In consequence of these and other incidents, many acts of disorder, it is

undeniable, have been perpetrated in Kansas, to the occasional interruption

rather than the permanent suspension of regular government. Aggressive and

most reprehensible incursions into the Territory were undertaken both in

the North and the South, and entered it on its northern border by the way

of Iowa, as well as on the eastern by way of Missouri; and there has

existed within it a state of insurrection against the constituted

authorities, not without countenance from inconsiderate persons in each of

the great sections of the Union. But the difficulties in that Territory

have been extravagantly exaggerated for purposes of political agitation

elsewhere. The number and gravity of the acts of violence have been

magnified partly by statements entirely untrue and partly by reiterated

accounts of the same rumors or facts. Thus the Territory has been seemingly

filled with extreme violence, when the whole amount of such acts has not

been greater than what occasionally passes before us in single cities to

the regret of all good citizens, but without being regarded as of general

or permanent political consequence.

Imputed irregularities in the elections had in Kansas, like occasional

irregularities of the same description in the States, were beyond the

sphere of action of the Executive. But incidents of actual violence or of

organized obstruction of law, pertinaciously renewed from time to time,

have been met as they occurred by such means as were available and as the

circumstances required, and nothing of this character now remains to affect

the general peace of the Union. The attempt of a part of the inhabitants of

the Territory to erect a revolutionary government, though sedulously

encouraged and supplied with pecuniary aid from active agents of disorder

in some of the States, has completely failed. Bodies of armed men, foreign

to the Territory, have been prevented from entering or compelled to leave

it; predatory bands, engaged in acts of rapine under cover of the existing

political disturbances, have been arrested or dispersed, and every

well-disposed person is now enabled once more to devote himself in peace to

the pursuits of prosperous industry, for the prosecution of which he

undertook to participate in the settlement of the Territory.

It affords me unmingled satisfaction thus to announce the peaceful

condition of things in Kansas, especially considering the means to which it

was necessary to have recourse for the attainment of the end, namely, the

employment of a part of the military force of the United States. The

withdrawal of that force from its proper duty of defending the country

against foreign foes or the savages of the frontier to employ it for the

suppression of domestic insurrection is, when the exigency occurs, a matter

of the most earnest solicitude. On this occasion of imperative necessity it

has been done with the best results, and my satisfaction in the attainment

of such results by such means is greatly enhanced by the consideration

that, through the wisdom and energy of the present executive of Kansas and

the prudence, firmness, and vigilance of the military officers on duty

there tranquillity has been restored without one drop of blood having been

shed in its accomplishment by the forces of the United States.

The restoration of comparative tranquillity in that Territory furnishes the

means of observing calmly and appreciating at their just value the events

which have occurred there and the discussions of which the government of

the Territory has been the subject. We perceive that controversy concerning

its future domestic institutions was inevitable; that no human prudence, no

form of legislation, no wisdom on the part of Congress, could have

prevented it.

It is idle to suppose that the particular provisions of their organic law

were the cause of agitation. Those provisions were but the occasion, or the

pretext, of an agitation which was inherent in the nature of things.

Congress legislated upon the subject in such terms as were most consonant

with the principle of popular sovereignty which underlies our Government.

It could not have legislated otherwise without doing violence to another

great principle of our institutions--the imprescriptible right of equality

of the several States.

We perceive also that sectional interests and party passions have been the

great impediment to the salutary operation of the organic principles

adopted and the chief cause of the successive disturbances in Kansas. The

assumption that because in the organization of the Territories of Nebraska

and Kansas Congress abstained from imposing restraints upon them to which

certain other Territories had been subject, therefore disorders occurred in

the latter Territory, is emphatically contradicted by the fact that none

have occurred in the former. Those disorders were not the consequence, in

Kansas, of the freedom of self-government conceded to that Territory by

Congress, but of unjust interference on the part of persons not inhabitants

of the Territory. Such interference, wherever it has exhibited itself by

acts of insurrectionary character or of obstruction to process of law, has

been repelled or suppressed by all the means which the Constitution and the

laws place in the hands of the Executive.

In those parts of the United States where, by reason of the inflamed state

of the public mind, false rumors and misrepresentations have the greatest

currency it has been assumed that it was the duty of the Executive not only

to suppress insurrectionary movements in Kansas, but also to see to the

regularity of local elections. It needs little argument to show that the

President has no such power. All government in the United States rests

substantially upon popular election. The freedom of elections is liable to

be impaired by the intrusion of unlawful votes or the exclusion of lawful

ones, by improper influences, by violence, or by fraud. But the people of

the United States are themselves the all sufficient guardians of their own

rights, and to suppose that they will not remedy in due season any such

incidents of civil freedom is to suppose them to have ceased to be capable

of self-government. The President of the United States has not power to

interpose in elections, to see to their freedom, to canvass their votes, or

to pass upon their legality in the Territories any more than in the States.

If he had such power the Government might be republican in form, but it

would be a monarchy in fact; and if he had undertaken to exercise it in the

case of Kansas he would have been justly subject to the charge of

usurpation and of violation of the dearest rights of the people of the

United States.

Unwise laws, equally with irregularities at elections, are in periods of

great excitement the occasional incidents of even the freest and best

political institutions; but all experience demonstrates that in a country

like ours, where the right of self-constitution exists in the completest

form, the attempt to remedy unwise legislation by resort to revolution is

totally out of place, inasmuch as existing legal institutions afford more

prompt and efficacious means for the redress of wrong.

I confidently trust that now, when the peaceful condition of Kansas affords

opportunity for calm reflection and wise legislation, either the

legislative assembly of the Territory or Congress will see that no act

shall remain on its statute book violative of the provisions of the

Constitution or subversive of the great objects for which that was ordained

and established, and will take all other necessary steps to assure to its

inhabitants the enjoyment, without obstruction or abridgment, of all the

constitutional rights, privileges, and immunities of citizens of the United

States, as contemplated by the organic law of the Territory.

Full information in relation to recent events in this Territory will be

found in the documents communicated herewith from the Departments of State

and War.

I refer you to the report of the Secretary of the Treasury for particular

information concerning the financial condition of the Government and the

various branches of the public service connected with the Treasury

Department.

During the last fiscal year the receipts from customs were for the first

time more than $64,000,000, and from all sources $73,918,141, which, with

the balance on hand up to the 1st of July, 1855, made the total resources

of the year amount to $92,850,117. The expenditures, including $3,000,000

in execution of the treaty with Mexico and excluding sums paid on account

of the public debt, amounted to $60,172,401, and including the latter to

$72,948,792, the payment on this account having amounted to $12,776,390.

On the 4th of March, 1853, the amount of the public debt was $69,129,937.

There was a subsequent increase of $2,750,000 for the debt of Texas, making

a total of $71,879,937. Of this the sum of $45,525,319, including premium,

has been discharged, reducing the debt to $30,963,909, all which might be

paid within a year without embarrassing the public service, but being not

yet due and only redeemable at the option of the holder, can not be pressed

to payment by the Government.

On examining the expenditures of the last five years it will be seen that

the average, deducting payments on account of the public debt and

$10,000,000 paid by treaty to Mexico, has been but about $48,000,000. It is

believed that under an economical administration of the Government the

average expenditure for the ensuing five years will not exceed that sum,

unless extraordinary occasion for its increase should occur. The acts

granting bounty lands will soon have been executed, while the extension of

our frontier settlements will cause a continued demand for lands and

augmented receipts, probably, from that source. These considerations will

justify a reduction of the revenue from customs so as not to exceed

forty-eight or fifty million dollars. I think the exigency for such

reduction is imperative, and again urge it upon the consideration of

Congress.

The amount of reduction, as well as the manner of effecting it, are

questions of great and general interest, it being essential to industrial

enterprise and the public prosperity, as well as the dictate of obvious

justice, that the burden of taxation be made to rest as equally as possible

upon all classes and all sections and interests of the country.

I have heretofore recommended to your consideration the revision of the

revenue laws, prepared under the direction of the Secretary of the

Treasury, and also legislation upon some special questions affecting the

business of that Department, more especially the enactment of a law to

punish the abstraction of official books or papers from the files of the

Government and requiring all such books and papers and all other public

property to be turned over by the outgoing officer to his successor; of a

law requiring disbursing officers to deposit all public money in the vaults

of the Treasury or in other legal depositories, where the same are

conveniently accessible, and a law to extend existing penal provisions to

all persons who may become possessed of public money by deposit or

otherwise and who shall refuse or neglect on due demand to pay the same

into the Treasury. I invite your attention anew to each of these objects.

The Army during the past year has been so constantly employed against

hostile Indians in various quarters that it can scarcely be said, with

propriety of language, to have been a peace establishment. Its duties have

been satisfactorily performed, and we have reason to expect as a result of

the year's operations greater security to the frontier inhabitants than has

been hitherto enjoyed. Extensive combinations among the hostile Indians of

the Territories of Washington and Oregon at one time threatened the

devastation of the newly formed settlements of that remote portion of the

country. From recent information we are permitted to hope that the

energetic and successful operations conducted there will prevent such

combinations in future and secure to those Territories an opportunity to

make steady progress in the development of their agricultural and mineral

resources.

Legislation has been recommended by me on previous occasions to cure

defects in the existing organization and to increase the efficiency of the

Army, and further observation has but served to confirm me in the views

then expressed and to enforce on my mind the conviction that such measures

are not only proper, but necessary.

I have, in addition, to invite the attention of Congress to a change of

policy in the distribution of troops and to the necessity of providing a

more rapid increase of the military armament. For details of these and

other subjects relating to the Army I refer to the report of the Secretary

of War.

The condition of the Navy is not merely satisfactory, but exhibits the most

gratifying evidences of increased vigor. As it is comparatively small, it

is more important that it should be as complete as possible in all the

elements of strength; that it should be efficient in the character of its

officers, in the zeal and discipline of its men, in the reliability of its

ordnance, and in the capacity of its ships. In all these various qualities

the Navy has made great progress within the last few years. The execution

of the law of Congress of February 28, 1855, "to promote the efficiency of

the Navy," has been attended by the most advantageous results. The law for

promoting discipline among the men is found convenient and salutary. The

system of granting an honorable discharge to faithful seamen on the

expiration of the period of their enlistment and permitting them to

reenlist after a leave of absence of a few months without cessation of pay

is highly beneficial in its influence. The apprentice system recently

adopted is evidently destined to incorporate into the service a large

number of our countrymen, hitherto so difficult to procure. Several hundred

American boys are now on a three years' cruise in our national vessels and

will return well-trained seamen. In the Ordnance Department there is a

decided and gratifying indication of progress, creditable to it and to the

country. The suggestions of the Secretary of the Navy in regard to further

improvement in that branch of the service I commend to your favorable

action. The new frigates ordered by Congress are now afloat and two of them

in active service. They are superior models of naval architecture, and with

their formidable battery add largely to public strength and security. I

concur in the views expressed by the Secretary of the Department in favor

of a still further increase of our naval force.

The report of the Secretary of the Interior presents facts and views in

relation to internal affairs over which the supervision of his Department

extends of much interest and importance.

The aggregate sales of the public lands during the last fiscal year amount

to 9,227,878 acres, for which has been received the sum of $8,821,414.

During the same period there have been located with military scrip and land

warrants and for other purposes 30,100,230 acres, thus making a total

aggregate of 39,328,108 acres. On the 30th of September last surveys had

been made of 16,873,699 acres, a large proportion of which is ready for

market.

The suggestions in this report in regard to the complication and

progressive expansion of the business of the different bureaus of the

Department, to the pension system, to the colonization of Indian tribes,

and the recommendations in relation to various improvements in the District

of Columbia are especially commended to your consideration.

The report of the Postmaster-General presents fully the condition of that

Department of the Government. Its expenditures for the last fiscal year

were $10,407,868 and its gross receipts $7,620,801, making an excess of

expenditure over receipts of $2,787,046. The deficiency of this Department

is thus $744,000 greater than for the year ending June 30, 1853. Of this

deficiency $330,000 is to be attributed to the additional compensation

allowed to postmasters by the act of Congress of June 22, 1854. The mail

facilities in every part of the country have been very much increased in

that period, and the large addition of railroad service, amounting to 7,908

miles, has added largely to the cost of transportation.

The inconsiderable augmentation of the income of the Post-Office Department

under the reduced rates of postage and its increasing expenditures must for

the present make it dependent to some extent upon the Treasury for support.

The recommendations of the Postmaster-General in relation to the abolition

of the franking privilege and his views on the establishment of mail

steamship lines deserve the consideration of Congress. I also call the

special attention of Congress to the statement of the Postmaster-General

respecting the sums now paid for the transportation of mails to the Panama

Railroad Company, and commend to their early and favorable consideration

the suggestions of that officer in relation to new contracts for mail

transportation upon that route, and also upon the Tehuantepec and Nicaragua

routes.

The United States continue in the enjoyment of amicable relations with all

foreign powers.

When my last annual message was transmitted to Congress two subjects of

controversy, one relating to the enlistment of soldiers in this country for

foreign service and the other to Central America, threatened to disturb the

good understanding between the United States and Great Britain. Of the

progress and termination of the former question you were informed at the

time, and the other is now in the way of satisfactory adjustment.

The object of the convention between the United States and Great Britain of

the 19th of April, 1850, was to secure for the benefit of all nations the

neutrality and the common use of any transit way or interoceanic

communication across the Isthmus of Panama which might be opened within the

limits of Central America. The pretensions subsequently asserted by Great

Britain to dominion or control over territories in or near two of the

routes, those of Nicaragua and Honduras, were deemed by the United States

not merely incompatible with the main object of the treaty, but opposed

even to its express stipulations. Occasion of controversy on this point has

been removed by an additional treaty, which our minister at London has

concluded, and which will be immediately submitted to the Senate for its

consideration. Should the proposed supplemental arrangement be concurred in

by all the parties to be affected by it, the objects contemplated by the

original convention will have been fully attained.

The treaty between the United States and Great Britain of the 5th of June,

1854, which went into effective operation in 1855, put an end to causes of

irritation between the two countries, by securing to the United States the

right of fishery on the coast of the British North American Provinces, with

advantages equal to those enjoyed by British subjects. Besides the signal

benefits of this treaty to a large class of our citizens engaged in a

pursuit connected to no inconsiderable degree with our national prosperity

and strength, it has had a favorable effect upon other interests in the

provision it made for reciprocal freedom of trade between the United States

and the British Provinces in America. The exports of domestic articles to

those Provinces during the last year amounted to more than $22,000,000,

exceeding those of the preceding year by nearly $7,000,000; and the imports

therefrom during the same period amounted to more than twenty-one million,

an increase of six million upon those of the previous year.

The improved condition of this branch of our commerce is mainly

attributable to the above-mentioned treaty.

Provision was made in the first article of that treaty for a commission to

designate the mouths of rivers to which the common right of fishery on the

coast of the United States and the British Provinces was not to extend.

This commission has been employed a part of two seasons, but without much

progress in accomplishing the object for which it was instituted, in

consequence of a serious difference of opinion between the commissioners,

not only as to the precise point where the rivers terminate, but in many

instances as to what constitutes a river. These difficulties, however, may

be overcome by resort to the umpirage provided for by the treaty.

The efforts perseveringly prosecuted since the commencement of my

Administration to relieve our trade to the Baltic from the exaction of

Sound dues by Denmark have not yet been attended with success. Other

governments have also sought to obtain a like relief to their commerce, and

Denmark was thus induced to propose an arrangement to all the European

powers interested in the subject, and the manner in which her proposition

was received warranting her to believe that a satisfactory arrangement with

them could soon be concluded, she made a strong appeal to this Government

for temporary suspension of definite action on its part, in consideration

of the embarrassment which might result to her European negotiations by an

immediate adjustment of the question with the United States. This request

has been acceded to upon the condition that the sums collected after the

16th of June last and until the 16th of June next from vessels and cargoes

belonging to our merchants are to be considered as paid under protest and

subject to future adjustment. There is reason to believe that an

arrangement between Denmark and the maritime powers of Europe on the

subject will be soon concluded, and that the pending negotiation with the

United States may then be resumed and terminated in a satisfactory manner.

With Spain no new difficulties have arisen, nor has much progress been made

in the adjustment of pending ones.

Negotiations entered into for the purpose of relieving our commercial

intercourse with the island of Cuba of some of its burdens and providing

for the more speedy settlement of local disputes growing out of that

intercourse have not yet been attended with any results. Soon after the

commencement of the late war in Europe this Government submitted to the

consideration of all maritime nations two principles for the security of

neutral commerce--one that the neutral flag should cover enemies' goods,

except articles contraband of war, and the other that neutral property on

board merchant vessels of belligerents should be exempt from condemnation,

with the exception of contraband articles. These were not presented as new

rules of international law, having been generally claimed by neutrals,

though not always admitted by belligerents. One of the parties to the war

(Russia), as well as several neutral powers, promptly acceded to these

propositions, and the two other principal belligerents (Great Britain and

France) having consented to observe them for the present occasion, a

favorable opportunity seemed to be presented for obtaining a general

recognition of them, both in Europe and America. But Great Britain and

France, in common with most of the States of Europe, while forbearing to

reject, did not affirmatively act upon the overtures of the United States.

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