Evening star., 1928-12-09

capital for operation within the past
few years IA of these lines, which, under
the encouragement of the recent legis-
lation passed by the Congress, give
promise of continued successful oper-
alton. Additional legislation from time
to time may be necessary to promote
future advancement under private con-
troll.
Through cooperation of the Post
Office Department and the Shipping
Board, long-term contracts are being
made with American steamship lines
for carrying mall that already promise
the construction of Is to 20 new vessels
and the gradual re-establiShment of the
American merchant marine as a private
enterprise. No action of the National
Government has been beneficial to our
shipping.
THE cost is being absorbed to a con-
siderable extent by the disposal of un-
profitable lines operated by the Ship
ping Board. for which the new law has
made a market. Meanwhile 1t should
strategic lines under the Government
operation until they can be transferred
to private capital"
8. Just before indicating his mes
sage, the President read summary of
the report just rendered by the Colo
RADIO River Board, body of experts
appointed. as provided for at the last
session of Congress, thoroughly to in
vestigate the project of a dam on the
Colorado River which should furnish
flood control and water for irrigation
and domestic use. The President notes
rather sketchily that the board finds
the project perfectly feasible in an en-
gineering view, though recommending
noIp fNnsa NIA &tass
Boulder Canyon site but that ION the
economic features they are not so clear
and appear to base their conclusions on
many conditions which cannot be eS-
tablished with certainty" so far as !
can judge, however, from the summary
continues the President, "the conclusions
Of the board appear sufficiently favor
able, so that feel warranted in rec
Ommending a measure which should
protect the rights of the States. dis
charge the necessary Government func-
tions, and (note this particularly leave
the electrical field to private enterprise "
The construction. as all are aware.
would involve incidental creation of
water power which could be used for
generating electricity"
Presumably, the Boulder Dam bill
passed by the House in the last session
will be draStically recaSt to adapt 1t to
the recommendations of the board and
II seems obvious that the additional ex-
penditure clearly indicated by the board
and the further contingent expenditure
merely adumbrated by that body, will
be bitterly challenged so that the fate
OF the measure would seem doubtful,
while the new elements threaten a con-
troversy prejudicial to dispatch Of other
important business.
10. The Presidents remarks on the
long -vexed Muscle Shoals problem seem
to indicate a certain WEAKNESS OF that
subject. He seems to recognize that
other more satisfactory methods OF syn
thetic nitrate production have been
evolved than that of Muscle Shoals
plant. But we have 1t, as / am told.
1t still provides a practical method of
making nitrates for national defense
and farm fertilizers" The problem,
then ESQ I interpret the Presidents
views, as somewhat shadowily pre-
sented), Is the delicate one Of making
such disposition of the property as
should insure a sizable production of
nitrate, with some financial advantage
to the Government (at any rate without
further loSs) and without putting the
Government indiscriminately into the
private and retail field of power distri-
button and nitrate sales" One way
might be for the Government to lease
the nitrate part of the plant and sell
power to the 1essees: another to lease
the whole plant, in either case, on terms
insuring sizeable production. The
President Is specific In denouncing the
proposal embodied in the Muscle Shoals
bill which died the death In the last