Honolulu Republican, Volume IV, Number 502, 21 January 1902 — MILLIONS INVESTED IN TRANSPORTS [ARTICLE]

MILLIONS INVESTED IN TRANSPORTS

Noting American Troops is Very Costly to Government. LIVELY FIG?T FOR THE SERVICE JAMES J. HILL WANTS BUSINESS FOR GREAT NORTHERN ROAD AND ITS BRANCHES. New York Capital Interested in Pacific Coast Movements to Abolish Army Service to Philippines So Freight Movement to Manila Possible Under Existing Conc tions—Oriental Trade. BAN FRANCISCO. -lan 11—The investment of many millions of dollar* in a steamship line between San Francisco and the Philippine Islands i, likely to take plare shortly if the government abolishes its present transport service, as announced in dispatches received from Wasalngion yesterday. For more than a year the various immercial bodies of j?an Francisco have urged the government' to give i-oinc of its transport business to private < arriers. The Chamber of Comment- the Hoard of Trade, the Meri harts’ Association and various other business organizations have worked steadily to foster the formation of a private line between the port and Manila. and have sought to divert some of the government business from the transport*. The news that Secretary of War Root has advocated before the House Military Affairs Committee the abolishment of the transport service entirely and the establishment of a private line of steamers from this pc>rt t.. Manila was hailed with groat interest by the business community yesterday Lively Fight Between Companies. That there will be a lively fight be tween various steamship lines to se- . ire the government business of handling troops and supplies is assured by the information that the Pacific Mall Steamship Company and the Pa«ifie Coast Company already have th« ir representatives in Washington, preparing the way to winning the choice plum that Uncle Sam will have to offer. A rumor was afloat yesterday that James J. Hill of the Great Northern road would also enter the lists and t : \ to secure the government business for his railroad and for the .unships that he proposes t,o put ■ -, the broad Pacific ocean. In April of last year a committee of thtv. went from*San Francisco to Interest the government in a proposed steamship line from this city to Manila The committee .onsisted of G. \V McNear, representing the Merchants Exchange. Andrew Carrisan for tie Board of Trade and George A NVwhail for the Chamber of Commerce. Those pronvnont San Francisco busint ss men were received by Soeretsry of War Root and by President McKinley and from these two officials the heartiest assurances were received that a private line between the points named would receive encouragement at the hands of the government • Steamship Lire* te Compete. The broad step of selling the trans ports and giving the government business to private lines Is the result of a movement inaugurated by the Pacific Mail Steamsh’p Company and the Pa ffle Coast Company. New York capitalists are deeply interested in the movement and their representative;. will watch the situation at Washington. NEW YORK INTERESTED. WASHINGTON Jan 10. New York eap'tal ij deeply interested in the mov-ment inaugurated by -the p» ‘fi. Mail Steamship Company :nJ the Pacific Coast Steamship Company for the abolition of the army transport service Represent* ur s of the Pacific Mail Company are now m Washington and agents vf the Pacific Coast Company are ex pec-ted h--re in a few days. These ontlemen will immediately apply pr* ---.ire to the administration and to C r. gross for the purpose of stopping the transportation of troops end army freight in Government transport* and the transfer of this busituws to private steamshipsSecrettry Root has indicated that be Is it favor of sach action the morn. et Cocjrr.- s passes a law authorizing th<« gras ting of American char- , ttrs to twenty three transports now ,

owned by the Government- When giver. American charters these ships will bring a high price, but If sold under their present charters the Government will not receive their value for them. Transport* Carry No Freight. It Js claimed by opponents of the 1 army transport service that it is np- - rated at a much greater expense than is necessary and that transportation of soldiers and freight can be I done cheaper by private lines. Moreover. the advisability of enlarging American trade with the Orient and encouraging private shipbuilding enterprises are advanced as strong reasons for the transportation of troops and freight by private firms. Government transports cannot car- ■ ry a pound of private freight to th* Philippines unless by direct consent of the War Department. Officials of the War Department ex plain that the reason why private »’‘-amship lin-s will be able to handle Government business cheaper then the transport service is that they employ Chin.se for their crews and Junior officers. White labor is employed upon Government transports. Costly to Government. The crew of a Pacific Mail st-am- r receives an average of $7.50 per. month. On transports men receive pay usually given to white sailors. in his estimates for the expenses i of the army during the next fiscal year Secretary Root, upon recom menuation of Quartermaster General Lndington. submitted an item of s34.o<>o.<KiO for cost of transportation of troops. Most of this sum was to meet the . * xpenaes of the transport service. It, is stated that the comparison of the i cost of transporting officers and men to Cuba by private steamers and th*- j > xpense of transporting them in Government vessels shows that the. former method is cheaper. The same: result, it is predicted, will be obtained from the use of private ships on the Pacific. Money Invested in Service. The Government has an enormous amount of money invested in thei transports now plying between San Francisco and the Philippine islands.' Among the more expensive vessels are the Grant, largan. Sherman. Sher idan. Thomas and Hancock. The purchase price of the first five named was Jti6ti.tioti each and that of the l Hancock $>500,000. The Kilpatrick. Egbert. Warn a and Meade were purchased at figures i similar to those paid for the first 1 five named ships, and repairs and fittings on the vessels increased thei tost to more than $1,000,000 in each 1