Norwich bulletin., 1910-12-07

30. 1910. there were PAS entries, enl
 bracing an area of 3S, ,325 acres, which sold for S7T2, ,32541, and down to No
 vember, 1910, there were thirty-eigh' entries. with an area of 5,164 acres
 which sold for S103 ,0s2.75, making the disposition of coal lands within the last two years of about 75,0OO acres for $1,431. .010.
 The present congress has separated the surface of coal lands, either classi fled or withdrawn for classification, from the coal beneath so as to permit at all times homestead entries upon the surface of lands useful for agri culture and to reserve the ownership in the coal to the government. The question which remains to be consid- cred is whether the existing law for the sale of the coal in the ground should continue in force or be repealed and new method of disposition adopt ed. Under the present law the abso- lute title in the coal beneath the sur face passes to the grantee of the gov ernment
 The price fixed is upon an estimated
 
 meath 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 guesswork, and the government parts with the ownership of the coal in the ground absolutely. Authorities of the geological survey estimate that in the United States today there is a supply of about 8.Oo0 billions of tons of coal and that of this 1000 billions are in the public domain. Of course the other 2,000 billions are within private own ership and under no more control as to the use or the prices at which the coal may be sold than any other pri- yate property.
 If the government leases the coal lands and acts as any landlord would and imposes conditions in it's leases like those which are now imposed by the owners in fee of coal mines in the various coal regions of the east, then it would retain over the disposition of the coal deposits choice as to the as- signee of the lease, a power of resum- ing possession 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 1t to exer- else limited but effective control in the disposition and sale of the coal to the public.
 It has been urged that the leasing system has never been adopted in this country and that it's adoption would largely interfere with the investment of capital and the proper development and opening up of the coal resources.
 l venture to differ from this view. My investigations show that many owners of mining property of this country do not mine 1t 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 under conditions re- quiring the erection of 2 proper plant and the investment Of certain of the mines and fixing rental and royalty. sometimes an absolute figure and sometimes one proportioned to the market value of the coal
 Under this latter method 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 disappointment when the price of coal falls.
 have looked with some care into q report made at the instance of Presi- dent Roosevelt upon the disposition of coal lands in Australia. Tasmania and New Zealand. These are peculiarly mining countries, and their experience ought to be most valuable. In all these countries the method for the disposi- ton and opening of coal mines origi- naIy owned by tue government is by granting leasehold and not by grant ing an absolute title The terms of the five to fifty years, while the amount Of land which may be leased to any indi- Tidual there is from 320 acres to 2,OOO acres. It appears that q full examina- ton was made and the opinions of all the leading experts on the subject were and given and that with one accord they approved in all respects the leasing system. Its success is abundantly shown. 1t is possible that at first considerable latitude will have to be given to the executive in drafting these forms of lease, but as soon as ex- pertinent shall show which is the most workable and practical it's use should be provided for specifically by statute
 The question as to how great an area ought to be included In a lease to one individual or corporation is not free from difficulty, but in view of the fact thnt the government retains con trol as owner I think there might be some Hberaiity in the amount leased and that 2,500 acres would not be too great a maximum The leases should only be granted after advertisement and public competition.
 By the opportunity to readjust tue terms upon which the coal shall be held by the tenant either at the end of each lease or at periods during the term 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 1itions III respect to the character of Fyz 4I-