Gilpin observer., 1902-03-20
SUBSIDY BILL WINS
SENATE PASSES FRYE's PET
MEASURE, 42 TO 81.
Allison Time Limit and spooner
Amendment Empowering Congress
to Repeal Bill at Will Are Adopted.
All Other Amendments Rejected.

p All Other Amendments Rejected.
Washington, March 1S.-After pro-
longed debate the senate yesterday
passed the ship subsidy bill, the final
vote upon the measure being 40 to 81.
Senators Allison and Dolliver of Iowa,
Spooner and Quarles of Wisconsin.
and Proctor and Dillingham; of Yer
mont, Republicans, voted against
final passage of the bill, and Senator
McLaurin of South Carolina voted for
1t. Some amendments to the bill were
adopted, but they were all agreeable
to those in charge of the measure, the
friends of the bill voting down all
other amendments. With the excep-
tion of amendments offered by Mr..
Allison and accepted by Mr.. Frye, lin.
1ting the time Of the operation of con-
tracts made under the provisions OF
the bill to July l, 1920. and providing
that the amount of the expenditure
under the mail subsidy paragraph
should not at any time exceed $S,O0O,-
900 annually. none of the amendments
agreed to materially affected the bill
Amendments Voted Down.
uc VOSluS QpOn UcSdu
at 8 o'clock, and such a flood of them
was offered that final vote upon the
bill, as amended. was not reached un-
til just before o'clock. Amendments
offered by Vest, providing for free
ships" and for the application Of the
provisions of the antitrust law, to the
shipping industry, were rejected, as
WAS the amendment proposed by Pat
terson, providing that no Chinese per-
son should be a member of crew
of subsidized vessel. Mr.. Pettus Of
Alabama offered an amendment pro-
viding that the total expenditure I'M
der the bill should not exceed $9,00O,-
900 in any year. 1t was adopted in
committee of the whole. but later in
the senate was rejected.
The senate agreed to an amendment
offered by Mr.. Spooner, providing that
congress should have power to amend
or repeal the act without impairing
any contract made under it's authority.
Mr.. Hanna of Ohio offered and the
senate adopted three amendments ap-
plying directly to the acquisition by
j. Pierpont Morgan and his associates
of the Leyland line of British steam
ships. They provide that no foreign
built ship shall participate in the pro-
posed subsidy, that nothing in the
act shall be construed to prevent
American citizens or corporations
from holding or operating foreign ships
in the ocean carrying trade; and that
no foreign built ships of any line thus
acquired by American citizens shall
be admitted hereafter to American
registry.
Provisions of the Bill.
The title of the bill passed by the
senate is: ITO provide for ocean mail
service between the United States and
foreign ports and common defense, to
promote commerce, and to encourage
the deep sea fisheries"
Title / of the measure as passed
deals with ocean mail steamships and
their subsidies. The postal subsidy
act of 1891 is so amended as to direct
the postmaster general to enter into
contract for not less than five or more
than 10 years with American citizens
for the carrying of mails on American
steamships to such foreign port as
will best promote the postal, CONNER
cial and maritime interests of the
United States; the mail service on
such lines to be equitably distributed
among the Atlantic, Mexican gulf,
and Pacific ports. and the contracts to
be made with the lowest responsible
bidder.
The vessels employed in the mail
service shall be American built and
owned and ofiicered by American citl-
zena. During the first two years one
fourth of the crew must be American
citizens; during the next three years
one-third must be American citizens.
and during the remaining life of the
contract at least one-half must be
American citizens. The ships must
be screw steamships. OF iron or steel,
and divided into the following classes,
according to speed: First class, 20
Knots or over; second class, 10 knots;
third class. 1S knots; fourth class, II
knots; fifth class, 16 knots; sixth
class, 10 knots; seventh class II
knots.
All steamships of the first four
classes shall be constructed with par
ticular reference to prompt conversion
into auxiliary naval cruisers, and shall
be of the highest rating known to mar
itime commerce.
The rates of compensation to any
vessel carrying mails to n foreign port
in North America not to exceed 20 per
cent of the maximum rates estaD.
lished.
Title 2 of the bill provides for the
general subsidy to be paid 1t directs
the secretary of the treasury to pay TO
the owners of any vessel in the United
States duly registered and engaged in
the foreign trade Of the United States
compensation amounting to / cent
per gross registered ton for each 100 .