THE NAVY OF THE AIR.

When the fleet was ordered to Mexican waters in April, in connection with the occupation of Vera Cruz, two aeroplane sections of two aeroplanes each, completely manned and with full outfits, were sent on board the Mississippi and Birmingham to Vera Cruz and Tampico, respectively. There was no occasion for the use of aeroplanes at Tampico. Those at Vera Cruz were used continually, and although the Navy's aeroplanes are not fitted for land work, for 43 days they did a good deal of scouting over the trenches protecting Vera Cruz. There were daily flights without regard to weather or other conditions. To every call made upon them our young aeronauts made ready and cheerful response, and their forethought and caution prevented any accidents. Their scout work in the sky assured the Commander-in-Chief that no mines had been planted, enabled him to locate sunken works, and was of inestimable value in the combined operations of the Army and Navy. The heavy toll that must be paid for progress in all invention calling for daring has resulted in the death this year of one air pilot, Lieut. J. D. Murray, United States Navy. His name will be remembered among the immortals who have given their lives to the development of aeronautics. He was an efficient officer, courageous in life, mourned in death.

Air craft have demonstrated in the present war in Europe that no military arm is complete which lacks them. They will not replace vessels of war, but will extend the field of operations to the air as well as on the surface of and underneath the water. The recent wars have demonstrated the inestimable importance of scouting, and the day is not far distant when a modern Maury will chart the currents of the air as that great naval officer charted the currents of the ocean. Air craft on the land prevent surprises of the character which have determined most military victories. They provide the best means for discovering submarine mines, and have now become an indispensable naval adjunct. We are but in the infancy of air craft. The development in the manufacture of these craft in this country needs to be stimulated, and the success of this arm of the military service abroad will be a mighty stimulus to American manufacturers.

Early in the year a board of experienced officers was appointed by the Secretary to consider and make recommendations for the development of aeronautics in the Navy. After a thorough investigation this board recommended the establishment of an aeronautic station at Pensacola, Fla., the organization there of a flying school for officers and men in the art of aerial navigation and the purchase of certain types of aeroplanes and other flying craft. Orders were given, early in the year, for some foreign-built aeroplanes, in addi

tion to larger orders for aeroplanes made in this country. The purpose of ordering abroad was to enable the aeronautic school to test out the best foreign designs in construction and equipment, to the end that the Navy might adopt those which had demonstrated themselves by actual trial to be best fitted for the service. Unfortunately, the war made it impossible for the orders placed abroad to be filled, and the trial of such craft must be postponed. The best types of American manufacture have been ordered, and the department will develop this modern branch of the naval service steadily and rapidly. Indeed, it has been more ready to develop it during the past year than the manufacturers of this country have been to supply the demand for craft of approved design. It is recognized that we are but on the threshold of the development and utilization of air craft, and their steady increase on a large scale is a fixed policy of the department.

A volunteer militia, if it may be so called, has been organized by the owners of air craft, and has been patriotically placed at the command of the Navy Department if times of peril should call for its assistance to the regular airship flotillas.

THE LAW AND THE PROFITS.

The naval act of 1914 provides that no part of the money appropriated shall be used "to procure through purchase or contract any vessels, armament, articles, or materials which the navy yards, gun factories, or other industrial plants operated by the Navy Department are equipped to supply, unless such Government plants are operated approximately at their full capacity for not less than one regular shift each working day." Three exceptions are made-the first, "except when contract costs are less than costs in Government plants"; second, "except when Government plants are unable to complete the work within the time required"; and, third, "except in cases of emergency."

This injunction of the law that nothing should be bought in the markets which could be made by the Navy itself has been observed with a conscientious scruple in letter and in spirit, which has resulted, often, not only in large savings, but in widening the Navy's avenues of manufacture. The law has yielded profits. Contrary to popular idea the Navy Department in what it manufactures does so, from a superdreadnaught to a gallon of paint or a pound of powder, cheaper than the same can be purchased. This is particularly true. of the most expensive instruments of war, but is equally true of gasoline engines, electrical supplies, engines for dreadnaughts, shrapnel, clothing for marines and sailors, accouterments, and a multitude of other articles required for the fleet and shore stations.

The last Congress made an appropriation, upon the recommendation of the department, for the enlargement of the powder factory. Before the Government began to manufacture smokeless powder it paid 80 cents a pound for it. Government competition, coupled with better methods (but chiefly the fact that the Government demonstrated the exact cost of producing it), have brought down the price at which the department purchases this powder to 53 cents. The department is now manufacturing it at Indian Head at a cost of 36 cents a pound, and when the enlarged plant is completed may be able to still further reduce the cost of production. If the department had bought what it manufactured last year the powder bill would have been $397,536.16 more than it was. In addition to effecting this saving by manufacture, the department reworked 1,013,940 pounds, at 11.9 cents per pound, and this method insures the use of much powder every year that would otherwise be useless.

Upon the recommendation of the department Congress made an appropriation for enlarging the torpedo works at Newport, R. I. In the two years that the present torpedo works have been in full operation the cost of manufacture of each torpedo has been reduced from $4,200 to $3,200. These torpedoes, if bought at the only private torpedo plant in the country, would cost $5,000. The enlargement of the torpedo works will not necessarily cause the Navy Department to manufacture all its torpedoes, but ability to make a large proportion of the number needed will result in securing better prices from manufacturers. This is true of all other munitions of war. Ability to make them secures reduction in cost. This experience has justified the recommendation of the department and the act of Congress.

NO PRIVATE GAIN IN WAR PREPARATION.

It is not the policy of the department to extend manufacturing by the Navy to all that it needs, but to continue buying the bulk of its supplies from private manufacturers and business men. It should be able, however, to demand competitive bids by having potential facilities to manufacture anything needed for armament or equipment which may at any time be controlled by those who demand excessive prices. There is another reason why the Navy Department should be able to manufacture munitions of war-that policy would prevent effective agitation or organization for big preparations for war conducted by those who make profit by the manufacture of war supplies. It has been suspected in some countries that makers of armor and powder, guns and fighting craft have promoted steadily increasing equipment for giant navies and large armies for their personal enrichment, as others have practiced "philanthropy and 5 per cent." The incentive of personal aggrandizement by prepara

tions for war should not be permitted to exist in the United States. The effective way to prevent so baneful an influence is for Congress to give the department authority to manufacture implements of war, an authority which could be employed when necessary.

IMPROVED ACCOUNTING METHODS.

The cost of industrial work done at navy yards has received special attention during the past few months, not only for the purpose of being able to render to Congress accurate annual statements, but also to the end that true out-of-pocket Government costs may be ascertainable for comparison with offers from outside establishments, with resulting stimulation of competition and reasonable control over prices. A board of officers, selected with care from all branches of the service, went very thoroughly into this question last spring, and although the time at their disposal was quite limited they progressed far enough to submit a report and recommendation on the strength of which a departmental order was promulgated reducing by 28 per cent all overhead or indirect charges during the current fiscal year. This reduction was based on the fluctuation of total expenditures as compared with fluctuation in the volume of navy-yard work. The subject of separating and properly classifying these charges is now being exhaustively studied by a board of experts working in cooperation with the Director of Navy Yards, and it is confidently expected that their investigations will lead to results so conclusive and at the same time so practicable to adopt that the much discussed problem of cost keeping in the Navy will have been satisfactorily solved.

INDUSTRIAL MANAGERS FOR NAVY YARDS.

Every Secretary of the Navy has been confronted with the problem of securing the most efficient management of the navy yards. Inasmuch as it is both a military and industrial problem, there have been widely differing opinions as to the methods of securing the best results in the industrial department and at the same time preserving the necessary military authority. The House Committee on Naval Affairs visited most of the yards last year, and during the hearings of the Secretary of the Navy the question of economic management was fully discussed. The committee was promised recommendations on navy-yard management in the Secretary's report at the third session of Congress. As a result of long consideration, it has been decided not to formulate any hard and fast plan; but, in pursuance of the act of Congress permitting the Secretary to designate engineer and construction officers, as well as line officers, to navy yard management, a plan has been put in operation at the New York yard,

which is the largest construction as well as repair yard in the Navy, by which an admiral is to be commandant, in charge of all military matters, and an engineer officer is to be the industrial manager of the yard. At the Charleston Navy Yard an engineer officer has been named as commandant. Within a short time construction or engineer officers will be utilized at such other yards as may promise the best results. It is believed the introduction of industrial management will justify the wisdom of the experiment.

INCENTIVE TO INVENTION.

The department approves the recommendation of the Bureau of Ordnance that some plan be devised by which a cash reward may be given to any civil employee who may work out an improvement or economy in any manufacturing process or who may submit a design for some important improvement in ordnance material or plant machinery, or any improvement of naval equipment. This scheme should follow generally that authorized by act of Congress in 1912 for the Ordnance Department of the War Department. In many private manufacturing establishments some such scheme is in vogue.

ELECTRIC PROPULSION.

The navy-yard-built collier Jupiter is unique in being the first vessel of any size in any navy equipped with electric propulsion. Although a few small boats had heretofore been equipped with this kind of machinery, the installation in the Jupiter is the first one made in any naval vessel, and the first one of any considerable power in any vessel whatever.

As a test of the durability of her machinery, the department recently ordered her from San Francisco to Puget Sound, and from Puget Sound to Philadelphia through the canal. She completed the trip without incident, being the first naval vessel to make the trip from the west coast to the east coast by the canal, very forcibly indicating the value of the Panama Canal in the naval defense of the country. She completed the trip in 23 days from San Francisco to Philadelphia, whereas the Oregon, rushing from the west coast to the east coast via the Straits of Magellan, required 66 days from San Francisco to Jupiter Inlet. Her trip afforded a remarkable demonstration of the efficiency of the electric drive, and indicates clearly that electric propulsion must be considered hereafter in selecting the form of drive of naval vessels.

In the majority of our ships propulsion had previously been accomplished by means of reciprocating steam engines directly connected to the propeller shaft, but as the size of ships and their speed increased conditions arose which made it desirable to use turbines instead of