PRESIDENT
TO CONGRESS
Message Read to Both
Houses ot National
Assembly
LEGISLATION CALLED FOR
Financial Standing of the Nation De
clared Excellent Control of Cor
poratlons, the President Thinks,
Should Be Left to the National
Government Labor Leaders Come
In for Criticism Respect for Law
Vital to the Well-Being of Country.
Washington. Tho moBsago of Prosl
alont HooHOVolt wits rond In both
houses of congress Tuosilny. In huIi
stance tho docuniont wn ns follown:
To tho Honato nml llouso of lttpresen
tntlvcs: Tim financial standing or tint
nation lit the present tlino In excellent, ,
itnl tlio flnnnplitl management of tho nn
IIoii'h Interests by the government dur
ing tho inst soven years bus hIiowii the
must snMsfnctory results, Hut our cur
rency system Is Imperfect, and It Is ear
nestly to tio hoped tliHl tlio currency
' ommlsslon will bo nblo to propose u
thoroiiKlily good system which will do
awny with tlin existing defects.
During tlio period from July I, 1901. to
tfeptoinbcr , 190S, there wuh nn Increase
In tho nmoiint of money In circulation of
1902,991,899. Tim Increase In the per enpltn
(1 tn i tiK this period wriM JT7.0;. Within thin
time thero woro several occasion when
It was necessary for tlm treasury de
partment to como to tlm relief of the
money mnrkot by purchases or redemp
tions of United Htaten IioikIh; by Increas
ing deposits In national banks; by stim
ulating additional Issues of national hank
noten, mid by facilitating Importations
from abroad of gold. Our Iniperfoot cur
renoy syHtcm bus made these proceedings
necessary, and they wero effectlvo until
tho monetary dliiturbauco In tho fall of
1907 Immensely Increased the dllllculty of
ordinary methods of relief. Hy tho mid
'illn of Novvmbor tho avallahlo workhiK
Hialnnco In tho treasury bad been reduced
ito approximately $5,000,000. Clearing
Hiouso associations throughout the eollii
ttry had been obliged to losort to the
e-xpcdlant of Issuing clearhiK house, cor
iilftcntes, to bo used ns money. In this
emergency It was determined to Invito
subscriptions for $.V),0O0.0o0 I'anama canal
Ibonds, and $100,000,000 threo per cent.
citlflcato of Indebtedness authorized, by
t'.ho act of Juno 1.1, I $38. It was proposod
tt rcdcposlt In tho nutlonal banks tho
tmttrocds ot theso Issues, and to permit
tlM'kr aiso ns a basis for ndditlnital clrcu
latlnr notes of national banks. Tho
mornl effect of this procedure was so
.grent trrt It wns neceusary to lssuo only
.f2l.G31.03O of tho Panama bonds and $15,-
I3i?,600 of tlio ccrtlllcntes of Indebtedness.
During tho period from July 1, 1901, to
(September 30. 1909, tho balaucn between
tho net ordinary receipts und tlm not
ordinary expenses of tho Kovcrnmeiit
showed n surplus In tho four years 1JKU,
1903, 1900, and 1907, and a delicti In tho
years 1901, 1900, IWH and a fractional part
of tho llscal year 1903. Tho tint result
was a surplus of t39,.1,lin.ni, Tho llimn
cliil operations of tho government during
this period, based upon theso differences
between receipts and expenditures, re.
suited In a net reduction of thn Interest'
hearing debt of tho United Mutes from
IW.111,010 to $197,3,990, notwithstanding
itlnit thero luul been two sales of Pnunmu
i anal bonds amounting In tlm nggrcguto
ilo tH.C3l.9S0. and an Issue of threo per
rent, ccrtlllcntes of Indebtedness under
t tlio net ot Juno 13, 1K0S, nmoiintltiK to
f lf.43C,GOO. Ilofiiudlng oiieratlous of thn
(treasury department under tho act of
IMnrch It, 1900, resulted In tho conver
sion Into two per cent, consols ot 19.10 of
V!.309,400 bonds hearing hlKher rates of
l Uwst. A deerenso of JS.tSST.MM In tho
ii ni Ht Interest charge resulted from
these owerntlona.
In s Vw;t, during tho seven years nnd
n.rnn i. n'.hs thero has been u not sur
plus of .Vnvly one hundred inllllous of
iccclpts o. ' 'M.'iiiuiiren, reiiiioiion
of tho Into m---'i"k 'iu - ninety
fiillllnnH In hi VWf Iho extraordinary ex-
penso of tho 1 Vwwwi canal, nnd u Bavlng
itilhJInhll ,in tlin nntilint
III lll'llll)' IIIIIU -
Interest charge.
Control of' Crj3oratlons.
An reirnrda tho nVfttf corporations CM
Raged In Intcrstato fMUloess, nml espo
rlnllv tlm rnllrnnilM. I l(Vi only repeat
what I hnvo ntrendy n.MJuuuul ukiiIii said
In my messages to tlio wuitcss. I hc
llovo that undor tho InttVwUt chuiso of
tlio constitution tho Un.Ved Stales hits
complete and parnnanttnt right ta con
trol nil ngenclcs of IntetslUto romiuorco,
and I bellovo Unit the Jintionnl govern
mont nlono can exercise this right with
wisdom and effectiveness .so as both to
secure Justice from, and to jlo Justice to,
tho groat corporations wXiffth "ro tho
most Important factors In width-rn busi
ness, 1 bellcvo that It Is wor.no than
folly to nttempt to prohibit nil com
binations ns Is donn by tho Hherniau
anti-trust law, becauso such u law can
bo enforced only Imperfectly nnd un
equally, and Its enforcement wrks ul
most as much hnrdshlp as good. J
strongly ndvocnto tbnt luslead of un un
wlso etfort to prohibit all eonihlniitlons,
thero shall bo subitltutcd a Iirw which
ahull oxprcHsly permit eoniKiintlnns
which nro In tho Interest of tho public,
ibut shall ut tho snmo tlmo nlvo to soino
ngency In tho national government full
Hiower of control nnd supervision over
thorn. Onu of the chief fenturcH of this
(Control should bo securing entire, pub
lllclty In all mutters which tho public
Ihns a right to know, nnd furthermore,
ttbo power, not by Judicial but by oxecu
ttlvo nction, to provvnt or put n stop to
otvory form of Improper favoritism or
inther wrongdoing.
Jl'lio railways of tho country should bo
pun completely under tho IntersUto coin
ruiit, rommlnslou nnd removed front
th iV.imnlu of tho nntl-trust law. Tho
pownr ,3f tho commission should bn mado
thoronrHiKoIng, so that It could exerclso
coiiipleiv niipervlsloii nnd control over
Alio lssuo of securltUs as well ns over
tho ritlsliiK and lowering of rates. As
regards rntos, ut least, this power should
1m Bummury. . . . Hates must bo nuulu
ns low us Is compntlblo with giving prop
er returns to nil tho employes of tho roll
rond, from tho highest to the lowest,
and proper rcturr.'i to the. Khnrtholders,
but thoy must not. for Instance, bo ro-
duceil In such fushtou us to necessltato
a cut In the wages of tho employe or
mo nuoiuion or tho proper nnd leglllmnt
pioius or notion shareholders,
Telegraph ud telenbono coiiiiuinlnH en
i;nged In Intemtato business uliould be
put under tho jurisdiction of tho Inter
state commorco rommlnioti.
It Is very earnestly to be wlshod that
, our people, through their reproBonlutlves,
Mliould act III this mntter. It Is to
tho Interest ot ull ut us (hut
thero snouid be a premium put upon In
pdlvldusl Inltlutlvo und Individual cu
pa'lty, and an nmpb- rewnrd for tho
Kreat illrectlng M'Hwwa nlono com-pelf-nl
to mnnnije the Rrat buslneM op
erntlons of to-rtsy. It Is well to keop In
mind tht exnetly s t ti nnnrrhldt Is the
worst enemy of liberty nml ih reaction
ary the worst nernv of order, so tin
men who defend the rights of properly
have most to fear from the wrongdoers
of great wealth, and th inn who lire
chnmplonlni; popular rlsrhts hsivo most
to fr from the demagogue who In the
namo of popular right would do wrong
to find oppress honest business men,
hniiPHt men of wealth, for the success of
either type of wrongdoer necessarily In
vIIhh n violent rvnrtlon ngslnst the cause
the wrongdoer nominally uphold. . . .
Need of Centralization,
Tho proposal to make tho na
tional government supreme over, nnd
therefore to glvo It complete control over,
the railroad and other Instruments of
Intcrstato commerce Is merely h propos
nl to carry out to the letter one of tho
prime purposes, If not tho prime purimse,
for which tho constitution was founded.
It doe not represent centralization. "
represents merely the acknowledgment
of the patent fact that centralisation has
already como In buslnens. If this Irre
sponsible outside himlneas power Is to bo
controlled In the Interest of the general
public It can only Iw controlled In one
way. by rHIiik adequate power of con
trol to the one sovereignty enpnblo of ex-
erclelng such power -the national govern
ment. To nlMinilon the effort for national
control means to abandon tho effort for
all adeeiuato control and yet to render like
ly continual bursts of action by state leg
islatures, which cannot achieve the pur-
poiifl nought for, but which can do n
great deal of damage to the corporation
without conferring any real benellt on
thn public.
Thero should be regulation by the na
tional government of the great Interstate
corporation. Including n simple method
of account keeping, publicity, supervision
of tho Issue of HccurltlNi. abolition of
rebates and of special privileges. Thero
should be short-time franchisor! for all
corporations engaged In public business;
Including tlio corporations which get
power from water rights. There should
he national iih well as state gunrdlanshlp
of mines and forests. The labor legisla
tion hereinafter referred to should con
currently Ihi enacted Into law.
To accomplish this, means a certain In
crease in tho use of -not tho creation of
power, by tho central government. Tlio
power already oxlsta; It docs not Imvo
to bo created; tho only ipieatlon Is
whether It shall bo used or left Idbi
nml meanwhile the corporations over
which the power ought to be exercised
will not remain Idle. The ilunger to Amer
ican democracy lies not In tho least In tho
concentration of ndmliilstratlvo power In
responsible and accountable hands. It
lies In having tho power iustilllclently
concentrated, so that mi ono can bo held
responsible to tho people for Its use.
Concentrated isiwtir Is palpable, visible,
responsible, easily reached, iptlcltly held
to account. Democracy Is In peril
wherever tho administration of po
litical power Is scattered HtiiuhiC
a variety of men who work In
secret, whoso very names nro un
known to the common people. It Is not
In peril from any man who derives au
thority from tho people, who cxercls.-s
It 111 sight of tho people, and who Is
' from tlmo to time compelled to glvo an
account of Un cxerclso to tlio people.
Leglolatlon for Wageworkcr.
There aro many matters nffectlug labor
and tho status of tho wngoworkcr to
which I should llko to draw your otten
Hon, but nil exhaustive discussion ot tho
problem In nil Its aspects In not now nec
essary, I belliivc In u steady ef
fort, or perhaps It would bo more
accurnto to say In steady efforts
In many different illieetlotiH, to bring
about a condition of affairs under which
tlio men who work with hand or with
brain, tho laborers, tlio superintendent,
tho men who produce the markot nnd the
men who llml a market for tho article
produced, shall own u fur greater share
limn at present of tho wealth thoy pro
duce, und be enabled to Invest It In tlio
tools and Instruments l which nil work
In carried on. As far as posslblo I hope
to neo u flunk rocognltlon of tho advan
tages conferred hy machinery, organiza
tion and division of labor, accompanied
by nn effort to bring nbotit a larger share
lu tho ownership by wago-woiker df rail
way, mill and factory.
Postal Huvlnr banks will iimko It
easy for tho poorest to koep their sav
ings In absolute safely, Tho regulation
of tho national highways must bo huoIi
that they shall servo all pooplo with
ciiunl Justice. Corporate tlnuiccM must
bo supervised so as to mako It far safer
than at present for the man of small
menus to Invest his money In ntneks.
Thero must be prohibition of child la
bor, diminution of women labor, short
ening: of hours of nil mechanical labor;
stock watering should ho prohibited,
nnd stock Knmhlluir so far as is possl
blo discouraged. Thero should ho n
progt'csnlvo luhcrltaiico tax on laro
fortunes. Industrial education should
ho cucniiniKcd, As fur ns posslblo wo
should lighten tho burden of luxation
on tho Hinall num. Wo Hhoiild put a
premium upon thilfl, hnrd work, nnd
business cucriry; but theso iiualltlcs
conso to bo tho main factors In accu
mtilutlnir a fortuuo louir before that
fortuno rcachcH a point whero It would
bo seriously affected by any Inhorl-
tanco tax such as I propose. It Is emi
nently right Mint tho nation should II x
the tonus upon which tho Krout for
tunes nro Inherited. They rarely do
HiiimI nnd they often do harm to those
who Inherit them In their entirety.
There should no longer bo any paltor-
Inu" with the question of taking1 euro of
the wnnoworkers who. under our pres
ent Industrial system, become killed
crippled, ii r worn out as part of tho
regular Incidents of a given bual
ness. As far ns concerns those
who havo been worn out, l call your
attention to the fact that dellulte
steps toward providing old-agu pen
slons havo been taken In many of our
private Industries. These may bo in
definitely oxtended through voluntary
association nnd contributory schemes,
or through the agency of savings
hanks, us under the .Massachusetts
plan.
Urgent Need of Reform.
Our present system, or rather no ova
tern, works dreadful wronsr. and Is of
benefit to only one chtsj of people the
lawyers. When a workman Is Injured
what bo needs Is not un cxpcuslvo utnl
doubtful lawsuit, but tho certulnty of
relief through immediate udmlnlstrn
tlvo action. No academic theory
about freedom of contract or "constl
tutlounl liberty to contract" should bo
permitted to Interfere with this and
similar movements.
PcuclluK a tliorouithKoliiK Investiga
tion and nation there is certain leg Is
hit Ion which should bo enacted at ouue.
Tho liiw. passed at the lust session of
the congress .grunting' compensation to
certain classes of employes of the now
eminent .should he extended to Include,
nil employe of tho Kovcrnmcpt und
should bo made more liberal in Us
terms. Thero Is no ttood ground for
tho distinction made In tho law ho
tweeu those engaged In hazardous on
oupritloiiH una thoso not so en
itnuiHl. The terms of the act pro
vldlng compensation should bo made
mora llbcrul than In tlio present
net. A year s compensation Is not ade
(lunto for n wago-earuer'a funilly In the
QVOlit of his death by accident lu tho
courso of his employment. And lu thu
ovent of death occiirrlutr. say, ten or
cloven months after t no nccidunt, tho
family would only receive us oompun
cation IhP cimlvu)eii' of ono or tw
months' earnings. In this respect tho
Keneroslty of tho t'nlted States towards
Its employes, compares most unfavora
bly with that of every country In Europe-
'-ven tlio poorest.
I renew my recommendation made In
n previous message that half-holidays
be granted during' summer to alt wage
workers In Bovernment employ .
I also renew my recommendation that
the principle of the elRht-hoitr day
should ns rapidly nnd ns far an practi
cable lie extended to tho ontlro work
beliiB carried on by tho government;
the present law should be amended to
embrace contracts on thoso public
works which tho present wording of
thn act seems to exclude.
Would Double Salaries of Judges;
I most earnestly urgo upon tho con
gress the duty of Increasing' tho totally
Inadciiuntn salaries now given to our
Judges. On tho whole thero Is no body
of public servants who do as valuable
work, nor whose moneyed reward Is so
Inadequate compared to their work. He
ginning with tlio supremo court tho
Judges should have their salaries dou
bled. It Is not befitting tho dignity of
tho nation that Us most honored public
servants should be paid sums so small
compared to what they would earn In
private Ilfo that tho performaneo of
public sorvlco by them Implies nn ex
cefcdlngly heavy peeunlnry sacrifice
It Is onrncstly to bo desired that some
method should be devised for doing1
away with the lonK delays which now
obtain In tlio administration of Justice,
nnd which operate with peculiar sever
ity aguliifit persons nf small means, nnd
fnvor only tho very criminals, whom It
IS most desirable to punish. These
long- delays lu tho llnal decisions nf
esses make In tho aggregate n crying
evil; and n remedy shorn 1 bo devised.
Much nf this Intolerable delay Is duo
to Improper regard paid to technical!'
ties which nro n mora hlndcrnncc to
Justice. In Homo noted recent cases this
iiver-rognrd for technicalities has re
sulted In a striking dcnlul of Justice,
nnd flagrant wrong1 to thn body politic.
Labor Leaders Criticised,
At tlm last election certain lenders of
organized labor made n violent nnd
sweeping nttnek upon tho entire Judi
ciary of tho country, nn attack couched
lu such terms ns to Includo tho most
uprlKht, honest nnd broad-minded
Judges, no less than thoso of narrower
mind nnd innro restricted outlook.
Lust year, before the lioliso com
mittee on Judiciary, theso snmo
Inbor lenders formulated their de
mands, specifying tlio hill Unit
contained them. rofusliiK nil compro
mise, stating thoy wished tho principle
of that bill or nothing. Thoy Insisted
on a provision Hint In ti labor dispute
no Injunction should Issue, oxcept to
protect u property right, and specltlcal
ly provided that tho right to carry on
business should not bo construed ns n
property right; nnd In n second provis
ion their bill mudo legnl lu a labor dis
pute any net or agreement by or be
tween two or inoro persons that would
not have been unlawful If done by a
single person. In other words, this bill
Icgnllzed blacklisting nnd boycotting
lu every form, legalizing', for Instance,
hose forms ot tho secondary boycott
which tlio anthracite coal strlko com
mission so unreservedly condemned;
whllo tho right to curry on it business
was explicitly taken out from under
that protection which tho law throws
over property. Tho demand was mado
that thero should bo trial by Jury In
contempt cases, thereby most seriously
Impairing tho authority ot tho courts.
All this represented n courso ot policy
which, If carried out, would meun tho
enthronement of clnss privilege In its
crudest und most brutal form, nnd tho
destruction of ono of tho inoat essen
tial functions of tho Judllcary In all civ
ilized lands.
Tho violence of tho crusado for this
legislation, nnd Its complete failure.
Illustrate two truths which It Is essen
tial our people should learn, In tho
llrst place, they ought to tench the
workliigmun, thn laborer, tho wago
worker, that hy doniuiullnir what Is Im
proper and Impossible ho plays Into tho
hands of his foes, Much a crudo nnd
vicious nttnek upon tho courts, oven if
It were temporarily successful, would
Inevitably In tho cud cnusu a violent
reaction and would band tho great
mass of citizens together, forclnB them
to stand by nil tho Judges, competent
und Incompetent alike, rather than to
see tho wheels ot Justice stopped,
Tho wiiKoworkors, tho worUlngmen,
tho laboring men of tho country by tho
way lu which they repudiated tho of
fort to get them to cast their votes In
respnuso to un appeal to class hatred,
Imvo emphasized their sound patriotism
nnd Americanism. Huch an attitude
Is an object Icrhou In good citizenship to
tho ontlro nation.
Judicial System Sound.
Our Judicial system lu sound nnd
effective at core, nnd It remains,
mid must ever ba maintained, as
tho safeguard ot thoso principles of lib
erty nnd Justlco which stand nt tho
foundation of American Institutions; for,
lis llurkn finely imhl. when liberty nnd
Justlco nro separated, neither Is sufe,
Thero nro, however, some members of
tho Judicial body who havo lagged bo
hind lu their understanding of tlcso
great and vital changes lu tho body
politic, whoso minds havo never been
opened to tho now applications ot tho old
principles mado necessary by thn new
conditions. Judges of thin stamp do last
ing hm m by their decisions, hecuuso they
convince poor men In need of protection
that the courts of the land nro pro
foundly Iguor.int of and out nf sympathy
with their needs, and profoundly Ignorant
or hostile to any proposed remedy. To
such ineu It seems a cruel mockery to
havo any court decide ugaliiHt them on
the ground that it desires to preserve
"liberty" lu a purely technical form, by
withholding liberty in any real nnd con
structive sense
There nro certain decisions by various
courts which navo iiecn exceedingly net
rlmental to the rights of wage-workers,
This Is trim of nil decisions that decide
that men are, hy tho constitution, "guar
anteed their liberty" to contract to enter
n dangerous occupation, or to work nn
undesirable or Improper number of hours,
or to work lu unhealthy surroundings;
and therefore cannot recover damages
when maimed lu that occupation, nml
cannot bo forbidden to work what tho
legislation decides Is an excesslvo lilim
lier of hours, or to carry on tho work
under conditions which tho legislature
decldos to bo unhealthy. Decisions
mioli us thoso nullify the leglslatlvo
effort to protect tlio wage-workers who
most need protection from those employ
ers who take udvantage of tholr grind
ing need. They halt or bnmper tho movo
ment for securing better and mora equi
table conditions of lalior.
There Is also, I think, ground for tho
belief that substantial Injustice Is otten
suffered by etnp'.oyes In conseipienco of
tho custom of courts Issuing temporary
Injunctions without notice to them, und
punishing them for contempt of court In
Imjtniicjra whero, us a matter of fact,
they Imvo no knowledge ot any proceed
ings. Organized labor Is dialing
unilr tho unjust restraint which
comes from ropeatcd resort to this
plan of procedure. Its discontent
juts been unwisely expressed, und
often Improperly oxpresned, but thero
Is it sound basis for It, und thn or
derly und Inw-nbhllng people of u com
munity would bo In a fur stronger posi
tion for upholding tho courts It tho un
doubtedly existing abuses could bo pro
vided ucnlii.it.
Injunction Must Remain.
The power of Injunction Is u great
otiultnble remedy, which should on no
account bo destroyed. Hut safecuards
should be erected ngalnst Its abuse.
In substance, provision should bo made
that no Injunction or temporary re
straining order Issue otherwise than on
notice, except where Irreparable Injury
would otherwise result, nnd In such taso
n hearing on the merits of the order
should bn had within n short fixed pe
riod, nnd, If not then continued after
hearing, It should forthwith lapse. De
cisions should bo rendered Immediately,
nnd the chnnco of delay minimized In
every way. Moreover, I believe that the
procedure should be sharply dellncd, nnd
tho Judgo required minutely to state tho
particulars both ot bis action and of his
reasons therefor, so that tho congress
ran If It desires cxnmlnc nnd Investigate,
the same.
For many of the shortcomings of
Justlco In our country our pooplo ns n
wholo nro thomselves to blnmc, and tho
Judges nnd Juries merely henr their
share together with tho public as n
whole. It Is discreditable to us ns a
people that there should be dlfllculty In
convicting1 murderers, or In bringing to
Justlco men who ns public servants
havo boon guilty of corruption, or who
havo profited by the corruption of
public servnnts. Tho result Is equally
unfortunnte, whether due to hairsplit
ting technicalities In the Intcrpretntlon
of law by Judges, to sentimontnllty and
clnss consciousness on tho port nf
Juries, or to hysteria and sensational
ism In tho dally press. Kor much of
this failure of Justlco no responsibility
whatever IIch on rich men ns such. We
who mnko up tho mnss nf tho people
cannot shift the responsibility from our
own shoulders. Hut there Is un Impor
tant part of tho failure which has spo
clully to do with Inability to hold
to proper account men ot wealth who
behuvo badly.
The Modern Corporation.
Tho hugo wealth that has been accu
mulated by n few Individuals of recent
years, In what has nmountcd to a so
cial nnd Industrial revolution, bns been
ns regards somo of these Individuals
mndo possible only by tho Improper uso
of the modern corporation. A certain
typo of modern corporation, with Its
olllcers nnd ngenlH, Its mnny Issues of
securities, nnd Its constant consolida
tion with allied undertakings, dually
bccomei nn Instrument so complex ns
to contain a gronter number of ele
ments that, under various Judicial de
risions, lend themselves to fraud nnd
oppression thnn any dovlco yet ovolved
lu tho human brnln. Corporations nre
nccessnry Instruments of modern busi
ness, Thoy havo been permitted to
becomo n mennco largely becauso tho
governmental representatives of the
peoplo havo worked slowly In provid
ing for ndofiuato control over them.
Our great clusters of corpora
tions, huge trusts nnd fabulously
wealthy multimillionaires, employ tho
very best lnwyurs thoy enn obtain to
pick flaws In statutes after their
passage; but they also employ n class
of secret ngents who seek, under the
ndvlco of experts, to render hostile
legislation Innocuous by making It un
constitutional, often through tho Inser
tion of what appear on their face to be
drastic and sweeping provisions against
tho Interests of tho parties Inspiring
them; whllo tho demagogues, tho cor
rupt creatures who Introduco black
mailing schemes to "strlko" corpora
tions, und nil who demand oxtrctnc.
and undoslrably radlcnl, measures,
show themselves to bo tho worst ene
mies of tho very public whoso loud
mouthed champions they profess to be
Heal damn go has been done by the
manifold and conlllctlng Interpretations
ot tho Intorstato contmerco law. Con
trol over the great corporations doing
Interstate business can be effective only
If It Is vested with full power In nn
ndmlnlstrntlvo department, n branch of
tho federal executive, carrying out u
fcdcrnl law; It can never bo effective If
n divided responsibility Is loft In both
tho states and the nation; It can never
bo effective If loft In the hands ot the
courts to bo decided by lawsuits,
Respect for Law Must Bo Upheld.
Tho courts hold n plnco of peculiar and
deserved sanctity under our form of gov
ernment. Itespect for tlio law is esscn
tlnl to tho perninucnco of our Institu
tions; nnd respect for tho law Is largely
conditioned upon respect for tho courts.
It is un offense against tho republic to
say anything which can weaken this re
spect, save for thu gravest reason und lu
tho most carefully guarded manner. In no
other nation lu tho world da tho courts
wlold such vast and far-reaching power
as In tho United States. All that Is nec
essary Is that tho courts us n wholo
should cxerclso this power with tho far
sighted wisdom already shown by thoso
Judges who scon tho futuro whllo they
net In tho present. Let them cxerclso
this great power not only honestly and
bravely, but with wlso Insight Into the
needs und tlxed purposes of tho people,
so that they may do Justice, nnd work
equity, so that they mny protect nil per
sons lu their rights, nnd yet break down
tlio barriers of privilege, which Is tho foe
of right.
Forest Preservation.
If thero la any ono duty which more
than another we owo It to our children
to pcrfwiu at once, It Is to save tho for
el.:, nt this country, for they constitute
tho llrst und most Important clement In
tlio conservation of tho natural re
sources of thn country, , . . Just ns
u farmer, nfter nil Ids llfo inuking his
living from his farm, will, If ho Is an ex
pert fanner, leavo It ns nn nssot of In
creased value to his son, so wo should
leave our national domain to our chil
dren, Increased lu value nnd not worn
out. Thero uro small sections of our own
country, In tho east und In the west, lu
tho Adlroudacks, tho White mountains
and tho Appalachians, and In tho Kocky
mountnlns, whero we can nlrendy sco for
ourselves tho daiuago lu tho shnpe of
permanent Injury to tho sell and the
river systems which conies from reckless
deforestation. It matters not whether
this deforestation Is due to the actual
reckless cutting of timber, to tho tires
Hint Inevitably follow such reckless cut
ting of timber, or to reckless ami uncon
trolled grazing, especially by tho great
migratory minus or sneop, the un
checked wandering of which over the
country means destruction to forests nnd
disaster to the small homo-makers, tho
settlers of limited means
Thnnks to our own recklessnoss
lu tho uso ot our splendid forests.
wo have alreudy crossed tho verge of a
timber fiunlno In this country, and no
measures that wo now tako can, nt lenst
for mnny years, undo tho mischief that
has already been done. Hut wo can pre
vent further mischief being done; und It
would bo In tho highest degreo rcprohen
slble to let nny consideration of tem
porary convenience or temporary cost
Interfero with bucIi action, especially ns
regards tho national forests which the
nation enn now, at this very moment.
control.
The losson ot deforestation lu China
Is a lesson which mankind should have
learned mnny tlmun already from what
has occurred In other places. Denuda
tion leaves naked soil; then gullying
cuts down to tho bare rock; nnd mean
while tho rock-wasto buries tho bottom
lands, When lire, sou is gone, men
must go; and tho process docs not tako
long.
Plea for Inland Waterways,
Action should bo begun forthwith, dur
ing tho present session or tho congress
for tho Improvement of our Inland water
wuys nction which will result In giving
us not only navigable but navigated
livers.
Until the work ot river Improvement Is
undertaken lu u modern wny It enn not
Imvo results that will meet tho needs of
1 hls modern iiutlon. Tho plun
"ineu Promises the best una quick
est results Is that of a per
manent commission nuthorlzed to co-or-dlnato
tho work of all tho government
departments relating to waterways, and
to framo nnd supervise the execution of
a comprehensive plan. Under such a
commission the actual work of construc
tion might be entrusted to tho reclama
tion service; or to the military engineers
acting with a sulllclent number of civili
ans to continue the work In tlmo of war;
or It might be divided between the rec
lamation service nnd the corps nf en
gineers. Funds should be provided from
nirrent revenues If It Is deemed wise
)thcrwlsc from tho salo of bonds. Tho
.Mscntlal thing Is that the work should
go forward under the best posslblo plan,
nnd with the least possible delay. Tho
time for playing with our waterways Is
past. The country demands results.
Tho president urges Hint national
parks adjacent to national forests bo
placed tinder tho control of tho forest
Bcrvlco of tho agricultural depart
ment; he also points out tho benefits
derived from puro food legislation.
The message continues:
Needs of the Secret Service.
Last year nn nmendment wns Incor
porated In tho measure providing for tho
secret service, which provided tlmt thero
should bo no detail from tho secret serv
Ico nnd no transfer therefrom. The
amendment In question wns of benefit to
no ono excepting to criminals, nnd
It seriously hampers the government In
tho detection of crlmo nnd tho securing
of Justice. The chief nrgument In
favor of tho provision was that
tlm congressmen did not them
selves wish to be Investigated by the
secret service men. Very llttlo of such
Investigation has been done lu tho past;
but It Is true that tho work of tho secret
servlco agents was partly responsible for
the Indictment nnd conviction of n sen
ntor nnd u congressman for land frauds
In Oregon. I do not hellevo tbnt It Is
In tile public Interest to protect criminals
lu nny branch of the public service, nnd
exactly as wo havo again nnd again dur
ing tho past seven years prosecuted nnd
convicted such criminals who wero In
the executive branch of the government,
so In my belief we should be given amplo
mentis to prosecute them If found In tho
legislative brunch. Hut If this Is nut
considered desirable u speclnl exception
could be mudo In tho law prohibiting tho
uso of tho secret service force In Inves
tigating members of tho congress.
Postal Savings Banks.
I again renew my recommendation
for postal savings banks, for deposit
ing savings with tho security of tho
government behind them. Tho object
Is to encourago thrift und economy in
tho wage-earner nnd person of mod
erate means. It Is believed that lu the
uggregnto vast sums of money would be
I rought Into circulation through the In
strumentality of the postnl savings
banks.
Parcel Po3t.
In my last annual mtssago I com
mended tho postmaster-general's
ccommondatlon for an extension of the
parcel post on the rural routes. The
i stabllshmeiit of u local parcel post on
u till routes would bo to tho mutual
benefit of tho farmer and tho country
storekeeper, and It Is desirable that tho
routes, serving more thnn IB, 000.000
people, should bo utilized to tho fullest
practicable extent.
Education.
With tho limited means hitherto pro
vided, tho bureau of o ducatton has
rendircd ctllclcnt service, but tho con
grens has neglected to adequately sup
ply tho bureau with means to meet tho
educational growth of tho country.
I earnestly recommend that this un
fortunate state of affairs ns regards
tho national educational office be reme
died by adequate appropriations. This
recommendation Is urged by tho repre
sentatives of our common schools nnd
great state universities und tho loading
educators, who ull unlto lu requesting
favorablo consideration nnd nction by
tho congress upon this subject.
Tho president points out tho neces
sity of hotter organization of the vari
ous bureaus rc3ponslblo for tlio public
health, anil urges thu placing of nil
soldlors' homes under tho jurisdiction
of the wor department.
Statehood.
On tho question of statehood the
president saya:
I ndvocnto tho Immediate admission of
Now Mexico nnd Arizona ns states. This
should bo done at tho present session of
tho congress. Tho peoplo of tho two ter
ritories have made It evident by their
votes that they will not como In ns ono
state. Tho only alternative Is to admit
them nn two, nnd I trust that this will bo
done without delay.
Interstate Fisheries.
I call tho attention of tho congress to
tho lmportnnco of the problem of tho
llsherics In tho Intcrstato waters. On tho
Great .ljikes wo are now, undor tho very
wlso treaty of April 11 of this year, en
deavoring to come to an International
agreement for the preservation und sat
isfactory uso of tho tlshetles of theso wa
ters which can not otherwise bo achieved,
Lake Krlo, for example hns tho richest
fresh water ilsherps P. tho world; but It
Is now contrnlli d by tho statutes of two
nations, four riates, and ono province,
and this province by two different ordi
nances In different counties. All these
political divisions work nt cross pur
'poses, and In no caso can they nchlovo
protection to tho fisheries, on tho one
hand, und Justlco to the localities and in
dividuals on tho other.
Foreign Affairs.
This nation's foreign policy Is based
on tho theory that right must bo dono
between nations precisely us between
Individuals, nnd lu our notions for tho
lust ten years wo havo In this matter
proven our faith by our deeds. We
hnvo behaved, and nro behaving, to
wards other nations, ns In prlvnto llfo
nn honorable man would behave to
wards his fellows.
Latln-Amcrlcan Republics.
Tho commercial und material prog
ress of tho 20 I.utln-Amerlciui republics
Is worthy of the careful attention of
tho congress. The International Hurenti
of the American Republics Is doing a
useful work In making theso nations
and their resources better known to
us. nnd In ncquaintiug thom not only
with us as a people and with our pur
poses towards them, but with what wo
have to cNchungc for thulr goods.
Panama Canal.
Tho work on the Panama canal Is be
ing dono with a speed, ofllclency and
entire dovotlon to duty, which mako It
a model for all work of tho kind. The
men on tho Isthmus, from Col. floethnls
and his fellow commissioners through
the entire list of employes who nro
faithfully doing tholr duty, havo won
their right to tho ungrudging respect
nrxl gratitude of tho American people.
Ocean Mail Lines.
I again recommend the extension of
tho occnu mall net of 1 SO 1 so that satis
factory American ocean mail lines to
South America. Asia, the Philippine,
and Australasia may be established.
Hawaii.
I call particular attention to tho Ter
ritory of llnwnll. Tho Importance ot
thoso Islands Is apparent, and the need
ot Improving their condition nnd do
voloplng their resources Is urgent.
The Philippines.
Ileul progress toward Bolf-Huveriiment
Is being mado In tho Philippine islands.
1 trust that within a generation
the tlmo will arrive when the Philippines
can docldo for thsmselvcs whether It la
well for them to become Independent, or
to continue under tho protection of n
strong and disinterested power, ablo to
guarantee to the Islands order nt home
nnd protection from foreign Invasion.
Porto Rico.
I again recommend tbnt American cit
izenship be conferred upon tho peoplo of
Porto Illco.
Cuba.
In Cuba our occupancy will censo In
nbout two months' time; tho Cubans
have In orderly mnnner elected their own
governmental authorities, nnd tho Island
will bo turned over to them. Our occu
pation on this occasion has lasted a llt
tlo over two years, nnd Cuba has thriv
en und prospered under It. Our earnest
hopo and one dcslro Is tbnt tho people
of tho Island shall now govern them
selves with Justice, so that peace and or
der may bo secure.
Japanese Exposition.
The Japanese government has post
poned until 1917 tho dato of tho great
International exposition, tho action be
ing taken so as to Insure nmplo time
in which to preparo to mnko tho expo
sition nil that It should bo made. Tho
American commissioners havo visited
Japan nnd the postponement will mero
ly glvo ampler opportunity for Ameri
ca to bo represented nt tho exposition.
Not slnco tho first International expo
sition has thero been ono of greater
lmportnnco thnn this will be, marking,
as It does, tho fiftieth anniversary of
the ascension to the throno of the em
peror of Jnpnn. Tho extraordinary
leap to tho foremost place among tho
nations of tho world mado by Jnpnn
during this half century Is something
unparalleled In nil previous history.
I tnko Ibis opportunity publicly to
stnto my npprcclntlon of tho way In
which In Jnpnn, In Australia, In New
Zcnlnnd, nnd In all tho states of South
Amorlcn, tho bnttlo fleet hns been re
ceived on Its practice voyngo nround
tho world, Tho American government,
can not too strongly express Its appre-
elation of the abounding nnd generous
hospitality shown our ships In every
port thoy visited.
The Army.
As regards tho nrmy I cnll attention
to tho fnet tbnt whllo our Junior ofll
cors nnd enlisted men utnnd very high,
tho present system of promotion by
seniority results In bringing Into the
higher grades mnny men of mcdlocro
capacity who hnvo but a short tlmo to
serve. No riinn should regard It as his
vested right to rlso to tho highest rank
In tho urmy any moro than In any
other profession. It Is n curious and
by no means creditable fact that thoro
should bo so often n failure on the
part of tho public nnd Its representa
tives to understand tho great need,
from the standpoint of tho service nnd
tho nation, of refusing to promote ro
spcctable. elderly Incompetents. The
higher plnccs should ho given to tlio
most deserving men without regard to
seniority; at least seniority should bo
treated as only ono consideration. In
tho stress of modern Industrial com
petition no business llrni could succeed
if thoso responsible for Its management
weie chosen simply on the ground that
they wero tho oldest peoplo In Its em
ployment; yet this Is tho courso advo
cated ns rcgnrds thu nrmy, nnd re
quired by law for all grades oxcept
thoso of general olllcer. As a matter
of fact all of tho best officers In tho
highest ranks of tho army aro thoso
who havo attained their present posi
tion wholly or In part by a process of
selection,
Tho scopo of retiring boards should
bo extended so tbnt they could con
sider general unfitness to command for
nny cause, In order to securo n far moro
rigid enforcement thnn nt present In
tho elimination of olllcers for mental,
physical or temperamental disabilities.
Hut this plan Is recommended only it
tho congress docs not sco fit to provide
what In my Judgment Is far better..
tbnt Is, for selection In promotion, nnd
for elimination forngo. . OHlccrs,wlio
fall to attain a certain rank by a cer
tain ngc, should bo retired for In
stance, If n man should not nttntn
Held rank by tho tlmo ho Is 45 ho
should ot courso bo placed on the re
tired list. General olllcers should bo
selected as at present, nnd one-third
ot tho other promotions should be
mado by selection, tho selection to be
mado by tho president or secretnry of
wnr from a list of nt lenst two candi
dates proposed for each vacnnoy by a
board of officers from tho nrm of tho
service from which tho promotion la
to bo made. A bill Is now before, the
congress having for Us object to se
curo tho promotion of officers to vari
ous grades nt reasonable ages through
a process of selection, by boards of of
ficers, of tho least cfllclcnt for retire
ment with n porcentngo of their pay
depending upon length of service. Tho
bill, although not accomplishing nil
that should bo done. Is n long step In
thu light direction; and I earnestly
recommend Its passage, or tbnt of a
moro completely effectlvo measure.
National Guard,
Now Hint tho orgnnlzed mllltla, the
National Guard, has been Incorporated
with tho nrmy ns a part of tlio national
forces, It behooves tho government to
do overy rcnsonnble thing In its power
to perfect Its ofllclency. It should bo
assisted In Its Instruction nnd other
wise aided moro liberally than hereto
fore. Tho continuous services ot mnny
well-trained regular olllcers will ba
essential In this connection. A
bill Is now pending before tin
congress creating n number of extra
olllcers In tho nrmy. which if passed,
as it ought to be, will cnablo more
olllcers to bo trained ns Instructors of
Nntlonnl Guard nnd assigned to that
duty. In caso of war it will bo of the
utmost Importance to havo a large,
number of trained olllcers to uso for
turning raw levies Into good troops.
The Navy.
I npprovo the recommendations of
the general hoard for tho In
crease of tho navy, calling especial
attention to tho need of addi
tional destroyers and colliers, nnd above
ull, of tho four battleships. It Ib desir
able to complete ns soon ns possible n
squadron of eight battleships of tho best
existing type.
I most enrnestly recommend tbnt the
general board bo by law turned Into a
general staff. There Is literally no ex
cuse whatever fur continuing tho pres
ent bureau organization of tho navy. Tho
navy should lie treated ns a purely mill
tary organization, and everything should
be subordinated to tho ono object of se
curing military clllelency. A system
of promotion by merit, either by selec
tion or by exclusion, or by both
processes, should be Introduced. It Is out
of tho question. If the present principle
of promotion by mere seniority Is kept,
to expect to get the best results from the
higher olllcers. Our men come too old
nnd stay for too short a time, In tho high
command positions.
Nothing better for the navy from overy
standpoint has ever occurred than tho
cruise of the buttle lleet around tho
world. The Improvement of tho ships In
overy way has been extraordinary, nnd
they have gnlned far moro experience
In battle tacths thun they would have
gained If they hud stayed In tho Atlantic
waters. Tho Amerknn people have cause
for profound Bratlilcatlon. both In vlow
of the excellent condition of tho fleet as
shown by this cruise, nnd In vlow of the
Improvement the (ruiso has worked In
this already high condition. I do not
believe that there l any other service In
tho world In which the average of char
acter nml etlleiency in tho unlisted men
Is as high a Is now the case In our own
(.ftuwuri HUUiilSVKLT
Im White House. TuiNHluy, December
TI
8, 1W3.