The Colorado statesman., 1912-12-14
PRESIDENT SENDS ANOTHER MESSAGE
Tells Congress About the Fiscal, Military, InsuIar
and Judicial Affairs of the Nation, Including
Panama Canal and Tolls Established.


judicial affairs and in part is as follows:
The condition of the country with ref
erence to business could hardly be better.
While the four years of the administra-
tion now drawing to close have not de-
veloped great speculative expansion or
wide field of new investment. the recov-
cry and progress made from the depress-
ing conditions following the panic of 1907
have been steady and the Improvement
has been clear and easily traced in the
statistics. The business of the country Is
now on solid basis. Credits are not
unduly extended and every phase of the
situation seems in a state of prepared
ness for a period of unexampled prosper
ity. Manufacturing concerns are running
at their full capacity and the demand for
labor was never SO constant and growing.
The foreign trade of the country for this
year will exceed 81 1000. 100000. while the
balance in our favor-that Of the excess
of exports over imports-will exceed $780,
100000. More than half our exports are
manufactures or partly manufactured
material, while our exports of farm pro-
ducts do not show the same increase OF
domestic consumption. 1t is a year OF
bumper crops; the total money value OF
farm products will exceed 50, 500 00o. 900. 1t
Is a year when the bushel or unit price
of agricultural products has gradually
fallen, and yet the total value of the en-
tire crop is greater by over 81. 900 100000
than we have known in our history.
Condition OF the Treasury.
The condition of the treasury is very
satisfactory. The total Understanding
debt is 1868 TT, no. of which S134, ,63l $50 con-
stiute the Panama canal loan. The non
interest bearing debt is s37S, ,3o1 .2s4.9 80. In
cluding S346, GIL ,016 of greenbacks. We have
in the treasury $50. 600 in gold coin as
q reserve against the outstanding green
backs and in addition we Elve cash
balance In the treasury as general fund
of S1eT. .152, 1889, or an increase of s26,915,-
552 over the general fund last year.
Receipts and Expenditures.
For three years the expenditures of the
government have decreased under the In
fiuence of effort to economize. This
year presents an apparent exception. The
estimate by the secretary of the treasury
of the ordinary receipts exclusive of pos
tai revenues, Cor the year ending June
30, 1914 indicates that they will amount
to s170 600 900 The sum of the estimates
of the expenditures for that same year,
exclusive of Panama canal disbursements
and postal disbursements payable from
postal revenues is $732. 100000. indicating a
deficit of S22, ,000, 600. For the year ending
June 30, 1913, similarly estimated receipts
were 1861, ,000. 900. while the total corre-
spending estimate of expenditures for that
year. submitted through the secretary of
the treasury to congress, amounted to
$656, 600 0o0 This shows increase of
sT6 900 900 In the estimates for 1914 over
the total estimates of 1913 This is due to
an increase of SIS, 900 900 in the estimate
for rivers and harbors for the next year
on projects and surveys authorized by
congress; to an increase under the new
pension bill of 100000; and to an in
crease In the estimates for expenses of
the navy department of $24 4000, 900. The
estimate for the navy department for the
year 1918 included two battleships. Con-
gress made provision for only one battle
ship, and therefore the navy department
hao N
make estimate which includes the first
years expenditure for three battleships
in addition to the amount required for
work on the uncompleted ships now under
construction. In addition to the natural
increase in the expenditures for the un-
completed ships. and the additional bat
tleship estimated for, the other increases
are due to the pay required for 1000 or
more additional enlisted men in the navy.
and to this must be added the additional
change in the eight-hour law which
makes it applicable to ships built in pri-
vate shipyards.
The president then explained at some
length the national reserve association
system recommended by the monetary
commission and urged congress to ex-
anime the plan impartially from all
standpoints and then to adopt some
plan which will secure the benefits de-
sired.
Concerning the tariff he had little to
say in view of the fact that a new con-
gress has been elected on a platform
of tariff for revenue only.
Army Reorganization.
Our small army now consists of s3, sos
men, excluding the 5000 Philippine scouts.
Leaving out of consideration the coast
artillery force, whose position is fixed In
our various seacoast defenses. and the
present garrisons of our various insular
possessions. we have today within the
| TTxu4k- CN.%n r,1txt IL
of only about 35, 200 men. This little force
must be still further drawn upon to sup
ply the new garrisons for the great naval
base which is being established at Pearl
Harbor, in the Hawaiian islands. and to
protect the locks now rapidly approaching
completion at Panama. The forces re-
naming in the United States are now
scattered in nearly fifty posts. situated
for variety of historical reasons in
| twenty-four states. These posts contain
only fractions of regiments. averaging
less than 100 men each. In time of peace
It has been our historical policy to ad-
minister these units separately by geo.
graphical organization In other words.
our army in time of peace has never been
united organization but merely scat
tered groups of companies. battalions and
| regiments. and the first task in time OF
war has been to create out of these scat
tered units army fit for effective team
work and cooperation.
10 tdSh VI iieelHB thtst pdleHe
defects. the war department has been ad-
dressing itself during the past year. A
comprehensive plan of reorganization was
prepared by the war college division of
the general staff. This plan was thor
| oughly discussed last summer at a series
of open conferences hold by the secretary
of war and attended by representatives
from all branches of the army and from
congress. In printed form 1t has been
distributed to members of congress and
throughout the army and the national
guard and widely through institutions of
learning and elsewhere in the United
States In 1t. for the first time. we have
a tentative chart for future progress.
Tho National Guard.
Under existing law the national guard
constitutes, after the regular army, the
first line of national defense. Its or
ganization, discipline, training, and equip
ment. under recent legislation. have been