resources of themselves are of no value; so long as they lie dormant they are useless. It is necessary that they should be developed by human enterprise. In last year's report, under the same head, I pointed out that with all these natural advantages, we were importing from other States nearly all of the staple articles which we should produce ourselves, and presented statistics which were quite startling on this subject. They were intended to startle our own people into greater activity, and to show to others the vast "home market" which existed here for the ordinary products of the farm and the orchard.

Another year has passed, and I am able to report that in every branch of production we are having a wonderful increase and development. It is evident that the situation is being understood and acted upon. Not only are those from abroad coming to aid in this work, but our own citizens seem to be thoroughly aroused and filled with a determination to supply this home market demand by their own exertions. There is no point of view from which we can regard New Mexican affairs without seeing a marked advance.

To begin with agriculture, the acreage in crops has been largely increased all over the Territory. If we turn to horticulture, the advance is still more marked. In every section orchards are being commenced or enlarged.

Improved systems of irrigation are advancing rapidly.

The animal industries are in a more satisfactory condition than for some years.

The lumber product is increasing rapidly in all sections. In mining, unprecedented activity prevails.

In short, in all branches of practical industry New Mexico is making rapid and substantial progress. In every way her resources are being developed, and general prosperity prevails.

Nor is this all. The most important factors in our future greatness are yet to be stated. It seems as if all at once the barriers which have existed to our advancement have been broken down.

For years we have suffered under the incubus of unsettled land titles. The uncertainty which prevailed prevented sales and paralyzed enterprise. Throughout almost a generation our people had endeavored to obtain Congressional action to remedy this evil, but without effect. But at length it is accomplished. The long-hoped for relief has come. The land court is already established, and a brief time will see every element of uncertainty removed. It is impossible to realize the wonderful effect which this will have. It will give stability to titles and confidence to investors. It will bring both the men and the money which we need for our development. To supplement this, the late legislature passed an act for the incorporation of community grants, which will settle vexed questions with regard to them. The action of the legislature generally was progressive and salutary. It provided for the improvement of roads, for the incorporation of villages, for the protection of the cattle interest, for the suppression of trusts, for the impartial selection of juries, for the reduction of liquor selling, and, most important of all, for the establishment of an efficient system of public schools. The new school laws will soon cause New Mexico to be covered with public schools, and the coming generation to be the equal of that in the most favored States.

Thus in every way the tendency is upward and onward. The future is not only assured, but the full fruition of its prosperity is near at hand. Already we are enjoying the first fruits of the new era of progress. We

are producing far more and buying much less this year than last. With a little increase we will soon bring the balance of trade to our own side. No more propitious time for new citizens to take part in our manifest destiny can be imagined. The night of waiting is far spent, the day is at hand. And New Mexico welcomes all worthy men and women to join us in the pleasures and prosperity of that day.

Very respectfully,