Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1906-02-20
The Ship Subsidy Bill.


have had their hopes raised by
the favorable action Of the Senate
upon the ship subsidy bill. If this
, bill passes the House and becomes
a law as there is good prospect OF its
doing. il will prove Of great benefit
to the shipping and ship building in-
terests in our own State, along will;
those of the whole Atlantic coast. Sen
ator FRYE of Maine has worked tircless-
lIy i'm behalf of the measure in the
Senate. and the Washington papers
give him the greater part Of the cred
| IT for the success of the measure IN
that body.
The bill itself. which has been COM
monty referred to as the Gallinger BILL
is of wider scope than the previous
ship subsidy bills that have failed in
Congress during the past dozen years.
This is indicated by it's title which is
"a bill to promote national defence;
create a naval reserve; establish ocean
and mail lines to foreign markets; pro-
mote commerce and to provide revenue
from tonnage" Many things are in
cludcd in the bill. and the subsidy pro-
vision. whose very name has aroused
much opposition to earlier measures.
is not its predominant feature. We
have not seen a copy of the bill itself,
but the New York Globe publishes a
summary Of its provisions to which we
are indebted for the following extracts.
The bill imposes tonnage tax of
8 cents per net ton, not to exceed so
of a vessel of foreign registry into the
ports of the United States. This, to
the extent named, is a discrimination
in favor of American vessels and
against foreign vessels. Under this
provision the bill. if it becomes Il law.
will be revenue producer. and it is
estimated by Senator Gallinger that
for some time the receipts from the
tonnage imposition will be greater than
the payments under the orher sections.
Next there is direct subsidy of s.
per ton year to all cargo vessels Of
American registry engaged in the for
eign trade provided the foreign
pert to which the vessel sails is
more than $50 miles distant from the
United States port into which it en-
tiers. and provided, further, that such
vessel is not engaged in travelling be-
tween two foreign ports with only an
occa sional return home. Under this
| section 2O00-ton tramp vessel will
receive $4,000 a year, a sum that
measures about half the difference be-
tween cost OF maintaining an American
vessel and the average foreign one of
equal tonnage.
contract lines shall be established at
a total cost of $3.OO0.0OO a year. OF
these lines three have Atlantic coast
ports. embracing one to Brazil. one to
Uruguay and Argentina. and one to
South Africa; six from points in the
gulf of Mexico, embracing one to Bra
iii. one to Mexico, three TO Central
America, and one to the ISthmus Of
Panama: and four from Pacific coast
ports. embracing two to Japan, China.
and the Philippines. and one to Mexico.
Central America, and Panama. or
these proposed routes six now have
American lines running over them.
and seven routes have no American
lines. representing to this extent, il
the mail subsidy is a sufficient induce
mcnt. additions to the direct American
communication with foreign ports.
f'ourthly. it is provided. in addition
to the enrolment of the subsidized
vessels for possible use for transport
purposes. that the Americans in the
crews of such vessels shall be enrolled
in the naval reserve. For this enlist
ment. in addition to the wages paid
them by their employers. these men are
to receive sums varying from $50 II
year for seamen to $40 year for Off :
GERS. The obligation they will assume
is the duty to hold themselves at the
disposal of the government in case of
war. The navy department. put to it
| to find way to create naval reserve,
has strongly recommended this pro-
vision as practically the only available
method 10 achieve the object sought
The plan is practically borrowed from
the British admiralty. which has Sc
cured thereby a naval reserve of 35.-
900.
With respect to the direct protection
of American labor the provision is
and this provision has been more at
tackled than any other-that a vessel to
receive the subsidy need have only one