The sun., 1912-08-15
CANAL BILL ADOPTED
LIMITS FREE TOLLS
House and Senate Confcrccs
Agree to Pass COastwise
ships Only.
RAILROAD CLAUSE STANDS
Measure. If Enacted. Will Bar
Vessels Owned by Lines
From Panama.
RAILROAD CLAUSE STAND

N.sHISGToN. Aug. 1.-THE Senate and
House conferees on the Panama Canal
till reached an agreement tonight and
this measure will he sent 10 the President.
Important changes are found in the
hill a- IT comes from conference but it
has lo., nothing in its radical railroad
features
That section OF the bill il IL anything
more pronounced against railroad own
ershlp of steamship lines than it was
vh.n the proposed Legislation went to
conference. The bill in it's final form not
only will bar the Southern Pacific Com
ranvs boats from the Panama Canal.
hu, will compel enforcement by the New
York New Haven and Hartford. the New
York Central and other railroads Of their
extensive steamship holdings unless the
Interstate Commerce Commission shall
rocld" that the continued holding Of such
line. i in the interest and convenience Of
III. puhl'c.
The bill as it will be reported back to the
House and Senate makes pretence. how
over of observing this Governments
treaty obligations with Great Britain. II
limits free tolls to American vessels in the
,oastwise trade.
The bill retains the provision admitting
foreign built vessels owned exclusively
hv American capital to American registry.
hy' bare them from the coast wise trade.
This provision amounts TO free trade in
ships and IA a compensation TO American
shlrbulders the conferees have inserted
a provision which admits all shipbuiding
material Of foreign production to the
-o,, <otn NsstN, frnn 1hta 20 t<,
tho objection of American shipbuilders
who contend that the proposed free trade
in vessels would drive them out Of busi-
ress
The deadlock between the House and
Senate representatives over the railroad
section of the bill was broken by a COM
promise. The House bill contained a
fat prohibition against tho ownership
or control by any railroad of a competing
steamship line. The Senate amended
TINS bv limiting the prohibition TO ships
passing through the Panama Canal and
hv empowering the Interstate Commerce
Commission to determine whether or
no, other shipping interests should bc
divorced from the railroads. The bill still
contains the fiat prohibition passed by
the House. but a section has been added
which will allow railroads operating
steamship = lines other than through the
Panama Canal to maintain their control
'nder a special dispensation from the
commission. The prohibition against
the passage Of railroad owned boats
through the canal is. however. unQuali
ied. and this means that the Pacific Mail
rlaus TO establish So Ono ,oNo line from
Naw York to the Orient are knocked in
t1a head. and that eventually the Southern
pa"ifc may he obliged to retire from the
trans-Pacifc route because of its un
;rpfta bleness
lne radical provision of this section
i 'ha' in all cases referred to the Inter-
etata Commerce Commission the order
81 the commission shal be- final
The Senate Conierees were obliged TO
void on the question of free tolls TO Ameri-
can ships in the foreign trade.
the bill provides that no foreign built
Yacht or1pleRsure boat admitted TO Ameri-
can registry shall be exempt from the
dI'ies levied under the Payne Aldrich
tariN act
The tolls. when based on net tonnage
tor ships Of commerce. shall not exceed
s. - per net registered ton nor be less
han the estimated proportionate cost
of the actual maintenance and operation
Of the canal. " the tolls are not based
upon net registered tonnage they shall
not exceed the equivalent OF 81 ?5 per net
registered ton The toll for each pas
.enger will not he more than 81 30.
The President is authorized to amend
the regulations governing the operation
ri the canal. The government of the
canal Zone remains rs provided in the
till when it left the Senate.