The San Francisco call., 1907-02-27
Method Is
Abandoned by
the President

WASHINGTON, Feb. 2s.-By an order
addressed to Chairman shonts of the
Isthmian Canal Commission today
President Roosevelt, as far as lay in
his power under existing law, trans
terred TO the engineer branch OF the
army the responsibility for the further
construction Of the Panama canal He
also formally recorded the abandon
ment, for the present at least, OF the
project of having the canal work done
by contract on the percentage system
Another feature was the announcement
OF the resignation of John F. Stevens
IS engineer-in-chief Of canal construc-
tion. Shonts Is in New York, where he
VIII preside at meeting tomorrow Of
the directors of the Panama Railroad
Company, Of which he is president, and
viii. il is expected, formally resign
that Office
The President intends that there
shall be an entire reorganization of the
commission, with three army officers
~ the engineer corps as its leading
members, who are TO have charge OF
the engineering features OF the canal
work The chairman and engineer-in-
chief OF the commission viii be Major
. w Eoethals. His associates Will be
Major dub. Gaillard and Major william
l. Siebert to rank in the order named.
These officers are all comparatively
young. ambitious and energetic
senator Joseph S. c. Blackburn of
Kentucky, who viii retire from the
United States Senate on March T. is to
be a member Of the reorganized com
mission. The nominations of the pres
ent commission now pending before
the Senate include Shonts, Stevens
Haines. Endicott. Herrod. Gorgas and
Jackson Smith. Their confirmation is
desired i'm order to remove all doubt
rs 10 the legality Of certain acts they
have performed in connection with the
making Of contracts. The retirement
OF Shonts and Stevens viii leave but
two vacancies. so that there will be
TWO more retirements necessary to
make way for the three army officers
and Senator Blackburn. The President
IS determined that the work on the
canal shall proceed continuously, and
the temporary ''dfslocations" caused by
the designations Of higher officials will
NOT be allowed to interfere with
progress.
The President is unaware of the spe-
CHIC reasons which have been influential
IN prompting Stevens resignation. 1t
surprised him greatly. for as late as
the middle Of December Stevens made
no mention OF his wish to retire 1t
has been known. however. that Stevens
has been stung very much by the criti-
cism aimed at him in connection with
the canal work. some Of which came
out during hearings before the com
mittees Of Congress.
Tt is understood Stevens is leaving
tO~eccept q position in connection with
great engineering enterprise in this
country at an annual salary more than
double that he now receives from the
Government
For several weeks it has been ru-
rnored here that Stevens was dissatis-
led with the plan of letting the canal
work out by contract, but. as explained
by a member of the Cabinet today. Ste
vens really proposed to the President
the adoption of this method Of con-
structing the canal The probability is
that the administration may determine
TO give out the work TO be done at the
isthmus under contract under the gen
eral direction Of the army engineers