In a former message to Congress I had occasion to consider t

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State of the Union Addresses of William McKinley

The addresses are separated by three asterisks: ***

Dates of addresses by William McKinley in this eBook:

December 6, 1897

December 5, 1898

December 5, 1899

December 3, 1900

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State of the Union Address

William McKinley

December 6, 1897

To the Senate and House of Representatives:

It gives me pleasure to extend greeting to the Fifty-fifth Congress,

assembled in regular session at the seat of Government, with many of whose

Senators and Representatives I have been associated in the legislative

service. Their meeting occurs under felicitous conditions, justifying

sincere congratulation and calling for our grateful acknowledgment to a

beneficent Providence which has so signally blessed and prospered us as a

nation. Peace and good will with all the nations of the earth continue

unbroken.

A matter of genuine satisfaction is the growing feeling of fraternal regard

and unification of all sections of our country, the incompleteness of which

has too long delayed realization 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 engross us are lifted far above either

partisanship, prejudice, or former sectional differences. They affect every

part of our 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 national obligations, the improvement of the

public service, appeal to the individual conscience of every earnest

citizen to whatever party he belongs or in whatever section of the country

he may reside.

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 accomplished 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 results thus far, are in no mind to

withhold from it a fair trial.

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 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 sum of $728,868,447.41. On the 1st of

January, 1879, these liabilities had been reduced to $443,889,495.88. Of our

interest-bearing obligations, the figures are even more striking. On July

1, 1866, the principal of the interest-bearing debt of the Government was

$2,332,331,208. On the 1st day of July, 1893, this sum had been reduced to

$585,137,100, or an aggregate reduction of $1,747,294,108. The

interest-bearing debt of the United States on the 1st day of December,

1897, was $847,365,620. The Government money now outstanding (December 1)

consists of $346,681,016 of United States notes, $107,793,280 of Treasury

notes issued by authority of the law of 1890, $384,963,504 of silver

certificates, and $61,280,761 of standard silver dollars.

With the great resources of the Government, and with the honorable example

of the past before us, we ought not to hesitate 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 accomplished from the close of the war to

1893, makes unreasonable and groundless any distrust either of our

financial ability or soundness; while the situation from 1893 to 1897 must

admonish Congress of the immediate necessity of so legislating as to make

the return of the conditions then prevailing impossible.

There are many plans proposed as a remedy for the evil. Before we can find

the true remedy we must appreciate the real evil. It 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 keep it so, and that pledge will

not be broken. However, the guaranty of our purpose to keep the pledge will

be best shown by advancing toward its fulfillment.

The evil of the present system is found in the great cost to the Government

of maintaining the parity of our different forms of money, that is, keeping

all of them at par with gold. We surely cannot be longer heedless of the

burden this imposes upon the people, even under fairly prosperous

conditions, while the past four years have demonstrated that it is not only

an expensive charge upon the Government, but a dangerous menace to the

National credit.

It is manifest that we must devise some plan to protect the Government

against bond 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 redemption. We

have $900,000,000 of currency which the Government by solemn enactment has

undertaken to keep at par with gold. Nobody is obliged to redeem in gold

but the Government. The banks are not required to redeem in gold. The

Government is obliged to keep equal with gold all its outstanding currency

and coin obligations, while its receipts are not required to be paid in

gold. They 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. It can

get it in no other way when it most needs it. The Government without any

fixed gold revenue is pledged to maintain gold redemption, which it has

steadily and faithfully done, and which, under the authority now given, it

will continue to do.

The law which requires the Government, after having redeemed its United

States notes, to pay them out again as current funds, demands a constant

replenishment of the gold reserve. This is especially so in times of

business panic and when the revenues are insufficient to meet the expenses

of the Government. At such times the Government has no other way to supply

its deficit and maintain redemption but through the increase of its bonded

debt, as during the Administration of my predecessor, when $262,315,400 of

four-and-a-half per cent bonds were issued and sold and the proceeds used

to pay the expenses of the Government in excess of the revenues and sustain

the gold reserve. While it is true that the greater part of the proceeds of

these bonds were used to supply deficient revenues, a considerable portion

was required to maintain the gold reserve.

With our revenues equal to our expenses, there would be no deficit

requiring the issuance of bonds. But if the gold reserve falls below

$100,000,000, how will it be replenished except by selling more bonds? Is

there any other way practicable under existing law? The serious 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 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

authorized 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 redemption in gold and are redeemed

in gold, such notes shall be kept and set apart, and only paid out in

exchange for gold. This is an obvious duty. If the holder of the United

States note prefers the gold and gets it from the Government, he should not

receive back from the Government a United States note without paying gold

in exchange for it. The reason for this is made all the more apparent when

the Government issues an interest-bearing debt to provide gold for the

redemption of United States notes--a non-interest-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 another

bond issue to redeem them--another interest-bearing debt to redeem a

non-interest-bearing debt.

In my view, it is of the utmost importance that the Government should be

relieved from the burden of providing all the gold required for exchanges

and export. This responsibility is alone borne by the Government, without

any of the 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 our present currency; but the danger still exists, and

will be ever present, menacing us so long as the existing system continues.

And, besides, it is in times of adequate revenues and business tranquillity

that the Government should prepare for the worst. We cannot avoid, without

serious consequences, the wise consideration and prompt solution of this

question.

The Secretary of the Treasury has outlined a plan, in great detail, for the

purpose of removing the threatened recurrence of a depleted gold reserve

and save us from future embarrassment on that account. To this plan I

invite your careful consideration.

I concur with the Secretary of the Treasury 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 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 of National banks with a minimum capital of $25,000. This

will enable the smaller villages and agricultural regions of the country to

be supplied with currency to meet their needs.

I recommend that the issue of National bank notes be restricted to the

denomination of ten dollars 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.

The most important problem with which this Government is now called upon to

deal pertaining to its foreign relations 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 a larger enjoyment of liberty and

self-control, of organized resistance to the mother country, of depression

after distress and warfare, and of ineffectual settlement to be followed by

renewed revolt. For no enduring period since the enfranchisement of the

continental possessions of Spain in the Western Continent 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 declarations of the policy of

the United States to permit no disturbance of Cuba's connection with Spain

unless in the direction of independence or acquisition by us through

purchase, nor has there been any change of this declared policy since upon

the part of the Government.

The revolution which began in 1868 lasted for ten years despite the

strenuous efforts of the successive peninsular governments to suppress it.

Then as now the Government of the United States testified 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, entailing 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 between

the Spanish commander, Martinez de Campos, and the insurgent leaders.

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 can not but fill this Government and the American

people with the gravest apprehension. 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 inalienable right of man, protected in their

right to reap the benefit of the exhaustless treasures of their country.

The offer made by my predecessor in April, 1896, tendering the friendly

offices of this Government, failed. Any mediation on our part was not

accepted. In brief, the answer read: "There is no effectual way to pacify

Cuba unless it begins with the actual submission of the rebels to the

mother country." Then only could Spain act in the promised direction, of

her own motion and after her own plans.

The cruel policy of concentration was initiated February 16, 1896. The

productive districts controlled by the Spanish armies were depopulated. The

agricultural 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 extermination.

Against this abuse of the rights of war I have felt constrained on repeated

occasions 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 arrests and long imprisonment awaiting trial or pending

protracted judicial proceedings. I felt it my first duty to make instant

demand for the release or speedy trial of all 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 freedom.

For the relief of our own citizens suffering because of the conflict the

aid of Congress was sought in a special message, and under the

appropriation of May 24, 1897, effective aid has been given to American

citizens in Cuba, many of them at their own request having been returned to

the United States.

The instructions given to our new minister to Spain before his departure

for his post 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. These instructions recited the character and

duration 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 resulting from an indefinite continuance of this

state of things. It was stated that at this juncture our Government was

constrained to seriously inquire if the time was not ripe when Spain of her

own volition, 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 colony. 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 restore peace and order within the borders of the island;

that we could not contemplate an indefinite 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

embarrassment to that Government. All that was asked or expected was that

some safe way might be speedily provided and permanent peace restored. It

so chanced that the consideration 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 effort to suppress the revolt, fell to others. 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 received from our envoy the proposals he bore, that cabinet gave place

within a few days thereafter to a new administration, under the leadership

of Sagasta.

The reply to our note was received on the 23d day of October. It is in the

direction of a better understanding. It appreciates 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 declares that the

present Spanish government 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 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 continue, 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, 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 and navy, and the judicial administration. To

accomplish this the present government proposes to modify existing

legislation by decree, leaving the Spanish Cortes, with the aid of Cuban

senators and deputies, to solve the economic problem and properly

distribute the existing debt.

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

obligations and cut off the assistance which it is asserted the insurgents

receive from this country. The supposition of an indefinite prolongation of

the war is denied. It is asserted that the western provinces are already

well-nigh reclaimed, 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 pacification is hoped for.

The immediate amelioration of existing conditions under the new

administration of Cuban affairs is predicted, and therewithal the

disturbance and all occasion for any change of attitude on the part of the

United States. Discussion of the question of the international 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 efforts this Government

has made, at the cost of millions and by the employment of the

administrative machinery of the nation at command, to perform its full duty

according 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 of this

aspect of the Spanish note it is not necessary to speak further now. Firm

in the conviction of a wholly performed obligation, due response to this

charge has been made in diplomatic course.

Throughout all these horrors and dangers to our own peace this Government

has never in any way abrogated its sovereign prerogative of reserving to

itself 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 people should the prolongation of the strife so demand.

Of the untried measures there remain only: Recognition of the insurgents as

belligerents; recognition of the independence of Cuba; neutral intervention

to end the war by imposing a rational compromise between the contestants,

and intervention in favor of one or the other party. I speak not of

forcible annexation, for that can not be thought of. That, by our code of

morality, would be criminal aggression.

Recognition of the belligerency of the Cuban insurgents has often been

canvassed as a possible, if not inevitable, step both in regard to the

previous ten 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 resolution that a condition of public war existed requiring

or justifying the recognition of a state of belligerency in Cuba, and

during the extra session the Senate voted a joint resolution of like

import, which, however, was not brought to a vote in the House of

Representatives. In the presence of these significant expressions of the

sentiment of the legislative branch it behooves the Executive to soberly

consider the conditions under which so important a measure must needs rest

for justification. It is to be seriously considered whether the Cuban

insurrection possesses beyond dispute the attributes of statehood, which

alone can demand the recognition of belligerency in its favor. Possession,

in short, of the essential qualifications of sovereignty by the insurgents

and the conduct of the war by them according to the received code of war

are no less important factors toward the determination of the problem of

belligerency than are the influences and consequences of the struggle upon

the internal polity of the recognizing state.

The wise utterances of President Grant in his memorable message of December

7, 1875, are signally relevant to the present situation in Cuba, and it may

be wholesome 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 condemnation from the nations

of Christendom, continued unabated. Desolation and ruin pervaded that

productive 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. 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 of 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 conflict 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

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

doubtful law and of questionable 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 question 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 always,

and justly, regarded as an unfriendly act and a gratuitous demonstration of

moral support to the rebellion. It is necessary, and it is required, when

the interests and rights of another government or of its people are so far

affected by a pending civil conflict as to require a definition of its

relations to the parties thereto. But this conflict must be one which will

be recognized in the sense of 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 sensitive

or selfish and unworthy motives, I fail to find in the insurrection the

existence of such a substantial political organization, real, palpable, and

manifest to the world, having the forms and capable of the ordinary

functions of government toward its own people and to other states, with

courts for the administration of justice, with a local habitation,

possessing such organization of force, such material, such occupation 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 of belligerency would aim to elevate it. The

contest, moreover, is solely on land; the insurrection has not possessed

itself 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 adversaries. No apprehension of any of those sudden and

difficult complications which a war upon the ocean is apt to precipitate

upon the vessels, both commercial and national, and upon the consular

officers of other powers calls for the definition of their relations to the

parties to the contest. Considered as a question of expediency, I regard

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 country according the rights which flow from

it difficult and complicated duties, and requires the exaction from the

contending parties of the 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 the

vessels of the United States, to detention and to possible seizure; it

would give rise to countless vexatious questions, would release the parent

Government from responsibility for acts done by the insurgents, and would

invest Spain with the right to exercise the supervision recognized by our

treaty of 1795 over our commerce on the high seas, a very large part of

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 not to abuses, certainly to collisions perilous to the peaceful

relations of the two States. There can be little doubt to what result such

supervision would before long draw this nation. It would be unworthy of the

United States to inaugurate the possibilities of such result by measures of

questionable right or expediency or by any indirection. Turning to the

practical aspects of a recognition of belligerency and reviewing its

inconveniences and positive dangers, still further pertinent considerations

appear. In the code of nations there is no such thing as a naked

recognition of belligerency, unaccompanied by the assumption of

international neutrality. Such recognition, without more, will not confer

upon either party to a domestic conflict a status not theretofore actually

possessed or affect 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 international obligations of a neutral in the presence of a

public state of war. It warns all citizens and others within the

jurisdiction of the proclaimant that they violate those rigorous

obligations at their own peril and can not expect to be shielded from the

consequences. The right of visit and search on the seas and seizure of

vessels and cargoes and contraband of war and good prize under admiralty

law must under international law be admitted as a legitimate consequence of

a proclamation of belligerency. While according the equal belligerent

rights defined by public law to each party in our ports disfavors would be

imposed on both, which, while nominally equal, would weigh heavily in

behalf of Spain herself. Possessing a navy and controlling 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 territorial

waters, and a condition of things would exist for which the Cubans within

their own domain could not hope to create a parallel, while its creation

through aid or sympathy from within our domain would be even more

impossible than now, with the additional obligations of international

neutrality we would perforce assume.

The enforcement of this enlarged and onerous code of neutrality would only

be influential within our own jurisdiction by land and sea and applicable

by our own instrumentalities. It could impart to the United States no

jurisdiction between Spain and the insurgents. It would give the United

States no right of intervention to enforce the conduct of the strife within

the paramount authority of Spain according to the international code of

war.

For these reasons I regard the recognition 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 humanitarian grounds has been frequently suggested and

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 supervened in the policy of Spain toward Cuba? A new government has

taken office in the mother country. It is pledged in advance to the

declaration that all the effort in the world can not suffice to maintain

peace in Cuba by the bayonet; that vague promises of reform after

subjugation afford no solution of the insular problem; that with a

substitution of commanders 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 administration, shall yet conserve and affirm the

sovereignty of Spain by a just distribution 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 the new military commander a

broad clemency is proffered. Measures have already been set on foot to

relieve the horrors of 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 industries.

That past methods are futile to force a peace by subjugation is freely

admitted, and that ruin without conciliation must inevitably fail to win

for Spain the fidelity of a contented dependency.

Decrees in application of the foreshadowed reforms have already been

promulgated. 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 peninsular Spaniards are, in virtue of existing

constitutional authority, forthwith extended to colonial Spaniards. A

scheme of autonomy has been proclaimed by decree, to become effective upon

ratification by the Cortes. It creates a Cuban parliament, which, with the

insular executive, can consider and vote upon all subjects affecting local

order and interests, possessing unlimited powers save as to matters of

state, war, and the navy, as to which the Governor-General acts by his own

authority as the delegate of the central Government. This parliament

receives 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 Government,

through the Governor-General, modifications of the national charter and to

invite new projects of law or executive measures in the interest of the

colony.

Besides its local powers, it is competent, first, to regulate electoral

registration 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, both as to expenditures and revenues, without limitation of

any kind, and to set apart the revenues to meet the Cuban share of the

national budget, which latter will be voted by the national Cortes with the

assistance of 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

treaties 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 peninsular 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 Government and hear its opinion thereon,

all the correspondence in such regard being made public. Finally, all

conflicts of jurisdiction arising between the different municipal,

provincial, and insular assemblies, or between the latter and the insular

executive power, and which from their nature may not be referable to the

central Government for decision, shall be submitted to the courts.

That the government of Sagasta has entered 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 sincerity 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

honestly 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 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 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 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 Cuba of

whom this Government has any knowledge. The near future will demonstrate

whether the indispensable condition of a righteous 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 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 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 appear to be a duty imposed by our

obligations to ourselves, 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 and approval of

the civilized world.

By a special message dated the 16th day of June last, I laid before the

Senate a treaty signed that day by the plenipotentiaries of the United

States and of the Republic of Hawaii, having for its purpose the

incorporation of the Hawaiian Islands 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 before that body, the

subject may be properly referred to in this Message because the necessary

action of the 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 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 dependence 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 domination or

influence 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 realized by the free will of the Hawaiian State.

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 thereof to the

United States, the character of the local administration, the quality and

degree of the elective franchise of the inhabitants, 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 the

Congress.

If the treaty is confirmed as every consideration of dignity and honor

requires, the wisdom of Congress will see to it that, avoiding abrupt

assimilation of elements perhaps hardly yet fitted to share in the highest

franchises of citizenship, and having due regard to the geographical

conditions, the most 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 nearly

five years of demonstrated capacity to fulfill the obligations of

self-governing statehood, come of their free will to merge their destinies

in our body-politic.

The questions which have arisen between Japan and Hawaii by reason of the

treatment 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 mediate,

and on the other hand has sought no intervention in that matter, further

than to evince its kindliest disposition toward such a speedy and direct

adjustment by the two sovereign States in interest as shall comport with

equity and honor. It is gratifying to learn that the apprehensions at first

displayed on the part of Japan lest the cessation of Hawaii's national life

through annexation might impair privileges to which Japan honorably laid

claim, have given place to confidence in the uprightness of this

Government, and in the sincerity of its purpose to deal with all possible

ulterior questions in the broadest spirit of friendliness.

As to the representation of this Government 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 temporarily

establish the headquarters of the United States to those three States. I

took this action for what I regarded as the paramount interests of this

country. It was developed upon an investigation by the Secretary of State

that the Government of Nicaragua, while not unwilling to receive Mr. Merry

in his diplomatic quality, was unable to do so because of the compact

concluded June 20, 1895, whereby that Republic and those of Salvador and

Honduras, forming what is known as the Greater Republic of Central America,

had surrendered to the representative Diet thereof their right to receive

and send diplomatic agents. The Diet was not willing to accept him because

he was not accredited to that body. I could not accredit him to that body

because the appropriation law of Congress did not permit it. Mr. Baker, the

present minister at Managua, has been directed to present his letters of

recall.

Mr. W. Godfrey Hunter has likewise been accredited to the Governments of

Guatemala and Honduras, the same as his predecessor. Guatemala is not a

member of the Greater Republic of Central America, but Honduras is. Should

this latter Government decline to receive him, he has been instructed to

report this fact to his Government and await its further instructions.

A subject of large importance to our country, and increasing appreciation

on the part of the people, is the completion of the great highway of trade

between the Atlantic and Pacific, known as the Nicaragua Canal. Its utility

and value to American commerce is universally admitted. The Commission

appointed under date of July 24 last "to continue the surveys and

examinations authorized by the act approved March 2, 1895," in regard to

"the proper route, feasibility, and cost of construction of the Nicaragua

Canal, with a view 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 to Congress the report of this

Commission, making at the same time such further suggestions as may then

seem advisable.

Under the provisions of the act of Congress approved March 3, 1897, for the

promotion of an international agreement respecting bimetallism, I appointed

on the 14th day of April, 1897, Hon. Edward O. Wolcott of Colorado, Hon.

Adlai E. Stevenson of Illinois, and Hon. Charles J. Paine of Massachusetts,

as special envoys to represent the United States. They have been diligent

in their efforts to secure the concurrence and cooperation of European

countries in the international settlement of the question, but up to this

time have not been able to secure an agreement contemplated by their

mission.

The gratifying action of our great sister Republic of France in joining

this country in the attempt to bring about an agreement among the principal

commercial nations of Europe, whereby a fixed and relative value between

gold and silver shall be secured, furnishes assurance that we are not alone

among the larger nations of the world in realizing the international

character of the problem and in the desire of reaching some wise and

practical solution of it. The British Government has published a resume of

the steps taken jointly by the French ambassador in London and the special

envoys of the United States, with whom our ambassador at London actively

co-operated in the presentation of this subject to Her Majesty's

Government. This will be laid before Congress.

Our special envoys have not made their final report, as further

negotiations between the representatives of this Government and the

Governments of other countries are pending and in contemplation. They

believe that doubts which have been raised in certain quarters respecting

the position of maintaining the stability of the parity between the metals

and kindred questions may yet be solved by further negotiations.

Meanwhile it gives me satisfaction to state that the special envoys have

already demonstrated their ability and fitness to deal with the subject,

and it is to be earnestly hoped that their labors may result in an

international agreement which will bring about recognition of both gold and

silver as money upon such terms, and with such safeguards as will secure

the use of both metals upon a basis which shall work no injustice to any

class of our citizens.

In order to execute as early as possible the provisions of the third and

fourth sections of the Revenue Act, approved July 24, 1897, I appointed the

Hon. John A. Kasson of Iowa, a special commissioner plenipotentiary to

undertake the requisite negotiations with foreign countries desiring to

avail themselves of these provisions. The negotiations are now proceeding

with several Governments, both European and American. It is believed that

by a careful exercise of the powers conferred by that Act some grievances

of our own and of other countries in our mutual trade relations may be

either removed, or largely alleviated, and that the volume of our

commercial exchanges may be enlarged, with advantage to both contracting

parties.

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