The Statue of Liberty Enlightening the World first stood on Bedloe's Island in 1886 as a gift from the people of France to the people of America.

A French historian named Eduardo de Laboulaye first suggested the idea for the people of France to provide the statue while the people of America provide the pedestal and the site. Accordingly, the statue and pedestal was built with donation and no tax money, and was placed on Bedloe's Island, owned by a Walloon named Isaac Bedloe. The island was later renamed to Liberty Island in 1956.

An inscription on the base of the statue says:
"Keep, ancient lands, your storied pomp!" cries she
With silent lips. "Give me your tired, your poor,
Your huddled masses yearning to breathe free,
The wretched refuse of your teeming shore.
Send these, the homeless, tempest-tossed, to me;
I lift my lamp beside the golden door."
Millions who aspired to be free from Europe's "storied pomp" of governmental control, would reach to the land of the free. Later in 1924, the island became a government owned national park, coinciding with the year when immigration became greatly restricted with the Immigration Act.

Source: http://www.libertystatepark.com/