The times. [volume] (Washington [D.C.]) 1897-1901, 1900-02-27
THE SHIP SUBSIDY BILL
Mr. Frye'S Statement Concerning
accent Notifications.
The Period of Compensation for Ncs-
sells Now Completed Limited to Ten
the Passage of the Bill Wal Adj
vance American shipping Interests

vance American shipping Interests
The Hanna Payne Ship Subsidy bill. rs
reported to the Senate yesterday by the
Committee on Commerce. is modified by
several amendments. which have resulted
from the hearings that have recently been
held. The measure was originally intro
dueed in the Senate by Mr. Frye, the
President pro tempure, on December 6, and
in response to a request that he explain its
principal provisions, he issued the fol-
lowing statement yesterday:
Substantial notifications have recently
been made in the bill. with four distinct
purposes in view, namely; l. To particular
ly encourage the building of new ships in
the United States. .. To induce our citi-
zens TO construct freight carriers. 3. To
attract present and prospective American
ship owners TO the exceptional opportuni-
ties upon the Pacific for the development
Of American trade. I. To compel vessels
to carry at least half cargoes each time
they leave the United States on a foreign
voyage. their compensation being reduced
to carry such cargoes.
The bill. as it now stands. limits the
period of compensation to ten years for
vessels now completed while doubling that
period for vessels hereafter to be con-
structed. This gives owners of existing
vessels a chance to share in the benefits
Of the bill just long enough to enable them
to keep up with the progress of the times
and the needs OF our growing commerce
by themselves, taking the lead in new con-
structions. The object is not unduly to
favor present owners, but to encourage
those who have had the pluck to stick
TO the business through all these years
OF adversely to apply their experience and
courage TO its rapid expansion. To up
build our merchant marine we must recess
Sarily depend upon the ability, experience.
and resource OF those OF our citizens now
engaged ir the foreign trade It is de-
sired TO encourage In every way possible
investmSut on the part OF others now un-
familiar with shipping. and 1t Is believed
that this can best be accomplished by max
ing possible the success of those now en-
gagged in the business.
by Withdrawing compensation from YES
sells now In existence at the end Of ten
years, and continuing il for twenty years
to those hereafter built. 1t is expected
that the most modern and economical yes
sells. and only those, viii be found desira-
Bile for our foreign trade. This will also
ensure the carrying Of our exports at the
minimum OF cost, and the maximum of
efficiency.
Comparative Benefits.
Without going into the figures OF the
compensation in detail. It is enough to say
that the compensation provided will no
more than make good the difference in the
cost and In the operation Of American
ships in competition with foreign ships. 4 |
limit OF not to exceed s., 600 coo is placed |
upon the annual payment to vessels of |
over twenty knots speed. | look for such /
fierce rivalry between American and for |
eign vessels. the former striving to OBJ |
tain and the latter trying to hold the busi- |
ness. as to materially reduce rates OF |
ocean transportation for years to come, |
and TO fix permanently a much lower rate |
than at present through the economics in |
construction and operation that competi- /
tion will force upon all concerned
The provisions of the bill favor freight |
carriers at every point rather than the /
leetest and most powerful ships. This is /
in response TO a very general sentiment 1
that the commercial war upon which We 4
have entered. and which will be larger in 1
the future, demands the former in prefer /
ence to the latter.
1T is recognized that the more rapid |
expansion of our export trade will be In |
that carried on with the Orient. This will 1
especially stimulate new lines Of steam
ships from our Pacific ports to Asiatic
countries. To make it particularly attrac-
tive and also possible. for our citizens to
develop that trade with American built I
shiDs, 80 per cent Of the maximum COM
pensation IS reserved for our vessels upon
the Pacific. while, of course. there is no
limit to the extent that they may partici-
pate in the other 20 per cent by increasing
the number OF ships in our foreign trade.
Ships Under Foreign Flags.
During the last thirty-fiye years, while
American ships have been more expensive
to build and more expensive to run than
foreign vessels certain OF our citizens have
found it necessary TO go abroad for their
ships and sail them under foreign flags in
order TO compete on terms of equality with
heir rivals which course under proper /
protection during that time
would have been quite unnecessary. 1t is
that some zoe 600 tons OF vessels
If this character OF ownership are now in
existence while about 100 OGO tons OF ships
are now being constructed abroad for their
owners. IN OfucE not 10 discriminate
against these citizens. now controlling a
rade capable OF great future expansion
and in order TO induce them to expand
heir trade with American built ships. pro-
-isiOn Is made for the admission to Ameri-
an registry OF foreign built vessels owned
ly American citizens, on condition that
hey have tonnage built hereafter in
American shipyards equal to that admitted
o our register. Compensation is withheld
intn this new tonnage is built and for
cit of $40 per ton required il it is not
luilt. This foreign built tonnage that il
admitted receives only one-half the amount
# compensation paid to American built
-essels. and contracts are restricted to ten
'ears in respect Of existing vessels. All
uch vessels and their equivalent tonnage
o be built In the United States are to be-
Excluded from any participation in our
oastwise trade.
Il should have said that compensation
s also withheld from owners Of existing
American vessels until they have had
built In American shipyards tonnage
equal 10 % ner cent of that for which
'ompSlsation IS asked.
Car%oes to He Carried.
"0nc OF the most important changes is
hat which compels vessels under contract
o carry carsoes equal TO at least one-half
heir gross tonnage on their outward voy-
.ges. /. had been thought that such
Many CIergymen
Usc DJTFYS PURE MALT WHISKY in their
cmes, and say il is a blessing 10 mankind .
load t.e tifl-DsLtu and fearless u0r.'e of Rgy ]