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; (b) 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 FIRST 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. EXCERPT FROM RESOLUTION BY INTERNATIONAL LONGSHOREMEN'S AND WAREHOUSEMEN'S UNION, LOCAL 10, SAN FRANCISCO, CALIF., MARCH 15, 1950 * The city of San Francisco's dignitaries must urge President Truman to call upon the proper authorities to lower the Panama Canal toll rates substantially RESOLUTION OF THE MARINE EXCHANGE, INC., SAN FRANCISCO, CALIF., NOVEMBER 8, 1949 Whereas bay area employment is largely dependent upon shipping operations in the various ports in the San Francisco Harbor and, Whereas like other Pacific coast ports, nearly two-thirds of all cargoes moving across bay area docks pass through the Panama Canal and thus are in effect subjected to its tolls; and Whereas the tolls are not based solely on the true cost of providing transit for commercial vessels through the Canal; and Whereas free transits to Government ships, numerous quasi-Government activities, and a permanent, nonamortizing interest charge are all cost factors in establishing Canal tolls; and Whereas no such interest charges and in fact no tolls are charged at 12 other Government-built canals in the United States; Therefore be it Resolved, That tolls on commercial vessels at the Panama Canal should be based solely on the true cost of providing transit to commercial ships and that all building and operating expenses at the Canal properly allocable to the national defense should be so charged and should not be included in Canal tolls computation. The president of the Marine Exchange is hereby requested to communicate this resolution to the President of the United States, the California delegation in the United States Congress and to the members of the House Merchant Marine and Fisheries Committee and the Senate Committee on Foreign and Interstate Commerce. M. A. CREMER, Secretary. RESOLUTION OF MONTEREY FISH CANNERS, PORT OF MONTEREY, CALIF., DECEMBER 29, 1949 Whereas it is essential to the efficient marketing of the canned fish and fish products produced in Monterey, Calif., that there be available to the industry a first-class transportation system; and Whereas a requirement of a first-class transportation system is the co-existence of competing forms of transportation, each form a vigorous operation in its own sphere and striving to furnish the most efficient service possible at the most reasonable compensatory rates; and Whereas the intercoastal steamship service of the United States is the only substantial long haul transportation medium in competition with the great system of the American railroads; Now therefore be it Resolved, That the canners processing fish products n Mnterey, Colif., will individually urge the President of the United States and the California delegation to the Congress of the United States and the House Merchant Marine and Fisheries Committee of the Congress of the United States to establish a tolls formula at the Panama Canal which will reflect only the true cost of providing transit to commercial vessels. (This resolution was adopted at a regular meeting of the Monterey Fish Processors Association on December 29, 1949. However, due to certain provisions in the association's bylaws, this is not a resolution of the association as such, but a reflection of the views of the individual members. PASSA January 3, 1950.) RESOLUTION OF OAKLAND BOARD OF PORT COMMISSIONERS, DECEMBER 5, 1949 Whereas the board of port commissioners of the city of Oakland 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 ocean freight it can serve; and Whereas the cost to commercial vessels in transmitting 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, 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 (1) the share of the cost of operation attributable to the transit of Government vessels, calculated on the basis of proportionate use; (2) interest charges on the cost of the construction of the Canal; and (3) not more than half the costs of carrying on governmental functions in the Canal Zone. RESOLUTION OF OAKLAND CHAMBER OF COMMERCE OAKLAND 12, CALIF., FEBRUARY 1, 1950 That the Oakland 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, and Further, that the Oakland Chamber of Commerce favor a review of the entire financial and organizational structure of the Panama Canal and the establishment of a tolls formula reflecting only the true cost of providing transit to commercial vessels. RESOLUTION OF OAKLAND WORLD TRADE CLUB, NOVEMBER 3, 1949 Whereas maritime commerce is essential to the economic welfare of the city of Oakland; and Whereas 64 percent of the world trade and intercoastal cargoes in all Pacific coast ports are subjected to tolls at the Panama Canal; and Whereas only 20 percent of such commerce in Gulf ports and only 13 percent in Atlantic ports are subject to such tolls; and Whereas by reason of fiscal practices at the Canal, there are included as factors in the toll rate not only the cost of furnishing transit to commercial ships, but also the cost of toll-free transit to Government ships; the cost entire of numerous Government functions serving both the commercial and national defense phases of the Canal; and a 3 percent interest charge on funds used to build the Canal; and Whereas no interest and no tolls whatsoever are charged in the 12 other major canals built by United States funds: Therefore, be it Resolved, That the Oakland World Trade Club has adopted the following policies with respect to the Panama Canal: 1. That commercial shipping should pay through tolls the true cost of furnishing transits to commercial ships; 2. That through reorganization or other proper means, proper accounting policies should be adopted at the Canal with the result that tolls should no longer reflect the cost of toll-free transit to Government ships, nor more than the true commercial share of the cost of Government functions serving both the defense and commercial aspects of the Canal. 3. That the discriminatory practice of charging interest at the Panama Canal should be discontinued in line with Government policy at other United States built canals, as a minimum recognition of the national defense value of the Panama Canal. That the secretary is requested to communicate this resolution to the President of the United States, the California delegation in the United States Congress, and to the House Merchant Marine and Fisheries and the Senate Interstate and Foreign Commerce Committees. LYFORD MORRIS, Secretary. RESOLUTION OF PACIFIC TRAFFIC ASSOCIATION OF SAN FRANCISCO, INC., FEBRUARY 14, 1950 Resolved, That the Pacific Traffic Association of San Francisco, Inc., does hereby go on record favoring a reduction in Panama Canal tolls by the establishment of a definite Panama Canal tolls formula by the proper branch of the Federal Government and that in recognition of the national defense value of the Canal, such formula shall include as toll factors only those cost items related to the transit of commercial vessels. RESOLUTION OF PROPELLER CLUB OF THE UNITED STATES, PORT OF SAN FRANCISCO; RESOLUTION OF BOARD OF GOVERNORS, AUGUST 16, 1949 Whereas it is the policy of the American people, stated through Congress, that the United States should have a strong and active privately owned merchant marine, and Whereas merchant shipping of all nations, and particularly of the United States, is carrying an unfair portion of the financial burden of the Panama Canal through the payment of tolls, and Whereas such burden is one of the many factors which should have consideration in creating an economic climate conducive to a larger and more efficient American merchant marine, and Whereas it is recognized that the Panama Canal is commercially beneficial to merchant shipping, as well as serving primarily as a national defense utility: Therefore, be it Resolved, That Congress should establish a formula for commercial tolls in recognition of the national defense value of the Panama Canal; That such tolls should be based on the true cost of transits for commercial ships; That such formula should not include costs arising from toll-free transits of Government ships or United States military and civil activities in the Canal Zone: and That the so-called interest charges at the Canal be eliminated as a factor in establishing tolls. RESOLUTION OF SACRAMENTO CHAMBER OF COMMERCE, DECEMBER 12, 1949 Whereas the sound economic development of ocean transportation is vital to the welfare of Sacramento and the northern California area; and Whereas the Panama Canal is recognized to be vital as a national defense utility and to commercial shipping; and Whereas it appears that the cost of certain governmental functions cannot rightly be considered to be part of those directly related to the transits of commercial vessels: Now, therefore, be it Resolved, That the Sacramento Chamber of Commerce, Sacramento, Calif., recommends the establishment of a definite policy for assessing tolls on commercial shipping through the Panama Canal; such formula should be based solely on the cost of providing transit to commercial vessels; all expenses properly chargeable to the national defense should be so allocated and not be considered as factors in the tolls formula; be it further Resolved, That a copy of this resolution be sent to the President of the United States, to each member of the Merchant Marine and Fisheries Committee and our Senators and Congressmen. This is to certify that the foregoing is a true and correct copy of the resolution adopted at the regular meeting of the board of directors of the Sacramento Chamber of Commerce held on December 12, 1949. A. S. DUDLEY, RESOLUTION OF THE SAN FRANCISCO CHAMBER OF COMMERCE, NOVEMBER, 8, 1949 Whereas waterborne commerce is essential to the economic welfare of the San Francisco bay area; and Whereas 64 percent of all intercoastal and foreign trade cargoes in all Pacific coast ports are subjected to tolls at the Panama Canal; and Whereas only 20 percent of Gulf cargoes and 14 percent of Atlantic coast cargoes are subjected to such tolls; and Whereas, by means of the accounting practices at the Panama Canal, tolls on commercial shipping are based not only on the cost of providing Canal transit to commercial vessels, but also the cost of providing toll-free transcit to Government ships; the cost of certain expense items at the Canal not related to the |