Year: 1879

The members of the Forty sixth Congress
have assembled in their first regular session
under circumstances calling for mutual con-
gTatulationS and grateful acknowledgment to
the Giver Of all good for the large and unusual
measure of national prosperity which we now
enjoy. The most interesting events which have
occurred in our public affairs since my last
annual message to Congress are connected with
the financial operations OF the government di-
rectly affecting the business interests of the
country. congratulate Congress on the sue
cessful execution of the resumption act At the
time fixed and in the manner contemplated by
law. United States notes began to be redeemed
in coin. Since the 1st of January last they have
been promptly redeemed on presentation, and
in all business transactions, public and private,
in all parts Of the country, they are received
and paid out as the equivalent Of coin. The
demand upon the Treasury for gold and silver
in exchange for United States notes has been
comparatively small, and the voluntary deposit
of coin and bullion in exchange for notes has
been very large. The excess of the precious
metals deposited or exchanged for United States
notes, over the amount of United States notes
redeemed, is about $40, ,000,0 ,000


RESUMPTION OF SPECIE PAYMENTS.


The resumption Of specie payments has been
With currency equivalent in value to the
money of the commercial world, we are enabled
to enter upon an equal competition with other
nations In trade and production. The increas-
ing foreign demand for our manufactures and
agricultural products has caused large balance
OF trade In our favor, which has been paid in
gOlQ from UQ6 ISL OIL July laSU 10 November 15Gn
to the amount of about s59,OO0,00O Since the
resumption of specie payments there has also
been marked and gratifying improvement of
the public credit The bonds of the government
bearing only per cent. interest, have been sold
at or above par, sufficient in amount to pay off
all of the national debt which was redeemable
under present laws. The amount of interest
saved annually by the process OF refunding the
debt since March l. 1871 is s14, III. The bonds
sold were largely in small sums and the num-
ber of our citizens now holding the public Sc
H11f~fi fi0C ic talsf hon haf0r


The amount OF the national debt which ma
lures within less than two years is s792 121 700.
OF which $500 900 600 bear interest at The rate Of
5 per cent, and the balance is In bonds bearing
per cent. interest. 1t is believed that this part
of the public debt can be refunded by the issue
of per cent bonds, and by the reduction OF in
0,CNO can be annually saved to the Treasury.
To secure this important reduction of interest to
be paid by the United States further legislation
is required, which, it is hoped, will be provided
by Congress during its present session.


The coinage of gold by the mints of the United
States during the last fiscal year was $40 9S6912
The coinage OF silver dollars since the passage
of the act for that purpose, up to November l,
1SI9 was s45. $50, OF which Sl2, T00,34 have
been issued from the Treasury and are now In
circulation, and s3230O, 506 are still in the posses
sion of the government. The pendency of the
proposition for unity OF action between the
United States and the principal commercial ma
tions OF Europe to effect a permanent system
for the equality of gold and silver in the recOg-
niZed money OF the world, leads me to recon-
mend that Congress refrain from new legislation
on the general subject. The great revival of
trade, internal and foreign, vii supply, during
the coming year, its own instructions, which
may well he awaited before attempting further
experimental measures with the coinage. l
the Importance Of authorizing the Secretary of
the Treasury to suspend the coinage OF silver
dollars upon the present legal ratio. The mar
and largely less than the market value of the
gold dollar it is obviously impracticable to
maintain them at par with each other If both
are coined without limit. If the cheaper coin is
forced into circulation it WILL if coined without
limit soon become the sole standard of value,
and thus defeat the desired object which is
Of equivalent value, dollar for dollar, with the
universally recognized money of the world.
The retirement from circulation OF United
States notes, with the capacity of legal tender
our progress toward a safe and stable cur
rency: which should be accepted as the policy
and security OF the people. 1t is my firm con-
viction that the issue Of legal-tender paper
money. based wholly upon the authority and
credit OF the government, except in extreme
emergency, is without warrant in the Constitu-
ton, and violation of sound financial princi-
piles. Tie issue OF United States notes during
tender between private individuals, was not
authorized except as means of rescuing the
country from imminent peril. The circulation
period OF time after the accomplishment Of this
purpose was not contemplated by the trainers of
the law under which they were issued. They
anticipated the redemption and withdrawal of
these notes at the earliest practical period, con-
sistent with the attainment of the object for
which they We're provided, The policy OF the
United States, steadily adhered to from the
| adoption Of the Constitution, has been to avoid
| the creation OF national debt, and when, from
necessity, in the time of war, debts have been
Of peace as rapidly as possible. With this view,
and for this purpose, 1t is recommended that the
existing laws for the accumulation of sinking
fund sufficient to eXtinguish the pubic debt
within a limited period be .maintained II any
change OF the objects or rates of taxation is
deemed necessary by Congress, it is suggested
that experience has shown that duty can be
placed on tea or coffee, which will not enhance
the price OF those articles to the consumer, and
which will add several millions of dollars an
nually to the Treasury.


THE SUPPRESSION OF POLYGAMY.


The continued deliberate violation by large
number of the prominent and influential cti-
Zens OF the Territory of Utah of the laws OF the
United States for the prosecution and punish
ment of polygamy, demands the attention of
every department of the government. This
territory has population sufficient to entitle it
ests of the nation. as well as the welfare OF the
citizens Of the territory, require its advance
from the territorial form OF government to the
responsibilities and privileges of a state. This
proved by the country while the citizens OF
Utah, in very considerable number, uphold
pIdCtlCe WHICH Is cOuuelIlQeQ as u crime Dy UN6
laws of all civilized communities throughout the
world. The law for the suppression of this
OfenSe was enacted with great unanimity by
Congress more than II years ago, but has re-
NAMED until recently a dead letter in the
Territory Of Utah, because of the peculiar
difficulties attending its enforcement The
opinion widely prevailed among the citizens OF
Utah that the law was in contraventfon of the
constitutional guarantee Of religious freedom.
This objection is now removed. The Supreme
Court of the United States has decided the law
to be within the legislative power OF Congress,
and binding as rule of action, for all who
reside within the territories. There is no longer
any reason for delay or hesitation in its en-
forcement 1t should be firmly and effectively
executed II not sufficiently stringent in its
provisions, it should be amended and In aid OF
the purpose in view, recommend that more
comprehensive and more searching methods for
preventing. as well as Furnishing, this crime be
PROVIDED. II necessary to secure obedience to
the law, the enjoyment and exercise OF the
rights and privileges OF citizenship in the terri
tories OF the United States may be withheld OF
withdrawn from those who violate or oppose
the enforcement OF the law on this subject.


FREEDOM In THE EXERCISE OF THE ELECTIVE


FRANCHISE.


The elections OF the past year, though occu-
pied only with state Offices have not failed to
elicit, in the political discussions which at
tended them all over the country, new and de-
cfsive evidence Of the deep interest which the
great body OF citizens take in the progress of the
fNVyf f<rxrn rn~r1r