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RESOLUTION OF BOARD OF GOVERNORS, PROPELLER CLUB OF THE UNITED STATES, PORT

OF SEATTLE, RE PANAMA CANAL TOLLS, AUGUST 17, 1949

Whereas merchant shipping of the United States is carrying an unfair portion of the cost of operation of the Panama Canal through the payment of tolls; and

Whereas while the Panama Canal is recognized as being beneficial to commercial shipping it is also serving as a national defense utility: Therefore, be it

Resolved, That Congress adopt a formula for commercial tolls which takes into consideration only the true cost of commercial transits.

PROPELLER CLUB OF THE UNITED STATES, PORT OF SEATTLE,
G. J. ACKERMAN, President.

RESOLUTION ADOPTED BY THE BOARD OF TRUSTEES OF THE SEATTLE CHAMBER OF

COMMERCE, JANUARY 10, 1950

The Seattle Chamber of Commerce urges the second session of the Eightyfirst Congress to provide an equitable formula for computing Panama Canal tolls payable by commercial users.

THOMAS M. PELLY, President (For the Seattle Chamber of Commerce).

RESOLUTION OF THE PORT OF TACOMA RE PANAMA CANAL TOLLS

Whereas consideration is now being given by the United States Congress in the matter of computing tolls for various transiting through the Panama Canal; and

Whereas the Canal is of benefit to commercial shipping and such shipping should pay tolls that reflect the true cost of providing transits to its vessels but should not be taxed for the cost of unrelated Government activities or for the free passage of Government ships; and

Whereas Pacific coast cargoes pay a great sbare of the tolls received from the operations of the Canal: Now, therefore, be it Resolved by the Port Commission of the Port of Tacoma as follows, to wit: 1. It is recognized that the Panama Canal is of benefit to commercial shipping.

2. That commercial shipping should pay tolls reflecting the true cost of providing transits to its vessels.

3. That commercial shipping should not be taxed for the cost of unrelated Government activities or for the free passage of Government ships.

4. That the so-called interest charges should cease.

5. That all Panama Canal tolls be computed under a fair and equitable formula.

Unanimously adopted by the Port Commission of the Port of Tacoma at its regular meeting held on the 23d day of August 1949, all the members of the port commission being present and voting on this resolution, and signed by its president and attested by its secretary under the official seal of said commission in authentication of its passage this 23d day of August 1949.

F. H. MARVIN, President, Port Commission of the Port of Tacoma. Attest:

R. R. MATTISON, Secretary, Port Commission of the Port of Tacoma.

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COMMISSION OF PUBLIC Docks, PORTLAND, OREG.,

DECEMBER 12, 1949

Whereas the Commission of Public Docks of the City of Portland, Oreg., is engaged in the operation of municipal terminals of that city and its welfare is dependent on the volume of ocean freight handled; and

Whereas the tools assessed commercial vessels using the Panama Canal have a decided influence on the volume of such freight handled in that they are unfair and inequitable: Now, therefore, be it

Resolved, That Congress prepare a formula for computing Panama Canal tolls that will reflect the true cost to be assessed against commercial vessels in proportion to all vessels using the Canal including Government vessels; and, be it further

Resolved, That this resolution be made of record in the minutes of this meeting and that copies be furnished to the President of the United States, to the Oregon and Washington delegations in Congress, and to the members of the House Marine and Fisheries Committee, and the Senate Interstate and Foreign Commerce Committee.

At a regular meeting held December 12, 1949.
Passed by the following vote:
Ayes : Commissioners Shaver, Shuler, and Gunderson, 3.
Noes: None.
Absent: Commissioners Youell and Zehntbauer, 2.

I certify that the foregoing is a full, true, and correct copy of resolution No. 1280 passed by the Commission of Public Docks, of the City of Portland, Oreg., on December 12, 1949.

D. J. MCGARITY, Secretary.

RESOLUTION OF NORTHWEST CANNERS AsSOCIATION, PORTLAND, OREG. Whereas the canning and marketing of canned fruits and vegetables produced in the Pacific Northwest States of Oregon, Washington, Idaho, and Montana is a very substantial industry, with a 10-year average annual pack of 19,217,072 cases, comprising an extremely important outlet for much of the surplus agricultural production of the area ; and

Whereas spiraling increases since June 30, 1946, of rail and water freight rates have seriously hampered the ability of Pacific Northwest canners to market their packs in eastern markets, resulting in a decrease in packs from 25,641,233 cases in 1946 to 18,191,319 cases in 1948; and

Whereas approximately 59 percent of the canned pack must be sold and marketed in areas east of the Rocky Mountains, principally on the eastern seaboard ; and in the calendar year 1949, 24 percent of such eastern shipments were transported by the intercoastal water carriers, which percentage is constantly and rapidly increasing; and

Whereas Panama Canal tolls are an important factor in determining the ability of intercoastal steamship lines to provide economical and adequate service to the canning industry of the Pacific Northwest, and it is in the interest of the industry and also of agricultural producers generally that the Panama Canal tolls be computed on the basis of a formula which recognizes that commercial cargoes should bear only a fair and proportionate share of the costs of operating the canal: Now, therefore be it

Resolved by the board of directors of the Northwest Canners Association in meeting assembled, representing the canners of more than 95 percent of the annual pack of canned fruits and vegetables in the States of Oregon, Washington, Idaho, and Montana, That this association support the policy of the American flag steamship lines as set forth in the following four points :

1. Commercial shipping should pay only its own way, with tolls reflecting the true cost of providing transit for commercial vessels.

2. Interest should not be charged on funds used to build the Canal. No interest or tolls are charged on the 12 other Federal-built canals. Panama Canal interest charges should be eliminated as a minimum acknowledgement of its national defense value.

3. All vessels of all types should pay tolls at the Canal. Government vessels now transit the Canal toll-free.

4. Commercial shipping should pay through tolls no more than half the cost of dual-purpose expenses of the Canal. Military and civil Government activities should bear at least half of such costs.

I hereby certify that the above resolution was unanimously adopted at a special meeting of the board of directors of the Northwest Canners Association, held at Portland, Oreg., on January 5, 1950, at which a quorum was present.

C. R. TULLEY, Secretary.

RESOLUTION OF THE PROPELLER CLUB OF THE UNITED STATES, PORT OF PORTLAND,

OREG., JANUARY 18, 1950 Whereas the Propeller Club of the United States, port of Portland, Oreg., is vitally concerned with the proper application of tolls against merchant vessels transiting the Panama Canal. It is our belief that the merchant marine should not be required to bear an unfair proportion of military and other incidental expenses at the Canal and this association wishes to go on record with you in this respect and to ask that you lend your efforts toward the establishment of proper studies by Congress looking toward the accomplishment of this end.

N. A. MOORE, President.

RESOLUTION OF THE ALAMEDA CHAMBER OF COMMERCE, ALAMEDA, CALIF., JANUARY

25, 1950

Whereas it is a basic policy of the Alameda Chamber of Commerce to promote the continued development of maritime commerce in bay area ports, and

Whereas tolls on commercial vessels transiting the Panama Canal are an important factor in that commerce, since 64 percent of the Pacific coast's intercoastal and offshore cargoes transit the Canal, and

Whereas, present toll-setting methods cause to be reflected in tolls not only the cost of providing transit to commercial vessels, but also cost factors not related to such transits: now, therefore, be it

Resolved, That the Alameda Chamber of Commerce does hereby go on record before the administration and the Congress of the United States for the establishment of a definite formula for computing tolls on commercial vessels at the Panama Canal. That such tolls should include only the true cost of providing transit to commercial vessels, and should not reflect the cost of free transit to Government vessels nor more of the cost of other Government activities at the Canal or interest charges than are justly allocable to the transit of commercial cargoes.

RESOLUTION OF BAY AREA MARITIME COMMITTEE, SAN FRANCISCO, DECEMBER 20, 1949

Whereas the maritime commerce in bay area ports is essential to the economic well-being of bay cities; and

Whereas this commerce has diminished substantially in the past 12-month period; and

Whereas 64 percent of Pacific coast and bay area water cargoes transit the Panama Canal in contrast to but 20 percent of Gulf cargoes and 14 percent of Atlantic cargoes; and

Whereas tolls at the Panama Canal constitute an unfair burden on such commerce since they reflect not only the cost of providing transit to commercial vessels but various other unrelated costs: therefore, be it

Resolved, That the Bay Area Maritime Committee will petition the President of the United States, the California delegation in Congress, and Representatives Sam Rayburn, John W. McCormack, and Clark W. Thompson to cause to be established at the Panama Canal a tolls formula reflecting only the true cost of providing transit to commercial vessels and eliminating from such formula these cost factors:

(1) Free transit to Government vessels of United States, Panama, and Colombia.

(2) Interest charges on Panama Canal construction funds.

(3) Half or some logical proportion of such Government functions serving both the national defense and commercial functions of the Canal.

RESOLUTION OF THE BOARD OF Port COMMISSIONERS OF THE PORT OF REDWOOD CITY,

DECEMBER 13, 1949 Whereas the Board of Port Commissioners of the City of Redwood City is engaged in the operation of the municipal marine terminal facilities of that city, and the success of its operations is directly dependent upon the extent of the ocean freight it can serve; and

Whereas the cost to commercial vessels in transiting the Panama Canal is a large factor in the movement of that freight; and

Whereas the tolls for the use of the Canal assessed against commercial vessels are inequitable and unduly burdensome: now, therefore, be it

Resolved (1) That this board hereby urges Congress to enact legislation providing the basis for fixing tolls against commercial vessels using the Panama Canal do not include

(a) the portion of the cost of operation attributable to the transit of Government vessels, calculated on the basis of proportionate use;

(6) interest charges on the cost of construction of the canal; and

(c) not more than half the cost of carrying on governmental functions in the Canal Zone;

(2) That the port manager be and is hereby directed to furnish copies of this resolution to the President of the United States, the California delegation in the United States Congress, and to members of the House Merchant Marine and Fisheries Committee and the Senate Interstate and Foreign Commerce Committee.

RESOLUTION, CALIFORNIA ASSOCIATION OF PORT AUTHORITIES, SAN FRANCISCO,

CALIF., JANUARY 18, 1950

“Whereas the California Association of Port Authorities is concerned with the operation and management of ports and marine terminals and is therefore directly interested in the welfare of ocean shipping; and

"Whereas the toll rate charged for Panama Canal passage has a direct effect upon the cost of ocean freight; and

"Whereas it is essential for the economic prosperity of the Nation that the national merchant marine and port terminal industry be maintained in a sound financial condition, and as a security measure that ships and terminals be immeditely available during periods of national emergency: Now, therefore, be it

Resolved, That this association requests Congress to review the Panama Canal toll rates now in effect, with a view toward establishing rates applicable to commercial shipping that reflect the true cost of providing transit to commercial vessels, and do not include as a cost factor the expense of unrelated Government activities, and that as a minimum recognition of the national defense value of the Canal the interest charges on the cost of construction of the Canal be eliminated as a factor in determining rates applicable to commercial shipping; and be it further

"Resolved, That this association believes the results which may be anticipated through adjustment of the Canal toll rates will benefit all commercial shipping and act as a direct stimulus to Pacific coast commerce; and be it further

Resolved, That the secretary of this association forward copies of this resolution to the chairman, vice chairman, and members of the House Merchant Marine and Fisheries Committee, the chairman of the Special Subcommittee on Panama Canal Tolls, and Representatives of California in Congress."

I hereby certify that the above is true copy of a resolution adopted by the California Association of Port Authorities at its meeting held in San Francisco on January 18, 1950.

CARL M. SMITH, Secretary, California Association of Port Authorities.

SENATE JOINT RESOLUTION 1 OF CALIFORNIA LEGISLATURE, 1949 l'IRST

EXTRAORDINARY SESSION

SENATE JOINT RESOLUTION 1, RELATIVE TO MEMORIALIZING THE PRESIDENT OF THE

UNITED STATES, THE CONGRESS OF THE UNITED STATES, THE SECRETARY OF DEFENSE, THE SECRETARY OF THE NAVY, AND THE MARITIME COMMISSION OF THE UNITED STATES TO REDUCE THE TOLLS OF THE PANAMA CANAL

Whereas vessels passing through the Panama Canal are now required to pay tolls which are greatly in excess of the cost of operating and maintaining the Panama Canal and are oppressive and destructive to the intercoastal shipping industry; and

Whereas such tolls have been a most important factor in reducing the number of privately owned vessels in the intercoastal shipping service from 170 before World War II to 18 at the present time; and

Whereas this decline in intercoastal merchant shipping has resulted in a corresponding reduction in the volume of cargo handled by all ports on the west coast of the United States with a consequent loss of business and payrolls by the ports of California, Oregon, and Washington; and

Whereas a number of chambers of commerce and civic organizations have emphatically urged a reduction of canal toll rates; and

Whereas an active and prosperous intercoastal shipping service is vital to national defense and the welfare of the Pacific coast: Now, therefore, be it

Resolved by the Senate and Assembly of the State of California, jointly, That the President of the United States, the Congress of the United States, the Secretary of Defense, the Secretary of the Navy, and the Maritime Commission of the United States are hereby respectfully memorialized and requested to take such steps as may be necessary to reduce Panama Canal tolls to fair and equitable rates which will encourage and stimulate intercoastal shipping; and be it further

Resolved, That the Secretary of the Senate be hereby directed to prepare and transmit copies of this resolution to the President of the United States, the Vice President of the United States, the Secretary of the Navy, the Secretary of Defense, the Maritime Commission of the United States, the Chief of Naval Operations the Congress of the United States, the Speaker of the House of Representatives, and to each Senator and Representative from California in the Congress of the United States.

Passed by the senate December 16, 1949.
Passed by the assembly December 19, 1949.

RESOLUTION OF CALIFORNIA STATE CHAMBER OF COMMERCE, MARCH 12, 1948

That the State Chamber of Commerce go on record before the Congress of the United States in opposition to any effort to increase existing Panama Canal tolls at this time. We favor a review of the entire financial structure of the Panama Canal so as to create an equitable toll charge.

RESOLUTION OF CANNERS' LEAGUE OF CALIFORNIA, FEBRUARY 14, 1950 Resolved, That the Canners' League of California does hereby go on record before the Congress of the United States in favor of a new formula for computing tolls on commercial vessels at the Panama Canal; that such formula should reflect only the true cost of providing transit to commercial vessels; and that there should be full recognition of the national-defense value of the Canal in such matters as interest charges, capital costs, and other expense items.

RESOLUTION OF THE EXPORT MANAGERS ASSOCIATION OF SAN FRANCISCO, DECEMBER

13, 1949

"Whereas this association is vitally interested in the promotion and welfare of intercoastal and foreign water-borne commerce through the ports of Sav Francisco Bay;

“Whereas it appears that free transit to Government ships, numerous quasiGovernment activities, and a permanent nonamortizing interest charge are considered as cost factors in establishing Panama Canal tolls against commercial vessels: Now, therefore, be it

"Resolved, That we believe that, in the establishment of Panama Canal tolls for commercial shipping, consideration should be given to the exclusion from computation of such tolls the expenses and costs of operations rightly chargeable to governmental functions and military defense, to the end that tolls may be established which are just and equitable charges on commercial water carriers."

The secretary is hereby requested to communicate the contents of this resolution to all persons who will assist in accomplishing our views.

A. E, OJEDA, President.

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