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Grand Rapids Heraid Review JANUARY 4, 1911. PAGE NO. FIVE PROPOSES BIG CHANGE IN METHODS Governor Eberhart Outlines His Department Ideas in Legis- lative Message, SEES SAVING FOR THE STATE Would Abolish Oil and Boller Inspection Bureaus as Sep- arate Departments, Gentlemen of the Senate and House of Representatives: In accordance with time honored Precedent and the express mandate of our state constitution I have the hon- or to communicate to you such infor- mation and recommendations as seem most expedient with reference to the condition of the state and the ad- ministraticn of its affairs. In this message I shall in some Measure depart from established cus- tom and in addition to recommenda- tions covering the needs and require- ments of the various departments as shown in their several reports, I shall present to you the general condition of our great commonwealth and recom- mend such change of administrative policy as, after the most careful study and investigation, I firmly beliéye to be necessary, in order that, on the one hand, we may stop all sottrces of waste and loss and, on the other, so improve, conserve and develop our great natural resources as to insure the greatest blessings of permanent Progress ard prosperity to this as well as future generations:' IMPORTANCE OF EFFI- CIENT ADMINISTRATION. No state in the Union emphasizes the importance of efficient administra- tion in a greater degree than Minne- sota. When the constitution was’ adopted more than fifty years ago no ene could have anticipated the phe- nomenal growth of the state and the tremendous resources contained with- in its domain. In order to keep pace with the rapid development various ehanges have been made from time to time and the administration of state’ affairs has been ‘the subject of a vast amount of ineffective and unsys- tematic legislation. There has been a tendency to create a large number of boards or commissions through which the business of the state is largely transacted. The purpose of the legislature in creating boards or commissions has been to keep pace with the rapid development of the state without apparently in- oreasing the cost of administration. In many instances the result has been the further complication of the admin- iatrative machinery without adding to its efficiency. As an instance it might be cited that there are today not less than seven educational boards, aggre- gating forty-nine members, scattered all over the state of Minnesota and any question involving all the educa- tional interests of the state would ne- eessitate the convening of these sev- eral boards, which is not only difficult and expensive but impracticable. PRESENT SYSTEM OF STATE UNWEILDY. The governor ‘is the chief adminis- trative officer of the state and is right- ly held responsible by the people for the enforcement of the laws and the efficient administration of the business affairs of the state. Under our pres- ent laws the governor is by law con- stituted an active member of not less than sixteen boards, some of which administer business affairs during the year running into the millions. Any one can readily see that it is absolute ly a physical impossibility for the gov- ernor to be advised with reference to the details of such enormous, business transactions that he may act intelli- gently and for the best interests of the people of the state. As prominent examples I would mention the drain- ege and timber boards. The state of Minnesota spends large sums of mon- @y every year for drainage, and I have every reason to believe that the ex- penditure of this money by the drain- age board of this state has brought the best results, but as a member of the board | cannot of my own knowl- edge assure the people of the state that the best results have in all cases been obtaired. In the second place under the pres- ent system of organization, with a large number of nominal and per- functory boards in charge of the af- fairs of state, there is no way of se- euring such co-operation as is essen- | tial in efficient business administra- tion. The boards are uniformly too large. The members reside in every portion of the state, and even if they | could be assembled at any one time and place it would be extremely dif- ficult to agree om any single proposi- tion and to secure uniform support in the execution thereof. RESPONSIBILITY SHOULD BE PLACED DIRECT. these | burses over $2,000,000.annually. If'a private business institution transacted its business. by. similar methods it could not long exist in the ‘present field of active competition. Our’ state has been exceptionally fortunate in securing honest and intelligent officers and the fact that the state has made such great progress with so few charges of mismanagement or graft is @ great credit to the men in charge. but posftively no argument in favor of the system and cannot possibly con- vey any assurance for the future. Bearing in mind the two-essential ele- ments of successful business adminis- tration, fixed responsibility and active co-operation there are several depart- ments of state that can be cited as models. The dairy and food, insur- ance, banking and public examiner's departments are all properly organ- ized with a responsible head in charge of each und deputies as well as in- spectors especially skilied in their work and devoting all of their time thereto. In the board. of contro! and tax commission every member is espe- celally skilled in the performance of the duties of his office, devotes all his time thereto: andithe business of each board is organized and transacted atong lines of efficiency and merit. In all these cases there is no question as to responsibility and if all the busi- ness of the state were transacted along similar lines the results would unquestionably be far greater. WOULD CONSOLIDATE SOME DEPARTMENTS. Perhaps the only remnant of the theory that purely political considera- tions are sufficient for reward at pub- lic expense is the present fee office. There is no possible defense for the existence of this office today. Fees collected do not belong to the officer, but to the state, and the state owes the officer a sufficient compensation for his work, including necessary ex- penses, and no more. No state officer should be dependent for his support upon the amount of fees collected. If these fees aggregate a larger amount than necessary to amply compensate: him for his work and necessary ex- penses, he is appropriating money that belongs to the state, and if they are insufficient for that purpose, he is rendering services to the state with- out proper compensation. Perhaps no offices in this state can illustrate this more forcibly than those connected with the ofl and boiler inspection, and surveying of logs and lumber. The in- spection of illuminating oils could be turned over to the dairy and food de- partment with practically no addi- tional expense, which would result in saving the state in fees disbursed for’ the inspection of ofl approximately $40,000 annually, the total amount of fees collected during the fiscal year ending July 31, 1910, being $53,560.60. The dairy and food inspectors should test the oil in making their inspection trips throughout the state. This would make the inspection more rigid and effective as the inspectors would be free from local influence and inde- pendent of the amount of fees collect- ed, all of which should go into ‘the state treasury. With reference tothe boiler inspection the same argument! can be useti. WOULD ABOLISH OIL INSPECTION DEPARTMENT. In the case of oil inspection, this de- partment should be entirely abolished and its work performed by the dairy and food department. In the case of boiler inspection, this work should be performed by expert inspectors in the labor department, who should be amply compensated for their work and who should travel throughout the state in the performance of their du- ties, devoting all their time thereto. The fees collected should be based on boiler capacity and paid into the state treasury. With reference tothe in:| spection ot logs and lumber, this could be performed by inspectors un- der the forestry commissioner, and the fees collected therefor turned over to the state as in other cases According to a conservative esti- mate not less than $100,000 now paid for inspection service in the three de partments mentioned should be used by the state for much better purposes and it is safe to say that the same in- specfion could be made with odetter results for less than half of the pres- ent cost. it should be distinctly un- derstood that this is not reflection up on the men in charge of this work. They are uniformly good men and dis- charge the duties of their .respective offices as far as the law permits. The inherent defect is in the system itself. For the purpose of bringing this scheme of reorganization definitely be- fore the legislature I shall discuss the contemplated changes in the adminis- trative affuirs of the state with refer- ence to four great subdivisions or bu- reaus, those of public domain, public health and safety, education, and reve: nue and accounting. SUBDIVISION OF THE DEPARTMENTS. Within the bureau of public domain I shall discuss a department of state lands, a department of forestry, de partment of geology and mines, a de partment of game-and fish, a cepart- ment of waterways, a department ot agriculture and immigration and a de partment of public highways; within the bureau of public health and safety, a department of public health, a de- partment of dairies and foods and a department of labor; within the bu- reau of education a department of edu: cation, and a department of state in stitution, and within the bureau of revenue and accounting a tax com According to the report of the state mission, a railway and warehouse com. euditor the state coHects and dia | mission, a public examiner, a depart ‘| are reported by the auditor as aggre- ‘ment of banks ‘and a, department of’ insurance. It is not essential that the various subdivisions should be arranged, as herein suggested, or that the depart- ments thereunder should be so de nominated, nor it is essential that the officer in charge should be known as a commissioner. These are only means of designation and other termscan be used as conveniently and effectively, but the elassification herein suggested is only one of the many ‘that might be ar- ranged, and one that would seem to be the most logical. The working out of such a scheme is one for the legis lature, and my only purpose in sub- mitting this plan is to secure greater administrative efficiency by fixing re- sponsibility and securing co-operation. THE STATE BUREAU OF PUBLIC DOMAIN. In the organic act establishing. our state boundaries the general govern- ment ‘assigned to Minnesota 54,196,480 acres of the national domain. The government survey describes 2,447,360 acres of this as water surface, leaving a land surface-of 51,749,120 acres. Un- der the homestead, timber culture and timber and stone acts actual settlers have received from the general gov- ernment about 45 per cent of Minne- sota’s total domain, or approximately 23,400,000 acres. Grants to railroads, including both state and congressional grants, aggregate something over 13,- 000,000 acres, which is a fraction more than 25 per cent of the total land area About 6,000,000 acres have been. sold or otherwise transferred to lumber and mining companies, speculators, soldiers and settlers by cash sales or various kinds of scrip and the remain- der represents public land belonging to the general government and to the state of Minnesota. The amount of unappropriated lands belonging to the general government open to settlement in Minnesota, as | shown by the Jand office report of 1909, is 1,450,955 acres, of which 187,- 000 acres are unsurveyed. In national forest. reserve, Minnesota has approxi- mately, 1,204488 acres. The total un- surveyed acreage of the general gov- ernment in Minnesota, including lands in reservations, is estimated at 2,- 290,000 acres, which, with 1,260,000 acres surveyed and open to settle- ment, bring the total Minnesota hold- | ings of the general government up to 3,550,000 acres. LANDS BELONGING TO STATE OF MINNESOTA. ’ Under the various acts of congress ‘granting lands to the several states Minnesota is entitled to 9,600,219.47 acres. Up to Jnly*31, 1910, patents had been received from the general government for the several classes of state lands aggregating 8,181,102.72 acres. This leaves a-balance of 1,419, 015.75 acres, according to the record of the state, yet to be approved and patented. . Approximately 2,800,000 acres of school, university, agricultural, col- lege, internal improvement, swamp and salt spring lands have been sold and the proceeds invested for the va- rious educational and other permanent trust funds, which on July 31, 1910, gating $27,077,223.41. The auditor, as ex-officio state land commissioner, reports on hand unsold fn the possession of the state and its imstitutions at ‘this time 2,486,405 acres. In addition to the above holdings | the auditor estimates that there is| still due from the general government 600,000 acres of selected swamp and indemnity school lands, bringing the total up to, approximately 3,000,000 | acres, as the total public domain to be administered in the interest of our | public schools and other state insti- | tutions, as well as the general public. | DEPARTMENT’ OF STATE LANDS NECESSARY. The necessity of amending our pres- ent laws and methods of handling state lands, with the organization to that end: of a separate state land de- partment, is now: generally admitted Our present ex-officio land commission: er, State Auditor Iverson, advocated ‘such change in his report of two years ago, reiterating his position at. this time, anda bill to that end was intro duced in the last legislature, but} failed of passage because of certain constitutional difficulties. The attor. | ney general, in his report to your body, | condemns the present land laws and methods of land sales as archaic and obsolete. , | Among the vital and practical rea-| sons for the proposed reform in our! land laws and administration, there. fore, are the following: First—To make the state agricul. tural lands accessible and available tr actual intending settlers. Second—To realize for our schools and other public institutions full and just values for their lands Third—To place unsold lands, with their timber and other products, un- der businesslike administration, im- proving and developing their resources and protecting them from fire, depre- dation and waste Fourth—To provide for a thorough survey of the lands and their resources Fifth—To co-operate with other re- spective public domain departments of the state with reference to the, va- rious lines of development and im provement. such as, drainage,. high- ways, forestry, agriculture, water powers. waterways, geology and mines Sixth—In separating tne land depart- ment from the auditor's office to make the latter an independent check upon the accounts and business transactions of the land department as contemplat ed by our constitution in creating the office of anditor. | experiments. with. nothing like a com- | DEPARTMENT OF Before the above reform in our land laws can be carried into legislative effect however, it\ appears wise and apparently legally necessary to sub- mit the proposition to the people in the form of a constitutional amend- ment. THE STATE DEPARTMENT OF FORESTRY. The original forest area of Minne- Sota is estimated at over one-half of the total land surface of the state, or approximately 28,000,000 acres, of which perhaps 18,000,000 represented pine and ‘evergreens. About one-half | of the original forest area yet’ remains, though materially depleted by fires and cuttings. Part of this is hard wood, though the greater portion is Pine and pulpwood, chiefly located on the northern wooded plateau of the state, where it is of inestimable serv- fice in protecting the sources of our streams. It would seem as though the neces- sity of placing the public forest under acientific and businesslike administra- tion were so plain to the general pub- lic and to the members of this legis- lature that argument should be un- Mecessary. The state has just experi- enced another chapter of horrors in connection with the Rainy River val- ley forest fires, which should be suffi- cient to demonstrate, the necessity of improved forest administration. But the Hinckley, Chisholm and Baudette fires, with their losses aggregating millions of dollars’ worth of property and many human lives, tell only a part of the sad story. To this we must add losses by trespass and depreda- tion and loss by neglect of growing forests, as well as loss of opportuni- ties for reforestation. It is estimated that the aggregate forest resources of Minnesota are worth $100,000,000, which is the strongest possible argu- ment for adequate methods of protec- tion, development and administration The forest problems of our state have been sadly neglected. For pro- tection against forest fires Minnesota spends less than one-fourth of what is required for effective results and in the way of practica) forest adminis- tration conducts only a tew scattered prehensive, scientific and businesslike system:.of forestry. GEOLOGY AND MINES. After mining and shipping to the furnaces 254,000,000 tons of iron ore, the world’s record of production, Min- Besota has now definitely located a body of ore, amounting to 1,347,596,000 tons, which is one-third of the avail- abie and merchantable ore of the Unit- ed States and upon which taxes are paid into th: state treasury. And yet Minnesota has no state department of mines, and not even, in operation at this time, the usual geological survey found in most of the states of the Union. Our educationai institutions, notably the public schools, university and agri- cultural college, lead the world in wealth and income from these mines. It has long been apparent that mineral resources which promise our schools and university a future income of more than $100,000,000 require detailed expert administration. Other North. western and Mississippi Valley states, such as Wisconsin, Michigan, Illinois, lowa and Missouri, which together possess and control for educational purposes but a small portion of our wealth, all conduct permanent geologi- cal surveys and some of these states, as well as many Eastern and Western states, have separate departments of mines and Minnesota should do the same. The expense of such adminis- tration will be returned in revenue to the state many fold. STATE DEPARTMENT OF GAME AND FISH. | Nature has richly endowed the state of Minnesota with game and fish. It/ is one of our natural resources, in the | conservation of which the state has | been most fortunate. The total disbursements of the de- partment for the year 1910 amount to $95,407.17. Out of 504 prosecutions there have been only thirty-two ac-| quittals and the sum total of fines for the year 1910 amounts to $8,624.45. A suggestion is made in the report of the commission which I! believe worthy of particular consideration, | namely, that some method be instjtut- ed whereby it may determine the amount of game killed in the state! from year to year in order that it may | determine with greater accuracy what | ought to be done to preserve the game in the future. | Minnesota has a larger number and; also a larger area of inland lakes than any other state in the Union and fish- | ing both as a sport and an industry is | eonstantly increasing. The fame of our summer resorts and beautiful lakes attracts thousands of visitors from’ distant states annually. One of the best investments made by the state is the improvement of our fish hatcheries so as to increase the supply of fish. The total distribution of fish fry for the years 1909 and 1910 amounts to 199,886,967, which is an in- crease of 100,505,667 over the years 1907 and 1908. STATE DEPARTMENT OF WATERWAYS. One-fifteenth of Minnesota’s Surface consists of lakes and streams. Our water area approximates 4,000,000 acres. The elevation of this water area ranges from 700 to 1,800 feet above the sea, the average altitude of our lake and stream reservoirs being about 1,200 feet above sea level. We have about 7,500 meandered lakes, most of them future sources of power above the point where it leaves southern boundary of the state. The Red River of the North has a fall of 700 feet within the state, the Rainy river 600 feet, and the Minnesota and St. Croix about 300 feet each. In ad- dition to these well known streams great water powers exist on the St. Louis and a score of rivers which flow from our northern watered pla- teau into the Great Lakes and Hudson bay system. It is estimated that the aggregate power of known available falls and rapids in Minnesota is about 600,000 horsepower, of which consid- erably less than one-half is now utilized for industrial purposes. In other words, the available waterpower of the state, as at present surveyed, is equivalent to over 8,000,000 tons of coal per annum, developed into indus- trial power. Minnesota has no coal mines, but its waterpower, which is never consumed, and should be as great one hundred years from now as today, if properly conserved and de- veloped, is approximately equal, in amount of available horsepower, to the average coal product per state of the twenty-eight coal producing states. RESOURCES WORTHY OF DEVELOPMENT. The water resources of Minnesota, therefore, comprise a big chapter in our scheme of conservation and de- velopment. Waterpowers, waterways, drainage and artesian supply are a source of wealth, income, life and de- velopment worthy of high recognition on the part of the state and give am- ple field for the organization and ac- tivity of the best scientific and busi- ness talent. It goes without saying that a department in charge of at least one commissioner, devoted to the con- servation and development of our wa- ter resources, will earn its cost mani- fold. The revenue resulting from a single waterpower or the commercial advantage of a single waterway may warrant the support of such a depart- ment for a decade. Among the lines of work which this department should at once uadertake are the following: A complete survey of the navigable streams of the state, including the gauging of the currents; a census of the developed waterpowers; a survey and estimate of undeveloped water- powers; a survey of the entire drain- age area of the state and of the sec- tions which need drainage; a complete map of Minnesota lakes and streams showing elevations and topography and indicating the location of water- Powers and navigable channels; a | rainfall map, showing the distribution | of rainfall; an artesian supply map, | giving the location. and capacity of | deep wells; a plan for the co-opera- tion of the state with the federal gov- ernment in connection with water- ways, waterpowers and drainage; an | investigation of the laws and admin- istration of various states and coun- tries with relation to water resources and,the submission of a proposed re- vision of Minnesota laws governing this subject. DEPARTMENT OF AGRICUL- | | TURE AND IMMIGRATION. Jeet athe Minnesota possesses the greatest ag- ricultural resources of any state in the Union and yet it is one of the few states which have no centrally organ- ized department of agriculture. Of her 45,000,000 acres of agricultural lands tess than 50 per cent are under cultivation and this 50 per cent should yield, under proper methods of admin- istration, from 50 to 100 per cent greater returns than are now realized. The general government gives to! agriculture one of its best equipped federal departments. Mississippi val- ley states, such as Iowa, Wisconsin, North and South Dakota, Missouri, Il- linois, Indiana and Ohio, all have state departments of agriculture. The same is true, not-only of the Pacific coast states, but of such Atlantic coast states as Massachusetts, Connecticut, New York, New Jersey and Pennsyl- vania, which are noted chiefly for| their manufacturing resources and in-| terests, rather than agriculture. The state of Minnesota has done much to encourage scientific agricul- ture; what we now need is to maké co-operative and effective, under a! well directed central organization, the | many lines of agricultural activity now in progress in the several directions. We have one of the greatest agricul- | tural colleges and farm schools in the country, with three fairly well equip- | ped experiment stations, and a farm- | ers’ institute or traveling lecture | course. We have built up the greatest | state agricultural fair in the United | States. We have a successful and ef- ficient state dairy and food depart- ment, a live stock sanitary board, an immigration board, forestry depart- ment, highway commission, drainage | commission, and among its associate | agricultural organizations Minnesota | has one of the greatest horticultural | societies in the world, the mast suc- | cessful butter and cheesemakers’ as- | sociation, and progressive associations of live stock breeders, fruit growers, bee and poultry raisers. These sev- eral institutions, commissions, depart- | ments and associations, each in its own line, have performed a vast serv- ice in our educational and industrial development, but the greatest effi- | ciency and economy of energy have not been realized because of lack of | co-operative organization. QUESTION OF IMMI- GRATION IMPORTANT. | Lands, forests, mines, waterpowers, waterways and highways are of no) avail, except as they serve the people. Conservation and development are ‘without purpose unless there are men, | women and children to be blessed | thereby. Natural resources receive | and transportation facilities. The value in proportion to the population | partment of immigration to bring te our lands the population; and our im- migration commissioner has made @ record in performing this function. The $70,000 expended by the com- mission during four years in advertis- ing Minnesota have produced several bundred thousand* inquiries from in- tending settlers, increased the sales of state, federal and private lands, brought investors and farm tenants, raised farm values, increased business and materially aided. state develop- ment. The special Minnesota immi- gration car, recently -havled through the states south of us by the generous co-operation of one of our railway companies and visited by 1,200 farm- ers daily, is an example of the enter- prise with which the state is now be- ing advertised. At the same time with more ade- quate ‘appropriations and co-operation there is little doubt that much greater results. could be «accomplished. For lack of such provision intending set- tlers arrive and there are no guides and cruisers to show them the lands, no agencies at hand to make the sale, no schedule: of land, prices on file, oftentimes no available roads to the lands and, in general, no opportunity to get state lands at all, except to wait and take chances on compara tively unknown lands with a crowd at some distant public auction sale. DEPARTMENT OF PUBLIC HIGHWAYS. What veins and arteries are to the human body, such are streets and ave- nues to the city, and public highways to the public domain. Without high- ways the public domain is inaccessible, and as far as the public is concerned, a wilderness. We have made a mod- est beginning in the development of a state highway system and are moving slowly in the right direction. Under the one-quarter of a mill tax, which is available under the constitutional amendment, on the condition of the state paying one-half the cost of the state road, it is possible for this leg islature, on the present state valua tion, to provide the state highway sys- tem with an annual appropriation of $300,000. This provision will place Minnesota in the rank of the eight leading states in good roads legisla- tion. * Notwithstanding the usual hard- ships and handicaps under which a Hew experiment like the state high- way system labors, our state highway commission and its capable engineer already make a substantial showing of practical results. Doubtless there will be laid before you during this session a bill for a greatly improved and strengthened state highway act. STATE DEPARTMENT OF PUBLIC HEALTH. No question coming ‘before the leg- islature at this session deserves more earnest consideration than that of public health. We have saved several millions of dollars annually by guard- ing against plant and animal diseases and are now beginning to realize how untold millions are wasted annually through our neglect of preventable and curable human diseases, lack of sanitation in cities, homes and schools, lack of safeguards against railway, mine and factory accidents, food adulteration, impure milk and water supply, all of which come prop- erly within the scope and jurisdiction of the department of public health. The great problem to be solved ix one of prevention rather than cure and consists largely in the enforcement of sanitation laws in our cities, schools and homes. But this department can accomplish little when handicapped by such lack of support as in the past The importance of the department warrants larger appropriations and I therefore recommend for your most careful consideration the needs of this department. One of the mo&t effective depart ments in the state service today is the dairy and food department. FAVORS A WORKMEN'S COMPENSATION ACT. Minnesota is advancing to the front as one of the greatest industrial, man ufacturing and commercial states in the Union. As such, it cam never at- tain the greatest degree of prosperity unless its labor is efficient and intelli gent and receives at the hands of the state such consideration as will secure the most adequate protection.. I rec- ommend the enactment of a work- men’s compensation law, believing it to be for the best interests of both em ployes and employers as well as the State at large. 4 Discussing the question of education the governor points with pride to our present institutions and recommends the creation of a state board of edu cation. This board, he says, should be non-partisan and the members should be given six-year terms. The state in- stitutions are complimented for their good management and in referring to the state prison the governor comes out in opposition to capital punish- ment. Discussing the subject of taxation the governor says, all things consid ered, Minnesota under present laws and administration, appears to be making good in the direction of scien tific and just taxation, and he calls the attention of the legislature to the re port of the tax commission. On the question of reapportionment he says: “Of all the important ques- tions to be decided by the present leg islature, that of reapportionment will be watched with the greatest interest by the people of the state. In some sections of Minnesota 12,000 people elect a senator, and in other sections it requires 62,000; in some sections 5,- 000 people elect a representative and in other sections it requires 22.000. source ef the Mississippi lines 900/ served. It is the functiom of the de- | This should be remedied.”