Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-12-15
BIDS FOR RAIL WAYS,
Proposals for Lines in the
Philippines.
OPENING OF OFFERS
SECRETARY TAFT, GOV. WRIGHT
AND MR.. FORBES PRESENT
No Competition for Concessions in
Northern Luzon and the Islands OF
Panay, Negros and Cebu.

Bids were opened at the insular bureau
of the War Department today for conces-
sonary grants to be made by the Philip-
pine government for the construction, maln-
tenance and operation of railroads in the
Philippine Islands as provided by act or
Congress.
Speyer & Co of New York offered to con-
struct about 425 miles of railway in the
Island of Luzon without government guar
antee of bonds. It was explained that this
offer was made in connection with the ex-
listing Manila Railway Company, Limited
which now has In operation over 200 miles
Of railway in Luzon Uhe Manila and Da-
gupan line and branehes).
Morris McMicken, G. Gresskens G. Pom
Gin. Jacob Furth and f. C. Hughes Of Seat
tie offered to build 100, miles of railway in
southern Luzon, designated in the circular
as land No. 6. under per cent guarantee
for thirty years on 95 per cent of the cost
of construction. They agreed to complete
the road In three years instead OF one.
Keam. Van Cortland & Co, ]. G. White
& Co., Charles NJ. Swift, with whom are
associated Cornelius Vanderbilt, r. II. Will
son & Co and the international Banking
Corporation, offered to build 100 miles on
the Island of Panay, 100 miles on the Is.
land of Negros and 95 miles on the Island
OF tSDu uOuer Il 4 per cent
thirty years on 95 per cent of the cost of
construction. Their bid stated that the
construction would be done by ]. g. White.
& Co.
Railways to Be Constructed.
1T is estimated that the railway lines
which are to be constructed In the Philip
pines will have an aggregate mileage of
about 1888 miles. Lines are TO be con-
structed on the Islands Of Luzon Panay
Negros. Cebu, Leyte and Samar Circulars;
inviting the proposals and giving detailed
information regarding the lines to be built
We're sent out some months ago in order
that those interested or who might contem-
plate entering into the competition would
have ample time to fully acquaint them
selves with the proposition.
The competition was restricted to indi-
viduals and copartnerships of the United
States or Philippine Islands or railroad cor
porations organized and existing under the
laws of state or the United States govern
nIent, or the Philippine Islands government
and legally competent to meet all the re-
quirenentS.
I~'The proposals provided bids would be
oPensd IN Washington at AM and at
the bids were to be opened simultaneously
in the two cities on opposite sides of the
earth 1t was necessary to open bids here at
an early hour In order that the opening In
Manila would not be carried too far into
the night and that, as 1t Is, the insular
officials in the far away islands must wait
until the late hour OF 10, while the officials
in Washington went to work at an unusual
hour for the consideration of proposals.
Government Guarantee.
The Philippine government will guarantee
for a fixed period, not exceeding thirty
years, the punctual payment by the grantee
of interest at fixed rate, not exceeding 4
per cent per annum, first lien bonds issued
by the grantee under the concessionary con-
tract grant to be made and the act OF
Congress, to an amount of 80 per cent of
the actual cost of construction and equip
ment.
The railroad lines to be constructed are to
be post routes and military roads subject 10
the use of the Philippine government and
the United States for postal, military, naval
and other governmental service, and sub
ject Ito the reasonable regulations" as the
Philippine government, with the approval
of the Secretary of War, may impose re-
stricting the charges for such government
transportation.
The act of Congress provides how the
gross earnings of the roads shall be ap-
piled. The grantee and its contractors and
subcentractors are required, so far as pos
stble, to give preference TO such satisfac-
tory laborers may be found along the
line of the railway, and the employment OF
direction" of the governor general of the
Philippine islands.
The points TO be considered in determining
upon the successful bidder or bidders con-
template the lines of railway which a bid
der Will construct and operate without any
guarantee the rate of interest to be guar
anteed which a bidder will accept; the dura-
ton of guarantee which will be accepted
and what percentage less than 95 per cent
of the cost of construction the bidder will
accept the amount for which the guar
anteed bonds shall be Issued.
No Competition for Northern Luzon.
! There was no competition for the conces-
| sions In northern Luzon nor In the islands
| of Panay, Negros and Cebu. and no bids
were submitted for grants IN the Islands OF
| Leyte or Samar. The bid of the Seattle
| parties was for the proposed line in south
| ern L,zon from Pasacao to Legaspi, with
| branches. This line is included In the bid
| of Speyer & Co., the former asking fol
| a guarantee and the latter none.
The proposals submitted are for conces.
| sions under which the successful bidders
are to build, maintain and operate the sew.
| eral lines of railway Speyer & Co., in con.
| nection with their bid, askei for concea slons
| under which to build branches OF the exist.
| ing Manila and Dagupan railway, and 1t is
| stated that II the bid of Speyer & Co is ac-
| eepted 1t probably Will result finally In the
| operation under one management of 63s
| miles of railway on the Island of Luzon
| The bid of Speyer & Co. was for the line
| from Manila to Batangas and branches te
Santa Cruz and to Lueena; the lifie from
| Dagupan 10 San Fernando and the line
| from Pasacao TO Legaspi, with branches
| No bids were submitted for the proposed
| line from Cabanatuan to Aparri or from
! San Fernando TO Laoag.
/ The bids were opened by Col. Edwards
/ chief of the bureau of insular affairs and II
| addition to the bidders there were present
| Secretary Taft Gov Wright of the Phil
| ippines and Mr.. Forbes, a member of the
| Philippines commission.
On Real Estate Security.
National banks in towns not exceeding