I


REPORT
JUN 11506
TO THE
Twenty-seventh General Assembly
OF THE
INVESTIGATING COMMITTEE,
Appointed by the Twenty-sixth General Assembly.
RO
PRINTED BY ORDER OF THE LEGISLATURE.
DES MOINES:

F. R. CONAWAY, STATE PRINTER.
1898.
REPORT
TO THE
Twenty-seventh General Assembly
OF THE
INVESTIGATING COMMITTEE,
Appointed by the Twenty-sixth General Assembly.
PRINTED BY ORDER OF THE LEGISLATURE.
DES MOINES:
F. R. CONAWAY, STATE PRINTER.
1898.
REPORT OF COMMITTEE.
To the Twenty-seventh General Assembly:
The committee appointed by joint resolution No. 3, of the special session
of the Twenty-sixth General Assembly, to investigate the reports of trustees,
regents, commissioners, and officers of state institutions and the books and
records of such institutions, begs leave to report as follows:
The said resolution provided that the committee should inquire:
First.-Whether the persons holding positions of regents, trustees, or
commissioners have faithfully accounted for all moneys of the state which
have been drawn from the state treasurer, or have come into their hands
otherwise, and whether the moneys drawn from the state treasury have
been expended in accordance with law.
Second. Whether such persons have drawn money for services, per diem,
mileage or expenses, or otherwise not authorized by law, or have author-
ized expenditures without authority of law.
Third.—As to the manner in which all contracts, including those for the
purchase of supplies, have been let, and to ascertain whether or not the
matters in charge of such officials are conducted in an economical and busi-
ness-like manner.
Fourth.-Whether the products of the institutions which are owned by
the state are purchased, used, or consumed by the other state institutions
and if not, the reason for such discrimination against such products.
Fifth.-Whether the number of employes in the various state institution
is greater than is necessary for the proper conduct of its affairs, and whether
the salary paid to such employes is greater or less than is paid for like serv-
ices in private institutions of a similar character.
The period covered by the investigation extends from July 1, 1893, to
January 1, 1897. The resolution directed the committee to report to the
Twenty-seventh General Assembly the result of such investigation with
the testimony so taken, and to recommend if any change should be adopted
in the government or management of such institutions.
After the appointment of this committee as provided in the resolution,
it organized by electing Mr. Healy chairman, and Mr. Merriam secretary
Mr. L. A. Wilkinson of Des Moines was appointed accountant at a salary of
$5 per day, and Mr. C. Hart of Afton was appointed stenographer at a salary
of $2 per day. In a few weeks Mr. Hart resigned, and the committee deter
mined that Mr. Wilkinson should perform the services of stenographer
and accountant at the compensation of $5 per day.
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As will be seen by the authority given the committee, the duties imposed
were of a general and elastic character. The committee determined that
it would be quite impossible to make an investigation, in the time limited,
into the conduct of all state institutions, which investigation would include
every item of expenditure.
The inquiry which has been made by the committee refers more to the
methods, practices and systems under which the business is transacted and
expenditures made, than to a specific inquiry into the details, or to tracing
through the books and records of such institutions every item of receipt or
expenditure.
We found that no two institutions have the same methods in vogue as to
the manner in which expenditures are made, or in which their records are
kept, and this tended to largely increase the labors of the committee, and
to prevent that satisfactory inquiry which the committee would have
desired.
We visited all the state institutions referred to hereinafter in this
report, and examined under oath such officers and trustees as we thought
proper under the circumstances developed at each institution.
The evidence was taken by the stenographer, and the shorthand notes
of the investigation made at the Insane Hospital at Independence, the pen-
itentiaries at Fort Madison and Anamosa, the Soldiers' home and the State
university have been transcribed, and a transcript is now on file in the
office of the secretary of state. Owing to the limited time, and the terms
of the resolution the committee was unable to procure a transcript of the
shorthand notes of the inquires at the other institutions in time to file
with this report, but the shorthand notes of the investigation at such insti-
tutions are likewise on file in the office of the secretary of state. Should
the legislature deem it proper to have the evidence transcribed, a tran-
script can be readily furnished. Such transcript will show the manner in
which the business of the institutions visited is conducted.
Before referring to the several institutions, it is but proper to say that
the committee do not purpose to criticise any person, or the officers of any
particular institution, unless a special reference is made to such person or
officer. Much of the criticism which the committee may make is directed
to the system under which the institutions have been permitted to conduct
their business, and to the loose laws making appropriations, and the want
of uniformity in the general statutes.
The different institutions of Iowa may be properly classed a charitable,
penal, and educational, and we will deal with them in this order.
The insane hospitals undoubtedly are the most important of the chari-
table institutions; this arises from the fact that that they contain the largest
number of inmates, and the state expends a larger amount of money for the
care of the insane than for any other individual charity.
INSANE HOSPITAL AT INDEPENDENCE.
The hospital at Independence was the first visited by the committee.
We found that it contained about 986 patients, and that in addition to the
officers and medical staff there were 176 employes; that the pay roll of
employes was about $40,000 annually; that about $300,000 are appropriated
biennially for the support of this hospital.
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An examination into the report of the trustees and the charges which
they made for per diem and expenses developed that the trustees at this
hospital have observed the limitation of the statute and have made no
excessive charges. One of the trustees was sent, by the board, to Ohio to
contract for eighty acres of land, which the state purchased, and his
expenses were paid out of the general support fund.
Another trustee accompanied the superintendent on a trip to several
places in the eastern states for the purpose of inquiring into the proper
manner to construct an industrial building, for which the legislature appro-
priated $5,000. The expenses of this trip of the superintendent and trustee
exceeded $200.
The superintendent has also been authorized to attend annual conven-
tions of the superintendents of the United States at the expense of the state,
which expenses have averaged about $125 per annum.
There is no specific authority in the law for this expenditure, and justi-
fication therefor is found in the custom prevailing in other states and at
other hospitals in this state.
The committee is of the opinion that such expenditures in the absence
of authority in the statute should not be made, conceding, however, that it
is very easy to justify the same on the ground of the indirect benefit result-
ing to the state.
We received from the state auditor an itemized list of all warrants issued
to this hospital during the period covered by the resolution and find that
the books of the institution show the receipt of the moneys charged to it by
the state auditor.
A like list was secured for all other institutions of the state, and it is but
proper to say that we found no discrepancy between the warrants issued by
the state auditor and the books of the state institutions except in one
instance hereafter referred to.
Under the law, the steward of this hospital is vested with authority to
make all purchases for the institution. We find that he was also given author-
ity to draw moneys from the hospital treasurer upon his check, and that
more than one-third of the supplies purchased by the steward were paid for
by the check of the steward on the hospital treasurer, without any approval
or auditing of the bill therefor by any member or committee of the board.
Complaint having been made to the legislature that Iowa jobbing inter-
ests were discriminated against by the purchasing agent of this hospital,
particular inquiry was made into the manner in which purchases were made.
The evidence elicited, disclosed that the steward did not invite the compe-
tition of everyone who desired to bid for the furnishing of grocery supplies,
but he reserved the right to purchase from parties that he thought proper,
and to a certain extent divided his purchases between the same firms and
individuals. In one or two instances it was disclosed that the steward neg-
lected to furnish a list of proposed purchases to parties who applied. We
are satisfied that a Chicago grocery house was favored by the steward to
the extent that supplies were purchased in larger quantities of this house
than of other houses, and that during a series of years this house was
afforded an opportunity of selling, which opportunity was not granted to
other jobbers.
A careful comparison of the prices paid and bids submitted, leads the
ɔommittee to the conclusion that the state has not suffered because of
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this action of the steward, and no just criticism could be made against the
purchasing agent had the competitive system of bidding been in vogue.
It can be fairly said that the competitive system of bidding for the fur-
nishing of supplies to this institution is not practiced. Purchases of sup-
plies are made from time to time, although some effort is made to purchase
a quarter in advance. The steward purchases the greater quantity, includ-
ing dry goods, clothing, boots and shoes, from such parties and at such
times as he thinks proper, aiming to secure the best terms, but the com-
mittee is of the opinion that a substantial saving could be made if the effort
to purchase supplies in a larger quantity at stated intervals was had, and
public advertisement by some means given of such prospective purchase.
The law requires the board of trustees to audit in open meeting the
claims against the institution, but under the system now prevailing over
one-third of the purchases are made and the obligations therefor discharged,
prior to the meeting of the board or the auditing of such claims.
No estimates of proposed purchases are submitted to the board or to
the superintendent prior to the purchasing of the same by the steward, and
fully nine-tenths of the claims allowed are matters not within the personal
knowledge of any member of the board. The board acquires what informa-
tion it possesses from the steward or from the superintendent, who some-
times is consulted in the making of purchases.
The committee does not think that the approving or auditing of bills,
after payment thereof, secures the purposes sought by the statute, and
believe that such approval must necessarily become a perfunctory act.
In the expenditure of the extraordinary appropriations for the construc-
tion of buildings, no public advertisement is given of such construction, nor
are bids solicited by public advertisement. The superintendent submits to
certain builders the proposed plans, secures the best terms from the builders
so selected, and the contract is made as the result of this effort of the super.
intendent.
The record of the superintendent's acts in the premises are found in his
correspondence, but no permanent record in book form is kept of the bids
so received for the purposes of comparison.
This hospital has drawn for some years past $14 per month for
each inmate, which revenue is termed the support or current expense
fund. Reference to the statute making this appropriation indicates clearly
that a maximum appropriation is made, but it is not intended that any funds
not absolutely necessary for the support of the hospital shall be drawn from
the state treasury. The superintendent and trustees, who were examined,
admit that there is no practical effort made to reduce the cost of support to
a sum less than fourteen dollars. This sum is drawn and expended, the
intention of the management being to give value received to the state for
such appropriation in the care and physical comforts furnished the patients.
The committee discovered that this purpose exists not only at this hos-
pital but at other institutions having similar appropriations, and tends to
the creation and perpetuation of many abuses. As an illustration it might
be aptly cited that evidence was adduced before the committee that the
cost of groceries, clothing and other supplies has decreased from 25
to 50 per cent in the last seven years. It might be reasonably expected
that the support fund should respond to such reduction in the cost of sup-
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plies. Such, however, is not the case.
While the management of the hos-
pital does not deny the reduction in the purchase price of the commodities
as indicated, it is said that a greater degree of physical comfort and better
curative processes are now had than were heretofore furnished.
When we recognize that the cost of living and the prices of supplies of
all kinds have been reduced, the committee is of the opinion that under a
judicious management, which regarded the appropriation for support pur-
poses to be only such as is necessary, that the state would have in recent
years received some substantial advantage in the reduction of the cost per
capita.
Some six or seven thousand dollars of the support fund are expended
annually in making repairs, and the committee finds that no very definite
rule exists as to what repairs are chargeable to the support fund.
The legislature has repeatedly made appropriations for the contingent
and repair fund, and has also made specific items of appropriation for cer-
tain named purposes of improvement and repair.
The management of the hospital expends part of the support fund, part
of the contingent and repair fund, and part of the special item of appropri-
ation for the same purposes. It is not understood that an appropriation for
a specific purpose excludes the expenditure of other funds for the very same
purpose. This uncertainty as to the amount of the support fund which may
be used in making repairs, tends to obscure the actual cost of maintenance
at this and other institutions.
The statute forbids in terms the application of the support fund for the
"making of improvements," but this does not prevent the hospital from
using the support fund for certain repairs aggregating over $13,000 the
biennial period.
Much uncertainty could be avoided and better accountability exacted if
the legislature made a sufficient appropriation for the contingent and
repair fund, and prevented by express terms the application of the support
fund for any purposes of repair.
This would prevent the expenditure of two funds for the same purpose,
and exhibit at a glance the cost of maintenance which by comparison with
other years and other institutions would afford a substantial guide to the
legislature, and constitute a check upon extravagance.
The Twenty-sixth General Assembly passed a law authorizing the insane
hospitals to draw their support fund, from the state treasurer earlier than
could otherwise be done, for the purpose of paying cash for supplies
Representations were made to the legislature, by those who favored much
enactment, that this law would reduce the cost of maintenance, and enable
the institutions to purchase their supplies at a more advantageous price,
having the cash to pay therefor.
It appears that the Independence hospital has received no advantage
from this law. The only result of this measure is to increase the average
daily deposits of the treasurer of the hospital. Prior to its passage the
hospital purchased its supplies and paid therefor in the same manner as it
does now. Inquiry developed that this law was not favored by the hospital
management at Independence, and no purpose has been subserved so far as
this institution is concerned. It appears that there were sufficient funds on
hand to make the necessary purchases and to pay cash for so much thereof
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as had to be bought for cash. The committee is of the opinion that if this
law was necessary for the insane hospitals, it is equally important for all
other public institutions. Considering the fact that the state treasury
exhibits a deficit, it is especially unfortunate that this law was passed, and
that the treasurer of the hospital at Independence was permitted to draw
funds from the state treasury in addition to the amount actually required
at the time for hospital purposes. Reference to this measure will again be
found in the report of the other insane hospitals. The committee and its
accountant examined very fully into the system of book-keeping at this
institution, and found in it, very little to commend. The system is primi-
tive. No books are kept whereby the amount of supplies on hand can be
ascertained, nor is there any system of requisitions on the storekeeper for
the drawing of supplies. The steward keeps a few books which are mere
memorada from which he can ascertain the amount of money received by
him monthly, in order to turn the same over to the hospital treasurer.
Inquiry was made as to whether the products of other state institutions
are, or could be used in the improvements being constructed at Independ-
dence. The Anamosa stone could be used to some advantage, and the only
effort to use such stone during the period covered by our inquiry was made
in the spring of 1897. The superintendent of the hospital wrote to the
warden of the penitentiary at Anamosa as to whether or not stone could be
furnished for the industrial building. The warden replied that he was
then unable to furnish the stone, but, had application been made during the
preceding winter, he could have probably furnished the same.
The appropriation for the industrial building was made a year previous,
and the construction of the building contemplated during the preceding
winter, but no effort was made to get the stone, until it was too late. What
profit there might have been to the state in using this stone, is largely
problematical. The committee ascertained that Anamosa stone can not be
used, if it must be transported very far. An act of the legislature requir-
ing the use of the stone at Fort Madison, some years since, was repealed
because it was discovered that it cost too much, after the payment of the
transportation charges to Fort Madison.
The Twenty-sixth General Assembly made an appropriation for the
purchase of eighty acres of farm land adjoining the hospital farm. The
purchase has been made, and we think it a very prudent act on the part of
the state.
An appropriation of $40,000 was made by the Twenty-fifth General
Assembly for the women's hospital. This building has been completed and
furnished, and the committee are satisfied that it has been well and econ-
omically built.
A street car line was constructed some years since between the hospital
and the city of Independence. This car line is of course a matter of great
convenience to the officers and employes, as well as to others who have
business at the hospital. The superintendent, for the purpose of affording
recreation and diversion to the patients, expends annually about $1,000 for
street car tickets.
Patients have excursions on this car line, and the tickets are thus used.
This expenditure is largely made as a bonus, on the part of the hospital
management, to the car company, in order to retain the operation of the
car line between the city and the hospital.
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We think that an expenditure of this sum for this purpose, should not
be made by the hospital management. If a bonus or gratuity is to be made
to the car company, the legislature is the proper authority to direct such
appropriation.
The committee also ascertained that doctors, not connected with the
hospital, were occasionally employed at $10 a day, to assist in operations,
and to give lectures in the training school for nurses. This was justified
by the superintendent, on the ground that it tended to promote greater
efficiency on the part of the physicians of the hospital, and afforded
instruction to the trained nurses. The expenditure was unusual and is not
made at any other of the state institutions. The superintendent stated
that no further expense of this kind will be made in the future.
It is the judgment of the committee that with a more rigid economy in
the expenditure of the support fund, and with a better system prevailing
for the purchase of supplies, with better accountability required in the
use and consumption of supplies, with the cutting off of unnecessary
expenditures, and the use of the support fund for legitimate support pur-
poses, that the per capita cost of maintenance could be reduced from $14 to
at least $12 per month. This reduction could be made without depriving
the inmates of the hospital of any of the physical comforts now enjoyed, or
without impairing any of the cnrative processes, or limiting the medical
attention now bestowed upon the patients. Such a reduction should be
evidenced in the reports of this hospital during the last several years, if
we may expect that such reduction will ever occur.
An examination of the reports of like hospitals in the surrounding west-
ern states indicates that there has been a reduction in the cost per capita
for the maintenance of the inmates, and that it is a source of pride on the
part of the superintendents of such institutions to exhibit such economy in
their reports.
It is a mistake to believe that the superintendent of the hospital devotes
his entire time to the personal examination and care of the patients. This
work is largely done by younger and less experienced members of the med-
ical staff. The performance by the superintendent of the labors required
in the purchase of supplies, in the making of repairs, in the construction of
buildings, the making of contracts and transacting the business generally
of the hospital, is in itself sufficient to consume the time of the superintend-
The fact that the trustees visit the hospital but occasionally, and can
give but little personal attention to the expenditures of the ordinary and
extraordinary appropriations at the hospital, necessarily thrusts these duties
upon this officer.
ent.
The superintendent at Independence receives $3,500 a year and is now
employed under a six years' contract, made prior to the session of the
Twenty-sixth General Assembly.
The Twenty-sixth General Assembly in special session fixed the maxi-
mum compensation of the superintendent at $3,000. Some question has
arisen as to the power of the legislature to change the compensation of the
superintendent which is fixed in a contract made with the board of trustees,
and it is the belief of this committee that the trustees will not reduce the
compensation voluntarily, unless they are advised by the law officers of the
state that no greater compensation than $3,000 can be paid.
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The treasurer of the institution has received no compensation during the
period covered by the resolution creating this committee. The treasurer's
books are kept in a way that meets our approval.
Prior to the passage of the law permitting the insane hospitals to draw
funds in advance to pay for supplies in cash, the average daily deposit of
the treasurer was $5,000 to $10,000; after the passage of this law the treasurer
states that his deposit has averaged from $10,000 to $20,000, and an examina-
tion of his books discloses that his average deposit will be even greater than
this under the new law. One of the reasons that this deposit is so large at
this hospital results from the fact that the payment of salaries is made quar-
terly, while at other institutions it is made monthly.
MOUNT PLEASANT HOSPITAL FOR INSANE.
The Mount Pleasant hospital has about 884 patients. The superintend-
ent was first employed in this capacity in 1882 at a salary of $2,500 a year.
His compensation was increased by the trustees at different periods until he
received $4,000 in 1894.
In 1895 a contract was made with him for six years at the stipulated
compensation of $4,000 per annum. It is believed by some of the members
of the board of trustees that the contract between the superintendent and
the board cannot be altered or impaired by the legislature. The president
of the board has kindly favored the committee with a copy of a written
opinion, wherein he holds that it is the duty of the board under the law to
reduce the compensation to $3,000. The committtee entertain the opinion
that the legislature has the undoubted right to change the salary of its offi-
cers and agents. The contract with the superintendent does not come
within the constitutional inhibition to which reference is made.
An examination and comparison of the salaries paid at Mount Pleasant
with those paid at the other hospitals indicates that the salaries at this
hospital are higher.
The first assistant physician receives $1,900; the steward $1,800, and the
supervisors $50 per month. There has been an increase in the salaries paid
at this hospital of over $5,000 in the four years from 1893 to 1897. The
superintendent claims that the number of patients has increased, but no
such increase in salaries is attributable to the increase in the number of
patients. The increase in patients for the biennial period ending June 30,
1897, over that ending June 30, 1893, is forty-nine. It is claimed that no
salary has been increased and no additional compensation paid, without the
approval of the board. An examination of the minutes of the board does
not disclose any official action taken on such matters, and the fact is, that
whatever consultation or approval was given by the board to the increase
was a parol understanding and the subsequent auditing of the pay roll by
the board.
Very little restriction has been placed on the action of the superintend-
ent in adjusting the salaries or number of employes. A more careful exer-
cise of economy on the part of the superintendent and the board would
result in a decrease of the amount paid for salaries without in the least
impairing the efficiency or working force of the hospital.
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The steward receives $1,800 annually. A large part of the duties ordi-
narily performed by a steward are performed by the superintendent. The
steward at Independence hospital receives $1,200 and house rent valued at
about $125. The clerk at each prison renders more service than the steward
at Mount Pleasant, has greater responsibility, and receives but $1,200 per
year.
The supervisors receive $40 a month at the Independence hospital but
are paid $50 a month at Mount Pleasant.
All supplies for the purpose of maintenance, and materials for the con-
struction of improvements have been purchased at this hospital without
any system of competitive bids or public advertisement. The grocery sup-
plies have been purchased from day to day, or week to week, as the occa-
sion required, and no effort has been made to purchase supplies for any
definite period. In March, 1897, some change was made in this system, but
it is doubtful whether it will prove much better than the old system, for the
supplies are not purchased for any definite period, but are bought from time
to time in quantities varying greatly in amount. There is no record kept
of the supplies that are purchased, or the amount on hand in the store-
room. No system of requisitions exist for the procurement from the store-
room of meats or food stuffs. This want of system permits waste and
extravagance and does not compel that sense of accountability which is so
necessary in an institution of this kind. The management excuses this lax
method on account of its complete confidence in the honesty of the employes.
A better method of accountability should not reflect upon the honesty of
the employes and would undoubtedly prevent waste and loss.
An examination of the appropriations made by the Twenty-fourth,
Twenty-fifth and Twenty-sixth General Assemblies was made. The Twenty-
fifth and Twenty-sixth General Assemblies made several appropriations for
permanent improvements and for the construction of buildings. Nowhere
in the minutes of the meetings of the board of trustees have we found any
reference to the work incident to the expenditure of such appropriations or
to the construction of the improvements and erections contemplated by the
acts granting the appropriation. The fact is, that the superintendent is
given charge of the work of expending the appropriations and constructing
the buildings. He directs the expenditures and personally makes the pur-
chases of materials from such parties and upon such terms as he thinks
proper. It is true that the superintendent discusses with the board during
its meetings as to the prospective work on hand and informs it of what he
is doing.
We were also informed that the resident trustee visits the hospital quite
often and is familiar with the work done on the improvements An exami-
nation of the minutes of the board discloses that no committee was appointed
by the board to superintend the expenditure of these moneys, nor has
there been any committee appointed to examine the improvements or the
accounts of the superintendent with respect to such improvements, except
in so far as the board passes upon the reports made by the steward and
treasurer.
It is a fair inference from our inquiry at this hospital that the superin-
tendent is required to do the work necessary in the letting of contracts,
selection of material, superintending the work of construction, transacting
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the correspondence and all other acts required in the expenditure of the
appropriations both special and ordinary. Owing to the fact that the
trustees spend but a few days at most at the hospital, they do not give to
the work the time necessary, and the burden therefore falls upon the super-
intendent. There is no doubt but that the work of the trustees in the con-
duct of this hospital, so far as it affects the expenditure of appropriations
granted by the legislature, is merely advisory. The superintendent dis-
charges the duties that are supposed to be lodged in the board of trustees.
In investigating the manner in which appropriations granted by the leg-
lature have been expended at the several institutions, the committee finds
that the acts of the legislature granting many appropriations are very
indefinite, and because of this a wide latitude is given to the management
of the institutions in the expenditure of the money.
The legislature would not make such loose and general appropriations
without restriction or qualification did it know in many cases that the
superintendent of the institution determined, after the appropriation was
received, the manner in which it should be expended. We say that the
superintendent often determines this, because the board rely in many cases
entirely upon information gathered by the superintendent, and because of
the want of familiarity on the part of the trustees with the institution and
with the character of the proposed improvements.
Illustrating the loose and indefensible manner in which the state couches
its appropriation acts, we refer to an appropriation of $10,000 made by the
Twenty-sixth General Assembly for water supply for the insane hospital at
Mount Pleasant. The act of the legislature simply appropriated $10,000
for water supply. Whatever representations were made by the hospital
management to the legislative committees are not matters of record. No
plans or specifications or written statements made by the management are
preserved for examination. One legislature does not know the representa-
tions that were made to the committees of the preceding legislature, owing
to the fact that no record of such representations are preserved and to the
further fact that the membership in our legislature is continually chang-
ing. Inquiry at the hospital developed that the appropriation referred to
was asked in order to build a tank and reservoirs to store sufficient water
which the city of Mount Pleasant had agreed to deliver to the hospital.
The appropriation was granted by the Twenty-sixth General Assembly on
the assumption that this plan would be carried out, though there is nothing
in the act so indicating. After the appropriation was made and secured,
the hospital management believed it better to construct deep or artesian
wells, and has made a contract for the same, and the work on such well is
now in progress. As the legislature did not direct in what way this appro-
priation was to be expended, it is of course left in the discretion of the
hospital management. Without criticising the judgment of this manage-
ment, we offer it as a sample of the loose method in which the legislature
frames its appropriation acts, and of the great power that is vested in the
management of the institution.
As further illustrating the want of method or restriction on the part of
the legislature, we note that the Twenty-sixth General Assembly appro-
priated $20,000 for an infirmary building for aged men. The building has
been completed and was occupied on the 1st of June, 1897.
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Fifty patients are housed in this building and the management is greatly
pleased with the work and the manner in which the expenditure was made.
The act appropriated $20,000 for an infirmary building. It appears that
the building was completed, equipped, furnished with heating apparatus,
household and kitchen furniture, and all other expenditures made to enable
the building to be occupied and used, for the sum of $20,000. A strict con-
struction might require that any money left after completion of the build-
ing, should be held subject to the disposal of the legislature. The fact is,
that whatever surplus was left after constructing the building was devoted
to the purposes of equipment and furnishing. We do not say but the
expenditure was advantageously made.
No records or books are kept at the hospital which disclose how much
of this appropriation of $20,000 went into the construction of the infirmary
building, and how much was expended in the equipment and furnishing.
The superintendent informed the committee that the only way this could
be ascertained would be from a detailed examination of the numerous
vouchers which would be found in the infirmary building fund, and ascer-
taining therefrom the purposes for which each voucher was expended. We
submit that this method of keeping accounts cannot be commended. The
books of the hospital should indicate to the public and the legislature how
much of the appropriation was expended for the construction of the build-
ing, as that was the purpose in terms for which the appropriation was made.
The management of the Mt. Pleasant hospital do not believe in the policy
of letting the work of construction by contract, but think better work is had
by employing men at day's wages and doing the work under the direction
of the hospital superintendent.
All the insane hospitals employ to some extent certain of the inmates in
the work of construction, and of course this is of advantage to the state.
The committee is of the opinion from comparisons made at the several
institutions in Iowa, and from inquiries made of competent builders and
architects, that the state, like the national government, can under proper
management, receive better returns if the work is let by contract properly
supervised.
An examination of the vouchers, books, records, and witnesses at Mt.
Pleasant hospital shows that the hiring of employes, laborers, painters,
mechanics, the purchasing of the brick, stone, plastering and other material
for construction, and contracting for the painting, equipment and furnish-
ing of the several buildings and the expenditure of the appropriations of
every kind, is almost entirely done by the superintendent, without any
public advertisement for bids, or attempt on his part to let any work by
contract to the lowest bidder. The expenditure, however, of the appro-
priation of $2,500 for a slate roof, was let by contract without any public
advertisement.
Chapter 31 of the acts of the Twenty-third General Assembly provides,
that in no case should any appropriations made to the state institutions be
drawn, unless the same was needed for use within thirty days from the date
of the requisition. This act has not been observed by many of the state
institutions and was not observed in the drawing of funds from the state
treasury by the hospital at Mt. Pleasant. In some instances several thou-
sands of dollars have been drawn and remained unexpended in the hands
— 14
of the hospital treasurer for a period of twelve to fifteen months before any
expenditure was made on the work for which the appropriation was granted.
The treasurer of the hospital keeps a separate account with each fund.
This method of keeping the treasurer's books greatly facilitated the work
of the committee in ascertaining the expenditure of the appropriations
made by the several general assemblies. The treasurer's books are in
marked contrast with the treasurer's records at the Clarinda hospital,
where the treasurer keeps no books whatever. The treasurer has in recent
years received a compensation ranging from $900 to $1,300 per year. The
hospital has been compelled to pay exchange on remittances purchased at
the banks where the treasurer keeps his deposits. This is unusual, but is
explained by the fact that such is the custom at the Mount Pleasant banks.
The treasurer's books disclose that for the same days in several months
of the year 1897, his daily average deposit was eight to thirteen times
greater than for the same days in the corresponding months of 1895. This
is largely due, in the opinion of the committee, to the act of the legislature
permitting insane hospitals to secure the support fund earlier than hereto-
fore so cash payment could be made for supplies. This change in the law
was induced to a certain extent by the representations made by the man-
agement of the Mount Pleasant hospital that a great saving could be made
by paying cash for supplies. The promised reduction has not yet been
realized, owing, it is claimed, to the unusual financial situation in the year
1896.
The committee does not understand why the Mount Pleasant hospital
should find it necessary to draw money in advance for the purchase of sup-
plies, when the Independence hospital did not solicit such a change in the
law, especially since there are many reasons why the Mount Pleasant hos-
pital should be as economically conducted as the Independence hospital.
It may be that this law will secure under a more extended trial, the results
anticipated, but as yet it is of doubtful expediency.
This hospital is not equipped with any means of furnishing its own light,
but buys gas of a private corporation at Mount Pleasant. The examination
of the vouchers indicates that the hospital pays about $5,000 a year for this
purpose. Only a limited amount of this gas is, or need be, used for pur-
poses other than for lighting. To state the fact that an expenditure of this
amount is made for this single purpose is to show that an excessive, if not
extortionate, charge is made. The trustees who were examined by the com-
mittee do not justify this expenditure, and the superintendent claims that
several years since, in two different reports to the legislature, the state was
asked to make an appropriation to furnish an equipment to light the
hospital.
The resident trustee owns a small number of shares of stock in this gas
company, but we are satisfied that his connection with the gas company has
not increased in the least the price of the gas to the hospital. The legisla-
ture should forthwith equip the hospital with its own lighting plant. The
cost of this plant could be easily recouped from a two years' contribution to
the Mount Pleasant Gas company.
Allen & Company of Mount Pleasant furnish a great deal of the clothing
that is purchased by the hospital. The steward buys the clothing without
any system of competitive bids, but distributes the patronage among some
o the Mount Pleasant clothing firms.
— 15 —
The resident trustee of the hospital is a member of the firm of Allen &
Company. Some question as to the amount and character of his interest
was raised by the trustee in his examination before the committee. We
are satisfied that this trustee's connection with the firm of Allen & Company
is of such a character, as should prevent this firm from selling any mer-
chandise to the hospital.
Sales by Allen & Company of clothing, constitute, if not a direct viola-
tion of the statute, an evasion which should no longer be continued. The
statute is intended to exclude the trustee from all trafficking with the insti-
tution under his charge.
The committee is disposed to believe that with a more just discrimination
in the salary list, with a more economical adjustment thereof,'a substantial
decrease in the cost of this hospital could be secured, without in the least
impairing the efficiency of the hospital or the comforts given the patients.
A more systematic method in the drawing of supplies, and in the purchase
thereof under a system which might provoke more competition, would,
together with a decrease in the salary list, enable this institution to be
operated with a per capita reduction of at least $2 per month.
What is said regarding the Independence hospital as to the expenditure
of the support fund for repairs, is to a certain extent, applicable to this
hospital, though the expenditure for repairs out of the support fund is not
as large.
The diversion of the support fund for the making of repairs necessarily
prevents any comparison as to the cost of maintenance in the several insti-
tutions.
The legislature should make adequate provision for contingencies and
repairs, and should not tolerate the misappropriation of any part of the
support fund for that purpose.
Each county of the state is required under our law to pay for the support
of the inmates in the asylums from such county, the state assuming the
burden of providing buildings and equipment. This being the case, the law
should be strictly enforced, which attempted to provide that the support
fund should not be diverted to purposes of improvement.
It is needless to say that the superintendent of the Mount Pleasant hos-
pital is prevented by the manifold duties performed by him and indicated
in this report, from giving any considerable portion of his time to the per-
sonal care or supervision of the medical departments of the hospital.
As was the case at Independence, the superintendent receives his ex-
penses for attendance at the conventions of superintendents of the United
States.
The board of trustees have observed the requirements of the law, with
respect to the compensation for mileage and per diem.
The system of book-keeping at this hospital is much more thorough and
complete than in many other institutions.
CLARINDA HOSPITAL FOR INSANE.
The Clarinda hospital has about 658 patients. This hospital is completed
according to the original plans, with a capacity of from 900 to 1,000 patients,
and can therefore accommodate about 300 more patients.
— 16 —
The legislature authorized the construction of this hospital in 1884, and
since then about $930,000 have been expended, in its construction and equip-
ment. The present superintendent was employed in 1893 at a salary of
$2,500, and now receives $3,000.
When the legislature authorized the construction of the Clarinda hospi-
tal, the work of construction was authorized to be carried on by a building
commission.
Subsequently the board of trustees was created and the work of the
building commission was performed by this board. The board acted in a
dual capacity prior to the enactment of the new code. The compensation
of the members as trustees was paid by warrants on the state treasury; the
compensation for services performed in the construction of the buildings,
was paid out of the appropriations made by the legislature for such build-
ing. To obtain the amount of the compensation which the trustees have
drawn as building commissioners, requires an examination of the different
vouchers issued at various times, during the last several years. The
trustees of the Clarinda hospital have incurred more expenses, and drawn
greater mileage for trips to different parts of the state and to other states,
than have the trustees of any other institution. Many trips have been
made by the board, or a majority thereof, to Chicago and cities in the east.
Inquiry of the members of the board as to the reason for these trips, devel-
oped the explanation, that such visits were made for the purposes of
securing better and more accurate information as to the needs of the hospi-
tal, as to the proper kind of machinery to purchase, and for acquiring
general information as to the proper expenditures to be made on the hospi-
tal account. In one instance it developed that a majority of the board made
a trip to Chicago for the purpose of acquiring information, thought neces-
sary in asking for an appropriation from the legislature. It is probable
that the large amounts of money expended, required a more minute and
accurate information on the part of the trustees and made many of the trips
seem necessary to the board. As so much depends on the good faith of the
trustees in making such expenditure, it is difficult for the committee to
make any comment as to the propriety thereof. The legislature, evidently
regarding these expenditures as improper, provided in the new code, that
the trustees should draw no compensation other than that from their place
of residence to the institution.
The original act provided that the work of construction should be done if
possible by letting the work to the lowest responsible bidder. It appears
that an effort was made to let the work, but satisfactory bids were not
received by the commission, and the original work of construction, as well
as all subsequent work has been done by day's labor, under the supervision
of the architect and his assistant, and foremen employed by them.
The architect has been employed since 1884, and for the first two years
received 3 per cent on the construction price. Since 1886 he was employed
not only to perform his duties as architect, but to supervise the construc-
tion, and for such service has received, and is now receiving, 34 per cent
on the cost of construction, in addition to his expenses.
A great part of the material used in the construction of the building is
purchased by competitive bids, and the record of the board of trustees is
very full in setting forth these bids, and the disposition made of them by
the board. The supervising architect, under the direction of the board,
— 17 —
buys many articles of supplies on which there is practically no competition.
The hospital purchases most of the supplies used for maintenance, includ-
ing groceries and dry goods, by a system of competitive bids.
The committee find little difficulty in reading the record of the board
to ascertain what the board did with reference to the purchase of supplies,
the method pursued, and the parties to whom the contracts were let. This
was not the case at many other institutions in the state. The superintend-
ent first submits the estimate of the proposed purchase of supplies, which
estimate is passed on by the board, and being thus approved, the superin-
tendent or steward makes the purchase.
A greater part of the bills are audited by the board prior to payment.
This is not the case at many other institutions.
The superintendent of construction likewise submits the estimate of
proposed purchases, which estimate is passed upon by the board, bids are
solicited, all of which is set forth fully in the minutes of the meeting of the
board.
The hospital management having adopted the plan of constructing all
buildings and improvements by day's work, necessarily increases the
amount of clerical service in accounting for the moneys expended. In the
absence of the architect, who lived at Des Moines, his work is performed
by an assistant who resides at Clarinda. The committee ascertained that
the pay roll, for the services of those employed in the construction of the
building, was, in many instances, signed by a party other than the party
named in the pay roll. It was also ascertained, that when the institution
was unable to pay the cash for the labor performed, time certificates were
issued, and in some instances these certificates bore the endorsement of
parties other than the party entited to receive the pay. Further investiga-
tion satisfies the committee that this irregularity resulted from the inability
of some of the workmen to write their names and from the want of method
on the part of the assistant to the architect.
We are satisfied after careful inquiry, that no wrongful appropriation of
the state's money occurred from the acts of the assistant, but we disapprove
of the lax methods which permit these irregularities.
The accountant of the committee was unable to verify the list of the
warrants issued by the state auditor to the treasurer of the Clarinda hospital
on the construction fund, because the present hospital treasurer has not the
books of his predecessor. This is explained by the fact that the said prede-
cessor kept no complete set of treasurer's books. The present treasurer
received a salary which amounted to about $800 per annum in recent years,
being one-half of 1 per cent of funds coming into his hands. As treas-
urer, he keeps no books. The warrants issued to him are deposited to his
credit in the bank, and the institution draws its checks, which are paid on
presentation to the bank. The bank has an account with the treasurer, in
his representative capacity, but makes no pretense of keeping the several
funds and appropriations separate. One bank at Clarinda has the construc-
tion fund, and another bank the support fund. Other than this there is no
separation of the support or construction funds of the hospital, on the part
of the treasurer. This, we take it, is improper. It prevents a satisfactory
examination by a legislative committee, and tends to obscure the condition
of the hospital finances. It makes it impossible to ascertain from an exam-
ination of the books how much of the appropriations of the legislature are
2
18-
unexpended or remain in the state treasury. The treasurer's office is no
check on the accounts of the institution, and the institution's books are no
check on the treasurer. The report of the treasurer, found in the biennial
report to the legislature is necessarily a copy of the institution's records
though appearing nominally as a report made from the treasurer's books.
It might be said in passing, that the superintendent of construction, who
is the architect, aims to keep an account of the several appropriations made
for the work of construction, but this at best is a memorandum for his con-
venience, and does not minimize the evils that result from the failure of the
treasurer to keep proper books and records.
The ability of an institution to, in some degree, contribute to the manu
facture of its own supplies, is well exemplified in the industrial department
instituted by the superintendent at Clarinda. The inmates make their
clothing, shoes, underwear and a certain amount of the cheaper class of fur-
niture used in the hospital. They also manufacture brooms and other arti-
cles of use. This works a substantial saving to the state. Comparisons were
made by the committee, of the cost of clothing and other articles of apparel,
with the prices paid at other institutions, and we are satisfied that under a
practical management the inmates of the institutions can, in certain lines,
greatly reduce the cost of their own maintenance. Employment, which is
valuable as a remedial treatment, is, at the same time, furnished the inmates.
No practical benefits have yet resulted in the conduct of the Clarinda
hospital, from the change in the law making the appropriation for support
purposes available earlier so cash may be paid for supplies. The superin-
tendent hopes to soon reap any advantage which may come from this amend-
ment to the statute.
The new code gives the Clarinda hospital the same per capita support
fund as the hospitals at Independence and Mount Pleasant. Considering
the fact that the number of inmates is 25 per cent less at Clarinda
than at the other hospitals, and that fuel must be transported a much longer
distance, at an increased cost, we are satisfied, that if the same measures of
economy prevailed at the other hospitals, they can be maintained at a less
per capita cost than can the Clarinda hospital.
It is our opinion that with the present system of purchasing supplies at
the hospital, together with the accountability required from the subordi-
nates, and the evidence of economy found in the management of the super-
intendent, that there will be no difficulty experienced in maintaining the
hospital at its present standard, at the per capita of $14 or even less.
The superintendent is enabled to give more of his time to the medical
department of the hospital, to the personal supervision of employes, and to
the care of the inmates, than the other superintendents, because of the fact
that the work of construction is largely in other hands. We are firm in our
opinion that much better results would come in the management of all the
state's interests if the superintendents had less to do with the construction
of buildings and the work incident to the expenditure of the extraordinary
appropriations.
The board of trustees at this hospital have paid the expenses of the
superintendent to national conventions held in distant states, as was done at
the other hospitals.
— 19-
CHEROKEE HOSPITAL FOR INSANE.
In 1894 the legislature authorized the construction of the Cherokee hos-
pital. Twenty-four thousand dollars was appropriated for the purchase of
land, and this has been expended in the acquisition of 600 acres within two
miles of the city of Cherokee.
The rental of this land will not inure to the state until March 1, 1898.
The Twenty-fifth and Twenty-sixth General Assemblies provided that
the work of construction should proceed, and made $75,000 available in 1896,
$75,000 in 1897, and $125,000 in 1898, and $125,000 in 1899.
Of this entire appropriation of $400,000, about $76,000 was expended in
the construction of the foundation of the hospital building, planned to
accommodate, if need be, 600 patients. The balance of the appropriation,
excepting three or four thousand dollars, has been expended in construct-
ing the walls, enclosing and roofing this building.
Not only have the appropriations that were available and payable been
exhausted, but certificates have been issued by the building commission
against the appropriations available for the year 1898 and for the year 1899.
The contractors agreed to complete their work of constructing the walls,
enclosing and placing the roof on same by December 31, 1898, but for their
own purposes have hurried the work of construction, and will complete
their contract in about a year before the time they otherwise would.
The building commission has substantially exhausted all the moneys
appropriated and payable, and has anticipated the appropriations for the
year 1898 and for the year 1899.
The committee visited Cherokee and after an examination of the archi-
tect, superintendent and the commissioners is satisfied that no injury will
be caused the property of the state or the buildings now in course of con-
struction if no further work is done for a period of two years, except such
damage as will necessarily occur to property left unfinished and unoccupied.
As to the propriety of this legislature making further appropriations,
this committee does not deem it within its province to express an opinion,
but thought it proper to inquire as to whether the property in its present
condition would suffer unless further work was immediately done on the
walls of the building.
The building commission of the Cherokee hospital have employed a
superintendent of construction, who lives at Cherokee, at a salary of $1,200
per year. The architect who drew the plans and superintends the work of
construction, receives 2 per cent upon the cost of construction. For the
performance of like services the superintending architect received 33 per
cent at Clarinda.
Before closing our reference to the Cherokee hospital, we must refer to
the simplicity of the act providing for its construction, in that all warrants
for the work of construction are drawn by the state auditor and the pay-
ments are made to the parties entitled thereto by the state treasurer. This
does away with the machinery of the hospital treasurer and the expenses
incident 'thereto, and the probable withdrawal from the state treasury of
thousands of dollars which under the law are now left in the state treasury
until the money is actually due on the work of construction.
The committee having visited all the state institutions, examining the
work of construction made under extraordinary appropriation of the legis-
20-
lature, do not see how any institution would suffer, or the state experience
any disadvantage, if all extraordinary appropriations remained in the state
treasury until the same were due and payable to the parties entitled to
receive their pay for work. It would simplify the work of the government
of the state institutions, and would prevent the state from paying interest
upon a deficit with many thousands of dollars lying idle in the hands of the
treasurers of such institutions.
This suggestion is entitled to the more weight from the fact that the
Twenty-third General Assembly sought to prevent the withdrawal of
moneys from the state treasury, except the same were needed within thirty
days from the date of requisition. It appears, however, that the statute
has not been observed, but by one or two institutions, and the evil sought
to be remedied by the Twenty-third General Assembly is as great to-day as
it was before the passage of this act.
VISITING COMMITTEE FOR INSANE HOSPITALS,
The visiting committee appointed by the governor for the purpose of
visiting the insane hospitals, is paid out of the support fund of the several
hospitals. The expense of the visiting committee now constitutes a con-
siderable drain upon the support fund. The expenses of this committee for
the year ending June 30, 1896, is about double that for the year ending
June 30, 1895. This results from the fact that two of the committee visit
the different hospitals at the same time, and spend a week at each hos-
pital, thus receiving a per diem and expenses for three weeks in the month.
We are of the opinion that the visiting committee costs much more than is
necessary, and its visits are extended much longer than the character of
the work warrants.
Much has been said in favor of the work of the visiting committee, and
the good that comes from the fact that it can go through the hospitals at
any time, observing the care that is given the inmates, and listening to any
complaints that the patients may make. Granting this to be true, we do not
think it was the intention of the law in creating the visiting committee
composed of three persons, that the members should spend a week at each
institution and draw pay for three weeks in every month.
SOLDIERS' HOME.
The legislature located the Soldiers' Home at Marshalltown in 1886.
The number of inmates as appears upon the books of the home in July,
1897, was 644. The number of inmates actually at the home and domiciled
therein at this time was 563. The commandant receives a salary of $1,200
annually, and the further allowance of $900 annually, and residence on the
grounds.
This institution has six commissioners charged with the government of
the home. The statute does not provide in terms for per diem compensa-
tion for the commissioners, and it is doubtful if they are entitled to it.
However, they have drawn compensation and paid themselves from the
21-
funds of the institution-other boards of trustees are paid directly from the
state treasury. None of the commissioners have observed the limization of
the statute, which provides that the expense of a trustee shall not exceed
5 cents per mile for the number of miles actually traveled. Some of the
commissioners have exceeded the limit to a small extent and others have
exceeded it to a greater extent.
Five of the commissioners were present when the committee visited the
home, and they declared that they did not understand that this limitation
applied to them.
There can be no question that if the commissioners are entitled to com-
pensation and expenses, that this limitation is applicable.
It would involve a tedious examination to ascertain the exact amount
that the commissioners have drawn, in excess of what they were entitled to
under the statute.
The commissioners have incurred expenses to a considerable amount
in making trips to other states, visiting other like institutions and attend-
ing conventions of managers of soldiers' homes. Expenses have also been
incurred in making trips to Chicago and other places for the purchase of
supplies and equipment for the hospital and other buildings which were con-
structed.
Such expenses for the fiscal year ending June 30, 1897, for every purpose
including the salary of secretary at $100, and the salary of the treasurer
for three months, as well as the charges of the building committee of the
board, and traveling expenses to places outside of the state, aggregated
$3,682.83.
The expenses of the commissioners for the biennial period ending June
30, 1891, was about $1,700, or $850 per year.
It can be fairly stated that the increase in the expenses of the commis-
sioners was at least $2,500 in the year 1897, over that of the year 1891.
This was explained, to some extent, because buildings were being con-
structed and equipment purchased in the year 1897, which was not the case
in the year 1891.
We find that no expenses were paid the commandant for trips outside
the state. He attended conventions and visited other homes at his own ex-
pense.
The committee ascertained that there was considerable friction in the
board of commissioners, and as a result, that harmony in the management,
which is so necessary for a proper and economical administration, did not
prevail.
A former treasurer, who is also the resident commissioner, refused to
turn over to his successor the books of the treasurer, and other manifesta-
tions of discord in the board, were apparent.
The statute grants $10 per month for each inmate in the home, which
appropriation is known as the support fund.
In addition to this, there is an appropriation of $1,050 per month for
salary and wages.
The committee discovered that ever since the home was established, the
support fund was drawn on a computation based on the number of inmates
on the books of the home, and not for the number of inmates actually
domiciled in the home. The officers and board secured the federal
22 —
appropriation which is made for the partial support of the home, bv making
proofs showing the actual number domiciled at the home.
It is needless to say that the manner of drawing the support fund from
the state was illegal, for the legislature never intended to make an
appropriation for inmates, who were not supported at the home. To provide
otherwise would expose the state to every character of abuse, and would
place no limit upon the amount which the officers of the institution could
draw from the state treasury, for it can be seen how easily the names of
inmates would remain upon the books of the home, though the persons were
absent for years.
As a matter of fact, this institution has drawn a per capita allowance for
men who have been absent from the home by permission or on a furlough
for a period of two years, and who have never received any support from
the home, excepting probably a few dollars' worth of clothing in a year.
On calling the attention of the commissioners to the methods adoptea
in calculating the per capita allowance, the committee was informed by
each and every one of the commissioners present, that they were unacqainted
with the manner in which the computation was made. They further stated
that they did not approve of this method of drawing the per capita allow-
ance, and had they known the allowance was procured on this computation,
they would not have permitted the practice to continue.
The committee thought well, through its chairman to advise the state
auditor of the practice prevailing at this institution with respect to the
computation as to the number of inmates. Upon the requisition being
drawn under the old method by the board of commissioners, the auditor
refused to honor the same.
The attorney-general held in harmony with the views of the committee,
that there was no warrant for such a practice. We now understand that
the Soldiers' home receives its support fund, based upon the number of
inmates actually in, and domiciled at, the home.
The accountant of the committee estimated that about $38,570 was
drawn by the home since July 1, 1893, in excess of the proper and legal
amount.
The commandant, who was formerly a member of the board of commis-
sioners, informed the committee that he simply followed the method of
computation practiced by his predecessor, and had no knowledge as to what
this practice was until he became commandant.
Mr. Russell of the board of commissioners, was absent from the state,
and unable to be present when the committee visited the home, and we
have been unable to meet with him before making this report. We
believe, though, that justice to him requires us to say that he did not
know the method of computation, upon which the per capita allowance
was secured.
The supplies, including the groceries and other matters of subsistence,
are secured without any system of competitive bids, but are purchased by
the quartermaster at such times, and for the best terms he can secure.
The groceries are purchased to a very large extent, for some years past,
of a single house at Marshalltown, and we believe there is very little com-
petition in the furnishing thereof. The commandant and quartermaster
believe that they secure the supplies at reasonable prices, but the
experience of this committee at other institutions is such, that we think a
23-
system of competitive bids whould show a reduction in the cost of groceries
and other supplies.
Commandant Ratekin and Quartermaster Longley inaugurated a system
of requisitions and accountability on the part of the employes in the use of
supplies, which furnishes an admirable illustration of what system and
method do in minimizing the cost of subsistence at institutions of this
character.
We believe that this method and system is the most perfect and com-
plete found at any of the state institutions, and will compare favorably with
that existing in the institutions of other states. The books disclose the
number of pounds of any of the different commodities in the storeroom,
and the committee had the satisfaction of testing the accuracy of the
accounts, by weighing different supplies, and found that the quantity cor-
responded with the amount indicated on the books. This method of
accountability was established by the commandant and Quartermaster
Longley in January, 1895. It immediately resulted in a marked reduction
in the amount of supplies consumed and in the cost of subsistence.
There were 378 men at the home in January, 1894, and the cost of sub-
sistence was $2,141.11; there were 475 men at the home in January, 1895,
and the cost was $2,069.43.
We thus find that the cost of subsistence for January, 1895, was $71 less
than in January, 1894, though the number of inmates was increased by
ninety-seven.
The commandant submitted to the committee figures and records indi-
cating that in the system adopted there was a saving of $18,000 per year, if
the whole number of men on the books were actually present. The correct-
ness of these figures was questioned, but however this may be, the commit-
tee is satisfied that a very marked and unusual reduction in the cost of
subsistence resulted from the reforms inaugurated by the commandant.
The other books and records of the institution can not receive the praise
that is given to the quartermaster's books.
The treasurer keeps a part of the books, and we find there was not that
co-operation between the officers of the home and the former treasurer
which should exist. The former treasurer reserved the right to apportion
the expenditures between the different funds in a manner which he thought
proper, which was frequently at variance with the apportionment made by
the commandant. This, of course, leads to confusion. The committee
found that the biennial report of the treasurer did not agree in some
features with the books kept at the institution, because of the fact that the
treasurer in such biennial report apportioned the expenditures as he
thought proper.
The Twenty-second General Assembly divided the standing appropria-
tions for the home into the "salary and wages fund" and the "general
support fund." We take it that it was the intention to provide that no
more than the amount appropriated for salary and wages per month should
be expended for such purpose, and that no part of the support fund should
be expended for the payment of salaries and wages. The committee is
satisfied that this is the proper and only construction of the statute.
The legislature has further made it a penal offense to divert an appro-
priation from the purposes for which it was made.
24-
There are quite a number of employes who might be paid out of the sup-
port fund were it not for the fact that there is a salary and wages account.
The committee is of the opinion that perhaps some discretion is lodged in
the commissioners as to whether the cooks, bakers and other employes that
could be named should be paid from the support fund. Be this as it may,
the commissioners have never observed the distinction between the salary
and wages account and the support fund, but have repeatedly made pay-
ments for salaries and wages from the support fund.
One thousand dollars of the contingent fund was transferred to the
salary and wages account and never returned. The transfer of this is
shown in the biennial report for the fiscal year ending June 30, 1895, on
page 41. In June, 1896, the salary and wages account was overdrawn
$859.12, and was made up from the support fund, which amount thus trans-
ferred was never returned.
As indicating the manner in which the accounts were intermingled we
find that the pay roll of a certain number of employes was paid out of the
support fund in May, 1896, and the same employes were paid out of the
salary and wages fund in June, 1896.
There is no rule to guide the commandant or the officers of the institu-
tion as to what fund should be drawn upon to liquidate the pay roll. The
practice has been to exhaust the salary and wages account first, and then
draw upon the support fund, which was done in almost every month, during
the period covered by our inquiry.
Our accountant ascertained that the sum of $6,065.82 was taken from the
support fund and expended for salaries and wages from November 1, 1894,
to December 1, 1896.
It is true that a part of this was for temporary help, some of which might
be considered as chargeable to the support fund, but the greater amount of
this sum is for salaries of employes properly chargeable to salary and wages
account.
The commissioners and commandant informed the committee that it is
impossible to conduct the institution for the amount which the legislature.
appropriates for salaries and wages. This is no justification for the diver-
sion of the support fund, but of course should be considered in weighing
the good faith of the commissioners and their efforts to properly discharge
their duties. The sum of $38,570 which the commissioners since July 1,
1893, drew over and above that which they were entitled to draw on the
support fund, was in part expended in salary and wages account.
Sometimes a part of the funds would be transferred to the salary and
wages account, but very frequently the salary and wages were paid from
the support fund, without even the formality of a transfer on the books.
This method of conducting the business greatly obscures the exact
character of the expenditure, and makes the reports of the officers some-
what misleading.
The legislature should either insist that these funds be separated and
not intermingled, or it is the duty of the legislature to make one general
appropriation, and not present the condition of having the law openly and
continually violated.
We note that the Twenty-sixth General Assembly appropriated $2,000
for purchasing furniture for the hospital and the residence of the doctor
— 25 —
and commandant. The commissioners expended over $5,000 for this pur-
pose, drawing the sum of $3,000 from the support fund.
About $1,200 of this amount was expended in articles of furnishing,
which might, under other circumstances, be construed as properly charge-
able to the support fund. This illustrates the loose method of the board in
dealing with the several funds, and conclusively shows that the commission
has not regarded an appropriation by the legislature of a sum for a specific
purpose, as preventing the commissioners from spending additional amounts
from other funds for these purposes. The board also expended about $2,000
of support fund in improving and grading the grounds.
The support fund at this home was resorted to in order to procure money
to supplement the expenditures, not only for the salary and wages account,
but for purposes, for which the legislature made specific appropriations.
The board of commissioners ascertaining that an appropriation was
insufficient, did not hesitate to supplement such appropriation by moneys
taken from the support fund.
The committee listened to certain charges and complaints against the
quartermaster, and after a careful consideration of them, find that such
complaints in no way affect the integrity of the quartermaster or his ability
to perform the duties of his office. We further say that the record of the
quartermaster, and his participation in securing a more economical admin-
istration of the purchasing department of the home is creditable, and should
not go unnoticed.
It has been said, since the management is required to draw its per capita
support based upon the actual number of inmates domiciled at the home,
that great difficulty will be experienced in conducting the home upon this
allowance. The committee does not share in this fear. The support fund,
if properly applied for the purposes contemplated by the statute, is ade-
quate. The Illinois Soldiers' home at Quincy was maintained for about
$107 per capita per annum, the support fund including about the same items
of expenditure as are included in the support fund at this institution.
The management and commandant submitted records and books indica-
ting that the home was properly maintained for $111 for each inmate in the
year 1895, and $113 for each inmate for the year 1896.
The law allows $120 for each inmate per year, in addition to the sum
of $1,050 per month for salary and wages, and the fear that the veterans in
the soldiers' home will be deprived of any of the comforts heretofore
enjoyed by them by now enforcing the law, as it should have been enforced
since the home was instituted, is groundless.
The commissioners were present when the committee examined the offi-
cers of the home, as well as the books and records, and had no criticism or
complaint to make as to the correctness of the figures submitted in this
report.
Much discussion and litigation has resulted from the action of the board
of commissioners in dealing with the pensions received by the inmates.
The courts have decided that the commissioners have the power to make
the regulations now in force at the home. One of the rules with respect to
the pension money requires that all in excess of $6 per month received by
the inmates shall be paid into the home. The commandant is entrusted
with the duty of paying of such excess ever $6 to the "dependent ” relatives
26-
of the inmate. If there are no dependent relatives, such excess is appropri-
ated by the state. For the last three or four years considerable sums derived
from this excess pension money have been paid into the state treasury.
Some of this excess pension money has been added to increase the support
fund. The increase of the support fund by this means is without authority
under the law, and in fact there is no legislative authority for the making
of any specific rules by the board with respect to the pension money.
The committee is of the opinion that vesting in the commandant the
power to determine who are "dependent" relatives, gives him a power that
is subject to great abuse, and provokes discontent and dissatisfaction on the
part of the inmates and relatives.
The legislature should definitely name the parties who are entitled to
such excess money and should not leave with the commandant, or the board,
the power to determine whether the relatives of this inmate are dependent,
and the relatives of another inmate are self-supporting. We make this
recommendation, assuming that the legislature is content to leave the
authority of the commissioners to deal with the pension money as the
courts have decided..
It may not be generally known that the amount of pension money deducted
from pensions of inmates is about $6,000 per annum.
The federal govern-
ment deducts one-half of this sum from its appropriations for the support of
the home, thus leaving only $3,000 as the profit to the state on the deduc-
tions from the inmates' pensions.
Quite large sums have been refunded to the state by the home, in recent
years, but owing to the uncertain character of the accounts of the institu-
tion, and the fact that the treasurer's books and the books of the institution
are not in accord, it is difficult to ascertain whether such refund is from the
support fund or from the excess of pension fund.
Before concluding our report on the soldiers' home, it is proper to say
that the committee ascertained that the great bulk of the supplies, of all
kinds, is purchased in the city of Marshalltown.
The experience of the committee at this and other institutions in the
state, leads it to believe that the greatest economy is not effected when so
much of the supplies are purchased of local trades-people. The resident
trustee is subjected to great influence and pressure, in order that such sup-
plies may be purchased locally without serious competition; while the local
trustee is valuable in the performance of many duties, the tendency is that
he will be blind to many abuses that creep into the purchases of supplies
from residents of his town.
The home purchases its drugs and medicinal supplies almost exclusively
of one house at Marshalltown.
The committee ascertained that during the last year the amount of the
drug bill was about $3,600. During parts of the year whiskies were purchased
to the amount of about a hundred dollars a month. Believing that this bill
was extravagant, inquiry was made of the physician at the home, and he
informed us that it was the practice to give whisky to many inmates of the
home at specified hours during the day, when they called at the physician's
office for such rations. It may be that this practice can be approved, but
the committee is convinced that if whiskies are to be purchased to such a
large extent and consumed as a regular diet, they should not be purchased
in such small invoices and of such expensive brands.
27-
Examination of the drug bills at other soldiers' homes indicates that the
Iowa soldier's home has a most extravagant drug bill. The report of the
soldiers' home at Quincy, Ill., for the last year, indicates that its drug
bill was $710 with 1112 inmates. The bill of the soldiers' home at Marshall-
town, therefore, is about ten times that of the bill at Quincy.
We entertain no doubt that there is room for a substantial saving in this
item of expenditure.
Upon a review, the committee believe that if the statute was amended so
a member of the board of commissioners could not be eligible to the posi-
tion of commandant during the term for which he was elected, and two
years thereafter, many of the dissensions found in the management might
not exist.
INSTITUTION FOR FEEBLE MINDED CHILDREN.
This institution has about 700 inmates. Three hundred and fifty of these
are in the custodial building, and receive no education or remedial treat-
ment. They are simply housed and cared for to protect themselves from
injury, as well as to protect the public. The other inmates are taught and
subjected to remedial treatment.
This institution has a board of trustees composed of three members.
The superintendent was first employed in this capacity in 1882, at a salary
of $1,000 per annum. The number of inmates at that time was 175. The
superintendent now receives $2,400 per annum and the number of inmates
has increased to 700. In addition to this compensation, the superintendent
receives $3 for each day's service performed as secretary of the board of
trustees. Comparison of the superintendent's salary with the salaries paid
superintendents of like institutions in other states shows that he receives a
compensation somewhat in excess of that paid such superintendents where
the number of pupils is practically the same.
The superintendent makes all the purchases, thereby dispensing with
the service of a steward. Two-thirds of the supplies, including dry goods,
clothing and food stuffs, are purchased at Glenwood. An approved method
of keeping account of supplies purchased and consumed was established in
June, 1897. Bids are solicited for a greater part of these supplies and an
examination of the bids filed with the board, indicates that the bids vary
$300 sometimes in a total purchase of $2,100 for a single quarter. The treas-
urer of the board is also the resident trustee, and was paid about $200 per
year for his service as treasurer. This compensation is made from the
institution funds.
The reading of section 2713 of McClain's code indicates that the treas-
urer is not entitled to a salary as treasurer, if he is a member of the board.
This is the view the committee takes of the law. Whatever extra service
may be performed by the treasurer, if he is a member of the board, may
be paid for at the same per diem compensation which the trustee is entitled
to receive. The statute does not contemplate the payment to the treasurer
of a compensation as treasurer, if he is a member of the board. We con-
cede that perhaps the statute might bear another construction, but we
think this view is correct.
The resident trustee beside receiving his compensation as treasurer,
drew a per diem compensation, in the year 1896, for eighty-one days. This
28-
is the largest per diem compensation which the committee knows of any
trustee receiving. He further received compensation for making the
treasurer's biennial report. It was explained to the committee that the
large per diem compensation of this trustee was because of the frequent
visits he made as member of the building committee.
Owing to the inability of the institution, during a part of the year 1896,
to receive cash for the warrants due it, a discount of $300 was made upon a
warrant of $15,000 and the sum of $240 was paid as interest to a local bank
at Glenwood. Subsequently the state warrants were at a premium and the
treasurer of the institution, sold about $75,000 of such warrants at a premium.
This premium and accumulated interest was retained by the treasurer,
believing that the state did not expect any more than the face of the war-
rants. We are pleased to state that the treasurer has recently reimbursed
the institution for premiums and accumulated interest, which he claims to
have received on the sale of the institution's warrants.
The standing appropriations for this institution are found in section
2717, McClain's code. The sum of $10 per month for each inmate was
appropriated for the support of the institution; the sum of $22,000 was
appropriated for the ordinary expenses of the institution, including furni-
ture, books, school apparatus and compensation of officers and teachers. The
provisions of the old law are substantially enacted in the new code save,
that the sum of $22,000 is appropriated for the ordinary expenses of the
institution and for the compensation of employes, as well as that of officers
and teachers. The separation of the appropriation undoubtedly required
the officers of this institution to pay the compensation of officers and teach-
ers from the ordinary expense fund, and under the new law the compensa-
tion of officers, teachers and employes, should be paid from the ordinary
expense fund. The fact is, that the management of the institution has not
observed the requirements of the statute or the construction that must nec-
essarily be given it. No separate record is made of the compensation of
officers and teachers and we find that the appropriation for the ordinary
expense fund was exhausted, and recourse was then had for the liquidation
of the balance out of the support fund.
We repeat what we said, in speaking of the Soldiers' home, that the offi-
cers of the institution should observe the requirements of the statute and
maintain a separation of those funds or the legislature should make a gen-
eral appropriation and not countenance the continued violation of the
requirements of the statute.
The records and books of the institution show the use of the support fund
for repairs, and the superintendent admits that about $7,000 annually of the
support fund is expended in repairs. This expenditure of the support fund
is made, even while the special appropriation for repairs is unexpended. We
are persuaded that the expenditure of this amount of money of the support
fund for repairs constitutes a diversion of the fund, and exposes the
management to the just criticism of a failure to properly expend the support
fund. If the institution is to determine whether the repair fund is adequate,
and to supplement the legislative appropriation by drawing in a biennial
period, $14,000 from the support fund, to be expended in repairs, it can be
seen that the legislative control over the appropriation of the state's money
is somewhat weakened.
J
29
What was said as to some of the disadvantages of having the local trustee
at the Soldiers' home is applicable to the institution for the feeble minded.
The strife at the place where institutions are located, for the patronage and
trade of the institution is, at times, bitter and engenders factional disputes.
The selection of the local trustee becomes an important matter for the
jobbing interests and even for the banking interests of the locality. When
the trustee is selected he is expected to favor the influence that secured his
selection. These influences exert a pressure, for recognition in the
distribution of the patronage and custom of the institution. The trustee in
turn exercises an influence upon the management and the board, and in this
way, the committee has repeatedly observed that an economical administra-
tion of some of the state institutions is at times jeopardized.
Inquiry developed that large sums of money were procured for the sup-
port fund from the state when there was a surplus in the support fund, and
when the immediate wants of the institution did not require the withdrawal
of such moneys from the state treasury. This is so at all the state institu-
tions, and the management of this institution offered the same explanation
as the officials of other institutions, that it is necessary to draw the support
fund monthly or quarterly, as the statute permits, because if it is not drawn
at such time the institution loses whatever sums it might be at such times
entitled to receive. It is necessary, it is said, to accumulate a large sup-
port fund in the summer to anticipate the heavy expenditures of the winter.
One of the serious evils of this system is the accumulation of money in the
hands of the treasurers of the several institutions during several months of
the year and the depleting of the state treasury, thus preventing the dis-
charge of interest-bearing state obligations, which might otherwise be done.
This evil might be remedied if the legislature provided that the support
fund should not be drawn until the same was required, and that a failure to
draw the monthly or quarterly allowance for support should not deprive
the institution of such support, but the same should remain a credit to the
institution's account at the state treasury, and could be secured when the
institution was in need of the same. The many advantages of such a pro
vision are apparent, and we can discern no disadvantage to the state or
institution in such a law.
We concur heartily in the recommendation of the state treasurer, that
he be permitted to sell the warrants issued to the several institutions, if
the state is unable to pay said warrants upon presentation. This would
prevent the hawking about of the warrants by the officers, regents, or
trustees of the institution, which is now the case, and insure that whatever
premiums or accumulated interest there might be would inure to the
advantage of the state. It would prevent a repetition of the act of the
treasurer of this institution in retaining the premium upon warrants sold
by him.
The insane hospitals purchase and consume the best meats obtainable
The superintendent of the institution at Glenwood does not purchase the
highest priced meats, and we have no doubt that a considerable saving is
thus made. The superintendent stated to the committee that if the legisla-
ture amended the statute so as to give him a single appropriation for all
support purposes, that he could manage the institution at a per capita allow
ance of $12 per month, but to allow for uncertainties the statute should
make the maximum allowance, $13.
- 30—
Deducting the $7,000 expended for repairs out of the support fund, from
the total appropriation for support purposes, it is found that this institution
is now conducted for $11.78 per capita. With a reasonable adjustment of
the salary list, the institution could be readily operated at a maximum per
capita allowance of $11.
The salary and wages at this institution in the year 1897, is about $8,000
more than that paid in the year 1892, with an increase of 184 in number of
inmates. The compensation of the employes of the institution is fixed by
the superintendent, and he stated to the committee that his acts in the
premises are not revised or passed on by the board.
The inmates manufacture brick on the land belonging to the institution,
and in recent years the institution has made a profit by such manufacture
ranging from $1,000 to $1,500 annually.
The system of books for the financial transactions, and the manner in
which they are kept at this institution, on the whole, are the best and most
complete which the committe found at any institution. We suggest that
when the uniform system of books for the state institutions is adopted that
the books and the manner in which they are kept at this institution can be
examined with much profit, and will afford valuable information in the
preparation of a uniform system.
The superintendent is, by the law, required "under the direction of the
board to superintend the care, management, training and instruction of the
wards of the institution and the management of its finances." The fact is
that the expenditures of the ordinary and extraordinary appropriations
are made by the superintendent upon information acquired by him and to
a great extent upon his judgment. Whatever co-operation the board gives
in the expenditure of the appropriation is advisory, and reliance is wholly
placed upon the superintendent's judgment.
The superintendent stated to the committee that the conduct of the
institution and the attention required in the construction of the buildings
and furnishings and equipment of the same consumes his entire time, and
during the last two or three years he has not given the attention to the
inmates or to the duties ordinarily performed by him that he would desire.
We say that it is impossible for the superintendent to perform the service
that he does and give any portion of his time to the care or treatment of
the inmates or render the service to the inmates which his experience as a
medical man would enable him to do.
The payments of bills for supplies, etc., is made by the institution prior
to the time the same are audited by the board. The resident trustee, once
a month, looks over these bills before payment, but no action of the board
is had until after they are paid.
The buildings that are in course of construction are being erected under
contracts. The board properly advertised for bids, and in the judgment of
the committee satisfactory contracts have been made.
The large expenditure for buildings now being erected was caused by the
fire which destroyed most of the main building in the year 1896. The
action of the executive council in appropriating funds from the providential
fund and the great saving which was made in the preservation of the walls
of the buildings furnishes a striking illustration of the impropriety of pre-
venting the executive council from the exercise of this power, as was done
—
31-
by the special session of the legislature. It is the opinion of the committee
that the power to make such extraordinary appropriations when the legis-
lature is not in session should be restored to the executive council.
INDUSTRIAL HOME FOR THE BLIND, KNOXVILLE.
This institution was opened for the reception of inmates under an act
passed by the Twenty-third General Assembly. The board is now com-
posed of three members. The compensation for mileage and per diem
expenses for the biennial period ending June 30, 1897, was $2,107.65, which
is equivalent to one-seventh of the total expenditure for support purposes
during the same period.
It has a small number of inmates, and is of an unusual character, there
being but few institutions of like kind in the United States. There are
forty-seven inmates actually maintained in the home, and seven others are
given employment, but receive board and lodging at another place.
The statute provides that the home is established for the adult blind of
the state who may be trained in some suitable trade or vocation, and to
furnish a working home for the adult blind who have learned a trade or
who may desire to remain or be employed. Prior to the enactment of the
new code, the board of trustees required each inmate to be of sound bodily
health and capable of performing manual labor. The new code enlarges
the purposes of the institution, admitting all the adult blind of the state as
well as those who are capable of performing labor. Owing to the crowded
condition, and the failure of the legislature to make proper appropriations,
the management is unable to open the home to the indigent blind unable to
perform labor.
There is no standing appropriation for the support of this institution—
each general assembly providing the support for the next biennial period.
The Twenty-sixth General Assembly appropriated $18,000; $12,000 of this
sum was for salaries and $3,000 for manufacturing and $3,000 for contingen-
cies. The entire appropriation is expended.
The superintendent receives a salary of $50 per month.
The manufacturing department is under the immediate charge of a fore-
man; who with the salesman are the only salaried employes.
Brooms constitute the chief article of manufacture. In the biennial
period ending June 30, 1896, 8,000 dozen brooms were made; in the biennial
period ending June 30, 1897, 12,000 dozen brooms were made.
During the visit to the several institutions, the committee inquired
whether the products of the Knoxville home were bought by such institu-
tions, and we ascertained that at one time brooms were bought, but it was
discovered they were defectively made and no further purchase was had.
Under the present management a better grade and quality of brooms are
made and it has disposed of the surplus product. A traveling salesman is
employed at a slary of $125 a month.
but
The inmates are limited in the amount of work to be done each day,
at the present they are able to earn from three to twelve dollars per month,
more than is required to pay for their board.
32-
We find there is a loss in the manufacturing department in the last
biennial period of $4,000, which is equal to one fifth of the entire amount
received from sales.
Owing to the manner in which the books were kept, the committee was
unable to ascertain the amount paid for raw material, except by going
through each bill and voucher, which was not done. The committee
believe that if the raw material was purchased in larger quantities, more
favorable terms could be secured, thus reducing the loss in the manufactur-
ing department. Hammocks and nets are manufactured to a limited extent.
The home department is under the direct charge of the superintendent
and matron.
Each male inmate is charged $2.25 per week, and the female inmates are
charged $2 per week, which includes board, lodging, mending and laun-
dry. This charge is collected from each inmate by deducting the sum
from the amount due such inmate for labor performed. A few of the
female inmates perform house work, for which they are paid 75 cents per
week and board.
About $5,000 is collected from the inmates annually, which sum is $1,500
less than the amount for groceries and provisions. Treated simply from a
commercial point of view, the home department as well as the manufactur-
ing department is conducted at a loss.
All the supplies are purchased in small quantities of retail dealers in
Knoxville. Coal is purchased by advertising, and under an annual con-
tract.
The superintendent receives no moneys or funds except remittances for
brooms sold, which he pays to the treasurer.
The treasurer of the home is cashier of a local bank and keeps no books
as treasurer. The only way the committee ascertained the amount of
moneys in his hands was by examining the books of the bank where the
deposit is kept. No separation of the funds is shown in the treasurer's
accounts. This is improper, for the treasurer should keep books showing
the condition of each fund and appropriation.
Though the manufacturing department is operated at a loss, the man-
agement believe that it should be maintained because it affords occupation
to those who otherwise would remain in idleness. It also gives a feeling of
independence to the unfortunates in earning their support. This home is
a charity, and should be so regarded, for the state expends an amount for
each inmate equivalent to that paid for the inmates at the insane hospitals.
It is reasonable to expect in its further operation that measures of economy
will be introduced so the manufacturing department may be made more
self-sustaining.
THE ORPHANS' HOME AND HOME FOR DESTITUTE CHILDREN, DAVENPORT.
There are 492 children enrolled at this home, about 300 of whom are
soldiers' orphans.
The home is governed by three trustees, one of whom is a resident of
Davenport. A member of the board who resides at Marshalltown, is the
treasurer, and he keeps all funds of the home at that place. The treasurer
was unable to be present during the committee's visit, being absent in the
south, but the committee examined his books.

33 —
The new code provides that the treasurer shall be a resident of the
county where the home is located.
The superintendent receives an annual salary of $1,200. This might be
contrasted with the salary paid the superintendent of the school for the
deaf, who receives $2,250 per annum, though he has but 300 children in his
charge.
Prior to the enactment of the new code, the state paid $10 per month for
the support of each of the soldiers' orphans. For the indigent children it
paid $8.33 per month for each child, which sum was returned to the state
by the county from which the child came. In the new code it is provided
that the counties shall reimburse the state not only for the support of the
indigent children, but for the soldiers' orphans as well. In this way the
burden is put upon the counties to care for all the inmates of the orphans'
home.
The children reside in seventeen cottages, each cottage being supervised
by a matron.
All the supplies except shoes and carpets are purchased by a system of
competitive bids. The shoes are purchased in large quantities directly of
the eastern manufacturer, and at jobbers' rates. All the supplies are pur-
chased in large quantities, and in July, 1897, there were $8,200 worth of
supplies on hand. The coal is bought in Illinois. Because of the railway
rates, Iowa coal could not be furnished at the price paid for the Illinois
product.
The committee believes that no institution in the state is conducted more
economically than is this home. Every expenditure, including teachers'
and officers' salaries, is paid from the support fund, which averages $9.35
per capita per month. This is an object lesson for those who believe there
is no opportunity for substantial economy in effecting a reduction in the
per capita allowance for support purposes at the other institutions of the
state.
The Davenport home receives about $112 for each pupil per annum; the
school for the deaf at Council Bluffs receives $210 for each pupil per
annum; the school for the blind receives $219 for each pupil per annum;
the institution for the feeble minded receives $151.43 for each inmate per
annum. The institution for the feeble minded and the school for the deaf
are reimbursed by the counties for the clothing furnished the inmates,
which shows a still greater contrast in favor of the Davenport home. The
committee inquired why this marked difference should exist, and is con-
vinced that it is in a large measure due to the difference in compensation
paid the officers, and the practical economy observed in buying the sup-
plies in large quantities by a system of competitive proposals, by a man-
agement that believes this is the most economical way to make purchases.
The buildings are insured against fire, in policies now aggregating
$60,850. We are not aware of any other fire insurance on state property.
At the time of the visit of the committee there was a cash balance of
$6,241 in the treasury, and a stock of supplies on hand estimated at about
$5,000. A comparison which the committee made between the cost per
capita of this home and like homes in other states, shows that the cost of
the Iowa home is less.
3
34
FORT MADISON PENITENTIARY.
The prison had 482 state and thirty-eight United States convicts at the
end of the last fiscal year.
*
The state does not contribute to the support fund of this prison, and the
only appropriations made are for repairs and construction work. The labor
of a large number of convicts is let by contract to two corporations engaged
in manufacturing, and the earnings of these convicts, with other small
sources of revenue, pay the support expenses of the prison. During the
last year $11,000 of surplus was covered into the state treasury by the warden.
At present there are two contracts; one with a tool company and the
other with a chair company. The warden makes these contracts, with the
approval of the executive council. The tool company contract, made in
October, 1894, originally provided for the employment of 155 men at 50 cents
per day. In May, 1896, this contract was modified so that from June 1, 1896,
to June 1, 1898, the state would receive 45 cents instead of 50 cents per day for
the labor of the convicts. The number of men to work under the contract was
also reduced from 155 men to 132. The contract with the chair company was
modified about the same time, and the number of convicts employed was
reduced from 130 to 120, and the price of the labor was reduced from 50 cents to
40 cents per day. This modification of the chair company contract will con-
tinue for a period of two years. Because of these changes in the contracts the
revenues of the prison will be decreased to the extent of $21,000. It was ascer-
tained that the chair company offered evidence to the warden and executive
council showing why such reduction and modification should be made, and we
not prepared to say but it was a proper exercise of discretion on the part are
of the executive council to grant such reduction. We can not say this,
however, with reference to the change in the tool company contract. The
managing officer of the tool company appeared before the committee, but
refused to answer any inquiry with reference to the reasons for the reduc-
tion in the contract, other than to say that the prices prevailing in the
year 1896 were not such as to warrant the sale of their product. He
declined to say whether or not the business was profitable, or whether he
would have canceled the contract, as he might, if such reduction had not
been made. He further stated that no evidence in the form of books, rec-
ords or affidavits were presented to the executive council when the change
was asked and secured. It appears that he merely made parol representa-
tions that it would advantage them in the conduct of their business if such
a reduction was had. The committee has examined the records of the
executive council and find that the tool company offered no evidence which
is preserved and upon which the reduction and alteration of this contract
was secured. We ascertain from inquiry, and are satisfied of the correct-
ness of the information, that the year in which this contract was changed
was a very profitable one for the tool company, and it sold its entire pro-
duct at remunerative prices. We regret that neither the officers of the
tool company, nor the records of the executive council, furnish evidence to
the committee upon which it may base an opinion as to whether it was the
proper exercise of power on the part of the warden and executive council
to reduce the contract of the tool company. No such reduction should be
made without the preservation in proper form by the executive council for
35-
the examination of the legislature, or of others interested, of the evidence
which was presented to the executive council and upon which it based its
action. In the case of the tool company contract we are satisfied no such
evidence was presented other than the parol declarations of the officers.
Recently the tool company has re-employed many of the hands formerly
employed. It is proper to add that at the time the reduction was made in
the tool contract some provision was made about this company surrender-
ing to the state, before it might be required by the terms of its contract,
the use of a certain building and the removal of another building, in order
that the prison wall might be extended. This was a matter of convenience
to the state, undoubtedly, but constituted no consideration for the reduc-
tion in the earnings of the convicts, as indicated heretofore.
During several years past and especially under the management of the
present warden there has been a continual reduction in the cost of support
at this prison. The per capita cost of general support, including sub-
sistence and other expenses, shown on page ten of the warden's report to
this legislature, is $5.55 per month. Reference to the Anamosa penitentiary
may not be improper at this place for the cost of support there, including
substantially the same items of expenditure, for the same period, is over
$9.00 per capita per month. The difference in this is explained, in that the
expenditure for fuel at Fort Madison is much less than at Anamosa, owing
to the fact that Fort Madison is located near the mines, and has direct rail-
way facilities. It is also explained by the fact that the convicts at Ana-
mosa receive better and more expensive clothing, and are furnished bet-
ter and more expensive food. The female department and insane ward
also add to the expenses of the Anamosa prison. The committee could not
but observe the difference in the physical comforts given to the convicts in
these prisons.
Section 4773 of the code of 1873 provided "that all articles of food,
clothing, bedding, raw materials for manufacture, fuel and other articles
that may be necessary for the use of either penitentiary, must be con-
tracted for by the year, when such contracts can be advantageously made,
in the following manner: Each warden shall annually make out an esti-
mate of the quantity of each article necessary for the next ensuing year,
commencing on the first day of October of each year, and ending on the
last day of September thereafter, and advertise that he will receive sealed
proposals for furnishing and delivering at the prison such articles, or any
of them, until the first day of October, payment to be made quarterly,
stating the quantity and quality of each article required, the time when
each must be delivered, and the terms of payment; which advertisement
he shall cause to be inserted in one or more of the papers published at Fort
Madison and Anamosa, and in one or more of the papers published at the
seat of government, three weeks successively, the last publication to be at
least one month before the first day of October in each year; but no adver-
tisement shall be made until the estimates are submitted to the executive
council and are approved by it, and all bills and awards of contract for
supplies shall be allowed and approved of." It appears that the warden at
Fort Madison complies only in part with this statute, as he has never adver-
tised for the purchase of clothing, shoes, or other dry goods, because he
simply followed the practice of his predecessors who omitted such articles
in their advertisement. It further developed that but few responses are
received from those who might desire to furnish supplies to the prison.
36-
Meat and coal are the only articles purchased as a result of this adver-
tising. All other supplies are purchased as occasion requires, and without
any system of competitive bids. The fact that the statute provides that
such supplies shall be contracted for "when such contracts can be advan-
tageously made " has practically worked a nullification of the statute. The
present warden and his predecessors have not regarded the statute as
mandatory.
Wherever institutions other than the prisons have attempted to secure
bids, by means of public advertisement, the committee find that there were
many responses, and that the different bids submitted, indicate that by
accepting the lowest bid, a practical saving was effected. This statute has
fallen into disuse at both prisons, and the jobbers and others who might
desire to furnish supplies, understand the custom prevailing, do not for this
reason summit their bids in response to the publication of the warden's
notices.
The clothing for discharged convicts cost about $7.70 for each suit. Dur
ing the year about five hundred convicts are discharged, and the purchase
of clothing is made alternately of two local clothing houses at Fort Madison.
Over 75 per cent of the purchases or supplies, other than fuel, is made of
Iowa houses. The coal is purchased entirely in the state of Illinois at
mines from which there is a direct railway to Fort Madison.
All prison funds are deposited in the banks of Fort Madison, and are
drawn upon the check of the warden only.
At Anamosa the prison clerk has charge of the funds of the prison and
issues checks thereon.
The clerk at Fort Madison is assisted in keeping the books to some
extent by convict help.
The largest expenditure for salaries at the prison is made for guards.
The statute provides that the number of guards shall not exceed one for
every ten convicts. When the committee visited the prison this limit was
reached, owing to the circumstance that the prison walls were being
extended, and extra guard help was required.
The prison guards are almost uniformly appointed at the solicitation or
recommendation of members of the legislature, and many of the guards
are spoken of by reference to the member of the legislature who secured
his appointment. As the warden is elected by the legislature, it is easy to
see that he is exposed in the selection of guards to influences to which he
should not be subjected. We are convinced if the warden was selected in
another manner, or was entirely free in the appointment of guards, he
would be enabled to procure more energetic and active men, thus reducing
the number of guards and the salary list as well.
It is also the opinion of the committee that a reasonable expenditure
should be made in changing some of the shops, which would enable one
guard to watch more convicts, thus reducing the number of guards. To
make these changes would not involve a large outlay, and when once made,
would cut off a permanent expenditure for guard service.
The committee can not forego in this connection, making reference to a
want of uniformity, in the selection of the managing officers of the state
institutions. There is no reason why the boards of trustees should select
the superintendents of some of the institutions, and the legislature should
- 37-
biennially elect the wardens of the prisons. Whatever evils exist in the
trustee system, and we confess there are many, it must be said that there
is very little, if any, partisan politics in the management of the several
institutions of the state, except in the prisons. The election of the war-
dens by the legislature makes the office quasi-political. The dominant
party in the legislature selects the warden. He feels this office has a politi-
cal character, and this determines very largely his course in the selection
of guards and other help at the prison. The guards being selected with
some reference to their political affiliations, in turn join with the wardens
at both Fort Madison and Anamosa, and constitute, it is claimed, a unit at
local caucuses and conventions. This is to be regretted. It breeds dissat-
isfaction in the community where the prisons are located. It exposes the
prison management to harsh criticism and to unfounded accusation. It
brings in its wake many evils and no benefits.
We are not disposed to enlarge further on this feature of our report, but
we hope that the legislature may provide that the state prisons shall not
continue, as they now are, under political influences, which can not pro-
mote the public service.
Another feature of the prison government must not go unnoticed. When
the present law was enacted, it was thought best to place the prisons under
the direct and special supervision of the governor, thinking thereby that
many abuses, which theretofore existed, would be corrected, and the occa-
sion for their repetition would cease. This was the theory of the law
makers, but it can not be said that the results justify their expectations.
The many duties which the governor is called on to perform, necessarily
prevents that close and careful supervision which the law expected him to
give the prisons and their management. Some of the governors in recent
years have visited the prisons quite frequently. Other governors have,
visited the prisons but once in a biennial period, and then not for purposes
of supervising the management. It is true that clerks in the executive
office visit the prison at stated times and that the visits of these clerks are
contemplated by the statute, when the governor is unable to personally
inspect the prison. The short visits of these clerks do not secure to the
state the examination, scrutiny or supervision which the prisons should
have, and which many believe they now have. In the absence of such
thorough supervision by the governor, it can be fairly stated that the warden,
in his management of the prison, is practically without supervision,
except in so far as he may solicit advice or suggestions from the governor
or executive council. Without in the least intending to reflect on the con-
duct of the present wardens of the prisons, it must be said that the inter-
ests of the state are too large, the duties of the warden are too important,
the expenditures are too great, the discretion lodged in the officers is of
too broad a character to permit the prison management to further continue
without a more direct and constant supervision than now obtains. It is
proper to vest the broadest power in the warden in matters of discipline
but this should not be the case with reference to the financial management.
While the committee was at Fort Madison, complaint was made by Mr.
George H. Schaffer against the warden, because of the manner in which
the warden let the contract for furnishing the stone for the extension of the
prison wall, the construction of which was authorized by an appropriation
38-
of $18,000. Mr. Schaffer submitted two bids for the furnishing of the stone,
one in his own name, and the other for a different price in the name of a
corporation of which he is an officer. When the bids were opened, it was
discovered that he was under-bid by another party. This lowest bidder
failed to enter into a contract, and the warden again solicited bids. Again
Mr. Schaffer was unsuccessful, and the contract was let to the lowest bidder.
Mr. Schaffer claims that he should have the contract under the first bid
because the lowest bidder failed to enter into the contract, and he asserts it
was the duty of the warden to award the contract to him. Other disputes
arose, which the committee inquired into. We reached the conclusion that
there was no merit in Mr. Schaffer's complaint against the warden. Indeed,
the warden might be subjected to criticism, did he act in a manner other
than he did.
It is probable, however, that there would be no complaint, and Mr.
Schaffer would not have entered the objections he did, if the warden had
published advertisements in the newspapers, to inform the public in an
authoritative way, as to the terms under which bids were solicited and the
contract made.
Other witnesses appeared before the committee and complained of the
character of the work and of the quality of the stone that was put into the
extension of the prison wall. Some of these witnesses were workmen who
had been employed upon the wall. These same witnesses testified as to
defects in the addition made to the cell house. The committee considered
these complaints fully and it found that the pilasters on the west wall were
not constructed in the most workman-like manner, and this should also be
said of a part of the north wall as well as of the arch over the main gateway.
These defects are due largely to the neglect or want of skill on the part of
the foreman, but from evidence submitted and inquiry made, the committee
is fully satisfied that the walls on the whole, are well and substantially
built, but ordinary skill was not at all times exercised by the foreman
employed by the warden.
It should not go unnoticed that this wall is a great improvement for the
Fort Madison prison, and was constructed by the warden almost entirely
with convict labor, and within the appropriation of $18,000. We are satis-
fied that were it not for the earnest and daily supervision of the warden,
and for the economical management thus secured, the wall could not have
been built for the appropriation.
What we say of the wall is also applicable to the improvement of the
cell house, for which the Twenty-sixth General Assembly made an appro-
priation of $30,000.
The accountant of the committee discovered that a state warrant issued
to this prison for the pay roll, in the month of March, 1894, was credited
on the prison books in a sum $98 less than the amount of the warrant. The
present warden was not then in charge of the prison, and the present
clerk can give no information to the committee with respect to this dis-
crepancy. The committee is unable to offer any explanation, save that the
state issued the warrant which was $98 in excess of the amount with which .
the then prison management charged itself.
For many purposes this prison has an unfortunate site, and the build-
ings in recent years became greatly out of repair. The work of the pres-
ent warden in expending the appropriations of the Twenty-fifth and
39-
Twenty-sixth General Assemblies for contingent and repair purposes, has
greatly improved the appearance of the prison, and we believe such
expenditures were prudently made.
The contracts between the warden and manufacturing concerns should
reserve to the warden the right to compel such companies to provide fans
and other proper means of ventilation, in order that the convicts be not
endangered in their health.
The tool company's shop, known as shop No. 11, is not properly provided
with means to carry off the emery and dust, and the warden should insist
that this company provide proper means for ventilating this shop.
The books of the prison should be kept so as to show the cost and quan-
tity of each article of supply, which was used or consumed, as is done in
other states, and at some of the institutions in this state. This does not
necessitate much labor, but is very valuable as a guide for the management,
and is useful for the purpose, of comparison on the part of the legislature
and the public, and is a standing check on waste or extravagance.
The committee examined the notes of the contractors in the hands of
the warden, visited the banks and verified the amount of moneys in the
hands of the warden, as shown by his books.
The warden keeps no copies of letters written by him, on matters con-
nected with the prison management. This should be done. It would
greatly facilitate the work of a legislative committee, and tend to a more
accurate and business-like performance of his duties.
The committee believes that the prison should be supplied with wagon
scales, because in many ways such expense could be recouped in a single
month.
It appears some convicts are sent from counties in the vicinity of Fort
Madison, to Anamosa, although there was room for such convicts in the
Fort Madison prison. The committee is not informed why prisoners are
not sent to the nearest prison, if there is room at such prison. The cost per
capita is greater at Anamosa than at Fort Madison, so the state and county
are both interested in correcting this abuse.
PENITENTIARY AT ANAMOSA.
The number of convicts in this prison on June 30, 1897, was 625. On
April 1, 1892, the number in confinement was 262.
The convicts are employed in the work of constructing buildings and
other improvements for the state.
The quarries from which the stone is procured are located about two
miles from the prison and connected by a spur line of the Chicago & North-
western railway. The stone is transferred to the prison in the condition
in which it is quarried by the convicts. The cutting and dressing are
done in the prison yards. The stone is dressed and placed in position in
the buildings by the convicts under the supervision of the foreman. All
the work of construction is superintended by the master mechanic and
architect, who now receive $5 per day and expenses for the number of days he
actually spends in prison work. Until a few years since the master mechanic
received a salary of $1,500 per year and gave constant attention to the work.
40-
—
He now visits the prison on an average of about six to eight days in each
month. About twenty-five cars of stone are monthly transported from the
quarries to the prison yard.
At the present time the state is building what is termed the center
building and the warden's house and the north wing of the cell-house.
Because of the fire, which destroyed some of the prison buildings, the
management is also engaged in reconstructing this building, equipping it,
and making other changes to provide better for the needs of the prison.
The Twenty-sixth General Assembly made appropriations to be expended
on the center building and for the foundation of the south wing of the cell-
house. Chapter 134, acts of the Twenty-sixth General Assembly, appropri-
ated $32,348, "For completion of the center building now under construction."
Inquiry of the prison officials and the master mechanic developed that this
appropriation is not sufficient to complete the center building, and in fact the
master mechanic never understood that such sum would be sufficient. He
asserts that representations were made to the Twenty-sixth General Assem-
bly that the building could for such sum be completed to the extent that the
roof could be placed thereon.
Reference to page fifty-one of the twelfth biennial report of this prison,
for the year 1895, shows that the master mechanic furnished estimates
aggregating the sum of $32,348, but does not state, in his report, that it
will be sufficient for the completion of the building. However this may
be, the master mechanic asks, on page forty-one, of the biennial report
made to this legislature, for $8,450, as the amount necessary to complete
this structure.
The foundation for the north wing of the cell-house, for which the
Twenty-sixth General Assembly made an appropriation of $23,000, was in
course of construction when the committee visited the prison, An immense
quantity of stone is being transported from the quarry for this foundation,
and is being placed in the wall by the convicts.
The system under which the state has for years constructed the build-
ings at Anamosa, is very lax and unbusiness-like. The most permanent
and expensive buildings constructed by the state are found here. There is
practically no system of accounting for the materials bought or furnished.
There is no method by which the committee was enabled to ascertain
whether materials that were bought, were actually brought within the
prison walls and used in the work of construction. There never have been
any specifications or details for the construction of any of the buildings built
by the state. The committee could find no specifications as to the kind,
amount, or quality of any particular material of construction. It appears
that the only plans, now at the prison, and under which the work is being
done, are the elevations for the buildings made over twenty years ago.
The architect and master mechanic appeared before the committee, and
stated that he superintended the building of the insane building, the female
department, and all buildings subsequently constructed. He further stated,
that when in need of materials, for the purposes of construction, he
personally contracted for the same; that no supplies or materials for con-
struction, were ever purchased by advertising or by competitive bids; that
he can not tell now how the north wing of the cell-house shall be completed,
except that it will probably be similar in architectural design to the south
cell-house; that he could not advise the committee as to the kind of material
- 41
–
which is to be used in the interior finishing of the center building and
warden's house; that he was unable to state the quantity of lumber or of
iron that might be thus used. We were further informed, when in the
work of construction the occasion arises for the use of these different
materials, he then determines the kind of material, and personally contracts
for the same. He frequently visits Chicago and makes purchases there,
after an inspection of the material. The warden does not participate in the
purchase of these materials, but the matter is left almost entirely, to the
master mechanic and architect. No one, it appears, supervised the action
of the architect. He consults with no one in the determination of the kind
and character of supplies, or in purchasing the same. There is no meeting
of any committee, or of the warden, or of the clerk, with the architect.
There is no auditing of bills except the approval of the architect. The
foreman who immediately supervises the work on the building, keeps no
books or records indicating the quantity or character of the supplies which
are purchased, and used in the work of construction. For this reason the
committee was unable to investigate whether the expenditures of the
appropriations were properly made. It can be fairly stated that the only
record which the committee found connected with the expenditure of the
moneys for materials for construction purposes was the vouchers in the
clerk's office, showing payments of certain sums. No evidence is preserved,
that the material or supplies, for which the moneys were paid, were brought
to the prison, nor is there any method by which the amount of the different
materials used in the construction of the building could be ascertained,
except by going over innumerable bills and vouchers, which of course was
impracticable.
The master mechanic, at the present time, lives at Maquoketa. He keeps
no records and maintains no office at the prison. The committee is
persuaded that this method, which the state adopts in the construction of
some of its most expensive buildings, involving the expenditure of hundreds
of thousands of dollars, would not be tolerated by an individual or private
corporation. It manifestly permits too much discretion in those who are
charged with the work of building; it blunts all sense of accountability; it
prevents every effort of inquiry, by the governor or legislature; it has the
promise and potency "of much wrong doing. The faithful administration
of the trust reposed in the officials, is not secured by any regulation, check
or supervision. This lax method has existed, so far as the committee is
advised, for at least fifteen years last past, and the present management has
simply permitted the methods of the preceding officials to continue. The
master mechanic and architect can well say that he performs his duties as
required, and it is not for him to make any rules or regulations for his own
supervision.
The contingent and repair appropriation for some years is declared to
have been inadequate. It is generally exhausted long before the expira-
tion of the biennial period, and recourse is then had to the support fund.
No definite rule prevails, or has prevailed, as to what expenditures should
be charged to the contingent and repair fund, or to the support fund. This
abuse is, as this report indicates, common to most of the state institutions.
To use these funds indiscriminately opens up avenues of extravagance. We
notice that the foremen of derricks, of stone cutters, of stone masons, and
42-
of the quarry, and the engineer and master mechanic are sometimes paid
from the support fund. At other times the salaries of such persons are
paid from the appropriation that is made for the building upon which they
are employed. When the appropriation for the building runs low, recourse
is then had upon the support fund.
As further illustrating what the committee believe to be a diversion of
the support fund, it should be noticed that the executive council has given
sanction to a practice that can not be commended. It will be observed by
an inspection of the warden's report to this legislature that $11,000 of the
support fund was expended in the construction of a water tower and well
and a waterworks system; that $13,000 more of the support fund was
expended for the rebuilding of a burned building and the purchase of an
electric plant to light the prison. Only so much of this fund as is necessary
for support purposes can, under the law, be drawn from the state treasury.
The committee ascertained that this sum of $24,000 was taken from the
support fund after the executive council had secured the opinion of the
attorney-general that such expenditure of the support fund was proper. It
appears that the prison had some dispute about the price and quantity of
water which it was receiving from the city of Anamosa, and to avoid the
making of a new contract the executive council directed the expenditure of
the sum of $11,000 of the support fund as above indicated. We say that the
purposes for which this expenditure was made might be entirely proper, if
made with proper funds, but must condemn as dangerous the precedent
which the action of the executive council affords.
We respectfully dissent from the opinion of the attorney-general, hold-
ing that such a use of the support fund is authorized by law. The statute
appropriates for the support fund only so much as is necessary for support
purposes, and any money that is not thus required should not, under the
law, be drawn from the state treasury. The mere fact that a surplus has
been drawn, not needed for purposes of support, furnishes no reason, as is
suggested in the opinion of the attorney-general, for its appropriation for
other purposes, but exposes the management to the temptation of doing
what was done, when $24,000 of the support fund was expended in making
permanent improvements. If it is conceded that the prison management
has the right to take $24,000 of the support fund and expend it for the pur-
poses indicated in the warden's report, it may well be said that the legisla-
ture has little control of the state money. There is no need to create
different funds to be expended for different purposes, or in making it a
misdemeanor to intermingle such funds, if the precedent to which we are
referring shall be regarded as the correct construction of the statute, and
a rule to be followed by all other state institutions.
The clerk of the prison purchases most of the supplies and makes pay-
ment therefor by signing the name of the warden to checks. The clerk
has complete charge of the cash account and deposits state moneys in the
name of the warden.
No supplies, food stuffs or the material for construction of buildings are
bought by advertising or under a system of competitive bids. The statute
which requires the warden to advertise and to purchase supplies under con-
tract is complied with, but the management claim that they receive very
few responses to such advertisements. It is said no grocery houses submits
any bids in response to such notices. What we stated in reference to this.
43 —
statute in our report of the Fort Madison prison is applicable here. Sup-
plies have not been purchased for years by contracting under terms of the
statute, and jobbers, with knowledge of this fact, do not respond or submit
bids.
We find that an employe in the clerk's office, who does clerical work
only, appears on the pay roll as a guard at guard's wages, but has never per-
formed guard's duty. The management claims that a former governor of
the state authorized the employment of such person and the placing of his
name on the pay roll as a guard. Inquiry by the committee of such official
indicates that a misunderstanding undoubtedly existed with respect to the
manner in which this employe should be paid. If this kind of help is
required, the wages should appear as paid for clerical help and not for
guard service.
The statute permits one guard for every eight men at this prison and
the officers show that they have not employed guards to the limit, and by so
doing have made a saving to the state of $4,000 a year. The committee has
no doubt that the statute could be amended to provide one guard for every
nine men without interfering with the efficiency of the guard service,
thereby insuring a substantial saving. What we said as to the manner in
which guards are employed at Fort Madison is equally applicable to this
prison. There is also opportunity for improvement in the guard service
and in the prison discipline as shown by the number of convicts who succeed.
in escaping.
Examination of the books indicates that some of the guards have had
financial transactions with the convicts. In one instance we noticed a
remittance was made from the compensation of a guard to an ex-convict,
after he was pardoned.
The convicts are permitted to transfer accounts with each other, by
leaving slips showing such transfers, in the deputy warden's office, which
are afterwards carried out in the individual accounts of the convict. This
causes considerable clerical work, and the custom is probably abused. It
may be proper under certain circumstances, but we are persuaded too much
latitude is now permitted in this particular.
Many discrepancies between the time book kept by the deputy warden
and the pay roll as kept in the clerk's office were observed. The transcript
of the deputy warden's time book, made by him, and which is filed with the
clerk, and from which the pay roll is made, accords with the pay roll, but
not with the time book. At the time of making such transcript he corrects.
and adjusts the time of the guards as he thinks it should be, without close
regard being given to the actual days shown on the time book. The time
book is not, therefore, kept in an accurate manner. We can not find after
careful inquiry, that the state has suffered by these discrepancies. We
are led to the conclusion that the deputy warden is a man of integrity, but
loes not appreciate the importance of accuracy and detail in the keeping
of his time book or making of his transcripts.
Tie
practice of permitting a guard to have a substitute to act for him,
and the guard retain his name on the pay roll for the time during which
the substitute performs the service, should not be continued. It exposes
the prison management to the charge of paying guards when it is known
they are absent. It allows unbusiness-like methods to creep into the man-
agement. The guard should draw pay for only such time as he is person-
44 -
L
ally present. If the substitute acts for him, the name of such substitute
should appear on the pay roll, and the compensation should be drawn by
such substitute. No other method should obtain.
Some complaint was made to the committee about the amount of the
receipts from visitors, which the turnkey reported. The matter was sug-
gested to the warden, who stated that he would take such action to correct
any abuse that he might find to exist, and we are informed that the warden
has taken proper action in the premises.
It appears that the cost of a guard, who is employed to show visitors
through the prison, exceeds the amount of receipts from visitors during the
year. A stricter method should be instituted, whereby larger receipts
from visitors would be secured. If the clerk or other officers sold the tick-
ets, it would afford a check that would be valuable in insuring to the state
a full return of this revenue. The new code provides that the maximum
support fund shall be $9.50 per capita per month. From a full inquiry
into the management of the prison, the committee is satisfied that this
maximum appropriation could be reduced to at least $8.00, and the prison
maintained for such sum, without impairing its efficiency, or causing any
diminution in the amount or quality of the supplies consumed.
Notwithstanding the provision of the statute, which provides that only
so much of the support fund as may be necessary shall be drawn from the
state treasury, the management of this prison has drawn monthly the full
per capita allowance, thereby creating a surplus in the hands of the warden.
This surplus remains for uncertain periods at Anamosa, and a portion
thereof was returned to the state treasury, and other portions expeùded in
the making of permanent improvements, as heretofore indicated. This
support fund was withdrawn from the state treasury when it was known that
a surplus was on hand and must be returned, or expended for purposes other
than legitimate support purposes.
There was a surplus of $3,078 found in the salary fund. No balance is
kept in this fund at the Fort Madison prison and the statute does not con.
template the retention of a surplus in this fund by the prison authorities-
Reference to the statute discloses that the salaries are "To be paid by the
state treasurer upon the requisition of the warden, accompanied by a state-
ment showing the number and kinds of guards employed," etc. The proper
procedure is, to make out the pay roll for the preceding month, issue the
requisition which is paid by the state treasurer, and from the proceeds pay
such pay roll. This prevents a surplus in the salary fund. The committee
thinks such surplus should be converted into the state treasury, and stricter
adherence to the statute had.
A tract of land of about thirty-five acres, located a half-mile from the
prison, is used for raising vegetables for the prison. Eight to ten convicts,
under one guard, are employed on this land. It is claimed th land is not
fertile. The working of this tract has ceased to be profitable for the state,
even to raise vegetables. The value of the product during the last five
years has not exceeded the cost of a single guard, who is requied to care
for the men working at the farm; but this expense can be justified, because
vegetables are raised and consumed at the prison, which could not be
bought in proper quantities in the markets of Anamosa. The state might
procure a more fertile tract of land, thereby promoting a more economical
administration.
45
There is no separate account kept with the farm, and no record which
the committee could find showing the quantity raised or manner in which
it was consumed.
An important inquiry in the future management of the penitentiary is
whether the working of the present quarry is the most profitable way for
the state to procure stone. Great quantities of the stone removed from the
quarry are broken and thrown aside because not suited for the prison pur-
poses, though in fact they are valuable for other purposes. Were it not
that a large quantity of this stone, which would be otherwise waste, is now
used in the foundation of the cell house, the quarries would now be oper-
ated at a loss.
The records are not so kept as to indicate the quantity of lime, cement,
powder or other like materials for use in the quarry or in the construction
work. This is of importance, because where the work is done by convicts.
the most rigid supervision and economy must be insisted on, or waste and
extravagance result.
The books of the prison, showing its financial operations, are not cred-
itable to an institution of this magnitude. The present warden has sub-
stantially the same system of books as his predecessor. The cash book is
the book of original entry. From this book the monthly statements are
made, which the law requires to be furnished to the governor, and after
such statements are made from the cash book copies thereof are entered in
the ledger. The ledger should be prepared from the other books. The
statement furnished the governor should be made from the ledger, instead
of the ledger being based on these statements.
During the visit of the committee complaints were made respecting the
official conduct of the warden and some of the prison employes. Some of
these complaints emanated from former prison employes and if true would
reflect upon the honesty of the administration and the integrity of such
officials. A patient and thorough hearing was granted and the committee
say that in many instances proper e› planations were made of matters that
were only partially understood by the parties making the complaint and in
other instances the accusations were unfounded. There was nothing
observed in the records of the prison, its financial management, or in the
accounting for expenditures which reflects on the integrity of the warden.
THE INDUSTRIAL SCHOOL-ELDORA AND MITCHELLVILLE.
There are about 500 boys at the Eldora department of this school, and
160 girls at Mitchellville.
The whole school is under the management and control of a single board
of five trustees. The board holds quarterly meetings, two meetings being
had at each institution every year. A visiting committee, generally the
local trustee, visits each institution every month. The trustees of this
school have drawn less compensation for expenses and per diem charges
than the governing board of any other institution. In the biennial period
losing June 30, 1897, the total amount paid such trustees was $945.37.
The cottage system prevails at both departments. A school is taught in
each cottage at Eldora, while at Mitchellville the pupils are taught in a
46 -
school building. One-half of the scholars attend school in the morning and
one-half in the afternoon. When not in school the boys and girls work in
the industrial departments of the school.
Though the school is known as a single institution in the statute, sepa-
rate appropriations are made by the legislature for each department, which
is under the direction of its own superintendent.
The funds are disbursed in a manner different from that prevailing in
any other institution. The support fund for Eldora and Mitchellville is
paid by the treasurer of the board to the superintendents of the different
departments, and is by the superintendents disbursed. The extraordinary
appropriations at Eldora are paid directly by the treasurer to the persons
entitled thereto, upon a check issued by the superintendent. The super-
intendent at Mitchellville pays debts from the support fund, though such
debts are chargeable to special appropriations made for improvements or
buildings. The superintendent is reimbursed by the treasurer, but this
practice gives the superintendent the right to practically disburse all the
moneys in his department.
The superintendent of each department makes the purchases of all sup-
plies for his department, and pays therefor before the bills are audited by
the board or any member thereof. He takes a voucher or receipt for the
payments made, which is the evidence of the payment in settling his
accounts with the board. The adjusting of accounts in this way long after
the payments have been made by the superintendent, does not constitute
a proper auditing of the expenditures. The fact that the superintendents
make purchases without consultation or direction, and are vested with the
power to pay therefor, furnishes a strong reason why the board should pass
upon the bill and cause a proper audit to be made.
The treasurer lives at Eldora, and deposits his funds in two local banks.
The committee ascertained that some interest and premium upon state
warrants issued to this institution were received by these banks, and proper
accounting therefor was not made to the institution, except in one instance
where half of the premium on a warrant was by the bank paid to the treas-
urer, who covered it into the institution's funds. The committee believe
it to be the duty of the board to insist upon a proper accounting for such
accumulated interest and premiums, and repeat what has been said respect-
ing this subject in our review of other institutions, that the state is
entitled to all such sums.
The committee examined as to whether the appropriations made by the
legislature in the period covered by our inquiry were properly expended.
We found that a sum in excess of $2,000 was, by the management, taken
from the support fund to supplement an appropriation made for the con-
struction of a wing for the administration building. Small amounts of the
support and contingent funds have also been used in making permanent
improvements and to increase other special appropriations.
Section 2731 of McClain's code provides that a list of the officers and
their salaries shall be published in the biennial report which the trustees
are required to make to the general assembly. This requirement, which
is re-enacted in the new code, has not been observed by the management.
The Twenty-sixth General Assembly increased the per capita allowance
of the Eldora department from $8 to $10 per month. The girls' department
receives a per capita allowance of $11 per month.
、
47-
During the short service of the present superintendent at Mitchellville,
the committee observed evidences of economy that will undoubtedly result
in reducing the per capita expense.
Under the new code, the law compels the discharge of the girls at
Mitchellville when they reach the age of eighteen years. As girls of six-
teen years of age can be sent to the school, this permits an attendance of
only two years, which the management believes to be an insufficient length
of time to secure the best results in education or reformation. Prior to the
new code, the girls might have been required to stay until they arrived at
the age of twenty-one.
The same criticisms that have been often made in this report as to the
manner in which supplies are purchased and the failure to insist on the
employes accounting for the consumption and distribution thereof, and the
failure to maintain a thorough system of bookkeeping, can be justly urged
against both departments of this school.
AGRICULTURAL COLLEGE AT AMES.
The attendance at this college is about 573. The college has heretofore
received the means for its maintenance from the federal goverument. The
state constructed the buildings at an expense of about $400,000, and fur-
nishes the equipment of the school. The president of the college is paid
$3,850 annually.
The original endowment was secured by an act of congress in 1862. This
act was supplemented by another, appropriating $15,000 the first year,
which was to be increased $1,000 annually until the maximum appropria-
tion amounted to $25,000 annually. Under this endowment the college
received $24,000 last year.
Congress subsequently appropriated $15,000 annually to be expended for
experimentation purposes.
These three sources of income constitute the support fund from the
federal government. This fund cannot be applied, directly or indirectly,
to the construction of buildings or in the making of permanent improve-
ments, but must be expended for the "teaching of the mechanic arts and
sciences to the industrial classess, not excluding classical and scientific
studies."
The original endowment fund has always been invested by parties other
than the college treasurer. The office of financial agent was created by
act of the Iowa legislature in 1884. Prior to this time the funds from the
original endowment were invested in bonds and stocks. About the year
1884 congress made a provision which permitted the state of Iowa to invest
the endowment fund in first mortgages on real estate. As all epxenses for
the investment of this fund were required to be paid by the state, it was
thought proper to create the office of financial agent. This officer is paid
from the state treasury like other state officers.
In 1868 it was determined, as the college was not expending its revenue,
to invest a part of such unexpended revenue. This was done by the pur-
chase of real estate to the amount of $15,000, known as the "Sioux City pur-
- 48-
chase." This investment proved advantageous, the land increased in
value; and a fund was derived called the "accumulated interest fund,"
which now amounts to about $81,500.
The original endowment fund was invested since 1884 by the financial
agent; but the accumulated interest fund was invested by the treasurer of
the college, without expense to the state, in first mortgages on improved
farm property.
In November, 1897, the board of trustees transferred the proceeds of
the mortgages in the accumulated interest fund, when collected, to the
state treasurer, who is the actual custodian of all the mortgages and
investments of the original endowment fund.
The financial agent hereafter will be charged with the additional duty
of investing the accumulated interest fund, which has heretofore been
invested by the college treasurer.
The financial agent resides at Odebolt, and received, until the new
code was adopted, $1,200 per annum and 1 per cent commission in addition
thereto on all loans made. About $40,000 to $50,000 of new loans, includ-
ing renewals, are now annually made by him. Most of the loans are made
on farm land in northwestern Iowa.
The treasurer of the college receives $1,500, and has his office in the
college building. He performs many duties other than to act as custodian
of the college funds.
The endowment fund, together with the value of the real estate remain-
ing unsold, and which is to a great extent under lease contract of sale or
by the college, amounts to about $680,000.
Inquiry developed that no loss has resulted to this fund on any invest-
ment made since the office of financial agent was created in 1884; only two
foreclosures of loans were made since that time, and under which title to
the mortgaged lands became vested in the college.
The expense and salary of the financial agent have not exceeded $2,000
annually, the maximum compensation fixed in the new code.
Under acontract which the board made with the financial agent, a sum
not in excess of $10,000 is permitted to be kept by the agent for the purpose
of making loans, and he furnishes a bond in the sum of $50,000. As the con-
tract permits the financial agent to draw a considerable sum from the state
treasury, we deem it the duty of the board to see that the funds are kept
loaned and all accumulations are accounted for by such agent.
Both the financial agent and secretary keep a register of loans, and an
examination of the methods pursued by the secretary in recording the loans,
and of the books kept by him, leads the committee to believe that a very
safe and prudent method has been devised for the investment of the college
funds.
The several appropriations heretofore made by the state did not in
terms provide for any state appropriation for the purpose of increasing the
income.
The only expenditures made by the state, as heretofore stated, were for
constructing the buildings, improvement of the properties, and equipping
the college. Section 2674 of the new code provides "For the repairs, gen-
eral improvements and current expenses of the State College of Agriculture
and Mechanic Arts, in its several departments and chairs, and in aid of the
.
..
49-
2
income fund, the sum of $18,500 is annually appropriated out of any money
in the state treasury not otherwise appropriated." This statute commits
the state to the policy of making an appropriation for the income of the col-
lege, so it can be now said that the college draws its support from the fed-
eral and, to a certain extent, from the state government. The language
quoted is exactly the language adopted in making the appropriations for the
State university.
The endowment fund has in recent years been loaned at 7 per cent
interest. A few months since the board of trustees authorized the finan-
cial agent to make loans under certain conditions at 6 per cent. As it is
evident the rate of interest is declining, the fixed income from the col-
lege investments will become less, and the state will probably be called
upon in the years to come to make further and larger appropriations for
income purposes.
The committee examined in detail the appropriations made by the
Twenty-fourth, Twenty-fifth and Twenty-sixth General Assemblies and
found that such sums were all expended except an appropriation of $3,500
for sewerage purposes made by the Twenty-sixth General Assembly. The
committee was pleased to notice that the college management strictly
observed the statute which prevents the drawing of appropriations unless
needed within thirty days from date of requisition. Some payments are
yet due upon contracts for other construction work, but appropriations
therefor may be considered as expended.
The manner in which the state makes many of its appropriations is
illustrated by this sewerage appropriation. The committee, after inquiry,
is satisfied that the board of trustees at the time the appropriation was
solicited and procured had not itself determined or ascertained the proper
way in which to perfect the sewerage system. Differences of opinion
existed on the part of the members of the board, and not until the Novem-
ber, 1897, session of the board did it determine the manner of its expendi-
ture, although the appropriation was secured in the winter of 1896. The
board, at its meeting in November, 1897, determined that the work on this
sewerage system should be done differently from the representations that
were evidently made to the legislature at the time the appropriation was
secured. It is probable that the expenditure will be properly made. We
cite this as an illustration of the lax method which the legislature has here-
tofore pursued in making its appropriations. It must appear by the mere
statement of the fact that such a practice is not business-like, and has very
little in it for commendation.
The appropriation to secure water supply at Mount Pleasant, to which
reference was made, was another illustration of the method of making
legislative appropriations.
We are of the opinion that no appropriation for permanent improve-
ments should be asked of the state, or made by the legislature, not only
until the needs and merits of the appropriation are determined, but the
exact manner in which the appropriation is to be expended should likewise
be provided. Plans and specifications with proper estimates should accom-
pany the demand for the appropriation, and remain a part of the records
of the legislature. This would afford a guide to the legislature in passing
on the propriety of improvement, and enable the public and general
4
— 50 —
assembly to determine whether such expenditure has been properly
made, and in harmony with the provisions of the appropriation act.
The buildings at the college and repairs thereon have been constructed
under a contract system by advertising for bids and letting the contract to
the lowest responsible bidder. The work has always been properly super-
vised. The officers and trustees are satisfied, as well as this committee,
that the state is saved many thousands of dollars by letting contracts for
the construction of its buildings. This policy, however, is not pursued at
many of the state institutions, where it is claimed that the better and
more economical way is to construct the buildings by days' labor under the
direction of the superintendents or hired foremen. The contract system is
either right or wrong; the conditions are not so wholly dissimilar as to make
it permissible to adopt one system at one institution, and a different system
at another. By permitting each institution to determine these important
matters for itself, the state acts in a manner different from an individual or
private corporation engaged in different works of construction.
This college has what is termed the "Dormitory system," and a steward
is employed to purchase supplies and food-stuffs for the students, who are
expected to lodge and board at the college. The financial account of these
matters forms a part of the treasurer's books. The boarding and dormitory
system is self-sustaining. It is believed by many of the officers of the col-
lege and some of the members of the board of trustees that the dormitory
system should be abolished. The committee shares in this view, and
believes that if the students procured rooms and board at places other than
on the college grounds many complaints which are sometimes urged against
the college would not exist. It might be very proper to still retain “Mar-
garet hall," which is now occupied by lady students, if it were known that
living at this hall was entirely voluntary. If this change is made, build-
ings on the premises now occupied by the students as dormitories could be
used for eucational purposes. It would tend to broaden the character of
the college, remove all complaints against the boarding system and result
in a probable increase of attendance.
In order to afford instruction to students in creamery work there is
maintained on the college grounds a creamery which manufactures about
$20,000 worth of the product annually. A milk route for 200 patrons is
maintained, and during portions of the year about 20,000 pounds of milk is
daily bought at the creamery. The treasurer keeps the books and
accounts for such transactions and for the sales of the manufactured pro-
duct, and such labor forms no inconsiderable part of his duties. This
creamery has been operated hitherto at a loss of $1,100 annually, and an
appropriation of $800 has been made to meet the probable deficit for the
ensuing year. We say it has been operated at a loss, speaking of the com-
mercial side of the transaction. Of course it furnishes instruction to those
interested in practical creamery work. We refer to this because
it might not be generally known that the state is engaged to such an extent
in a manufacturing and commercial enterprise. Measures are soon to be
taken to give practical instruction in farm dairying, which the farmers of
the state will be pleased to note.
The secretary of the board of trustees is also professor of mathematics.
The books of the secretary are well kept and constitute a check on the
– 51 -
books of the treasurer, and likewise a check upon the books of the financial
agent, and upon transactions between the financial agent and the state
treasurer. The proceedings of the board are fully set forth, and a com-
plete record of the transactions of the board are kept by the secretary,
which enabled the committee to intelligently understand all of such pro-
ceedings. The committee is satisfied that the method adopted by the
secretary in checking the books of the other officials, and the interest dis-
played by him in the protection and preservation of the endowment fund,
have contributed largely to the satisfactory condition in which we found
the college investments.
Reference to the statutes governing the agricultural college, discloses
that a more certain and strict method is required for the government of this
institution than other institutions in the state. We believe the advantages
accruing from such statute will be apparent to any person who visits the
college, and examines its books and records.
All bills are properly audited and passed on before they are paid, which
can be said of but few other institutions in the state.
The board of trustees is composed of eleven members, one from each
congressional district. An examination of the several members of the
board present when the committee visited the college, satisfied the com-
mittee that such members show a greater familiarity with the institution
and its expenditures than the members of boards of many other institutions.
We found that members of the families, or near relatives, of four members
of the board were employed at the college. This was unusual, for inquiry
at other institutions developed that a like condition did not exist. We are
satisfied that the trustees secured their relatives the places on the pay roll,
and it is probable that such parties render value for the compensation paid.
This practice, however, can not be commended. It exposes the board to
a distrust and criticism that works no good to the college. It can be readily
seen how a member of the board who has a relative on the pay roll, will
sustain such relations to the management as will prevent that just and
ready criticism, that disinterestedness and impartial inquiry into the affairs
of the college which the state has a right to expect from its board of
trustees.
We further found that the board of trustees, with one or two exceptions
have been in the habit for years of giving an improper construction to
sections 2634 and 5104 of McClain's code.
Section 2634, referring to the compensation of trustees, provides "that
no member shall receive compensation for more than thirty days in each
year." Without doubt this statute intended to prevent an excessive charge
for trustees' compensation, whether due for per diem service or for
expenses. It was ascertained that no attention was paid to this by most of
the board, in so far as it affected the expenses of such members. If a mem-
ber attended a meeting of the board for three days, he would charge per
diem compensation for one day, but expenses for three days. Another
member, to supply a vacancy in a professorship, made a trip to eastern
cities, spending fourteen days, and we found that he charged a per diem
compensation for one day, with an expense bill for fourteen days of $120.
By charging a less number of days for per diem compensation than actually
spent, such members kept within the thirty day limit, but no such limita-
tion was put upon the compensation for expenses. There is no record or
52-
voucher which gives evidence of these transactions, but the facts were elic-
ited on examination of witnesses before the committee. It is needless to
say that this is an evasion of the statute, and was doing by indirection what
the law forbade. In justification, it is said that the services were rendered
in good faith for the college, and the number of days of actual service was
lessened for a proper purpose. We take it that the board should not deter-
mine this for itself, when the statute has fixed the maximum compensation.
Much difficulty will be experienced in unraveling the excessive charge
that is thus made the state, and we are content to state the fact as we
found it.
We especially call attention to this excessive charge, because under sec-
tion 2617 of the new code, it is provided that, "No regent or trustee of any
state institution shall charge compensation for more than thirty days in one
year." If it is thought the abuse is important enough, the statute may be
amended to exclude other trustees from taking the same view of the statute
which we have disapproved.
Chapter 107, of the acts of the Twenty-fifth General Assembly, estab
lished a school of mines for the state of Iowa which shall be a department
of, and under the control of the State Agricultural college. It is quite
probable were it not for this statute, the Agricultural college would not have
such department. In the last year there were but two students in the sen-
ior class, one of whom graduated, and there were no students in the junior
class. The truth is, the department does not cost very much, for no professor
was employed especially for it, and there is an expenditure of but two or
three hundred dollars annually for equipment and apparatus.
The legislature by this act created a mining department at this college,
though there is a like course taught at the State university. Treated
wholly from the standpoint of the taxpayer, it might well be said, that no
money should be appropriated or expended for like special courses at the
agricultural college and at the university, unless the legislature is satisfied
that the needs of the state require, and the facilities for such courses of
instruction at one institution are not adequate for the demands made upon
it. This is especially true when, as is shown in the preceding part of this
report, the legislature is now committed to the policy of appropriating
money for the income of the Agricultural college, which income may be
expended in the salaries of professors and assistants. There is, and should
be no rivalry or friction between the State university and the Agricultural
college. Each is fulfilling its work well, limited as each has been by the
appropriations given it by the legislature. The time has come when an
earnest effort should be made in the spirit of fairness to both institutions
to determine the courses of instruction to be pursued by each, in order
that both may work out their purposes in harmony, and that the taxes lev-
ied on the people shall not be spent unnecessarily in duplicating appro-
priations.
The suggestion has been frequently made, and we deem its repetition
proper, that some board or committee should be created for the purpose, of
arriving in an impartial manner, at a full understanding between the
Agricultural college and the State university, so like chairs for like pur-
poses shall not be maintained at both places, unless the instruction at one
institution is inadequate for the demands upon it. This seems to be a
practical suggestion made, we confess, from a pecuniary standpoint.
53 —
In 1892 there were thirty students in the veterinary department of this
college. In 1897 there were but ten students; of this last number there
was one graduate, four in the junior year, and five in the freshmen year.
Two full professorships are maintained in this department, beside other
lecturers. One of the reasons, it is said, why this department is maintained
at this expense, for this number of students, is that the National Veteri-
nary association of the United States provides for certain requirements in
the college from which a graduate comes before he can be admitted in such
national association. The marked decline in the value of horses is given
as a reason why the number of students has decreased. Be this as it may,
the committee believe that if the board of trustees reduced the expendi-
tures of this department, and had but one regular professor, making a sav-
ing of sixteen to seventeen hundred dollars a year, that the public and
those interested in the welfare of the college would approve such action.
A revival of interest in this state in the veterinary science will not be
secured or encouraged by maintaining the department at its present
expense. When the revival comes, the department expenses may be
increased, but under present conditions economy dictates a reduction in the
cost of this department. We say this, fully recognizing the great agricul-
tural and live stock interests of the state.
The board of trustees, during the summer of 1897, instituted an investi-
gation into the salaries paid the professors and teachers, and as to the
amount of service rendered by all the employes of the college. This com-
mittee, during its inquiry, read the evidence so taken, and we are con-
vinced that the trustees will correct any abuses found to exist.
Before closing our report of this college, we say that the board has
recently changed the beginning of the school year and the commencement
date so it will be more in harmony with other colleges and schools. This
will increase the attendance, which every friend of the college believes
should be had. The officers stated to the committee that the college could
afford instruction to nine hundred or a thousand students, as well as to the
present number, and not cause very much increase in expenditure. If it
were generally known that the Agricultural college is one of the great
institutions and properties of the state, affording instruction along literary
and scientific lines, free of tuition charges, and that this instruction com-
pares very favorably with that given in any university or college in the
western states, we believe that the number of students would be doubled in
a short time.
STATE UNIVERSITY AT IOWA CITY.
The State university is, by the constitution, located at Iowa City. It is
governed by a board of regents composed of one member from each con-
gressional district; the governor and the state superintendent are also mem-
bers of the board.
There were 1,331 students enrolled in the year 1897. In 1887, there were
571. In 1897, there were 101 professors, instructors, lecturers and assistants.
In 1887, there were 49.
51-
The cost per student in 1897, was $105; in 1887, the cost was $139.
The total income of the university in 1897 was $148,000. The salary list
for the year closing June, 1898, is $102,000.
The state has expended about $300,000 in the construction of buildings.
The president of the university receives a salary of $5,000, and in addi
tion is allowed traveling expenses in the sum of $250.
Under the statute, the board appoints an executive committee which
shall audit all claims, and whose chairman shall draw all orders for such
audited claims on the treasurer, which orders shall be countersigned by
the secretary. This committee is required to keep a specific and complete
record of all matters involving the expenditure of money, which record
shall be submitted to the board of regents at each regular meeting. The
executive committee is composed of members of the board.
The Agricultural college and the university are the only institutions
that have such large boards. We presume the executive committee is pro-
vided for the university in order to avoid the expense and delay incident to
summoning the whole board for the transaction of the university business.
The executive committee is, therefore, charged with the direct manage-
ment of the institution. When the committee visited the university, all
the members of the executive committee were present and were examined
as to the condition of the university. Some members of the board did not
evince the possession of sufficient information as to the receipts and expend-
itures, and the course of transactions at the university, as would, in the
judgment of this committee, enable them to properly and intelligently dis-
charge their trust.
The fact that the board of regents is composed of such a large number
results in a division of the labor of the trustees. This division prevents
the acquiring by a member of information as to the other departments of
the university, and of the business that necessarily comes before the board.
Careful inquiry satisfied the committee that the board of regents has not
drawn compensation for per diem or expense charges in excess of the
amount allowed. For the biennial period ending June 30, 1889, the com-
pensation of regents was $3,913.99. For the biennial period ending June
30, 1895, it was $5,718.23; and for the biennial period ending June 30, 1897,
it was $5,014.94. This increase can be explained in part by expenses for
trips on university business to places outside of the state. The new code
will prevent the making of such charges in the future.
The treasurer of the university is cashier of a local bank at Iowa City.
He furnishes a bond of $150,000 and is paid a compensation of $800 per
annum.
The endowment fund amounts to about $233,000, is invested in first mort-
gages upon farm property, and has netted in recent years 7 per cent interest.
The loans mature on January 1st of each year, and only two loans of the
entire investment were in default in July of the present year. Ninety per
cent of the loans are made in Johnson county and the counties contiguous
thereto.
The present treasurer has filled this office for seven years, during which
time he has made about 75 per cent of the loans of the entire fund in his
hands. About $35,000 in loans are made or renewed each year. The treas-
urer makes the loans without any previous consultation or approval of any
— 55 —
officer or trustee of the university and files a report at the end of the year
showing the number of loans and the character of the securities received.
The board of trustees or the executive committee acquire no other infor-
mation as to the investment of the college funds except as gathered from
this annual report.
Section 2614 of McClain's code requires the secretary to keep books
which "shall also show how the permanent fund of the university has
been invested; the amount of each kind of stocks, if any, with the date
thereof and when due, and the interest thereon and when and where pay-
able; the amount of each loan, if any, and when made, and payable to whom
and how secured, and at what rate of interest, and when and where payable.
When any further sales of lands, or further instruments shall be made, the
secretary shall enter the same upon his books as above set forth." From
this it will be apparent that the secretary is required to keep books which
shall constitute a check upon the treasurer, and when a loan is made it is
the duty of the treasurer to apprise the board of trustees so the secretary
may record said loan as the statute contemplates. This has not been done,
and is not now the practice. The treasurer should report the loans, when
made, and the secretary should record them. It is proper to observe that
the records of the loans, which the statute provides to be kept, has not been
kept by the secretary for the last two years, and the record of the perma-
nent fund as provided by section 2614 of McClain's code, has not been kept
on the books of the secretary since the year 1892, which neglect should be
remedied.
The treasurer informed us that during the last six years only two exam-
inations were made by the board of trustees of the notes and mortgages held
by him, representing the investment of the endowment fund.
This committee examined these securities, which were found in a satis-
factory condition in the vault of the bank of which the treasurer is cashier.
The state treasurer, it will be recalled, is, under the law, the custodian of
the mortgages and evidences of debt, representing the investment of the
endowment fund of the Agricultural college.
The secretary of the board of trustees has been connected with the uni-
versity since the year 1864. His information respecting the government of
the university is full and accurate, and he renders very valuable services
to the university in the work of supervision in the absence of the board.
The secretary receives all tuition fees and other payments from students,
and is required to pay such sums to the treasurer. An examination of the
secretrary's accounts at the bank discloses that for some months he has had
as high as $38,000 of the university funds deposited in his account. This
neglect in turning the money over to the treasurer should be avoided as the
treasurer is the proper custodian of all funds and gives adequate bonds.
It is the duty of the secretary to countersign and register all orders for
money on the treasurer, and no order can be paid unless countersigned by
the secretary. The secretary, under the method now pursued, is unable to
check up his warrant register because of the failure of the treasurer to
return the warrants until the end of the year. The warrants should be
returned at least monthly, for purposes of verification, as then the object of
the statute will be secured in making the treasurer's books a check on the
secretary, and the secretary's books a check on the treasurer. To return,
— 56 —
at the end of the year, warrants to the amount of $160,000 without any com-
parison during the year is not proper, nor is it a compliance with the statute.
The treasurer keeps no books which would indicate the different sources
of college revenue which he receives from the secretary. Formerly it was
the practice, when money was paid to the treasurer by the secretary to
accompany such payment with a deposit slip indicating the source from
which the money was received. It appears, the treasurer had no books in
which such funds could be separately kept, and in late years it is the
practice for the secretary to deposit the money without indicating from
what source he receives it, and the treasurer regards himself merely as the
custodian to account for all moneys received. Business prudence, as well
as a compliance with the purpose of the statute, indicates that the treasurer
should keep books showing the several sources of revenue. We say this
should be done even if the salary of the treasurer be increased, for in no
other way will a proper account of these funds be kept so the books of one
office will be a check on the books of the other.
About $6,000 was taken by the board of trustees from the income fund,
which fund is composed of interest upon the permanent endowment fund
and the appropriations made by the legislature for support, and paid for
the completion of the homeopathic and dental buildings. It is doubtful
whether the expenditure of the income fund for this purpose is permissible.
The application of this money for this purpose obscures the amount required
or expended for the support of the university.
All buildings and permanent improvements are constructed by letting
contracts to the lowest responsible bidder, and having the work properly
supervised. The hospital building now being built is constructed in this
manner, and about twenty bids were filed in response to the published
advertisement. The bids ranged from $60,000 to $43,000. It is expected
that this building will be completed and finished with heating plant, suffi-
cient for this and two other buildings, with the revenue received for one
year from the one-tenth of a mill tax levy.
It is estimated that the tax levy authorized by the Twenty-sixth General
Assembly will, during the five years for which it is levied, create a fund of
$275,000. At the June meeting, 1897, of the board, it was determined to
build a collegiate building on the south end of the campus, at a cost of
about $165,000. Plans and specifications are now being prepared for this
building. In authorizing this levy, it was provided "That for the purposes
of providing for the erection, improvement, and equipment of such neces-
sary buildings as shall be determined upon by the board of regents of the
university, there shall be levied a special tax of one-tenth of a mill upon
the dollar upon the assessed valuation of the property of the state, for the
erection of buildings for the State university." The legislature has thus
provided the revenue and left the determination of the number, kind, and
character of the buildings to the board of regents. We have every confi-
dence that the discretion and plenary powers given to the board in this
instance will be properly executed, but the experience of the committee
requires us to say that it is a precedent that should not be followed. The
legislature should retain, as the state institutions are now managed, a more
firm grasp upon the revenues in order to direct the manner of expenditure.
The secretary keeps very full minutes of the proceedings of the execu-
tive commitee, of the board of regents, the records of all bids submitted,
-
57-
and proofs of publication of notices, which afforded the committee an easy
opportunity to observe the practices of the board, and the manner in which
expenditures were authorized. At no state institution is there a more
complete and systematic effort in recording the transactions of the board.
An examination of the accounts shows that there is a deficit of $6,000
this year, indicating that the regents have appropriated this amount in excess
of the income of the university.
The state is a large consumer of coal, and the management of each insti-
tution has a different opinion as to the kind of coal to be consumed. At
some, lump coal is used; at others, nut; while still others believe the great-
est economy is secured by the consumption of slack. The location of an
institution, to a certain extent, determines the kind of coal to be consumed,
but the committee knows that the greatest economy is not secured by per-
mitting each institution to determine these matters for itself, without refer-
ence to the experience of other institutions, or the practice of individuals
and corporations in the locality of the institution. The board of regents at
Iowa City, some few years since, made some experiments as to the cheap-
est coal that could be used, and made a slight expenditure in altering the
boiler plant. Figures were exhibited to the committee, showing that slack
coal was the cheapest and a saving of $1,500 per annum, since these changes
were made. We cite this as an instance of the want of uniformity in the
expenditure for probably the largest single item of purchase by the state.
A diligent effort is made by the board to purchase materials of construc-
tion from, and to furnish labor in the work of construction to, residents of
of the state.
The committee inquired into the salary list, and found that for next
year, as heretofore indicated, the university would spend $102,000 for this
purpose. There has been an increase in recent years in the salaries paid
many of the professors, and there has also been an increase in the number
of teachers, tutors, and assistants. Comparison of the salaries, as required
in the resolution creating the committee, is very difficult because the uni-
versity must be guided in fixing the salaries for its professors, to a certain
extent, by the compensation paid in universities of equal standing, and in
the educational centers of the respective states. We compared the published
reports of such colleges and universities, and gathered other data for the
purpose of examining the salary list with other universities. The result is
that the Iowa university has a salary list which cannot be subjected to much
criticism. The cost of salaries per student, and the number of students to
each professor, is lower in the Iowa university than in a dozen western states,
except possibly the state of Minnesota. There is some uncertainty, how-
ever, in understanding the published report of the Minnesota university.
An examination by the committee of the pay roll shows that in some
instances a professor is paid salaries out of two different funds, or speaking
more exactly, the professor's name appears twice on the pay roll. Upon
inquiry being made why this was so, we were informed that in some
instances a professor divides his salary with an assistant whose name does
not appear on the pay roll This is done with the privity of the board of
regents; the committee has no hesitancy in saying it is a practice that
should not be encouraged, as it avoids that certainty and accuracy in
accounts so much to be desired. It has the appearance of a professor sub-
letting a part of his labors and dividing his salary. No money should be
58-
paid except for services actually rendered, and then paid only to the party
actually entitled thereto.
At the June, 1897, meeting of the board of regents, an inquiry was insti-
tuted by the board for the purpose of informing itself of the time actually
spent by the professors in class or laboratory work, to the end that the
board may be better acquainted with the management of the institution
and the amount of work done by each professor. When the committee
visited the university, the board had not completed its inquiry, and we
believe that such investigation will result in good to the institution and
will tend to such a proper adjustment of salaries as will remove any inequali-
ties now existing.
The board, by the reduction of salary, and without impairing the effi-
ciency of the department, made a saving of $1,300 in the dental school. A
proposed change in the law department for the school year of 1898 is
expected to result in a saving of $800. This department, however, has been
for some years self-sustaining. Chancellor McClain, of this department,
receives $3,250 per annum. Next to the president, this is the highest com-
pensation paid. Mr. McClain's eminent ability in his line of work renders
his connection with the law school of great value to the state, and though
he performs many outside labors, we are satisfied that his work as pro-
fessor has not been neglected.
During the work of the committee at the university we were impressed
with the apparent disposition of some of the members of the board to take
a more active interest in the work of the university and to familiarize
themselves with every detail of its government. Since the committee were
at the university, we are informed that the executive committee has been
reorganized (owing to the resignation of certain members) and many desired
changes looking to a closer management of the university have been estab-
lished.
The liberality of the state in providing for its public charities is not
exhibited in the appropriations made for its educational institutions. The
state educational institutions are entitled to a greater appreciation, and to
a larger share of the public expenditure. The legislature should remember
that it is only in state universities and schools that the faculty is entirely
free from the domination of those who, by creating chairs and endow-
ments, seek to impress their views of social, economic, and other questions
on the student population of the country.
IOWA SCHOOL FOR THE DEAF AT COUNCIL BLUFFS.
This school is governed by three trustees, one of whom is a resident of
Council Bluffs, and was treasurer of the board until April, 1897.
In 1881, there were 260 pupils, and in 1897 there were about 300 pupils.
This is the smallest increase during thirteen years in the attendance or
number of inmates of any of the state institutions.
The superintendent, who does not teach, receives $2,250 annually. In
1886, when first employed, he received $1,600. The principal of the school
is paid $1,700 annually.
The superintendent is the managing officer and makes all purchases,
without the employment of a steward.
59
The income of the school is derived from two sources. It receives $35
per quarter per capita from what is known as the "Current Expense Fund.”
It also receives $21,000 annually, which sum is termed the "Ordinary Fund.'
Section 2776 of McClain's code provides "For the purpose of meeting
current expenses, there is hereby appropriated the sum of $35 per quarter
for each pupil in said institution.”
Section 2777 of McClain's code provides "To meet the ordinary expenses
of the institution, including furniture, books, school apparatus, and com-
pensation of officers and teachers, there is hereby appropriated the sum of
$21,000 per annum, or so much thereof as shall be necessary.
Since 1863 until the latter part of the year 1896, the current expense
fund was drawn by requisition, which was based upon the number in the
school on the day the requisition was dated. The requisition was dated to
suit the convenience of the management, and if additional students were
present during the succeeding part of the quarter, a supplemental requisi-
tion was drawn. The state auditor discovering the uncertainty that thus
existed, refused to further honor such requisitions in 1896; the special ses-
sion of the legislature in 1897 amended the statute, and provided that the
per capita allowance should be based upon the average attendance during
the preceding quarter.
The new code, section 2777, appropropriated "the sum of $21,000, or so
much thereof as may be necessary for the payment of salaries of officers and
teachers in said institution, the same to be estimated at the end of each
quarter." Prior to the enactment of the present law very little heed was
given in the management of this institution to the expenditure of the funds
for the different purposes indicated by the statute. It is claimed by the
trustees and superintendent that the change in the statute requiring the
requisition to be drawn at the end of the quarter, and based on the average
attendance, will reduce the revenues of the school from $4,000 to $7,000
annually. For the purpose of ascertaining whether the appropriation of
$21,000 under the new law, which is to be applied only to the payment of sal-
aries of officers and teachers, was sufficient, the committee examined the
pay-roll for the month of October, 1897, this being the first month in which
the new law was operative. The pay-roll, as made by the bookkeeper,
showed for this month a list of officers and teachers, and if the same com-
pensation was paid during the year, the annual expenditure for officers and
teachers would be $18,749, or $2,251 less than the annual appropriation under
the new law. The superintendent, however, did not desire that the list as
made by the bookkeeper should be considered as authoritative, for the
board had not passed on the salary list, nor upon those who should properly
be termed officers. The committee believe if a strict adherence is had by
the management to the requirements of the statute, that the appropriation
for officers and teachers is adequate, and no uncertainty should exist about
who may be properly classed as an officer.
At the present time the school is in a bad financial condition. On June
30, 1896, the outstanding indebtedness was $10,286.21. On June 30, 1897,
this indebtedness had increased to $18,058.69. This increase of about $8.000
in one year is due in large part to the fact that the expenses for an addi-
tional quarter are added to the indebtedness of the school, by reason of the
change in the law which requires the requisition to be drawn at the end of
60 —
the quarter.
The indebtedness has existed for some years, and the school
is unable to free itself of the burden. Most of the debt is constantly over
six months past due, and the management has acquired the reputation with
trades people and others who furnish supplies, of being greatly behind in
the payment of claims; this strongly militates against any effort to econo-
mize, because purchases can not be made at cash prices, and the school for
this reason pays more than it should for i's supplies.
The resident trustee informed the committee that it is impossible for
the management to discharge its debts unless the legislature makes an
appropriation therefor. When the present superintendent took charge of
the institution ten years ago, it was practically out of debt, and the com-
mittee believes that the deficit now existing results from a too liberal, if,
not extravagant, policy in the expenditures of the school's funds.
The annual appropriation of $21,000 has apparently not been sufficient to
pay the compensation of officers and teachers—at least the officers' and
teachers' salary has not been separated on the books so it can be definitely
ascertained.
In 1893 the wages account of the school was $30,574.91; in 1894 it was
$31,394.33; in 1895 it was $31,311.52; in 1896 it was $31,437.55; in 1897 it was
about the same as in 1896.
This makes the annual wages account $10,000 in excess of the amount
appropriated by the legislature. It is probable that the compensation of
employes other than teachers and officers is included in these figures, and
the committee was unable, for this reason, to determine with that cer-
tainty that is desired the amount paid to officers and teachers. What has
been so often repeated in this report is applicable here—that the officers of
the state institutions do not regard it necessary to comply with the enact-
ment making appropriations, and to separate their expenditures as the law
contemplates.
The account of "petty cash” was examined, as well as the many war-
rants that appear payable to the superintendent. It appears that he makes
sales of farm products, stock, hogs, etc., and that some remittances for
clothing are made directly to him. During the year several thousand dol-
lars pass through the hands of the superintendent, and the bookkeeper has,
under the direction of the superintendent, authority to transact the busi-
ness incident to the receipt of and expenditure of such sums of money.
When the amount in the "petty cash" fund exceeds $300 the surplus is
turned over to the treasurer, though a balance of $300 is constantly retained
in this fund.
Other officers handling the moneys of the state are required to give
bonds, and we think it but a prudent measure to require the superintendent
and bookkeeper, while pursuing the course of business had at this school,
to give bonds. The superintendent at the school for the feeble-minded is
required by statute to give a bond.
The former treasurer received interest on the funds of the school
deposited in the bank, and it is the opinion of the committee that such
accumulation should be accounted for to the institution.
The treasurer's books do not show an account with each fund. This
should be corrected, and the board should insist that the treasurer open
and keep an account with each fund.
– 61 —
The committee examined into the expenditures of the appropriations
made by the Twenty-fourth, Twenty-fifth, and Twenty-sixth General
Assemblies. We found that such appropriations were all expended except
one item of $500 granted by the Twenty-fifth General Assembly for iron
doors and shutters; only $78 had been expended, although the full sum
was drawn from the treasury. A compliance with the acts of the Twenty-
third General Assembly would not have permitted the withdrawal of this
sum unless it was expended within thirty days from the date of the
requisition. There is no reason why the balance of this expenditure should
remain in the treasurer's hands for three years. If it is not to be expended
it should be returned to the state treasury.
The work of construction and the making of extensive repairs was in
part done by contract, and in part by days' labor. The superintendent
supervised the work, and during the year 1896 his salary was increased
from $2,250 to $2,500 for extra compensation for work of supervision. In
1897 his salary was reduced to $2,250.
The superintendent, like the superintendents of other institutions, exer-
cises the powers which are supposed to be lodged with the board of
trustees. The board acts in an advisory rather than an administrative
capacity. In the purchase of supplies, the superintendent has never
bought under a system of competitive bids, though he claims to purchase
the supplies as well as he could buy them under such system. The fact is
that the grocery supplies have been for years past bought of two firms in
Council Bluffs; the drug supplies of two or three firms; the hardware sup-
plies of two or three firms, and the committee is convinced that the
purchasing of these supplies from the same parties during a course of
years begets a looseness that does not secure to the state the results that
would come from more competition. The certainty of sale destroys com-
petition, and increases the cost to the state above what would be paid if
the goods were purchased in the open market.
Supplies are not purchased for any definite period in advance, but are
bought from day to day as the occasion arises. The meats are purchased
under an annual contract which fixes the price to be paid; an examination
of the bills shows that the meat is not bought in quarters and large amounts,
but special parts and cuts are had at prices greatly in excess of the average
price paid at other institutions. The liberal expenditures made at this
school are justified by the superintendent, because it is his ambition to
make the school a home rather than an asylum, and he believes the unfor-
tunate wards of the state are entitled to all that he gives them.
There is practically no auditing or approval by the board of the bills of
the school, though an attempt to audit is made. The superintendent sends
the bills to a trustee at his home. This trustee, in the absence of the others
and without conference or consultation, approves the bills and expresses the
package to another trustee, who in turn approves and forwards the bills to
the superintendent at Council Bluffs. We were unable to ascertain that any
bill sent by the superintendent was returned without the approval of the
trustees. The trustees admitted in their examination before the committee
that in auditing the bills they have no personal knowledge of the receipt of
the goods, or of the prices to be paid, but assume such purchases were made
and were proper because the superintendent sent the bills. It is needless
62-
to say that auditing of bills in this manner is useless, and does not secure
the examination or exercise of judgment which the state has a right to
expect.
Orders on the treasurer of the institution are required to be signed by
the president and secretary. During the last ten years, the president of
the board has signed these orders in blank, and left them with the secretary
to be filled out and signed by him when the occasion requires. When the
bills are audited at the homes of the trustees, as heretofore shown, without
any personal knowledge of the expenditure, or without the advantage of con-
sultation with other members, they are returned to the superintendent, who
as secretary of the board, makes out the orders on the treasurer, which
have been heretofore signed in blank by the president. We are constrained
to believe that it is these lax methods that caused the indebtedness of this
institution, and that such deficit does not come from a failure of the state
to make adequate appropriations for its support or maintenance.
The compensation paid trustees is reduced because of the auditing of
these bills at their homes. This small saving, we are sure, is offset a hun-
dred fold by the lack of proper examination and supervision which the
trustees have it in their power to exercise.
There is no system of requisitions upon the supply department whereby
that accuracy in the quantity of consumption of each article is had, and
which as we have heretofore observed, is so necessary.
There is a farm of 165 acres connected with the school, and three men
are employed annually thereon. The dairy department is separate from
the farm, and at the present time there are sixty cows in the dairy. Dur-
ing the vacation months, milk is sold.
The buildings are wired for electricity and are piped for gas. Electric-
ity is used until about 9:30 P. M., and gas is thereafter used where lights are
required.
Inquiry was made into the salary list of the school, and the committee
think that its present unfortunate financial condition can not be traced to
the excessive salaries of teachers.
Comparisons made by the committee when at the school, and from data
subsequently acquired, show that the number of pupils for each teacher is
greater than in most schools in the United States, and there is a less per
cent of standing appropriations paid to teachers than there is in five or six
of like schools in the western states. This indicates that there is a larger
per cent of the expenditure of the total income of the school made for pur-
poses other than for teachers' salaries than in a majority of the schools for
the deaf in the western states.
The committee is of the opinion that the legislature should relieve the
school of its present obligations, because the longer the present condition
exists the greater will be the deficit. When these debts are paid the
methods and practices which have involved and embar assed the school
must be radically changed, in order that this institution shall be supported
within its income, which we have no hesitation in saying is now, and has
been, adequate.
We can not close without stating that the pupils in the school seem
greatly attached to the superintendent and his wife, who is the matron;
that the superintendent and matron are interested in their work and have
63-
undoubtedly striven to properly discharge their duties. During our visit
some complaints were made as to the failure of the management to account
for some of the property of the state. After inquiry and investigation the
committee is satisfied these complaints were either trivial or devoid of
merit.
NORMAL SCHOOL, CEDAR FALLS.
The number of students enrolled when the committee visited the school
was 1,312.
The school is governed by a board of trustees composed of six members,
and meets four times a year. A committee of two members visit the school
each term, spending about a week examining the several departments. The
trustees have not received compensation in excess of statutory amount.
There are thirty-three teachers employed, who received salaries aggre-
gating $34,000 in the year 1897. In 1887 there were 435 students, taught by
nine teachers, who received $10,050. The chief item of expense is for
teachers' salaries.
The legislature has provided a standing appropriation of $17,500 for pay-
ment of teachers, and $3,000 for a contingent fund. The standing appro-
priation has proved inadequate for payment of teachers, and the legislature
makes additional appropriations. The Twenty-sixth General Assembly
appropriated the additional sum of $22,000for the biennial period to pay
the teachers' salaries.
Each student pays a tuition fee of $2 and a contingent fee of $3 for each
term, or $15 a year, which sum amounted to $26,150.68 for the biennial
period ending June 30, 1897. This fund is collected by the president and
by him paid to the treasurer. The charges collected from the students pay
about one-third of the current expenses of the institution. The manage-
ment of the school also draws on the revenue received from the students, to
supplement the legislative appropriations for teachers' salaries.
The president receives $2,500 a year with a residence furnished with
water, fuel and light. Twelve years ago he received a salary of $1,500, at
which time there were seven teachers, with a total attendance of 250.
The central building has been recently completed and furnished at a
cost of $38,686.97. This amount was made up of the following sums: $30,000
legislative appropriation; $2,361.97 from the students' and contingent fund;
$6,325 from the balance of unexpended appropriations of the Twenty-third
and Twenty-fourth General Assemblies, as was provided in the appropri-
ation act authorizing the construction of this building. Most of the work
of construction was done by days' labor, although much of the material was
purchased on contract. A foreman was employed to supervise the construc-
tion, and the resident trustee acted as building committee during the work.
Even with this new building the school is now crowded to its full capacity.
A cottage for the president has been built by letting the contract to the
lowest bidder, and the building was completed within the appropriation.
Many of the bills against the institution are paid upon the approval of
the president and secretary, and are not audited by the board prior to pay
ment. The secretary is not a member of the board.
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The treasurer is cashier of a local bank. This bank has received
accrued interest and premium upon warrants issued to the institution,
which the committee believes should properly belong the state. The reason
given for the bank retaining this interest and premium was that some of
the warrants payable to the institution were cashed by the bank at their
face value when the warrants were actually at a discount. The practice of
granting the interest and premiums on the state warrants in return for
favors is not proper, and we believe it the duty of the trustees to procure
an accounting for such sums.
The committee is perfectly satisfied that the salaries paid to the teach-
ers and officers of this institution are reasonable, and a comparison made
with salaries paid in like institutions in other states shows that no fault
should be found with the management in this regard.
COLLEGE FOR THE BLIND, VINTON.
There are 167 pupils in actual attendance at this school. The number
in 1897 was somewhat less than for preceding years. One-third of the
number in attendance are totally blind.
The institution has been managed by a board of six members, but under
the new code the board is reduced to five. No improper charges for serv-
ices or expenses have been made by the trustees.
The legislature has provided two funds for the institution. Section
2762 of McClain's code, appropriates $10,000, or so much as is necessary to
pay the ordinary expenses of the institution, including furniture, books,
maps, the compensation of principal, matron, teachers, employes, and to
provide for contingencies.
Section 2763, McClain's code, appropriates $40 per quarter for each
pupil, or so much thereof as is necessary for the purpose of meeting current
expenses.
Section 2756, McClain's code, provides that a board of trustees shall fix
the compensation of all the officers and employes of said institution at such
rate as shall by them be deemed just and equitable, provided that in no
event shall the total expenses of the institution exceed the total appropria
tion for the same.
These three sections are substantially re-enacted in the new code.
The committee, upon examination of the institution, found that the
appropriations made for the payment of compensation of principal, matron,
teachers and employes did not limit the expenditure which the board made
for such purposes. In 1897 the expenditure for the purposes indicated was
$16,025, which is $6,000 in excess of the statutory appropriation. This has
been practically the case for many years past. As often shown in this
report, the appropriations made by the legislature for these different pur-
poses at many of the institutions seem to be useless, because no attempt is
made to bring the expenditures within the limits so fixed.
The quarterly allowance for support has been secured every quarter
from the treasury in recent years except for one quarter in 1896. The
annual cost per capita is about $219. The annual cost per capita at the
school for the deaf is $210.
65-
The principal of the school does not interfere in its financial manage-
ment, which is in the hands of the board and a steward who acts as secre-
tary, and receives a salary of $1,200 per annum.
All supplies are purchased by the steward, and all bills are audited by
the committee before payment is made. Bread, coal, and meat are bought
on contract. This is the only state institution which does not bake its
bread.
Grocery supplies are purchased, in small amounts as required, from
seven or eight retail firms at Vinton. The special appropriations for con-
struction purposes have been expended, the buildings being built by con-
tract. A balance of $59 appears in the treasurer's hands from an appro-
priation made by the Twenty-second General Assembly, which surplus
should be covered into the state treasury.
The system of books at this institution is not very complete. The com-
mittee is persuaded that if a better system of purchasing supplies was had,
whereby bids were solicited in the open market, a considerable saving
could be made at this institution. It does not show the evidence of economy
in this line as does the orphans' home at Davenport.
The secretary and steward collects from $1,500 to $1,800 of the funds of
the institution annually, but is not required to give a bond.
I.
It will be observed that the report on some of the institutions is not as
lengthy as that respecting others. This is due to the fact that our report
is much longer than we anticipated, and we found the conditions practi-
cally the same at such places as in those in which the report is more
complete. Many of our criticisms and words of commendation apply with
equal force to such institutions.
To understand the magnitude or character of our labors, it is necessary
to read the reports of each institution. It is impossible to discuss the
management intelligently unless by a somewhat detailed review, and
therein giving expression to the comments aud opinions we thought proper.
It will serve no useful purpose to summarize our findings in each
institution.
If we thought the legislature competent to remedy the defects, abuses,
and evils presented in our report, by enactments, applicable to each insti-
tution, there would be much merit in suggesting specific changes.
Entertaining the opinion, however, that the major part of our criticisms
refers to abuses inhering in the trustee system, a thorough measure of
reform is the only remedy. We attempted with some care to prepare a
list of proposed statutory amendments, but on reflection it was ascertained
that the greater number of such amendments can properly form a part of
a measure creating a central or supervisory board. Many other of such
amendments will not be required if such board is established. The disease
is organic and too deep seated for the use of palliatives.
A casual reading of the report indicates that there is no uniform
method in the purchasing of supplies for subsistence or construction pur-
poses. Different grades and qualities of supplies are consumed in hospitals
treating the same kind of patients, and in many places the supplies are
purchased at retail. Illustrating, it might be observed that fuel consti-
tutes one of the largest items of expenditure; each management buys
5
· 66 —
different kinds of coal, with little reference to the experience of other
institutions, or the usages of those who purchase coal in large quantities
or steam heating purposes. Betterments, permanent improvements, and
buildings are made without reference to the economy secured in the man-
agement of other institutions, These practices and others to which the
report refers necessarily induce extravagance.
Different funds are intermingled in violation of law. Statutory limita-
tions on expenditures for specific purposes are not observed, or is compli-
ance therewith even attempted in many cases. This is no trivial informal-
ity, for in our scheme of government the taxpayer has the right to insist,
and is as much interested in a separation of the revenue when expenditure
thereof is made, as he is in the separation of the several levies for the cre-
ation of such revenue. This is such an important principle that it might
properly be regarded as constitutional.
At many places there is no auditing of bills, and at others the auditing
is had only after the bills are paid. Institutions of the same kind pay
different salaries for like services. The salaries of many officials and
employes are higher than those paid to officers and employes in similar
institutions in the western and, in some instances, in the eastern states.
Appropriations are asked of and secured from the legislature on ex parte
statements, and when the manner of their expenditure was not fully deter-
mined. The cost of the improvement or building is therefore unknown,
and it is only by chance that a proper appropriation is made. There can
be no more vicious practice in legislation than this. It will deplete a
treasury without returning value received.
It is impossible in many cases, owing to the loose and general terms of
the appropriation acts, and the failure to preserve in any form the evi-
dence or statements of those who secured the appropriations, for a legis-
lative committee to ascertain whether the appropriation is expended in a
manner agreeable to the legislative intent. There is very little continuity
of purpose to be found in the appropriations for many of the institutions,
which fact is readily disclosed by an examination of the appropriations
asked of and granted by the legislature. The fact that the membership in
the legislature is subject to many changes deprives the people of the
experience of those who granted one appropriation, and it frequently
occurs that in making subsequent appropriations no heed is or can be paid
to the representations made or purposes existing when the first appro-
priation was secured.
There is not, nor can there be, the proper mutuality of spirit or interest
between the different institutions. The manner in which appropriations
are procured engenders a reciprocal distrust between the people's repre-
sentatives and the managements of the institutions. This creates a dispo-
sition in many instances to regard the legislature as a hostile body, from
which no assistance can be expected except as a result of personal solicita-
tions and by invoking the pressure of political influences and the disagreable
practices of the lobby. In one instance, at least, a management employed
members of the board, at considerable expense to the state, to attend
assembly sessions and prevent the state from enacting what was termed
"hostile legislation." This was an expenditure for a purpose wholly inex-
cusable.
67-
II.
We submit that the legislature should consider the suggestion of amend-
ing the statute so the support fund shall not be drawn until it is required
by the institution, and a failure to draw at the stated intervals shall not
deprive the management of the annual per capita allowance, but it will
remain a credit in the state treasury until needed. The benefits of such a
provision are many and obvious.
The state treasurer should be authorized to dispose of all warrants
issued to the institutions and which the state has not the ready funds to
pay. Our report indicates the need of this amendment, and particular ref-
erence may be made to the managements of the institutions for feeble
minded, the normal and industrial schools.
The recommendations as to reduction of the per capita support are
entitled to consideration, for in no other way has the legislature the power
to limit extravagant expenditures under a system of making maximum per
capita appropriations. The temptation to draw and expend the maximum
is ever present and at times irresistable.
Much of the discussion regarding the merits of state or county care of
the insane will be unnecessary under a more economical management which
will reduce the per capita allowance for support purposes. The failure of
the state to show a reduction in the cost of support of the inmates, though
it is evident that such reduction should be had in the last seven years, may
be taken as one reason why many counties are building asylums to house
their insane. Thoroughly convince the people and members of boards of
supervisors that the per capita allowance for insane is not greater than is
required and this question of county care will solve itself, for all must grant
that the state hospital is the proper place to either cure or care for the
insane. The state must not entirely surrender to the medical departments
of the hospitals the duty of making the budgets for such institutions.
The statute should limit the number of day's service expected of
the visiting committee for the insane hospitals. If a central or supervis-
ing board is created, such visiting committee will have outlived its useful-
ness.
The establishment of a system of uniform accounts, which is required of
the executive council by the terms of the new code, is a great and much
needed reform. All the institutions cannot have the same kind of books,
but institutions of like kind should have similar books, and the committee
believes this matter of instituting a thorough and uniform system of
accounts is not fully appreciated. If a central or supervisory board is
created, this duty may be well placed on it, for it is a matter of much labor
and great detail.
The precedent of creating tax levies for state institutions should not be
followed, as it gives, under present managements and conditions, a discre-
tion in expenditure that detracts too much from legislative powers and
functions.
The precedent of one legislature making appropriations for a period
longer than two years, and which are to be expended after the succeeding
legislature convenes, cannot meet the sanction of him who is cognizant of
the uncertainties, dangers and abuses of thus anticipating the needs and
68-
revenues of the future by indirectly effecting the legislation of another
general assembly. The reflection, that all extraordinary appropriations
should remain in the state treasury until expended, merits in the judgment
of the committee more than passing notice.
The executive council, or other proper body, should be granted the right
to make appropriations from a providential fund when the legislature is not
in session. This power has never been abused and prudence requires the
restoration of the privilege to the executive council.
III.
The resolution creating the committee, directed that we recommend any
change we thought should be adopted in the government of the state institu-
tions. In our inquiry, due regard was paid to this direction, and informa-
tion was gathered and comparisons made, to enable us to render an opinion
worthy of the subject and interests involved. The opinions of the officers
and members of governing boards were solicited in their examinations, all
of which appear in the evidence taken.
A perusal of our report might indicate that we paid attention only to
the financial management of the institutions. This is not the case; due
regard was given in gathering our information to the wish and desire of
every citizen that the state properly maintain and care for the unfortunate
and afflicted, and to the purposes of the state in providing penal and reform-
atory institutions and furnishing greater educational facilities in its col-
leges and university.
From every standpoint the committee is of the opinion that a change in
the government of such institutions is not only advisable but is imperatively
demanded by every prompting of business prudence. We are convinced
that whatever success has attended the public institutions of the state does
not come from the methods and practices now existing. An economical
management can not be secured by methods that are obnoxious to every
commercial instinct and usage.
There are sixteen institutions, including Cherokee Insane hospital
There are thirteen separate boards, making about seventy-five trustees in
all, receiving $33,000 in salaries and expenses for the biennial period ending
June 30, 1897.
During the biennial period closing June 30, 1897, the state expended for
these institutions $2,259,964 44 for purposes of support and maintenance, and
the sum of $934,240.41 for betterments and new buildings, making a total
expenditure during the last biennial period of $3,214,204.85, which is about
70 per cent of the total expenditures of the state. The Twenty-sixth Gen-
eral Assembly at both sessions granted $378,599.15 more in extraordinary
appropriations to these institutions than did the Twenty-fifth General
Assembly. Such appropriations were not within the income of the state.
As our report indicates, the trustees of one institution have no official
communication with the trustees of another. They are in law, and in fact
as much strangers to each other as if they were residents of different states,
and engaged in rival enterprises.
Unless there is a full, accurate, and comprehensive knowledge on the
part of the trustees, of the institution under his charge, the first requisite
for the proper performance of his trust is wanting.
69 -
As a general proposition, it must be said that a great number of these
trustees do not display the familiarity with the institution, or knowledge of
the manner in which its business is conducted, to enable them to intelligently
participate in a careful or economical management thereof. As our report
indicates, many of the trustees betrayed in their examination before the
committee a want of that information respecting the institution which
might be supposed would be known to any citizen. There are some excep-
tions to this rule. The committee met two-thirds of all the trustees. Less
than one-third of this number gave the required time and attention, or
evinced the possession of information sufficient, to give valuable counsel,
to say nothing of actively participating in, or directing a business involving
annually the expenditure of hundred of thousands of dollars. As a body,
the trustees and regents are men of intelligence and integrity, who have
been successful in their several lines of business. A man may be a success
in his own business, yet this very fact and the multiplicity of his private
affairs prevents him as trustee from giving the necessary time to the per-
formance of the state's business. Through negligence and an indisposition
to study, or to familiarize themselves with the government of the institu-
tion, they have ceased, in many cases, to be factors in the management.
The superintendents or subordinates do the business that the law expects
and requires to be done by the trustees. Iowa is undoubtedly receiving the
judgment and experience of superintendents and other employes in the
management of its affairs rather than the judgment and experience of the
trustees, who are charged with the execution of the trust. The selection
of a citizen living on the eastern border of the state as a trustee of an insti-
tution located on the western border is often had. Such selection does not
tend to promote the public service.
A change from the trustee system was inaugurated quite generally in
the several states, beginning in the year 1867, and the committee state upon
information acquired for the purpose, that no state but Iowa governs its
public institutions by separate boards of trustees, without a supervising
authority lodged in some board of control, or board of charities and correc-
tions.
Wisconsin, Rhode Island, Kansas, Nebraska, and South Dakota govern
their institutions by boards of control, the powers of each board differing
in each state. In some of the states named, these boards are vested with
full administrative and executive powers. So far as the committee knows,
no state but one that has once provided for such board has changed the
system. The officials of the states retaining the boards claim that such
boards have proved very satisfactory.
The majority of the other states have supervising boards, differing, how-
ever, in the character of their powers. The board of charities in the state
of Illinois is a supervising board with administrative powers to a limited
extent. The state of New York has a board of charities, with limited
administrative powers. There is a strong tendency in this last named state,
as shown by recent legislation, to give more executive powers to such board.
This appears not only in the legislative enactments, but also in the reports
of legislative committees, and of the secretary of the state board of chari-
ties.
The Iowa trustees as a matter of fact now exercise but advisory powers,
and the establishment of a central board with administrative powers would
— 70 —
not interfere greatly with the labors now performed by the trustees. Suck
board will, however, circumscribe the powers of the superintendents and
other employes. Such board will also supervise the prisons now subject to
but little supervision as shown in this report.
The committee is further convinced that if an innovation in the govern-
ment of the institutions is to be had, it must come from influences other than
those which immediately surround the several institutions. The examina-
tion of the officers and trustees indicates that only in a few instances did we
find a sentiment favoring a law which might lessen the powers of the
managing officers. Too often did we find a disposition to regard the general
assembly as harboring a hostile disposition towards the institutions. Again
it was urged that to change the law would tend "to cripple" the chari-
table agencies of the state. In some instances this belief was honestly
entertained, because of the disagreeable experiences such officers meet in
securing appropriations. We are constrained to say that the phrase crip-
pling the institution" is used by others, as a meaningless repetition, in
order to secure the continuance of present conditions. A change in the
government is opposed by the officers of some institutions where a change
would be most salutary, and must be had.
6،
In our examination we frequently sought information from, or inquired
of alleged abuses, of present or former members of the legislature repre-
senting the districts where such institutions are located. We believe
many persons do not care to interfere with, or make inquiries into the dif-
ferent managements, because it might be deemed impertinent, or expose
them to the charge of favoring some influence as against another. We
cite this to show not only the want of proper knowledge on the part of the
great majority of the trustees, but likewise the failure of others, for pru-
dential reasons, to acquire that intimate knowledge of the conduct of the
institutions which might be desirable for purposes of legislation.
If a change is thought proper by the legislature, the board should be
given administrative and executive powers. The board must not only
have the power to advise, but the power to administer the governments of
the institutions. The attempt to place the state institutions in a better
light b fore the state, and to conduct them on a business basis, will be
abortive unless the law clothes the proper body with such administrative
powers. To correct the lax and loose methods existing will require many
changes in the practices of the managements, which will not come from
mere suggestions or advice.
The character of the board, as to the number and manner of selection,
is largely a matter of legislative discretion. The board will necessarily be
vested with great powers, but this should not weigh against the suggestion,
for greater powers are vested in and exercised by the executive and
judicial officers of the state. The proposed law should be so framed as to
prevent the entering of partisan politics into the management, or selection
of the officers of the institutions, for no greater evil can mar the just and
happy administration of a public charity.
The three great educational institutions might be omitted, for their
boards of trustees, as shown in the report, are exercising to a greater
degree the powers vested in them by law, and there is force in the sugges-
tion that the development of a university, as a seat of learning and culture,
involves considerations that have no application to the charitable and penal
— 71 —
agencies of the state. The number of the governing bodies of the uni-
versity and agricultural college should be reduced to five members and
better results attained. To retain a member from each congressional dis-
trict on the board, is to give expression to a fiction which is no longer, if it
ever was, useful.
As to whether or not a small advisory board, selected from a territory of
reasonable extent surrounding the institution, should be maintained at each
institution, is a matter about which there may be a difference of opinion.
Such boards might prove advantageous for visitation and advisory purposes.
We are unable to discern, after a most careful review, a substantial or
forceful reason why the administration of all the institutions, with the pos-
sible exception of the normal school, agricultural college, and university,
could not be placed in one central board, thereby conserving the purposes
for which each institution was created, and insuring a marked reduction in
the expenditures of the state.
From what the committee observed in its investigation, the many times
and places where we know a saving could and should be made, the want of
method or system in purchasing supplies and in the construction of improve-
ments, and in the haphazard way in which appropriations are sought and
secured, we are satisfied that it is within the ready reach of this legisla-
ture by proper enactment, to save ten cents on every dollar expended by
the state. This saving will be made in lessened appropriations, and in the
economical expenditure of those made. This estimate is made after
mature reflection, the gathering of data, and giving the subject the delib-
eration its importance demands. It is proper to note in this connection
that the state of New York passed a law in 1893, called "The Estimate
Law," which related in part to the purchase of supplies for the insane
hospitals. The law required the submission to a central board of estimates
of all proposed purchases, which board audited the expenditure when made.
During the first year that such law was operative, a saving of $300,000 was
made on a total expenditure of $2,000,000. The records of the institutions
and the reports of legislative investigating committees of that state disclose
this to be true. This committee is not, therefore, without precedent in
saying that it is reasonable to expect that a saving of $300,000 can, in a
biennial period, be made by this state on its expenditure of $3,000,000, when
the state of New York saved the same amount on an expenditure of
$2,000,000. We will not presume that the system in vogue in New York
prior to 1893 needed reform any more imperatively than the methods now
existing in Iowa.
Mr. Merriam does not assent to the views of Mr. Healy and Mr. Porter
in all particulars as set forth in the foregoing part of section 3. He believes
in the creation of a central board with extensive supervisory powers, simi-
lar to that under which New York has made the great saving heretofore
mentioned. He also contends that whatever central board the legislature
may see fit to establish, clothed with whatever powers is deemed prudent,
should be a board suitable to exercise its functions over all the institutions
of the state. While permitting an individuality peculiar to each, unere
should be a harmony existing between all, which can only be secured when
one board supervises or directs the affairs of all. The proposed change, as
outlined above, does not contemplate administering to the needs of any
-72-
institution or its inmates better than is now done, but more economically.
It is urged solely on the grounds of saving money to the taxpayer without
diminishing the advantages and care already afforded those who are bene-
fitted by the state's generosity. The educational institutions—the univer-
sity, the normal school, the school for the deaf, the college for the blind,
and the agricultural college-should all be subject to the same economy and
supervision in the expenditure of the state's moneys as are other institu-
tions. The same criticisms as to business methods are to be found in some
of them, and in as aggravated a form, as at any of the other institutions
visited by the committee.
If a central board, by its supervision and direction, can economize in the
use of supplies at one institution, why not afford them the opportunity at
all institutions? If ten cents on the dollar can be saved on the funds
expended at one place, why not attempt a like saving, through the same
agencies, on the money expended at other places?
The trustees for the educational institutions are selected from the same
citizenship and by the same methods as are other trustees. As a general
proposition they possess no greater information and exercise no more econ-
omy than do other boards. In fact, the trustees of the five educational
institutions possess no qualifications superior to the other trustees.
The
same lack of "official communication" between the various boards, the
same lack of uniformity in the books kept, the same lack of harmony in the
salaries paid for like services, and the same lack of "familiarity with the
institution, or knowledge of the manner in which its business is conducted.”
exists to as great a degree among the trustees of the educational institutions
as among other trustees.
Whatever change is made should be applicable to all institutions, for
the evils incident to the trustee system exist at all. The lack of some body
to supervise or review the actions of the various boards' accounts, in a great
degree, for the methods which are criticised. The superintendents and
boards generally, invited and welcomed the visit of the committee, express-
ing a desire to accept all suggestions and adopt all practicable means for
better and more economical methods in the administration of the state's
affairs.
Before concluding the report the committee say that the trustees, regents,
superintendents, and other officers of the institutions afforded us every
opportunity to inquire and investigate, and gave evidence of a disposition
to lighten the labors of the committee, and to furnish the legislature with
the information desired.
The work of the committee was facilitated by Mr. L. A. Wilkinson, the
accountant, who readily acquired familiarity with the methods in vogue at
each institution, thereby rendering the committee valuable service.
The public charities of Iowa constitute a broad field of philanthropic
work. It is quite impossible for any citizen, enjoying the experience of the
members of the committee, to avoid expressing a sense of pride at the mag-
nificent structures erected by the state to care for the unfortunate who suf-
fer in impairment of mind or person. The worthy and earnest superintend-
ents of these institutions are devoting their energies in their chosen work,
and enjoy the confidence of the several boards as well as the esteem of the
general public.
73 -
Many honored citizens now bereft of reason, are properly cared for in
the insane hospitals of the state. Paralytic veterans of many battles are
found at the Soldiers' home, receiving every attention from trained nurses
employed by the state. Infants and children, at other institutions, without
the powers of locomotion or speech, are affectionately nursed and reared by
employes of the state.
Iowa has been generous, and in the years to come further demands will
be made upon her treasury and generosity. There is no occasion to feel
that such demands will not properly be met, or that our public charities
and agencies will suffer in efficiency because of a failure of public interest
or support.
THOS. D. HEALY.
FRANK F. MERRIAM.
CLAUDE R. PORTER.
Committee.
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