The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1911-02-05
ALASKA COAL
LEASING Bill
Pinchot Docs Not Approve Of the
Nelson Leasing Bill Which He
Says is Favorable to
Interests.
PEOPLE GET THE WORST
Consumer Of Coal is Wholly Without
Protection in tho Measure Gov
erins Leasing Of Al
askan Mines.
[Gate CITY Leased Wire Service.

WASHINGTON, Feb. "A fierce
attack on the coal land leasing bill of
Senator Nelson Republican, Minn.)
was issued tonight by Clifford Pinchot
as president OF the National Conserva-
ton Association. In part it follows:
"The National Conservation Assn.
has steadily been vigorous advocate
of the immediate opening Of the Alas
ka coal fields to development under
system of leasing by tho federal gov
ernment But any bill for the purpose
Of development Of Alaska coal under
lease should be fair to the people OF
| Alaska and tn. Pacific coast, and
free from "jokers'' favorable to the
special interests
"The Nelson bill is unduly favor
able to the special interests both in
Its opinion and provisions and leaves
1.-The consumer of coal wholly without
protection, which it pretends to give
him.
"If the Morgan Guggenheim syndi-
cate should succeed, directly OF indi-
rectly. in leasing the coal lands cov-
Tered by the Cunningham claims, ull-
der the royalty fixed in this bill,
!, the profit to the syndicate above
what it would have made out of its
!. bargain with the Cunningham claim
ants. would be from eighteen TO more
3Lthan, thirty-hve million dollars, &c
cording to whether the whole, or only
! half Of the coal was included.
ABy the official estimate of the
! land office expert there are more thar
! eighty millions OF tons of available
coal in the Cunningham claims. BY
). the agreement of July 90, 1907, be
i tween the Cunningham claimants, ant
! the Inorganic -Guggenheim syndicate
6 the syndicate undertook to pay mere
. ly the cost of mining. s1.75 per ton
for all coal used by its railroad, ant
. to pay $225 per ton for all coal t.
be sold to the public. In other words
d the syndicate was to get fuel for IT:
! railroad at cost, while it was to pa!
a. profit or royalty of fifty cents pc
al ton on all coal intended for the mar
q ket.
"A
Ie cents per ton established by actua
ID bargain the Nelson bill proposes t
le lease the coal at royalty of fiv
IS cents per ton. This price is not to b
e.. increased during the period of LEAST
Of which is for thirty years. The adval
at tage to lessees under the BILL as con
is pared with the Cunningham-G Guggel
n helm bargain, is therefore 40 cent
d. per ton, or more than S35,000000 fo
rs the available coal in the thirty-thre
Cunningham claims.
in .sThe bill provides the price {
&C. which the coal shall be sold, shall b
We controlled by the interstate commere
es committee, but such control cover
only sales made by the lessee. TIL
as clause contains Joker and leave
of the consumer entirely unprotecte
In All that would be necessary to d
feat it would be for syndicate
es organize selling company. whit
a company being beyond the jurisdi
ng ton of the commission, could chars
the consumer whatever his neces.
ed ties would compel him to pay.
IT'S "The clause purporting to preve
or transportation companies and the
tn stockholders from being interested
iv- any lease is made futile by the a
en sence of any provision for it's G
'ps forcement or penalty for breakil
gn the law.
wn "The bill does not provide for t
classification and disposal Of coal
are Alaska, according to its value, as
are is now provided by law for Cover
ire ment coal in the United States. A
Ted its limits for twenty years in advan
ust of the maximum royalty that t
os United States can receive, and fix
rm- it at fraction of it's true value.
ist- "As it stands the bill Is most
raj fortunate example Of the legislati
are in the past under which, at eve
ecs critical point the people got
len worst of it,
U,,~;<f vJ;nr Easily