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deck; that is, not a deck attached to the hull, which would in most cases result in discrimination against foreign vessels in favor of the United States passenger steamers if the national register of the vessel were recognized as a factor to be considered in the levying of tolls.

As time goes on and traffic increases, with a resulting increase in the number of classes of vessels using the canal, it becomes more evident that it will be absolutely necessary to adopt some one rule for the leyying of tolls, and experience has demonstrated beyond a doubt that the fairest rule for determining the tonnage of a vessel, in order that tolls may be assessed without discrimination, and on a just basis, are the Panama Canal rules for measurement. Furthermore, the Commissioner of Navigation has stated that the Panama Canal rules of measurement are without doubt the most exact application of the scientific principles governing the measurement of vessels yet prepared.

While the monetary loss to the Panama Canal during the fiscal year 1916, due to the Attorney General's ruling, amounting to $390,714.05, or 16.3 per cent of the amount actually collected, during the five months the canal was open, is considerable, and jeopardizes the success of the canal from a financial standpoint, the present unsatisfactory condition also results in discrimination for and against ships, which discrimination is in violation of our treaty obligations. This condition also results in difficult, as well as unsatisfactory, administration which, it is believed, will be remedied by this bill.

The application of the United States rules in lieu of the Panama Canal rules in the levying of tolls has resulted in a great number of claims for refund of illegally collected tolls in the first instance, some of which will be impossible of settlement until an opportunity offers for the remeasurement of the ships affected in accordance with the United States rules. It is now necessary to measure according to both sets of rules (United States and Panama Canal) in order to determine correct assessment of tolls. The Panama Canal authorities on the Isthmus are not always aware of the changes made by the Commissioner of Navigation located in Washington until some time after they have been effected. This happened in July last, when rules were made effective July 13 that were not known of on the Isthmus until the last of the month, and complete information not received until August. In the interval tolls were collected under the rules as the authorities at the Isthmus knew them; consequently additional refunds are necessary. With measurers all over the United States it is not surprising that differences are found when check is made by the admeasurers on the Isthmus, and it becomes necessary at times to refer questions to Washington, where the final decision rests. The difficulties of administration under such a system are apparent, resulting in irritating and vexatious delays. Furthermore, this situation is very confusing and annoying to the owners and operators of steamships using the canal, who are obliged to have their vessels measured under two sets of rules, particularly those in foreign countries, who are unfamiliar with the present situation and unable to understand why the two sets of rules are involved.

Briefly, the difficulties at present existing and for which remedial legislation is sought may be summarized as follows:

1. The monetary loss to the United States.-This loss is such as to jeopardize the financial success of the canal. During the fiscal year

of 1916 it amounted to $390,714.05. When it is remembered that the canal was closed seven months of the year on account of slides, some idea may be gained of the loss which will be sustained during a full business year, especially after the close of the European war with the resulting increase in traffic, if the proposed legislation be not enacted.

2. Difficulties of administration.-The necessity of measuring vessels under two sets of rules (United States and Panama Canal) in order to determine the correct assessment of tolls, and the further fact that the United States rules may be changed at any time without the knowledge of the canal authorities, greatly increases the difficulties of administration, besides causing irritating and vexatious delays to shipping.

3. Discrimination against American vessels and violation of treaties.— Under present conditions, particular classes of vessels may optionally take advantage of certain privileges in the classification and exemption of space, which gives them a decided advantage over others less favored. This is particularly true in the case of foreign vessels. Such discrimination is a clear violation of the Hay-Pauncefote treaty, which stipulates that there should be no discrimination in favor of the vessels of any nation, and operates to the disadvantage of American ships of commerce. It is also in violation of the cardinal principles, which was adopted by the Panama Canal authori ties in the preparation of their rules, to the effect that all vessels should be required to pay tolls on their actual earning capacity. The unrestricted application of the Panama Canal rules will avoid any question of discrimination and violation of treaties.

For further detailed information regarding the Panama Canal tolls situation, attention is invited to the attached pamphlet entitled "Statement prepared by Capt. Rodman and submitted to the Committee on Interstate and Foreign Commerce of the House of Representatives by the Panama Canal authorities."

O

BRIDGE ACROSS ARKANSAS RIVER, ARK.

FEBRUARY 8, 1917.-Ordered to be printed.

Mr. SHEPPARD, from the Committee on Commerce, submitted the

following

REPORT.

[To accompany S. 8105.]

The Committee on Commerce, having had under consideration S. 8105, granting the consent of Congress to the Conway County Bridge District to construct, maintain, and operate a bridge across the Arkansas River, in the State of Arkansas, beg leave to report the same with the recommendation that it pass.

The measure is favorably reported from War Department, as follows:

]Second indorsement.]

WAR DEPARTMENT, Washington, January 29, 1917.

Respectfully returned to the chairman Committee on Interstate and Foreign Commerce, House of Representatives.

So far as the interests committed to this department are concerned, I know of no objection to the favorable consideration by Congress of the accompanying bill (H. R. 20535), present session, for the construction of the proposed bridge across the Arkansas River, Ark., if amended as indicated in red thereon.

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64TH CONGRESS, }

- SENATE.

POST OFFICE APPROPRIATION BILL.

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REPORT No. 1021.

FEBRUARY 8 (calendar day, FEBRUARY 9), 1917.-Ordered to be printed.

Mr. SMITH of South Carolina, from the Committee on Post Offices and Post Roads, submitted the following:

REPORT.

[To accompany H. R. 19410.]

The Committee on Post Offices and Post Roads, to whom was referred the bill (H. R. 19410) making appropriations for the service of the Post Office Department for the fiscal year ending June 30, 1918, and for other purposes, having had the same under consideration, report it back to the Senate with sundry amendments and recommend that the bill as amended do pass.

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64TH CONGRESS,
2d Session.

}

SENATE.

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REPORT No. 1023.

EXTENSION OF TIME FOR RECLAMATION OF CERTAIN
LANDS IN OREGON UNDER THE CAREY ACT.

FEBRUARY 8 (calendar day, FEBRUARY 9), 1917.-Ordered to be printed.

Mr. LANE, from the Committee on Irrigation and Reclamation of
Arid Lands, submitted the following

REPORT.

[To accompany S. 8044.]

The Committee on Irrigation and Reclamation of Arid Lands, to which was referred the bill (S. 8044) entitled "An act providing for the extension of time for the reclamation of certain lands in the State of Oregon under the Carey Act," report said bill favorably without amendment and recommend its passage.

A letter including a resolution of the Desert Land Board of the State of Oregon and the report of the Secretary of the Interior on said bill explain the purpose of the same, and to which reference is made in support of the prompt passage of this measure.

SALEM, OREG., December 20, 1916.

To the SIXTY-FOURTH CONGRESS IN SESSION ASSEMBLED:
Whereas the lands in Oregon Carey Act, segregation lists Nos. 6 and 19, comprising
140,714 gross, and approximately 86,000 irrigable acres, lying in Crook County,
Oreg., are in process of reclamation under the terms of a contract entered into by and
between the United States and the State of Oregon, on February 13, 1903, for lands
in list 6, and on October 17, 1905, for lands in list 19, and the time within which to
complete the reclamation of the lands embraced in the contract was extended by
the Secretary of the Interior for an additional term of five years, to February 13,
1918, for lands under list 6, and to October 17, 1920, for lands in list 19; and
Whereas the following statement truthfully represents the present status of said
lands, viz, the lands under these two lists are included in one irrigation system to be
served by three large canals, respectively, of 686, 440, and 314 cubic feet of water
per second of time capacity at the head, with a total canal and lateral system of 436
miles in length; and the constructed works comprise a large concrete diversion dam
33 feet high and 295 feet in length in the Deschutes River, near Bend, Oreg.. built
to divert 1,000 second-feet of water; and a large flume about 1 miles in length
diverts about 465 second-feet of water at another point on the Deschutes River,
from which ample water is available to reclaim said lands. Approximately 51,000
irrigable acres of land under said irrigation system have been patented by the

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