New-York tribune., 1906-05-16
TO BUY I'm BEST MARKET
President Approves Mr.. Tart
Pollen ON Canal Purchases.

yyasbIngtop Nav 1s-Tha President to-day trans-
mitted 20 Congress- a letter from Secretary 4aAt'
accompanied by numerous appendices bearing On
the cOntrOverted question Of the right OF 'e
mian Canal Commission 20 purchase j,
abroad il they can be obtained cheaper than IA
America The President. in a letter 70 secretary
Taft saws that the views expressed by the lat'er
in the affirmative have his fuh approval
The letter OF Secretary Taft 70 the President re-
lates IN the purchase OF dredges for use IN the
corstr,,c4ion of the Panama Canal. In this paTtcu-
lar case says Secretary Taft. were nine ni0s fOF
the construction OF two seasoins suetioh OIeuses'
one to be used at Colon and the other at La boea,
On the Pacific side OF the isthmus TIE lowest
two biss we're submitted by. FIRST. the Maryland
Steel Company, Of SpaTrOws Point Md az St1i's'O'
and second the Scotch firm OF William oihlons
& Co.. Of Renfrew. AZ S65fOo. Ihe mary
land tsredges were 20 be delivered at Sparrows
Point and the Scotch on the Clyde but the scotch
firm offered 20 deliver them at CTistobal and La
Boca al an advance the contract price OF Si1sSO
for the first and $4,000 for the second
Having in mind certain arguments advanced Dy
the Maryland Steel Company in favor OF their BIDS
the Secretary says:
there 5 hS TndeT bd any ~ smons Co Of about per
cent ~ the Total expenditures There Is question
OF the high standing Of both bidders, and doubt
aetorilv yg reformed T The exact question now pre-
sented is whether on the sole grouno tnat one Dlo
the other is Scotch, the Isthmian Canal Commission
al Maryland
so 600 more for two steel dredges than the price at
which 1t may buy these dredges from SimOns & Co
mitted to you the first report Of the Isthmian
Canal Commission. invited your attention TO the
general policy 20 be pursued in cases like this.
In the letter referred to the Secretary appealed
to Congress specifically to direct him whether or.
not he should continue this policy Of purchasing IN
tho cheapest market. but he remarks that action
has since been taken in Congress this subject.
He then briefly reviews the law as II stands bear
ing on the procurement of supplies under govern
ment contract. beginning with the appropriation
act of 1875 giving preference TO American material
which act he points out, applies only to the United
States, and not to the isthmus Coming down TO
the experience Of the army in the Philippines. the
Secretary shows that large amounts OF meat have
been purchased from Australia instead Of from the
United States. because its cost about one-halr
OF that brought from the Pacific Coast. Continuing.
Secretary Taft says:
IheTsfOre the result Of consideration Of gen.
government In the absence of specific direction to
Panama Canal in the Canal zone on = the fsthuIs
which is outside the taTiff wall surrounding the
the Hay-varilla treaty with the Republic OF Pan
anna, material. supplies and machinery OF all kinds
Tor the construction OF the canal TO be intro
euced free from tariff or tmposts. 1t Is yOu- duty
to buy where you can obtain the material supplies
and machinery at the cheapest price, other cOndi-
tions with respect to quality prompt delivery. etc.
armed by the failure Of Congress to direct any
was brought to its attention more than year ago
and your view OF your duty In the premises, II
Gated ''O'' ~ iO' ''''''' '''' -AO'
] ought to add that, while. of course. very
large proportion of all the purchases made for the
construction of the canal have been from American
ready have been made abroad and saving Erected
in the purchase Of comparatively small quantities
nous quantity of cement will have to be purchased,
and the question will 500 soon recpr again aS to the
Members OF Congress have manifested an interest
in this matter. and Senators Dick and AnlEeny
have applied to me to know the situation. I ap-
pend correspondence that have had with both
which at Senator Ankeny.s request, have drafted
introduced in the senate by Senator Dick
As pointed out TO Senator Ankeny. IL this TesOlu-
constructon Of these dTedses then it shoEId be
promptly considered and passed by. Congress. for
structOn. If there is no prospect OF early action
by Congress. 1 shall direct Mr shonts unless or
accept the bid Of William SimOns Co, Of Rem
The Secretary transmits a letter from the Mary
land Steel Company, in which IL contends. briefly
stated, that II the vessels built in Scotland
the cost OF inspection will be about coo $4,000
more than II built here that II the vessels de-
ltvered at the isthmus the government must take
them with unframed crews; that the auxiI-
iaries be easily and quickly replaced: that
the cost Of transportation to the isthmus Is ex-
cessive. and that the dredges cannot be used in
United States waters.
Commenting these arguments. Mr. shouts.
cost of inspection would be trhing. that II will be
easy to get men familiar with the dredges. and he
attaches Importance to the matter Of auxiliaries
and other points made. He says: while would,
Of course prefer to patrOnze American industries.
until Congress changes the law not
PEELED to buy IN the lowest market?"
Attached to the Secretary's letter is also the
correspondence referred to by him relative to the
purchase Of foreign cement. summarized by Joseph
Buczlin Bishop. secretary Of the commission, in
the statement that in the OF lot of 2OOO bar
rels purchased abroad 1.-The commission would not
have been justified In paying 1900 for Ameri-
cement than for foreign cement particularly In
view of the fact that there was doubt to the
quality Of the foreign cement being fully equal 90
that offered by the lowest bidder on American
ment.'
Senator Dick Is quoted as protesting against
this purchase and saying: ITO favor foreign
facturers with patronage at the expense Of bust
ness that should be placed with American firms 70
the benefit Of American labor and industry is in
accord with the spirit which. il seems should DOM
mate those in charge of public enterprise under
the auspices Of the American government"