The Washington times., 1922-06-14
FAVORABLE
ACTION ON
MEASURE
PREDICTED
Pressure of Administration
! Expected to Insure Pas
sage by Congress.
By A. o. HAYWARD.
International News Service


{ The Administrators ship sub
sidy bill was formally introduced
in the House today by Congress
man Edmonds (Rep.) Of Penn
sylvania, a member Of the House
Merchant MarineN Committee, and
was referred to that committee,
which is expected to- report the
legislation to the House before
the end of the week.
Republican leaders were conf
dent today that the bill pushed
along by President Harding's de-
mand for. definite action before
the end Of the present session,
would be passed by the House
before July 1.
Vote VIII Be Close.
1t was admitted by these leaders
that the vote on the bill would be
close. Polls taken today disclose
that about ia Democrats and 100
Republicans are opposed to the lesis-
lation and about 201 Republicans
and 16 Democrats are in favor Of II.
These total 214 against and PIT for
the bill in its present form. The
final vote on the passage OF the
measure, of course, will find changes
in this lineup.
President Harding and Admins
tration leaders are expected to win
back some of the opposing Repub-
votes for the bill Is expected by
lation in the House.
VIII Ask for Rule,
When the bill is in satisfactory
shape for consideration, the Repub-
lican leaders will get rule from tho
Rules Committee making the ! Ill
privileged and restricting debate.
While the Democratic members and
some of the Republicans Of the
committee are either hostile or luke
warm toward the legislation, the
Administration can secure sufficient
backing to insure the enactment OF.
the rule.
The new bill follows closely the
provisions of the shipping bill TO
which President Harding has given
earnest support. 1t carries the sub
-sidy features which are estimated to
require payments of s30,000,000 an
nually to offset the lower costs of
operation OF foreign ships, offers in
ducements or purchase of the Gov
ernment-owned merchant ships by
American citizens or American
concerns with Is per cent American
ownership, makes easy purchasing
terms. and seeks to encourage to
active operation in American ex-
port and import commerce the $500
first-class merchantmen now con-
trolled by the Shipping Board. but
400. of which are in commission.
Salient charges made in the bill
are:
The Shipping Board may sell at
public or private competitive sale,
interest on unpaid purchase price
being fixed at per cent
Payments OF purchase principal
shall be arranged that amounts un-
vessel.
Opposes Monopoly.
Sales of vessels to existing Amer.
ican lines, particularly those opera.
ted by residents of particular com.
munities, will be encouraged. Per.
sons outside such communities desir-
ing to operate inA those trades will
not be able to purchase Shipping
Board vessels for a period of two
years from passage OF the law.
Monopoly Of ships and OF ports Is
declared against the policy of Con.
gress and will not be permitted.
There Is created revolving con.
struction fund, with interest at 2
per cent. to be used In rounding
out the merchant fleet where Il Is
weak in vessels Of certain draft or
The construction tax deductions
are left the same AZ those IN the
1890 law. I
Depreciation features of the taxa!
tion provision are changed 20 that