Albuquerque morning journal., 1910-12-07

| question which remains 10 be cOnstd-
cred is whether the existing law for
| the sale of the coal In the ground
| should continue in force or be re-
| pealed and new method of disposi-
ton adopted. Under the present law
the absolute title in the coal beneath
| the surface passes to the grantee OF
! the government. The price fixed Is
! upon an estimated amount of the tons
| OF coal per acre beneath the surface,
and the prices are fixed SO that the
| earnings will only be a reasonable
| profit upon the amount paid and the
| Investment necessary. But. of course.
| this is more or less guess work, and
| the government parts with the owner
ship of the coal in the ground abso-
| lutely. Authorities Of the Geological
survey estimate that in the United
states today there is q supply Of about
! 5000 billions of tons of coal and that
of this 1000 billions are in the public
| domain. OF course, the other 1000
| billions are within private ownership
and under no more control as to the
use or rhe prices at which the coal
many be sold than any other private
property. If the government leases
4 the coal lands and acts as any land
| lord would and imposes conditions in
| fee of coal mines IN the various coal
regions OF tnc tdSt, Nnen IL WoQlu re-
| tain over the disposition OF the coal
| deposits choice as to the assignee of
| the lease, a power OF resuming pos
session at the end of the term of the
| lease, or of readjusting terms at fixed
periods of the lease, which might
easily be framed to enable il to exer-
else a limited but effective control in
the dispotion and sale of the coal to
the public. II has been urged that
the leasing system has never been
adopted in this country and that its
adoption would largely interfere with
the investment of capital and the pro-
per development and opening up of
the coal resources. / venture to diff
fer from this view Ny Investigations
show that many owners of mining
property of this country do not mine
Il themselves. and do not invest their
money in the plants necessary for the
mining; but they lease their properties
for term of years varying from
twenty to thirty and forty years un-
der conditions requiring the erection
OF proper plant and the Investment
of certain amount Of money in the
development of the mines, and fixing
a rental and . royalty, sometimes an
absolute figure and sometimes one
proportioned to the market value of
the owner of the mine shares in the
prosperity of his lessees when coal is
high and the profits good, and also
shares to some extent in their dis
appointement when the price of coal
falls.
l have looked with some care into
a report made at the instance of Pres
ident Roosevelt upon the disposition
of coal lands in Australia, Tasmania
and New Zealand. These are pecu-
liary mining countries, and their ex-
perience ought to be most valuable.
In all these countries the method for
the disposition and opening of coal
mines originally owned by the govern
ment is by granting leasehold, and not
by granting an absolute title. The
terms of the leases run all the way
from twenty to fifty years, while the
amount of land which may be leased
to any individual there is from 500
acres to 1000 acres. II appears that
full examination was made and the
opinions of all the leading experts on
the subject were solicited and given,
and that with one accord they APP
proved in all RESPECTS the leasing sys-
tenn. Its success is abundantly shown,
1t is possible that at first consider
able latitude win have to be given to
the executive in drafting these forms
of lease, but as soon as experiment
shall show which Is the most work
able and practicable, its use should be
provided for specifically by statute.
The question as to how great an
area ought to be included in lease
TO one individual or corporation, is
not free from difficulty; but in view
of the fact that the government re-
tains control as owner | think there
leased, and that $500 acres would not
be too great a maximum. The leases
should only be granted after adver
tisement and public competition.
BY the opportunity to readjust the |
terms upon which the coal shall be |
held by the tenant, either at the end |
Of each lease or at periods during the |
.erm, the government may secure the |
benefit of sharing in the increased |
price of coal and the additional profit
made by the tenant, By imposing con-
litions in respect to, the character of
work to be done in the mines, the gov
,rnment may control the character
II the development of the mines and
he treatment nf employees with ref
'rence TO safety. BY denying the right
o transfer the lease except by the
written permission of the government
ii may withhold the need
d consent when it is proposed to
ransfer the leasehoId TO persons in
crested in establishing n monopoly
4 coal production in any state or
Ieighborhood As one-third of all Z
he coal supply is held by the gov
it seems wise that il should q
etain such control over the mining
nd the sale as the relation of lessor /
D lessee furnishes. ic
The secretary of the interior [
links there are difficulties in the
ay of leasing public coal lands q
hich objections he has set forth in <
Is report, the force Of which I freely 1
Dncede. ] entirely approved his stat
lg at length in his report the objec- y
ons in order that the whole subject n
lay be presented to congress, but ,
ter full consideration, for the rea u
ms ! have given above, / favor a II
asing system and recommend it.
Oil and Gas Lands.
In the last administration there %
ere Withdrawn from agricultural el
ltry 2,S20.000 acres, of supposed oil Il
nd in California: 1,451,52O acres al
Louisiana. of which only $500 q
res were known TO be vacant unap- Ia
opriated land 74.4S9 acres in ore k
m, making a total Of 4.346 369 acres. r,
September. 1909, | directed that all A
lblic oil lands, whether then with ~
avn or not, should he withheld la
ON disposition pending congress lar
jnal action, for the reason that the lri
isting placer mining law although cg