Mrs. ROGERS. How many of these cases are service connected? Mr. BENSTON. The 648, all of them, and are drawing compensation. When I appeared before your committee the last time the number was 576. The Veterans' Bureau has probably hospitalized in the meantime 25 or 30 of those cases.

Mrs. ROGERS. The bureau always tells me that there are only approximately 100 service connected.

Mr. BENSTON. Six hundred and forty-eight.

Mr. HARTMAN. I have a complete record of the 648 and the amount of money they are drawing at the present compensation and showing the conservators.

Mrs. ROGERS. The men ought to be willing to accept hospitalization. Mr. MILLER. I think it ought to be understood that the bureau itself attempted to make a survey, which did not result in immediate acceptance by a great number of wards or conservators of hospitalization. I think it also will develop that the Veterans' Bureau unquestionably and clearly advised the committees, the conservators, and the guardians of the existence of some additional facilities as they came in recently in North Chicago, with the presentation of that opportunity for hospitalization by mail, and the American Legion is undertaking in a rather well directed and careful contact not to force them into hospitals but to make them understand that there have been and will be in the future, if this committee acts, facilities for these psychotic cases. Mr. Benston has made clear to the committee that all of the 648 constituting the so-called insane class are not merely nervous or functional types, neuresthenic or psychiatric, but they are all psychotics.

Mrs. ROGERS. That service will be helpful to us in our work.

Mr. BENSTON. I will be glad to mail you, Mrs. Rogers, a list of these cases.

Mr. HARTMAN. I do not desire to presume on the time of the committee any longer, but we definitely show a need for 805 additional beds right now, although the bill says 500. We have always been fair and asked for what we thought was the minimum amount rather than the entire amount we needed, because we figured if we asked for too much we would not get any.

Mrs. ROGERS. I understood you to say N. P. cases were given service connection at the rate of 50 per cent.

Mr. MILLER. That is not the exact figure. I recall last year we presented on that to the bureau, when we had something like 20,000 N. P. cases, mental cases, rated as totally disabled; something like 4,000 permanently and totally disabled, and the balance of 16,000 temporarily disabled; but the total N. P. service connected will be 55,000 at that time-it is probably 60,000 now. We were then effecting service connection 12 years after the war at the rate of 245 each 30 days. It appears to be now at the rate of 248 a month. Mrs. ROGERS. I have been told that, taking all the types of cases together, they are all being given service connection at the rate of 50 per cent. T. B., N. P., and general medical and surgical, the service connection is being granted at the rate of 50 per cent of the

cases.

Mr. MILLER. Yes; we feel that generally that of all the applications filed 50 per cent of the applications for service connection have been granted but many of them have expired for various reasons.

There are 1,100,000 claims filed and half of the total number of claims filed have been granted service connection, and 300,000 are receiving compensation at the present moment outside of arrested T. B. cases.

Mrs. ROGERS. At what rate do you think we ought to be able to take care of the service connected load because that is always going ahead?

Mr. MILLER. The reason I mentioned 20,000 totally disabled cases was because we have not had more than 12,000 or 13,000 mental cases of that type of service connection in our hospitals at one time, but it has always seemed to me that this totally disabled percentage for some time in the future will be the potential load for hospital care, discounting all the rest of the cases of some 40,000 cases rated less than totally disabled.

Mr. LEWIS. I think the Veterans' Bureau's present figures also have that and showed no more than 56,000 to 60,000 service-connected N. P. cases, 4,000 more than the past year.

Mr. BENSTON. In our State, adding to that same line of thought, last February when I appeared before this committee we had 576 cases service connection not then in hospitals. Now we have 648, and if you take the 25 to 30 that the Veterans' Bureau has in the meantime hospitalized, we still have 100 more service-connected cases outside our hospitals than last year for February.

Mrs. ROGERS. Do you think unemployment has made more men go to the hospitals?

Mr. BENSTON. That might be true, but so many of them have been hard to determine. When you are speaking strictly of N. P. cases it is hard to determine whether there is need of hospitalization, because many times where there is a demand for a man to be hospitalized the family do not want him hospitalized because if he is home the probate court allows him an allowance for family care. Mr. MADIGAN. The only figure that I can give is as of June 30. Mrs. ROGERS. What figures can you give for June 30? Mr. MADIGAN. Forty-four on June 30.

Mr. MILLER. The data that we have every quarter from these institutions is available to the committee, and I am sure that the contacts we have made will bear out the assertions made before your committee by Mr. Hartman and Mr. Benston.

Mrs. ROGERS. The committee will be glad to have anything filed that you think will add to the picture.

Mr. MILLER. It is rather voluminous as in the case of the other States in whose behalf we attempted to assist the other day, and we have revised the material to be filed to keep it to the essentials and are now engaged in preparing it for presentation to the committee. We have made notes to return it because it is part of our permanent records.

Mr. TAYLOR. That closes the Indiana and Illinois hearing and we appreciate very much the courtesy of the committee.

(Thereupon, at 12 o'clock noon, the subcommittee adjourned to meet again at 10.30 o'clock a. m., Thursday, January 15, 1931.)

WORLD WAR VETERANS' LEGISLATION

INDIANA

SATURDAY, FEBRUARY 7, 1931

HOUSE OF REPRESENTATIVES,

SUBCOMMITTEE OF THE

COMMITTEE ON WORLD WAR VETERANS' LEGISLATION,

Washington, D. C. The subcommittee met at 10.30 o'clock a. m., Hon. Edith N. Rogers presiding.

Mrs. ROGERS. The subcommittee will be in order.

STATEMENT OF HON. WILLIAM R. WOOD, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF INDIANA

Mr. WOOD. This is bill H. R. 16693, the purpose of which is to authorize the purchase of West Baden Springs Hotel, West Baden, Orange County, Ind.

(The bill referred to is as follows:)

[H. R. 16693, Seventy-first Congress, third session]

A BILL Authorizing the purchase of the property known as the West Baden Springs Hotel, situated at West Baden, Orange County, Ind

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That for the purpose of increasing the hospital and domiciliary facilities for the care and treatment of disabled ex-members of the military and naval forces of the United States, the Administrator of Veterans' Affairs is hereby authorized to purchase the property known at the West Baden Springs Hotel, situated at West Baden, Orange County, Ind., at a sum not to exceed $2,500,000, and the sum of $2,500,000 is hereby authorized to be appropriated for that purpose.

Mr. WOOD. My purpose in appearing before the committee is to introduce those who know all about this proposition. I wish to say, however, that I am personally well acquainted with this hotel and also the surroundings situated, as it is in the Lost River Valley in Orange County, Ind., and it is 1 mile from French Lick. This building is unique in many respects. It may be seen from the photographs that it has an auditorium that is not equaled in the United States. That is used for the assembly hall and also for the lounging room and also in the nature of a court. This building and the grounds surrounding it are among the most beautiful in the State of Indiana. I do not think you could hunt the country over and find

a more beautiful landscape. I have even said when I was there it reminds me of Sol Smith Russell's picture of Peaceful Valley.

This place was taken over during the war and was occupied for hospital purposes. At that time it was one of the most popular resorts in the country. It is the same kind of water there that they have at French Lick, exactly the same, and it was established before French Lick. Of course, during the time that it was occupied by the War Department it was not used at all as a resort or hotel, and in consequence it has never built up its business that it had once before. Mr. Ballard, who is the owner of this property, has spent, I expect, four or five million dollars on this institution. Doctor Griffith, who is here, is well acquainted with this institution, the buildings that are now there, and Colonel Woods, one of the trustees of the Soldiers' Home, has visited it.

General Hines has visited it and they can all tell you with respect to its fitness for the peculiar service that you desire it to be used for. I think if it is so arranged, and I believe the facts will demonstrate that it is so arranged, the hotel people could move out of it to-morrow and the Veterans' Bureau could take charge of it and it would be a hospital immediately. I do not think I am wild in making the statement that it could not be duplicated for twice the amount of money that is proposed to be authorized in this bill. If we are to enter upon this general hospitalization program, there will of necessity have to be a number of hospitals either purchased or built, and in view of this fact and in view of the fact that the Appropriations Committee is trying to conserve as much as possible the moneys of the United States, and at the same time give the services that the Congress seems to be bent on adopting as the policy of the Government, and that this investment is not only a good investment for the service we want to render, it is the most economical proposition I have ever heard of, and the surprising thing to me is that it is offered at the price they have agreed to take for it, and it could not be done except for two reasons: Mr. Ballard wants to get out of business. He has other things which have attracted his attention. There is a measure of patriotism attached to it, and I think you will be convinced when you hear Mr. Ballard on this proposition. I wish also the committee would hear Mr. McCart, who has got out of a sick bed to appear, and he can tell you the details of these things.

Mrs. ROGERS. We will be very glad to have the information. We all know what a good seller you are for Indiana and its products. Mr. WOOD. That is right, and I will be glad to answer for this. Mrs. ROGERS. You know that General Hines has recommended as a rule against purchasing buildings that are already erected.

Mr. WooD. I think you will find if General Hines is heard before this committee that this is an exception. I feel I am warranted in saying what I have because he has expressed himself to me that if we enter upon this general hospitalization business of those who have no service connection, that this is one of the best propositions that he knows of.

Mrs. ROGERS. Doctor Griffith is with us, the medical director of the bureau, and I understand he made an inspection of it.

Mr. WOOD. He has made inspection of it and we should hear the doctor, too.

Mrs. ROGERS. I must be at the White House at a quarter to 12, and if you care to continue your testimony the stenographer would take it for the record even if I have to leave, if you prefer to do that rather than add to your statement later. The time is so short.

STATEMENT OF DR. CHARLES M. GRIFFITH, MEDICAL DIRECTOR VETERANS' BUREAU

Mr. WOOD. Describe in your own way what you noted at this place at the time of your visit, what examination you made, what you have found, and what you have seen there.

Mrs. ROGERS. The doctor is one of the most cooperative workers I have ever seen.

Doctor GRIFFITH. I think it was the last two days of June, 1929, at the direction of General Hines I made a survey of the West Baden Hotel, at West Baden Springs. After going over the building physically with Mr. McCart, I collected certain information and data from the station. You do not want me to go into the various details? Mr. WOOD. Except in a general way. I think it would be well to tell what you found the property consists of, as to its fitness and suitability for the purpose.

Mrs. ROGERS. I should like to have you tell us about the fire hazard, which is one of the things we have to be careful about.

Doctor GRIFFITH. The town of West Baden and the location you have already given.

Mr. WOOD. Yes.

Doctor GRIFFITH. The ground and the reservation, the property there at the hotel, is well drained and composed of small valleys and hills and is fairly heavily wooded. The grounds surrounding the hotel present a very pleasant appearance, having paved roadways, walks throughout the reservation, and the landscape gardening, and so forth, is very attractive.

I was informed that the hotel was constructed in 1907 by the West Baden Springs Co. Mr. Allbright is the architect. The building is constructed of steel and brick walls with concrete, marble floors, and carrying a satisfactory low fire hazard. This was obtained from the report of the insurance company in Chicago.

Mr. MCCART. The Lloyd Thomas Appraisal Co.

Mr. Wood. The evidence will show that it is carried by the insurance company at as small a rate as any institution of the kind in the world.

Mrs. ROGERS. That would make a great difference.

Doctor GRIFFITH. The hotel is composed of the main dining room, service building, waiters' dining room, garage, old bathhouse, annex, boiler house, plumbing shop, engine room, laundry, billiards and pool space, and four springs, Sprudel Pavilion No. 7, Sprudel Hygeia House, and Sprudel Apollo house, a steward's house, tenement house, dairy barn, farmhouse, farm-help house, golf club house, storage shed, tank house and lookout, tool house, livery barn, wagon and storage shed, auto shed or garage, retaining walls, sunken gardens, and very artistic bridges over the stream there, and a miscellaneous number of coal sheds and that type of buildings, a creek running through there, and an archway and a bridge, a pergola,