The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-08-18
Would Like Hawaii to Give a
Fat Subsidy for Twenty
Long Years.
SOME OPPOSITION MANIFEST.
The Island Regime Not Likely to Be
Bound to One Monopoly for
Such a Period.
Especial Correspondence of the United Press.l

HONOLULU, HAWAII, Aug. 10.-An in
tense interest has just been created In
Honolulu in Government and business
circles by new proposition on the I'd inst.
to this Government to lay a Geographic
cable connecting Honolulu with San Fran
cisco. 1t comes with reliable backing, the
proposer being Colonel q. S. Spalding, one
of Hawaii's wealthiest ugar-planters. He
has latterly spent much time in Europe,
where he has matured plans with syn
dicate OF capitalists. His proposals are
regarded as the first yet presented which
afford a tangible prospect OF early tele-
graphic communication. His plans are as
follows:
Colonel Spalding states that he has al
ready provided himself with all of the
necessary preliminary information, both
technical and financial, necessary to pro-
coed Immediately with the work, except
the knowledge of what subsidy can be de-
pended upon from the two Governments
interested" He has ''also made condi-
tional arrangements for securing all money
necessary to construct, lay and equip such
lines and ship"
@He proposes cable connecting San
Francisco and Honolulu, also an inter-
island cable system with land connections,
all of which will cost over $4,00O,000. He
twill undertake to complete all prelimi-
nary arrangements and begin the manu-
facture of the cable within eighteen months
from, say. October 81, 1895, and have both
systems in complete working order within
eighteen months thereafter-say, October
81, 1895" He twill undertake, without ex-
pense to the Government, to maintain
both such cable systems in good working
order and operate them continuously for a
term of twenty years"
In return the Government is asked to
agree as follows:
First-To pay a subsidy of $4,000 per an
nun for term of twenty years, in return
for which all Government messages will be
transmitted free of charge.
Second-To grant exclusive privilege of
landing cables on the Hawaiian Islands
from the western coast of North America
for term of twenty years; such exclusive
privilege, however, not to be construed as
conflicting with any rights the Govern
ment of the United States may possess by
virtue of any existing treaty.
Third-The Government to allow the
free use of land for stations, buildings, ETC.,
with right of way and exemption from
duties.
It is added that "the United States Gov
eminent will be asked to lend its aid and
assistance by means of subsidy or guar
antee, and any arrangement made will be
with the full approval and sanction of
such Government. 1t will be time enough
to look to other Governments for aid when
the United States shall have refused or
failed to take the matter up, and this Gov
eminent shall consent with such other
Government.
The proposals of Colonel Spalding have
SO far met with very hospitable recep-
ton and consideration from this Govern
ment. They seem to have been hailed as
being the probable solution of the ques-
ton how to obtain cable communication,
which has for some time been deeply
exercising the executive mind. Colonel
Spalding, on his arrival, Immediately Sc
cured the services of l.. A. Thurston to
advocate his scheme. Mr.. Thurston had al
ready made very able report on the cable
question, which had been made the basis
of an act empowering the Government to
proceed actively In investigations and ne
gotiations to the end OF securing the organ
ization of a company to lay cable.
majority of the Senate has appeared
to favor granting the concessions asked for
by Spalding.
A bill is about ready for introduction
into the Senate by the Cabinet accepting
his proposals. A strong oppo sition, how
ever, is growing against them III the bust
ness community, which is voiced by all
the daily papers with more or less posi-
tiveness. 1t is felt that twenty years is too
long time for subsidy to be paid, since
the probable early extension of the cable
to either Japan or Australia would at once
produce large income. A subsidy would
be needed only while Honolulu was the
terminus.
1t is even more seriously felt that it
would be an error to grant the proposed
company an exclusive right to land a cable
on Hawaiian territory from North Amer
lea, although that same concession has
been made to other proposed cable COM
panies. 1t is becoming evident that the
time is very near at hand when cables will
be laid across the Pacific to both Australia
and Japan. Hawaii, being practically the
only landing-place for cable on either
route near the American coast, has abso-
lutte control of the situation. This geo.
graphical position gives Hawaii an enor-
nous advantage, which should not be hast
lily given away to corporation as mo-
nopoly, even with prospect of fastening
cable communication by a year or two.
1t seems probable that Colonel Spald-
ing's proposal will meet at least with de-
lay in its acceptance. Appearances are
this afternoon that the Legislature will
not approve it when brought before that
body next week.
The Council of State met to-day and
authorized pardons to be given on condi-
ton of leaving the country, to two young
rebel officers serving long sentences, W.
H. 9. Grelg and Louis Marshall. These
prisoners are lying sick in the Queens
Hospital, with recovery retarded by men,
tai depression.
No reply has yet been made by the Gov
eminent to Minister Willis in the Dureel
case, the MarshaPs report not being yet
ready. for adoption.
a rumor that the British Commissioner