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Coolidge Given Shipowners Plan Make Powers of Board Solely Regulatory—Reduce Membership—Maintain Essential Routes by Mail Contracts and Other Aids—Modify Laws and Hampering Restrictions urged that the shipping board ean sell the government- owned fleet and American companies can successfully operate the ships have been completed by the American Steamship Owners’ association, the Pacific American Steamship asso- ciation and the Shipowners’ associa- tion of -the Pacific, after a careful study of the situation by a series of conferences at New York. Included in these organizations are almost all Di eeea plans by which it is of the owners. of ocean-going ton-- nage under the American flag. They are in entire agreement on the pro- gram that has been drawn up, and transmitted by President Alfred Gil- bert Smith of the American Steam- ship Owners’ association to Presi- dent. Coolidge and members of his cabinet, and the shipping board. The recommendations urge _ the creation of two special agencies, con- sisting of the secretary of commerce, the postmaster general, the secretary of the navy, the director of the bud- get and one or two American citizens experienced in shipping, appointed by the President, to determine the extent of the services to be carried on in the ' cargo: one case by passenger and ships, and in the other case by pure- ly cargo tonnage, essential to nation- al defence and the promotion of for- eign trade. To the second of these special agencies the chairman of the shipping board is to be added. These special agencies, according to the rec- ommendations of the shipowners, are to determine the amount of direct na- tional aid, through mail pay or other compensation, necessary to maintain the mail, passenger and cargo serv- ices of the merchant marine in over- seas trade, with reference to the par- ticular needs of each service, sub- ject to appropriations therefore by congress. Reduce Board to Three Members Contending that these direct na- tional aids and certain indirect aids also suggested would insure the sale of fit government-owned ships to pri- vate owners, the Shipowners’ asso- ciations further recommend that the shipping board be reduced from its present number of seven to. three commissioners, “appointed by the President without regard to political or geographical considerations, but with special regard to their business qualifications, one of whom shall have had shipping experience,’ and that the shipping board, so constituted, “be vested with such regulatory powers as are necessary to the promotion of an American merchant marine, sim- ilar to those regulatory powers con- ferred upon the shipping board by the shipping act, 1916.” Furthermore, the Shipowners’ as- sociations recommend that the Fleet corporation, either in present or ALFRED GILBERT SMITH President, American Steamship Owners’ Association modified form, be continued as an agency of the government “to liqui- date the government out of the ship- ping business at the earliest pos- sible moment.” Control of the Fleet corporation, according to the plan of the shipowners, would be vested in the secretary of commerce or in a newly constituted department of ma- rine, through a transfer of the stock of the corporation. Pending liquida- tion, the Fleet corporation is to ex- ercise supervision over the opera- tion of the essential steamship serv- ices. For encouragement of American shipbuilding, the Shipowners’ associa- tions present a plant for wider use of the present construction loan fund, to be transferred to the control of the secretary of commerce “and to be 234 laws to the Philippines is asked continued available at a rate of in- terest not to exceed 3 per centum per annum for future construction by American citizens of approved types of ships in American shipyards.” To this end it is urged that loans be granted equivalent to the amount of the difference between the cost of building in American and in foreign yards, provided, however, that the vessels which receive the benefit of these loans shall be employed in the foreign trade and “shall not be per- mitted to engage in the coastwise trade of the United States until the entire amount loaned is repaid to the government.” As indirect aids to the promotion of an adequate privately-owned mer- chant marine, the Shipowners’ asso- ciations further urge certain changes in the Seamen’s act, which is de- scribed as “in many respects a salu- tary measure,’ and in the navigation and immigration laws; repeal of duties. on ship repairs; reduction in Panama canal tolls; and ending of government competition. Definite rec- ommendations for amendment of the Seamen’s act have already been pre- sented to the government by the ship- owners. Extension of the coastwise “as soon as the President deems it ex- pedient.” -.The shipowners request that the government relinquish to pri- vately-owned American ships the car- riage of government supplies or troops in time of peace, and that all government officials and employes and all government cargo be con- veyed in privately-owned - American vessels. Schoolships for Training Officers The Shipowners’ associations ap- prove the recently enacted naval re- serve act, and ask that under the su- pervision of the secretary of com- merce seven schoolships, with auxil- iary power, be established—three on the Atlantic coast, one on the Gulf, one on the Great Lakes and two on the Pacific—to train young men for the merchant service. Another rec- ommendation is that honorably dis- charged enlisted men of the navy be enabled to pass examinations for cer- tificates as third officers or third as- sistant engineers, or be granted cer- tificates as able seamen according to their qualifications and length of serv-