The Alaska daily empire., 1920-06-05
CONGRESS- REFUS AL TO GRANT
GOVERNMENT LINE OF VESSELS
TO ALASKA F0RESEEN BY BOARD

Sound and Alaskan ports came as no
surprise to members of the Terrific
rial Shipping Board, according to a
statement made today byM. Leehey,
counsel for the latter body in an
interview given a representative OF
The Empire.
Il am not surprised that the con
ferees on the Jones-Greene Merchant
Marine bill struck out the provision
giving the United States Shipping
Board authority to operate ships to
connect with the Government rail-
road in Alaska said Mr. Leehey
The great influence of Senator
Wesley l.. Jones, of Washington. was
sufficient to secure this amendment
in the Senate, but not in the House
where the demand for economy is
very insistent. Republican Leader
F. w. Mondell in the House is
particularly determined to reduce ex-
penses, Then, too, Government oper-
alton of ships in any form is vigor-
ously opposed by labor unions
Opposed BY seamen's Union
Andrew Furuseth, president of the
National Seamen's Union, was in
Washington all last winter and Wig
orously opposed Governm opera
ton Of ships, presenting objections
from the seamen's union of every
important shipping center on both the
Atlantic and Pacific.
I'VE could not find a man in
ni
willing to introduce a bill for bond
issue to establish an Alaska Terri
torial line. Senator Jones was quite
confidant that he could secure au-
thority for a shipping board line tc
Seward. But | am not at all sur
prised that even this failed when
submitted to conference with the
House. This will simply show that
every sensible man in Washington
knew last winter, and that is that
any Government or Territorial line
is simply out of the question at
this time.
Can Handle Own Problems
However, Alaska can handle her
own shipping problems at her own ex.
pense if Congress will only give us
permission to do so on the plan
we submitted Our bill is heartily
approved by three of the five mem
bers of the Senate Commerce Com
mittee who heard our testimony The
other two both stated that they
were very favorably impressed but
| would delay judgment until they
heard the opposition of the half dozen
big salmon packers who operate
their own ships. The bill is opposed
by them and also by the Kennecott
Ore interests. Indeed, it opposed
by every large interest in the Terri
tory, because, the large interests are
favored by the present system.
Common Service Needed
"If SO per cent of Alaska ship ton
mage were in private service it
would not take a blackboard and
chalk to satisfy anybody that the
common carriers operating only l per
cent would have to charge more
and give poorer service. Well, it.
is only matter of proportion, for
II per cent of the ship tonnage was.
in private service last year, and
it will be 80 or 95 per cent before
long unless something is done about
it. The private ships operate more
cheaply and we do not propose to-
deny that privilege to a shipper who
is big enough to afford a private
ship but the trouble is that they
make only two or three voyages and
then fall back upon the regular lines
for their Improbable traffic and their
year-round service We merely pro-.
pose that such operators make some
contribution to the common service
Of which they have been getting the
benefit for practically nothing.
Adjustments Possible
81 know there will be individual
cases where the license tax will be
an unreasonable burden, but this can
be adjusted by the Alaska Territorial
Shipping Board right here in Alaska
who will have power under the bill
to refund the tax by contract and
even pay a further sum to support
any worthy transportation venture
That Is what would be done with
the fund provided by the license tax
The transportation scheme of the
Territory should be helped by the
interests who get the benefit of the
private ships, just the same as big
] land owner is compelled to pay a
road or school tax for the common
benefit. 81
ut is true the Territorial Shipping
Board will have very great powers
| under this contract. but that power
will be exercised right here in Alaska
| and not several thousand miles away
from Alaska. 1t is the same power
that is now given the Public Ser
vice Commission in AZ out Of the
4S states of the union. and that power
| should be exercised right here in