New-York tribune., 1922-06-26

fcsaiins.d frsn SAG ere
organization mas ever brought together,
averrine unanimously that it, efforts
and the efforts % prior boards have
proved that government operation of
ships is an utter mpractieability.
leaves us as an alternative the attempt
10 0et the goyernment-own ships INTO
privae hands for operation under pr
yatc American control.
"The Administration hA, n bill now
in Congress which the board behaves
will not only accomplish the establish.
ment OF a successful privately owned
American merchant marine. but will
accomplish ~ a. an actual and substan-
,ial saving 81 money 10 the taxpayers
by substituting proHtaoi~ private own
ership for government operation. that
is and has been an unending and al
most unnneasured drain on tie over
{ burdcned Taxpayer
Cost $50 1900 Year
We must face the fact that the
Governments feet is costing s60.000.000
2 wear. exclusive OF depreciation. insur-
ance and interest, 10 MAINTAIN, and
that il cannot be sold under existing
conditions. because IN the last year. al
though the board has met world prices
on i's tonnage. of the 100000 tons
or which IL finds itself possessed u
has been able 20 sell only about 100000
tons after making every known effort
20 entice possible purchasers.
LET VS. have the courage 20 face me
facts. whether the facts are 20 our lik.
ing or not. The fact is that. under all
sorts % conditions and all sorts OF
auspices. government operation Of
ships. By ifs history, admits iis own
mpcss.bilit.es.
"Brayciy and patiently have We done
our utmost 20 turn under government
control this war asset into q peace
time instrument: always. however with
the thought that through successful
Government operation We would 20 es-
fablish lines that We could sell them
20 privatc owners. That is what the
Law under which tho shipping Board
operates eontemplates. But the very
method we have chosen mas defeated
its purpose. for private operation !,
withcring and dying under the blight
irg competition OF unending drtin'
from the public treasury. Wherefore
let Is proceed as would a merchant
unsuccessfully operating business
and overstocked with goods - see how
AZ one time he can turn the business
over 10 those who might operate u
more successfully and al the same time
in liquidation add 20 the value of his
assets.
"The Shipping Board believes tAe
great purposes before US can be accom-
plished through the agency OF direct
and indirect aids. a. proposed N the
measure now before Congress. known
as the Merchant Marine Act OF 1922.
The Administration proposal limits
the profits Of any feet receiving the
dement's Of government aid 20 10 per
cent in any one year. each year stand.
ing by itself. There ia no guaranty OF
profit. II a ship, after receiving aid
loses money. that loss is the owners
i II IL makes money, all over 10 per cent
is divided. half going 10 the govern
ment until all aid advanced 20 the yes
sci has been repaid There can be no
possibility o. prohteering.
IL; is believed that the Administra-
tions measure will be = money making
proposition for the Treasury. II tht
bin IL adopted and become, law, there
will be more money in the Treasury al
The end Of few wears than would be
IN the Treasury II the bill is not
adopted.
with sufficient government aid, d.
rect and indirect. 20 overcome the sd-
vsntages which other nations nave long
enjoyed on the seas, private capita
wilt. IL - confidently FELT. be attracted
70 shipping. The Treasury cost. IN
direct and indirect aids. the first year
y the bill passes. cannot possibly bs
more than sl5.000,00o.
"lf at all successful. gradually (ano
10 is hoped BY the end OF two and one
half years from the passage of the bill
the governments s50,000000 annual
loss in operation through the Shipping
Board will be wiped out. Under any
conditions there would always be a
substantial difference in favor Of the
Treasury between the maximum sub
sidy cost and the cost under govern
ment operation.
Will End Treasury Drain
The ships are wearing out and still
America is impotent on the seas from
a merchant marine point Of view as
compared with other nations. The
Aeet ~ bringing nothing into the
/ Treasury ana ~ costing large sums an
nually. II the ships are sold the pro.
ceeds will go into the Treasury "a
liquidnte in some part their Wartime
cost. Thus the measure proposed by
the Administration should accomplish
the liquidation Of that part OF the feet
serviceable under the American aeg.
IL will end the d.scouragement 70
private initiative resulting from that
operation and will stimulate Ameri.
cans TO take their proper places in the
ocean carrying competition Of the
world; IL will insure the building o,
types OF ships necessary not only "a
Americas prosperity but 10 her
preservation in time Of need. and II
will keep alive the art of shipbuildins
In America. nov threatened with eK