But this was a sad year for the city of Mexico, in other respects. The first inundation since the conquest, occurred in 1553, and for three days the capital was under water and the communication kept up in boats and canoes. Every effort was made by the viceroy to prevent the recurrence of the evil, by the erection of a dyke to dam up the waters of the lake; and it is related by contemporary historians, that he even wrought with his own hands at the gigantic work, during the first day, in order to show a good example to the citizens who were called on to contribute their personal labor for their future protection from such a disaster.
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There were few outbreaks among the Indians during this viceroyalty, yet there were troublesome persons among the original tribes of the Chichimecas,—some bands of whom were not yet entirely subjected to the Spanish government,—who contrived to keep up a guerilla warfare, which interrupted the free circulation of the Spaniards through the plains and mountain passes of the Bajio. These were, in all probability, mere predatory attacks; but as it was impossible for the viceroy to spare sufficient numbers of faithful soldiers for the purpose of scouring the hiding places and fastnesses of these robber bands, he resolved to found a number of villages composed of natives and foreigners, and to place in them, permanently, sufficient numbers of troops to protect the adjacent country roads, and to form the nucleus of towns, which, in the course of time, would grow to importance. Such was the origin, by military colonization, of San Felipe Yztlahuaca, and of San Miguel el Grande, now known as Allende, from the hero of that name to whom it gave birth. It was the constant policy of the Emperor to extend the avenues of industry for his emigrant subjects by such a system of security and protection; and, accordingly, Don Francisco Ibarra, was despatched to the interior with orders to explore the northern and western regions, but, on no account, to use arms against the natives except in case of the utmost urgency. Ibarra traversed a wide and nearly unknown region, discovered rich mines of gold and silver, and colonized many places of considerable importance in the subsequent development of Mexico, and among them, the city of Durango, which is now the capital of the state of that name.
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The abdication of Charles V. was unofficially announced in Mexico in 1556; but it was not until the 6th of June of the following year that his successor Philip II. was proclaimed in the capital of New Spain. The policy of the old Emperor was not changed by the accession of the new king; nor does the monarch appear to have influenced in any particular manner the destiny of Mexico during the continuance of Velasco's government, except by the fitting out, at his special command, under the order of his viceroy, of an expedition for the conquest of Florida, which proved disastrous to all concerned in it. Crowds flocked in the year 1558 to the standard raised for this adventure, which it was supposed would result in gratifying the Spanish thirst for gold. In the following year the few who remained of the untoward enterprise, returned with their commanders to Havana and thence to New Spain.
Thus far Velasco's administration had been successful in preserving the peace in Mexico,—in opening the resources of the country in mines, agriculture and pastoral affairs,—and in alleviating the condition of the Indians by gradual restraints on his countrymen. His power was unlimited; but he had, in no instance abused it, or countenanced its abuse in others. Anxious not to rely exclusively upon his own resources, but to take council from the best authorities in cases of difficulty or doubt, he invariably consulted the Audiencia in all emergencies. But, just and loyal as had been his official conduct, it had not saved him from creating enemies; and these, unfortunately, were not only found among the rich oppressors whose shameless conduct he strove to punish, but even among the members of the Audiencia itself. These men combined secretly to undermine the influence of the viceroy, and despatched commissioners to Spain, who represented to the king that the health of his representative was in a failing state, and that it was extremely needful he should be sustained by a council whose duty it was to direct him upon all questions of public interest. The intriguers were successful in their appeal, and a decree soon arrived in New Spain announcing that the viceroy should thenceforth do nothing without the previous sanction of the Audiencia. This order of the king immediately put the power into the hands of individuals whose object was rather to acquire sudden wealth than to govern a new and semi-civilized nation justly, or to enact laws which would develope the resources of the country. The viceroy had been impartial. He held the balance between the Indian laborer and the Spanish extortioner. His office and emoluments placed him, at that period, high above the ordinary temptations of avarice. But the Audiencia, composed of several persons, whose position was far inferior to the viceroy's, was accessible to intrigue and corruption, and the unfortunate Indians soon found to their cost, that the royal limitation on Velasco's power had lost them a friend and staunch supporter. The Audiencia and the viceroy were soon surrounded by parties who advocated their different causes with zeal; but the loyal viceroy did not murmur in the discharge of his duty and faithfully followed the order of the king to submit his judgment to the council. Nevertheless all were not so patient as Velasco. Counter statements were sent, by skilful advocates, to Spain; and Velasco himself required an examination to be made into his official conduct.
Accordingly, Philip II. appointed a certain licenciado Valderrama, as visitador of New Spain, who arrived in 1563, and immediately began the discharge of his functions by a course of exaction, especially from the Indians, which neither the appeals nor the arguments of the viceroy could induce him to abandon. The arrival of this harsh and cruel personage, was, indeed, sad for Mexico, and, in the country's history, he still retains the name of "El Molestador de los Indios."
Fortunately for Velasco an escape from the double tyranny of the Audiencia and of Valderrama was opened to him in an expedition to the Philipine islands which the king had ordered him to colonize. But whilst he was engaged in organizing his forces and preparing for the voyage, his health suddenly gave way, and on the 31st of July, 1564, he expired amid the general grief of all the worthier classes of Mexico, and, especially, of the Indians, whom he had befriended. Death silenced the murmurs of the intriguers. When the beneficent viceroy could no longer interfere with the selfish interests of the multitude, crowds flocked around his bier to honor his harmless remains.