The National Building Trades and Employers’ Ass’n of U. S. of America. 
 
 
 THIRD ANNUAL CONVENTION 
 
 SECRETARY'S ANNUAL 
 
 REPORT. 
 
 
 y 
 
 Louisville, Ky., January 21, 1914. 
 
 To the President and Gentlemen of the Convention: — 
 
 I herewith submit my report as Secretary of this Association for the fiscal term ending with this Third 
 Annual Convention. 
 
 FINANCIAL— 
 
 To Balance from Retiring Treasurer $65.06 
 
 Total Receipts 736.38 
 
 $801.44 
 
 By Total Disbursements . $515.06 
 
 Balance in Treasury 286.38 $801.44 
 
 PETTY CASH— 
 
 To Balance in Hand at last Annual Report * $ 37.48 
 
 Voucher No. 19 $ 25.00 
 
 Voucher No. 33 35.00 60.00 
 
 $ 97.48 
 
 Balance due Secretary 3.68 
 
 $101.16 
 
 By Postage, Telephone, Expressage, Telegrams, Traveling Expense, Etc $101.16 
 
 At the last annual convention held in Washington, D. C., March 26 and 27, 1913. there were affiliated with 
 this movement, fourteen exchanges. At that convention the State Association of Pennsylvania, the Builders’ 
 Exchanges of Louisville, Kentucky, New Brunswick, N. J., Jacksonville, Florida, affiliated, making a total of 
 eighteen exchanges. During the year there have been added to the roll of affiliated associations the exchanges 
 of Grand Rapids, Mich., Fall River, Mass., Omaha, Neb., Knoxville, Tenn., and the Master Builders’ Association 
 of Baltimore, Md.; this last named association making two affiliations from Baltimore with promise of affiliation 
 at this convention from the Builders and Traders Exchange of Chicago, Ills., Builders Exchange of Indianapolis, 
 Ind., Builders’ Exchange of Pittsburg, Pa., Columbus. Ohio, Nashville, Tenn.. Evansville, Ind., and delegations 
 from exchanges not yet affiliated that have promised to attend this convention. 
 
 STATE COMMISSIONERS— 
 
 State Commissioners should be appointed from every state to perfect our organization for effective work. 
 Some states have failed to nominate to the Board of Control their commissioner, through we believe, a lack of 
 understanding as to our plan of Organization. 
 
 Commissioners have been appointed in the following states, many of whom will, we anticipate, present their 
 reports at this convention: 
 
 Michigan — Chas. A. Bowen, Detroit. 
 
 New Jersey — V. P. Christoffern, Perth Amboy. 
 
 Georgia — J. D. Wood, Atlanta. 
 
 Alabama — G. T. Stafford, Birmingham, 
 r— Pennsylvania — Edwin S. Williams, Scranton. 
 
 Maryland — S. Frank Bennett, Baltimore. 
 
 Kentucky — J. M. Vollmer, Louisville. ) 
 
 District of Columbia — Chas. A. Langley, Washington. 
 
 I desire to call attention to the work of the Commissioner for the State of Michigan. Mr. Chas. A. Bowen, 
 Secretary of the Builders’ and Traders’ Exchange of Detroit. Mr. Bowen has succeeded in organizing a state 
 association in Michigan which gives every promise of a live organization. 
 
 MISSIONARY WORK— r; 
 
 During the year your President. Vice President and Secretary have made visits to organizations in the in- 
 terests of this Association. The mailage from my office of circular matter and letters has been at times very 
 heavy. The correspondence has been considerable, and has not been as promptly cared for at all times as de- 
 manded, due to the limited time at the disposal of your Secretary. 
 
ARCHITECTS’ PLANS AND CONTRACTS— 
 
 At the Second Annual Convention held in Washington. D. C., last year a resolution was adopted to appoint 
 a committee to confer with a committee from the American Institute of Architects to consider revising and 
 lessening the inconsistencies and ambiguities of the so-called “Standard Documents” now being introduced by 
 the American Institute of Architects. Your Secretary immediately took this matter up by correspondence with 
 Mr. Glenn Brown, then Secretary of the said Institute, and was, after considerable time and correspondence with 
 the Chairman of the “Conference Committee” of the Institute, referred to Mr. Grosvenor Atterbury of New 
 York and was led by Mr. Atterbury to anticipate a meeting in the early fall. In order to be prepared for this 
 meeting the following committee from our Association was appointed: 
 
 BALTIMORE — Herbert J. West, E. D. Preston, J. Kemp Bartlett. 
 
 NEW YORK CITY — C. C. Norman, First Vice President, New York State Association of Buildings. 
 
 LOUISVILLE, KY.— H. L. Lewman. 
 
 PHILADELPHIA, PA.— Franklin M. Harris, Jr. 
 
 No definite date being set the correspondence was continued until December, when Mr. Atterbury sug- 
 gested a further delay because of the Convention of the American Institute of Architects to be held in New 
 Orleans during that month. At that convention Mr. Knickerbocker Boyd, a prominent architect of Philadelphia, 
 was elected to succeed Mr. Brown as Secretary and Mr. Frank Miles Day of Philadelphia was made Chairman 
 of 'the Committee with whom our Committee will we anticipate have an opportunity to confer. Several letters 
 have passed between Mr. Dav and your Secretary and I feel assured that an early date will be set for a meeting. 
 
 STATE ASSOCIATIONS— 
 
 In our work objections have been made to joining a National Association of Exchanges in a few state; 
 where State Associations exist; this objection being because of their affiliation with the state associations. If 
 every, or even the majority of the states had state associations and these associations would each delegate one 
 representative 'to a national convention the organization of a national cabinet on such a basis would I believe 
 solve the problem of national organization, but in the absence of state associations (there being only four whose 
 activities entitles them to claim an existence) the demands of a national association must be recognized and 
 a plan adopted for its consummation, and while the organization of state associations should be encouraged and 
 fostered by the National “There is a reason” why local affiliation with the national should be encouraged by state 
 associations, in this, that a state association affiliating with the national assumes the responsibility of whatever 
 tax or dues may be demanded for (the state association’s) total membership; at times the State Association being 
 obliged to pay for delinquent affiliated exchanges whereas the direct affiliation of a local Exchange insures to it 
 representation from its own ranks; thereby assuming the liability for dues, tax, etc. As your Secretary I have 
 been in communication with every exchange of record in this country. I have been unable_ with the time at my 
 ' cn-i'Us^, Vo T .''nii'>'i 'ncce-sary uAi;i " ‘t'o" cTa'i) , ie’ in<rtT report stanstrcaVfU as Iwou’ig Tuce on 'conditions, mem- 
 
 bership, etc. 
 
 PUBLICITY— 
 
 I would suggest that this convention consider the election or appointment of a publicity committee, and 
 would further suggest that some plan be devised for the issuance of a monthly publication. I have in mind that 
 secretarys or those interested in our work be appointed associate editors from all sections of the country; thus in- 
 suring from these associate editors brief stories of conditions in their various localities — some such a publica- 
 tion as the “Rotarian,” the official organ of the Rotary Clubs. The results possible from such a publication makes 
 this suggestion worthy of careful consideration. It is my thought that it would be attractive and demand con- 
 sideration from the advertisers who desire to reach those connected with the building trades. 
 
 OPPOSITION— 
 
 No undertaking of any character that has a purpose worthy of consideration has ever met with any de- 
 gree of success without developing some opposition. With no merit in a project of organization there will 
 be no opposition. Opposition is the food upon which the growing active organization feeds, for as competi- 
 tion is the life of trade,” so does opposition develop the merit of any cause and produce useful organization. 
 Organization is not the creature of imagination, it is a live active being, it should be established and main- 
 tained upon high ideals, its great aim should be the betterment of the greatest number, it should NOl be de- 
 voted to the glorification of the individual or to personal financial benefit. Organization is the assembling and 
 mutualizing of interests by association and co-operation; it is, in fine, a concentration of individual effort in the 
 direction of a general distribution of responsibilities to the end of practical benefit. Its success is developed 
 by concentrated effort, its power should be in the distribution of the maximum benefit at a minimum cost, it 
 should be constructive and not destructive, it should not base its claims for recognition upon past effort, it 
 has no actual existence when “Dormant.” Its claims for recognition and existence must be based entirely upon 
 its record of present day achievement. The greatest opposition to our movement has not been that we are 
 wrong in our plan or effort. There has come to us from all sections a recognition of the actual need of national 
 association. Our greatest opposition has come fron a quarter we had least right to expect, from one who 
 was formerly an officer of the Old National Asscciation now inactive and in effect considered extinct. We 
 see no reason to be discouraged by this, however, as an analysis of his communications in opposition to our 
 movement is, briefly, the suggestion that it has teen tried before and the machinery and equipment of our 
 organization being the same, no better, there is, tl erefore, no possibility of success, and having failed in the 
 first no support should be given to the efforts of tV is Association. That through an effective economical plan 
 of national organization is endeavoring to establ sh sane, correct, and equitable principles in the business 
 relations between all who are in any way connec ed with the building trade. Opposition of this character, 
 
howeveVf JiaAjeen of great benefit to our movement. Had we studied to inaugurate some plan to attract the 
 attention of intelligent, thoughtful men to our effort nothing could have been devised that would have better 
 served our purpose. 
 
 EXPENSE— 
 
 I desire to impress upon this Convention in its deliberations the importance of careful consideration to 
 the item of expense. When three years ago in Philadelphia at the Convention of the National Association of 
 Builders’ Exchanges (an association which had Come into existence when the first national had ceased to 
 be active), a Committee on Reorganization was appointed; that Committee decided to organize this present 
 Association upon a plan to avoid burdensome taxation for revenue and extravagant entertainment at conven- 
 tions which had, in their judgment, caused the first national association to “Go on the Rocks.” This Com- 
 mittee believed that an excessive per capita tax would be a hardship upon local exchanges; that they should 
 
 profit by the mistakes of previous efforts; the most serious of which seemed to be over-taxation, recognizing 
 
 that when overtaxation burdens a government or municipality they do not dissolve or become dormant; better 
 systems are inaugurated, methods of reform and retrenchment take the place of extravagance, and the burden 
 being lessened the government or municipality continues under improved conditions. But organizations such 
 as ours which has been termed “hetrogeneous,” because “local exchanges must include for local uses that great 
 variety of elements” being, therefore, mindful of the mistakes of the past ^s to excessive per capita, extravagant 
 entertainment and organization in the direction of restricted central control we must recognize the right of 
 home rule to every affiliated association, distributing our effort in accordance with the demand of the various 
 localities absolutely declining to be influenced by the use of any antiquated, unsuccessful or out-of-date 
 
 methods that led to the final lack of support and to the ultimate dissolution of the first National Association, 
 
 whose greatest monument to its effort and usefulness is the uniform contract now in use and the loss of 
 whose influence has been felt and prompted the organization of this Association. A burdensome expense to 
 local exchanges, many of whom are taxed to their utmost to continue their existence, means non-affiliation and 
 consequently lack of support, and no national association has a claim to recognition based upon the confession 
 that “Although dormant IS NOT OUT OF EXISTENCE.” An active national association must have a dis- 
 tributed membership attracting attention and support to a compact governing body, its officers selected by 
 and from its affiliated associations with active work by responsible committees within the limits of its con- 
 stituted authority. In considering the item of expense I want to present some figures of record of the first 
 national association. A per capita tax of $3.00 with the exception of a few years; those years it being fixed 
 at $2.00. Under such a tax the Baltimore Exchange would today be paying $975.00 per annum. It is need- 
 less to say that under such conditions our membership in this National Association would be prohibitive; it 
 would be beyond our ability even with our present loyalty to the movement. And again, regarding this sug- 
 gestion of expense the following figures are taken from the printed reports of the National Association of 
 Builders’ Exchanges for the years of 1888-89-92-94-95-96. These reports cover a period of about seven years: 
 
 The total amount received during that time was $49,216.85 
 
 Total disbursements same period was $48,312.45 
 
 Leaving a balance of $ 904.40 
 
 Of this amount there was received by the Secretary as salary $23,541.77 
 
 Salary to Assistant Secretary 6,875.00 
 
 Traveling expense of Secretary 1,490.37 
 
 Office rent 1,914.56 
 
 A total of $34,726.10 
 
 Nor did the tax upon exchanges stop here. A custom prevailed providing for lavish entertainment at 
 conventions; this burden falling upon local exchanges. The expense of entertaining to local Builders’ Ex- 
 changes in cities where conventions were held for six annual conventions totaled $51,256.44. 
 
 I make no comment or criticism on these figures — they are cold indisputable facts — IT WAS A CUSTOM. 
 Only let me suggest that as careful business men, you have a responsibility to avoid these excessive overhead ex- 
 penses and overburdening tax upon Exchanges. 
 
 From this information you will appreciate why the Reorganization Committee three years ago and your 
 Board of Control in the past two years have been so insistent upon an economical plan of administration in 
 the affairs of this Association. Let us avoid steering this craft upon the fatal rock of extravagance. Another 
 feature of the plan of organization as adopted by the first national convention in Washington, D. C., as laid down 
 in Article 3 of our plan of organization is “the guarantee to associations affiliated with this National Organiza- 
 tion the absolute right of home rule in the adjustment of all matters pertaining to labor or questions of a 
 local nature which might arise in their respective localities, this National Association holding itself in readiness 
 to at all times assist in any way possible when called upon by the proper officer.” Copies of the Plan of Or- 
 ganization have been so generally distributed among the exchanges of the country that further reference to the 
 general plan need not be made in this report. Suffice it to say that the plan adopted has, through persistent 
 distribution, attracted the attention of those interested in organization and has been pronounced by those who 
 have studied modern conditions a comprehensive proposition upon which to build an effective national organiza- 
 tion. 
 
 From the beginning of time, organization has been a condition of man’s existence; it has come down to us 
 crowned by the laurels of its successful past; it behooves us in this day and generation to accept its record 
 as a gift to be continued on and on in the histories of centuries yet to come. It comes to us as a heritage of 
 our forefathers, a legacy so flexible in its character as to admit of being molded, “even as the potter molds 
 his clay to the demands of his deft and artistic touch,” so, we accepting it as the result of successful experiment 
 mold it by our constituted law and rules to meet the demand of our varied interests, let us hope to be endowed 
 with a spirit of unity of purpose in the progressive advancement of the principle of “live and let live,” of fair 
 dealing, of unswerving loyalty to our officers and through them to this Association, through this Association 
 to the Exchanges which are affiliated with it and which are the main requisites for the continued success of 
 
this body. Let us have a singleness of purpose. An organization should not waste its effort in vain attempts 
 to accomplish too many things at once — a few things well done are far better than many things not well done, 
 therefore, let us concentrate our efforts on one th ng, do it well, then on to the next. 
 
 I want to thank the officers and members for the confidence reposed and the honor that has been con- 
 ferred upon me. In exchange for that confidence I have given to the duties of my office the best that I had, 
 in this way my time and effort has been my contr bution to this cause. The Builders’ Exchange of Baltimore 
 City, of which I have the honor to be Secretary, has been generous with me in the disposal of my time; they 
 have been interested in and have supported this m vement, not to please and encourage me, but because they 
 believed in national associated effort. 
 
 In view of the fact that I shall, with the clo:ing of this convention, surrender the cares and responsi- 
 bilities of this office to my successor, I am going to ask that a committee be appointed to pass upon this, my 
 last annual report, desiring that their findings shall be returned to the convention for record. 
 
 In closing I want to say that an association such as ours has many functions to perform and great oppor- 
 tunities for good. Its highest ideals are easy of accomplishment if we will but remember the words of the 
 sage — “that as the diamond is polished by the diamond dust, so must the minds of men depend for their 
 illumination upon their contact with kindred minds,” so will the heart and very souls of men be transformed 
 by co-operation where there is an Association such as ours, based as it is upon a unification of interests. Let 
 us take the lesson of unity from the beautiful form of our national government, of which every loyal citizen of 
 our beloved country is justly proud — the individual citizen alone and unaided can do but little, the state is 
 mighty, but a confederation of them all is all-powerful, and every just demand that they may make ij\ the 
 name of a united nation will be accorded them, so it is with us. This organization can and will, through an 
 association of its kindred organizations with intell gent co-operation control the destinies of building con- 
 ditions and every just demand that they may make in the name of a united association will be accorded them. 
 
 For myself in retiring to the ranks I pledge my unswerving loyalty to the principles and purposes which 
 have brought us together. I shall always have the most pleasant recollections of my association with my su- 
 perior officers, who have at all times been considerate and courteous. I bespeak for my successor the same 
 pleasant relations, and, although not in an official sense, your Secretary shall be pleased to render to him and 
 to this Association and its officers any assistance in my power being at all times at the command of our chief. 
 
 Respectfully submitted, 
 
 I. HERBERT SCATES, 
 
 Louisville, Ky., January 21, 1914. Secretary.