ROOSEVELT’S MESSAGE
BREATHES OF REFORM
President’s Annual Communi
cation Delivered to Congress
at Washington.
STRONG FOR RATE REFORM
Makes Many Suggestions, but This Is
the Chief One—Would Supervise
Insurance—Not Ripe for
Tariff Reform.
Washington, D. O. Deo. 5.—President
Roosevelt delivered his annual message
to congress today. The document was
a lengthy one of more than 25,000
words. It breathes reform from lirst
to last. Chief and foremost is the
demand for rate legislation which he
goes into in great detail. He also rec
ognizes the insurance evils and urges
federal supervision of insurance and
of other great corporations. He fails
to recommend revision of the tariff,
saying it is not required a3 yet. His
message ill part follows:
To the senate and house of representa
tives:
The people of this country continue to
enjov great prosperity. Undoubtedly there
will 'be ebb and How in such prosperity,
and this ebb and tiow will be feit more or
less by all members of the community,
both by the deserving and the undeserving.
Against the wrath of the Lord the wisdom
of man can not avail; in times of Hood or
drought human ingenuity can but partially
repair the disaster. A general failure of
crops would hurt all of us. Again, if the
folly of man mars the general well-being,
then those who are innocent of the folly
will have to pay part of the penalty in
curred by those who are guilty of the folly.
A panic brought on by the speculative folly
of part of the business community would
hurt the whole business community. But
such stoppage of welfare, though it might
be severe, would not be lasting. In the
long run the one vital factor in the perma
nent prosperity of the country is the high
individual character of the average Amer
ican worker, the average American citizen,
no matter whether his work be mental or
manual, whether he be farmer or wage
worker, business man or professional man.
Control cf Corporations.
The fortunes amassed through corporate
organization are now so large, and vest
such power in those that wield them, as to
make it a matter of necessity to give to
the sovereign—that is, to the government,
which represents the people as a whole
some effective power of supervision over
their corporate use. In order to insure a
healthy social and industrial life, every
big corporation should be held responsible
by. and be accountable to, some sovereign
strong enough to control its conduct. 1 am
in no sense hostile to corporations. This
is an age of combination, and any effort
to prevent all combination will be not only
useless, but in the end vicious, because of
the contempt for law which the failure to
enforce law inevitably produces. The cor
poration has come to stay, just as the
trade union has come to stay. Each can
do and has done great good. Each should
be favored so long as it does good. But
each should be sharply checked where it
acts against law' and justice.
State Legislation Impotent.
Experience has shown conclusively that
It is useless to try to get any adequate
regulation and supervision of these great
corporations by state action. Such regu
lation and supervision can only be eftec
tiyely exercised by a sovereign whose
jurisdiction is co extensive with the field of
work of the corporation—that is, by the
national government. I believe that this
regulation and supervision can be obtained
by the enactment of law by the congress.
If it proves impossible, it will certainly be
necessary ultimately to confer in fullest
form such power upon the national govern
ment by a proper amendment of the con
stitution. It would obviously be unwise to
endeavor to secure such an amendment
until it is certain that the result can not
be obtained under the constitution as it
now is.
What Is needed is not sweeping prohibi
tion of every arrangement, good or bad,
which may tend to restrict competition,
but such adequate supervision and regu
lation as will prevent any restriction of
competition from being to the detriment of
the public-^as well as such supervision and
regulation as will prevent other abuses in
no way connected with restriction of com
petition.
Abuse of Over-Capitalization.
Of these abuses, perhaps the chief, al
though by no means the only one, is over
capitalization- generally itself the result
of dishonest promotion—because of the
myriad evils it brings in its train; for such
overcapitalization often means an inliation
that invites business panic; it always con
ceals the true relation of the profit earned
to the capital actually invested, and it
creates a burden of interest payments
winch is a fertile cause of improper reduc
tion in or limitation of wages; it damages
the small investor, discourages thrift, and
encourages gambling and speculation;
while perhaps worst of all is the trickiness
and dishonesty which it Implies—for harm
to morals is worse than any possible harm
to material interests, and the debauchery
of politics and business by great dishonest
corporations is far worse than any actual
material evil they dy the public.
Railroad Rate Legislation.
The first thing to do is to deal with the
great corporations engaged in the busi
ness of interstate transportation. As I
said in my message of December G last, the
Immediate and most pressing need, so far
as legislation Is concerned, is the enact
ment into law of some scheme to secure
to the agents of the government such su
pervision and regulation of the rates
charged by the railroads of the country
engaged in interstate traffic as shall sum
marily and effectively prevent the imposi
tion of unjust or unreasonable rates. It
must include putting a complete stop to
rebates in every shape and form. This
power to regulate rates, like all similar
powers over the business world, should be
exercised with moderation, cant.on, and
BGlf restraint; but it should exist, so that
it can be effectively exercised when the
need arises.
Commission Must Be Administrative.
The first consideration to be kept in
mind is that the power should be affima
tive and should be g.ven to some adminis
trative body created by the congress. If
given to the present Interstate Commerce
commission or to a reorganized Interstate
Commerce commissitn, such commission
should be made unequivocally administra •
tive.
Suggests the Terms.
It is not my province to indicate the ex
act terms of the law which should be en
acted; but 1 call the attention of the con
gress to certain existing conditions with
which it is desirable to deal. In my judg
ment the most important provision which
such law should contain is that conferring
upon some competent administrative body
the power to decide, upon the case being
brought before it, whether a given rate
prescribed by a ra'.liiad is reasonable and
just, and if it is found to be unreasonable
and unjust, then, after full investigation
of the complain.. to prescribe the limit
of the rate beyond which it shall not be
lawful to go—the maximum reasonable
rate, as it is commonly called—this de
cision to go into effect within a reasonable
time and to obtain from thence onward,
subject to review by the courts.
Prohibit Too Low Rates.
It sometimes happens at present, not that
a rate is too high but that a favored ship
per is given too low a rate. In such case
the commission would have the right to
fix this already established minimum rate
as the maximum: and it would need only
one or two such decisions by the commis
sion to cure railroad companies of the
practice of giving improper minimum
rates.
I call your attention to the fact that my
proposal is not to give lho commission
power In initiate or originate rates gen
erally, but to regulate a rate already fixed
or originated by the roads, upon com
plaint and after Investigation. A heavy
penalty ehould be -exacted from any cor
| poratlon ■which fa 11s to respect .an order
I of the commission. I regard this power
to establish a maximum rate as being es
sential to any scheme of real reform in
the matter of railway regulation. The
lirst necessity is to secure it; and unless it
is granted to the commission there is llt
j tie use of touching the subject at all.
To Punish All Subterfuges.
Illegal transactions often occur under
the forms of law. It has often occurred
that a shipper lias been told »>y a traffic
officer to buy a large quantity of some
commodity and then after it has been
bought an open reduction is made in the
rate to take effect immediately the ar
rangement resulting to the protit of the
one shipper and the one railroad and to
the damage of all their competitors; for
it must not be forgotten that the big ship
pers are at least as much to blame as any
railroad in the matter of rebates. The
law should make it clear so that nobody
can fail to understand that any kind of
commission paid on freight shipments,
whether in this form or in the form of
fictitious damages, or of a concession, a
free pass, reduced passenger rate, or pay
ment of brokerage, is illegal.
It is worth while considering whether it
would not be wise to confer on the gov
ernment the right of civil action against
the beneficiary of a rebate for at least
twice the value of the rebate; this would
help stop what is really blackmail. Ele
vator allowances should be stopped, for
they have now grown to such an extent
that they are demoralizing and are used
as rebates.
Control Over Private Car JLines.
All private-car lines, industrial roads, re
frigerator charges, and the like should be
expressly put under the supervision of
the Interstate Commerce commission or
some similar body so far as rates, and
agreements practically affecting rates, and
concerned. The private-car owners and
the owners of industrial railroads are en
titled to a fair and reasonable compensa
tion on their investment, but neither pri
vate cars nor industrial railroads nor
spur tracks should be utilized as devices
for securing preferential rates. A rebate
in icing charges, or in mileage, or in a
division of the rate for refrigerating
charges is just as pernicious as a rebate in
any other way. No lower rates should
apqly on goods imported than actually ob
tains on domestic goods from the Ameri
can seaboard to destination except in
cases where water competition is the con
trolling influence.
Publicity Is Much Needed.
There should be publicity of the ac
counts of common carriers; no common
carrier engaged In interstate business
should keep any books of memoranda oth
er than those reported pursuant to law or
regulation, and these books or memoranda
should be open to the inspection of the
government. Only in this way can viola
tions or evasions of the law be surely de
tected. A system of examination of rail
read accounts should be provided similar
to that now conducted into the national
banks by the bank examiners; a few first
class railroad accountants, if they had
proper direction and proper authority to
inspect books and papers, could accom
plish much in preventing willful viola
tions of the law.
Courts to Act Rapidly.
I urge upon the congress the need of pro
viding for expeditious action by the In
terstate Commerce commission in all these
matters, whether in regulating rates for
transportation or for storing or for handl
ing property or commodities in transit.
The history of the cases litigated under
the present commerce act shows that its
efficacy has been to a great degree de
stroyed by the weapon of delay, almost
the most formidable weapon in the hands
of those whose purpose it Is to violate the
law.
The Labor Question.
The question of securing a healthy, self
respecting and mutually sympathetic at
titude as between employer and employe,
capitalist and wage worker, is a difficult
one. All phases of the labor problem
prove difficult when approached. But the
underlying principles, the root principles,
in accordance with which the problem
must be solved, are entirely simple. We
can get justice and right dealing only
if we put as of paramount importance
the principle of treating a man on his
worth as a man rather than with refer
ence to his social position, his occupa
tion, or the class to which he belongs.
There are selfish and brutal men in all
ranks of life.
This government is not and never shall
be government by a plutocracy. This
government is not and never shall be
government by a mob. It shall continue
to be in the future what it has been in
the past, a government based on the
theory that each man, rich or poor, is
to be treated simply and solely on his
worth as a man, that all his personal and
property rights are to be safeguarded,
and that he is neither to wrong others
nor to suffer wrong from others.
To Regulate Life Insurance.
The great insurance companies afford
striking examples of corporations whose
business has extended so far beyond the
jurisdiction of the states which created
them as to preclude strict enforcement of
supervision and regulation by the parent
states. In my last annual message I recom
mended “that congress carefully consider
whether the power of the bureau of cor
porations can not constitutionally be ex
tended to cover interstate transactions in
insurance.”
Recent events have emphasized the im
portance of an early and exhaustive con
sideration of this question, to see whether
it is not possible to furnish better safe
guards than the several states have been
able to furnish against corruption of the
flagrant kind which has been exposed.
It has been only too clearly shown that
certain of the men at the head of these
large corporations take but small note of
the ethical distinction between hone: ty
and dishonesty; they draw the line only
this side of what may be called law
honesty, the kind of honesty necessary in
order to avoid falling into the clutches of
the law.
State Supervision Inadequate.
I repeat my previous recommendation
that the congress should also consider
whether the federal government has any
power or owes any duty with respect to
domestic transactions In insurance of an
interstate character. That state supervi
sion has proved inadequate is generally
conceded. The burden upon insurance
companies, and therefore their policy hold
ers, of conflicting regulations of many
states, is unquestioned, while but little
effective check is imposed upon any able
and unscrupulous man who desires to ex
ploit the company in his own interest at
the expense of the policy holders and of
the public.
As a remedy for this evil of conflicting,
ineffective, and yet burdensome regulations
there has been for many years a wide
spread demand for federal supervision. Tne
| congress has already recognized that in
| terstate insurance may be a proper subject
for federal legislation, for in creating the
bureau of corporations It authorized it to
i publish and supply useful Information ron
I corning interstate corporations, "including
i corporations engaged in insurance." Wnat
I is said above applies with equal force to
1 fraternal and benevolent organizations
j which contract for life insurance.
Takes Up the Tariff.
There is more need of stability than of
; the attempt to attain an ideal perfection
i in the methods of raising revenue; and the
I shock and strain to the business wor.d
I certain to attend any serious change in
these methods render such change inad
visable unless for grave reason. U is not
! possible to lay down any general rule by
which to determine the moment when the
reasons for will outweigh the reasons
against such a change. Much must de
pend, not merely on ttie needs, but on the
desires, of the people as a wlio e; lor n eds
and desires are not necessarily identical.
Of course no change can be made on
lines beneficial to, or desired by, one sec
tion or one state only. There must be
some thing like a general agi- ement i
among the citizens of the several states, as
represented in the congress, that the
change Is needed and desired in the inter
est of the people as a whole. In time of
peace arid revenues much on the average,
taking a series of years together, equal the
expenditures or else the revenues must
be increased. Last year there was a de
ficit.
Unless our expenditures can be kept
within the revenues then our revenue
laws must be readjusted.
Too Early fce. Revise Tariff.
It is as yet too early to attempt to out
line what shape such a readjustment
should take, for it is as yet too early to
say whether there wfll be need for it.
It ehould be considered whether it is not
desirable that the tariff laws should pro
vide for applying as against or In favor of
any other nation maximum and minimum
tariff rates established by the congress, bo
as to secure a certain reciprocity of treat
ment between other nations and our
selves.
Need an Elastic Currency.
Every consideration of prudence de
mands the addition of the element of
elasticity to our currency system. The
evil does not consist in an inadequate
volume of money, but in the rigidity of
this volume, which does not respond as
it should to the varying needs of com
munities and of seasons. Inflation must
be avoided; but some provision should
be made that will insure a larger volume
of money during the fall and winter
months than In the loss active seasons
of the year; so that the currency will
contract against speculation, and will
expand for the needs of legitimate bus
iness. At present the treasury depart
ment is at Irregularly recurring inter
vals obliged, in the interest of the bus
iness world—that is, in the interests of
the American public—to try to avert
financial crises by providing a remedy
which should be provided by congres
sional action.
Scrutinize Campaign Gifts.
I desire to repeat this recommendation:
In political campaigns in a country as
large and populous as ours it is inevit
able that there should be much expense
of an entirely legitimate kind. This, of
course, mean;; that many contributions,
and some of them of largo size, must
be made, and, as a matter of fact, in any
big political contest such contributions
are always made to both sides. It is
entirely proper both to give anc* receive
them, unless there' is an improper motive
connected with either gift or reception.
If they are extorted by any kind of pres
sure or promise, express or implied, di
rect or indirect in the way of favor or
immunity, then the giving or receiving
becomes not only improper but criminal.
It will undoubtedly be difficult as a
matter of practical detail to shape an
act which shall guard with reasonable
certainty against such misconduct: but
if it is possible to secure by law the full
and verified publication in detail of all
the stuns contributed to and expended
by the candidates or committees of any
political parties, the result can not but
be wholesome.
Stop Insurance Campaign Funds.
All contributions by corporations to any
political committee or for any political
purpose should be forbidden by law; di
rectors should not be permitted to use
stockholders’ money for such purposes;
and, moreover, a prohibition of this kind
would be, as far as it went, an effective
method of stopping the evils aimed at In
corrupt practices acts. Not only should
both the national and the several state
legislatures forbid any officer of a corpo
ration from using the money of the
corporation In or about any election, but
they should also forbid such use of
money in connection with any legislation
save by the employment of counsel in
public manner for distinctly legal serv
ices.
Takes Up Peace Question.
More and more war Is coming to be
looked upon as In Itself a lamentable and
evil thing. A -wanton or useless war, or
a war of mere aggression—In short, any
war begun or carried on in a conscience
less spirit, is to be condemned as a pecu
liarly atrocious crime against all hu
manity. Whenever it is possible for a
nation or an individual to work for real
peace, assuredly it is failure of duty not
so to strive; but if war Is necessary and
righteous then either the man or the
nation shrinking from it forfeits all title
to self respect. Wo have scant sympathy
with the sentimentalist who dreads op
pression less than physical suffering, who
would prefer a shameful peace to the
pain and toil sometimes lamentably nec
essary in order to secure a righteous
peace.
International Arbitration.
Very much can be done through another
Hague conference in this direction, and I
most earnestly urge that this nation do all
in Its power to try to further the move
ment and to make the result of the de
cisions of The Hague conference effective.
I earnestly hope that the conference may
be able to devise some way to make arbi
tration between nations the customary
way of settling international disputes In
all save a few classes of cases, which
should themselves be as sharply defined
and rigidly limited as the present gov
ernmental and social development of the
world will permit. If possible there should
be a general arbitration treaty negotiated
among all the nations represented at the
conference.
The Monroe Doctrine.
One of the most effective instruments for
peace is the Monroe doctrine as it has
been and is being gradually developed by
this nation and accepted by other na
tions. No other policy could have been Vs
efficient in promoting peace In the western
hemisphere and In giving to each nation
thereon the chance to develop along its
own lines. If we had refused to apply
the doctrine to changing conditions it
would now be completely outworn, would
not meet any of the needs of the present
day, and indeed would probably by this
time have sunk into complete oblivion.
That our rights and interests are deep
ly concerned in the maintenance of the
doctrine is so clear as hardly to need
argument. This is especially true in view
of the construction of the Panama canal.
As a mere matter of self-defense we must
exercise a close watch over the approaches
to this canal; and this means that we must
be thoroughly alive to our interests in the
Caribbean sea.
Not a Means of Aggression.
There are certain essential points which
must never be forgotten as regards the
Monroe doctrine. In the first place we
must as a nation make it evident that we
do not intend to treat it in any shape or
way as an excuse for aggrandizement on
our part at the expense of the republics
to the south. \Y> must recognize the fact
that in some South American countries
there has been much suspicion lest we
should interpret the Monroe doctrine as in
some way inimical to their interests, and
wc must try to convince all the other na
tions of this comment once and for all
that no just and orderly government has
anything to fear from us.
Can’t Use It as a Shield.
Moreover, we must make it evident that
we do not intend to permit the Monroe
doctrine to be used by any nation on this
continent as a shield to protect it from
the consequences of its own misdeeds
against foreign nations. If a republic to
the south of us commits a tort against
a foreign nation, such as an outrage
against a citizen of that nation, then the
Monroe doctrine does not force us to in
terfere to prevent punishment of the tort,
save to see that the punishment does not
assume the form of territorial occupation
in any shape. On the on** hand, this
country would certainly decline to go to
war to prevent a foreign government
lium collecting a just debt; on the other
hand, it is very inadvisable to permit
any foreign p >wer to take possession,
even temporarily, of the custom houses
of an American republic m order to en
force the payment of its obligations; for
such temporary occupation might turn
into a permanent occupation. The only
escape from these alternatives may at
any time be that we must ourselves un
dertake to bring about suine arrangement
by which so much as possible of a just
obligation shall be paid. If is far bet
ter that this country should put through
such an arrangement, rather than allow
any foreign country to undertake it.
The lisrrto Domingo Question.
Santo Domingo, in her turn, has now
mane an appea: to us to help her, and
not only e\cry principle 01 wisdom but
every generous instinct wiUim us bids us
n spunu iu the appeal. i. is not ul tile
.^.jglitest consequence whether we grant
tin aid needed uy Samo Domingo a- ail
incicK.ni cO the wise eleven.),mienc oi the
Monroe doctrine, or be.ause we lcgaid
me rasi of Santo Domingo as stanuing
wholly by itself, and to bo treated as
such, and not on general priiieip.es or
with any reference to the Monroe doc
trine. The conditions in Santo Domingo
have fv-r a number of years grown from
bad to worse until a year ago aii society
was on the verge oi dissolution, for
tunately, just at this time a ruler sprang
up in Santo Domingo, who, with his
colleagues, saw the dangers threatening
their country and appeared to the friend
ship of the on;y grea. and powerful
neighbor who possessed the power, and
as they hoped u.-so the will to help them.
There was imminent danger of foreign
intervention. The previous rulers of San
to Domingo had recklessly incurred debts,
and owing to her internal disorders she
bad ceased to be able to provide means
of paying the debts. The patience of her
foreign creditors had become exhausted,
and at least two foreign nations were on
the point of Intervention, und were only
prevented from intervening by the un
official assurance of this government that
it would Itself strive to help Santo Do
mingo in her hour of need. In the case
of one of these nations, only the ac
tual opening of negotiations to this end
by our government preveqted the seizure
or territory In Santo Domingo by a Eu
ropean power. Of the debts Incurred some
were just, while some were not of a
character which really renders it obli
gatory on. or proper tor, feanto Domingo
to pay them in full. But she could not
pay any of them unless some stability
was assured her government and people.
Asks Support for Treaty.
Accordingly the executive department
of our government negotiated a treaty
under which we are to try to help the
Dominican people to straighten out their
finances. This treaty is pending before
; the senate. In the meantime a temporary
[ arrangement has been made which will
last until the senate has had time to
take action upon the treaty. Under this
j arrangement the Dominican government
l has appointed Americans to all the im
; portant positions in the customs service,
and they are seeing to the honest collec
tion of the revenues, turning over 45 per
cent, to the government for running ex
penses and putting the other 55 per cent,
into a safe depository for equitable divi
sion in case the treaty shall be ratified,
among the various creditors, whether
European or American.
This has completely discouraged all rev
olutionary movement, while It has al
ready produced such an Increase in the
revenues that the government is actually
getting more from the 45 per cent, that
the American collectors turn over to It
than It got formerly when It took the
entire revenue. It is enabling tho poor
harassed people of Santo Domingo once
more to turn their attention to industry
and to be free from the curse of inter
minable revolutionary disturbance.
There Is, of course, opposition to the
treaty from dishonest creditors, foreign
and American, and from the professional
revolutionists of the island Itself.
The Army and Navy.
We cannot consider the question of our
foreign policy without at the same time
treating of the army and navy. Wo now
have a very small army—Indeed, one well
nigh infinitesimal when compared with the
army of any other large nation.
Of course tho army we do have should be
as nearly perfect of its kind and for its
size as is possible. I do not believe that
any army in the world has a better aver
age of enlisted man or a better type of
Junior officer; but the army should bo
trained to act effectively In a mass. Pro
vision should be made by sufficient appro
priations for maneuvers of a practical
kind so that the troops may learn how
to lake care of themselves under actual
service conditions.
The number of posts in which the army
is kept in time of peace should be mate
rially diminished and tho posts that are
left made correspondingly larger.
To accomplish this end we must have not
company or regimental garrisons, but
brigade and division garrisons.
For a Big Navy.
Our navy must, relatively to tho navies
of other nations, always be of greater size
than our army. We have most wisely con
tinued for a number of years to build up
our navy, and It has now reached a fairly
high standard of efficiency. This stand
ard of efficiency must not only be main
tained, but increased. It does not seem to
mo necessary, however, that the navy
should—at least in tho immediate future—
be increased beyond the present number of
units. What is now clearly necessary is to
substitute efficient for inefficient units as
the latter become worn out or as it be
comes apparent that they are useless.
Probably the result would be attained by
adding a single battle ship to our navy
each year, the superseded or outworn ves
sels being laid up or broken up as they are
thus replaced.
Publio Land Laws.
One again I call your attention to the
condition of the public land laws. Recent
developments have given new urgency to
I the need for such changes as will fit these
laws to actual present conditions. The
honest disposal and right use of the re
maining public lands is of fundamental im
portance. The iniquitous methods by
which the monopolizing of the public lands
is being brought about under the present
laws are becoming more generally known,
but the existing laws do not furnish
effective remedies. The recommendations
of the public lands commission upon this
subject are wise and should be given
effect.
As to the Grazing Land Claim.
The greater part of the remaining public
lands cannot be Irrigated. They are at
present and will probably always be of
greater value for grazing than for any
other purpose. This fact has led to the
grazing homestead of 640 acres In Ne
braska and to the proposed extension of It
to other states. It is argued that a family
can not be supported on 160 acres of arid
grazing land. This is obviously true; but
neither can a family be supported on 640
acres of much of the land to which it is
proposed to apply the grazing homestead.
To establish universally any such arbitrary
limit would be unwise at the present time.
It would probably result on the one hand
in enlarging the holdings of some of tho
great land owners, and on tho other In
needless suffering and failure on the part
of a very considerable proportion of the
bona fide settlers who give faith to the im
plied assurance of the government that
such an area is sufficient.
The best use of the public grazing lands
requires the careful examination and class
ification of these lands in order to give
each settler land enough to support Ills
family and no more. While this work is
being done, and until the land# are set
tled, the government should take control
of the open range, under reasonable regu
lations suited to local needs, following the
general policy already in successful opera
tion on the forest reserves. It is probable
that the present grazing value of the open
public range is scarcely more than half
what it once was or what it might easily
be again under careful regulation.
Favors Merchant Marine.
To the spread of our trade in peace and
the defense of our flag in w'ar a great and
prosperous merchant marine is indispensi
ble. We should have ships of our own and
seamen ol’ our own to convey our goods to
neutral markets, and in case of need to
reenforce our battle* line. It can not but
be a source of regret and Uneasiness to us
that the lines of communication with our
| sister republics of South America should
i be chiefly under foreign control. It is not
a good thing that American merchants
ana manuiucturers should have to send
their goods and letters to South America
via Europe if they wish security and dis
patch. Even on the Pacific, where our
ships have held their own better than on
the Atlantic, our merchant flag is now
threatened through the liberal aid be- |
stowed by other governments on their own
steam lines. I ask your earnest consider
ation of the report with which the Mer
chant Marine commission has followed its
long anti careful inquiry.
The Immigration Question.
The question of immigration is of vital
interest to this country. In the year end
ing June :«0, iy05, there came to the United
Stale# 1,026,000 alien immigrants. In other
words, in the single year that has just [
elapsed there came to this country a
greater number of people than came here
j during the one hundred and sixty-nine
j years of our colonial life which inter
vened betwe- n the first landing at James
town and the Declaration ot Independ
ence. it is clearly shown in the report of
the.commissioner- general of immigration
t that white much of this enormous imml
| gration is undoubtedly healthy and natur
al, a considerable proportion is undesirable
i from one reason or another; moreov* r, a
; considerable proportion of it, probably a
very huge proportion. Including most of
I the undesirable class, docs not come her.*
of its own initiative, but because of the
activity of the agents of the great trans
portat.on companies. These agents are
distributed throughout Europe, and by the
oner of all kinds of inducements they
wlicedse and cajole many immigrants, oi ten
against their last interest, to come litre.
T he Chinese Question.
The questions arising in connection
with Cliiiiet-.c immigration stand by them
selvc.-. The conditions in China are such
j that the entire Chinese coolie class, that
is, the elu.s of Chinese laborers, skilled
and unskilled, legitimately come under
the head of undesirable immigrants to
| this count!y, because of their numbers,
the low wages for which they work, and
their h w Mandat’d of living. Not only is
it to the interest of this country tv/'keep
them out, but the Chinese authorities do
not desire mat they should be admitted.
At present their entrance Is prohibited
by law's amply adequate to accomplish *
ID is purp.se. Those laws have been, are
being, and will be, thoroughly enforced.
The violation* of them are so few in
number as to be inflnAcsimal and can be
entirely disregarded. There is no serious
proposal to alter the Immigration law
us regards the Chinese laborer, skilled or
unskilled, and there 13 no excuse for any
man feeling or affecting to feel the
slightest alarm on the subject.
Fcr Pure Food Law.
1 recommend that a law be enacted to
regulate Interstate commerce In mlsbrawl
v
ed and adulterated foods, drinks, and
drugs. Such law would protect legiti
mate manufacture and commerce, and
would tend to secure the health and wel
fare of the consuming public. Traffic In
foodstuffs which have been debased or
adulterated so as to Injure health or to de
ceive purchasers should be forbidden.
Tho Indian Question.
During the year just past, the phase of
the Indian question which has been most
sharply brought to public attention Is the
larger legal significance of the Indian’s
induction into citizenship. This has made
itself manifest not only In a groat excess
of litigation in which the citizen Irdian
figures as a party defendant and in a more
widespread disposition to levy local taxa
tion upon his personality, but in a decision
of the United States supreme court which
struck away the main prop on which has
hitherto rested tho government’s benevo
lent effort to protect him against the evils
of intemperance. Tho court holds, in ef
fect. that when an Indian becomes, Ly
virtue of an allotment of land to him, a
Citizen of the state in which his land Is sit
uated, he passes from under federal con
trol In such matters as this, and the acts
of the congress prohibiting the sale or
gift to him of intoxicants become substan
tially inoperative. It Is gratifying to note
that the states and municipalities of the
west which have most at stake in the wel
fare of tho Indians are taking up this sub
ject and are trying to supply, In a measure
at least, the abdication of its trusteeship
forced upon the federal government.
Nevertheless, I would urgently press
upon the attention of the congress the
question whether some amendment of the
internal revenue laws might not be of aid
in prosecuting those malefactors, known
in the Indian country at ’’bootleggers,”
who are engaged at once in defrauding the
United States treasury of taxes and, what
is far more important, in debauching tho
Indians by carrying liquors illicitly Into
territory still completely under federal
jurisdiction.
Among the crying present needs of the
Indians are more day schools situated in
the midst of their settlements, more ef
fective instruction In the industries pur
sued on their own farms, and a more lib
eral extension of the field-matron service,
which means tho eduoation of the Indian
women in the arts of home making.
The Philippines.
During the last year the Philippine
Islands have been slowly recovering from
tho series of disasters which, since Amer
ican occupation, have greatly reduced the
amount of agricultural products below
what was produced in Spanish times. Tho
war, the rinderpest, the locusts, tho
drought, and the cholera have been unit
ed as causes to prevent a return of the
prosperity much needed In tho Islands.
The most serious is tho destruction by
tho rinderpest of more than 75 per cent,
of the draft cattle, because It will take
several years of breeding to restore tho
necessary number of theso Indispensable
aids to agriculture.
Would Reduce Tariff.
Tho agricultural conditions of the
Islands enforce more strongly than ever
tho uigument in favor of reducing the
tariff on tho products of the Philippine
islands entering tho United States. I
earnestly recommend that the tariff now
Imposed by the Dingley hill upon tho
products of tho Philippine islunds be
entirely removed, except the tariff on
sugar and tobacco, and that that tariff
bo reduced to 25 per cent, of the present
rates under tho Dingley act; that after
July 1, 1909, tho tariff upon tobacco and
sugar produced In the Philippine islands
be entirely removed, and that free trade
between the Islands and the United Stutes
In the products of each country then be
provided for by law.
A statute in force, enacted April 15.
1904, suspends the operation of tho coast
wise laws of the United States upon the
trade between the Philippine Islands and
the United States until July 1, 190G. I
earnestly recommend ‘hat this suspen
sion be postponed until July 1, 1909.
Would Fortify Hawaii.
In my judgment Immediate steps should
be taken for the fortification of Hawaii.
This is the most important point in the
Pacific to fortify In order to conservo
the Interests of this country. It would
be hard to overstate the importance of
this need. Hawaii is too heavily taxed.
Daws should be enacted setting aside
for a period of, say, twenty years 75
per cent, of the internal revenue and
customs receipts from Hawaii as a spe
cial fund to be expended in the islands
for educational and public buildings, and
for harbor Improvements and military
and naval defenses. It cannot be too
often repeated that our aim must bo to
develop the territory of Hawaii on tra
ditional American lines.
Citizenship for Porto Ricans.
I earnestly advocate the adoption of
legislation which will explicitly confer
American citizenship on all citizens of
Porto Rico. There Is, In my judgment,
no excuse for failure to do this. The
harbor of San Juan should be dredged
and improved. The expenses of tho fed
eral court of Porto Rico should be met
from the federal treasury, and not from
the Porto Rican treasury. Tho elections
In Porto Rico should take place every
four years, and tho legislature should
meet In session every two years. The
present form of government In Porto
Rico, w'hich provides for the appointment
by tho president of the members of the
executive council or upper house of the
legislature, has proved satisfactory and
has inspired confidence in property own
ers and investors. I do not *deem it ad
visable at the present time to change
this form in any material feature. The
problems and needs of the island aro In
dustrial and commercial rather than po
litical.
Needs of Alaska.
I earnestly ask that Alaska be given
an elective delegate. Some person should
be chosen who can speak with authority
of the needs of the territory. The gov
ernment should aid in the construction
of a railroad from the gulf of Alaska to
the Yukon river, In American territory.
In my last two messages 1 advocated
certain additional action on behalf of
Alaska. I shall not now repeat those
recommendations, but I shall lay all my
stress upon the one recommendation of
giving to Alaska some one authorized to
speak for it. I should prefer that the
delegate was made elective 'but If this
is not deemed wise then make him ap
pointive.
The Panama Canal.
The treaty between the United States
and the republic of Panama, under which
the construction of the Panama canal was
made possible, went into effect with its
ratification by the United States senate on
February 23, 1904. The canal properties of
the French Canal company were trans
ferred to the United States on April 23,
1904, on payment of $40,000,000 to that com
pany. On April 1. 190T>, the commission
was reorganized, and it now consists of
Theodore P. Shonts, chairman, Charles K.
Magoon, Benjamin M. Harrod. Rear-Ad
miral Morderai T. Endicott, Brigadier Gen
eral Peter C. Ha ins. and Colonel Oswald
H. Ernst. John F. Stevens was appointed
chief engineer on July 1 last. Active work
in canal construction, mainly, preparatory,
lias been in progress for less than a year
Mid a half. During that period two points
about the canal have ceased to be open to
debate. First, the question of route; the
canal will be built on th-o Isthmus of
Panama. Second, the question of feasibil
ity; there are no’physical obstacles on this
route that American engineering skill will
not b«* able to overcome without serious
difficulty, or that will prevent th-e comple
tion of the canal within a reasonable time
and at a reasonable cost. This is virtually
the unanimous testimony of the engineers
who have investigated the matter for the
government.
Must Build It Rapidly.
The American people is pledged to the
speediest possible construction of a canal
adequate to meet the demands which the
comnn ice of the world will make upon
it. ami i appeal most earnestly to the con
gress to in the fulfillment of the
pledge. Gratii.vii.g progress has been
made during Liu- past year and especially
during the past four mouths.
What is needed now and without delay is
an appropriation by the congress to meet
the current and accruing expenses of the
commission. The first appropriation of
$10,0UU,c(X), out of the $135,000,000 authorized
by the Spooner act, was made three years
ago. It is nearly exhausted. There is
barely enough of it remaining to carry the
commission to the end of the year. Un
less the congress shall appropriate before
that time all work must cease. To arrest
progress for any length of time now, when
matters are advancing so satisfactorily,
would be deplorable.
Theodore Roosevelt.
The White House. December B, 190a.
Norfolk. Va., shipped recently the
largest single cargo 6f lumber ever sent
out—1,250,000 feet of .North Carolina
pin* for New* York *vms.
USUAL SCENES AT
OPTIC SESSION
Hepburn of Iowa Has the Honor
of Nominating Speaker Can
non for Re-Election.
QUORUM IN ATTENDANCE
Roth Houses Have Requisite Majority
—Large Number of Biiis Introduced
Senato Adjourns at 12:30
O’Clock.
Washington, D. C„ Dec. 6.—The first!
session of the Fifty-ninth congress,
convened Monday. At high noon Vice
President Fairbanks called the senate,
to order, whllo the house was called to
order by Clerk McDowell.
The Fifty-ninth congress has beenj
looked forward to as one likely to be
more than ordinarily eventful. Pend
ing matters of commercial and political.
Interests have proved Intensely attrac
tive during the long recess. Matters
to be urged upon congress include the.
questions of railroad rate legislation, ^
protecting Interests of policyholders Ini
insurance companies, statehood for the>
remaining territories. Panama canal!
construction. Immigration, treatment of
Chinese, raising revenue against a pos-j
sible deficit, control of corporations,
engaged in Interstate business, corrupt
use of money at elections, the Philip
pines, Santo Domingo and the tariff
question.
Proceedings in House,
Preceding the formal opening of the;
house, there were scenes of increasing!
animation on the floor and in the gal-!
lerles. Legislative veterans exchanged!
cordial greetings and newly elected!
members made acquaintances.
Hundreds of public bills had beenj
placed In a basket on the clerk’s desk,
before 11 o'clock.
Speaker Cannon held an enthusias
tic reception In his office. Members of
both political parties went to see him!
and extend congratulations. A half
hour before noon there was not an,
empty seat In the galleries and long:
lines had formed in the corridors.
Exactly at noon Clerk McDowell!
called the house to order. He an
nounced prayer by Chaplain Couden. j
Roll call by states to show the presence
of a quorum was at once begun. j
Hepburn of Iowa to the Fore.
At the conclusion of the roll call the
clerk announced 264 members present, j
a quorum of the Fifty-ninth congress.
Speaker Cannon was placed In nomi
nation for speaker by Hepburn of Iowa,
and the first applause of the session,
followed. Williams, of Miss., was noml-,
nated on behalf of the minority by
Henry, of Texas, provoking democratic!
applause. Neither made nominating
speeches and the roll call for speaker
at once proceeded.
Cannon, 243; Williams, 128.
Cannon received 243 votes and Wil
liams 128. Cannon was brought Into
the hall and escorted to his chair
amidst a round of applause from both
sides and galleries.
After accepting the position In a few
appropriate words, Cannon took the
oath of office, which was administered
by Bingham of Pennsylvania, father of
the house. The speaker then admin
istered the oath to all members.
Hepburn Introduces Bill.
Representative Hepburn today Intro
duced a bill to amend the Panama
canal law so as to facilitate sale of
bonds and appropriating $16,500,000 to
be immediately available for canal con
struction.
The Day in the Senate.
Washington, Dec. 6.—It was a fam
iliar scene when Vice Presluent Fair
banks called the senate to order. There
were few changes in membership.
Death had taken away Senators Bates
of Tennessee and Platt of Connecticut.
There were no changes among the sen
ate officials.
The public galleries were well oc
cupied as early as 10 o'clock. Several
members of the diplomatic corps were
present.
Chaplain Edward Everett Hale mads
the opening prayer. He referred briefly
to the months since the senate had -
been In session and to the work before
members. He concluded by asking the
senate to join with him in the Lord’s
prayer.
Sixty-eight senators responded to
roll call and th" vice president an
nounced the senate was ready to trans- ,
act business.
At 12:20 the senate adjourned as a
mark of respect to the late Senator
Platt of Connecticut.
PAT CROWE ON TRIAL j
Large Crowd of Curious Spectator*
Assemble in the Court Room
at Omaha.
Omaha, Neb., Doc. 6.—Pat’ Crown,
charged with shooting Policeman A.',
H. Jackson with intent to kill, was;
brought to trial at 11 o'clock this morn-,
lng before Judge Day in the criminal;
court. The work of empaneling the,
jury occupied the entire _ session andj
the jurors have not bee.4 selected asl
yet. The better class of citizens are'
, averse to serving at Crowe’s trial.
When Crowe was brought in, the
court room was crowded with specta-i
tors, ill of whom were men, excepting;
one woman. Crowe was dressed as
immaculately as usual, in a new suit of
clothes and new shoes. He was brought
in by the jailer and two deputies whoi
stood guard during the entire proceed-;
irgs. No intimation has been made asi
to what the defense will be.
The crime with which Crowe is;
charged was committed on the night off
September <i, near Sixteenth and Hick-i
ory streets, when Policeman Jackson;
was shot in the leg during a fusillade of,
shots between a squad of police and aj!
man supposed to be Crowe.
TOO QUICK FOR ROBBER
| Turns on Time Lock Just as Burglar,
Held Up the Cashier. ■■
I Areola. 111.. Dec. 4.—An unsuccessful!
I attempt was made to rob the Areola
! State bank just as the officials were
] closing by Will Shaw, who drew a gun
on the cashier and demanded $1,044l
One of the clerks, who was putting the
cash in the safe, turned the time lock
i and frustrated the robber. Shaw waa.
I arrested and disarmed. It is believe^'
| that he is insane.
