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means of helping on the national development of the Church in Hayti.

The Commission of Bishops appointed by the House of Bishops, and placed in charge of the relations of the Protestant Episcopal Church in the United States with the "Mexican Branch of the Catholic Church of our Lord Jesus Christ Militant upon Earth," in October issued a circular calling attention to the need of the Mexican Church for help, inviting contributions in its aid, and stating the appointment of a committee of three presbyters and four laymen as a special auxiliary committee for Mexican relief, to take the needful measures for raising moneys and administering financial assistance to the Mexican Church during the pressure of its necessities.

PRUSSIA, a kingdom of Europe, forming part of the German Empire. King, William I., German Emperor and King of Prussia. (For an account of the royal family, see GERMANY.)

The Prussian ministry in 1876 was composed as follows: President, Prince von Bismarck, Minister of Foreign Affairs and Chancellor of the German Empire; Camphausen (appointed October 26, 1869), Minister of Finance; Count zu Eulenburg (December 9, 1862), Minister of the Interior; Dr. Leonhardt (December 5, 1867), Minister of Justice; Dr. Falk (January 22, 1872), Minister of Ecclesiastical, Educational, and Medical Affairs; General von Kameke (November 9, 1873), Minister of War; Dr. Achenbach (May 13, 1873), Minister for Commerce, Trade, and Public Works; Dr. Friedenthal (September 19, 1874), Minister of Agricultural Affairs; Von Bülow (June 6, 1876), Secretary of State in the Foreign Office; Hofmann (June 6, 1876), President of the Imperial Chancery.

According to the budget for the year 1876, the revenue and expenditures were estimated each at 651,429,400 marks (1 mark 23.8 cents). The revenue, which is divided under seven heads, representing the various ministerial departments, with the exception of the Ministry of Foreign Affairs, was as follows:

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A remarkable feature of the revenue system of Prussia is the rapid increase of the receipts from railroads and other state undertakings, such as mines. It is expected that they will soon become a far more fruitful source of income than all taxation, direct or indirect. The expenditures are divided into continuing (fortdauernde) and transitory (einmalige) and extraordinary (ausserordentliche) disbursements. The continuing are subdivided into current expenditures (Betriebsausgaben), administrative expenditures (Staatsverwaltungsausgaben), and charges on the consolidated fund (Dotationen). In the estimates for 1876 the branches of expenditures were as follows:

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Total administrative expenditures....

III. CHARGES ON CONSOLIDATED FUND:

286,944,813

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canal dues..

f. Miscellaneous

Total indirect taxes.

4. State lottery...

5. Seehandlung (Naval Commercial Institu

tion)..

6. The mint.....

7. State printing-office..

8. Miscellaneous..

4,035,500

The public debt, embracing the national 46,210,000 debt bearing interest-which includes the consolidated debt, debt of provinces, non-consol8,450,000 idated loans, etc.-and the national debt not 1.434,600 bearing interest, according to a report laid before the House of Deputies in the session of 1876, was on January 1, 1876, as follows:

2,304.000

43,861,671

Total revenue of Ministry of Finance... 827,823,125

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918,809,585 The following table exhibits the rapid reduction of the public debt of Prussia since 1872:

YEARS. 1876..

1875.

1874..

1873..

1872..

state right of supervision and administration of the property of Catholic dioceses were approaching their conclusion. The debates on the budget were prolonged by the frequent and violent attacks made by the members of the Centre upon the policy of the Government in regard to the Catholic Church; but on March 24th the Herrenhaus adopted it in the form it came up from the Abgeordnetenhaus. A considerable excitement was produced by 888,809,585 the introduction of a Government bill for the 80,000,000 sale of the Prussian railways to the empire. The bill has only two paragraphs. The first, which has five clauses, commences thus: "The Government is empowered to conclude treaties with the German Empire by which shall be transferred to the German Empire, by purchase for a proper consideration, all state railways, including those railways still to be constructed, as well as those already in existence, with all premises and all existing rights and obligations." The second clause provides that all state rights having reference to the administration or management of the railways not belonging to the state shall be transferred to the German Empire. The third clause states that there shall be ceded to the German Empire to the same extent all other rights or shares incumbent on the state in connection with the railways. The fourth clause recites

Total Public Debt.
919,409,505

947,113,086

1,014.227,807

1,081,382,307
1,317,888,534

The session of the Prussian Diet was opened on January 16th, more than eighty members being present. Herr Camphausen, Minister of Finance, and Vice-President of the Prussian Ministry, read the speech from the throne. The speech commenced by referring to the pressure weighing upon trade and industry, but expressed confidence that the Prussian people would succeed through their energy in overcoming the difficulties of the situation. The revenue was not so large as set down in the estimates for 1876, but sufficient to carry on the administration in the same manner as formerly, to allow larger grants in various departments, and to give further development to the great public works of construction which had been undertaken. The speech announced that the budget would be immediately submitted to the Diet, as also bills for settling the jurisdiction of the newlycreated public author

ities, altering the regulations for the administration of towns, forming a communal union for the city of Berlin, regulating the question of settlement and legal position of agricultural and forest laborers, completing the laws for the protection of forests, granting a legal sanction to the rules of the General Synod, and regulating the state's rights of supervision over the Evangelical Churches. The speech remarked that the preliminary labors connected with the drafting of a law upon the

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ROYAL PALACE, POTSDAM.

that the German Government takes upon itself other state obligations connected with railways which are not its own. By the fifth clause the right of controlling the railways of the country is passed over to the Government. In the second paragraph the approval of both Houses of the Prussian Diet is reserved. With regard to the clauses 3 and 4 of the first paragraph, the explanations given in the bill occupy sixteen narrowly-printed pages. Stress is laid upon the long-needed reform of railway affairs

in Prussia, and the dangers of further delay in attending to the matter are pointed out. The most remarkable passage in these reasons is the following: "In case the endeavors of the Prussian Government respecting the transference of the Prussian railway property to the empire should fail by the opposition of some influential parties in the empire, there could be no doubt that Prussia herself would try with the greatest energy to accomplish the task, and would have especially to consider, as the next step in the carrying out of her railway policy, the enlargement and consolidation of her own railway system. What Prussia owes her confederates would then be paid, and nothing would henceforth hinder her opposing the detrimental division existing in the railway affairs, and the preponderance of private railway influence. The consequence of this Prussian railway policy would then probably be that by enlargement of the state railway system, and full development of the influence arising from the possession and administration of the railways, the ascendency of the interests of the Prussian lines would be felt far beyond the limits of Prussian territory."

As Herr Delbrück, the president of the of fice of the Chancellor of the Empire, resigned at the time when the House of Deputies began the discussion of the bill, it was believed by many that the resignation was caused by a disagreement between Bismarck and Delbrück, but Prince Bismarck emphatically declared that it was unconnected with the railway question, and solely due to the condition of Herr Delbrück's health. The bill was favorably received by the majority of the Diet as tending to strengthen the consolidation and unity of the empire, and it was on April 29th passed to a second reading in the House of Deputies by the test-vote of 206 against 165. The bill for the incorporation of the duchy of Lauenburg with the kingdom of Prussia was passed without opposition, and was unanimously ratified, on June 2d, by the Lauenburg Diet. The bill providing for the introduction of the new synodal constitution of the United Evangelical Church was approved (by the House of Deputies, on May 9th, by 211 against 141 votes), and the bill for the administration of the property of the Catholic Church obtained the approval of all the parties except the Centre and the Poles-the vote in the House of Deputies being 211 for and only 92 against it. The violent opposition, on the part of the Poles, to another Government bill, which makes the German the only official language throughout the monarchy, proved likewise unavailing. On one of the most important bills of the session, the so-called Competence bill, which is designed to regulate the powers of all authorities created by the laws published in 1872 and 1875 concerning the self-government of provinces, an agreement between the Government and the majority of the two Houses was efSee ANNUAL CYCLOPEDIA for 1875, p. 655.

fected in the last days of the session. With regard to another important bill concerning the "Städteordnung," or municipal government, the majority of the House of Deputies refused to concur in the proposition of the Government as sanctioned by the House of Lords. It demanded an extension of the autonomy or self-government of cities to a degree which, in the opinion of the Government, would endanger the unity of the state, and a democratic change in the electoral law which at the present time, as the Government thought, would dangerously increase the influence of the Catholic Church and the social democratic party upon the masses of the population. The session was closed on June 30th by the Vice-President of the Ministry, Camphausen, without a speech from the throne.

In the

The election of a new Prussian House of Deputies took place on October 27th. After the incorporation of the duchy of Lauenburg, which elects one deputy, the total number of the members of the Prussian Diet is 433. In the former Diet the two liberal parties, the National Liberals and the Party of Progress, had an aggregate of 242 members. new House they number 248, of whom 70 (an increase of 1) belong to the Party of Progress, and 178 (an increase of 5) to the National Liberals. To these must be added 3 "Old Liberals" (a decrease of 1), and 5 Liberals who are not connected with any of the parliamentary parties. The "Centre" has, as before, 88 members, among whom are 4 "Hospitanten" (visitors). The Poles have lost 3 districts, and have been reduced to 15. Northern Schleswig again sends 2 Danes. The various conservative parties have, as in the preceding House, an aggregate of 72 members.

The conflict between the Prussian Government and the Catholic Church continued throughout the year undiminished. On March 8th the Bishop of Münster, and on July 17th the Archbishop of Cologne, were deposed from their sees, and the property of their dioceses was placed under the administration of state officers.

PUBLIC DOCUMENTS. Message of Presi dent GRANT, at the commencement of the second session of the Forty-fourth Congress, December 5, 1876.

To the Senate and House of Representatives :

In submitting my eighth and last annual message to Congress, it seems proper that I should refer 10, and in some degree recapitulate, the events and offcial acts of the past eight years.

It was my fortune, or misfortune, to be called to the office of Chief Executive without any previous political training. From the age of seventeen I had never even witnessed the excitement attending a presidential campaign but twice antecedent to y ble as a voter. own candidacy, and at but one of them was I eligi

Under such circumstances it is but reasonable to

suppose that errors of judgment must have occurred. Even had they not, differences of opinion between the Executive, bound by an oath to the strict performance of his duties, and writers and debaters, must have arisen. It is not necessarily evidence of

blunder on the part of the Executive because there are these differences of views. Mistakes have been made, as all can see and I admit, but it seems to me oftener in the selections made of the assistants appointed to aid in carrying out the various duties of administering the Government-in nearly every case selected without a personal acquaintance with the appointee, but upon recommendations of the representatives chosen directly by the people. It is impossible, where so many trusts are to be allotted, that the right parties should be chosen in every instance. History shows that no Administration, from the time of Washington to the present, has been free from these mistakes. But I leave comparisons to history, claiming that I have acted in every instance from a conscientious desire to do what was right, constitutional within the law, and for the very best interests of the whole people. Failures have been errors of judgment, not of intent.

My civil career commenced, too, at a most critical and difficult time. Less than four years before, the country had emerged from a conflict such as no other nation had ever survived. Nearly one-half of the States had revolted against the Government; and, of those remaining faithful to the Union, a large percentage of the population sympathized with the rebellion and made an "enemy in the rear," almost as dangerous as the more honorable enemy in the front. The latter comunitted errors of judgment, but they maintained them openly and courageously; the former received the protection of the Government they would see destroyed, and reaped all the pecuniary advantage to be gained out of the then existing state of affairs; many of them by obtaining contracts, and by swindling the Government in the delivery of their goods.

Immediately on the cessation of hostilities, the then noble President, who had carried the country so far through its perils, fell a martyr to his patriotism at the hands of an assassin.

The intervening time to my first inauguration was filled up with wranglings between Congress and the new Executive as to the best mode of "reconstruction," or, to speak plainly, as to whether the control of the Government should be thrown immediately into the hands of those who had so recently and persistently tried to destroy it, or whether the victors should continue to have an equal voice with them in this control. Reconstruction, as finally agreed upon, means this and only this, except that the late slave was enfranchised, giving an increase, as was supposed, to the Union-loving and Union-supporting votes. If free, in the full sense of the word, they would not disappoint this expectation. Hence, at the beginning of my first Administration, the work of reconstruction-much embarrassed by the long delay-virtually commenced. It was the work of the legislative branch of the Government. My province was wholly in approving their acts, which I did most heartily, urging the Legislatures of States that had not yet done so to ratify the fifteenth amendment to the Constitution. The country was laboring under an enormous debt, contracted in the suppression of rebellion, and taxation was so oppressive as to discourage production. Another danger also threatened us-a foreign war. The last difficulty had to be adjusted, and was adjusted, without a war, and in a manner highly honorable to all parties concerned. Taxes have been reduced within the last seven years nearly three hundred millions of dollars, and the national debt has been reduced in the same time over four hundred and thirty-five millions of dollars. By refunding the six per cent. bonded debt for bonds bearing five and four and one-half per cent. interest, respectively, the annual interest has been reduced from over one hundred and thirty millions of dollars in 1869 to but little over one hundred millions of dollars in 1876. The balance of trade has been changed from over one hundred and thirty millions against the United

States in 1869 to more than one hundred and twenty millions of dollars in our favor in 1876.

It is confidently believed that the balance of trade in favor of the United States will increase, not diminish, and that the pledge of Congress to resume specie payments in 1879 will be easily accomplished, even in the absence of much desired further legislation on the subject.

A policy has been adopted toward the Indian tribes inhabiting a large portion of the territory of the United States which has been humane, and has substantially ended Indian hostilities in the whole land, except in a portion of Nebraska, and Dakota, Wyoming, and Montana Territories-the Black Hills region and approaches thereto. Hostilities there have grown out of the avarice of the white man, who has violated our treaty stipulations in his search for gold. The question might be asked why the Government has not enforced obedience to the terms of the treaty prohibiting the occupation of the Black Hills region by whites? The answer is simple: The first immigrants to the Black Hills were removed by troops, but rumors of rich discoveries of gold took into that region increased numbers. Gold has actually been found in paying quantity, and an effort to remove the miners would only result in the desertion of the bulk of the troops that might be sent there to remove them. All difficulty in this matter has, however, been removed-subject to the approval of Congress-by a treaty ceding the Black Hills and the approaches to settlement by citizens.

The subject of Indian policy and treatment is so fully set forth by the Secretary of the Interior and the Commissioner of Indian Affairs, and my views so fully expressed therein, that I refer to their reports and recommendations as my own.

The relations of the United States with foreign powers continue on a friendly footing.

Questions have arisen from time to time in the foreign relations of the Government, but the United States have been happily free during the past year from the complications and embarrassments which have surrounded some of the foreign powers.

The diplomatic correspondence submitted herewith contains information as to certain of the matters which have occupied the Government.

The cordiality which attends our relations with the powers of the earth has been plainly shown by the general participation of foreign nations in the exhibition which has just closed, and by the exertions made by distant powers to show their interest in and friendly feelings toward the United States in the commemoration of the centennial of the nation. The Government and people of the United States have not only fully appreciated this exhibition of kindly feeling, but it may be justly and fairly expected that no small benefits will result both to ourselves and other nations from a better acquaintance, and a better appreciation of our mutual advantages and mutual wants.

Congress at its last session saw fit to reduce the amount usually appropriated for foreign intercourse by withholding appropriations for representatives of the United States in certain foreign countries, and for certain consular officers, and by reducing the amounts usually appropriated for certain other diplomatic posts, and thus necessitating a change in the grade of the representatives. For these reasons, immediately upon the passage of the bill making appropriations for the diplomatic and consular service for the present fiscal year, instructions were issued to the representatives of the United States at Bolivia, Ecuador, and Colombia, and to the consular officers for whom no appropriation had been made, to close their respective legations and consulates, and cease from the performance of their duties; and in like manner steps were immediately taken to substitute chargés d'affaires for ministersresident in Portugal, Denmark, Greece, Switzerland, and Paraguay.

While thoroughly impressed with the wisdom of Bound economy in the foreign service as in other branches of the Government, I cannot escape the conclusion that in some instances the withholding of appropriations will prove an expensive economy, and that the small retrenchment secured by a change of grade in certain diplomatic posts is not an adequate consideration for the loss of influence and importance which will attend our foreign representatives under this reduction. I am of the opinion that a reexamination of the subject will cause a change in some instances in the conclusions reached on these subjects at the last session of Congress.

The Court of Commissioners of Alabama Claims, whose functions were continued by an act of the last session of Congress until the 1st day of January, 1877, bas carried on its labors with diligence and general satisfaction. By a report from the clerk of the court, transmitted herewith, bearing date November 14, 1876, it appears that within the time now allowed by law the court will have disposed of all the claims presented for adjudication. This report also contains a statement of the general results of the labors of the court to the date thereof. It is a cause of satisfaction that the method adopted for the satisfaction of the classes of claims submitted

to the court, which are of long standing and justly entitled to early consideration, should have proved successful and acceptable.

It is with satisfaction that I am enabled to state that the work of the joint commission for determining the boundary-line between the United States and British possessions from the northwest angle of the Lake of the Woods to the Rocky Mountains, commenced in 1872, has been completed. The final agreements of the commissioners, with the maps, have been duly signed, and the work of the commission is complete.

The fixing of the boundary upon the Pacific coast by the protocol of March 10, 1873, pursuant to the award of the Emperor of Germany by Article XXXIV. of the Treaty of Washington, with the termination of the work of this commission, adjusts and fixes the entire boundary between the United States and the British possessions, except as to the portion of territory ceded by Russia to the United States under the treaty of 1867. The work intrusted to the commissioner and the officers of the Army attached to the commission has been well and satisfactorily performed. The original of the final agreement of the commissioners, signed upon the 29th of May, 1876, with the original "list of astronomical stations observed," the original official "list of monuments marking the international boundaryline," and the maps, records, and general reports relating to the commission, have been deposited in the Department of State. The official report of the commissioner on the part of the United States, with the report of the chief astronomer of the United States, will be submitted to Congress within a short time.

I reserve for a separate communication to Congress a statement of the condition of the questions which lately arose with Great Britain respecting the surrender of fugitive criminals under the treaty of 1842. The Ottoman Government gave notice, under date of January 15, 1874, of its desire to terminate the treaty of 1862, concerning commerce and navigation, pursuant to the provisions of the twenty-second article thereof. Under this notice the treaty terminated upon the 5th day of June, 1876. That Government has invited negotiations toward the conclusion of a new treaty.

By the act of Congress of March 23, 1874, the President was authorized, when he should receive satisfactory information that the Ottoman Government or that of Egypt had organized new tribunals likely to secure to citizens of the United States the same impartial justice enjoyed under the exercise of judicial functions by diplomatic and consular officers

of the United States, to suspend the operation of the act of June 22, 1860, and to accept for citizens of the United States the jurisdiction of the new tribunals. Satisfactory information having been received of the organization of such new tribunals in Egypt, I caused a proclamation to be issued upon the 27th of March last, suspending the operation of the act of June 22, 1860, in Egypt, according to the provisions of the act. A copy of the proclamation accompanies this message. The United States has united with the other powers in the organization of these courts. It is hoped that the jurisdictional questions which have arisen may be readily adjusted, and that this advance in judicial reform may be hindered by no obstacles.

The necessary legislation to carry into effect the convention respecting commercial reciprocity concluded with the Hawaiian Islands in 1875 having been had, the proclamation to carry into effect the convention as provided by the act approved August 15, 1876, was duly issued upon the 9th day of September last. A copy thereof accompanies this mes sage.

The commotions which have been prevalent in Mexico for some time past, and which unhappily seem to be not yet wholly quieted, have led to complaints of citizens of the United States of injuries by persons in authority. It is hoped, however, that these will ultimately be adjusted to the satisfaction of both Governments. The frontier of the United States in that quarter has not been exempt from acts of violence by citizens of one republic on those of the other. The frequency of these is supposed to be increased and their adjustment made more difficult by the considerable changes in the course of the lower part of the Rio Grande River, which river is a part of the boundary between the two countries. These changes have placed on either side of that river portions of land which by existing conventions belong to the jurisdiction of the Government on the opposite side of the river. The subject of adjustment of this cause of difficulty is under consideration between the two republics.

The Government of the United States of Colombia has paid the award in the case of the steamer Montijo, seized by authorities of that Government some years since, and the amount has been transferred to the claimants.

It is with satisfaction that I am able to announce that the joint commission for the adjustment of claims between the United States and Mexico, under the convention of 1868, the duration of which has been several times extended, has brought its labors to a close. From the report of the agent of the United States, which accompanies the papers transmitted herewith, it will be seen that within the time limited by the commission one thousand and seventeen claims on the part of citizens of the United States against Mexico were referred to the commission. Of these claims, eight hundred and thirty-one were dismissed or disallowed, and in one hundred and eighty-six cases awards were made in favor of the claimants against the Mexican Republic, amourting in the aggregate to four million one hundred and twenty-five thousand six hundred and twentytwo dollars and twenty cents. Within the same period nine hundred and ninety-eight claims on the part of the citizens of the Mexican Republie against the United States were referred to the commission. Of these claims eight hundred and thirty-one were dismissed or disallowed; and in one hundred and sixty-seven cases awards were made in favor of the claimants against the United States, amounting in the aggregate to one hundred and fifty thousand four hundred and ninety-eight dollars and forty-one cents.

By the terms of the convention the amount of these awards is to be deducted from the amount awarded in favor of our citizens against Mexico, and the balance only to be paid by Mexico to the United States, leaving the United States to make provision

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