S H m4 T Y iLit '±o.4hA 5^'!- •'*'•- TO CURE DEFECTS IN AND TO VALIDATE CHAPTERS 52 AND 54 OF THE ACTS OF THE LEGISLATURE OF THE TERRITORY OF ALASKA HEARINGS BEFORE THE COMMITTEE ON THE TERRITORIES 1.1^ S the bill have been made public. I do not care to appear before the committee until the protests, such as they are, have been made public by the other side. Mr. Brumbaugh. You are for the bill, then? Mr. Bruner. Yes, sir. I will say to the memljers of the committee that I am very surprised that any objection has been made to the bill. There was none made to our revenue act at the time it was passed, and there was none made until a month afterwards. The Chairman. There are some attorneys present who are inter- ested in this matter. Mr. Britton. As representing the Alaska Packers' Association, knowing that this bill had been introduced, we filed a written re- quest with the committee asking that, when the bill was ready for consideration, we be given an opportunity to be heard and to have the chance to obtain the presence in Washington of the representa- tives of the associations who are familiar with the facts. We did not have an opportunity to wire those people a definite date for the hearing until a few days since, when we wired them a definite date, and they have made their arrangements and are either leaving to-day (>r to-morrow for Washington. There are other people who desire to appear. There is a delegation from Seattle and a delegation from Portland who are interested not only in the tax on salmon, but in the lighterage and tonnage taxes, and they are opposed to the bill. Those delegations have left Seattle and Portland and are now on their way. Personally, I would be opposed to going ahead with a desultory talk upon certain features of the bill. I am in favor of waiting until the people who are familiar with the exigencies of this business, who know what it means to iiave this tax imposed, who know what it means to be taxed to tlie extent that this bill proposes 10 tax them, are here. * Wlien they are here, we can go into the mat- ter in all its phases, and get our statements in definite, tangible .shape for submission to the committee. Personally, I would like to have that feature of the case go over until these different gentlemen can reach Washington, and then we can all be heard together. The Chairman. There is no occasion for the bill to go over if there is anybodv here who wants to be heard. The people who desire to follow will simply have the additional advantage of having in printed form the statements of those who have preceded them in the hearing. CHAPTERS 52 AND 54 OF THE ACTS OE ALASKA. 9 Of course, there should not be any unnecessary delay about it, but we can give such delay as will enable those who desire to be heard . to come here and appear before the committee. Mr. WiCKERSHAM. I would like to ask Mr. Britton whom he rep- resents ? Mr. Britton. I represent the Alaska Packers' Association. Mr. WiCKERSHAM. Wlio is coming for that company? Mr. Britton. Mr. Tempson. Mr. WiCKERSHAM. Wlieii does he start? Mr. Britton. He starts to-day. The telegram states that " Timp- son will leave here on 20th." Mr. WiCKERSHAM. What other gentlemen are coming? Mr. Britton. Mr. Dorr telegraphed that he had left Seattle, and there is another delegation from Portland leaving the following day. Mr. McCoRD. Mr. Chairman and gentlemen of the committee, I represent the Pacific American Fisheries, who are interested in this taxation question. They are interested both in the salmon tax in Alaska and also in the tonnage tax and lighterage tax. Representa- tives from that countr}^ — people who are familiar with the actual conditions, and not attorneys — are on their way from Seattle now, having left there yesterday. I do not want to make any argument at this time until I can confer with the people who know the facts and the conditions. I want to confer with them first so that I can argue intelligently. Mr. Dorr, who represents a number of inde- pendent canneries in Alaska, is on his way here, and wired me that he left Seattle yesterday and that he would reach Washington on Monday. He requested me to ask the committee to postpone the hearing for two, three, or four days after he arrived in Washington so that he could make preparations. For that reason, and at his request and at the request of the people I represent. I ask that the committee continue or postpone this hearing until next Friday. Of course, I have no objection to Mr. Wickersham or anybody else who wants to be heard in support of the bill proceeding now, laut, so far as I am concerned, I want an opportunity to be heard after I can confer with the people who are interested. Mr. Webb. Mr. Chairman and gentlemen of the committee, I rep- resent the Northwestern Fisheries Co.. of Seattle, and I have a tele- gram from Mr. C. H. Buschmann, the secretary of the company, dated March 18, in which he says : Doit leaves for Wnsliingtoii to-morrow luoniintr. Warren, of Alaska Port- land Packers, and Gorman, requested by Alaska Association, make trip to Washington also. I concur in the statements of Mr. Britton and Mr. McCord, and ask that, so far as we are concerned, we have an opportunity to be heard later on. I would like to have an opportunity afforded Mr. Dorr to make a full statement in regard to the Alaska fisheries, as he is one of the most prominent men connected with that business, and he has also had a legal training and is now practicing law. Mr. WiCKERSHAM. I wisli the gentlemen who have letter.s and tele- grams in regard to this bill would put them in the record so that we may have an opportunity of examining them. Mr. Johnson. I have so many letters relating to the salmon fish- eries matter that I do not knoAv how I can segregate those that are 10 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. pertinent to this bill. A good many of them pertain to the treaty and some to the " dating of cans " bill. I have one in particular here in regard to this bill, stating that Mr. C. W. Dorr, of Seattle, was leaving on the 20th and would like to be heard two or three days after his arrival here. Then I have another telegram signed by G. B. Gill, secretary of the Halibut Fisherman's Union of the Pacific, con- taining 1,500 members; P. E. Olsen, agent Alaska Fishermen's Union, containing 2,500 members, and the New Seattle Chamber of Commerce, by C. B. Yandell, secretary. The telegram is as follows: Seattle. Wash.. March 18. IBlJt. Hon. Albert Johnson, M. C, Washington, D. C. It is vital to the fisiieries of Alaslvu that all possible infonuatiou shall be sub- mitted to Congress before any fisheries legislation is passed to thnt end. It is extremely important that the Albatross shall be placed at the disposal of rep- resentative of the Department of Commerce, who has been detailed to investi- gate those fisheries. We earnestly urge that the steamer be so immediately assigned as we think this be most important service it can now render. Please communicate with the Department of Commerce on this subject. This investigation should be thoroughly made before any further legislation is passed which in any way affects the fisheries of Alaska. G. B. Gill, Secrctai-y JIalibut Fishermens Union of the Pacific, (Containing 1,500 members). P. E. Olsen, Agent, Alaska Fishermens Union, (Containing 2.500 members). New Seattle Chamber of Commerce, C. B. Yandell, Secretary. I call attention to the statement in this telegram : It is extremely important that the Albatross shall be placed at the disposal of representative of the Department of Commerce who has been detailed to investigate those fisheries. I am not certain whether that refers to this bill or to other fishery matters, but I suggest that these salmon fisheries matters are com- ing up prett}^ rapidly. I have notified the people in southwestern Washington, who are interested, as rapidly as possible in regard to these matters, but this matter of the treaty that v^/as up the other day was news to them in a way, and as to this bill, I had only had notice of it one week ago. Mr. WiCKERSHAM. It was introduced on January 16. Mr. JoH]s;soN. But we have been busy with other bills. The Chairman. There is no trouble about giving sufficient time for these people to be heard. Mr. Johnson. I suggest that these two pieces of territorial legis- lation referred to in the bill, entitled "Chapter 52 (H. E. No. 96)" and "Chapter No. 51 (H. E. No. 98)," be put in the record this morning, and that report printed so that we can get at it easily. Mr. WiCKERSHAM. I have them here, and I propose to read them to the committee this morning, if you will listen to me. Mr. Curry. Do you want the telegrams and letters inserted in the record this morning? Mr. WiCKERSHAM. I would like to have them in the record. CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. 11 Mr. Curry. I have received the following telegram from Frank B. Peterson, president of the Red Salmon Canning Co., of San Francisco : San Fbancisco, Cal., March 18, 191/f. Hon. Charles F. Curry, House of Representatives, Washington, D. C: If House bill 11740 passes, Alaska salmon canuevs here will be taxed five times without local taxes for salmon in warehouse, which would make six taxes. We are already taxed to death. This company, in existence 13 years, and not a dividend. Please use your utmost influence to kill this bill, and try your best to have committee await arrival of packers from here before mak- ing their recommendations. Writing members of committee fully giving our arguments. Red Salmon Canning Co., Frank B. Peterson, President. I will now read a letter from Mr. Henry F. Fortmann, president of the Alaska Packers' Association : San Francisco, March 13, lOt^. Hon. C. F. Curry, House of Representatives. Washington, D. G. House Bill 11740. Dear Sir: We venture to call your attention to House bill 11740, introduced on January 16, 1914, bj^ Delegate Wickersham, of Alaska, and now on reference to the Committee on Territories. By this bill two acts of the Legislature of the Territory of Alaska are in- tended to be validated. At least one of these acts, viz: Alaska bill, chapter 52, is of great importance particularly to those engaged in the Alaska salmon can- nery industry, and we take the liberty of calling your attention to it with the view that when the bill comes up for consideration in the House you may, if you think it proper, be of material assistance to us. Very full hearings and consideration of Alaskan fisheries matters have been had before the Subcommittee of the Committee on Fisheries of the Senate for the Sixty-second Congress in connection with Senate bill 5856. The report of these proceedings is so full and complete that we think it only necessary to now very briefly call your attention to the salient features of the present House bill, particularly as these matters will, we hope, be fully presented to the Committee on Territories. When the organic law creating a legislative assembly in the Territory of Alaska was first prepared, it provided, by section 3, that the authority granted the Territorial legislature should not extend to revenue or certain tax measures. This I'l'ovision was, as we are informed, at the last moment changed so that it contained a further proviso to the effect that the legislature was not pre- vented from imposing other and additional taxes or licenses. As you know, Congress has made many rules and regulations concerning the control and management of Alaskan fisheries, and since March, 1899. a license tax of 4 cents per case has been imposed by acts of Congress and paid by the parties operating in Alaska. This is the only tax imposed by the TInited States Government on any of its fisheries. The act imposing this license charge states that "It shall be in. lieu of all other license fees and taxes." By this chapter 52 of the Alaskan Legislature, to which we desire to refer, a further license charge was imposed of 7 cents per case on red salmon and one- half cent a case on pink salmon. The charge of 4 cents imposed by the act of Congress being still collectible, the salmon canneries will be obliged to pay. if this legislation is finally approved by Congress, 11 cents per case on red salmon and 4^ cents per case on pink salmon. We have no hesitation in stating to you that these license charges are pro- hibitive, and they are vastly disproportionate to any other license charges levied by the Alaskan Legislature. Compared with the other license charges attempted to be levied by this Alaskan act, the charges on the salmon industry are entirely disproportionate. The industry which probably is more nearly like the fishing industry than any 12 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. other is the uiiniug industry- This mining business is charged only one-half of 1 per cent on the net income over and above $5,000 per annum. The average price for the 1913 pack of Alaska red salmon at California, Oregon, or Washing- ton shipping points was $4.25 per case, and this combined tax of 11 cents would therefore, amount to 2.6 per cent of the gross value of the product without any deduction for manufacturing, transporting, and marketing. This, however, is not the only unjust discrimination. We know that the idea is frequently advanced that the companies get their salmon from the waters of Alaska free of charge, and therefore that they should pay a larger proportion of taxes than a business which does not enjoy this gratuity. But as the reports before the subcommittee of the Senate show the value of the salmon ; that is, the raw product, in 191.3 did not exceed $1,250,000, whereas the value of the total product of Alaska canned salmon for the year was $S,500,000, so that the raw product is but little more than one-seventh of the value of the finished article. At the rate of 11 cents per case this tax will amount to over 17.5 per cent of the value of the raw product contributed fi'om Alaskan sources. AVe know that there has been a great deal of talk about the great profits realized in the Alaskan salmon business. As a matter of fact, this profit is purely imaginary. The great majority of companies that go into this business never pay any dividends at all and none have paid dividends regularly. The shores of Alaska are covered with dismantled cannery plants that did not suc- ceed. The risks of transportation, shortage of fish, and climatic conditions are so great that the itrofits of any good year are genei'ally eaten up by the deficit of the succeeding i)Oor years. We do not write you this letter with any view of avoiding a just tax on this business. We think that the character of this business being in navigable waters, subject to constant regulation and supervision by the United States Fisheries Commissioner and by Congress, should be taxed by Congress because these i-egulations may or may not materially increase the expenses and general conditions of oi)erations of the business, and if the Alaskan Legislature ctui levy taxes and Congress impose the regulations, the Alaskan salmon companies will soon be ground to pieces between the two. The particular suggestion, therefore, that we have to make is to submit to your mature consideration the substitution for this bill of another measure by which all taxes on the salmon industry shall be levied by and under the control of Congress; that the authority of the Territorial legislature be left unham- pered so far as ttixing the land and improvements are concerned. This latter tax must, of course, be uniform throughout the Territory, and thus there would be prevented the extraordinary discrimination and inequality which have already resulted from the deliberations of the very first legislative assembly. The Alaska Packers' Associiition is one of the few manufacturing industries that materially contributes to the prosperity of the Pacific coast in general and California in particular. It has many thousands of employees, most of whom are paid in San Francisco, and its outfitting is also for the most part done there. If these taxes are to continue with the ever uncertainty that the Ahislc.'i Legislature may increase them at any time, we can easily foresee the end of our business. Yours, very truly, Alaska Packers' Association, Henry F. Fortmann, President. Mr. WiCKERSHAM. Ml". Johnson, do I understand that you have a telegram from the Seattle Chamber of Commerce against this bill? Mr. Johnson. That is the telegram I have read into the record. The telegram says: It is extremely important that the Albatross shall be placed at the disposal of the representative of the Department of Commerce who has been detailed to investigate those fisheries. We earnestly urge that the steamer be so imme- diately assigned, as we think this will be most important service it can now render. Then they go on to say: This investigation should be thoroughly made before any further legislation is passed which in any way affects the fisheries of Alaska. CHAPTEES 52 AND 54 OF THE ACTS OF ALASKA. 13 Now, that part of it refers to this bill. Mr. WiCKERSHAM. I think you are doing the Chamber of Com- 'inerce of Seattle an injustice. Mr. Johnson. Does this bill affect the fisheries of Alaska? Mr. WiCKERsiiAM. Yes; but only incidentally. I do not think the business interests of Seattle would' oppose this bill if they knew what it means. Mr. Falconer. I think there is a feeling out there that there was somthing secret in this commission bill or Root bill that passed the Senate. They do feel that they have not been in touch with what has been going on. The feeling is this, that we are here legislating on an industry in which they are intensely interested, and we are legislating at a long distance. The people of the State of AVashington and of Alaska are intensely interested in this indus- try, and it is certain that they were not posted on that particular bill. Mr. Johnson Avas not and I was not, and we hardly knew which way to vote on it. They feel out there that we are legislating 3,000 miles away from the seat of operations, and naturally they want to be fully informed before action is taken that might perhaps operate to the detriment of the industry. Noav, I am inclined to be favorable to this bill, but I do believe that the people who are most directly interested in the matter should have a full opportunity to be heard. I do not think that would jeopardize in the least the chances of the bill going through. Of course, when a man has had a fair hearing and has had full opportunity to present his side of the case and is whipped, he is satisfied, but if he does not have a hearing and the fault is not his, he naturally is not satisfied. Mr. Bruner. May I s&j one word at this point ? I do not want to go into an argument of the matter, but, as representing the bills that were passed through the Alaska Legislature, I do wish to say that at the conclusion of the session Mr. Chilberg, now the president of the Alaska Chamber of Commerce, congratulated the legislature very warmly and said that for the first time in his experience he had seen both labor and capital treated fairly. Nine members of the legislature in order to go home came by way of Seattle, and the canners' association of Seattle tendered us a luncheon in recognition of what they claimed we had done on behalf of the Territory. That is the reason why I say now that I am surprised that these protests should come in here. I have a letter in my pocket from Mr. G. A. Teal, dated December 31. He was there through the entire session of the legislature. We held meetings there for about a month, night after night, at which all the cannery interests were represented, and also all the independent fisheries. The matters were very fully and fairly considered, and when we passed these revenue acts, it was done by unanimous consent and bj^ the concurrence of every member of ihe legislature. The letter that I have from Mr. Teal does not bear directly on this point, though I have talked it over with him before -coming here, and also with Mr. Fortmann and Mr. Heckman, who was their representatives before the legislature, with regard to the fishery interests. Therefore, I say that I am very much surprised at these- protests. Mr. Teal wrote me this letter, and I am willing that it shall go into the record. I will also submit his suggested amend- ment to the fisheries acts. I have not them with me this morning, but I can bring them to the committee at its next meeting. No 14 CHAPTEES 52 AND 54 OF THE ACTS OF ALASKA. objection was made to the tax that we imposed in those acts, and I contradict the statement by Mr. Curry as coming from Mr. Fortmann •it we have been unjust in any way in the placing of the taxes. Red sahnon brings, according to the testimony before our com- mittee, $5.40 per case, and pink salmon from $1.75 to $1.80 per case. What we did was to make the taxes equitable all the way through, and there was no objection to our action at all. As a matter of fact, they were delighted with it. They were all represented there. Now, when the opinion of the Attorney General was rendered to the effect that we did not have the power to confer office upon the clerk and marshals of the United States courts, I can understand that they did not want to pay the taxes until they were obliged to pay them. When this matter does come up, I want to present the facts that were testified to night after night by counsel who were there representing both the fishermen, canners, and, in fact, all parties concerned. I do hope that a full hearing will be given in this matter, because it is of great importance to the people of Alaska to know what the law is and what Congress is going to do with us. Shall I read this letter? The Chairman. You can read it if your desire or insert it in the record. Mr. Brumbaugh. I suggest that he read it. Mr. Bruner. It is short, and I will read it': .\DMiRALTY Trading Co., Seattle, Wash.. December 13, 1913. Hon. Elwood Bruner, Army and Navy Cltib, Washinffton, D. C. Dear Senator : I am inclosing you a copy, marl^ed " Exliibit B," of senate joint memorial No. 26, passed by the Lesrislature of the Territory of Alaska, as you no doubt well recall, last April. Attached to it is a memorandum which, as its heading states, covers features in that memorial which are not practical. Also inclosed, copy of the committee report of a tentative bill, which was sug- gested by the fisheries Committee of the United States Senate some time ago, in which are pasted typewritten sheets showing the changes which seem prac- ticable, reasonnble, and right to a great number of the canners. IIow far you will be able to use any of this data, of course, can not be told from this end of the line, but whatever you can consistently do to further these changes will be appreciated. Those of us who know you feel assured that upon reading them you will see that they do fit into the bill and change and remove many objec- tionable features to members of the Alaska Legislature, as well as to cannery men; and certainly all that is desired by those of us who have worked over these changes is to have this fisheries questions settled in a clear, concise, and practical way that takes care of the interests of the fish and of all those who have money invested in the business or otherwise are interested in it. With very best wishes for your good health and the season's greeting from my conferees and myself. Tours, very truly, G. A. Teal. I would like, of course, to have as early a hearing as practicable. When the opinion of the Attorney General came out the collection of taxes in Alaska practically ceased and there was a very strong demand upon Gov. Strong to call an extra session of the legislature, and. in that connection, I would like to read his telegram : December 25, 1913. Hon. Elwood Beuner, Care Army and Uavy Club, Washington. D. C: Opinion Attorney General received to-day holds that legislature exceeded its power when duty of collecting taxes was placed on Federal officials. Decision has effect of absolutely stopping further collection revenue and practically CHAPTERS 52 AND 54 OF THE ACTS OP ALASKA. 15 puts Territory out of business. Do you advise special session legislature to convene about March 1; and if so, can you attend? Strong, Governor. To that I sent the following answer : December telegram received. Have personally conferred with Attorney Gen- eral, Key Pitman, and Houston, chairman of Senate and House Committees on Territories, and Delegate Wickersham. Believe that extra session can be avoided either by formal approval by Congress of revenue and poll-tax laws or amendment of organic act, or both. Advise you to withhold calling extra session until further developments. Roden not returned from Europe. I now submit the following leter from Gov. Strong to me: Territory of Alaska, Governor's Office, Jimcau, January 17, WUf. Hon. Elwood Bruner, Care Army and Navy Club, Washington, D. G. My Dear Senator: I beg to asknowledge the receipt of a telegram from yourself and Senator Freeding, in which you state your belief that an extra session of the legislature can t)e averted, either by formal approval by Con- gress of the revenue and poll-tax laws or amendment of the organic act, or both, and in which you also advise me to withhold the calling of an extra session until further developments. I sincerely trust that Congress will take the steps necessary to validate the Territorial laws passed at the last session or amend the organic act in a number of important particulars, so that the powers of the legislature may be so clearly defined as to admit of no further question. The opinion of the Attorney General, which you have no doubt read, followed by thejiecision of the Circuit Court of Appeals, sitting in San Francisco, which sustain's the position taken by the Attorney General, has had the effect of prac- tically estopping the collection of Territorial revenues. While I have not yet seen a copy of the poll-tax decision, I understand that the court also holds that no poll taxes could be collected for the year 1913, inasmuch a.'s section 2 of the poll-tax law provides that the commissioners as ex officio poll-tax collectors should perform certain duties " on or before the 1st day of ilarch in each year," and the law did not become effective until after that date. You will readily understand, therefore, that if this law is to be used as a source of ob- taining revenue hereafter it must be approved by Congi-ess before March 1 next, or failing this some other means must be devised to give it life. Further- more, the decision of the appellate court causes me to wonder if the duties that the legislature imposed upon the governor are also to be disregarded. It is, perhaps, needless for me to say that I do not entertain this opinion, and if I did I would consider it my duty to discharge the various functions which the acts of the legislature committed to my charge until inhibited by a higher power. The conditions under which the Territory are now laboring are anomalous, to say the least, and a speed.y solution of the problems that have been developed is imperative. You are familiar with them and can materially aid in their solution. I have already written Judge Wickersham and Senator Pittnian at length concerning the situation and have forwarded them a proposed amend- ment to section 11 of the organic act, which I think would give partial relief at least, but even with its adoption I am of the opinion that the Territorial laws already passed would need the approval of Congress in order to meet the situation which has arisen. I desire to impress upon you and all the friends of Alaska in Washington the need of speedy action, especially with regard to the poll-tax law, inasmuch as under its provision certain blanks must be in the hands of the poll-tax collectors on or before JNIarch 1. These blanks have already been forwarded to the different precincts, but of course they will not \JbQ used unless the law is approved. I do not want to call a special session of the legislature except as a dernier resort. I am doubtful if a quorum of the legislature could be secured, and I am absolutely of the opinion that a 15 days' session, to which the legislature would be limited, would be altogether inadequate for the work that would be re- quired of it. Again, to expect members from the second and fourth divisions to make the journey to the capital is out of the question and would be unjustifiable, ex- 16 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA, cept in the case of the gravest iwssible emergency. Tlie chief rtrain upon the Territorial revenues is caused by the maintenance of the Alaska Pioneers' Home, at Sitka, and whether or not the revenue laws be galvanized, by some means, into life, the $10,000 appropriation for the decennium will be ex- hausted long before the legislature meets in regular session, and this is another matter that requires careful consideration. I am forwarding a copy of this letter to Senators Roden and Freeding and Delegate Wickersham. I will be glad to cooperate with you in any way that may be for the benefit of the Territory. Let me hear from you at any time, and with best wishes. I am. Sincerely, yours, J. F. A. Strong. Governor. Copies to Hon. Conrad Freeding, Hon. Henry Roden. and Hon. .James Wickersham. I will submit to the committee the inclosiires referred to by Mr. Teal in his letter to me. STATEMENT OF HON. JAMES WICKERSHAM, DELEGATE IN CON- GRESS FROM THE TERRITORY OF ALASKA. Mr. Wickersham. Mr. Chairman, I desire to call the attention of tlie committee to the bill H. R. 11740, which was introduced by me on January 16, 1914. In order that the committee may have a clear understandino; of the matter which it embraces, I Avish to read the bill into the record : [H. R. 11740, Sixty-third Congress, second session.] A BILL To cure defects in and to validate chapters 52 and 54 of the acts of the Legis- lature of the Territory of Alaska, approved by the governor of the Territory of Alaska May 1, 1913, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That those two acts of the Legisla- ture of the Territory of Alaska, entitled "Chapter 52 (H. B. No. 96), an act to establish a system of taxation, create revenue, and providing for tlie col- lection thereof for the Territory of Alaska, and for other purposes," approved by the governor of the Territory of Alaska May 1. 1913, and " Chapter No. 54 (H. B. No. 98), an act to impose a poll tax upon male persons in the Ter- ritory of Alaska and provide means for its collection," approved by the governor of Alaska May 1, 1913, be, and each is hereby, ri titled and made valid from the date of its respective approval by the governor of the Territory of Alaska, and all their provisions shall be held to be in full force and effect from and after the date of the approval of this act by the President. Sec. 2. That nothing in that act of Congress entitled "An act creating a legis- lative assembly in the Territory of Alaska and conferring legislative power thereon, and for other purposes," approved August 24, 1912. shall be so con- strued as to prevent the courts now existing or that may be hereafter created in said Territory from enforcing within their respective jurisdictions all laws passed by the legislature within the power conferred upon it. the same as if such laws were passed by Congress, nor to prevent the legislature passing laws imposing additional duties, not inconsistent with the present duties of their respective offices, upon the governor, marshals, deputy marshals, clerks of the district courts, and United States commissioners acting as justices of the peace, judges of probate courts, recorders, and coroners, and providing the necessary expenses of performing such duties, and in the prosecuting of all crimes denounced by Territorial laws the costs shall be paid the same as is now or may hereafter be provided by acts of Congress providing for the prose- cution of criminal offenses in said Territory, except that in prosecutions grow- ing out of any revenue law passed by the legislature the costs shall be paid as in civil actions, and such prosecutions shall be in the name of the Territory. Now, the committee will see that the purpose of that bill is simply to cure defects which were found to exist in two of the revenue acts passed by the Territorial Legislature of Alaska. CHAPTEES 52 AND 54 OF THE ACTS OF ALASKA. 17 Mr. Curry. Will yon put those acts into the record? Mr. WicKERSHAM. Yes. This matter was called to my attention by Gov. Strong when it was discovered upon consultation with the Attorney General that the defects existed, and, as a part of the rec- ord which I think will be very illuminating to this committee, I de- sire to read the opinion of the Attorney General and the correspon- .dence which Gov. Strong sent to me. so that it may be before the committee. The opinion of the Attorney General is as follows : Department of Justice, Washington, D. C, Noveinher 17, 1913. John Kustgard. Esq., United States Attorney, Juneau, Alaska. Sir : In your letter of June 27 yon ask the opinion of this department npon the validity, with reference to section 11 of the organic act of Alaska, approved August 24, 1912 (37 Stat.. 516). of certain laws enacted by the First Terri- torial Legislature for Alaska during its session hist spring. Said section 11 provides, inter alia, that — " 2s'o person holding a commission or appointment under the United States shall be a member of the legislature or shall hold any office under the govern- ment of said Territory." The enactments concerning which an opinion is iiarticularly desired are : (a) Chapter 54 of the Territorial Session Lr.ws, imposing a poll tax upon male persons in the Territory, making the commissioner of each precinct ex officio poll-tax collector, and providing that he shall furnish bond to the Terri- tory and receive as compensation for such servi,:-es 15 per cent of all taxes collected. (6) Chapter 52 of the Territorial session laws, imposing a license tax upon trades and occupations conducted in the Territory and providing that the licenses shall be issued by the clerk of the district court, who shall give bond ; that such taxes shall be covered into the Territorial treasury ; and that United States marshals and fish commissioners, and their deputies, shall be license inspectors under the act. Specifically, the question presented is whether the provision of chapters 52 and 54 which impose duties upon commissioners, clerks of the district courts, marshals, fish commissioners, and deputies, are in violation of the portion of the organic act above quoted. 1. That the commissioners, clerks of the district courts, marshals thereof, etc., are "officers" can not be doubted. (U. S. v. Hartwell, 6 Wall., 385, 393.) It only remains to consider whether they hold " a commission or appointment under the United States." In order to determine this, it is not necessary to hold that they are " officers of the United States " in the sense of Article II, section 2, of the Constitution of the United States, for even if they be not such " officers," yet, since they are appointed by Federal officials to perform Federal functions under laws enacted by Congress by virtue of its power to " make all needful rules and regulations respecting the Territory " of the United States, they clearly hold " a commis- sion or appointment under the United States." In James v. United States (202 U. S., 401), the Supreme Court held that whether the Supreme Court of the District of Columbia was a constitutional court of the United States or not, it was "a court of the United States" within the meaning of Revised Statutes, 714. Indeed, unless the broad language of section 11 of the organic act was intended to include such officers as these commissioners, etc., it is almost im- possible to say what officers it was intended to include, since such officials as these belong to the only class which, as a practical matter, could fall within its prohibition. 2. It only remains to consider whether a requirement that these officers shall perform the duties imposed on them by the legislation of the Alaska Assembly above mentioned, is contrary to the letter or spirit of section 11 of the organic act as in effect compelling them to become officers of the Territory. The case of tlie commissioner under chapter 54 seems a clear one. He is required to work under rules and regulations promulgated by the treasurer of the Territory, to whom he is to report and render accounts; to furnish bond to the Territory, to be approved by the territorial treasurer; and his compensation 43576—14 2 18 CHAPTERS 52 AXD 54: OF THE ACTS OF ALASKA. is fixed by the statute. Within all the definitious, this is sufficient to constitute an office. (United States v. Hartwell, 6 Wall., 385, 393; United States r. Germaine, 99 U. S., 508.) The case of the clerks, marshals, and fish commissioners differs in that the statute provides no compensation for those officers. Emolument, however, is not necessary to constitute an office. (29 Cvc, 1366; Clark r. Stnnley, 66 N. C, 59; Hendricks v. State. 20 Tex. Civ. App., 178; Dickson v. People, 17 111., 191 ; Mechem, Public Officers, sec. 7. ) The clerk is required to give bond to the Territory in such amount as the treasurer shall require, and to cover into the Territorial treasury the taxes col- lected under such rules and regulations as the treasurer may prescribe. Under the above authorities this undoubtedlj' constitutes an office. The marshals and fish commissioners and their deputies are given power to go upon premises and examine books, pajiers, and other documents of any person. Arm, or corporation whom they suspect of evading the act ; and upon discovering any such violations to file a complaint, arrest the offender, and take him before the United States commissioner for trial. This also amounts to an office; and the mere fact that they are not required to take oath or give bond is quite immaterial. (Mechem, Public Officers, sees. 6. 263.) It has been suggested, however, that in the case of the clerk of the district court, chapter 52 of the sessions laws merely imposes additional duties of the same nature as those required of him by the act of June 6, 1900, section 7 (31 Stat., 321), and therefore does not constitute the creation of a new office. And this same argument seems to apply to some, if not all, of the other officers concerned. The act of 1900 does impose upon the clerk the duty of collecting certain occupation taxes imposed by that act and issuing the licenses thereunder. These duties, however, and the other outside duties now or formerly imposed upon the clerks, etc.. were imposed by Congress directly upon officers ap- pointed to perform functions created by Congress — an additional imposition which Congress, it may be assumed, has power to make — while the present duties are imposed by the Territorial legislature upon Federal officials, and are duties, official in their nature, which, if not performed by them, must be per- formed by officers created and commissioned directly under Territorial authority, in substance, therefore, it seems clear that the intent of the provisions of the session laws of the Alaskan Legislature is to make Federal officers also officers of the Territory, a thing contrary to the prohibition of the organic act. The fallacy of the "argument regarding the imposition of additional duties lies in the fact that the office of clerk of the district court and of marshal, etc., and the duties connected therewith, arise solely from the act of Congress, and are there- fore matters over which the Territorial legislature has no control. It is there- fore a misuse of terms to speak of the conferring by the Territorial legislature of additional duties upon such an officer. In this connection the language of the Supreme Court in the case of Car- rington v. United States (208 U. S.. 1, 7) becomes pertinent. In holding that an officer of the United States x\rmy, while performing duties incident to his military command, did not become a public official of the Philippine civil government merely by receiving money contributed by the civil government for use by him in connection with his military functions, it was said: " If Philippine legislation attempted to add to the immediate responsibilities of the soldier in the course and performance of his duty under the paramount authority from which that legislation derives its right to be. we should have to inquire whether we could gather from any act of Congress the intention to permit what might become the instrument of dangerous attacks upon its power " (p. 7). This passage suggests that affirmative legislation by Congress would be necessary to confer upon a territorial government the power of adding to the duties of a Federal officer. In the present case there is not only an utter ab- sence of such affirmative permission, but a distinct negation of its existence. The deputy marshals and deputy fish commissioners are in no other case than their principals. Quite aside from the rule that a deputy can not per- form official acts which his chief could not perform (Mechem, Public Officers, sec. 570), it can not be said that the Alaska Legislature would have conferred such power and duties on the deputies without conferring them upon their principals. It follows that the legislation in question attempts to impose official duties under the government of the Territory upon persons holding commissions or CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. 19 appoiutments under tlie United States; and in so doing it violates botli the letter and the spirit of section 11 of the organic act, and to that extent is void and of no effect. Respectfully. J. C. McRevnolds. AttoriH'!/ (leiieidl. And the letters from Gov. Strong are as follows: Territory of Alaska, Governor's Office, Juneau. Dcvcmhvr 29. 1913. Hon. James Wickersham, Delegate from Alaska, House of Representatives, Washington, D. C. Dear Judge : An opinion by the Attorney General received here a few days since has the effect of suspending the operation of llie revenue laws passed by the Territorial legislature. This opinion is the result of a request made by United States Attorney Rustgard on June 27 last, with reference to the inter- pretation to be put upon section 11 of the organic act of Alaska, approved August 24. 1912. For your further information you will be able to secure a copy of the opinion from the Department of Justice. . You will readily understand that this oi)iniou is a sort of body l)low to the Territory, inasmuch as it deprives the Territory of the agencies provided by chapters 52 and 54 of the Territorial session laws for the collection of taxes, and without revenue the Territory is put out of commission to all in- tents and purposes. I do not want to call a special session of the legislature as, in my opinion, it would be well nigh calamitous in view of the facts that the session would be limited to 15 days, the great distances that a considerable number of the members would have to travel, the heavy ex]»enses to which they would be subjected, which their mileage and per diem allowances would scarcely cover, and furthermore I fear it would be found impossible to se- cure a quorum. A 15 days' session would be absolutely insutticient to draft and enact a comprehensive and detailed system of taxation sueli as I believe would be necessary in view of the attitude of the Department of Justice in the matter of imposing additional duties on Federal officials by the legislature. The logical course for the Territory to pursue under the circumstances will be to insist upon more complete autonomy which will include the right to all in- come from all sources within the Territory, except that received from cus- toms and internal revenue, to be collected and disbursed by the people of the Territory through the legislature. This position is accentuated by the fact that a decision of the Comptroller of the Treasury requires the Territory to pay all costs of suits, etc., brought in the district court by the Territory in the enforcement of Territorial laws. A case is now pending on ajipeal to the circuit court of appeals at San Francisco, which has for its purpose the test- ing of the provisions of the poll-tax law, the points raised by the appellant, I understand, being identical to those involved in the opinion rendered by the Attorney General. It, of course, is possible that the law may be sustained by the appellate court, but of this I am doubtful. It has occurred to me that temporary relief at least might be had through direct action of Congress. Do you think this could be done; that is. would it be possible to induce Congress to pass a special act imposing the additional duties on Federal officers in Alaska contemplated by chapters 52 and 54 of the Territorial session laws? In this connection I may add that some of these officials have shown a willingness to discharge and have discharged these duties, and several thousands of dollars in taxes, principally poll taxes, have been collected. If such action by Congress could be secured it would answer temporarily, or until the next regular session of the legislature in March, 1915. The revenues that can be derived by the Territory, if given the agencies or instruments to collect them, would be sufficient to meet the fixed charges of tlie Territory in the interim ; that is, provided that the validity of the Territorial revenue law is sustained by the higher courts. The heaviest item of expense is that for the maintenance of the Pioneer's Home, at Sitka, which must be closed in the near future unless revenue for its support is forthcoming, and some 30 helpless old men will be turned adrift. Section 6 of the organic act authorizes the governor to convene the legislature in extraordinary session for a period not to exceed 15 days when j-equested to do so by the President of the United States, or when public danger or neces- sity may require it. This, I take it, would require a special appropriation by 20 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. Congress. However, as I have stated above, in my opinion an extraordinary session should be called only as a last resort. I vpould esteem it a favor to have your views upon the different matters herein touched upon at your earliest convenience. Very truly, yours, J. F. A. Strong, Governor. The next letter, dated December 30, 1913, is as f oHoavis : TlRRlTOHY OF ALASKA. Uoveknor's Office, Jiiucau, Drccnihcr 30, 1913. Hon. James Wickersham, Delegate from Alaska, House of Reprcsentailvcs, Washington, D. C. Dear Judge: Since writing you yesterday on tlie subject matter of tlie Attor- ney General's opinion. I have had a talk with Mr. J. H. Cobb as to the effect of that opinion, and he submits that it is far-reaching and might be construed as preventing the governor from discharging certain duties imposed upon him by the legislature, though clearly this was not the intention of Congress when the organic act was enacted. Mr. Cobb has drafted the following proviso to section 11 of the organic act, which is herewith submitted for your con- sideration : " [rroviso to section 11 of organic act.] " Provided. That nothing herein contained shall be so construed as to prevent the courts now existing or that may be hereafter created in said Territory from enforcing within their respective jurisdictions all laws passed by the legislature, within the powers conferred upon it, the same as if such laws were passed by Congress: nor to i)revent the legislature passing h-ws imposing additional duties, not inconsistent with the present duties of their l•especti^•e offices, upon the governor, marshals, deputy marshals, clerks of the district courts, and United States commissioners acting as justices of the peace and judges of probate courts, and providing the necessary expenses of performing such duties. And in the prosecuting oif all crimes denounced by Territorial laws the costs shall be paid the same as is now or may hereafter be provided by act of Congress providing for the prosecution of criminal offenses in said Territory, except that in prosecutions growing out of any revenue law passed by the legislature the costs sliall be paid as in civil actions and such prosecutions shall be in the name of the Territory." Very truly, yours, J. F. A. Strong, Governor. The next letter is dated January 3, 1914, and reads as follows: Territory of Alaska, Governor's Office, Juneau, January 3, 191It. Hon. James Wickersham, Delegate from Alaska, Washington, D. C. Dear Judge : Supplementary to my letter of December 29, transmitting copy of proposed amendment to section 11 of the organic act, I would like to suggest for your consideration that it might be well to include within the terms of that amendment the district attorneys of the several judicial divisions of Alaska, and also a clause ratifying the acts already performed by certain Federal officials in connection with the revenue laws of the Territory. Of course, I am making this suggestion on the assumption that you will consider it feasible to endeavor to have Congress enact the amendment suggested, or some other that will cure the apparent defects and remedy the existing condition. I am also writing Senator Pittman a letter of similar tenor. Very truly, yours, J. F. A. Strong, Governor. Now, Mr. Chairman, I have a number of editorials from news- papers there along the line of these defects, and the attempt to cure them, etc., but I think the governor's letters, being official, fully cover the matter, and would not be aided by quoting the newspaper edi- torials, telegrams, etc. I only mention them to show you how great CHAPTEKS 52 AND 54 OF THE ACTS OF ALASKA. 21 an interest is being taken in the Territory in the situation in which the Territory finds itself with regard to its income in support of ■ Government. Now, I have another letter from the governor, dated January 30, 1914, which reads as follows: Territory of Alaska, Governor's Office. Juneau, January 30, 1914. Hon. James Wickersham, Delegate from Alaska, Washington, D. C. My Dear Judge : I am iu receipt of your letter of January 17, together with copy of the bill introduced by you iu the House to cure defects in and validate chapters 52 and 54 of the acts of the Legislature of the Territory of Alaslca, for which I thank you. I have read the bill carefully, and it should meet the requirements of the situation. I have to suggest for your consideration that section 2 of the bill, imposing additional duties upon the governor and other Federal officials in th«» Territory, should include the United States attorneys and collector and deputy collectors of customs at the various ports, as the services of these officials will be needed in enforcing the revenue laws. I am not unmindful of the fact that the Territory needs an attorney general, but until such office is created and filled by appointment the services of the United States attorneys will be indis- pensable iu the enforcement of the revenue laws. May I ask you to give this your serious consideration? Very truly, yours, J. F. A. Strong, Governor. Now, Mr. Chairman, I have read the letters from the governor because they disclose to the committee the serious condition in which the Territory of Alaska finds itself. This committee is not asked by the bill which is presented to go into the whole general domain of fisheries in Alaska, and to consider a fisheries bill. This is not a fisheries bill; it is a bill to cure defects in those acts of the legis- lature passed for the raising of local revenue, and, as has been stated, when those bills were before the Alaska Legislature the representa- tives of these fishery companies were there, and they were heard. All of them understood what was done, and they seemed to be satis- fied with it, or, at least, I am so informed. I was not there myself, and I can only give that as information received by me from other people. There is a fisheries bill before this committee. It is a bill which was originated in the Senate, or rather, it is a bill which was put in shape by the Bureau of Fisheries and introduced in the Senate and later in the House. That bill was before the Committee on Ter- ritories of the Senate, and gentlemen representing the fisherA'' in- terests in Alaska were fully heard. The Senate Committee on Territories took a volume of testimony on the bill, and the bill has been reintroduced in this Congress and is now pending before this committee. The Chairman. AVlio introduced it? Mr. Wickersham. It was introduced by Mr. Flood. The Chairman. Was it introduced at this session of Congress? Mr. Wickersham. It was introduced at the first session of this Congress. That bill is pending before this committee, and it is a surprise to me that they should come here to fight this revenue bill for Alaska. I had supposed that matters involved in this bill were settled back in Alaska, where the people who are interested in the industry had full opportunity to present their side of the matter. The bills were considered before the Alaska Legislature, in sight 22 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA, of their canneries, so to speak, and all parties had full opportunity to be heard, and all of them then seemed to be satisfied. Mr. CuRRF. It was simply forced through. The United States Government has taxed this industry as much as it ought to be taxed, because 4 per cent is a pretty good tax on any industry. The United States Government imposes that tax Mr. WicKERSHAM (iuterposiug) . Of course, if we are to go into the full consideration of the fishing laws of Alaska — if the com- mittee is to do that — -we will have to prepare ourselves for it. Mr. Curry. I think that question was gone into by the subcom- mittee of the Senate Committee on Territories last year, and I sug- gest that the chairman of this committee procure copies of the hear- ings before the Senate committee last year. Mr. WiCKERSHAM. The Senate committee held extensive hearings on that subject. Mr. Brujibauoh. What have you to say in regard to the proposi- tion that this tax Avould raise the price of a food product to the people of this country? Mr. WiCKERSiiAM. It will not do so at all. The price of salmon is fixed by the gentlemen from whom ISIr. Curry presented a letter. The price is fixed by Mr. Fortmann's company. The price is fixed in New York and not in Alaska. These revenue measures will not have the eifect of increasing the price, because the price is fixed by the Fish Trust of the Pacific coast. Mr. BRrMr.Ai'(;ii. Do you mean to say that the price of salmon is fixed by that company? Mr. Wtckersham. Absolutely. The Alaska Packers Association is the Fish Trust and fixes the price. ]\Ir. Curry. I will have to state in the record that that is a state- ment which is made without any basis of fact. There are a number of corporations aside from the Alaska Packers Association engaged in this business. That is only one. Mr. WiCKERSHAM. That is the Alaska Packers Association Mr. CuR:n- (interposing). It is not located in Seattle, but it has a substation up there, so that it is indirectly one of your constituents also. Mr. WiCKERSHAM. One of my constituents? Mr. Curry. Yes, sir; Seattle is your home. Mr. WiCKERSHAM. I think the gentleman owes Seattle an apology. I never resided in Seattle a day in my life. Mr. Curry. Well, at Taconia. Mr. WiCKERSHAM. I liave not lived at Tacoma for 14 3'^ears. I represent the Territory of Alaska, Avhich is deeply interested in this matter. Mr. Curry. I am also interested in having things done right. Mr. WiCKERSHAM. Then you must make correct statements of fact yourself. Mr. Curry. That is what I am ti\ying to do. jMr. WiCKERSHAM. I do not live in Seattle, and your statement that I do is without any foundation in fact, and I resent it. Mr. Curry. Well, Tacoma is pretty nearly as good a place as Seattle. CHAPTEES 52 AND 54 OF THE ACTS OF ALASKA. 23 Mr. AViCKKKSHAM. I do not live in Taconui. I live in Alaska and I represent the people of Alaska, as I will show you before I get , through with these fishing people. Mr. CiKRY. I have not made up my mind on this bill. Mr. WicKERSHAM. You seem to have done so by coming here mak- ing statements in favor of the Alaska Packers' Association. Mr. Curry. I did nothing of the kind. Mr. WicKEESHAM. You did, and the record will show it. The Chairman. The committee will be in order, and gentlemen will observe parliamentary rules in the discussion. Mr. WicKERSHAM. The gentleman must not make personal state- ments. The Chairman. Let us confine the discussion to the matter be- fore us. Mr. Curry. There is no evidence that a Fish Trust has increased the price of salmon, because they have not been increased in price for the last 15 years. If this company is a Fish Trust, they have not increased the price of the fish. Mr. WicKERSHAM. I have evidence to show the commitee, and I will submit statements made before thet Senate Committee on Ter- ritories. Mr. Curry. I want to see that hearing. The Chairman. I suppose Ave can get those hearings. I will en- deavor to have each member of the committee supplied with a copy of them. Mr. Falconer. Relative to the point Judge Wickersham was dis- cussing — -that is, the delay in the matter of collecting taxes in Alaska — that is the embarrassing situation, is it not? Mr. Wickersham. Yes, sir. Mr. Falconer. As a matter of information, I would like to know how the tax is collected. Is it collected from the books or from the actual stuff? Is the collection made from the warehouse stock? Mr. Wickersham. No, sir; they make an official return of the num- ber of cases put up, and the tax is based upon that. Mr. Johnson. They are shipped through the customhouse? Mr. Wickersham. Yes; all of them: so there is an accurate official statement made of it. Mr. Falconer. And that is the feature which you think necessi- tates early action on the bill? Mr. Wickersham. Yes. The Territory has no income, because sub- stantialh' the only revenues of the Territory were to be derived under these two acts. The Territorial acts imposed the duty of collecting these taxes upon officers who have been held to be United States officers, and for that reason the Attorney General held that the Ter- ritorial Legislature had no power to imposed any such duty upon them. He held that such an officer was not obliged to perform that duty. Mr. Hamilton. Couldn't we get at this much more intelligently if we had those two acts of the Territorial Legislature of Alaska in the record ? Mr. Wickersham. I have them here, and propose to read them into the record. Mr. HA:NriLTON. Have you the opinion of the Attorney General ? 24 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. Mr. WiCKERSHAM. I liave it downstairs in my office. The United States circuit court of appeals held substantially what the Attorney General did and upon the same grounds. Now, Mr. Chairman, I think I will read these two chapters of the Territorial laws, and will then call attention to the organic act. Chapter 52 is as follows : Chapter 52.— (H. B. No. 9G.) AN ACT To establish a system of taxation, create revenue, and provide for collection thereof for the Territory of Alaska, and for other purposes. Be it enacted yy the LegislatH/re of the Territory of Alaska: Section 1. That any person or persons, corporation, or company prosecuting or attempting to prosecute any of the following lines of business within the Territry of Alaska shall first apply for and obtain a license so to do from the district court or subdivision thereof in said Territory, and jjay for said license for the respective lines of business and trades as follows, to wit : Fisheries: Salmon canneries, 7 cents per case on sock-eye and king salmon; one-half cent a case on hnmpback, cohee, or chum salmon. Cold-storage fish plants : Doing a business of $ltX),000 per annum, $500 per annum ; doing a business of $75,000 per annum, $375 per annum ; doing a busi- ness of $50,000 per annum, $250 per annum ; doing a business of $25,000 per annum, $125 per annum ; doing a business of $10,000 per annum. $50 per annum ; doing a business of under $10,000 per annum, $25 per annum ; doing a business of under $4,000 per annum, $10 i^er annum. The annual business of this section shall be considered the amount paid per annum for the product. Laundries doing a business of more than $5,000 per annum, $25. Meat markets: Doing a business of more than $5,000 per annum and less than $10,000 per annum, $25 per annum ; doing a business of more than $10,000 per annum, $50 per annum ; doing a business of more than $50,000 per annum, $75 per annum ; doing a business of more than $75,000 per annum, $375 per annum ; doing a business of more than $100,000 per annum, $500 per annum. Furs: One-half of 1 per cent of the gross value of any furs the product of Alaska exporteil from the Territory ; and it shall be unlawful and punishable under tliis act for any person to ship from the Territory of Alaska any furs without haying first paid for and obtained a license permit as herein provided; and no custom officer shall issue a manifest for nor postmaster receipt for mail- ing any furs unless the shipper thereof shall present a certificate for this license fee signed by tlie clerk of the district court of the division in wliich the furs were shipped. Telephone companies: Doing a business of more than $2,400 dollars per annum, one-half of 1 per cent of tlie gross volume of business per annum over and above the sum of $2,400. Transient and itinerant merchants, $200 per annum. Mining: One-half of 1 per cent on net income over and above $5,000 per annum. Insurance comiianies: A tax shall be imposed on all premiums payable on rislcs in tlie Territory of Alaska of 1 per cent of the amount of such premiums. 1. In the case of such insurance premiums being paid to companies not licensed to do business in the Territory of Alaska, mutuals or Lloyd's, such tax shall be payable by the insured. 2. In case of premiums paid to companies licensed and doing business in the Territory of Alaska, such tax shall be payable by the company receiving the same. Express companies : Express companies to pay 1 per cent of the business done by said express companies in the Territory of Alaska per annum. Lighterage companies : Ten cents per ton on freight handled or lightered. Public messengers, $25 per annum. Public scavenger, $50 per annum. Lodging houses. $10 per annum. Reindeer owned by white men, 25 cents per head iier annum. Fishing vessels : Fishing vessels propelled by mechanical power of over 30 tons net and plying or fishing in the waters of Alaska, $1 per ton per aiuium on net tonnage, customhouse measurement, of each vessel. CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. 25 Transportation: On every ton of freight shipped into or from the Territory of Alasliii by any transportation company or steamship line, per annum, pay- able through tlie customhouse at time of entry to be paid into the Territorial treasury, io cents per ton, except return shipments of caslcs, tauk;s, Icegs, car- boys, or other receptacles used in the shipment of liquids. Sec. 2. That the licenses provided for in this act shall be issued by the clerk of the district court or iiny subdivision thereof in compliance with the order of the court or judge thereof duly made and entered ; and the clerk of the court shall keep a full record of all applications for license and of all recommenda- tions for and remonstrances against the granting t)f licenses and the action of the court thereon: Provided, That the clerk of said court in each division thereof shall give bond or bonds in such amount as the treasurer of the Ter- ritory may require and in such form as the governor may approve, the premium on said bond to be paid from any funds in the treasury of the Territory of Alaska not otherwise appropriated, and all moneys received for licenses by any clerk of a district court in this Territory under this act, except the moneys de- rived from fisheries (one-half of which amount shall be paid by the clerk into the Territorial treasury to be made available for the propagation and preserva- tion of salmon and other fish in the Territory of Alaska and to be expended under the direction of the United States Bureau of Fisheries) shall, except as otherwise provided by law, be covered into the treasury of the Territory of Alaska, under such rules and regulations as the Territorial treasurer may prescribe. Sec. 3. That any person, corporation, or company doing or attempting to do business in violation of the provisions of this act. or without first having paid the license therein required, shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be fined for the first offense in a sum equal to the license required for the business, trade, ov occupation ; and for the second effense fine equal to double amount of the license required; and for the third uffense three times the license required and imprisonment for not less than 30 days nor more than G months: Provided. That each day business is done or attempted to be done in violation of this act shall constitute a separate and distinct offense: Provided further. That in all prosecutions under this act the costs shall be assessed against any person, firm, or corpoi'ation convicted of violations hereof, in addition to tlie fine or penalty imposed, and for failure to pay such fine and costs such person, firm, or corporation may be imprisoned, in the discretion of the court, at the rate of one day for every $2 of said fine and costs: Provided further, hoirever. That in the event of any person, firm, or coriioration shall fail to pay the license required by the provisions of this act and shall further fail to pay any fine that may be imposed by a court of competent .inrisdiction, for such failure to so pay said license fee or tax required by the provisions of this act. judgment may be entered against such firm, person, or corporation, and process shall be issued for the enforcement of the collection of said judgment and in the same manner as judgments in civil proceedings. Sec. 5. All United States marshals and th?ir deputies as ex officio const;;bles. United States fish conunissioners and their deputies, in the Territory of Alaska are hereby made license inspectors under this act, and shall have power and authority to' go upon premises and examine the books, papers, bills of lading, and all other docmnents bearing upon any matters provided for in this act of any person, firm, or corporation whom they have reasonable grounds to believe is evading this act ; and if any United States marshal or his deputy. United States Fish Conunissioner or his deputy, as ex officio constables, shall find any person, firm, or corporation violating this act or any provision thereof it shall be the duty of said deputy marshal to go before a United States com- missioner, file a complaint in writing charging the person, firm, or corporation so violating this act with a misdemeanor, ;is provided herein, and upon obtain- ing a warrant upon said complaint to arrest the said person, firm, or corporation, and take him or them Itefore the United States commissioner issuing the war- rant for trial. Approved May 1. 1913. 26 CHAPTERS 52 AND 54 OF THE ACTS OP ALASKA. Chapter 54 is as folloAA's : Chapter 54. (H. B. No. OS.) AX ACT To impose a poll tn.\ upon male persons in tlie Territory of Alaska and provid- ing moans for its collection. Be it enacted hy the Legislature of the Territory of Alaslai: Section 1. That tliere is hereby made, imposed, aiid levied upon eacli male person, except soldiers, sailors in the Tlnited States Navy or Kevenne-Cutter Service, volunteer firemen, paupers, insane persons, or Territorial charges within the Territory of Alaska or the waters thereof, over the iv^e of 21 years and under the ajie of 50 years, an annual tax in the sum of $4. to be paid and collected iii the manner provided in the following sections of this act. Sec. 2. That the commissioner of each precinct in the Territory of Alaska shall, on or before the 1st day of March in each year, set down upon such blanks as the treasurer of the Territory of Alaska may prescribe the names of all persons residing within his precinct subject to the tax herein provided for ; one of such blanks shall be transmitted b.v the commissioner to the treasurer of the Territory and the other shall be retained by him. At the time of transmitting cue copy of said duplicate list of names of the persons subject to the tax herein provided for within his precinct the commissioner shall cause to be published in at least one newspaper of general circulation published within his i»recinct, or if there be no newspaper, then by posting in five public places within his precinct, a notice setting forth that the poll tax provided for in this act is due and payable between certain dates, and that the payment thereof will become delinquent as provided in this act, and warning all persons to pay the same, and that in case of failure to pay the same, penalties, as herein provided for, will be imposed, and it shall be the duty of every person liable to pay such tax to pay the same to the commissioner within the time in which such notice specifies. Sec. 3. The tax herein provided for shall be ])aid between the first Monday in the month of April and the first Monday in the month of August in each year. Sec. 4. It shall be the duty of the commissioner to receipt to each person upon payment of the poll tax herein provided for, and the receipt so delivered shall he the only evidence of payment. Si':c. 5. Every person indebted to one who neglects or refuses, after demand, to pay a poll tax becomes liable therefor and must pay the same for such other iterson after s^n-vice upon him by the commissioner of a notice in writing stating the name of such person. Sec 6. Every person paying the poll tax of another may deduct the same from any indebtedness to such other person. The commissioner must demand payment of poll tax from every person liable therefor and on the neglect or refusal of such person to pay the same, he must collect by seizure and sale of any personal property owned by such person, and any property thus seized shall be sold as ]u-ovided by law for the sale of personal property on execution, ex- cept that three days' notice of the time and place of the sale shall be sufficient. Sec 7. It shall be the duty of the commissioner to collect and enforce the collection of all unpaid taxes by giving notice in writing to such delinquent, personally or by mail, and such delinquent shall pay a penalty of $1 in addition to such tax. Sec. 8. The Territorial treasurer must, before the first ^Monday in .March in each year, deliver to each commissioner in the Territory of Alaska blank poll- tax receipts, in book form with stubs numbered the same as the receipts, of 100 in each book, a sufficient number for each commissioner. The form of such receipts and stubs shall be prescribed by the Territorial treasurer and shall be a])proved by the governor of the Territory. Sec 9. The commissioner shall, before entering upon the performance of his duties as herein prescribed, execute a bond to the Territory of Alaska in the sum to be fixed by the Territoi-i;il treasurer, which shall not be less than double the amount of money which will probably come into his hands under this act during any. one year. Said bond shall be executed with two or more sul-eties and the same sliall be approved by the Territorial treasurer; said bond shall be conditioned for the faithful discharge of the duties of his ofiice and the said bond shall be filed in the office of the Territorial treasurer. Sec 10. The commissioner shall keeji an accurate account of all moneys received by him under the provisions of this act, and he shall, not later than the 3 St day in September in each year, transmit the same to the Territorial CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA, 27 tre;i surer. Such stntenient shall be verified by the nflidiivit of the eouiuiis- sioner to the effect that the same is in all respects a full and true statement of all moneys received by him under the provisions of this act; and after the 1st day of September in each year the commissioner shall, at least once in three months, file an additional statement setting' forth any taxes and penalties col- lected by him under the provisions of this act duiin.ir such period of three months, and shall transmit such moneys to the Territorial treasurer ;, such sup- plemental statement shall be made and verifietl. as herein provided for the tirst statement. The commissioner, for services rendered under the provisions of this act, shall receive as full compensation 15 per cent of all taxes collected, except those collected by action, civil or criminal, and 20 per cent of all delinquent taxes and penalties. Sec. 11. The Territorial treasurer shall make and prescribe all rules and reg- ulations to carry into effect the provisions of this act. Sec. 12. Any person who shall violate any of the provisions of this act shall be guilty of a misdemeanor, and upon conviction thereof shall be fined in a sum of not more than $100 nor less than $5, or imprisone a report until after he returns in July. That delay will adjourn the whole matter over for this session. The next session of this Congress, beginning in December, is the short session, and it will be so arranged that noth- ing will be done then. It will go over until the next Congress, and the same delays will occur again. That has been the result of these efforts for continuance and delay year after year. All Alaska gets is a volume of hearings and never any laws for protection. In the meantime, the Alaska fisheries are being destroyed, and I earnestly protest against further unusual delay in this matter. I think Con- gress ought to take hold of this question and protect this great food supply from destruction. The Chairman. With that statement of facts we will have to have the committee in session and a quorum present to act in this matter. Mr. WiCKERSHAM. I vcry earnestly request that something be done. Mr. Ellwood Bruner. Mr. Chairman, it seems to me that the main purport of this bill should be whether or not the additional duties which were imposed upon Federal officers by the legislature shall be granted by this Congress. The Chairman. That, Mr, Bruner, we have already provided for by action of the committee. Mr. Bruner. I am hoping, then, that will be segregated from this bill. The Chairman. You are aware of the committee's action on that matter ? Mr. Bruner. Yes, sir. The Chairman. We have reported that bill. Mr. Bruner. Then I do not care anything further about it. We are willing, so far as the legislature is concerned, to test the princi- ple whether, under our organic act, we are entitled to tax the fish- eries or not. The Chairman. We can not take any action now. Mr. WiCKERSHAM. That is true, but I want Congress to validate these acts and make some provisions for preserving the fisheries in Alaska, and do it this session. The Chairman. We will have the committee called at such time as , we can get a quorum, and we will then go into the question further. CHAPTERS 52 AND 54 OF THE ACTS OP ALASKA. 41 Committee on the Territories, House of Representatives, Friday, April 3, 1914. The committee this day met, Hon. William C. Houston (chairman) presiding. The Chairman. Gentlemen of the committee, we will take up this morning the question of the course of the committee as to what we are going to do in regard to this question of the Alaskan fisheries and the taxation question involved in the first section of the bill H. R. 11740. We had before us at the last meeting of the committee a letter from Dr. Jones, Deputy Commissioner of Fisheries. That letter has been printed in the hearings and I take it that you gentlemen know its contents. Upon the question as to whether or not we should go into the consideration of this question at this time, or put it off until later, I am willing to hear any statement from any member of the committee, and I would like to hear any other gentlemen who are here who want to be heard upon that proposition and who are inter- ested in the consideration of this question. That also brings us to the consideration of a question which I have spoken of heretofore, that in the event of postponing this subject or making this investi- gation, whether or not the men who are here now from the Pacific coast would like to be heard at this time or, in case the consideration of the subject is postponed, later on. Judge Wickersham, you stated at the last meeting that you were opposed to deferring this matter, and that you would like some steps to be taken at as early a date as possible. We are willing to hear from you now on that subject. STATEMENT OF HON. JAMES WICKERSHAM, A DELEGATE IN CONGRESS FROM THE TERRITORY OF ALASKA. Mr. Wickersham. Mr. Chairman and gentlemen of the committee, I have been trying for five or six jeavs to get some legislation from Congress for the protection of the fisheries in Alaska, but always in vain. We have had numerous hearings from time to time, but no results have come from them. Invariably efforts to continue the matter somewhat indefinitely have been made, and invariably the matter has been continued without passing any laws for the protec- tion of the Alaskan fisheries. I do not wish to appear unreasonable, gentlemen of the committee, at this time, either to the committee or to the gentlemen who repre- sent the canneries in Alaska, but I do wish to say to the committee most earnestly that while this matter is not acted upon, in the mean- time the fisheries in Alaska are being depleted and destroyed. I want to make a sufficient statement, if I may, to present the matter to the committee so that the committee will have at least some reference to the evidence which I want to put before you in proof of the fact that the fisheries are being depleted, and that if this committee does not take hold of this matter soon and do some- thing there is going to be great harm done to the fisheries in Alaska, to a great food supply of that Territory, and, I may say, a food supply not only of the Territory of Alaska but of the whole Nation, which is being destroyed. 42 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. If the committee will hear me briefly at this time, I want to call the attention of the members of the committee to a very remark- able rejDort made by an official of the Bureau of Fisheries some years ago. It will be found in the Bulletin of the United States Fish Com- mission, volume 18, for the year 1898. The report was made at that time by Jefferson F. Moser, com- mander, United States Navy, commanding the United States Fish Commission steamer Albatross^ then in Alaskan waters, for the pur- pose of ascertaining the facts with respect to the fisheries there, as to whether or not they were being destroyed and depleted at that time, in 1898. Since that time Capt Moser has left the service of the Government and is now general manager and in control of all the fishing in- dustries of the Alaska Packers' Association in Alaska. He is a man of great strength of character, and is just such a man as one would expect to find at the head of a great enterprise of that kind. He is an ideal gentleman, and what he says is entitled to the greatest weight, notwithstanding the fact that he now represents the Alaska Packers' Association as their general manager. In 1898, in his report, he went into the question of the depletion of the salmon streams in Alaska. It is a very important report, and I am glad to have it here, because I want to commend it to the most earnest and careful study of the members of the committee in regard to the general proposition of the destruction of the salmon in Alaska. In that report, at page 34, Capt. Moser said, under the head of " Depletion of streams " : When a person interested in a cannery is qnestioned regarding tlie decrease of salmon in Alaskan waters, lie is likely to assnre you at once that there are just as many salmon in the strean)S as there ever were, and begins his proofs by citing years like 1S96. when there was a large run of i-edfish in Alaska; but any disinterested authority on the subject will say that the streams of Alaska are becoming deplete!. Wljile it can hardly be said that the streams will fail entirely withiTi a few years, there is no doubt that the average runs show fewer fish year by year, and if the laws are not amended and enforced, the time will come in the not very distant future when the canneries must suffer through their own actions. It is a difficult matter to furnish convincing proofs to those who do not wish to be convinced, and any argument may fail with those who are interested commercially. It is also difficult to establish proof by statistics, because accu- rate stream statistics, as a rule, can not be obtained: and, as to packs, the canneries have multiplied in numbers, and many of them have been so enlarged that no comparison can be made. The causes of the depletion are the bar- Pleading of streams and overfishing ; in other words, illegal fishing. ******* Probably nowhere is the depletion more noticed than in Copper River Delta and Prince William Sound district. In 1890 the two canneries used 20 boats, each with 150 fathoms of web, l)esides seines, and fished Mountain Slough Eyak Lake and River, and Algonek and Glacier Sloughs in the delta, and Miner River and Cheniga in Prince William Sound. In 1897, to make a slightly increased pack, one cannery used 32 boats, the other 43. all with 450 fathoms of web to a boat, and they fished all the streams from Chilkhat River to Eyak in the delta, and all the streams in Prince William Sound. There is no doubt in the minds of the people of Prince William Sound that the streams are being depleted. It goes on to give more specific data showing the decrease in the salmon trade in Alaska, the cause of the depletion, and where the depletions have taken place, and it also goes to show the great deple- tion of the Karluk and other streams in Alaska. That was in 1898. CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. 48 These gentlemen here representing interests in Alaska will bring their statistics before you, statistics which they have very beautifully pre- pared and which are substantially correct, to show that, notwith- standing the prognostication of Capt. Moser in 1898, that there has been a very large increase in the packing of salmon in Alaska since that date. Mr. Johnson. Where are Capt. Moser's headquarters at the present time? Mr. WiCKERSHAM. In San Francisco. He is the general manager of the Alaska Packers' Association. Mr. Johnson. And a statement could be had from him at this time? Mr. WiCKERSHAM. We have that; it is all here. It is undoubtedly true that since 1898 the pack of salmon in Alaska has largely increased, and that is easily explained by people who know the general situation.. In 1898 they were fishing, substantially, at the mouths of streams. Capt. Moser pointed out that by the methods of fishing in vogue at that time they were depleting the streams. Since that time the method of fishing has largely changed. In 1898 there were very few traps catching fish. At this time there are many hundreds of traps. I do not know whether you gentlemen know what a fish trap is. Mr. Watkins. Are fish traps allowed under the law ? Mr. WiCKERSHAM. They are allowed under the law. These pound nets are strung on piles; that is, a row of piles is driven from the shore away out in the deep water, and a jigger or wing is put on out there. At the point where the shore line of piles reaches the jigger line there is a trap so arranged that the fish coming along- shore — and they usually follow a particular course — they go into the heart of the net, and so they catch thousands of them in that way. The number of them caught in that way is so great that you would hardly believe it. The Chairman. I believe you were describing the trap. Mr, WiCKERSHAM. Ycs, The Chairman. And you spoke of it as a net? Mr. WiCKERSHAM. It is a net on piles, strung on piles in the water. Mr. Davenport. We call it in our country a fish basket. The Chairman. I would be glad if you would describe the trap. Mr. WiCKERSHAM. The trap consists of a row of piles driven out to the deep water with a wing on the outside of it for the purpose of guiding the fish into the nets, and then a webbing or net is strung all around on the outside in such a way that the two long wings drive the fish into the central part of the net and there they are caught. That is about as accurately as I can describe it. Mr. Watkins. Does the law allow them to completely obstruct the passage of the fish? Mr. WiCKERSHAiM. Theoretically, no; the law says not. But they substantially do that, by reason of the number of traps they set and the places at which they set them. Trap fishing has largely in- creased since 1898. There are hundreds of traps now where there were only a very few at that time. Mr. Curry. Is not that kind of fishing done to-day, generally, all over the word? 44 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. Mr. WicKERSHAM. Oh, yes. Mr. Curry. They are supposed to be- Mr. WiCKERSHAM (interposing) . I wish the gentleman would let me make my own statement. Mr. Curry. I thought the gentleman would like to know what a trap net was. Mr. WicKERSHAM. It is a common method of catching fish. Mr. Curry. It is the only method. Mr. WicKERSHAM. The gentleman is greatly mistaken when he says that. Those traps are now being substantially supplemented by nets at sea. The fishermen have discovered by their long years of ex- perience at this business that they can go out to sea and catch the fish before they get near the pound nets along the shore. Nothwith- standing the fact that the pound nets have greatly increased, have increased to such an extent that where they are located now it looks like a forest growing out of the water, now they are going out to sea in great power boats, going out as far as 20 miles, and there they catch the salmon before they get near the shore, and they are captur- ing great quantities of salmon in that way at this time. Trap fishing has been substantially built up since this report was made in 1898 by Capt. Moser, and the practice of fishing at sea hag practically been entirely wholly built up since that time. The result is that in that way — in that manner of catching the fish — the output in Alaska has increased during these years, and it is greater to-day than it was several years ago. But that is because, Mr. Chairman, they are going out into the sea and along the shore and are capturing fish they never thought of capturing in 1898 when Capt. Moser wrote that report. In other words, instead of taking the interest on the fishery fund in Alaska, they are now catching the principal. They are taking the whole of the great body of the salmon in Alaska be- fore they even get to the shores, and when some of them do get to the shores hundreds of traps are set so that they may catch what are left. Now, in order that the committee may know that the mat- ter has reached the limit, I want to quote some of the testimony of Dr. Evermann, who, until within the last few wheeks was in charge of the Alaska fisheries in the Fish Commission. Two years ago we had one of these— — The Chairman. He was a governmental official? Mr. WicKERSHAM. Two years ago we had one of these hearings before the Senate committee, and Dr. Evermann testified at that time. Dr. Evermann was the chief of the Alaska division of the Bureau of Fisheries. On page 28 of this volume 2 of the hearings held before the sub- committee of the Committee on Fisheries in the Senate on Janu- ary 17, 1913, I asked Dr. Evermann some questions in regard to this matter, and I will read you some of the testimony that he gave at that time: Mr. WICKERSHAM. Are not tbey overworking the salmon streams of Alaska? Dr. Evermann. I think so ; some of the streams. Mr. WICKERSHAM. Did not you state two years ago, doctor, that the maxi- mum had been reached in the output of the salmon streams of Alaska? Dr. Evermann. Perhaps; I do not remember. I am not sure now that, so far as the red salmon are concerned in Alaska, the maximum has been reached. CHAPTERS 52 AND 54 OF THE ACTS OP ALASKA. 45 While the pack is kept up, it is maintained because of a remarliable increase in the cheaper grades without a corresponding increase in red salmon. Mr. WiCKERSHAM. Has the red been decreasing? Dr. EvERMANN. Yes. I do not know just what the figures this year show, but I think you will find that they show a decrease. Mr. Bower. The total pack of red salmon from Alaska during 1912 was about 1,900,000 cases. Dr. EvERMANN. How much was it in 1911? Mr. Bower. One million three hundred and fifteen thousand cases. Mr. WiCKERSHAM. So that it was an increase this year? Dr. EvERMANN. Yes. Mr. WiCKERSHAM. You think, now, the maximum has been reached that ought to be taken out of those streams? Dr. EvERMANN. Of course, it is hazardous to make positive prediction of what may happen; but it is reasonable to suppose that we have reached the danger line. Mr. WiCKERSHAM. Doctor, you are in charge of the Alaska fisheries; and I would like to have you inform this committee as to when some brake ought to be put on taking fish out of those streams. Dr. EVERMANN. We have been trying to put the brake on for the last several years. Mr. WiCKERSHAM. Then, your judgment is that it ought to be put on? Dr. EvERMANN. And we have succeeded now. I am happy to say, with the consent — e^ en at the suggestion — of the important canning interests. The brake has been put on in a number of streams in Alaska by order of the Secretary of Commerce and Labor. Mr. WiCKERSHAM. Where has that been done? Dr. EvERMANN. Fishing is prohibited now, or will be next season, in all of the streams tributary to Cook Inlet. That brings to my mind another thought. Formerly they did not trap the cheaper grades to the same extent that they do now, and now that the fish are becoming scarcer, they are putting up fish that they did not touch at all in the previous years, and they are putting up large quantities of the cheaper grades. By going to sea and catching fish, and by using this great wilderness of trap nets, and by putting out other nets it is true they have kept up the catch in Alaska, but it is within the knowledge of everybod}'' who has the smallest informa- tion on the subject and who wishes to preserve these fish, that the maximum has long ago been reached, and that we are now witnessing waste and destruction with respect to the fisheries in Alaska. Now, Mr. Chairman, the Alaska salmon streams can be depleted. I have here a most interesting book. It is the Pacific Fisherman's Yearbook, issued, in January, 1914. It is published in Seattle, and, I understand, it is maintained by the packing interests of the Pacific coast. Whoever does it does a good job. I think it ought to be care- fully examined by the members of this committee if you are going to study the subject of fisheries in Alaska. I want to call the attention of the committee to one stream which has been depleted in California, and that is the Sacramento Eiver. The Sacramento River was one of the first rivers upon which canners put up salmon. In 18G4 the first canned salmon were packed in Cali- fornia on the Sacramento River. In 1882 there were 200,000 cases of canned salmon put out from the Sacramento River — 18 pounds to the case, making a total of 4,800 tons of salmon canned during that 3^ear on the Sacramento River. Then it began to decrease, and it went down to 123.000; then to 90,000 ; then to 57,000 ; then to 31,000 ; then to 14,000 ; and finally in 1906 there were none put up on that river. For three or four years there were none put up, but m 1913 there were 950 cases put up on the 46 CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. Sacramento River. In short, that great salmon stream has been utterly destroyed and there are no fish there now, substantially. Of course, that situation resulted from several causes. It resulted from overfishing, and from putting barriers across the streams to catch the fish, and it resulted in part from mining. All these things are going to happen in Alaska. There is mining going on there now on many of these streams. All the obstacles that operated to bring about that evil in the Sacramento Eiver will operate in Alaska as soon as they open up that country. As soon as that is done and they get to work in there, the streams there are going to be depleted. When the first Eussians went to Kadiak Island, more than a cen- tury ago, they found the Karluk salmon stream surrounded by In- dians. It was a great fishing spot. That stream has probably turned out more canned salmon than any other stream in Alaska. Dr. Ever- mann and all those who were acquainted with it say it was the great- est salmon stream in the world. I saw the fishing going on there in 1903. I know how it was done. They had at one side a great post set in the ground sufficient to hold the nets. The nets were put into big boats, and they were long nets, some of them half a mile long, I sup- pose, and the}^ were carried out into the bay, and as they came around they were fastened to a rope on the shore, to which was attached a big engine, and when they got that far along the big engine pulled the nets for them. The number of fish which they caught in there is sim- ply unbelievable, and they were pulled in by machinery. The men themselves were unable to handle big nets of that kind. They were able to handle the small nets, but when they got machinery handling the fish for them they soon destroyed that stream. Every fisherman in that region knows it is destroyed ; knows that the greatest salmon stream in Alaska has been destroyed. The Wood River was perhaps the next greatest salmon stream in Alaska. The President made a special order withdrawing the Wood River from the fishing of the Alaska Packers' Association and other companies who had their canneries there, and their fish traps, and every other possible scheme and device for catching fish. Now, I have plenty of other testimony along this line. Here is a whole bundle of petitions from the fishermen of Alaska asking for the abolishment of the fish trap. Here are the men who live in Alaska. There are all kinds of fishermen — seiners and all other kinds. Mr, Johnson. They ask for the abolishment of all kinds of fish traps ? Mr. WiCKERSHAM. The abolishment of the fish traps, as I have de- scribed them here. Mr. Chairman, it is pretty hard to get the fishermen in Alaska to go into court. Those who are engaged in fishing there and who know the true situation do not care to go into court because of the overwhelming poAver of the Alaska Fishing Trust, which controls the situation in Alaska. I have talked to a great many of them, and I know what the situation is; and from the evidence given to me by these people and from what little I have seen — and I do not profess to have any particular knowledge as an expert — I am satisfied that the pound net or trap is a great destroyer of fish. CHAPTERS 52 AND 54 OF THE ACTS OF ALASKA. 47 Soon after a fish goes into a pound net it is dead. The pound net destroys every fish that gets into it. The pound net is set out in the deep water, and when there is a big run of fish on they run into the heart of the net, and there they accumulate in such num- bers that the photographs of them make you think they are solid bodies of fish. I haA^e photographs here showing that condition. It looks like a solid body of fish, and when the tide begins to go down and the fish begin to settle down on each other they are dead. When the bottom of these nets is cut out, as it frequently is, many tons of fish slide out into the boats dead. They catch all kinds of fish in those traps. The catch the silver salmon and the humpback salmon. If they do not use any of them as they formerly did not all of the fish going into that net, except the choice fish, are destroyed. More fish are destroyed in Alaska in that Avay by the traps than are canned, if the evidence which comes to me is substantially accurate, and I have every reason to believe it is. I will say to the committee that I do not know that of my own per- sonal knowledge, because I have seen so little of it that I can not say that to be true, but I do say it upon information that I believe most earnestly, and I say it in the presence of Dr. Jones, because I would like to have him find out whether it is true, and I also want to say in the presence of Dr. Jones that it is generally known that he is going to Alaska, and I have seen the inspector coming around in Alaska, and when the inspector comes after notice things are in pretty good shape. I clo not want to take up any more time of the committee to-day. The point I am making is this, that if you gentlemen do not do some- thing in Alaska the fisheries there are going to be destroyed. The canners there do not want to destroy the fisheries. The trouble is that there are a hundred fishing concerns in Alaska. There are hun- dreds of the traps. Many of them are not owned by the canning companies at all. People go up there and sell the fish to the canning companies. The shore is lined with these traps, and they are over- fishing. Capt. Moser srjs they were overfishing in 1908, and yet in 1914 they are fishing more vigorously than ever. Now, Mr. Chairman, there are some telegrams here from people who claim to be members of Alaska fishermen's unions in Seattle and in San Francisco. There is no such thing as an Alaska fishermen's union in that country, ex- cept as a dummy. There are dummies down there who claim to be Alaska fishermen's unions, but they are not. It is very easy to get up an Alaska fishermen's union and send a telegram down here to Wash- ington. These people who go to Alaska to fish are picked up along the wharves in San Francisco and other places, and when the fishing season begins they are taken to Alaska and at the close of the fishing season they are brought back, and they are paid $165 for the season, but they are not paid anything in Alaska. They are not paid a cent until they get back to Seattle or San Francisco or Portland, and then they are put on the wharves, and then they are paid $165, and that is the end of it. Then these telegrams are sent from the alleged fishermen's unions in these different places. The Alaska fishermen's unions in Alaska are composed of men who live in Alaska. They 48 CHAPTERS 52 AND 54 OF THE ACTS OP ALASKA. are composed of the men who signed these petitions and sent them here, and are the men who are trying to get some protection for these fisheries in Alaska. There is a Southeastern Alaska Fisherman's Association! which has headquarters at Ketchikan, and they have made a statement in regard to this matter, which I will put into the record at this point, if there is no objection. (The statement referred to is as follows:) Southeastern Alaska Fishermen's Association, Ketchikan, Alaska, March Jf, 1913. Dear Sir : The people of Alaska, Indians and whites, whose homes and in- terests are in Alaska, and whose laws affecting their naost vital interests are all made in Washington, D. C, ask your serious consideration of the following: The only important industry of the people of southeast Alaska is fishing. It is the work by which the permanent residents directly (or indirectly, as mer- chants, etc.) make their living. There is very little mining; the land is not fit for farming, being nothing but a thin layer of decayed vegetation over solid rock. Salmon used to be the principle food of the natives, now the canneries are trying to take them all, and the natives do not get their share. In streams where salmon used to be abundent they now find non6. Almost all of the work inside of the canneries is done by Chinese and Japa- nese contract laborers brought from San Francisco and other places by the canning companies. Hardly any of this work is offered the residents of the country. Every year the locating of more fish traps by the canneries is making the only important industry of southeastern Alaska a monopoly of nonresidents and foreign corporations, whose great wealth has been taken from the Avaters of Alaska by the operating of canneries a few months annually, but it is spent elsewhere, and work for the people whose homes are here grows less and less every season. If the natives are deprived of the opportunity to fish for their living the Government will have to support them. If the white residents are deprived of that opportunity they will have to leave the homes they have worked hard to get and go elsewhere. The natives are proud and self-respecting. They wish to support themselves. They wish to vote and have the rights of citizenship. Now they pay taxes but are not allowed to vote. Further, the traps destroy countless millions of fish, and if their continued use is allowed, the once plentiful salmon will be as rare in our waters as the once plentiful buffalo is now on the western plains, and many other animals and birds that have been wantonly destroyed to enrich a few. Last summer the traps caught so many fish that even the canneries, whose canning capacity is 144,000 and 168,000 cans a day, could not can them, so they sold them to otlier canneries who had no traps, and refused to take fish from the fishermen, which prevented the fishermen from earning anything for the better part of the season. PRICES CANNERIES PAY FISHERMEN IN SOUTHEASTERN ALASKA. The fishermen in southeastern Alaska are paid one-third or less the price that fishermen receive on Puget Sound, and the cost of living here is twice as much and more, and even these prices were not granted by the canneries until after a stubborn strike by the fishermen : Humpback salmon 1^ cents a fish at streams ; delivered at canneries by the fishermen, 15