The Daily Alaska empire., 1947-11-21
NEW SHIP pR0p0SAL
 SET FORTH
Plan Is Given 10 Maritime Commission-See End
 ing of Interim Service
By CHARLES D. WATKINS

WASHINGTON. Nov. 2l.-RL- The Maritime Commission had be- fore it today a proposal of the Alaska Steamship Company and the Northland Transportation Com pany to set up a permanent ship l ping service to Alaska. [ During hearings this week Com missioner Joseph K. Carson asked the companies to submit such a plan.
 The Commission then was con- sidering petition of the Alaska Transportation Company to revise the interim agreement under which the three companies are serving Alaska.
 Alaska Steamship and Northland propose that Congress enact law requiring certificates of public in- terest, convenience and necessity for 10th common and contract carriers in the Alaska trade. Proposed Plan
 Their proposed plan" says that Alaska Steamship and Northland will purchase the necessary number of war-built cargo vessels to serve the Alaska trade under certain conditions. including a requirement. the plan be put into operation not later than May l, l948.
 They say they will pay for vessels purchased from the Commission at their statutory sales price or such percentage thereof as it is determ- ined the Territory can bear as a capital hase for rate making pur- poses (Rates are determined by a company's capital investment) Such reduced rates. if any, would apply only for vessels operated exclusively in commerce to and from Alaska.
 If, within five years the vessels are operated anywhere else, the purchaser would pay the Commis- sion an apportionment of the diff ference between the statutory sales price and the actual price.
 After five years the vessels would become free vessels for all purposes at their purchase price for the Alaskan trade.
 | No Rate Increase ! Alaska Steamship says it will continue to operate it's passenger vessels to Alaska for two years without any increase in rates pend- ing perfection of a passenger ship program such as was recommended this month by the Presidents ad- visory committee on the Merchant Marine.
 When and if such passenger ship program is perfected and in1- plemented" the plan says, Al aska Steamship and Northland Transportation will acquire the necessary number of newly con- structed passenger vessels under such purchase and charter ar rangement as the economy of the Territory can support.
 "Supplementing such new pas- octlbCl tcocClo tlic tOHipdiiy VIII continue to operate such of the four present passenger vessels for such period as is necessary to properly serve the needs of the Alaska trade"
 ! New L'ne Setup
 Albert E. Stephan, counsel for Alaska Transportation. made the statement about his firm, and said:
 We believe the Commission should at once revise the contract, require the consolidation of Alaska Steam and Northland, and permit Alaska Steam and Alaska Trans portation to serve all of Alaska" His argument came at the con- cluding session of a two-day con- ference called to consider a com plaint of Alaska Transportation against Northland.
 Officials of Alaska Steamship and Northland denied contentious of the other company, but also said they were tired of the in tsrim service and wanted a return to purely commercial basis. Consolidation Urged
 Ralph Rivers, Attorney General of Alaska. criticized present op- erat.ons and also urged consolida-