undertakes to place homeless children in normal homes, within the state, for adoption. According to an estimate made in 1920 (arrived at by methods of computation too lengthy to state here, but which seem sound), there were at least 10,000 dependent, neglected and delinquent children in the State of Alabama in need of special care. Of these, not over 3,000 could be cared for by institutions. No other organized work for children existed. We have no reason to assume that the number of children in need has grown less. As an indication of the need of saving children in Alabama, attention is called to the fact that the Children's Aid Division was actually in touch during the last fiscal year with 1046 children. This represents 1046 appeals for assistance of some sort in some way. It does not mean at all that the Department was able to receive this number-far from it even if commitment to the Department had been the right thing. At the beginning of the last fiscal year, the Division had 362 children under supervision in their own homes. By keeping in close touch with these children, the Division was able to keep them in the homes, saving both homes and children to each other. And, during the fiscal year, the Children's Aid Division was able to go into local communities and save to their own homes, or to relatives' homes, 321 children. During the year, these homes were all so strengthened that the homes of 184 children were discharged from supervision, that is, the families had been built up to the point that they were able to go on themselves and no longer needed guid ance. The Division actually had committed to it only a small number of children, the number being 138, and of these 39 were returned to relatives. During the year 126 children were placed for adoption. This does not mean that these children were all received this fiscal year. Some of them were on hand at the beginning of the year and some of the children committed during the year are still on hand. In order to accomplish what was accomplished by the Children's Aid Division, the following visits were made and miles traveled: Visits made in investigating applying homes. Visits made in supervising children.. Visits made to clinics and doctors' offices. 627 1,405 3,526 430 64,883 The Children's Aid Division has been unable to respond to the demands made upon it by the State because of the lack of adequate funds. Up to this time, the Department has been com pelled to solicit private donations from the people of the State, in order to carry on at all. Last year over $20,000 had to be raised in this manner to carry the children committed to it through the fiscal year. This ought not be be. If little children in need are to be manufactured into citizens, this Division. must receive more means with which it can save child life. Indeed, insufficient funds compels the restriction of the activities of the Department in all its divisions of work, and yet it carries bravely on looking to that brighter day when Alabama will be a better state for a child to live in. The Governor, in order to aid in administering this Department, has contributed annually something over $5,000.00 from his contingent fund. I wish to call your especial attention to the 1925-26 Annual Report of the Director of this Department, Mrs. A. M. Tunstall, and ask that most careful consideration be given to same. I also call your attention to the quadrennial report submitted by her. I desire to commend the work of this Department and recommend that an additioal appropriation of fifty thousand dollars ($50,000.00) per annum be made for its administration and maintenance. STATE HEALTH DEPARTMENT The forward strides of the State Health Department during the past four years have brought a keen sense of satisfaction to the administration. Eleven new fulltime county health services have been organized bringing the number up to thirty; the counties comprised in the new territory covered are, Escambia, Limestone, Franklin, Marengo, Marshall, Coffee, Jackson, Lawrence, Lee, Chambers and Tallapoosa; this means that approximately 340,000 more of the state's population have been brought within reach of the benefits of a local agency which devotes itself to guarding the health of the people, preventing the spread of communicable diseases, fighting the dangers of soil pollution through the building of sanitary toilets and the administration of anti-typhoid vaccine; conducting campaigns for the eradication. of mosquitoes and the prevention of malaria; carrying into the very heart of the country home the intimate instruction of nurses which contributes to the safety of mothers in childbearing and to the normal development of our future citizens during the period of their greatest helplessness. Alabama's rural health program has proved so successful that visitors from every country on the globe have come to observe it. Approximately 939,000 Alabamaians still live in counties which do not support a fulltime county health service; these are predominantly rural counties. Even here the state board of health has shown a commendable industry and adaptability to circumstances. To all counties are available the results of the epidemic logical studies based upon the reporting of communicable diseases by local physicians; five branch laboratories have been established making prompt diagnostic service available to the remotest citizen within a twelve hour period this includes the mailing of vacines and anti-rabic serum as indicated. Here again the individual physician is the local representative of the state board of health and carries out a lifesaving measure formerly conducted at the central laboratory in Montgomery at three times the expense of the present practice; this change has more than doubled the use of the state laboratory by rural citizens. In every rural county of the state indigent cases of venereal disease may find within a reasonable distance a co-operative clinic where treatment may be secured at a nominal fee, necessary medicines being furnished free from th state board of health and administered by a local physician who is under contract to perform this service at a small cost. The rules and regulations of the state board of health with regard to the impounding of waters are responsible for the adoption of malaria control measures by the power companies concerned. All city water supplies are by law placed under the supervision and control of the State Board of Health. This service is not contingent upon a local health organization. A milk sanitation program has been devised which may be adopted by any incorporated town or municipality. This program has beneficial results which are two-fold; health conditions are improved and the economic welfare enhanced through development of the dairy industry. An inspector from the state bureau visits and rates every hotel in the state and enforces an established standard of maintenance for these as well as other food handling places. The record of Alabama's investment in health service during the last ten years makes an interesting story; in 1917 the legislative appropriation to the State Board of Health amounted to 1.1 cents per capita; county funds supplemented by federal and voluntary agencies raised the per capita expenditure throughout the state to 8.4 cents. In 1925 the legislative appropriation to the State Board of Health amounted to 8.7 cents per capita; county funds supplemented by federal and voluntary agencies raised the per capita expenditure throughout the state to 33.9 cents. A study of the records and reports of the State Board of Health together with even a cursory inspection of the records of the present economic status of our people convinces me that every dollar of state funds which has been invested in health protective measures has actually brought to the state many times its equivalent in freedom from pain and sickness, higher levels of health and efficiency in our workers, lowered death rates, the saving of millions of dollars due to the saving of health, increased production of wealth due to increased health. If Alabama is to go forward and not back it must continue to expand its health activities and extend the service now available to 60% of its population so that the 40% now lacking a local service may supercede the efforts of the central office by a local organization. Or in the continued absence of such an organization in a considerable number of counties it must more adequately finance the central office activities best calculated to compensate for lack of local health departments. In most of our modern cities 50 cents per capita is regarded as a modest expenditure for health protection. Alabama has never exceeded 34 cents even including all funds from outside sources. I believe that an aggregate investment of $1.00 per capita would be a reasonable and profitable one for this state and I believe further that our state health organization is capable of making such an investment pay dividends to our people that would enrich the lives of all of us. A proposed program of expansion with very careful budgetting has been worked out by the State Board of Health for the next quadrennium, it involves taking over such work as has been built up by outside agencies and a reasonable expansion of the board's established activities; it calls for a gradual annual increase through the four years reaching a maximum of a little. more than a quarter of a million dollars. I recommend the adoption of the entire program when submitted. BUREAU OF INSURANCE I have the honor to call your attention to the operation of the Bureau of Insurance, which is directed and presided over by Frank N. Julian, as Superintendent of Insurance. For the four year period 1923-26 this Department of the State has shown most remarkable growth both as to revenue and to the services rendered the general public. To the head of this Department I desire to give credit for a most intelligent, constructive, and progressive administration; Alabama's Insurance Department is recognized throughout the nation as one of the best managed State Departments, and the head of the Department has been signally honored by the National Convention of Insurance Commissioners, an organization of State officials which was established in 1870. The Bureau of Insurance was created as a separate Department by Act of the Legislature in 1915. Since its creation, (Acts of the Legislature of 1915) and from that date to the close of the year 1926, the total revenue from this Department has amounted to $6,406,797.42. For the preceding quadrennium (1919-22) the total receipts of this Department amounted to $2,198,000.16, and the total expense of operation for the said period amounted to 3.24% of receipts. During the quadrennium mentioned, the expense of the workmen's compensation law was paid from the general funds of the State and is not included in the above computation. For the quadrennium 1923-26 the total receipts of the Bureau of Insurance amounted to $2,968,226.30, and the expense of operating the Bureau of Insurance amounted to 2.93% of receipts. From 1923 to the close of 1926, however, the expense of the workmen's compensation law was passed over to the Bureau of Insurance, and this expense has been borne out of the reecipts of this office; including both expense of operating the Insurance Department and the Workmen's Compensation Division, the ratio of expense to total receipts amounts to 3.49% It will be noted the increase in gross revenue in the last quadrennium named over the preceding quadrennium is, therefor, $770,226.14. For the last year, 1926, the receipts of the Bureau of Insurance, were the largest in its history, amounting to $865,052.33. Increase of revenue in this Department has been brought about without any increase in taxation or license fees. This Department of the State Government is one of the most important of the several Departments in that it has supervision and regulation of all insurance carriers operating in Alabama, and as insurance is a vital and necessary part of every business activity the Department should be given your most careful attention to the end that it may continue to function intelligently and progressively for the State. The Superintendent of Insurance has made certain recommendations in the Annual Report of the Department, which I concur in, and which I would direct your attention to as set out in the Annual Report of the Bureau of In surance. Like all growing Departments, certain legislation is needed, and I would, therefore, point out to you the legislative recommendations as contained in the several annual Reports of the Bureau of Insurance for the quadrennium 1923-26, and I would especially call your attention to the following: |