not asked, within the time limited for the Ratification? Is it contemplated to open a new Negotiation respecting any of the Articles or conditions of the Treaty ? If that were done, to what consequences might it not lead? At what time and in what manner would a new Negotiation terminate? By this proceeding, Spain has formed a relation between the 2 Countries which will justify any measures on the part of The United States, which a strong sense of injury, and a proper regard for the rights and interests of the Nation, may dictate. In the course to be pursued, these objects should be constantly held in view, and have their due weight. Our national honour must be maintained and a new and a distinguished proof be afforded of that regard for justice and moderation, which has invariably governed the Councils of this free People. It must be obvious to all, that, if The United States had been desirous of making conquests, or had been even willing to aggrandize themselves in that way, they could have had no inducement to form this Treaty. They would have much cause for gratulation, at the course which had been pursued by Spain. An ample field for ambition is open before them. But such a career is not consistent with the principles of their Government, nor the interest of the Nation.

From a full view of all circumstances, it is submitted to the consideration of Congress; whether it will not be proper for The United States to carry the conditions of the Treaty into effect, in the same manner as if it had been ratified by Spain; claiming, on their part, all its advantages, and yielding to Spain those secured to her. By pursuing this course, we shall rest on the sacred ground of right, sanctioned, in the most solemn manner, by Spain herself, by a Treaty which she was bound to ratify, for refusing to do which she must incur the censure of other Nations, even those most friendly to her; while by confining ourselves within that limit, we cannot fail to obtain their well merited approbation. We must have peace on a Frontier where we have been so long disturbed, our Citizens must be indemnified for losses so long since sustained, and for which indemnity has been so long unjustly withheld from them. Accomplishing these great objects, we obtain all that is desirable.

But His Catholic Majesty has twice declared his determination to send a Minister to The United States, to ask explanations on certain points, and to give them respecting his delay to ratify the Treaty. Shall we act, by taking the ceded Territory, and proceeding to execute the other conditions of the Treaty, before this Minister arrives and is heard? This is a case which forms a strong appeal to the candour, the magnanimity, and honour of this People. Much is due to courtesy between Nations. By a short delay, we shall lose nothing; for, resting on the ground of immutable truth and justice, we cannot be diverted from our purpose. It ought to be presumed that the explanations which may be given to the Minister of Spain, will be satisfactory, and

produce the desired result. In any event, the delay for the purpose mentioned, being a further manifestation of the sincere desire to terminate in the most friendly manner all differences with Spain, cannot fail to be duly appreciated by His Catholic Majesty, as well as by other Powers. It is submitted therefore, whether it will not be proper to make the Law proposed for carrying the conditions of the Treaty into effect, should it be adopted, contingent; to suspend its operation upon the responsibility of the Executive, in such a manner as to afford an opportunity for such friendly explanations as may be desired, during the present Session of Congress.

I communicate to Congress a Copy of the Treaty, and of the Instructions to the Minister of The United States at Madrid respecting it; of his correspondence with the Minister of Spain, and of such other Documents as may be necessary to give a full view of the subject.

In the course which the Spanish Government have, on this occasion, thought proper to pursue, it is satisfactory to know that they have not been countenanced by any other European Power. On the contrary, the opinion and wishes, both of France and Great Britain, have not been withheld, either from The United States or from Spain, and have been unequivocal in favor of the Ratification. There is also reason to believe that the sentiments of the Imperial Government of Russia have been the same, and that they have also been made known to the Cabinet of Madrid.

In the Civil War existing between Spain and the Spanish Provinces in this Hemisphere, the greatest care has been taken to enforce the Laws intended to preserve an impartial neutrality. Our Ports have continued to be equally open to both Parties, and on the same conditions; and our Citizens have been equally restrained from interfering in favour of either, to the prejudice of the other. The progress of the War, however, has operated manifestly in favour of the Colonies. Buenos Ayres still maintains unshaken the independence which it declared in 1816, and has enjoyed since 1810. Like success has also lately attended Chili, and the Provinces North of the La Plata, bordering on it, and likewise Venezuela.

This contest has, from its commencement, been very interesting to other Powers, and to none more so than to The United States. A virtuous People may, and will, confine themselves within the limits of a strict neutrality; but it is not in their power to behold a conflict so vitally important to their neighbours, without the sensibility and sympathy which naturally belong to such a case. It has been the steady purpose of this Government, to prevent that feeling leading to excess, and it is very gratifying to have it in my power to state that, so strong has been the sense throughout the whole community, of what was due to the character and obligations of the Nation, that few examples of a contrary kind have occurred.

The distance of the Colonies from the Parent Country, and the great extent of their Population and resources, gave them advantages which it was anticipated at a very early period, it would be difficult for Spain to surmount. The steadiness, consistency, and success, with which they have pursued their object, as evinced more particularly by the undisturbed sovereignty which Buenos Ayres has so long enjoyed, evidently give them a strong claim to the favorable consideration of other Nations. These sentiments on the part of The United States, have not been withheld from other Powers, with whom it is desirable to act in concert. Should it become manifest to the World that the efforts of Spain to subdue those Provinces will be fruitless, it may be presumed that the Spanish Government itself will give up the contest. In producing such a determination, it cannot be doubted that the opinion of Friendly Powers, who have taken no part in the controversy, will have their merited influence.

It is of the highest importance to our National character, and indispensable to the morality of our Citizens, that all violations of our neutrality should be prevented. No door should be left open for the evasion of our Laws; no opportunity afforded to any who may be disposed to take advantage of it, to compromit the interest or honour of the Nation. It is submitted, therefore, to the consideration of Congress, whether it may not be advisable to revise the Laws, with a view to this desirable result.

It is submitted, also, whether it may not be proper to designate, by Law, the several Ports or Places along the Coast, at which, only, Foreign Ships of War and Privateers may be admitted. The difficulty of sustaining the regulations of our Commerce, and of other important interests from abuse, without such designation, furnishes a strong motive for this measure.

At the time of the Negotiation for the renewal of the Commercial Convention between The United States and Great Britain, a hope had been entertained that an Article might have been agreed upon, mutually satisfactory to both Countries, regulating, upon principles of justice and reciprocity, the Commercial intercourse between The United States and the British possessions, as well in the West Indies, as upon the Continent of North America. The Plenipotentiaries of the 2 Governments, not having been able to come to an Agreement on this important interest, those of The United States reserved for the consideration of this Government the proposals which had been presented to them, as the ultimate offer on the part of the British Government, and which they were not authorized to accept. On their transmission here, they were examined with due deliberation, the result of which was a new effort to meet the views of the British Government. The Minister of The United States was instructed to make a further proposal, which has not been accepted. It was, however, declined in

an amicable manner. I recommend to the consideration of Congress, whether further prohibitory provisions in the Laws relating to this intercourse, may not be expedient. It is seen with interest that, although it has not been practicable, as yet, to agree in any arrangement of this important branch of their Commerce, such is the disposition of the Parties, that each will view any regulations, which the other may make respecting it, in the most friendly light.

By the Vth Article of the Convention, concluded on the 20th of October, 1818,* it was stipulated that the differences which had arisen between the 2 Governments, with regard to the true intent and meaning of the Ist Article of the Treaty of Ghent,* in relation to the carrying away, by British Officers, of Slaves from The United States, after the exchange of the Ratifications of the Treaty of Peace, should be referred to the decision of some Friendly Sovereign or State, to be named for that purpose. The Minister of The United States has been instructed to name to the British Government, a Foreign Sovereign, the common Friend to both Parties, for the decision of this question. The answer of that Government to the proposal, when received, will indicate the further measures to be pursued on the part of The United States.

Although the pecuniary embarrassments which affected various parts of the Union, during the latter part of the preceding year, have, during the present, been considerably augmented, and still continue to exist, the Receipts into the Treasury, to the 30th of September last, have amounted to 19,000,000 dollars. After defraying the current expenses of the Government, including the interest and reimbursement of the Public Debt, payable to that period, amounting to 18,200,000 dollars, there remained in the Treasury, on that day, more than 2,500,000 dollars, which, with the sums receivable during the remainder of the year, will exceed the current demands upon the Treasury for the same period.

The causes which have tended to diminish the Public Receipts, could not fail to have a corresponding effect upon the Revenue which has accrued upon Imposts and Tonnage, during the 3 first Quarters of the present year; it is however ascertained that the Duties, which have been secured during that period, exceed 18,000,000 dollars, and those of the whole year will probably amount to 23,000,000 dollars.

For the probable Receipts of the next year, I refer you to the Statements which will be transmitted from the Treasury, which will enable you to judge whether further provision be necessary.

The great reduction in the price of the principal articles of domestic growth, which has occurred during the present year, and the consequent fall in the price of labour, apparently so favourable to the success of domestic manufactures, have not shielded them against * See Commercial Treaties. Vol. 2. p. 394, 378.

other causes adverse to their prosperity. The pecuniary embarrassments which have so deeply affected the commercial interests of the Nation, have been no less adverse to our manufacturing establishments in several sections of the Union. The great reduction of the currency, which the Banks have been constrained to make, in order to continue specie payments, and the vitiated character of it where such reductions have not been attempted, instead of placing within the reach of these establishments the pecuniary aid necessary to avail themselves of the advantages resulting from the reduction of the prices of the raw materials, and of labour, have compelled the Banks to withdraw from them a portion of the capital heretofore advanced to them. That aid, which has been refused by the Banks, has not been obtained from other sources, owing to the loss of individual confidence, from the failures which have recently occurred in some of our principal commercial Cities.

An additional cause of the depression of these establishments may probably be found, in the pecuniary embarrassments which have recently affected those Countries with which our commerce has been principally prosecuted.

Their manufactures, for the want of a ready or profitable market at Home, have been shipped by the manufacturers to The United States, and, in many instances, sold at a price below their current value at the place of manufacture. Although this practice may, from its nature, be considered temporary, or contingent, it is not on that account less injurious in its effects. Uniformity, in the demand and price of an article, is highly desirable to the domestic manufacturer.

It is deemed of great importance to give encouragement to our domestic manufacturers. In what manner the evils adverted to may be remedied, and how far it may be practicable, in other respects, to afford to them further encouragement, paying due regard to the other great interests of the Nation, is submitted to the wisdom of Congress.

The survey of the Coast, for the establishment of Fortifications, is now nearly completed, and considerable progress has been made in the collection of materials for the construction of Fortifications in the Gulph of Mexico, and in the Chesapeake Bay. The works on the Eastern bank of the Potomac, below Alexandria, and on the Pea-patch in the Delaware, are much advanced; and it is expected that the Fortifications at the Narrows, in the Harbour of New York, will be completed the present year. To derive all the advantages contemplated from these Fortifications, it was necessary that they should be judiciously posted, and constructed with a view to permanence. The progress, hitherto, has therefore been slow; but, as the difficulties, in parts heretofore the least explored and known, are surmounted, it will, in future, be more rapid, As soon as the survey of the Coast is com