New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-06-28
DETROIT SUBSIDY BUILT.
So GoUernor Says in 4rgmng for
Ship Subsidy.

Detroit, June "a subcommittee of the Con-
gress Merchant Marine Commission gave hearing
to-day at the Offices Of the Detroit Board of Com
merce. The following members of the commission
were present: Senator's Penrose, of Pennsylvania
and Gallinger. of New-Hampshire: Representatives
Grosvenor. Of Ohio: Humphrey of Washington;
Minor. Of Wisconsin and spight, of Mississippi
and W. l. Marvin of Boston. secretary of the
commission.
J. L. Hudson president of the Detroit Board of
Commerce, was the first speaker. He was followed
by Representative Grosvenor. who said IN part
Subsidy is a frightful word, and yet you haven
p cents worth Of property IN Detroit that would
have been valuable without gifts OF money from the
federal government The opening OF your lines OF
communication was due TO suDslales lou lou W. W.,
handicapped by distractions 10 navgauot., LOU
had low water in the harbors. and you had very
Lorain and Ashtabula had depths of seven and nine
feet instead of sixteen feet Your big freight snlps
era government in improving the lake harbors, the
Lime Kiln crossing and other channels 49, .
You are living on subsidies. You have built, IN
sides The legislation that prohibits foreign ton
mage from participating in our coastwise trade is
the strongest kind of protection in the world ne
question now IS whether the great system that
has built up your inland trade may not demonstrate
some plan and system by which Congress can ac-
comphsh equally good results on the hlsh seas
William f Livingston. president of the Lake
Carriers Association. was the next speaker He
presented interesting statistics on the business
passing through the 500 and Welland canals as
showing the phenomenal growth Of the commerce OF
tons of commerce pass through it's locks, he said,
while in the same year the 500 Canal saw thirty
six million tons, and 1t must be remembered that
the 500 Canal was open only DO days while the
Suez Canal was open $50
Mr.. Livingston thought increase in the size of
ships would be beneficial TO American commerce on
the high seas. He said that while some people re-
ferred ship subsidies graft, II was necessary
TO devise some means to meet the difference IN
wages between American and European labor. He
,V-S.T, -f9
tistics on a comparison of the cost of labor in ship
yards of the lakes and yards where foreign go
ing ships built
\. c Pessano of this city president of one Of the
largest shipyards the lakes, advocated great
waterway connecting the lakes and the Atlantic
coast. This brought out a difference in opinion be
tween Senator Ganger and Mr. PessanO, Mr.. Pes
sauo holding that New-York State would reap
ton, while Senator Galnger said that a cursory
consideration OF the subject made nm incline 20
the opinion that the New-N ork canal expenditures
Mr. Pessano favored differentiaI duties as op-
posed 10 ship subsidies Senator Galinger asked
what would be the result if by adopting the plan
of differenuaI duties II was necessary to revoke
thirty commercial treaties. He said that
he feared that the abrogation Of these commercial
treaties would mean retaliation or possibly COM
Frederick A. Baker, OF this city. read a paper IN
which he declared that the people Of Michigan
eminent aid, bounty subsidy TO any private en-
terprise. He cited the late Justices Cooley, Camp
preme Court, as authorities for this opinion The
decision OF the Michigan Supreme Court declaring
unconstitutional a State sugar bounty law Mr..
Baker said, the most recent instance in which
this question had come before that court
while il looks plausible to start our merchant
marine with a subsidy said Mr.. Baker. you
establish thereby precedent the consequence or
which cannot measure. We I'm Michigan would
say. Make subsidy but accomplish in some
other way the results that seek "
Mr. Grosvenor eudeavored TO have Mr.. Baker ex-
press opinion on the appropriation of public
money for irrigation works In the West but Mr..
Baker said NE had not investigated that subject
flffrv stFT Ion %
n,issorrrs az the Offices II the Detroit Board Of
Commerce before their departure for Cleveland.
nhcre sessions viii be- hcId to-mnrrOw.