New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-01-04
Emergency Fleet Officials
Show Great Interest in
Deferred Valuation Idea
No Market at Cost Price
Congress Balks at Big Loss,
And This Gives Aid TO
Federal Ownership Idea

WASHINGTON, Jan. 9.-Great in
terest was evinced to-day by Shipping
Board and Emergency Fleet officials in
the concrete plan submitted by the New
Y TX Chamber of Commerce for the
succession of private ownership to
government ownership in the fleet the
emergency Corporation has built or
acquired.
The superiority of this plan over
most of the resolutions relating to such
subjects adopted by chambers of com
MERGE is due to the fact that it does
not deal with generalities, but offers
a definite answer to a question that is
troubling shipping officials, viz, at what
price and in what manner shat the
ships be sold, if they are to be sold.
The officials of the government ship
ping bodies have recognized that the
ships would have to be sold on some
sort of an instalment plan with long
tme and low rate of interest OF the
deferred payments. They have also
recognized that the ships would proba-
bly, have to go at less than cost. But
hey had not considered the novel idea
Of reappraisement of value at the
it would then cost to build the ship in
foreign yards, and they are not pre-
pared to give it immediate approval.
Congress Wants Full Cost
Shipping officials anticipate great
difficulty in getting Congress TO agree
10 general policy Of disposing of the
government ships at less than cost, but
they concede that it is necessary, ex-
eept for a certain number of steel ships
that might be sold right now for their
cost. and that it is proper that the new
merchant marine should pass into pri-
vate hands on basis of capital in
vestment that will correspond to what
their foreign competitors are paying.
As far as current authority goes, the
Shipping Board can buy or sell ships
rs 1t pleases. The question of price is
now definitely UP in the case of the
wooden ships. They are of size and
type that fit them for the Baltic and
Mediterranean and like trades, and at
reasonable price a large number Of
hem might be disposed of now to for
elgn buyers, but the price probably will
nave TO be S25 ton less than it cost
20 build them. There is also some de-
mand for them for Caribbean and
coasting trades in America No sales
nave been made so far, because, with
Chairman Hurley and President Wilson
both N Europe, tits very hard to get
action"
Policy Is Wilson's
The President is keenly concerned
Il all of these matters because Of the
special responsibility imposed upon
nlm by the emergency shipbuilding act.
The funds originally and subsequently,
appropriated or pledged in accordance
with 1t were expressly placed in the
fTFS1Hpnt'c he
Emergency Fleet Corporation his build
ing agency and the Shipping Board his
operating agency. Consequently all
sH-HplAg matters OF major Importance
are passed on by the President, and in
snl iast analysis the policy adopted by
either the Shipping Board or the Emer-
rency fleet Corporation Will be his.
however, the authority extended to
him was tor the war emergency. and
when 1t comes to dealing with a peace
time mercantile policy it is recognized
MAJ congress must be the final arbiter.
Congress finds it hard to look upon
salps Is II looks upon munitions and
reckon any value they may have as
% much salvaged from wars destruc-
ave uses. This Is where the govern
inent ownership advocates will find
their opportunity They will saw thai
since the government has already put
rs war money into ships and still has
them. it would be better to 20 on and
operate them at slight gain or even
at loss rather than dispose of them
AZ marked depreciation of price TO pri-
Fa1e operators to use for private gain.
Shipping Man on Job
n regard to that portion of the reso-
luton adopted by the New York Cham
Der Of Commerce that urges the Ship
ping board to confer with practical
shipping men regarding the tvpes Of
vessels now building, with a view TO
adapting them TO the requirements of