governments has been placed under the Agricultural Department, and its sphere of operation enlarged and improved.

FISH COMMISSION.

I have not received the biennial report of the Fish Commissioners, but their full operations will be laid before you and their wants in regard to appropriations made known. They have done a large amount of work during the last two years, with much advantage to the fish interest.

FISH AND GAME WARDEN.

In order to protect the result of the work of the Fish Commissioners, and game in the Northern part of the State, the law provides for the appointment of a Fish and Game Warden. He and his deputies have used great diligence, but as is usual in such cases, have met with many obstacles; still fish and game have been quite largely protected.

RAILROADS.

In 1889 what is known as the graded fare bill passed the Legislature. The railroads to which it applied refused to comply with its provisions, and a case was brought in the Supreme Court to test the constitutionality of the law, and its constitutionality sustained.

Our railroads are fairly prosperous; their earnings, as reported by the Commissioner of Railroads, are increasing every year. It is with great satisfaction that we are enabled to point to the fact that during the last four years there has not been a collision between passenger trains on any of the roads in the State. Nor has a culvert or railroad bridge gone down under a passing train during the same period. While valuable individual lives have been lost, our people have been spared the shock caused by a wholesale slaughter of passengers by falling bridges, burning cars or collisions of trains.

STATE TROOPS.

Our people are properly opposed to maintaining a large standing army in this country. But the nucleus of a military force and military education has been found necessary in all civilized countries; and in obedience to this demand Michigan, in common with other States, maintains a military force. For its maintenance three and one-half cents per capita of our population is appropriated. And it is with especial pride and satisfaction that I call your attention to the fact that our State troops are in splendid condition. Each State encampment has been an improvement upon its predecessor. Discipline, with a few rare exceptions, has been maintained. Soldierly conduct has been observed. We have held annual encampments for four years, and the troops are better equipped and better clothed than ever before; for which I am indebted to the Military Board, the Adjutant and Quartermaster Generals, as well as to the officers and men generally.

ORCHARD LAKE MILITARY ACADEMY.

While this is in no way supported by the State, it is, to some extent, a Michigan institution of which we are justly proud. It is doing a good work in its line, and deserves and receives the confidence of all.

TAXATION.

Uni

This involves questions that come home to all of our citizens. versal education, the humane features of our present civilization, and possibly an ambition for something like luxury, makes upon the taxpayers constantly increasing demands.

No new State institutions have been established during the last four years. But the legislature of 1885 established three, and two of these have been paid for, and almost entirely during that time; and large additions have been made to nearly all of the State institutions. And while for four years there has been no increase in State taxation, yet for the term of ten years there has been a tendency in that direction, not only in this State, but in others.

I noticed in a message recently delivered by the Governor of Vermont, he furnishes tables that show that State taxation in the Green Mountain State has been nearly doubled in ten years, with no increase in population; and this holds true in some of the other States. And while the State tax forms but a small part of the aggregate, yet when taken altogether taxation is a burden in town and country, and sound economy should be practiced all along the line. But the burden of taxation inevitably suggests new, and some of them strange methods, to meet the demands. In the State of New York, and some others perhaps, a tax is levied upon bequests, except where they are made to members of the family, and from this source alone New York receives $750,000 per annum. And again, nearly all of the business achievements of the age are wrought out through corporations. incorporations are daily filed with our Secretary of State. cares and responsibility is performed without expense to the corporation. Many of the States collect a fee or impose a tax at the time incorporations are formed. Quite large sums are in this way collected that operate to some extent as a relief to other property.

Articles of

The labor,

Since the adoption of the free school system and the construction of costly school houses, and the employment of higher priced teachers, the aggregate of school taxes is very large, amounting to nearly or quite 50 per cent of the total taxation. And while no one will desire to impair the usefulness or efficiency of the school in city or country, it has seemed not improper to refer here to the large revenue required to defray the expenses. But no amendments to the school law should be made that will add to the expenses without strong assurance that improved methods will be secured thereby.

A graded income tax is advocated by some who seek to relieve property from the burdens of taxation. The suggestion is worthy of consideration. The law, as well as its execution, should require all property to contribute its just share towards the support of government and its own protection. And no greater amount should be collected from the people than is required for the humane and economical administration of public affairs.

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CONCLUSION.

These closing words terminate my labors as Governor of the commonwealth. And while I cannot sever the ties that have bound me to so many people and institutions, without a pang at the parting, yet I cheerfully, and gladly, pass over to another the cares, duties, responsibilities and anxieties connected with this important position.

Michigan is a noble State; it stands in the front rank of the sisterhood of States. It has a sturdy, intelligent, patriotic population. Its school system is unsurpassed; and it is I trust with pardonable pride that I here and now refer to the fact that in competition with the educational systems of the whole world submitted to a commission in Melbourne, Australia, Michigan bore away the laurels and received the first award of merit. And this fact, and others, should admonish us to be very careful about making a radical change in a system that stands so high.

And will you pardon me for saying here and now that, with a heart full of gratitude, I desire to thank all of our people, without regard to political affiliation, for the many acts of kindness and the evidences of confidences received. I now go out into private life with love for my adopted State unimpaired, with my faith in her future granduer and glory, confirmed.

Gentlemen, you represent a proud, intelligent and patriotic State. Her destiny is to some extent for the time being placed in your hands. I know that you are actuated by an earnest, honest desire to serve well her interests and institutions, and I trust that the laws that will emanate from you and that receive the approval of my successor, will aid her people in holding high the banner they so proudly carry. CYRUS G. LUCE.