The labor journal. [volume] (Everett, Wash.) 1909-1976, 1920-05-28
TO GIVE AWAY"
OUR I. 5. SHIPS

The Farmers National Council has
sent the following letted to the
United States Senators. 1t is self
explanatory:
To the Members Of the United
States Senate:
Gentlemen: We ask you to give
careful consideration to the following
reasons why we hold the Jones bill
on the merchant marine, II. r. 1037S,
Calendar No. 500, should be de-
feated, in the public interest.
The American people, out of their
sacrifices and labor, subscribed bill
lion sof dollars to win the war. A
total of nearly $3,250, 000,0 900 has
been appropriated for the construc-
ton of ships by the government with
the clearly implied understanding
property of the American people.
The Jones bill is not merely a re-
pudiation of that implied purpose,
confirmed by the act creating the
Shipping Board, but enables the
great financial interests of this
country to acquire the ships, at a
fraction Of their cost, 1t permits
the sale of ships to foreigners. 1t
establishes the vicious principle Of
shipping subsidies.
Section 3 empowers the Shipping
Board, in fixing the price of the
vessels to be sold, to deduct "the de-
probation charge against the vessels
sold generally allowed in shipping
operations" This would clearly open
the door for a practical gift of the
ships to the interests which have
been permitted to use them until
the time of the sale.
Section 8, authorizing the Shipping
Board "to sell to aliens" eff unable
to sell to American citizens after
diligent effort to do So" vessels that
are over ten years of age, or that
have dead weight tonnage of not
exceeding COCO tons, makes it legal
and possible for the Shipping Board
! TO sell ships to our country's COM
petitors.
Section 7 makes the American peo-
/ pie meet all the expenses of operat-
ing vessels to develop new trade
routes, until it is ascrtained whether
or not the routes are business
proposition and if they prove to be
good proposition, then they are to
be turned over to private operators
for large gains.
Section II provides for revolving
fund for five years which is in line
with the evident purpose of the bill
to supply the financial interests with
ships at the peoples expense.
This fund of $50,000,000 a year, to
be set aside out of revenues from
safes and operation, is to be used as
subsidy to aid citizens of the
| United States in construction of ships
in private shipping yards. Govern
ment credit is to be loaned to such
private shipping yards constructing
these ships up to two-thirds of the
cost thereof, at the rate of 4 pei
cent per annum, which will give
clearly saving of 212 to 3 per cent
| below the commercial rate of inter
est, and which is actually less thar
the rate at which the government
can borrow money today.
Section Il would take away from
the War Department and the Nav!
| Department important port termi
mails, including docks, piers, ware
houses, wharves and other termina
equipment. which should remain il
the control Of the Army and Navy
Section 25 gives q tax exemption
to the owners of vessels documenteC
under the laws Of the United State.
and operating under foreign trad,
for each of ten taxable years, be
ginning with the first taxable veal
after the enactment of the bill |
allows them to deduct from wal
profits taxes to which they are liable
an amount equivalent to the ne
earnings Of such vessels during eacl
taxable year, if these sums deducted
are invested by the owners in {
trust fund for investment in thu
building, in shipping yards in tn,
United States, of new vessels, O.
types approved by the Board Of