Speech Transcript:

Fellow-Citizens of the Senate and House of Representatives:

Again the blessings of health and abundant harvests claim our
profoundest gratitude to Almighty God.

The condition of our foreign affairs is reasonably satisfactory.

Mexico continues to be a theater of civil war. While our political
relations with that country have undergone no change, we have at the
same time strictly maintained neutrality between the belligerents.

At the request of the States of Costa Rica and Nicaragua, a competent
engineer has been authorized to make a survey of the river San Juan
and the port of San Juan. It is a source of much satisfaction that
the difficulties which for a moment excited some political
apprehensions and caused a closing of the interoceanic transit route
have been amicably adjusted, and that there is a good prospect that
the route will soon be reopened with an increase of capacity and
adaptation. We could not exaggerate either the commercial or the
political importance of that great improvement.

It would be doing injustice to an important South American State not
to acknowledge the directness, frankness, and cordiality with which
the United States of Colombia have entered into intimate relations
with this Government. A claims convention has been constituted to
complete the unfinished work of the one which closed its session in
1861.

The new liberal constitution of Venezuela having gone into effect
with the universal acquiescence of the people, the Government under
it has been recognized and diplomatic intercourse with it has opened
in a cordial and friendly spirit. The long-deferred Aves Island claim
has been satisfactorily paid and discharged.

Mutual payments have been made of the claims awarded by the late
joint commission for the settlement of claims between the United
States and Peru. An earnest and cordial friendship continues to exist
between the two countries, and such efforts as were in my power have
been used to remove misunderstanding and avert a threatened war
between Peru and Spain.

Our relations are of the most friendly nature with Chile, the
Argentine Republic, Bolivia, Costa Rica, Paraguay, San Salvador, and
Hayti. During the past year no differences of any kind have arisen
with any of those Republics, and, on the other hand, their sympathies
with the United States are constantly expressed with cordiality and
earnestness.

The claim arising from the seizure of the cargo of the brig
Macedonian in 1821 has been paid in full by the Government of Chile.
Civil war continues in the Spanish part of San Domingo, apparently
without prospect of an early close.

Official correspondence has been freely opened with Liberia, and it
gives us a pleasing view of social and political progress in that
Republic. It may be expected to derive new vigor from American
influence, improved by the rapid disappearance of slavery in the
United States.

I solicit your authority to furnish to the Republic a gunboat at
moderate cost, to be reimbursed to the United States by installments.
Such a vessel is needed for the safety of that State against the
native African races, and in Liberian hands it would be more
effective in arresting the African slave trade than a squadron in our
own hands. The possession of the least organized naval force would
stimulate a generous ambition in the Republic, and the confidence
which we should manifest by furnishing it would win forbearance and
favor toward the colony from all civilized nations.

The proposed overland telegraph between America and Europe, by the
way of Behrings Straits and Asiatic Russia, which was sanctioned by
Congress at the last session, has been undertaken, under very
favorable circumstances, by an association of American citizens, with
the cordial good will and support as well of this Government as of
those of Great Britain and Russia. Assurances have been received from
most of the South American States of their high appreciation of the
enterprise and their readiness to cooperate in constructing lines
tributary to that world-encircling communication. I learn with much
satisfaction that the noble design of a telegraphic communication
between the eastern coast of America and Great Britain has been
renewed, with full expectation of its early accomplishment.

Thus it is hoped that with the return of domestic peace the country
will be able to resume with energy and advantage its former high
career of commerce and civilization.

Our very popular and estimable representative in Egypt died in April
last. An unpleasant altercation which arose between the temporary
incumbent of the office and the Government of the Pasha resulted in a
suspension of intercourse. The evil was promptly corrected on the
arrival of the successor in the consulate, and our relations with
Egypt, as well as our relations with the Barbary Powers, are entirely
satisfactory.

The rebellion which has so long been flagrant in China has at last
been suppressed, with the cooperating good offices of this Government
and of the other Western commercial States. The judicial consular
establishment there has become very difficult and onerous, and it
will need legislative revision to adapt it to the extension of our
commerce and to the more intimate intercourse which has been
instituted with the Government and people of that vast Empire. China
seems to be accepting with hearty good will the conventional laws
which regulate commercial and social intercourse among the Western
nations.

Owing to the peculiar situation of Japan and the anomalous form of
its Government, the action of that Empire in performing treaty
stipulations is inconstant and capricious. Nevertheless, good
progress has been effected by the Western powers, moving with
enlightened concert. Our own pecuniary claims have been allowed or
put in course of settlement, and the inland sea has been reopened to
commerce. There is reason also to believe that these proceedings have
increased rather than diminished the friendship of Japan toward the
United States.

The ports of Norfolk, Fernandina, and Pensacola have been opened by
proclamation. It is hoped that foreign merchants will now consider
whether it is not safer and more profitable to themselves, as well as
just to the United States, to resort to these and other open ports
than it is to pursue, through many hazards and at vast cost, a
contraband trade with other ports which are closed, if not by actual
military occupation, at least by a lawful and effective blockade.

For myself, I have no doubt of the power and duty of the Executive,
under the law of nations, to exclude enemies of the human race from
an asylum in the United States. If Congress should think that
proceedings in such cases lack the authority of law, or ought to be
further regulated by it, I recommend that provision be made for
effectually preventing foreign slave traders from acquiring domicile
and facilities for their criminal occupation in our country.

It is possible that if it were new and open question the maritime
powers, with the lights they now enjoy, would not concede the
privileges of a naval belligerent to the insurgents of the United
States, destitute, as they are, and always have been, equally of
ships of war and of ports and harbors. Disloyal emissaries have been
neither less assiduous nor more successful during the last year than
they were before that time in their efforts under favor of that
privilege, to embroil our country in foreign wars. The desire and
determination of the governments of the maritime states to defeat
that design are believed to be as sincere as and can not be more
earnest than our own. Nevertheless, unforeseen political difficulties
have arisen, especially in Brazilian and British ports and on the
northern boundary of the United States, which have required, and are
likely to continue to require, the practice of constant vigilance and
a just and conciliatory spirit on the part of the United States, as
well as of the nations concerned and their governments.

Commissioners have been appointed under the treaty with Great Britain
on the adjustment of the claims of the Hudsons Bay and Pugets Sound
Agricultural Companies, in Oregon, and are now proceeding to the
execution of the trust assigned to them.

In view of the insecurity of life and property in the region adjacent
to the Canadian border, by reason of recent assaults and depredations
committed by inimical and desperate persons who are harbored there,
it has been thought proper to give notice that after the expiration
of six months, the period conditionally stipulated in the existing
arrangement with Great Britain, the United States must hold
themselves at liberty to increase their naval armament upon the Lakes
if they shall find that proceeding necessary. The condition of the
border will necessarily come into consideration in connection with
the question of continuing or modifying the rights of transit from
Canada through the United States, as well as the regulation of
imposts, which were temporarily established by the reciprocity treaty
of the 5th June, 1854.

I desire, however, to be understood while making this statement that
the colonial authorities of Canada are not deemed to be intentionally
unjust or unfriendly toward the United States, but, on the contrary,
there is every reason to expect that, with the approval of the
Imperial Government, they will take the necessary measures to prevent
new incursions across the border.

The act passed at the last session for the encouragement of
immigration has so far as was possible been put into operation. It
seems to need amendment which will enable the officers of the
Government to prevent the practice of frauds against the immigrants
while on their way and on their arrival in the ports, so as to secure
them here a free choice of avocations and places of settlement. A
liberal disposition toward this great national policy is manifested
by most of the European States, and ought to be reciprocated on our
part by giving the immigrants effective national protection. I regard
our immigrants as one of the principal replenishing streams which are
appointed by Providence to repair the ravages of internal war and its
wastes of national strength and health. All that is necessary is to
secure the flow of that stream in its present fullness, and to that
end the Government must in every way make it manifest that it neither
needs nor designs to impose involuntary military service upon those
who come from other lands to cast their lot in our country.

The financial affairs of the Government have been successfully
administered during the last year. The legislation of the last
session of Congress has beneficially affected the revenues, although
sufficient time has not yet elapsed to experience the full effect of
several of the provisions of the acts of Congress imposing increased
taxation.

The receipts during the year from all sources, upon the basis of
warrants signed by the Secretary of the Treasury, including loans and
the balance in the Treasury on the 1st day of July, 1863, were
$1,394,796,007.62, and the aggregate disbursements, upon the same
basis, were $1,298,056,101.89, leaving a balance in the Treasury, as
shown by warrants, of $96,739,905.73.

Deduct from these amounts the amount of the principal of the public
debt redeemed and the amount of issues in substitution therefor, and
the actual cash operations of the Treasury were: Receipts,
$884,076,646.57; disbursements, $865,234,087.86; which leaves a cash
balance in the Treasury of $18,842,558.71.

Of the receipts there were derived from customs $102,316,152.99, from
lands $588,333.29. from direct taxes $475,648.96, from internal
revenue $109,741,134.10, from miscellaneous sources $47,511,448.10,
and from loans applied to actual expenditures, including former
balance, $623,443,929.13.

There were disbursed for the civil service $27,505,599.46, for
pensions and Indians $7,517,930.97, for the War Department
$690,791,842.97, for the Navy Department $85,733,292.77, for interest
on the public debt $53,685,421.69, making an aggregate of
$865,234,087.86 and leaving a balance in the Treasury of
$18,842,558.71, as before stated.

For the actual receipts and disbursements for the first quarter and
the estimated receipts and disbursements for the three remaining
quarters of the current fiscal year, and the general operations of
the Treasury in detail, I refer you to the report of the Secretary of
the Treasury. I concur with him in the opinion that the proportion of
moneys required to meet the expenses consequent upon the war derived
from taxation should be still further increased; and I earnestly
invite your attention to this subject, to the end that there may be
such additional legislation as shall be required to meet the just
expectations of the Secretary.

The public debt on the 1st day of July last, as appears by the books
of the Treasury, amounted to $1,740,690,489.49. Probably, should the
war continue for another year, that amount may be increased by not
far from five hundred millions. Held, as it is, for the most part by
our own people, it has become a substantial branch of national,
though private, property. For obvious reasons the more nearly this
property can be distributed among all the people the better. To favor
such general distribution, greater inducements to become owners might,
perhaps, with good effect and without injury be presented to persons
of limited means. With this view I suggest whether it might not be
both competent and expedient for Congress to provide that a limited
amount of some future issue of public securities might be held by any
bona fide purchaser exempt from taxation and from seizure for debt,
under such restrictions and limitations as might be necessary to
guard against abuse of so important a privilege. This would enable
every prudent person to set aside a small annuity against a possible
day of want.

Privileges like these would render the possession of such securities
to the amount limited most desirable to every person of small means
who might be able to save enough for the purpose. The great advantage
of citizens being creditors as well as debtors with relation to the
public debt is obvious. Men readily perceive that they can not be
much oppressed by a debt which they owe to themselves.

The public debt on the 1st day of July last, although somewhat
exceeding the estimate of the Secretary of the Treasury made to
Congress at the commencement of the last session, falls short of the
estimate of that officer made in the preceding December as to its
probable amount at the beginning of this year by the sum of
$3,995,097.31. This fact exhibits a satisfactory condition and
conduct of the operations of the Treasury.

The national banking system is proving to be acceptable to
capitalists and to the people. On the 25th day of November 584
national banks had been organized, a considerable number of which
were conversions from State banks. Changes from State systems to the
national system are rapidly taking place, and it is hoped that very
soon there will be in the United States no banks of issue not
authorized by Congress and no bank-note circulation not secured by
the Government. That the Government and the people will derive great
benefit from this change in the banking systems of the country can
hardly be questioned. The national system will create a reliable and
permanent influence in support of the national credit and protect the
people against losses in the use of paper money. Whether or not any
further legislation is advisable for the suppression of State-bank
issues it will be for Congress to determine. It seems quite clear
that the Treasury can not be satisfactorily conducted unless the
Government can exercise a restraining power over the bank-note
circulation of the country. The report of the Secretary of War and
the accompanying documents will detail the campaigns of the armies in
the field since the date of the last annual message, and also the
operations of the several administrative bureaus of the War
Department during the last year. It will also specify the measures
deemed essential for the national defense and to keep up and supply
the requisite military force.

The report of the Secretary of the Navy presents a comprehensive and
satisfactory exhibit of the affairs of that Department and of the
naval service. It is a subject of congratulation and laudable pride
to our countrymen that a Navy of such vast proportions has been
organized in so brief a period and conducted with so much efficiency
and success.

The general exhibit of the Navy, including vessels under construction
on the 1st of December, 1864, shows a total of 671 vessels, carrying
4,610 guns, and of 510,396 tons, being an actual increase during the
year, over and above all losses by shipwreck or in battle, of 83
vessels, 167 guns, and 42,427 tons.

The total number of men at this time in the naval service, including
officers, is about 51,000.

There have been captured by the Navy during the year 324 vessels, and
the whole number of naval captures since hostilities commenced is
1,379, of which 267 are steamers.

The gross proceeds arising from the sale of condemned prize property
thus far reported amount to $14,396,250.51. A large amount of such
proceeds is still under adjudication and yet to be reported.

The total expenditure of the Navy Department of every description,
including the cost of the immense squadrons that have been called
into existence from the 4th of March, 1861, to the 1st of November,
1864, is $238,647,262.35.

Your favorable consideration is invited to the various
recommendations of the Secretary of the Navy, especially in regard to
a navy-yard and suitable establishment for the construction and repair
of iron vessels and the machinery and armature for our ships, to which
reference was made in my last annual message.

Your attention is also invited to the views expressed in the report
in relation to the legislation of Congress at its last session in
respect to prize on our inland waters.

I cordially concur in the recommendation of the Secretary as to the
propriety of creating the new rank of vice-admiral in our naval
service. Your attention is invited to the report of the
Postmaster-General for a detailed account of the operations and
financial condition of the Post-Office Department.

The postal revenues for the year ending June 30, 1864, amounted to
$12,438,253.78 and the expenditures to $12,644,786.20, the excess of
expenditures over receipts being $206,652.42.

The views presented by the Postmaster-General on the subject of
special grants by the Government in aid of the establishment of new
lines of ocean mail steamships and the policy he recommends for the
development of increased commercial intercourse with adjacent and
neighboring countries should receive the careful consideration of
Congress.

It is of noteworthy interest that the steady expansion of population,
improvement, and governmental institutions over the new and unoccupied
portions of our country have scarcely been checked, much less impeded
or destroyed, by our great civil war, which at first glance would
seem to have absorbed almost the entire energies of the nation.

The organization and admission of the State of Nevada has been
completed in conformity with law, and thus our excellent system is
firmly established in the mountains, which once seemed a barren and
uninhabitable waste between the Atlantic States and those which have
grown up on the coast of the Pacific Ocean.

The Territories of the Union are generally in a condition of
prosperity and rapid growth. Idaho and Montana, by reason of their
great distance and the interruption of communication with them by
Indian hostilities, have been only partially organized; but it is
understood that these difficulties are about to disappear, which will
permit their governments, like those of the others, to go into speedy
and full operation. As intimately connected with and promotive of
this material growth of the nation, I ask the attention of Congress
to the valuable information and important recommendations relating to
the public lands, Indian affairs, the Pacific Railroad, and mineral
discoveries contained in the report of the Secretary of the Interior
which is herewith transmitted, and which report also embraces the
subjects of patents, pensions, and other topics of public interest
pertaining to his Department.

The quantity of public land disposed of during the five quarters
ending on the 30th of September last was 4,221,342 acres, of which
1,538,614 acres were entered under the homestead law. The remainder
was located with military land warrants, agricultural scrip certified
to States for railroads, and sold for cash. The cash received from
sales and location fees was $1,019,446.

The income from sales during the fiscal year ending June 30, 1864,
was $678,007.21, against $136,077.95 received during the preceding
year. The aggregate number of acres surveyed during the year has been
equal to the quantity disposed of, and there is open to settlement
about 133,000,000 acres of surveyed land.

The great enterprise of connecting the Atlantic with the Pacific
States by railways and telegraph lines has been entered upon with a
vigor that gives assurance of success, notwithstanding the
embarrassments arising from the prevailing high prices of materials
and labor. The route of the main line of the road has been definitely
located for 100 miles westward from the initial point at Omaha City,
Nebr., and a preliminary location of the Pacific Railroad of
California has been made from Sacramento eastward to the great bend
of the Truckee River in Nevada. Numerous discoveries of gold, silver,
and cinnabar mines have been added to the many heretofore known, and
the country occupied by the Sierra Nevada and Rocky mountains and the
subordinate ranges now teems with enterprising labor, which is richly
remunerative. It is believed that the product of the mines of
precious metals in that region has during the year reached, if not
exceeded, one hundred millions in value.

It was recommended in my last annual message that our Indian system
be remodeled. Congress at its last session, acting upon the
recommendation, did provide for reorganizing the system in
California, and it is believed that under the present organization
the management of the Indians there will be attended with reasonable
success. Much yet remains to be done to provide for the proper
government of the Indians in other parts of the country, to render it
secure for the advancing set-tier, and to provide for the welfare of
the Indian. The Secretary reiterates his recommendations, and to them
the attention of Congress is invited.

The liberal provisions made by Congress for paying pensions to
invalid soldiers and sailors of the Republic and to the widows,
orphans, and dependent mothers of those who have fallen in battle or
died of disease contracted or of wounds received in the service of
their country have been diligently administered. There have been
added to the pension rolls during the year ending the 30th day of
June last the names of 16,770 invalid soldiers and of 271 disabled
seamen, making the present number of army invalid pensioners 22,767
and of navy invalid pensioners 712.

Of widows, orphans, and mothers 22,198 have been placed on the army
pension rolls and 248 on the navy rolls. The present number of army
pensioners of this class is 25,433 and of navy pensioners 793. At the
beginning of the year the number of Revolutionary pensioners was
1,430. Only 12 of them were soldiers, of whom 7 have since died. The
remainder are those who under the law receive pensions because of
relationship to Revolutionary soldiers. During the year ending the
30th of June, 1864, $4,504,616.92 have been paid to pensioners of all
classes.

I cheerfully commend to your continued patronage the benevolent
institutions of the District of Columbia which have hitherto been
established or fostered by Congress, and respectfully refer for
information concerning them and in relation to the Washington
Aqueduct, the Capitol, and other matters of local interest to the
report of the Secretary.

The Agricultural Department, under the supervision of its present
energetic and faithful head, is rapidly commending itself to the
great and vital interest it was created to advance It is peculiarly
the people's Department, in which they feel more directly concerned
than in any other. I commend it to the continued attention and
fostering care of Congress.

The war continues. Since the last annual message all the important
lines and positions then occupied by our forces have been maintained
and our arms have steadily advanced, thus liberating the regions left
in rear, so that Missouri, Kentucky, Tennessee, and parts of other
States have again produced reasonably fair crops.

The most remarkable feature in the military operations of the year is
General Sherman's attempted march of 300 miles directly through the
insurgent region. It tends to show a great increase of our relative
strength that our General in Chief should feel able to confront and
hold in check every active force of the enemy, and yet to detach a
well-appointed large army to move on such an expedition. The result
not yet being known, conjecture in regard to it is not here
indulged.

Important movements have also occurred during the year to the effect
of molding society for durability in the Union. Although short of
complete success, it is much in the fight direction that 12,000
citizens in each of the States of Arkansas and Louisiana have
organized loyal State governments, with free constitutions, and are
earnestly struggling to maintain and administer them. The movements
in the same direction, more extensive though less definite, in
Missouri, Kentucky, and Tennessee should not be overlooked. But
Maryland presents the example of complete success. Maryland is secure
to liberty and union for all the future. The genius of rebellion will
no more claim Maryland. Like another foul spirit being driven out, it
may seek to tear her, but it will woo her no-more.

At the last session of Congress a proposed amendment of the
Constitution abolishing slavery throughout the United States passed
the Senate, but failed for lack of the requisite two-thirds vote in
the House of Representatives. Although the present is the same
Congress and nearly the same members, and without questioning the
wisdom or patriotism of those who stood in opposition, I venture to
recommend the reconsideration and passage of the measure at the
present session. Of course the abstract question is not changed; but
in intervening election shows almost certainly that the next Congress
will pass the measure if this does not. Hence there is only a question
of time as to when the proposed amendment will go to the States for
their action. And as it is to so go at all events, may we not agree
that the sooner the better? It is not claimed that the election has
imposed a duty on members to change their views or their votes any
further than, as an additional element to be considered, their
judgment may be affected by it. It is the voice of the people now for
the first time heard upon the question. In a great national crisis
like ours unanimity of action among those seeking a common end is
very desirable--almost indispensable. And yet no approach to such
unanimity is attainable unless some deference shall be paid to the
will of the majority simply because it is the will of the majority.
In this case the common end is the maintenance of the Union, and
among the means to secure that end such will, through the election,
is most dearly declared in favor of such constitutional amendment.

The most reliable indication of public purpose in this country is
derived through our popular elections. Judging by the recent canvass
and its result, the purpose of the people within the loyal States to
maintain the integrity of the Union was never more firm nor more
nearly unanimous than now. The extraordinary calmness and good order
with which the millions of voters met and mingled at the polls give
strong assurance of this. Not only all those who supported the Union
ticket, so called, but a great majority of the opposing party also
may be fairly claimed to entertain and to be actuated by the same
purpose. It is an unanswerable argument to this effect that no
candidate for any office whatever, high or low, has ventured to seek
votes on the avowal that he was for giving up the Union. There have
been much impugning of motives and much heated controversy as to the
proper means and best mode of advancing the Union cause, but on the
distinct issue of Union or no Union the politicians have shown their
instinctive knowledge that there is no diversity among the people. In
affording the people the fair opportunity of showing one to another
and to the world this firmness and unanimity of purpose, the election
has been of vast value to the national cause.

The election has exhibited another tact not less valuable to be
known--the fact that we do not approach exhaustion in the most
important branch of national resources, that of living men. While it
is melancholy to reflect that the war has filled so many graves and
carried mourning to so many hearts, it is some relief to know that,
compared with the surviving, the fallen have been so few. While corps
and divisions and brigades and regiments have formed and fought and
dwindled and gone out of existence, a great majority of the men who
composed them are still living. The same is true of the naval
service. The election returns prove this. So many voters could not
else be found. The States regularly holding elections, both now and
four years ago, to wit, California, Connecticut, Delaware, Illinois,
Indiana, Iowa, Kentucky, Maine, Maryland, Massachusetts, Michigan,
Minnesota, Missouri, New Hampshire, New Jersey, New York, Ohio,
Oregon, Pennsylvania, Rhode Island, Vermont, West Virginia, and
Wisconsin, east 3,982,011 votes now, against 3,870,222 cast then,
showing an aggregate now of 3,982,011. To this is to be added 33,762
cast now in the new States of Kansas and Nevada, which States did not
vote in 1860, thus swelling the aggregate to 4,015,773 and the net
increase during the three years and a half of war to 145,551. A table
is appended showing particulars. To this again should be added the
number of all soldiers in the field from Massachusetts, Rhode Island,
New Jersey, Delaware, Indiana, Illinois, and California, who by the
laws of those States could not vote away from their homes, and which
number can not be less than 90,000. Nor yet is this all. The number
in organized Territories is triple now what it was four years ago,
while thousands, white and black, join us as the national arms press
back the insurgent lines. So much is shown, affirmatively and
negatively, by the election. It is not material to inquire how the
increase has been produced or to show that it would have been greater
but for the war, which is probably true. The important fact remains
demonstrated that we have more men now than we had when the war
began; that we are not exhausted nor in process of exhaustion; that
we are gaining strength and may if need be maintain the contest
indefinitely. This as to men. Material resources are now more
complete and abundant than ever.

The national resources, then, are unexhausted, and, as we believe,
inexhaustible. The public purpose to reestablish and maintain the
national authority is unchanged, and, as we believe, unchangeable.
The manner of continuing the effort remains to choose. On careful
consideration of all the evidence accessible it seems to me that no
attempt at negotiation with the insurgent leader could result in any
good. He would accept nothing short of severance of the Union,
precisely what we will not and can not give. His declarations to this
effect are explicit and oft repeated. He does not attempt to deceive
us. He affords us no excuse to deceive ourselves. He can not
voluntarily reaccept the Union; we can not voluntarily yield it.
Between him and us the issue is distinct, simple, and inflexible. It
is an issue which can only be tried by war and decided by victory. If
we yield, we are beaten; if the Southern people fail him, he is
beaten. Either way it would be the victory and defeat following war.
What is true, however, of him who heads the insurgent cause is not
necessarily true of those who follow. Although he can not reaccept
the Union, they can. Some of them, we know, already desire peace and
reunion. The number of such may increase. They can at any moment have
peace simply by laying down their arms and submitting to the national
authority under the Constitution. Alter so much the Government could
not, if it would, maintain war against them. The loyal people would
not sustain or allow it. If questions should remain, we would adjust
them by the peaceful means of legislation, conference, courts, and
votes, operating only in constitutional and lawful channels. Some
certain, and other possible, questions are and would be beyond the
Executive power to adjust; as, for instance, the admission of members
into Congress and whatever might require the appropriation of money.
The Executive power itself would be greatly diminished by the
cessation of actual war. Pardons and remissions of forfeitures,
however, would still be within Executive control. In what spirit and
temper this control would be exercised can be fairly judged of by the
past.

A year ago general pardon and amnesty, upon specified terms, were
offered to all except certain designated classes, and it was at the
same time made known that the excepted classes were still within
contemplation of special clemency. During the year many availed
themselves of the general provision, and many more would, only that
the signs of bad faith in some led to such precautionary measures as
rendered the practical process less easy and certain. During the same
time also special pardons have been granted to individuals of the
excepted classes, and no voluntary application has been denied. Thus
practically the door has been for a full year open to all except such
as were not in condition to make free choice; that is, such as were in
custody or under constraint. It is still so open to all. But the time
may come, probably will come, when public duty shall demand that it
be closed and that in lieu more rigorous measures than heretofore
shall be adopted. In presenting the abandonment of armed resistance
to the national authority on the part of the insurgents as the only
indispensable condition to ending the war on the part of the
Government, I retract nothing heretofore said as to slavery. I repeat
the declaration made a year a ago, that "while I remain in my present
position I shall not attempt to retract or modify the emancipation
proclamation, nor shall I return to slavery any person who is free by
the terms of that proclamation or by any of the acts of Congress." If
the people should, by whatever mode or means, make it an Executive
duty to re-enslave such persons, another, and not I, must be their
instrument to perform it. In stating a single condition of peace I
mean simply to say that the war will cease on the part of the
Government whenever it shall have ceased on the part of those who
began it.

State	         1860	                 1864
California	 $118,840	 $110,000*
Connecticut	 77,246	         86,616
Delaware	 16,039	         16,924
Illinois	 339,693	 348,235
Indiana	         272,143         280,645
Iowa	         128,331	 143,331
Kentucky	 146,216	 91,300*
Maine	         97,918	         115,141
Maryland	 92,502	         72,703
Massachusetts	 169,533	 175,487
Michigan	 154,747	 162,413
Minnesota	 34,799	         42,534
Missouri	 165,538	 90,000*
New Hampshire	 65,953	         69,111
New Jersey	 121,125	 128,680
New York	 675,156	 730,664
Ohio	         42,441	         470,745
Oregon	         14,410	         14,410+
Pennsylvania	 476,442	 572,697
Rhode Island	 19,931	         22,187
Vermont	         42,844	         55,811
West Virginia	 46,195	         33,874
Wisconsin	 152,180	 148,513
Kansas	         - -	         17,234
Nevada	         - -	         16,528
subtotal	 $3,870,222	 $4,015,773
Net Increase	 $145,551	 �
*nearly
+estimated