ULYSSES SIMPSON GRANT 79 and $1,000,000,000 at the rate of 4 per cent. Under this act, and subsequent amendments thereto, the national debt has been refunded from time to time, until the average rate of actual interest does not exceed 3^ per cent. In 1870 President Grant sent special messages to congress urging upon that body the necessity of building up our merchant marine, and the adopting of methods for increasing our foreign commerce, and regarding our relations with Spain, which had become strained in consequence of the action of Spanish officials in Cuba. In August of this year, soon after the beginning of the war be tween France and Germany, he issued a proclama tion of neutrality as to both of those nations, and defined the duties of Americans toward the bel ligerents. He directed the U. S. minister to France, Elihu B. Washburne, to remain at his post in Paris, and extend the protection of the American flag to peoples of all nationalities who were without the protection of their own flag an act that saved much suffering and loss to individuals. In his annual message in 1870 the president took strong ground in favor of civil service reform, saying: "I would have it govern, not the tenure, but the manner of making all appointments," and "The present system does not secure the best men, and not even fit men, for public place." This sub ject gave rise to a spirited controversy in congress,
