls below $100,000,000, ' how will it be re-
..1 l.k.J . 1 1 1 1 MA..A nnAa
Is there any other way practicable under
existing law? The serious question then
Is, Shall we continue the policy that has
een pursued In the past that is, when the
(old reserve reaches the point of danger,
lssus more bonds and supply the needed
-old or- shall we provide other means
to prevent these recurring drains upon the
gold reserve? If no further legislation
is had and the policy- of selling bonds is
to be continued, then congress should give
the secretary of the treasury authority to
sell bonds at long or short periods, bearing
a less rate of interest than is now author
ized by law. I earnestly recommend, as
soon as the receipts of the government
are quite sufficient to pay all the expenses
of the government, that when any of the
United States notes are presented for re
demption in gold and areredeeemed In gold,
such notes shall be kept and only paid out
in exchange for gold. This is an obvious
dutyi If the holder of the United States note
prefers gold from thegovernment, he should
not receive back from the government
a United States note without paying gold
in exchange for it. The reason tor this is
made all the more apparent when the gov
ernment issues an interest-bearing "debt
to provide gold for the redemption of
United States notes a noninterest-bearing
debt.. Surely It should not pay them out
again except on. demand and for gold. If
they are put out in any other way they
may return again to be followed by an
other bond issue to redeem them another
interest-bearing debt to redeem ' a hon-intereet-bearing
debt.
In my view, it Is of the utmost Import
ance that the government should be re
lieved from the business of. providing for
all the gold required for exchange or ex
port. This responsibility is alone borne
by the government without any of the
usual and necessary banking i powers to
help Itself. The banks do not feel the
strain of the gold redemption. The
whole strain rests upon the government,
and the size of tho gold reserve In the
treasury has come to be, with or with
out reason, the signal of danger or of se
curity. This ought to be stopped.
If we are to have an era of prosperity
in thd country with sufficient receipts for
the expenses of the -government, we may
feel no Immediate embarrassment from
our present currency; but the danger still
exists, and will be ever present, menacing
us as long as the existing system con
tinues. And, besides, it is In times of
adequate revenues and business tran
quillity that the government should pre
pare for the worst. We cannot avoid,
without serious consequences, the wise
consideration and prompt solution of this
question.
Plan of Secretary Gagre.
The secretary of the treasury has out
lined a plan in great letall lor the pur
pose of removing threatened recurrence
of a depleted gold reserve and saving us
from future embarrassment . on that ac
count. To this plan I invite your care
ful consideration. I concur with the sec
retary of the treasury in his recommenda
tion that national banks be allowed to
issue notes to the face value of the
bonds which they deposited for circula
tion, and that the tax on circulating
notes, secured by the deposit of such
bonds, be reduced to one-half of one per
cent per annum. ' I also join him In
recommending that authority be given for
the establishment qf national banks with
a minimum capital of $25,000. This will
enable the smaller villages and agricul
tural regions of the country to be sup
plied with currency to meet their de
mands. I recommend that the issue of
national bank notes be restricted to the
denomination of $10 and upwards. If the
suggestions I have herein made shall
have the approval of congress, then I
would recommend that national banks be
required to redeem their notes in gold.
CUBA AND SPAIN.
Attitude of the Administration in
the Present Rebellion. .
The most Important problem with which
this country is now called upon to deal,
that pertaining to its foreign rela
tions, concerns its duty toward Spain and
the Cuban insurrection. Problems and
conditions more or less in common with
those now existing have confronted this
government at various times In the past.
The story of Cuba for many years has
been one of unrest; growing discontent;
an effort toward the larger enjoyment of
liberty and self-control; of organized re
sistance to the mother country; or oppres
sion and warfare and of Ineffectual set
tlement to be followed by renewed- re
volt. For no enduring period since the
enfranchisement of the continental pos
sessions, of Spain In the Western conti
nent has, the condition of Cuba or the
policy of 'Spain toward Cuba not caused
concern 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
embarrassments of the home government
might lead to the transfer of Cuba to a
continental power called forth, between
1823 and 1860, various emphatic declara
tions of the. United States to permit no
disturbance of Cuba's connection with
Spain unless In the direction of independ
ence or acquisition by the United States
through purchase, nor has there been any
change of this declared policy since upon
the part of this government.
' The revolution which began in 1868
lasted for 10 years, despite the strenuous
efforts of the successive peninsular gov
ernments to suppress it. Then, as now
the government of the United States tes
tified its grave concern and offered Its aid
to put an end to bloodshed In Cuba. The
overtures made by General Grant were
refused, and the war dragged on, entail
ing great loss of life and treasure, and
increased injury to American interests,
besides throwing enhanced burdens of
neutrality upon this government. In 1878,
peace was brought about by the truce
of Zanjon, obtained by negotiations be
tween the Spanish commander, Martinez
de Campos,, and the Insurgent . leaders. ,
Civilised Code of AVar Disregarded.
The present Insurrection broke out in
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 revolt and the
efforts 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 this government and the Ameri
can people with the gravest apprehen
sion. There Is no desire on the part of
our people to profit by the misfortunes
of Spain. We have only the desire to
see the Cubans prosperous and contented,
enjoying that measure of self-control
which is the inallenabfe right of man,
protected 1n their right to reap the bene
fit of the exhaustless 'treasures of their
country. -
The offer made by my predecessor, In
April, 1896, tendering the friendly offices
of this 'government, failed, and media
tion on our part was not accepted. In
brief, the answer read: There is no ef
fectual way to pacify Cuba, unless it be
gins with the actual submission of the
rebels to the mother country. Then only
can Spain act In the promised direction
of her own motion and after her- own
plans.
Concentration Is Extermination.
The cruel policy of concentration was
Initiated February 16, 1896. The produc
tive districts controlled by the Spanish
armies were depopulated and the agri
cultural Inhabitants were herded In and
about the garrison towns, their lands laid
waste and their dwellings destroyed. This
policy the late cabinet of Spain Justified
as a necessary 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 ex
termination. "
Against this abuse of the rights of war
I have felt constrained, on repeated oc
casions, to enter the firm and earnest pro
test of this government. There was much
of publlo condemnation of the treatment
of American citizens by alleged Illegal ar
rests and long Imprisonment awaiting
trial of pending protracted (Judicial pro
cedures. I felt it my first duty to make
instant demand for the release or speedy
trial of all American citizens under ar
rest." Before the change, of the Spanish
cabinet, in October, 22 prisoners, citizens
of the United States, had been given
their freedom.
For the relief of our own citizens suf
fering because of the conflict, the aid of
congress was sought in a special mes
sage, and under the appropriation of April
4, 1897, effective aid has been given to
American citizens in Cuba, and many of
them, at their own request, have been
returned to the United States.
Instructions to Minister Woodford.
The instructions given to our new min.
Ister to Spain, before his departure for
his post, directed him to impress upon
that government the sincere wish of tho
United States to lend its aid toward end
ing the war In Cuba, by reaching a peace
ful and lasting result, just and honor
able alike to Spain and the Cuban people.
These Instructions recited the character
and duration of the contest, , the wide
spread losses it entails, the burdens and
restraint it imposes upon us, with con
stant disturbance of national interests
and the injury resulting from an indefinite
continuance of this state of things. It
was stated that at this juncture our gov
ernment was constrained to seriously in
quire if the time was not ripe when Spain,
of her own volition, moved by her own in
terests and every sentiment, of humanity,
should put a stop, to this destructive war
and make proposals of settlement honor
able to herself and Just to her Cuban
colony. It was urged that, as a neigh
boring nation with large Interests, iri
Cuba, w could be required to wait -only
a reasonable, timk, for the mother, coun,
try to esteblish its authority and restore
peace and order within the borders of the
island; that we could not contemplate an
Indefinite period for the accomplishment
of these results. .
No solution was proposed tohtch then
slightest idea of humiliation- to Spain
could attach. All that was asked or , ex
pected was that some safe way might be
speedily provided and permanent peace
restored. It so chanced that the consid
eration of this offer, addressed to the
Spanish administration, which had de
clined the tenders of my predecessor and
which for more than two years had poured
more 'treasure into, Cdba in the fruitless
effort to suppress the revolt,, fell to oth
ers. Between the departure of General
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 assassin, and although the cabinet
of the late premier still held office and re
ceived from our envoy the proposals he
bore, that cabinet gave place, within a
few days thereafter, to a new administra
tion under the leadership of Sagasta.
Spain's Friendly Reply.
The reply to our note was received on
the 23d day of October. If is In the direc
tion Of a better understanding. It appre
ciates the friendly proposals of this gov
ernment. It admits that our country is
deeply affected by the war in Cuba and
that our desires for peace are just... It de
clares that the present Spanish govern
ment Is bound 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 re-foi-ms
heretofore advocated by the pres
ent premier, without halting for any con
sideration in the path which. In Its Judg
ment, leads to peace. .
The military operations, it is said, will
continue, but will be humane and con
ducted with all regard for private rights,
being accompanied by political action
leading to the autonomy of CWba, while
guarding Spanish sovereignty. This, -it Is
claimed, will result in Investing Cuba; with
a distinct ' personality, the island to be
governed by an executive and by a local
council or chamber, reserving to Spain
the control of the foreign relations, the
army andi navy and the Judicial .adminis
trations. --
To accomplish this,, the present govern
ment proposes to modify existing -legis-lation
by decree, leaving the Spanish ;
.cortes, with the aid of Cuban senators
and deputies, to solve the economic prob
lems and properly distribute the existing
deb
Give Spain 'sv Chance.
In the absence of a declaration of the
measures that this government proposes
to take. In carrying out Its proffer of good
offices, it suggests that Spain be left free
to conduct military operations and grant
political reforms, while the United States,
for its part, shall enforce its neutral obll- .
gations, and cut off the assistance which,
it is asserted, the insurgents receive from
this country- The supposition of an in-j
definite prolongation of the war is de
nied. It is asserted that the Western
provinces are already well-nigh . re
claimed; that the planting of cane and
tobacco therein has been resumed, and
that by force of arms and new and ample
reforms very early and complete pacifi
cation is hoped for. , . ,
The immediate amelioration of existing
conditions under the new administration
of Cuban affairs is predicted, ' and there
withal the disturbance and . all occasion
for any change of attitude on the part of
the United States. ,
Discussion of the question of interna
tional duties and responsibilities of the
United States as Spain understands them,
is presented with an apparent disposition
to charge us with failure in this regard.
This charge is without any basis' in fact.
It could not have been made if Spain had
been cognizant of the constant effort this
government has rtiade, at the cost of mil
liens and by the employment of the ad
ministrative . machinery at the national
command, to perform Its full duty accord
ing to the law of nations. That it has
successfully prevented the' departure of a
single military expedition or armed- Vessel
from our shores in violation of our laws
would seem -to be a sufficient answer."
But on this aspect of the Spanish note it
is not necessary to speak further rlow.
Firm In the conviction of a wholly per
formed obligation, due response to this
charge has been made in dlplomatio 'ish
sues. Throughout all these horrors and
dangers" q our, own Cpease, this-: govern-.
ment has never In any way abrogated its
sovereign prerogative of reserving to It
self the determination of its policy and
course, according to its own high sense of
right and In consonance with the dearest
Interests and convictions of our own peo
ple, should the prolongation of the -strife
so demand.
Of the untried measures there remain
only:
"Recognition of the Insurgents as bellig
erents; recognition of the Independence of
Cuba; neutral intervention to end the war
by imposing a rational compromise be
tween the contestants, and intervention
In favor of one or the other party."
Not a Question of Annexation.
I speak not of forcible, annexation, for
that, cannot be thought of. That, by our
code of morality, would be criminal ag
gression. Recognition of the belligerency
of the Cuban insurgents has often beeii
canvassed as a possible if not inevitable
step, both in regard to the previous 10
years' struggle and during the present
war. I am not unmindful ' that the two
houses of congress, in the spring of 1896,
expressed the opinion, by concurrent reso
lution, that a condition of public war ex
isted1 requiring or justifying the recognlr
tion of a state of belligerency In Cuba,
and during the extra session the senate
voted a Joint resoiutlon of like import,
which, "however, was not brought to a
vote in the house. In the presence of
these significant expressions of the senti
ment of the legislative brunch, It behooves
the executive soberly to consider the con
ditions under which so important a
measure must needs rest for justification.
It Is to be seriously considered whether
the Cubirn insurrection possesses, beyond
dispute, the attributes of statehood which
alone can demand the recognition of bel
ligerency in its favor., Possession shOrt
of the essential qualifications of sover
eignty by the insurgents, and the conduct
of the war by them according to the rec
ognized code of war, are no less important
factors toward the determination of the
problem of belligerency than are the In
fluences and consequences of the. struggle
upon the Internal policy of the recogniz
ing nation. The utterances of President
Grant In his memorable message of 1875
are signally relevant to the present situa
tion in Cuba, and it may be wholesome
now to recall them. At that time a
serious 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- Jiumanity, which called forth expres
sions of condemnation from the nations
of, Christendom, continued unabated.
Desolation and ruin pervaded that pro
ductive region, enormously affecting the
commerce of all commercial nations, but
that of the United States more than any
other, by reason of proximity and larger
trade and intercourse.
General Grant's Words.
At that juncture General Grant uttered
these words, which now, as then, sum up
the' elements of the problem: .
"A - recognition of the Independence of
Cuba being in my opinion impracticable
and Indefensible, the question which next
presents Itself is that ot the recognition
of belligerent rights in the parties to the
contest. In a former message to congress
I had occasion to consider this question
and reached the conclusion that the con-flict-ln'Cuba,
dreadful Mid devastating as
werfilts incidents, did not rise to the
feaful dignity of war. It is pos
sible,, that, the acts of foreign powers and
even acts of Spain herself of this very
nature might be pointed to in defense Of
such recognition. But now, as in its
past history, the United States should
carefully avoid the false lights which
might, lead It into the mazes of doubt
ful :law an,d of questionable propriety
andC adhere to the rule which has been
its, guide, of doing only that which is
right'and honest and of good report. ' '-
'(The question of according or of with
holding rights of belligerency must be
judged In every case in view of the par
ticular attending facts. Unless .justified '
by necessity, it is always,, and Justly, re
garded, as , an unfriendly act. and as a
gratuitous : demonstration of moral sup
port to the rebellion. It is necessary and
It is required when the interests and
rights of another government, or its peo
ple, are so far affected by pending civil
conflict as to require a definition of its
relations to the parties thereto. But this
conflict must be one which will be recog-
nized in the sense of international law as
war.
"Belligerency, too. is a fact. The mere
existence of contending armed bodies and
their occasional conflicts do not consti
tute war In the sense referred to. Apply
ing to the existing condition of. affairs in
Ouba 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 sensitive or , selfish and unworthy
motives, I fail to find In the insurrection
the existence of such a substantial polit
ical organization, real, palpable and mani
fest to the world, as having the forms
and capable of organization, the functions
of ordinary government toward its own
people and to other- states, with courts
for the administration of justice, with a
local habitation, possessing such organiza
tion of force, such material, such occupa
tion of territory as to take the contest
out of the category of a mere rebellious
Insurrection, or occasional skirmishes, and
place It on ' the terrible footing of war,
to ; which a recognition or belligerency
Would aim to elevate, it.
land" theTsurrectior Thas not possessed Mrst, td regulate electoral registration and V her privileges, to which Japanprop
tei,;, !58 J"? L 'L -! J klS. ( procedure and prescribe the qualifications erly laid claim, have given place to up-;
itself? of a slngle seaport whence It. may
send 'forth its flag, nor has It any means
or eommunleatlon wl'h foreign, powers,
Mcept "through the military lines of Its
adversaries. No apprehension of any of
IhpR RlirlHen find difficult complications
-which a war upon' the ocean is 'apt to pre
cipitate upon the vessels, . both commer
cial and naval, and upon the consular
officers of other powers, calls for -the
definition of their relations to the;partles i
to the contest. Considered as a question
of expediency, I regard the accordance of
belligerent rights still to Te as unwise j
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 difllcult and com
plicated duties, and requires the exaction
from the contending-parties of the strict
observance of 'their rights and obliga
tions. It confers the right of search up
on the hijrh seas by vessels of both par
ties; It Vould subject the carrying of arms
and munitions of "war, "which now may be
transported freely and without Interrup
tion in vessels of the United States, to
detention and possible seizure; It would
give rise to countless vexatious questions;
It would relieve the present government of
responsibility for acts done by the insur
gents, and would invest Spain with the
right to ' exercise the supervision recog
nized by our treaty of 1795 over our com
merce on the high seas, a very large
part ot which. In its traffic between the
Atlantic and the Gulf states and between
all of them and the states on the Pacific,
passes through the waters which wash
the shores of Cuba. The exercise of this
supervision could scarce fail to lead, if
hot to abuses, certainly to collisions, per
ilous to the peaceful relations of the two
states. There can be little doubt as to
what result such supervision would be
fore long draw this nation. It would
be unworthy of the United States to in
augurate the possibility of such result by
aumeasure of questionable right or ex
pediency, or by any indiscretion." .
y Not a Time for Recog-nition.'
Turning to the practical aspects of a
recognitidn of belligerency and reviewing
Its', inconveniences and possible danger,
further pertinent considerations appear.
In the code of nations, there is no sucn
thing as a naked recognition of .belliger
ency unaccompanied by the assumption
gfc national neutrality. Such recognition
without neutrality will not- confer, upon
either party to. a domestic conflict a status
pot' therefore actually possessed, or af
fect the relation of either party to other
states. The act of recognition usually
takes the. form of a solemn proclamation
of neutrality which recites the de facto
condition of belligerency as its motive. It
announces a domestic law of neutrality
In the declaring state. It assumes the in
ternational obligation of a neutral in the
presence of a public state of war.. It
warns all citizens and others within the
jurisdiction of the claimant that they vio
late those rigorous obligations at their
own peril and cannot expect 'to be shield
ed from the consequence. The right of
visit and search and seizure , of vessels
and cargoes and contraband of war un
der - admiralty law must under interna
tional law be admitted as ' a legitimate
Consequence of a proclamation of belliger
ency. While according equal belligerent
rights, defined by public law, to each par
ty In our ports, disfavor would be Impos
sible to both, which, while nominally
equal, would weigh heavily' in behalf of
Spain herself. Possessing a navy and
claiming the ports of Cuba, her- maritime
rights could be asserted, not only for
the military Investment of the island,
but up to the margin of our own terri
torial waters, and a condition of things
would exist for which the Cubans could not
hope to create a parallel; -whlle'ald from
within our domain would be even more
impossible than now, with the additional
obligation of international neutrality
which we would perforce assume..
The enforcement of this enlarged and
onerous code of neutrality would only be
influential within our own Jurisdiction
of land and sea and applicable by our
own Instrumentalities. It could impart
to t)ie United States no jurisdiction be
tween Spain and the insurgents. It would
give the United States no right of inter
vention to enforce the conduct of the
strife within the paramount authority of
Spain aceordIng,to the international code
of war.
For these reasons, I regard the recog
nition, of the belligerency of the Cuban
insurgents as now unwise and -therefore
inadmissible. Should that step hereafter
be deemed wise, as a measure of right
and duty, the executive "will take it.
Intervention upon humane grounds has
been frequently suggested, and It has not
failed to receive my most anxious and
earnest consideration.' But should such
a step be now taken when It is apparent
that a hopeful change has Bupervened in
the poiicy of Spain toward Cuba?
Pledges' of the New Government.
A new government has taken office In
the mother country. It is pledged in ad
vance to the declaration that all the ef
fort in the world cannot suffice to main
tain peace in Cuba by the bayonet; that
vague promises of reform after subjuga
tion afford no solution of the insular
problem; that with a substitution of com
manders must come a change of the past
system of warfare for one in harmony
with a new policy which shall no longer
aim to drive the, Cubans "to the horrible
alternative of taking to the thicket or
succumbing in misery;" that reforms must
be instituted in accordance with the needs
and circumstances of the time, and that
these reforms, while designed to give full
autonomy to the colony and to create a
virtual entity and self-controlled admin
istration, shall yet conserve and affirm
the sovereignty: of Spain by a Just distri
hutiom of powers and burdens upon a
basis of mutual interest , untainted by
methods of selfish expediency.
The first acts of the new government
lie in these honorable paths. The policy
of cruel rapine and extermination, that
so long shocked the universal sentiment
of humanity, has been reversed. Under
thesnew military commander, a broad
clemency is proffered. Measures have al
ready been set on foot to relieve the hor
rors ef starvation. 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 pursuits and productive in
dustries. That past methods, were futile
to force a peace by subjugation, Is free
ly admitted, and ruin without concilia
tion must inevitably fail to win for Spain
the fidelity of a discontented dependency.
. The Reforms for tuba. ,
Decrees in application of the' foreshad
owed reforms have already been pro-
i mulgated. The full text of these decrees
1 . . i i 1 i . A.a I.
has not been received, but, as furnished in
a telegraphic summary from our minister,
the reforms are:
All civil and electoral rights of penin
sular Spaniards are, by virtue of the exist
ing constitutional assembly, forthwith
extended to colonial Spaniards. A scheme
of autonomy has been proclaimed by de
cree to become effective upon ratification
by the cortes. It creates a Cuban parlia
ment, which, with the insular executive,
can consider and vote upon all subjects
affecting local order and Interests, pos
sessing unlimited powers save as to mat
ters of state, war and the navy, , as to
which the governor-general acts by his
own authority as the delegate of the cen
ftral government. This parliament re-
celves the oath .of the governor-general
to preserve faithfully 'the liberties and
privileges of the colony, and to it the
.colonial secretaries are responsible. It has
the right to propose to the central gov
ernment, through the governor-general,
modifications of a charter and to invite
new projects of law or executive meas
ures in the interest of the colony. Be- I
sldes-its local powers, it is competent
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 in
sular budget, both as. to expenditures and
revenues to meet the Cuban share of the
national budget, which latter will be voted
by the- national cortes with the assist
ance of Cuban senators and deputies;
fourth, to Initiate or take part In the ne
gotiations of the national government
for commercial treaties which may affect
Cuban interests; fifth, to accept or re
ject commercial treaties which the nation
al government may. have concluded with
out the participation of the Cuban govern
ment; sixth, to frame the colonial tariff,
acting in accord with the peninsular gov
ernment 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 be
fore the. central government and .bear Its
opinion thereon; all , the correspondence!
In such regard being made" public. Fi-
nally, all conflicts of jurisdiction arising
between the different municipal, provin
cial and insular assemblies, or between
the latter and the insular executive pow
er, and which', from their nature, may
not be referable to the central govern
ment for decision, shall be submitted to
the courts. ,
Result Will Soon Be Known.
That the government of Sagasta has en
tered upon a eourse 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 is undeniable. I
shall not Impugn Its sincerity, nor should
Impatience be suffered to embarrass it
in the task it has undertaken. It is hon
estly due to Spain and to our friendly
relations with Spain that she should be
given a reasonable chance to realize her .
expectations and to prove the asserted ef
ficiency of the new order of things to
which she stands irrevocably committed.
She has recalled the commander whose
brutal orders Inflamed the American m nd
and shocked the civilized world. She has
modified the horrible order of concentra
tion and has undertaken the care of the
helpless, and permits those who desire 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, heretofore sen
tenced to death, and who have, been the
subject of repeated- diplomatic corre
spondence during both this and the pre
ceding administration. (Not a single
American citizen Is now under arrest or In
confinement in Cuba of whom this gov
ernment has any knowledge.
' The near future will demonstrate whe'h
er the indispensable condition of a right
eous peace, just alike to the Cubans and
to Spain; as well as equitable to all our
interests, so Intimately Involved in the
welfare of Cuba, Is 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 ac
tion will be determined in the line of In
disputable 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 con
fided to It the protection of their interests
and honor, and to humanity. .
Will Intervene When Necessary,
Sure of the right, keeping free from all
offense ourselves, actuated only by up
right and patriotic considerations, moved
neither by passion nor selfishness, the
government 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 enduring. ' If It shall hereafter be a
duty imposed by our obligations to our
selves, to civilization " and humanity to
Intervene with force, It shall be without
fault on our part, and only because the
necessity for such action will be so clear
as to command the support aid approval
of the civilized world.
ANNEXATION OF HAWAII.
Urges the Senate to Accomplish the
. Union.
By a special message dated the. 16th day
of June last, I laid before the senate of
the United States a treaty, signed that day
by the plenipotentiaries of the United
States and of the republic of Hawaii, hav
ing for Its purpose the incorporation of
the Hawaiian Islands as an Integral part-'
of the United States and under its sov- ,
ereignty. The senate having removed :'
the injunction of secrecy, although the
treaty Is still pending before that body, .
the subject may be properly referred to- .
in this message, as the' necessary action, ..
of congress is required 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.
yery early period any aggressive policy
of absorption in regard to the Hawaiian."
group, a long series of discussion through
three-quarters of a century has pro
claimed the vital interest qt the United. .
States' in the Independent life of the-
! islands and their intimate commercial de- .
pendency 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 is
lands under the domination or influence or
another power than the United States.' ,,
Under, these circumstances ;the; logic -ofV,
events required that annexation; before ,
offered but declined, should-, in the ripe-,.;,
nefes of time, come about as the natural .
result of strengthening the ties that bind '
us to those islands and be released by the,i
'Ires will of the Hawaiian s'tate.-"---.' ' '-"!
' That treaty 'waff unanimously rattled; v
without amendment by. the' seriate 'arid ;.
president of the republic of Hawaii on the, '
10th of September las-t, and .only awaits- ...
the favorable action of the American sen
ate to effect the complete absorption of the. i
islands into the domains of the United
States. What the Conditions of such a
union shall be, the political relation thereof
to the United States, the character, of the
local administration, the quality and de-
gree of the elective franchise of tha in-' '
habitants, the extension of the federal
laws to the territory or the enactment of f:
special laws to fit the peculiar condition
thereof, the regulation and needs of labor ' ,
therein, the treaty has wisely relegated to
congress. , . . - '-
If the treaty is confirmed, as every x:on-.' .-.
sideration of dignity and honor requires, ,
the wisdom of congress will see to it that,
avoiding abrupt assimilation ofselemeiits
perhaps hardly yet fitted to share in the
highest franchises of citizenship, and hav- ;
ing due regard to the geographical coni
ditions, the Just provisions for self-rule
in local matters with the largest political
liberties as an integral part, of our nation
will be accorded to the Hawaiians. ... ( .
No less is due to a people who after, - -j
nearly five years of demonstrated capacity ' -
to fulfill the obligations of self-govern-;',-ing
statehood; come ot their free will tp.;-,, ;
merge their destinies in our body politic. ...
The Dispnte . With . Japan.
The questions which have arisen between. , .
Japan and Hawaii by reason of the treat- v
ment of Japanese laborers emigrating to
the Islands under the Hawaiian-Japanese '
convention of 1888, are in a , satisfactory
stage of settlement by negotiation. This
government has. not been invited to medl- .
ate, and on the other hand has sought no "
Intervention in that matter further than -to
evince its kindliest disposition towarct
such a speedy and direct adjustment be- .
tween the two sovereign states in interest
as shall comport with equity and honor.
It is gratifying to learn that the appre-
henslons at first displayed on the part of-
Japan lest tne cessation oi awau ua-
"onal lite tnrougn annexation, mignt. lm.
righteousness in the government and sin
cerity of its purpose to deal with all posJ
slble ulterior questions! In the broadest
spirit of friendliness. f--.
: r -
CENTRA!, AMERICAN STATES... .
Representation of 'Onr Government
In the Greater -Republic ;. .. ,
As to the representative of this govern- .
ment- to ' Nicaragua.' Salvador and Costa
Rica, I have concluded that Mr. William ;
L. Merry, confirmed as minister of the
United States to the states of Nicaragua,, .
Salvador and Costa Rica, shall proceed
to San Jose, Costa Rica, and there tempo-'" -rarily
establish the headquarters of - the
United States to . those ; three ' states. . 1
took thfe action for what I regarded as the.
paramount Interests of this, country. It.
was developed, upon an investigation by 1
the secretary of state, that the government
j of Nicaragua, while -not unwilling to re- -
celve. Mr. Merry in his diplomatic capac- .
lty, was unable to do so on account of the
compact concluded June 20, 1895, whereby , ,
that republic and those of Salvador and
Honduras, forming what Is known as tne--Greater
Republic of -Central America, had '
surrendered to the ' -representative diet
thereof their right to receive . and i send : - . :
diplomatic agents. The diet was not wtllr -lng
to accept him because, he was not ac-.
credited to that body. I could not ac
credit him to that body because the appro- , .
prlation law, of congress did not permit.
Mr. Baker, the present minister at Mail- .'.
agua, has been directed to present his
letters of recall. .. . .
Mr. Godfrey Hunter has likewise been ,
accredited, to the governments of Gaute
mala and Honduras, the same as his pred-; -ecessor.
Guatemala Is not a member of '
the Greater Republic of Central America, ' .
but Honduras is. Should this latter gov-t: ,
ernir.ent decline to receive, him,' he tjas-'- v
been Instructed to report this fact to his:
government and await its further instruc
tions. ..- - - ' , . -.';. ;.. ;;.',:.',;
The Nicaragua Canal. .
A subject of large Importance to our
country and Increasing appreclallon on the -part
of the people is the completion of the
great highway of trade between the At- ;
laritic and Pacific known as the Nicara- j
gua canal. Its value to American com-. ,
merce is universally admitted. The com-,
mission appointed under date of July 24' ,
last "to continue the surveys and exam
inations authorized' by the act approved'-"-March
2-, . 1885, in regard to the 'proper1'
route, feasibility and- cost of construe.',
tlon of the Nicaragua canal, with a view
i of .making complete plans for the entire
work of construction of such canal," is
now employed in the undertaking. In the-'
future I shall take occasion 'to transmit' 2
to congress the report of this commission, "
making at the same .time- such lurther
suggestions as may then seem advisable.
THE BIMETALLIC COMMISSION.
,
Failure of the Mission of the Special.
Silver Envoys.
Under the provisions Of the act of con
gress approved March 3, 1897, for the pro
motion of an International agreement re
specting bimetalism, I appointed, on,
April 14. 1897, Hon. Edward O. Wblcott,
of Colorado; Hon. Adlai B. Stevenson, of
Illinois, and 'Hon. "Charles J. Payne,
of Massachusetts, as special envoys to
represent the United States. They have
been diligent in their effort to secure the
concurrence and co-operation of Euro
pean countries in the international set
tlement of the question, but up to this
time have not been able to secure, an
agreement contemplated by thejr missiow.
The gratifying action of our great sis
ter republic of France In Joining this
country in the attempt to bring about the
agreement between the principal com
mercial nations of Europe, whereby a
fixed and relative value between gold and
silver shall be secured, furnishes assur-,
ance that we are not alone among the
larger nations of the world In realizing
f
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