S8T COGRSS 2d SeIon. ~. I I - t-' ,, '_ I __. DocUMENT I No. 304. SENATE. "The Philippines are ours, not to exploit, but to develop, to civilize, to educate, to train in the science of self-goveronment. This is the path of duty which we must follow or be recreant to a mighty- trust committed to us. "The question is not will it pay, hut rather will we do what is right,and it is for the people of this country to expressitheir will on this great question."-MckINLEY. )WHAT HAS BEEN DONE. IN THE PHILIPPINES, A RECORD OF PRACTICAL ACCOMPLISHMENTS UNDER CIVIL GOVERNMENT. BUREAU OF INSULAR AFFAIRS, WAR DEPARTMENT, Washington. WASHINGTON: GOVERNMENT PRINTING' OFFICE. 1904, - ";e *\ CONTENTS. Page. The restoration of peace -—.....-.............................. — 7 Central government: Description of its powers and organization............................. 7 Municipal governments: Powers, qualifications of voters, organization........................... 12 Provincial governments: Organization and powers and duties of the 34 Christian provinces........ 14 Organization and powers and duties of the Moro Province..............- 15 Organization and powers and duties of the 5 district provinces........... Administration of justice:. Setting forth the organization and jurisdiction of the different courts, together with the other legal offices......................... 15 Civil service in the Philippines: Purpose of act, results, table showing relative number Americans and Filipinos..............-....-...... ---........... 17 The education of the Filipinos................................... 19 The monetary system -.......................................... 20 The Philippines constabulary................................ 21 Means of communication: Postal service............................................ 22 Telegraph lines.......................................... 22 The new Pacific cable..-.................................. 22 Highways-..-.........-.......-....................... 22 Fmlinent domain: Public lands................................................... 23 Forestrv y..........-........................... 24 Minerals.. -...25 Agriculture......-.....................-................. 26 Friar lands.............................................. 28 Weather bureau service................................................ 30 Ethnology -................................................ 30 Philippine exhibit at St; Louis................................... 30 Census. -............ 31 Th Piipinscutmstaif ------------------------------------------ The Philippines customs tariff...............-.-................... 31 -Foreign commerce.............................................. 32. Sources of revenue.............................................. 33 Aids to navigation: Harbor improvements......................................... 35 Coast-guard service -... —........ ---....... ---...-. —.. ---....... 36 Light-house service......................................... 36 Health and sanitation: General....-.......................................... 36 Hospitals....................................... 36 Quarantine service.......-..-............ —........-...-.. - - - - 37 Benguet..................................................... 38 City of M anila.............................- 39 Philippine bondedl indebtedness.......................................... 39 3. * 3 7 r LETTER FROM THE SECRETARY OF WAR, TRANSMITTING A. COMPILATION, PREPARED IN THE BUREAU OF INSULAR AFFAIRS, SETTING FORTH A COMPREHENSIVE REVIEW OF WHAT HAS BEEN ACCOMPLISHED IN THE ADMINISTRATION OF PRACTICAL AFFAIRS BY THE CIVIL GOVERNMENT OF THE PHILIPPINE ISLANDS. APRIL 25, 1904.-Presented by Mr. LonE and ordered to be printed. WAR DEPARTMENT, 1T;Asl'fgt/oI,.Apr1il 3J, 1904. SIR: Permit me to bring to your attention the accompanying compilation, prepared in the Bureau of Insular Affairs, setting forth in succinct form and style a comprehensive review of what has been accomplished in the administration of practical affairs by the civil government of the Philippine Islands, and to suggest that it he printed as a public document.. Very trulv, yours, WaI. H1. TAFT, Secretary of War. lion. HENRY CABOT LODGE, Se-nate Clta/lher, Capitol. WAR DEPARTMENT, BUREAU OF INSULAR AFFAIRS, FWashington, Ayril 21, 1904. SIR: The Bureau of Insular Affairs is daily receiving letters of inquiry presenting variants of the question.- "What has been done in the Philippines?" Numerous inquiries as to how much it costs the United States to maintain the,-government of the Philippine Islands show that the general public are not aware of the fact that the civil government of the islands is maintained by its own revenues and without a dollar from the Treasury of the Ulnited States; inquiries also indicate a lack of knowledge of the fact that an overwhelming number of official positions in the islands are occupied by Filipinos and that the native inhabitants participate in the exercise of the powers of all branches of government. These letters suggested the advisability of a compilation which would present the desired information in form and space adapted to the use of persons interested in the general subject or some special matter, who lacked time or opportunity to examine all the documents involved. 5 6 LETTER OF TRANSMITTAL. I have the honor to submit the laccompanying compilation which, I think, accomplishes this puir)o(e. MuchI of the work of prepaiing this documenlt was done Iv Mr1. \W. L. 'Pepopernlan, assistant to the chief of the Bureau of Insular Affairs, and to his intimate acquaintance with the wo-rk of the Bureau is due, in large measure, the completenriess and attention to details with which the work has been performed. Yours. respectfully. CIAnIARES E. MAGOON. Lar O ()fcer,. BuIlreau of JnsUlar Ajfatib's. The SE'c'REltTARYI OF 'W~AR. WHAT HAS BEEN DONE IN THE PHILIPPINES. THE RESTORATION OF PEACE. The sovereigntv of the United States is established in the Philippine Islands, is accepted by the inhabitants, and is acceptable to them. Tranquillity prevails throughout the islands to a greater degree and over a larger area than at any period during the centuries the archipelago was subject to the sovereignty of Spain.. Such resistance to governmental authority as exists to-da/y does not result from efforts to expel the sovereignty of -the United States; it results from the action of turbulent violators of the civil and criminal laws-bands of landrones, highwaymen, robbers, etc., similar in character to the bands of outlaws that for a period infested the western border of population in the United States. The armed forces of the insurrection having been overcome and dispersed by the military forces of the United States, it became necessary to make provision for the government of the islands by the agencies of peace. The success of this endeavor depended upon the acceptance of these agencies by the inhabitants in the spirit in which they were tendered and the hearty cooperation of the people in such government, the abandonment of mutual distrust and enmitv and the striking of hands in unity of endeavor for a common purpose. The corner stone for the governmental structure must be a belie? in the minds of the Filipinos that the plans and policies of the American people were intended to benefit the islands and not to exploit them for our own profit and advantage. To create this belief it was necessary to allay the animosities engendered by the war, suspicions resulting from want of knowledge of the United States, its government, policies, and people, and the prejudices of the orientals toward all things occidental. The civil government being established, and the purposes of the United States demonstrated, the Filipinos now begin to appreciate the advantages to be derived from their new situation. Day by day this appreciation increases, as they realize that in all things and in all ways the government of the islands is being administered with fidelity to the declaration-" the Philippines for the Filipinos." THE CENTRAL GOVERNMENT AND LEGISLATIVE AUTHORITY. Civil government in the Philippine Islands under American sovereignty, as distinguished from military administration, dates from the appointment by President McKinley, in March, 1900, of the Taft Philippine Commission. In creating this Commission and authorizing it to assume and discharge the functions of government the President 7 8 WHAT HAS IBEEN DONE IN THE' PHILIPPINES. exercised( tle war )powers of; the nattiol. a.ld the ('Commission thus create(t wa\t s a1ll instrunl talit iit or1 tilf t exercise of the auttholrit of the Presitdenlt is Colillilmmi ler ill ( hif ot the Aiv and Navy of the, IUnited St ates to.1mlllistit( tle:tltil rs.L'f Civil o() gover1illent ill territory subject to militiar ovulptiol. l1 slhot. tlieo Coillilissioll as a civlian agency for the ex1rcise of the p)ow ers of at Ililitary goverllmenlt. Thle Commission c(olsisted of llon. XNilliolm II. Taft. f Ohio; Prof. D)ean C. Worcester.o of Mlichigean Ion. Luke E. Wright. of ernnessee; Hon. IlHenr' (C. I(le, of Vermllont ainl Prof. lBeriarl'd Mos-es, of California. '1'le '(elleral purpose o(f tle. C('olllissioil was, as stated by the President t( co t)lltiili' 1ll Ii p,(erfectt tlle w.ok o;f i raniizii g iiinl estla lilshig civil government alreald (ollllltlencedl(l 1 tl- llilitarv authlo,rities. subject in all respects to any laws w hichit ('ConIre-s iavy lier.eafter enact. To aid themil ill lacc(mlplishill tllis pttrpos(e there ias' issued the documenllt kniiow\n as " Istrutions of tl1 l re.sident to te Philippine Co1111lissionl." tdaltd Arl)il 7, 1ti(>(. 'T'is state paper has been appropriately desigolllted as tihe " Mag-na (harta " of the Philippines. The plan of govelrnmlent set forth ill these intstructions received pl)ulic al)pproval andw stoodt tle test of plractictal operation. From mllany explressiolls higIhliy ('olilillmeinigl tliese iistructions the following i.s (ilIuted from a recent t article ill the Review of Reviews: When tlhev were Inale inublic statesmienl aii( jurists the world over saw in tihem a constitutioll and a co(le (of laws almost unpreceidented in history. I irel is N lat e(llimilnnt iauthorities have prolnounce( tih mIost nearly perfect example o'o rganlic law, jturispril e, euan lgir oif rights, distribution of powers, administrative trovisions, lcc.ks an( }Iallaices civilizatio ever )ehelit in a single documlent. It was a constitutiii, a ('code, jiiiliecial, a sy ste ls reay- ade, atuates administrati\e covering all tlie activ'ities of a nation and Ineeting wants aind solving problems inmiliillrable~-all rolle(l into onl. It was a iiasterlv summin g up of the governing expleriience Ot-tlhe self-governini I, poli of thte world, a(lapted to and especially arranllle l foF(i'ftectiv \,lrk inl a 'ivlen fiel. These famulis 'instrucitions" became tile. rganic larw,if tle Iljlippiii. Archipiielago. I'n(ter themi the civic mIachinery for a nation of nine imillions (f people lils been' worke(tl oitlt. Tlhese instructiolns were 1prelpare(d by Ilhil. Eliht Rtoot, as Secretary of War. U1l)oll arlrivig in th(e Philiil)lines the Comlllission established the seat of g'over(lllmlnt t tMallila ailld entered upol the work of establishili civil governmllent throlul oullt tlie archipelago. utilizing in that enid:eavor tih framlework conlstrllct(d bv the militlarv authorities of the United States. As tlie funlldamental step in giving civil government to the people of the Phlilil)lines. it was determiniied that there should be a separation of the executive. the legislative. and1 judicial branches, and that the powers of tlhese several hi)rtlltlces should le exercised by different persons. The legislative o werswere conferredl upoll the Commission, the judicial pow\ ers w ere to Ie exercised )by the courts to ble established through legislative acotioni of the Commniission, alnd the authority to exercise tlh executive p1(wers 'was coitinued ill the commlander of the militarv forces of tile United States mIaintaining the occupation of the islands. 'The scope of tile legislative authority conferre' upon the Commissioill was declared ill tlie illstructionis as follow,-: Exercise,f tis leh-islative authoritv will include tile mlakinig (,f rules and orders, havinlg l tt e(ffect of la\\. for tlie raisingll (f revexltue b taxes, ctutollls, and duties, and WHAT HAS BEEN. DONE IN THE PHILIPPINES. 9 imlposts; I lii app~ro~ratitit iaoil~l ex iiitetidtreofpohile i(foodlsof the islands; the establishntttot tn tt(iltutatitinatl stevomt thIroughout. thle islands; thle establishotent of a systenit to) serture itt eiltrient civil service; the organization and establishmnent of tiotrt~s; th~e olrganteatititi toil1 v-tiltlislimtent. if municipal and departmental governntents, andl all other itatters of a civil ntatue for whitth tue military glovernor is now (tttteot J)trovidte lbv roles tor ortlers of a legisl4ative character. The sessibus of the Coimuission. witerein they have exercised legisItative power, have lbeen statted antd ptublic. Their legislative enactnitents have been publicly introditeed and printed in the, form of bills. When tof general public interest they have been made the subject of lpttllic hearings before commuittees. which the people of the. island have -freely atttendced, and it which thei r v iews have been f reely expressed. )rdinarv lete'islativ&" opportunities for-,atmenitlnettt have been afforded taid bills and amendments have been puoblicly debated anti vtted tipon, itid wvhent passed have(, hatd the, fotrce ttnd effect of statuttes. In trtutsmitting to (Couress the legrislation enacted by the Commnission Secretary Rtiot said: Iinvite the attentioit of (onogress tB'tthe 263 sta-ttices now set beforce them, with the Itope tltat Otto work if tite ft ittitissott trill receive tite apptwoval wrhich, I helieve, it inerits for its htight q-uality oft contstruttive altilitY, its wise atlaptation 1(o the entls ilesiratile tot tie acromtplishted, triti its fttithfitl adhierence to tite principltes controlling our own (Governmtent. It soultotl lie iobserved tttat titese statutes are not mnere exptressions of theoretical views s to li Itw the Philippines otught to be governed, utin are tite practical treattmtentt of carefttlly stuilied ciniitions. Many of the inost itttlortamtt are nit the tiegittitits, hut Itte resultls it patflrnt experimenits-the outconite anti imtprovemtetnt itf successive tutilitarv oroders dealing with the sante subjects. Not otto of the legislative aicts o~f the Commission hats failed to receive the approval tf Conigress. The policy contenwhpated in the instructions of Aprif T. 1904), was, as stttted bv SecretarY Root in his antnutl report for 1901: ro steadilyl~ press forwaril, as rapidly as it couli lie done safely and thoroughly, the gradual stthstitotiot iof govertntent, ttroiuglt civil agents for governmemtt through military agents, sit thttt ttte adminiistratiott of the mtilitary officer shall he continually narrowed, and that itf the civil officer cotutinoallr enagolttithtie015 witet the Army ran, wviithout imperiling the peace anti order of the country, he relegateil to) the saine relation toward'governittent which it occupies i'n the United States. In Jttne, 191)1. affairs, in the islamids were-in at condition to justify a further step in the extensiomi of civil government, and on the 21st of that month the Presidemtt issued an order transferring f ront the inilitary governor to the president of the Philippine Commission the attthoritv to exercise the powers of the executive branyh of government in all the pacified provinces of the islands, btut contin~intg the authority of the nmilitarv governor to exercise executive anthority in those districts in which the insurrection continued to exist. The order also appointed the Hon. Williami H. Taft civil governor of the Philippi-ne islands. Ott the 4th of Jttly, 1901, the present Secreta ry of W r Hlon. William it. Taft. was imniaxtgtrate d, at Manila, as, civil governor of the Philippine Islands and entered upon the performance of his dttties. On the 1st of September, 1901, a further step toward civil executive organiztation was made by the establishment of separate executive departments, to which menibers of tite Commission were assigned as follows: Departutent of the interitn-, D~ean C. Worcester; department of conitnerce and police, Ltuke E. Wright; department of finance and jmmstice, Henry C. Ide; departtenti tof public instruction, Bernard Moses. 10 WHAT HAS TBEEN D(NE TN T HE P'HILIPPINES. The Lcdministrative a( airs of the governi\lent are apportioned among the several departments as follows: 'lhe departinelit of tie inte(lor has under its executive control a bure'aui of health. the quarantine service of the marine-hospital corps, a b})Ireaul of forestlry a b})ureau of Iliningl, a 11bretau of a:griculture, a }blreau of fisheries, a weather llreau. a tIireau of ethnology (Pagan anll Mohammedanl tribes), a bureau of public lands, a bu)lleau of goveCInl11ienit lal)oratories. a bl'reau o(f )pateits ald ( co(lprights. The depl)artilent of (co)lilerc'e 1(and police ihas under its executive ontrol a bu reau of island arid inlte'ishd tiransportatioil. a libureau of post-otffi(es. a i}ureail of telegI(irapl)hl. lbur(eau of coast and geodetic suirve, ta lireau of enginllelilln and conistructioni of public works other than lxiiblic Ibildigll's. al }bireaul of ilnsuilar (constabulary.)i a bureau of prisons, a bureau of lihllt-hlouses, a buireau tof coimmlercial and streetrailroad c(orploratiols. and all. or poratiolls except b)anlkig. The deplartient of fillnance lan justice emiiiraces tlie }treaui of the insiula' treas.ll-v. tlhe 1bu1rea ll( f tle ilsullar Iauditor, a b)lueaut of custolms a:nd ililli(lgrtltioln, a blurealll f internal 'trevenue, the insular ('old-storage -aill ice p)lant, a bI )realll of hanks. }1(a1 kin o. (coin age, and ciurrenlcy. and tile bIllrellau of justi(ce. The lldepartl'lent of lplulic ilnstlrll(ti(o ('ll)bracess a }ureall of public instruction, I }bullre(l o)f public( (c'lmr'itie'. p)ul}lic lil)raries aind mnusellums, a b}l(reaul of stalsticstic s. a b)urel'111 of l)1b1lic( re1o('(dls, a b}ureau of public priniting, and a ulIreau of all'hit(e'tur an111d construction of public }lildinl s. At the same timeli. b} a)ppointme-it x1- tle Iresident. t hree deistinguilislhed ilipinos,.Seior Trinidad II. Pard(io (1 rTavera. of Manila, Sefior Benito Legarda. of Manila. and SeFilor,Jose Ilizuriaga. of Negros. were added to the Commllission. On() tlie 2ii th of ()(tol)er. 19111. in order to relieve somewhat the ogreat-lpressure of officiall lduties devol-vilng 1t)on (i(overnor Taft. the Plresident created the offitce of vice-g(ov- (ernor, aind appointed lion. u1ke 1W. Wrigoht to tlhat l)ositiol. Pursuant to tlle instrucltions of tlle President. tle Commission, by aplpropriate legislationl. allld1 provisio for mllllicipal governments to b},e establlisld lhrotlghut thlle islalnds as rapidly as conditions permitti'd. T'le also passed at genleral act for the organization of provilncial g'overlnmentsl ill the Philippine lslands.. A judicial system as crlated under which civil courts alssued the exercise of judicial powers. An insulallr (olnstabula);lly '1an(l llltlliipall police were created 1and inl:talleld. a c(ivil-service a 1w was.t en1alted d d put into successful land satisfac(toI ry operation. A systeim of account and audit was r(lol)ted( and rirou orolsl- (fllrced. o A svstell of education was adopted and installed. Forest-r laws prIo\idiing for the preservation and utilizationl of tlie pullic forests were a(dopte(l and enforced, and an extensive systemil of pull)lic inmprove-menlts and lrepairs adopted and entered 1upon. Ade(luate l ie-1ans of securing revenue b } tile levy of duties and tasxes were devised and lput in forc e. Whenll tile Fifty-seventh Coongress of the United States assembled in its first session onl December '2. 1!11. that body entered upon the work of forilutating legislation to provide for the adminiistration of the affaiirs;of civil government il the Philippine Islanids. Upon investigation o('nolgrelss found that there existed in said islands a government formulated with fidelity to the principles of liberty, equality, and jus WHAT HAS BEEN DONE IN THE PHILIPPINES. 11 tic(e prevailing in the United States, and administered with due regard for the welfare of the interests involved; whereupon Congress, by appropriate legislation, continued the existence of that government and placed the seal of legislative approval upon the governmental organization and ratified, approved, and confirmed each and everyone of the acts theretofore done and performed in connection therewith, and in addition conferred upon said government additional authority and rights which the President had not authority to bestow. Through the exercise of authority vested in Congress, the governnent of the Philippine Islands was authorized to exercise certain powers of sovereignty which heretofore in our history had been exercised bv the Federal Government exclusively; and valualle rights and privileges were conferred upon the Philippines, which never before had been given to any portion of the territory subject to our sovereignty, for the exclusive use and benefit of that territory. For instance, Congress authorized the government of the Philippine Islands, in time of peace, to impose tariff duties upon goods coming from ports of the States of the Union into ports of the Philippine Islands. No other portion of our territory has been permitted to exercise such authority in time of peace since the establishment of the Federal Government of the United States. Congress also conveyed to the government of the Philippine Islands all the public property in the archipelago which. bv reason of the conquest of the islands and the treaty of Paris, had passed from the Crown of Spain to the lUnited States of America. This included public buildings and improvements, streets, parks, highways, the beds of streams, the submerged soil of the coast, and also the mineral wealth and the great tropical forests of valuable woods throughout the islands. Congress likewise authorized the government of the Philippine Islands to issue its own currency and assume direction and control of its postal service, an authority which is denied to even the sovereign States of the Union. No integral or segregated portion of the territory subject to the sovereignty of the United States is to-day exercising by itself and for itself so many of the powers of sovereignty as is the Philippine Archipelago. Under the governmental organization provided pursuant to the instructions of the President and ratified by Congress, the powers of the legislative branch of the Philippine government are exercised by the Philippine Commission, composed of five Americans and three Filipinos. appointed by the President. By the existing law of Congress provision is made whereby two years after the completion and publication of the census now being compiled, the legislative power is to be vested in a legislature, colnisting of two houses- the Philippine Colmmission and the Philippine Assembly, the latter house to be efected by the inhabitants of the islands. The powers of the judicial branch are exercised by a supreme court composed of seven members, appointed by the President, three of whom are natives of the islands. The courts of first instance and courts inferior thereto are presided over by judges appointed by the Commission. Of the present judges of the courts of first instance, 15 are Americans and 6 are natives. Of the minor courts nearly all the judges are natives. The powers of the administrative branch of the government are 12 WIAT HAS BEEN DO(NE TN 'THE PHILIPPINES. exercised Ib thi o-overnor 1and four executive departments heretofore refe-rred to 11.111naeTv iliterior. comnllerce and police. fitiance and justice, l11(ad licie i trltctio1n. resemiiing inl c(halacter thl. adminisltrative del)part11ll ts:at Was;lhilloto<. 'Th'le Ilui(ici ll oxVermllients 1and the pr)oincial governmients are admlliilistered l electd ' t ofiicials spleled }rot o the inhatitrants. M1i7NI(I'Ai. (.OVERNMENTS. The illS-trl'l(tioios,f the 'President to the Philippine Commission stated: Withiot illmperingl t tliem 1l) tor, specifici instructions, they should in general be enjoiledl, after llmakilg tlelllstlvs l; fallilialr \\ itll thle c(ntitions and needs of the colluntrl. to dev(\te tlecir attentioll inl tin first intstalle to thie establishment of lllllli(.ilpal gove rnlllllents. iln w\llicl tile litiv's (if tile islands, both in the cities and tlie rural cmllilllmitics, sll;il lIe affor(dd tlic (I)porttlllity to mlanafge their own local affairs to tli' ftill(st cxt(nt olf \\ Iiic}l tlit-' ar1t c( tl)al)le, anlll sublject to the lea.t (deree of sulpervisioii all c(lntrol whic}l a careful stmlv of their capacities ald observation of lice ovrkings of inati\ve cotrol shleow toi bc colisistent with tlhe maintenance of law, lrletr, 111,11 lh'lt'. * * * Inl the estabikli.-lll(tI(, I1,~unlicilcpal powernmenlts the ('Commnission ill take as the Irasis (of their \N, Irk tlhe,vernmlelllllts cestatlisllcld b, the Ililitary governor ullier his (r(.r o(f.\nii-t s, 1S99), a11dl lm(ltr tlie report of tlie b)oar(l constitutedl )by the milit llry givernillow ' lis oder of aIiniry- 29, 1900(), to forlmllate anlt replort a plan of -illi, ncilial giiverill( iit, (of llic.ll lis lon-)or, ('a.'etanl o Arellall, presi(del t of the adileci;cia. \ a-, cliairhma,, anlil tliv will rive to tlie c*oclusio,,s of tlhat )board the weigllt 1 lan l Il,-ileratio! wllic lltli t l ligili ('lcaracter andi (ldistingulislled abilities of its,llel)c)'s j1n-tity. In atcc(rdl(tce w itll th(ese il-trtlctiorln,, withl the infoirmation secured froml til(e rl)olt tof tl le ltlard above referre (d to, atnd after investigation alld d(Ilib)(eratioll. thereill \ ('1satct(ed ( }) the Philippi)ie Commission a oen(-i'al ac(t fo(r tlic omrl'anlitzation of lmuniciptal governmel:t ill the Philil)lile(l Islallds. wllich act wa.i (lcalied into effect throughout the island. Is lapidlly ais (cod(itios x aXlrranlted. Th(e Inilcillit was ma. (( Ildi tlile olitical ullit, and the entire territolr- f the ilt is di'ided hito s(ch units. In other words, the nl ltlictipal.ilbdivisi~oll- ill the IPhilipl)l)iles are the sale as the towns of Ne(w n'1 l(ltldl:111( tlle to wnshlilps ill oth(er portions of the United Staltcs. ald takll l toc't'tl('he illl.1e aL11 the tlerritorl of the islands. At tlic llprese, t tilll( tlli.> Illlttmiil)cil ((cdel ol charterthas b}een applied to all tilhe tIll.iilli tie, ill the thilrty-foulr (hristianl provinces hereinafter llentio(lld. (exep l)t thalt tle city of Malnila hails beeni incorporated under a splecial cha(irtelr. This gn((eral l law l f Illtlllticipa)lities )provides that the powers of the mIllicitpl ity are t(o be) (exerci-(d by' a president. a vice-president. and ta muic iptll coul(Icil. to 1e) ch(osenil )y th( qualified electors of the.lllluici!)allitv. to sS(erv folr two( years and until their successors are ( lho.lsen.td (pIal'litied1. '1Tl( law provides thalt tle electors charged with 1he dulty o(f cho)olsing ( elec(tive munll icipal officers shall T)e male persons l}aove tlle -age ( f 2)'. a11tl to hatve had a lergal residence in the municipalit: ill wlicll thll(, exe(rci.. e tlhe sllff-rage fol aL period of six months illllllediately plre'cedit)' thle election, and \who 1are not citizens or subj(ects (f:111 fiol'(ligl 1()lIrl. alld who are comprised within one of the following' three case( ((s: ((1I Tl1hse \wh1, prilor t() t hl tirteenth of Auu.\llt, eighteen hundred and ninetyeiellt, 1t 1(i tlihe (,tie ()f 11llmnicipal capt)ain. (obl)ernldtorcillo, alc(lde, lieutenant,.:Leza (It' I;tr::antm y, ()r Ill b r 4ll. ( Itll\ a.vt l llliicllto. WHAT HAS BEEN DONE IN THE PHILIPPINES. 1 13 (1) Those who own real properly to the value of live hundlredl pesos, or who annuially pay thirty pesos or mo're of the' estabflishedl taxes. ~(c) 'those who speak, read, and write English or 'Spanish. The law fturther provides that the following) persons shall be disqualified front v-oting: (a) Any person who is delinquent in paymnent of publhc taxes, assessed since August th irteenth, eighteen huindred andl ninety-eight. (1)) Any person who has heen dleprivedl of the right to volte liv the sentence of a court of competent jurisdiction since Augn-ist thirteenth, eighteen hundred and ninety-eight. (c) Any person who has taken anl violated the iath if allegiance to the United States. (df) Any person who, on t11w first day of April, nineteen hundred awl one, or thereafter, shall he in arms, in the Philippine Islanits against the, authority or sov — ereignty of the Uniltedt States, whether such terson he an officer, s(1(1ier, or civiliati. ()Any person who, on the first daiy of April, nineteen huistred aiil one, or thereafter, shall make contrihution of miines or other valuiahie thiiig in aid of anNperson or organization against the authonits or sovereignty of the Fi' iteid States, or swho shall demand or receive such, ontrihution from others, or whoi shall make any contrihution to an N person or organization hostile to or in arnis against the authority or sovereignity of the United Stateco for the purpose of securing any, lirotection, immunuiity, or bieneiet. (f) Any person whmo, on the first day of April, nineteen tiudre~ia nit oiie, or thereafter, shall in any manner whatsoes-er (Yive aid analI cotmfort to any pierson uir organization in saidt slanmts im opposition to or in arms against the anthority or sovereignty if time United Sttes (g) Insane or feebfle-miindted persons. Fol' economyv in admminmistrtatiomt, the govcrmemmnt tf the Philippines has recently. h)- (cotsolidlat~ion' re duced" the total nutmnber of niunicipalities organized under the p~rovisions of this ntmunicipal code front 1035 to 623. There are att this time 9S2 -presidents or inayors otf mtunticipalities, 2,906 secretaries, treasnrers, et(.. of tutnicipalities, and I8,159 couinselors of mttnicipalities, all of svhott at-c Filipinos, duly elected and serving under the pt ovisions of this mutticipal code. Itt actual p mactice the lawv has worked to the statisfttctiotn of the people and ot the Conmtission. There htuse beett imidisitlutl itistanoes of nmiscondutct ott the p tut of mtnit-iptul tfdcers, which have bceen prompt~tly punished- by suspension -and renwoval f ront office. Violatioum ofth oath of allegiance hais not yet beemt proved against a iingle president. City of iiianst 1(The charter of the city of MNanila follows closelxin its genetal lines the plati of the legislathiut by which the city of Washington is, n-oxverned. However. instetad of requtitingr the (Genertd Grovernnjient to) pa', one-half of the expenses of the city (the proportion paid tor W~ashtng-ton fl y the Federal (Governmtiettt). the lproportion is redttced to thrteetenths. The city g-overnment is vested in mu tutticipal buoard tf three tttembers, one ot whom -must be a Filipinot. appointeil ttndtt thte charter by the civil governor with the consent ctf thte C2ontnissioti. Provision is also made iii the chttrter for at atdvisory board, to consist of one ntember to be appointed bty the civil govetrtor, by amid with the consent of the Comntission. fotr emuch of the It titv disttitcts as they existed ttnder the Spanish Jox-ermunent. It is the, ditty of this adv-isory boturd to bring to the attetitiout of the mtuniciptl board the special needs of the city attd its inhabitants and to make sutch suggestttons and recomnmen'dations relative thereto as it inay front time to timne deent necessary. It is cltargred with the (consideration of petitions presented by residents or inhabitants of the city and to report its 14 WHAT HAS TBEEN I)(ONE IN THE PHILIPPINES. recominelndations thereon to the municipal board. And, furthermore, tlie lmunicipall olard is required, before fixing license fees or involving the liability of the cit!. and in other matters of importance, to first subrmit the sallle to this advisory board for comnment and recommendation. PROVINC'IAI (;)VE INMENTS. 'I'e instructions of the President. already referred to, directed that *'The next, subiject in order of imlportance should be the organization of governlmellitin the larger ladliiiistrative divisions corresponldilg to colunties. departmliellts. 1o provinces;. ill which the comnllon interests of altiil or sevr Illlli nicipalities fallill within thetnl e tribal lines, or tlhe sallme natural geographic limits. may best be subserved by a comoinn adnilliistration." Inl collllliance with thee inlstructions. the Philippine Archipelago is now divided into.4(} pIl(o vincsll ol distric ts, which are go\verned under three general laws. land may brie fly }e fme, ntioned tas follows: 34 Christiall l)ro vilces, 5 districts. aitd a Morlo pIrovinc.c T/,I,,,./,t,'.',//i,,,,, t/,,. (.c/, Ci/t'/.too l/',o-ic..-Thie general provincial law lunder which the 34 Christiani provinces are governled provides for;a provincial governminelnt of five officers-the governor, the treasurer. the(sullervis(or tlie secretarv, anid the fiscal. or proseclutin attorney. The g ovrniig o(oard iis ('1a d the 1rov ill(icial boarldd, and11-c itldes Ias imei} (ers thle govx(ernior the treasurer. and the supervi sor. 'i'h prosecl((tilg atto'rnel( is the legarl advisor of the )bord and the secretarv o(f tlie province is its secretary. Tlle first function of th'e 1provinlcil go(verlInmenl(t is to collecttl rh thouh te p rovincial treasre1r, all the taxes. \-ith few exceptiomns, belo ning to the towIns or the. province. Its seco(nd nlld m(ost iilportant fulnction is the constluction of hliglihwyv.s land lhrid(ges and piublic buildings. Its third functiol is the supervi.-siol. tho- tihro tlle governor aind the provincial treasurer, of the nulllicilpal officers in tihe disclharge of their duties. Within certain liii:itattiols the )provincial board fixes tlhe rate of levy for provincial ta xa; t ioI. The g(overlio l hias the lpow(er to suspend any imnlici.pal officer found failing ill his d(lut. and(l is obliged to xisit the towns of the province twice in a vear anld hear coli)laints against the municipal officers. The provin(cial trelSIrer collects all the taxes, turns over those due to the toxwi to tlie unIlllicipal treasurer. and examines the accounts of that otficer. The supervisor lmust be a civil engineer, and carries on the (wol;rk rcequired to Ibe done Iby thle provincial board. The fiscal, or proseclltillg attorney. is tlle legirl tadvisor of the provincial board and of every llunlicipality in the province. In a u11ul1l(er of plovill'ces. however. it has been deemed wise to cut doIwn tle expelnse of governmlllent hb consolisodating the offices of treasurelr a((1 supervisor. usuatlly filled lb! Americans, into the office of treasurer-supervisor. 'lhe provincial governor is elected biennially, on the first Monday in IFe'luarllr, }y ta convention consisting of counselors of every duly organized munlicipalit in the proviine, which, after selecting a presidinlg officer Irl(l secretary, is to proceed by a secret ballot to choose a person to 1be the provinicial (overnor. subject to confirmation by tlhe Philipille (Comlllission. The positions of treasurer and sullervisor are subject to the civil WHAT HAS BEEN DONE IN THE PHILIPPINES. 15 service law, and the positions of secretary and fiscal are filled by applointment made )b the Philippine Commission. An election was held in 32 of the 34 Christian provinces on the first Monday ill ebruary, 1 904, and at this time all of the governors in these Christian pr1ovinces were elected to office in the manner above set forth, and for the first time all of theml are Filipinos. The remaining proviiicial officers, including cleirks of courts. members of boards of tax revision, etc., with the right of exercise of authority of goveminent (but not including sulbordinate clerkships), are filled by 86 Americans tand 238 Filipinos. Ti,,,,'it,;ti'z,f tJ,, ', l/'l,,; I ( nc. —'he Molo Province consists of all the islands of Mindan(ao and its adjacent islands. except the lrovinces of Misamis and Surigao (which are within the 34 already mentioned), also the island of Isabiela l e Basilan. and of the islands to the south of Mindanao in the Archipelago. It enmbraces withinl its houndaries, therefore, all the Mores ill the Archipelago except a small numiber of them reisident in the southern half of the island of Paragua anid a possible few on the borders of tile plrovince of Misamis. 'The Moro Proviince is (livided into five districts. The executive head oi the province is the governor, who has as his assistants the provincial secretar-y the provincial attorney-. the provincial engineer, the provincial superintendent of schools. and the provincial treasurerl These officers constitute the- legislative council for the government. land in case of a1n even division, the proposition having the vote of the governor prevails. The province is given the cu(stolls receipts of the two ports within its geog'raphical limlits and is authorized to impose such other taxes as the legislative council lmay see tit. The legislative council has been granted a very large measure of discretion in dealing with the Moros and in preserving. as far as possible. consistent with the act creating the Moro Province, the customs of the Moros, the authority of the Datos, and a system of justice in which the Moro should take part. The first gov-ernor of the More Province is an officer of the Army, detailed for that purpose. and the reimalilinin offices mentioned are filled both by civilianis tand y) detailed officers. Tf/c orq'/tI'tl t,itoi I ft t1,,,I', d(i;';('!f /,'r<'ic.Cs, viz: Bel/(uet, Le,,ptnti-B,,oit,, J/,'Il1io,,^ 'l u'e,' I7.(',y(te. 1 f,]uxt.-These provinces are populated, in whole or in part, bl harllmless and amiable but ignlorant and superstitious tribes. It vwas necessary on the one hand that these inhabitants should l}e granted protection, and on the other that they should b)e gradtually accustomed to the ways of civilized people, which it is believed tlhe will readily adopt. ro this end the general provilicial government act has been applied to these provinces in a lmodified form, under which the governor or chief executive is aplpointed, as well as the other subordinate officials. The townships in tlese districts are also organized tunder a modified application of the general munllicipal code. iand the actions of such township organizations tare subject to the approval of the appointive governor. ADMINISTRATION (F JUSTICE. A complete judicial system has been provided for by legislative enactment of the Comlmission aindc inaugurated throughout the Archipelago. A code of procedure, adapted froul American usage, has been 16 WHAT HAS BEEN DI)NE IN THE PHILIPPINES. enacted. w iich has tende(l to remove 1manyIc of the alnnoying delays and perplexing technllicalities preva'':iling nder tilhe Spaitish system. and, suptllelmenlted hv such of the locally famliar Spanisll laws, as were continued ill forc.e. afford comlplete a'ld( practical means of exercising the powers of the judicial blranc'h of gove'rnmllenlt. A inew criminal code and code of crinliial procedure are well under wav all(l will soonl })(e ccnacted( into law.c the effect of which will }be in thie C(irection of simllplifying proc(dulrel (( and elimicnaticng those provisions of the existing' co(es Nwhichl pertatill to tle sovereigintv of Spaill, the unlion of clhrcl h land state(, the ric'i reistrictiolls on tlle exercise of discretioi icbv the judge'. tle gi\ inl' to private inidiv iduals the right to control 11and (oIllpronlise ccriminal prosecultionl. or to use( such prosecutions for tlhe lpulllrplos f blt(ckmlllil land extortion. land the authority of tlhe exeictive )branchl( to controcl tlle actioun of tIe.oullts. Tlle jd(licial -lpower(s of thIe o 'vertnellllt of tlle islllnds are exercised by the follo\wiin trib)lnal.s: I'liere is a ju.stice of the p1eacc a1nd all aIluxilicary justice of the peace ill (each 1imuniiccipalitv. atl(i ill tihe city t' Matnilt ia provision is also made for Illtlnl1iilc l 'colrt.t. Tlie t Ierritorlv cf thie Arc('hipelago('1is divi(ded illto 15. judicial distLicts, ill 1acl cof wlichlI tIhere is c L ct cf tihit inlstailcce. Ihere is one judge assigle(l to each (' f thtese (litrits (' except t t lhat f tie district of IManila, whc'lereil tlc i le vollume of ulsilless re'lllil's that t t(e c(rt be dividled into fourl parts. each pl' c(cresi(led oxvr by at ju('. Il ad(litico therel are' three jucdgL's at large'c to till v\:cancelllc is c'acs((ic }bv sickiess or leave of abslence. TI'ce lappelhlate jurisd(ictioln ic vc -sted ill t e sprleme 1(court of tlce islands, wcilicl conlsi-ts of seve( c'(cll c,,lcr',,. tl ree( of wh lo a{re' Filipillos. tAn elnactiment of (C'ollcg'('ss p,' cOvi(les thlcat alppeal imay le mInade fromr thle suil)Ireme (cOulllt of tl(' islndicis to tlhat of t}l' l [nited States in matters ill whic(ih] tlile (,'Onstitutincl or ' tlhe r'ight.- adll piv\ilreges of tlhe United Staltes are ilcvolvd(l or ill calctcls ill whic hi tll'e valt1 illn controversy exc( cds >,,( )(. or ill Nwichci It}c tit I' (, or pos.ssicol of 1real estate exceediiig c ill \value tlhe suimll of cct. O,1C)()( to e)( iaLc'ertiaincd ibv the oath of either patrty,or f other comlli 'pett w\itiles.es, is involvced. There _als(co cxist-, (.i)olt of culistomIs appeal(s c'Onsisting of the secretarv of finnclll al(ld jlustic', cx ofiic'io lp!'(esi(lellt of tlire court, a judge of tlie sll)ri''ti(( c')llt to b}e (etaLile(d (li t goovernor for that purpo.e, anltd u ti rct ti o }c ( apl)ointic(l }by' thice g'(1verni'or wcithl tlhe advice and coinsent (if tit' ' ililicsioll tlle tlhilrd j!ld(gc lilke\\ise to Lact as clerk of the, (ccur t. Ticlis co(ur'c t has jul'ri.di('tio, cf 1all aplpecals fro(l. rulings of tlie c. cllec, tor' cof cu'cstoims. alndl also of all 'rimlillnal proseclltiotcs for violations of c(ustolIs laws. '1c'll(c' is a colul't tf ' lacnd r1eg'istrltiolc ccnlsisting of tcco judges, which hlcs jluris(ictiolln th'rug'lhot tl i' Phliliiplinl Isliands. and is a; court of 'recor(. Retgistrars of (lie(ls i're procvided for each of tie provinces and for the city of Mlanila. Apl)peals froIml thc judgmenlts alnd de(cr(ees of tlhe (court of Iland registlraticonl il' })my had to the court of first inlstancc, after ftinill detel''ilatiolln I) tlie court first naillCedf, and sllcll tccaluss:mav pa)ss-frmlll tli ' colurt of' tirst incstance to the supreme co'urt in tlel sci cltcll' s i otiler a (. s(s c s pending' ill tihe court of first illstc. lc'ce. '1e'lr'( i( xi,;ti t l( tfic'c tc( of attorn'ieyl-genieral, with llis assistants, and solicitor-'igenc''ral. \witil (dutics soi'ewhact ianalog'ous to tlhose performed by similar otticials of the United Stltces. The attorlney-general is an WHAT HAS BEEN DONE IN THE PHILIPPINES. 17 A:~merican, the solicitor-general a Filipino, and the assistants about equally divided as to nationality. The local advisor or prosecuting officer in the provincial governments, already referred to, is known as the "fiscal" of the province, all of whom are Filipinos. The system has been successful in operation, and in the main mIet the reasonable expectations of the public, and completely vindicated the wisdom of the new departure involved in the reorganization of courts and judicial procedure. The civil business in the courts has increased as the commercial interests of the islands have become more settled and well established, and the courts have been able to furnish satisfactory tribunals for the speedy and just ternination of such controversies. The litigation which was pending at the termination of the Spanish regime has been very largely closed up, and the business in the courts, civil and criminal, is now mainly current in distinction from the disposition of arrears of old business. In the prosecution of minor offenses, the provincial fiscals have been able to cope successfully with the situation, aided largely by supervisors of fiscals sent out from Manila. In more important prosecutions the attorney-general, the solicitorgeneral, and subordinates in the office of the attorney-general have rendered efficient and valuable services. Convictions have been secured in nearly every case where justice required conviction. Adequate penalties have been imposed. Justice is administered evenly, uniformly, honestly, expeditiously, and ably throughout the islands. The judges, both n:itive and. American, have performed their duties in a very satisfactory manner. It is not too much to say that the new judicial system has been ore of the greatest benefits that has been conferred upon the islands' bv the American Government, and that it has brought home to the Filipino people an abiding conviction that in the courts is to be found safe arid reliable protection against all unjust invasions of the rights of person or property. CIVI, SERVICE IN THE PHILIP'PINES. One of the first laws adopted by the Philippine Commission upon its assumption of legislative powers was an act providing for the organization of the civil service on a basis of merit. It was the purpose of the Corlnmission in passing the civil-service bill to provide a system wiTch would secure the selection and romotion of civilian officials solely on the ground of merit, and would pernit anyone, by a successful competitive examination, to enter the service and by the efficient discharge of his duties reach the head of any important department of the government. This civil-service act provides that preference in appointment shall be given, first, to natives of the Philippine Islands, and, second, to honorably discharged soldiers, sailors, and marines of the United States. In order that the inaiuguration of this system might not create hopeless confusion, the act provided that the officers and enli.std men of the Armn at that tiime detailed to the performance of cifd duty might be continued in their civil capacity upon their muster out or discharge upon such tests of fitness as might be determined upon by the civilservice board created by the act. This board also- had authority to S. Doc. 304, 58-2-2 1I8 WHAT HAS BEEN DO(NE TN THE PHILI'PPINES. o('ntilltue ill tie' se(ri('e the existin civ'il servants on the same basis. T''e nub111111ei' of employees at that time was comparatiNvely sialll, and the incomelllltenlts were weeded out 1) anl examination in which the elell(enlt of etliciencv andl habits was the controlling factor. All appolinttllllents to the Ci\il service subsequent to the passage of the act have b(eell iliade after examlination. tland the entire civil service can now }>e sail to be on anl exalilination basis...Ill the be(.il'lilii'. bi1 reason of' their lack( of knowledge of the English lallglmage andl( of Amierica't method(t.s. Filipinos in anly considerable 1n11mblersll (coUti noltt 1,e used t tl ge in t he administration of the central gor(m'enl t o te t,of t(e islands it, linila })llt with the progress they have mllade in l(lacquiri ing a knio\ wledge of the EInglish language and of Atieri.ca:n Illethodls. Ia larg' e nt11111iuilr now fulfill the civil-service requilremients, and the proplortion of phice.s given to Filipinos in the genleral g()overn\n(ll t is ' be icolinig 1li 'ich gratetr. In tile provincial iad 11111ci)il i ci. services a knowledge of English was not essential, alld froiil tthe begi innig' Filipinos secured appointment. thtiroighl civil-serv i(e exailti, to tioiu It> 1a'tically till the positions in th}(se gove rnmlents. lxamiinatiois are held il the. Philippines and also tllrom(llout the I'nited States by tile UIited States Civil Service Coiimissimi. ' Tlhe Phillipinie civil-selrice act is very comprehensive. and includes all positions ill the executtite b1ranlch of the ci\il seArvice. ei ept a few reqluiring higlhily techlnical attl pr ofessionalll knowledge and experience. Suliordinates ill tlhe clericatl force of the judticitl biranclil of the service, las well as practicallv all positiolns. exceplt lec(tive offices in the provinlcial slervice. come within its relquilrements, as does also the,rovernfienlt iof tlie mullllicii)plity oh f Manlill. ()1n Maltrch 2), 1P(13, the President approved an amendment to the United States c ivil-setrvice rile.s atllotiwiig tthe transfer to the Federal civil serv'i.ce of nll (ofticet'r o ('1r e lovee whoi has served iln a competitive position in the Phililppine civil service for a. period of three years or The A;lnnals of the Ameri(can tAcademnyl of Political and Social Science, in its issue of Mai:\. li9l2. stated: It is harl to see hIw (o\ r,ovxerllent of tie Philippines could he started upon its patl in any Ibetter wa\ tlial I)iy tlie excellent i)rovisiols estalblislhed )y the 'hilippin1e Cmotiission. Tle reflex ac'tioln ulo otr (;overnllenl t at lhome of the establishllienlit (f a omlple te merit system in.tlhe Philipiline Islands can hardly fail to be leneficial. Tlite xaml ple of goo, 1 mILethods suctessfull admlinistered, even in a possession as distant as tlhe lPh]ilippines, is stire to l)eget gotod results when contrasted with the inefMiciellnc 1(tl i( orruptioi that flho fromi the remnants of the spoils system here at t woe. ill 1 ]e rememll belred I tht Englalndi first tried comnpetitive methods in her Indian lossessesions before s.le estallishe(l tle civil-service systeni at home, and it was tlie successful wo)rkiiin of ti lis (omlllission in India which led to its adoption ill;nglalld. It lmay niot be imlopl)er to repeat here the opinion expressed on a fortmr t,'oc'alsion, tilat illaiaslmtiuh asI the leiilninigs of this reforiii came from Calcutta to 1,llol, it i- l tot imipossible nlr unreasonable to expect that its perfect cusulmuniation miay comle frolil Manila to Washington. WHAT HAS BEEN DONE IN THE PHILIPPINES. 19 '1Tir,.l,,hoin iuni mlc/r oif I'ilipinos. and Americans nmpm)loi(e(d t(nder thr goUvernment of the P'hilippinc Isla-ndw. Americans.; Filipinos. Memnbers of the Philippine (ommission.................................. 5 3 J.Iusties of the supreme o rt.................................................. 4 3.Inlges of the court of tirst ilnstate............................................ 16 7.IJ dges of the c(ourt of customs appealls....................................... 1.lodfges of the court of ll(an registration............................. 1 Justices of the peace and auxiliary justices of the peace.............................. 1,708 (ivil service of the general governiment..................................... 1,77 2,697;o r rs of ro inee....................................................... 32 u lther provincial orficfilrs................................................... 6 | 238 i i l re dents ( ors)............................................................982 nici pal coiinc illors.....................................................................,159 Mulicipal secretaries-treasurers.......................................................... 2,906 T otal....................................................................., 16, 737 Municipa l school teacher................................................................. 3,500 English teachlers............................. 1,0001............ Total................... 1,000 3,5 00 M u icipaI l poli(....................................................................... 10, 000 Philippin.es r conlstabulary..............................................345 7,000 Totall............................................................. 17,000 This table does not include the Philippine Scouts, which are a part of the military estallilshmlent of the United States, the commissioned officers of which are Americans, and the noncofmmissioned officers and otherenlisted force of which, to the numberof 5,000, are Filipinos; nor does it include the large nmllner of unskilled employees of tile Philippine governmenft, all of whomt are Filipinos, employed in such places as the street-cleaning ldep)artment of the city of M1anila, the work of the Benguet road, the office of the insular purchasing agent, the board of health, etc. THE EI)UCATION OF THE FILIPINOS. The work of providing educational facilities for the Filipinos is assunied by the generall government of the islands; and to promote that endeavor there has been established a department of public instruction. There are employed in this department between 2,500 and 3,000 Filipino teachers, and nearly 1,000 American teachers, the latter engaged, primarily, in teaching English to the Filipino teachers in addition to the classes of children instructed by them. On the date of the last report of this department there were maintained in-the,Archipelago about 2,00() prinary schools and 38 secondary schools. In addition to these primary classes the government maintains a number of technological schools, including a trade school and an agricultural school; nornlal institutes for the iuiprovementof the native teachers are h(eld during each school vacation. There is also maintained a wellequipped nautical school, developing persons qualified to become officers in the interisland merchant marine, and with the enlargement of this school it is hoped that ultimately many of these positions can be filled by natives of the islands. In this connection attention is called to the fact that apprentices are taken on in the government printing office at Manila, with the gratifying result that many Filipinos are now learning the useful trades to be acquired in that establishment. Night schools are maintained in the city of Manila and in other places for the education of adults and others who are not at liberty to attend day school, and there was at the time of the last report an average daily attendance of 10,000. 20 WHAT/ HAS IBEEN DONE IN THE PHILIPPINES. 'The civil-service law, offering:an immediate reward for ability to pass examinatimn. has had aI direct effect ill inciting the Filipinos to ailuire practical llowledge. At the tinle lAmerican occupation was establislhed there were lot more than one or two Filipinos in the islands with ability to run a typewriter; there are now hundreds who are so (ualified. 'Tpewriting is b}eiilg taulght in solne of the schools. It lmay be said that the entire governmenltatl structure erected in the islands is itself Ia school. as in ac('h office will be found Filipinos in a position to obIserve (and ( lean American methods of government. tInder a recent enactmllent of the Coinmission. provision is made for bringing to the United States not less than 10(1 Filipinos each year, who are to remlnai inl this couitry for a period of four years, in different schoolls at colleges. I(r aidvaned instruction, and also for a thorough learnling of Ellglish land Atmerican methods, and who upon their returi are ol ligated to sullmllit to a competitive civil-serviice examination. anld if alppointed to enter service under the government for at least the length of tillme spent 1b them in the United States. There are now\ inl this countiry 1(1o) Filipinos,being educated under this law, and steps have already 1 een taken to arrailge( for the bringing over of others witlill the i;ext few months. The return of these people to the islands andt the disseminilation of infoirmation by them will have a iiost b}leeficial aiid far-reachilng effect. There have (een established ill four different cities in the islands telegraph sch(ools. with lI view to fittiln Fiililinlos to replace, as rapidly as possible. thie Anierici1 llas ino ('ligage(d (ts operators in the-telegraph service of tlhe islands, which is in harmony with the general policy of utilizing Filipinos for all positions in the insular service for whlich they canl c(ualifv. In the last fiscal year the Bureau of Education expended 2,438,185 pesos, ill addition to the sumiis raised }b the vllrious municipalities and provinces. for school )prl)oses. The Schurlman Commission stated the Spanish expenditures ill 1S'4 for education at 404,731 pesos. In the instructions of the President. tuie Coninlission was enjoined to give especial attenltion to offerlilg full opplortnllity to the people of the islands to alcquire the use of tile English language. The Filipinos are eager to acqluire t kloswledge-of our language. The native languiages are llluerolts and so lulike that 10o )one of them caln be emlployed as the comimoni iiedium of comllllunic ation. ur ing the Spanish regime no effort was miade to give the great body of the people an opportunity for learning Spanish, and but I small pro(portion of the total population has a knowledge of that language. tro have based the education of the population upon the native languagre would have confined them to the horizon of their inmllediate surlroulndinigs, whereas the adoption of English as the language of tlhe schools will ultimately result in a comlon language throughout tllh islanllds Iad will open 111u to the population the literature of thie world. English has been adopted as the base of instructions and results already acclomlplished fully justify this action. THE MNONETAIRY SYSTEM. Under congressional autllhority thlre has been inaugurated a complete cutrrenlcy systemi. which affords a fixed nedium of exchange and thereby does away with the tluctuation in value which was such a menace to trade in the old days. WHAt HAS BEEN DONE IN THE PHILIPPINES. 21 The coinage of the islands is distinctive, showing that it is a coin of tile P'hilipl)ine Islands, and also showving stlch islands to be under the so\'vere',iglntv of the lUnited States. The silver coinage is hased upon the decinial systeml, ranging. in value froml the ten-centavo piece to tihe one-peso piece. There is also a nickel coin of 5 centavos, and bronze coins of one and also one-half centavos. These coins have a fixed convertible value to the United States currency in the ratio of 2 to 1. A gold reserve is maintained for the purpose of preserving this parity. The islands have also a distinctive paper money, showing that it is 1an issue of the Philippine government under the sovereigntv of the United States. These silver certificates are issued in the denomination of 2, 5, and 10 pesos and bear the vignettes, respectively, of,Jose Rizal, a Filipino, McKinlevy, and Washingtcn. Merchants in the islands can buy exchange on New York by depositing with the instlar government Philippine currency b)y the payment of a prenmilum of three-fourths of I per cent for deman d drafts anid of iI per cent for telegraphic transfers. During the Spanish regime, as well as during the first years of American occupation. the currency of the Philippines was subject to the flucetuations of the silver-bullion market. and the trade of those islands was at the mlercy of an everchanging currency as well as an ever-chlanging rate of exchange. This great oblstacle to commercial development ald stlability has been removed ly the establishment of a fixed standard of value. BANKS. In addition to the banks existing prior tro American occupation, hranch Itanks have beeni established in Manila by the Guaranty Trust Comlpany of New York and the International Bl3anking Corporation, and one private American bank has been established. IThe inauguration of these banks is a great step forward in connecting the tradea and financial affairs of the Philippines with those of the United States. PHILIPPINES CONSTAlI' LARY. The disturbed conditions resulting from and continuing after the insurrection made it obvious that consideralle timle nmust elapse before the civil police force of the municipalities (,t the archipelago would be atble to maintain order. From time in u.!nlmorial the inhabitants of rural communities had been subjected to the incursions of ladrones, who prieyed upon peaceable and industrious districts, and when pursued found refuge in the jungle and mountain fastnesses. It was deemed inconsistent with the idea of civil government that the military forces of the United States -should exercise police powers even for the purpose of suppressing this evil; besides the expense involved in their use was very great, anld the Amnerican soldier was ill-adapted bfy his training to perform the functions of a policeman. Therefore, to meet the requirements of the situation, the Philippines constabulary was organized. The past year has fullry tested the constabulary organization and has demonstrated both its theoretical and practical advantages. The rfen have proved obedient, loyal, and brave. They have been almost constantly engaged in clearing the provinces of cattle thieves and highway robbers. The organization of this corps made possible the fur 22 WHAT HAS BEEN DONE IN THE PHILIPPINES. ther reduction of American troops in the archipelago, until now there are less thin lifteen tlhoul.alnd iAmevric(a soldiers stationed in'the Phili)pines. The present enlisted force of the collstalular\V consists of about 7,000 men, all natives of thie Philippinne Islandils. The constabulary is commandedi lrincipally nby Alierican officers, althougll a few of tie officers of tle lower grades are Filipinos. The chief and assistant chiefs are officers of tlhe Refgular Army detailed to thie Philippines constal)blarv under the provisions of an act of Congress. To further promlote the efficiency of the constalularv there have recently b}een made a 1numlller of appoilntments to the grade of.lieutenant from lalong the graduates of lmilitary schools in the t'nited States. Thle consta}Llary is maintained from1 the reveinues of tile Philippine Islands. MEANS OF CO)IMMINICATION. Pf.n/l and,l'eqr'/,l i, s,,ir,;.-Post-offices have been established throunghout thle eiltire archllipellgo. and imail Imatter is prompl)tly forwarded froml p(oilt to ploint withl safety and reasolnable regullarity. Tlie postal facilities ilnclude ttie issuance of Ilmone ordelrs, which is an imiportant factor. foir-c nlnlerciail htanks do not exist in the islands outside of IManila. Iloil-o. andll Ce(llu. Free-delivery service has Ibeen estal)lished for the c itv of Manllilh the entire force of letter carriers }eing lnatives of the Plhilillppine Islands. In tle smller t ow sns ofl t e e archipelago. \\where tile }usines does Idot justify the salary of a postmIster. teachers, officers of the constalmlary, provincial and llmunicipal officials, Iare a)ppointed 1ostlmasters ill addition to their other duties with slight extra colml)ensation. At the present time there are estLalished in the l'hilippine Islands more than two hundred postoffices. Thle rates of postage are tlih same as in the United States. 7;,/,rqia'j)h 1 /,..-I)During military operation it was found necessary to conistruct telegralh all telephone lines connecting Manila with neiarly every munici)pality in the islands, 1a(1 in this manner some 8.,(H) Illiles of overland telegraphl lines and cable were constructed. The withdrawall of garrisons necessitated the abindonment of many of the stations bN the mllilittary. and these stations are being taken ove(r )by the civil (ov-erinenit as fast as skilled operators caln be secured. At the preselnt tilme the archipelago is gridironed with 8,00(0 miles of land and sea telegraph and ca)le lines, and commercial message(s 'an be sent to practically all points throughout the archipelago at rates (onsidelrab1 Iless than_ prevail in the United States. This is aI great help to the commllercial interests in the Philippines, which lo( gl suffered for want of adequate mail and telegraphic commn1un;ication. 7T/,,,-11 I acc ca/,. —Trhe opening of the new Pacific cable on Julv 4, 19-1-, fulrnishes a direct means of commiunication between the IUnited States and tlie Philippine Islands, and reduces the cost of messages nc1t only to tlle (Governmient, }ut to private individuals, and is of iast importance iboth to the Government and to the commercial world. II!/lin-i/.-S-Thle general subject of improved transportation has been givenr priimary consideration, especially in so far as it relates to high ways. Extensive repairs and improvements to existing highways have bleen carried on throughout the provinces. For the general WHAT HAS BEEN DONE IN THE PHILIPPINES. 23 supervision of this work a bureau of engineering has been established and has for its representatives in the provinces the provincial supervisor. Although handicapped by losses of draft animals, the unsettled condition of labor, and remoteness from an adequate base of supplies, excellent progress has been made in the work of building new roads. This work has generally been performed under the direction of army engineers. Nearly $3,000,000 have been expended in the construction of what might be termed trunk line wagon roads which, primarily designed for military purposes, nevertheless are open to and afford facilities for the farmer and producer in civil life; $40,000 have been appropriated for a road froin Vigan to Bangued, some 22 miles; $40,000 have been appropriated for another from Bacon to Bulasan, some 35 miles; and field surveying parties are at work on seven other roads which, when completed, will cost the government at least $50,000. There is in the course of construction at the present time what is known as the Benguet wagon road. It is estimated that this road when completed will cost over $1,000,000, and will cover a distance of 35 miles from Pozorrubio, in the province of Pangasinan, to Baguio, in the province of Benguet. This road is being constructed on comparatively easy grades and of proper width so that it may bie used as an ordinary highway and also as the roadbed of an electric or steam road. It will furnish an easv and convenient passage to the highlands of Benguet, where the Commiission has already constructed a sanitarium for invalid civil employees. It is the intention to ultimately nake Benguet a recuperating station not only for the civil government, but for the military establishment as well. and it is thought that the beneficial results derived from a short stay in Benguet will obviate the necessity of returning so many employees and soldiers to the United States each year for recuperation in a colder climate, and will thus be a saving to the insular government as well as to thel'nited States Government. The above pertains to roads which have been and are being built and paid for by the Philippine central government, and is only a small proportion of the amount which has been expended by the provinces in the construction of new, and in the repair of old roads. and bridges. During the last fiscal' year one province expended almost $20,000 for this purpose, and the amount of work which has been done in this manner will be appreciated when it is considered that there are 39 provinces in the islands. The central government has also made loans to almost all of the provinces —in some instances to the amount of $25.(000-for the construction of highways and the repair of roads and bridges, and the provincial governments have been authorized to expend provincial funds for the same purpose. The demand has been for the construction of roads passable during theddry season, but this policy produces no permanent roads and requires extended and expensive repairs annually; therefore, attention is being directed to the construction annually of a number of miles of permanent roads in each of the provinces. PUBLIC DOMAIN. Public lands.-The total amount of land in the Philippines is approximated at 74,000.(000 acres. Of this amount it is (estimated that about 5,000,000 acres are owned by individuals, leaving iln public lands about 24 WIAT HAS BEEN O)NE IN THE rHILIP'PIES.;.i).((T. The la id Ila, lever Ieeell sIlurveve(l and these ailounts are s1 illllates. 'l' lilitarlI ('(L'o ' elll'nlit wlhich exI Xistedl lil to.1LlL' 1. 1!902. ihad n p),xel' to parl t with tie' pItllic' laItL( b)ld> w-ilgi- to the' l'lit(ed States, as tllIt p1>wer iei'IIlog'Led to ('IIColg'ss. In, tlhe Philippine go('I''lmet l t'at olf Jlily 1. 1)1>2. Congress conv(! e(1 to tlhLgoL( )\('lllrl(ll t (of the Phliliii )ille' Islanlds all p l)u li property. in('.i(ldinL' tlhe pIlic liaidllis ceded( til tole t' tit(dl St:tes u(nder the treaty of l'dlaris. 1n(1 (lir'I(ct(e tht goIvenIILnt ( II t( (ilass coifv according to its alt'ri ltt'lluturl ('cill' 't'te((l!(l lolIduc(tivene'll'.. at(1 to imllmediately mal ke Irules al.d rILgulaltiolis for tihe leaseL. sale. ot othler d(isposition of tlhe putlii l ld., (otlle' ti l t i i l,('r atIl(t I liLL'eral;11kds. wLith the proviso, loLwL'v('r. tlhat st(ch le'll(es iLILl re(g'Llatiolis w(Tr, Io0t to 'o into effect or have\ tlie force (of 1:w\\ tLIil tli (v.}Iold lhv I i. '(ci\-c,'ivL( the approval of the PIr'csiden( t a1l(l sIlhlilitte(d(- I1 L lil to ( I'oLL ss. The bil)tlall (of p1)tlic land(.-. witll L ( co(llmpt(lt personnel. was inlillL(liatelv est'ablishedl, (clar 11i'I,' witl tlilt dltit\: (of I lakilng tlhe necessltrv\ prelinia(,lry- il' vestigatioln and ra'ti,,' tl(e rilqles and,( reg(rllaltionIl whchlill 11a1\' LCII ela.ti( d itlto lt w il' tlle, 'oIverllnl LIment, and(t areLLnow lbefore til( ('CoiLgreL s of til, i ite(lL S:ta'es::: (ll[' u'l le.s sluch lawv is disapprov)l)Lr(ed(I oL' LIlli(l iLL (a) ' r(sIended vte drigiii til'he prosent session. they will at ttl( e.(Ls (It1 io'c ll l t\'(' telie fLorLce and etli'ct of law in the Phililpilne, I-.:tmt:d. '.il',i/..,/. -ill- 1 l: ( (actltiet of C'L 1l l(Les< a:lls a:utlhorized the dispositioll of t( the liner.ll tlree(.o. f' l ore.t 'l) producl ts o(l lands leased or Ideis(Iid bi v let(' gve(rnnt1III (t of tie PilipinLi Islands under such,reIulaLti( ls, a- it Illi,'lIt l)retlcri}i '. 'The forests of tle lPhililppi l' ' Ilans lre 'leormiLously rich in hard wtoo(ds:t41d d\V ((oo(.:11(d in tilt' 'rLlt valrietv o(If treels vielding valuable 'tll1s allsl( 1'1l})} 1's atlld(1 t'itia-l)'ercIl''L. M\aliIt \vailable vtt rieticLs I(f timler avie witholut maket.k value at the plreet timle be})(catle t1eil' proper)Vlties are, linklnolwn. A w'ell-'equil)le('d tiIll'ber-te'ltilg' laIII'IratoIy' hat s ((Len (stablished at Manila allnd( il)Ioi 't:Inlt IprIc:lti 'Il t(sts tol' til(' lI)Iprpo.s of at -ertainingr the (jltialities of tIl( ditfferent 'Phtilippinel wood(l havl\e a'tll'(eady bee}n made. 'he'( ai' a l( bel llll o()f w(v)oo(s llwhose stirLlg't}l has b)(en'(t ientifically Id(te't'Ilinledto< l e,i'eatr to tla tilhe Aellericalle pig'-nttlt lhickorv, which is u 'lderstood tI ) withstand tile i'rIate.t strain of atln of t}le American wo.( )( )(. A s1ic'liti(. stl(ld }la.Lv })(nell n made I (f t}le best lmean.s of extracting 'lL'. i I. tLr l l i:a 111 -IItt L-) r('l} I flol Il StI li t rees. and eve('('ry 'tiort is }binl ' la(e lo t, c t('l'h I Il(l' lnative- o(f tile islands howv the produc(ts Ia avbe s,(lL,'(/r and tle outpul)t increased without permanient iljulry to till' foiIests. The pl)lic forestt. and( ftorest 1reI'rve(., of tile Philippine Islands are held atnd(:tldliniltLrtdl for tle lprotection of the public interests, the 11tilityv ald safety (of tle fotrests. d111( their lnperpet.luation in )productive (o', ditionl. This 16rk (of l)preservation a11 t(t lprotec'tion of the forests and forest p)rodlIlts is perfo'rmed unde1(r aln olrganized b}ran.chl of the insular gov('IrllIllent, wii t a corplS of eX plert foresters and rang'ers throughout the isladIls. The re ('ulat ionls ptrovi(de for a systemll o(f selection and num}er of trees to be c(lit fo', till(l' l)irpl))oses, and tlalso:a tax per cubic foot. alsed( o11 till' claracte'Ir ()f tlhe tilmb)er. WHAT HAS BEEN DONE TN THE PHILIPPINES. 25 The government clues on forestry products are collected by provin(1al treastirers mid covered iut() the instihar treasuiry. The cost of uinainitaiiiiiio thle for-estrv service is deduicted fromi the revenues so rc(ceive( I and t le blan~uce remualinilug is divided lbetween the lprovincial and nlitinicilual goverunients,- in thre province fromi which the products originally come. Duiring- the fiscal year 19t)3 the operating- expense of the forestry service ~itioiiuitedl to $,9;. 2)2.36 United States currency and the revenoes collectedI amiouinted to ~;527.414. 85 Mexican. _iJUC,tils. -Soon aft-ir the, occupation of tlhe islands by the Americaiis a minijug. bureatu was establlished which, of necessity, uinder the limited iiithorit v (If the theii existing, governmiient. ofie its work to investig-ation (If a111( report iipoii mines and claims, to the translation of Spanish hllws, decrees, and (1CLocunuents. to t~he gathering of informatioii as to the. results (of prospectiiig. and to the preparation of-reports on the in ire important imiiierals found in the islands,, and to laboratory 1101k audI assa,s on spC'cimem stilumitted. The iiios't imiiportant v101k, (If the muining.- bureau has been its institution (If a svsteii oIf miniieralogical antid greological. surveys. A museumn of geological -specimens and a labioratorv for scientific research and ~ol)a. - Coal is known to exist iii iiaiiv of the different islands of the Archipelago(. arid sonic of the deposits are very extensive. Testimony is unanirumous that the P'hilippine coal.ls; (o niot clinker, nor do they soil the boiler tuties to anyv such extent as do Japanese and Austialian coals. It has been denionstrated that coal f rom several deposits iii the Philipp)inii Islands will coke. These coals have been given practical te~ in the vessels engaged'in the coasting- trade of the Archipelago, with very satisfactory results as regards their steam-iiaking properties. Prior to American occupation the shipping in Phlilippine waters was dependent upon coals iriported at great distance, whereas, local coals are now being utilized, and it is believed wvill be iiiiied in sufficient quantities to miore than meet the heavy deniands (If shipping, in those waters. The island of -Batan is spoken of as "a solid mass of coal." An electric railwav- is now nearing comupletion, wvhich will connect this iiiine with a deep-waiter harbo"r. It is t~o tbe developed by private corporations. unrder the direction of an officers of the Engineer Corps of the Armyv detailed. wvithi it competent force of skilled miners, for the purpose of carrying' on a systematic exanuination of the deposits, to dleterumine their extent aiid value. Gold, cd~ppc/. (Old otler ohetolx.l —There aie well-known deposits of golId, copper. and other mietals throughout the islands. A mineralogical miap has been prepared, showing the authenticated mines and proved riineral deposits of value, but wvhich does iiot purport to represent all mineral deposits in the islands. Jfmb l(IIJs.-Upon the passagre of the Phiflippine government act (If July 1, the mnueral deposits iii puiblic lands in the Philippine Islands were declared to tie free and open to exploration, occupation, and~purbhase, and t~he hind iuu which they are found to occupation and purchase, by citizens of the U nited Stamtes, or of the Philipine Islands, arid mu pursuance thereot, an cii ctment was passed by tie Philippine Commission prescribing regulatimon governing the location and mariner of recording ruining clauims and the amount of work necessary to hold 20O WHAT HAS BEEN DONE TN THE" PHILIPPINES. possession of:i minirlng'.laimt. 'The a(ldminlistrative work witll reference to title(, to millillng' (clatills was tirasllsferrel( t tile b}ur(eau o(t' public lai(ls, at1( tlti' ilblrealt of tlite's of the instilar govxerntlent has continl(ed its work of etfecti\vel ca(r'llyin out (reconnioissances of the iiiilortanlt liloneral (region(s of the Phililpp)ins in order that accurate inlfotrmati(o, of 'valuet1to tlie prospt)ectore ii te iner, ad the capitalists mayt ' l lade atxailale and the develop)ment of the( mining industry 111a 1le( stiilliated. I'p to JIullre <,.!!1t83, there lhad be'n )prei.enlted( for recorld 357 lode claimls, 9.5 pllacer c(laillis.; coal ('claimlls. a1l(l 141 clailis the character of which wias not desiginatedl. miakilng a total of.)r1l. lThese claims -we(r sca:Ltt.(er'l thr)lllouihollt the (lifferenlt, provinces of the archipelago..i,/l, ',it/,I.- -lhe inha})itants of tlie Philipp)ine Islands ire esse'nti.llx atn a1gricutltuanl )peopl)O. Agri(clltltre h(ad, nevertheless. 11) to the tille of Atlleri(t1an (ccupllatioti. teen (ca rrie(t on in a very primitive fashion, with rude impletments and anti(quated machinery, and \w-ithlut tlih ('lill)loymlent of suitabul)e Illethl(o, (of culti\ation. The reilts ob)taiinel(, even l inler su,(li c(onditions, alt'o(rded pr{oof of the favolrable c.ltaracte o If tle c(liiate d1111 tile natultilil litchlness of tlhe soil. The islllar 2 goverlnmlent has crialte(d a }lureautl o -f agriculture to contduct inlvestiglatiolls land dis.senlllillate ul'ftl illnfot'lmation with reference.to tl(e a'lg'i('cltural resource(s -of tl' lPhilippine Islands, the method((s of ('ulliv at ion at present il v\ (g('ue land tlhelii iimprovement, the lpracti(lcabili t of introdtucilg new and( v:altua}l(i agl -ricultural produc(ts. tlhe itrodtl(ntio, (of (new\X (doIllesticated ( Lliniial.,ll and the imprl(vemIent of tli(e breed(ls of domesticatetd:lanilials noxw ill the islands, and, in general. t( lrmllote tlle developlllmet o(f the agriculturatl resources of tile e()untrl.lt x. A c('mipeCtent co()Ip of scientitiic assistlants has bleen engaged, and surveys of tlle soil hav.e bee(,'l IIl(lte thllo)tighoul t different part.s of the arch.il)elago. witli a xiew to determilinio' its a(daptabilitx for various prodI lcts. It lias iteen sol wn tllhat nm111i veeta},le]s pecu(liar l to tle United States an(l th('e tell)'eralte z(e caln be(' lltivalte(] to( adva\lntage in the Philippine Isls. (nIlish 1t. (is otatoes. pea- n t ato(es, beets, and otherl vegetabl}s havte })(en stic(ccessft;llyll rI('pro)dti(d in tl(' Phllilippines fronl Aimerican seed. as w(l] aIs 1 illprov('dvari('ti(s (of ti(h o(a I(i'g anll d lemon brought from 'alifornia. P. 1)('at1. e aplrictt. ltlId plumr trees have been successfulliv inltro(lducl( ill tll(he hiiglanllds. An expl(erilllieltal statiion for thli testin' g of seeds anld the growing of plants and tlrees not indtige'lnous llas b})('el (estab}lished inl Manila, where it can l 1, (col(ndictt(ed Illnde(l the imm ll(leiate dir ection of the officials of the i})lur(lat. a(t. where tille 'resullts 1ere (obtain(ed justify. tlhe work is carried oni in o(tlilr plarts of thll archipela.g'O wh(ere soil investigtations have demolstratl(ld a lpossib)le stueccessful result..A grlt et Intv 1 1 pt)li(ations upon tlh ('clturel of arricultural products in tle Philipl)pinles. sucih as ccaco. tobacco (o. cocolllnut, iad others, haxve b)een p)repared( and dissleminalte fl r 'itidane ad information. These bulletins lland pl)thlications contain it large a: tnlount of prac(tical informnatiol. enlightening tlh pub)lic as to tlhe agricultural possibilities in tie Philippines and ai(tdit g t(he intelligen(t Filipino agriculturists to improve their milethods of ('ciltixvation. Steps hiave be(nl taken to Irehalbilitate the coffee industry b)I demonstrating' that illlllllllitx flroml di.s,(al ('l ll( inse('t pests Umav bee obtained WHAT HAS BEEN DONE IN THE PHILIPPINES. 27 i,) tlhe selection of a vigorous variety of coffee and the adoption of the best systems of cultivation and treCatltnellt. The cofflee i(ltlutrv ill the Philippiles was anlliililated prior to American occupation b, blight and an insect which destroyed the plant. Prol)ballv no countryv in the World produces a greater number of valuable fiber plants than do the Philippine Islands. lManila hemp occupies ian exclusive position anlono fibers, and the question of its continued improvement and increased development has been carefully inves-tigated and recommendations and reports -malde thereon. Int! the past the vegetables sold in Manila were chiefly imlported from China land we(re a continual source of danger oln accountt of the possib)le introduction of disease, and for this reason tlle successful introduction anid cultivation of vegetables will have a most far-reaching effect. The burelau of agriculture has demonstrated that forage for animals can he successfullly grown in the Philippines, whereas in the past it has bIeen necessary to illlport the same at a high price. It- was demonsttralted under insular-government auspices that on well-fertilized land with frequent irrigation ten crops of teosinte can be gr{own in one vea' with a yield of 135 tons gireen anid 301 tons dry fodder i)er acre. A field of alfalfa sown on,JanuarllV 6 was cutt three times before Auglist:31. the last cut yielding at the rate of 2 tons green and 1,30() pounds dry per acre. With the heavl- loss of horned cattle, due to riinderpest and the ravages of surra and glanders among the horses of the archipelago dturin~g the first few years of lAmerican occul)ation. it becallme increasinglrn ilportant to restock the islands wvith the draft anilmals to which the Fili)illos are accustomed, as well as to introduce new draft animrals and illprove existing tbreeds. The insular government, following the intent-of Congress expressed in the appropriation of a relief fuind, has pur(c hased, throughout the different countries of the Orient. several thousands of carabao, the work animtal cof the Philippines in agriculture, and(l with a view to restocking the farms. sold them to the native farmers at less than the actual cost price to the government. This work is still under way. A stock farim where breeding- experiments can ble conducted has beenll stablished, and steps taken for the importation of stallions, jacks, laid mlares.-.In fact. a nulmber hlave already beemn sent to the islanlds. It is b}elieved that this work xvill develop a type suited to the demands of tile Philippines. Thle establishmllent of a serum laboratory, and the manufacture of the necessary serunm, has lmade it possible for the government to take up vigorously the work of inmmunizing mall holrned cattle remaining in the Phi'ilippines, as well as all that are imported, to prevent a recurrence of devastation by rinderpest. Thie effort of the insular government foe the prevention of rinder, pest, by a scientific mlethod of inoculation, has met with a marked success, and the inoculation has proved to be effective in stopping the ravages of the disease. An agricultural college has been established on the grounds of the governmient farm, in the island of Negros, for practical instruction in agriculture, and an experiment station is conducted in connection with said college. 28 WHAT HA - ' BEEFN DONE IN THE PHILIPPINES. A governmentt f:ar ll anld experiment stati(on has also been established ill tiltl isltdll(l oft' Iuzol. a1d aiiiothel otll tll( islandl of Mindanao. 1/,, / '//' 1 111/s, t/ f'i;lii/ /,i/1. —1lTe coullse to rbe pursued. by the Pllilililline goverllllcllit ill sustaining' the new relations between the c 'llrlc'li a1t the stalt nIece(Sssiil resulting from the transfer of the Philil))ille Isltnds fromll Slliaishl to Am\erican sovereignty. was set forth ill tlile Instlulct.ionlls f the President to tie 'Philippine Commission, as follows: It w\ill 1e the (ityv of the C'ommission to make a thorough investigation into the titlets t, tle lar(gc t.r'lt- (,f land 11e wll or clailmed l i) iniilividlials or by religious orders; into tile jlustlice f llt' ('lt clails and ('olmplaints Ima(ite against such land(holders by the l1h'ole otf tli( ialan1. olr an- part,of tlie petole, and to seek t1v wise and peaceable IillaSill'se a jlst settleleilltit,i t e' t c ontroverlsies alll redlress of wsrongs wih ich have icamsed strife anll( il,,t(si isedi ill tle a-t. In tile ierformance of thiis duty ttle Conilissioni is (ljOitl t see t tit noll injtusticet is (on(,; to halve regard for substantial rights alnd tiuity disregardling technicatlities so far as substantial right permits, and t,) ol,: crvIe( t 'e follo w, illh I rtiles: ''I'Tat tlie, lrlvisioin of i tle treaty of 'aris piledlgirng tie Inited States to the protecti(oln of all riglts (-of,pro 'rti i ti i -l ti an il anl ai s wetll thle principle of our own (;o)\erlimenlltt \\ lic'l Iirlliits tli' takir f priviate plrol)erty without due process of law\. sl all lnot lic \violattel: tlhatt e l t' it elfarIe o t i1 i ieI ' (if til islands, which shoutl }(e a plaraml,onll n drati(m isirt iolnhN bi aI ttainlle c sisteitly witth this rule of propcrtyv frilt: t tlai f i it bI co((m(s Icessar. f(,r tlie p })lic inte rest of the -people of tlhe isl;ll{ t t,, tli.l,,,:,,,f (.hIt.~lf t,, 1,l'),ct p;,lic lr thi e (,m)llllissi(oll find(ls to be not lawfullyiv l'llliredt a dII 1i11. (lil,,positi(,ll lta!l 1'( laLel ttl reo' f lv (d e legal lirocedture, in whichi tl 're t- llall 1,i fi il iI i irtuniit it fair all impall)rtial hearing atn judgment; that if l ilti:ale, tllil. iinttr' sts re(Jluirlt tlie extingruisilmne t of property rights lawfilly act)tlirll l aili li.li. i (t ( lipe 'iiati oil shall i}( mlia(le out of thie Iult lic treasury therefol; tialt,o form i f rcligi o and no m ini-tetr t'f religion sliall b)e forced upon any i.''i it r,lit tiltv lip' l, it 'iti z'n (iIf tihe islanlds: t!;t, upont tile othier hiand, no miinisttr of re liio,: lll 1ie it.ertferedl w\itth or iiolestedtl in following,, his calling; and that lit seplaratioiin b ietw'eel state aln church( shall,et real, entire, a:lh( absolute. At tlie tim o tf tl(' tranlsfer of sovereii'gltv three religious orders, tlii I)ontici' all.,I Alutigstillial.... Iand( Rectcoetos. wilo were established ill tlie Philippl)}in.e,- Illnd(lerl Spanlishi rule. lield ab})oult 420,000 acres of 'aricttlti'al latds. 'lhese land., werel' occuipied l}) native tenants ilitenll,'l liostile to tlhe friaLr,. Land that hostility was. unquestionably si;ltred f} tl, vast tmajolrity of tlle pe(ple of the islands. The relation (f tille'' ilandloird, to ti o their tenaits and to tile entire people was one of tll' (.cii if c(at ses of ii Iritatioin:iand rebtellion under Spanish rule. 'li( new i ond ((lditio(ls illiade it Ilmaifest that the interestof the religious ord(lels i(l'ii'e ( that th(e! sh(ould (co\-nvertt into moniey this property, Nwliich tl i('\ c(ultd no lo(lg'er peIacefullly enjoy or practically lnake useftll. At ti hi} saillle till( tile peace iad order of the community, the gioo(i1 will of th( people tow\Nard tli(h Go\ternllment of the United States, i:i(i tlfl' illterest of anl effl(ecti ve settlhnient andi disposition of all questions ar'ising' }etw\(ten the (cllllrch and state in the islands made it lequllyh de(siltralet that these lands should be purchased by the state and tlat oplolrtuiitv! to securetl title upon reasonable terms should be oflt'ered ttl tlue tlintlits an(l to the (other' inhabitants of the islands. lThe act of C(i0ngrets pl)llr'(\'ed.t1Jl 1, 1!,902. commonly known as the ~' 'llilil)in( go( v, IIilrnent It't." Iauthlo'ized the Commission to acquire title to the — lads () of 'religio( s ol'del's held in such large tracts as to injuriously tIlt'i('t thl pe1)I:t.ce and wNelfare of the people of the islands; to i.-Ille }oiids in payment for sluch land: to sell the land, with a preferell)c( to mtual settlers land occupants d to apply the proceeds to payin ig' tilt pl'inciilal taind inlt'el'est of the,bonds. (;\e('Icror Taft, }beillg about to l'ttirn f'romI Washing'ton to his post WHAT HAS BEEN DONE IN THE PHILIPPINES. 2 29 at Mlanila, wa s ditected to stop at Rome for the purpose stated in the following extract fiont his instructions: In view, theretore, of the critical situation of this subject, in the Pttilippine,, and of lihi apparent imipos sibility of disposing of the matter there by ne'totiatsin wmith the friars themselvse the Presientei dimes not feel at liberty to lose the opportunity for effective action affiorded by tmimr presence in the West. tie wvishes you tim take time sutbject up tentatim elm wit tim te ecclesiastical superiors, whoii oust, ulifiniatey ds Itriiiiie the friars' iourse ot ondtuct, anit eniteavor to reach at least a hasis of nesm~tiatimi alo)ng the lines wfitch mwill tie satisfactory ti tiemii and~ to) the Philippine am )Neriiimeiit, ticcoimpanted to, l ull unumerstanding Onl mofti sides of tile facts antl of the views, anid purposes ot ttie tiarties to thle tegiitiatioii, so that mwleu Gtumres thall have acted the tmusiness nmav tiroceeit to a conclusion without defty The conferenice sttsgested by this iitstruction resulted iii a full artcl stitisfactorV uti1der.Standumg as to the tuethods to he adopted for disposing of the vatrious questions arising out of the separation of chttrch tand,state in the Phdlipptns Islands required hv the chanige of sovereigntty auid thle sale oft de tfriar lands. -The chutch atithorities at Rome. having favtrahlv considered tile piropsisititon to purtclhase time agrictulturtal ltitds of the three cgrioat religiotis ordets ippotnted ait apostolic delegoate, with such powers as cotild bie conterrtcl( upon hiim, to complete the negotiations tnd transfer-. The apostolts di legate, Monsignor Jean Baptiste Guidi. Archbishop of Stauropoli, teached the islaods in the ftall of 190h2. and itegotiations were at once begun. The Comtmission had previously caused staid lands to he surveyed, classified, and valued. The negotiations. ho-wever, oictipied consi derhle time, f or it appeared that the f riars hati complicated thei r title t~o a large portion of the lands hy alleged trtaosfers, to private individuals atid companies, anid it eventtualiv becamte itecessaix- to liring these ptirties into the conference. It was well-ni~ h inipossible to come to art agreemnent respecting the valtie of the land, timd in order to deterntine the value, representatives (if the various companies and other irtierests were invited to attend a hetiringy wshere nioteroos witnesses were called upon to testify. After iumier-ois propositions and counter propositions had heen rejected att tigreemenit was reached whereby was closed the purchase of 410.00 a()tcres at ap rice of $7.239,000 in gold. This aniount wits paid in ctish fro'nt ftttt s tetizie d from the sale of bonds of tIme Philippine government bearing interest at the rate of 4 per cent per annum, which bonds wcere sold in the 'United,-States at the i-ate of $107.577. Respecting the settlement of this matter. Gotiverntor Taft, hi his report as sivil governon fot- the year 190o3. s~avs: It is thought that thle resutlt of these tiegotiatiotis and the putrchase- of thle lands fomin a nuost importantt step ini thle rehabmilitatiiin oif the tieotule of the islainds axtd tiat the readjttstnnentt iof their relations tii the tIoniati Catholic Church, which i-an not huut be of material Imeitefit, iii a political scay tcm this insular ant proviticial giovernnients ~.We can not pirophesy that the aidjustment will nil mis entirely of the agrarian questions. Titere wiii tie idsitbtless liltiation atnd local centiers of distitriance growing out of governmetit laimhimirihisiti tint the elinitnation oif the friars froimi thle question can not bit tlenti greatly to fadiittate satisfi dory ailjtstinents. Durlitg the last six months I havi- ticen ini receipt of Imetitiotas froin tenants in the provnicoes of Camvite and Lagimna, where tih iigrarian iiiestiont hias beent miost hitter, urging tIme purchase of the lanits, wcithm a statemnict that fhu teiiants fullY iiiderstood that the laimds are to tie sold to tieiii aiid thial flies- ir- tii pay fuir the saaite. The visit to Route was wiatcelmi winut intetise hinterest hiy thi lispople sit the islanils, and had it not resulted in a pureltasi- of the land,,,nuy jmidgment is that great disappointiment would have tieenm felt. Thie ititiber oif friars ini the islands is rapidly diminishiag froit year to year, ttnd with this adjustument of the laud question 3() W AT AS BEEN DONE IN THE PHILIPPINES. andI tl(e division of the Iproceed(s between thle orders and the church, and the use of t l, part lelonging t, ti lt Roman (}Chur(ch for ilfprl)ovenlenit of th(e PhilippineChurch, we l1m V reIas(,nabll }l1pe tlat in a decade l tie agrarian alnl political (liuestion of the f'ras iI tli Philippine' will have been o(mlipletely removed from among the oltacltest,,ol,,verlllllot \ ithl \ li('l t ite \ rleli(' las, ill collillng to tile islalnds alnd aamniiinlg o',mtrol tll'her'(o. were c(tt'nfrlllt(l. WVE.ATHER BItt'EAt SE;RVIC'E. 'I'There is maintained bv tli' )hilil)l)ine overnment a w(ather bur'all s(ervi((c withl a cent'('lt'ral o)fice(' ill anila and with fifty stations tilhrl-OugltrOlt the elltire'.Arcthipelao(, 'rolil wlic('h (ailv t(ele(g'raphic(' reports are made to ManIlila. These statis trelt w(ell eq(ltili)led to determline tempteratuitre. winds, Ihmlliditv. ai)l.d seismic distlur)ani( '(es. There is i also maintailled a1 station( ()n thi(' islilnd o (rll l wlil is o f G(reat importance in folre('astingl t!yl)lo())ns likl;t t to ell(ldlllrge the s-hilpping interests in the seas of tlte Philippine Ailchi'('li(lago. (n1e (,f tl(e greatest dangels to navig atioll iln tie( Plili)ip)ill Islttnds results froml typhoons. The benetits c('of(e-rred )v1 the lweathilr b}i-reaut ill forewlarniinl shippinig of the coning otf typho(;s is il(calculale. Storm silgnals are hoisted ill the principal ports. where th(ey ('tan )e,e(('11 readily iby shipping, and, furthermore(. vessels are advi(,ed of apl))ro(aching typh)l)oonls })y tite cltstonls autthoritie,'. In tili central ()fiice' at MaItnil:l there are 3) instrulnrrl ts for direct ob})srvatttion anId 14 self-re'isterillg inlstrtlllllents otf th(e tilest lland 1most -11i(1(dern 'l1 tlllllflt('rtll'(' ill ol)eratio(ll 1 er ttle (lirectionl of tile mIost com1 -Ipetellt sc'ii'ti.ts. (Oe of the imost itm)ortait and indispensable works lerfolrme(d )y tli., w\eather servic'e is tlie rating of the chronolmeters of tl(e shitl)l)int o i) tihat sectiIon ()f tile Norld.;A Clo)p s(rvice is lltlitatit(ind antd vweather bulletins issued. which iare ca:'rrie(( inl the E'tigli atInd- Spttnisihl iiaperl s ts itens of news. and mIllal of' tlt(e municipalities ill every province have contrit)ted tto this sel'Vtic. ETII N( )I,~ )(15'. Thle ethlinologi(cal slurv( o()f t tle non-Christian trii)es in 'the Philippiles has b})((n lulderl'(l ill tle(' hands of competent ethnologists and anthropol)gists ft') t1i' 1)iast ttwo '(artl's. and ici('h valuafble inforImt.atio()nl t( Ill11l! (to(t docunllts l)(pertalil;il' to the law. hlistory, llnguaore, and relig(ion of tlese tribe)(s. as well as ma1nv valuale phiiotographs, lhave be(e(11 obtaine(d. Many va1ltuable (ontril)ulitions to the world's knowl(\(le(dgef of tile tri},ls (f tihe islands.have )beetn made b}) these scientists. A (carefull s(rie ( of enmmleattti(o) s ta1l( (stinites plat.e the pagtan inhabititats of thie Pihilippines tt about 41((1.()00 and the Mohaminimdains tt taboutt 2,5-, (0>(). Aside fltmil it.,, scielitific vttlue tile wtork of this ethnological surve v'! will stupl)pl tll u'i inf(rmtion (ssti) sential to the formation and estab)lislimeiit (f proper-goverlnment for these trib)es. I'IlIII''IN:E EXHIIBIT' AT ST. I,()IIS EXP'OSITION. 'I'e Philippilne roverlTenmlt. tt at cost of nearly $1,()00,000, is making lat the Ltouisianat I)ur( liase(, IExpositiii att St. Louis tin elaborate exhiblit of )Philipl)ine IprdI'(ts. art. ethnolo)!gy, ducationl, ian habits of the peop)le. There has been allotted for this purpose about 45 acres of WHAT HAS BEEN DONE IN THE -PHILIPPINES. 31 splice within t he, (exlositiOn grouiids, and there will be bro1.ught from the Philippines, approximiately. 1,200 lilipinlos and 14,000 tons of exhibits and building- materials. Of these-Filipinos, from (300 to 800 are in the military service of the Philippine government or are in the Philippine Scouts, an organization which is ai part of the United States military forces in those islands. They will be accoiupaiiied by the Philippines Constabulary band of 85 piece(IS. This exhibit at St. Louis will atlord ain opportunity for the people of the United States to acquire information relative to the. Philippines in ait moie graphic uiminner than has- yet bween offered. The Philippine grovernment w ill send to the Unitedf States during t-he period of the exposition,in honoiraiy coiumiission of tiftN prominent Filipinos, who will visit St. Louis amd other cities. and iii that manner gain at practical knowvledoec of Amo Ti ai iiistitiitiomis and methods. which, uplonl their retuirn, will lie of i reat benefit. a111( Will Undoubtedly do much to proiiote iiutual (rood feelminoaiid lrade relations betweeii the two couiitries. CENgUS. The Philippine grovmvnnient act oif Congress of July 1, 1902, provided thwat wheii the IPiesideiit so 3hirected the Philippir 0 Coimiiission -hould order ai census oif the PhilippIinie Islands to be takeni, and that two year-saf ter the comipletion,uicl piiblicat ion of this censums, if condition~s attithat timie wartran-teid te5 Iie a general election should liecalled for the choice (of clelegates to a popular asseimbly of fle( people in the Philippine lslands.,0ii~hi assenil dv would constitute the lower house of ai legislative body, of which the P'hilippine Commission would be the upper branch. Under this Congressional aiithomity the Philippine government has coiipleted the takinig of ai ceii.iis of the islanids, paid f~or out of Philipjmnio revemiuies. T Ihie ce nis I I data gIceiieralIIv colIlectedi in sutc h work in.the Uiiited States lhas beeii secured 11a(1 atniplified iii the 1Philippine~ ceisiils. kThe, conmpilation oif the returns is iuow ini progress in Washingrton and will proliably be ready forunliblicatioii tlue latter pait of th-is year. T1his c(nsisii will alfford the fir"st coiiplete aiid reliable data relati've to the P~hilippiiie Islands, and will serve ats ai basis for future guidance in mianiy important miatters4 and iuindertakirngs. TiHE PHILIPPINES CUSTOMS TARIFF. The cuustoias tariff aiid r-egu'lations tirst (eiiforced byv the Anierican unuthorities iii the Archipelag-o wvere buisedh upon those of the, Spanish adimiimistration with certaiui chianiges miiade, fromnitime, to timie. it was felt, however, froiii the beginning that they shou~ld 1)0 revised, for, aside fioii substantial ob)jections to the rates of duties iiiposed, there were others due to the, maniier ini wNhich they were expressed and computed, This condition was unsatisfactory hothI to the grovernmiuent and the comimerce oif the islands, and as sooni as the miore pressing, claims of the imisuilar govermmieiit permmitted, arramigemiemuts were made to revise the customs tariff amid regutlations aiid have theni comiformi to the 32 WHAT HAS BEEN )DON( IN Till' PHILIPPIINES. peculiar c(onditiols of tlhe( isltlandl,, tl('il'r:tutll ialld l)otential developIllenlt, tilh revelnues nece('sll i\v for the administration and development thereof. and tle lproprietv oi imlliposiinl the )llurdell of taxatioll on tlhose articl(es test ab ie to hear a. relatively hii'li tariff. while allowing articles of )prime necessity to lenter 1 inder low rIlte. lhle revisiol of thl( tlriti l was comllmlllece( 1tv ) l )otard( of officers appointed for tlhat 111)rpose tt Manila. thell tlurlied over to tile Philippine Commliission. whlose pre' lililnary dr'It ws forwarded to Washing'tonl a l)popportunlity, '1( ive(' to the exporters In(d importers of the United States to express tl(eir oplilli(lls. This privilege wats also exteind(ed to thle ll(l'(erchats all(l (expl)ort(" and impl)orters ill Manlil, in )11blic Il;arill.gs, IWefore the lP'lililp)i, tii: til' was forlmlll enaceted into law. and1 tile views of all w(ere (i\ vil t.l( g('reIaIt t conlsi(deration. l The taritf law was tinally elllctd )!v thl(e lPhililppine go(,Vernmelnt, a1nd suIbse(U ientle IrC(eeiv( d l tlie tl)approval' ()f tli C(te t of tlie United States. Tll(e ra'tt s ill I(ll caste. excep'l i(t o arti(leii f luxuri,,mill as sparkling wines a111(1 inc l chilll. aiite hii(. ArIticl(s o)t lltecessit haive )tenl tlaxed ligiltlv; tllio(e needed ill ti(.e d(evlol)iilent oif atriicultllure andt( for tile iml)provemenlt ()of r()ads:d tanl))'portati()on are also )low. lProllibitive rates ml(ve b}eell wvoi(ied(t, ild tle r)itid pro()gress and develol)ment of tlhe islands have )tlen kept steadiiiily in view, to)getlher vwith the other side (of thle q(t(estiol. tihat tli ilsitlar gl (ver(lllinmet muslst have revellnue folr (..ullt expeleses anlil f'or ni(eded(i impl)rovements. Tl'eh duties, on tlie wlol(e. an,( lovWel' l thie lt allisli tariff ol is t heit o t ai ffii at present ill forcl ill tlhet ' lit(ed States. ''lie plr(sellt taritf' will average about 1'.; pelr (ent ad valo % lret. I'l'e eactmenlit (of Co()ngress ail)ppro)vil( the P1ilippl)ine taritff adopted }bv t(he Philippl)ile g'o(1vernent ltaso provided (for al red(luc(tion of.25 per (.Ilt of the DImgilevy tariff up)oll illiports illto the Unlited States from thli Plilippilles. anld. furlther, tilat a.ll duties collected( ill the United,States on.alticl(,es co. inlg' fromll tl( IlPhiliplines, as well as tonnage dues, shoulld (l e l)eltC(d s ai sep'lrate( ftiul( tI() le aidl inlt() tile Philippine '(reas,-;lrvy f)r thle )enl(efit of the islands: also that tlie Phlilil)pine governIllelit shoulld refundll thlie exp)(t duties imposed ulpon hemp andl other ro(lctts of tllose island.s ill the evelnt tle sallme were exported to the Unite( d State-s. Tli'e e(t'ect of these two pro()visions of law }lts })een that the Philippinle g(ovellrnll(ent lhas e((ll call(ed up)o(n. (luring tile first fifteen nmonths of tl(e op)leration of tlis Ltiw, to refund upoln expl)orts to the [United St(atIs llot(tre tilant, 4( (\.(till4 ill excels of the fiul(d acttcrlig to its c(redit frollm (lduties ilim)osied at 'Inited States ports upon imllorts from the Philippline Isllhands. FOREIGIN O(tMMERCE. (Complete P hilippine traide statistics during Spanish ladmlinistration l'are no()t aivailliltle. (except those for an occattsional e tr otwo. though enllIgh'}l reliabl)e dlata warrant the statemnent that. 'based oi an in annual aver'age valualtinll of 8,35,) 1()(1.)1)( w\olrtli of imports and exports, the Unlite((l Kild oilgdl. tUnited Stat(es. Spaliiil, and China have b)e(en thl (chief betieliciaries of tlhalt tralde ill thl( 1past. e(lljovillg practic(ally SO per cent of the tottl com')illerc.e. While these coillntries conltinllue to hold a larte i(portionll of thi( trade, tlhe lbusiness tral-nsacted since American o(ecupation indicates a wider distrib)ution as well as a relative change inl the amlount credited for recent years. WHAT HAS BEEN DONE IN THE PHILIPPINES. 33 During the five years of American administration the islands' commerce has increased more than 150 per cent, advancing from $25,000,000 in 1899 to $40,350,000 in 1900, to $53,490,000 during the next year, then to $56,000,000 in 1902, and at the close of the year ending June 30, 1903, the commerce had reached a value of more than $66,000,000. In the exports we find a showing that is remarkable, though adverse agricultural conditions have limited development along some lines. With but $12,000,000 worth of products in 1899, the trade has steadily increased each year until in 1903 it amounted to over $33,000,000, or sufficient to bring about a slight balance of trade in favor of the islands. Trade with the United Kingdom, aside from its colonial possessions has, until 1902, ranked first in importance; as a general rule taking about one-third of the total, always receiving more of the iland's products than her exports there would pay for. The United States was second in importance up to the time of the enormous increase in direct shipments of Manila hemp, the legislation passed by Congress on March 8, 1902, enabling this country to take front rank almost immediately. The treasury of the Philippines, however, has suffered at the expense of the American henp interests, and at the close of the last fiscal year we find the amount of duties collected on Philippine products coming to this country and returned to the insular treasury as a separate fund for the benefit of the islands, has far from equaled the export rebate to American shippers. The significance of these facts may be appreciated when it is understood that two-fifths of the Philippine exports consist of hemp, and by reason of the $21,000,000 worth sold last year a balance of trade in favor of the islands is shown for the first time since 1896. Practically two-thirds of this amount came to the United States, which is unparalleled in the history of the trade. Spain's trade prior to the American occupation varied according to the commercial and industrial measures adopted in behalf of the archipelago, and while her imports into the islands have been somewhat regular during the last five years, but little is taken in return, with the exception of leaf tobacco. The Philippine government has made purchases in the United States of supplies and other materials for public improvements and other purposes to a value exceeding $12,000,000 out of the revenues of the islands. These figures are not included in the volume of trade hereinbefore outlined. SOURCES OF REVEN:UE. The Philippine government is authorized by Congress to levy its own taxes and disburse its own revenues, and, with the exception of an appropriation of a $3,000,000 relief fund by Congress, all of the expense of the administration of the government has been met by the revenues of those islands. The municipal corporations, under the direction of the provincial governments, collect and disburse their own revenues, an with the exception of loans made to these provinces by the general Philippine government from time to time, which ultimately are repaid, these S. Doc. 304, 58 ---3 34 WHAT HAS BEEN DONE IN THE PHILIPPINES. sub)overnments are self-supporting and meet all expense of administration. The receipts of the islands may be classified under four headingscustolms internal revenue, postal, and miscellaneous. Customs receipts, from which the greater -part, approximately 80 per cent, of the revenues are derived, include export and import duties, tonnage taxes, storage, wharfage and extra-service charges, immigration and Chinese registration taxes, and all other charges incidental to external trade, including consular fees of collectors of customs who are authorized to perform consular duties in the shipment of merchandise to the United States. All payimnets of internal revenue were originally made to the insular government. They included: Industrial tax. a fixed tariff on all industries, trades, professions, and arts. 'Urbana tax. a percentuml tax on the rental of buildings, now dis-placed i,- land taxes. Cedulas. amounting during the Spanish regime to an onerous poll tax, lbut now modified. in accordance with the wishes of the people, to an official means of identification and issued for a fee sufficient only to cover the cost of issue. Sales of stamps and stamped paper. Fees for registering letters patent. copyrights, and trade-marks, forestry taxes, fees for surveying mining claims, and miscellaneous fees and charges incidental to the foregoing. Act No. 82 of the Philippine Commission, January 31, 1902, defined the sources of revenue for municipalities, with the exception of Manila, as follows: An ad valorem tax on all lands, buildings and improvements, fees for the privilege of fisheries and for the issue of certificates of ownership of large cattle and of transfer of title in the same, rents, profits and tolls from public and quasi-public enterprises, fees for tuition in advanced studies. municipal and trade licenses and fines, and road taxes. Under the provisions of act No. 83, dated February 6, 1901, the 34 Christian provinces may levy, for provincial purposes, a tax not to exceed three-eighths of 1 per cent on realty within the province, and in addition thereto the provinces now collect and retain all fees for the regfistration of land titles. Such taxes and fees are collected by the provincial treasurers and those pertaining to the municipalities alone are turned over by them to the municipal treasurers, together with one-half of a tax on vehicles, and of the taxes hereinbefore described as internal revenue proper. The postal service of the islands is-nearly self-supporting. Its revenues are derived from the sale of postage stamps, money-order fees, lock-box rents, second-class mail matter, and other miscellaneous postal charges. The miscellaneous receipts of the islands are derived principally from judicial and notarial fines and fees, clearance and harbor fees, and government telegraph receipts. Under 'his heading are also included all other receipts of the insular government not properly classified under the three preceding headings. WVVHAT HAS BEEN DONE TN THE PHILIPPINES. 3 Fiscal year ended June 30 -1999. 1900. 1901. 1902. 1903. j Ttl Customs. 0...... 3,097,0864. 1505,739, 297.408$9, 102,754. 679,S,550, 758.49 89,686, 533. 29 18510,208.00 Postal 1....... 42,954.87 104,282.54 122,916.95- 1377,911.99, 146,059.44' 554,525.67 Internal........240, 754.00 501,093.18 9063,400.47 225,505.09~ 222,980:401 2,217,623.14 Provincial.......I.................. 1,993,270.971 2,539,6092.4 4,552,872.91 City of M.Nanila..........................1,199,590.011 1,561 473 61 2,761,063.62 Miscellaneous.....127,109.81 357ot.1. 491, 217. 00 524,482.97; 1,1498,87705 2,049,641.44 Total.......3.508,002.83 6,7b3,o527.-310,6861.810.97 12,631,419.52'115,320,125.731 48,915,944.79 Csustoms.........28,817.90 109 194.09~ '067 440.00t 490,120.40, 5o87142.89' 1,473,728.16 Postal.......... 30,410. 75 89 149.51: too 347. 771 175, 156. 57 22613..3 25 670 794.93 Provincial............................. 746,596.80 1,16.3,585.011 1,910,171.81. Loans assd refunds to provinces.2...... 24,479.25! 1, 760,o563 87! 2,0O5o,043. 22 City....of..Manila....1,744,544.,56; 1,9813 118. 10i 3,ooo5, 4612 66 tither expenditures..., 2,350,7179.971 4,569,33.14 5o u6,59971.79 6.564,426.64 9,711 36327 27,812,875s 82 Total........2,3760,09.02. 47.58,67.75 6,o070,3766.4410,045,120.3214,262,.03.4 37,51,070,600 NOTEo-SlIpplies imported by the United States Government feer the usc of the Army, Navy, and Slarine-Hospital Service, os~by'the uinsular government for 1ts usc or that of its sssbordinate branches, are not subject to customs duiy, asid sorts importations are thcerefore sot shown by the ahove fable. AIDS TO NAVIGATION-. Harbor insprovements at the principal port, Manila, are now in course of construction, which when completed will cost between $5,000,000 and $6,.000,000, and for which $2,000,000 have already been appropriated. This harbor will be sufficiently large to accommodate t he commerce of that port and~permit vessels to get behind a breakwater and alongside docks, and thereby be able to dischargecarg in all seasons without lighterage. In former times during te typhoon and southwest monsoon seasons ships were oftentimes lying in Manila Bay for a week before they could even comimence to unload, thereby running up demurrage. The direct effect of this harbor construction will be immediately and materially to reduce the rates to and from that port, which is a matter of the greatest importance to the Philippines. ThePhilippine government has alsoa apr iated$350,000 for harbor improvements at Cebu and '$150,000 for tehrbor of Iloilo. It is not supposed, however, that these sums will be adequate to complete the improvements contemp~lated. With the aid of officers of the United States Coast and Geodetic Survey, detailed to the Philippine government, and with two'Survey vessels and other employees, a number of surveys of the more important harbors and gulf s have been completed. A continuous topographic survey, with triangulations, has been carried on along the northern coast of Luzon. A triangulation has been carried on across Manila Bay, locating prominent points about the bay, the islands at the entrance, and hills and mountains in the neighborhood. The wo-rk of determining the latitudes and longitudes of important base points is now in progress. Magnetic observations at twelve p laces have been made to supply needed informat ion for charts. Tial observations have al-so'been taken at a number of statiobs, and sailing directions and notices to mariners have been prepared, printed, and distributed from time to time. 'The contributions of the Coast and 3 6 WHAT HAS BEEN DONE IN THE PHILIPPINES. Geodetic Slurve are indispensalie to safety in navigation. This work a.-(well as all other pul},lic wvork is paid for out of Philippine revenues. The Spanish (;rovernment built light-houses of strong and lasting nlmaterial. HIowe\-ver. mllanv extelnsive repairs and imipro-vements upon tliese strticturie, have been made, and the construction of several other light-hosles. w here they are imperatively needed. is in progress. Many ne(w minor lighlts have been set up. aIn buoys and beacons locited. whelri necessary. 'lhe lirhlt-house service is a branch of the coast-g(riard service, whicll fact coinduces to keep the service at a high degree of efficiencv through the aid of the coast-guard vessels. ('OAST-,.;UARI) SERVICE. The (loat-guard,stervic.e mainitaieid il l the insular government, is used( ill (pRg the liails, to (ec(ur11 fre(lueInlt and stated deliveries, in tlh( tlransportationl of goverclnmnl t suipplies. in the movemlent of constlabular forces. whein nel( essarL, andI t) pr)(vent smuggling. Officials of the govr(ielll t tlrtveling ()i ofticial business are furnished transportatioii on tlih(-, vNessels. lThe.ervice is performed at this time by 17 ve\s(sel. 1.', of whlich are nelw. and were built and paid for out of fli(lds of the lPhilippinle governmenlt. i lThe( service is ildispensal)le. aind lia proved to l)w a w ise investnient. hoth from a standpoint of (eco(nonlly:l andt etflic it adtmni itration. land has b}een of t'rreat assistance in btrill)ingi together the lnhal)iants and interests of. te manny differelt islnll(-. IiEAiLTir ANv) SAN'ITATIi)N. Thler is ta loardl of health ill the Philippine Islands, consisting of a conillli —iol(r of liptliIc health I. a nlitar. engineer, a chief health insll'ector. a secretarv. anild lan ex officio stulerintendent of government laloiratorie,. Tle chief funclltionls of this board. as set forth in the or(dr (crealtin( tlie sname. are to make inqluiry and investigation into ttli cati(e an(lId llIeali, of tpreventing diseases, especially epidemic discaccss. incllldin' tlhoe of doniestic animlals, to disseminate useful inforltio ation tili() these aiid other kindred subjects, and to dlaft and r'ecoiminnd tto thlie legislative lod}) of tlhe islaillds suitable sanitary laws, inciiluding law, g o\-(cringl the admtittance of persons to the practice of Illedicinl,. S111rge'ry, pi)arinacv, dentisti'ry, and allied professions. Based it(lpon, ( >ii reconiienildationsl there have been enacted laws ri'gulatinr tlh pracItice of medicine. slurgery. piharnmacy, dentistry, and veterilllarv - ldi'inci, surgeryi. andil dentistriv in the Philippine Islands. 'I' lle Iowe\rs and luthllrity of tl (ri leneral,board of health are exercised throughll thle ),prvillnial })tardi of health. the preside'nt of w-hich must be a d(ulv (qlI.ified phllsician: and on(e of the other members is the provinlcial siul)prvisor who i, reiire(d t)y law to be a civil engineer. There alr also nllintaineld Imunicipal )boards of health, subordinate to the provincial boi ards. The inlsilar lboard of (health acts Its the health hoard of the citv of Manli. T' re is malintained a civil hospital for furnishing adequate medical attllldanlce for c(ivil officers, employees. acn members of their families, with a well-qiualified staff of physicians. nurses, and hospital stewards. EI1lt'er1en(lv cas('-s of whalt(ver sort are received at the hospital and given free treatillent. and \when the demands upon it permit, civilians WHAT HAS BEEN DONE IN THE PHILIPPINES. 37 other than officers or employees of the government may be received upon the payment of prescribed fees. There is also maintained, under one management, a general hospital known as the San Lazaro Hospital, cromprising the following departments: Leper, woman's, plague. smallpox, cholera, detention, and a steam disinfecting plant, with a staff of physicians, trained nurses, and other attendants. There has been constructed by the Americans a morgue of modern construction, and a new crematory is now under way which will adjoin the morgue. A free dispensary is maintained, together with modern ambulance, dead wagon, and disinfecting service. A steady improvement in the general health of Manila and of the different provinces in the islands has been brought about in the face of a practically unanimous opposition on the part of the native population of the city, which is due to their opposition to the restrictions imposed upon them by the sanitary regulations, the necessity for which it is at first hard for them to understand. Smallpox has ceased to be an important factor in the death rate, due to compulsory vaccination. A serum laboratory for the manufacture of virus is maintained, the quality of which is shown to be excellent. I)uring the past year over one-seventh of the total population of the islands has been vaccinated. It is proposed to continue this work until the entire population of the islands is protected against smallpox, which was formerly the great scourge of the Archipelago. At the present rate of progress the day is not far distant when this result will have been attained. During 1902 the Philippine Islands were visited by an epidemic of cholera. The prompt and energetic work of the board of health in establishing emergency hospitals, detention camps, and quarantine regulations resulted in practically stamping out this epidemic within less than a year, although in that time it had spread to widely scattered points throughout the Archipelago, and with great mortality. Many of the outside towns were without physicians or other persons capable of recognizing cholera. The board of health, however, continued its persistent attack and the epidemic was finally wiped out. The magnitude of the operations during this period is shown by the fact that the expenditures of the board of health were considerably in excess of 1,000,000 pesos, and has demonstrated that the board of health is not only abje to cope with the difficulties which constantly confront it, but can and does successfully meet great emergencies. Quarantine service.-An efficient quarantine service is maintained at all entry ports in the Philippine Islands under the direction of officers of the United States Pubfic Health and Marine-Hospital Service, detailed to the Philippine government, and whose salaries and all other expenses of administration are paid out of Philippine funds. An effective quarantine service was of the greatest importance to the islands, which were constantly menaced by the danger of infection from the breeding grounds of disease afforded by the large neighboring centers of population in China. There has been constructed at the mouth of Manila Bay one of the most modern and best-equipped quarantine stations. The plant has sufficient capacity to allow the disinfecting of 150 passengers and their baggage every hour. Floating disinfecting plants are maintained at other ports of entry. 38 WHAT HAS 1BEEIN DONE IN THE PHILIPPINES. At the port of Manila alone during 1!903. 5.861 vessels were inspected b- tlhe lquarattine service. 355 of which were placed in quarantine. BilIls of health were issued to 4.T27 vessels. Aside from the crelws inspected. over lOs.).171 passengers were inspected. 4.647 of wholl wlere vaccinated Itefore beingr )permitted to land. A quarantine station for li\e stock has b}een established in Manila, aitd it is proposedt to (stablish similar stations at the earliest practic(tle lmoment for tlie other ports of entry in the islands. Bjn,f,,/ f. —O-e of the lirst thiings to which the Philippine governnlent directed its atteiitioni wa aI location in the highlands of the Philippinles for the estlablishllent of a recuperative station. The Spanlish rl(giillle had alrei(ady iven atttention to this sulject and had d(iterminied l)( poni tlie prlo\inc(c of IBeiguet. the capital of which provinie is abotlut lv:12 liles f rom Miianila. in a straight line. A committee "cl((ected( fromll tih persioninel of the Commission was appointed to proceed. to the proviine of Being(uet to investigate the conditions existing there. 'Thelv folundil,a111 tensiive highland region. peolled hv a friedlyv. harillildelss tribe. s ith pure. cool. invigorating' air and abundant wlater. free froml tropical veCetation, aff)rding' pasturage in plenty, alild:sited to the productioln of m111nv fruits. vegetables. and grains of the temllperatte zone. A strikingt feature of the temperature in this pro-vince is its uniformit — tl( ieean temiperatu re covering an extended period of ob),ervation Iwas,66..c; e deg(e(es. 'Ihe Philippine governnient. re'alizinll the )beiieticial results which would follow the developnielit of this regioln, estaillishedl there ( sanitarium. coniducted b) a (corl)S of comiipetent p)lhyic.ialls tilld lIII'esC fo) the use of its employees. Practi a1l experiecle with pati(ents s(ent to the sanitarium during the past ea. lias confirnled tihe c(i lsiost previously reached, that substuatiallk the samle rei.llt. are olbtained which would come from a transfer foV the samu( ie leth of time to sommme temperate region in the Unlited States. This mll(oltainouls rie(ion cal })e entered over two routes, the present route beilig }\- stealler t)o tSaln Fernatndo on the east coast of Luzon, and thell 1)- lhorseba ck ovx (r ai trail which has been greatly improved bl) the Philippine goll (verlmlent. hie second and ultimate route will he over the existilng liine of thle Manilaand Dtagupan Railroad, from the termlintus of which to lBalluio is a distance of 55 miles. A well-built j hi(llgwav i. no w liearinlo coipletion between these two points, so con'.strlucted tlhat if necessiar riails l! )e laid for an electtric road. Duringl the pastf two lieatedl.ea'solls the principal officials of the general goverinmientl have ilnremoved their oifices to this region during the heated terim. This hilihwIvy w ill l)rig'i within ea.s and comfortable reach of Manila a climate nIlt lunlike tlhat of the Adirondacks, or of Wyoming in summ11er. andtl will greatly a(dd to the possibility of living in Manila for ten months of tlie year without risk. It will take away the necessity for long vacations spent iln lAmerica: will reduce the number who go home invalided. and will le a saving to the insular government of many thousands of dollars a year. It will lengthen the period during which the American soldiers who are stationed there may remain without injuir to their health. and will thus reduce largel-v the expense of transportation of troops between the islands anc the United States. Filipinos of the wealthier class frequently visit Jlapan or China for' the purpose of recuperati ngr al(nd peo(ple of this class are much inter WHAT HAS BEEN DONE IN THE PHILIPPINES. 39 ested in the establishment of Baguio as a summer capital; and when the road is completed a town will spring up, made up of comfortable residences, an extensive arnmy post, and sanitariums for the relief of persons suffering from diseases prevalent in the lowlands. MIANILA CITY;(GOVERNMSENT. Manila, the seat of the central government of the' Philippine Islands and the political and commercial center. constitutes a district which in its government is somewhat similar to that of the District of Columbia. Since American occupation, the grade of the principal streets has been elevated to prevent submersion caused by torrential rains, and they have been paved with granite blocks. woo(i blocks. and macadam. lThe citx is divided into two sections by the Pasig River. - The bridges constructed during the Spanish rinie have }een improved, and to meet the deimands a niodern douhle bri'dge has h}een thrown across the river byi the Americans. A general scheme of street extension. including the broadening' of the ilarrow Spanish streets, has been enteredi upon. The Imeans of water supply' provided by the Spaniards has been greatly improv-ed and peliininarv work already entered upon looking to the securing of miiore and purer water from the mountaii range back of 'Manila. The citv of Mlanila while under Spanish sovereignty was without any sewer system whatever. Surveys have already been Illade and wnrk begun uponl the sewer systeiml to cost several'hundred thousands of dollars. The old trading marts of Spanish days, consisting of collections of native shacks, have been displaced throughout the city by modern market buildings floored with concrete. Owing to its peculiar location and the great area covered bv the city, the means of transportation has been one of the ilost serious problems of ilunicipal administration, and the want of adequate means of transportation has retarded the growth of the cit- and tended to congest the population. Aftel comilpetitive bidding, t franchise c.zas awarded to an American corporation for an electric railxway and an electric light, heat, and power system in the city of Mlanila. This electric railwav of 45 miles and of modern construction is nearino comlpletion. The partially organized, insufficiently equipped, poorly housed fire departmient maintained by the Spanish has been transformed into a first-class department, with American constructed steam engines and chemical engines, with hook and ladder companiies and other up-to-date apparatus, and the Gamewell fire-alarm system has been installed. The police department consists of a well-uniformed and welldisciplined force of Americans and Filipinos, and has proven most effective. The public parks have been improved and enlarged, and the intent of the Spanish Government of setting aside a plot of land for a botanical garden has been carried out. PHILIPPINE BONDED INDEBTEDNESS. The funded debt of the Philippine Islands imposed by the American Government has been smlall. So far frolll imlposing a bIurden on:he resources of thll islllds. it },!borrowinirs hae\ thlus far' ti ll. ac.tctual 40 WHAT HAS IBEEN DONE IN THE PHILIPPINES. source of profit to:the Philippine treasury. The debt of the islands under SpaniSh authority. amounting to about?40.0(00.()0)0, wa-s-gotten rid of )v the transfer of sovereignty andi the pantyent by the United States of T;. i. 161t). The present interest-bearing obligations of the Philippine governnllent are as follows: )One-ear certiticates of inlebte(tness, under authority of the coinage act $3, 000, 000 Stc,-w n-l stc-rit-s of sl-(-l- c-rItitic ate-s..-............... -....... ---. --- —-.-. 3,000, 000 Bnols i for takin up te!! lands of the friars.........-0................ 7, 0, 000 A thlird.eerice( of one-year ceritiicates payingl 4 per cent has just b)eenl awarlded at a p'lemilll of 1.slI per cent, or $35.430; but as they take the 1la)cp of the first issue which is about maturing, they do not add to the total delt or the pernianelnt interest charge. lThe interest rate upoi each' of these classes of oblications is nominomiinallly 4 per cenet. representiing l: ananuall charge of S520,000 pel vtol. but actually the net cost to the treasury has thus far been less tthan nothingr. The followilng t:ble shows the amount paid in interest frolm the itnsular treastirv and the amIount received in premiuns upon the sale of the.securities: Nomninal Priun (1111111 i11- received. Fir-t i>.-ui { It- ttr rtii c tc-.. i................................... $12(St t $75,390.r(.,( ia l i uiic-l'.ciif. tc i('..t..00............................... 120, 0 67,200 Frimt-' l bindl Il -. ~7.i..H0 11.......^........................................ 2,80.00 530,370 Ti.t.:til. l......................................... 520,000. 672, 960 O)vioulvy tihe pretmiium on the friar's land bonds should be distributed over tlie tien vears within which they Imay be redeemed by the government. l inste;ad of put to the credit of the treasury in a single year. If thi.s distributioni is made. it will be found that the netannual charge upon the revenueo fol these bonds is reduced by the premium from 4 per cent to about 3.1 per cent. This rate of net interest charge of 7.,(000,001,. representing the principal of the bonds, involves an annual expenditlure of $2170(1(00. The net interest charges upon the other two issues, after deducting the plrenllmiums. are $97,410, making the net annual interest charges. if these conditions should continue, 3314,410. This charge would rise to $354,37.0 annually if the rate of premium on the last sale of one-year certificates instead of that first realized were taken as the future rate. These figures are subject to a still further deduction by reason of the interest whichl the Philippine government has received upon the funds kept in banks and trust companies pending their use. Thus far, the aniounts received for interest within a single year have been St(l, 75.09. of which 543.223.40 were earned by the proceeds of the one-year certiftiates. and S5i),561.69 upon the proceeds of the friars' land btonds. In the case of S3,0t(>t<,(0s~ of the one-year ce'tificates, which sum is to constitute a perlmanent fund to maintain the parity of the currency, it ima fairly be assumlned that the amount will hereafter remain siubstantti:lls unimi)aired througlhout the year and will draw interest at the rate of 3 per cenlt. This would atlount to $90,000 per year. Hence, WHAT HAS BEEN DONE IN THE PHILIPPINES. 41 the permanent interest account of the Philippine gove'r'nment upon its present obligations would stand thus: GROSS EXPENI)ITIRES. Interest on $6,000,000 one-vear certificates, at 4 per cent........-... —.. 240. 000 Interest on $7,0000.00 of bonds, at 4 per cent............. 2S 000 520. 000 DEDI)CTIONS. Average premiumns on sale of one-year certificates-............... 3142, 590 Average annual premium on ten-year bonds -.-. —. --..... —.- c ()3,000 Interest on gold-reserve funds -..-....- --.............-...90, 000 295, 590 Net annual charge upon the Philippine revenues..-.... ----.-. 224,410 The customs, receipts, which constitute the principal revenue of the islands. are about )10,000(.000. The net burden, therefore, for interest on the existing delt, is $224,410. or at the rate of a little less than 2i per cent of the customs receipts. There is probably no civilized state in the world to-day-unless it is the little principality of Monaco, whose revenue is derived from the gaming table-which is not comrpelled to devote a larger part of its revenues than 2i per cent to the interest on its public debt. The present debt of the Philippine Islands being I$5.)00,000, amounts to about $1.62 per capita for a population of 8,000.000, and the annual net interest charge to less than four cents per capita. The United States has a per capita debt of at least $12 and annual charges of more than 3o cents. Great Britain has a debt in excess of $90 per capita and interest charges of $3. France has a debt of nearly $150 for each of her people and an annual interest burden of $6. It is true that these are richer countries than the Philippines and that their gross revenue is larger. The true test of interest burdens should perhaps be the ratio which they bear to gross revenue. But - here also the test is in favor of our island dependencies. In France 30 per cent of the revenue goes to meet the charges on the debt; in Great Britain 19 per cent; even in the United States about 5 per cent, without counting State and local indebtedness. In the Philippines the proportion is about a2 per cent. Tried by every test, therefore. the burden on the people of the Philippines for. their bonded debt is among the lightest imposed by modern states, and they are well able to make a- further appropriation from revenue to provide for railways and other public improvements. There'are few, if any, civilized States, moreover, which have so much to show as the Philippines for the debt which they have incurred. A part represents a substantial asset in gold in the custody of banks and trust companies in New York. The other part represents the acquisition of the best lands in the Philippine Islands, which the Government has acquired from the friars in order to give them back to their natural cultivators, the people of tle islands. Both of these debts will be subject to reduction in the ordinary course of events without levying taxes or providing in any other manner for a sinking fund. In the case of the $6,000,000, which has been appropriated temporarily to meet the expenses of inaugurating the new coinage system, half of this amount will be no longer necc-asary when the new system is com 42 WHAT HAS BEEN DONE IN THE PHILIPPINES. pleted. The money was masde av~ailable simply for the purpose of coverinig the eapital tied up in bullion in transit f roin the mines to the' completed coin. When the coinacge iscomiplete and the balance is cast upl. it will no longer he necessaiy to keep any- of the assets of the islands inl this formi. This obligation of $3,000,0004 will disappear, b~ecauise it is represented to-day hy sub tantial assets -in the formi of 1101I-ilthe nite litteS b olo aVting coiiiage, oi- funds onl deposit iii the nite Esttesfoi' ~uqiiriuig, liillioii. Not ouls~ wsill this debt, lie wiped out, but by the process of the coinage it.self a profit has already accrued to the Philippine treas;ury under the COmnla0r aCt oiiouniting. to $1.238,714. This fund, if cuiistitdted itito a SinkinO, funld. would pay the interest onl a gold reserve of 83 4000 (04( practically iln perpetuiity. If this suml is considered in coiiiiectionl w iii the ifiterest payiiicnts to 1)0 niade and the other premiums whoich iiav uucerned. it will appear that the0 treaSUry of the Philippine Islands is to day at least 1.4.05better off than if no debt had been nicorred. r ils seemling" paramlox arises front two elements-the fact that thle (Governmient, in coininig bullion into silver coins, has oiven tlieni a tIold valoe somewhat highier thaii thih bullion they contain, repres~enting' a seigniiorage profit of S`1.23,8.714: and the further fact that the( Goeumetrciel ttrs nisdosits in 'New York wIVUch were for a tunle in excess of the net, interest paid upon the securities; issu41ed. afie r deduicting the prentiom received at their sale. In Other words, the tirst issue of one-year certificates, sold at a pr-ice of 12.51. aking- the net interest to the Philippine goverunient 1.487, and upon the n ioney titus received interest was paid by t rl Guaranty TrusL,'t Compa),'lny at the tate Of 3-k per csent. Could this ratio of profit have beeni alplliedh to the whole of that loan foi the entiie yeaT, the governnment wouild have received inl interest fronil the trust company 14454.to be adldedl to time sono of 8,_'75,390, wshich wsas received fin preminimm titaking- a total of 818,IO3944, while actual disbur eiients forinterest upon the luan wvere 8120.000. There was thus a possible profit to the Philippine govermunent, in entering the loan maiket in this particular case of 86S'0394). In the case of the friars' lands also the substantial assets which have been ob~tained will reduce the debt and its charges as raipidly as the lands can be disposed of and the proceeds cov ered into the treasurv. Secretary Taft has estiiiiated that all but $I 000,0044 of the amiount paid will thus hbe recovered. Taking t he moie conservative estimate of 82,404444 4444 as lost4 to the treasury in the operation, there will still be within a terim of years a recovery of 85,0(0,.000, upon wchich the interest ch'rges sav ed at 3.1 per cent will be 8155,000. With time absorption of the comnage fuLnd, the net debt of the islands will then stanid at $3,04444 4404 for the currency reserve fund, upon which time interest wxill 1)0 iioie than inet from-the seigniorage profits onl coinagre, and $2 4400 409 tot the friars' lands, upon which the net interest charges will be less than 1 cent per capita. a I II P, I r:I.