The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1909-12-29
Frear Before Committees.

Governor Frear, while in Washington,
appeared before the committees of the
house and senate to urge the passage
of the bill for the amendment of the
Organic Act that was approved by the
legislature at the recent special ses-
sion. And in addition to addressing
the committees and answering the many
questions of the committeeman, the
Governor prepared an exhaustive brief,
of which the foregoing is an extract,
dealing with the general situation in
Hawaii, the need for the amendment of
the Organic Act, and especially with
the land laws of Hawaii. The Governor
explained in detail in this brief the
bill as submitted to congress, with the
reasons for the various amendments
proposed for the Organic Act.
The Governors Brief.
The Governor says in part in his
brief:
Bond Issues.
"Local governments have been es-
tablished only recently in Hawaii.
They are being developed gradually
and only as rapidly as conditions war
rant. Thus far taxes have continued
to be assessed and collected as pre-
viously by the territorial government,
and certain taxes and certain proper
tions of other taxes when collected are
turned over by that government to the
local governments. The last legislature
authorized the collection of license
fees by the local governments. Hither-
to the territorial government has issued
bonds for what might be deemed local
as well as for what might be deemed
more purely territorial public improve
ments, but there is an increasing ten
dency to have the local governments
themselves provide for local improve
ments. Unless the proposed amendment
is made, either the local governments
can not issue bonds for much needed
public improvements, or, owing to the
supposed necessity of their issuing
bonds for such purposes, the legislature
may feel obliged to give them the
power of taxation earlier than would
otherwise seem wise.
"The legislature added to this sec
uniting it, subject to the approval of
the President, to provide for loans or
guarantees of loans on proper security
to settlers on public lands for neces-
saTy permanent improvements of their
homesteads; and also for loans, subsi-
dies or guarantees to persons or cor
Ioration for the Improvement of trans
portation facilities. E~
'sThese provisions are, in measure,
of a socialistic nature, but it is at least
serious question whether they are
not justified by the existing conditions
They are intended to overcome in part
respectively two of the great Difficult
ties-fnaneial and transportation-in
the way of demonstrating.
Homesteading in Hawaii.
"The amount of capital required for
putting a homestead on a paying basis
is unusually large in Hawaii-owing to
the high cost of materials and trans
portation, the great expense of clear
ing the land, the heaviness of the soils,
the length of time required for the
maturing of tropical crops, etc. Thus
far capitalists have manifested but lit
tie interest in farm loans The idea
is to assist homesteaders, if that shall
be found safe and wise, by public
loans on proper security, somewhat as
is done in New Zealand, or by guaran-
ties of private loans The legislature
has provided for commission to in
vestigate this subject and report its
findings and recommendations by Janu-
| airy l, 1911.
Guaranteed Railroad Bonds.
| "The inadequaey of transportation
facilities is perhaps the greatest and
most general obstacle to demonstrating
in Hawaii. One of the hief needs II
this direction is the construction Of
more railroads on the larger islands
1t is believed that this need can bt
met in large measure without ultimate
] cost to the Territory by guaranteeing