Two special committees of the board are studying the problems connected, first, with the condition, conduct, and future of the nonreservation schools, and, second, with the more effective care and use of the students who return to the reservation after their school life. These committees will report during the coming year.

DELINQUENCY.

In the course of their inspections some members of the board have had their attention directed to juvenile delinquents. Under the laws of some States such boys and girls possibly could be sent to a State institution, but there is a disinclination on the part of State authorities to take in Indian juvenile delinquents. They contend that Indians are wards of the Federal Government and are not taxed, and therefore, State officials argue, the Government should take care of its juvenile delinquents. This board is studying the whole question of Indian juvenile delinquency to offer a practical solution of this problem.

Some provision for adult delinquents is also a vital necessity. We have found superintendents of isolated reservations, far removed from the offices of Federal attorneys and from Federal courts, seriously embarrassed in their efforts to preserve peace and good order on their reservations because, by reason of their isolation, they practically are without any effective police and court aid. If superintendents could be clothed with the powers of a committing magistrate with authority to sentence petty offenders to brief terms of incarceration in simple jails or guardhouses provided on reservations for that purpose, there would be a decided decrease in adult delinquency.

Against the argument that a superintendent who had the authority of a committing magistrate could abuse his power by taking personal revenge on some Indian is the fact that on some reservations the superintendent is openly defied by malfactors who know and boast that he has not the strong backing of legal authority in his efforts to maintain good order.

EFFECT OF WAR ON THE SERVICE.

The Indian Service has not escaped the disturbing influences of the war, for the bureau has lost many good men and women, some of whom were particularly well qualified for their work. A number entered the military service of the Government and others resigned to take up more lucrative employment in civil life. The Washington office and every school and agency are short-handed, with little prospect of any betterment in the conditions until after the close of the

war.

The medical division of the bureau, in particular, is most seriously handicapped by reason of the loss of nearly one-third of its staff of surgeons and physicians. Almost all of the men who left enlisted in the Medical Department of the Army. Probably the loss of these medical men is the worst feature of the effect of the war on the Indian Service. At a pinch the Indians could get along for a time. without farmers and teachers, but tuberculosis, trachoma, pneumonia, and infantile disorders must be promptly attended to.

The officials in charge of the Indian medical service have endeavored to meet the emergency caused by the depletion of the staff by making contracts with physicians residing in the neighborhood of Indian jurisdictions, by transferring Indian Service physicians from schools and agencies where local medical service could be secured to isolated reservations, and by raising the age limit for eligibility under civil-service regulations from 40 to 50 years. But notwithstanding these commendable efforts to provide sorely needed medical service for the Indians the situation continues to be serious, particularly in those localities where tuberculosis is prevalent.

Obviously the time is inopportune to suggest any immediate changes in policy or organization with the purpose of increasing the efficiency of the medical staff, but, with the end of the war, there undoubtedly will be changes, some of them radical and far-reaching, in every department of the Government, and it might be well to give some thought to the future of the medical division of the Indian Service. We have heard with much pleasure that the Indian Office is considering the probability of securing for the service a number of the young medical officers who will return to civil life from military hospitals, experienced surgeons of the highest type, who can be placed as head surgeons in the Indian hospitals.

But this hope may not be realized unless the salaries in the medical division are materially increased and the division reorganized so that it will be almost as independent in its functions and authority as is the United States Bureau of Public Health Service. We are of the opinion that there should be connected with the Indian Bureau a corps of surgeons and physicians having such independent authority that it could enforce quarantine and conduct a health campaign in the Indian country with or without the cooperation of the. reservation or local civil officials.

The rate of progress toward civilization of the Indians is obviously affected by their health and living conditions, This fact has long been the center of one of Commissioner Sell's most aggressive activities, but he has been hindered in his "health drives" by an undermanned medical division, the lack of specially trained field matrons and nurses, and the indifference of the white neighbors of Indian centers to any effort put forth to help the wards of the Gov

crnment.

INDIAN SOLDIERS.

Before the United States entered the war against Germany this board recommended the organization of a regiment of Indian scouts for patrol duty along the Mexican border. The entrance of this country into the great war inspired Indians to enlist and to-day there are thousands of Indian soldiers and sailors in the Army and Navy. It is estimated that considerably over 5,000 Indians have entered the military service of the Government. The lists of their students and graduates given publicity by the nonreservation schools show that the great majority voluntarily enlisted. These young Americans joined the colors not as a segregated unit but as individuals. They are scattered all through the service, and reports indicate they make good soldiers.

Indian mothers and sisters in every jurisdiction are active in Red Cross work. Indians have been liberal subscribers to Red Cross and

other funds. They have bought millions of dollars worth of Liberty bonds and are active in all enterprises related to the conduct of the war.

THE NEW ACCOUNTING SYSTEM.

In compliance with an act approved May 18, 1916, the United States Bureau of Efficiency installed an accounting system for the United States Indian Service, which was put into effect July 1, 1917. The reason Congress directed that the Bureau of Efficiency should devise and install this new system of bookkeeping and accounting was that Congress wanted to have always at hand definite information concerning the cost of operation and management of every unit in the Indian Service. As an accounting system, pure and simple, the one now in use is, perhaps, beyond criticism. It covers every phase of the administration of Indian affairs except the most important of all-the human element.

The Indian Service is peculiar in that it has to do with the intimate personal affairs of tens of thousands of partly civilized people. The superintendent of a reservation, in the performance of his ordinary duties, must exercise the functions of a Government official having executive authority, a business man, agriculturist, administrator, counselor and educator, and should be a good friend and family adviser. To properly perform his multitudinous duties he should have ample time to go over his reservation and keep in close touch with his Indian people.

With few exceptions all superintendents are the special disbursing officers and custodians of the Government and of Indian property in their charge. They are under bond. The new system of accounting has developed this interesting situation: It has made accounts and reports of more-importance than the welfare of the Indians. On any reservations the superintendents and their clerks are not expert bookkeepers and the year's experience under the new system has demonstrated the fact that it requires a high degree of accounting skill. This system calls for such a number and variety of reports and covers such a variety of intraunit transactions and, to the inexperienced superintendent and clerk, is so complicated that on many reservations the superintendent is tied to his desk until late in the evenings and frequently all day Sunday keeping books, using the time he should be attending to the personal needs of the Indians.

If every school and agency had a skilled bookkeeper as its fiscal agent and disbursing officer, under bond, there would be no excuse for bringing this matter to your attention, because, as we have said, the new accounting system as a system, pure and simple, is beyond criticism. But any bookkeeping system, any method of accounting, no matter how good it may be, makes for inefficiency if it takes up so much of the time of superintendents that they are not able to give to the Indians a close personal attention.

MEETINGS.

The board held four meetings during the year; a special meeting at the home of Commissioner Ayer, Lake Geneva, Wis., July

25-27, 1917; the regular semiannual meeting at Lake Mohonk, N. Y., October 22-23, 1917; the annual meeting at Washington, January 29-30, 1918; and a special meeting at Portland, Oreg., April 8-11,

1918.

At the annual meeting Commissioner George Vaux, jr., of Philadelphia, Pa., was reelected chairman of the board, and Commissioner Malcolm McDowell, of Chicago, Ill., was reelected secretary, both for the ensuing year.

Commissioner Frank Knox, early in the war, enlisted in the military service after a course in the officers' training camp at Madison Barracks, N. Y. He was commissioned a major and is in command of the Second Battalion, Three hundred and third Ammunition Train, Seventy-eighth Division of the American Expeditionary Forces in France. Because of his foreign service it is not possible to secure his signature to the report.

PURCHASE OF SUPPLIES.

Chairman Vaux attended the 'lettings of contracts for supplies for the Indian Service at the Chicago warehouse. The abnormal business conditions caused by the war is making it more and more difficult for the Indian Office to meet the demands of schools and reservations for necessary supplies.

In a majority of lines there appeared to be a reluctance on the part of merchants, many of them old bidders, to enter into a year's contract to supply the needs of the Indian Service. This may be attributed almost entirely to the condition of the markets, the merchants not caring to quote prices unless they had the goods on hand or had every assurance of being able to get them. Because of the regulation of production by the Government, and the commandeering for the Army and Navy of existing supplies and future outputs of factories, mills, etc., the Service was considerably handicapped in covering its needs.

Notwithstanding this it was able to contract for a greater part of the essential supplies. Prices maintained an advance over the previous year, as was to be expected by reason of abnormal conditions. A noticeable reaction in prices, however, appeared in quotations on medical supplies which seemed to be caused by a readjustment of the upset conditions which existed when imports from certain foreign sources were stopped after war was declared by this country.

The board' wishes to express its appreciation of the prompt response to the suggestion of Commissioner Ayer, made to you in March, that, if possible, substitutes for white flour, which had been purchased for the Indian Service under contract and practically all delivered long before the Food Administration regulations were promulgated, be used in the Indian schools.

The immediate cooperation of the Interior Department and the Indian Office provided ways and means by which a large quantity of white flour soon became available for the use of our allies.

During this year we have had the active cooperation, not only of the Indian Service men in Washington but in the field, and we

desire to express to you our appreciation of the many courtesies we have received from the Department of the Interior and the Bureau of Indian Affairs.

REPORT ON INDIAN LABOR IN ARIZONA, BY EDWARD E. AYER.

CHICAGO, ILL., August 11, 1917.

MY DEAR SIR: The rapid development of the long-fiber cotton industry in the Salt River Valley, Ariz., in the vicinity of Phoenix, where the recent crop survey shows 36,000 acres in this crop, opens a new and desirable field for Indian labor.

I understand that last season in this same section, where a cotton crop on about 8,000 acres was picked, that many Indians, especially Papagoes, were employed; that they gave good satisfaction to the cotton growers and received good pay for their work. A large number of additional pickers will be needed this year, and the Pima, Maricopa, Cocopa, and Yaqui Indians have shown themselves particularly adapted to this work.

I am advised by those in touch with the cotton situation that the various cotton growers' associations will guarantee the Indians good wages and general good treatment. What our Indians need most is to be taught to work. There are nearly 50,000 Indians in Arizona, and a very small percentage of them do any useful work. It seems to me that this opportunity for obtaining remuneratve labor for a large body of the Indians of that section, at work which they can. do, and with good pay, should be given prompt and favorable attention.

To accomplish this, in my judgment, a man should be detailed from the Indian Department to have charge of all Indians at work in the Valley; that is, to look after their interests; to see that they have proper tents, water, fuel, and other conveniences, as well as proper pay, and to advise them. There will be several hundred Indians from southern Arizona employed there this year. They will work for many different people, some of whom may only be interested in getting all they can out of the Indians and furnishing them as little as they can. This man should be sent there immediately in order to familiarize himself with conditions. He should put himself in communication with the different Indian agents in Arizona and try to get 25 or 30 Indians from each tribe to go to Phoenix and