The Montgomery advertiser., 1907-02-12
EXPLAIN CONTRACT
nrruxrvAr.s TALK OF CANAL BE-
 FORE HOUSE COMMITTEE.
oecrefary Taft, Chairman shonts, and Attorney Rogers Tell of Proposes
 Percentage Pian and Merger of fxa Management.

Washington, Feb 1i--Secretary Taft, Chairman Shonts of the Isthmian Ca- nal Commission, and R. Rogers, cen eral Counsel for the Commission, ap- peared before the House Committee on Interstate and Foreign Commerce to- dayr to explain the proposed canal con tract and the plan to merge the Fan. ana Railway Companys management with the Canal Commission.
 Mir. Rogers explained that the chief purpose of the contract is to permit the government to avail itself of the prac- tical experience and efnclent ian", on ganization Of an association Of contrac- tors. The percentage to be paid inc contractors is to be only in cost Of ia- bor and not in the supplies and equip ment, which are to be supplied ny th" government.
 Tn discussing cement. MT. Rogers said there had been an investigation If stone on the Istbmus thought destr- able for cement, and that it might De s decided later to have the contractors manufacture cement on the Canai zone. The contract is so worded that the ce- nent may be obtained in whatever way the Commission may deem best.
 Small hand tools are the only sup plies which the contractor VIII supply under the contract.
 Tn response to inquiries from mem hers of the Committee. Mir. Rogers and Secretary Taft stated that the e,sht hour law would apply on the IsntWus under the proposed contract
 When MT. Rogers was asked what the total amount probably would be- cn, which the contractor would receive nrecentatses, he said he had not made any estimate, and that as far as he xnow, no careful estimate had been made by any contractor.
 Secretary Taft made a statement about the Panama railroad, in whicn he explained that 1t is controlled ex- clusively by the government. The dl- roctors are named with the understand Ing that they shall vote as the govern ment desires and Mr Taft said any di- rector would be removed at once for failure to vote as instructed. He sad be desired to be heard at leug.h before any steps are taken to change the ad- ministration of the railways affairs.
 Secretary Taft stated positively that he was in favor of the proposed con tract as 1t now stands. He said he be- ueved that with the hiehest class of contractors in charge the work can be done more ranidlv under contract than by the government
 Secretary Taft snid the chief reason for running the Panama railroad as # Is run at present Is the convenience of Administration. He ssid the realwav's
 
 were nut directely under charge of the government.
 PsnondinE to innuiries as to the re- iatiors between the canal cn-nr"ission aed the params Railway and the Pa cfftc Mail Steamship Companv Mr Shonts said the relations at present are smiceble and the connlaints of friction have haeu few Of late
 Secretarv Taft e~nressed the opin- ion that the annual payments tn tha con nfractor under the contract would probably he about s40a. na0. He said that The total amount which tho con- trartor wouId he psid 2 yer cents ee nf 's estimated at $60 900. 900 to $70, 09n A0O
 Mr. Taft said that h's unders+anding of the contract and the present law they would not nrevent the suc- ce~sfu' contractor iron, employing Chi nese labor on the isthmus