The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1856-1888, 1869-11-13
Postal Telegraph i'm the United
States.

A Boston gentleman, Mr.. Gardiner g.. Hub
bard, has lately delivered u lecture before the
San Francisco Chamber Of Commerce, on the
subject of the American Government purchasing
and assuming the control of the telegraph in
connection with the Post-ofiee Department. He
advocated the change being made, and showed
the dangers which existed in the telegraph sys-
tenn as now controlled by a company, chief
among which are the liability to its being used
by combinations and by the telegraph agents for
the purposes of private speculation. He stated
that the nominal value of the stock now owned
by the Western Union Telegraph Company,
which controls nine-tenths of the lines in the
United States, was Sal 900 900, though the actual
value was only SIS 900 coo, which is about the
sum it would be appraised at if purchased by
the Government. In the course of his address,
he made the following remarks:
There is no doubt that lines can be constructed,
maintained and operated much cheaper by private
enterprise than by Government. On the other hand
the advantages that will be gained by the govern
mental supervision and inspection, by an extension
Of the lines wherever required, and by a great re-
duction of the rates, and by provisions for securing
the independence Of the press and prompt transmits
sion Of the news, are self evident. Great saving of
expenses can also be effected by n union Of the tele-
graph with the post-ofice, as the office business of
each Is almost identical. The question then arises,
cannot q system be devised which combines the adj
vantages Of each, with few Of the Questionable
features "a system by which the lines shall be con-
structed, operated and maintained by a private CON-
pany under the supervision of the Postmaster
General, and the expenses reduced by n union with
the Post-ofice Department? The Postmaster-G General,
in n report to Congress in January last, recommended
the establishment Of the postal telegraph system
based on this plan. The Senate Committee ON the
Post-ofice, after a full hearing of the subject, re-
ported at the last Congress n bill to establish such a
system. This bill is before Congress to be acted
upon at its next session. The bill before Congress
accomplishes everything contemplated by the Eng
lish bill, with rates as low, without involving the
outlay of n single dollar for the construction, main
tenance and operation of lines, imposing n sufficient
postage ON each message to defray all Office eI .nses.
The Postal Telegraph Bill provides, first, fer the
broadcast competition. by making a contract for a
period Of ten years with the party whose offer shall
be most favorable to the public interests. Second,
or the best lines, by requiring the Postmaster
General to examine the lines before they are accepted,
and periodically thereafter and renew or repair
them at the expense Of the company, if not properly
constructed or kept in good working order. That
the investment of the contracting party shall not ex-
coed S20O for each mile of wire, two-ffths of the
present investment that the rates shall be reduced
by the Postmaster-General, provided the profits are
not thereby reduced below ten per cent. of this in
vestment. Fourth, for greatly increased facilities to
oe FURNISHED, by making post Office and street letter.
them by mail without extra charge, when the Office
from which they are sent is not on the telegraph
line: Fifth, for a great reduction in rates to be
made without expense to the Government.
The reduction of rates is shown by q comparison
OF the present and proposed rates