The Washington herald., 1911-12-22

making it an administration policy, Pres
ident Taft yesterday sent special mes
sage to Congress recommending the Gre
alton of a national reserve association,
properly supervised by the government.
Other features of the message which
dealt generally with the affairs of the va
rious departments were recommendations
for an experimental parcel post; coun-
Gil of national defense; military gov
erenment for the Canal Zone, with gov
Crnment monopoly of docking and repair
ing facilities, and a system of tolls in
tended to encourage the American mer-
chant marine; "a civil service retirement
and pension law; the abolishment of
large part of the Federal patronage; the
removal of clerks of Federal courts by
executive order, and the payment of the
French spoliation awards.
The Aldrich currency plan takes lead
ing part in the message.
On AIdrich Plan.
TT is exceedingly fortunate" says the
President, that the wise and undisputed
policy of maintaining unchanged the main
features of our banking system rendered
it at once impossible to introduce CEN
trail bank, for a central bank would GER
tainly have been resisted, and plan into
which ii could have been introduced
would probably have been defeated. But
as central bank could not be part of
the only plan discussed or considered,
that troublesome question is eliminated
And ingenious and novel as the proposed
National Reserve Association appears it
simply is a logical outgrowth OF what
is best in our present system, and is, in
fact the fulfllment of that system.
Exactly how the management of that
association should be organized is ques-
ton still open. 1t seems to be desirable
that the banks which would own the
association should in the main manage
II. 1t will be an agency of the banks to
act for them, and they can be trusted
better than anybody else chiefly to con-
duct it. 1t Is mainly bankers work.
But there must be some form of gov
ernment supervision and ultimate control.
and | favor a reasonable representation
of the government in the management. l
entertain no fear of the Introduction or
politics or of any undesirable influences
from a properly measured government
representation.
The Panama Canal.
Referring to the Panama Canal. the
message reads, in part:
I'VE are now near enough the COM
pletion of the canal to make 1t impera-
lively necessary that the legislation
should be enacted to fix the method by
which the canal shall be maintained
and controlled and the zone governed.
Il renew my recommendations with
respect to the tolls of the canal that
within limits. which shall seem wise to
Congress, the power of fixing tolls be
given TO the President. In order to ar
rive at a proper conclusion, there must
be some experimenting. and this cannot
he done if Congress does not delegate
the power to one who can act eXpe-
ditiously.
Il am very confident that the United
States has the power to relieve from
the payment of tolls any part of our
shipping that Congress deems wise. We
own the canal. 1t was our money that
built il. We have the right to charge
tolls for its use. Those tolls must be
the same to every one; but when we
are dealing with our own ships. the
practice of many governments of sub
sidizing their own merchant vessels is
so well established in general that a
subsidy equal to the tolls, an equiva-
lent remission of tolls cannot be held
to be a discrimination in the use of
the canal"
Rural Parcel Post.
In asking that a rural parcel post be
GSldDllSneu, Ine ITeSlOent says.
"It is hoped trat Congress will au-
thorize the immediate establishment of
a limited parcel post on such rural routes
as may be selected providing for the de-
livery along the routes of parcels not
exceeding eleven pounds, which is the
weight limit for the international parcel
post, or at the post-office from which
such route emanates, or on another route
in rrnh
preliminary service will prepare the way
for the more thorough and comprehensive
inquiry contemplated in asking fO- the
appropriation mentioned, enable the de-
partment to gain definite information con-
cerning the practical operation of a gen.
cral system, and al the same time extend
the benefit of the service to a class
Of people who, above all Others are spe-
Cially in need of it"
That part of the message dealing with
the Navy Department contains an urgent
re tcommendation that the ranks of ad-
miral and vice admiral, the President
says:
1T is certain that the navy. with it's
present Size should have admirals in ac-
tive command higher than rear admirals.
The recognized grades in order are: Ad-
miral of the fleet admiral, vice admiral,
and rear admiral. Our great battle ship
with four rear admirals under his orders.
This is not as it should be, and when
questions of precedence arise between our
naval officers and those of European
navies, the American rear admiral though
in command of ten times the force Of a
foreign vice admiral, must yield prece-
dence to the latter. Such an absurdity
ought not to prevail, and it can be avoid
ed by the creation of two or three posi-
tions of flag rank above that of rear ad-
miral."
In urging the creation by Congress of q
council of national defense, the President
says:
II urge again upon Congress the de-
STABILITY of establishing the council of
national defense. The bill to establish
this council was before Congress last
winter, and 1t is hoped that this legisla-
ton will pass turing the present session
The purpose of the council is to deter
mine the general policy of national de-
tense and TO recommend to Congress and
to the President such measures relating
to 1t as it shall deem necessary and ex-
pedient.
mo such machinery is now provided
by which the readiness of the army and
navy may be improved and the pro-
grammes of military and naval require
t.,lN -,