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OPERATIONS OF THE PANAMA CANAL COMPANY
AND CANAL ZONE GOVERNMENT

HEARINGS

BEFORE

IBRARY

OCT 22 1974

DOCUMENT

SUBCOMMITTEE NO. 3-PANAMA CANAL

OF THE

COMMITTEE ON

LIB.

MERCHANT MARINE AND FISHERIES

HOUSE OF REPRESENTATIVES

EIGHTY-THIRD CONGRESS

SECOND SESSION

JUNE 9, 14, 16, 18, 28, JULY 6 AND 7, 1954

Printed for the use of the Committee on Merchant Marine and Fisheries

[blocks in formation]

COMMITTEE ON MERCHANT MARINE AND FISHERIES

ALVIN F. WEICHEL, Ohio, Chairman

THOR C. TOLLEFSON, Washington
JOHN J. ALLEN, JR., California
HORACE SEELY-BROWN, JR., Connecticut
TIMOTHY P. SHEEHAN, Illinois
WALTER M. MUMMA, Pennsylvania

WILLIAM K. VAN PELT, Wisconsin

WALTER NORBLAD, Oregon

FRANK C. OSMERS, JR., New Jersey

EDWARD J. HART, New Jersey
HERBERT C. BONNER, North Carolina
FRANK W. BOYKIN, Alabama
EDWARD A. GARMATZ, Maryland

JOHN F. SHELLEY, California

EDWARD J. ROBESON, JR., Virginia
EUGENE J. KEOGH, New York
JAMES J. DELANEY, New York

STUYVESANT WAINWRIGHT 2D, New York MARTIN DIES, Texas

KIT CLARDY, Michigan

JOHN H. RAY, New York

WILLIAM S. MAILLIARD, California
FRANCIS E. DORN, New York

MRS. JOHN B. (LEONOR) SULLIVAN, Missouri

T. A. THOMPSON, Louisiana

DON MAGNUSON, Washington

THOMAS P. O'NEILL, JR., Massachusetts
COURTNEY CAMPBELL, Florida
E. L. BARTLETT, Alaska

LEONARD P. PLISKA, Chief Clerk

BERNARD J. ZINCKE, Counsel
JOHN M. DREWRY, Counsel

SUBCOMMITTEE No. 3-PANAMA CANAL

JOHN J. ALLEN, JR., California, Chairman

WALTER M. MUMMA, Pennsylvania
FRANK C. OSMERS, JR., New Jersey
FRANCIS E. DORN, New York

EDWARD A. GARMATZ, Maryland
MARTIN DIES, Texas

MRS. JOHN B. SULLIVAN, Missouri

CONTENTS

243

251

205

2, 37

214, 252

Steers, Philip L., Jr., deputy to the comptroller, Panama Canal

Company

Tyson, William S., attorney, local 30, Canal Zone Pilots of the
National Organization of Masters, Mates, and Pilots. AFL.....
Walters, Thomas G. operational director, Government Employees'
Council, AFL.

Whitman, Merrill, secretary, Panama Canal Company.

Williamson, Hugh S., vice president, Association of American Ship-

owners..

Additional information—

Brownlow, James, president, Metal Trades Department, AFL, report,
findings on Panama Canal Zone.

Booz, Allen & Hamilton, management consultants, letter, December

1, 1953, to Brig, Gen. J. S. Seybold, president, Panama Canal

Company

Comparison of powers of Panama Canal Company board and manage-
ment with a private corporation, table-

Johnson, Earl D., Under Secretary of the Army, letter, December 23,
1953, to Hon. Alvin F. Weichel...

12

133

33

Lopez, Leonard, assistant to president of District Lodge No. 44, Inter-
national Association of Machinists, statement submitted by
Howard E. Munro.__

209

Mayer, Robert E., president, Pacific American Steamship Association,
complete statement, with appendixes A-D_

262

Tyson, William S., attorney, letter, July 9, 1954, to Hon. John J.
Allen, Jr.

251

Whitman, W. M., secretary, Panama Canal Company:

Letter to Hon. Francis E. Dorn, and questions and answers from
Governor Seybold -

212

Letters to Hon. John J. Allen, Jr.:

June 17, 1954, re elimination of duplication.......

134

July 7, 1954, re request for report on H. R. 9583s, etc..

257

OPERATIONS OF THE PANAMA CANAL COMPANY AND CANAL ZONE GOVERNMENT

WEDNESDAY, JUNE 9, 1954

HOUSE OF REPRESENTATIVES,

COMMITTEE ON MERCHANT MARINE AND FISHERIES,

SUBCOMMITTEE No. 3,
Washington, D. C.

The subcommittee met at 10:10 a. m., pursuant to call, Hon. John J. Allen, Jr. (chairman of the subcommittee) presiding. Mr. ALLEN. The subcommittee will come to order. The committee is about to undertake hearings with regard to several questions which concern the operation of the Panama Canal. The first basic consideration is under the general jurisdiction of each committee which has the duty of supervising the execution of laws which have originated in the committee; and in that regard the committee is hopeful that the manner in which Public Law 841 of the 81st Congress has been carried out will be fully discussed.

We

In addition to that subject, a little over a year ago the General Accounting Office made a report concerning the Panama Canal in which it listed 13 recommendations for congressional action. expect to discuss those recommendations and whatever action should be taken upon them.

Furthermore, there have been at least two other questions formally up before us: The bills recently introduced by Mrs. Sullivan and Mr. Dorn were introduced at the request of interested parties in order that the questions presented might be in printed form and definitely stated and before the committee.

Similarly the bill which I recently introduced, which has to do with certain interest charges and depreciation and other accounting matters at the request of the American Steamship Association is likewise introduced in order that the question might be definitely stated before the committee.

We have furthermore the information with regard to the BoozAllen-Hamilton report, and the various criticisms made from time to time by the subcommittees on appropriations dealing with the financing of the Canal operation, which bring before us the consideration of whether or not that report is a well-founded report, and whether some action on the part of this committee should be taken.

I think I have stated generally the objectives which we have before us. Does any member of the committee wish to add anything to that statement? If not, then we will proceed with the hearing.

And we are very pleased, Governor Seybold, that you have the time and opportunity to be with us; and we'd like very much for you to discuss the situation and open this hearing.

Would you identify yourself for the record, and make such statement as you care to make?

1

53 349ST XL2 2927

08/94 53-005-00

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