gray0885.txt

gray0887-1.txt

gray0887-2.txt

gray0888-1.txt

gray0888-2.txt

gray0891-1.txt

gray0891-2.txt

gray0893-1.txt

gray0893-2.txt

gray0894-1.txt

gray0894-2.txt

gray0895-1.txt

gray0895-2.txt

gray0896-1.txt

gray0896-2.txt

gray0897-1.txt

gray0897-2.txt

gray0898-1.txt

gray0898-2.txt

gray0899-1.txt

gray0899-2.txt

gray0900-1.txt

gray0900-2.txt

gray0901-1.txt

gray0901-2.txt

gray0902-1.txt

gray0902-2.txt

gray0903-1.txt

gray0903-2.txt

gray0904-1.txt

gray0904-2.txt

gray0905-1.txt

gray0905-2.txt

gray0906-1.txt

gray0906-2.txt

gray0907-1.txt

gray0907-2.txt

gray0908-1.txt

gray0908-2.txt

gray0909-1.txt

gray0909-2.txt

gray0910-1.txt

gray0910-2.txt

gray0911-1.txt

gray0911-2.txt

gray0912-1.txt

gray0912-2.txt

gray0913-1.txt

gray0913-2.txt

gray0914-1.txt

gray0914-2.txt

gray0915-1.txt

gray0915-2.txt

gray0916-1.txt

gray0916-2.txt

gray0917-1.txt

gray0917-2.txt

gray0918-1.txt

gray0918-2.txt

gray0919-1.txt

gray0919-2.txt

gray0920-1.txt

gray0920-2.txt

gray0921-1.txt

gray0921-2.txt

gray0922-1.txt

gray0922-2.txt

gray0923-1.txt

gray0923-2.txt

gray0924-1.txt

gray0924-2.txt

gray0925-1.txt

gray0925-2.txt

gray0926-1.txt

gray0926-2.txt

gray0927-1.txt

gray0927-2.txt

gray0928-1.txt

gray0928-2.txt

gray0929-1.txt

gray0929-2.txt

gray0930-1.txt

gray0930-2.txt

gray0931-1.txt

gray0931-2.txt

gray0932-1.txt

gray0932-2.txt

gray0933-1.txt

gray0933-2.txt

gray0934-1.txt

gray0934-2.txt

gray0935-1.txt

gray0935-2.txt

gray0936-1.txt

gray0936-2.txt

gray0937-1.txt

gray0937-2.txt

gray0938-1.txt

gray0938-2.txt

gray0939-1.txt

gray0939-2.txt

gray0940-1.txt

gray0940-2.txt

gray0941-1.txt

gray0941-2.txt

gray0942-1.txt

gray0942-2.txt

gray0943-1.txt

gray0943-2.txt

gray0944-1.txt

gray0944-2.txt

gray0945-1.txt

gray0945-2.txt

gray0946-1.txt

gray0946-2.txt

gray0947-1.txt

gray0947-2.txt

gray0948-1.txt

gray0948-2.txt

gray0949-1.txt

gray0949-2.txt

gray0950-1.txt

gray0950-2.txt

gray0951-1.txt

gray0951-2.txt

gray0952-1.txt

gray0952-2.txt

gray0953-1.txt

gray0953-2.txt

gray0954-1.txt

gray0954-2.txt

gray0955-1.txt

gray0955-2.txt

gray0956-1.txt

gray0956-2.txt

gray0957-1.txt

gray0957-2.txt

gray0958-1.txt

gray0958-2.txt

gray0959-1.txt

gray0959-2.txt

gray0960-1.txt

gray0960-2.txt

gray0961-1.txt

gray0961-2.txt

gray0962-1.txt

gray0962-2.txt

gray0963-1.txt

gray0963-2.txt

gray0964-1.txt

gray0964-2.txt

gray0965-1.txt

gray0965-2.txt

gray0966-1.txt

gray0966-2.txt

gray0967-1.txt

gray0967-2.txt

gray0968-1.txt

gray0968-2.txt

gray0969-1.txt

gray0969-2.txt

gray0970-1.txt

gray0970-2.txt

gray0971-1.txt

gray0971-2.txt

gray0972-1.txt

gray0972-2.txt

gray0973-1.txt

gray0973-2.txt

gray0974-1.txt

gray0974-2.txt

gray0975-1.txt

gray0975-2.txt

gray0976-1.txt

gray0976-2.txt

gray0977-1.txt

gray0977-2.txt

gray0978-1.txt

gray0978-2.txt

gray0979-1.txt

gray0979-2.txt

gray0980-1.txt

gray0980-2.txt

gray0981-1.txt

gray0981-2.txt

gray0982-1.txt

gray0982-2.txt

gray0983-1.txt

gray0983-2.txt

gray0984-1.txt

gray0984-2.txt

gray0985-1.txt

gray0985-2.txt

gray0986-1.txt

gray0986-2.txt

gray0987-1.txt

gray0987-2.txt

gray0988-1.txt

gray0988-2.txt

gray0989-2.txt

gray0989-1.txt

gray0990-1.txt

gray0990-2.txt

gray0991-1.txt

gray0991-2.txt

gray0992-1.txt

gray0992-2.txt

gray0993-1.txt

gray0993-2.txt

gray0994-1.txt

gray0994-2.txt

gray0995-1.txt

gray0995-2.txt

gray0996-1.txt

gray0996-2.txt

gray0997-1.txt

gray0997-2.txt

gray0998-1.txt

gray0998-2.txt

gray0999-1.txt

gray0999-2.txt

gray1000-1.txt

gray1000-2.txt

gray1001-1.txt

gray1001-2.txt

gray1002-1.txt

gray1002-2.txt

gray1003-1.txt

gray1003-2.txt

gray1004-1.txt

gray1004-2.txt

gray1005-1.txt

gray1005-2.txt

gray1006-1.txt

gray1006-2.txt

gray1007-1.txt

gray1007-2.txt

gray1008-1.txt

gray1008-2.txt

gray1009-1.txt

gray1009-2.txt

gray1010-1.txt

gray1010-2.txt

gray1011-1.txt

gray1011-2.txt

gray1012-1.txt

gray1012-2.txt

gray1013-1.txt

gray1013-2.txt

gray1014-1.txt

gray1014-2.txt

gray1015-1.txt

gray1015-2.txt

gray1016-1.txt

gray1016-2.txt

gray1017-1.txt

gray1017-2.txt

gray1018-1.txt

gray1018-2.txt

gray1019-1.txt

gray1019-2.txt

gray1020-1.txt

gray1020-2.txt

gray1021-1.txt

gray1021-2.txt

gray1022-1.txt

gray1022-2.txt

gray1023-1.txt

gray1023-2.txt

gray1024-1.txt

gray1024-2.txt

gray1025-1.txt

gray1025-2.txt

gray1026-1.txt

gray1026-2.txt

gray1027-1.txt

gray1027-2.txt

gray1028-1.txt

gray1028-2.txt

gray1029-1.txt

gray1029-2.txt

gray1030-1.txt

gray1030-2.txt

gray1031-1.txt

gray1031-2.txt

gray1032-1.txt

gray1032-2.txt

gray1033-1.txt

gray1033-2.txt

gray1034-1.txt

gray1034-2.txt

gray1035-1.txt

gray1035-2.txt

gray1036-1.txt

gray1036-2.txt

gray1037-1.txt

gray1037-2.txt

gray1038-1.txt

gray1038-2.txt

gray1039-1.txt

gray1039-2.txt

gray1040-1.txt

gray1040-2.txt

gray1041-1.txt

gray1041-2.txt

gray1042-1.txt

gray1042-2.txt

gray1043-1.txt

gray1043-2.txt

gray1044-1.txt

gray1044-2.txt

gray1045-1.txt

gray1045-2.txt

gray1046-1.txt

gray1046-2.txt

gray1047-1.txt

gray1047-2.txt

gray1048-1.txt

gray1048-2.txt

gray1049-1.txt

gray1049-2.txt

gray1050-1.txt

gray1050-2.txt

gray1051-1.txt

gray1051-2.txt

gray1052-1.txt

gray1052-2.txt

gray1053-1.txt

gray1053-2.txt

gray1054-1.txt

gray1054-2.txt

gray1055-1.txt

gray1055-2.txt

gray1056-1.txt

gray1056-2.txt

gray1057-1.txt

gray1057-2.txt

gray1058-1.txt

gray1058-2.txt

gray1059-1.txt

gray1059-2.txt

gray1060-1.txt

gray1060-2.txt

gray1061-1.txt

gray1061-2.txt

gray1062-1.txt

gray1062-2.txt

gray1063-1.txt

gray1063-2.txt

gray1064-1.txt

gray1064-2.txt

gray1065-1.txt

gray1065-2.txt

gray1066-1.txt

gray1066-2.txt

gray1067-1.txt

gray1067-2.txt

gray1068-1.txt

gray1068-2.txt

gray1069-1.txt

gray1069-2.txt

gray1070-1.txt

gray1070-2.txt

gray1071-1.txt

gray1071-2.txt

gray1072-1.txt

gray1072-2.txt

gray1073-1.txt

gray1073-2.txt

gray1074-1.txt

gray1074-2.txt

gray1075-1.txt

gray1075-2.txt

gray1076-1.txt

gray1076-2.txt

gray1077-1.txt

gray1077-2.txt

gray1078-1.txt

gray1078-2.txt

gray1079-1.txt

gray1079-2.txt

gray1080-1.txt

gray1080-2.txt

gray1081-1.txt

gray1081-2.txt

gray1082-1.txt

gray1082-2.txt

gray1083-1.txt

gray1083-2.txt

gray1084-1.txt

gray1084-2.txt

gray1085-1.txt

gray1085-2.txt

gray1086-1.txt

gray1086-2.txt

gray1087-1.txt

gray1087-2.txt

gray1088-1.txt

gray1088-2.txt

gray1089-1.txt

gray1089-2.txt

gray1090-1.txt

gray1090-2.txt

gray1091-1.txt

gray1091-2.txt

gray1092-1.txt

gray1092-2.txt

gray1093-1.txt

gray1093-2.txt

gray1094-1.txt

gray1094-2.txt

gray1095-1.txt

gray1095-2.txt

gray1096-1.txt

gray1096-2.txt

gray1097-1.txt

gray1097-2.txt

gray1098-1.txt

gray1098-2.txt

gray1099-1.txt

gray1099-2.txt

gray1100-1.txt

gray1100-2.txt

gray1101-1.txt

gray1101-2.txt

gray1102-1.txt

gray1102-2.txt

gray1103-1.txt

gray1103-2.txt

gray1104-1.txt

gray1104-2.txt

gray1105-1.txt

gray1105-2.txt

gray1106-1.txt

gray1106-2.txt

gray1107-1.txt

gray1107-2.txt

gray1108-1.txt

gray1108-2.txt

gray1109-1.txt

gray1109-2.txt

gray1110-1.txt

gray1110-2.txt

gray1111-1.txt

gray1111-2.txt

gray1112-1.txt

gray1112-2.txt

gray1113-1.txt

gray1113-2.txt

gray1114-1.txt

gray1114-2.txt

gray1115-1.txt

gray1115-2.txt

gray1116-1.txt

gray1116-2.txt

gray1117-1.txt

gray1117-2.txt

gray1118-1.txt

gray1118-2.txt

gray1119-1.txt

gray1119-2.txt

gray1120-1.txt

gray1120-2.txt

gray1121-1.txt

gray1121-2.txt

gray1122-1.txt

gray1122-2.txt

gray1123-1.txt

gray1123-2.txt

gray1124-1.txt

gray1124-2.txt

gray1125-1.txt

gray1125-2.txt

gray1126-1.txt

gray1126-2.txt

gray1127-1.txt

gray1127-2.txt

gray1128-1.txt

gray1128-2.txt

gray1129-1.txt

gray1129-2.txt

gray1130-1.txt

gray1130-2.txt

gray1131-1.txt

gray1131-2.txt

gray1132-1.txt

gray1132-2.txt

gray1133-1.txt

gray1133-2.txt

gray1134-1.txt

gray1134-2.txt

gray1135-1.txt

gray1135-2.txt

gray1136-1.txt

gray1136-2.txt

gray1137-1.txt

gray1137-2.txt

gray1138-1.txt

gray1138-2.txt

gray1139-1.txt

gray1139-2.txt

gray1140-1.txt

gray1140-2.txt

gray1141-1.txt

gray1141-2.txt

gray1142-1.txt

gray1142-2.txt

gray1143-1.txt

gray1143-2.txt

gray1144-1.txt

gray1144-2.txt

gray1145-1.txt

gray1145-2.txt

gray1146-1.txt

gray1146-2.txt

gray1147-1.txt

gray1147-2.txt

gray1148-1.txt

gray1148-2.txt

gray1149-1.txt

gray1149-2.txt

gray1150-1.txt

gray1150-2.txt

oai_xml.txt

74ta Coxosse SENATE Doc meNT
U e88}ion J SENATE
Sd Sessox I No. 275




DOCUMENTARY HISTORY
OF THE FLORIDA CANAL



TEN-YEAR PERIOD
JANUARY 1927 TO JUNE 1936


PRESENTED BY MR. LOFTIN
JuNE 15 (calendar day, JuNB 19), 1936.-Ordered to be
printed, with illustrations


UNITED TATEB
GOVERNMENT PRDINNG OFFICE
WASHINGTON st 1


F"1&
TB9k


Ip'












































COMPILED BT RNImRT HOLLAND BUCKMAN, OF ,NGINKBRING COUNBSL FOR THU
SHIP CANAL AUTHORITY OF THU BTATT OF FLORIDA





















LETTER OF TRANSMITTAL


WASHINGTON, D. C., June 15, 1936.
MY DEAR SENATOR FLETCHER: Pursuant to your commission, I
have examined the documents and files relating to the Florida Canal
which you have made available to me. I have selected therefrom
and transmit herewith copies of or abstracts from all such as appear
of importance, together with notes and comments wherever the same
appear requisite or desirable for purposes of explanation or coordina-
tion of the record. There is also transmitted herewith a list of these
documents with appropriate references to the files in which they are
located.
Sincerely yours,
HENRY HOLLAND BUCKMAN,
Engineering Counsel, the Ship Canal Authority,
of the State of Florida.
m

















NEW VORK
APPROXIMATE PHILADELPHIA
-- Present ship lanes. BALTIMORE .
New routes through canal.
m- A Atlantic-Gulf Ship Canal O
NORFOLK :-:
SCALE
200 0 200 400 600 MILES i
SI..........
CHARLESTONO....

SAVANNAH? :::
....... ..........
Me :" : LE :::::::::::::::::::::

A.'W.S.V E. ::/: 'i'::::: ::::::; .".

.... ...... .......: 0 ::..: ..:.: W.... ':.
:*:: > ^. r *:"i^: .:::L* ::::::::::::: ::::

-: I ........ .S -I:
............. ^ \ E ah
"""""i:.~iiiii:.~iiii':'i. ................~i iiiiji
.. .. .. .. .. ..


THE FLORIDA CANAL.-MAP SHOWING DISTANCES SAVzD.
S8eie SM days on the rod tri.d New York to New Orleans.
Th tol anMal savings to il birmdnMt 17% blH n antical ton-mles. The present traffo
through te Straits a t Flridawhich wal tuheanal, Is pproshately 11,000 voya annually. This

Bdulads, mhip Canal Autbority of the 8tat of lo 6-1-S.












































RELIEF MAP OF THE PENINSULA OF FLORIDA
The heavy black lines in the north-central area of the peninsula
indicate the cut sections of the canal. These two cuts will connect
the Oklawaha-St. Johns River system on the east with the Withla-
coochee River on the west, giving a waterway from the Atlantic to
the Gulf.
The distance from the entrance in the Atlantic off the mouth of the
St. Johns River (east) to the entrance in the Gulf off the mouth of
the Withlacoochee River (west) is 171 nautical miles. This distance
is often spoken of as the "length of the canal." The actual cut
connecting the Oklawaha-St. Johns with the Withlacoochee River is
approximately 32 nautical miles.
The mouth of the Withlacoochee River (on the Gulf) is due east
of the entrance to the Mississippi River.
Bulletin. Ship Canal Authority of the State of Florida. 6-1-36.


















































INDUSTRIAL RAILWAY USED IN CANAL EXCAVATION. LOADED BY DRAGLINE.


-ell
















TYPICAL EARTH CUT IN PRELIMINARY STAGE.













































VIEW OF EXCAVATING WORK, SHOWING SLOPES. BERM. AND SPOIL BANKS.


AJ


DRAGLINE LOADING BRIDGE CONVEYOR.



























\


a --



-a-
A-
.1Z

204"4^


BELT CONVEYOR IN OPERATION ON THE CANAL.


rr,















THE FLORIDA CANAL

BULLETIN OF THE SHIP CANAL AUTHORITY OF THE STATE OF
FLORIDA, JUNE 1, 1936

Comparative commerce for 1986

Name of canal Cargo tons tasel
transits

Florida l..-....--........... .......-...-- .-- ---..-- ..----- ...- ....... ..- 48,230,000 10,350
Sue ..................... --------------........--.......... 27,341,000 5992
Panama'...... ------ .. -.....-.....-........................ 24,701,000- 5,062

' Pased through the Florida Btrait8 and would have passed through the Florida Canal.
SPassed.
BASIC DATA

Purpose: To effect increased economy and reduced hazard for commerce between
the Gulf and Mississippi Valley States and those of the Atlantic seaboard,
and trans-Atlantic ports, and to provide for the national defense
ECONOMIC

1. Time saved, New York to New Orleans (round trip, days)---- 24
2. Average annual available vessel transit ----------------_.- 13, 303

3. Nature and amount of potential benefits:
(a) Average annual direct benefits to shipping. ---------- $13,026, 000
(b) Average annual indirect savings to general commerce--- 25, 513, 000

4. Total average annual potential benefits--- -------------- 38, 539,000

5. Construction cost--__-------_---- ----..------.--- 142, 700, 000
6. Interest during construction (3 years at 3 percent)----------- 12, 843, 000

7. Total cost----------.. ------------- --------- 155, 543, 000

8. Annual interest on total cost at 3 percent---- --.--------. 4, 666, 000
9. Annual maintenance----------------------.----- ----- 660,000
5, 326, 000

10. Net average annual potential benefits--------.------------. 33, 213,000
PHYSICAL

1. Distance from Atlantic entrance to Gulf entrance
.----.----------------------------------nautical miles-- 171
2. Length of central cut section-.---------------------- do--- 32
3. Depth:
(a) In rock (with 3 feet overdepth) -------------f-feet-- 33
(b) In earth (with 2 feet overdepth)---------------do-.. 33
4. Bottom width:
(a) Sea approaches--------------... --------..--.do.-- 1,000-400
(b) River channels------ .. --------.----------...do--- 400
(c) Cut section -..-- -...------------.---.------do--- 250
5. Time required to transit, lightship to lightship--..----hours.- 25






VI DOCUMENTARY HISTORY OF THE FLORIDA CANAL

PaYSICAL--ontinued
6. Excavation:
(a) Rock ---..-....--..--.................cubic yards.. 170,000,000
(b) Wet and dry earth-- ----.--------- .--- do-. 401,000,000
(c) Total excavation --.................... do.. 571,000, 000
7. Time required to complete ........... -----.-... years.. 5
Present status (June 1, 1936):
Lngth of central out excavated (approximate)..... -mile-s. 10
Yrde removed (approximate) --........ ubic yards.. 17,000,000
Bridges: Piers o first bridge substantially complete.
Other structures: Headquarters and other camps complete.
Other work: Clearing on central cut section complete.
Expended to date (approximate)---------------.................... 5,000,000
Men now employed (approximate) ---------------------- 6,000












DOCUMENTARY HISTORY OF THE FLORIDA CANAL


10-YEAR PERIOD, JANUARY 1927 TO JUNE 1936
By HzNBa HOLLArD BUCKMAx, of Engineering Counsel, the Ship Canal Authority
of the State of Florida
The proposal to construct a waterway across Florida which would
obviate the expense and danger attendant upon navigation of the
long route through the Straits of Florida has been considered now
and again for more than a century. President Jackson urged the
construction of such a canal, and since that time it has been, from
time-to time, the subject of examination and inquiry by the Federal
Government. Until recent years the project assumed the form of a
barge canal. Until the growth of ocean shipping into and out of the
Gulf of Mexico increased to a point which appeared to justify the
cost of a ship canal, such surveys and discussions were limited to a
waterway of the barge-canal type because of the smaller dimensions
of a barge canal and other engineering considerations.
The possible location of a barge canal covered a much wider area
than is the case with a ship canal, and the earlier surveys made by
the Corps of Engineers included the examination of routes whose
eastern termini ranged from the east central coast of Florida to points
on the coast of Georgia. The results of these surveys indicated that
several routes were.feasible for a barge canal, but in no case has the
potential barge traffic been sufficient to warrant the cost of a canal
which would transit only barges. Some time prior to 1925 the devel-
opment of ocean-going traffic through the Straits of Florida had
reached a point where the saving to shipping and ocean-borne com-
merce indicated the justification of the more costly ship canal, which
would also serve for barge traffic. However, engineering considera-
tions governing the construction of a waterway of ship-canal dimen-
sions confined the location of the project to the peninsula of Florida
and eliminated the possibility of a route through both Georgia and
Florida.
The present phase of this project may be said to have had its begin-
ning in the River and Harbor Act of 1927, providing for a survey by
the Corps of Engineers. Surveys had been made previously, but the
act of 1927 initiated the movement which finally resulted in beginning
construction of the canal. This date, therefore, serves as a convenient
and appropriate dividing line between the earlier and later history of
the project. The present compendium is an attempt to bring together
and intelligently coordinate and explain the documents of public rec-
ord which relate to the canal during the period since that tine. Like
all great projects, the Florida Canal has been the subject of contro-
versy with respect to many of its phases, both economic and political.
The literature is extensive, and much of it of such a partisan nature,







2 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

pro or con, as to be of little value. For this reason, it has appeared
desirable to eliminate from the present treatise documents and other
material which do not fmpn a part of the public record and which
have not been subjected to competent and authoritative examination
and comment.
The documents quoted or reprinted herein, while they do not com-
prise a complete record, nevertheless are believed to include all of the
more important papers to be found in the files of the executive depart-
ments of the Federal Government. The following is a list of these:

Florida Canal dwcun-hronologial list

Dateo Tile ym Of


Rivtrs ad HRrbonr Act o 19W (Wth Co.)....
special Order No. .a Issd by the Chief of Eni-
Rivan and Hatban Act M Ol C71ston~
Action by Atlantic Dpr Waterways ALocia
The uOf-Atlatlo Shp Canal Acs Flaorida,
An meomi tudy by oibert A. Yougbert.
Report of the pot Brd-.....- ...-...---
Addnr by Wt F. Coehman, Jr., Before
Tbe Natimel River and Harbors oa
nf the Board of ffine-m for


Jan. 21,19W
Feb. 41 0
July 1,1101

Oct. 1,1831
Dee. 1,191
Dec. 9,1913
Jan. 2k,12n
Jan. 271g
Jan. 27,1
Mar. 31,11
Aer. 0i,!
Apr. 2,1 W2
Apr. 141 12
AOc. 20,11M2
v4r Jutm

June 3, 10



Aug. 31.232


Oct. 2a1nM2
Nov. 3%1282
Dec. 14,1012

Jan. 17,1 I=
Feb. 14 0113

Do.......
Mar. 18,113
Do.----

Mar. 28,1=03
May 12,113

May 27.113
June 3.1032
June 18,1133
July 3,1933
SDo-----


U. 44 Stat. L. 1010.
Chief of nagt rs.



Chief of Engineers.
Do.
National River and Her-
boars Con .
Chief of Enineer.
Do.
Do.
National Gulf-Atlanti Ship
Conal Assoation.
Do.
Do.
Do.
Chief of Eginsers.
Nationaululf Atlantle Ship
Canl Assoeation.
Intramotal Canl Amsod-
tion of Louisins and
U. 8. 47 Stat. L. 700.
Reconstrution Finance Oar-
Do.


Senate Committe on Comr
marea
MlsisWsippi Valley Ansso-
tion.
Reconastuction Finance Cor-
pIaraton.
Do.
Chief of Engineers.

Do.
Governors offloe, Tallahas-
see. Fla.
Alabama State Docks Com-
mission.
Director of the Budget.
Public Works Administra-
tion.
Do.
Do.
U 8. 48 tat. L. 195.
Public Works Administra-
tion.
Chief of Engineers.


Statement by Roy Miller..................

aersmn Relief and Caostucion Act of 13.2
p o eany H. Bua M, OenFlting En-
Ap.ticn o0 thetNation Oul-Atlante Ship
A al o A attle to the Rreanetruea
Fnlne Corporation for a Loan to Construct
a Olf-Atlaste Ship Canal.
Action by Atatio Deeper Waterways Assiod
tion.
Action by the Mismssippi Valley Assation....
CommuniCaton fom Gen. Charles P. Sm-
menl, to the Recctrctiol Finaee Co-
Analyseof CanalTrale frToll RateStructure.
The GulfAtlntic Ship Canal, the Relation of
Venel Staing to Tolls, by Henry Holland
Bookman.
App of Certain Bailroad Interets la
Po/im7 RBemre the Speial Board.
Conmm nation m Oorno bolt of
lorid to the Pnelbat.
Commniation tem R. A. Christian, Chair-
man of the Alabama State Docks Commission,
to the Preident.
Communication from Henry H. Bdkman to
the Director of the Budget.
An Act of the Legislatre of the State of Florida
Creat the Ship Canal Authority of the
Joint Memorial of the Senate and Hose of Rep-
resntatives of the State of Florida.
Preliminary Report of Special Board of Army
Title Amendment to Emergenoy Relief and
Construction Act.
Report U Ein Advisory Board of the
eaostmroion Fisnane Corporation.
Request of Tamps Chamber of Commerce for
Survey o hip Canal Route with Western
Terminus Near Tampa.


27 81
28 81







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 3

Florida Canal document-cronological lidt-Continued


Date



July 22 1933

Aug. 14,1 a



Aug. 21,1933

Sept. 15 193


Oct. 5,193


Oct. 19,1988
Oct. 21,1933
Nov' 28, 19833
Dec. 13,33
Dec. 30,1933
Feb. 1,1934
Mar. 2,194



May 3,1934


May 11, 1934
May 2,1934
June 28,1934
Sept. 4,193

Sept. 5,1934

Sept. 12,1984
Sept. 15,1934
Sept 17,1934
Sept. 19,1984
Oct. 15,1934

Oct. 20,1934
Nov. 12,1934
Nov. 24,194
Dec. 11,194

Dec. 1O,1984

Dec. 21 1934


Film of


35 8a




88 so


Reqest of Tamps Chamber of Commerce for
a Survey of the Canal with Wetern Teminus
Nem Tampa.
Communiatin from Howy H. Buckman.
Engineer Counsel, to Clarence McDonough,
-qir oTf the Dtivion of cl sri ng, Ad-
ministration of Publi Wor Transmitting
Application of National Gulf-Atlantic Ship
Canal Asnsciation.
Request of Tampa and Fort Myers Chambers
of Commerce 1r Surveys of Ship Canal
Routes with Western Termus Near Tampa.
Probable Use of Canal by Ships, latter from
Dr. Emory Johmoa, Former Speial Com-
mlsioner of the Panama Canal to Gen.
Charls P. ammerall.
Oommuneation from Theodore wann, Vic
Ohairman, Alabama Indiutrial Development
Boad, to the Deputy Admiistrator of the
W.A.P.
Firt um port of Federal Emergency
Admfnfntotfoof Pabli Wsks.
Action by Atlantic Deeper Waterways Assoca-
tion.
Action by the Mississippi Valley Asociation....
Communication from the Missiappi Valley
Assoiation to the President.
Re t of Special Board of Survey, Army
Report on Economc Sarvrey of the Canal by the
Department of Commerce.
Pettion to the President by the Senators of Al
Gulf Staes fo the Appointment of a Board of
Review to Review the Reports of the Public
Works Administration and the Special Board
of Survey.
An Article by Col. Sumter L. owry, Jr., A
Canal Acroes Florida, published in the May 3,
194. Issue of Review of Reviews and World's
Work.
Action by the National Rivers and Harbor Con-
grass.
Communication from Senator Fletcher to the
President
Report of the President's Board of Review......
Comai"ln tno National Oulf-Atlantie
Ship Canal Association tChairman of United
States Shipping Board.
Communication from Chairman of the United
States Shipping Board to National Gulf-At-
lantic 8hip Canal Assoeiation.
Communication from Senators of the Gulf States
to the President.
Supplementary Report of Board of Review on
the Canal as a 8ef-Liquidating Project.
Commnalation hom Senator Harrison to the
President.
Communication from Senator Fletcher to the
President
Analysis and Criticism of Departmental reports
on the Canal by Henry H. Buckman, Consult-
ing Engineer.
Action by Atlantic Deeper Waterways Assoca-
tion
Communicatio from Senator Fletcher to the
President.
Action by the Mississippi Valley Assocation...
Notice by Board of Engineers for Rivers and
Harbors, Hearing on the Report of the Special
Board of Army Engineers.
Application to the President by the Ship Canal
Authority of the 8tate of Florid "Amended
Plan."
Notice to the Administrator of Public Works by
the Deputy Administrator Advising the Ad-
ministrator that the Board of Review Had
Reported the Canal Project as Not Self-
liquidating on a Basis of a Toll of 8 cents pe
ton.


Chief of Engineers.

Public Works Administra-
tion.



Chief of Engineers.

Public Works AdminLitra.
tion.

Alabama Industrial Devel-
opment Board.

Public Works Administra-
tion.
Senate Committee on Com-
meree.
Mississippi Valley Associa-
tion.
Do.
Chief of Engineers.
Department of Commerce.
Public Works Administra-
tion.


Ship Canal Authority of the
State of Florida.

National Rivers and Harbors
Congress.
Ship Canal Authority of the
8taZe of Florida.
Board of Review.
U. S. Shipping Board.

Do.

Ship Canal Authority of the
State of Florida.
Board of Review.
Ship Canal Authority of the
State of Florida.
Do.
Do.

Senate Committee on Com-
mere.
Ship Canal'Authority of the
State of Florida.
Mississippi Valley Assoea-
tion.
Board of Engineers for
Rivers and Harbors.
Public Works Administra-
tion.
Do.


46 101


51 111


61 120

02 123







4 OCUXEIITARY HISTORY O TEE FLORDMA CANAL

Florida Ctau dee ue w Ite-crmiog igt-Continued



Dat Z TM Fllesot
Dat *


7I 126


Jan. 32,1
Jan. S.1

Do-.......

Jan. 241951
Feb. 2.1918

Feb. 14, 191
Apr. 8,190
Apr. a10,1

May 3, 19
May 218.
Do.v.. -
May a 1IU
Do......
June 1.195
June 7, 195
June 11415U
June 28,19
June 24196

Jane 2, 195

Do..---

June 1, U
July 10,a s
Do --.

Aug. 2641,15

Aug. 30 19O5
Sept. 3,1 5
Do.-----
Oct. 10,41U
Oct. 22,195
Oct. S1.15o
Nov. 7, 195
Nov. 3,1935
Der IS1 35U

Dee. 319085

Jan. 6. o1w


8 1S44


ComulatI ftn Senator Mobr to to
Chief o glaewa. _


I utl e sf Bar l to Comeut the FlterM
Cana. by magmittve Urean.
Sbed S tmmay Reprt of AdmiaOtion of
Action by Lad DivMw of PubM Waft A-
mlnratlien ea Amendeid Prpal of Ship
COhal Aatherity.
Into theB f at D epre gemativ a ta h
Relief A l A0e c L.....

P tw nr of tb p oilers io


im lan m Srn em Fleteber to the
Chef r Bof Retaeun.


aimi o haL m en a. Charles P. SumnMe-


C=mieattloa:M bfrm thie COhe of Wa gieera to
Ge.i OrIW P. Su eral.
Aet< oLmit Etatest(FloridatCeCtiitheb
Cinmd lmto tM t Fme IYB to the
An AddesbYM tarl Walker, W r of th
Fridf = =*Tet OaMnaL"
to The Assoctatd PKas.
RBoati oa by th BDad of County Commi.-
zloar, County, Fle.
Commnamtion omkn Herman Ounter 8t
on i State of FlAorid, to Wf. tob
Comamiton om G n. Charlme P. Summer
ao to Lt. CoL B. C. Dunn Corp of Banng
ear o U. &. Am y.
ConaUtlafrC Co. L B.C 0. D n Corp of
Engners, to General Sumerall.
Communication afm the Chier of aingmers to
Reprntatam tve W. J. L
Comunlcatiemn kam Rearanatstive W. L.
Sears to Charles H. h% Sor, eatery,
Miami Beab ChamberO Commerew.
Coammunniation e Harry Sh Per.maI
Aeltist to the Beetary of th rr, to
BeprantattIe J. Hrdtn Pterso.
Authriatom of the Florida Canal by the Prodl-
dent AllowItin 50000.00 to ItConstretlon.
EtablMa d of the Orl Ditriet hor Con-
on of the Canal.
Or hi Chrf of agl to Begin Con-
(tnMtbaof Uth CaetL
Action by Atlantic Deeper Waterway Aee a-
tion,
Bond Election to Authorize Sale of Bonds to
Fiance Purchas of Right-of-way or Canal.
Annual Report of the Chiefof Enineers for Is=.
Memorial to President by Sators, over-
noa, and Beads of Natlioal Assolatons.
Action by the MI 1e1ppl Valley AMdatloo..
ort of the Special Board of Geologists and
Lettr of Trnonittial am the Acting Chief of
Engineers to Senator Fletcher.
Comonatie comie, the Florida Canal aad
Other River and Harbor Improvmenats.
Senate Reolutlon 210, 74th Cong., ad m---...


Chief of nginr
Board of Enginaers for
Rivers ad Hrbors.
Home Document ilm, H.
B. 21, 74th Cong., lt
PS Works Administra-
tion.
Do.

Congrelonel Becord, Feb.
14. 126
U. 8. Btatt . 104
Publs Works Administra
tion.
National River and HaT-
boe Congr
Chief totf ine .
Do.
Do.
Do.
Ship Canal Authority of th
State of Florlda.
Do.
Do.
Do.
Board Of County COmMtO
loners, Hillaborough
rtarid tat Board of Con-
tresa.
Ship Caal Authority of the
Btate of lorida.
Do.
Chief of Enineer.
Miami Beah Chamber of
Commerce.
Department of the Intlior.

Treasury Departmnt.
Chief of Enginee.
Do.
senate Committee on Com-
meree.
Florda Ship Canal Naviga-
tion District.
Chie of Engneers.
Senate Committee on Com-
mm
Mislppi Valley Assola-
tion.
Chief of Enginers.
Senate Document No. 147,
74th Cong., 2d aW.
Ship Canal Authority of the
State of Florida.
Senate Committee on Com-
mere.


81 150

8 I 151







DOCUMENTARY HISTORY OF THE FLOBIDA CANAL 5

Florida Canal documnat-chronologict a t--Continued


Date Title FOa of


Jan. 1s, 1 I 100


Do..--... 101


Do....... 110 182


18,1986
19, 196
2,1986


Mar. 3,1986 11 287
Mar. 8, I 1 116 268


117 28 6

118 327


Mar. 18,1986 119 388

Do-1......20 n88


Mar. 23,1936 121 360

Apr. 101936 122 368


Do.......- 123 374


Apr. 11 1936
Apr. 13,1936
Apr. 15,1986


Apr. 16,1986


Jan. 14,819


sm 23, 196
Jan. 21,189
fan. 34,196
Jan. 28,1886

Ja. 30186
Feb. 814186
Feb. 10,1986
Do-.......
Feb. 12, 18


War Department Apprriations Bill fr 197,
Non-Miitry Aetvties, Hearings Before the
Subooc mittee of house CommittSe on Ap-
r;Sila iC'olb. 0ibert A. Youn rU. S.
Army ed The TnrLd d Kbl
Ship anals Some Comprion
Statenttt Hardin Peterson
Before the ubcommittee of the House Com-
mittee on Approriations in Char of War


Coammnitn from the Aistant Adminitre-.
tar of Publi Works to Senator Vandenber.
Communication rom the Chief of Engaer to
Senator Fletcher.
..-.doa --......-.................-......--
Memorandm by L B. Oraham, Exative
Assistant or the Administrtor.
OoqmpUalatioI teoa G Beatr-Fl er to Lt.
Col. B. .SoBmerv1 .
War Department Approprtn Bill for the
Fisal Yer hEnding Ji Jn 1 H. B. 1103.
Communication from Lt. Col. B. B. Somrve l
Recorder Board of Review, to Senator
Fletcher.
ommunicatin from Hon. Frank B. eid,
President of the National Rlver and Harbors
Congra, to Senator Fletcher.
Communication from Senator Flether to Serem
tary of tbe Interior.
Communation rom the Secretary of te In-
terior to Senator Fletcber.
Hearings Before a committee o the Commit-
tee on Commerce, U. S. Senate, on a. 210.
Digest of Evidence Submitted to a Subcom-
mittee of the Senite Committee on Corm-
Comparison of Costs and Benefits, Certain
River and Harbor Improvements.
War Department Appro Bill for 1987,
eardig pBeor the bmomL f oep St-on
ate Committee on Appropriations.
Debate on the War Department Appro ion
Bill for the Fiscal Year Ending June 197,
H. R. 110.
Debate on toe War Department Appropriation
Bill for the Fisal Year Ending June 197,
H. R. 11035.
Debate on the War Department Appropriation
Bill for the Fiscal Year Ending June 30,1937,
H. R. 1108.
Communication from Col. Gilbert A. Youngberg
to Senator Fletcher.

Debate on the War Department Appropriation
Bill for the Fiscal Year Ending June 30, 1937,
B. R. 110358.
Statement of RBeprtative R. A. Green Before
the Subcommittee of the House Committee on
Appropriations In Charge of First Deiciency
Appropriation Bill, 1966.
Communication from Henry H. Beckman, of
Engineering Counsel, the Ship Canal Author-
ity of the State of Florida, to Senator Vanden-
borg.
Communication from Senator Vandenberg to
Henry H. Buckman.
Communication from Bradford 0. Williams to
Representative J. Hardin Peterson.
Communication from Henry H. Buckman, of
Engineering Counsel, the Ship Canal Author.
ity of the State of Florida, to Representative
R. A. Green.
Special Order of Chiefof Engineers Constituting
a aoard of Army Engineer Officers to Revise
and Bring Up to Date Previous Reports on
the Florida Canal.


Committee on Appropria-
tions, House of Represent-
atives.
Ship Canal Athority of the
State of Florida.
House Committee on Appro
priatons.

Chief of Engineers.
Public Works Administra-
tion.
Chief of Engineers.
Do.
Public Works Administra
tion.
Board of Review.
House Document Boom.
Board of Review.

Senate Committee on Com-
merce.
Do.
Do.
Do.
Congresonal Record May
30, 193, p. 878.
Chief of engineers.
Senate Committee on Appro-
priations.
Congressional Record, 74th
Cong., 2d sea., Mar. 16,
14i pp. 31 -019.
Con onal LRcord, 74th
Cong., 2d sees., Mar. 17,
1986, pp. 081-40t4and 4006-
4007.
Congressional Record, 74th
Cong., 2d sees., Mar. 18,
196, p. 4410.
Congressional Record, 74th
Cong., 2d aes., Mar.
1986, pp. 4079- a
p. 4110.
Congressional Record, 74th
Cong., 2d4 ase., Mar. 23,
193, Dp. 4336-4340.
House Committee on Appro-
priations.

Ship Canal Authority of the
State of Florida.

Do.
Do.
Congressional Record, 74th
Cong., 2d seas., Apr. 16,
1986.
Chief of Engineers.


Mar. 16,1986

Mar. 17,1936








6 DOCUMENTARY soY OP TIM FLORIDA CAiNAL

Plrida Canal docuuenft-chreroioOgfal lisf-Coninued


Dateft4o I____d


Apr. 2l. 1M S 130 1


Apr. 27, 16
Apr. IM
May 7,166
May 1,19
Do...-- -


May 15,1la I13 4aI


Da.......
May 18, Ia
May 2, IM


May 27.,193 140 417
May 26. 196 141 418

May 30 ION 142 436

June 1,1 0 143 458

Juno 9,193 144 480

June 1,193 145 461


Do ------- 1 7


a18,1W 148


Apr..I *

Apr. 17, 1M


13 379
laS as l

1#l Mis


Cmnimtimn f trim Pfl e Rdrsolambitte
Natimal ivers and arbors Conags, to
Repremetative Joseph J. MMWs&ld.
well Bdfu thU Baboammits of the HBo
Commaiteoem A iopritloin me o First
Deulaiey Approprtlon Bill, 6.
8pee aReprwntemOGnam ofFloridainthe
House V oe mp i Wa.
Stoat t by the 8. ntilyof W wR.------
Actir by thb Nisoms Rysc sad Harbon
Fimryas Bmi, H. R. IU ......-.........
eatoe Jtat Reolotia Introdueed by Senator
Artile by Frank Paker tockbridg, The
rth Abot tr Flor hip Cuanl, Pub-
libed thebo JMamrlll ormal.
Arhd* by Bs~a BaarBwIL Lt. Ool., Ccp? of




sit, Botird, to Army Eniners Board oi
Revew.
Senator L Fttl. r
CammnitUton from Fnk M. Traynor to
Prp Amendmant to first Defilnon Bill,

The Debate on Propod Amendment to First
Defoiieny Bill, 1if.
Motion to Recosider the Vote in the Sente
Adopting Sator Robinson's Amendment
Providig for the Florida Canal.
Commnnloatia from W. M. Larkin County
Attomnr of ay o Ooumr, FK., as i---s --
tatie Hirim Petia H.
Sph ofRepr tative Green In the Hoae of
R"Pasentative
Death of Senastr Flether.............-----......-
Debate In the BHoo of RmBpiatlW 8Ooimer
oblauon's Amndmeant to the First DeI-
gC. BIU, 196, Providing for the Florida
Speech of enator Lottn in the Senate-......


Natlal Riverand Harbor
Congress.
House Committee on Appro-
prietons.

Conessional Record, 74th
Conl., d mas., Apr. 24,
Wa D twtnmnt.
NaUo alRivers ad Harbors
Congro&
Ho e doaent room.
8. J. Re. 2, 74th Cong., d
hip Cnal Athority of the
state of Florda.
Do.

Deitaidnt 6t Commerce.
Do.
Congrssional Record, May
30, 196.
Senator Loftin.
Congrmlonal Record. 74th
Cong., 2d ass., May 2,
Congreslonal Record, 74th
Cong., 2d aes., May 30,
1966.
Conrulonal Record, 74th
Con., Md aas., Juns 1,
Ship Canal Authority of the
atloriif ta.
CarMdanal Record. 74th
Coi., ad sam., June u,
Congreolonal Record, M74th
Cong.,d sIae June17, 1l
Do.


Congressional Record, 74th
Cong., ad es., Jne 18,
1930.












DOCUMENT NO. 1 (U. S. 44 STAT. L. 1010), JANUARY 21,1927
RIVERS AND HARBORS ACT OF 1927 (69TH CONG.), U. S. 44 STAT.
L. 1010, APPROVED JANUARY 21, 1927
Section 4 of this act authorizes the Secretary of War to cause a
preliminary examination and survey, to be. Iade at the following-
named rcality: 'Waterway from Cumberland Sound, Ga. and Fla.,
to the issiippi River."
The temused in thi act is in conformity with the older
name under which the proposal to connect the Gulf and Atlantic
waterway systems had been known in previous legislation. The cum-
bersome and somewhat misleading tile, "Waterway from Cumber-
land Sound, Ga. and Fla., to the Mississippi River', still persists in
official descriptions of the Florida Canal.


DOCUMENT NO. 2 (FILES OF THE CHIEF OF ENGINEERS), FEBRUARY
5, 1927

SPECIAL ORDER No. 5, ISSUED BY THE CHIEF OF ENGINEERS UNDER
DATE OF FEBRUARY 5, 1927
This order appointed a special board of Army engineer officers to
make the preliminary examination and survey called for by the
Rivers and Harbors Act approved January 21, 1927. (See Doc-
ument No. 1.)
The personnel of this board was changed from time to time under
Special Orders, No. 48, dated August 3, 1929; No. 51, July 18, 1930;
no. 59, August 11, 1930; No. 77, September 29, 1931; No. 49, July 14,
1932; and No. 70, dated September 8, 1932.
Before this special board completed its report, Congress passed the
Rivers and Harbors Act of 1930.


DOCUMENT NO. 3 (U. S. 46 STAT. L. 918), JULY 3, 1930

RIVERS AND HARBORS ACT OF 1930 (71ST CONG.), U. S. 46 Stat. L.
918), APPROVED JULY 3, 1930
Section 2 of this act authorized and directed the Secretary of War
to cause to be made a preliminary examination and survey of-
Waterway across northern Florida to connect the Atlantic intracoastal water-
way with the proposed Gulf intracoastal waterway by the most practicable route.
Waterway for barge traffic across southern Georgia and northern Florida to
connect the Atlantic intracoatal waterway with the proposed Gulf intracoastal
waterway by the mostrpracticable.route.
From the mouth of the St. Marys River on the Atlantic Ocean, waterway for
barge traffic to connect with the proposed Gulf intracoastal waterway by the
most practicable route.







8 DOCUMENTARY HISTORY OF THE FLORDA CANAL

The special board appointed by the Chief of Engineers' Special Order
No. 5, under date of February 5, 1927 (see Document No. 2), was
assigned the duty of making the preliminary examinations and sur-
veys ordered by the act of July 3, 1930.


DOCUMENT NO. 4 (FILES OF SENATE COMMITTEE ON COMMERCE)
OCTOBER 9, 161

ACTION BY ATLANTIC DEEPER WATERWAYS ASSOCIATION IN CON-
VENTION AT BOSTON, OCTOBER 9, 1931

The Atlantic Deeper Waterways Association, in convention at
Boston, October 9, 1931, adopted the following resolution:
This association was among the first to recommend the mportgnce of the
waterway across the State of Florida. For 20 years we have advocated the
construction of a waterway connecting the Atlantic Ocean with the Gulf of
Mekico-as a link between the intraooastal waterway along the Atlantic ea-
board and the Gulf of Mexico, which has usually been referred to as the Florida
waterway. This association reaffirms its endorsement of such a waterway and
amplifies the same so as to provide not only for barges but for ocean-going ves-
sels as well, along the most feasible route which will connect the Atlantic intra-
coastal waterway with the intracoastal waterway along the Gulf of Mexico to
the Mississippi River system, and which will provide a direct route between the
ports on the Atlantic Ocean and the ports on the Gulf.
We urge a thorough investigation by the United States Engineers bearing on
the physical costs and the commercial benefits to result from the construction
of this waterway along such route as may best meet the needs of general com-
merce and navigation, with a view to securing the approval of the Chief of the
Corps of Engineers, and the submission of a plan and estimate of cost to the
Congress for appropriate action, and hereby pledge our support.
The construction of this waterway and its connection with the Mississippi
River and Gulf inland waterway systems will provide a continuous, interior
water route between the Great Lakes, via the Hudson River and the Atlantic
intracoastal waterway, then along the Texas-Louisiana waterway, and up the
Mississippi River. It will facilitate the general commerce of the United States
by shortening the distance .between the ports on the Atlantic Ocean and the
several ports on the Gulf of Mexico.


DOCUMENT NO. 5 (FILES OF CHIEF OF ENGINEERS), OCTOBER 16, 1941
THE GULz-ATLANTIC SHIP CANAL ACROSS FLORIDA
An Economic Study by GILBERT A. YOUNoGBEG, Colonel, Corps of Engineers,
United States Army, retired, of the firm of Hills & Youngberg, Engineers,
under date of October 16, 1931
This report represents the first thoroughgoing economic study of
the ship canal project. It is an encyclopedic work of exceptional
merit and has served as a basis for and a model of all subsequent
surveys. The report was transmitted to the special board under
date of October 16, 1931, by a letter of transmittal, which is given in
part as follows:
JACKSONVILLE, FLA., October 16, 1931.
To: The Special Board of United States Engineer Officers on Trans-Florida
waterways, Col. H. B. Ferguson, Corps of Engineers, senior member.
Subject: Waterway across Florida.
GmrrLzMwx: 1. For and in behalf of the city of Jacksonville, and pursuant to
instructions from the city commission, we have the honor to submit the subjoined
report in relation to a preliminary examination of a waterway across northern







DOCUMENTARY HISTORY OF THE FLOBIDA CANAL


Florida to connect the Atlantic intracoastal waterway with the proposed Gulf
intracoastal waterway by the most practicable route, as authorized and directed
by the River and Harbor Act approved July 3, 1930.
2. Before proceeding to the substane of the report itself, we would invite your
attentiocato our letter of October 16, 1931, addressed to the City Commission of
Jacksonville, wherein we have indicated briefly some of the sources of information
and the principles of accuracy and. completeness that have guided us in the
preparation of the data and the deductions therefrom as hereinafter presented.
3. Any proper determination of the economic feasibility of a waterway across
the peninsula of Florida necessitates answers to two fundamental questions,
which may be stated as follows:
(a) What commerce, present and prospective, will benefit from the construction
of the proposed waterway?
(b) At what cost does that commerce now move, and at what cost will it move
after the improvement, if effected?
4. At first glance these appear- to be very simple questions. Having the
answers, we shall know the investment value of the project, and then there will
remain but the apparently simple problem of designing and constructing the
waterway within the indicated limit of investment value.
A. Unfortunately, the primary questions entrain a host of secondary questions,
each permitting of a number of permutations and combinations of factors, some
of which can be definitely determined and some of which must be assumed on the
basis of certain known facts. To determine what commerce will benefit involves
a detailed analysis of all of the commerce, both the inbound and outbound,
both foreign and domestic, of every port in the Gulf of Mexico and their counter-
ports in all parts of the world. It involves a study of the origins and destinations
of the commodities being transported. It. necessitates an elimination of that
commerce destined to or from the Pacific Ocean, also that commerce destined to
or from the West Indies, the east coast of South America, and the west coast of
South Africa, because this commerce will most advantageously follow the existing
ship lanes through the Florida Straits and Yucatan channels.
It involves the elimination of all that trade local to or between the Gulf ports
themselves; that is to say, internal Gulf trade. It requires the elimination of
duplication of tonnage statistics growing out of the fact that out-bound cargo
at one port must appear as in-bound cargo or as cargo in transit at one or more
other ports. The converse is, of course, equally true, for in-bound cargo at one
port must have been out-bound cargo at another port or ports.
A mere mention of these circumstances serves to indicate the detailed and
intricate nature of the studies necessary to a determination of the existing com-
merce that will or may benefit from the construction of a transpeninsular water-
way. As for prospective or potential commerce-that which may exist 15 or
50 years hence-the difficulties of determination are far greater.
6. As for the second question-that of costs of traffic movement-it is neces-
sary to trace the course of every ship and its cargo, to determine the transporta-
tion cost per ton per mile, to determine what the corresponding costs may be
through the proposed waterway. It becomes necessary td determine the dimen-
sions and operating speeds of all vessels in the Gulf trade and to determine the
minimum dimensions of the waterway and the permissible speed therein. When
it is remembered that no two ships are exactly alike, that their operating costs
vary widely with the season of the year, the ports between which they ply, and
the aid or interference accorded by ocean currents such as the Gulf Stream and
the influence of winds, it is at once apparent that the problem is one of great
detail and much complexity.
Notwithstanding the great number of details and the great variety of com-
plexities, we have actually undertaken to analyse the commerce of the Gulf
ports and to trace the ship movements to and from these ports, all for the calen-
dar year 1929; which is the latest year for which complete statistics are available.
We have also made a special study of certain commodities, the production and
movement of which wi be influenced by the improvement in transportation
facilities to follow upon the construction of the canal and which also will furnish
the larger part of the commerce utilizing that waterway, if constructed.
7. Our report as presented consists of a number of separate parts, segregated
under primary and secondary headings, as follows:
Division A. Navigation and commerce:
Part I. Navigation (shipping):
Section 1. Vessels.
Section 2. Voyages by ports.
Section 3. Voyages by drafts and dimensions of vessels.
Section 4. Steamship lines and agents.







10 DOCUMBNTARY HISTORY OF THI FLOBIDA CANAL

Division A-Continued.
Part II. Commerce (cargoes):
Section a. Comparative anlvais of water-borne commerce of Gulf ports.
Sections 1 to 18, inclusive. Tonnage of exports and importsm
Section 19. Comparative tonnage tables of foreign and domestic com-
mares.
Section 20. Water-borne passenger traffic.
Section 21. Water-borne commodities.
Division B. Rates and traffe, including distance and time savings:
Part I. Freight rates and traffic.
Part II. Distance and time savings:
Section 1. Coastwise distance and time saving
Section 2. Trans-AtlanUtic dl (areu A).
Section 3. Pilot ehrt--C laW t ow filing lines
and currents.
Section 4. Pilot chart-North Atlantic Ocean, showing filing lines.
Division C. Vesel operating eosts:
Section 1. Aggregate savings in operating costs.
Section 2. Savings in time and money by dead-weight tonnage groups of
vessels. .
Section Operating costs of vessels.
Section 4. Savings n time by dead-weight tonnage and speed groups of
vess.
Division D. Aggregate savings:
Section Summr tteent of savings
Section 2. Statement of savings on fixed charges.
Section 8. Other miseelanems savings.
Division E. Commodity studies and potential new trade:
Section 1. Paper, pulp, and forest products.
Section 2. Minerals.
Section 3. Agricultural product.
Division F. Comparative -eantages of barge and steamship transport.
Each of these divisions contains not only its appropriate detail but a summary
statement or review thereof as welL Because of its technical nature and volume
an extended and careful study will be required for a thorough appreciation and
understanding of our report, but in the succeeding paragrap of this section an
effort will be made to briefly review the most important and controlling facts and
conclusions
Comunacu
8. First fundamental question.-Reverting to the first fundamental question,
vis: What commerce, present and prospective, will benefit from the construc-
tion of a waterway across the peninsula of Florida? It is to be noted in the
first place that by far the greater part of the Gulf commerce is outbound. The
commodities find their markets either in the American,. Canadian, or European
north Atlantic ports, or in other portw-South Atlantic or Pacific-all involving
overseas voyages t possible for barge traffic. Furthermore, there are no
reliable statistics as to traffic that might be carried by barges, but, even if there
were, our studies go to show that it would be relatively small and of a rather
local or intra-Gulf character for the reason that, in comparison with costs of
transport by vessels operating in the open Gulf, the costs of barge transport even
in the tideless intercoastal waterway along the Gulf coast are such that the barge
cannot compete with the ocean vessel except for shuttle service purposes between
nearby ports.
9. A very detailed analysis of the comparative advantages of barge and steam-
ship transport will be found in division F of our extended report, but we empha-
sise the fact that, while a barge canal will not serve ocean vessels, a ship canal
on the other hand, will serve barge traffic even better than a waterway predicated
solely on the requirements of barge and towboat traffic.
10. Statistics and defnitions.-It is to be noted, in the second place, that we
have found in numerous and various bureaus of the Government rather com-
plete statistics on the gross commiWi of our ports but, unfortunately, these data
ave not always been in full agreement nor have they been so arranged as to
permit of direct segregation between traffic that might profit by the proposed
waterway and that which would not use it in any event. Available statistics
as to cargoes are variously reported in terms of shbrt tons of 2,000 pounds each
often called net (cargo) tons, and in long tons of 2,240 pounds each, often called







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 11

cargo tons or simply tons. Again, for cargo purposes we find the "measurement
ton" of 40 cubic feet for commodities that bulk large per unit of weight. In
fact, we find no less than 13 different units of weight and/or measure, all called
"tons." For the purposes of our report we preferably use the short ton of 2,000
pounds for commerce or cargo, but for navigation or shipping we have adopted
the dead-weight ton, which is the carrying capacity of a ship in tons of 2,240
pounds.
A vessel may or may not be loaded to capacity, but in any event that dead-
weight tonnage capacity represents capital invetment-just as a freight car or
a motor truck, whether loaded or empty, represents capital. Again, it is this
dead-weight capacity that must be moved, requiring crew, fuel, subsistence, and
ship supplies, and enters into the operating costs-although often in an inverse
ratio. That is to say, the lager.t ship the lower the. costs per revenueton.
This inverse ratio explains thd-steady trend toward larger slips and this trend
must be considered in designing or improving any waterway or harbor project.
Before leaving this point we would say that the "displacement tonnage" or
actual weight of the ships would possibly have given us a better measure of capital
invested and the daily operating costs, but it was not conveniently available.
There is, moreover, no fixed relation between the various kinds of ship tonnage.
The large de luxe passenger steamers have a high displacement tonnage but since
they have but little cargo space they have a low dead-weight tonnage. Oil
tankers and ore carriers, on the other hand, may and do have a high displacement
tonnage and a high dead-weight tonnage as well as a high gross and net registered
tonnage.
11. Pr~ent Gulf commerce or cargoes.-Available statistics present this com-
merce under two general headings, namely, foreign traffic and domestic traffic.
The former is again subdivided two ways into imports and exports-or traffic
in-bound and out-bound, respectively. Domestic traffic i subdivided three ways
as coastwise receipts (in-bound) and coastwise shipments (out-bound), and
another group classified as "Other domestic." Therefore, to eliminate duplica-
tions and to determine what part of the commerce might profit by the proposed
waterway, we have supplemented Government statistic by the private records
of shipping companies, and by dint of much arduous effort in assembling, com-
piling, analyzing and finally synthesizing we have arrived at figures which we
believe to be complete and accurate.
For basic purposes we have usqd the statistics for the year 1929 as the latest
year for which complete figures are available. Our studies disclose a grand total
of cargoes loaded and discharged in all the Gulf ports amounting to 83,115,433
short tons. Of this amount, 31,712,335 tons, valued at $821,155,134, were
transported as domestic commerce between ports on the Atlantic coast of the
United States and all Gulf ports except those in Mexico. In the foreign trade
13,462,371 tons, valued at $798,233,872, moved between the United States Gulf
ports and the foreign ports embraced in those parts of Canada, Europe, and Africa,
most directly served by the proposed canal.
12. For convenience that foreign trade region on both sides of the Atlantic is
designated in tlis report as "Area A". It includes all ports of Atlantic Canada
and Newfoundland, of North Atlanti and Baltic Europe, of the Havre-Hamburg
Range in Europe, of South Atlantic Europe, of the. West Mediterranean, and of
the East Mediterranean and the Black Sea. It includes ports in northern Africa
and some ports beyond the Sues Canal.
13. The minimum total cargo in United States trade for 1929 to be benefited
by the canal amounted to 45,174,704 short tons, valued at $1,619,388,906.
These figures are under the actuality, for it was not practicable to contact all
shipping companies engaged in coastwise trade and few of those actually con-
tacted were able to supply complete data on in-bound shipments, which consist
largely of package freight. Data are more easily had on out-bound freights, for
these consist largely of commodities in bulk, as, for example, cotton, petroleum,
grain, and flour. Statistics are not available for Mexican ports, but not less than
1,500,000 tons of petroleum would have benefited by the short route. Other
Mexican tonnage would undoubtedly also have profited, and the grand aggregate
in round numbers would have been not less than 47,000,000 short tons.
14. Potenial commerce.-In that division of this report relating to commodity
studies will-be found*- discussion of-probable future commerce for the 16-year
interval ending with 1945. Independently of that discussion, but as a rough
check thereon, the trade of the Gulf as a whole has been reviewed for the past
10 years. The results are set out in detail in that section (exhibit 349) entitled
82710-6---2







12 DOCUXM TABY HISTORY OF THE FLOIDA CANlAL

"Water-borne commerce of the Gulf ports." For convenience certain portions
of that section a repeated herm:
The following table shows the water-borne domestic and foreign commerce
of the Gulf for each calendar yest from 1919 to and including 1929. This period
covers the rise of (u mmconer.e to tbe 19O0 and 19 peaks and the complete
cycle in between. It will be noted that the expanon and contraction ofbuine
in the country as a whole has had comparatively little effect on the Gulf tonnages ,
which have shown, in the aggregage,n n almost-continuous steady increase.
Foreign and domestic commerce of the United States Gulf ports
ITheM statistam hae been taken from ti annual report of the Chef of Endineers. Local harbor and
riv traei has ban omitted but trade betwn the Gulf ports themselves included in the cotwe
totals. Faumsare in tons o 2,000 pounds]

Foreign trade Coastwise trade
Year Total
Imports Exports Receipts Bhipments

1M -................................... 7.040.41 18,471, 081 7,145.14 34 M33.958 67. 574
...........-----..---........ ....------- 7,410 453 17, 8,470 6,84022 34,041,4547 f,235 2
17.---...--....---... -- -................. 7,084 O 14,014. 37 4711, 1U1 324,.484 B,14. 137
1-----..---......--....-.....--...........--------------------......... 8,742,040 1. 527, 03 8, 018.807 30 .7, 810 0,217,193
Im ............................-------...... 87144 15 Oaa 266 5,7 008 2. 33,7 8 5s 6570e 7
1 90 4 . . . . . . . . . . . . . . . . . . . 49 7 4 0 ,5 3 3 13 9 4 3 3 0 2 4 15 0 2 4 3 0 0% 7 5 0 4 7 4 0 83 8
...............--...........---..-- 9,.33 11,843I11 3,941.16 1l4 M2 42, SM 13
1922.---------------------.............................---........-. II, 871,94 161012 3, 34,73 12 337, O8 40., 38 38
Il..--.---. ..------...... ......------11, 7,43 16,51 t701 ,301, 082 10, 2, s 40,647.507
-------.... ..-...--.--.......--.------------ 14. 16007 1,7,707 12.439,042 40,.83.571
191...---...................-.....-------...-..---......----------. .478,340 12,8848M %.914.23 13S06, 33 3a081,990

Thus the total tonnage handled by the Gulf ports during the calendar year
1929 is 93 percent larger than the 1919 figure, the absolute increase being over
32,500,000 short tons during the period. The small volume of the tonnage shown
as "Coastwise receipts" shows that this increase could not have been in the trade
between the Gulf ports themselves but must have been practically confined to
traffic between the Gulf and foreign countriesqor between the Gulf and Atlantic
ports; or, in other words, to traffic that is interested in the proposed canal.
In the division of this report on commodity studies it was estimated that the
canal traffic would increase by about 26,000,000 short tons during the 16-year
period to 1945, through the natural growth of Gulf commerce, as distinct from
diversion of present rail movement. On the basis of the present proportion
between tonnage for the canal and Gulf tonnage as a whole, this would imply a
total increase in Gulf tonnage during the period of about 37,500,000 tons, or an
average annual increase of 2,500,000 short tons. This may be compared with
the annual increase from 1919 to 1929 of 3,250,000 tons per year shown from the
United States Engineer figures.
The increase in the commerce of the Gulf ports has been astounding. The
commerce of the Gulf has nearly doubled in the period 1919 to 1929, as compared
with an apparent increase in the commerce of the North Atlantic and South
Atlantic ports of 80 percent. Actually the increase in the Gulf trade as com-
pared with that of the Atlantic seaboard is greater than these percentages would
seem to indicate. The main increase in the Atlantic coast tonnage has come
under "Coastwise receipts" and "Coastwise shipments", through a large develop-
ment of short-haul transshipment trade of no great economic significance. For
instance the enormous petroleum refining and storage business that has developed
around New York and Philadelphia results in what is essentially a tonnage dupli-
cation of great magnitude, in that oil is received from the Gulf, California, or
Venesuela, with one listing of the tonnage; it is stored or refined and a shipment
made to a second Atlantic port, probably only a few miles away, and the same oil
Is thereupon shown as a shipment from the first port and a receipt at the second.
In essence, the same shipment has been counted three times.
15. A comparative analysis of statistics will disclose that the Gulf ports
receive credit for about 26,600,000 short tons of petroleum products, but by
reason of rehandling in Atlantic ports, credit is given for the same petroleum
amounting to nearly double this figure. For 1929 the net priiary reeeipts in
Atlantic ports from foreign fields and from California and the Gulf field amounted
to 41,000,000 short tons. But the total movement, including foreign imports and






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


exports, domestic or coastwise receipts and shipments, amounts to 87,164,000
tons. Of this gross movement 47,012,000 tons can be definitely earmarked as a
long-haul primary movement; and the remainder, 40,152 000 tons, is a shuttle-
service movement between ports on the Atlantic coast. It is thus analogous to
the ouastwile4adeRbetween the Gulf ports themselves but is far greater in volume.
However, if this intraregional traffic be eliminated in both groups the real increase
in Atlantic coast commerce during the period would have been about 40 percent,
while that for the Gulf would have been about 80 percent.
16. The increase in Gulf trade has relatively been much greater than that of
Atlantic coast trade. It is clear that an ever-increasing portion of the primary
traffic of the country is passing through the Gulf ports. The increase in the
Gulf shipments of petroleum, cotton, wheat, flour, sulphur, and manufactures
has been particularly notable, and there is a pronounced tendency for the Gulf
ports to attract these shipments against whatever competition is offered. The
ississippi-Missouri and Ohio Valleys route larger and larger portions of their
commerce through the Gulf ports year by year.
17. The tonnage of exports from the Gulf (18,500,000 short tons) was nearly
equal to that (19,400,000 tons) from all the Atlantic coast ports combined, and
the coastwise shipments from the Gulf were nearly three-fifths as large as the
coastwise shipments from the Atlantic ports. The value of cargo exported from
the Gulf in 1929 exceeds the value of both exports and imports of all of our
Pacific coast ports, and it was more than double the value of the foreign trade
of the South Atlantic custom districts from Maryland to Puerto Rico, inclusive.
The value of the Gulf exports alone for 1929 was practically equal to that of the
total water-borne exports of the entire United States for 1899, only three decades
past.
18. The Gulf. ports are weak in the import trade, but an upward trend is
manifesting itself and should increase as conditions for overseas movement as
well as for internal distribution are very favorable through the Gulf gateway.
Attention is invited to the detailed information contained in division B relat-
ing to freight rates and traffic movements and to the maps illustrating condi-
tions.
19. It may be asserted that about 42 percent of the total coastwise and foreign
commerce of this country consists either of direct primary Gulf commerce or of
reshipments of commodities originating in the Gulf. As these ports improve
their facilities for -handling, for collecting, and for distributing traffic, as they
enlarge the areas naturally tributary to them in a commercial sense, the per-
centage of the total traffic will increase and, pari passu, the benefits to be derived
from a ship canal across Florida will increase.
20. On the basis of figures for 1929 the cargo tonnage of the Gulf ports is
equivalent to 23 percent of the total foreign and domestic cargo of all United
States ports and is equivalent to 25 percent of all cargo exchanged with foreign
countries; and 35 percent of the export cargo tonnage of the whole United States
is credited to our Gulf ports. The records of actual cargo movements between
ports show that the potential cargo for the canal for 1929 greatly exceeds the
total inbound and outbound commerce of the Gulf ports for 1920, and it is nearly
23 times that of all Gulf ports for 1910. It is likewise 2% times the average
annual cargo tonnage transiting the Panama Canal for the first 15 years of its
existence (1914-29). Sixty-two percent of the ocean-borne tonnage of all the
Gulf ports is potential cargo tonnage for the canal.
21. Elsewhere in our report will be found a very detailed study of savings in
distance and in time but it appears appropriate to state here that by reason of
the shorter sailing distance afforded the larger part of the Gulf shipping, the
eanal, had it been available in 1929, would have effected minimum cargo ton-
mile savings on water-borne commerce to and from Gulf ports as follows:

Nautical Nautial ton-
mim lesaved mile saved

On in-bound shipments to Gulf ports from United States Atlantic ports---..... 1,341, 070 1, MS365, 67, 811
On out-bound shipments from Ouf prt to United States Atlantic ports._ 1,313,286 11, 87, 85 273
On in-bound oreogn ommnom to Oau ports-.............................. 43,5 31, 20
On out-bound foreign commerce from Gulf ports...---...--..-----....-----. 4,54l 4 l,723, s
On al comneroe to and from Gf port...------......---------------- 3,654, 6 17,6 079,468







14 DOOCUMMETAY HISTORY OF THE F LOWRA CANAL

Minimum potential tranust time savings to vessels that the canal would have
effeted for the calendar year 1929 are a follows:

Item Ho
atsd syad
Iad to United States o orts k United tates Atlantis ports...... .. 13m 1,8 462
POust-had tm United 8tat u arts to Ted States Atlantil ports7--. 73S0 2,126
lb-hind to Modes, MeM l l tad 8Ntates Adtoist parts...... --- a 14
ouemabond km 3m 6 as eato i st"s A1ttn s ---- on. s
12amad to Uwted GulfPrts m E "pe sam ------.-------- 38 272 1,=
Outbomnd ktom United States olt ports to B anrope a C-anada. .. --4--- 747 1, 44HT
S Todl (or a s dhp-yrms total t t time aig).......................... 2,88 m Ii,

In other mods, te traffic for the year could have been handled b a fleet
wxfijs***I th~nwtbeh4e00 be t ,t hly handh-it, mosuming that the. 32%
vessels were ege solel in thm 618

NAIGArTION
22. The second fundamental question bearing on the economic feasibility of a
trans-Florida ship canal has been stated to be: "At what cost does the commerce
now move, and at what cost will it move after the improvement is effected?"
The difference in these two costs is obviously the direct measure of the investment
value of the waterway. But the determination of that difference requires a
study of all the ships that earry the trade, their present sailing lanes and distances,
and their operating costs. It neessitates a determination of the distances via
the proposed waterway, the permissible speed therein, and the savings in time,
f any, via the new proposed routes in comparison with the existing routes.
23. Number qf sases and soyapss.-In 1929 there were 25,826 different vessels
in the United States merchant marine-so-called American-flag vessels. Of
these, 14414 vessels were in the Atlantic and Gulf trade and 4,865 vessels were
registered for the foreign trade. Our foreign commerce is carried also in foreign-
flg vesels, and in the foreign trade alone of the United States 5,221 different
vewss sw le m d. Thayntsd and Alaed-that isn they.arrived and de-
parted-59,543 tmes. The number of domestic or coastwise arrivals and
departure is much greater, and according to the annual report of the Chief of
Eniner appears to have numbered not less than 234,680 items; that is, inbound
and/or outbound. From this vst list of vessels, entrances, clearances, arrivals,
and departures it was determined that 1,971 different vessels entered the Gulf and
made separate voyages, either inbound or outbound. Of the 1,971 different
vessels entering or leaving the Gulf 1,487 vessels could have used the canal to
advantage for a total of 10,341 voyages, either inbound or outbound.
The information is summarized in the subjoined tables:
TABLS I.-Potential transit, Gulf-Atlantic ship canal, calendar year 1929

Registry Number weight
______________________ tons
(a) Voy between Gulf ports and ports in re A:
A---....................................................... --------------------------------------------------- 9,
rFonts Tels.........-...---........................-................ 2,067 17, 8,S'77
Total....--- ---....................................................---------------------------------------------------5 0
(b) V between Gulf ports and Atlantic ports of the United States:
Am Tendi -l-...............---.......................................... -,418 B,14,708
Fonts Tomb ...... ----.....------------------------------------------- M 4,725616
Totl----------..--..-.......--------------...................-----------------............................... 7, 08 8 1
(c) Total voyage n and out of Oulf ports of the United State:
American esels-...-..............------------.................... ...... 7, 64,914,01
Foreign Tes --l.....--.......-...--------------.... ............................... ,872 as,70,4
Total.....................................--------------------............................... -------------------------------10,08 87,2,94
(d) Vocbetesn Mexico and Atlantic ports of the United States:
2Alera n ni*........................................................... 224 i2,000,708
r ...........------------------.........................................
Totalcd..................................--..........---- ............. .... 2,614,01
(s) Orand total, aDl 192 potential voyagM:
AmartTen vels----------------------.............-----------------------............................... 7,810 WSWto, b
ioregm n els...........................................--...-........- 2.-1 I ,
Total...............-------------.-------------------------- 10,341 04,U4 a4
Nors.-Aerage cnal transit, 28 per day.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 15

The corresponding potential carg o-tonnage and value-is summarized in the
following:
TAtBL II

C ton-
,A=.. dI CrWs Yiu
2,000pounds)

Import. .....--.. -- -----...... . 9K7M $Vm51.M37.1.f88
xpors.....~........... 12, 4, 445 764, 2M
Total, gn........................................................ 13,46 37 7 3.87
Co atwas r-aipt --........-.-..................................... 97.018,614
Comatwis hpm ................................................. .. 17 355 72 18, 520
Total, twi....................................................... 71 333 821155134
Total, all cargoes -----------..............................---- 4, 174, 704 619. 88, 90

The principal features of the two preceding tables are repeated in the following:
TABLS III
-t ....-----------------------------------------. 10, 341
tons. ---- --- --....................... 90,134,435
Gros registered tons-----.--------.-----------------.... 61, 473, 998
Net registered tons...--..-----.--.--------------- ... .38, 545, 124
Cargo (tons of 2,000 pounds)---------------------- ------ 45, 174, 704
Cargo value------------------------------ ----- $1, 619,388,906
A comprehensive detailed exposition of the shipping or navigation concerned
with the canal and a complete analysis thereof will be found in division A of the
report and the several parts and sections of that division.
24. Draft of vessels.-To determine the necessary depth, width, and curvature
of the waterway the vessels in the Gulf-Atlantic trade which would have occasion
to use the canal have been classified according to draft, ranging from a maximum
of 34 feet loaded down to 20 feet and under. Only 11 vessels, or approximately
1 percent of the total, had a maximum draft of over 30 feet; but, on the other
hand, 1,178 vessels, or 80 percent of the total number, are included in the draft
bracket ranging from 24 feet to 30 feet depth, inclusive; and 50 percent of the
total number have a loaded draft of 26 feet and over.
On the basis of voyages, 96 one-way trips, or approximately 1 percent of the
total, were made by vessels having a maximum loaded draft of 31 feet or over;
but on the side of the lesser.drafts, only 1,541 trip, or approximately 15 percent
of the total, were made by vesses drawing less than 24 feet. In other words, 84
percent of the total number of voyages were made by vessels having a full loaded
draft of not less than 24 feet nor over 31 feet.
The foregoing figures thus indicate the requirements of the channel in respect of
d5 Beam of veselse.-In relation to width of the canal, the vessel analysis
shows 35 percent in number and 45 percent by dead-weight tonnage in the groups
exceeding 55 feet in beam; but 79 percent in number and 89 percent by dead-
weight tonnage have beam dimensions of 50 feet and over. Taking into con-
sideration the necessity for passing space between the vessels, and space between
the outer side of each vessel and the canal banks, the foregoing figures serve to
indicate the minimum width of channel.
26. Length of vessels.-According to the length of vessels, 53 percent in number
and 63 percent by dead-weight tonnage are between 400 feet and 600 feet in
length; but 82 percent in number and 90 percent of the tonnage are over 350
feet, but not over 600 feet, in length. The greater number of voyages are made
by the larger ships. Sixty-one percent of the voyages and 73 percent of the
dead-weight tonnage are embraced in the group of vessels having a length of 400
feet as a minimum and 600 feet as a maximum.
27. The foregoing figures will serve to indicate the necessity for long sailing
tangents with rather small angles of deflection between them and with the
channel cut to rather wide dimensions at such angles, commonly called curves.
It should be noted that there is a pronounced tendency toward more capacious
bottoms, the increase of size-particularly for cargo carriers-being in the matter
of length and beam rather than in depth. However, as a matter of structural






16 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

necessity-since vessels are really built on the principle of a trussincreased
length necessitates a certain proportionate increase in depth, and in determining
the alinement of the waterway these factors as to future increase in size of vessels
must be given careful consideration.
28. sipe of radds.-To etl ethititre savitrg in point of 'lling dltanee and
hence in point of time a study has been made of the operating speed of vessels.
In this respect it is to be observed that of the 1,487 vessels in the Gulf trade 669
were of American register and 918 were of foreign register. The vessels in the
American group were generally slower and therefore would benefit more greatly
by a short cut out of the Gulf, particularly as they made 7,386 of the total number
of voyages, or over 70 percent. Of this American group, only 60 vessels, or 10
percent of the total, moved at a speed of 12 knots or better, whereas in the foreign
group 210 vessels, or over 22 percent, moved at the higher speed. Of the American
et, 488 were in the speed bracket of "10 knots and under 12 knots", but 586
vessels of the foreign fleet were so classed. Seventy-two percent of the whole
number of vessels fall in this bracket, and on the basis of actual voyages 10.5
knots appears to be the average.
This factor of speed bears an important relation to the benefits to be derived
from the trans-Florida canal.
29. We have assumed a speed of nearly 7 knots (exactly 6% knots) in the canal
proper, which, for a vessel having a 10.5-knot speed in the Gulf or the Atlantic
represents a reduction of 3.6 knots, or a los of 333 percent in opelting;spd
through the canal. On the basis of 19 hours necessary to transit the waterway
this loss amounts to but 66.5 nautical miles; for a 12-knot vessel the loss amounts
to 5 knots, or 42 percent; and for a 14-knot vessel the speed through the canal
reduced to one-half the normal speed the loss of distance amounts to 136% nautical
miles in 19 hours. It appears that for the ordinary commodity freight vessels of
10 to 11 knots are the most efficient-that is to say, they operate at the most
economical rate per ton-mile and can accord freight rates more favorable than
those to be had by vessels operating at higher or lower speeds. Since this class
of vessels represents the greatest percentage in both number and dead-weight
tonnage, they are entitled to the major consideration in matters of design of
waterway and in computation of savings or benefits.
30. Our report contains most elaborate and complete data on the shipping of
the Gulf. Various exhibits set forth facts never heretofore available, particularly
in respect of the vessels engaged in the Gulf-Atlantic coastwise trade of the United
States; and, in addition, the report sets forth data never heretofore assembled
in a concisely convenient form in respect of the foreign trade of the Gulf and that
trade region which we have designated as "Area A." This foreign trade region
is by far the most important in respect of the foreign trade of the Gulf ports.
31. Speed in relation to distance between port determines the time, but
savig by reduction of time consumed in travel can only be determined with a
knowledge of operating costs of vessels. Elsewhere in this report there is a
detailed analysis of the distance and the sailing time for vessels of various speeds
operating between the various ports in the Gulf and various ports throughout
the world. In the calculation of time, full consideration has been given to the
effect of ocean currents on vessel movements. The Gulf Stream, for example,
markedly increases the speed of vessels eastbound out of the Gulf, but tends to
retard the speed of vessels west-bound. In fact, to eliminate or reduce this re-
tarding effect vessels west-bound avoid the Gulf Stream whenever practicable.
2. On the basic of calculations made at our request by the Coast and Geodetic
Survey we have assumed a fairly direct line for a canal across the State which,
if rigidly adhered to, will afford a distance of about 130 nautical miles between
the head of the harbor in Jacksonville and deep water (30 feet) out in the Gulf.
Our calculations are based on an average arbitrary speed of 10 knots in the sea
approach and in the St. Johns River, and 6% knots in the canal proper, together
with an allowance of 1 hour for lockages assuming a lock canal. On the basis of
these assumptions we have calculated the distance and the sailing time between
the various ports in the Gulf and all the ports in the world located on shipping
lanes which would undoubtedly be shifted to the canal were the same constructed
on an efficient plan. With the assistance of the Research Bureau of the United
States Shipping Board, we have been enabled to determine the average operating
costs of all vessels of various dead-weight tonnages, and with these factors of
distance and speed producing a time factor and the operating costs per hour we
have been enabled to compute very precisely the savings that-would accrue from
the use of the waterway such as we have assumed. Details of these computations
will be set forth elsewhere, but without elaborating further thereon at this time
it may be stated that the data assembled indicate:







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


First, a waterway affording a bottom width of not less than 200 feet, with suit-
ably sloping banks and with underwater berms in order that vessels of 60 to 60
feet in beam may meet without undue danger of sheering.
Second, a waterway affording a usable depth of 33 feet, in order that vessels
having a loaddalt.*aterdaft of 0 fdet may ttmiht the escal. Allowaeen mst
be made for the lower density of fresh water and the corresponding increase of
draft. To accommodate all vessels in the Gulf trade the depth would have to
be not less than 38 feet.
Third, a waterway as short and as straight as possible, to permit of rapid transit
and to insure a maximum of use and benefit. Elsewhere in this report it will be
shown that the elements of time and distance in relation to the large number of
vessels and in relation to the ton mileage is so great as to fairly justify the higher
first cost of construction involved in an alinement on long tangents with small
angles of deflection or easy curves, even though this alinement will necessitate
a gross yardage of excavation greatly exceeding that which might result from an
alinement following the lower and more circuitous valley lines.

SAVINGS IN DzsTraNc, Tutz, AND MONET
33. In calculating the savings in operating costs of vessels that might have
used the canal had It been available in 1929, the costs were primarily estimated
as for cargo vsels on the bsis of the efficaligures of the United States Shipping
Board. These cost figures are roughly on a tonnage basis, and are indicated in
the next succeeding table:

Operatng Operating
Dead-weght touna groups Dead-weight tons oats per r
bour for
tankers

Group 1-......----......... ..-------.. 12,000 and over..-....- ...--. 371 $22.92
Grou ...p-...-..........--------------- 10000 to ll......-------.. .. 19.17 22.08
Group --..... .-----...-....----. ....-.----- 9,000 to 9,-------.. ---..-.. 17. 63 18.79
op...--...-----------.....--.......----- .. 9,400 to ,--............----- 17.00 1879
Group ---.......................................... --------------------------8,00 to 9,3----------...............----- 18.33 ............
Group --...-....----.. ----........ ----....---- 7,9W to ,-----.............. 183 .--....-
Group 7...----.........--.--.. ........-- ...-- .. 7,00 to ...........---- 18.17 .........
Group 8--....--..--........---- ---...----- Under 7,00....--....--.... 1.83 ............

34. The next succeeding table is a typical illustration of the distance savings
to be accomplished by the proposed ship canal between ports on the Gulf and
ports in the South and/or the North Atlantic. The distances are in nautical miles:

Out-bound from Gulf In-bound to Gulf
to- frm-
Gulf ports
Jackso New York Jackson- Nw York
vine villn

Penssolh........................................13 481 958 46
Mobile..............-.................................. 462 579 449
New Ore------------.......................------..--............---....------------. 0 398 515 386
Beumnont---------................----...............-----------------------......... 04 372 489 350
Houto.......................................----.-- 372 489 359
Corpms Christ...----..--------... -------------. 48 336 453 325
Tam.........------..-... -----.---.... ...----. 451 24 441 311
Tamploo, Mexico................. --------------- 330 207 324 194







18 DocUMENITARY mIsTOY OF THE FLOIDA CANAL

35. The next succeeding table is typical of the distance saved between ports
in the Gulf of Mexieo and those in northern and southern Europe:


And-

Nrtm rn trop il Southbbrn AUortpe.
udnh Nort AMea. ad the
Isile reaobed No esta, readn
Between- ie te -tt of
ml the Ce86 (nanmind sies
umies Ted)

Out-bound In-bound Out-bmound In-bound
froum GnU to Gulf fom Gulf to Gulf

New OrOea..-........................-............. -71 3 a7 200
Houston Galveston, and Sbinr ports................. 28 20
Corp- Christi ..-....-...-................-..... 0 273 205 207
oi ........----------------------.... ....... --....-------------... 43 W 331 333
Poamel............................................. 454 418 30 32
Tampsa ..-....-.................................... 31 279 211 213


36. The next succeeding table is a typical illustration of time savings in
round-trip voyages to be accomplished by the proposed ship canal between
Gulf ports and United States Atlantic ports:

And-

Round trip betwen- Houston Oe Mobile Tamp
(days (days (days
saved) sad) saved) saved)

New York:
Vessl speed 8 knots....-....-- ........------ ........-----. 4
V speed 0 ots--......---...........--- .----.---2% 3 2
Savannah:
V l speed 8 knots-.....-....-.....--..............-... 4 4 3
Vmel peed 10 knots....----------.---.------------------... 2% 3 3% 23
Jksonville:
Vesel speed knots------------------ -------------------- 8% 4%
Vel speed 10 knots... ...-- ........---.--... 3- 3% 4% 3


37. The next succeeding table is a typical illustration of time savings in round
trips accomplished by the proposed ship canal between Gulf ports and foreign
ports:


And-

Round trip between- English Strait of
Channel Gibraltar
(tim (time
saved) saved)

New Orleans: Doae Deas
Ven l speed of 8 knots........................--------.....--......---- .... 2
Vessl speed of 10 knot.......---..........-- ...................-- ....-- 2% 1
Oalvestom-boasto poup:
Vesl spmd of8 kots. -----------..-.......-------..... ... --------... 3 2
Vewsl sped of 10 knots-..---.....---.... ------.--..--- ..--. ...-..-.-- ..- 2 1
Mobil:
Vesel speed of knots-..--.....................................-- -- --... 3
Vel speed of 10 knots------------..... ...---------... --------------------. 2 2
Tamps and Cors Christi:
V speed of ts knots -----.- --------------.. -------------------------- u 1%
VeMl speed of 10 knotst--------------------------------------------







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 19

38. The next succeeding table contains information as to time and money
savings based on the dead-weight tonnage groups, as follows:
(a) Al voyages from Atlantic ports of the United States to Gulf ports of
tbe.U adnitStates,n-bou voand a Kag _aving.(36. s). $694
(b) All voya'es from Gulf poirt o the Umited Sttes to Atlantic ports of
the United states, out-bound, per voyage, average savings (22 hours) 419
(c) All voyages to the Gulf ports of the United States from ports in foreign
trade area A, in-bound, per voyage, average savings (27.5 hours).-- 507
(d) All voyages from Gulf ports of the United States to all ports in foreign
trade area A, out-bound, per voyage, average savings (21.1 hours)--- 385
(e) All voyages to Tampico, Mexico, from ports of the Atlantic United
States, in-bound, per voyage, average savings (24.3 hours)..--...---.. 471
(f) All voyages from Tampico, Mexico, to ports of the Atlantic United
states, out-bound, per voyage, average savings (6.8 hours).....--.- 137
Nors.-Data for Meican ports is very ncomplete, beag based on partial research and ilsufBcint
statistics.
39. The next succeeding table is a summary derived from data hereinbefore
discussed and shows total saving in direct operating costs of vessels based on the
assumed use of the proposed ship canal for the calendar year 1929:

In-bound Ot-bound Combined
to Gulf fom Gulf In-bound-
ports parts oat-bound

from parts of Atlantle United States-..-........--....------ $2,0 ------- .----
To port of Atlantc United State.........-----. .......-......-....-- $1,432 843 $3, 91,341
From parts orign trds r A..--..- -- .......------- ..---00 ------- --------
To port eign trade ar A ...................---.. ......... ------- ---- 632.10 1.338,110
Total for Gulf parts oUnited tt..........----------------- 3,211,9 2067, 43 5, 27 451
Between parts of Ut Atlantie United States and Tampilo, Mexico,
(partial, incomplete).----------..---.----------------------- S9,250 1g50 87,819
Total...--......----------------------......- 3,281,257 2.0.6,013 5.367,270
Combination p ssenger and freight vessels---..-............................................... 48
randtotal---------------------..................................................------------------ ---..............---------.......... 61.74

FLoATNGo PLANT InvnarXrT N
I. nIXID CHAROGB
40. Acive fleet savings.-Calculations of vesel-operating costs have been based
solely on the wages and subsistence of crews, on the costs of fuel, ship supplies,
and stores, repair, and hull insurance, omitting entirely the capital costs, carrying
charges, obsolescence, taxes and general overhead.
Various factors, prinipally the class and the speed, enter into any estimate of
construction costs, but conservative average valuations of the vessels concerned
in our studies may be stated as follows:
TaBLz I
(a) Combination freight and passenger vessels:
14 knots and over---------------------- --------- $2,000,000
12 to 14 knots ------------------------.------ 1, 500, 000
(b) Tankers in petroleum trade:
12 knots and over ---- --------------------. ---. 1,500,000
Under 12 knots.---..--. ------------------------- 1,200,000
(c) General cargo vessels:
Coastwise trade, all speeds-------..-..-------..------ 900, 000
European trade, all speeds....--.....--...-------.----------- 700, 000







DOCUMU3NTARY FUSTORY OF T"E FPORDA CAwAL


41. Fixed charges on the foregoing elases may be summarized as follows:
TaaLU II

Combl-





&moreoera le rte. t .
m~-eM s ri s e
Mwi tradW T*-1w


Ajmoatrpttn ar r6pl.67 3t'...-..--..- ........ I
Oarwhsd md bu iK...... -...-....-................... 3 2 2
TOtrhal 16.d 3.r.a6dmf7t5a.n..................... 2

1 Amcrdifg to ndato d y ac athlti, tbh orra.vYe eOet on petroleum taerL wR rer
A bse ars t S ahlr D rlntslu eoe of L.7 prnat pr yew. Aoording to thse atbortlie thi is
nimorr, alow t.

For certain vessels additional charges seem to be warranted, as follows:
(1) An additional 7 percent on vessels in the sulphur trade, due to the excep-
tional corrosive action of the cargo.
(ii) Additional interest, taxes, overhead, and amortization on refrigerating
equipment for combination fruit and passenger steamers, amounting to about
22 percent on a valuation of $27,000 (equipment only). The percentage is high
due to the fact that the insulation and refrigerating equipment have a. much
shorter life than does the ordinary ship hull and machinery, so that amortization
costs are considerable.
42. Applying the fixed-charge percentages in the last preceding table to the
ship valuations in the first table, the annual and hourly costs result as set forth
in the following:
TAnBL III

Annual Hourly
Speed chra c

(a) Combination freight and peamser vesels:
14 kno sa over-...--..............--- .......................---. ... -----0 13S.33
12 to 14 knots......------------.....-- ....-- ....---...---- -..--...-- 000 27.40
(6) Tankl In th petrolem trade:
S---.... --............-- ..-- ..--....--...--....--.... --------- 00 3L 9
Undr 12knot---------------- ----------------------------- 2K0 26
(0) Gem"nujlee7 ml.
n ... .. -----........... ......---..........--..--...-.. s o -41
Tr.r-At atle (aver 10 knots). .-.-.. ----- --...~~---.....-. 1046000 11. 9
(d) Veke In lpbur trade All spees (vore 10. knots)------- ----1 0 2Oo 260


43. Applying the foregoing hourly fixed barges to the number of hours deduced
in the tables of time savings for 1929 the resulting saving in fixed charges over
and above the savings in actual vessel operating costs amount to $6,419,419.
A summary tabular analysis is contained in division D of this report (exhibit
603).
44. Reserve fleet avings.-The savings in fixed charges discussed in the preced-
ing paragrphs have been determined on the basis of an active fleet, all vessels
operating al the time at full efficiency. It is obvious, however, that to permit
of a periodic and necessary overhauling vessels and to meet the peak-load require-
ments there must be a certain number of replacement or reserve vessels. The
longer the run or "turn around" between ports, the greater must be the number
of vessels continuously in service for a given volume of tonnage and the greater
must be the number of vessels in reserve. To be conservative, we have assumed
a reserve fleet of only 10 percent. On the basis of the savings in operating costs
($5,615,700) and the savings in fixed charges ($6,419,400) heretofore deduced to a
total of over $12,000,000, this 10 percent for reserves would increase the total by
$1,200,000 per annum; but this is out back to $920,000 per annum to allow for the
lessened operating expense while vessels are in an inactive status.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


45. Bunker versus cargo oil.-With the shorter' voyages through the canal
between originating Gulf ports and discharging Atlantic ports, tankers will require
less fuel oil and the revenue cargo will be increased. The benefits per annum
have been evaluated at $71,000.
II. CAReO INVaSTMENTr ACTOBe
46. Cargoes in transit between ports are in an unproductive status but repre-
sent in the aggregate enormous capital sums on which interest and insurance
charges must be paid. The cargoes themselves suffer depreciation in quality
which is in effect a loss of capital. Through the reduction in time of transit to
be effected by the proposed ship canal, savings in in.erst payments and insur-
ance premiums should be secured. Merchandise may leave selling markets
later or arrive in buying markets earlier; capital will therefore turn more rapidly,
of for the same aggregate "returns" less capital will be required, Since the value
of Gulf cargoes was approximately $2,000,000,000, and since the average saving
in time of transit via the canal would have been at least 1 day, the savings in
interest charges at a simple 6-percent rate would have been $333,000.
47. The insurance on cargo computed at the minimum quoted rate on a mileage
basis would have been not less than $286,000. This amount is placed to the credit
of the project on our estimate of savings. On the basis of gross premiums actually
paid for marine insurance in 1929, amounting to not less than $80,000,000 on all
the commerce of the United States, this trifling figure of $286,000 must be far
below the isvings thatshould justly be credited to the canal.'
48. One other cargo factor enters, namely, the loss of gasoline by reason of
evaporation in transit. Through a shortemng of the voyage and by reason of
the lower temperatures attaching to a voyage through the canal the evaporation
losses now attending the traffic through the straits would be reduced by $202,000.
III. MAINTENANCE CHARGE~
49. Our initial researches pointed to a marked reduction in the rate of corrosion
on tankers and other vessels by reason of the reduction in time during which
they would be subject to the warmer waters of the Gulf and Gulf Stream, and
also by reason of travel through the less corrosive fresh waters of the canal-
assuming a lock canal. This same line of reason would apply to the growth of
barnacles and sea-moss on the hulls of vessels. These growths are destructive
of travel speed, necessitate frequent drydocking and consequent expense. The
pertinent data and deductions were predicated on observed effects on the vessels
using the Columbia and St. Lawrence Rivers to the ports of Portland and Mon-
treal, the Mississippi River to New Orleans, and the effect of the fresh waters
of lake Washington at Seattle.
50. Upon completion of the commodity study on petroleum, in which these
effects were discussed, it was submitted to persons engaged in the operation of
tankers, who advise us that the factors bearing on corrosion of oil tankers have
not been definitely determined, that the effect of 1 day per voyage in the fresh
waters of the canal in elimination of growths on the hulls of vessels is somewhat
uncertain, and that, in consequence, our estimated savings in maintenance factors
(Exhibit 601) cannot now be thoroughly substantiated. As set up, these esti-
mates amount to $2,080,000 and are admittedly an approximation. They may
be discounted without seriously impairing our estimates of the annual savings
or benefits to be derived from the construction of the waterway.
51. A summary statement of savings that could have been affected by the
proposed ship canal on the actual Gulf water-borne commerce that passed through
the Straits of Florida during the calendar year 1929 is presented in the following:
TABLa IV
I. Savings in operating factors:
(a) Saving in operating costs of vessels..----. $5, 615, 700
(b) Saving in fixed charges on vessels.------- 6,419, 400
---- 12, 035, 100
(c) Reduction in number of reserve vessels --- 920,000
(d) Reduction in tanker tonnage devoted to un-
productive weight; i. e., the carriage of
fuel for the vessel; this results in larger
productive cargoes and less voyages---.. 71,000
991, 000

Total----....----....................-..-----....-........... 13, 026, 100


. 21






22 .DOcux mTARY STORY or THzE FLnm CANAL

TAum IV-Continued
II. Savings in crgo factors:
(a) edition in prent evaporation
1a Ut u; shctng.oftwa------ 0 400
(6) Interest saved on cargo in tran~it. -- 333,000
SInsurance saved on argo, assuming that
this is levied on a mileage bis-- -- 286,000
$821,400
III. Savings maintenance factors
() ving in tanker corrosion --... .---- 530,000
) Saving in corrosion on other vesselsa----- 150,000
) Saving due to elimination of barnacles and
ship weeds by fresh water of canal-..... 400, 000
2,080, 000
Grand total ......-------- ------ 15, 927, 500
3CAlITULAW'ION
I Saving in operating eost factors ----82------- ------- 13,026,100
IL Savings in cargo cost factors ---------.............-- 821,400
Partial total .------------.. --------.. ------.--.... 13,847, 500
IIL Savings in maintenance cost factors....---.------. ----.. 2, 080,000
Grand total estimated savings__------------------ --- 15,927, 500
COMMODrrr STODInS
52. A review of the foregoing will show that the estimated savings are based on
the water-borne commerce of the Gulf ports as it actually existed in the year 1929.
Much additional tonnage might well have moved by water that did not actually
so move. Still other tonnage certainly would have moved by water under the
advantageous conditions that would have been afforded by an efficient ship
canal aeros Florida. For the purposes of this report special studies have been
made of this potential commerce for the anal. These researches relate to the
principal commodities of the Gulf trade, and under the general title of "Com-
modity studies" are set out in division E of this report.
53. The tonnage and the value thereof that might have moved but did not,
and he movement that would have been stimulated by the waterway had it been
in 2 lt0 mrbeIelaIlboed h ~ dBrti nee ateguaiaias "Possible", "Probable",
and "Highly probable."
A summary tabulation will be found in division D, exhibit 607, for 26 separate
epmmodites including coal, petroleum, phosphate, pulp and paper products,
lumber, cotton, four, sugar, and 18 others. The tonnages and values are as
follows:
Possible (1,060,000 tons) --------------- ----------------- $68, 000
Probable (6,990,000 tons).------------------------------- 776,100
Highly probable (2,789,000 tons)---------------------- ---- 3, 12, 000
Total (10,779,000 tons) ----------------------------- 7, 538, 100
54. In addition:
The increased passenger traffic benefits are evaluated at----------......... 960, 000
New business m phosphate mining, stimulated by the improved trans-
port facilities and replacing Moroccan phosphates, is estimated at--. 1,169,000
The grand aggregate benefit by reason of new water-borne
traff thus amounts to----------...-----.-------.----- 9, 667,100
55. The totals do not include possible tonnage movements of sand, gravel,
brick, stone, and oyster shell in local trade. The item of possible movement by
water of additional Alabama iron and steel to Atlantic coast ports, through lower
freight costs afforded by the canal, has not been included; nor has any account
been taken of a lrge tonnage in scra-iron-and-other commodities likely to pae
through the canal from South Atlantic ports to the Orient. There are grounds
for believing that this tonnage might be considerable.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 23

POTENTIAL FUTUMR COoMM3BC
56. In.connection with our commodity studies a painstaking effort has been
made to estimate the growth f the waterwborne commerce of the Gulf for the
period'terminathg'wtth the-yegrtSr~ 8 The ethnwtemre-baedan thexpeted
normal business increase, and the tonnage estimates are entirely separate from
the increase in potential canal tonnage that might be occasioned by the estab-
lishment of new and more economic transportation facilities between the Gulf
and the North Atlantic. The tonnages being considered in this connection are
not how in existence for transportation by any present means whatsoever. A
rather detailed tabular summary will be found in division D, exhibit 608, of our
report; this tabulation being based on the discussion of the various commodities
themselves which will be found in that division of our report entitled "Com-
modity studies", being division E.
These estimates of potential tonnage are predicated on such important com-
modities as coal, petroleum, fertilizers, phosphate, sulphur, paper and pulp prod-
uets, naval stores, canned goods, citrus fruit, tung oil, a~d other.commodities to
a total of 23 separate items. The tonnage and the savings have both been esti-
-mated uder-tro-categories, vis: "Pssible" and "probable", and the totals am
as follows:
Possible tonnage (1,600,000 tons), valuation--.....----------- $2, 014, 100
Probable tonnage (25,225,000 tons), valuation .-------.--------. 11, 324, 917
Total (26,825,000 tons), valuation--------------- -13, 339, 017
Estimating on the basis of traffic of 1929, the number of additional
vessels necessary to carry the traffic which is expected to develop
by 1945, and making thereon the allowance for reduction in num-
ber of reserve vessels permitted by the use of the canal in com-
parison with the number that would otherwise be required for
traffic via the Florida Straits; and making allowance also for
other incidental savings along the lines set forth elsewhere in this
report, there may be added to the above total savings the sum of- 1, 000,000
Grand total aggregate of savings---------------------14, 339, 017
INDIBRCT BNMFITS BY ABDUCTION OF COMMODITY PRICES
57. A detailed review of the commodity studies will reveal that in certain
respects the Gulf commerce competes seriously with that from other regions in
the Atlantic coast markets, and sales are determined very closely on the basis of
prices. These studies also reveal that the proposed canal will enable the Gulf
commodities to be marketed with profit at prices lower than now possible by
existing transportation media. Assuming, then, that the laws of supply and
demand will continue in fall operation, the sales prices of Gulf produets-will be
reduced to correspond to the reduction in transportation costs. Commodities
from other regions must either meet these price reductions or wholly vacate the
market. The commodity studies, as indicated, contain a discussion of these
features which are summarized further in exhibit 609. These indirect potential
benefits have. again been divided into two general classes, one being estimated
(rather than computed) on the basis of known facts, and the other being more
definitely calculated on the basis of the same facts.
These amount to $3,000,000 and $7,731,000, respectively, or a total of
410,731,000.
OTHBR POTENTIAL FUTURE BmINFITS
58. In addition to the tonnages and savings shown above, allowance must be
asde for possible future movements of limestone, brick, shell, sand, and gravel in
local trade, and of bananas, coffee, sugar, and other products in general com-
merce. These movements are not now capable of estimation, but m the aggre-
gate must be of considerable importance. The tonnages and savings on these
commodities should easily serve to offset any uncertainty as to the magnitude of
the movements of bauxite, cement, and fertilizers and may serve to guarantee
that the total estimated saving shown will not be in any manner unduly optimistic.
It is to be noted that the future traffic shown herein does not include Mexican
trade through Mexican ports, or trade between Atlantic ports and Latin America
-or the Orient, that might conceivably have used the canal with profit. This
traffic would undoubtedly increase the savings effected by the canal.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


Dnw an C M COMMICC
59. It is anticipated that by the end of 1945 certain readjustments will have
taken place in the petroleum trade which will eliminate some of the savings on
competitive oil as set up in our studies for the calendar year 1929:
These may, and probably will, amount to----------............. $3, 000,000
In the same period, it appears probable that there will be a decline in
the volume of petroleum traffic between the oil ports of Mexico
and the United States Atlantic coast ports amounting to-.--... .231, 317

Total anticipated decline in potential canal tonnage as it now
exists will by 1945 amount to.-----------------........ 3,231,317


60. For ready reference the savings that could have been effected on the actual
water-borne commerce of the Gulf ports for 1929; that which might well have
used the facilities then existing and/or which would certainly profit by the con-
struction of the proposed canal; the indirect benefits to accrue by reason of reduc-
tion of commodity prices to the consumer; and the benefits to accrue on commerce
not now existing but which may be reasonably expected to develop by 1945, are
set forth in the table immediately following. This table also takes account of
the probable falling off in the petroleum industry by 1945, and thus shows the
net total annual savings or benefits that may be reasonably expected to develop
by the end of 1945.

Estimated enaty Total

Having on emmece of the caledar year 192
Sarian that could have bern *eeted by the eaal an the actual
water-bne movenmt tbat d through the Straits of
MPbrM ddr uaI r r say suitliso eameree
betwem Meo ad Europe (itemr I (e) nd III (), (b), (c),
Iexmi t 01)--............................--------- -. 3 00.00 $1Z ,5 o $1 7,
Savin on other commerce existing in 129. not a part of the Gulf
ater-borne movement, but capable of being diverted to
movement through the amnal with manlest saving--........... 8-000 ,09, 100 9,067,100
Total ---.--.------ ---.-----------..-.......--. 9,3000 21,96, 800 23. 50M
B Re of tb carnal caving in reducig the pricm of eartan stap
artlel that are competitive with blfhinpments and sold on
a ghly competitive bes for Instance, Canadian paper com-
pea with Oulf paper....................................... 3-0004000 7,731000 10,731,000
Grand total 1----... --------..-..... -....... ..... 48--- -000 29,087,000 36,382400
Saving on additional future commerce, 192I-4: By reason of addi-
tionl commer the saving to be expected In 195 should be In-
red by..----------------................ ............................ 3014,100 11, 4, 917 14,330,017
Tot al...---------....--........................-.......- 9.652100 41,012, 17 50,04. 617
Les deduction:
(a) On count of readjustmet in petroleum trade allminat-
artinlfn on omptto-... ................. ,000,0000 ...........-----------. 3000,000
(b) Deino n poin m tfraflc between Mdexio and Atlantic
coat ports........-----..-- ..----- --..--.......... 231, 317 ......----- 231 17
Total ...-............................................... 21,317 ............ 3 231,317
Grand total saving In 1945..--.....................-..............-.. ......... 47, ,30

61. This may be contrasted with the amount, $25,594,600, which represents
the direct savings on actual and potential water-borne commerce for the year 1929,
and it contrasts also with the amount, $36,325,600, which represents the savings
just previously mentioned augmented by the benefit expected to result from
reduction in commodity prices to the consumer.
Respectfully submitted, for and by direction of-
THa CIrr CouMisxoN or JACKSONVILLE, FLA.,
By HnLs & YouonaBeo,
Consiling Bngineers.
By GILBRaT A. YouwoBaao.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 6 (FILES OF CHIEF OF ENGINEERS), DECEMBER 1,
1931
REPORT OF THE SPECIAL BOARD, SUBMITTED UNDER DATE OF
DECEMBER 1, 1931

On this date the special board created by the Chief of Engineers'
Special Order No. 5, dated February 5, 1927 (see Document No. 2)
reported on the preliminary examination it had made pursuant to the
provisions of the Rivers and Harbors Act of 1927 (see Document
No. 1). In that report the board recommended:
that a survey be made to determine the best available location, cost
of construction, and economic justification for (a) a ship canal across the northern
portion of the peninsula of Florida and a barge canal along the same route; and,
(b) a barge canal between the western terminus of such a waterway and the
eastern terminus of the existing Gulf intracoastal waterway.


DOCUMENT NO. 7 (FILES OF NATIONAL RIVERS AND HARBORS
CONGRESS), DECEMBER 9, 1931
ADDRESS BY WALTER F. COACHMAN, JR., BEFORE THE NATIONAL
RIvERs AND HARBORS CONGRESS, AT WASHINGTON, DECEMBER 9,
1931

On December 9, 1931, Hon. Walter F. Coachman, Jr., chairman
of the Florida State Canal Commission, made an address before the
annual convention of the National Rivers and Harbors Congress in
Washington. The following extract is taken from that address:
Should the Government decide to construct the canal as a ship canal then
these are some of the benefits which would accrue to you, my friends: Glance
at the map and imagine a line drawn from the mouth of the Rio Grande on the
Mexico border line, to slightly north of Denver-then run east through Chicago
to the Appalachian Mountains--thence southward along the west side of the
Appalachian Mountains to the Gulf of Mexico. Within this square formed bv
these lines is the territory which trades with the Atlantic seaboard lying east of
the Appalachians, cheaper either by rail or water or by combination of rail and
water to or from a port on either the Gulf or Atlantic seaboard-and thence a
movement between ports by vessel. Therefore a short route for vessels between
Gulf and Atlantic ports, by eliminating the voyage around the 500-mile peninsula
of Florida, must mean a direct saving to you. It makes no difference whether
you are a producer of commodities in the Middle West or valley, or a consumer
on the Atlantic seaboard--or whether you are a manufacturer on the Atlantic
seaboard or a consumer in the Middle West or valley you will daily receive a
direct or indirect benefit from the construction of this new artery of com-
merce. *
There was available for this canal last year one and one-third times the tonnage
which passed through the Panama Canal-the world's greatest canal at present.
It is a saving in the interchange of goods between the people of 37 States of the
Nation-for example, it shortens the distance between New York and New
Orleans by almost one-fourth. It would also serve as a connection between the.
intracoastal canal along the Atlantic seaboard which extends from Boston to
Florida and the intracoastal canal along the Gulf of Mexico which extends from
Florida to the Mexican border line, which canals serve to connect all the rivers
along the Atlantic and Gulf coasts, including the great Mississippi River system.
We have these two great independent waterway systems, upon which the Govern-
ment has spent vast sums of money, and with no way of passing tonnage from
one to the other. It would be an invaluable aid to the Nation to have these
systems connected, not only in commercial peacetime, but in time of war com-
modities and supplies could be transported from one section of the country to
another on-a protected inland water route.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


Had the canal been in operation last year it could have made the following
record: Over 10,000 vessels would have passed through the canal at a saving to
these vessels of 284,000 hours or 11,900 day-and saving the people of 37 States
over 20,000,000,000staute ton-mile in the movement of their gods to market-
and resulted is a myJWsf .lS QN 0 h M e I was the traffic
passing between the Gulf and Atlantic that theoreticaly there wouTd have
been 23 vessels passing through the canal at all times-both day and night,
And this, my friends, does not include the vast barge and other trafie which
would move between the two intracoastal canal systems.
I ask you then if this is not a meritorious project. It has been endorsed by
every outstanding waterway association of this country which it has come before.
The State of Florida can only hope to receive a small share of the benefits to
accrue to the Nation through this artery of transportation. The great bulk of
these savings will accrue to you of the valley-toou u of the Middle West-to
you of the Atlantic seaboard-and to you of the Great Lakes. We therefore
urge that you give this great project-which is your own-your unqualified and
active support.

DOCUMENT NO. 8 (FILES OF CHIEF OF ENGINEERS), JANUARY 25, 1932

RECOMMENDATIONS OF THE BOARD OF ENGINEERS FOR RIVERS AND
HARBORS, UNDER DATE OF JANUARY 25, 1932
The Board of Engineers for Rivers and Harbors, having reviewed
the report of the special board (see Document No. 6), recommended
that a survey be made:
* to determine the feasibility, cost, and economic advisability of, and
the best location for a ship canal between the Atlantic Ocean and the Gulf of
Mexico * *
The Board of Engineers for Rivers and Harbors further recom-
mended that action on the special board's conclusions pertaining to
a barge canal be postponed until the reports called for by the act of
July 3, 1930 (see Document No. 3), had been submitted.


DOCUMENT NO. 9 (FILES OF CHIEF OF ENGINEERS), JANUARY 27, 1932

REPORT or THE SPECIAL BOARD, SUBMITTED UNDER DATE or JANUARY
27, 1932
The special board on the above date submitted its reports on the
preliminary examinations and surveys called for by the act of July
3, 1930. (See Document No. 3.) All of these reports recommended
that a survey be made in accordance with the recommendations of
the reports submitted under date of December 1, 1931. (See Docu-
ment No. 6.)

DOCUMENT NO. 9A (FILES OF CHIEF OF ENGINEERS), JANUARY 28
192
SPECIAL ORDER ISSUED BY THE CHIEF or ENGINEERS, UNDER DATE
or JANUARY 28, 1932
This order authorized a special board to make the. survey recom-
mended in their reports of January 27, 1932 (see Document No. 9), and
concurred in the recommendations of the Board of Engineers for
Rivers and Harbors pertaining to the barge canal.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 9B (FILES OF N. G..A. S. C. A.), MARCH 31, 1932
RESOLUTION BY THE NATIONAL GULF-ATLANTIC SHIP CANAL Asso-
CIATION, ADOPTED AT NEW ORLEANS, MARCH 31, 1932
At a meeting in New Orleans, held March 31, 1932, representatives
of the States of Texas, Louisiana, Mississippi, Alabama, and Florida
formed the voluntary association known as the National Gulf-Atlantic
Ship Canal Association. The following officers and executive com-
mittee were elected:
Executive officers.-President, Gen. Charles P. Summerall; executive
vice president, Walter F. Coachman, Jr.; secretary, Henry H. Buck-
man; treasurer, George N. Bliss.
Vice presidents.-D. R. Dunlap, Alabama; R. G. Patterson, Florida;
John McKay, Louisiana; Admiral T. P. Magruder, Mississippi;
Roy Miller, Texas.
Executive committee.-Gen. Charles P. Summerall (chairman),
Henry H. Buckman, D. R. Dunlap, W. F. Coachman, Jr., John
McKay, Barney Eaton, George N. Bliss.
Director8.-For Alabama: R. A. Brown, Marion Caskie, Theodore
Swann. For Florida: Hon. John Alsop, George H. Baldwin, W. P.
Franklin, T. R. Hodges, A. F. Knotts, Col. Sumter L. Lowry, Jr.,
Hon. J. B. Stewart. For Louisiana: Albert Artigues, William C.
Ermon, R. W. J. Flynn, E. E. Lamberton, A. A. Nelson, Gen. Allison
Owen. For Mississippi: Barney Eaton, Leo W. Seal. For Texas:
L. iims, I. H. Kempner, E. E. Plumly.
The association also adopted the following resolution:
Resolved, That there is hereby constituted the National Gulf-Atlantic Ship
Canal Association, and that the general nature of the objects of the association
shall be: To further and promote the construction by the United States Govern-
ment of a ship canal across Florida, connecting the Gulf of Mexico with the
Atlantic Ocean; to the end that agriculture, industry, and commerce in the United
States may be served by the economies in transportation to be effected; and that
there may be made possible a closer and more balanced coordination of our
water, rail, and highway transportation systems; and that life and property
involved in ocean-going shipping plying between the ports of the Atlantic sea-
board and those of the Gulf of Mexico and between the latter and the ports of
other countries may be more adequately safeguarded; and that there may be pro-
vided for the national defense in time of war a shorter and safer route for the
transfer between the Mississippi Valley and the Atlantic Seaboard of water-borne
munitions and supplies and the ships of our Navy; and that the people of this
country may more fully enjoy free and unrestricted opportunity for more eco-
nomical production and distribution of commodities throughout the Nation.


DOCUMENT NO. 10 (FILES OF THE N. G. A. S. C. A.), APRIL 2, 1932

STATEMENT BY GEN. CHARLES P. SUMMERALL, UNITED STATES
ARMY, RETIRED, ACCEPTING THE PRESIDENCY OF THE NATIONAL
GULF-ATLANTIC SHIP CANAL ASSOCIATION
Gen. Charles P. Summerall, having been elected president of the
National Gulf-Atlantic Ship Canal Association at its organization
meeting in New Orleans on March 31, 1932, made the following
statement on the occasion of accepting that office:
I feel that here is a real opportunity to serve the Nation and my native State
in accepting the presidency of the organization. As nearly as can be determined
82710-36---3






28 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

this ship canal will benefit industry and agriculture and the people of 37 States.
It is estimated that more tonnage will pass through the canal than through
any other ship canal in the world. It will handle each year one and a third
times the tonnage which passes through the Panama Canal. The canal not
only will benefit the Gulf States, Mississippi Valley, and the Atlantic seaboard
but the Great Lakes States as well.
The fact that the United States Government is now making a physical survey,
which is costing $150,000, indicates that its benefits are large and widespread,
and that the Government considers it a meritorious project.


DOCUMENT NO. 11 (FILES OF THE N. G. A. S. C. A.), APRIL 15, 1932

STATEMENT BY SENATOR HUEY P. LONG, AT NEW ORLEANS, APRIL
15, 1932
In a statement made public at New Orleans on April 15, 1932,
Senator Long said:
The project for a ship canal across the peninsula of Florida is as old as the
recorded history of the State. The early Spaniards searched for a water route
that would save them the long and hazardous trip around the point through the
Florida Straits. * *
Louisiana always has stood to gain by such a short and direct deepwater
route to the Atlantic Ocean, but never more so than today when her great port
of New Orleans affords a gateway to the growing commerce of the entire Missis-
sippi Valley. * *
The Gulf-Atlantic ship canal will place the port of New Orleans at least 3
days closer to the foreign markets, and lessen the cost of shipping operations.
There are, of course, other advantageous factors "visible" and "invisible."
Some that we can touch on quickly are: That because of the shorter route and
quicker turn-round fewer ships can handle the same certain volume of tonnage;
the quicker release of the capital tied up in the cargo, necessarily unproductive
while in transit from the supplying to the marketing ports; lower insurance
rates, as evidenced from results on the Suez and Panama Canals, and the elim-
ination of unavoidable hazards of the Florida Straits.
The benefits to be derived by the State of Louisiana and the port of New
Orleans through the construction of this proposed channel from the Gulf of
Mexico to the Atlantic Ocean are plainly apparent even to the layman's eye.
Through it will move in steadily increasing volume cotton in full cargoes at the
height of the season, but at all times combined cargoes of every needed staple
of a civilized world.

DOCUMENT NO. 12 (FILES OF THE N. G. A. S. C. A.), APRIL 20, 1932

STATEMENT BY ARTHUR BRISBANE, APRIL 20, 1932

In an editorial under date of April 20, 1932, Mr. Arthur Brisbane
made the following statement:
What the American shipping interests need is a canal across Florida, connecting
the Atlantic Ocean with the Gulf of Mexico, making it unnecessary for ships
from eastern ports bound for the Gulf States to travel all around the end of
Florida, more than a thousand miles of sailing wasted on each trip. * *
It is a disgrace to this country, proof of sluggishness, that the canal from the
Atlantic to the Gulf has been so long delayed.
The project interests and would benefit the Nation.
Such a canal would be used almost entirely by American coastwise shipping.
* *






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 13 (FILES OF CHIEF OF ENGINEERS), MAY 9, 1932
SPECIAL ORDER ISSUED BY THE CHIEF OF ENGINEERS, UNDER DATE
OF MAY 9, 1932
By this order the Chief of Engineers extended the scope of the
survey authorized in his special order of January 28, 1932 (see Docu-
ment No. 9A), to determine:
(a) Plans and estimates of cost for a ship canal along the most practicable
route.
(b) Plans and estimates of cost for a barge canal along the route selected for a
ship canal, with connections at either end with the intracoastal waterway.
(c) Plans and estimates of cost for a barge canal to connect the Atlantic and
Gulf intracoastal waterways along the most practicable and economically
feasible route, independent of the question of a ship canal.
The Chief of Engineers in this order further directed that the
territory to be covered by the survey be extended to include all practi-
cable routes, and that separate economic studies be made and recom-
mendations be submitted covering (a, b, and c) above.
The territory covered by the surveys resulting from these orders
of the Chief of Engineers extended over all of the Florida Peninsula
and a large portion of southern Georgia. However, preliminary
studies eliminated routes outside of the area lying south of the thirty-
first parallel of latitude and east of the Apalachacola and Flint Rivers.
The total number of routes surveyed eventually was 28.


DOCUMENT NO. 14 (FILES OF THE N. G. A. S. C. A.), MAY 9, 1932
STATEMENT BY ROBERT ISHAM RANDOLPH, PRESIDENT OF THE MIS-
SISSIPPI VALLEY AssoCIATION, AT CHICAGO, MAY 9, 1932
At Chicago on May 9, 1932, Mr. Robert Isham Randolph, president
of the Mississippi Valley Association, made the following statement:
The physical possibility of constructing a canal across the neck of the Florida
Peninsula has long been admitted by engineers.
The economic feasibility of such a canal may still be a question for argument,
but the utility of such a canal must be apparent to anyone who looks at the map.
The Atlantic coastal waterways have been under construction and improve-
ment for a great many years, and the dream of the advocates of a protected
waterway for barges and light-draft vessels along the Atlantic coast is about to
be realized. Similarly, the project for a connected waterway along the Gulf
coast from Florida to Mexico gives every indication of ultimate accomplishment.
The trans-Florida canal is the connecting link between these two great systems
of waterways, and to make these coastwise barge canals completely effective the
trans-Florida canal must be built.
The advantage of constructing it to ship-canal dimensions is obvious. The
saving of ocean distances and the provision of a very much safer passage for
coastwise shipping than that afforded by the longer route through the Florida
Straits is apparent. These obvious advantages have been recognized by the
Congress of the United States in the authorization for a survey and report, and
the appropriation of $150,000 to make the physical surveys. *







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 15 (FILES OF THE INTRACOASTAL CANAL ASSOCIA-
TION OF LOUISIANA AND TEXAS), JUNE 3, 1932
STATEMENT BY ROY MILLER, PRESIDENT OF THE INTRACOASTAL
CANAL ASSOCIATION OF LOUISIANA AND TEXAS, AT CORPUS
CHRISTI, JUNE 3, 1932

At Corpus Christi on June 3, 1932, Mr. Roy Miller, president of
the Intracoastal Canal Association of Louisiana and Texas, made the
following statement:
I know of no waterway project now engaging the attention and consideration
of the American people which is more national in its scope or more obviously
economically justified than the proposed Gulf-Atlantic ship canal across the great
State of Florida. * *
While I have not the figures at my disposal, I am sure that it is safe to say
within the record that at least 75 percent of the tremendous commerce of Texas
ports will be benefited by the construction of the Gulf-Atlantic ship canal. At
least three-fourths of our commerce moves coastwise to the Atlantic seaboard or
to European and Mediterranean ports. The saving of time and distance which
means money, and which would accrue to this great commerce by construction
of the Gulf-Atlantic ship canal can be computed only in terms of millions of
dollars annually.
Speaking, therefore, for the ports of Texas which dot a coastline of more than
400 miles from Sabine River to the Rio Grande, I wish you God-speed in the
early consummation of your great undertaking and pledge you the unanimous
and enthusiastic cooperation not only of our Texas ports, but of every interest
and influence of our great State.

DOCUMENT NO. 16 (U. S. 47 STAT. L. 709), JULY 21, 1932

EMERGENCY RELIEF AND CONSTRUCTION ACT OF 1932, APPROVED
JULY 21, 1932

Paragraph 3 of subsection (a) of section 201 empowers the Recon-
struction Finance Corporation:
To make loans to private corporations to aid in carrying out the construction,
replacement, or improvement of bridges, tunnels, docks, viaducts, waterworks,
canals, and markets, devoted to public use and which are self-liquidating in
character.
This legislation became the basis for the application to the Recon-
struction Finance Corporation by the National Gulf-Atlantic Ship
Canal Association, a corporation not for profit, for a loan to construct
the canal as a self-liquidating project.


DOCUMENT NO. 17 (FILES OF THE RECONSTRUCTION FINANCE
CORPORATION), JULY 30, 1932

REPORT OF HENRY H. BUCKMAN, CONSULTING ENGINEER, TO NA-
TIONAL GULF-ATLANTIC SHIP CANAL ASSOCIATION, UNDER DATE
OF JULY 30, 1932
JACKSONVILLE, FLA., July 80, 1932.
NATIONAL GULF-ATLANTIC SHIP CANAL ASSocIATION,
Jacksonville, Fla.
GzNTLzE EN: Pursuant to your instructions we have examined the data con-
cerning estimated traffic through the proposed Gulf-Atlantic ship canal. This
data includes the economic survey made by Messrs. Hills and Youngberg, together
with reviews of the same by other authorities believed by us to be competent.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


There seems to be a general agreement upon two fundamental points, i. e., that
the traffic now moving through the Straits of Florida and which would move
through the proposed ship canal would do so at an annual direct saving in oper-
ating and fixed charges at the outset of approximately $12,000,000, and that the
average rate of acceleration of this traffic is such that these annual savings would
amount to approximately $20,000,000 by 1945, or within 10 years of the opening
of the canal.
It is our opinion that the traffic should bear at least one-half of this saving by
means of tolls. Projected gross revenue of the canal may, therefore, be taken as
a gradually increasing amount, beginning with $6,000,000 for the first year and
rising to $9,600,000 per year by the end of the tenth year.
In order to determine whether or not this project will be self-liquidating, it is
necessary to determine-
(a) The cost of the money required to build it, i. e., the interest rate. Also
the rate of amortization required.
(b) The maximum total construction cost.
(c) Operation, maintenance, and all other items which must be paid out of
gross revenue.
RATE OF INTEREST
The rate of interest will be a pivotal factor during the years immediately fol-
lowing the opening of the canal. We believe that it may be fairly represented
to the Reconstruction Finance Corporation, and that that body may with pro-
priety recognize, that the thirty or forty million dollars of annual savings to the
commerce of the Nation and the value to national defense, which do not appear
in the direct revenue of the canal, may be accepted as ample justification for a
low interest rate. We believe that 3 percent is as much interest as this project
should be charged with during its earlier years, and we have assumed this rate
in our computations.
AMORTIZATION
The rate of amortization may be determined arbitrarily, but an examination
of the attached table will show that the amounts available for this purpose indi-
cate that repayment of the construction cost within 40 years is entirely possible.
COST OF THE CANAL
It is impossible at the moment to fix the exact actual cost of constructing the
canal, but so much data has been gathered, so many surveys have been made,
and general knowledge and experience of working conditions in the territory
through which the canal will be constructed are such that it is possible to state
a figure above which the construction cost should not go, and this maximum
figure (if it is not too great) is all that is necessary for the present purpose.
Available data developed by competent authorities show that the construction
of a sea-level ship canal along any one of several routes will involve the removal
of not more than 600,000,000 yards of material. Problems involved are of a
routine nature; and the project represents, on the whole, a major operation in
dredging.
From our study of the data, and based upon our experience, it is our opinion
that the total cost of the project should not exceed $160,000,000.
OPERATING COSTS
Since a ship canal will be tax free under the constitution of the State of Florida,
and since it will be of the sea-level type, charges deductible from gross revenue
are confined, in the main to maintenance and operation.
The results of our study are outlined in the table attached hereto. It is our
opinion that the project is self-liquidating in character, and it is recommended
for financing.
Yours very truly,
BUCKMAN & Co.,
By HENRY H. BUCKMAN.

The above is the first formal presentation of the project as a sea-
level canal and the first formal estimate of cost.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 18 (FILES OF THE RECONSTRUCTION FINANCE
CORPORATION), AUGUST 1, 1932
APPLICATION OF THE NATIONAL GULF-ATLANTIC SHIP CANAL Asso-
CIATION TO THE RECONSTRUCTION FINANCE CORPORATION FOR A
LOAN TO CONSTRUCT A GULF-ATLANTIC SHIP CANAL AS A SELF-
LIQUIDATING PROJECT, UNDER DATE OF AUGUST 1, 1932

The National Gulf-Atlantic Ship Canal Association, as a corpora-
tion not for profit, under date of August 1, 1932, filed an application
with the Reconstruction Finance Corporation for a loan to construct
a canal as a self-liquidating project, under the provisions of the
Emergency Relief and Construction Act of 1932. (See Doc. No. 16.)
AUGUST 1, 1932.
Application for loan to construct a Gulf-Atlantic ship canal across the peninsula
of Florida.
To the REcoNSTRUCTION FINANCE CORPORATION,
Washington, D. C.:
The undersigned, National Gulf-Atlantic Ship Canal Association, is a corpo-
ration not for profit. At a meeting for its organization held Thursday, March 31,
1932, at New Orleans, the gentlemen then present adopted a resolution providing
for the objects of the association and in particular the furtherance and promotion
of a ship canal across Florida "to the end that agriculture, industry, and com-
merce in the United States may be served by the economies in transportation to
be effected; and that there may be made possible a closer and more balanced
coordination of our water, rail, and highway transportation systems; and that
life and property involved in ocean-going shipping plying between the ports of
the Atlantic seaboard and those of the Gulf of Mexico and between the latter
and the ports of other countries may be more adequately safeguarded; and that
there may be provided for the national defense in tune of war a shorter and safer
route for the transfer between the Mississippi Valley and the Atlantic seaboard
of water-borne munitions and supplies and the ships of our Navy; and that the
people of this country may more fully enjoy free and unrestricted opportunity
for more economical production and distribution of commodities throughout the
Nation."
Thereafter officers of the association were named, including the president and
executive vice president, a secretary, a treasurer and one vice president, from
each of the following States, to wit, Alabama, Florida, Louisiana, Mississippi,
and Texas.
By recent vote of the directors of the association the following resolution was
adopted:
Whereas it is the purpose of the Federal Emergency Relief bill to assist em-
ployment through means of works which are self-liquidating in character; and
"Whereas the construction of the Gulf-Atlantic ship canal will offer as much
or more employment to common and skilled labor than any other project; and
"Whereas the supplying of the necessary equipment and materials will create
work for the steel mills, quarries, cement pants, lumber industry, machinery and
equipment industry, electrical industry, transportation systems, and will require
the products of agriculture and of the food and clothing industry in large
quantities; and
"Whereas the Gulf-Atlantic ship canal will not compete with any industry or
existing agency of transportation; and
"Whereas the benefits to be derived through the construction of the Gulf-
Atlantic ship canal are large and widespread and are permanent in character
and will yield to the people of this Nation an ever-increasing saving in the
movement of their products between the Atlantic Ocean and the Gulf of Mexico;
and
"Whereas the construction of this canal will complete a vital link in the Nation's
intracoastal system from Boston, Mass., to the Rio Grande, on the Mexican
border line, and the completion of this system will not only have a commercial
peacetime value, but in time of war will provide a protected inland water route
for the movement of munitions and supplies, thereby complying in the fullest
measure with the desires, intentions, and provisions of the emergency relief bill:
Therefore be it







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 33

"Resolved, That the president and officers of this association are hereby in-
structed to use their utmost endeavor to bring the merits of the prompt construc-
tion of this project to the attention of the President of the United States, to the
Secretary of War, and to the directors of the Reconstruction Finance Corporation,
and to all other officials -involved, in order that this exceptionally meritorious
project may be promptly constructed under the provisions of the emergency
relief bill; and to the end that human suffering may be relieved through the early
construction of this great national project, we earnestly solicit the cooperation
of the high officials of the Government of the United States in removing all tech-
nical barriers which normally impede the progress of a project of this magnitude
under circumstances of less emergency; and be it further
"Resolved, That we hereby instruct the officers of this association to carry out
such plans to finance construction of the Gulf-Atlantic ship canal project as
they may deem proper and as may be acceptable to the Federal Government and
the directors of the Reconstruction Finance Corporation."
Pursuant to said resolution, and to forward the objects of its organization, the
undersigned, National Gulf-Atlantic Ship Canal Association, files this preliminary
application for a loan pursuant to title II, section 201-(a)-3, of the Emergency
Relief and Construction Act of 1932, and respectfully represents as follows:
1. That this association will at an early date complete the organization of a
corporation to be organized under the laws of the State of Florida (and in particular
pursuant to sections 6313-6330, Compiled General Laws of Florida, 1927), to
be empowered to construct a ship canal across the peninsula of Florida, within
the provisions of article 16, section 16, of the Constitution of the State of Florida,
providing for the exemption from taxation of the property of a corporation which
shall construct a ship canal across the peninsula of Florida. This application
is made for the use and benefit of such canal corporation to be organized as
aforesaid.
2. The amount of the loan applied for is one hundred sixty million dollars
($160,000,000).
3. The loan will be evidenced by notes, bonds, or other obligations of the canal
corporation, to be in such form and to run for such period and to be secured by
such mortgage or trust indenture as the Reconstruction Finance Corporation
may require, pledging all of the assets and tolls or other income of said canal
corporation. Said canal corporation will likewise offer to hypothecate with the
Reconstruction Finance Corporation as additional security all of its authorized
capital stock and will make such provision in its charter and bylaws as the
Reconstruction Finance Corporation may desire, providing that all of said capital
stock after the retirement of the obligations of said canal corporation incurred in
the construction of said canal will be held for such purposes or upon such trusts
or will be transferred or assigned to such person, corporation, or governmental
agency, as trustees, or otherwise, as the Congress of the United States may from
time to time by resolution request or direct.
4. The statutes of the State of Florida authorize and provide for a canal cor-
poration collecting tolls. By the regulation of such tolls the operation of said
canal can and will become a self-liquidating project under the terms of the
Emergency Relief and Construction Act of 1932.
5. Pursuant to the provisions of the Federal River and Harbor Act of the
United States dated July 3, 1930, the Secretary of War was authorized and directed
to cause preliminary examinations and surveys to be made for a waterway across
northern Florida to connect the Atlantic intracoastal waterway with the proposed
Gulf intracoastal waterway. The canal corporation proposes to construct a
ship canal across the peninsula of the State of Florida upon a route to be approved
by the Board of Engineers of the United States Army. The route as thus
approved will be specified in the charter of said canal corporation and in the
final application to be made to the Reconstruction Finance Corporation for the
proposed loan.
6. It is believed that the construction of the proposed canal at this time will
further the purpose of the Congress of the United States in adopting the Emerg-
ency Relief and Construction Act of 1932, because said construction will provide
as much or more man-hours of labor than any other similar public or private
work now proposed, will stimulate many industries in various parts of the United
States in the construction of the materials and supplies needed for such work,
and will otherwise provide sources of employment. There are filed herewith
exhibits showing the relation of this project to unemployment relief, its self-
liquidating characteristics, and additional series of charts.







34 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

7. Elaborate economic surveys have been made, the details of which will be
available as hereafter desired. These surveys show conclusively that the con-
struction of the proposed canal will cause savings to this country and to its
people of at least thirty-six million dollars ($36,000,000) per year at this time
and estimated forty-seven million dollars ($47,000,000) per year by 1945.
The undersigned respectfully request that we be advised as to the form and
manner in which further or final application should be made and as to all data and
information needed by the Reconstruction Finance Corporation, and we earnestly
request a personal hearing when the Reconstruction Finance Corporation desires
to consider our application.
Respectfully submitted.
NATIONAL GULF-ATLANTIC SHIP CANAL ASSOCIATION,
By C. P. SUMMERALL, President.
WALTEa F. COACHMAN, Jr., Executice Vice President.
HENRY H. BUCKMAN, Secretary.


DOCUMENT NO. 19 (FILES OF SENATE COMMITTEE ON COMMERCE),
OCTOBER 29, 1932

ACTION BY ATLANTIC DEEPER WATERWAYS ASSOCIATION IN
CONVENTION AT BOSTON, OCTOBER 29, 1932

The Atlantic Deeper Waterways Association, in convention at
Boston, October 29, 1932, adopted the following resolution:
For the purpose of avoiding the hazards of navigation through the Florida
Straits and for materially decreasing the length of route, public attention has been
directed to the necessity of constructing the waterway across the peninsula of
Florida, which would connect the Atlantic intracoastal waterway with the Gulf
intracoastal waterway and the Mississippi River, and also the Atlantic Ocean
with the Gulf. Quite naturally great activity has been exhibited by the citizens
of Florida, and this association tenders its sympathy and its support. For 20
years and more this association has recognized and advocated this waterway.
We renew our commendation of this important waterway with the modification
that in our opinion the uses and benefits to commerce would be best subserved
by the construction of a waterway of such dimensions as would accommodate
overseas vessels, usually designated as a ship canal.
We commend the thorough investigation being made into this project by the
Army engineers. The physical conditions, the engineering problems, and the
commercial benefits should be studied to the end that this waterway shall be
projected along the route which shall best serve the needs of commerce. It is
an essential unit in our national system of transportation.


DOCUMENT NO. 20 (FILES OF MISSISSIPPI VALLEY ASSOCIATION),
NOVEMBER 22, 1932

ACTION BY THE MIssIssIPPI VALLEY ASSOCIATION AT ST. LoUIs,
Mo., NOVEMBER 22, 1932

At its annual convention in St. Louis on November 22, 1932, the
Mississippi Valley Association adopted the following resolution:
We reaffirm our recommendation of * the development of the intra-
eoastal canal from its present terminus of Apalachicola River, and the extension
of this latter canal through the adoption of a Gulf-Atlantic waterway providing
for the transit of ocean-going vessels, as well as barges when surveyed and
approved, to a connection with the Atlantic Ocean and the intracoastal canal
of the Atlantic deeper waterways.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 21 (FILES OF THE RECONSTRUCTION FINANCE
CORPORATION), DECEMBER 19, 1932

COMMUNICATION FROM GEN. CHARLES P. SUMMERALL, PRESIDENT,
NATIONAL GULF-ATLANTIC SHIP CANAL ASSOCIATION TO RECON-
STRUCTION FINANCE CORPORATION UNDER DATE OF DECEMBER
19, 1932

On December 19, 1932, the National Gulf-Atlantic Ship Canal
Association appeared before the Engineers' Advisory Board of the
Reconstruction Finance Corporation for a formal hearing upon its
application. Gen. Charles P. Summerall, president of the applicant
corporation, presented the following communication:
WASHINGTON, D. C., December 19, 1932.
Application for loan to construct a Gulf-Atlantic ship canal across the peninsula
of Florida. (Communication no. 2).
To the Reconstruction Finance Corporation, Washington, D. C.:
1. Reference is here made to the above application filed by the undersigned
under date of August 1, 1932, together with accompanying exhibits.
2. The tentative amount of $160,000,000 sought in the above-named applica-
tion, upon the basis of data since collected and here presented, is now fixed at
approximately $118,000,000.
3. In furtherance of the above-mentioned application, the undersigned National
Gulf-Atlantic Ship Canal Association, by permission of the Engineers' Advisory
Board of Reconstruction Finance Corporation, appears before this Board for the
purpose of presenting its case. It proposes to show:
a. That the project is legally qualified for financing under the Emergency
Relief and Construction Act of 1932, and that adequate legislative authority
exists for the construction and operation of the project under the laws of Florida,
within which State it will be located.
b. That is is economically justifiable.
c. That it is based upon sound engineering principle.
d. That it will be self-liquidating.
e. That it will give prompt employment to so large an amount and to such a
diversification of labor as to serve to an unusual degree the objects and intentions
of the act above referred to.
4. Subject to the pleasure of the Board, the order and method of the presenta-
tion at this appearance insofar as is practicable, will be:
I. Gen. Charles P. Summerall, president of the applicant corporation, will
outline the objects sought, and will present to the Engineers' Advisory Board
for such testimony and examination as may be deemed necessary or advisable
at this hearing, executive officers, legal counsel, and engineering counsel of the
applicant corporation; officers and civilian engineer employees of the Corps of
Engineers of the United States Army in charge of the survey of this project;
representatives of shipping interests; and experts in the field of equipment and
construction represented by the work proposed.
II. An outline of the case and the evidence to be presented will be set forth by
Mr. Henry H. Buckman, of engineering counsel for the applicant.
III. The legal foundation for the project will be presented by Hon. Raymond
D. Knight, of legal counsel for the applicant.
IV. The economic justification of the project and its relation to shipping and
commerce of the Nation will be developed by Col. Gilbert A. Youngberg, United
States Army, retired (formerly of the U. S. Corps of Engineers), of engineering
counsel for the applicant.
V. The proposed canal viewed as a self-liquidating project and its relation to
unemployment relief will be discussed by Mr. Buckman.
VI. Examination of any of the gentlemen present and discussion of the
exhibits and documentary evidence as it may please the Board.
As an appendix to this communication, there is filed a catalog of the exhibits
and documents tendered by the applicant in support of its case.
Respectfully submitted.
NATIONAL GULF-ATLANTIC SHIP CANAL ASSOCIATION,
By C. PI SUMMERALL, President.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


NATIONAL GuLF-ATLANTIC SHIP CANAL ASSOCIATION
CATALOG OF EXHIBITS FILED BY HENRY H. BUCKMAN, OF ENGINEERING COUNSEL,
HEARING OF DECEMBER 19, 198
Exhibit no.
1-A. An economic study of the project by Hills and Youngberg, engineers.
Table of contents.
1-B. Same. Conspectus.
I-C. Same. Synopsis.
1-D. Same. Barge or steamship transport.
1-E. Same. Steamship lines and steamship agents.
1-F. Same. Time and distance savings.
1-G. Same. Savings in fixed charges, etc.
1-H. Same. Commerce.
1-T. Same. Freight rates.
1-J. Same. Pilot chart-North Atlantic Ocean.
1-K. Same. Pilot chart-Central American Waters.
1-L. Same. Paper and forest products.
1-M. Same. Minerals.
1-N. Same. Agricultural products.
1-0. Same. Navigation-Vessels.
1-P. Same. Navigation-Voyages-By ports.
1-Q. Same. Navigation-Voyages-By draft and dimensions.
1-R. Same. Savings in operating costs.
2. Colonel Youngberg's brief of presentation.
3. Condensed summary-Youngberg's survey.
4. General Summerall's presentation. List of officers and directors-Copy of
original application.
5. Chart-Cotton production and consumption.
6. Chart-Origin and value of exports, etc.
7. Chart-Worlds ship canals.
8. Chart-Intercoastal rate adjustment.
9. Chart-Import rate adjustment.
10. Chart-Export rate adjustment.
11. Chart-Wheat production and export.
12. Chart-Cotton movement.
13. Chart-Traffic through Gulf ports.
14. Chart-Production and consumption of flour.
15. Chart-Potential Florida canal tonnage, compared with Panama Canal
tonnages.
16. Chart- ulf-Atlantic canal condensed summaries.
17. Chart-Estimated revenue and liquidation.
18. Chart-Growth of Gulf port's commerce.
19. Chart-Potential economic savings.
20. Chart-Estimated rate of employment.
21. Chart-Bridge design studies.
22. Chart-Dimensions of world ship canals.
23. Chart-Map and chart showing ships in place as of December 10, 1932
(temporarily submitted).
24. Chart-Geblogical cross section.
25. Map-Topography, geology, water supply, and route.
26. Relief map (temporarily submitted).
27. Airplane photographs of route (temporarily submitted).
The following communication was presented by Col. Gilbert A.
Youngberg:
DECEMBER 19, 1932.
THE NATIONAL GULF-ATLANTIC SHIP CANAL ACROSS FLORIDA
A BRIEF PREPARED FOR PRESENTATION TO THE RECONSTRUCTION FINANCE
CORPORATION
1. Introduction.-A glance at any good commercial map of the Gulf of Mexico
and the Atlantic Ocean will serve to indicate the theoretically potential value
of a ship canal across Florida. Although this is an old idea, it is only now that it
gives promise of realization, because in recent years the volume of commerce has
increased, while at the same time the costs of construction have decreased.
Nevertheless, as a practical matter, it is necessary to evaluate the benefits in







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


monetary terms, to determine the cost of construction, maintenance, and operation,
and thus set up the debits against the credits. The investment value must be
demonstrated in the customary terms of finance.
2. Purpose.-The purpose of any waterway across Florida must be to im-
prove transportation facilities. To do this, it must shorten the time now re-
quired for the "turn-around" between ports on the Gulf and their corresponding
ports on either side of the Atlantic north of the thirtieth parallel of latitude. It
must be more attractive to commercial shipping than the existing routes via
Florida Straits.
3. Though of some considerable magnitude, the fundamental economics of the
problem are very simple; they are quite analogous to those which confront a
railroad company when it undertakes to replace a heavy, winding, steep moun-
tain overpass by a short direct tunnel through the mountain at a lower level
4. Basie considerations.-Four interdependent questions call for specific
answers:
(1) What is the number of vessels and the amount of cargo tonnage that
would use a ship canal across Florida?
(2) What is the cost of the movement via existing shipping routes?
(3) What would be the cost via the proposed ship-canal route?
4) What will it cost to construct the canal and to maintain and operate it?
Each of these questions entrains a number of subordinate questions and a mass
of detail, as, for example, capital and operating costs of vessels, dimensions, and
route of the waterway, and numerous other factors which need not now be men-
tioned.
5. The answer to these several questions properly applied will determine the
investment value of the proposed improvement. Unlike the case of the railroad
operating always on a fixed line with highly standardized equipment-facilitat-
ing the compilation and digest of the required data-the ocean freight service is
conducted under numerous and widely adverse conditions affecting the costs.
It has, therefore, been necessary to collect, compile, and analyze the basic data
from numerous sources before the investment value of the ship canal could be
known.
6. Economic study.-At the instance of Jacksonville interests, an item was
inserted in the River and Harbor Act of 1930, calling for a preliminary examina-
tion and survey by the United States Engineer Department. In 1930 the city
of Jacksonville commissioned the speaker's firm to make an economic study of
the project and present results to the United States Engineer Department, with
a view to convincing the latter that the prima-face benefits of the project were
such as to justify a complete physical survey and the preparation of plans and
estimates for that route which the United States Engineer Department should
select as the most advantageous, giving due regard to all the various factors
entering the problem.
When our studies were made, they were predicated on the commerce of the
calendar year of 1929 as the latest statistics available for a full year.
7. Over 10 months of intensive effort, on the part of the firm and its staff
were consumed in the preparation of the report. Fortunately, we had at our
disposal the pertinent records and 'resources of the United States Shipping
Board, of the United States Department of Commerce, of the Board of United
States Engineers for Rivers and Harbors, and other public and private agencies.
The results of our studies were set out in full in a rather voluminous report, and
since its presentation a special board of United States Engineer officers has been
conducting physical surveys and studies, including a check on the economic
aspects of the proposed improvement.
8. This rather extended introduction or explanation is made in order that this
R. F. C. advisory board of engineers may have knowledge of the angle of ap-
proach and the factual basis of the application which we are now submitting for
Reconstruction Finance Corporation funds. While we have the necessary
evidence in great detail, limitations of time here 1oday will scarcely permit of
our proving our assertions, and we are limited rather to bare statement of facts
and claims.
9. Gulf commerce.-It is obvious that it is the ocean-going commerce of the
ports of the Gulf of Mexico that will be concerned with the project for a ship
canal. The following table shows the water-borne domestic and foreign com-
merce of the Gulf for each calendar year from 1919 to and including 1930. This
period covers the rise of Gulf commerce to the 1920 and 1929 peaks and the
complete cycle in between. It will be noted that the expansion and contraction
of business in the country as a whole has had comparatively little effect on the
Gulf tonnages, which have shown, in the aggregate, an almost continuous steady
increase.







38 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

Foreign and domestic commerce of the United States Gulf ports
[These statistics have been taken from the Annual Reports of the Chief of Engineers. Local harbor and
river traffic has been omitted, but trade between the Gulf ports themselves is included in the costwise
totals. Figure are in tons of 2,000 pounds]

Foreign trade Coastwise trade
Year Total
Imports Exports Receipts Shipments

190--....---......................- 4, ,20 14 7t,001 7, 50, 493 34,657,296 63, 757,020
1----------------------...--.......................... 7,0441 18,471,061 7,145,334 34,982, 93,8 67, S0, 674
1928 ......................------ 7,41453 17, 4470 4894, 2 K4,041,647 t250, 992
1927 .-------.............---- 7,064,029 1 ,014,372 ,611,252 ,32.44 484 62,164,137
.....-------------------------- 8,742, 40 15, 527, 9 5,6 18,807 30,327,810 0,217,193
192--.....----..--------------------................... 8,784144 1,0 2 5,7,09 28,33,78 8857297
192--.................-------.....744 33 1 ,43, 30 4,1 243 20,000, 750 47, 98 828
19 ..................----------........3 1,8 18 3,941,165 1, 834, 22 42,89,136
1922------------------.. ..--- 11,871,944 12,8 00012 3, 354, 73 12,887,880 40,182, 8
1921-............................ 11, 7,430 16,51 ,701 2,301, 82 14 287,88 44 447,107
1920..-.....------------------------................... 9,884 1, 20807 1,727,707 12,430,042 440, 571
1919--.........................-----------------------....473,40 12,888 2,914231 13,805,833 35,061,980


Thus, the total tonnage handled by the Gulf ports during the calendar year
1929 is 93 percent larger than the 1919 figures, the absolute increase being over
32,500,000 short tons during the period. The small volume of the tonnage shown
as "Coastwise receipts" shows that this increase could not have been in the trade
between the Gulf ports themselves, but must have been practically confined to
traffic between the Gulf and foreign countries or between the Gulf and Atlantic
ports; or, in other words, to traffic that is interested in the proposed canal.
10. Potential canal tonnage.-Not all of the commerce shown in the preceding
table would have occasion to transit the canal. Therefore all the cargo and all
the vessels in the Gulf trade for 1929 have been traced. The result is set out in
the following table:

Water-borne commerce of Gulf ports of United States

Tons of Tons of
2,000 2,240
pounds pounds'

192 cargo tonnage, total for all Oulf ports:
In-bound from Paecific Coast ports----.....---...........------------.......-----------.....---. ------------445,927
Out-bound to Pacific Coast pots ..------... ----------- ......----------------47
In-bound from noncontinos ports--------------..-------------............. 87,779
Out-bound to aonantiguos ports............. ........ ... ----------- 388132
In-bound from Athnti nd Olports-..... ..-------------..---. 4- 00,931
Out-bound to Atlantic and Gulf ports---....----------------------.-- --..... --------- 30,8728
Total cotwse reeipts-------------.......-----...... ....-- ...-- -- .. 7,225, 78 -----
Total coawise shipments------------------------ ---- --- 39,219,159 --.-.....
Total, ti------................--.----------- ..........--......... 4844818 38, 1744
Other domestic -----------------------------------------...-------- 10,438,721 ......
Total, domestic ....--------------------------------------------......-----... 8888850 38,16744
Imports from all freln ports.. --------------------------....... 7,0604754 473,7727
Experts to all foreign ports..------------------- -----------------.. .... 19,173,820 18,074,873
Total, foreign...------------------------------------.................................-------------................... 24, 74 22, 82800
Total all cargoes In-bound ...--...----------- ----............... ----14,28,703 1 .337, 64
Total all cargoes ot-bound........-----------------------------------.............. 8, 47,89000
Grand total, cargoes loaded and discharged (domestic and foreign)..-.... 83, 11& 433 84 92344
129 potential cro, Gulf-Atlantic ship canal:
Domestic, -bound ...................................................... 1,8,78 1, 374. 081
Domesic, out-bound..............------------------------- -...... ~-3172,35 2, 998 03
Total, domestic----------------.. ------------------- ----........... 31,712,333 28,314,184
Imports ...-------------..----..---.............................--9--- 72 801,72
Exports......-----........-------..------.........-- .. .... .-- 12 4683.64 11.128.264
Total, foreign-----.........-----------........------ ..... ---.----------- 237 12 019 974
Total, potential canal cargo-----------. --------------------...... -..... 4,174, 704 40,334, 58

SReport of Chief of Engineers, U. 8. Army, 1930.
Annual Report No. 295, Shipping Board, Bureau of Research.
'Statements of ship owners and operators furnished for Gull-Atlantic study.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 39

11. Comparison.-The potential cargo tonnage of the canal for 1929 %y care-
ful analysis amounts to 62 percent of the ocean-borne tonnage of all the Gulf
ports. The rapidly increasing need for a ship canal is indicated by the fact that
for the year 1929 the potential canal tonnage was much greater than the total of
all cargoes received and shipped from all Gulf ports for the year 1920 (but 9
years earlier) and was nearly two and one-half times the tonnage of all cargoes
in-bound and out-bound at all Gulf ports in the year 1910.
The total cargo tonnage of the Gulf ports is 23 percent of the total foreign and
domestic cargo tonnage of all United States ports. Twenty-five percent of all
cargoes exchanged with foreign countries and 35 percent of the export cargo
tonnage of the whole United States is credited to the Gulf ports. Using the figures
for the year 1929 the potential cargo tonnage of the Florida Cross State Ship
Canal was 250 percent of the average annual cargo tonnage transiting the
Panama Canal for the 15 or 16 years of its use.
12. Vesel movement.-While it is the cargo "that pays the freight" the in-
vestment value of the waterway cannot be determined directly from the cargo
tonnage. This is carried in vessels of many types and sizes, operating with vary-
ing load factors ranging from simple water ballast in-bound to a superload con-
dition of valuable commodities out-bound. It is therefore necessary to study
the ships in the Gulf trade. This was done in utmost detail. The results are
set out in the numerous tables in our economic study, but some of the principal
facts may be stated, as follows:
In 1929 not less than 1,487 separate vessels made one or more direct voyages
between ports of the Gulf and ports of the Atlantic north of the thirtieth parallel.
These vessels made 10,341 voyages with a total of 90,134,435 dead-weight tons
capacity. All this was potential canal traffic-it would have profited by the
existence of a suitable ship canal across the State.
This traffic was 16 percent of the number of all entrances and clearances at
all United States ports, and it was 30 percent of the total tonnage of entrances
and clearances in our entire foreign trade.
13. Comparative data.-The net tonnage of the 10,341 voyages exceeds the
total net tonnage of all American and foreign vessels entered at all American
seaports from foreign countries during any 1 year prior to 1921, except 1914,
and there the difference was very slight.
This same potential net tonnage exceeds the combined net tonnage of all en-
trances and clearances to or from all foreign countries, of all vessels, both foreign
and American, steam and sail, at all United States seaports for any year prior
to 1897. In other words, the potential canal traffic, according to the figures of
1929, is greater than the total ocean-borne commerce for the entire United States
for the year immediately preceding the Spanish-American War-only 35 years
distant.
This same potential net tonnage exceeds the total net tonnage of all com-
mercial vessels transiting the Panama Canal for the first 6 years of the use of that
important project.
14. Traffic statistics.-The most painstaking and exhaustive research has re-
suited in the following determination as to potential traffic for the proposed
north Florida ship canal for the calendar year 1929 had the project b-en com-
pleted and in operation at that time:
Transits-------------------------------------- --------- 10,341
Dead-weight tons ---------- ----.----------------------- 90, 134. 435
Gross tons---------------------------------------------- 61, 473, 998
Net tons..------------.. .. -- --..--- -----. ----------- 38, 545, 124
Cargo tons of 2,000 pounds- ...---------------_---------. 45, 174, 704
Cargo value--------------------------------------- $1, 619, 388, 906
Immediately following are two tables presenting the principal divisions of
these items.







40 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

Potetis transit, Gulf-Alantic ship canal, caledar year 1929

Voyages Dad wight
VOy (torn)

OGrand total, a potential transltts, 1:
Ameran sss..................................................... 7,10
Fotlrell vess................-...-..........---.--...--.------ --7. S31 23a,198,
Total all voyages............................--....--.......... .. 101 01.435
Total voy in and ot of Gulf ports of the United Statee:
Amic vee.............................s .- 7,86 6,914,901
Foreign v l...-... ---------.---------------- 72 2%706,4 3
Total .......................................------ ---- 10, 05 867,10A
Voyag between Mloo ad Atlantle ports of the United States:


Tot 2.51.0.1...-- -. -...... a8,1M
TAmer n 20k70............................................. o, o, s1


mrein In .....................................-.....- 487**
Totalg -----------..----------------------------------- ___ 3T 2,1.04.1


Total....... ... ............................... ..................... Soa l.eoOni 7
Voyages between Gulf parts and Atlanti parts of the United tate
Amoerican veselsb ------------------------ 6,418 4134 M 703
Foreign vessels............-.............------------- ----.- 4 .61
To.............. .. ----...--. ... -- ...----- ----- ----- 7,0 60.8 19
Voyages between Gulf parts and parts in area A:
Amern e...................................... .........-- ..... 96 8779.,19
Foreign vessels .......................-.............. 067 17,9.
Total -........................ .---..----- ------- 0.5 24760 075s
All Voyages of foreign vesss:
n-oua d ...................................--- ......-........------,9 1... 677,901


und .......------ .......-- -------------------- 775 33, 71
Otbound-- -.-------n---------------------- 2:85 32,870,78
Total----------------- ----.---------------------------------- 7,610 o 9Ao,0


Area A as used in these tables and throughout this division A and all its parts
is the territory which includes the following trade regions-Atlantic Canada,
United Kingdom, north Atlantic and Baltic Europe, Havre-Hamburg range,
south Atlantic Europe, west Mediterranean, east Mediterranean, and Black Sea.

Potential commerce-GuVf-Atlantic ship canal, calendar year 199

Cgo taa-

mPote------------ntil alcmmaro t n Ou p------------prt -------(to- C o
Iinports--------------------------------------99B,726 $37,061,288
xports...........-----------------.............................................--------------------------------46, 7.4
Total foreixn....--------------------- ------- 4 71---------------------- 78.3.872
cotwe receipts---......................--- -------------------------- ------- 07... 01,614
Coastwi shipments----------------............................................-----------------........... 173 72, 13 80
Total comtwle--.............. ................................ 371 ,
Total n ...............------ ...---....................... . 4174,704 1, 61, 8. 00


Foreign cargoes counted as potential tonnage of the canal are the imports
from and exports to ports of Atlantic Canada, United Kingdom, North Atlantic
and Baltic Europe, Havre-Hamburg rang, South Atlantic Europe, and Mediter-
ranean ports. The entire regions including these ports are referred to as "area A."
Domestic cargoes counted as potential tonnage of the canal are cargoes received
from or shipped to ports of the Atlantic United States from Jacksonville north.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DRAFTS AND DIMENSIONS OF VESSELS

15. An average vessel based on the drafts and dimensions of the 10,341 poten-
tial transit of the canal would have the following dimensions:
Length--..-------------..--------- -----------------.feet-. 398
Breadth.---. .-------... --------------------.------- do 54
Draft. ----- --------------------------------------do.. 26
Dead-weight tonnage ---------- ---------...------ ---- 8, 716
Net registered tonnage--------------- ------------------- 3, 727
Speed---------- -------------------------------knots 10-12
The great bulk of the traffic falls within the following dimensions:
Length-..---------------------------------------------.feet-. 400-500
Breadth.---------------------------------------------....do.- 50-60
Draft.---.-----. ---.--------.-------- ----------.------. do.- 26-27
Dead-weight tonnage------------------------------------------- 9,390
Speed --------------------- --------- --------------knots-. 10-12
The essentials of this information are presented in tabular form on the next page.

1929 potential traffic, Gul-Atlantic ship canal transit of American and foreign
vessels
BY MAXIMUM DRAFTS

Maxmum drafts (feet) Number of Dead-weight
voyages tonnage


4-.--...-------------------..--------------- --------- -----------------. 20 400. 000
2..---.....--..-------.....-- ------------------------------------...... 62 1, 224
31..---...................................- ......................... .... 14 12, o01
..-----....---..--................... ---------.....------.. ..------- 143 2=2. 44
29--.. ----..................................................--------- --. 331 4,27, 342
2s_.......................................................................... 834 0, 74, 342
2...........--------..............-------...... --------....-........... 92,7,
34............................................................................. 861 6,22,2
_.......................................................... ............... 714 3, 744,39
2--------.-----...........................----..........-......... ----------------- 141 ,4
21......--........--...--- ..--.......--------..-----------.........---- 135 1., 08
24 ----------------------------------------------------------------------- 861 e6z.m6 2
2L---------------------------------------------------------------------- 747 3.74oS
2L1---------------------------------------------------------------------- 1357 288%,02
20 and undae...-.....-........ ... .........................--... -- 728
Total--...--....---------------......---... ....... ......... .. 10,341 90,13443
BY DIVISION OF LENGTH

Lmth (fe) Number of Total ton-
voyage nage


sO to 6.........------- ......-- ..-- ..---- ....-- ----------........... 78 157,s00
o00 to 5 ....------ ....-.. ......--------------------------- ---------..... 314 4,924,134
450 to40.....--......---..-------------------.............-------- .-- 1,180 14,653841
400 to 44.....-----......---.................. ....-------- .-- ..-- .... 4,756 44,97,407
350to 3---....--...-....................-.............--------------...............---------.............-- 2,204 15.80. 38
300 to 0 9--.............--- .....-- ..........-......-.......-- .. 806 4,342 067
20 to 2-...---...........-------................--...-.---------- .. 936 3,708.4
200 to 2a 9................................................................... 38 94, 5
Under 200....-------........................-----------------------------..........--------------................----------.......... 29 16, 00
Total--...-..--........-.....-.................. -------............ 10,341 90.134,438
BY DIVISION OF BREADTH

Breadt (feet) Number of Total ton-
voyae nase


75 and over-----------.......................-------------------------.........................................-----------------------. 1, 177,400
70 to 74...--....-.-----...................-...------..........----- ..---- 7 1,263,780
65eto. -.....-...-....--- ..............-.---------- .....--.-- .....---- ... 51 8.08 775
00 to 64...........................--- ........................... ...--- -... 80 9,87, 12
M to .....--...----............-.........-----------.........-- ----..... 3,691 3, 336,28
0 to 64M.........--- ..-............-.............. ------3 ------------ 3,098 24,091,404
4 to 49..... ..------------------..--.------------------------------------------ 987 24, 95
40 to 44.............. .......--------------............----- -- -.... ... -23 3,701, S
35 to -...................................................................-.. 91 314,220
Under 3.....-........---- .......----.............------.--..... -----.. 32 21, 0
Total --..------....---................................------ -- ---10,341 90,134,436







42 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

Summary of vessels and voyages by dead-weight tonnage groups potential traffic, Gulf-
Atlantic ship canal, calendar year 1929
BY VESSELS

Tonnage groups Number Percent- Tonnage P umu- Average horlyg
age ntage e entage tonnage opert
SP centage ag centage in&"P1 00"

12,000and over---------- 94 6 6 1,286,809 11 11 13,688 ....
10,000 to 11,999---.....- 219 15 21 2,326,257 19 30 10, 2 -
9,00 to 99,-.-----....... 90 6 27 876,499 7 37 9,738
S,4o to 9,5.------------- 42 3 30 308, 02 3 40 9,478 ....
8,'S to 9g3a ----------.. 224 15 45 1,999,074 16 56 8,924 ..
7,000 to 8,.0-----....... 222 15 d0 1,840,961 15 71 8,209 -.--
7,00to 7,80 --.--. ..--- 80 6 6 a8 82841 6 77 7,785
Under 7,000--------....... 07 34 100 2,757,988 23 100 5,440 -.......
Total........---... 1,487 100 100 12,178,341 100 100 8,190 ....

BY VOYAGES

12,000 and over --...... 1,090 11 11 15,730,062 18 18 14,431 $20.71
10,l'0 to ........... 2,396 24 3 25188,300 29 47 1013 19.17
9,s0 to 9,9...-----...... 87 7 42 6,723,419 8 55 9,787 17.63
9,40 to, 9A0.------------ 242 2 44 2,294,408 3 58 9,481 17.00
8,00 to 9,39 .---......... 90 10 54 8,817,846 10 68 8,998 18.33
7,90 to ,59 s-----........ 93 10 64 7,994,48 9 77 8,302 1& 53
7,00 to 7,99..------..... 401 4 68 3,127,482 3 80 7,799 18&17
Under 7,00.............. 3,299 32 100 17,744,329 20 100 6,379 15.83
Total.----........ 10,058 100 100 87, 20,394 100 100 8,716

16. Savings in distance, time, and money, via the canal.-In determining the
savings it is necessary to consider the length of the canal; also the permissible
speed of transit in its various reaches. The operating costs per hour of vessels
under headway must be determined. At the present writing the length of the
canal has not been finally determined, It appears that it will not be less than
160 nor more than 200 statute miles from deep water (38-foot curve) in the
Atlantic to corresponding deep water in the Gulf. The shorter routes will require
more cutting through the land divides and, in such wholly artificial portions, the
permissible speed will be somewhat reduced. Per contra, the longer routes
afford more open water in rivers and lakes, such that no arbitrary restrictions will
have to be imposed on vessel speed.
These considerations are compensating-that is, the time of transit through
the canal will not be materially greater for the longer routes than for the shorter
routes.
In determining savings of time we have used a speed of nearly 7 knots in the
new waterway as a fair average. This is justified by speeds permitted or even
required in other great canals of the world. The underlying geological structure
is such that the canal banks will not suffer serious erosion by such speed, and,
furthermore, the economics will warrant some considerable expenditure for
shaping and protecting the banks in the interests of speed. In the wide open
waters of the St. Johns River and in like waters the effect of the vessel wash will
be greatly dispersed before it reaches the natural banks of the streams and these
are already protected by the timber growth of countless centuries.
Effort has been made to apply the actual operating speed of the various vessels
in the open ocean reaches between ports, and money savings have been calculated
accordingly. For practical purposes it is sufficient to apply the average speed of
all vessels to all shipping lanes after making due allowance for the helpful aid
afforded by the Gulf Stream on vessels out-bound from the Gulf. For tankers,
traveling south-bound in ballast, certain speed factors might be recognized on a
strictly theoretical basis, but, having in view the variations in fuel, in the effect
of winds, in the condition of the hulls, in the general efficiency of navigation, and
other factors, these theoretical refinements are out of place for practical purposes
extending over long periods of years.
Without going into extreme detail, the important figures will be found in the
next succeeding tables.








DOCUMENTARY HISTORY OF THE FLORIDA CANAL 45

SAVINGS IN DISTANCE, TIME, AND MONEY

17. In calculating the savings in operating costs of vessels that might have used
the canal had it been available in 1929, the costs were primarily estimated as for
cargo vessels on the basis of the official figures of the United States Shipping
Board. These cost figures are roughly on a tonnage basis, and are indicated in
the next succeeding table:
Operating operating
operating costs per
Dead-weight tonnage groups Dead weight (tons) costs per hour or
hour tankers


Group --..--..............- -------..-- 12,000 and over ---...--.. ------------- $2 71 $2292
Group 2--..----..-..-.. .......-----.--- 10,000 to 11,999.-......--------------- 19.17 22.08
Group 3--...---------.. ..------. ..-..-- 9,600 to 9,999---..................-------- 17.63 18.79
Group 4 ----....--......--...... .------ 9,400 to 9,599.. ..---.--------------- 17.00 18.79
Group 5....------..........--------.....--.. ------ 8,600 to 9,399---~. ---------------- .1833..........
Group --.....----....... ..--- ---- 7,900 to 8,59...---------. 1833 ............
Group 7-..-....--.................--.. 7,O00 to 7,899.....-.........----- 1817 --....
Group 8.--...-----. .....--- ----------.. Under 7,600-..-----.-------------. 15.83 .......


18. The next succeeding table is a typical illustration of the distance savings
to be accomplished by the proposed ship canal between ports on the Gulf and ports
in the South and/or the North Atlantic. The distances are in nautical miles.

Out-bound from Gulf In-bound to Gulf from-
to--

Gulf ports
akson- New York Jackson New York
ville VFlle


Pensacola.-...-...........--- .----- ..--- .----... 613 481 598 468
Mobile--......--------. ---------------------------- 594 462 579 449
New Orleans--.....-------...-.--.----....-.. .--- 530 398 515 385
Beaumont--..........----- .......----------- ...---- .--504 372 489 359
rhouston...--..---..........-- ...----...-------....... 504 372 489 359
Corpus Christi..---.-......-....--..... ...-.......--- 464 336 453 323
Tampa.....-......- ..-...............---- ........--.. 456 324 441 311
Tampico, Mexico...... ....--- ..----- ...-----------. 339 207 324 194


19. The next succeeding table is typical of the distance saved between ports in
the Gulf of Mexico and those in northern and southern Europe:
And-


Northern Europe, in- Southern Europe,
luding the Britih north Africa, and the
uige rac Near East, reached
Isles, reached through the Strait of
Between- through the English Gihraltar and Suet
Channel (nautical Canal nautical miles
miles sd) Canal (naautical miles
saved)


Out-bound In-bound to Out-bound In-bound to
from Gulf Gulf from Gulf Gulf


New Orleans--...--....-- ...........- ....-- -------- .. 371 335 267 269
Houston, Galveston, and Sabine ports...---.--..--...... 312 306 238 240
Cbsti-..........---...........-......--....--- 300 273 205 207
m ... 435 399 331 33
Pnaola----.-.----... --.---..- --.........-..- 454 418 350 352
Tampa ----------........---------------------..... ------------- 315 279 211 213


82710-36-----4







44 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

20. The next succeeding table is a typical illustration of time savings in round-
trip voyages to be accomplished by the proposed ship canal between Gulf ports
and United States Atlantic ports:

And-

ound trip betwee- Huton N Mobile Tamp
(d&y 55y (days (day
savd) ad) saved) saved)

New York:
Ves sped 8 knots-....-.....-....-..... ............. 4 4
Ve- pdl o ots ......-.....-... ................. M 3
Savannah:
Vot l sped s knots. ------------------------------------- 4
Vesl speed 8 knots........................ .. .. 4%
Vsetl speed 10 knots-...-..-.......-...-..........-... 3 3


21. The next succeeding table is a typical illustration of time savings in round
trips accomplished by the proposed ship canal between Gulf ports and foreign
ports:

And- And-

Round trip between- Enish trait of Round trip between- Eglish Strait of
Channel iOlbraltar Channel Gibraltar
(tUn (Utns (time (time
saved) saved) saved) saved)

New Orleas: Depo D"ue Mobile: Dea Days
Verel speed of knots... 3 Veel peedof 8 knots... 3
Veal redotl 10 oknots. M V l speed of 10 knots.. 2 2
GahvstoN-Houston pomp: Tama -ad Corpus Chrti:
V peed of knot... 3 2 2eel 8Ceeof ots... 1%
Vrl of 10 ~nfokt.. 2 I1 Veerl spedof0 knots.. 1H 1

22. The next succeeding table contains information as to time and money sav-
ings based on the dead weight tonnage groups, as follows:


Hours Pa

(a) All voy from Atlantio ports of ti United States to Gulfports of te United
8ttee. bxbond prvo7 voTs avs .........-...-....-- ..--.....-..4---
sates o;tbonunsdr o avr saving. ----...-...-...-.....---- ......--- 419
(c) All voysg to thmp p orf t he tU tte m ports in forsgn tnrde
(d) Alln voyages from CufH port of the Unitedi to port In oregn trde
re. A, omtbound parv Vines sav-n<---------------------------- 21.1 S
(e) Al vTOs- to Tamopiuo Msde( ports of the Atlantic United State.. In-
boond par voya~yge 1 aves -------------------------------------------- 21.3 471
bound pr voyage average savings.............. ..------- ........... 137

Nora.-Dta for Maloan parts is very Iamplete, being bnd on partial research and Inuffloent
statisUtk.

23. The next succeeding table is a summary derived from the data hereinbefore
discussed, and shows total savings in direct operating costs of vessels based on
the assumed use of the proposed ship canal for the calendar year 1929:







DOCUMENTARY HISTORY OF THE FLOBIDA CANAL


Combined
In-bound Out-bound in-bound
to Gul from Gulf in ou-
ports ports bound


From ports of Atlantic United States..................-........... 2, 506,498 ...
To parts of Atlantic United States....................................... 1,434,843 $3 341
From ports o foreign trade, aea A............................... 7056,00 -
To ports of foreign trade, ae A ............................................ 63210 1,338,110
Total, or Gulf ports of United States....................... 3,211,998 2,0674 3 6,279,451
Between ports of the Atlantic United States and Tampico, Mexico,
partial. Incomplete .....-..........--...-...... 26 186, 0 87,819
Total ................-................-- ....... ...... 3,281,257 2,08, 013 6, 87,270
Combination passenger and freight vessels .................. ..-............ .....-..... 248,484
Grand total ...-.....-........-................................. .......... 6,861.764

MIXED CHARGE ON FLOATING PLANT

24. Active flee saving.-Calculations of vessel operating costs have been based
solely on the wages and subsistence of crews, on the cost of fuel, ship supplies
and stores, repairs, and hull insurance, omitting entirely the capital costs, carrying
charges, obsolescence, taxes and general overhead.
Various factors, principally the class and the speed, enter into any estimate of
construction costs, but conservative average valuations of the vessels concerned
in our studies may be stated as follows:
TABL I

(a) Combination freight and passenger vessels:
14 knots and over.----- -------------------.......... $2, 000, 000
12 to 14 knots ---- ------------- ---------------- 1, 500, 000
(b) Tankers in petroleum trade:
12 knots and over--------------------------------- 1, 500,000
Under 12 knots------------------------------- --- 1, 200,000
(c) General-cargo vessels (all speeds):
Coastwise trade.-------------..------------..--...- 900,000
European trade.--..... -------------- ----------.- 700, 000
25. Fixed charges on the foregoing classes may be summarized as follows:
TABL II

Combine-
tion height Tankers in General-
Charges and pe- petroleum cargo e-
sner trade (per- aesb (per-
vessels cetj cent)
(percent)


Interest on the investment..-- --------------------------6 6 8
Amortiation or replacement....-------------------------.............................--3 a .87 3
Taxs miscellaneous --------------------------------------- 4 4 4
Overhead and shore administration----------------------------- 3 2 2
Total......-....................................----------- 16 18.87 15

t According to generally aepted authorities, the corrosive effect on petroleum tankers is very severe,
and hence the higher amortization charge of 6.67 percent per year. According to these authorities this is,
moreover, a low rate.

For certain vessels additional charges seem to be warranted, as follows:
(1) An additional 7 percent on vessels in the sulphur trade, due to the excep-
tional corrosive action of the cargo;






46 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

(ii) Additional interest, taxes, overhead, and amortization on refrigerating
equipment for combination fruit and passenger steamers amounting to about
22 percent on a valuation of $275,000 (equipment only). The percentage is high
due to the fact that the insulation and refrigerating equipment have a much
shorter life than does the ordinary ship hull and machinery, so that amortization
costs are considerable.
26. Applying the fixed charge percentage in the last preceding table to the ship
valuations in the first table, the annual and hourly costs result as set forth in the
following:
TABLm III

Speed Annual Hourly
cham charge charges
(a) Combination freight and psenaer vewls:
14 knots and over-------.---------------.-......................... $320000 S3&53
12 to 14 knots-..---.--.--------................-------------------..... ...........---- 240,000 27.40
(b) Tanke s in the petroleum trade:
12 knots and over ---------.-----.... ............-----...-....... ---280,00 31.96
Under 12 kots-----..--------.... --...........----..-....-.....- 224000 25.67
(c) Gaeeal-aro vesies:
Costwi (average 10 knots)-----------------------................... 10000 1. 41
Trans-Atlantle (average 10 knots).-----.---------.---....------------ 104000 11.99
(d) Vesels In ulphur trade: All speeds (avee 10.5 knots)...--.........-.... 198,000 22.60

27. Applying the foregoing hourly fixed charges to the number of hours de-
duced in the tables of time savings for 1929, the resulting saving in fixed charges
over and above the savings in actual vessel operating costs amount to $6,419,419.
28. Summarizing the estimated benefits above discussed, the results are as
follows:
(a) Savings in actual operating costs of vessel movement.-------. $5, 615, 700
(b) Savings on fixed charges on vessels---------------.........- 6, 419, 400

Total-------------------------------------........... 12, 035,100
As noted, these figures are for 1929. This was a good year, but tonnage from
the Gulf ports has apparently not fallen off by more than 5 or 6 percent. Wages
and other operating costs have been decreased somewhat and, therefore, in the
interests of conservatism, the foregoing total estimate may be reduced to
$10,500,000.
29. Additional benjits.-On the basis of certain information bearing on the
problem, it would not be inappropriate to set up other charges now applying to
shipping operations, which charges might be reduced in consequence of the
shorter turn-around of vessels. This, for example, would permit of a smaller
fleet for the same volume of business. A smaller number of vessels would be
lying in reserve. There would be a quicker delivery of cargo from shipper to
consignee, and hence the interest on capital represented by cargo in transit
would be reduced. This is true also of the insurance premiums. No claims are
made here for such benefits, as they can not be evaluated with the certainty
appropriate to our present purposes or, more precisely speaking, these benefits
can scarcely be made the basis of tolls to be levied on vessels transiting the canal.
The United States Congress, under the usual method of providing for river
and harbor projects, could recognize these factors as collateral benefits.
30. A new traffic.--Studies have been made of various commodities which
would develop and move if improved transportation facilities should be pro-
vided-cheapening the cost of the market haul. We have in mind an increased
movement of cotton at reduced costs; of grain, lumber, and naval stores; also
the probable exploitation of low-grade phosphates in northern Florida; fuller's
earth and various other minerals.
It is very probable that considerable barge movement of freight would develop
on the waterway for short-haul purposes, and there certainly would be a large
and remunerative pleasure-boat movement. These last statements are predi-
cated on the fact that the United States is now engaged in completing the intra-
coastal waterways along the Atlantic and Gulf coasts, providing a protected
"inside passage" from Long Island Saund to Corpus Christi.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


Certain commodities would be placed on the market at reduced prices, and the
indirect benefit to the people would be considerable. For example, the pulp
and paper trade now developing in the Gulf States would be afforded a wider
operating margin in competition with the Canadian pulp and paper trade.
Extended studies have been made of these various factors, and they are men-
tioned here not because they may be directly set up as the basis of a loan, but to
indicate the wide collateral benefits that would attach to such a loan for the con-
struction of the proposed ship canal.
Admitting that there is room for difference of opinion as to the methods of
determining, predicting, and evaluating probable developments, the following
table is inserted as of possible interest.

Estimated efinitly Total
calculated


Saving on commerce of the calendar year 1929:
Saving that could have been effected by the canal on the actual
water-borne movement that passed through the Straits of
Florida during the year-omitting any savings on commerce
between Mexico and Europe (items I (c) and Iu (a), (b), (c),
exhibit 801)---..---------... -----.--. -------- $3,000,000 $12,927, 500 $15,927,500
Saving on other commerce existing in 1929, not a part of the
Gulf water-borne movement, but capable of being diverted
to movement through the canal with manifest saving-...---- 638,000 9,029,100 9,667,100
Total---............................--------------- 3,638,000 21,956,600 23, 594, 6
Effect of the canal saving in reducing the prices of certain staple
articles that are competitive with Gulf shipments and sold on
a highly competitive basis, for instance, Canadian paper com-
peting with Gulf paper.......................-------------- 3, 000000 7,731,000 10,731,000
Grand total, 192.. .. -------------------........................... 6, 638000 2687,600 36,325,000
Saving on additional future commerce, 1929-45: By reason of addi-
tional commerce the saving to be expected in 1945 should be in-
creased by --------.................------------------------.. 3,014,100 11,324,917 14, 339,017
Total--..-..-....----...-....... .------------------- 9, 652,100 41,012,517 50,664,617
Less deductions:
(a) On account of readjustments in petroleum trade, eliminat-
ing certain savings on competitive oil...-.....------------ 3,000,000 ------ 3,000,000
(b) Decline in petroleum traffic between Mexico and Atlantic
coast ports.--.----...................---------------...-- 231317 -.-----.... 23117
Total deductions---......... --------------- 3,231,317 ------ 3,231,317
Grand total, saving in 1945.--..................-----....----------------................------------ 47, 433, 360

CAPITAL INVESTMENT

31. The canal will be a lock canalso designed that.there.will be a minimum
distrubance of natural ground-water conditions. We anticipate but a single
navigating level across the divide between the tidewater levels on either coast.
Twin locks will be provided on either side of the main divide.
Taking figures available to us from various well-authenticated
sources and adopting liberal additional margins, the cost for
locks should not exceed ---------------------------------- $22, 000, 000
Having in mind the character of materials, the generally favorable
working conditions that obtain in Florida, the economies to be
effected by the use of modern machines for moving earth and
checking against the low unit costs now realized in the river and
harbor work of the U. S. Engineer Department, the estimated
cost of excavation is placed at not to exceed------------------ 55, 000,000
For bridges, dams, spillways, reservoirs, and auxiliary works ----- 15, 000,000
For aids to navigation------------------------------------ 1, 000, 000
For right-of-way procurement purposes and clearing right-of-way- 2, 750, 000
For organization, administration, engineering, and incidentals----. 14, 250, 000
For capital carrying charges during construction- -------------- 9, 625, 000

Total capital investment, approximately---------------- 120, 000, 000







48 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

ANNUAL CHARGES
32. If the capital be provided by a bond issue, maturing in 50 years and
carrying a 3(-percent interest rate-
Annual charges for sinking fund and interest would be---.-------. $5, 112, 000
Based on studies of the U. 8. Engineer Department in relation to
similar works, the maintenance and operating costs may be
estimated as follows:
Locks, (1 twin-lock installation at either end of cut)-------- 530, 000
Bridges, dams, spllmways, reservoirs, and other works-.-------- 150, 000
Channel and bank maintenance (150 miles, at $5,000) ------ 750,000
Aids to navigation (150 miles, at $1,000)------------------ 150,000
Pilotage, not to exceed....---------------..-..-------... 400, 000
Auxiliary towboat and wrecker service, incidentals ---------- 240,000
Total annual charges--- -------------------------..---. 7, 332,000
BaVaNUIS
33. Taking as potential traffic the net registered tons for the year 1929, viz;
38,545,124 tons, the tolls would be very nearly 19 cents, or, say, 20 cents per net
registered ton. With an average of 3,727 net registered tons per vessel, the toll
might be $745 per transit and still leave a margin of over $400 as benefit to the
owner of the vessel using the canal.
Based on the estimated direct and indirect savings to vessels of $12,065,100 per
year, the toll might justifiably approximate 31 cents per net registered ton, or
$1,155 per transit.
While with the latter figure all the shipping companies would not effect a
saving in gross vessel operating cost, they would have the benefit of a quicker
turn-around, have reduced capital investment and reduced insurance on their
fleets, and the shippers would have a reduced interest-carrying charge on capital
represented by cargo in transit.
n any event, the charge of 20 cents per net ton cannot be considered an
unreasonable toll on the average vessel.
These figures are on the basis of the ship traffic for the year 1929. This must
increase in the natural course of events, with a consequent increase in the revenues
to the canal project. Additional revenue in very considerable, although now
indeterminate, amounts will accrue from the barge and pleasure-boat traffic.

CONCLUSION
34. As has been stated, the investment value of this proposed ship canal across
Florida can only be determined in the light of benefits to accrue to commerce in
their proper relation to the annual fixed charges on capital investment, together
with the costs for maintenance and operation.
The factors bearing on vessel operation and cost having been determined with
great care and precision, we feel that we can rely on the figures.
Your applicants have not made the physical survey. his has been done by
the United States Engineer Department, which has been most courteous in afford-
ina access to basic data as to character of materials and other basic engineering
information. The route selected and the dimensions of the canal prism and
channels in open waters are presented on our own responsibility. The figures
which we are using on unit costs have been developed by us on independent
research. Figures as to maintenance and operating costs are derived from best
available sources and are in line with known experience on various comparable
projects.
e P believe our estimates to be reasonably fair and conservative and shall be
pleased to discuss the same in such detail and at such times as this Board may
deem necessary or advisable in its consideration of the loan application submitted
by the National Gulf-Atlantic Ship Canal Association.
Respectfully submitted.
HILLS & YOUNBasBG,
By G. A. YOUNosZRo,
Of Engineering Counsel for the Association.







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 49

APPENDIX EXHIBIT A. POTENTIAL COMMERCE, GULF-ATLANTIC SHIP CANAL,
CALENDAR YEAR 1929

Cargo tonnage
Potential canal commerce at all Gulf ports (ton, 2,000 Cargo value
pounds)

Imports-... ---....--..---. -................-- ..-------..--- 9, 726 $37,951, 88
Exports...............-------- ......----------------...---.--- 12463,645 70,282,284
Total foreign.--......---.........-...........--...------------ 3,462,371 798,233,872
Coastwise receipts---.-.....-...-...--...--..--...........--......- .. 1, 539,78 97,018, 614
Coastwise shipments.................---- --- ...............------.. 30,172,355 724,136,520
Total coastwse............--..--...------------- -.....----..-- 31,712, 333 821,155,134
Total all cargoes................... .---------------------- 45,174,704 1, 619,388,906

Foreign cargoes counted as potential tonnage of the canal are the imports from
and exports to ports of Atlantic Canada, United Kingdom, North Atlantic and
Baltic Europe, Havre-Hamburg range, South Atlantic Europe, and Mediter-
ranean ports.
Domestic cargoes counted as potential tonnage of the canal are cargoes received
from or shipped to ports of the Atlantic United States from Jacksonville north.

APPENDIX EXHIBIT B. SUMMARY OF VESSELS AND VOYAGES, BY NATIONAL
REGISTEBR-POTENTIAL TRAFFIC, GULF-ATLANTIC SHIP CANAL, CALENDAR
YEAR 1929

Number Percent Ded-weight Average
tonnage tonnage


By vessels:
American-....--.....---..---- ...--- .. 569 38 4,853,766 39 8,530
Foreign..........- .............-- ...-- ---918 62 7,324,575 61 7,979
Total........----....... --------. 1,487 100 12,178, 341 100 8,190
By voyages (in and out of United States Oulf
ports):
American---~.----.....-- ...--------- 7,386 73 64, 913, 901 74 8,789
Foreign...........--- ......----..----- 2, 672 27 22,706,493 26 8,498
Total..----...--- ------............-- 10,058 100 87,708 394 100 8,716
Additional voyages between Mexican and
United States Atlantic ports:
American-..........-- ---....................... 224 ......... 2,02 ....................
Foreign...---.............................----... 5 ... 487,333 ...........
Aggregate....------........ .------------ 10,341 -----.. 90,134,435 ----......

On a percentage basis, 38 percent of the number of vessels were American
registry, and this 38 percent made 73 percent of the number of voyages.
On the percentage of tonnage basis, 39 percent of the vessels were of American
registry, and this 39 percent provided 74 percent of the total tonnage for all
voyages.
American vessels averaged 13 voyages each per year; foreign vessels averaged
less than 3 voyages each per year.







50 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

APPrNDIX ExmBrr C. SUMMABT OF VOYAGEO RzPRBSBNTING POTENTIAL
TRAmc THROUGo GULr-ATLANTIC SBi CANAL IN 1929

TABLn A.-By dead-weight tonnage

Cnmula- Hourly
Groups Number Tonnage tive per- AVt1 operating
oentage cost

Under 7,000 tons --........................--.. 299 17,744,329 20 5, 379 1583
7, to 7,80 tons.... ---...................... 401 3,127, 42 23 7,799 18.17
7,900 to 8 tcns-.....----...-................ 943 7, 99,468 33 8,302 18.I3
8,m0 to 943 tons ...--.......... ............. 980 8,817,846 43 8,998 18.33
.400 to 9 o t -......-........-.............. 242 2,294,408 45 9,481 17.00
8000 to 90 tons............................. 087 723, 41 53 9,787 17.63
0,000 to 11,9M tons -...-.....-- .............. 2,389 25 188, 30 82 10, 13 19.17
12,000 ton and over.......-....-............ 1,090 1 730,052 100 14,431 20.71
Total.-..-..--....................-....- 10,058 87, 620 39 100 8,716 .........


TABLX B.-By speed groups


Cumula-
Oroups Number Tonnage tlve per- Avege
eentage tonnage

Under 7 knots and unspecifed.....--....--..-----..-- ... 10 1390,00 -1 1,994
Sand under 10 knots.............---..... ......---.- .. 477 2,833,301 3 65940
10 and under 12 knots--.-------.. ----- --..------.- -. 8,116 74,273.704 88 9,152
12 and under 14 knots----.........---.....---------.. 806 907,424 96 8.70
14 knots and over.--................................... 589 3, 4, 365 100 5,885
Total-----... -.....-- ........................... 10,058 87,620,394 100 8,716


TABLE C.-By maximum drafts

Number Cnmua- Dead-weight Cumni Aveage-
Groups of tive s tve ptr- Aveage
voyages voyages tonnae utae tonnage

2 lat and under--...........- ....-- ..-- .... 25 225 630,728 1 2,803
21 to 22 eet.....-...... ... ------------------ 02 827 308, 53 4 5,097
2 to 2 t------....---........-------..--- 1,575 2.402 9,96 475 15 6,347
2s to 2 eet...-...-...-...-- ....----....... 4,94 7,096 30,108,008 67 8.331
Sto 8 eet---................................. 2,675 9,771 2905208 91 10,854
2 to 30 feet........-...--...-------....--......--....-----------------.. 474 10,245 6, 498, 186 8 13,709
31to34 et --.--. --.......----.. --------- 96 10,341 1,79159 100 18,720
Total...............-------. ...-... 10,341 1 341 90,13, 300 100 8,716


Figures in columns 3 and 5 show the total number of voyages and proportionate
total tonnage comprised in the corresponding maximum drafts shown in first
column. Column 3 includes 283 voyages between ports in Mexico and the
Atlantic seaboard, not included in tables A and B.








DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DRAFTS AND DIMENSIONS OF VESEL8

An average vessel based on the drafts and dimensions of the 10,341 potential
transit of the canal would have the following dimensions:
Length-------------------------------------- feet_- 398
Breadth---------.---------------------------..do .-- 54
Draft_-------------------------- -------- do---- 26
Dead-weight tonnage ------------------------------- 8, 716
Speed- ..----------------------------------knots-- 10-12
The great bulk of the traffic falls within the following dimensions:
Length ---..--------------------------------feet 400-500
Breadth--------------------------- ------- do-..- 50- 60
Draft----------...----- ..----------. ----.-----do--.. 26- 27
Dead-weight tonnage -- ------------------------- 9, 390
Speed ..----------------.-------.-----.--knots- 10-12

APPENDIX EXHIBIT D. POTENTIAL TRAFFIC GULF-ATLANTIC SHIP CANAL,
CALENDAR YEAR 1929

TABLE I.-Ton-miles saved

Nautical Statute


Computed on average ship's cargo in short tons: I
Out-bound from New Orleans to United States Atlantic ports-.--.. 3,312,822 443.100,745
OItbwmd from New Orleas to Europe and Canada-.......------ 1,808, 06,843 2,079, 242, 3
In-bound to New Orleans from United States Atlantic ports-....... 131. 684,310 151,43, 957
In-bound to New Orleans from Europe and Canada..-------..... 1, 450, 8, 413 1, 678827,975
Total.....-..-..-........................-----....- ..-.-- 3,784,884,388 4,352,617,046

1 New Orleans only.
TABLE II.-Time and money savings

Time Money


Average savings per voyage, United States: I Hours
In-hound from Atlantic ports to United States Gulf ports-.........-----.--..-- 3 5 $*4
Out-bound from United States Gulf ports to United States Atlantic ports -.. 22 419
In-bound to United States Gulf ports from foreign ports----.. --......-- ..--- 27.5 507
Out-bound from United States Gulf ports to foreign ports--..----..--.--------. 21.1 385
In-bound to United States Atlantic ports from Tampico, Mexico...-.......-- 6.8 137
Out-bound from United States Atlantic ports to Tampico, Mexico-........-.. 24.3 471

I All Gulf ports.
NoTE.-Data for Mexican ports is very incomplete, being based on partial research and insufficient
statistics.







52 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

The total savings in direct operating costs of vessels based on the potential
use of the canal for the calendar year 1929 are as follows:
TABLE III

In-bound Out-bound Combined
Gull from In-bound-
l ports ulf ports out-bound

From ports of Atlantic United States-....-...-.-- -------- 506,496 ---. ..-. ..---..--
To ports of Atlantic United States....-....--....------..--------..--..--. 1,--434,83 3941, 341
From ports of Europe and Canada---...----.. ---------......--..-- .. 705,00 .....- ...........
To ports of Europe and Canada...-...-.........------..----...-. ...--...... 833 00 1,338,110
Total (for United States Gulf parts)......------.----..-. 3,211,08 2,007,453 5,279, 41
Between ports of Atlantic United Btates and Tampico, Mexico,
partial, inoamplete .......--....-. ............-........--... 0,25 18, 50 87, 819
3,281,257 2, 08,013 4 ,37,270
Comblnatln passenger and eight vessels......--------------------------------. 248,484
Orand total..-----.----....----..........-------.----...........----- ...--- -5615,754

APFBNDIX EmHIBrr E. POTENTIAL TRAFFIC GULF-ATLANTIC SHIP CANAL,
CALENDAR YEAB 1929
L Savings in operating factors (calculated):
Saving in operating costs of vessels-.------. $5, 615, 700
Saving in fixed charges on vessels---------........ 6,419,400
------$12, 035, 100
Reduction in number of reserve vessels ..... 920, 000


Reduction in tanker tonnage devoted to un-
productive weight, i. e., the carriage of fuel
for the vessel. This results in large pro-
ductive cargoes and less vovyages........


71. 000


991,000
Total--..---.------- --------------------- -- 13,026,100
II. Savings in interest and insurance factors (calcu-
lated):
Interest saved on cargo in transit.--------- $333, 000
Insurance saved on cargo, assuming that this
is levied on a mileage basis.----.-------- 286,000
---- 619, 000


III. Savings in cargo depreciation and plant main-
tenance factors (estimated-potential):
Reduction in present gasoline evaporation
loss through shortening of voyage..----..
Saving in tanker corrosion-................
Saving in corrosion on other vessels--------
Saving due to elimination of barnacles and
ship weed by fresh water of canal --.......


202, 400
530, 000
150, 000

1,400,000


2, 282, 400
Grand total --------------------------- 15, 927, 500

Recapitulation
I. Savings in operating cost factors-------------------------- $13, 026, 100
II. Savings in interest and insurance factors ------------------ 619,000

Partial total -----------------.------------- 13,645,100
III. Savings in depreciation and maintenance factors-------..--. 2, 282, 400

Grand total estimated savings-------------------- 15, 927, 500








DOCUMENTARY HISTORY OF THE FLORIDA CANAL


APPENDIX, EXHIBIT F. POTENTIAL TRAFFIC GULF-ATLANTIC SHIP CANAL,
CALENDAR YEAR 1929

Estimated Definitely Total
calculated


Saving on commerce of the calendar year 1929:
Saving that could have been effected by the canal on the
actual water-borne movement that passed through the
Straits of Florida during the year-omitting any sav-
n on commerce between Mexico and Europe....... $3,000,000 $12,927,500 $15,927,500
Sav on other commerce existing in 1929, not a part of
the ulf water-borne movement, but capable of being
diverted to movement through the canal with manifest
saving.-------...- ----------.. .-----------------. 638,000 9,029,100 9,667,100
Efflet of the canal saving In reducing the price of certain
staple articles that are competitive with Gull shipments
and sold on a highly competitive basis; for instance,
Canadian paper competing with Gul paper ....---. .. 3,000,000 7,731,000 10,731,000
Total 1929..-- -------------------------------. 6,638000 29,687,600 36325,600
Saving on additional future commerce, 1929-45: By reason of
additional commerce the saving to be expected in 1945
should be increased by -- --------------- 3,014,100 11,324,917 14,339,017
50, 664, 617
Less deductions:
(a) On account of readjustments in petroleum trade,
eliminating certain savings on competitive oil---. 3,00, 00 .-...----- -- -----
(b) Decline in petroleum traffic between Mexico and
Atlanti coast ports................................ 231, 317 -------- 3, 231,317
Grand total saving in 1945........... ... --- -- --.-------- 47,433,300


APPENDIX EXHIBIT G. POTENTIAL TRAFFIC, GULF-ATLANTIC SHIP CANAL,
CALENDAR YEAR 1929

By reason of the shorter sailing distance afforded the larger part of the Gulf
shipping, the canal, had it been available in 1929, would have effected minimum
cargo ton-mile savings on water-borne commerce to and from Gulf ports, as
follows:
Nautical Nautical ton-
m miles saved miles saved


On in-bound shipments to Gulf ports from United States Atlantic ports.... 1,341,070 1,365, 87, 811
On out-bound shipments from Gulf ports to United States Atlantic ports... 1,313, 286 11,579,85, 273
On in-bound foreign commerce to Gulf ports-.................--- ..--...... 4,5 315, 230
On out-bound foreign commerce from Gulf ports.....-....-................. 564,541 4,266,728,154
On all commerce to and from Gulf ports--................ -----------3,654,456 117,528,079,408

SEquivalent to 20,157,290,808 statute ton-miles.

Minimum potential transit time savings to vessels that the canal would have
effected for the calendar year 1929 are as follows:

item Hours
Itemsaved Days saved


In-bound to United States Gulf ports from United States Atlantic ports-....--- 131,086 5,462
Out-bound from United States Gulf ports to United States Atlantic ports ....... 75,209 3,136
In-bound to United States Atlantic ports from Tampico, Mexico.......--..----- 926 38y4
Out-bound from United States Atlantic ports to Tamploo, Mexico......----------. 3,578 149
In-bound to United States Gulf ports from Europe and Canada----...--..---.-- 38,272 1,595
Out-bound from United States Gulf ports to Europe and Canada.....------.... 34,747 1, 447%
Total.-----...----.....--....------------------........... ... ..-- 283,878 11,828







54 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

ExHIBrr 602. SAVINGS IN FIXBD CHARGEs
THE BASIS OF CALCULATION FORn IXED CHARGES
An analysis of actual vessel movements to and from the Gulf ports during the
calendar year 1929 shows that 85 percent of the dead-weight tonnage and 81 per-
cent of the voyages (i. e., one way only) were comprised in that group operating
at speeds from 10 to 12 knots. The average speed of the vessels in this group
was about 10.5 knots only. The average size of all the vessels listed was about
9,000 dead-weight tons, with tankers as a group averaging somewhat higher.
An investigation of the costs of constructing various types of vessels of varying
sizes, speeds, and classes shows that the class of vessel (whether a passenger boat,
a tanker, or a general-cargo ship) exercises primary influence in determining the
price range, and that within these classes the speed is normally a much greater
factor than the size in determining the gross cost or value, due to the great cost
of the machinery necessary to the development of high vessel speed.
In obtaining the bases for calculating the aggregate savings in fixed charges to
be effected by the use of the proposed ship canal, the 1929 ship tonnage has
accordingly been segregated by vessel classes and the classes have then been
further subdivided into speed groups that correspond to the actual performance
of the vessels engaged in the service. Conservative average valuations of the
vessels are then arrived at as follows:

TABLE I
(a) Combination freight and passenger vessels:
14 knots and over- --_---- ------------------------- $2,000,000
12 to 14 knots----------------------------------- 1,500,000
(b) Tankers in petroleum trade:
12 knots and over..---------------------------------- 1,500,000
Under 12 knots------------------------------------------ 1,200,000
(c) General-cargo vessels (all speeds):
Coastwise trade--------- -----.----------------------- 900,000
European trade--------- ..-------------.---------------- 700,000
The foregoing valuations are based on construction costs in American yards,
except in the case of general-cargo vessels engaged in the Gulf-Europe trade,
where the number of foreign-built vessels greatly predominates. In this case a
lower valuation has been used due to the lower construction cost of foreign-built
ships.
The fixed charges dependent on the foregoing ship values are summarized below
for the three classes of vessels listed:

TABLE II

Combina-
TankeM, eneal- ton freight
Charges peron mulo and pe-
arges trade ships sanger v
(percent) (percent) els (per-
mot)
Intret on the Invetment......--------------... -----.--------------.........6 6 6
Amortization or repemnt----------------------------- &6.67 3 3
Ta.Mmim aroeu----.--------------- -.. 4 4 4
Oereaand hbore administration ...-................-....- 2 _2
Total...........................---------------------. 1L 7 15, 1






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 55

Insurance is included as an item of "Operating cost" and hence is not included
in this section, which relates to fixed charges.
The following additional percentages must be figured on certain classes of
steamers:
(1) An additional 7 percent on vessels in the sulphur trade, due to the ex-
ceptional corrosive action of the cargo.
(2) Additional interest, taxes, overhead, and amortization on refrigerating
equipment for combination fruit and passenger steamers, amounting to about 22
percent on a valuation of $275,000 (equipment only). The percentage is high
due to the fact that tbe insulation and refrigerating equipment have a much
shorter life than does the ordinary ship hull and machinery, so that amortization
costs are considerable.
Note that in the table II, tankers are listed with an amortization charge of 6.67
percent. This higher charge is due to the corrosive effect of their cargo, which
eats out the ship in a comparatively short time. Gasoline cargo has by far the
greatest corrosion rate and the replacement charge on ships engaged exclusively
in this trade would be about 18 or 19 percent per annum. The 6.67 percent
charge is an average of all tankers, and is determined by the experience of a
prominent company over many years of tanker operation.
Applying the foregoing percentages to the valuations listed in table I the result-
ing annual, daily, and hourly costs on the various classes of vessels are found to be
as follows:
Combination passenger and cargo ships:
(a) Of 14 knots and over: $2,000,000 at 16 percent equals $320,000 annual
fixed charge, $876.71 per day, $36.53 per hour.
(b) Of 12 to 14 knots: $1,500,000 at 16 percent equals $240,000 annual
fixed charge, $657.53 per day, $27.40 per hour.
Tankers in the petroleum trade:
(a) Of 12 knots and over: $1,500,000 at 18.67 percent equals $280,000
annual fixed charge, $767.12 per day, $31.96 per hour.
(b) Under 12 knots: $1,200,000 at 18.67 percent equals $224,000 annual
fixed charge, $613.70 per day, $25.57 per hour.
Vessels in the sulphur trade:
(a) All speeds (average 10.5 knots): $900,000 at 22 percent equals $198,000
annual fixed charge, $542.47 per day, $22.60 per hour.
General-cargo vessels:
(a) Coastwise trade, all speeds (average about 10 knots): $900,000 at 15
percent equals $180.000 annual fixed charge, $369.86 per day,
$15.41 per hour.
(b) European trade, all speeds (10-knot average): $700,000 at 15 percent
equals $105,000 annual fixed charges, $287.67 per day, $11.99 per
hour.
Applying the foregoing fixed charges per hour to the number of hours that would
have been saved in vessel operation by use of the proposed Gulf-Atlantic ship
canal across north Florida during the calendar year 1929, the resulting savings in
fixed charges for 1929 amount to $6,419,419.
A summary analysis of the amount is set forth in the table next succeeding.





56 DOCUMENTARY HISTORY OF THE FLORIDA CANAL


a

a
II




b



84
*.
a-

I
*S-
















d1
I.l
it
9'&







a-.-
U
iU

ISt





c ?
i
i-><






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 57

The above-mentioned hearing was exhaustive. The applicant
presented many experts and witnesses whose testimony covered all
phases of the project.
No action upon this application was ever taken by the Reconstruc-
tion Finance Corporation, and no report was ever made by the
Engineers' Advisory Board. Later, the application, together with
all the exhibits and data submitted, was transferred along with all
similar applications to the Federal Administration of Public Works,
pursuant to an Executive order issued under the provisions of section
301 of the National Industrial Recovery Act.


DOCUMENT NO. 22 (FILES OF THE RECONSTRUCTION FINANCE
CORPORATION), JANUARY 17, 1933

ANALYSES OF CANAL TRAFFIC FOR TOLL RATE STRUCTURE, BY HENRY
H. BUCKMAN, CONSULTING ENGINEER

On January 17, 1933, Henry H. Buckman, of engineering counsel
for the National Gulf-Atlantic Ship Canal Association, on behalf of
that body, submitted to the Reconstruction Finance Corporation a
preliminary study for a toll structure, based upon the economic survey
of the canal by Col. Gilbert A. Youngberg. Mr. Buckman's letter of
transmittal and the traffic analyses are given herewith:
WASHINGTON, D. C. January 17, 1935.
RECONSTRUCTION FINANCE CORPORATION,
Washington, D. C.
GENTLEMEN: In connection with and as a part of the data accompanying the
pending application of National Gulf-Atlantic Ship Canal Association, there are
attached hereto certain analyses of the traffic statistics presented in the economic
survey for the Gulf-Atlantic ship canal by Col. Gilbert A. Youngberg.
The attached represents preliminary studies for the purpose of considering a
toll structure applicable to this project. The analyses are not to be regarded as
final but are designed to indicate the savings accruing to different classes and
groups of traffic in the several divisions of shipping. It is the intention of appli-
cant to file additional studies from time to time if, as, and when the examining
engineers may indicate that such are desirable or necessary, or when it may appear
to the applicant that the study of the case may be furthered thereby.
Respectfully submitted.
NATIONAL GULF-ATLANTIC SHIP CANAL ASSOCIATION,
By HENrT H. BucKmAN, Consulting Engineer.






58 DOCUMENTARY HISTORY OF THE FLORIDA CANAL


3
wt4 !4 : :z 9 !q .!ia .i
miCi j N-. ci

dda dd' o 44 ddd


j- -( I I il i
:i 4 '1 4 Cr o .6

II 5 I







a l: ai : 1
ac ~ aaa'"r aaa "" aeSmr 2 RKK z '.
a ii **. 5I5 I- I I eo I










f ~' II I
i t 0 C C
C


dnouiD -


" n r s c






DOCUMENTARY HISTORY OF THE FLOBIDA CANAL 59


a8
82710-36----5


iM
00 .





60 DOCUMENTARY HISTORY OF THE FLORIDA OCAL


H ii I KR .'II~~


RM.1
5S
I 5


Ia


Kq'


gIg


a gas 888: :888 :1 ?2 8
s| a g ag g s2ga s-
_E8 2R- 8 " s 888 ;
_______t IuIf ii1 444l _
a s a 8 age 888 stag 888
Stii i _

888~" 88 88 888 88
1 a ggg Ig I 8 i teg igg

kl' $Biag 8 li Fs ag I Sas
- a ss I 3as r' r saS



1- <; I ^f Ic 8 ; I ai
aI lag aa a
gas a Nii sa : ; as ; as
MRS
Mon-s St :1ao is : sa sa



I S Si
_v -6 t t








T c
O O? ? OI I C I




l- - -
da ozo '0_"l __


"


dnoJo






DOCUMENTABY HISTORY OF THE FLOBIDA CANAL


,o i i , i i

S* ** IO t gl
Safe. SiiB .EE e



Z++ml II Ifml uS C+t l



W :11MR 111
agg g sfie 8 ^{?






s e li ass 1 a



l I I II 4II
8 88


ttfl R'i Si




88 ill I I s s i il~
ttt_ tt tt i
A88 888 98 ~ S


sM-=
CiiO>


-II.


I J Ii iI
S ij dI


I l ll+ ~~
-II ,, $
::, "M Arf



+ + _.' :ii
fi l a 4s
~J ---i H I
ii~C KIII


B1


tc 1,


II


i 17





62 DOCUMENTARY HISTORY OF THE FLOIDA OANAL


ii U~I


Ii


4s


lW i i ; i its sa

8 ; i 8 : "n I :;11 a a



San a a iii a 6i an

ni i :i Iat s 1 s : nf ii

I-* I 3_11 1 _11 S UR I11
0 .1 I li 'I _i:g K"sji
anw awi s's moxalS u g -ma


*1I I ll s_ l lil _ ill I

a _ E iI aJLi I F io a
|gg M- Ni 514 a 1 g9In g
ee -, 11; 1 1 1 B5


S:


I DOI
J a -

--j -- 8 -- S -I O --


n ~ r
L


dnojo





DOCUMENTARY HISTORY OF THE FLORIDA CANAL



"ie 11 3




Sa :1-288 gas
333 r%~*.II 333 ll~




33CI D
eff $3ff "


uIpll &4



SII i -G
S..jI 813 ~inV!! i44
r I 3l a4
118 I ~ i88
It III 3jj I II
2831a jjl Ie~ I i II E~



I Iia iI ff a:: l
E I II1 B1 J

'___ __ HUi ;
I ~II ________ ________ II









Ha ~
B it B~u
P~Dui: *e H
0 E B E






DOCUMUNTABY HISTORY 01 THE FLORIDA CAHL~U


____ ___ ____: :::; !:I I






DOCUMENTARY HISTORY OF THE FLORIDA CANAL




DOC7ME1ITARY HISTORY OF THE FLORIDA CANAL


:"
ii Ii i iI



___ i___ii____ I






i i I : '
.11 III I ii
:11 *11-- --
__g8_____ II I___

IF 1 II



_ii-l _i iii i ii_ I i


______ _____ I i __ _ _





il : : II '1 I.
______ "I ___"__ j_ __ _
_li _[' [ _ I I
II. 0 ~ ~0~O~
OCE ^f1. O8 Oj | | |


Snm 0 C


dn0o0 y






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 67
































$Ill~Ilki
4 A 0,

00







68 DOCUMYTARY HISTORY OF THE FLORIDA CANAL

DOCUMENT NO. 23 (FILES OF CHIEF OF ENGINEERS), FEBRUARY
10, 193

THE GULF-ATLANIc SHIP CANAL-mrH RELATION OF VEsEL SAVINGS
To Tozu, BT HlENB HOLLAND BUCKMAN, UNDER DATE OF FEBBU-
Anr 10, 1983

The following extract is taken from the above document which was
presented to the special board of Army engineers.
The entirely natural attitude of every shipowner to any projected canal is
that It should be free. Failing this, it should impose the lowest possible toll.
From his point of view, the usefulness (if not the value) of a free canal is
fairly obvious, but the usefulness of a toll canal becomes debatable in pro-
portion to the proposed tolls. To those familiar with the history of all the
great canals, this attitude of shipowners and operators is proverbial. It was
manifested in the discussion before the Suez Canal was built, and to an even
greater degree in the case of the Panama Canal. A proposed shipway that
will effect important savings and that is to be free seldom brings forth from
ship operators any unfavorable comment But when an Important toll canal is
proposed, shipping quite naturally and understandably takes up a trading
position and beginsto minimize the value and magnify the hazard of the water-
way, with the object of keeping the tolls as low as possible. Here and there,
isolated special interests, for reasons often inscrutable, but occasionally patent,
profess to see no real value whatever in the canal These considerations
strongly indicate that, while the only safe source of facts pertaining to ship-
ping is the actual ship operator, he cannot occupy a position for impartial
interpretation of these facts, and that whenever his conclusions appear to be
at variance with the accepted operations of economic law, it may be necessary
for the impartial investigator to take them cum grano salls.
GOVmNING OONlIDEATIONS

Shipowners will send their vessels through the canal for any one or all of
the following considerations:
1 Savings in money, due to time saved.
2 The time itself that Is saved.
Maintenance or betterment of competitive position and miscellaneous
advantages.
Any of these three considerations alone may be, wander certain circumstances,
sufficient to cause the vessel to use the canal, provided that the toll imposed
is proportionate. Theoretically, the second and third considerations may be
translated into the first, but practically the third is incalculable, and a clearer
view of the situation is preserved if the second is considered separately.
PICDH OABIES ARM EAL SAVINGS

It is fairly obvious, and not disputed, that whatever a vessel may save by
reason of direct reduced operating costs (such as fuel, wages, subsistence,
repairs, etc.) by using the canal is a real saving and will bear a toll. The
point is sometimes raised by those who are not sufficiently informed, or by those
seeking to minimize the value of the canal to the vessel, that fixed charges
represented by the hours saved are more apparent than real and will not bear
a tolL That, except in a small percentage of cases, this is not true will be
shown. If the time saved to the vessel is wasted, and not utilized for additional
operation, then, to the extent that it is wasted, fixed charges represented by
the hours saved will be apparent only. But if, as is the case in an overwhelm-
ing percentage of the shipping here considered, the time saved is usefully
employed, every dollar of fixed charges represented by the time is a real saving
which, had it not been made, would have meant an actual disbursement of
cash in the long run. This is true of interest as well as other fixed charges
such as depreciation, administration, etc. Occasionally there is raised by
uninformed persons the point that interest is not usually charged to vessel
operation or expense and hence is not a proper element of fixed charges. This
erroneous opinion possibly originated in the forms prescribed by the Interstate







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 69

Commerce Commission for water carriers, which do not directly charge the
vessel with interest but allocate it elsewhere. This is merely a bookkeeping
convenience for the purpose, among others, of coordinating the accounts of
certain carriers and cannot alter the fact that interest must be earned and
paid or lost to capital. It is well that this be clearly understood.
TIME SAVD AS WEUL AS MONEY

It is necessary that a clear perception be had of the fundamental fact that
when a vessel shortens its route it saves both money and time. All operating
costs saved may be directly translated into money and banked by the owner.
After he has done this he still has on hand the time saved. If he is able to
usefully employ this, then the fixed charges represented by this saved time
become an actual money gain. In addition to this, he still has the profit
accruing from the use of the saved time. Of course, if the time saved cannot
be used, it is wasted, and the fixed charges and profit represented by it are
not real. This is seldom the case, however, and the great bulk of the shipping
involved in this study (upward of 85 percent) is of such a nature that it
could usefully employ the time saved. Of the remaining 15 percent or less,
the greater portion could usefully employ at least half the time saved, while
the remainder could usefully employ at least one-quarter of the time saved
(by reducing the percentage of the total hours of the year spent in drydock
and major repairs, as one example).
THR OAmBES

We have, then, as far as the value of time (as opposed to money) savings
are concerned, three cases:
I. All cargo vessels and tankers employed continuously in voyaging into and
out of the Gulf. In this case, vessels can usefully employ practically the entire
time saved, and hence fixed charges and voyage profits represented by this
time are a real money saving, and will bear a toll
II. Those combination cargo and passenger vessels which are obliged to oper-
ate on a set advance schedule of arrival and departure, and where the fleet
is not large enough to have the time saved represent the dropping or adding
of one or more. ships or voyages, as the case may be. However, this case repre-
sents those vessels to whom the incalculable value of the time saved (by reason
of betterment of competitive position, etc.) is probably much greater than that
portion of the fixed charge savings which cannot, in their case, be credited to the
time saved. For the purpose of this analysis, it is estimated that in this case
approximately one-half the time saved may be usefully employed, and that
the case comprises about 10 percent of the total tonnage.
III. Vessels whose operations represent special cases, such as an occasional
ship, continuously in commission, but not continuously usefully employed. For
the purpose of this analysis, this case is estimated to comprise not more than
5 percent of the total tonnage and that it is able to employ usefully one-fourth
the time saved.
The following table summarizes the three cases above discussed:

Percent Percent of
Cane of total time saved
tonnage usenlny
comprised employed

I.-....-...............-------- -...------------..... ............. ........... 85 100
II---.. ---------.....--- ------------------------ --- -------................ 10 50
III.....------.....---------------------------- .......... ----.............. 5 2

The meaning of the above table is as follows: All of the fixed charges rep-
resented by the time saved in 85 percent of the tonnage are real and direct
savings to the owner and will bear a toll. The same is true of 50 percent of
the fixed charges represented by the time savings of 10 percent of the tonnage
and of 25 percent of the fixed charges represented by 5 percent of the tonnage.
Or, in other words, the fixed charges represented by 91.5 percent of the time
savings of all the tonnage is a real saving and will bear a tolL







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


SarLea Mv a D INTO THB GBOUPB
It may be as well to repeat here that the savings to a ship using the canal
may be set up in three groups, as follows:
A. Savings in money: These are the actual savings in operating cost and fixed
charges represented by the hours saved.
B. Saving of the time itself. As will be shown, this time will be reflected
in additional voyages, the profit on which may equal or exceed the money repre-
sented by A.
C. Miscellaneous savings and advantages, some of which are determinate,
and others indeterminate, but all of which may be real and important. They
comprise (a) betterment of competitive position, (b) reserve fleet capital sav-
ings, (o) stimulation of exchange of water-borne freight by reason of shorter
schedules, (d) stimulation of passenger traffic, (e) greater freedom from hazard
due to safer and shorter roets.
It will be seen that A represents calculable magnitudes which may be com-
pated with all necessary precision. The values of B, while of great importance,
are bound to fluctuate, and to vary with each owner. C comprises items most
of which are incalculable but none the les real and valuable.
It may be taken for granted that an owner will route his vessels to his
greatest advantage, and that he will seek any real net advantage no matter
whether small or great Experience as well as common sense indicates that if
the canal toll were equivalent to the values represented by A the owner would
of necessity pay it In order to secure to himself the advantages of B and C.
That it will not be necessary for the canal to charge a toll equivalent to the
total of A is beside the point for the immediate discussion. Such a toll, mani-
festly, could be charged and leave such substantial benefits to shipping as to
cause them to bear the toll and use the canal.


DOCUMENT NO. 24 (FILES OF THE CHIEF OF ENGINEERS), FEBRUARY
10, 1933

APPEARANCE or CErAIN RAILnOAD INTEREST IN OPPosITIoN BEOREo
THF SPECIAL BOABD

Report of proceedings of hearings held at Jacksonville, Fla., by the special board
of Army engineer officers in charge of the survey for the Gulf-Atlantic ship
canal, under date of February 10, 1938

The following is extracted from the stenographic report of the
above hearing:
The hearing was called to order by CoL T. H. Jackson, senior member of the
board, at 10:30 a. m. Other members of the board present were Lt. Col.
Warren T. Hannum, Corps of Engineers, New Orleans, La.; Lt CoL Robert S.
Thomas, Corps of Engineers, Mobile, Ala.; Maj. C. Garlington, Corps of Engi-
neers, Savannah, Ga.; Maj. B. C. Dunn, Corps of Engineers, Jacksonville, Fla.;
and Maj. R. A. Sharrer, Corps of Engineers, Montgomery, Ala. In addition
there were approximately 50 persons present representing the different inter-
ests-representatives of railroads, local Florida engineers, etc.
Colonel JAcxKso. This meeting has been called primarily at the request of
certain railroad interests who desire to present certain data to be heard. Mr.
Kay is going to conduct the presentation, and I would suggest that those of you
called upon to address the board sit down by the side of the stenographer in
order to make it easy for him to hear all that is to be said.
Mr. W. E. KAY, general solicitor, Atlantic Coast Line Railroad, Jacksonville,
Fla. Chairman and gentlemen of the board, at the hearing called, as you have
stated, it is our thought that after the objections have been recorded and the
representatives of the lines here have presented their talks in opposition to what
is desired by the promoters of the cross-State canal that we will introduce
testimony which will follow more particularly along the lines of the construc-
tion features, supplementing it with certain thoughts as to navigability of the
canal if constructed; then, requesting the board that further time be allowed
to the objectors after having been supplied with the arguments on the traffic






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 71

features and value of the proposed enterprise within which to make a counter
showing and which we respectfully suggest would be a reasonable allowance of,
say, 60 days after the arguments are presented, and we ask that you treat that
as being an accepted order of procedure. Does the board desire the names of
the objectors of the different branches, or how shall that be recorded, as each
person addresses the board or the witness, or does the board desire to have the
personnel representing the railroads before commencing its presentation?
Colonel JACKSON. I think that will be satisfactory.
Mr. KAY. The interests who appear here are the Atlantic Coast Line Rail-
road, of which I am general solicitor; the Florida East Coast Line Railway,
prominently known as the Flagler System, represented here by Mr. Russell L.
Frink, general attorney; the Seaboard Air Line Railway and its receivers, rep-
resented by Mr. F. P. Fleming, district counsel; and the Southern Railway, ap-
pearing here through Mr. W. N. McGehee, commerce counsel. The others can
be supplied as and when the board, if at all, so requires. I will now introduce
Mr. J. E. Willoughby, chief engineer, Atlantic Coast Line Railroad, who will
present the points of objection which have been collected by the engineer talent
of those four railroads along the lines of a memorandum and where there may
be some additional thoughts amplifying the point under each appropriate head-
ing. In other words, we are trying to follow as logically as we can the order
of objection supplementing it at point 14 by the special testimony dealing with
navigability.
Will you please state your name, age, address, and position?
Mr. WILOUOHBY. J. E. Willoughby, chief engineer, Atlantic Coast Line Rail-
road, 62 years, Wilmington, N. C.
Mr. KAY. Mr. Willoughby, have you in hand a memorandum prepared cover-
ing the joint thoughts of the engineer representatives of the four lines men-
tioned?
Mr. WrLxovnmY. Yes.
Mr. KAY. Will you please proceed in this order: Mention the numbered para-
graph as you take up each point, then add to that anything that you desire in
the way of an addition or amplification of what has just been read as the
real point of objection.
(Mr. Willoughby reads the memorandum herewith marked "Exhibit 1.")
ExHmBrr 1

Joint statement of Mr. J. B. Akers, assistant chief engineer of Southern Rail-
way Co.; Mr. W. D. Faucette, chief engineer for receivers of Seaboard Air
Line Railway, Mr. L. C. Frohman, chief engineer for receivers of Florida
East Coast Railway, Mr. J. E. Willoughby, chief engineer, Atlantic Coast Line
Railroad Co.

The United States War Department, through its Engineering Corps now
investigating and making ready to report on the project of a ship canal between
the Gulf of Mexico and the Atlantic Ocean across the State of Florida, having
extended the railways certain general information, it is considered proper and
suitable for said railroads to now come before your board of engineers and
record at this time certain important observations, which, in their judgment,
should be placed before you.
1. The railways for whom this statement is made, own, operate, and/or
control practically all the common-carrier railway mileage in Florida, and
have large investments in Florida. These railways have in years long gone by,
as well as during the decade 1919 to 1929, built many miles of railways in
advance of the traffic needs of Florida so as to encourage the more rapid devel-
opment of Florida and the Southeast, and have established excellent schedules
for transport of persons to and from Florida, and of the products thereot
Every encouragement has been given by these railways to outside capital to
invest in Florida because these railways are vitally interested in the preserva-
tion of and the future growth of the agricultural, forestry, mining, and manu-
facturing Industries of Florida and of the real estate and trading interests of
Florida and the southeast. These railways are peculiarly interested in the
continued development of eastern, central, ond south Florida. It is their great
interest which brings us before your honorable Board.
2. It is submitted that the navigation interests of ocean-going craft are
not the factors for the control of decision as to the net advantage, if any,
of the proposed project but that the controlling factors should be: (a) The






DOCUMENTARY HISTORY OF THE FLORIDA CAAL


economic justification of the proposed expenditure; (b) the agricultural, for-
estry, mining, manufacturing, real estate, and trading interest of the peninsula
of Florida and its railway and highway transport agencies; pointing out the
extensive development of the State and local highways heretofore made and
that planned for the future for which the people have expended for construc-
tion tremendous sums of money; (c) the commercial Interests of the Gulf
and Atlantic ports of the United States, and of the hinterland of these ports.
We submit that the commercial interests of foreign-owned shipping and of
foreign ports should not be considered; and that the interest of United States
Gulf and Atlantic ports in foreign commerce should not be permitted to offet
in anywise the disadvantages to east, central, and south Florida of, among
other injuries, being reduced to the status of an Island.
& As to the economic fj Ulation of the projeot.-To justify the money
expenditure, the proposed project, whether a Federal navigation project or a
self-liquidating project, must earn at least (i) interest on its construction
costs; (b) a sum equal to current taxes on the project; (c) a credit for the
necessary additions and betterments as and when traffic requires such Im-
provements; (4) the cost of maintaining the property so created, and the cost
of administration, operation, and sanitation; (e) a reasonable profit on the
undertaking; (f) a necessary sum for amortization or sinking fund.
4. No ofical estimated cost of the project has been made public. From the
data available and from the experience of the engineers making this joint
statement (which experience includes the responsible direction of the location,
construction, and maintenance of railways and of accessory projects in the
southeast for 20, 80 and more years), and from such knowledge of the Panama
Canal as we have at hand, we believe the approximate cost of the project
will be, when finally consummated, $300,000,000 for the route indicated to us,
to wit: Beginning in the Withlacoochee Bay off the mouth of the Wlthlacoo-
chee River near Yankeetown, thence along the Withlacoochee River to Dunnel-
lon. At or near Dunnellon there is a lock to be built having a lift of 53 feet
From Dunnellon lock eastward, the canal will extend across the divide between
the valley of the Withlacoochee River and the valley of the Oklawaha River,
with a minimum elevation of 40 feet above mean sea level. A lock to be
constructed near Lake Kerr to drop the water level to that of the St. Johns
River near Lake Kerr. From Lake Kerr lock a channel to be dredged to and
down the St. Johns River to Jacksonville. The width of the canal between
the Dunnellon lock and Lake Kerr lock to be 300 feet. From the Dunnellon
lock the dredged river channel to be 300 feet, and the approach channel in
Withlacoochee Bay to be 500 feet All widths are minimum bottom widths.
The depth in the canal section (referred to mean sea level) to be 36 feet plus
2 feet overdepth, and the same depths to be obtained in the river channels.
The alinement of the canal, but not in the river channels, to have a minimum
radius of 5,000 feet at the curves. The canal locks (assuming the locks to be
twin locks) to be 110 feet wide with a length of 1,000, equipped with intermedi-
ate gates. The depth over the miter sills to be 40 feet The total length of
the route, including more than 20 miles of approach channel in the Gulf,
will be approximately 206 miles, of which about 45 miles will be between the
locks and the remainder in the river channels or dredged canals extending
to the Withiacoochee River and the St Johns River. A part of the 45 miles
between the locks will be in the valley of the Oklawaha River. A dam is to
be built across the Oklawaha River Valley near the month of Orange Creek
so as to bring the elevation of water in the Oklawaha River Valley to 40 feet
minimum above sea level The water level in the Oklawaha Valley to be
kept below the elevation of water in Silver Springs and in the great lakes
Harris, Eustis, and Griffin. The spoil from the canal excavation to be dis-
posed of by distributing it on both sides of the canal out to a maximum
distance of about 1,J00 feet from the edge of the canal. The maximum depth
of the spoil to be 20 feet with 200 feet berm. The slopes of the canal banks
to be one-half to one or one to one in rock; and three to one in other material.
Vertical-lift bridges to be constructed for seven railway crossings. The bridges
to serve the railways are: Seaboard Air Line, two; Atlantic Coast Line, three;
Florida East Coast, two.
Nine suspension-type highway bridges to be built with a vertical clearance
above the surface of water of 135 feet. The channel spans for the highway
bridges will be 700 feet between towers. The above describes the project as
we understand it is now being considered. The nine highway bridges to be
built as proposed must serve all north and south hlZhwav transport because






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


of the enormous cost of building and maintaining additional highway bridges
at the cost of the people of the State. Such costs, coming after the canal has
been completed, will retard the development of the island of Florida. The
flooded valley of the Oklawaha will present a serious obstacle to any highway
crossing that valley.
5. The engineers now making this joint statement do not believe that the low-
est unit construction costs can be reasonably expected for the project, and for
argument submit that:
(a) Florida does not have within its borders all the necessary skilled and
common labor to man the project. The interstate railways of Florida continu-
ally bring from without construction and maintenance labor. The labor and
mechanics to be employed on the project will necessarily be subject to the work-
ing conditions and rates of pay which prevail in the United States, plus trans-
port costs A project of such magnitude will involve the costs of sanitary and
medical care for the employees.
(b) Florida does not have much stone or gravel that will pass the customary
specifications for hardness and toughness required for masonry specifications.
Much of the coarse aggregate must be brought into the State. Florida has but
few deposits of fine aggregate suitable for masonry, although there is much sand
and sandy loam throughout the State. Much of the other construction mate-
rials must come from beyond the State.
(c) Florida does not have large local contracting organizations capable of
handling any considerable part of the proposed work, and unit costs reported
by the industrial plants in Florida since 1929 will be misleading if literally
applied in the estimates of cost for the proposed work.
(4) In fixing total construction cost of the work, consideration must be
given to the shorter legal hours of service that may govern a project of this
magnitude.
6. On the basis of $300,000,000 cost, not including any interest during con-
struction or development period, the project must earn annually a sum of money
to provide for the following:
(a) Interest on construction cost.
(b) Taxes and public dues.
(c) Credit for necessary additions and betterments, as and when traffic
requires such improvements.
(d) Maintenance of the property so created and for administration, opera-
tion, and sanitation.
(e) Reasonable profit on undertaking.
(f) Amortization or sinking fund.
In regard to these listed items, we can reasonably at this time point to two
of them:
(a) 5% percent interest on $30,000,000.--------------------$1- 500,000
(b) Taxes and public dues------------------ __--- ----- -- 3,000,000
Sum of above two items---.------.-----.--.-----.- -- 19,500,000
In fixing the 5%-percent rate for interest, we follow the present rates of the
Reconstruction Finance Corporation.
Discussing the remaining items ((c) to (f) inclusive) we do not suggest
what the cost of maintaining the completed project will be other than to point
out the cost shown by the report of the Governor of the Panama Canal for the
fiscal year 1982. Selecting those items that are applicable for comparative
purposes, it appears that, on the Panama Canal basis, the annual operating
expenses for the Gulf-Atlantic project as hereinabove described, may be ap-
proximately $17,000,000. Neither of the two items ((a) and (b) above) in-
clude amortization or depreciation, nor provide a sinking fund. The Panama
Canal depreciation for fixed property for 1982 was $1,006,624. It is, there-
fore, clear the $19,500,000 above cited is the minimum which this canal must
currently earn, omitting consideration of the other listed items ((c) to (f)
inclusive).
7. In explanation of item for taxes and public dues (b), $3,000,000, we say
that the capital available in the United States all comes now from the United
States. When any portion of the capital is invested, that sum is lost as a
source of taxation unless provision be made for a tax revenue from the project,
hence the above inclusion (b). We do not overlook the requirement of section
16, article 16, Florida Constitution, reading:







74 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

"The property of all corporations except the property of a corporation which
shall construct a ship or barge canal across the peninsula of Florida, if the
Legislature should so enact, whether heretofore or hereafter Incorporated, shall
be subject to taxation unless such property shall be held and used exclusively
for religious, scientific, municipal, educational, literary, or charitable purposes."
We make no prophecy as to what capital sum may in future be needed for
additions and betterments to the property. That such sums will be needed is
highly probable; in Panama a large sum is now being spent for the Madden
Dam. We make no suggestion as to what sum should be earned as a reason-
able profit on the undertaking nor for the amortization thereof, nor for sinking
fund purposes.
8. In connection with the cost of operation of the property proposed to be
constructed, attention is called to the fact that the cost of maintaining and
operating the several bridges will be a considerable item, and equity will suggest
that such costs should be borne wholly by the Gulf-Atlantic Canal organization;
and assurance should be given to carriers, rail, highway, or otherwise, that no
added costs will pass to the carriers or the public, and certainly no added
cost should pass to the present transport agencies or the people of Florida and
the Southeast by reason of the construction of a new transport route for
shipping
9. The suggestion has been made that the ground-water flow and the over-
fow from Lakes Griffin, Harris, and Eustis, and the flow from Silver Springs
and other sources into the Oklawaha River, will suffice to furnish the water
needed for lockages, for evaporation, for seepage, as well as for the growth of
vegetation in the territory adjacent to the canal. We think that the acceptance
of such a suggestion or theory may lead to grave error. We note from Docu-
ment 514, House of Representatives, Sixty-third Congress, that the "low-water
discharge of the Oklawaha River about the point where the Silver Springs
Run empties Into it, is about 124 cubic feet per second. * The discharge
of Silver Springs Run was determined to be 800 cubic feet per second and the
discharge of the Oklawaha River below the mouth of this run about 800 cubic
feet per second." It follows from the quotations above that the only surface
flow of moment is the Silver Springs Run. The excavation of the canal
through the Ocala limestone may have a very decided effect on the underground
fow in the Ocala limestone, and on the wells and water supply remote from
the canal, and on Silver Springs Run, as well as on many of the streams that
come to the surface in this part of Florida. Furthermore, the Ocala lime-
stone is cavernous. It is entirely probable that in the excavation of the canal
some caverns will be opened to the flow of water which may take away a large
part of the water which is expected to be impounded. We have such a con-
dition in the Paynes Prairie, just south of Gainesville, once a lake, but now
drained into underground channels. The use of explosives may have the effect
of opening up such crevices between the layers of stratified limestone as to
cause a material change In the underground flow.
10. The suggestion contained in the two paragraphs 8 and 9 above are proper
matters to the considered in making estimates of cost of construction, mainte-
nance, and operation, and of the need for credit for future capital expenditures
necessary to provide for the shipping.
11. As to the effect on the agricultural, forestry, mining, manufacturing, real
estate, and trading Interests of the peninsula of Florida. The agricultural
and development departments of the railways may have in the future some-
thing to offer. We submit what we have said above relative to the probable
effect on the underground fow, with the further assertion that the impounding
of the Oklawaha River to an elevation of water varying from 40 to 58 feet
may have adverse effect on elevation of water in the great lakes of Eustis,
Griffin, and Harris and may result in injurious effects to the farming territory
on the margin of these great lakes. The elevation of the water in Lake
Griffin, the northernmost one, is 58.7 feet.
We leave for future presentation all discussion relative to economic phases
of ship transit via the proposed Gulf-Atlantic canal.
12. When the canal is constructed, that part of Florida which lies to the
south of the canal and which part contains most of the producing groves and
farms and most of the mines, most of the uncut forests, most of the winter
resorts, will become an island, connected to the mainland by seven railway and
nine highway bridges over which all travel to and from and all products of
Florida must pass. It may be assumed as a certainty that there will be no
added bridges over the canal on account of the interference with ship move-






a DOCUMENTARY HISTORY OF THE FOIRIDA CANAL


ments and the prohibitive cost of high-clearance bridges. The time for open-
ing and closing a lift bridge for a canal transit will be about 7 to 10 minutes,
not including time for the passage of the vessel, during which time all land
transport will stop. The future development of the island of Florida will be
rigidly controlled to a development along the land transport lanes first selected
for bridges, with the possibility that many of the present routes of transport
may be abandoned to avoid the cost of maintaining and operating bridges.
The development of the territory lying between the land transport lanes first
selected will be retarded. Transport in Florida is along north and south
lanes.
13. The assumption has been made by the advocates of the project that
all shipping from the Gulf ports destined for ports on the Atlantic Ocean north
of Jacksonville, as well as for ports on the European Atlantic and Mediter-
ranean will pass through the canal because such will be shorter mileage. The
assumption has been made that the miles per hour of a ship using the route
will be 6.9 statute miles per hour in the canal; 11.5 statute miles per hour in
the open water. The estimated time of transit is 24.6 hours, based on 113
hours in the canal, 10.3 hours in the inland open water, and 3 hours for lockages
and bridge delays. The 24.6 hours means moving in the nighttime hours
as well as in the daylight hours. In the Panama Canal shipping is so dis-
patched as to avoid extensive nighttime movements. The time required for
a Gulf-Atlantic transit is such that movements may be required at night
over a part of the distance at very nearly the full ocean speed of the vessel
It is probable that the shipowners and shipmasters will be unwilling to under-
take navigation in the Gulf-Atlantic canal at high rates of speed, especially
If other vessels may be expected to be overtaken or passed. The estimate is
that the saving in hours per voyage from New Orleans to Diamond Shoals
Light for coastwise vessels moving to points north of Diamond Shoals will be
23.0 hours, or 1 day. In the event of a rule requiring a tie-up at night, these
savings will be reduced by about 10 hours, average tie-up.
14. It is submitted that there are grave dangers to shipping incident to
traversing a narrow and tortuous channel, and that the peninsula of Florida is
visited by tropical storms of varying magnitude; and that the inland open
waters proposed to be navigated at very nearly full ocean speed are all subject
to dense fogs during 4 months each year and that a dense fog will still further
lengthen the transit time; and that a dense fog and a regulation for nighttime
tie-up may consume almost the entire time saving estimated to result from the
use of the canal. It is further submitted that fogs may be expected so dense
as to paralyze for a time all traffic in the canal. It is further submitted
that the speeds as set out above are in excess of what will be obtained in
actual operation, and that the meeting and passing of vessels will further
retard the actual operating speeds due to the need for greatly reducing speed
in meeting and passing. The overtaking and passing of moving vessels will
be exceedingly dangerous.
15. It is submitted that there is no obligation for any American interest
to provide a canal for use by foreign shipping and that if a canal be provided
for use both by American and foreign vessels, the tolls to be collected should
be at such a rate as will insure some profit to the builder of the canal and
from its maintenance and operation. The experience at the time the tolls
were fixed for the Panama Canal against all shipping (and not tolls charged
to foreign vessels only) is the precedent that must be followed in fixing tolls
for the Gulf-Atlantic canal. The use of the canal must be on a toll for
all vessels or free for all vessels.
NoTe.-On page 4, following paragraph 4, the following interpolations were made.
Mr. KAY. You make no reference here of the number of bridges to be con-
structed by the Southern Railway, that is, the G. S. & F. Why the omission?
Mr. WILLOUOHBY. The Southern Railway's tracks do not now cross the
route of the canal or the St Johns River.
Mr. KAY. So the G. S. & F. will not be involved in that construction?
Mr. WnILOUOHBY. No.
Mr. KAT. Proceed.
Mr. Willoughby concluded the reading of the memorandum referred to, and
stated:
Mr. WnLOUGOHBY. Relative to the discussion with regard to the flow. The
geology of Florida is that the interior of the peninsula has been raised, and
82710-36--6






76 DOCUMENTARY HISTORY OF THE FLORIDA CANAL '

the strata that is exposed as Ocala limestone is lower than the strata in
south Georgia. The strata of the Ocala limestone is Eocene, whereas that of
south Georgia is Oligocene. It follows in that that the flow of water in the
Ocala limestone area is not from Georgia and points beyond, that underground
flow is necessarily one that falls within the area of that strata. That strata
is of a varying thickhMes. The Ocala limestone is a very porous bed of lime-
stone and the strata that underlies it is more or less mixed limestone, but it
is predominantly limestone as disclosed by the wells. There can be no flow
through the underground portion except that which will be adjacent to this
canal, that is, except that which falls in that area. The investigation that
was made by the United States Engineers on the Oklawaha improvement, re-
ferred to, determined that there is practically no surface fow from the great
lakes of the South. Whether any part of that great lakes of the South comes
to the surface as Silver Springs is unknown. Exactly where the Silver Springs
fow comes from is problematical. If some part of the Silver Springs fow
should come from the south of the canal, it will materially affect the fow of
the canal if it breaks into the canal. Some recognized statements have been
made about those caverns; the caverns in Ocala limestone are not worn down
only to the sea level but fairly well below the sea level. Surface flow is a
dangerous engineering project on which to base an expenditure of $300,000,000.
Mr. KAT. I will proceed further by introducing Capt. E. W. Myers. Will
you please give your name?
Captain MTma E. W. Myers.
Mr. KAY. Address?
Captain MTaS Tampa, Fla.
Mr. KAY. Business?
Captain MTms Pilot
Mr. KAT. At whose request do you appear?
Captain Mrms. At the request of the railroads.
Mr. KAT. Do you hold a Government license to navigate ocean-going and
other vessels?
Captain Mvrms I hold a license as master of ocean vessels with unlimited
tonnage on any ocean.
Mr. KAr. What experience have you had in navigating vessels in canals?
Captain MTms. Considerable experience. My permanent occupation is op-
erating on canals of 200 feet in width of from 1 to 3 miles in length and 300
feet in width, 15 miles in length.
Mr. KAr. You have heard the proposed cross-State canal described this morn-
ing. Do you consider that pilots will be required to navigate vessels through it?
Captain MTrm I do.
Mr. KAT. How many?
Captain MTrs. Possibly 4; at least 3.
Mr. KAT. Why?
Captain Mims. Well, on account of the long route, according to the Federal,
license laws, a man holding a license is not permitted to operate over 13 hours
in any 24-hour period without 8 hours of rest thereafter.
Mr. KAT. What do you think will be a safe average speed for the larger
vessels navigating through this canal?
Captain Mmma. I would say from 4% to 6 knots an hour.
Mr. KAT. What are some of the hazards of canal operation?
Captain MYis. Fog or thick weather of any description, passing of vessels,
suction from other vessels and banks, and other mediums such as terminals,
and vessels lying alongside.
Mr. KAY. Do you believe ocean vessels from the Atlantic Ocean to the Gulf
of Mexico and vice versa would use this canal in preference to the well-estab-
lished lanes of traffic?
Captain MIas. I would say that with a material saving there may be certain
types of vessels that would use this canal.
Mr. KAT. What do you mean by certain types?
Captain MTms. Well, for instance, large vessels and vessels having the faster
speeds would be less liable to use the canal due to the fact that they may enter
the canal behind a vessel of only 8 or 9 knots speed, provided 9 knots could be
maintained.
Mr. KAT. How about vessels with 16 knots speed?
Captain MTzrL They would, of course, have to reduce their speed, and the
material loss of time in going through the canal, or the difference in going
through the canal and making the outside passage, would not be advantageous.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


Mr. KAY. Do you think night operation should be permitted in this canal?
Captain MYl& I hardly believe so; It may be necessary under very urgent
drcumstances or conditions of tremendous expense to lighting.
Mr. KAY. If you were navigating a vessel from the North Atlantic or from a
European port and the weather was very inclement, would you use the canal?
Captain MyIma No, sir; it is not likely that I would and especially on cer-
tain routes, unless the saving was a considerable amount, due to the fact in
approaching or entering the canal where a fog or thick weather may hamper
your operation, or cause a dip, the difference in the saving would be that
much less an advantage.
Mr. KAY. Would a vessel have to reduce speed approaching bridges and
vessels?
Captain MYa. Suspension bridges whose abutments are considerably back
from the bank, no, but drawbridges or one-way bridges would have to be ap-
proached at a moderate speed and I would say lift bridges also, because a
master of a ship or pilot of a ship approaching a lift bridge is not going to
enter within danger distance until the bridge is nearly lifted, due to the fact
that the failure of machinery may cause some delay.
Mr. KAY. Will you be so kind as to explain this to the board: The principle
upon which certain types of vessels using this canal according to size, draft,
speed, etc., would meet, approach, pass, or follow the different vessels?
Captain My ra Yes.
Mr. KAY. What would be the navigable effect on these different types passing
through this canal?
Captain MYas. The smaller vessels or vessels of light draft possibly would
not have to reduce speed, but vessels of 300 feet or more in length and
vessels of greater depth, or the larger-type vessels, where the suction from
banks and the suction between vessels would have a tendency to cause sheer-
ing in passing, would necessarily have to slow down to a very cautious speed.
We find in the 200-foot canals, we must reduce our speed to possibly two knots
an hour and every precaution must be used in passing. That is beside the
question in this case because it is to be 300 feet in width, but in a 300-foot
canal it is also necessary to reduce speed, and most of our canals are inland
open waters. In other words, the total depth on the banks or outside of
the canal is 12 or 18 feet, and in this case we still have to slow down to very
slow speeds in meeting or passing two loaded vessels, so that if we meet a
loaded vessel he can diverge outside or go clear.
Mr. KAY. I do not think you entirely covered the point. What is the suction
there with relation to two heavy vessels meeting and passing?
Captain MYas. Suction is not only created by the pushing of water by both
vessels, but as a vessel is approaching alongside of any bank, the pressure of
the water against the bow of the boat has a tendency to force the vessel into
midstream, and for that reason they always have to slow down in canals of
any description to a speed where all the suction is reduced; and by putting the
helm over one way or the other and increasing the speed of the engine at the
moment of passing, the danger of sheering and collision is reduced. All vessels
in passing bridges will have to use caution in approaching the trestles from
either side, which will perhaps make a little longer delay.
Mr. KAY. I want you to cover more fully the feature. of two heavy vessels
meeting and passing each other as to what the tendency would be as to suction
from the center of the channel rather than from the banks.
Captain MrTm. I tried to explain that because of the pressure between the
bow and the bank of the canal, both vessels are affected the same way, and
the pressure shoving both vessels toward midstream and the pull of the suction
between both vessels will have a tendency to draw them together and without
materially reducing the speed this sheering or collision cannot be overcome.
That is the reason we always maintain very slow speeds in passing through
narrow entrances such as bridges.
Mr. KAY. Do you think it will be necessary to have three or four pilots
assigned to each transit?
Captain Myws. Yes, sir; I do. Of course, that is only approximate so far
as I have knowledge of canal operation; but from the testimony so given, the
passage would be 24 hours, and that would require at least two pilots, 13 hours
each, and it is quite possible that for the operation through the portion of the
canal at each end of the locks, it would require an additional pilot, and the
man who does that should be more familiar with the locking than the average
pilot In open waters.






78 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

Colonel JAcKaoN. You spoke of navigating in certain canals, some 200 feet
wide and others 300 feet wide. Will you mention one or more cases of 200-foot
channels where you operate yourself?
Captain MTma. All of our channels in Tampa Harbor, and I operate down
as far as Gadsden Point, a distance of 9 miles, are 200 feet; 7% miles, approx-
imately, of that canal is what we would term open inland water and 3 miles
immediately adjacent to the waterfront are dry banks or terminals. That is
also 200 feet wide there, and our speed through there, of course, is but 6 miles
an hour, but for any vessel that you might have to pass or a vessel lying
alongside a terminal, your speed has to be much less than 6 miles. .Within
that 3 miles the speed of a loaded vessel passing another vessel moored to a
terminal has to be somewhat reduced, otherwise the suction between the two
vessels will cause lines to be broken and possibly cause damage to terminals.
Colonel JACKsoN. What is the width of the channel there?
Captain Mms. Two hundred feet.
Colonel JACseow. What is the width of the water surface?
Captain MYms. There is practically no water surface outside the channel;
there may be 100 or 150 feet on certain sides that have not been developed in
the harbor development.
Colonel JAcsKow. It is practically a typical canal then.
Captain rms. It would be a typical canal, especially where there are ves-
sels moored. Now, the same caution has to be used in passing a vessel moored
to a terminal in order not to Jar the ship or cause lines to be broken or injury
to terminals, just as much as in namsiin a moving vessel.
Colonel HAwNNU. Your experience has been primarily with Tampa Harbor,
has it not?
Captain MIms. Yes; so far as eanals are concerned.
Colonel HAINUx. I also noted you made some comment with reference to
passing and overtaking vesels.
Captain MTmaL Yes; I did.
Colonel HAswum. We find, and I think yo will find from anyone who oper-
ates in canals, that it is almost physically impossible and considered one of
the most dangerous of operations to attempt to pas an overtaken vesseL Are
you familiar with the Port Arthur Ship Canal and the Sabine-Nachez and
Beaumont Canals?
Captain Mrms. No, air; I know nothing about them, except what I have
heard.
Colonel HAmNwM. Have you ever operated through any of them?
Captain MxTa No
Colonel HauNx. Do you know what the bottom width of the Houston Canal
is?
Captain MYRms. I don't know what the widths of any of them are, other than
they are all approximately 200 Ieet; some of them, perhaps, less than that.
Colonel HAnNmx. The Houston Canal is 150 feet wide on the bottom, and it
has a considerable slope. Have you ever operated through the Port Arthur
Ship Canal; do you know how long it Is?
Captain MTrns. No; I do not.
Colonel HAxNUM. The Port Arthur Ship Canal is about 10 miles long and has
150 feet bottom width. Are you familiar with the ships passing through that
canal?
Captain MrTm I know somewhat of them.
Colonel HANNUM. Do you know, according to the figures compiled, that
12,000,OCO tons came down the Beaumont Canal and the Neches River last year
and that there are a great many large tankers which pass through the Port
Arthur Ship Canal and the Sabine-Nechez Canal, which has a bottom width at
the present time of 150 feet? Do you assume if there is danger in the opera-
tion of a particular waterway that they will exclude ships from going through
there?
Captain MTms. No, sir; I contended that they will exclude ships from going
through this canal as far as I know how to point out the experience we have
in the operation of these narrow canals.
Colonel HAwSUM. Your operation has been limited to local operation in
Tampa Bay, has it not?
Captain Mrlms. Yes; of course I have, in this way, in connection with the
explanation of the operation of this and other canals, had the opinions of the
captains of the different ships who have operated in those canals and what they
think of our canal in comparison with this.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 79

Colonel HAnNUM. But they didn't explain to you about the Port Arthur
Ship Canal or the Sabine-Nechez Canal?
Captain Mmas. To a certain extent they did.
Colonel HANNUM. Are you familiar with the passes, the South Pass and the
Southwest Pass of the Mississippi River?
Captain Mums. No, sir.
Colonel HANNUM. Well, the South Pass has a project depth of 30 feet, and
it is about 12 miles to the head of the pass; the Southwest Pass has a project
depth of 35 feet and is 20 miles long. A vast amount of traffic from the At-
lantic Seaboard goes up to New Orleans and it they do not draw more than
30 feet, go up the South Pass.
Captain MYa. Yes, sir; I know quite a number of vessels that use the
South Pass.
Colonel HANNUM. Why?
Captain MYas. Account of it being closer.
Colonel HANNuM. Yes; and, therefore, they save from 1 to 3 hours by going
up the South Pass rather than the Southwest Pass; but the South Pass, espe-
cially in flood stages, is very much more dangerous to navigate than the South-
west Pass--
Captain MYEas. Yes; there are times when they prefer the west passage.
Colonel HANNUM. And shipping interests require them to go up the South
Pass rather than the Southwest Pass in order to save from 1 to 3 hours' time.
Captain Mrms. There is no great deal of difference in the operation of the
two passes, the difference being only about 1% hours.
Colonel HANNUM. But the widths are decidedly different; the southwest
pass has three times the width of the south pass.
Captain MYEin It depends a great deal on the conditions at the time as to
using one pass or the other; if the weather is not bad, they would perhaps
deem it more favorable to use the South Pass.
Colonel HANxou. I just wanted to bring out the fact that shipping interests
do require their pilots to go up the South Pass instead of the Southwest Pass
in spite of the increased danger just in order to have an hour's time.
Captain MYms. The contention or the position I have taken on this matter
is, it is my private opinion that if there is a material saving that will overcome
the hazards caused in the passage of this canal, certain types of ships will
use this canal; they will be forced to use it.
Colonel HAmNUM. Who controls the routing of the ships? Does the pilot or
the master?
Captain MYTas. The owner controls it; the master should, but oftentimes,
because the pressure is such that his position is at stake and without possibly
jeopardizing his interests through accidents or loss of life, he takes a great
many chances he would not otherwise.
Colonel HANNUM. Then the owner controls the routing of the ship, and if
he is going to save money he will probably make it go through in spite of the
danger.
Captain MYms. Yes; I would say he would.
Mr. KAY. This concludes the presentation on behalf of the objecting rail
carriers. Subject to the request already announced, to which I understood
the board so graciously consented, we shall have 60 days to meet and reply
to whatever the traffic situation may evoke as a part of the data for your
consideration. As far as this meeting is concerned, our presentation is
finished.
Colonel HANNUM. Mr. Willoughby, you made a statement in your address
to the effect that the construction of the canal across the State would limit
the development of the southern peninsula due to the high cost of future con-
struction of highway or railway bridges across the canal. Have you any figures
showing the capacity of these existing crossings which will be replaced by
bridges in the future for the railroads?
Mr. WILLOUGHBY. You misunderstood my statement. My statement was that
all traffic will be confined to the five railway lanes and the nine highway lanes
and that there will be no additional bridges beyond those which are now
contemplated due to the high cost of those bridges.
Colonel HANNUM. How long a period will the capacity of those crossings
suffice?
Mr. WILLOUOHBY. Their capacity, insofar as the railroads are concerned, it
they will be double track for the railroads that now exist, they would suffice
during a very long time. As to the highways, the State highways have not







80 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

yet developed in the State of Florida to the extent that the highways con-
template development, but the highway development will be constrained to the
nine lanes now to be provided and that represents nine lanes for about 200
miles
Colonel HANIum. You deem that your present railroad service and two-
track bridges at the present crossings will suffice for many years in the
future.
Mr. WILlenamr. I do not anticipate there will be any further main-line
development in Florida, but there will be branch-line development which will
no doubt later go to main line.
Colonel JAaxcsr. The meeting is adjourned.
(The hearing adjourned at 11:30 a. m.)
This introduction by the representatives of the railroads of the
question of the possible effect of the canal upon the water supply
is the first time that this question appears in the record.


DOCUMENT NO. 25 (FILES OF THE GOVERNOR'S OFFICE,
TALLAHASSEE, FLA.), MARCH 18, 1933

COMMUNICATION FROM GovzmO SHOLTZ, OF FLORIDA, TO THE
PREsIDENT

Under date of March 18, 1933, Gov. David M. Sholtz, of Florida,
addressed the following letter to the President:
STATE or FimLOm, EXECUTIxv DEPArTMNT,
Tallahasee, March 18, 1933.
Hon. Fwa NLN D. BoosoVLT,
President of the United Btates,
The White House, Washington, D. 0.
Mr DaI) Ma. PSamIDM : It is my understanding that Gen. C. P. Summerall
and Walter F. Coachman, Jr., will call on you in the near future to request
the including of the Florida ship canal In your public-works program.
It is my hope that you will give their plea your very serious consideration
and that you will arrive at a favorable conclusion.
A very large amount of common labor can be used on this project, of a class
that lends itself admirably to the cantonment system for the unemployed.
Benefits from this project will be permanent and accrue not only to the Nation's
shipping between the Gulf and Atlantic but between the 37 States of the
Nation. This project wil complete a vital and necessary link in the Nation's
intracoastal canal system from Boston to the Rio Grande. The plans for the
project are so far advanced that work can start promptly. Its construction
will necessitate large expenditures of private capital for auxiliary work,
thereby causing additional employment of labor. The Florida ship canal is
endorsed by all outstanding waterways associations of the United States and,
again, I urge your favorable conclusion.
With all good wishes, I am,
Respectfully yours,
DAVID SHOLTZ, Governor.

DOCUMENT NO. 26 (FILES OF ALABAMA STATE DOCKS COMMISSION),
MARCH 18, 1933

COMMUNICATION FROM R. A. CHRISTIAN, CHAIRMAN, ALABAMA STATE
DOCKS COMMIssION, TO THE PRESIDENT

Under date of March 18, 1933, Hon. R. A. Christian, chairman of
the Alabama State Docks Commission, addressed the following tele-
gram to the President:






DOCUMENTARY HISTORY OF THE FLORIDA CANAL 81
MoBusa, ALA., March 18, 1933.
The PInnmzT,
The White House, Washington, D. C.:
We wish to endorse and commend to you for your most careful consideration
the proposed ship-canal project across north Florida. Understand General Sum-
merall will confer with you Monday and explain the great economic good that
would result from this improvement In addition to tQe permanent advantages
of such an undertaking, it would give immediate employment to a large number.
We sincerely trust that the merit of the proposition will justify you in includ-
ing in your broad program this particular objective.
R. A. CHmBrrnN,
Chairman, Alabama State Docks Commission.


DOCUMENT NO. 27 (FILES OF THE DIRECTOR OF THE BUDGET),
MARCH 24, 1933

CoMMUNICATION FEox HENRY H. BUCKMAN To HE DIBCTOR OF THE
BUDGrEr

Under date of March 24 1933, Henry H. Buckman, of engineering
counsel for the National Gulf-Atlantic Ship Canal Association, pur-
suant to instructions issued by the President, addressed the following
communication to the Hon. L. W. Douglas, Director of the Budget:
WAsHIEGToN, D. C., March 24, 1933.
Hon. L. W. DovuLAs,
Director of the Budget, Washington, D. C.
Mr DmA M&. DOUrGLA: The President has directed me to lay before you the
matter of the proposed Gulf-Atlantic ship canal across Florida and to ask of
you that you request the Secretaries of War, Interior, and Commerce to make
to the President, within 1 week from March 23, a report on this project with a
view toward its present construction, the chief questions to be covered by the
report being:
1. What will be the approximate outside cost of the project?
2. Can it be made self-liquidating over a term of years on the basis of revenue
to be derived from tolls on shipping sufficient to pay (a) operating expenses,
(b) 3 to 83 percent on the capital cost, (o) amortization at the rate of approxi-
mately one-half of 1 percent per annum?
The Corps of Engineers are now completing a very comprehensive survey of
the project, and the Secretary of War will no doubt have available all necessary
information.
There is attached hereto a digest of the salient facts relating to the project.
Sincerely yours,
H. H. BUOKMAN,
Consulting Engineer, National Gulf-Atlantic Ship Canal Association.


DOCUMENT NO. 28 (FILES OF THE P. W. A.), MAY 12, 1933

AN ACT OF THE LEGISLATURE OF THE STATE OF FLORIDA CREATING THE
SHIP CANAL AUTHORITr OF THE STATE OF FLORIDA, APPROVED MAY
12, 1933

For the purpose of cooperating with the Federal Government in
the construction of the canal, the Legislature of the State of Florida,
by an act approved May 12, 1933, created the Ship Canal Authority
of the State of Florida. The title of this bill is as follows:
AN ACT Creating and incorporating the Ship Canal Authority of the State of
Florida; prescribing the capital of said corporation; providing for the man-







DOCUMENTARY HISTORY OF THE FLORIDA CANAL


agement of said corporation and prescribing its general powers; authorizing
said corporation to acquire, operate, and maintain a ship canal across the
State of Florida; authorizing the purchase of property equipment, services,
and supplies, and the performance of any and all acts necessary or con-
venient to the acquisition, construction, and operation of said canal and its
appurtenances; providing that none of the general revenues of the State
shall be used for or jpedged for such purpose; authorizing said corporation
to borrow money and to issue revenue bonds securing the repayment thereof;
authorizing said corporation to procure rights-of-way and other property by
condemnation and otherwise, and giving said corporation the right to take
and use certain State lands for such purposes; authorizing counties to con-
demn or otherwise procure and to donate to said corporation land, rights-of-
way, and other property needed or useful in the construction and operation of
said canal, and to levy taxes for such purposes; providing for the collection
of tolls and the making of rules for the use of said canal and creating a lien
on watercraft for unpaid tolls; prescribing the disposition to be made of
revenues derived by the corporation from the operation of said canal; grant-
ing to said corporation the right to regulate and control the business of
pilotage in said canal; exempting the property of said corporation from tax-
ation; providing for annual and other reports to be made to the Governor;
prescribing bonds to be furnished by members of the board of directors of
said corporation, and the salaries to be paid said members; authorizing said
corporation to transfer its rights and property to the United States of
America under certain conditions; and repealing conflicting laws.
Pursuant to the authority and direction of the above act, the
Governor appointed the following to be directors of the Ship Canal
Authority of the State of Florida:
Gen. Charles P. Summerall (chairman), Eustis, Lake County, Fla.
Hon. John W. Campbell, mayor, Palatka, Fla.
Dr. Eugene G. Peek, Ocala, Fla.
Mr. J. W. Turner, Cedar Keys, Fla.
Mr. Walter F. Coachman, Jr., Jacksonville, Fla.
The Ship Canal Authority of the State of Florida took over the
application of the National Gulf-Atlantic Ship Canal Association
to the Reconstruction Finance Corporation for a loan with which to
construct a canal, and subsequently the association did not partici-
pate in any official capacity.

DOCUMENT NO. 29 (FILES OF THE P. W. A.), MAY 27, 1933

JOINT MEMORIAL OF THE SENATE AND HOUSE OF REPRESENTATIVES OF
THE STATE OF FLORIDA

The following joint memorial to the President of the United States
was adopted by the Legislature of the State of Florida and approved
by the Governor May 27, 1988.
JOINT MEMORIAL No. 11
JOINT MEMORIAL OF THE SENATE AND HOUSE OF REPRESENTATIVES OF THE STATB
Or rLORIDA
A memorial to the President of the United States requesting the assistance and
cooperation of every available Federal agency in order to make possible, at
an early date, commencement of construction work on a ship canal across the
peninsula of the State of Florida.
Whereas the construction of a ship canal across the State of Florida will give
employment to a vast amount of human labor, thus greatly relieving the distress
due to the unemployment crisis; at the same time creating a valuable com-






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


mercial and military asset which will, in the course of time, repay its own cost
through the collection of reasonable tolls from ships using the canal; and
Whereas the constitution of the State of Florida contemplates with favor
the construction of such a canal across the State and makes provision for and
authorizes special legislation in order to facilitate such construction; and the
Legislature of the State has now created a public corporation known as the
Florida Ship Canal Authority and has granted to said corporation a franchise,
with full power and authority to construct said canal; and
Whereas such a canal will cut off approximately 500 miles of distance by the
water route between New Orleans and the Gult ports, on the one hand, and
New York and Liverpool, on the other, will eliminate the danger to shipping
incident to passage through the Florida Straits, will bring about tremendous
savings by reason of the resultant reduction in time, insurance, and other trans-
portation costs, and will constitute a valuable asset to our national defense; and
Whereas such a canal will largely solve the distribution problems of the Mis-
sissippi Valley and of the southeast section of the United States; will greatly
aid the agricultural and industrial activities in said section by furnishing them
perpetual and cheap transportation to the Atlantic seaboard, where the best
markets are located; will enhance the value of the farm lands through the
producing of means for delivering their produce to market; and will offer
material advantages and benefits to fully one-half of the prodding area of the
United States; and
Whereas said ship canal, while rendering this valuable service to labor,
industry, agriculture, and ocean shipping will at the same time, and without
additional cost, provide a connection between the Atlantic coastal waterway
and the Gulf coastal waterway for barges and small craft plying between
Boston, Mass., and Gulf of Mexico ports; and
Whereas the Corps of Engineers of the Army of the United States, pursuant
to authorization of Congress is now completing an exhaustive physical survey
of various possible routes for such a canal, and of the costs of the construction
thereof; and
Whereas an application is now pending with the Reconstruction Finance
Corporation of the United States for a loan of sufficient funds with which to
construct said canal, such loan to be self-liquidating in character: Now, there-
fore, be it
Resolved by the Senate of the State of Florida (the House of Representa-
tires concurring), That the President of the United States be, and he is hereby,
respectfully urged to approve of said construction project as an effective meas-
ure in relieving unemployment and stimulating industry and that he be, and he
is hereby, further requested to procure the assistance and cooperation of every
appropriate and available Federal agency in order that construction work upon
said project may be commenced at the earliest possible date; be it further
Resolved, That the secretary of state be directed to furnish a certified copy
of this memorial to the President of the United States, to each of our Senators
and Representatives in Congress, to the Reconstruction Finance Corporation of
the United States, and to'the Associated Press.
Approved May 27, 1983.

DOCUMENT NO. 30 (FILES OF THE P. W. A.), JUNE 3, 1933

PRELIMINARY REPORT OF SPECIAL BOARD OF ARMY ENGINEERS, UNDER
DATE OF JUNE 3, 1933

At this time the special board of Army engineers who were en-
gaged in making a survey of the canal as a river and harbor project
pursuant to the River and Harbor Acts of 1927 and 1930, had not
completed their work. However, they had determined upon the best
route for the canal and had completed the collection of all basic data
necessary to estimate its cost of construction and had substantially
completed their economic survey. By direction of the President, the
Chief of Engineers caused the board to make a preliminary report
in order that the data contained therein might be submitted to the'






84 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

engineers of the Reconstruction Finance Corporation to be used by
them as a basis for computing the cost of construction. This pre-
liminary report was submitted to the Chief of Engineers under date
of June 8, 1988.
Its publication is not consistent with the policy of the War De-
partment, which provides that reports of the Corps of Engineers on
the river and harbor projects made pursuant to an act of Congress
shall be transmitted to the Congress before publication. Such re-
ports are usually open for the inspection of Members of Congress
and parties at interest, but their publication in advance of their
transmittal to Congress is not permitted, nor may there be quoted
any conclusions on recommendations forming a part of such reports.


DOCUMENT NO. 31 (U. & 48 STAT. 196), JUNE 16, 1933
Tme III, AMxNDMxNT To ExmamrNC REIME AND CONSTRUCTION
ACT, ArPPovED JUNE 16, 1938
BcnoN 801. After the expiration of 10 days after the date upon which
the Administrator has qualified and taken office (1) no application hall be
approved by the Reconstruction Finance Corporation under the provisions of
subsection (a) of section 201 of the Emergency Belief and Construction Act
of 1982, as amended, and (2) the Administrator shall have access to all appll-
cations, files, and records of the Beconstruction Finance Corporation relating
to loans and contracts and the administration of funds under such subsec-
tion: *
The "Administrator" referred to above is the Administrator of
Public Works. The temporary Administrator assumed office on
June 16, 1933, and subsequent to that date, in accordance with the
provisions of the above amendment, the application of the Ship
Canal Authority of the State of Florida (originally application of
the National Gulf-Atlantic Ship Canal Association), together with
all similar applications, was transferred to the Public Works Ad-
ministration, and thereafter was examined by and prosecuted before
that agency.

DOCUMENT NO. 32 (FILES OF THE P. W. A.), JULY 3, 1933

Rauoar or THm ENGINEEw ADVIsoRB BOARD or THE RECONsTRUCTION
FINANCE CoRPORaTION, UNDER DATE OF JULY 3, 1933

The files of the Public Work Administration contain a memoran-
dum with reference to this project which reads as follows:
Under date of July 3, 1933, the engineers' advisory board of the Reconstruc-
tion Finance Corporation reported as follows:
"Status of projeot.-Engineers' advisory board action: None. Directors'
action: None. No engineering, legal, or financial reports.
"Comments.--On February 4, 1933, the board of directors decided that since
this project was being studied by the United States Engineering Corps under
instruction and with appropriation from Congress, no consideration of it
should be made until the Engineering Corps had finished its work and fled
its report."
* This application is now being considered as from the Ship Canal Authority
of the State of Florida, a public corporation.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 3 (FILES OF CHIEF OF ENGINEERS), JULY 3, 1933

ReQUEsr or TAMPA CHAMBER OF COMMERCE FOB SUVEY or SHIP
CAxNAL ROUT WIrr WTarBT T~amus NEAR TAMPA

Under date of July 3, 1933, the Tampa Chamber of Commerce
addressed to the United States district engineer at Jacksonville the
following communication:
TAMPA CHAxMBK or COMMExCE,
Tampa, Fla., July 3, 19S3.
MaJ. B. C. DUNN,
United States Army District Bngineer for Florida
Jaokonille, Fla.
Dxaa MAJOR DUNN: Acting on previous conversation between yourself and
members of our organization, the Tampa Chamber of Commerce makes official
application to you for the inclusion of a route from Tampa east and southeast
across the State as a part of the survey now being made for the cross Florida
ship canal.
On the recommendation of a special committee of the Tampa Chamber of
Commerce, approved by the executive committee of the chamber on Friday last,
I am writing this letter for the board of governors.
It is our understanding that the authority for including a route in this
section in your preliminary studies rests in your hands.
For myself and for the community I express our appreciation of your many
courtesies.
Very truly yours,
D. H. WooesmPa, Vioe Presdent.


DOCUMENT NO. 34 (FILES OF THE CHIEF OF ENGINEERS), JULY 22,
1933

REQUEST OF THE TAMPA CHAMBER OF COMMERCE FOR A SURVEY OF THE
CANAL WITH WESTERN TERMINUS NEAR TAMPA

Under date of July 22, 1933, Mr. F. M. Traynor, president of the
Tampa Chamber of Commerce, addressed the following telegram
to Gen. Lytle Brown, Chief of Engineers (see Doc. No. 140):
TAMPA, FLA., July SS, 1933.
Gen. LrTT BBowN,
Chief of Engineers, United States Army:
The Tampa Chamber of Commerce has maintained a position of opposition
to a cross-State canal because from all evidence available at present such a
canal does not appear to be economically sound or practicable. In order that
sufficient data may be secured for serious consideration we request that the
economic possibilities of the following routes be surveyed: (1) From mouth of
Alafla River, Tampa Bay across State east to Cape Canaveral or Fort Pierce;
(2) up Hillsborough River from Hillsborough Bay and across State north and
east to Cape Canaveral; (3) up Hillsborough River from Hillsborough Bay
north and east to St. Johns River at or near city of Sanford.
F. M. TrATNos,
President, Tampa Chamber of Commerce.






86 DOCUMENTARY HISTORY OF THE FLORIDA CANAL
DOCUMENT NO. 35 (FILES OF THE P. W. A.), AUGUST 14, 1933
CoMMUNIcATION !roM HzENB H. BUCKMAN, ENGINmNENG COUNSEL,
To CLARiwCE McDONOUOH, DIRhaUO OF THE DIVISION OF ENGINEER-
ING, ADMINISTRATION OF PUBUC WORKS, TRANSMITTING APPLICA-
TION OP NATIONAL GULP-ATLANTIn SHIP CANAL ASSOCIATION

Although the National Gulf-Atlantic Ship Canal Association had
been replaced by the Ship Canal Authority of the State of Florida
in the application pending before the Reconstruction Finance Cor-
poration, and although that application had been presumably trans-
ferred from the Reconstruction Finance Corporation to the Admin-
istration of Public Works sometime after June 16, 1933, in accord-
ance with the provisions of the amendment to the Emergency Relief
and Construction Act, approved June 16, 1933 (see Doc. No. 31), the
confusion naturally attendant upon the wholesale transfer of records
and files from the Reconstruction Finance Corporation and attendant
upon the setting up of the newly constituted Public Works Adminis-
tration apparently caused this application to be temporarily lost sight
of. The record shows that it was formally called to the attention of
Mr. Clarence McDonough, Director of the Engineering Division of
the Public Works Administration, by Henry H. Buckman, consulting
engineer for the National Gulf-Atlantic Ship Canal Association and
the Ship Canal Authority of the State of Florida, in the following
communication under date of August 14, 1933:
JAceonvuIL FLA., August 14, 1935.
Memorandum for Mr. McDonough.
Herewith triplicate copy of application of National Gulf-Atlantic Ship Canal
Association to Reconstruction Finance Corporation (docket 139). Attention
is called to the exhibits. While some physical changes in the survey have
somewhat modified the figures, the picture remains substantially the same.
HiEwr H. BUOKMAN, Conswlting Engineer
(For National Gulf-Atlantic Ship Canal Association).
The above date, August 14, 1933, is thenceforth referred to in the
files of the Public Works Administration as the "date of applica-
tion." This communication of Mr. Buckman to Mr. McDonough
transmitted all data, maps, plans, etc., which had been on file in the
Reconstruction Finance Corporation and upon which no action had
been taken.
The application thereafter was subjected to the usual thorough
examination by the engineering, legal, and financial divisions of the
Public Works Administration.


DOCUMENT NO. 36 (FILES OF CHIEF OF ENGINEERS), AUGUST 21,
1933
REQUESTS OF TAMPA AND FORT MYERS CHAMBERS OF COMMERCE FOR
SURVaYS OF SHIP CANAL RoTES WITH WESTERN TERMINUS NEAR
TAMPA

Under date of August 21, 1933, the following communication was
addressed by Maj. Gen. Lytle Brown, Chief of Engineers, to Senator
Fletcher:







DOCUMENTARY HISTORY OF THE FLORIDA CANAL 87
WAR DEPARTMENT.
OFCmCE OF THE CHIEF OF ENGINEEmS,
Washington, August 21, 1933.
Hon. DUNCAN U. FLErCHeI.
United States Senate, Washington, D. C.
MY DEAR SENATO: I am in receipt of your letter of August 17, in which you
enclosed for my consideration, a telegram from Mr. F. M. Traynor, president,
chamber of commerce, Tampa, Fla., asking that the economic possibilities of
the routes listed below for Florida cross-State canal, be surveyed; and by your
reference of August 18 1983, of a copy of a letter dated August 16 from Mr.
Nat G. Walker, chairman, public works, Fort Myers Chamber of Commerce, in
further reference to this matter:
1. From mouth of Alafla River, Tampa Bay, across State east to Cape
Canaveral or Fort Pierce.
2. Up Hillsborough River from Hillsborough Bay and across State north and
east to Cape CanaveraL
3. Up Hillsborough River from Hillsborough Bay north and east to St. Johhs
River at or near city of Sanford.
A special board of engineers, after careful study of the possible routes from
an engineering and economic standpoint, has determined that the best route
for the cross-State canal is to the north of the routes proposed in Mr. Traynor's
telegram.
As I wrote you on August 9, the findings of the board are so conclusive that I
do not consider the large cost of surveying additional routes justified at the
present time, especially in view of the need of conserving available funds to
meet the needs urgently required in the interests of commerce and navigation.
Very truly your,
Lryu BRown.
Major General, Chief of Angineers.



DOCUMENT NO. 37 (FILES OF THE P. W. A.), SEPTEMEBER 15, 1933

PROBABLY E UE OF CANAL BY SHIPS--LETrE FROM DR. EMORY JOHN-
SON, FORMER SPECIAL COMMISSIONER OF THE PANAMA CANAL TO
GEN. CHARGE P. SUMMERALL UNDER DATE OF SEPTEMBER 15, 1933

The following letter was submitted to the Administration of
Public Works by the Ship Canal Authority of the State of Florida
as evidence in the matter of the use of the canal by ships and the
probable tolls which might be collected.
UNj Rasrr or PNINSLVAMIA,
Philadelphia, Pa., September 15, 1933.
Gen. CHABzs P. SvMMx=AL,
Chairman, the Ship Canal Authority of the State of Florida,
Talahassee, Fla.

MY Dman GzNrA., SUxx MB ,: In reply to your inquiry as.to the probable
total tolls which might be collected from shipping using the proposed Trans-
Florida Ship Canal one may say that generally speaking experience has shown
that a ship will use the route offering the greatest advantages, all things consid-
ered. Such advantages will include: (1) savings due to lowered operating and
fixed charges resulting from reduction in time required for the voyage; (2)
the time thus saved, which may enable vessels to make additional voyages
each year and thus add to the earnings derived from the capital invested in
terminals and floating equipment; (3) miscellaneous advantages, including
greater safety of navigation; the greater inducement which may be offered to
shippers and passengers because of the obvious advantages to them of the
shorter time in transit.
For the use of a shorter and safer route, vessel owners will, tf required,
unquestionably pay what can thereby be saved in operating expenses and fixed
charges. The history of all canals is proof of this.
The advantages listed in (2) and (3)-the possibility of larger annual
earnings from capital invested in facilities, the greater safety of the proposed






88 DOCUMENTARY HISTORY OF THE FLORIDA CANAL

canal route as compared with the present one via the Straits of Florida, and
the capitalization (by means of rates and fares charged) of the value of re-
duction in time of shipment and travel--are less definite in amount than
savings in operating expenses and fixed charges, but are none the less real, and
furnish additional evidence that vessel owners will willingly pay tolls equal
to the savings in operating and capital costs.
The comprehensive investigation of actual voyages of vessels and of the
operating expenses and fixed charges of such vessels made by Lt. OoL Gilbert
Youngberg Indicated that the use of the proposed canal across Florida would
have resulted in an annual saving in such expenses and charges of approxi-
mately $12,0000000. The conclusion reached by Colonel Youngberg has been
approved by your consulting engineer, Mr. Henry H. Buckman, who has also
made a thorough study of the prospective traffic of the proposed canal The
trafi investigation made by Colonel Youngberg indicated that tolls yielding a
revenue equal to the actual saving in operating expenses and fixed charges,
or yielding a substantially less amount, would make the canal self-supporting,
L e., would cover operating expenses, maintenance, interest, and amortization.
The advantages (other than reduction in operating and capital costs) listed
above-advantages that would be secured by shipowners without payment of
tolls-will not only strengthen the position of the proposed canal as a traffic
route but will add to the benefits it will render to the public as well as to the
carriers that make direct use of the waterway.
Very truly yours,
EMoar R. JOHNson.
It may be noted that Dr. Johnson, who developed the economic
data upon which the Panama Canal was based, and who devised
the toll structure of that waterway, is of the opinion that vessels will
pay up to the full amount of their savings over any such shortened
route. This should be compared with the assumption of the Presi-
dent's board of review as set forth in their supplementary report of
September 15, 1984 (see Doe. No. 58) that ships would pay as toll
only 45 percent of the savings The importance of the point lies
in the fact that while all authorities substantially agree on the sav-
ings to be effected by the canal they are in disagreement as to the
portion of the savings which the ships would yield in the form of
tolls. The project can be economically justifiable and at the same time
not self-liquidating, depending upon the assumption that is made
with regard to this point. If all of the agreed savings were yielded
by the ships as tolls, the canal would liquidate itself within a period
of approximately 20 years. If less than half of these savings can be
counted as potential tolls, then the project probably cannot be made
self-liquidating. The President's special board of review assumed
that only 45 percent of the savings could be collected as tolls and
therefore found the project not self-liquidating. The engineers of
the Public Works Aministration assumed that 80 percent of the
savings could be collected as tolls, and found that the project would
be serf-liquidating. The eil board of Army engineers did not
treat of the canal as a se liqdating project, since this is not cus-
tomary in the examination o river and harbor projects. All three
of these authorities found the project would yield savings which
would justify its cost, but one of them found it was not self-liqui-
dating, another that it was self-liquidating, and a third did not
pronounce upon this point.






DOCUMENTARY HISTORY OF THE FLORIDA CANAL


DOCUMENT NO. 38 (FILES OF ALABAMA INDUSTRIAL DEVELOPMENT
BOARD), OCTOBER 5, 193

CoMMUNicATION FRox THmoDoRE SwA"N VIcO CHAIRMAN, ALABAMA
INDUSTRIAL DEVELOPMENT BOARD, To THE DEPUTY ADMINISTRAToR
OF THE P. W. A.

Under date of October 5, 1933, Mr. Theodore Swann, vice chair-
man of the Alabama Industrial Development Board, addressed the
following telegram to the Deputy Administrator of the P. W. A.:
BImINGHxAx, AA., October 5, 1933.
H. M. WA1rm
Deputy Administrator Publio Works,
Washington, D. C.:
The State of Alabama is earnestly interested in the early construction of the
Florida ship canal because of the impetus which it will give to our industrial
areas during the period of construction and of the benefits which will accrue
to this State permanently by betterment of shipping through the State port of
Mobile. Appreciate if you will advise us present status project.
ATLABAMA INDUstAL DrUnOPmUNT BOABD,
THmEODO SWANx, Vice Chairman.


DOCUMENT NO. 39 (FILES OF THE P. W. A.), OCTOBER 19, 1933

FInRT SUMMARY REPORT OF FEDERAL EMERGENCY ADMINISTRATION OF
PUBIC WORKS UNDER DATE OF OCTOBER 19, 1933

Summary reports of the Public Works Administration on appli-
cations for loans for projects of this nature were usually based upon
the examinations and reports of the three divisions, i. e., engineering,
legal, and financial. The summary report served as a summary or
covering report for the reports of the directors of the three divisions.
This first summary report of the Public Works Administration, ap-
proved by the examining divisions but not by the Administrator, is
as follows:
FDABAL ExuBGoJ ADMINIBT&ATIO OF PUBLio WORxK
SUMMARY BOT ON LOAN APPLICATION
(Docket No. R. F. C. No. 139)

State: Florida. Applicant: The Ship Canal Authority of State of Florida,
Tallahassee, Fla. Classification (municipality, private corporation, etc.): A
public corporation. Applicant's representative (name and address): Gen.
Charles P. Summerall, the Citadel, Charleston, S. C. Loan requested: No
definite sum. Loan recommended: $115,00,000. Grant requested: None.
Grant recommended: $25,800,000. Type of security: Revenue to be derived from
tolls. Terms of loan: Amortization period, 50 years; interest rate, 4 percent.
Type of project: Ship canaL Project location: Canal across Florida connect-
ing Gulf of Mexico and Atlantic Ocean. Description of project: Construction
of a deep-sea canal, with two sets of locks, across the State of Florida connect-
ing the Gulf of Mexico with the Atlantic Ocean. Total estimated cost:
$115,000,000. Estimated cost of material and labor: $86,000,000. Work can
commence in 45 days and finish 4 years (48 months). Estimated number of
men to be employed: 7,250 for 48 months.







90 DOCUMENTARY HISTORY OF THE FLORIDA CANAL


Estimated cost of project
The following are the estimated costs of the project:
Land, rights-of-way, and easements------------------------
Construction (subdivide into principal sections or
classes of work):
Clearing and grubbing_, ------ -------------$- 2, 181,500
Locks and auxiliary works------------------ 21,861,800
Water supply ------------------------------ 1, 82,000
Bridges------------ ------------ 6,880,000
Ferries ---------------------------- 160,000
Aids to navigation---------------------------- 415,050
Turning basin------------------------------- 5,600
Highway relocation--------------------------- 175,000
Channel excavation -------------------------- 44,251,150
Contineencv (about 10 percent) ---------------- 7.819,900


$, 034,000


S86,000,000
Engineering (2% percent)--------------------------------- 2,150,000
Legal, administration, and other overhead charges-----------. 6,4168,000
Interest during construction----------------- ----------- 8, 800,000
Other items (list) : Contractor's profits, bond, Insurance, etc----- 8,600,000
Total cost--------------------------------- -- 115,000,000
To be furnished by applicant------------------------------- None
Net amount of loan (including grant)------------------------ 115,000,000
The cost of labor and materials will be approximately----------- 86,000,000
CONDITION
The above-described loan is made subject to the following conditions:
Standard condition.
1. The applicant shall enter into a contract with the Administrator,
satisfactory to counsel for the Administration, providing for the sale of
bonds or other obligations of the applicant to the United States and em-
bodying in detail the terms of the loan, subject to the approval of the
engineering, legal, and financial advisers of the Administration.
2. Such contract shall comply with the provisions of title II of the
National Industrial Recovery Act and with all rules and regulations pre-
scribed by the President and by the Administrator for the administration
of such act.
(The above standard conditions, applying to all loans, should be followed
by such special conditions as may be necessary.)
speot condiioas.
The applicant shall give evidence, satisfactory to the administrator, that
Duval County will provide all land and right-of-way necessary for the
canal through that county, and will alter the Duval County highway
bridge across the St. Johns River as required, without any expense to the
borrower.
The report of the Engineering Division attached to this first
summary report of the Public Work Administration comprises some
sixty-odd typewritten pages. It goes very comprehensively into all
phases of the project, including engineering and economic questions
involved. It iscloses that while the engineers of the Public Works
Administration assume certain basic physical data furnished by the
Corps of Engineers, including the location of the project, they de-
veloped entirely independent cost figures from their own studies.
They also made a comprehensive and independent economic survey
to determine the probable traffic through the canal the savings which
would result, and the probable tolls which the traffic would yield, and
which might become the basis for a loan from the Public Works
Administration to the Ship Canal Authority of the State of Florida
for the construction of the canal.