PRESIDENT’S MESSAGE
Document Deals with Questions of Vast
Importance to the Nation
TRUSTS AND THE TARIFF DEALT WITH
Fitful Changes of Import Duties a Menace to the Business
Interests of the Country — Reciprocity Treaties
Desirable — Monetary Legislation—Rela
tions of Labor and Capital.
To the Senate and House of Represen
tatlves; We still continue In a period o'
unbounded prosperity. This prosperity
Is not the creature of law. but undoubt
edly the laws under which we work have
been Instrumental in creating the condi
tions which made it possible, and by un
wise legislation it would be easy enough
to destroy it. There will undoubtedly
be periods of depression. The wave will
recede; but the tide will advance. This
nation is seated on a continent flanked
by two great oceans. It is composed
of men the descendants of pioneers, or
in a sense, pioneers themselves; of men
wdnnowed out from among the nations
of the old world by the energy, boldness,
and love of adventure found In their own
eager hearts. Such a nation, so placed,
will surely wrest success from fortune.
As a people we have played a large
part ia the world, and we are bent upon
making our future even larger than the
past. In particular, the events of the last
four years have definitely decided that,
for woe or for weal, our place must l>e
great among the nations. We may either
fall greatly or succeed greatly; but we
cannot avoid the endeavor from which
either great failure or great success
must come. Even if we would, we can
not play a small part. If we should try,
all that would follow would be that we
should play a large part Ignobly and
shamefully.
No country has ever occupied a higher
plane of material well-being than ours
at the present moment. This well-being
Is due to no sudden or accidental causes,
but to the play of the economic forces
In this country for over a century; to
our laws, our sustained and continuous
policies: above all, to the high individ
ual average of our citizenship. Great
fortunes have beea wort by those who
have taken the lead In this phenomenal
Industrial development, and most of these
fortunes have been won not by doing
evil, but as an Incident to action which
has benefited the community as a whole.
Never before has material well-being
been so widely diffused among our peo
ple. Great furtunas have been accum
ulated and yet In the aggregate these
fortunes are small Indeed when com
pared to the wealth of the people as a
whole. The plain people are better off
than they have ever been before. The
Insurance companies, which are prac
tically mutual beneflt societies—especially
helpful to men of moderate means—rep
resent accumulations of capital which are
among the largest in this country. There
are more deposits in the savings banks,
more owners of farms, more well-paid
wage workers in this country now than
ever before In our history. Of course,
when the conditions have favored the
growth of so much that was good, they
have also favored somewhat the growth
of what was evil. It is eminently neces
sary thut we should endeavor to cut out
this evil, but let us keep a due sense of
proportion; let us not In Axing our gaze
upon the lesser evil forget the greater
good. The evils are real and some of
them are menacing, but they are the
outgrowth, not of misery or decadence,
but of prosperity—of the progress of our
gigantic Industrial development. This
Industrial development must not be
checked, but side by side with it should
go such progressive regulation as will
diminish the evils. We should fail In
our duty if we did not try to remedy the
evils, but we shall succeed only if we
proceed patiently, with practical common
sense as well a* resolution, separating
tiie good from the bad and holding on to
the former while endeavoring to get rid
of the latter.
National Action to Control Trust*.
In my message to the present Congress
at its first session I discussed at length
the question of the regulation of those
big corporations commonly doing an in
terstate business, often with some ten
dency to monopoly, which are popularly
known as trusts. The experience of the
past year has emphasized, in my opin
ion. the desirability of the steps I then
proposed. A fundamental base of civil
ization is the Inviolability of property;
but this is In no wise inconsistent with
the right of society to regulate the ex
ercise of the artificial powers which it
confers upon the owners of property, un
der the name of corporate franchises. In
such a way as to prevent the misuse
of these powers. Corporations, and rape
daily combinations of corporations,
should he managed under public regula
tion. Kxperience has shown that under
our system of government the necessary
supervision cannot he obtained by state
action. It must therefore be achieved
by national action. Our aim is not to do
away with corporations; on the contrary,
these big aggregations are an inevitable
development of modern industrialism, and
the effort to destroy them would be futile
unless accomplished In ways that would
work the utmost mischief to the entire
body politic. We can do nothiug of good
In the way of regulating and supervising
these corporations until we Hx clearly In
our minds that we are not attacking the
corporations, but endeavoring to do away
with any evil In them. We are not hos
tile to them; we are merely determined
that they shall be so handled as'to sub
serve the public good. We draw the line
against misconduct, not against wealth.
The capitalist who. alone or in conjunc
tion with his fellows, performs some
great Industrial feat by which he wins
money is a welldoer, not a wrongdoer,
provided only he works in proper and
legitimate lines. We wish to favor such
a man when he does well. We wish to
supervise and control his actions only to
prevent him from doing ill. Publicity
can do no harm to the honest corpora
tion; and we need not be overtender
about sparing the dishonest corporation.
The Necessity for Care.
In curbing and regulating the combina
tions of capital which are or may become
Injurious to the public we must be careful
not to stop the great enterprises which
have legitimately reduced the cost of pro
duction, not to abandon the place which
our country has won In the lcadi r.-shlp of
the international Industrial world, rot to
strike down wealth with the result of
closing factories and mines, of turning
the wage-worker idle in the streets and
leaving the farmer without a market for
what he grows. Insistence upon the im
possible means delay In achieving the
possible, exactly ns, on ihe other hand,
the stubborn defense alike of what is
good and what Is bad in the existing sys
tem. the resolute effort to obstruct any
attempt at betterment, betrays blind
ness to the historic tiuth that wise evolu
tion is the sure safeguard against revo
lution.
importance of the Subject.
No more Important subject can come
before the Congress than this of the
regulation of interstate business. The
country cannot afford to sit supine on
the plea that under our peculiar system
of government we are helpless In the
presence of the new conditions, and un
able to grapple with them or to cut out
whatever of evil has arisen in connec
tion with them. The power of the Con
gress to regulate interstate commerce Is
an absolute and unqualified grant, and
without limitations other than those pre
scribed by the constitution. The Con
gress lias constitutional authority to
make all laws necessary and proper for
executing this power, and I am satisfied
that this power has not been exhausted
by any legislation now on the statute
books. It is evident, therefore, that evils
restrictive of commercial freedom entail
ing restraint upon national commerce fall
within the regulative power of the Con
gress. and that a wise and reasonable
la*- would be a necessary and proper ex
ercise of congressional authority to the
end that such evils should be eradicated.
Evil* Can Be Done Away With.
I believe that monopolies, unjust dis
criminations. which prevent or cripple
competition. fraudulent overcapitaliza
tion. and other evils in trust organiza
tions and practices which injuriously af
fect interstate trade, can be prevented
under the power of the Congress to "regu
late commerce with foreign nations and
among the several states" through regu
lations and requirements operating di
rectly upon such commerce, the Instru
mentalities thereof, and those engaged
therein.
I earnestly recommend this subject to
the consideration of the Congress with a
view to the passage of a law reasonable
In its provisions and effective in Its oper
ations. upon which the questions can be
finally adjudicated that now raise doubts
as to the necessity of constitutional
amendment. If It prove impossible to ac
complish the purposes above set forth by
such a law. then, assuredly, we should
not shrink from amending the constitu
tion as to secure beyond peradventure the
power sought.
The Tariff Question.
proposition advocated has been the
reduction of the tariff as a means of
reaching the evils of the trusts which
fall within the category I have describ
ed. Not merely would this be wholly
Ineffective, but the diversion of our ef
forts In such a direction would mean the
abandonment of all Intelligent attempt
to do away with these evil*. Many of
the largest corporations, many of those
which should certainly be Included In
any proper scheme of regulation, would
not be affected in the slightest degree
by a change In the tariff, save as such
"hange interfered with the general pros
perity of the country. The only relation
of the tariff to big corporations as a
whole i« that the tariff make* manufac
lures profitable, and the tariff remedy
proposed would be in effect simply to
make manufactures unprofitable. To re
move the tariff a* a punitive measure di
rected against trusts would inevitably re
sult In ruin to the weaker competitors
who are struggling against them. Our
aim should be not by unwise tariff
changes to give foreign products the
advantage over domestic products, but by
proper regulation to give domestic com
petition a fair chance: and this end can
not be reached by any tariff changes
whlrh would affect unfavorably all do
iiiestic competitors, good and bad alike
The question of regulation of the trusts
stands apart from the question of tariff
revision.
Fitful Tariff Changes Decried.
Stability of economic policy must al
ways be the prime economic need of this
country. This stability should not be
losslllsatlon. The country has aequleaced
in the wisdom of the protective tariff
principle. It is exceedingly undesirable
that this system should be destroyed or
that there should be violent and radical
changes therein. Our past experience
shows that great prosperity tn this coun
try has always come under a protective
tariff: and that the country cannot pros
per under fitful tariff changes at short
Intervals. Morever, if the tariff laws
as a whole work well, and If business
has prospered under them and Is pros
pering, It Is better to endure for a time
slight Inconveniences and Inequalities in
some schedules than to upset business
by too quick an«l too radical changes. It
is most earnestly to be wished that we
could treat the tariff from the stand
point solely of our business needs. It Is
perhaps, too much to hope that partisan
ship may be entirely excluded from con
sideration of the subject, but at least
It can be made secondary to the busi
ness interests of the country -that is. to
the interests of our people as a whole
I nquestlonably these business Interests
will best be served If together with
fixity of principle as regards the tariff
we combine a system which will permit
us from time to time to make the neces
sary reupptlcallon of the principle to the
shifting national needs. We must take
scrupulous care that the reappllcatkm
shall be made In such a way that it will
not amount to dislocation of our sys
tem. the mere threat of which (not to
speak of the performance) would pro
hue paralysis in the business energies
of the community. The tlrst considera
tion in making these changes would of
course, be to preserve the principle which
underlies our whole tariff system—that is
ihe principle of putting American busi
ness interests at least on a full equal
ity With Interests abroad, and of always
allowing a sufficient rate of duty to more
Ikon cover the difference between the la
bor cost here umj abroad. The well-be
ing of the wage-worker, like the well
being uf the tiller of the soil, should
be treated as an essential in shaping our
whole economic pulley. There must never
be any change which wiil jeopardize the
standard of comfort, the standard of
wages of the American wage-worker.
For Reciprocity' Treaties.
One way in which the readjustment
sought can be reached is by reciprocity
treaties. It Is greatly to be desired that
such treaties may be adopted. They can
be used to widen our markets and to
give a greater field for the activities of
our producers on the one hand, and on
the other to secure in practical shape
the lowering of duties when they are no
tonger needed for protection among our
own people, or when the minimum of
damage done may be disregarded for the
sake of the maximum of good accom
plished. If It prove impossible to ratify
the pending treaties, and if there seem
to be no warrant for the .endeavor to
execute others, or to amend the pending
treaties so that they can be ratified, then
the same end—to secure reciprocity—
should be met by direct legislation.
For Expert Tariff Commission.
Wherever the tariff conditions are such
that a needed change cannot with ad
vantage be made by the applleatlon of
the reciprocity idea, then it can be made
outright by a lowering of duties on a
given product. If possible, such change
should be made only after the fullest
consideration by practical experts, who
should approach the subject from a
business standpoint, having in view both
the particular interests affected and the
commercial well-being of tile people, as
a whole. The machinery for providing
such careful Investigation can readily be
supplied. The executive department has
already at Its disposal methods of col
lecting facts and figures: and If the con
gress desires additional consideration to
that which will be given the subject by
its own committees, then a commission
of business experts can be appointed
whose duty It should- be to repoinmend
action by the Congress after a deliberate
and scientific examination of the various
schedules as they are affected by the
changed and changing conditions. The
unhurried and unbiased report of this
commission would show what changes
should be made In the various schedules,
and how far these changes could go
without also changing the great pros
perity which this country is now enjoy
ing, or upsetting its fixed economic pol
icy.
The eases in which the tariff can pro
duce r« monopoly are so few as to con
stitute an Inconsiderable factor in the
question; but of course if In any case
it be found that a given rate of duty
does promote a monopoly which works
ill, no protectionist would object to such
reduction of the duty as would equalize
competition.
In my Judgment, the tariff on anthra
cite coal should be removed, and anthra
I cite put actually, where It now is nom
inally. on the free list. This would have
no effect at all save In crises; but in
crises it might be of service to the peo
ple.
Monetary Legislation.
Interest rates are a potent factor In
business activity, and in order that these
rateg may be equalized to meet the vary
ing needs of the seasons and of widely
separated communities, and to prevent
the recurrence of financial stringencies
which injuriously affect legitimate busi
ness. it is necessary that there should
lie an element of elasticity in our mone
tary system. Banks are the natural ser
vants of commerce, and upon them should
be placed, as far as practicable, the
burden of furnishing and maintaining a
circulation adequate to’ supply the needs
of our diversified industries and of our
domestic and foreign commerce: and
the issue of this should be so regulated
that a sufficient supply should be al
ways available for the business interests
! of the country.
It would be both unwise and unneces
sary at this time to attempt to recon
struct our financial system, which has
been the growth of a century: but some
additional legislation is. I think, desir
able. The mere outline of any plan suffi
ciently comprehensive to meet these re
quirements would transgress the appro
priate limits of this communication. It
is suggested, however, that all future
legislation on the subject should be with
the view of encouraging the use of such
instrumentalities as will automatically
supply every legitimate demand of pro
ductive industries and of commerce, not
only in the amount, but in the character
I of circulation; and of making all kinds
1 of money interchangeable, and. at the
will of the holder, convertible into the
established gold standard.
Relations of Labor and Capital.
How to secure fair treatment alike for
labor and for capital, how to hold In
check ttie unscrupulous man. whether
employer or * mploye, without weakening
individual Initiative, without hampering
and cramping the industrial development
of the country, is a problem fraught with
great difficulties and one which it Is of
the highest importance to solve on lines
of sanity and far-sighted common sense
as well as of devotion to the right. This
is an era of federation and combination.
Kxactly as business men find they must
often work through corporations, and as
I it is a constant tendency of these cor
porations to grow huger, so it Is often
necessary for laboring men to work In
federations, and these have become im
portant factors of modern industrial life.
Both kinds of federation, capitalistic and
labor, can do much good, and as a neces
sary corrollary they can both do evil.
Opposition to each kind of organization
should take tiie form of opposition to
whatever is bad in the conduct of any
given corporation or union—not of at
tacks upon corporations as such nor upon
unions as such; for some of the most
far-reaching beneficent work for our peo
ple has tieen accomplished through both
corporations and unions. Bach must re
frain from arbitrary or tyrannous Inter
ference with the rights of others. Organ
ized capital and organized labor alike
should remember tiiat In the long run the
Interest of each must be brought Into
harmony with the interest of the general
public; and the conduct of each must
conform to the fundamental rules of obe
dience to the law. of Individual freedom,
and of justice and fair dealing toward all.
Bach should remember that in addition to
power. It must strive after the realization
of healthy, lofty and generous ideals.
Kvery employed, every wage worker, must
be guaranteed his liberty and his right to
do as he likes with his property or his la
bor so long as he does not Infringe upon
the right of others. It Is of the highest im
portance that employer and employe alike
should endeavor to appreciate <ach the
viewpoint of the other and the sure dis
aster that will come upon both In the
long run If either grows to take as habit
ual an attitude of sour hostility and dis
trust toward the other. Few people de
serve better of tile country than those
representatives both of capital and labor
—and there are many such—who work
continually to bring about a good under
standing of this kind, based upon wisdom
and upon broad and kindly sympathy be
tween employers and employed. Above
all. we need to remember that any kind
of class animosity in the political world
is. if possible, even more wicked, even
more destructive to national welfare,
than sectional, race or religious animos
ity. We can get good government only
upon condition that we keep true to the
principles ution which this nation was
founded, and Judge each man not iis a
part of a class, but upon his Individual
merits. All that we have a right to ask
of any man. rich or poor, whatever his
creed, his occupation, his birthplace, or
hi, residence. Is that lie shall act well
and honorably by ids neighbor and bv
his country. Wo are neither for the rich
man as such nor for the poor man ns
such; we are for the upright man. rich
or poor. So far as the constitutional
powers of the national government touch
these matters of general uiul vital mo
ment to the nation, they should be exer
cised hr conformity with- file principles
above set forth.
Department of Commerce Needed.
It is earnestly hoped (tint n Secretary
of Commerce may be created, with a
"eat In the Cabinet. The rapid multipli
cation of questions affecting labor and
capital, the growth and complexity of the
organizations through which both labor
and capital now find expression. the
steady tendency toward tiie employment
of capital in huge corporations, and the
wonderful strides of this country toward
leadership in the international business
world Justify an urgent demand for the
creation of such a position. Substantial
ly all the leading commercial bodies In
this country have united In requesting its
creation. It is desirable that some such
measure as that which lias already passed
tiie 8onate be enacted into- law. The
creation of such A department would In
itself he an advance toward dealing with
ami exercising supervision over the whole
subject of the great corporations doing
an Interstate business; and with this
end in view, the Congress should endow
the department with large powers, which
could lie increased as experience might
show the need.
Cuba Must Hsve Consideration.
I hope soon to submit to the Senate a
reciprocity treaty with Culia. On May 20
last the United States kept its promise
to the Island by formally vacating Cuban
soil and turning Cuba over to those whom
her own people had chosen as the first
officials of the new republic.
Cuba lies at our doors, and whatever
affects her for good or for ill affects us
also. So much have our people felt this
that in the Plait amendment we definite
ly took the ground that Cuba must here
after have closer political relations with
us than with any other power. Thus in
a sense Cuba has become a part of our
international political system. This
makes It necessary that in return she
should be given some of the benefits of
becoming !>art of our economic system.
It is. from our own standpoint, a short
sighted and mischievous policy to fail to
recognize tills need. Moreover, it Is un
worthy of a mighty and generous nation,
itself the greatest and most successful
republic in history, to refuse to stretch
out a helping hand to a young and weak
sister republic just entering upon its
career of independence. We should al
ways fearlessly insist upon our rights In
the face of the strong, and we should
with ungrudging hand do our generous
duty by the weak. I urge the adoption
of reciprocity with Cuba not only because
it is eminently for our own Interests to
control the Cuban market and by every
means to foster our supremacy in the
tropical lands and waters south of us.
but also because we. of the giant repub
lic of tiie North, should make all our sis
ter nations of the American continent
feel that whenever they will permit it we
desire to show ourseh-es disinterestedly
and effectively their friend.
International Arbitration.
As civilization grows warfar becomes
less and less the normal condition of for
eign relations. The last century has seen
a marked diminution of wars between
civilized power*; wars with uncivilized
powers are largely mere matters of inter
national police duty, essential for the
welfare of the world. Wherever possible,
arbitration or some similar method should
be employed In lieu of war to settle dif
ficulties between civilized nations. al
though as yet the world has not pro
gressed sufficiently to render It possible
or necessarily desirable, to Invoke arbi
tration In every case. The •formation of
the International tribunal which sits at
The Hague Is an event of good omen
from which great consequences for the
welfare of all mankind may flow. It Is
far better where possible, to Invoke such
a permanent tribunal than to create spe
cial arbitrators for a given purpose.
It Is a matter of sincere congratulation
i^a01ir,.-.O“"truy ^at ‘he I’nlted States
anil Mexico should have been the first
to use the good offices of The Hague
court. This was done last summer with
most satisfactory results in the case of
a claim at Issue between us and our
sister republic. It Is earnestlv to be hop
ed that this first case will serve as a
precedent for others, tn which not only
the I nited States, but foreign nation's
may take advantage of the machinery al
ready in existence at The Hague.
I commend to the favorable considera
tion of the Congress the Hawaiian fire
claims, which were the subject of oare
rul Investigation during the last session.
Panama Canal Favored.
The Congress has wisely provided that
we shall build at once an Isthmian ca
nal. If possible at Panama. The attorney
general reports that we can undoubted
ly acquire good title from the French
Panama Canal Company. Negotiations
are now pending with Colombia to se
sure her assent to our building the canal.
This work should be carried out as a
continuing policy without regard to
• hunge of administration; and It should
be begun under circumstances which
will make It a matter of pride for all
administrations to continue the policy.
The canal will he of great benefit to
America, and of Importance to all the
world It will be of advantage to us
Industrially and also as improving our
military position. It will be of advan
tage to the countries of trnplcar Amer
ica. It Is earnestly to be hoped that
all of these countries will do as some
of them have already done with signal
success and will invite to their shores
commerce and improve their material
conditions by recognizing that stability
and order are the prerequisites of suc
cessful development. No Independent na
tion in America need have the slightest
fear of aggression from the Cnlted
States. It behooves each one to main
tain order within its own borders and
to discharge Its just obligations to for
eigners. When this Is done, they can
rest assured that, be they strong or
weak, they have nothing to dread from
outside Interference. More and more the
increasing interdependence and complex
ity of international political and eco
nomic relations render it Incumbent on
all civilized and orderly powers to In
sist on the proper policing of the world.
racmc cable Assured.
During the fall of 1901 a communication
was addressed to the Secretary of State,
asking whether permission would be
granted by the President to a corpora
tion to lay a cable from a point on the
California coast to the Philippine islands
by way of Hawaii. A statement of con
ditions or terms upon which such cor
poration would undertake to lay and
operate a cable was volunteered.
inasmuch 11s the Congress was shortly
to convene, and Pacific cable legislation
had been the subject of consideration by
the Congress for several years, it seem
ed to me wise to defer action upon the
application until the Congress had first
an opportunity to act. The Congress ad
journed without taking any action, leav
ing the matter in exactly the same con
dition in which it stood when the Con
gress convened.
Meanwhile it appears that the Com
mercial Pacific Cable Company laid
promptly proi ceded with preparations for
laying Its cable. It also made applica
tion to the President for access to and
use of soundings taken by the U, g. g.
Nero, for the purpose of discovering c
practicable route for a trnns-Paciflc ca
ble, the company urging that with ac
cess to these soundings It could complete
its cable much sooner than if .It were
required to take soundings upon its own
account.
In consequence of this solicitation of
the cable company, certain conditions
were formulated, upon which the Presi
dent was willing to allow access to these
soundings and to consent to the landing
urtd lhy*ttjr of >« ruble, subject tft tivny
alterations or additions thereto Impoted
by the Congress. This was deemed prop
er, especially as It Whs clear that a eabtlo
connection if some kind with China, n
foreign country, was a [>urt of the corw
pany’a plan.
These concltlons prescribed. among
other things. maximum rate for com
mercial messages and that the company
should construct' r*> line from the Philip
pine islands to China, there being at
present, as is well known, a British llnX1
from Manila to Hong-Kong.
The representatives of the cable com
pany kept these conditions long under
consideration, continuing. In the mean
time, to* prepare for laying the cable.
They have, however, at length acceded
to them, and an all-American line las
tween our Pacific coast awl the Chinese
empire, by way of Honolulu and the
Philippine islands, is thus provided for,
and is expected within a few months to
be ready for business.
Philippine Policy Vindicated.
On July 4 last, on the one hundred and
twenty-sixth anniversary of »he declara
tion of our independence, peace and am
nesty were promulgated In the Philip
pine islands. Some trouble has since
from time to time threatened with the
Mohammedan Moron, hut with the late
insurrectionary Filipinos the war hU3 en
tirely ceased. Civil government has now
been introduced. Not only does each
Filipino enjoy such rights to life, liberty
and the pursuit of happiness as he has
never before known during the recorded
history of the islands, hut the people
taken as a whole now enjoy a measure
of self-government greater than that
granted to any other orientals by any
foreign power and greater than that en
joyed by any other orientals under their
own governments, save the Japanese
alone. We have not gone too far In
granting these rights of liberty and self
government; but we have certainly gone
to the limit that In the Interests of the
Philippine people themselves It was wise
or Just to go. To hurry matters, to go
faster than we are now going, would en
tail calamity on the people of the Islands,
No policy ever entered Into by the Amer
ican people has vindicated itself In more
signal manner than the policy or holding
the Philippines. The triumph of our
arms, above all the triumph of our laws
and principles, has come sooner than we
had any right to expert. Tot much
praise cannot be given to the army for
what It has done In the Philippines, both
In warfare and from an administrative
standpoint In preparing the way tor civil
government; and similar credit belongs to
the civil authorities for the way ia which
they have planted the seeds of self-gov
ernment In the ground thus msde ready
for them. The courage, the unflinching
endurance, the high soldierly efficiency,
and the general kind-heartedness and
humanity of our troops have been strik
ingly manifested. There now remain only
some 15,(KM) troops In the Islands. All
told, over 100.000 have been sent there.
Of course, there have been individual In
stances of wrongdoing among them.
They warred under fearful difficulties of
climate and surroundings; and under the
strain of the terrible provocations which
they continually receive from their foes,
occasional Instances of cruel retaliation
occurred. Every effort has been made
to prevent such cruelties, and Anally
these efforts have been completely suc
cessful. After making all allowance for
these misdeeds. It remains true that few
Indeed have been the Instances in which
war has been waged by a civilized power
against semi-civillzed and barbarous
forces where there has been so little
wrongdoing by the victors as In the Phil
ippine islands. On the other hand, the
amount of difficult. Important, and bene
flelent work which has been done is
well-nigh Incalculable.
Praise for Friendly Filipinos.
Taking the work of Hip army and the
civil authorities together. It may be ques
tioned whether anywheie else in modern
times the world has seen a better exam
ple of real constructive statesmanship
than our people have given In the Philip
pine Islands. High praise should also be
given those Filipinos. In the aggregate
very numerous, who have accepted the
new conditions and joimd with our rep
resentatives to wtui with hearty good
will for the welfare of the Islands.
National Guard Reorganization.
The measure providing for the reor
ganization of (he militia system and for
securing the highest eflh tency In the na
tional guard, which has already passed
the House, should receive piompt atten
tion and action. It is of great impor
tance that the relation of the national
guard to the militia and volunteer forces
of the 1'nited States should be defined,
and that In place of our present obsolete
laws a practical and efficient system
should be adopted.
Irrigation in the West.
Few subjects of more Importance have been
taken up by the t'ongreag in recent years than
the Inauguration of the system of nationally
aided Irrigation for the arid regions of the far
Weat. A food beginning therein hint been made.
Now that rbta policy of national Irrigation baa
been adopted, the need* of thorough and •<*!
entitle forest protection will cron more rap
Idly than ever throughout the public-land
atatea.
fto far aa they are available for agriculture,
and to whatever extent they may be reclaimed
under the national irrigation law. tbe remain
ing public lands should t*e held rigidly for the
home builder, tbe settler who Uvea on hl«
land, and for no one else. lu their actual
uae the desert-land law. the timber and atone
law. and the com mutation clause of tbe home,
stead law have been so perverted from the In
tention with which they were enacted aa to
permit tba acquisition of large areas of the
public domain for othera than actual settle re
and tbe consequent prevention of settlement.
The sound and steady development of the West
depends upon tbe building up of homes therein.
Much of our prosperity aa a nation ha* been
due to tbe operation of the homestead law.
On tbe other band, we should recognize the fact
lhat In the grazing region the man who cor
responds to the homesteader may be unable to
settle permanently if only allowed to use the
same amount of pasture land that hla brother,
tbe homesteader, is allowed to uae of arable
land. One hundred and sixty acres of fairly
rich and well watered toll, nr a much smaller
amount of Irrigated land, may keep a family
In plenty, whereas no one could get a living
from 160 acres of d**y pasture land capable of
supporting at the outside ouly one head of
cattlo to every ten acres. In the past great
tracts of the public domain have l*een fenced
In by persona having no title thereto. In direct
defiance of the law forbidding the maintenance
or construction of any such unlawful inelosvre
of public land. F'or various reasons there has
been little Interference with such Inelosure*
In the past, but ample notice has now been
given the trespasser*, ami all the resources At
the comma ml of the government will hereafter
be used to put a atop to such trespassing.
Pressing Needs of the Navy.
For the first time In our history naval ma
neuvers on a large scale are being held nix lor
the Immediate com mmol of the admiral of the
navy. Constantly Increasing attention la being
paid to the gunnery of the navy, but It la yet
for from what It should be. I earnestly urge
that the Im re a tie naked for by the Secretary
of the Navy in the appropriation for Improv
ing tho iiitnkfttnausblp be granted. In battle
the only abuth that count are the shots that
hit. It la necessary to provide ample funds for
practice with the great guns in time of peact*.
These funds must provide not only for the
purchase of projectile**, but for allowances for
prize* to encourage the gun crews, and «»k|m»
dally the gun pointers, and for perfecting an
intelligent system under which uK-no it is
possible to get gu«»d practice.
There should bo no halt In the work of build
ing up the navy, providing every year addi
tional lighting craft. We arc H very rich coun
try. vast In extent of territory and great in
populutlmi; a country, moreover, which baa an
army diminutive Indeed when compared with
that of uny other first clans power. We have
deliberately made our own certain foreign poli
cies which demand the possession of a first
class uuvy. The tathmlnn canal will greatly
Increase tbe efficiency of our navy If tho navy
la of stifflrieut size; but If we have an Inade
quate navy, then the building of the canal
would be merely giviug a hostage to uny power
H of gftperlof strength The Monroe decffffcu
•f should' bo tfen *d m the curdlnnl' feature of
American foreign policy; but It would be »or»o
•ban Idle to aster* It unless we Intended to
fwk It un. and It eon be backed up only by
a thoroughly good oawy. A g<*,d navy Is not
a ja-ovoestlye of war. I* la tbe rarest guaranty
of phaea.
More Sailors Called For.
II calf your special attention to the need of
providing for the wanning of the ships. Se
rious tr affile threatens us If we cannot do bet
ter than we are now doing as regards securing
the asrvi eg of a sufficient number of the high
est type of aallormen. of aeu mocha tiles. It 1*
no more possible to improvlae a i rear than It
is poKsttde to Improvise a warship. To hulM
the flueBt ship, with the deadliest battery, and
to send It atloat with a raw crew, no matter
how brave they were Individually, would bo
to Insure disaster If a foe of ayerage capacity
were meat]ntereil. Neither ships nor men can
be improvleed when war hai begun.
We need a thousand additional offieera In
order to properly man the sbl|» now provided
for and under construction. Tbe classes at the
naval school at Annapolis should tie greatly
enlarged At the same time that we thus add
the officers where we need them, we should
facilitate the retirement of those at the head of
the list whose usefulness has become Impaired.
Promotion must be fostered if the service I* to
lie kept efficient.
There la not a cloud on the horizon at pres
ent. There seems not the slightest chance of
trouble with a foreign |w>wer. We moat ear
uesllv lio|s- tlint this state of things may am.
tluue; and the way U> Insure Its continuance
is to provide for a thoroughly efficient navy.
The refusal to malutaln such a navy would
Invite trouble, and If trouble came would In
sure disaster. Fatuous self-complacency or
vanity, or short sighleilncss In refusing to pre
pare for danger, Is both foolish and wtekeil
In such a nation as onm, and psst experience
has shown that such fatuity In refusing to rec
ognize or prepare for any crisis in advance In
usually succeeded by a mad panic of hysterical
fear once the crisis has actually arrived.
Rural Free Delivery a Success.
The »lliking iociviBe in tbe itfponei of the
postoffice department shows clearly tbe pros
perity of our poop]** snd tbe increasing activ
ity of the business of the country.
The receipt! of the post office department for
the lineal year ending June 30 last amounted to
S121.848.047.26, au inn ease of $IO,210,8£3.87 over
the preceding year, the largest increase known
in the history of tbe postal service. The mag
nitude of this increase will best apiwar from
the fact that the entire postal receipts for
the year 1860 amounted to but $8,£18,067.
Kural free delivery aernc* is no longer in
the experimental stage; ft has become a fixed
policy. 'Hie results following Its Introduction
have fully Justified the Congress In the large
appropriations made for Its establishment and
extension. The average yearly increase iu post
office receipts In the rural districts of the
country la about two |**r cent. We are now
able, by actual results, to show that whom
rural free delivery service has beeu established
to such an extent as to enable us to maka
comparisons the yearly lucreaae has been up
ward of ten per cent.
On Nov 1. 1902. 11,650 rural free delivery
mutes had been established and were In opera
tion. covering about one-third of the territory
of the Totted States available for rural frwa
delivery aervice. There are now awaiting the
action of the department Mentions and appli
cations for the estatdlahment of 10,746 addi
tional routes. This shows conclusively the waufc
which the establishment of the service has
met and the ueed of further extending It an
rapidly as possible. It la justified both by
the financial results snd by the practical bene
fits to our rural population; It brings the men
who live on the soil Into close relationa with
the active business world; It keeps the farmer
In dally tou«-b with the markets; It la a po
tential educational fo.ce; It enhances the value
of farm property, makes farm life far pleas
anter and less Isolated, and will do much to
check the undesirable current from country to
city.
It la to be hoped that the Congress will make
liberal appropriations for the continuance of
the service already established aud for lla
further extension.
Need of Legislation for Alaska.
I especially urge upon the Congress the need
of wise legislation for Alaska. It Is not to
our credit as a nation that Alaska, which
has been ours for thirty-five years, should still
have as poor a system of laws as la the case.
Alaska needs a good land law and such pro
visions for homesteads and preemptions as will
encourage permanent settlement. Wo should
shape legislation with a view not to the ex
ploiting snd abandoning of the territory, but
to the building up of homes therein. The land
laws should be liberal In type, ao aa to hold
out Inducements to the actual settler whom
vve most desire to see take possession of the
country. The forests of Alaska should be pro
tected. and, as a secondary but still Impor
tant matter, the game also, and at the same
time It Is Imperative that the settlers should
he allowed to cut timber, under proper regu
lations. for their own use. Alaska should
have a delegate in the Congress. It would
be well If s congressional commit tea could
visit Alaska aud investigate Its needs on the
ground.
The Indian Problem.
In dealing with the Indians our aim should
be their ultimate absorption Into the body of
our people. Hut lu many cases this absorption
must and should he very slow. The first and
most Important step toward the absorption of
the Indian is to teach htm to earn hla living;
yet It Is not necessarily to be assumed that
In esch community all ludlaus must become
either tillers of the soil or stock raisers. Their
Industries may properly ha diversified, aud those
who show special desire or adaptability for
industrial or even commercial pursuits should
be encouraged so far as practicable to follow
out each hla own bent.
Scientific Aid to Farmoro.
In no department of governmental work In
recent years hits there bsen greater success
than in that of giving scientific aid to the
farming population, thereby showing them how
most efficiently to help themselves. There Is
no ue*d of insisting upon lta Importance, for
the welfare of the farmer to fundamentally
u*cesaary to the welfare of the republic aa s
whole. In addition to such work aa quaran
tine against animal aud vegetable plagues, snd
warring against them when here Introduced.
rnu< h efB'-tent help bss been rvudered to the
farmer by the Introduction of new plants spe
cially fitted for cultivation under the peculiar
conditions existing lu different portions of the
country. lu th*- Southwest the possibility of
re grassing overstocked range lands has been
detnoustrated; in the North many new forage
crops have been introduced, while In the East
it has been shown that some of our choicest
fruits can be stored and shipped In auch a.
way as to find a profitable market abroad.
Needs of Washington.
The District of Columbia is the only park
of our territory in which the national govern
ment exercises local or municipal functions,
snd where Id consequence the government has
a free hand In reference to certain typea of
social and economic legislation which must b#
esscDtlslly lo«-ul or municipal In their charac
ter. The government should see to it. for In
stance, that the hygienic and sanitary legis
lation affecting Washington is of a high char
acter. The city should b« a model in every,
respect, for all the cities of the country. More
over. while Washington is not a great indna
trlnl city, there is some industrialism here,
and our labor legislation, while It would not
be important in Itself, might be made a model
for the rest of the nation. We should paas,
for Instance, a wise employer■ liability act for
the District of ('olumhla, and we need auch an
act in our navy-yard*. Railroad companies In
the district ought to be required by law to
block their frogs.
Protection for Railway Men.
The safety appliance Inn. for the better pro
lection of the lives mil llmlia of railway em
ployes, which »«i passed In 18*3, went Into
lull effect An*. 1. 1901. it hie resulted la
avertlug thousands of casualties. Experience
shows, however, the necessity of additional leg
lalotlon to perfect thin luiv. A bill to pro
vide for thin |>useed the Senate at the laat
session, It la to be hoped that noma auch
measure may now be enacted Into law.
Gratifying progress haa been made during
the year In the extension of the merit ayateui
of making appointments In the government aerv
lee. II la uioeh to lie desired that our colt*
aular system lie established bv law on a bust,
providing for appointment anil promotion only
In consequence of proved Illness.
Restoration of the White House.
Through a wise provision of the Congress
al Ha last session the while house, which las
become disfigured by Incongruous additions snd
changes, has now been restored to what u was
planned to be by Washington. The white house
is the property of the nation, ami „„ far na ^
eompalltue 1.111, living (herein It should he kept
n« it originally was, for Iba same reasons that
we keep Mount Vernon ns It originally wa.
is i'i.? * 1 ns t0 Pr,'»'‘rvo such building*
ns historic monuments which keep alive our
sense „f continuity with the nation's pal'
The teporls of the several executive deport
rommunlcat*«B.m *‘*<I *»» »*
White Houae, d’cIT.Tw*® R008BV*LT- J
