Fellow-Citizens of the Senate and of the House of Representatives:

Being suddenly called in the midst of the last session of Congress by a
painful dispensation of Divine Providence to the responsible station which
I now hold, I contented myself with such communications to the Legislature
as the exigency of the moment seemed to require. The country was shrouded
in mourning for the loss of its venerable Chief Magistrate and all hearts
were penetrated with grief. Neither the time nor the occasion appeared to
require or to justify on my part any general expression of political
opinions or any announcement of the principles which would govern me in the
discharge of the duties to the performance of which I had been so
unexpectedly called. I trust, therefore, that it may not be deemed
inappropriate if I avail myself of this opportunity of the reassembling of
Congress to make known my sentiments in a general manner in regard to the
policy which ought to be pursued by the Government both in its intercourse
with foreign nations and its management and administration of internal
affairs.

Nations, like individuals in a state of nature, are equal and independent,
possessing certain rights and owing certain duties to each other, arising
from their necessary and unavoidable relations; which rights and duties
there is no common human authority to protect and enforce. Still, they are
rights and duties, binding in morals, in conscience, and in honor, although
there is no tribunal to which an injured party can appeal but the
disinterested judgment of mankind, and ultimately the arbitrament of the
sword.

Among the acknowledged rights of nations is that which each possesses of
establishing that form of government which it may deem most conducive to
the happiness and prosperity of its own citizens, of changing that form as
circumstances may require, and of managing its internal affairs according
to its own will. The people of the United States claim this right for
themselves, and they readily concede it to others. Hence it becomes an
imperative duty not to interfere in the government or internal policy of
other nations; and although we may sympathize with the unfortunate or the
oppressed everywhere in their struggles for freedom, our principles forbid
us from taking any part in such foreign contests. We make no wars to
promote or to prevent successions to thrones, to maintain any theory of a
balance of power, or to suppress the actual government which any country
chooses to establish for itself. We instigate no revolutions, nor suffer
any hostile military expeditions to be fitted out in the United States to
invade the territory or provinces of a friendly nation. The great law of
morality ought to have a national as well as a personal and individual
application. We should act toward other nations as we wish them to act
toward us, and justice and conscience should form the rule of conduct
between governments, instead of mere power, self interest, or the desire of
aggrandizement. To maintain a strict neutrality in foreign wars, to
cultivate friendly relations, to reciprocate every noble and generous act,
and to perform punctually and scrupulously every treaty obligation--these
are the duties which we owe to other states, and by the performance of
which we best entitle ourselves to like treatment from them; or, if that,
in any case, be refused, we can enforce our own rights with justice and a
clear conscience.

In our domestic policy the Constitution will be my guide, and in questions
of doubt I shall look for its interpretation to the judicial decisions of
that tribunal which was established to expound it and to the usage of the
Government, sanctioned by the acquiescence of the country. I regard all its
provisions as equally binding. In all its parts it is the will of the
people expressed in the most solemn form, and the constituted authorities
are but agents to carry that will into effect. Every power which it has
granted is to be exercised for the public good; but no pretense of utility,
no honest conviction, even, of what might be expedient, can justify the
assumption of any power not granted. The powers conferred upon the
Government and their distribution to the several departments are as clearly
expressed in that sacred instrument as the imperfection of human language
will allow, and I deem it my first duty not to question its wisdom, add to
its provisions, evade its requirements, or nullify its commands.

Upon you, fellow-citizens, as the representatives of the States and the
people, is wisely devolved the legislative power. I shall comply with my
duty in laying before you from time to time any information calculated to
enable you to discharge your high and responsible trust for the benefit of
our common constituents.

My opinions will be frankly expressed upon the leading subjects of
legislation; and if--which I do not anticipate--any act should pass the two
Houses of Congress which should appear to me unconstitutional, or an
encroachment on the just powers of other departments, or with provisions
hastily adopted and likely to produce consequences injurious and
unforeseen, I should not shrink from the duty of returning it to you, with
my reasons, for your further consideration. Beyond the due performance of
these constitutional obligations, both my respect for the Legislature and
my sense of propriety will restrain me from any attempt to control or
influence your proceedings. With you is the power, the honor, and the
responsibility of the legislation of the country.

The Government of the United States is a limited Government. It is confined
to the exercise of powers expressly granted and such others as may be
necessary for carrying those powers into effect; and it is at all times an
especial duty to guard against any infringement on the just rights of the
States. Over the objects and subjects intrusted to Congress its legislative
authority is supreme. But here that authority ceases, and every citizen who
truly loves the Constitution and desires the continuance of its existence
and its blessings will resolutely and firmly resist any interference in
those domestic affairs which the Constitution has dearly and unequivocally
left to the exclusive authority of the States. And every such citizen will
also deprecate useless irritation among the several members of the Union
and all reproach and crimination tending to alienate one portion of the
country from another. The beauty of our system of government consists, and
its safety and durability must consist, in avoiding mutual collisions and
encroachments and in the regular separate action of all, while each is
revolving in its own distinct orbit.

The Constitution has made it the duty of the President to take care that
the laws be faithfully executed. In a government like ours, in which all
laws are passed by a majority of the representatives of the people, and
these representatives are chosen for such short periods that any injurious
or obnoxious law can very soon be repealed, it would appear unlikely that
any great numbers should be found ready to resist the execution of the
laws. But it must be borne in mind that the country is extensive; that
there may be local interests or prejudices rendering a law odious in one
part which is not so in another, and that the thoughtless and
inconsiderate, misled by their passions or their imaginations, may be
induced madly to resist such laws as they disapprove. Such persons should
recollect that without law there can be no real practical liberty; that
when law is trampled under foot tyranny rules, whether it appears in the
form of a military despotism or of popular violence. The law is the only
sure protection of the weak and the only efficient restraint upon the
strong. When impartially and faithfully administered, none is beneath its
protection and none above its control. You, gentlemen, and the country may
be assured that to the utmost of my ability and to the extent of the power
vested in me I shall at all times and in all places take care that the laws
be faithfully executed. In the discharge of this duty, solemnly imposed
upon me by the Constitution and by my oath of office, I shall shrink from
no responsibility, and shall endeavor to meet events as they may arise with
firmness, as well as with prudence and discretion.

The appointing power is one of the most delicate with which the Executive
is invested. I regard it as a sacred trust, to be exercised with the sole
view of advancing the prosperity and happiness of the people. It shall be
my effort to elevate the standard of official employment by selecting for
places of importance individuals fitted for the posts to which they are
assigned by their known integrity, talents, and virtues. In so extensive a
country, with so great a population, and where few persons appointed to
office can be known to the appointing power, mistakes will sometimes
unavoidably happen and unfortunate appointments be made notwithstanding the
greatest care. In such cases the power of removal may be properly
exercised; and neglect of duty or malfeasance in office will be no more
tolerated in individuals appointed by myself than in those appointed by
others. I am happy in being able to say that no unfavorable change in our
foreign relations has taken place since the message at the opening of the
last session of Congress. We are at peace with all nations and we enjoy in
an eminent degree the blessings of that peace in a prosperous and growing
commerce and in all the forms of amicable national intercourse. The
unexampled growth of the country, the present amount of its population, and
its ample means of self-protection assure for it the respect of all
nations, while it is trusted that its character for justice and a regard to
the rights of other States will cause that respect to be readily and
cheerfully paid.

A convention was negotiated between the United States and Great Britain in
April last for facilitating and protecting the construction of a ship canal
between the Atlantic and Pacific oceans and for other purposes. The
instrument has since been ratified by the contracting parties, the exchange
of ratifications has been effected, and proclamation thereof has been duly
made.

In addition to the stipulations contained in this convention, two other
objects remain to be accomplished between the contracting powers: First.
The designation and establishment of a free port at each end of the canal.

Second. An agreement fixing the distance from the shore within which
belligerent maritime operations shall not be carried on. On these points
there is little doubt that the two Governments will come to an
understanding.

The company of citizens of the United States who have acquired from the
State of Nicaragua the privilege of constructing a ship canal between the
two oceans through the territory of that State have made progress in their
preliminary arrangements. The treaty between the United States and Great
Britain of the 19th of April last, above referred to, being now in
operation, it is to be hoped that the guaranties which it offers will be
sufficient to secure the completion of the work with all practicable
expedition. It is obvious that this result would be indefinitely postponed
if any other than peaceful measures for the purpose of harmonizing
conflicting claims to territory in that quarter should be adopted. It will
consequently be my endeavor to cause any further negotiations on the part
of this Government which may be requisite for this purpose to be so
conducted as to bring them to a speedy and successful close.

Some unavoidable delay has occurred, arising from distance and the
difficulty of intercourse between this Government and that of Nicaragua,
but as intelligence has just been received of the appointment of an envoy
extraordinary and minister plenipotentiary of that Government to reside at
Washington, whose arrival may soon be expected, it is hoped that no further
impediments will be experienced in the prompt transaction of business
between the two Governments.

Citizens of the United States have undertaken the connection of the two
oceans by means of a railroad across the Isthmus of Tehuantepec, under
grants of the Mexican Government to a citizen of that Republic. It is
understood that a thorough survey of the course of the communication is in
preparation, and there is every reason to expect that it will be prosecuted
with characteristic energy, especially when that Government shall have
consented to such stipulations with the Government of the United States as
may be necessary to impart a feeling of security to those who may embark
their property in the enterprise. Negotiations are pending for the
accomplishment of that object, and a hope is confidently entertained that
when the Government of Mexico shall become duly sensible of the advantages
which that country can not fail to derive from the work, and learn that the
Government of the United States desires that the right of sovereignty of
Mexico in the Isthmus shall remain unimpaired, the stipulations referred to
will be agreed to with alacrity.

By the last advices from Mexico it would appear, however, that that
Government entertains strong objections to some of the stipulations which
the parties concerned in the project of the railroad deem necessary for
their protection and security. Further consideration, it is to be hoped, or
some modification of terms, may yet reconcile the differences existing
between the two Governments in this respect.

Fresh instructions have recently been given to the minister of the United
States in Mexico, who is prosecuting the subject with promptitude and
ability.

Although the negotiations with Portugal for the payment of claims of
citizens of the United States against that Government have not yet resulted
in a formal treaty, yet a proposition, made by the Government of Portugal
for the final adjustment and payment of those claims, has recently been
accepted on the part of the United States. It gives me pleasure to say that
Mr. Clay, to whom the negotiation on the part of the United States had been
intrusted, discharged the duties of his appointment with ability and
discretion, acting always within the instructions of his Government.

It is expected that a regular convention will be immediately negotiated for
carrying the agreement between the two Governments into effect. The
commissioner appointed under the act of Congress for carrying into effect
the convention with Brazil of the 27th of January, 1849, has entered upon
the performance of the duties imposed upon him by that act. It is hoped
that those duties may be completed within the time which it prescribes. The
documents, however, which the Imperial Government, by the third article of
the convention, stipulates to furnish to the Government of the United
States have not yet been received. As it is presumed that those documents
will be essential for the correct disposition of the claims, it may become
necessary for Congress to extend the period limited for the duration of the
commission. The sum stipulated by the fourth article of the convention to
be paid to this Government has been received.

The collection in the ports of the United States of discriminating duties
upon the vessels of Chili and their cargoes has been suspended, pursuant to
the provisions of the act of Congress of the 24th of May, 1828. It is to be
hoped that this measure will impart a fresh impulse to the commerce between
the two countries, which of late, and especially since our acquisition of
California, has, to the mutual advantage of the parties, been much
augmented.

Peruvian guano has become so desirable an article to the agricultural
interest of the United States that it is the duty of the Government to
employ all the means properly in its power for the purpose of causing that
article to be imported into the country at a reasonable price. Nothing will
be omitted on my part toward accomplishing this desirable end. I am
persuaded that in removing any restraints on this traffic the Peruvian
Government will promote its own best interests, while it will afford a
proof of a friendly disposition toward this country, which will be duly
appreciated.

The treaty between the United States and His Majesty the King of the
Hawaiian Islands, which has recently been made public, will, it is
believed, have a beneficial effect upon the relations between the two
countries.

The relations between those parts of the island of St. Domingo which were
formerly colonies of Spain and France, respectively, are still in an
unsettled condition. The proximity of that island to the United States and
the delicate questions involved in the existing controversy there render it
desirable that it should be permanently and speedily adjusted. The
interests of humanity and of general commerce also demand this; and as
intimations of the same sentiment have been received from other
governments, it is hoped that some plan may soon be devised to effect the
object in a manner likely to give general satisfaction. The Government of
the United States will not fail, by the exercise of all proper friendly
offices, to do all in its power to put an end to the destructive war which
has raged between the different parts of the island and to secure to them
both the benefits of peace and commerce.

I refer you to the report of the Secretary of the Treasury for a detailed
statement of the finances.

The total receipts into the Treasury for the year ending 30th of June last
were $47,421,748.90. The total expenditures during the same period were
$43,002,168.90. The public debt has been reduced since the last annual
report from the Treasury Department $495,276.79.

By the nineteenth section of the act of 28th January, 1847, the proceeds of
the sales of the public lands were pledged for the interest and principal
of the public debt. The great amount of those lands subsequently granted by
Congress for military bounties will, it is believed, very nearly supply the
public demand for several years to come, and but little reliance can,
therefore, be placed on that hitherto fruitful source of revenue. Aside
from the permanent annual expenditures, which have necessarily largely
increased, a portion of the public debt, amounting to $8,075,986.59, must
be provided for within the next two fiscal years. It is most desirable that
these accruing demands should be met without resorting to new loans.

All experience has demonstrated the wisdom and policy of raising a large
portion of revenue for the support of Government from duties on goods
imported. The power to lay these duties is unquestionable, and its chief
object, of course, is to replenish the Treasury. But if in doing this an
incidental advantage may be gained by encouraging the industry of our own
citizens, it is our duty to avail ourselves of that advantage.

A duty laid upon an article which can not be produced in this country, such
as tea or coffee, adds to the cost of the article, and is chiefly or wholly
paid by the consumer. But a duty laid upon an article which may be produced
here stimulates the skill and industry of our own country to produce the
same article, which is brought into the market in competition with the
foreign article, and the importer is thus compelled to reduce his price to
that at which the domestic article can be sold, thereby throwing a part of
the duty upon the producer of the foreign article. The continuance of this
process creates the skill and invites the capital which finally enable us
to produce the article much cheaper than it could have been procured from
abroad, thereby benefiting both the producer and the consumer at home. The
consequence of this is that the artisan and the agriculturist are brought
together, each affords a ready market for the produce of the other, the
whole country becomes prosperous, and the ability to produce every
necessary of life renders us independent in war as well as in peace.

A high tariff can never be permanent. It will cause dissatisfaction, and
will be changed. It excludes competition, and thereby invites the
investment of capital in manufactures to such excess that when changed it
brings distress, bankruptcy, and ruin upon all who have been misled by its
faithless protection. What the manufacturer wants is uniformity and
permanency, that he may feel a confidence that he is not to be ruined by
sudden exchanges. But to make a tariff uniform and permanent it is not only
necessary that the laws should not be altered, but that the duty should not
fluctuate. To effect this all duties should be specific wherever the nature
of the article is such as to admit of it. Ad valorem duties fluctuate with
the price and offer strong temptations to fraud and perjury. Specific
duties, on the contrary, are equal and uniform in all ports and at all
times, and offer a strong inducement to the importer to bring the best
article, as he pays no more duty upon that than upon one of inferior
quality. I therefore strongly recommend a modification of the present
tariff, which has prostrated some of our most important and necessary
manufactures, and that specific duties be imposed sufficient to raise the
requisite revenue, making such discriminations in favor of the industrial
pursuits of our own country as to encourage home production without
excluding foreign competition. It is also important that an unfortunate
provision in the present tariff, which imposes a much higher duty upon the
raw material that enters into our manufactures than upon the manufactured
article, should be remedied.

The papers accompanying the report of the Secretary of the Treasury will
disclose frauds attempted upon the revenue, in variety and amount so great
as to justify the conclusion that it is impossible under any system of ad
valorem duties levied upon the foreign cost or value of the article to
secure an honest observance and an effectual administration of the laws.
The fraudulent devices to evade the law which have been detected by the
vigilance of the appraisers leave no room to doubt that similar impositions
not discovered, to a large amount, have been successfully practiced since
the enactment of the law now in force. This state of things has already had
a prejudicial influence upon those engaged in foreign commerce. It has a
tendency to drive the honest trader from the business of importing and to
throw that important branch of employment into the hands of unscrupulous
and dishonest men, who are alike regardless of law and the obligations of
an oath. By these means the plain intentions of Congress, as expressed in
the law, are daily defeated. Every motive of policy and duty, therefore,
impels me to ask the earnest attention of Congress to this subject. If
Congress should deem it unwise to attempt any important changes in the
system of levying duties at this session, it will become indispensable to
the protection of the revenue that such remedies as in the judgment of
Congress may mitigate the evils complained of should be at once applied.

As before stated, specific duties would, in my opinion, afford the most
perfect remedy for this evil; but if you should not concur in this view,
then, as a partial remedy, I beg leave respectfully to recommend that
instead of taking the invoice of the article abroad as a means of
determining its value here, the correctness of which invoice it is in many
cases impossible to verify, the law be so changed as to require a home
valuation or appraisal, to be regulated in such manner as to give, as far
as practicable, uniformity in the several ports.

There being no mint in California, I am informed that the laborers in the
mines are compelled to dispose of their gold dust at a large discount. This
appears to me to be a heavy and unjust tax upon the labor of those employed
in extracting this precious metal, and I doubt not you will be disposed at
the earliest period possible to relieve them from it by the establishment
of a mint. In the meantime, as an assayer's office is established there, I
would respectfully submit for your consideration the propriety of
authorizing gold bullion which has been assayed and stamped to be received
in payment of Government dues. I can not conceive that the Treasury would
suffer any loss by such a provision, which will at once raise bullion to
its par value, and thereby save (if I am rightly informed) many millions of
dollars to the laborers which are now paid in brokerage to convert this
precious metal into available funds. This discount upon their hard earnings
is a heavy tax, and every effort should be made by the Government to
relieve them from so great a burden.

More than three-fourths of our population are engaged in the cultivation of
the soil. The commercial, manufacturing, and navigating interests are all
to a great extent dependent on the agricultural. It is therefore the most
important interest of the nation, and has a just claim to the fostering
care and protection of the Government so far as they can be extended
consistently with the provisions of the Constitution. As this can not be
done by the ordinary modes of legislation, I respectfully recommend the
establishment of an agricultural bureau, to be charged with the duty of
giving to this leading branch of American industry the encouragement which
it so well deserves. In view of the immense mineral resources of our
country, provision should also be made for the employment of a competent
mineralogist and chemist, who should be required, under the direction of
the head of the bureau, to collect specimens of the various minerals of our
country and to ascertain by careful analysis their respective elements and
properties and their adaptation to useful purposes. He should also be
required to examine and report upon the qualities of different soils and
the manures best calculated to improve their productiveness. By publishing
the results of such experiments, with suitable explanations, and by the
collection and distribution of rare seeds and plants, with instructions as
to the best system of cultivation, much may be done to promote this great
national interest.

In compliance with the act of Congress passed on the 23d of May, 1850,
providing, among other things, for taking the Seventh Census, a
superintendent was appointed and all other measures adopted which were
deemed necessary to insure the prompt and faithful performance of that
duty. The appropriation already made will, it is believed, be sufficient to
defray the whole expense of the work, but further legislation may be
necessary in regard to the compensation of some of the marshals of the
Territories. It will also be proper to make provision by law at an early
day for the publication of such abstracts of the returns as the public
interests may require.

The unprecedented growth of our territories on the Pacific in wealth and
population and the consequent increase of their social and commercial
relations with the Atlantic States seem to render it the duty of the
Government to use all its constitutional power to improve the means of
intercourse with them. The importance of opening "a line of communication,
the best and most expeditious of which the nature of the country will
admit," between the Valley of the Mississippi and the Pacific was brought
to your notice by my predecessor in his annual message; and as the reasons
which he presented in favor of the measure still exist in full force, I beg
leave to call your attention to them and to repeat the recommendations then
made by him.

The uncertainty which exists in regard to the validity of land titles in
California is a subject which demands your early consideration. Large
bodies of land in that State are claimed under grants said to have been
made by authority of the Spanish and Mexican Governments. Many of these
have not been perfected, others have been revoked, and some are believed to
be fraudulent. But until they shall have been judicially investigated they
will continue to retard the settlement and improvement of the country. I
therefore respectfully recommend that provision be made by law for the
appointment of commissioners to examine all such claims with a view to
their final adjustment.

I also beg leave to call your attention to the propriety of extending at an
early day our system of land laws, with such modifications as may be
necessary, over the State of California and the Territories of Utah and New
Mexico. The mineral lands of California will, of course, form an exception
to any general system which may be adopted. Various methods of disposing of
them have been suggested. I was at first inclined to favor the system of
leasing, as it seemed to promise the largest revenue to the Government and
to afford the best security against monopolies; but further reflection and
our experience in leasing the lead mines and selling lands upon credit have
brought my mind to the conclusion that there would be great difficulty in
collecting the rents, and that the relation of debtor and creditor between
the citizens and the Government would be attended with many mischievous
consequences. I therefore recommend that instead of retaining the mineral
lands under the permanent control of the Government they be divided into
small parcels and sold, under such restrictions as to quantity and time as
will insure the best price and guard most effectually against combinations
of capitalists to obtain monopolies.

The annexation of Texas and the acquisition of California and New Mexico
have given increased importance to our Indian relations. The various tribes
brought under our jurisdiction by these enlargements of our boundaries are
estimated to embrace a population of 124,000. Texas and New Mexico are
surrounded by powerful tribes of Indians, who are a source of constant
terror and annoyance to the inhabitants. Separating into small predatory
bands, and always mounted, they overrun the country, devastating farms,
destroying crops, driving off whole herds of cattle, and occasionally
murdering the inhabitants or carrying them into captivity. The great roads
leading into the country are infested with them, whereby traveling is
rendered extremely dangerous and immigration is almost entirely arrested.
The Mexican frontier, which by the eleventh article of the treaty of
Guadalupe Hidalgo we are bound to protect against the Indians within our
border, is exposed to these incursions equally with our own. The military
force stationed in that country, although forming a large proportion of the
Army, is represented as entirely inadequate to our own protection and the
fulfillment of our treaty stipulations with Mexico. The principal
deficiency is in cavalry, and I recommend that Congress should, at as early
a period as practicable, provide for the raising of one or more regiments
of mounted men.

For further suggestions on this subject and others connected with our
domestic interests and the defense of our frontier, I refer you to the
reports of the Secretary of the Interior and of the Secretary of War.

I commend also to your favorable consideration the suggestion contained in
the last-mentioned report and in the letter of the General in Chief
relative to the establishment of an asylum for the relief of disabled and
destitute soldiers. This subject appeals so strongly to your sympathies
that it would be superfluous in me to say anything more than barely to
express my cordial approbation of the proposed object.

The Navy continues to give protection to our commerce and other national
interests in the different quarters of the globe, and, with the exception
of a single steamer on the Northern lakes, the vessels in commission are
distributed in six different squadrons.

The report of the head of that Department will exhibit the services of
these squadrons and of the several vessels employed in each during the past
year. It is a source of gratification that, while they have been constantly
prepared for any hostile emergency, they have everywhere met with the
respect and courtesy due as well to the dignity as to the peaceful
dispositions and just purposes of the nation.

The two brigantines accepted by the Government from a generous citizen of
New York and placed under the command of an officer of the Navy to proceed
to the Arctic Seas in quest of the British commander Sir John Franklin and
his companions, in compliance with the act of Congress approved in May
last, had when last heard from penetrated into a high northern latitude;
but the success of this noble and humane enterprise is yet uncertain.

I invite your attention to the view of our present naval establishment and
resources presented in the report of the Secretary of the Navy, and the
suggestions therein made for its improvement, together with the naval
policy recommended for the security of our Pacific Coast and the protection
and extension of our commerce with eastern Asia. Our facilities for a
larger participation in the trade of the East, by means of our recent
settlements on the shores of the Pacific, are too obvious to be overlooked
or disregarded.

The questions in relation to rank in the Army and Navy and relative rank
between officers of the two branches of the service, presented to the
Executive by certain resolutions of the House of Representatives at the
last session of Congress, have been submitted to a board of officers in
each branch of the service, and their report may be expected at an early
day.

I also earnestly recommend the enactment of a law authorizing officers of
the Army and Navy to be retired from the service when incompetent for its
vigorous and active duties, taking care to make suitable provision for
those who have faithfully served their country and awarding distinctions by
retaining in appropriate commands those who have been particularly
conspicuous for gallantry and good conduct. While the obligation of the
country to maintain and honor those who, to the exclusion of other
pursuits, have devoted themselves to its arduous service is acknowledged,
this obligation should not be permitted to interfere with the efficiency of
the service itself.

I am gratified in being able to state that the estimates of expenditure for
the Navy in the ensuing year are less by more than $1,000,000 than those of
the present, excepting the appropriation which may become necessary for the
construction of a dock on the coast of the Pacific, propositions for which
are now being considered and on which a special report may be expected
early in your present session.

There is an evident justness in the suggestion of the same report that
appropriations for the naval service proper should be separated from those
for fixed and permanent objects, such as building docks and navy yards and
the fixtures attached, and from the extraordinary objects under the care of
the Department which, however important, are not essentially naval.

A revision of the code for the government of the Navy seems to require the
immediate consideration of Congress. Its system of crimes and punishments
had undergone no change for half a century until the last session, though
its defects have been often and ably pointed out; and the abolition of a
particular species of corporal punishment, which then took place, without
providing any substitute, has left the service in a state of defectiveness
which calls for prompt correction. I therefore recommend that the whole
subject be revised without delay and such a system established for the
enforcement of discipline as shall be at once humane and effectual.

The accompanying report of the Postmaster-General presents a satisfactory
view of the operations and condition of that Department. At the close of
the last fiscal year the length of the inland mail routes in the United
States (not embracing the service in Oregon and California) was 178,672
miles, the annual transportation thereon 46,541,423 miles, and the annual
cost of such transportation $2,724,426. The increase of the annual
transportation over that of the preceding year was 3,997,354 miles and the
increase in cost was $342,440. The number of post-offices in the United
States on the 1st day of July last was 18,417, being an increase of 1,670
during the preceding year.

The gross revenues of the Department for the fiscal year ending June 30,
1850, amounted to $5,552,971.48, including the annual appropriation of
$200,000 for the franked matter of the Departments and excluding the
foreign postages collected for and payable to the British Government.

The expenditures for the same period were $5,212,953.43, leaving a balance
of revenue over expenditures of $340,018.05.

I am happy to find that the fiscal condition of the Department is such as
to justify the Postmaster-General in recommending the reduction of our
inland letter postage to 3 cents the single letter when prepaid and 5 cents
when not prepaid. He also recommends that the prepaid rate shall be reduced
to 2 cents whenever the revenues of the Department, after the reduction,
shall exceed its expenditures by more than 5 per cent for two consecutive
years; that the postage upon California and other letters sent by our ocean
steamers shall be much reduced, and that the rates of postage on
newspapers, pamphlets, periodicals, and other printed matter shall be
modified and some reduction thereon made.

It can not be doubted that the proposed reductions will for the present
diminish the revenues of the Department. It is believed that the
deficiency, after the surplus already accumulated shall be exhausted, may
be almost wholly met either by abolishing the existing privileges of
sending free matter through the mails or by paying out of the Treasury to
the Post-Office Department a sum equivalent to the postage of which it is
deprived by such privileges. The last is supposed to be the preferable
mode, and will, if not entirely, so nearly supply that deficiency as to
make any further appropriation that may be found necessary so
inconsiderable as to form no obstacle to the proposed reductions.

I entertain no doubt of the authority of Congress to make appropriations
for leading objects in that class of public works comprising what are
usually called works of internal improvement. This authority I suppose to
be derived chiefly from the power of regulating commerce with foreign
nations and among the States and the power of laying and collecting
imposts. Where commerce is to be carried on and imposts collected there
must be ports and harbors as well as wharves and custom-houses. If ships
laden with valuable cargoes approach the shore or sail along the coast,
light-houses are necessary at suitable points for the protection of life
and property. Other facilities and securities for commerce and navigation
are hardly less important; and those clauses of the Constitution,
therefore, to which I have referred have received from the origin of the
Government a liberal and beneficial construction. Not only have
light-houses, buoys, and beacons been established and floating lights
maintained, but harbors have been cleared and improved, piers constructed,
and even breakwaters for the safety of shipping and sea walls to protect
harbors from being filled up and rendered useless by the action of the
ocean, have been erected at very great expense. And this construction of
the Constitution appears the more reasonable from the consideration that if
these works, of such evident importance and utility, are not to be
accomplished by Congress they can not be accomplished at all. By the
adoption of the Constitution the several States voluntarily parted with the
power of collecting duties of imposts in their own ports, and it is not to
be expected that they should raise money by internal taxation, direct or
indirect, for the benefit of that commerce the revenues derived from which
do not, either in whole or in part, go into their own treasuries. Nor do I
perceive any difference between the power of Congress to make
appropriations for objects of this kind on the ocean and the power to make
appropriations for similar objects on lakes and rivers, wherever they are
large enough to bear on their waters an extensive traffic. The magnificent
Mississippi and its tributaries and the vast lakes of the North and
Northwest appear to me to fall within the exercise of the power as justly
and as clearly as the ocean and the Gulf of Mexico. It is a mistake to
regard expenditures judiciously made for these objects as expenditures for
local purposes. The position or sight of the work is necessarily local, but
its utility is general. A ship canal around the Falls of St. Mary of less
than a mile in length, though local in its construction, would yet be
national in its purpose and its benefits, as it would remove the only
obstruction to a navigation of more than 1,000 miles, affecting several
States, as well as our commercial relations with Canada. So, too, the
breakwater at the mouth of the Delaware is erected, not for the exclusive
benefit of the States bordering on the bay and river of that name, but for
that of the whole coastwise navigation of the United States and, to a
considerable extent, also of foreign commerce. If a ship be lost on the bar
at the entrance of a Southern port for want of sufficient depth of water,
it is very likely to be a Northern ship; and if a steamboat be sunk in any
part of the Mississippi on account of its channel not having been properly
cleared of obstructions, it may be a boat belonging to either of eight or
ten States. I may add, as somewhat remarkable, that among all the
thirty-one States there is none that is not to a greater or less extent
bounded on the ocean, or the Gulf of Mexico, or one of the Great Lakes, or
some navigable river.

In fulfilling our constitutional duties, fellow-citizens, on this subject,
as in carrying into effect all other powers conferred by the Constitution,
we should consider ourselves as deliberating and acting for one and the
same country, and bear constantly in mind that our regard and our duty are
due not to a particular part only, but to the whole.

I therefore recommend that appropriations be made for completing such works
as have been already begun and for commencing such others as may seem to
the wisdom of Congress to be of public and general importance.

The difficulties and delays incident to the settlement of private claims by
Congress amount in many cases to a denial of justice. There is reason to
apprehend that many unfortunate creditors of the Government have thereby
been unavoidably ruined. Congress has so much business of a public
character that it is impossible it should give much attention to mere
private claims, and their accumulation is now so great that many claimants
must despair of ever being able to obtain a hearing. It may well be doubted
whether Congress, from the nature of its organization, is properly
constituted to decide upon such cases. It is impossible that each member
should examine the merits of every claim on which he is compelled to vote,
and it is preposterous to ask a judge to decide a case which he has never
heard. Such decisions may, and frequently must, do injustice either to the
claimant or the Government, and I perceive no better remedy for this
growing evil than the establishment of some tribunal to adjudicate upon
such claims. I beg leave, therefore, most respectfully to recommend that
provision be made by law for the appointment of a commission to settle all
private claims against the United States; and as an ex parte hearing must
in all contested cases be very unsatisfactory, I also recommend the
appointment of a solicitor, whose duty it shall be to represent the
Government before such commission and protect it against all illegal,
fraudulent, or unjust claims which may be presented for their adjudication.
This District, which has neither voice nor vote in your deliberations,
looks to you for protection and aid, and I commend all its wants to your
favorable consideration, with a full confidence that you will meet them not
only with justice, but with liberality. It should be borne in mind that in
this city, laid out by Washington and consecrated by his name, is located
the Capitol of our nation, the emblem of our Union and the symbol of our
greatness. Here also are situated all the public buildings necessary for
the use of the Government, and all these are exempt from taxation. It
should be the pride of Americans to render this place attractive to the
people of the whole Republic and convenient and safe for the transaction of
the public business and the preservation of the public records. The
Government should therefore bear a liberal proportion of the burdens of all
necessary and useful improvements. And as nothing could contribute more to
the health, comfort, and safety of the city and the security of the public
buildings and records than an abundant supply of pure water, I respectfully
recommend that you make such provisions for obtaining the same as in your
wisdom you may deem proper.

The act, passed at your last session, making certain propositions to Texas
for settling the disputed boundary between that State and the Territory of
New Mexico was, immediately on its passage, transmitted by express to the
governor of Texas, to be laid by him before the general assembly for its
agreement thereto. Its receipt was duly acknowledged, but no official
information has yet been received of the action of the general assembly
thereon. It may, however, be very soon expected, as, by the terms of the
propositions submitted they were to have been acted upon on or before the
first day of the present month.

It was hardly to have been expected that the series of measures passed at
your last session with the view of healing the sectional differences which
had sprung from the slavery and territorial questions should at once have
realized their beneficent purpose. All mutual concession in the nature of a
compromise must necessarily be unwelcome to men of extreme opinions. And
though without such concessions our Constitution could not have been
formed, and can not be permanently sustained, yet we have seen them made
the subject of bitter controversy in both sections of the Republic. It
required many months of discussion and deliberation to secure the
concurrence of a majority of Congress in their favor. It would be strange
if they had been received with immediate approbation by people and States
prejudiced and heated by the exciting controversies of their
representatives. I believe those measures to have been required by the
circumstances and condition of the country. I believe they were necessary
to allay asperities and animosities that were rapidly alienating one
section of the country from another and destroying those fraternal
sentiments which are the strongest supports of the Constitution. They were
adopted in the spirit of conciliation and for the purpose of conciliation.
I believe that a great majority of our fellow citizens sympathize in that
spirit and that purpose, and in the main approve and are prepared in all
respects to sustain these enactments. I can not doubt that the American
people, bound together by kindred blood and common traditions, still
cherish a paramount regard for the Union of their fathers, and that they
are ready to rebuke any attempt to violate its integrity, to disturb the
compromises on which it is based, or to resist the laws which have been
enacted under its authority.

The series of measures to which I have alluded are regarded by me as a
settlement in principle and substance--a final settlement of the dangerous
and exciting subjects which they embraced. Most of these subjects, indeed,
are beyond your reach, as the legislation which disposed of them was in its
character final and irrevocable. It may be presumed from the opposition
which they all encountered that none of those measures was free from
imperfections, but in their mutual dependence and connection they formed a
system of compromise the most conciliatory and best for the entire country
that could be obtained from conflicting sectional interests and opinions.

For this reason I recommend your adherence to the adjustment established by
those measures until time and experience shall demonstrate the necessity of
further legislation to guard against evasion or abuse.

By that adjustment we have been rescued from the wide and boundless
agitation that surrounded us, and have a firm, distinct, and legal ground
to rest upon. And the occasion, I trust, will justify me in exhorting my
countrymen to rally upon and maintain that ground as the best, if not the
only, means of restoring peace and quiet to the country and maintaining
inviolate the integrity of the Union.

And now, fellow-citizens, I can not bring this communication to a close
without invoking you to join me in humble and devout thanks to the Great
Ruler of Nations for the multiplied blessings which He has graciously
bestowed upon us. His hand, so often visible in our preservation, has
stayed the pestilence, saved us from foreign wars and domestic
disturbances, and scattered plenty throughout the land.

Our liberties, religions and civil, have been maintained, the fountains of
knowledge have all been kept open, and means of happiness widely spread and
generally enjoyed greater than have fallen to the lot of any other nation.
And while deeply penetrated with gratitude for the past, let us hope that
His all-wise providence will so guide our counsels as that they shall
result in giving satisfaction to our constituents, securing the peace of
the country, and adding new strength to the united Government under which
we live.