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The said message was read, and is as follows:

Fellow citizens of the Senate

and of the House of Representatives.

AT no period of our political existence had we so much cause to felicitate ourselves at the prosperous and happy condition of our country. The abundant fruits of the earth have filled it with plenty. An extensive and profitable commerce has greatly augmented our revenue. The public credit has attained an extraordinary elevation. Our preparations for defence, in case of future wars, from which, by the experience of all nations, we ought not to expect to be exempted, are advancing, under a well digested system, with all the despatch which so important a work will admit. Our free government, founded on the interest and affections of the people, has gained, and is daily gaining, strength. Local jealousies are rapidly yielding to more generous, enlarged, and enlightened views of national policy. For advantages so numerous, and highly important, it is our duty to unite in grateful acknowledgments to that Onnipotent Being, from whom they are derived, and in unceasing prayer, that he will endow us with virtue and strength to maintain and hand them down, in their utmost purity, to our latest posterity.

I have the satisfaction to inform you, that an arrangement, which had been commenced by my predecessor, with the British government for the reduction of the naval force, by Great Britain and the United States, on the lakes, has been concluded; by which it is provided, that neither party shall keep in service on Lake Champlain more than one vessel; on Lake Ontario, more than one; and on Lake Erie, and the upper lakes, more than two; to be armed, each, with one cannon only; and that all the other armed vessels, of both parties, of which an exact list is interchanged, shall be dis. mantled. It is also agreed, that the force retained shall be restricted, in its duty, to the internal purposes of each party; and that the arrangement shall remain in force until six months shall have expired, after notice given by one of the parties to the other of its desire that it should terminate. By this arrangement, useless expense, on both sides, and, what is of still greater importance, the danger of collision, between armed vessels, in those inland waters, which was great, is prevented. I have the satisfaction also to state, that the commissioners, under the fourth article of the treaty of Ghent, to whom it was referred to decide, to which party the several islands in the Bay of Passamaquoddy belonged, under the treaty of one thousand seven hundred and eighty-three, have agreed in a report, by which all the islands in the possession of each party before the late war have been decreed to it. The commissioners, acting under the other articles of the treaty of Ghent, for the settlement of boundaries, have also been engaged in the discharge of their respective duties, but have not yet completed them. The difference which arosé between the two governments under that treaty, respecting the right of the United States to take and cure fish on the coast of the British provinces, north of our limits, which had been secured by the treaty of one thousand seven hundred and eighty-three, is still in negotiation. The proposition made by this government, to extend to the colonies of Great Britain the principle of the convention of London, by which the commerce between the ports of the United States and British ports in Europe, had been placed on a footing of equality, has been declined by the British government. This subject having been thus amicably discussed between the two governments, and it appearing that the British government is unwilling to depart from its present regulations, it remains for Congress to decide, whether they will make any other regulations, in consequence thereof, for the protection and improvement of our navigation. .

The negotiation with Spain, for spoliations on our commerce, and the settlement of boundaries, remains, essentially, in the state it Field, by the communications that were made to Congress by my predecessor. It has been evidently the policy of the Spanishe government to keep the negotiation suspended, and in this the United States have acquiesced, from an amicable disposition towards Spain, and in the expectation that her government would, from a sense of justice, finally accede to such an arrangement as would be equal between the parties. A disposition has been lately shown by the Spanish government to move in the negotiation, which has been met by this government, and, should the conciliatory and friendly policy, which has invariably guided our councils, be reciprocated, a just and satisfactory arrangement may be expected. It is proper, however, to remark, that no proposition has yet been made from which such ma result can be presumed.

It was anticipated at an early stage, that the contest between Spain and the colonies would become highly interesting to the United States. It was natural that our citizens should sympathize in events which affected their neighbors. It seemed probable, also, that the prosecution of the conflict along our coast, and in contiguous countries, would occasionally interrupt our commerce, and otherwise affect the persons and property of our citizens. These anticipations have been realised. Such injuries have been received from persons acting under the authority of both the parties, and for which redress has, in most instances, been withheld. Through every stage of the conflict, the United States have maintained an impartial neutrality, giving aid to neither of the parties in men, money, ships or munitions of war. They have regarded the contest, not in the light of an ordinary insurrection or rebellion, but as a civil war between parties nearly equal, having as to neutral powers, equal rights. Our ports ! have been open to both, and every article, the fruit of our soil, or of the industry of our citizens, which either was permitted to take, bas been equally free to the other. Should the colonies establish their independence, it is proper now to state, that this government neither seoks nor would accept from them, any advantage in commerce, or

otherwise, which will not be equally open to all other nations. The colonies will, in that event, become independent states, free from any obligation to, or connexion with, us, which it may not then be their interest to form on the basis of a fair reciprocity.

In the summer of the present year, an expedition was set on foot against East Florida, by persons claiming to act under the authority of some of the colonies, who took possession of Amelia Island. at the mouth of the St. Mary's river, near the boundary of the state of Georgia. As this province lies eastward of the Mississippi, and is bounded by the United States and the ocean on every side, and has been a subject of negotiation with the government of Spain, as an indemnity for losses by spoliation, or in exchange for territory of equal value, westward of the Mississippi, a fact well known to the world, it excited surprise, that any countenance should be given to this measure by any of the colonies. As it would be difficult to reconcile it with the friendly relations existing between the United States and the colonies, a doubt was entertained, whether it had been authorized by them, or any of them. This doubt has gained strength, by the circumstances which have unfolded themselves in the prosecution of the enterprise, which have marked it as a mere private, unauthorized adventure. Projected and commenced with an incompetent force, reliance seems to have been placed on what might be drawn, in defiance of our laws, from within our limits; and of late, as their resources have failed, it has assumed a more marked cha, racter of unfriendliness to us; the island being made a channel for the illicit introduction of slaves froin Africa, into the United States, an asylum for fugitive slaves from the neighboring states, and a port for smuggling of every kind. is

A siinilar establishment was made, at an earlier period, by pergons of the same description, in the Gulf of Mexico, at a place called Galvezton, within the limits of the United States, as we contend, under the cession of Louisiana. This enterprise has been marked, in a more signal manner, by all the objectionable circumstances which characterized the other, and more particularly by the equipment of privateers which have annoyed our commerce, and by smuggling. These establishments, if ever sanctioned by any authority whatever, which is not believed, have abused their trust, and forfeited all claim to consideration. A just regard for the rights and interests of the United States required that they should be suppressed, and orders have been accordingly issued to that effect. The imperious considerations which produced this measure will be explained to the parties whom it may, in any degree, concern.

To obtain correct information on every subject in which the United States are interested; to inspire just sentiments in all per. sons in authority, on either side, of our friendly disposition, so far as it may comport with an impartial neutrality; and to secure proper respect to our commerce in every port, and from every flag, it has been thought proper to send a ship of war, with three distinguished citizens, along the southern coast, with instruction to touch at such

ports as they may find most expedient for these purposes. With the existing authorities, with those in the possession of, and exercising the sovereignty, must the communication be held; from them alone can redress for past injuries, committed by persons acting under them, be obtained; by them alone can the commission of the like, in future, be prevented. .

Our relations with the other powers of Europe have experienced no essential change since the last session. In our intercourse with each, due attention continues to be paid to the protection of our commerce, and to every other object in which the United States are interested A strong hope is entertained, that, by adhering to the maxims of a just, a candid, and friendly policy, we may long preserve amicable relations with all the powers of Europe, on conditions advantageous and honorable to our country.

With the Barbary states and the Indian tribes, our pacific relations have been preserved.

In calling your attention to the internal concerns of our country, the view which they exhibit is peculiarly gratifying. The payments which have been made into the Treasury show the very productive state of the public revenue. After satisfying the appropriations made by law for the support of the civil government, and of the military and naval establishments, embracing suitable provision for fortifications and for the gradual increase of the navy, paying the interest of the public debt, and extinguishing more than eighteen millions of the principal, within the present year, it is estimated that a balance of more than six millions of dollars will remain in the Treasury on the first day of January next, applicable to the current service of the ensuing year. The payments into the Treasury during the year one thousand eight hundred and eighteen, on account of imposts and tonnage, resulting principally from duties which have accrued in the present year, may be fairly estimated at twenty millions; internal revenues, at two millions five hundred thousand; public lands, at one million five hundred thousand; bank dividends and incidental receipts, at five hundred thousand; making in the whole, twenty. four millions five hundred thousand dollars.

The annual permanent expenditure for the support of the civil government, and of the army and navy, as now established by law, amounts to eleven millions eight hundred thousand dollars; and for the sinking fund, to ten millions; making in the whole, twenty. one millions and eight hundred thousand; leaving an annual ex. cess of revenue beyond the expenditure of two millions seven hundred thousand dollars, exclusive of the balance estimated to be in the Treasury on the first day of January, one thousand eight hundred and eighteen.

In the present state of the Treasury, the whole of the Louisiana debt may be redeemed in the year one thousand eight hundred and nineteen; after which, if the public debt continues as it now is, above par, there will be annually about five millions of the sinking fund unexpended, until the year one thousand eight hundred and twenty-five,

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when the loan of one thousand eight hundred and twelve, and the stock created by funding Treasury notes, will be redeemable.

. It is also estimated that the Mississippi stock will be discharged during the year one thousand eight hundred and nineteen, from the proceeds of the public lands assigned to that object, after which the receipts from those lands will annually add to the public revenue the sum of one million five hundred thousand dollars, making the permanent annual revenue amount to twenty-six millions, and leaving an annual excess of revenue, after the year one thousand eight hundred and nineteen, beyond the permanent authorized expenditure, of more than four millions of dollars.

By the late returns of the Department of War, the militia force of the several states may be estimated at eight hundred thousand men, infantry, artillery and cavalry. Great part of this force is arned, and measures are taken to arm the whole. An improvement in the organization and discipline of the militia, is one of the great objects which claims the unremitted attention of Congress.

ng The regular force amounts nearly to the number required by law, and is stationed along the Atlantic and inland frontiers

Of the naval force it has been necessary to maintain strong squadrons in the Mediterranean and in the Gulf of Mexico. chimba From several of the Indian tribes, inhabiting the country bordering on Lake Erie, purchases have been made of lands, on condi. tions very favorable to the United States, and as it is presumel, not less so to the tribes themselves. By these purchases, the Indian title, with moderate reservations, has been extinguished, to the whole of the land within the limits of the state of Ohio, and to a part of that in the Michigan territory, and of the state of Indiana. From the Cherokee tribe, a tract has been purchased in the state of Georgia, and an arrangement made, by which, in exchange for lands beyond the Mississippi, a great part, if not the whole, of the land belonging to that tribe, eastward of that river, in the states of North Carolina, Georgia, and Tennessee, and in the Alabama territory, will soon be acquired. By these acquisitions, and others that may reasonably be expected soon to follow, we shall be enabled to extend our settlements from the inhabited parts of the state of Ohio, along Lake Erie into the Michigan territory, and to connect our settlements, by degrees, through the state of Indiana and the Illinois territory, to that of Missouri. A similar and equally advantageous effect will soon be produced to the south, through the whole extent of the states and territory which border on the waters emptying into the Mississippi and the Mobile. In this progress, which the rights of nature demand, and nothing can prevent, marking a growth rapid and gigantic, it is our duty to make new. efforts for the preservation, improvement, and civilization of the native inhabitants. The hunter state can exist only in the vast uncultivated desert. It yields to the more dense and compact form, and greater force, of civilized population; and of right it ought to yield, for the carth was given to mankind to support the greatest number of which

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