n fees, now less than $1,000, will be augmented with the
growth of our foreign commerce and a return to more favorable business
conditions.

In execution of the Executive order referred to the Secretary of State
has designated as a board to conduct the prescribed examinations the
Third Assistant Secretary of State, the Solicitor of the Department
of State, and the Chief of the Consular Bureau, and has specified the
subjects to which such examinations shall relate.

It is not assumed that this system will prove a full measure of
consular reform. It is quite probable that actual experience will
show particulars in which the order already issued may be amended
and demonstrate that for the best results appropriate legislation
by Congress is imperatively required.

In any event, these efforts to improve the consular service
ought to be immediately supplemented by legislation providing for
consular inspection. This has frequently been a subject of Executive
recommendation, and I again urge such action by Congress as will permit
the frequent and thorough inspection of consulates by officers appointed
for that purpose or by persons already in the diplomatic or consular
service. The expense attending such a plan would be insignificant
compared with its usefulness, and I hope the legislation necessary
to set it on foot will be speedily forthcoming.

I am thoroughly convinced that in addition to their salaries our
ambassadors and ministers at foreign courts should be provided by the
Government with official residences. The salaries of these officers are
comparatively small and in most cases insufficient to pay, with other
necessary expenses, the cost of maintaining household establishments in
keeping with their important and delicate functions. The usefulness of
a nation's diplomatic representative undeniably depends much upon the
appropriateness of his surroundings, and a country like ours, while
avoiding unnecessary glitter and show, should be certain that it does
not suffer in its relations with foreign nations through parsimony and
shabbiness in its diplomatic outfit. These considerations and the other
advantages of having fixed and somewhat permanent locations for our
embassies would abundantly justify the moderate expenditure necessary
to carry out this suggestion.

As we turn from a review of our foreign relations to the contemplation
of our national financial situation we are immediately aware that we
approach a subj