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State of the Union Addresses of Ulysses S. Grant

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I invite the favorable consideration of Congress to the suggestions and
recommendations of the Postmaster-General for an extension of the
free-delivery system in all cities having a population of not less than
10,000; for the prepayment of postage on newspapers and other printed
matter of the second class; for a uniform postage and limit of weight on
miscellaneous matter; for adjusting the compensation of all postmasters not
appointed by the President, by the old method of commissions on the actual
receipts of the office, instead of the present mode of fixing the salary in
advance upon special returns; and especially do I urge favorable action by
Congress on the important recommendations of the Postmaster-General for the
establishment of United States postal savings depositories.

Your attention is also again called to a consideration of the question of
postal telegraphs and the arguments adduced in support thereof, in the hope
that you may take such action in connection therewith as in your judgment
will most contribute to the best interests of the country.

DEPARTMENT OF JUSTICE.

Affairs in Utah require your early and special attention. The Supreme Court
of the United States, in the case of Clinton vs. Englebrecht, decided that
the United States marshal of that Territory could not lawfully summon
jurors for the district courts; and those courts hold that the Territorial
marshal can not lawfully perform that duty, because he is elected by the
legislative assembly, and not appointed as provided for in the act
organizing the Territory. All proceedings at law are practically abolished
by these decisions, and there have been but few or no jury trials in the
district courts of that Territory since the last session of Congress.
Property is left without protection by the courts, and crimes go
unpunished. To prevent anarchy there it is absolutely necessary that
Congress provide the courts with some mode of obtaining jurors, and I
recommend legislation to that end, and also that the probate courts of the
Territory, now assuming to issue writs of injunction and habeas corpus and
to try criminal cases and questions as to land titles, be denied all
jurisdiction not possessed ordinarily by courts of that description.

I have become impressed with the belief that the act approved March 2,
1867, entitled "An act to establish a uniform system of bankruptcy
throughout the United States," is productive of more evil than good at this
time. Many considerations might be urged for its total repeal, but, if this
is not considered advisable, I think it will not be seriously questioned
that those portions of said act providing for what is called involuntary
bankruptcy operate to increase the financial embarrassments of the country.
Careful and prudent men very often become involved in debt in the
transaction of their business, and though they may possess ample property,
if it could be made available for that purpose, to meet all their
liabilities, yet, on account of the extraordinary scarcity of money, they
may be unable to meet all their pecuniary obligations as they become due,
in consequence of which they are liable to be prostrated in their business
by proceedings in bankruptcy at the instance of unrelenting creditors.
People are now so easily alarmed as to monetary matters that the mere
filing of a petition in bankruptcy by an unfriendly creditor will
necessarily embarrass, and oftentimes accomplish the financial ruin, of a
responsible business man. Those who otherwise might make lawful and just
arrangements to relieve themselves from difficulties produced by the
present stringency in money are prevented by their constant exposure to
attack and disappointment by proceedings against them in bankruptcy, and,
besides, the law is made use of in many cases by obdurate creditors to
frighten or force debtors into a compliance with their wishes and into acts
of injustice to other creditors and to themselves. I recommend that so much
of said act as provides for involuntary bankruptcy on account of the
suspension of payment be repealed.

Your careful attention is invited to the subject of claims against the
Government and to the facilities afforded by existing laws for their
prosecution. Each of the Departments of State, Treasury, and War has
demands for many millions of dollars upon its files, and they are rapidly
accumulating. To these may be added those now pending before Congress, the
Court of Claims, and the Southern Claims Commission, making in the
aggregate an immense sum. Most of these grow out of the rebellion, and are
intended to indemnify persons on both sides for their losses during the
war; and not a few of them are fabricated and supported by false testimony.
Projects are on foot, it is believed, to induce Congress to provide for new
classes of claims, and to revive old ones through the repeal or
modification of the statute of limitations, by which they are now barred. I
presume these schemes, if proposed, will be received with little favor by
Congress, and I recommend that persons having claims against the United
States cognizable by any tribunal or Department thereof be required to
present them at an early day, and that legislation be directed as far as
practicable to the defeat of unfounded and unjust demands upon the
Government; and I would suggest, as a means of preventing fraud, that
witnesses be called upon to appear in person to testify before those
tribunals having said claims before them for adjudication. Probably the
largest saving to the National Treasury can be secured by timely
legislation on these subjects of any of the economic measures that will be
proposed.

You will be advised of the operations of the Department of Justice by the
report of the Attorney-General, and I invite your attention to the
amendments of existing laws suggested by him, with the view of reducing the
expenses of that Department.

DEPARTMENT OF THE INTERIOR.

The policy inaugurated toward the Indians at the beginning of the last
Administration has been steadily pursued, and, I believe, with beneficial
results. It will be continued with only such modifications as time and
experience may demonstrate as necessary.

With the encroachment of civilization upon the Indian reservations and
hunting grounds, disturbances have taken place between the Indians and
whites during the past year, and probably will continue to do so until each
race appreciates that the other has rights which must be respected.

The policy has been to collect the Indians as rapidly as possible on
reservations, and as far as practicable within what is known as the Indian
Territory, and to teach them the arts of civilization and self-support.
Where found off their reservations, and endangering the peace and safety of
the whites, they have been punished, and will continue to be for like
offenses.

The Indian Territory south of Kansas and west of Arkansas is sufficient in
area and agricultural resources to support all the Indians east of the
Rocky Mountains. In time, no doubt, all of them, except a few who may elect
to make their homes among white people, will be collected there. As a
preparatory step for this consummation, I am now satisfied that a
Territorial form of government should be given them, which will secure the
treaty rights of the original settlers and protect their homesteads from
alienation for a period of twenty years.

The operations of the Patent Office are growing to such a magnitude and the
accumulation of material is becoming so great that the necessity of more
room is becoming more obvious day by day. I respectfully invite your
attention to the reports of the Secretary of the Interior and Commissioner
of Patents on this subject.

The business of the General Land Office exhibits a material increase in all
its branches during the last fiscal year. During that time there were
disposed of out of the public lands 13,030,606 acres, being an amount
greater by 1,165,631 acres than was disposed of during the preceding year.
Of the amount disposed of, 1,626,266 acres were sold for cash, 214,940
acres were located with military land warrants, 3,793,612 acres were taken
for homesteads, 653,446 acres were located with agricultural-college scrip,
6,083,536 acres were certified by railroads, 76,576 acres were granted to
wagon roads, 238,548 acres were approved to States as swamp lands, 138,681
acres were certified for agricultural colleges, common schools,
universities, and seminaries, 190,775 acres were approved to States for
internal improvements, and 14,222 acres were located with Indian scrip. The
cash receipts during the same time were $3,408,515.50, being $190,415.50 in
excess of the receipts of the previous year. During the year 30,488,132
acres of public land were surveyed, an increase over the amount surveyed
the previous year of 1,037,193 acres, and, added to the area previously
surveyed, aggregates 616,554,895 acres which have been surveyed, leaving
1,218,443,505 acres of the public land still unsurveyed.

The increased and steadily increasing facilities for reaching our
unoccupied public domain and for the transportation of surplus products
enlarge the available field for desirable homestead locations, thus
stimulating settlement and extending year by year in a gradually increasing
ratio the area of occupation and cultivation.

The expressed desire of the representatives of a large colony of citizens
of Russia to emigrate to this country, as is understood, with the consent
of their Government, if certain concessions can be made to enable them to
settle in a compact colony, is of great interest, as going to show the
light in which our institutions are regarded by an industrious,
intelligent, and wealthy people, desirous of enjoying civil and religious
liberty; and the acquisition of so large an immigration of citizens of a
superior class would without doubt be of substantial benefit to the
country. I invite attention to the suggestion of the Secretary of the
Interior in this behalf.

There was paid during the last fiscal year for pensions, including the
expense of disbursement, $29,185,289.62, being an amount less by
$984,050.98 than was expended for the same purpose the preceding year.
Although this statement of expenditures would indicate a material reduction
in amount compared with the preceding year, it is believed that the changes
in the pension laws at the last session of Congress will absorb that amount
the current year. At the close of the last fiscal year there were on the
pension rolls 99,804 invalid military pensioners and 112,088 widows,
orphans, and dependent relatives of deceased soldiers, making a total of
that class of 211,892; 18,266 survivors of the War of 1812 and 5,058 widows
of soldiers of that war pensioned under the act of Congress of February 14,
1871, making a total of that class of 23,319; 1,480 invalid navy pensioners
and 1,770 widows, orphans, and dependent relatives of deceased officers,
sailors, and marines of the Navy, making a total of navy pensioners of
3,200, and a grand total of pensioners of 311 classes of 238,411, showing a
net increase during the last fiscal year of 6,182. During the last year the
names of 16,405 pensioners were added to the rolls, and 10,223 names were
dropped therefrom for various causes.

The system adopted for the detection of frauds against the Government in
the matter of pensions has been productive of satisfactory results, but
legislation is needed to provide, if possible, against the perpetration of
such frauds in future.

The evidently increasing interest in the cause of education is a most
encouraging feature in the general progress and prosperity of the country,
and the Bureau of Education is earnest in its efforts to give proper
direction to the new appliances and increased facilities which are being
offered to aid the educators of the country in their great work.

The Ninth Census has been completed, the report thereof published and
distributed, and the working force of the Bureau disbanded. The Secretary
of the Interior renews his recommendation for a census to be taken in 1875,
to which subject the attention of Congress is invited. The original
suggestion in that behalf has met with the general approval of the country;
and even if it be not deemed advisable at present to provide for a regular
quinquennial census, a census taken in 1875, the report of which could be
completed and published before the one hundredth anniversary of our
national independence, would be especially interesting and valuable, as
showing the progress of the country during the first century of our
national existence. It is believed, however, that a regular census every
five years would be of substantial benefit to the country, inasmuch as our
growth hitherto has been so rapid that the results of the decennial census
are necessarily unreliable as a basis of estimates for the latter years of
a decennial period.

DISTRICT OF COLUMBIA.

Under the very efficient management of the governor and the board of public
works of this District the city of Washington is rapidly assuming the
appearance of a capital of which the nation may well be proud. From being a
most unsightly place three years ago, disagreeable to pass through in
summer in consequence of the dust arising from unpaved streets, and almost
impassable in the winter from the mud, it is now one of the most sightly
cities in the country, and can boast of being the best paved.

The work has been done systematically, the plans, grades, location of
sewers, water and gas mains being determined upon before the work was
commenced, thus securing permanency when completed. I question whether so
much has ever been accomplished before in any American city for the same
expenditures. The Government having large reservations in the city, and the
nation at large having an interest in their capital, I recommend a liberal
policy toward the District of Columbia, and that the Government should bear
its just share of the expense of these improvements. Every citizen visiting
the capital feels a pride in its growing beauty, and that he too is part
owner in the investments made here.

I would suggest to Congress the propriety of promoting the establishment in
this District of an institution of learning, or university of the highest
class, by the donation of lands. There is no place better suited for such
an institution than the national capital. There is no other place in which
every citizen is so directly interested.

CIVIL-SERVICE REFORM.

In three successive messages to Congress I have called attention to the
subject of "civil-service reform."

Action has been taken so far as to authorize the appointment of a board to
devise rules governing methods of making appointments and promotions, but
there never has been any action making these rules, or any rules, binding,
or even entitled to observance, where persons desire the appointment of a
friend or the removal of an official who may be disagreeable to them.

To have any rules effective they must have the acquiescence of Congress as
well as of the Executive. I commend, therefore, the subject to your
attention, and suggest that a special committee of Congress might confer
with the Civil-Service Board during the present session for the purpose of
devising such rules as can be maintained, and which will secure the
services of honest and capable officials, and which will also protect them
in a degree of independence while in office.

Proper rules will protect Congress, as well as the Executive, from much
needless persecution, and will prove of great value to the public at
large.

I would recommend for your favorable consideration the passage of an
enabling act for the admission of Colorado as a State in the Union. It
possesses all the elements of a prosperous State, agricultural and mineral,
and, I believe, has a population now to justify such admission. In
connection with this I would also recommend the encouragement of a canal
for purposes of irrigation from the eastern slope of the Rocky Mountains to
the Missouri River. As a rule I am opposed to further donations of public
lands for internal improvements owned and controlled by private
corporations, but in this instance I would make an exception. Between the
Missouri River and the Rocky Mountains there is an arid belt of public land
from 300 to 500 miles in width, perfectly valueless for the occupation of
man, for the want of sufficient rain to secure the growth of any product.
An irrigating canal would make productive a belt as wide as the supply of
water could be made to spread over across this entire country, and would
secure a cordon of settlements connecting the present population of the
mountain and mining regions with that of the older States. All the land
reclaimed would be clear gain. If alternate sections are retained by the
Government, I would suggest that the retained sections be thrown open to
entry under the homestead laws, or sold to actual settlers for a very low
price.

I renew my previous recommendation to Congress for general amnesty. The
number engaged in the late rebellion yet laboring under disabilities is
very small, but enough to keep up a constant irritation. No possible danger
can accrue to the Government by restoring them to eligibility to hold
office.

I suggest for your consideration the enactment of a law to better secure
the civil rights which freedom should secure, but has not effectually
secured, to the enfranchised slave. U. S. GRANT

***

State of the Union Address
Ulysses S. Grant
December 7, 1874

To the Senate and House of Representatives:

Since the convening of Congress one year ago the nation has undergone a
prostration in business and industries such as has not been witnessed with
us for many years. Speculation as to the causes for this prostration might
be indulged in without profit, because as many theories would be advanced
as there would be independent writers--those who expressed their own views
without borrowing--upon the subject. Without indulging in theories as to
the cause of this prostration, therefore, I will call your attention only
to the fact, and to some plain questions as to which it would seem there
should be no disagreement.

During this prostration two essential elements of prosperity have been most
abundant--labor and capital. Both have been largely unemployed. Where
security has been undoubted, capital has been attainable at very moderate
rates. Where labor has been wanted, it has been found in abundance, at
cheap rates compared with what--of necessaries and comforts of life--could
be purchased with the wages demanded. Two great elements of prosperity,
therefore, have not been denied us. A third might be added: Our soil and
climate are unequaled, within the limits of any contiguous territory under
one nationality, for its variety of products to feed and clothe a people
and in the amount of surplus to spare to feed less favored peoples.
Therefore, with these facts in view, it seems to me that wise
statesmanship, at this session of Congress, would dictate legislation
ignoring the past; directing in proper channels these great elements of
prosperity to any people. Debt, debt abroad, is the only element that can,
with always a sound currency, enter into our affairs to cause any continued
depression in the industries and prosperity of our people.

A great conflict for national existence made necessary, for temporary
purposes, the raising of large sums of money from whatever source
attainable. It made it necessary, in the wisdom of Congress--and I do not
doubt their wisdom in the premises, regarding the necessity of the
times--to devise a system of national currency which it proved to be
impossible to keep on a par with the recognized currency of the civilized
world. This begot a spirit of speculation involving an extravagance and
luxury not required for the happiness or prosperity of a people, and
involving, both directly and indirectly, foreign indebtedness. The
currency, being of fluctuating value, and therefore unsafe to hold for
legitimate transactions requiring money, became a subject of speculation
within itself. These two causes, however, have involved us in a foreign
indebtedness, contracted in good faith by borrower and lender, which should
be paid in coin, and according to the bond agreed upon when the debt was
contracted--gold or its equivalent. The good faith of the Government can
not be violated toward creditors without national disgrace. But our
commerce should be encouraged; American shipbuilding and carrying capacity
increased; foreign markets sought for products of the soil and
manufactories, to the end that we may be able to pay these debts. Where a
new market can be created for the sale of our products, either of the soil,
the mine, or the manufactory, a new means is discovered of utilizing our
idle capital and labor to the advantage of the whole people. But, in my
judgment, the first step toward accomplishing this object is to secure a
currency of fixed, stable value; a currency good wherever civilization
reigns; one which, if it becomes superabundant with one people, will find a
market with some other; a currency which has as its basis the labor
necessary to produce it, which will give to it its value. Gold and silver
are now the recognized medium of exchange the civilized world over, and to
this we should return with the least practicable delay. In view of the
pledges of the American Congress when our present legal-tender system was
adopted, and debt contracted, there should be no delay--certainly no
unnecessary delay--in fixing by legislation a method by which we will
return to specie. To the accomplishment of this end I invite your special
attention. I believe firmly that there can be no prosperous and permanent
revival of business and industries until a policy is adopted--with
legislation to carry it out--looking to a return to a specie basis. It is
easy to conceive that the debtor and speculative classes may think it of
value to them to make so-called money abundant until they can throw a
portion of their burdens upon others. But even these, I believe, would be
disappointed in the result if a course should be pursued which will keep in
doubt the value of the legal-tender medium of exchange. A revival of
productive industry is needed by all classes; by none more than the holders
of property, of whatever sort, with debts to liquidate from realization
upon its sale. But admitting that these two classes of citizens are to be
benefited by expansion, would it be honest to give it? Would not the
general loss be too great to justify such relief? Would it not be just as
honest and prudent to authorize each debtor to issue his own legal-tenders
to the extent of his liabilities? Than to do this, would it not be safer,
for fear of overissues by unscrupulous creditors, to say that all debt
obligations are obliterated in the United States, and now we commence anew,
each possessing all he has at the time free from incumbrance? These
propositions are too absurd to be entertained for a moment by thinking or
honest people. Yet every delay in preparation for final resumption partakes
of this dishonesty, and is only less in degree as the hope is held out that
a convenient season will at last arrive for the good work of redeeming our
pledges to commence. It will never come, in my opinion, except by positive
action by Congress, or by national disasters which will destroy, for a time
at least, the credit of the individual and the State at large. A sound
currency might be reached by total bankruptcy and discredit of the
integrity of the nation and of individuals. I believe it is in the power of
Congress at this session to devise such legislation as will renew
confidence, revive all the industries, start us on a career of prosperity
to last for many years and to save the credit of the nation and of the
people. Steps toward the return to a specie basis are the great requisites
to this devoutly to be sought for end. There are others which I may touch
upon hereafter.

A nation dealing in a currency below that of specie in value labors under
two great disadvantages: First, having no use for the world's acknowledged
medium of exchange, gold and silver, these are driven out of the country
because there is no need for their use; second, the medium of exchange in
use being of a fluctuating value--for, after all, it is only worth just
what it will purchase of gold and silver, metals having an intrinsic value
just in proportion to the honest labor it takes to produce them--a larger
margin must be allowed for profit by the manufacturer and producer. It is
months from the date of production to the date of realization. Interest
upon capital must be charged, and risk of fluctuation in the value of that
which is to be received in payment added. Hence high prices, acting as a
protection to the foreign producer, who receives nothing in exchange for
the products of his skill and labor except a currency good, at a stable
value, the world over It seems to me that nothing is clearer than that the
greater part of the burden of existing prostration, for the want of a sound
financial system, falls upon the working man, who must after all produce
the wealth, and the salaried man, who superintends and conducts business.
The burden falls upon them in two ways--by the deprivation of employment
and by the decreased purchasing power of their salaries. It is the duty of
Congress to devise the method of correcting the evils which are
acknowledged to exist, and not mine. But I will venture to suggest two or
three things which seem to me as absolutely necessary to a return to specie
payments, the first great requisite in a return to prosperity. The
legal-tender clause to the law authorizing the issue of currency by the
National Government should be repealed, to take effect as to all contracts
entered into after a day fixed in the repealing act--not to apply, however,
to payments of salaries by Government, or for other expenditures now
provided by law to be paid in currency, in the interval pending between
repeal and final resumption. Provision should be made by which the
Secretary of the Treasury can obtain gold as it may become necessary from
time to time from the date when specie redemption commences. To this might
and should be added a revenue sufficiently in excess of expenses to insure
an accumulation of gold in the Treasury to sustain permanent redemption.

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