MONTEREY HARBOR, CAL.

COMMITTEE ON RIVERS AND HARBORS,

HOUSE OF REPRESENTATIVES, Washington, D. C., January 21, 1916.

The committee met at 10.30 o'clock a. m., Hon Stephen M. Sparkman presiding.

The CHAIRMAN. Mr. Hayes desires to be heard on the project for the improvement of Monterey Harbor, Cal.

STATEMENT OF HON. EVERIS A. HAYES, OF CALIFORNIA.

Mr. HAYES. I desire to call attention, not to the new project, but one that was embodied in the river and harbor act of 1912. I read from that act in regard to Monterey Harbor, Cal.:

For improving the harbor at Monterey, Cal., in accordance with the reports submitted in House Document No. 1084, Sixty-first Congress, third session, and subject to the conditions set forth in the said document, $200,000.

Now, the conditions set forth in Document No. 1084, third session Sixty-first Congress are these. I read from the report of the Chief of Engineers:

Having fully considered this question from all viewpoints, the board has arrived at the conclusion that the improvement of Monterey Harbor by the construction of a breakwater at an estimated cost of $800,000 is advisable: Provided, That assurance is given, satisfactory to the Secretary of War, that rail connection between Monterey and San Joaquin Valley will be effected within a reasonable time: And provided further, That local interests contribute $200,000 of the cost of the harbor improvement. Under these conditions the board recommends the improvement as worthy of being undertaken by the General Government.

Now, you will observe that there were two conditions named in this report: First, that assurance be given, satisfactory to the Secretary of War, that rail connection between Monterey and San Joaquin Valley would be established; and, second, that local interests should contribute $200,000 of the cost of the harbor improvement. When that was before the board in 1902 we had a syndicate that had agreed to build this road. It was a syndicate in San Francisco. We had, as you will remember, a promise from that syndicate to the effect that if this improvement was made they would build the road, but when we went to them the next summer and asked them to give the necessary evidence to submit to the Secretary of War, we found that they were in such a financial condition that they could not build the road and were, therefore, unable to give us the necessary guaranty that they would build it. Since that time they have not been in a condition where they could build the road. They own a large mileage of electric roads in California, and, as you perhaps know,

24046-16

3

the automobile development has made hard times for all these roads, and this particular syndicate has been affected with the rest. They have not been in a position to fulfill their promise to build this road, and therefore they were not in a position to give us the necessary proof to satisfy the Secretary of War under the law.

So far as the condition requiring us to provide $200,000 from local interests to assist in the improvement is concerned we have provided that. The State of California has appropriated $200,000 for this purpose, and that money is still available. The thing that I am trying to bring out is, that I think the other condition should be modified in view of the existing circumstances.

We have been to see other people who have money and who are building railroads. There is one gentleman who is worth several million dollars, who lives in Monterey, and who is now building a road in Montana. He has put into that road as much money as it would cost to build this road, and he would be willing to finance the proposition and build this road from San Joaquin Valley to Monterey, a distance of some 125 miles. He would be willing to do it, but he says, as they all say:

Of course, the law provides that it is going to take four years to do this work. There is only $200,000 of that money appropriated by the city. There is $400,000 more required, and we do not know whether that appropriation is going to be made in 4 years or 10 years or 20 years; and it would be foolishness for us to build a road which could not pay a profit or dividend without the harbor improvement. We would be foolish to do that until we are very sure that the improvement will be made and will be ready when the investment is completed.

Mr. SWITZER. To what investment do you

refer?

Mr. HAYES. The investment that it is going to take to build this road.

Mr. SWITZER. What guarantee have you that they will build the road?

Mr. HAYES. We have no guarantee, of course. We could get a guarantee, probably, that they would build it after the harbor is finished. They are like all men that have money to invest. They do not want to go into a thing that is speculative to the extent that this is unless they are sure that they can use their money after they put it in.

The conditions in the harbor are these: You gentlemen who were there will recognize that this is probably the best natural harbor between San Diego and San Francisco on the coast. There is never any time when there is a serious storm in Monterey Harbor. Once in a while we get a trade wind, and the waves come in a little, but they will never interfere with vessels lying at the wharves or lying at anchor in the harbor, if we can have this improvement. In fact, there is no such danger now. The only thing we desire it for is this: There is an undertow in Monterey. You can never tell what direction it is going to come from. It depends on the direction of the wind, and the result is that no large vessel can lie at the wharf at Monterey with safety. Sometimes they can, and sometimes they

can not.

Mr. KETTNER. How about the depth of the water?

Mr. HAYES. The depth of the water is all right. There are from 6 to 8 fathoms of water at some places, and at others it is deeper than

that. There is plenty of water in the harbor right near to the shore. It is a natural harbor, and as soon as this breakwater is fixed it will be a first-class harbor.

Mr. KETTNER. What action did you wish this committee to take? Mr. HAYES. The action was suggested in my bill.

Mr. KETTNER. Unfortunately, I have not seen that.

Mr. HAYES. The point is that this provision in the act of 1912 be amended in this way: Instead of saying "subject to the conditions set forth in said document" I would suggest that it be modified to say "subject to the condition that $200,000 be furnished by local interests for the improvement," leaving out the proposition in regard to the railroad.

There are additional reasons why a railroad should be built. There are vast coal deposits halfway between Monterey and San Francisco which a railroad of that sort would tap, and which would become profitable to a railroad, and which would be an added inducement. The valley of San Joaquin is a great agricultural valley. In fact, it is the great agricultural valley of California. The railroad would save 125 miles.

Mr. KETTNER. In reaching tidewater?

Mr. HAYES. The freight has to go to San Francisco to find an outlet at the present time. Some of it may reach Los Angeles, but at any rate it would be a short cut through a very large part of the most productive territory a short cut to tidewater. There would be a very large tonnage of freight going over such a railroad to Monterey. Not only that, but there is the Pajaro Valley, which is immediately contiguous to Monterey, which ships every year an average of 5,000 carloads of apples, to say nothing of the great many more tons of other produce. Then there is the Salinas Valley, a little farther away, but still near to where a rail haul of 125 miles would be saved if it were safe for large vessels to come in to take

on cargo.

The CHAIRMAN. What is the estimated cost of the improvement? Mr. HAYES. $800,000, $200,000 of which has already been provided by local interests of the State of California.

The CHAIRMAN. Have we appropriated $200,000?

Mr. HAYES. Yes, sir.

The CHAIRMAN. And has that since been diverted to some other place?

Mr. HAYES. That is one reason why I appear before you this morning. I am afraid that if you do not allow us to utilize this it may be diverted.

The CHAIRMAN. You can utilize it.

Mr. HAYES. I am afraid that some fellow who wants to get a harbor on Monterey Bay, or for some other reason, will inaugurate a movement in the legislature to repeal that law, and we shall lose that $200,000. Then we shall have to begin all over again. If you gentlemen could modify this condition in some way, so that we could utilize this money and get this improvement, it would not only help us in the way I have already suggested, but there is the Presidio of Monterey Reservation, which the War Department has in charge, and there are chances of docks for the United States without expense to the Government. The city of Monterey owns the water