Douglas Island news., 1912-07-31
The Alaskan Question

 sued by the American Mining Congress contains the following:
 Some progress has been made in be- half of the legislation for the better ment of Alaska. The coal leasing S. B. 7O3O shows that valuable amendments have been reported favorably by the senate committee.
 These amendments increase the term of the lease from thirty to fifty years and provide for renewal of the lease at it's termination under any conditions which are provided by law at that time It reduces the royalties to be paid to a minimum of per cent and maximum of 5 per cent upon the value of the coal at the mine. Other amendments of value were made and there are still a number of objections which we are hoping will be cured by amendment before the bill is finally adopted.
 The railroad bill is still in the hands of the senate committee on territories. The committee instead ofreporting this bill reported favorably the bill for a territorial government for Alaska,
 which had been passed by the house adding thereto provision for sending committee of engineers to Alaska during the present summer to make in- VestigatiOns and report by December 1st their recommendations as to the matters involved. It is hardly expected that the senate territories committee will act upon the Smith bill, the text of which appeared in our April issue dur ing the pendency of the bill granting to Alaska territorial form of govern ment.
 With reference 10 both of these bills the secretary desires to explain the po- sitiou of the Alaska Committee, in view ] of the fact that considerable criticism has arisen because of the endorsement of the leasing bill and of the principle of government construction of rail. roads. As to the latter, the belief that private capital can never be induced to construct the railroads which are nee. essary to the development of Alaska resources, since the government has withdrawn from entry and purchase those resources which have heretofore furnished the incentive for all con- struction of railroads into oundeveloped territory, and because of this fact they feel justified in supporting the pro- posed bill for government construction of such railroads as will secure this result.
 As to the leasing bill, the committee with one exception is in principle ab' solutely opposed to any federal leasing of mineral lands. One member of the committee did not object so strongly to the leasing system per SC, but in- sisted that leasing system to effect this purpose should provide for per- petual lease without unnecessary re
 strictions. The committee found the sentiment of congress almost unani- nous in opposition to any other plan by which the coal lands of Alaska could be made available for use. It found the secretary of the interior pub- iicly stating that upon the present showing he could not permit any ap. plications for coal lands in Alaska to go 10 patent, that decision of these applications was being delayed for the purpose of giving some of the appl- cants an opportunity to present further testimony. The committee further found that the secretary had deter. mined to pass upon all of these applica- tions before the 4th of March. It found that the federal treasury contains S365,- 600 paid in by the applicants for coal \ lands in Alaska, which under the law E will become forfeited by an adverse de- cision He found that TIT of these coal claimants are under indictment, charged with fraud or other criminal acts in connection with these coal claims. The committee found that an approximate investment of several mil lion dollars had been made by these } applicants in surveying, building trails, X development work and other expenses in connection therewith, the loss of all of which seems to be imminent, if not certain, unless some plan can be de. vised by which the general government } could be authorized to settle with these claimants. In view of these conditions your committee felt that it had no right