Experience with the new legislation so far has clearly demonstrated its constructive nature.  It has increased the benefits received by many and has made eligible for benefits many others.  Direct disbursements to the veteran or his dependents exceeding $21,000,000 have resulted, which otherwise would not have been made.  The degree of utilization of our hospitals has increased through making facilities available to the incapacitated veteran regardless of service origin of the disability.  This new legislation also has brought about a marked improvement of service to the veteran.

The organizations of ex-service men have proposed additional legislative changes which you will consider, but until the new law and the modifications made at the last session of Congress are given a more thorough test further changes in the basic law should be few and made only after careful though sympathetic consideration.

The principal work now before the Veterans’ Bureau is the perfection of its organization and further improvements in service.  Some minor legislative changes are deemed necessary to enable the bureau to retain that high grade of professional talent essential in handling the problems of the bureau.  Such changes as tend toward the improvement of service and the carrying forward to completion of the hospital construction program are recommended for the consideration of the proper committees of Congress.

With the enormous outlay that is now being made in behalf of the veterans and their dependents, with a tremendous war debt still requiring great annual expenditure, with the still high rate of taxation, while every provision should be made for the relief of the disabled and the necessary care of dependents, the Congress may well consider whether the financial condition of the Government is not such that further bounty through the enlargement of general pensions and other emoluments ought not to be postponed.

AGRICULTURE

No doubt the position of agriculture as a whole has very much improved since the depression of three and four years ago.  But there are many localities and many groups of individuals, apparently through no fault of their own, sometimes due to climatic conditions and sometimes to the prevailing price of a certain crop, still in a distressing condition.  This is probably temporary, but it is none the less acute.  National Government agencies, the Departments of Agriculture and Commerce, the Farm Loan Board, the intermediate credit banks, and the Federal Reserve Board are all cooperating to be of assistance and relief.  On the other hand, there are localities and individuals who have had one of their most prosperous years.  The general price level is fair, but here again there are exceptions both ways, some items being poor while others are excellent.  In spite of a lessened production the farm income for this year will be about the same as last year and much above the three preceding years.