dealing in general with the subject of insular receipts are combined with the tables of the auditor's office dealing in general with the subject of insular disbursements in a consolidated financial exhibit. While I am not unmindful of your suggestion that annual reports should not contain biographical or eulogistic matter relating to the past or present personnel, I desire to express here my full appreciation of the willing and unstinted cooperation of the entire personnel of this department, who have, as a whole, maintained their usual standard of efficiency in spite of the fact that, in many instances, their salaries have been reduced and their labors increased as the result of the measures of retrenchment which the financial conditions in Porto Rico for the past two years have made absolutely imperative. I would especially express my appreciation of the long years of faithful service rendered by Mr. B. R. Dix, whose resignation from the position of assistant treasurer became effective June 30, and whose connections with this department dates from the American occupation. The position vacated by Mr. Dix has been filled by Mr. Charles F. Hill, formerly paymaster of Porto Rico, who has also been in the service of this department 10 years and whose experience renders him peculiarly qualified to fill the position. Respectfully submitted. ALLAN H. RICHARDSON, San Juan, Porto Rico. The GOVERNOR OF PORTO RICO, The expenses incurred by this division for personnel, material and traveling expenses are charged to the respective municipalities for which the work is done, and the same are reimbursed from time to time as the municipalities settle their accounts. This system of doing business entails a great deal of bookkeeping which would be unnecessary if all the force of the division was composed of budgetary employees provided for in the same manner as the other divisions of the department. Although involving a repetition, it is well to state, in order to make matters perfectly clear, that this division has charge of designing public works for municipalities, except buildings and municipal roads, when requested by the municipalities through municipal ordinances which must specifically state that all expenses incurred in connection with such work will be reimbursed to the department of the interior. The construction of all work, whether designed in this division or not, undertaken by the municipalities under municipal bond issues or insular advances, is supervised by this division. The following summaries show the amount, condition, and kind of work done by the division of municipal engineering: (a) Construction begun during the fiscal year 1913-14 and completed during the present fiscal year 1914-15: Toa Baja waterworks.... Total...... (b) Construction begun and completed during the present fiscal year 1914–15: Total...... (c) Construction partially completed during the present fiscal year: Total amount of construction done during the fiscal year ended June 30, 1915... 29, 861.88 59, 361. 88 (d) Construction begun during the present fiscal year, 1914–15 and still under way: Juan, ex officio members, and three other persons appointed by the governor with the advice and consent of the executive council. Although the commissioner of the interior is also exofficio chairman of this board, he has neither more power nor greater duties than the other four members. It would seem, then, that this legislation abridges the powers and duties committed to the commissioner of the interior by the organic act, which contains the mandate that this official of the government shall superintend all works of a public nature. There is also a division of property and accounts, not originally established, which has charge of all the accounting and disbursements required by the vast deal of business which is being done by this office. The changes in organization above described, rendered necessary by the rapid development of the various governmental activities, have not been accompanied by corresponding amendments to the law to suit new conditions, so that there is at present a portion of statutory provisions which, although in force, can not in practice be applied. For instance, section 411 of the Revised Statutes of 1902 provides as follows: "Plans for new buildings. That all plans for the construction or extension of any public building, whenever the estimated cost of the proposed work shall exceed $100,000, shall be obtained in public competition, and for this purpose the commissioner of the interior shall advertise it in English and Spanish in two newspapers of general circulation published in different cities of the island for a period of not less than 30 days, provided, however, that the people of Porto Rico shall in no case pay for the project chosen a sum greater than 5 per cent of the total estimated cost of the building. The above provisions of the law were intended to prevent the expenditures necessary to keep a highly trained architectural office, but the limitation upon the highest prize in a contest is such that the statute affords no attraction to architects of high grade of ability, because the compensation is too small. It is my understanding that the attempts to apply this law were futile, and, therefore, the resulting need of establishing the present division of public buildings under a chief of division who is an architect, and making a specialty of such work, which, to judge from the large amount of money spent on it, has attained to a very great importance. This is a single instance of many that could be cited where the law governing the department of the interior has become either obsolete or inapplicable, and I therefore recommend a revision of such legislation so that it will conform to present conditions and facts. But little work of new construction was done during the first half of the fiscal year. The general suspension of work ordered by the governor sometime during the spring of 1914 because of the precarious condition of insular finances was still in force, and it was not until late in the winter, when the last sale of bonds was effected, that general activity was resumed, and not until the latter part of January was it possible to make a reorganization of working forces and finish all preparatory work (projects) necessary to ask for bids and undertake construction by contract. It can therefore be said that with the exception of the usual work of maintenance of public roads, which went on in the usual manner, and a small amount of construction of new roads and the reconstruction of a bridge over the river at Yauco city which was proceeded with from the beginning of the fiscal year, the greater part of the work of new construction, especially in public buildings and municipal improvements, has been done during the six months elapsed from January 1 to June 30. The following is a detailed though brief discussion of the activities of the various bureaus and divisions which constitute this department. MUNICIPAL IMPROVEMENTS. Under this head is placed the work done by this office for the municipalities and usually paid out of the proceeds of loans or advance of funds made by the insular government to the various municipal units. It includes generally the construction of waterworks, sewers, and other municipal improvements, exclusive, however, of municipal and school buildings, which work is handled by the division of public buildings, and the construction and repairing of municipal roads, which work is handled by the bureau of public works. The municipal improvements are under the charge of the division of municipal engineering, the expenses of which are met from the sum of $20,000 appropriated by an act of the legislature entitled "An act making appropriation for the study of municipal works and for carrying out the same," approved March 11, 1913, with the exception of the salary of the engineer, chief of the division, who is a regular budgetary employee of the government. The expenses incurred by this division for personnel, material and traveling expenses are charged to the respective municipalities for which the work is done, and the same are reimbursed from time to time as the municipalities settle their accounts. This system of doing business entails a great deal of bookkeeping which would be unnecessary if all the force of the division was composed of budgetary employees provided for in the same manner as the other divisions of the department. Although involving a repetition, it is well to state, in order to make matters perfectly clear, that this division has charge of designing public works for municipalities, except buildings and municipal roads, when requested by the municipalities through municipal ordinances which must specifically state that all expenses incurred in connection with such work will be reimbursed to the department of the interior. The construction of all work, whether designed in this division or not, undertaken by the municipalities under municipal bond issues or insular advances, is supervised by this division. The following summaries show the amount, condition, and kind of work done by the division of municipal engineering: (a) Construction begun during the fiscal year 1913-14 and completed during the present fiscal year 1914-15: Toa Baja waterworks.... Total..... (b) Construction begun and completed during the present fiscal year 1914–15: $3,000.00 6,000.00 9,000.00 (c) Construction partially completed during the present fiscal year: Total amount of construction done during the fiscal year ended June 30, 1915.. 29, 861.88 59, 361. 88 (d) Construction begun during the present fiscal year, 1914–15 and still under way: |