New-York tribune., 1885-10-25
THE THREE NEW CRUISERS
MATERIALS AND WORKMANSHIP GOOD
REPORT OF rBE BOARD OF APPRAIsAL-A LETTER
FROM MR.. WHITNEY.

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REPORT OF TBT BOARD OF APPRAlsAL-A LkIiEh
FROM MR.. WHITNEY.
W,su1NGToN. Oct. 24-The report OF the
Naval Board constituted by order of Secretary whitney
to examine the work and materials OF the uhnmsheo
cruisers Chicago Boston and Atlanta, ana 10 "scor-
tain and declare the fair market value thereon cuuhg
reasonable and customary margin OF pront upou 'He
work has been approved by the Secretary ana reiereu
by him to the Naval Advisory Board which latter mas
been ordered to go with the work OF construction
full meeting of the Advisory Board has been called Tor
Monday to consider the report Of the Board OF Ap-
praisa The Board Of Appraisal In It's general report
which Introductory to the detailed reports upon the
three vessels says
The Board would state that 1t considers that the ma
teras and workmanship far as can be seen at TINS
stage OF the construction good and answer the re-
oureents of the contracts and it considers that by ex
pending money which the Board estimates as neces
sary to expended to make the vessels complete ana
up to the contract that 1t will have at that time vessels
up in character and quality to the contract require
ments
In IT'S report upon the Chicago the Board says "Tbe
original contract price Of tie Chicago was $os9OOo
which was increased in accordance with the provisions
the second clause OF the contract by authorized e1
price at this time $933 692 which the Board assumes
would represent the fair market value OF ths vesse
when completed In accordance with the plans anu fec
catons OF the contract including reasonable and Gus
tomary margin OF profit The Board estimates the cost
complete this vessel at $2Os0l5 which being deducted
from the total contract price leaves which the
Board declares to be the fair market value OF the WORK
and materials belonging this vessel and the custom
AIRY margin Of profit so much Of the work as haa
been satisfactorily performed at the time OF the IolIe
The board places the total price OF the Allan
ia at S66l 97s, and states that an expenditure OF
Si159l VIII be required to finish the null dae atses
S62O3S7 the fair market value of the vessel in its
The total contract price of the Boston is stated at
S66O.2l8, IL is estimated that an expenditure OF
$jO95 will be required TO complete the hull, which
amount deducted from the contract price leaves
$G1O,023 as the present value Of the vessel
In connection with the foregoing report the following
letter. written by Secretary whitney August IL to
Mr vanGerpoel counsel for John Roach. is to-day fur
nished for publication;
SIR: At our interview this morning said would put
In writing the which intended TO pursue with
reference to the Boston, Atlanta and chicago, emDody
ing my expectations with reference to them. My au-
thory s Of course limited by the terms OF the con-
tract
ces call upon to exercise fair business Judgment
with regard to the boats and consider would be folly
not TO take such steps found
be necessary to complete them in accordance with
the terms Of the contract ana mnen tae
contemplated by the contract see no reason TO doubt
any decision will then beiprecisey what would be
at the present time, namely: That under existing cir
cumstaces the Government should rescue It's property
by avang OF the terms OF the contract aud carrying
sIips forward to completion In doing so. nasMuch
in tho end 1t is practically done at the expense
Of the contractor,-(because an acco uniting Is
provided for at which the balance of profit or
loss is struck for or against him)-I should deem
IL entirely proper, while keeping control and d.
rection OF the work. that 1t should be done in the
yard OF the contractor and with his force The plans
are there, the organization is there, familiar with the
ship and the necessities OF the Government are fully
met IL an exactng supervision is retained, and control
oyer the force is retained but the work ia conducted
with the foremen and the force which the contractors
yard is able TO supply. In this way probably greater
economy OF xpendture would be effected than in any
other way and the large force out Of employment
would be able to resume work.
All this express Informally "a my intention, which
have no reason to suppose will for any cause be
changed IL in fact results from the necessities OF the
situation and is the only course which seems TO me
good sense aud business Judgment dictate.