Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1914-07-30

currency question whereby the United
States would accept the money OF Fan
ANA at one-half the value OF American
/ currency-that Is. the peso. worth In
trinsically only 20 cents would be ex-
changed with United States money ut
30 cents. although II was In size and
face value the same as orr dollar. The
same system was In vogue In the Phil
ippines To meet the needs OF the ca
nal paymaster the circulation OF pesos
was increased from 100000 to 1000
600. Out OF this grew the custom in
the canal zone Of referring to United
States currency as gold" and to Fan
ANA currency as silver" and in the
stores articles are priced In both cur
! rencies.
Stamps were selling In the canal zone
for slightly less than In the postoffices
Of the republic. with the result that
the republic was losing revenue. Sec
rotary Taft settled this just complaint
by arranging for the canal zone ~ buy
its Stamps from the republic for 90 per
eentum If their value. the 20 per cent
um remaining to the profit OF the canal
zone Offices at
On June "a. 1904 President Roose-
welt had made the Dlngiey tariff ap-
plicable To the canal zone. This work
ed badly. and Secretary Taft agreed to
have the order revoked. SO that the ca
nal zone ever since has enjoyed the
freest OF free trade. All other issues
Il IL ,.ytkh fhfs cd
States yielding any freedom Of action
as to importing materials, executing
justice. operating ship terminals and
supplying canal employees with the
necessaries Of life through commits
saries and hotels.
| While Secretary Taft and Chief En-
gineer Wallace were working In their
spheres. Governor Davis was lnstittt.
Ing the. various departments Of civil
government which today are noted
with admiration by the tourist. Chief
Of Police Stanton was eDgnGed In rid
ding the canal zone Of Its had men
and bringing population long without
restraint under the control Of regula-
lions that the Americans considered
essential To orderly existence.
From the first Mr.. Wallace had kept
close tab on the cost ~ excavating dirt
IN the Culebra cut. The type to be
chosen being still an unknown factor.
/ he was In some measure working In
the dark, except that the material re-
| moved would be useful for any type.
provided the dumps were selected so
as later not to get In the waylof any
route chosen. In 1912 the Americans
had to remove French dump near
Culebra to prevent its slipping down
into the cut. He fBnIly announced a
unit cost OF 80 cents cubic yard for
either sea level or lock type canal.
Messrs. Parsons and Burr. the engi.
neeriBg committee cf the commission.
after personal Inspection OF the canal
zone and taking Mr. WaIlace's esti-
mate. recommended a sea level type OF
| canal It was to t.ost. exclusive Of i'm.
proveneDts In Colon and Panama aud
civil government In the canal zone.
$230.5OO.O00. Str. Wallace had caused
| surveys to be made for lock type Of
1 canal. and he estimated the cost of
such canal, with 4 summit level Of
sixty feet elevation. TO be s1TS0f5sl0G.
i All estimates missed the real cost Of
the respective types widely. Mr.. Wal
lace's estimate Of 80 cents yard for
| excavation was far too low. As a mat
| ter of record. the cost reached 81 cents
under Chief Engineer Stevens. rnse
to 81 cents under Chief Engineer
! Goethals and only once fell below
the Atty cent estimate. In March. 1911.
when II fell to A cents yard. The
average for the period from 1904 to
1911 was SO cents. The mistake was
made because solid rock underIay the
surface. necessitating continuous blast
ing before 1t could be handled by the
steam shoveis. while the working day.
which had been ten hours under Mfr.
Wallace, was cut to eight hours under
Messrs. Stevens and Cocktails. aud
wages rose sharply as well.
Persistent and vigorous complaints
from Mr. Wallace about the hindrances
Of governmental methods OF doing
business found receptive ear in Pres-
ident Roosevelt. The execiitiye was
just as eager to make the dirt ny as
Mr.. Wallace and readily agreed that
commission Of seven members was
an awkward and III working manage
ment for the peculiar conditions OF the
Job at Panama. Accordingly drastic
action was decreed.
Secretary Taft on March %. 1905.
asked the entire commission to resign.
Mr.. Wallace was In Washington. and
the president and Secretary Taft fol-
lowed his suggestions almost to the let
ter. including the one that the chief
engineer be made a member Of the
commission.
i On April 1. 1905. the second isthmian
canal commission to be appointed by
President Roosevelt was announced.
Heading II was a new figure in canal
Affairs. Theodore P. Shonts. who play
ed a decisive part In the enterprise for
II