353.9768 M66 b 1897 WILS CLS J 87 .M62 1897 BLENNIAL MESSAGE COVERNOR DAVID M. CLOUER TO LEGISLATURE OF MINNESOTA 1897. 1 ! ! THE LIBRARY OF THE UNI * RSITY COMMUNE VANCULUM OMNIBUS ARTIBUS D OF MINNESOT CLASS 353.9768 BOOK M66gb Minn. Governor, BIENNIAL MESSAGE OF GOVERNOR DAVID M. CLOUGH TO THE LEGISLATURE OF MINNESOTA. 1897. ST. PAUL, MINN.: THE PIONEER PRESS COMPANY + STATE PRINTERS, 1897. 353.9768 M66gb д t WILS AM 22049-1 GOVERNOR'S MESSAGE. Gentlemen of the Senate and House of Representatives: You have assembled here as representatives of the people in the legislative branch of their government. You meet at a time when the citizens of Minnesota, in common with those of other states, have for over three years been suffering from financial de- pression and industrial stagnation. The markets for the products of our farms, factories and mines have been circumscribed and, as a result, their prices have greatly depreciated. Auspicious skies, conspiring with the wonderful fertility of our soil and improving methods of agriculture, have, however, reduced the farmers' suffer- ing and loss to a minimum. The vast deposits of valuable iron ores within our borders, more cheaply mined than are like deposits in any other quarter of the globe, have, by their increasing output, fos- tered our industrial progress. In these and in other respects, no state in our nation has been favored during the past three years to such an extent as Minnesota. From 1890 to 1895 our population in- creased from 1,301,820 to 1,574,619. Our resources have increased even faster than our population, and the attitude of our people in days of adversity has strengthened our credit at home and abroad. At the present time, in those parts of the state that have adopted a wisely diversified system of farming, prosperity prevails and the out- look is most encouraging. In no section have crop failures, the plague of insects, blight, frost and kindred agents, either with or without the influence of hard times, brought a want or suffering that calls for any special state aid at the hands of your honorable bodies. In obedience to a constitutional requirement, I hereby submit for your consideration suggestions relative to the affairs and con- ditions of the state. STATE FINANCES. On the 30th day of November, 1896, the state treasury had to the credit of the several funds the following sums, to-wit: Revenue fund. • Soldiers' relief fund. Funding tax fund. Permanent school fund. General school fund... Permanent university fund. • · • • • 602147 $168,797.04 46,677.00 215,137.65 52,050.70 48,215.72 • 3,868.55 GOVERNOR'S MESSAGE. General university fund. Internal improvement fund. · • Internal improvement land fund Internal improvement land fund interest. State institutions fund.. School text-book fund. Swamp land fund... • Reform school fund. Grain inspection fund. • Total... • • 39,901.13 • 14,011.37 30,863.92 • 4,357.31 51,741.74 47,546.49 ► 7,914.23 8,826.46 110,234.98 $850,114.29 Statements in detail showing the estimated receipts and dis- bursements of the revenue fund for the next two years are else- where presented. It is from this fund that the ordinary expenses of the state are paid. The estimated receipts are based upon a tax levy of one and one-half mills, the same as that for the past two years. The estimated receipts from state taxes are $100,000 less than two years ago. This reduction arises from the fact that the equalized assessed value of the real and personal property of the state is about $75,000,000 less than it was at that time. The accompanying statements of estimated receipts and expendi- tures for the fiscal years 1898 and 1899 show a probable excess of re- ceipts over disbursements of $407,000. This excess is available for new buildings and other purposes not included in the accompanying estimated expenditures. The corresponding estimated excess of four years ago was $983,000, and for two years ago it was $1,001,- 000. This small relative amount of $407,000 of estimated excess of receipts over the ordinary expenditures of the state measures the extreme limit of appropriations for new buildings and for kindred purposes that can be met by a tax levy of one and one-half mills. If, therefore, the appropriations shown in the accompanying statement are exceeded by over $200,000 annually, it will be necessary to pro- vide additional income for the revenue fund. If such additional in- come is necessary, I recommend that it be sought by methods other than that of an addition to the tax levy of one and one-half mills. To increase the tax levy under the conditions that now prevail in Minnesota would seem, in my judgment, to turn away from all that experience teaches relating to the subject. It is to depart from the modern and judicious tendency in state taxation, which seeks to lessen the amount of direct tax levies by deriving increased revenue from other sources. In an agricultural community, such as most of our states were fifty years ago, nearly all the wealth is in the hands of private in- dividuals and is readily reached by the assessor and made to bear its just share of the burdens of government. This is done by the GOVERNOR'S MESSAGE. 10 tax levy. With the development of modern industries and all the com- plicated financial institutions of a manufacturing and commercial people, the whole problem of taxation is changed, and all the old methods must be modified or great inequalities and injustice arise. A reliance solely upon the old tax levy in a commonwealth such as ours tends relatively more and more to throw the burden of state support upon the citizens with limited resources, and more and more to exempt the holdings of the rich. To correct the wrong thus aris- ing, all advanced communities in the new and in the old world have begun to make an ever-increasing use of new forms of taxation, such as taxes upon inheritances and corporation taxes and fees of various kinds. It is upon some one or more of these modern sources of public revenue that I would urge you to rely, if the old tax levy of one and one-half mills will not suffice to meet all the necessary ex- penditures during the next two years. Owing to the changes in modern society and the consequent need of, as well as popular demand for, these newer forms of taxation, there arises at times, in the most progressive and wide-awake com- munities, the necessity for a thorough revision of laws and the con- stitutional provisions regulating the same. Minnesota has, to a lim- ited extent, made use of these modern forms of taxation. But there are many things about their operation, as well as concerning the general subject of taxation, which the people of the state are dis- cussing. They wish to know more fully than they now do, whether the present gross earnings taxes upon certain corporations call for as heavy a relative contribution from them as the old tax levy does from the masses of our citizens. They do not ask nor wish their legislative and executive officers to lay unjust burdens upon any one, neither are they willing that any, and especially the rich and great corporations, shall be relieved from any of their just share of the public contributions. They desire to know the facts and then have laws framed to correspond therewith. 1 This condition of affairs has repeatedly arisen in the older states. To meet the necessities of that condition, several of these states have at times created temporary tax commissions or committees to investigate the subject in all its bearings. Such commissions or committees have ascertained how old methods of taxation can and should be modified to meet new conditions. They have also gathered a great variety of facts not obtainable by the ordinary equalization board, concerning the relative ratio of the assessed to the real value of the property in the various sections of the state. To aid in secur- ing a greater equality of taxation in the several counties of our state and to gather the information that may assist in framing schemes of taxation that will relieve the industrial classes by methods that 6 GOVERNOR'S MESSAGE. shall be best for the state and just to all concerned, I would suggest the advisability of some general investigation of the subject of taxa- tion by the creation of a tax commission or the appointment of a joint committee of your honorable bodies to sit after the close of the regular session. The commission or committee could then present the facts obtained by it for the use of the next equalization board and report its findings to the next session of the legislature. *~* ESTIMATES FOR BUILDINGS, EQUIPMENT AND REPAIRS FOR STATE INSTITUTIONS. In past years estimates have been made to the legislature of the cost of erecting new buildings for various state institutions and appropriations have been made on the basis of those estimates. Later, when the authorities have proceeded to construct the struc- tures authorized by law, the appropriations are found barely suf- ficient to erect the buildings, but not properly to equip the same. The equipment must then await the action of the next session of the legislature or be paid for out of the fund for current expenses, thus seriously interfering with the operation of the institution as contemplated by the law making power. This opens the way for suspicion of bad faith or poor management. Possibly this condition cannot always be prevented, but in the interest of sound business management, it should be guarded against as fully as practical. To this end I recommend that state institutions asking for appropria- tions for new buildings be required to submit detailed estimates for the same, always including proper equipments. In estimates for current expenses and appropriations for the same, the cost of needed repairs and of new equipments of a permanent character should be stated as a separate item, and a more rigid system of accounting in- sisted upon. Such a system should limit the use of funds appro- priated by the legislature for current expenses from being applied for repairs and equipments that can be foreseen and brought to the attention of the law making power. SCHOOL AND UNIVERSITY FUNDS. My predecessor, two years ago, called attention to the defective constitutional and statutory provisions regulating the investment of school and university and other funds under the control of the state. He recommended that a constitutional amendment be prepared and submitted to the people, authorizing the investment of those funds. in the bonds of the various municipalities of our state. Such an amendment was prepared and was adopted at the last election. Appropriate legislation is now needed to make the new constitu- tional provision effective. GOVERNOR'S MESSAGE. DEFECTIVE TITLES OF STATE TO REAL ESTATE OF STATE INSTITUTIONS. 7 In his report State Treasurer Koerner calls attention to the facts discovered by him of the defective titles of the state to several valu- able pieces of property upon which state institutions are located. He recommends the appropriation of money to clear these titles. This recommendation is a most timely one, and I trust will receive proper consideration at your hands. PUBLIC EXAMINER. The duties of the public examiner have, with the passage of years, grown in extent and importance. That office now has supervision of the treasury of the state, of sixteen state institutions, eighty-one counties, one city, one hundred and fifty-four state banks, thirteen savings banks, nine loan and trust companies, twelve national and forty-seven local building and loan associations, and fire companies, or a total of 334 distinct interests. In his report he makes a num- ber of recommendations, of which I call your attention especially to the following: The law regulating the management of county moneys should be so amended as to secure better supervision of the officers in control of the funds and the use of more and better records of its disburse- ment. The law should require all receipts issued by the treasurer to be presented to the auditor for signature and registration before delivery, and treasurers should be required to deposit daily all moneys received by them and make all payments by checks, and those checks should state upon their face the number of the order or warrant for which they are issued. The law now authorizing the expenditure of small sums of money, less than $300, by town officers on roads should be so amend- ed as to forbid the county commissioners to expend such moneys, except in cases where the town officers fail properly to qualify as required by statute. FINANCIAL INSTITUTIONS. The public examiner makes a number of wise recommendations concerning the laws regulating the management of our financial institutions. I call your attention to the following: The banking law should be so amended as to require all private banks to indicate by their names that they are not incorporated, and also provide for periodical publication of their condition. The importance of this recommendation can be seen from the fact that these banks in Minnesota number 206, and have deposits of over five million dollars. 1 8 { GOVERNOR'S MESSAGE. The laws governing loan and trust companies should be so amended as to limit the liability which such companies may assume as indorser or guarantor. The permission to issue debenture bonds should be restricted to the security of such mortgages as the com- pany may have in excess of those in the guaranty fund. The law regulating national building and loan associations should be so amended as to permit the stock of borrowing members to have dividends credited to the same to the extent that would accrue, if computed at the rate which the member is paying in inter- est and premiums. This would leave the earnings of the non-bor- rowing member to be charged with the expense of administration, which would not be inequitable, when it is considered that the bor- rowers pay all profits which the non-borrowers receive. The change is recommended to assist in securing greater economy of manage- ment, as well as a greater equity to the borrowing or debtor class of members. The affairs of four of the national building associations are being wound up through the courts. Owing to the nature of the business, so much delay and expense is met with in the process as to make the situation a serious one for all concerned. It is hoped that some scheme may be evolved and embodied in law by your honorable bodies by which liquidation of such concerns may be permitted in an equitable manner and also avoid the present expense and serious delay in final settlement. Difficulties somewhat similar have developed in connection with local building and loan associations in the hands of receivers. As with the nationals, I can commend the subject to your consideration, trusting that some method may be developed for securing justice to all the many small depositors without involving undue expense cr delay. RAILROAD AND WAREHOUSE COMMISSION. * The railroad and warehouse commission has submitted a report of the work accomplished under its direction during the past two years. It renews a number of recommendations of various kinds made in past years, to which I beg to invite your consideration. Among the recommendations of the commission to which I will especially invite your attention is the proposed amendment of law requiring reports from common carriers to be filed each year with the commission on or before September 30th, and exacting a penalty for neglect or refusal to comply with this provision of statute. GRAIN INSPECTION. Of the many and varied industries of the state, none equal in importance that of agriculture, and of the objects to which the : } GOVERNOR'S MESSAGE. tillers of the soil in Minnesota have heretofore directed their atten- tions, the raising of grain has been and is preeminently the most important. From the first no subject has enlisted wider interest and en- gaged more earnestly the attention of the legislature than the question of how to protect the interests and promote the welfare of the farmer, and especially how to so regulate the handling, market- ing and transportation of the cereals as to conserve the interests and rights of their producers. For many years previous to the enactment of the warehouse and grain law the producers of the state had alleged that they had been the victims of great injustice by reason of a system of handling the grain crops which was instituted and controlled by the boards of trade composed largely of the buyers of grain. The measure re- ferred to was the result of this feeling of dissatisfaction, and since its enactment in 1885, the inspection, weighing and registration sys- tem at the terminal points, Minneapolis, Duluth, St. Paul and St. Cloud, has been under state control and has proved of incalculable benefit to the producers and shippers of the state in securing an in- telligent and impartial inspection of grain, on fair, uniform stand- ards and a correct, reliable system of state weights. At the session of 1893 additional legislation was secured for the purpose of strengthening and supplementing the terminal inspec- tion law. The most important was the "Country Warehouse Law," its object being to extend the jurisdiction of the railroad and ware- house commission to the local markets of the state, for the purpose of correcting the general evils that might exist, and furnish the farmers with an impartial tribunal before which to bring com- plaints of injustice and oppression, with a view to their proper con- sideration and adjustment. Three years' experience under its oper ation has fully demonstrated its usefulness and justified its enact- Iuent. In 1895 the law was amended in several particulars where experience had dictated its necessity, all provisions of a prac- tical and salutary nature being retained, while those of an oppo- site character were eliminated. The law may now be regarded as complete and practical in all its features, fully meeting the inten- tion of its friends and promoters, and also the hearty approval of the general public. In addition to these measures in the interest of the grain pro- ducers of the state are chapters 64 and 65 of the Laws of 1893, the former providing for the erection of elevators and warehouses on the right of way of railways, and providing for condemnation proceed- ings in connection therewith, and the latter for the construction of switches and side-tracks upon the right of way of railroad com- 10 GOVERNOR'S MESSAGE. panies, to elevators and mills located on lands adjacent to such right of way. It is conceded by those who have carefully observed the develop-, ment, operation and results of these various measures, that equally. meritorious laws, looking to the protection of the producers and grain interests in their various aspects, have at no time been enacted. They were prepared with great care and forethought and inspired by the desire to cover as far as consistent and practical the problem of handling grain at the interior and terminal markets and to afford, without stint, the facilities and protection which has so long been demanded by the people of the state. From this brief review of the grain laws, the vast importance of the work of the railroad and warehouse commission and the de- partments under its control may be appreciated. The increase in the business at the terminal points may be best understood by quoting from the last report of the state grain inspector, which sets forth that the annual receipts of grain at the four terminal points have increased from 97,653 carloads in 1885, to 250,805 carloads in 1896. The annual earnings of the department have increased from $63,471.00 to $241,943.00, while the number of persons required to discharge the duties has grown from fifty-four in 1885 to one hun- dred and forty-five in 1896. By careful methods and wise manage- ment, although the scope of its duties has been widely extended, the cost to the owner of grain for the combined service of inspection and weighing has decreased from one and one-third to two-thirds of a mill per bushel. This branch of state administration is in no sense a tax upon the general public, but strictly self-supporting, being maintained from fees collected exclusively from the owners of the grain. BUSINESS METHODS APPLIED TO STATE ADMINISTRATION. Of subjects relating to state administration, with the exception of taxation, none is of greater public interest than the movement for securing thorough application of business methods to the con- duct of all state and municipal affairs. This movement is usually referred to under the designation of civil service reform. It has many phases. Minnesota, years ago, by the wise action of its chief executive and its legislature, in creating and appointing non-parti- san boards for the regulation and control of our penal, charitable and educational institutions, applied strict business principles to a greater relative portion of its civil service than was at the time attained in any other state of the Union, or than is yet attained in more than two or three states. The success of the application of business methods in such a large relative portion of the employes under state control early led to a general desire for its application in GOVERNOR'S MESSAGE. 11 still other departments of state. The board of railroad and ware- house commissioners four years after the establishment of our sys- tem of grain inspection became convinced that proper fulfillment and the efficient discharge of the exacting duties imposed upon them in that system necessitated in the same a classification and training of its employes. Acting upon that conviction, such a classification was put into operation in 1889 by the board, and with such gratify- ing results that Minnesota grain inspection stands preeminent throughout the world for the honesty and uniformity of its grades and the business methods of its administration. This scheme of classified service was indorsed and ratified by my predecessor, as was that business management of all our state institutions previ- ously begun, and has at all times received my hearty approval. EDUCATION. The educational interests of the state have materially advanced during the past two years, notwithstanding the prevailing stagna tion of business. In every county there is shown an increase in school enrollment, average attendance and expenditure for school purposes. The total value of buildings and sites for public schools, including normal schools and the state university, has increased from $14,049,704 in 1894 to $16,232,839 in 1896. The pupils enrolled have increased from 341,478 to 359,189, and the gain in average attendance was from 121,496 to 135,702. The school enrollment has increased faster than population, and the average attendance and value of school property nearly, if not quite, twice as fast. The increase in average attendance is the most hopeful sign, showing that the object for which our people tax themselves to support schools is being attained to an increasing extent. The superintendent of public instruction reports that one of the main agencies leading to this great relative increase in average attendance is the use of free text-books. He, therefore, joins with the county superintendents and other school officials in recommend- ing that the free text-book system, now optional with each district, be made compulsory. In this recommendation I most heartily concur. The superintendent also recommends that a Minnesota Day for our public schools be established—a day which shall be specially devoted to teaching the history of the early discovery and settlement of the state, the heroic deeds of the sons of Minnesota on the frontier and on the field of war, and also to impart a knowledge of the re- sources of the state and a respect and love for its institutions. I concur in this recommendation, and add a further suggestion that the legislature appropriate annually a small sum of money, $100 or $200, to be expended under the joint authority of the superintendent 1 • * 12 GOVERNOR'S MESSAGE. of public instruction and state historical society for prizes to be dis- tributed among the students of our high schools for essays upon topics of Minnesota interest. Among the other recommendations of the superintendent of pub- lic instruction in which I heartily concur is the following: A small sum should be annually granted to a limited number of schools in each county, on condition that they maintain a high standard. The rural schools labor under many and great disad- vantages which are not met with in the schools of cities and vil lages. The state should employ all practical measures for encour- aging an interest in these schools. The measure here recommended seeks to do for the rural schools what is now accomplished for the town schools by means of the present high school law. The superintendent further recommends additional appropria- tion to meet the expense of issuing state professional certificates, an increase in the aid to state graded schools and to state high schools. These and the other recommendations and suggestions of the superintendent of public instruction, including the proposed amendment of the law for normal instruction in high schools, I com- mend to your most thoughtful consideraton. NORMAL SCHOOLS. The normal schools of the state are very important factors in fostering and developing our common schools, whose great advance- ment in the past two years has just been noted. The older of these schools call for moderate appropriations to maintain their high standard of usefulness and efficiency and to keep the buildings in a proper state of repair. The school established at Duluth by the last legislature will need liberal appropriations, if the same is to be early made an effective part of our educational system. STATE UNIVERSITY. The steady growth of this institution may be noted by the fol- lowing fact. In 1895 it conferred 285 degrees upon its graduates and in 1896, 337 degrees. The legislature of 1895 bestowed liberal appropriations upon the university, but its growth has, in many re- spects, been greater than was foreseen, and hence there are many pressing calls for the appropriation of money for this institution at your hands. The departments of botany, animal biology, drawing, mining and metallurgy, together with the museum and the collection of the geological and natural history survey, are all accommodated, so far as may be, in a single building. The proper development of the work of a great university, such as we have in our state institu- tion, calls for more extensive accommodations for these depart- ments. The authorities of this institution recommend that appro- ! GOVERNOR'S MESSAGE. 13 priations be made for a new building, to be devoted to the depart- ment of botany, and also for properly equipping the medical labora- tory building, for the purchase of books for the library and for vari- ous other purposes. The institution, as a whole, deserves the most liberal appropriations at your hands that are consistent with any income of the state that can be be secured by any proper tax levy. DEPARTMENT OF AGRICULTURE. The people of Minnesota are but beginning to awake to the great economic and social importance of the work done by the department of agriculture in our state university, through its school and college of agriculture and its experimental stations. The work is justly attracting the attention of agriculturists in our own and other states. It is leading the way to a more intelligent and hence a more profitable system of farming in Minnesota. 'It is thus rapidly becom- ing a factor in checking that unwise movement from the farm to the city which all publicists have of late deplored. Tilling of the soil is the most important industry of the state, and appropriations tending to aid in developing it and making it more profitable to the producer should ever receive the first attention of the law making power. The school of agriculture needs, for the proper prosecution of its work, appropriations for the following purposes: For an electrical and heating plant for the school, for a new horticultural building, a new veterinary building, and small appropriations for repairs and for the library. No appropriations will be made that will so widely justify themselves by adding to the wealth of the state as will such as are asked for by the school of agriculture. ANIMAL DISEASES. The swine plague for over two years has caused a considerable financial loss to the farmers of Minnesota, although, owing to the action of the state and local boards of health, this loss has been small when compared with the corresponding loss in some of the adjoining states. The United States Bureau of Animal Industry and the Minnesota State Board of Health agree that for this disease, as for that of hog cholera, there is no reliable curative remedy known. Both authorities, however, claim that by the slaughter of such ani- mals and the proper disposition of their bodies, with the isolation and disinfection of suspected animals, their pens, and of the clothing of persons in charge of them, these two diseases can readily be stamped out. To thus stamp them out calls for no new legislation or appropriation, but for the more active coöperation of local breed- ers and shippers with the health authorities. Most of the trouble now had in Minnesota with these diseases arises from the importa- tion of diseased animals from other states. A joint resolution of 2 1 1 14 GOVERNOR'S MESSAGE. the legislature, asking for coöperation on the part of the authorities of the nation and adjoining states, might greatly assist the state board of health in this very important duty of eradicating these diseases in Minnesota. Tuberculosis is prevalent to a marked degree among cattle in this state, and there is urgent necessity for a rigid inspection of dairy herds in the interest of the owners, as well as of the general public. The state board of health furnishes tuberculin free of charge to all applicants and everything possible is being done to encourage its use. BEET SUGAR. Including the gifts to the agricultural school for building and equipments, the total appropriations in Minnesota for agriculture average less than $60,000 annually. The corresponding appropria- tions in New York are approximately $300,000, and yet the actual importance of farming is not three times as great in New York as in Minnesota, and the prospective importance in Minnesota is larger than in the Empire State. Minnesota has, however, in the past, I believe, expended its money more wisely than most of its sister- states, and hence the results accomplished do not show such dis- parity as the foregoing figures. I refer to these figures to emphasize my conviction that this state can wisely expend more money for the development of its agricultural interests, for the establishment of new branches of farm industry, and thus for fostering a more diversi- fied agriculture. As a whole, the United States, as the greatest and most advanced agricultural nation on the globe, is an exporter of the products of the soil. There is one marked exception. As a na- tion we import a quantity of sugar such that its value is equal almost to that realized by the farmers of the nation for that portion of any one of the great staples of the farm that are exported by us. There is no justification for this condition of affairs. The sugar beet can be grown more readily and more cheaply in Minnesota than in Germany or France. It grows here to greater relative perfection, as has been demonstrated by experiments. Under this condition, I ask you to consider the advisability of voting a small but decreas- ing bounty upon sugar from beets produced in Minnesota, to foster the establishment of this branch of agriculture in our midst. If bounties are granted, they should be on a sliding scale and with the purpose of dispensing with the same so soon as the industry is made self-sustaining, or it is demonstrated that the same can be maintained without state aid. DAIRY AND FOOD COMMISSION. The report of the dairy and food commissioner shows that the design of the state in creating that office has been realized to a very GOVERNOR'S MESSAGE. 15 satisfactory degree. The commissioner recommends several minor amendments to the law governing his department, amendments seeking to keep the food of our people freer from adulteration and impurities, and to protect and foster the growing dairy interests of our state. The subject is one of great interest to our people, and I believe will receive all needed consideration at your hands. STATE FAIR. In the past the state fair has been a very influential factor in stimulating progress and development in the many departments of agriculture in Minnesota. The continued success of the fair in fos- tering that progress calls for some appropriation at your hands. The managers recommend appropriations for some new buildings and additions to old ones, and also for furnishing an adequate water supply. In case of a serious conflagration, under present conditions, nearly all, if not all, the buildings upon the grounds would be at the mercy of the flames. Attention, is called to these requirements, be- lieving that no wise and needed appropriation will be withheld. BOARD OF GAME AND FISH COMMISSIONERS. The board of game and fish commissioners recommend some amendments to the law under which they discharge their duties. They ask that the sale of game be forbidden, because as long as there is a market for game, men will kill it in wanton destructiveness. The state has vast financial interests, present and prospective, in its fish and game. The value of these interests the commissioners esti- mate at not less than fifteen million dollars. Other well informed people estimate that value at a sum even greater. These interests should, therefore, be conserved and fostered by law. The commis- sioners ask for an appropriation to purchase the land on which the state fish hatchery is now located. They further recommend that the present state park be enlarged. They urge this by reason of the value of that park as a breeding and feeding ground for game. A FOREST RESERVE AREA. Allied to this proposition presented by the board of game and fish commissioners for an enlargement of the state park is one that will be brought before you for consideration, calling for the creation of a forest reserve area, to be under the control and supervision of the state. The reasons urged for this proposed law are substantially the same as those which led two years ago to the enactment of the law for the preservation of forests and the prevention of forest and prairie fires. This law, enacted April 16, 1895, seems to have been framed with wisdom and to accomplish its desired results in a fairly satisfactory manner. The great interests which Minnesota has in î 16 GOVERNOR'S MESSAGE. its forests and the relation of timber reserves to climate, and the preservation of game and fish, should bespeak for this subject of legislation relating to forest reserve, the state park and allied topics, the most careful consideration and the enactment of such amend- ments to the existing law, or the passage of new statutes, as may be found most practicable for accomplishing the desired ends. GOOD ROADS. 1 During the past few years many factors have conspired in all parts of the United States to develop a great popular interest in the subject of good roads. Everywhere there is an appreciation of the need for and value of such roads. Men of all classes perceive that the continued prosperity of the state, and especially of the agricul tural sections, demands the early adoption of efficient measures for improving the condition of our highways. The main question before us for settlement at this time involves the choice of the best methods for advancing this desirable end. I would recommend the adoption of some system of county roads with limited state aid. Small road districts, leaving the expenditure of moneys in the control of the peo- ple who contribute the same, have always led to honesty and econ- omy of administration. State built roads are too far from the people, and always have been and always will be constructed on too extrav- agant a scale and with no economy of administration. The old- fashioned small road district cannot, however, command the services of skilled engineers and road makers, and so is wasteful in results, even though honestly expending moneys. The state built roads fail on the opposite side. The county road system seems to offer the golden mean of securing the advantage and escaping the evils of the largest and the smallest unit of management-the state and the old-fashioned small road district. It is suggested, therefore, that the legislature establish what, for want of a better designation, may be called a county road system with limited state aid. The legislature, in furtherance of this plan, could pass a general law, prescribing certain kinds of improved highways and outlining the methods of raising and expending the necessary moneys and au- thorizing any county, upon the application of a majority of the tax payers along the line of the proposed road, and by a vote of the county commissioners, to avail themselves of the provisions of the statute. The adoption of the above outlined scheme of good roads, or some other practical plan, I most heartily recommend. CORRECTIONAL INSTITUTIONS. The correctional institutions of this state are so managed as to secure the ends for which they are established to a very commend- able degree. GOVERNOR'S MESSAGE. 17 The training school at Red Wing had within its custody in the last fiscal year an average of 366 youths. The correctional work performed by this institution offers greater promise of accomplish- ing reformation than that of any of the others, since it deals with offenders in the earlier stages of life, when the mind is most easily trained in right directions and the good training of a few years is most potent for correcting past errors of judgment or disposition. This fact should give weight to the recommendation of the board of managers for the appropriation of money for a new school building and a new cottage, to assist in furnishing the youths in the care of the institution the education and treatment that may be required to enable them to rise to a useful and honorable career in life. j. The state reformatory at St. Cloud deals with a class of offenders intermediate between those confined at the training school at Red Wing and the state prison at Stillwater. Dealing with a class of prisoners less amenable to reformation, it has none the less accom- plished most desirable results. Out of a total of seventy-six persons released in the past two years, only ten have broken the terms of their parole. Most of those keeping their parole may be counted as returned permanently to the ranks of good and law-abiding citizens, and a part even of those who once break paroles will so benefit from the discipline of this institution as to rise ultimately to honest and honorable careers in life. This large relative success of the re- formatory feature of this institution, is a just subject of congratula- tion for all the citizens of our state. It demonstrates that reform- atory methods are the most économical in dealing with crime, espe- cially for those not advanced in years. The institution asks for con- siderable appropriations for the construction of a cell wing and also a building for dining-room and school purposes and other objects. The managers of the reformatory also ask for the appro- priation of $25,000 for the erection of a woman's building. There is need, either at that institution or elsewhere, for additional pro- vision by this state for the care and custody of female offenders. A few women guilty of heinous crimes, such as murder, are confined at the Stillwater prison, and a large number are, for minor offenses, confined in our workhouses, which, offer no opportunities and no inducements for reformation. On the contrary, the workhouse, as now managed, seems to have been specially devised for securing, not the reformation but the further degradation of the women whose feet have been by misdeeds brought to its door. This condition of affairs is a disgrace to our civilization and should no longer be tol- erated in a community with its boasted regard for morals and good order. Minnesota can take well merited pride in its training school 2 i 1 18 GOVERNOR'S MESSAGE. at Red Wing, the reformatory at St. Cloud, and also, and more espe- cially, in the prison at Stillwater, as these institutions are at present managed. It cannot as yet take any pride in the management of its female offenders. It should at once adopt measures to correct this shortcoming. Instead of the construction of a woman's build- ing at St. Cloud, I most earnestly recommend the establishment of a separate prison for women, to be under the care and direction of a board of women managers, similar to the prison for women now in operation in Massachusetts. Experience demonstrates that the ex- pense of caring for female offenders in such an institution can be reduced to a smaller sum than in the present institution, and the state can, through it, accomplish more of reformation, which is the surest and best way of lessening and preventing crime. The managers of the prison at Stillwater present an exhibit of the work of that institution that in two particulars, at least, deserves more than a passing mention. The earnings of the institution are larger than ever before, and this increased income has been obtained in connection with a discipline that has attained the reformation of a larger relative number of convicts than ever before. In fact, it is doubted if any similar institution in existence can present a bet- ter record in these respects than that at Stillwater. This fact should be sufficient warrant for preventing the adoption of any ill-consid- cred legislation that will in the least peril the good results now ob- tained by the prison discipline of our oldest penal institution. All experiments and changes in the laws and regulations concerning prisons should be those that promise an extension and not a restric- tion of these factors for reformation. The application by law of the principle of reformatory sentences and the introduction of release on parole by the prison board has greatly lessened the occasion for pardons. Pardons are exceptional acts of public officials and should be reduced to a minimum. This is best done by so framing the statutes as to lessen the occasion for the same. At present the larger share of applications for executive clemency come in connection with persons convicted of grand lar ceny, where the penalty established by law is heavier than the judge and jury believe should be inflicted. The judge gives the minimum sentence of the law, but after a lapse of such a period of time as he deems sufficient to satisfy the ends of justice, he joins with others in asking for executive clemency. I earnestly call your attention to this phase of the subject, and ask you to consider whether the ends of justice cannot best be secured by vesting greater option with the judiciary in fixing the period of sentence of offenders and thus relieve the pardoning power of many of the cases now coming be- fore it. 1 GOVERNOR'S MESSAGE. 19 In this connection, I call your attention to the fact that there is need of some suitable legislation to make valid the constitutional provision adopted at the last election creating a board of pardons. At present no pardon can be granted by any one until a statute law makes valid the provision of the constitution. The law for capital punishment provides for the execution of the same at the county seat of the several counties. I. respectfully urge you to consider the proposition to remove all persons under sentence of death to the state prison at Stillwater, and have all exe- cutions take place in that institution. DESERTION OF CHILDREN. My attention has been called to the alarming number of cases of desertion of children by their parents. During the year 1895, 348 such children were cared for by the institutions of Minnesota, and there were doubtless many more. The laws of Minnesota have proved inadequate to check this evil. The State of Ohio has a law which has proved much more effective and has been substantially adopted by Illinois and Colorado. Your attention is respectfully called to this important matter. INSTITUTE FOR DEFECTIVES For many years the management of the various schools classed under the general title of "Institute for Defectives" has in Minne- sota been doing most excellent work. In addition to the appropria- tion for their many expenses, the directors and officers ask for addi- tional means to make needed repairs and improvements upon the present buildings. They also ask for money to erect an additional building for the school for the feeble-minded, the same to be used for the benefit of epileptics. At present the school is crowded to its utmost capacity and there are 180 applicants. Some of these ap- plications for admission are most pathetic and distressing in their nature. An additional building would not only enable the institu- tion to care for most of those dependent ones for which it was cre- ated, but would also make it possible to properly classify the in- mates by separating the epileptics from the other feeble-minded. The school could then do far better work for those under its care than now. I commend this request for the school for the feeble- minded, as well as the other requests of the directors of the institute for defectives, to your most careful consideration. HOSPITALS FOR INSANE. The increase in the number of those consigned to the care of our hospitals for the insane has, in the past two years, been greater than ; 20 GOVERNOR'S MESSAGE. the corresponding increase in the facilities for ministering to this class of unfortunate people within our borders. Increased facilities will hate to be provided, and this calls for special appropriations at your hands for the means of constructing the fourth hospital at Anoka, as well as for maintaining the three older institutions on the high plane of usefulness and efficiency to which their present wise management and the generosity of the state have elevated them. The continued increase in the number of those consigned to the care of our hosptials for the insane during the past ten years or more in excess of the relative increase of our population, calls up the ques- tion in the minds of many thoughtful people whether some change should not be made in our laws governing the reception of inmates. at these institutions. Without offering any specific recommendation of new legislation relating to this branch of the subject, I bespeak for it your most thoughtful consideration. THE SOLDIERS' HOME. The ninth annual report of the board of trustees of the Minne- sota Soldiers' Home contains a full statement of the administration of that meritorious state institution. The population of the home has steadily increased from 76 in 1888 to 418 in 1896. There are nearly twenty thousand surviving soldiers of the civil war now resi dent in Minnesota; their disabilities are increasing with each ad- vancing year, and it is estimated that the maximum population will not be reached for several years to come. The net cost to the state of maintaining the soldiers' home, under the present competent and satisfactory dispensation, during the last fiscal year was $31,133.41. From the "soldiers' relief fund" which is disbursed by the trustees of the home, for aid to disabled and destitute ex-soldiers residing with their families, the expenditures were about $41,000. This scheme of benevolence reached over seven hundred families, resid- ing in seventy-seven counties. No appropriation is asked by the board for new buildings, and the standing appropriation for sup port of the home is deemed sufficient for present necessities. THE NEW CAPITOL. The construction of the new state capitol building has gone for- ward, according to the laws passed by the last legislature and its predecessor, to the limit of the appropriation available. It is the belief of the faithful and public-spirited gentlemen who compose the commission charged with the conduct of this work that it might be vastly facilitated, the cost of construction cheapened and the in terests of the state served by such legislation as would make imme- diately available the proceeds of the tax levy for this purpose that 1 GOVERNOR'S MESSAGE. 1 21 will accrue only after the passage of several years. No increase of the aggregate appropriation or of the tax levy to be made in any year is asked or contemplated or should be permitted. The limit of expenditure as originally fixed should be adhered to rigidly. But if moneys belonging to the state and available for investment could be used so as to anticipate the levies of the last three years of the capitol tax, it is pointed out that great benefit would accrue. Con- tracts could be let in bulk, lower bids secured, an uncompleted build- ing would not be allowed to deteriorate by the lapse of years while waiting for funds, and the new home of the state would be ready for occupancy, to the great convenience of all its servants and to the public satisfaction, several years earlier than under the present plan. Inasmuch as this is merely a matter of finance, involving no alteration in the conditions of the capitol act, and as it presents so many advantages and seems open to no objections, I recommend to your favorable consideration such legislation as will furnish the capitol commission with the ready funds contemplated in the act, these advances to be repaid by the proceeds of the taxes that mature in future years. LABOR LEGISLATION. Minnesota was one of the first, if not the first state in the Union, to place upon the statute book a law seeking to regulate the hours of all labor and to restrict that of women and children. That first law of 1858 was followed later by the adoption of certain provisions of the penal code relating to the employment of children. The legis lature of 1895 adopted a child labor law that in most of its provi- sions placed Minnesota in advance of any of her sister common- wealths. Through the instrumentality of the bureau of labor, thist law has been made most effective, and by methods that have de- veloped practically no friction or opposition. The labor of chil- dren under sixteen years of age has been lessened in factories one- half and that in stores nearly one-third. The average age at which our youth begin to toil in stores and factories has been increased fully one year. Those who have studied the evils of modern child labor can but rejoice at the good results thus accomplished. The commissioner of labor recommends that the law be further amended by forbidding the employment of children under fourteen years of age in stores and under sixteen years of age at occupations whereby lives or limbs or health may be endangered or their morals may be depraved. I call your attention to this recommendation, and urge that all practical measures be adopted for making the law a safe- guard protecting the young in their right to a healthful and perfect manhood and womanhood. 1 22 GOVERNOR'S MESSAGE. The factory act of 1893 has proven most beneficent in its oper- ations, lessening accidents and throwing safeguards about the lives. and health of those toiling in our factories. The principles of that act should be extended, and all that is practical done to lessen accidents in our mines as well as in our workshops. A number of minor defects in the operation and wording of the bake shop act of 1895, and in a number of other acts, are pointed out by the commissioner of labor in his report. The general operation of all these laws has been most beneficent, and their minor amend- ment will, I trust, receive consideration at your hands. BUILDING AND FIRE LAWS. The commissioner of labor in his report calls attention to the need of a revision of the general laws regulating the construction of buildings. Our present building law was enacted in 1883. At the time of its adoption it could properly be classed as a most advanced measure. The rapid growth of our leading cities and changes of many kinds, such as the introduction of electricity for numerous purposes and other factors, have conspired to make the enactment of a new and more complete building law an imperative necessity. The commissioner of labor urges this thorough revision of our building laws mainly in the interest of the working people toiling in our factories. The recommendation offered by him is also urged by the National Board of Fire Underwriters, and by many of our business men interested in lessening the hazard from fire. At- tention is called to the fact that our national loss by fire averages nearly one hundred and fifty millions of dollars annually; the loss in Minnesota alone in 1895 was $3,758,372. The problem of reduc- ing the amount of this loss is therefore an economic question of great importance. Whatever lessens this fire loss makes human life safer and aids in securing the ends for which our factory act of 1893 was enacted. I therefore most respectfully call your atten- tion to this subject, and urge the adoption of such legislation relat- ing to the construction of buildings and their equipment as will aid in checking at least to some extent the great waste of values by fire, now constantly on the increase. ANTI-TRUST LEGISLATION. I have already, in speaking of taxation, referred to some of the necessary legislation called for by reason of the modern growth of trade and industry and the consequent development of corporate enterprises. The growth of those enterprises calls not only for a modification of our system of taxation, but also for more exact defi- nition, limitation, regulation and supervision of the powers of cor- GOVERNOR'S MESSAGE. 23 porations and trusts. Whatever your wisdom can suggest to meet the demand for the restriction of unlawful combinations and the power of trusts should be enacted into law in the interest alike of statesmanship and humanity. ELECTION LAWS. The subject of legislation regulating our elections for all offices has for the past few years justly engaged a great share of the at- tention of the legislature of Minnesota, as it has of the law making power of other states. The law of 1893 marked a distinct advance over the earlier election laws of the state. That law was greatly improved in 1895. As a whole, it works in a fairly satisfactory man- There are a number of minor defects that have been disclosed by its operations in the late election. These defects, and especially those provisions governing and requiring the calling of new elections when the regular election has failed to reach a definite result, should be considered. ner. IMMIGRATION TO MINNESOTA. In the earlier years of the history of Minnesota the state main- tained an immigration bureau and assisted by appropriations in striving to secure desirable settlers upon the vacant lands of our extensive domain. Some twelve years ago these state appropria- tions were abandoned and the state bureau of immigration came to an end. The extraordinary increase in our population that took place from 1870 to 1886 was checked, and some among our people believe that this fact accounts in part for the special decline of busi- ness prosperity in the cities and large towns of our state. Cities cannot increase in population and prosperity faster than their growth is warranted by a corresponding increase in the number of people successfully located upon farms. We have thousands of acres of vacant lands awaiting the hand of intelligent toil to be- come sources of wealth to the cultivator and become agents in fos- tering prosperity throughout our borders. One year ago the Minne- sota State Immigration Association was established by the public- spirited citizens of the state. This association has branches in nearly all the counties, and has accomplished much to bring desir- able immigrants to settle within our borders. I respectfully ask your consideration of the request that state coöperation and assist- ance in proper ways be given in fostering the work for which this association is organized. CONCLUSION. In conclusion, permit me to express the wish that at all times cor- dial relations will be maintained between the legislative and exe- } + 24 GOVERNOR'S MESSAGE. cutive department; that subordinating all minor considerations to the public good, we may labor unitedly for the welfare of the state and the prosperity of the people. In a period of financial depres- sion, such as the present, the situation calls for the smallest appro- priations consistent with an economical administration of the many and varied interests committed to our care. In all this there should be a cordial coöperation between the legislative and executive branches. May we then labor in true coöperation for the welfare of the people, and may our mutual labors be guided and blessed by a Providence at once All-Wise and Beneficent. ESTIMATED RECEIPTS AND DISBURSEMENTS FÖR FISCAL YEARS 1898 AND 1899, MADE ON THE BASIS OF A TAX LEVY OF 1.5 MILLS. RECEIPTS. State taxes. Railroad taxes.. • • 1898. $875,000 1899. $900,000 • • • • Insurance taxes. 1,100,000 1,150,000 • 155,000 160,000 Insurance fees.. Telegraph and telephone taxes. Corporation fees.. Interest on deposits.. Seed grain loans.. Earnings of state institutions.. Miscellaneous Totals • 23,000 25,000 • 35,000 35,000 16,000 18,000 ► • • • • · • • 35,000 35,000 • 15,000 15,000 • 185,000 190,000 15,000 15,000 $2,454,000 $2,513,000 DISBURSEMENTS. Executive expenses. Judicial expenses. • State institutions support. State institutions, improvements and repairs. State capitol building.. State institutions buildings. Boards and commissions. Fire companies... Printing and paper. Legislative expenses. • Printing laws in newspapers. Wolf bounties.. • State aid to higher education. Miscellaneous Totals • · • • $100,000 135,000 1,150,000 $100,000 135,000 1,200,000 • • 40,000 40,000 125,000 125,000 200,000 200,000 130,000 130,000 • • • • 35,000 35,000 • 45,000 65,000 145,000 40,000 10,000 10,000 • D 65,000 65,000 130,000 130,000 $2,165,000 $2,425,000 RECAPITULATION, Receipts, 1898... Disbursements, 1898. $2,454,000 2,165,000 Surplus Receipts, 1899. 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