There was quite a perceptible falling off in the receipts of coarse grain, as compared with those of the preceding year, which was owing largely to the decrease in acreage and yield in the territory tributary to this market.

A particularly noticeable feature in the business of the department for the past year is the remarkable increase in the receipts of flaxseed over those of former years. The total number of cars of flaxseed inspected during the crop year was 2,681 as against 1,299 cars in 1889-90, and as against a yearly average of 825 cars in the four years preceding the crop of 1889-90.

The character of the spring wheat crop was only a fair average as to quality, the inspections showing that the proportion which went into the two highest grades was hardly up to the average of former years, as a glance at the table hereto appended will demonstrate:

Cars Per Cars Per Cars Per Cars be- Per Total 1 hard. cent. 1 North. cent. 2 North. cent. low 2°. cent. carload.

FINANCIAL CONDITION.

The earnings of the department from all sources during the past year were $109,652.20, which includes $1,154 23 accrued interest on deposits. The total expenditures for the same period were $98,321.66, leaving a net gain of $11,330.54 for the year, which added to the balance of $32, 148.98, on hand at the beginning of the season September 1, 1890, makes a total balance of $43,479.52 now in the state treasurer's hands to the credit of the grain inspection fund. A comparative statement of the earnings, expenses and balances for the several years since the department was established, is given below:

I wish to call the especial attention of your honorable board to the present flattering condition of the department finances and to the fact as well that this result has been attained from abnormally low fees. I have been apprised of your recent action in still farther reducing the fee for inspection from twenty-five to twenty cents per carload, to take effect this day, thus giving shippers to Minnesota markets the benefits of our work at much less expense than would be incurred in any other market in this country. In our present financial condition and in view of the large crop in prospect, the department can, in my opinion, be properly maintained the coming season under the reduction made.

REINSPECTIONS AND APPEALS.

Reinspections were called on 11,483 cars out of a total of 210,269 inspected. The original grade was sustained in 4,456 cases and changed in 5,713 cases; the dockages were changed on 1,314 carloads. There was but one appeal made to the Railroad and Warehouse Commission from the decisions made under reinspection, and in this case the department was overruled. This almost entire absence of appeals would warrant the conclusion that the adjustments made by the chief deputies in their reinspection work were almost universally satisfactory.

THE WORKING FORCE.

There were employed in the various branches of the depart ment during the past year a total of eighty-nine persons, as follows: One chief inspector, three chief deputies, seventeen deputies, fourteen helpers, three chief weighmasters, thirtynine deputy weighers, three registrars and nine clerks. The comparative increase in the force each year is shown in the annexed table:

In conclusion I desire to say that the work during the past year has as a whole progressed smoothly and satisfactorily. Individual complaints have been much less prevalent than in former seasons, owing to an increased knowledge as to our grades and standards on the part of the public, and more improved methods and increased experience on our own part. With one notable exception our efforts to render a good service have met with general approbation. An attempt to discredit our work was made by a so-called "Grain Grower's Association" composed of several persons who claimed to represent the producers of the state. The opportunity presented itself in June last at the hearing before the legislative investigating committee, in reference to the public elevators of the state. Your honorable board is familiar with the testimony and details of the whole matter, and can judge of its merits accordingly. Until the conclusion of the hearing which was adjourned to the first Monday in January next, it would perhaps be inappropriate for me to dilate to any extent upon the subject, it is sufficient to say, however, that whatever the motive may have been which actuated this unjust attack, whether sincere or otherwise, if it results in a better understanding of the object of the grain laws and methods of our work, and accomplishes such changes in the grain laws as have for years been advocated by the commission and the department, legislation such as is imperatively needed to perfect the system and produce the most beneficial results, then all can well afford to waive any farther inquiry into the motives which prompted it.

Yours respectfully,

A. C. CLAUSEN, Chief Inspector.

DATE.

2,543.90

243.40

212.00

134 10

112.20

6,227.25

2.291.10

909.25

671 50

270.05

208.00

7.097.05

2,062.75

1,889.10

992.96

873.32

40.90

19.60

5.878.63