Annual report of the Governor of the Panama Canal for the fiscal year ended ..

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UNIVERSITY
OF FLORIDA
LIBRARY Y

Digitized by the Internet Archive
in 2010 with funding from
University of Florida, George A. Smathers Libraries with support from Lyrasis and the Sloan Foundation

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ANNUAL REPORT

OF THE

GOVERNOR OF

THE PANAMA CANAL

FOR THE

FISCAL YEAR

ENDED JUNE 30

1940

UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1941

For sale by the Superintendent of Documents, Washington, D. C. - Price 20 cents

TABLE OF CONTENTS

Page
Introduction ------_-----------------------___------------------------- 1
Operation and maintenance of the Canal ------------------------- 2
Operation of auxiliary enterprises-business operations ------------- 2
Government-administration ---__-------------------------------- 2
Services rendered by the Canal to shipping ----------------------- 3
Net revenues- -------------------------_---------------------- 3
Replacements---------------_---------------------------------- 4

SECTION I.-CANAL OPERATION AND TRADE VIA THE PANAMA CANAL
Statistics of Canal traffic ------------------------------------------- 5
Canal traffic by fiscal years 1915 to 1940-__-----------------------__ 9
Traffic by months-fiscal years 1940 and 1939 -------------------- 10
Tanker traffic ------------------------------------------------ 10
Nationality of vessels transiting Canal- -------------------------- 12
Cargo carried by vessels of leading maritime nations- -------------- 12
Vessels paying tolls on displacement tonnage ---------------------- 13
Vessels entitled to free transit- ---------------------------------- 13
Small commercial vessels transiting the Canal --------------------- 14
Cargo shipments segregat -11 by principal trade routes -------------- 14
Origin and destination of ca-rEg_. -__ -------- --------- 15
Principal commodities_ ----------------------------------------- 20
Classification of vessels between laden and ballast traffic---------- 21
Laden and ballast traffic by nationality ---------------------- 24
Average tonnage, tolls, and tons of cargo per cargo carrying vessel--- 24
Steam, motor and other vessels --__-_____--_--- -------- 25
Frequency of transits through the Panama Canal ------------------ 25
Gross tonnage of vessels ----------------------__--_--_- __--__-- 27
Summary of passenger movement at Canal during 1940- ----------- 29
Transient |ia.Mng-r-;_ -----____----_-------------------- 29
Canal operation and maintenance- ----------------------------___- 30
Hours of operation -------------------------------------------- 30
Operating schedule of locks--------- ________________-- 31
Lockages and lock maintenance --------------------------------- 31
Power for Canal operation--------------------------------------________ 32
Water supply ------------- ----- -------------- 34
Dry season, 1940 -- ----------------------------_35
Floods --------------- -- --------------- 35
M adden Lake ---------- __-___.__ __ ......-- - - 35
Madden Darn -----------_ ___--____ ------------------------ 36
Maintenance of channel ----------__- ____------------- 36
Ordinary channel maintenance- ----------------------------- 37
Special maintenance projects -------------------------------- 38
Slides__ __--___--____----- -------------------------- 38
Subsidiary dredging division activities ------------------------ 39
Equipment ----------------------------------------------- 40
Ferry service --------------------__-_____ -------------------- 41
Marine activities -------------- ---------------- 41
Aids to Iiavin.dtimi .--------------------------------------- 42
Accidents to shipping -------------------------------------- 42
Salvage and towing---------------------------------------- 42
MIetEorolog- -hydrl(11 g seismology -------------------- -------- 43
II
1 K.K3

T%\BLE 01 CONTENTS

ri4'- 1 I. L it ISEiSS OP'F.RATIONvS

S'iiii; i :i C( ana i esl i-i-rai tir s. .... .................... .. -
1 1. h11iiin l anld marine work. .,- . .. ..- ...- .
l )r .I..uk- -.-.---. . .. ... . .
11:iri a repair work --- - .. .
Work other than marine work... ... --.

Electrical ini tallation and repair work -, ------..-.---..-..-......
I';1ir hlis a dt indbpections in the United Stats. -. .-.- ... .....
't. rehoituse and ship I.iilr r -----:u ...... - --- -. . .
S1.II111'iii an1d IIIsrvi ecalde property and e'q11pilniit .......
1lIel -.il, IDiesel .il. ,i.'; i and kerosene- ---- .- - .. ..- .
IlliiL i ng coiistrutilion and maintenance ---- ---- .-----.------. ...-
(!Qni rtLer8 for ii inI I i .- ..... ----.------.-....._
Replacement. of' jllur ri'r. for American 'iiipliye .. .... -......
N11t.r transportation -.. . -. --.-- .-.
Panama C(anal I'r-- .. -------- .....
lievenuewis derived from rental of lands in the Canal Zone-. ---. ..
hi-iii-1- 1I)perations under the Paniiiaiii Railroad Co--- --.. --..---.-.-
Trans-Isthmaian Railroad--------------------.----..-----.-._..
RIwvi\N ing and I 'rn ard ing Agency.... ---- ... ---- .. _-...._
C i Ii plants - - -- -- -- -- -- - --- - --. . . -
T lclIphl on s and *llhgraphs.- ...- . -----. .... -.-. . .-
Real estate operations ---- ----------.----.....-------- - -
C(oimnni sary Division10m --..---.-. - - -- ... .-
Purchases .,.. ..-- - --. - ------- --.- --_ -. -
i- tells - .. ..- - - - . -- - - .-- -
M uihi D)airyv .. - - -
Panama I, ne- -- .-... . ..-------- -- -

SECTION III.---AD.MINISTRATION
Department -. -. .. -------- -- --
Operation and maintenance -----------------

1 111111ti g . .. -. -. -
Executive----- -- -------- --
Health .. .. -. .
Panama Railroad Co --. -.--
('Ci:ihai ill administrative rsonnel ..... ------
('1:Imi.-~ in administrative organization
PI'r-lT iii adni-inistration -. .. . -----
i | 1111 i i\r.. .. ... ...
(;lId riii M' 'i -- ----- -- -- -- -- -
Tl.rniil ing and turn-over of furce _.. . .....

1\ 1 i1 1' .. .. ... . . .

,iil\. r eligibility anpd -inpl'i\ in nt program. --
RT -p ilrinti ii~.- -- - --
('ash relief for disabled inp11i ..... --..
I \' rimi nt L'i r Ii i .

- - - - - - 60
-- - --- - i
S- ------ -- 0
- .. . . -60

-- .- ti
61

---.-.----.. 61
-- ---- - -- il

.. --..-.- .- fi2
6i2

- ----- -. i3

litI

.... 67

------------ i
------------ nq

Page
45
46
46
47
47

4H
49
49
50
50
50
51
52
54
34
54
55
55
56
56
57
57
.1 7
58

59

TABLE OF CONTENTS V

Page
Clubhouses and playgrounds --------------------------------------- 70
Clubhouse subdivision- -------------_---- --- -__..__..__ 70
Subdivision of playgrounds-------------------------------------__ 71
Legislation-------------------------------------------------------- 72
Capital allotments, fiscal year 1941 -------------------------_-_____ 74
General program ---------------------------------__ -___-- .__ 76
Additional needs ---------------------------------------------- 77
Third Locks project ----------------------------------------------- 78
Panama Canal Twenty-fifth Anniversary- -------------------------- 79

SECTION IV.-GOVERNMENT

Area of the Canal Zone-------------------------------------------- 80
Population --------------------------------------------- --------- 80
Public Health ---_-------------------------------------------------- 81
Vital statistics ------------------------------------------------ 81
Malaria ----------------------------------------------------- 82
Hospitals ---------------------------------------------------- 83
Quarantine and immigration ------------------------------------ 83
Municipal engineering- -------------------------------------------- 85
Testing laboratory- -------------------------------------------- 85
Water system ------------------------------------------------- 85
Sewer system ------------------------------------------------- 86
Roads, streets, and sidewalks- ---------------------------------- 86
Townsite development----------------------------------------- 86
Cities of Colon and Panama- ----------------------------------- 87
Miscellaneous projects ---------------------------------------_______ 87
Public order ------------------------------------------------------ 88
Fire protection---------------------------------------------------- 90
Colon fire -------------------------------------------------------- 91
Magistrates' courts ------------------------------------------------ 91
Balboa ------------------------------------------------------ 91
Cristobal ----------------------------------------------------- 92
Pardons and reprieves ---------------------------------------------- 92
Public school system- ---------------------------------------------- 92
Postal system-----..------------------------------------------------ 93
Air mail ---------------- -------__------------------------------- 95
Iiuiiiigpration visas ------------------------------------------------- 96
Relations with Panama -------------------------------------------___ 96
Customs --------------------------------------------------------- 97
Shipping commissioner- -------------------------------------------- 98
Administration of estates--------------------------------_________-- -----98
Licenses and taxes------------------------------------------------- 98
Foreign corporations----------------------------------------------- 99
Insurance-------------------------------------------------------- 99
Commercial aviation ----------------------------------------------- 99

SECTION V.-FINANCIAL AND STATISTICAL STATEMENTS

Accounting system ------------------------------------------------ 101
Operations of the Panama Railroad Co------------------------------- 102
Panama Canal operations ------------------------ ------------------ 102
Index to tables- ---------------------------------------------------_ 103
Financial tables. ---------------------_------------------------------- 104

Il-;PoTr fil' Ill..11S OF D.PAlATMKNTS AND DIVISIONS

APPIE NDIXEs NOT PitN.-TED

Thi' material in the annual report if the Governor of the Panama Canal, pub-
lished in this volume, is to a 1:irie extent a -iiroiiw ry of the data presented in the
annual reports frI l ii the heads of departments and divisions in tilen. Ca'.nil organ-
ization; the latter, rrgairdl-cl as t: -iprlndii El to the repoI-rt of the (G;vernmr, are not
printed. The annual reports of tii Iii iI'Inini lRail road C,'. and the health h depart-
Inent are pu11ld-1i'I separately; tl1h- latter is PilpIiild for calendar years only.
The reports of the heads of departments and divisions, as listed below, are on
file at the Wut'inlton llice of the Pa'iiiutMI Canal or at the lflire of the Governor
at Balhoa 1-lurlit-'. Canal Z1.ii'-
:ri6inii-cr of Imaintenance, report of.
S.p"'i:il construction iii\ i-ijil, report of uMipcrvising eiigiiine'r.
-pIpri- l TI: i Liic rii di\ i-i'ii, report of di-igniinz evigiis-er.
Drl-liiuig li i-i' in, report of superintendent.
Plans section, report of :t linr chief.
Real estate section, report of :;itingi chief.
Assistant Iriin.r(il of maintenance, report of.
Electrical li% i-iton, report of electrical enginiccr.
Municipal i nuinvitriig di\ i-i'j. report of acr-tiing municipal eiininper.
I docksi' i-ilin, report of superintendent.
Office *,iir'ur, report of.
Si..*i'in of mu1lr-riulyg and li dr(iriaphiy, report of.
Mnirine (dix i-ioi, report of marine superintendent.
Mchl.iii iciil division, report of superintendent.
Supply -i-i,.IrI iiiIn-iI. report of chief quartermaster.
A.cru Ii r Inii department, report of comipt roller.
Executive ldepartmitent:
Division of civil aITiilii, report of chief.
Police and fire dli\ i-inn, report of chief.
Division of -irl'aIIl<, report of :l tiii. superintendent.
Bureau of clubs and plai* n grnin.-, report of gvIIrail secretary.
Division of personnel supervision and iil: i:IC i'iiiri(, rep'ri of oaling
director of personnel.
Si-r \ l. inu *iiricr, report of.
generall counsel, rilp rt 4f.
Public d( f InIl'lr, rI.ap r.1 t of.
P;ia iii.i-t.1r, report of.
M1: i~ rates' courts:
NM:i'i-trat;,' Cri-111:il, report of.
MITi'i1i ri in. oI:il 11'; report of.
WX i-1iilniL i t.l--, report of chief of *lli.e and .' iiurad jip rcliti-ini ufliu'r.
Pardon il riil. report "Id chairman.
SIii*r aeronautical iI-|jibitor, e[>ort "f.

ANNUAL REPORT

OF THE

GOVERNOR OF THE PANAMA CANAL

BALBOA HEIGHTS, CANAL ZONE,
October 25, 1940.
THE SECRETARY OF WAR,
Washington, D. C.
SIR: I have the honor to submit the report of the Governor of the
Panama Canal for the fiscal year ended June 30, 1940.
On July 11, 1940, the undersigned took oath of office as Governor
of the Panama Canal succeeding Brigadier General Clarence S.
Ridley, U. S. Army, who resigned July 10, 1940.
Respectfully,
GLEN E. EDGERTON, Governor.
INTRODUCTION
The administration of the affairs of the Panama Canal enterprises
involves three main elements-(a) the operation and maintenance of
the Canal itself; (b) the operation of the auxiliary enterprises neces-
sary to provide adequately for the needs of shipping and of the
Canal operating forces; and (c) the government of the Canal Zone,
populated by American civilians, native or tropical workers and their
families, and by the United States Army and Navy defense forces.
The immediate supervision of the administration of these various
;activities rests with the heads of the nine major departments and
divisions reporting to the Governor, in whom is centered responsi-
bility and control of the entire organization either in his capacity as
Governor of the Panama Canial or as president of the Panama Rail-
road Co., an adjunct of the Canal enterprise, organized as a Gov-
ernment-owned corporation.
By Executive Order of September 5, 1939, the provisions of Section
13 of the Panama Canal Act, approved August 24, 1912, were invoked
as an emergency measure and since that date the Commanding
General, Pantmia Canal Department, United States Army, has exer-
cised final authority and jurisdiction over the operation of the Panama
Canal and all its adjuncts, appendant.s, and iappurtenances, including
control and government of the Canal Zone; and the Governor of the
Panama Canal has been subject to that authority and the orders
issiied under it.

HI.PitT (I (GOVERNOR OF THE PANAMA CANAL

OPERlt.TION AND MAINTENANCE OF THE CANAL

The priirlln y fuv inction o the Pananaii Canal is to provide and
llItiu ltIiil a Water Iayr v h Ileasrl of lich vessels maly Illake the transit
frol one (oeai' to the other, aniid to haiindle such traffic as presents
itself for t1111ii-it w I 1111th iaxiiul of safety ald a 11iinimum of delay.
Essen:tially t iis involves the mainiteniiunce of the waterway, the
opera tion i)f hel loiks, andIl the conitriol of tratllic through the Canal.
Throui'gliuiit the year Ithe (anail force inuintaiiined its lhigihl standard
of expedition ste rvice not only in the actual trallnsiting of ships but.
in providing emergency repairs, fuel, supplies, and the various sup-
plenientary services incidental to shipping. There were no inter-
ruptions to traffic during the year.

OPErn.ATIoN OF A'XILIA ENTElrISES.:--BSINESS OPERATION

Secondary only to the operation of the Canal is the function of
supplying various services to shipping. Commerce requires at the
Canal certain adjuncts essential to shipping, such as fuel oil and coaling
plants, storehouses for foodstuffs, ship chandlery, and other essential
supplies, marine and railway repair shops, terminal facilities for the
trainsshipiment of cargo and passengers, a railroad line across the Isth-
imus and a steamnship line between New York and Panama, quarters
and commnissaries for the operating force, and other adj Iuncts essential
to thle economical and efficient operation of the Canal. These services,
under coordina ted and centralized control, are provided by (lihe various
business units of the Panama Canal and Panama Railroad Co. The
coordination of such services with the transit of ships through tithe
Canal assists materially in the efficient and economical operation of
the waterway. Moreover, in providing marine repair facilities, fuel.
and other supplies, the operation of tlhie" business units promiot'.
traffic throI.ugh the Canal.

Go 1-: RNM KENT-A DMI N STATION

The usual functions of government, such as schools, police anid fire
prIotection, qua rantinte, public health, immigration service, posts,
customs, aids to navigation, steamblloa t inspection, hiydrographiic
and11( mieteorologicall work, water supply, sewers, construction and
lmatillnti-ialle of streets, and similar activities, which, i l thle United
ftiates r1. l diretcld bV various ollicers of tlie national, State, and
111iiiiriipail ?govrInI ents, -are lentrusted ill ithe Canal Zone to the
Gvilnor, and alr e xc1U1ted it iider Iliis authority unId reSponsibility.
This ecntraliza tion of all government l activities under one head id.
5i'tnfilll to lrnomicnid i and efficient aidllinistfratioll.

REPORT OF GOVERNOR OF THE PANAMA CANAL

SERVICES RENDERED BY THE CANAL TO SHIPPING

The more important items of the business of the Canal and its
adjuncts covering principal services to shipping are expressed numeri-
cally in the following table, which presents a comparison of the

activities during the fiscal year 1940 with the
preceding:

2 years immediately

Transits of Canal by ocean-going vessels paying tolls----
Transits of small commercial traffic not counted in ocean-
going traffic.. -------------------------------------------
Free transits of U. S. Army and Navy vessels, Colom-
bian Government vessels, vessels for repairs, etc------
Total transits..--..-----.......-------...........-----------
Number of lockages during year:
Gatun Locks ---------------------------------------
Pedro Miguel Locks........................--------------------------------
Miraflores Locks-..- ...............-------------------.......------------
Tolls levied on ocean vessels..-------.------------------
Tolls on small commercial vessels..------..-..........-----
Total tolls. .-------------------------------------
Cargo par'ine through Canal (tons) ---------------------
Net tonnage (Panama Canal measurement) of transiting
ocean vessels ----------------------------------
Cargo per Panama Canal net ton of ocean vessels, laden
vessels only -------------------------------------------
Average tolls per ton of cargo, laden vessels only--------
Calls at Canal ports by ships not transiting Canal------
Cargo handled and transferred at ports (tons) -----------
Coal, sales and issues (tons) -----------------------------
Coal, number of commercial ships bunkered ..-----.----
Fuel oil pumped (barrels) -------------------------------
Fuel oil-number of ships served other than vessels oper-
ated by the Panama Canal ---------------------------
;hips rEpa.ired, other than Panama Can-mi r-quillini:-nt
4lips .1ir'dockd'l, other than Panama C.ii.ial ,'uiIUpnrir.
I'r:i'. iions sold to commercial ships (commissary sales).
Chandlery sold to ships (storehouse sales) ---------------

Fiscal year 1940 Fiscal year 1939 Fiscal year 1938

5, 370
973
602

5,903
914
664

5, 524
931
476

6,945 7,481 6,931

5,302 6,054 5,651
5, 392 6, 283 5, 870
5,286 6,221 5,813
$21, 144, 675. 36 $23, 661, 021. 08 $23, 169. 888. 70
33, 084.46 38,408.94 45,318.69
$21,177,759 82 $23, 699, 430.02 $23,215, 207.39

27, 299,016
24, 144, 366
1.326
$0.632
890
2, 062, 020
118, 219
300
12,492,347
2,455
779
119
$297, 477. 96
$67, 559. 67

27, 866, 627
27 170,007
1. 238
$0.727
831
1, 580, 859
70,487
276
9, 037,955
2,063
587
119
$307.342. 16
$45, 785. 68

27, 385, 924
25, 950, 383
1. 225
$0. 750
865
1,530,287
103,844
312
7,487,667
1,903
633
106
$327, 943. 72
$61, 213. 12

NET REVENUES

The net revenues from Canal operations proper were $11,253,773.49
as compared with $13,841,071.19 last year. Net revenues from
business operations under the Panama Canal for 1940 were $1,033,-
886.06 as compared with $681,272.48 in 1939. The combined net
venvI.111-( ve.l'ing from the Canal and its business units totaled
$12,287,659.55, as compared with $14,522,343.67 in 1939.
The grnc % c;lpital investmentlt as of the beginning of the fiscal year
was $343,150,444.95 and the net investment, $508,107,922.04. Net
rUe\ itnie for the ye1r 1940 produced a return of 2.42 prcinit on this net
investment ai s i gai inst 2.86 for the previous year.
The foiego ing figures do not include the Isthmian operations
ciliririd on by the Panama Railroad Co., which yielded a net profit of
$2,497,072.70 for the year, as conimpared with $1,481,847.10 for the
previous fiscal yeaiIr, an increase of $1,015,225.60 or 68.5 percent.

HEPiRT )F <;>V:'ERN(OR OF THE PANAMA CANAL

HI lI.(CKEM ENT.

T n11 [nI-'t lii-'ll m111' v Illtii rI l. 1 lost of 2li V 'Plmrs of sittcvcssiful
ojpnIlli llI ri f 4 11. 14Piillitillu ( I il ; ill fact, its cdi'p lrl 'd )11n(e a i ci rll i
Sfi' il is 110W i ikii for i griat l.
O1ii otf t filil' W il I li l d Iaitie I tli- po)ssipli i< (tie 1 g1hI stall of
Iiiiiiliitrii tiiir ill W ii t'll all1 WClliil' 11i1iid1 (d'tI.rir itfill ,i p)rllts anr, kept.
)Of thl tiltl cilpital va lii of tihl Panama ( 'iim1 1 ilrri I ru lpprioxlilite ly
$ OIl, )I.(ll1) Of geiiertil s riictii'iil vi2ilIiis p t iil'r li gl to l11i11)iisir1i ,s
iiits of i1 it gIllt zaiiit II, WI cll i c ,li hjt -Ict, to ilctcriInatiooii 1ii1
['V' Iir' t r ;I il I' rri'Mll f )l l pcTrio 1ic rcplla ll I''if ll Nl i.
St11n.' of 1th11i strilltin sl, s11chI as dams ll uii u stIlli Im c elcc l l emlls lll atilo I ilfe( 1 )1i i( lit e t i'Xpvi(lill. for li- l u k p;
ut Oi on others itt'jrioraitin li .is rfeacled a point w1iierI replacement
ilio 114 not i ngi it be ieltfenc l. Tlli cs itc(-'-air fipri Ccc in'lits its ncliti
not only ti11' friinit bl iitil( 0s triiinillavy Prectcd to strvte tl rin lll.
period of ifiv cn istriiction of the Canml, but also docks, hilighways, etc..
whichl, due to onirdin airy deterioration or other condi ticl is, have hbrti

lil o aii l'Kl0l 'iill to mialintilin.
Full(d.s- for the repliac the lit iion1lisiniss units (with thle \rcpttion of lo ting plint) must Ii-
1ppro)l 1) in d( for 1y Colin fSS firomi til l, gci iril fini ls of tit Trc'ii-n rti ,
sin ic no fundcl Ipltclllt a citrsrvs fot t 1s opi-i ratios 115 i IllILiiil-
tiiinld by t'1 Painamia Canal. However, in tlt- Canal accounts
dieprliiilaticll chiinrt's are niiiid on dlepriecinbl property, but tith funds.
COv rinll di ppre ia iliimi l ci ge s for 1nonlisinS11111 illnts are n tn.nuc41 in to
thev general fund of till Treiisilry il'li yn- anl(d a(' iot *vallicth
without appropriation. Tims, for this pIart of (li organization. t(he
Piinamn1. Cainil (t'penils on Conigress to provide from tliese fuuifls
(wilth have linti dpositcd ni niwillly in the Trncii.iiiy in prior years)
thie n'ecssaiiiy ri'pict'natieit of worni-out aindl olsoltplr ]iit to liirtinita
the vntviti)risl up to tihe staindilird of oprenit ion.
Not only 1is ith re (1d iiin11141 fo- rt'iplaleriltiil of sMile of the txistliiii
facilities but niso lthe nIcd dlcvelops for ne\ kinds of facilities. Fundis
for suil'\l new ficilititsmust aIlso 1>t oht1iliitdl by dirfecT1 ij)Ipropi'itioti.
For ti liv' rci sons, it is s.1Siititil to the I liiil ffi ci'ieitcy of the
Caiil ;ili to tlih growth of its facility i-' to 111ii't (ie vLroiwinig (ieil'tilis,
1hiit tll- Bitirc i oflli e lid t ilif ll 1 i CongrfeSS -lr iiv I (i reftil c .isid(ci--
itiol to lfli i(iiirlliiiits s bmiliit ted ini niu tllv 1t' %'tllr (i viii r for lti' <1
p1)11T1 -;-,.

SECTION I

CANAL OPERATION AND TRADE VIA THE PANAMA CANAL
STATISTICS OF CANAL TRAFFIC

Transits of ocean-going commercial vessels 1 through the Panama
Canal in 1940 numbered 5,370, in comparison with 5,903 in the pre-
vious fiscal year, a decrease of 533, or 9 percent. Although closely
approximating the 1936 and 1937 totals, which were 5,382 and 5,387
transits, respectively, the number of transits was the lowest since 1935
when 5,180 vessels passed through the Canal.
Tolls on the 5,370 transits totaled $21,144,675.36, in comparison
with $23,661,021.08 in 1939, a decrease of $2,516,345.72, or 10.6
percent.
Cargo carried by these vessels amounted to 27,299,016 tons in 1940,
in comparison with 27,866,627 tons in 1939, a decline of 567,611 tons,
or 2.0 percent. Panama C;anal net tonnage of these ships aggregated
24,144,366 tons in 1940 in comparison with 27,170,007 in the previous
year, a decrease of 3,025,641 tons, or 11.1 percent. The relatively
smaller decrease in cargo tonnage is attributable to the fact that the
average vessel passing through the Canal in 1940 was more heavily
loaded and that fewer vessels made the transit in ballast.
A brief review of traffic from the opening of the Canaiil on August
15, 1914, indicates that starting with a total of 1,058 transits in the
fiscal year 1915 there was a gradual growth of traffic which reached
a total of 6,289 transits in the fiscal year 1929. The fiscal year 1929
may be considered the record year in Canal traffic with a total of
6,289 transits (an average of 17.2 tranisits per day), total tolls of
$27,111,125, and total cargo carried through the Canal of 30,647,768
tons, although the Panama Canal net tonnage of 27,585,000 (esti-
mated in accordance with the present rules of miiea-u recent which
became effective March 1, 1938) of the ships in the fiscal year 1929
was slightly exceeded the following year (fiscal year 1930) when the
Panama Canal net tonnage was 27,716,000 (estimated in accordance
with the present rules). From these record levels the world-wide
depression reduced Canal traffic during the next four years so that
transits numbered only 4,162 in the fiscal year ended June 30, 1933.
From that point traffic gradually increased, reflecting the lupswing in
business colnditionis, with the result that in 1939 transits were but 6
percent fewer than in the record year of 1929. During the early plirt
I Includes all tolls-paying vessels having a measurement of 300 or more net tons (Panama Canal measure-
ment) or 500 or more displacement tons.

ICED!HT Mil G;()E\NIOiR iF THE PANA.MA CANAL

of the fiscal ycnr 1940 hostilities broke out in Europe. This had an
almost illllldiatlte erect upo in Canil traffic through disrupted sched-
ules 1and slilinlgs, nollttlaly inl the normally important trades between
Europe and thi-- west conisis of North and( South America.
The foIliw iiti, l v t:le, shlws a comnpatrision of traffic in the fiscal years
19-401 and 1929, Iind the percntiige of the 1040 traffic to the peak traffic
of 19J20:

N iiiii.rir of PI'in iirn a 'nirn1 T l 'Tons of
transits net tonnage cargo
F Ncal year 129. .... -....... .... ... .......... B. 2' '-- -',. rm 'j7. 111. 12.', 31 617. 7f.8
-''s-il year 1910 . ................ 370 21, III. :'.f. S 21. I 14. 75 i 27. ' 01fl
I'erlll'nt* i' i 'r.llkc I l'ii ..... 85. ..4 .7 5 7h U ,. 1I

The' comilini'd enrgo moveint ln roh tlirough the Canal in 1940 showed
a slight dlcribnse (2 percent) in comparison with the previous year.
Thi" declined in oiirg wia llTI'\s 1 5liNed by a con(-,Ji;idraible decrease
in the volumin of cnrgLo moving froin I ir Pacific to tlih At lantic since
tlie nimoveini'it in t he opposite direction increased from 9,011,2ti7 tons
inl 1939 to 9,.1S9,il0l tons in 1040, a gpjain of 9 percentt. The movemflent
ofr cnrgo fromi the Atlintiivc to the Pacilic was les affected 1-% the war
in Europv than that moving froin the m Pi.ifi t the Atlantic, bhcnaiise
under p)re-W\var IlldiliollT a irigo prop)(irtion of t(l- CearLoes mIovingP
from the Atliirnti to the Pacifii origin;it'd in the IUnited States and
otlier soI'urces in the We'lrn Hemisplhre. On the otlier hand, the
movementllic in thili otherii direction hias beeni adversely affected by the
slnhrp (urtiiilnient in the shipment of a nnibher of important. bulk
coImmoditiesIii nIrm'ily l -hipped from North and South America to
Europe (whieiit. lumber, nitrates, mineral oils, etc.).
As prev iously sthited, the gre;atlst factor contributing to to the decline
in transit was flower sailings in the Europe-North America and
Europe-South Anmrirni trades. In the former, which nornially ranks
second to tlie lnitidl Sl nie inltercoastal trade in the number of transit,
traffic decli neil from 1.341 transits in 19)39 to 747 in 1940, a decrease
of .194. or 44 per'Tient, while t11he aniount of cargo passing between
thlices two airing declined from 5,,06.000 ito in 1930: to 3.343,000 tons
in 1040. a dri'urisc of 1.i911';.000 tons, or 37 percent. In the Europe-
Soil1 Ainericni trdiii' there were '235 fewer transit than in thle pre-
cldii L''year, a dclr-lii of 40 p Ir'c'nt, while thi amount of cnrio tranis-
porHI'd over 1ihi. rwiitoe in 1940, ninounting to 1,73.1,000 tons, was 40
pvrirTnt iiiioir tlhe 2,9.77,i000 tons] pa-iinig through in 19.9>. The de-
1lin11 in tilte reoii two nidls e v Wis offTqt ill pirt, iowIvur, by
IIITi'ir's in -1om11 of ifth' oflir inilportant trades, notably that between
(lit- v1tl co111it of thie I nTited Sttlls a ndl tihe wvst coast of Soi uth
Aillfricn, whivl i hier Iliur' i i t lin:i1'* ov'' I '.1 '.). ie vol 111111. f ol5 TIlS ov i ill thii trld(ie

REPORT OF GOVERNOR OF THE PANAMA CANAL

(amounting to 3,259,000 tons in 1940; 502,000 tons south-bound and
2,757,000 tons north-bound) was greatly stimulated by reason of the
interruption of the normal flow of trade between Europe and South
American countries following the outbreak of the European war.
The volume of south-bound cargo moving over this trade route was
greater by 160 percent than in the preceding year, the increase being
made up of larger shipments of coal and of various manufactured
goods, with coal shipments aggregating 140,000 tons as compared
with 2,000 tons in 1939. The north-bound tonnage in this trade-
2,757,000 tons-was 310,000 tons, or 12.7 percent, greater than in
1939. Slhiprnent.s of both copper metal and copper ores with ton nages
of 264,000 and 58,000 tons, respectively, incereis;ed materially in com-
parison with 1939, while shipments of iron ore aggIregatiung 1,567,000
tons were slightly under 1939; nitrate shipments, amounting to 599,000
tons, increased about 10 percent over 1939.
Traffic in the United States-Far East trade, (including the Philip-
pine Islands) also increased substantially in comparison with 1939.
Transits numbering 661, sh4owele an increase of 84, or 15 percent, over
the number passing over this route in 1939, while cargo tonnage,
totaling 4,864,000 tons, was greater by 794,000 tons, or 20 percent,
than in the previous year. Of the total cargo moving between these
two areas in 1940, 3,266,000 tons, or 67 percent, was west-bound and
1,598,000 tons, or 33 percent, moved east-bound. In the west-bound
movement, which was up 395,000 tons, or 14 percent, over 1939,
large increiasu.s occurred in shipments of mineral oils, plhosplin teS, raw
cotton, and manufactures of iron and steel; scrap metal shipments in
this trade, totaling 948,000 tons in 1940, were 206,000 tons less th.an
in 1939. Of the cargo moving east-bound (i. e., imports by the
United States of cargoes originailing on the other side of the Pacific
Ocean), shipments through the Canal of raw rubber, totaling 184,000
tons, were more than eight times the volume of such shipments in
1939. Increases were also recorded in shiipments of chrome ore and
vegetable oils, while shipments of sugar, totaling some 622,000 tons,
although still the most important east-bound movement in this trade,
declined by 7.0 percent.
In the United States intercoastal trade, which for many years lias
been the most important trade route served by the Canal, a total of
7,714,000 tons of cargo parsedt through the Canal, an increase of
830,000 tons, or 12 perci-ent over the preceding year. Cargo tonna-1ge
over this route incrca-ed in both directions. From the Atlantic to the
Pacific, shipments totaled 2,796,000 tons in 1940, an increase of 404,000
tons, or 17 percent, while shipmenlcits in the opposite direction aggre-
gated 4,919,000 tons, an increase of 425,000 tons, or 9 percent. In
the west-bound movement shipments of manufactures of iron and steel
increased from 784,000 tons in 1939 to 1,048,000 tons in 1940, a gain

tEFPORT 1W GOVE\RNH ()0- THE PANAMA CANAL

if ;4 perul'lit. H hil' iI llIII, IoippI site I irecti(il shlipImeints of lini1 b r
iire*iiii1Il :.;;O,(OI) i'ii n-, or 24 p11rtcl t, UVM' till' ,21,. 001,0 tollns of this
pr(ltliift i ll.i.z thirlligllI ill 10:;9; will irdil'l (oils. tIotiliIng SO92,000
util, illuictiird S8 Iw'I .r lit I)\' 19 :;!9.
III otlier pliii pj)lil ltriilI' (l r' \\ls 111l inlliiase in all ) oii ifillllfi
1ovi01 e*Hlel\\ n1 fliv I'lilnl Wiiit ll th1 l llawaiiln tIslanlds and
bvtwcrI'l l i S t d li*(l 11114l All-A idai-ia. r ojimiip loving in the
foniieir otlli' tr Inlltd ,504,()()() t0114 ill 19o0 ill c(ilorlrisnll with W 195,000
tor-i, in 1940o, a1i icrira- of 191.(000 toni< or '38 percent. In this trade
sliipiiieiil oif Iiiwlfzirt ulIIi.I of ioni aid(l steel to Ilwalii iiliel't .ird from
210 'l(ll o- mI i 19.i9l to :;7-i,<) tOi- in 19401, i g olll of 7T preiilI, al(nd
sIhiprili'ts of tini-plite iiiri iised riini 40,0()(0 tIons in 1939 to 49,000
tons in 194ll a riiin of 23.- p -rnillt. Sliiilii lts of sliii froi1 tiil-
ITWiliaiiII sltilil; to thle I'iti'd Stat, tIIotalil :1097,000 Ionl, an
incIfi-vn of 49 pt'rrit aind fruit juic',- in thii- lin-crlioi iinr-iisid from 1)0,000 tils in 1939
to 173,000 tIons in 1940, a 'gain of :, percent t. Tile cargo tonnage
4li1vi6ll 1l'iHIgii Oi- Ielid SlalSti and AislraIadsii Inicraisti'd frot
462.000 In1, in 11:;' to 624.000 Ionis in 1940, a iiun irises of 162,000
tolls, or 35i p'rcri'iIl. The iiicriis* IN tllis criaro liiovilliit wiis (idue
pliiilliril'v to iui'i ii'il sulphur -hiplniriil s in lil- w\\st-iiindl Inkrale
S11ii(' i s1io\l ilin iirii'-i o4 67,000 toil., in 1940 over 19139, 2 galin of
70 pervinlt, while l 1the 4 O (ppo-it e (ii rertioll Silip1lle'lltS f clil'o1e ore
sliii>i'id a 1aiin of 2.%,000 ili- ais d(uiipai4rld with 19390.
Carno imillagii ) betl% (.41 Ilj ri[)( and Aiuslrlidsia through liI Putiina11
('nail di-eclined 13 pri-veiit in 1940 as conipairedl with 1939. This
cleurc'ir'i- ii arvo*iiiteid for in the -;iuiith-b>oiind hliipniiits which declinci
27.1,001) to it., or appri'xiiiiaitly 51 pi'reit ill vol nIIic. This was
014r1i4ion1d by the li -' r p 1iuiniurts of iron and steel InaiinufiactlIires
which drcrv i-tl 71,111110 tons in 1940 in ctinpiifrico1 with 19:;9, wiile
*d4iip1iiil- of ;ilomimol1ile. alnd parts and other niichitiery also were
ii0ili liItl u thanll in V1t0. On the other liiiiid. t lti' Irlti--liiilld
iill)ov\ei111it i alifrr'D ill I lii tlli' AI' s \ii\I'd a simll In111if'e in 1940 over
10939 (13 p|rr(rlit). This was dim iiIdly to 1 It Ic'avir h iil1illllqits
of food product' in cold sc d I' LI'. suchl as diry products alild Illis
which inciir'1a-d 1 iy 105,000 Imi or 33 prceinit over last yv'a,', and to
WIol shII))Iitpl w which iirii-dil 4-4,0110 till' ais cortINIp(ed withl 19390.
Fiirtlivr ditA il- of ll-' ililividljal u oitin1 itidii* alid of (li triadll
rmlliuts -drrd lk ti1 ( 'inail are if-;r*iited 1on jig'tI' 14 to 21 l of this

In the fi-'td ;ai' 1940, I riilli-si4 (if local uoindeirriiul \r.-'slc lf ndr
.;00 o111.1 t l I iittl :ii.il : Inlliil i lr l t, 1111111 wli (iud 97:i (iiln W l i1
1 Vr*< rl> of ll. I Ilit.d wl: a ri\\ Vr.-'SvI-A of till, (,) lo li1il I (ri(1 il-
[ill it, nlild vr I nx (rilli lilll, ,)h-IY fur rvp lirs, 1)114" Of w\lhiclh pili(

REPORT OF GOVERNOR OF THE PANAMA CANAL

tolls, numbered 594 as against 664 for 1939. Further details on vessels
transiting free of tolls are shown on pages 13 and 14 of this report.
The total of all tolls-paying and free transits combined numbered
6,937, in comparison with 7,481 in 1939, equivalent to averages of
18.95 and 20.50 transits per day, respectively.
The receipts from tolls as reported to the United States Treasury
for the fiscal year 1940 were $21,177,243.04. This figure includes tolls
on local commercial traffic amounting to $33,084.46, which are not
included in the Canal statistics covering ocean-going commercial
traffic. The toll receipts reported to the United States Treasury
moreover reflect. minor adjust innts for overcharges and undercollec-
tions amounting to $516.78. These two items account for the differ-
ence of $32,567.68 between the toll receipts reported to the Treasury
and the figure for tolls levied on ocean-going commercial traffic as
reported in the following studies of traffic which are based on tolls
levied at the time of transit.

CANAL TRAFFIC BY FISCAL YEARS 1915 TO 1940

Comparative traffic statistics covering ocean-going vessels for each
fiscal year since the Canal was opened to navigation are shown in the
table following:

Fiscal year ended June 30-

19151-------------------------------------
19162 -. ..- - -- -. - -
1917 -------------------------------
1918-..--. ----------------------------
1919-.--------------.- -----------
1920------------------------------------------
1921 ---------------- ------ --------------
1922....------------------------------------
1923 ------- -------- ----- - -.
1924 .-. -... . -. . ._ -. -- -
1926--------------------
1926 ------.--.------ ...- ---- -- --- ---- ------
1927 -.--.---------- -------
1928.....9--------.---------. --------- -----
1929 ------------------------_ ----_ --
1930 ----.-------------------------------------
1931 ------------------------------
1932...
1933 --..----- --- --- -- --_-----
1934--..----------------------------------
1935 --.-------- ------------------------
19365------------.----- --------.---------------.
1936... ..------------. --------- .----------..
1937 --..- ------------------ ----.-----
19389 ------..-------------- .-------- --
1939 ..--.. - - - - - -
1940---...--.----..----------.. ...----- -
Total----------------- ------------

Nt
t:

timber of
ransits

1,058
724
1,738
1,989
1,948
2,393
2, 791
2,665
3,908
5,158
4, 592
5,087
5,293
6, 253
6, 289
6,027
5,370
4,362
4,162
5, 234
5,180
5, 382
5,387
5, 524
5, 903
5,370
i1"). 7N7 I

Panama Canal
net tonnage 3

3, 507, 000
2, 212, 000
5,357,000
6,072,000
5, 658,000
7,898,000
10, 550, 000
10, 556, 000
17, 206, 000
24, 181, 000
21,134,000
22,906,000
24,245,000
27, 229, 000
27,585,000
27, 716, 000
25, 690, 000
21,842,000
21,094, 000
26,410,000
25,720,000
25,923,000
25,430,000
25,950,383
27,170,007
24,144,366

Tolls

$4, 366, 747. 13
2,403,089.40
5, 620, 799. 83
6, 428, 780. 26
6,164, 290. 79
8, 507,938. 68
11, 268, 681.46
11,191,828.56
17,504,027.19
24, 284,659.92
21, 393, 718. 01
22,919,931.89
24,212,250.61
26,922,200.75
27,111,125.47
27,059,998.94
24,624, 599.76
20, 694, 704. 61
19, 601, 077. 17
24,047, 183. 44
23,307,062.93
23, 479, 114.21
23, 102,137. 12
23, 169,888.70
23, 661,021. 08
21,144,675.36

Tons of
cargo

4,888, 400
3,093,335
7, 054, 720
7, 525,768
6, 910, 097
9, 372, 374
11,595,971
10, 882, 607
19, 566,429
26,993,167
23, 956, 549
26,030,016
27,733,555
29,615,651
30, 647, 768
30, 018, 429
25,065, 283
19,798,986
18, 161, 165
24, 704, 009
25. 309, 527
-'I*, 505,943
28, 108, 375
27,385,924
27, 866, 627
27, 299, 016

P4 3 31; ,7'di 17 1._1, ',1:; -; --
Il~. I ,3.r,; Ti l.14 .h1l.sI* z' .5 OJ C1~1~ L

I Canal *,\pien to traffic Aug. 15, 1914.
Canal closed to traffic approximately 7 months of fiscal year by slides.
1 Panama Canal net 1 .n irj w prior to 1939 are estimated figures based on revised measurement rules which
became effective Mar. 1. 1'..1%

IElhsPOrT I1F O;VE(HNOR OF THE PANAMA CANAL

'Ti(.1-IC' BY MONTHS FISV'AI. YEARS 1940 AND 1939

S'lse o'cIill-L'nil I (vi Hi in les'It ill itr lf during a lc lisl ioli1 i of tllh l iscal
Vtciir l '.1 i -l Millllitil/.ll in 1ti ll' o fi 1 illg tuilbh., ill wiil i iarn, iseI rt1id
for Coisi paii-.' i i' ])f di. pis1itlu igiiries for the prfeLdillg yrCILY:

Panarna Canal
ncet tonIlage

1I1J-4' 11 i.i-.10 I

2. 217 Il'l | 2. 177 iP'rI
I. I I. I k 2 nI"' 2'1 1
2,1. Is .7'. I'll
-. IN .1 1i12..11 .
- 1. 1 2'.. .1.1' 1il
2 11, *.'.' 2 '.I.I 11
1. 7'-2 ''7:i 2 ;.!" .lie

Tu'ns of cargo Tolls

19 jR0 10 lu'i-;39U IrI -40 19.j., 39

2 H17 '* 2(2 "2.., 'ro.i '1 iNAi 72' 1 '1 .i 'S i 1
'_. A"".. .I0'l 17. 1.7 1 .1 1.. 771. -1N I. %,.aII. I CA 74
2.' I; .771111!' 1.I?.' '- I '.I '.7- .'. 1 l 7.1n '. 1
. 11 :1 '.lN i I.7 S :-. 21.'I 21 1. 77 7'ti 7'I
S- 17. 'ai' 2 .' J. I !' I 1' ". i' % 1 N 4. ill 7' -
.2 .l1. 17 ., 2. 17 1. .'.'S' 1 111i. IN*'. 9, .1 IM (17 i lii
2 1 "1 2 All I2s" P .o '.l I .J.Vi' 1 .
2. 12l 1 2 '-1. 'I. -! 1 .7,l7. Ill. I C 1. V," '!

\1,r.i i S.1 2 I 'I '. 2 :79- 12 2 4 1i I' 1 I. I'. 1 2 21 I. ".
A irl ..... I 7'i Ik, 1.71 'I W 27 O.' ". il NI. I 2 12. 1'.'.1l 1 1..'. l %.1i I W.4 N I li
N ,% 1 *11"| 1 *, 1. < 1 iV '. .' li l S l 2 :11' 1 % '" 2 71 ; 9ll V I '.- 4.li i1. : i 'll I% I .
JI nr ....... .. J. 4 'J 1. r.1. .(l l 2. '. i.7 I 7Ns 7Q. 2. 7. 1 1. 4_x 243 7 I 'J 7. 4.1 114
17-1. 3 .. s'li .' 111 t 5 ll 27. 17oi.117 2i 7 .''I.illi 27 0 '..'2'7 21. 14 .1i.7' "i 1.' II.'l (1 -
A%% ra Ip r iiinln i .. 44 0 i2 2. 0 l i 2. 2.-4. ]1.7 .' 71. '1 2, i'2'. -'!I'J 1, 7'6'. U.-*I 1 1. 471. 7'i 7t.

T.ANK En TRAFFIC

During tlihe pist 18 years tI:1nker traffic lhas at times beis one of
tlis' i1i'1t important features of shipping tllir()ui'li the Canral. Tih

p1)eIk of taiinkcr traffic occurred in tin1 fiscal year 1924, whln'n an averii'Ae
of 4.7 tianlkr7 per dliy pi p l-s ti roughly the Panamina Cainul. For maiiny
P,2iis tliI'Vea ft er ailklr trif 1iv coilpriscilt bvtwurii 21) pciecrt anld 40
peircri-it of the total Canial trniftc. The most importtiit p sIIISe of this
iinnkir tranflic hna 1)heni the -liiipm in.' t of inirni l oil.; from the Californira
oil lil'ls to the l s.l e n;-it of the Uniteld Statc-. W\\hiil the Uinitted
Stist-s' illf riostlli rll a tl'de stAill ('1ni-ti(litts 111 i most impo-tali t 11move-
mcnilt of lfinllker traffic tliiotll 1 tie Ca.llll, (Illtinllg i plsst year it
I'11ousitted for only ISO1 n a daily averaeI of only 0.5 transits) out of
the total 4915 fanlker triiinsitk. Otfir ti fikt'r shipmncnts are pri1 iciptilly
from t1ie o6il fielis in tlIi West Iinlics an' in Peru.
Tiiki1r tiailic ini the fiscal yiear 19010 wiva. tli lowest it his beelin in
nyv (iscal year siilev 1923, the first year for wlich segregated stzitistic;
on tInnkirs wM.';r co iipdil.'ld. Twikvers sactnlitcli fllr onily 11.4 perlceit
of the total lnt tillsifge, PaIn111111 C0n11il i'asisrelient. plt thiroighli
the Canal (liriig tl past year and for only 10.8 pirci'iit of tlhe toll
tolls received. The two tabIes bhlow show tlle trallie divided between
tank ships ndll all otlhi'r ocean-goiing corinneicial vessels, classified
herein as "nil other."

ii.

nmilrr of I

Sir -.ii

1'17 4 1'

I.*, .:111
4''2 *"I

Jill%
.\11, 1 .. .
, -;*i.i. miiit r ..
\.. iriixr. ..
D).., rill. r .
J ii i.' i ir .
H' Irii r\ ... .

REPORT OF GOVERNOR OF THE PANAMA CANAL II

Number and daily average transits of tankers and all other carriers

Ocean-going commercial Daily average

F if< aI year

T'.inkrs All other Total 'Tankers All other Total

1923 --..--.-------------------
1924 ----------.------.----------------.
1925 --.--. ------------------------
1926 ----------------..-
1927 -- ------------ --------
1928 -- --- -------------------
1929 -- -----------------------------
1930 ----------------------------
1931.---------------------
1932 -----------------
1933 --..- -------------
1934 --- ------------------------
1935 -------------------------------
1936.----------------------------------
1937--------------- -----------------
1938 ---------- - - - -
1939 ----------------....................

1940:
July ------ -__-----------__
August --------------
September -------- --------
October -------------
November.------- ------------
December --------. ----------------
January --------------------------
February --------------
March ----------------------
April ---- -__--------------------
May....-----------....... .....--
June -------------------------------.

Total---- ------------------

913
1, 704
1,079
1,090
1,324
1,121
1,083
1,218
944
612
636
942
791
598
643
562
580

48
51
46
44
59
44
44
37
34
26
37
25

495

2,995
3,454
3,513
3,997
3,969
5,132
5,206
4, 809
4,426
3. 750
3. 526
4,292
4,389
4,784
4, 744
4, 962
5, 323

437
439
411
414
430
445
422
365
436
350
382
344

4,875

3, 908
5,158
4,592
5, 087
5,293
6,253
6, 289
6,027
5,370
4, 362
4,162
5,234
5,180
5, 382
5,387
5, 521
5, 903

485
490
457
458
489
489
466
402
470
376
419
369

5,370

2. 5
4.7
3.0
3.0
3.6
3.0
3.0
3.3
2.6
1.7
1.7
2.6
2.2
1.6
1.8
1. 5
1.6

1.5
1.6
1.5
1.4
2.0
1.4
1.4
1.3
1. 1
.9
1.2
.8

8.2
9. 4
9.6
11.0
10.9
14.0
14. 2
13.2
12.1
10.2
9.7
11.7
12.0
13.1
13. 0
13.6
14.6

14.1
14.2
13.7
13.4
14.3
14.4
13 6
12.6
14. 1
11.7
12. 3
11.5

Panama Canal net tonnage and tolls of tankers and all other ocean-going commercial
vessels

Panama Canal net tonnage

Tolls paid by shipping using Canal

Tankers All other Total Tankers All other

5,326,000 11,880,000 17, 206, 000 $4,769,324.63 $12,734,702.56
10, 120,000 14,061,000 24, 181,000 9,071,835. 65 15,212,824.27
6,367,000 14, ~;. 000 21, 134, 6000 5,728,302.26 15, ;'*, 415. 75
6, 286, 000 16, .21), 000 22, 906, 000 5, 626,167. 93 17, .", 763. 96
7,555,000 16,690,000 24,245,000 6,658,806.90 17, 553, 433.71
6,188,000 21,041,000 27,229,000 5, 436, 437. 16 21, 485, 73. 59
5,792,000 21,793, 000 27, 585,000 5,145,632. 19 21, 965, 493. 28
6,505,000 21,211,000 27,716, 000 5,768, 963. 28 21,291,035.66
5,237,000 20,453,000 25,690,000 4, r?. 320. 14 19,942,279.62
3,538,000 18,304,000 21,842, 00 3, 1-., 136.29 17, 497, 5C8. 32
3,775,000 17,319,000 21,094,000 3,393,311.02 16,207,766.15
5,760,000 20,650,000 26,410,000 5, 161,787.40 18, 885, 396. 04
4,635,000 21,085,000 25,720,000 4,192,863.09 19,114,199.84
3,456,000 22,467,000 25,923,000 3,192,498. 46 20,286,615.75
3,714,000 21,716,000 25,430,000 3,451, 771. 65 19,650,365.47
3,190,033 22, 7ro. 350 25,950,383 2,846,711.79 20,323,176.91
3,361,367 23, -n1, 640 27,170,007 2,766,289.86 20,894,731.22
2,756,437 21,387,929 24,144,366 2,273,539.32 18,871,136.04

Total

$17,504,027. 19
24,284,659.92
21, 393,718.01
22,919,931.89
24, 212,250. 61
26,922,200.75
27.111,125.47
27,059,998.94
24,621, 599. 76
20,694, 704. 61
19, 601,077. 17
24,047,183.44
23,207,062.93
23,479,114.21
23,102,137.12
23,169,888.70
23,661,021.08
21, 144,675.36

27;6I.,4 --4 1--2

10. 7
14.1
12.6
14.0
14.5
17.0
17.2
16.5
14.7
11.9
11.4
14.3
14.2
14.7
14.8
15.1
16.2

15.6
15.8
15. 2
14.8
16.3
15.8
15.0
13.9
15.2
12.6
13.5
12.3

Fiscal year

1923 -----_---------
1924... - -
1925.--------------__
1926--------------
1927 --------------
1928M---------------
1929 -------.-------
1930--...-----------
1931 -------------
1932.-- -...... ...-.
1933 -------- ------
1934--.--___---------
1935 -----------_
1936------------
1937 ----------------
1938.----------------
1939.---------------.
1940---.----.-------

REPORT Ml- illlVNENI1 til-' THE PAN.A1MA CANAL

N.\TION..1Ti OF V.-.,-, Tit.\NSITIN; CANAL

S.; rl p-illl o f tli r (un--i-Pil lit triflic t l l ( I'll li ill Cahal l l uring Ille
fi-cal 1Ur 194( 1). liyii timilIitV, i- prisviitd Il lilt followinlg tabIle

Al ic AImw., trairiil". uwini[irvIlnt Imiiiin loll-;, nill tons of carri:

(frie rl-niin g commercial trflr I fliri'r.i/li IL Panama ('m"ail tdiiiig 1h fiscal year
P,';11. by iilif1 l1'i(if t/ of ves8els

.Liml* liil ife'

rr11riil ir1 dii
B-ri t it I

SIrulLntr' 11 .

ill .1. 111 .
I l i t11 .. 1--

I ir t i. ir. ... ..... .
h-lU*ii I .
malin ......
I er _itin --... .-. ..-- .

1'1111IL1 II Lr
i ;rrrk ... ... ---.. -...

J eI I 'eI r I'
L: it % :il I

MexicanI s.....r 1 ...- ...
Ii iI yeI.r li . .......
\I Ir I- I i ll ... . .. .

Panamanian..... -......-. .

. . . . . .

United States..----....-----
I'r il l I-.- ITt

I I I I

Iasr>il yeari IW.........

I Num- I
i tler at
I lr i an t-

1. 117.1
.(*
I 1
174

3
93
55
175

1
46
272

S 4
340
7
557
243
6
14
4
9

110
S1,997

27

`,2. 1

I'.P1iliii1
( ill] IL Il

-t- i I (LIir e.

'. 77 1 i i 7. 1% 1. .) '. :
171, 172 25I..1 .xII

'.'. 1614 1.' '. 397
.' 201 491
9,351 11,340
7\ 360i 111.354
217,902 -71.213
7v'. 014 919,087
1-7. 250 I 1'. 226
3,932 4,.323
319.3901 ''. i098
l, .II 29!5, 2. 162, 006
22, 237 -'*. 012
1.,483 2.518
626, 638 7.7. 918
2, 583 4 ,ti61
2, 537, 264 2, 932. 868
1'.' 9O t5 1 *.'ll. 1 I
10, 344 15, 598
,. _7 0 71, -,561
14, 533 16,3 69
13, 807 18, 058
',.710 ui' 378
5013.639 1,l1l 1.211
9,a>, 743 12, 639, 745
1,231 1,782
114,168 130,04

-'1. I I 1 0 .
* '3. i il ui'
71'R.**ayi

II S'..1 Ii~'. 2

I _

1 11. .1-'

7. '.' 2.r1 ,
111 865f
22 954
6,.515
JII.1 658
157, 326
s5ti,231
122 484
2.737
.(I'2. 994
1,309,213
17, 632
1, 687
1-22. 451
2, 436
1, 754, 229
384, 081
9,716
42,439
10.209
10, 572
18,338
472. 258
7, r.:i. 026
1,120
41. 319

'I V-. 2
'1.2.1.%'

1l Tonsof
CrM F

f !'77 lit
'.. 3i.. .I I P.
I 7. 2.' Il.'
..'* 805. 42
.'.1.195. 34
(138. 44
'i..518.56
1' ..010. 341
670,334.04
lii..841 .54
*i. 538.80
2"' .021.80
1,41 9 8 0.00
-'11. 013. 30
2, 934. 70
551, 0.08
2, 258. 28
2, 177, 121. G0
4r: ) 076.98
9, 191.88
60, 984.10 0
12, 3t2.02
15. 243. 80
19,205.10
431, 678. 52
8,P .' 231. 068
886.32
97.477.I02

Sil

711. 710

17,0481
4, 10o
2, 77210
7.028
171.512
1,**:. .0.9

1, 897

2. 905.3. 772

'-' 390
:'.083
12, 384,l817

147,96

I . 111. i .7'. I r. D 7. 3.., 61"
I I

in, i ln-L'..iiL conTmmercial Ir lffic includes only I' .ll--I'iying vessels of 300 net tons and over, Panama
Canal meIsurement, and ves It 1- i (011in tolls on i i n it Il. I r .ns (1 .:4 li. il it 1i icir tons and over.
2 1:K--f l i 1 tonnage under r I Ii.- \- % iiI. 1' becaunt ilt- III I v NlrLr I 1, 1,'.0,

C.\l i; P C .\ll(il) BY VI.-I-I. OF LEADING \lf Ill I M. NATIONS

SC*r'i' liii'" c i. tr iiffln- tlI-nuiiili the Canal y nationality of vessels,

'eIw fi llo I\wi I table Ishow- the igi 'ga L; t I.r ; aI i2I crriid by ships of Illad-

ilm: iliitrilll II ntiois (i flurim-L 41

v'fii 1940 Ili1 p-n-idligir ulf to101l ViirLio c(l rivil by ships of earh

nl1i(1nii11itv is ;il"ta shown:

REPORT OF GOVERNOR OF THE PANAMA CANAL

Nalio3 un1 l'.

United States -------------------
British.. -------------------------
Norwegian ----------------------
Japanese-.---------------------
Greek ..----------------------
Swedish. ------------------------
Danish ---------------------------
Netherland -----------------------
Panamanian----------------------
French---------------------------
German --------------------------
All remaining.-------------------.

Total...------------------. 27,299,016

Tons of cargo

Tons Percent- 1939 1938 1937 1936
age

12,384,617 45.4 9,909,380 9,892,619 9,844,254 10,700,535
5,182,351 19.0 6,801,556 6,417,016 7,179,136 6,181,571
2,905,772 10.7 3,408,078 3,433,571 3,506,109 2,717,860
1,863,619 6.8 1,710,303 1,877,502 1,789,178 1,697,880
994,836 3.6 666,471 525,351 429,913 238,310
791,083 2.9 1,008,245 763,049 775, 800 855,409
695, 884 2. 5 727, 552 865,235 757, 379 627,407
617,948 2.3 675,105 749,642 700,725 511,620
513,708 1.9 371,721 415,561 627,182 654,610
341,366 1. 2 501, 752 567.288 542, 539 544,343
229, 495 .8 1,468,996 1, 518, 593 1,496,084 1,305,090
778,337 2.9 617,468 360,497 460,076 471,308

100.0

27,866,627 27,385,924 28,108,375 26,505,943
1 1 1

VESSELS PAYING TOLLS ON DISPLACEMENT TONNAGE

In the Canal traffic statistics, foreign naval vessels such as colliers,
transports, supply ships, etc., with a measurement of 300 net tons
(Panama Canal measurement) or more, and floating craft, such as
vessels of war, dredges, etc., with a displacement measurement of 500
tons or more, are classified as ocean-going commercial vessels. Sta-
tistics on these vessikls, except as rlna1tes to displacement tonnage,
have been included in the traffic summaries shown on the preceding
pages. As displacement tonnage cannot be combined with net ton-
nage, however, the following table shows statistics covering 24
vessels which transited the Canal during the fiscal year 1940 and paid
tolls on (displaciinent tonnage:

Type of vessel

Number of Displacement
transits tonnage

Naval. ---------------------_. 1
-----do ---------------------- 17
-----do --------- ---- ..- 2
do ----------------------- 1
Dredge ------------------------ 3
--.------.----- ------ 24

7, 954
94,538
3, 200
999
5,635
112,326

Tolls

$3,977.00
47,269.00
1,600.00
499.50
2,817.50
56,163.00

VE1.SELS ENTITLED TO FREE TRANSIT

Naval and other vessels owned and op'ra;tUd in the Government
service of the United States and Panama, war vessels of Colombia,
and vessels transiting solely for the purpose of having repairs nmde
at the Canal shops, are exempt from the payment of tolls, and such
vessels are not included in the geiitr;i1 tnrainsit statistics pertaining to
Cauinal traffic.
The following shows the number of vessels in each group, the
measured tonnage, the amount of tolls to which they would have been

Nationality

Argentine ---- ---------.------
British-----------------------..
Mexican.. --------- __-__----__
Netherland ---------.--.-----._
o I t a ................... .....
Total-- -------- --... ---..

IEHl'RT OF (thli.N(ilt Ol'f THE PANAMA CANAL

subjlet t I11 till pi-. ri ri.d if tolls ] id 1I 1ii *lul *n rd Ilagil s lliI ,

N illwcr I'll iii..1 I i 11 l 'l. I i.
U LrllI Il'nr.i u.. l i9* *Cle.
ll .I. I 'I Csi I- I I i v |in ~itil "HS cargo
tri ll it, 1i ,nlhilp .lI Irh 'tO

S. \rril -. .. .. .............. ... .... 2 574 *"* ."' .i 276 1 4. i1i
i r I 'i.. r .... 2 2. 741 3i. 1 2. 113
'Lotal, S. I. 9 av. rntIn nt ... ." 7..11'. .73.' 11.' 3L 14 1... I 1 5.554
CI.IOnrel.i i O veCrnmrniTt ....... .. ...... ... -, 0 *- IIr
Vi .. [r Err ilii;j for repairs only .......... 22 44, .... 32.1 t'. .
Sith. r ................ .. ............ 1 ............ 111n 17 3.330
(Orand total-- --.- .................... *i"2 ;i'6. rI 377. 7.' 2 Wl.9. 7 IUi. S93

Sm\[_i. Ci, 'm1 l:lm'Ii.% i SS IS TtANSITINI; C.N.1L

Tria mit of **aiill rmr'L_' '-''i ii'i'iiiva -Visl, inlld other smaiill cra ft sucli
1i14 V1iilit-, tugs, etc., tiflss 11ini 30 (10 iiret (1is (P:lNIIatim Ci izil iiieasuire-
111i11i I) r* 1 fs lit 11n ri 500 f lls, dlisplith I Itll(l1Sii niireiniCt, atr.' .1(tl ded
from lth' statistics of n i zi-,oii commercial t-i illie, 1 ltii' -iI lh they
ir ITlt 1 i1XI\lnipt frin i11i l )i- yment of tolls. Tle luillben.'r of these sn2ll1
vetsSCl (t ialr;i ill' the Canaild III rilri tI her *;I rt li_(t 1ir wit I tIl, to(11ln1i ,
t4lls, alld 1lli' aliiiillit Of CarI't ('iIrr'lcd, is s1iomnvI ill 111' followinil I1able:

T. .nn ....
Number .____ -- Tn n.i f
of Tolls
transit I'.nin 1 1 .1-pl.i. cargo
!:Inal 1n1m ni nn i

Atlantic to Pii P ..il ............. ........ 516 20,f-27 1,532 11'. 593.76 6, 518
P.nifl;r to Atlantic....--.----.....- -- ...-- .. I 4!57 1i i. I .. 16, 490. 70 1. 300
T.,t ii.. .. .. .. .173 .'.,.'.. j i. 1. ..) 33,084.46 5.5, 15S

CA (;IO SHII'M 1:N I SE.; Itr.;.\TED BY PRINCI PAL TH.\ DE ROUTES

Calro -l11iill'llis I11lhoughi t(I P il1ziIlin Caimiul dlfiiii the ibcal yearll'
10940 and in f1if 3 i)ric'IdiIi* yv*Irl., -srrnrigaut d by priiiciijl (mdle
roitr'.4 li'e -alivtW 1 il the fullowiiv i1 abulation:

P'n r r- i- At-la tic. .-- ......... -. ... .. -.....-
United States ln\ercoatala :
Pee 'I0 r II A t1n tLc
Total .....r ..- o......i......... .. ..........
Lniir .l States and Far East i'\. LiiI.n ii. i'liIII..InI .
Islandt .
Atlantire to Pacie..............- ...... .......-.
h at ii i to \ l i .. .... ..... ... .. ... ..

Tons of cargo

liu llt ) 1i'. i I 137

2,7.15.708 2.,:'l.523 2111. .17 2.575. .075
1, 911. 621 4. 43.,203 4, W-'.. 72.% J.9 .'2. 02
7. 711. .117 I'. l. 7 21 A' 1 i I.5 f. 51 15.7

2. 1110 2. .13 sil 3 (02. Ir" 3. 22 3 7.'
.'...304 .-J. iY. 1 4..5 514 G.. 047
3,473,464 2. t7l. 401 3,52, 6536 3,927,719

REPORT OF GOVERNOR OF THE PANAMA CANAL

East coast United States and west coast South America:
Atlantic to Pacific--------------------------------
Pacific to Atlantic -----.----------- ----------.
Total.----------------------------------
Europe and Canada:
Atlantic to Pacific---------------------------------
Pacific to Atlantic ----------------..-------------
Total --_--- ---------------------------
Europe and South America:
Atlantic to Pacific -- --------------..----------
Pacific to Atlantic ---------- ------.--.-------- .
Total .____......----- ........------. ...

United States and Philippine Islands:
Atlantic to Pacific-----------.. ------------
Pacific to Atlantic---------------------------------

Total. ..----------.--------------------
Europe and United States:
Atlantic to Pacific.--------------------------------
Pacific to Atlantic ---- ---. -----.----------------.
Total.. --...- ---------.. ------
Europe and Australasia:
Atlantic to Pacific------- --------------------
Pacific to Atlantic------------- ------------------.

Total -----.-------------------- -------
United States and Hawaiian Islands:
Atlantic to Pacific.. - --------------- ---.-----
Pacific to Atlantic ...----------------- .---------
Total... ....------ -------- ..............
United States and Australasia:
Atlantic to Pacific---------------------------------
Pacific to Atlantic -------------------------------..
Total--.--------- ---------------------
Miscellaneous routes and sailings:
Atlantic to Pacific.--------. - -------------------
Pacific to Atlantic- -------------------------------
Total ----------------..-..-....-..-..--...-..
Total traffic, all routes:
Atlantic to Pacific -...-------------..................
Pacific to Atlantic. ..----------------------------
Total------------------.................................------------

Tons of cargo

1940 1939 1938 1937

501, 511
2, 757,412
3,258,923

44,402
2, 006,622
2, 051,024

259, 700
1,474,874
1, 734, 574

378, 285
1,012, 861

192, 732
2, 447, 257

2,639,989

78, 789
2, 539, 436

2, 618, 225

415,697
2,481,541
2,897, 238

277, 399
918,937

262, 207
2, 389,649

2, 651,856

98,702
1, 716, 157
1,814,859

453, 298
2,520,600
2, 973, 898

217, 560
1, 106, 130

208,218
2,359,431
2, 567, 649

106, 296
2,467,874
2, 574, 170

460, 777
2,661,698
3,122,475

242,612
783, 657

1, 391, 146 1,196,336 1,323,690 1,026,269

192,374 337,401 449,765 534,749
1,099,296 2,349,888 1,972,196 1,435,003
1,291,670 2,687,289 2,421,961 1,969,752

268,143 542,770 545,553 473,333
864,701 759,794 705,917 670,192
1,132,844 1,302,564 1,251,470 1,143,525

189,490 141,804 151,839 184,517
504,674 361,857 450,000 506,320

694,164 503,661 601,839 690,837

487, 896 374, 544 471, 299 316, 004
135,639 86,999 157,048 236,259
623,535 461,543 628,347 552,263

1,813,931
2,119,404

3,933,335

9, 819, 600
17,479,416
27, 299,016

1, 664,800
2,135,855
3,800,655

9,011,267
18,855,360
27, 866, 627

1,603,498
2,193,395

3, 796, 893

9,688, 560
17, 697, 364
27,385,924

1, 528, 379
2,465,180
3,993,559

9,895,632
18, 212, 743

28,108,375

ORIGIN AND DESrIN.ATION OF CARGO

The following tables show the origin and dest inia t ion, by principal
trade areas, of the cargoes carried by steamers passing throuhrli the
Canal during the past fiscal year; one covers the movement of cargo
from the Atlantic to the Pvciific and the other from the Pacific to
the Atlantic.

ItEPORT (fIl (VW'EHNiO (O1 TI-E PANAMA CANAL

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REPORT (OF GOVERNOR OF THE PAN.AMA CANAL

PRINCIPAL ('CoMMODIlI-.S

StllIsts *ics of 4romiu1 oditir s p)ssilli t oll 1gh t 111ti' CIllill aln niot Prll Ciso

miia'1111i, 11t tit' tjlll' of t(ll'ri t it it 1II TIt( Fir iiifld 1t1it com plel)C( e i1Ulli-

fv(s Of cl t'i ca.lliliI' (vIIr \'"
In livii Of a Imllifi*-l tle 11O1w (iI iifitil ich \ii tvr
a iiL)iWlo dIrrll [t111 \lrl 1 i6 a4inii. a oi-lsy itrii'i1t sltilivi t [t, lisinil twit

]r ili'iir l itir l S of c(a let. < -'r g il t 1111i Iwifll th ir i of t. c( ii1111 'ry
ill-fill iid l itiv- [iiiliml. Thl rulllt Irorli t ns fd ill ( .Ir Imsis Of
1lth c< imilndtitl v (t s iilti.s. TlIri'v is a liililfal {fi l lic IIIt to list

*il:i ull se*I* nis r lii'ol -l l i clt its hutL to i lvildid thrill 11itivil till- hel d of

@<*Iln nil cII. H .t ., eXcept in the 1( of (*oi. n1ll lniti*s (. shippl-d in bulk, sulih 21.; mineral oils *iir-rirtd in tamk ships, wlihat.

11111111'r, nnilf lr. etc.. silc rgt'ii e s i )lli lenr ts Of the Vaiioillls coiln-

Iiuditlis' are1 likIly to be in r c
Y1'iIi' ill 11 1 1ii ill i 11 1111111i1iil summ ary. S lijvc t to 'rriorsi. rii ii

frolll tills soldier. the to1iiiini. of the prFiilp)al cll llOtdiltic Sliipp)'d

thrinii hi the Ca2n il hiring tlih pa-st 4 years is sliowii in the following

I ii d]i.

Fiscal year ended June 30-

1940 11939 1938

T ITlIno l it .

\Tl I Til 10 I tr.l

Si.

1937

.III1 m ior.-l **.4 !rT inll l *n-r 1
Minerals il -I-
. r ill iictal.. . .
I' i[ l r irnd pIper products ...
- il lnir .
' .. l mii l roke .. .. . .... .
SI.1 vario s.. ......
I1 Nrin raw.. . .
Tinlplate . .. .. .
I r'. . .. .
C< l. iiir I: l 1 I -- I I I
Canned r.....!' i '...i'l I r "Imis ri
Amm1111oniuzI I I liirl.-
i 'r various... ... .

I .I ril r

I I t n b... I I......
- l i 1
Liquors and winc..... ..
I: iilr, I Tiaterial. . .
T'obacc .
Automobile arerI sries
Lurnmhr and iiirll prodeta ...
1- 1 .l ir i. tlit- .

Soda and Mdiantsratiii1n cn(n<'l!
Ola? aindl Rlrsware ,,. ...
Aslw*sto. .... ...........
10osin
I r' .

Paints and r ir II. lr
T1lri. iril nmlediti w .........
r.r .n r. 1 Ii r 1 'i i r I.

Oilswl
I'*Inuta ..... .... ... ..... ..

-.-- .--- ----. ,-n a (
. -...... -... .. .** .( 04.5,
..11 021
.--...-.----.I 353, ,452
.. .. .ll 542
S316,.627
. . I 77.978
-.. 2 243, 784
-..-. 220, 617
.. . ., 2101
. ... I lit, 1 1

. 110. 435
. ... 83

.. 781

. ... .I 7 .899
6., 412
*1, 132
S. 637
.B, 144
51. .12
.. 492

491, 3115
28, 521

I1, 606
S11. f72
1.:. 105

... 11 355
........ .....

S. 9 'I50

I.nn.1 lmni
1. 1'C. 417
1,032, t671
1, N0f. 3(i
4112 214
23:4,579
11: 273
I'"' 285
2A50, 752
194,186
1'll. 9 1
127, 85$
132, 228

45, l20
511, X34
1I. ,.271
152, 131
93,325

14, 751
74,0t93
82. 235.
S64, 441 I
8U. t9:il
S.1 7 1
71, 93 1
51. 11
73411.

1 35. i95
41,303
41.3. 03

24,794
2.7 237
3,049

2 67ti 6

i 27.85 I

:.< 4410
7"'. 151
12. 76i
'". 28,3
1 7.4041
'.2'.. 679
142,121
2'.. 079
1 .7.69O

91.124
103,9002
113, 180

-i. i7. 78
94,625.
-.7, 111
45,9 167
64,981 i

52, 9
91, 769
1' 0125

'*1. 702
61.,98
591, 734
.; 659
.1 30.4

25 .762
... 480 i
24, 4311
: 134 1
21, 97

2I2, tIP
*6* 838
17,91l7

J.mon ton v
1 7711'.!ll
794, 702
1, 666,030
431.672
-. 1.2294
121 4467
379,200
3.' 1.
72'. 772
310,015
155, 206
119, 437
1.1.,885

12.1 22.4

I 1,, '41
105, 72
411977

45, 121
58,826
21. 988
****..407
*'**. 289
1'..700
17 193
t68,1r7
50,888
**. 226
34. 4413
57, 793
34, 8'
16. 469
.1 594
1t6, 507
H '.'li
17,172
4"i 977
17.075
47.456
I 831
-2* 290

Ijjiiiijij

...

REPORT OF GOVERNOR OF THE PANAMA CANAL

Fiscal year ended June 30-
Commodity
1940 1939 1938 1937

ATLANTIC TO PACIFIC-continued

IF .rr iiuer (unclassified)--------------------------------
,Oilseed cake and meal -----------------
Clays ---. ------------------------
Rubber, manufactured -----------------------------
Sand--------------------------------------------------
Extract, quebracho-------------------------------------
Slate -------------------------------------------------
Rubber, scrap-------------------------------
Flour.----. ---------------- ------------..
Oils, vegetable---------- ---------------
Sugar --------------------------
Slag ---- ------------------
All others ------- -- -- ------------------

Total --------------------------------

PACIFIC TO ATLANTIC
Lumber... _----.-.- ...---------------..
,Ores --------------------------------------
Mineral oils. -- --------------------------...
Sugar---------------------------------------
Nitrate -------------------------------------
Canned goods (food products) --------------
Metals, various. ------------ -------------
Wheat ---------- -------- ----------------
Cold storage (food products) 1I-- ----------
Fruit, dried -----------------------------------
Wood pulp --------------. -- ---------------
Oils, vegetable------------- --------------
Rubber, raw---.--------------------
Flour.. __ --- --- ---------- -
Coffee--------------------------------------
Wool ----__ --------------------_
Fruit, fresh --------- ---------------------
Beans, edible, dry ------- ---------------
Paper and paper products ----------- -----------
Barley------- ---------------------------------
,Copra --------------------------------------
Cotton, raw...---- --------------------
Rice---------- ---------------------------------
Phosphates----------- ------------------------
Asphalt and tar --------- ----------------
Potash....-..-.._..-...-. ._..----.----- --
Borax ------- -------- ---- --- -----------
Molasses and sirups ---- -----------------------
Oilseed cake and meal --- ---------------
Skins and hides -------------------------------
Oats--.--.------ ---------- -- ---------
Soya beans.-- --------------------------------
Textiles ---- ------------------------------------
Hemp, unmanufactured ----------------------
Bananas-------- -------------------------------
Tallow ---.--...-..- ------ -----------
Coconuts and products.---- ---------------
Porcelainware --------------------- ------
Chemicals (unclassified) ----------------------
Fish meal ..----- ..-.. ----------------------
Wines. _----------- ---- ------
Fish oil--------------------
Guano ------------------- --
All others------------ ------------------- --

Total...--..----.._....... .----------

Long tons
25, 367
24,427
22,588
21,784
21,776
20,910
20,746
20, 328
20, 232
19,366
19,188
9,230
1, 133, 577

9, 819, 600

3, 669, 482
2, 165, 646
2,014,237
1,455,683
1, 361, 422
1, 248, 059
706, 001
611,961
444, 291
275, 637
275,350
211,457
185,819
176, 126
166, 881
158,148
135, 143
130, 021
127, 415
117, 625
111,438
98,920
93, 579
92,259
87,538
75, 777
64,241
61,577
60, 669
53,961
49,990
43, 2CO
43,084
40, 118
36,624
36, 573
29,543
26, 409
25,286
24,669
24,387
19,414
4,700
639,056

------- 17,479,416
|

Long tons
20,633
27, 504
21,461
16,642
25, 788
20, 652
20, 616
11,837
23,445
32,002
36, 832
26,769
1,058,275

9,011, 267

3,191,093
1,991,690
2, 777, 201
1, 329, 276
1,444,148
1, 232,636
674,314
1,539,474
335,874
337,769
235,768
174,944
24,934
153,642
185,341
138,622
419,109
165, 185
120, 723
259, 612
156, 657
106,211
31, 127
87, 715
61,861
48,287
74, 239
101, 750
62,925
58,760
102,650
236,099
30,986
24,293
45, 557
30, 864
27, 064
25,324
18,542
32, 473
29,879
34, 433
27, 830
668, 479

18,855, 360 17, 697, 364

I Does not include fresh fruit.

CLASSIFICATION OF VESSELS BETWEEN LADEN AND BALLAST TRAFFIC

The following table suilmmitnizes the ocean-going commercial traffic

through the Canal during the fiscal yet-,i' 1940 egreg;ited between

laden ships and those in ballast, as well as betwvenil tnl;virs, ore ships,

passLen ger ships, genlleral cargo ships, and those not designed to carry

cargo, and also between vessels of United States regi-stry and those of

all other nationalities:

Long tons
30, 296
9,739
20,913
15, 694
56,973
12,357
10,875
2,583
9,271
29,341
56, 941
62, 546
1,031,: 836

9, 688, 560

2,850,953
2,126, 657
2,874,809
1,486,516
1, 401,003
991, 436
698,170
705, 500
334,659
291,444
313,969
170,686
62, 505
233,810
174, 778
123,297
347, 527
175,917
137, 578
237, 137
163, 521
127, 473
57, 109
44,933
107,187
33, 731
89,831
47,377
63, 798
56, 346
71, 576
52,934
51, 009
18, 490
53,319
26, 831
22, 747
45,934
33, 704
35, 866
28, 718
18, 707

707,872

Long tons
23.628
1,750
24,929
12,798
52,160
9, 129
10,610
2, 835
12,991
26,116
74, 185
50,299
1,047, 926

9, 895, 632

2, 748,917
1,851, 254
3, 571, 626
1,358,948
1,328,482
1,092,356
653,250
1, 218, 581
304,332
233,957
140,612
197, 000
70, 536
259,389
177, 209
159,586
216, 770
134,239
122, 894
166, 578
155,413
114,087
44,906
39,280
65,058
32, 041
96, 619
127, 381
76,253
72, 761
100, 629
107,612
75,652
26,176
38,501
32,050
14,933
51,608
30,153
37,901
28, 571
20, 218
32, 230
786,194

18, 212, 743

lEPOI'T II 4.VEnNrNIR lrF THE PANAMA CANAL

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REPORT OF GOVERNOR OF THE PANAMA CANAL

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SHEPORT OF GOU'VEHNR 01F THE PANAMA CANAL

LADEN AND BALLAST ITn.%lIC BY NATIONALITY

In thell tInh1, lwli)\ tlhe lhips of acth Inationility have bee)lii segre-

i(teil to shIo- qe)puriite staltistie on vessels wlii were eTI rryilng cargo

niild/oi jpi ssilgrs ti t li time i'f trar1isiilirL (' IP (tahl iiidl liosv which

passed tlhrumgh in 1)hiillIst:

I N1111i1i r ul tr ziHil

i. tIITII llluo *

Inti ih .
ltili. 11 .
( '..I .i iii l 'i
Danish...........

Finiuishi
Fr'ritr li-l
I-r nci 11
S; n i in .....
Iondran... ...
Ilungarian.......
lil.in ......
Jqpan.' .e
l.-lvin .in

I l i i. n -- ---------
Spicans..1.......I
Sw. thrl .d ....

UniteIld 1. .*...

Villi.-' r l~l Inl .

1.*.'].-n

Iii
I .'s2n
1'.
14

88
4

-.-. ~ ~ ~ G .-I 5
130
61
S1
11
.. -. I 44
.I 206
7
2
316
6
431
206
5
14
3
.. . ., I
-.. -... .... 3 1
............ N 84
. .. ,795

.|20

Wall I-

L'1

1

4
9
2

.

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9
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I .il al II Il lllati L rI. : 1

ll.- ; 1 ] .( II I '.l. ^
5 121.I. .o 1 fi95
4 I "... 1 -F1, 11 .,1.W83
3 I '.. I .*I 1. 142 14,453
1 7.-"-I 2.097 ,529
S .Vi. ..2 | .M .. 475S
1 I I *J. 3197 195,755
5 "'-1.8622 2.llI.992 523.480
0 J 1 079I (1 577 v III
S .. 3 i I 1. .
2 1I 1 7.4 11. 4150 ." .11
6 1,' 820 1.1.475 I 1, l i..
2" 217 . i ~31.1111
I .( i .. .. ,
1 556,729 I'.' *l1i. 4J;
I 2,214 369 .''
r. l,'4...il 591,200 i 1.751,458
Q .27 'All 136,0681 2!.. Ill
S 9,690 6154 8,,721
17760. *I 94w .
1I III.57 3,8761 9,591?
13,107 12... '.426
3 1. .. 11. .1 f. I8
G I. 5 I I '.'. I% 315.292
2 8,'&. .'l 1,il'J. .I' 7,8 .86, i 83
1 ... 1. -11 .. .
7 | .i.7 29,301 S 7t.. i

3,:.'..428 1. .-2 1 2, .'. 688
4.662,504 20,2K25,753 3,357,X03

AVF.R.\;G TONNAGE, TOLLS, AND TONS OF CARGO PP.R C.MU1.o-

C.AIIYING VESSI:L

The av'riic illivil-i iirlemnt t MiiimLge, tolls, II1 tonsll of Cnrig'o p'er

cargo-carrv-iiizg c-l* of 300 net tmii. ;a:1 over (Panama Camilml IsilJeiItre-

ment), tri iiti iliil the P;laillm Cail drilng the 1lit 3 years 111'e 1ioI\In

in the following tablm;i ini:

I i-r.l yea r Fi aln wir z Fist .\<4nr

'annmi C nal et..... .. .'.. .. ...4, .1 4,6l33 j 4,70)
i. l. r.*I r .s . .... .. . i. ... ". I 5,16 ,97
i... .. ....... ... .... . .T.. 1 ..... . . .3, 5
'I..11- $3, 9 6. 5. $4, i.'7 30 N1 1i 75
Tons of cargo I In liI.Ir I Sis in :..lli-i" ..0...... I 4, 741 4,977
Tons o rR o I ..I. i .. -- I onfly) .. .. ..... ..... .. I ,719 5,784

SEFstiinif-d tonnage based on revised measurement rules which became' i rft cI\ r Mnr 1, '1iS.

N.il Ill. 1il

.179.1 11i
2. 758
1, 627
.. 168
S. 742
1,510

1IIC. h74
2. 735

5,717
-"I 142

t ilt
12'. 66
:7. 906

2,791

2.1136
m'. 386

21,097

Is

1 ~ni;

T .. l. .. . . .. .
T .I -J l i ......... .. .

REPORT OF GOVERNOR OF THE PANAMA CANAL

STEAM, MOTOR, AND OTHER VESSELS

The following table shows ocean-going commercial vessels transit-
ing the C;i nal during each of the past 4 fiscal yei ars, segregated accord-
ing to the method of propulsion:

1940 1939 1938 1937

Steamers:
Oil burning-------------------- --------------- 2,567 2,444 2,396 2,236
Coal burning------------------------------------ 637 1,019 900 997
Motorships ------------------------------------------- 2,135 2,398 2,204 2,115
Miscellaneous---------------------------------------.- 31 42 24 39
Total------------------.--------.------------ 5,370 6,903 5,524 5,387

FREQUENCY OF TRANSITS OF VESSELS THROUGH THE PANAMA
CANAL

During the fiscal year 1940, 1,613 individual ocean-going commer-
cial vessels, representing 29 nationalities, passed through the Panama
Canal. In the iaggregate these vessells made a total of 5,370 transits.
The number of transit male by individual ships varied from 1 to 103
and averaged 3.33. The greatest number, amounting to 103, was
made by the small Panamanian steamer Colombia, plying between
Cristobal and the west coast of Colombia.
Although vessels of United States registry led in the number of
transits during the year, Great Britain, which ranked second, was
first in the number of individual vessels, with 454. There were 415
individual vessels of United States registry which passed through
during the year.
The following table shows the number of individual ships, the fre-
quency of transits per vessel, the total transit for the year, and the
average number of transits per individual vessel, segregated by na-
tionality:

2ti REPORT OF GOVERNOR OF THE PANAMA CANAL

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tor
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1. ~ ~ ~ - _ : ." ' '" ; ^ ^ 5

REPORT OF GOVERNOR OF THE PANAMA CANAL 27

The following tabulation shows for the fiscal year 1940 the number
of vessels making a given number of transits fltrough the Panama
Canal (from 1 to 103), the percent, which each class formed of the
total number of vessels (1,613), their aggregate number of transits,
and their percent of the total ocean-going commercial transits (5,370):

Per- Percent Per-
centof Total t cent of Total Percent
Number of Number indi- num- o al Number of Number indi- num- C al
transit of vessels visual berof tCan of transits of vessels vidual ber of Canal
s vidual ber o trasits transits
vessels transit (5,370) vessels transits (5,370)
(1,613) (5 0) (1,13) (37)

1------------ 511 31.6 511 9.5 17----------- 3 0. 2 51 0.9
2 ------------ 427 26.4 854 15.9 18 ---- .---- 4 .2 72 1.3
3 ----------- 168 10.4 504 9.4 19--------- 4 .2 76 1.4
4 __- -. .- 164 10.1 656 12.2 20----------- 2 .1 40 .7
5 -- -103 6.4 515 9.6 24----------- 3 .2 72 1.3
6 --------- 75 4.6 450 8.4 25 1 .1 25 .5
7 ------- 42 2.6 294 5.5 26---------- 1 .1 26 .5
8 - 49 3.0 392 7.3 32----------- 1 .1 32 .6
9 -------- 22 1.4 198 3.7 34----------- 1 .1 34 .6
10 6 .4 60 1.1 37---------- 1 .1 37 .7
11 7 .4 77 1.4 39----------- 1 .1 39 .8
12 5 .3 60 1.1 42 ---------- 1 .1 42 .8
13 - -_ 3 .2 39 .8 103---------- 1 .1 103 1.9
15---------- 1 .1 15 .3
16-----------. 6 .4 96 1.8 Total ---- 1,613 100.0 5,370 100.0

GROSS TONNAGE OF VESSELS

The 5,370 ocean-going commercial vessels which transited the Canal
in the fiscal year 1940 included 5,346 merchant vessels, yachts, etc.,
paying on the basis of net tonnage, and 24 vessels paying tolls on the
basis of displacement tonnage. Of the 5,346 merlchiint vessels,
yachts, etc., 2,050, or 38.3 percent, were vessels of from 4,000 to 6,000
registered gross tons. Vessels betw eeni 6,000 and 8,000 tons made up
23.1 percent of the total and those from 8,000 to 10,000 tons, 12.8
percent. Vessels under 2,000 tons accounted for 12.2 percent of the
total, while those of 10,000 tons and over representele 6.1 percent.
The average registered gross tonnage of all transits was 5,815 as
compared with 5,881 for the previous year, a decrease of 1.1 percent.
The following tabulation shows the ocean-going commercial vessels,
excluding those based on displacement tonnage, in groups according to
registered gross tonnage, segregated by nationality, with average
tonnafiges for 1940 and 1939 and group percentages for the past year:

27IP2I,4- 1 l--3

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REPORT OF GOVERNOR OF THE PANAMA CANAL

SUMMARY OF PASSENGER MOVEMENT AT CANAL DURING 1940

The following tabulation shows by months the number of passen-
gers, exclusive of transients, disembarking at Canal Zone ports during
the fiscal year 1940, segregated as between first-class and all others,
with comparative totals for the fiscal years 1939 and 1938:

Passengers disembarking Passengers embarking

First-class Others Total First-class Others Total

July..------------------------------- 2,024 1,130 3,154 1,842 1,445 3,287
August------------.-----------.----- 2,091 1,971 4,062 1,902 1,482 3,384
September -------------------------- 2,341 2,143 4,484 1,760 870 2,630
October----------------------------- 1,922 3,661 5,583 1,211 1,522 2,733
November--------------------------- 1,797 1,676 3,473 1,059 640 1,699
December.-------------------------- 1,842 1,686 3,528 1,293 997 2,290
January -----------------------------..... 1,829 1,053 2,882 935 695 1,630
February---------------------------- 1,745 2,123 3,868 1,314 1,352 2,666
March....................------------------------------ 1,552 2,132 3,684 1,640 1, 351 2,991
April--.--.--------------------------- 1,444 2,294 3,738 1,383 1, 326 2,709
May------------........ ----------. --------- 1,488 2,866 4,354 1,594 1, 228 2,822
June------------------------------- 1,878 1,549 3,427 1,806 1, 434 3,240
Total, 1940--------------------- 21, 953 24,284 46,237 17,739 14,342 32,081
Total, 1939--------------------- 19,073 16,368 35,441 18, 833 16,609 35,442
Total, 1938--------------------- 19,302 21,784 41,086 19,588 19,300 38,888

As compared with 1939, the fiscal year 1940
30.5 percent in the number of arrivals, and in

showed an increase of
comparison with 1938

an increase of 12.5 percent; in the number of departures there was a
decrease of 9.5 percent in comparison with 1939 and 17.5 percent
under 1938.
The following table shows the passenger traffic through the ports of
Cristobal and Balboa during the past 3 years:

A further segregation of the passenger movement shows that
38,909 incoming and 24,105 outgoing passengers came from or were
destined to ports of the Atlantic, and 7,328 incoming and 7,976 out-
going passengers were brought from or were destined to ports of the
Pacific.
TRANSIENT PASSENGERS

In addition to the figures shown above of passengers disembarking
and embarking, there were 90,666 transient passengers brought, to the
Isthmus by vessels calling at Canal ports during the fiscal year 1940.
For the fiscal year 1939 there were 114,053, and in the fiscal year
1938 there were 131,837. The number in 1940 decreased 23,387, or
20.5 percent, in comparison with those in 1939, and registered a decline

ItEPcHil'T 01 < ;IVEl OFK oIr* THIE PANAlMA CANAL

of 41,.171, or 311.2 peir*it, lilider 11.1S. Most of them pIlsst'llngerlS
'1ili4 I. fIri for 1liirl periodsl but .ilnce tiel V uli ji['ti(I on til l- S 1110
\ I tl-. oill 1 whiri (till I Filfl d ti .V l ite l 41ot 111411( i l 11 ill Ih t in 1 lblIiit o1
of pi I'iigvI' en v 11di or wigililli* li'O ir*1 nt t ei1 ,0 11 1111s. The:
oIli-ill ;ail1 d4r-lillatilr of o ll.s." tfansie pi ls e1iers nnC idillcatedl in
till. f oWill li dn ltioi:

I u il 1 ri' l i i 'il
S'. i r
[ ii l*, ** 1 tI

itl iii i.- t > I b flc. . ... ....... 3 51 I r". 4. X-2
I 1l i tolI A tll i ic.? '_ 1 6' ;: v- 1 1.' '47
U.-IIIIiii l At lbnl ie to Atlntlic. 12.I72 1 1i l :1.914

'I I ........... .. ... . . . .0l w l 1 131.. 37

During prior yeirs tlier 1ii.fi eIri. a great nuim1er of Irnisient
piissernfrs visiliily the Ca1iial ais iiu4i1lbers of spe)i'citl touri-st cruIises.
Thicre Was a 1('yv sliIrp (l eclii' ill thiS alx-tivitf ( il-il ig :;li pI t fiscill
V11i1r as Il 1ilricr1l 1>v the siatlistics of p1l-sriigers o011 1o rd vvssis from
the Atlantic Occanii not transitiing the Cnanll. Whereas during fiscal
Iyea r 11939 a total of *59 (11i11is were c0 ond; rted through (Gaillard Cut,
only one such cruise was conducted tiring the past fiscal yvar.

CANAL OPERATION AND MAINTENANCE

Hor-is OF OPERATION

Dispat ching of ships hro tii ll tgthelic Can1l i; conducted on schedules.
Vssls awaiting Iraiisit lIill Ioving tiroulI the Canal from lthe
te'rmiinal )(orts at 6 a. m. and i(i;ilpalcles ;ire Ide 11 tlierea ftelr from
chat 11 rinli1 alt intervals of llaliort 1lilf an hour. The following is a
.Iunminary of the arrangemeniIts in effect at the end of tIe fiscal year:
Friiom Cri-Atolhil 11 irhor, first ship at 6 a. m., last at about 3:30
p. In.; from Ballia ainchoniage, first ship at 6 a. m., last at 2::30 p. In.
This applies to vessels averaging 10 to 1'2 knots. In czive a vessel is
cnipilell of 15 knits, depart iire may be made up to about 3 p. m.
from Balboa amind 4 p. m. from Cristobahl.
Taliners with iiflm 1 111111l urlgoes ire d (isipaell I'il at the discretion
of tili Captaii Of Ilie Port and are Inot perimittied to prtieed u1111 nless
l1111' can clear Clailard Cut before dark. eivy tankers carrying
laiol le ci go) a re li till y rest ietedi to tlie eand Iornllfiini g schd 1e1Us,
1enin- ati 6, 6.30, lt ni 7 a. i.. to assure their niot in e liin other
vi--.-.1; in ( aillard Cut.
Duriniiii the past year special precautions and regulations were put
into effect for handling ships in tlihe locks.

REPORT OF GOVERNOR OF THE PANAMA CANAL

OPERATING SCHEDULES OF LOCKS

At the end of the fiscal year, the schedules of operating shifts of
the locks wetre as follows:

Gatun:
7 a. m. to 3 p. m.-8 locomotives.
7:45 a. m. to 3:45 p. m.-6 locomotives.
3 p. m. to 11 p. m.-8 locomotives.
3:45 p. m. to 11:45 p. m.-6 locomotives.
Pedro Miguel:
8 a. m. to 4 p. m.-8 locomotives.
4 p. m. to 12 p. m.-8 locomotives.
Miraflores:
7 a. m. to 3 p. m.-8 locomotives.
9 a. m. to 5 p. m.-8 locomotives.
a D. m. to 1 a. m.-8 locomotives.

LOCKAGES AND LOCK MAINTENANCE

Lockages and vessels handled are shown in the following table by

months for the past fiscal
past 5 years:

year, with corresponding totals for the

Gatun Pedro Miguel Miraflores Total
Month ------ -- ----_ ---
Lockages Vessels Lockages Vessels Lockages Vessels Lockages Vessels

1939
July ----------------- 497 656 515 654 509 640 1,521 1,950
August_----------. 480 636 503 663 495 661 1,478 1,960
September.-- --- 457 621 475 637 460 613 1, 392 1,871
October---------- 455 634 458 639 441 622 1,354 1,895
November.-- .. -- 465 624 484 641 466 653 1,415 1,918
December ----------- 468 693 474 682 459 670 1,401 2,045
1940
January.------------ 442 646 449 672 438 655 1,329 1,973
February ----. ---- 402 612 402 593 398 577 1, 202 1, 782
March. ----------- 431 684 431 673 429 670 1,291 2,027
April.---------------- 379 617 389 598 383 604 1,151 1,819
May---------------- 435 648 422 629 421 640 1,278 1,917
June----------------- 391 642 390 562 387 565 1,168 1,769
Total---------- 5,302 7,713 5,392 7,643 5,286 7,570 15,980 22,926
Fiscal year:
1939 -----------. 6,054 7, 929 6, 283 8,064 6, 221 7,988 18, 558 23,981
1938------------- 5,651 7,385 5,870 7,420 5,813 7,316 17,334 22,121
1937 ------------ 5,504 7,156 5,735 7,474 5,608 7, 218 16,847 21,848
1936--.---------- 5,334 6,755 5,548 6,930 5,538 6,866 16,420 20,551
1935---.--------- 5, 316 6, 893 5, 490 6, 859 5, 481 6,837 16, 287 20,589

There was a delay at Gatun on May 22, 1940, of 6 hours and 9
minutes to six northbound ships, due to a broken strut on miter gate
No. 15. Other than this, there were only a few incidents due to
faulty operattion or failure of equipment which held up traffic through

IIEPOiT OF GOVEIINOR OF THE PANAMA CANAL

l mi locks. Ti' followi ng suImm'Iry includes till (delivys to vessels
W11i10 tranlsitillg tIm l ocs, d to (I4 d it ildsi JIleltioLlled:

Tocks sis Agregate delay caused all
delmyeld

hatun..i ...... ....... .......... ........ 30 42 har 1r 2 minutes.
Pedro \linL 1 I ........ ... ........... ............ -21 5 hours b3 minutes.
%I ITrAl.r.. ........ ..... .. 1 17 3 hours 2 i minutes.
l ......... 51 hours I15 minutes.

Till !IV iinllllber (if %v\s- Inimllil fpr liw;ige, duriii aclI of slir 1]1>1s 5
tfi-l y
A .1 ril. nmidwr if l.4 *k r A% .1 ri rm i f .- -f Is
Iwr day p per lockage
Fiscal year - ---- ----- ---
Ialin I .lro NI ir.i- P' Ir.- N ira-
IuikutI .res fJ 11 Miguel I Qfres

Ii0.e 11 -. 2 1. 1 I 27 1 .'. 1 25
1.17 1 4 1 'W 1.30 124
1\.i" .. 1r. I 1: ..4 I i 1 .VI ] *. 4
I'li I Ir II II I ***. 1 -2
I\'.1 .. .. .. 7 2 17 n 1 N1 1 219
1 i1' ..... ... .. . 11 Ii I I 42

Special cost riction work at all locks by the Mimicipial, NMechlni rall,
and Elect rical Dii\isionis ws in full protirr-ess by the end of the year.
While most of the work is lbini done by tlihse divi ioins, it haIS re-
quiritl' imnichl work by the reglalir lovki forces in altering, relocntinig,
ndlT potlctillg opcratin tg iirltiinry and equipmienlit, and also in
extiiining services to iiid rciideriiig all assist aice possible to these
divisions, so that they could perform their work with a iniiiimuml of
interference with the. permanent, instnill.aitions.

POwER FOR CANAL OPERATION

Tlhe power -ystl ('m was operaltd tlironw'liout thlie y r witli a com-
bined output of 98,425,.99S kilowatt-hmours as com1patred with a com-
binied generitlor output of S6,185,409 kiimwatt -hours for the pr''ceding
fiscal year. Diiriin the yeliir 90,814,.-,22 kilw\\;it(-liours were dis-
tributdll to consumIers as compared to 70.5.'12.:149 kilowzitt-liours for
t1lf pi'reeiling y-iar. Fronim the above thevr resulted a trlisqis-ion,
triinsforniition, 2111d distrib1 uion loss of 7,611,476 kilowatt-houirs, or
7.73 pIrcent, us coiilpareti to 6,653,(1i kilo.,\\w -l-hours, or 7.72 percent,
fur the1 prcfn'dinr leair. lin 1m 1111iinlllll pilk 0lo 1 t1 lriuld on1 the
s\-tlm during t1nI pni f*fil y.iz Wiil 22,200 Ikilowattsz, Icuirlnrinl on
April 17, 1910.
Tlir M.iddl ll i1 the yra r, rgeinriii- Img approp\iimitvly 62.8 pereiint of the total power

REPORT OF GOVERNOR OF THE PANAMA CANAL

output. The Gatun hydroelectric station generated approximately
37.2 percent of the total power output, while the Miraflores Diesel-
electric generating station generated less than 0.1 percent of the
output for the past fiscal year. The amounts of water consumed for
the generation of power were 400 cubic feet per kilowatt-hour at
Madden station, and 850 cubic feet per kilowatt-hour at Gatun
station. The Miraflores Diesel-electric generating station was main-
tained throughout the year on a full time, stand-by basis. The
Diesel engines were operated on only two occasions during the year
for load purposes.
There were three temporary failures of transmission line service,
in whole or in part. One was caused by the failure of the cables
carrying load to a transformer at the Gatun power station; one due to
relay action of both line switches at Madden power station, the cause
of which was unknown; and one due to a small animal getting into the
equipment at Gatun substation.
The routine operation, inspection, and testing of power system
equipment was carried on throughout the year. Generating Unit
No. 3 was completely overhauled, including the hydraulic turbine and
electrical generator. This work consisted of the removal of the rotor
and miscellaneous parts, the cleaning and painting of the stator and
rotor coils, and repairs to worn mechanical parts.
Two air blowers were installed at the Madden hydroelectric gen,
rating station to provide additional ventilation to the substructure
part of the station. A new 125-volt battery was also installed, replac-
ing a similar battery which was in an unsatisfactory condition. Both
generator units of the Miraflores Diesel-electric generating station
were completely overhauled, which work included cleaning and
painting of the windings. Defective stator windings of the 1,500
kilovolt-ampere synchronous condenser were replaced, and this unit
relocated to a site between the Diesel station and the substation
buildings, for the purpose of securing a more efficient operation of
the unit. A 5,000 kilovolt-ampere transformer, with necessary
switching geniir and other auxiliary equipment, was installed at Mira-
flores substation. The purpose of the new transformer is to provide
11,000-volt service for new Army, Navy, and Canal activities on the
west side of the Canal. SwitcIhgenr, instruments, control wiring, etc.,
for new 2,300-volt feeder at Mirnflores substation was installed and
the substation building reroofed during the year. At the Gitt.uni sub-
stntion, supervisory control iapparntius for control of a new oil circuit
breaker for 6,600-volt feeder was installed. The cnp.acity of the
Summit substation was increased by the installation of a n\ew 2,000
kilovolt-ampere transformer, with auxiliary equipment. The pur-
pose of this addition is to provide duplicate sources of power to the
Summit radio station.

REPORT <4 (OVEIMNIIR 01-' THE PANAMA CANAL

T'Ie pilro(a'11ill (if IIo vlll Vig n a- iitk ets allld having them o veitrhalled in
tI i Illi utilntiii divi-itill 1 p, for reinstallation oil towers, WiS Con-
tinllie ll ii troLl'i(llt the vr1nr. Renlldiltlonied cartilever brackets have
PbeIll illtaid l4I l on ll sftrilin towers hctwrrii Simniiit, aitnld (it tiin. T'he
u11.- il 11111iii t( 111111 I, illile Tridlt ing of tli, trantnsmission ll tl's was
continuiird llduii t yr i th Yar. Tiis included titn syst emaitic testing and
relt) Iaig i)f high-volt r.r iiisi ilators Iit wcire d lcvloping defects and
replat-i Win or dI 4 i'vi i nsula ti or i ii rd Wat, ti ts d41i inii isi i ng the
probability of power sirv ic interruptions.
On JaIuaiiry 1, 1:Pi, the Light and Power System was enabled to
make i rate reduction to t lihe considers of electric power in excess
of 10),olo kilowiit-hours per month. In spite of this red auction the
Light and Power System continued to make slightly more than the
required( return of 3 percent on invested capital, andI with the in-
creased power revenue from employees and resulting from the local
activity the System was again able to make another rate reduction.
This rate reduction, effective 'March 1, 1940, of 0.25 cents per kilowatt-
hour for consumption between 151 and 50,000 kilowatt-hours per
month was applicable to all users and created a saving to power users
estiimatedI at $10,000 per month.

WATER SUPPLY

The inflow of water during the past 2 years from all portions of
the Gatiun Lake drainage basin as well as the utilization and losses
of the water are summarized in the table below. Each year covers
the 12 months end(led June 30, and thus embraces the cycle of a dry
and rainy season.

Billion cubic feet, Pervent of total
tiscal year yield. fiscal year

1940 1939 1A-Oi 1939

Yield from Ma.1ll en J.ak drainage basin ....... .. 66.09 92. 65 36.3 37.3
Yieldl from land area Iow nsrream frilin Madde:l n m .. 75.89 115.94 41.7 46.6
Direct riolfll on ia int Lake surface----.-- ...--. -...-- ---.--- 40.09 40.12 2.0 16.1
Total yield. --........--- ................................ 2 i'-7 21 71 1t u 1110.0
Evapora1ion from lakesurfaces-------... ---..-------...--.----------., 22 4 8 9
Oatiin I k lik .................................... -------------------7 .% 1 j 3
0atuan lilir l.v irli pi wer...-.. ..- ...-...-....... II ti S. 9. 17 3 11. i
Gatun spillway an' iir.i --- ..-...... --i 12 4i 1 64 0
SL.ur n incrr i ,s -,r il 4 rease (-)...-......-....--. ....-i '' i -1 r 1 3:i -j 3
Leaka e and municipal ....................... .. ...-- --- ------- 1 1 .8
Total uses and losses.......... ....--................... 182 07 24- I Iin 0 I 100 0

Tlhe 1940 total yield of 182.07 billion cubic feet represents an
averNie inflow of 5,758 cubic feet per second, which is 14 percent
below the 26-year annual average of 6,702 cubic feet per second.
Operation of the Gat iun spillway during the fiscal year 1940 totaled
2,O1S5 gate-hours and of the Miraflores spillway, 306 gate-hours.

REPORT OF GOVERNOR OF THE PANAMA CANAL

DRY SEASON-1940

From a Panama Canal water supply standpoint, the 1940 dry
season began January 7 and ended May 28, a duration of 143 days.
During the dry-season period the run-off from the Gatun Lake drain-
age basin is not sufficient to supply the Panama Canal requirements
for lockages and generation of power, and draft on reserve storage in
Madden and Gatun Lakes becomes necessary to make up the de-
ficiency. The 1940 dry-season period was somewhat longer than
usual, but the rainfall and run-off remained comparatively high much
of the time, and the season as a whole presented no unusual features.
The total yield of the Gatun Lake drainage basin during the 4%
months of the 1940 dry season amounted to 22.32 billion cubic feet.
Of the amount, 11.24 billion cubic feet were lost by evaporation from
Gatun and Madden Lake surfaces, leaving a net yield of 11.08 billion
cubic feet available for useful purposes. As dry season water require-
ments amounted to 25.76 billion cubic feet, it was necessary to draw
14.68 billion cubic feet from reserve storage in Madden and Gatun
Lakes. This necessary draft on storage is equivalent to 3.21 feet
depth on Gatun Lake. The elevation of Gatun Lake was regulated
by spilling at Gatun and inflow from Madden Lake. During the
1940 dry season the elevation of Gatun Lake varied from a maximum
of 86.58 feet on January 7 to a minimum of 83.76 feet on May 28.

FLOODS
No floods of any great magnitude occurred during the calendar
year 1939. November was the month of greatest run-off, and the
heaviest general rains of the year occurred on November 6-7, pro-
ducing a maximum 24-hour run-off from the Gatun Lake drainage
basin of 90,800 cubic feet per second.

MADDEN LAKE
Madden Lake began the fiscal year 1940 at elevation 215.37 feet.
The lake was allowed to rise until September 3, when sill elevation of
the Madden Dam spillway, 232 feet, was attained, at which time free
flow conditions over the dam were established. Free flow conditions
continlcd( until November 30, when the drum gates were raised to
elevation 250 feet. Madden Lake attained elevation 240 feet on
December 10, and thereafter through December and January the
elevation was maintained near this level by needle-valve spilling.
The maximu.Im elevation for the year was 240.94 feet on January 29.
On April 12, with the lake elevation near 238 feet, the drum gates were
lowered to sill elevation of 232 feet. Drum-gate and needle-valve
spilling lowered the lake to near elevation 231 feet. Thereafter
Madden Lake fell slowly to its dry season minimum of 228.35 feet

REPORT OF GOVERNOR OF THE PANAMA CANAL

on NMy 20. Wlltl tie lbgiinin i of the ruirny sin'nii Maiddtn Lake
rose ui in, reining eh-vatiion 230.99 fet. ion .Junie 30i, 1910.

M \i)nr)N DAM

The maxiniirn spilling at Mildd Damnn (duriilg the year was 17,600
cubic feet per second on April 12. Observations on possible seepage
tirouglI thi' ridlges adjreiint to the darn Ilnd observations on uplift
pressure anid gillery druin seepmge in the daml we-re continued tliroulgh-
out tie vyear.

\l NT F. .\
Dredges wetre at (worik tlriiiiliouiut the year dredging unid InintUiin-
ing the Cai111l (liiiil dril terminal hariibors fron de't'll) water of the
Atlmintic ciitri nlce. to deep water in the Pacific. In addition, work on
the VaIii llr S 111iliZiriet specinil nmuaintreiainice projects was continued.
Excaivation during tfle yar is suunia;rized in the following tubles:

Location

I rirrh

Canal prism dredging
AtInriti entrance: Cubic vards
MI''inim.ane .. ....... ...........-.. ......... .--........ 2, 011. In0
1 aii. I t No. 8. ...., ......... ...................-- 2* im0
Olatun Lake: Ordirnarry channel maintenance. -.......---. 9S2, 200
Gaillard (ut:
M *.11 'i .r-i- including s!ides------------ .-------------. :12 700
!'r., \ 1... 1 .. .... .... ---........ ___.-_-_-- ---- '. -
I'MClic entrance:
X T~I '1i :i II I-1 -- ----- --------------- -------- -------- ---
Project No. 1- .. .. ... . ...... .............00
l ut d Ct inaill irLin .... ................ ........ ....... f-i. 'i
Au.riliary dredging
Cri tl*:1i Outer THarbor: Ordinary maintenance.-...-.--..---.- 6.- 1
Cristnhal Inner Harbor: Ordinary maintenance. ..--.---- .- 3,000
Fort S. r i iii ri-. ii rri slip s. --------- --..----.. 6,000
C., Soln submarine ase --.-----...---.. .----...----.----..---------... 9,200
ln k (ailiary.. ............ .... ........ 4, S50
ul'. l' rr r irns: S. S. r . .. . ....... 300
C'hn'r. 1i -r cr'i-..1 *"r\ II
li i.ri ii i t L'i* i--l . . ... 293.800(
8trippini Vrna r! hi ......... .......... .......... 2. 000
T oltal ain ili ry dri -f ine . . . . . . . . . . . . ..... I'.fts 011
Orand r l. fiscal year 1940..........- ... ................ 2: V
(rir id id, flscalyear 1939. ..... -------------- 4, 100, 700

I noes not include r.1 ,1i cuble yards of rh'I nn'ill. *I and overcast material.
In addition 28,005 cubtl yards of (thrini sand produced by the crancbont

It,'n k '1 o i

Ci '-ir var- I ClleC V11rd1
t). 7ix0 2, 1'1 k Kl
46, 200 I, I01". 100
:.' 2010 933.900
4' .i00 .4.1. 400
5,700 :.'. 000
23 800 37,100

I 1.2'. .91i I 4. 1'. i10

30:. 200 36. rwn
...-- 3.00
500 66S00
119,500 128, 700
1,100 6.450
3,100 62.800
...... 300

1.' 1. l71 L 31 15.
1. 4. l.l. J.1,72 5
2, 1l1 550 6, -47 250

Allow.

Dredging operations are divided into three major districts: the
northern district, from contour 42 feet below mein sea level in the
Athlntic Orpc.ni to Onnibor-n; the centtrnil district, Gaiillard C'ut, from
Gnibnioa to Pedro Miguicl locks; the southern district, from Pcdro
Mlignil locks to contour 50 feet below mean sea level in the Pacific
Ocein. Excavation in tlhse three districts is s'lmnnarized as follows:

% ilrirnn int
- - -

REPORT OF GOVERNOR OF THE PANAMA CANAL

Northern Central Southern Total

Canal prism: Cubic yards Cubic yards Cubic yards Cubic yards
Earth ----------...---------------------- 3,127, 900 410,500 132, 100 3,670,500
Rock----- -------------------------------- 85,300 1,066,800 142,800 1,294,900
Total------------------------------1 3,213,200 1,477,300 274, 900 4,965,400
Auxiliary:
Earth ----------------------------------- 29,550 -------------- 59,700 89,250
Rock----------------------------------- 152,000 -------------- 3,100 155,100
Total--------------------------------- 181,550 ------------- 62,800 244,350
Total:
Earth ---------------------------------3,157,450 410,500 191,800 3,759,750
Rock-----------------------------------237,300 1,066,800 145,900 1,450,000
Grand total:
Fiscal year 1940 ------------------------- 3,394,750 1,477,300 337,700 25,209,750
Fiscal year 1939 ------------------------ 3,236,300 2,365,400 1,200 25,602,900

1 61,100 cubic yards of rehandled and overcast material not included.
2 Does not include Chagres River gravel or Chame sand service.
ORDINARY CHANNEL MAINTENANCE

Northern district (Atlantic entrance, Cristobal Harbor and Gatun
Lake).-Maintenance dredging in the Atlantic entrance was per-
formed by the dipper dredge Cascadas and the suction dredge Las
Cruc'ts, working a total of 165 dredging days. The total amount of
material excavated was 2,150,800 cubic yards. Maintenance dredging
in Cristobal Inner Harbor was carried on by the dipper dredge Cascadas
working 1%4 dredging days excavating 3,000 cubic yards of material.
On the Cristobal Outer Harbor the dipper dredge Cascadas worked
14% days, excavating a total of 36,600 cubic yards. Maintenance
dredging in Gatun Lake was performed by the dipper dredges Cascadas,
Garnboa, and Paraiso, and the suction dredge Las Cruces, working an
aggregate of 129% dredging days. The total amount of the material
excavated was 1,089,500 cubic yards.
Central district (Gaiill;r'd Cut).-Maintenance dredging in Gaillard
Cut (exclusive of slide excavation) amounted to 506,400 cubic yards
of earth, with the three dipper dredges Cascadas, Gamboa, and Paraiso
working a total of 199% days.
Southern district (Pacific ent rance, Balboa Harbor and Miraflores
Lake).-Maintenance dredging in the Pacific entrance was performed
by the dipper dredge CaIscadal. and the craneboat Atlas, working a
total of 25 dredging days and excavating 37,100 cubic yards of mate-
rial. The Atlas, equipped with a clam shell bucket, excavated 1,700
cubic yards of material from the East Ferry Slip. IMailtenance dredg-
ing in Miraflores Lake was carried on by the suction dredge Las Cruces
and the craneboat Atlas. A total of 9% days \\w-s worked by the two
dredges in excavating a total of 58,000 cubic yards of material. There
was no maintenance work performed in the Balboa Harbor during
the year.

HEPt)ICT MI (O;VIHN(iH O01 THE PANAMA CANAL

Si'Ll I.M. M INTENANCE PROJECTS
Proj ct .V. I.-Thi -. prijet cnii-,i-;fs of depeninig tIhe Pzcific en-
trairie cl a111111 frlmi M ilrleir-. LcIk t to tli' s'I buoys, 11ii( iiicludes
B1llbiit, Ilii- r. )DrteiIrig nt 1 lii1 pri jc(t was carried on 4Ilnrilng the
veiir by the diipper direidgi tI 'iml,''i. T'lie Ci.rrla.s ()per.;ited a total
of i; d.1ivs uiii. l e1\e1initd 17t9,(I c7)Nbiv yards (of miuteriial. The drill
luitt T'rr;ir .\',. 2 d a total of 15I4 '2 diiyvs during the year on
this pIrij'ct, drilling a 1it>iil ofr 2,91.5S hlolcs d br'iikinig i2,0(I) cubic
yard of nirck. At thi- end of tlie pist fisciil year ea zivatiuimC oin the
IlPcilic vcil riillr p rtli 'i f l]rojt ct No. 1 %Isn 9..9 percevint coiipleted.
'I'liv i-v \is Jill \crk oite ow i pr4jt No. 1, ulhmilu I'ar-ih r, duaritig
li lt .
Prje-t .\Y'. S, ain Locks 1ijirniioef.- This project invioiIles the
\idrliiini of lt lir .Xi'iniiLr q1iaiii'i t I litte lower oi i of tio (itiiii Locks,
Ini ford-1E to pf iii d i lit iioiil Tai1ii1uveriiig oo forl i' o hiipu niiteriig
alter frniil tle ick--. Work oi thik- project was be, iill Fbrulary
19-4( y l .lie ''lctiiii dredge La.< Cr''.us, which worked three days re-
Iillviil a ti 2iil of 34,0l00 lil( cu l y.irds of iiiterial. Excfivat ion on0l this
prij6c1t \a1 25 perc-niit coqiiIplectd at the end of the yozar.
PreIjitl .Yo. 11.-Tlins project, which consists of removing various
ariil ireas in the outer poirtiiis of Cristobal Harbor, was started in
Sept mber 1934. There wNs no work performed on this project.
dunriin tihe year. The WaIshington Shoals portion of this project
(project No. 11-A) w\ii completed in the fiscal year of 1939, leaving
prcij'et No. 11 B, lthe removal of 3 shoils in West Limnon Bay, to be

Pri,'.r c .VYo. 1I, Cali1ard1 COt.-Thlis project. which consists of widen-
ing ( iirlirai Ieiich by 200 fcet to the west wai'd, was sirted in January
I .i::.. Drcnl*'ingo on this project was con tinued with the th-ree dipper
I rnli.cl.-'i r 1'i .ua'-, Ga'iituhi' and PIainsu working an Iiggrcgate of
l.,'s (1:vs iy ii xl cx ilvatililn .147,4100 cllice vyiard of Illall rial. Th1
tiuil .i\ct\illinlii to datn' on this project is 2.53'7,.550 (1cubi ardls. llnd
lII' xviivi. il l \\ ii-':2.3 '.3. r ll(c t comIpleted' at th.e close of the past
fic'ii year.

T'lcil c* 111141111-4 to 427.5 (m0 ci1 Iilc y-d lidv ii tNv y 1,11rriiy llirollllOUfc
111 Cut %%Wil iii, i.... ll l" tian fI previous Yvfiir-. ( C h'ileira slide(
(%\() i1n tli* inly 'lid, of c(ii-'ciei'uice during. (Ithe IIr. The
1iiii'iir,11 I 1if l1ii- -liii' 1\\ i- of a Slo co11 tI In ii-4 r liziir l I li tu ingl iout
llii' ill), hli'iili -''ili l t 11.ss l II li'-t TVilv. lie ,li e Ilm ove-
Ilent ni this -Ilid %11 i w 1if1inui' d to 1 1 li iI riIod of litly to Octoboer,

Illi'II- I t's (rrd ll o erp i lm ii- \%(r, ] i-ti l 1 P cO iin in ls on this

REPORT OF GOVERNOR OF THE PANAMA CANAL

slide from July to December. There was no interference with shipping
on account of slides during the year.
Details of the excavation from slides during the fiscal year 1940,
together with the total material excavated from June 30, 1913, to the
end of the past fiscal year, are presented in the following table:

Fiscal year 1940 Total to date
Location
Earth Rock Total Earth Rock Total

Cubic Cubic Cubic
yards yards yards Cubic yards Cubic yards Cubic yards
Haut Obispo slide (east) ------------------ 0 0 0 6,700 5,500 12,200
Buena Vista slide (west).------------------ 0 0 0 7,000 1,500 8,500
Buena Vista slide (east)------------------ 0 0 0 12,100 17,550 29,650
Cascadas slide (east)--------------------- 0 0 0 9,250 49,900 59,150
White House slide (east) ----------------- 0 0 0 30,250 46,050 76,300
White House slide (west) ----------------- 0 0 0 21,000 100,550 121,550
Powder House slide (west)---------------- 0 0 0 115, 250 343,450 458, 700
La Pitaslide (east) ------------------ 0 0 0 12,300 96,700 109,000
La Pita slide (west)---------------------- 0 0 0 4,550 42,900 47,450
Empire slide (east) --------------------- 0 0 0 40,550 237,950 278,500
Lirio slide (east) ---------------------- 0 0 0 83,850 161,300 245,150
Division Office slide (west) --------------- 0 0 0 4,150 19,450 23,600
Lirio slide (west) ------------------------ 0 0 0 570,450 1,987,750 2,558,200
Culebra slide (east)---------------------- 0 0 0 2,785,250 18,142,750 20,928,000
Culebra slide (west) .-------.-- 83,700 289,700 373,400 2, 129,000 11,732,650 13,861, 650
Culebra slide extension (east)------------ 10,000 19,800 29,800 455, 700 1,027,750 1,483, 450
Barge Repair slide (east)--------------- 11,000 13,300 24,300 219,750 488,150 707,900
Contractors Hill (north)--------------- --- 0 0 0 15,600 148,100 163,700
Contractors Hill (west) ----------------- 0 0 0 7,900 31,600 39,500
Cucaracha slide (east) -------------------- 0 0 0 2,492,950 6,851,400 9,344,350
Cucaracha Signal Station slide (west) ---- 0 0 0 36,600 206,000 242,600
South Cucaracha slide (east) -------------- 0 0 0 61,550 131,700 193,250
Cucaracha Village slide (east)------------- 0 0 0 33,400 77,400 110,800
Paraiso slide (east)----------------------- 0 0 0 1,950 7,250 9,200
Cartagena slide (west) ------------------- 0 0 0 60,800 255, 150 315,950
Total ------------------------ 104,700 322,800 427,500 9,217,850 42,210,450 51,428,300

Numerous small bank breaks and surface movements occurred
during the year at various points throughout Gaillard Cut. Daily
inspections were made of all portions of active slide areas fronting the
Canal, as well as a periodical inspection of the entire surface of all
slides. Monthly observations were taken of reference points on east
and west Culebra, east Culebra extension, Cucaracha, South Cuca-
racha, and Cartagena slides.

SUBSIDIARY DREDGING DIVISION ACTIVITIES

The Gamboa gravel plant shipped 212,005 cubic yards of sand and
gravel during the year, as compared with the normal yearly output of
approximately 50,000 cubic yards. This increase is due to the
increased need of sand and gravel for the various construction projects
on the Canal Zone. The pipe line suction dredge Las Cicer together
with necessary auxiliary equipment was engaged a total of 77 days on
dredging operations in connection with gravel production, pumping
into the stock pile at Gionmboa 293,800 cubic yards of run-of-bank
gravel. The craneboat Atlas spent 56 days'during the year making 28
trips to Chame in the dredlging and hauling of 28,005 cubic yards of
Chame sand. This material was transported in barges to Balboa.

IEI''KrT i1'F (iP)\EHNmiM (W1 THE PANAMA CANAL

Titi' '.ilil l Iim I ld :II nit W:.I'dr< U tilnl d'wl (;illird ('III. M irflmres0
1.11 ei, u:rid (S tIIII I lll\* IilIr lld ll l l i l ll i ) n i ':1- ) 1m1'I'i p I) -ol d al ld

muI outi Il f lie ( I 'I re11i -ir 1 1 \ iI inr'lrr I I ivi'r' w. i nt ill nlred to
tliddv I o yari lth- h1i- .f lol ilIthd.r i '(I1l W .lh"r o lsclll u lit tro
ITr14,1t i ld l till-l s :111d O1- 1Z1' O vSt fUw n i lelltal o to
rIl6ii iillr t( O P Iilid cimmri l din -in'r: frr w r .-pillfw! tit M adden
)D.'ll Di iriiz ll (lle Yrwi 111r 11 i Cli il l in Iir lul rl i|>* \\r-n ji1i(l in tihe
I III,~ 'Ml. M Iiiilliii"1I. F i ,l'. ; I> / I l\".-I :111(4 Il l,,, t l II P I Ires
of Butirr ( N(i.- 1 in 14, miid Mirniflr-, -mid H(i*d Tank W.vnvlr. \ceklv iriqxc-

An. I'c-linlzieid 4115 c liiks-. J (tlr ; di ( :'iil inM ( :iili'rd C ll idi f l;it l L:rh<1 ll nd in M irifl orS
a1 11141 T`1n6- Iddtki-. 'h tI'1r ras-h l(ndliL iilt ririnved nj)proxi-
imit
EI'lIMENT

'Tiil' followilln (,Iri Lr :ianid n( li. fi il iii- equipment were in 'II pera-

.11i1(d iirlII"*, \\'li' Olpil;tItId al 1 1i of 10)8 monlli., 4.8 iim ll'llu i. iltid
7.4 ruiiiiiths, n-..)-tively. The 24-inch pipe-line suction dredge .Las
0 i/C was i qpetri tl for 11.1 months duriiiL the year. Thie (crnr1>eiloat
.l/>s \\;is pi Ir (id for 0.5 iii i itlh o ilCrail inltii ltenance drft'L-inll
and. in liiiitn. peiit 1.8 lionhllis drLslriin sanld and making 2S trips
to ( hliii'-. It spiit the rrin:iildpr of flic yieair in mi'1rccllllinutl Oipeor-
litilli., '2.9 IllollIll' of this time Lril' .pi'rnt in rscrIve and under
rpiJ):iif. N rTriCk Iir .Yo. 157 w ai in service 4.7 miontlis diiring
t11i' 1'iir, uiidlr ela:iir' for 0.4 Ilonlith, and was stailldi hy li at tlie
if'-r v' Flreet I i-ii) -l I.lI ion in Galt1un LT.1 i' atit C Mila for 6.9 moIlnths.
Theli Iiydlnialijije gradl'r N\'. 4 \\w: in -rrvice 7.5 months at project No.
13 in ( ;illaird (cut :tid 1i8 (O)hi-p i qiarry, under repairs for 0.7
Illniith, 1r1d .nt uliidir by 3.8 IllmillIs. Tile drill l)oit Tfrrbir o. 2
WiA ill 4IrvIIirr dtnl te enliti'i, Yv >:1, e\-pi t for tit' 1.85 mIlO li,; lost.
loreiii-i. of ,loilher-w.liiL rilr I'll ai ins a di l r'p):ii A.ir conlprieSsor
.A .'! \w.. in '*rviee 11.715 months iluiiniri'l i yi':ir at project No. 13.
\Iclaiinlnr No. I wat in *tri'' 4.7 Ila'!it1i, heiii eu1rngedl in dike
f'ril i rli'iiln Fr r iravr l .p*- l pile at ( 11l1 i'1:l, :till fr Illit'ild 121it1'
Navy fill it ( rio 'm SI arind in ll Ii'-ndiii ik at Fort obbhe quarry in
c<(i7ll1,1iil Win NvitLh r iiir- It P'est Ih Firy Slip breilkwiter. Ex-avnitor
X. -..' wils ill l't m .il rrirc' 4 % m isill is I dulill. 1 <1 v 'ar, li'iln-U I('11ruu d
in tile hIllr ill'. of riri-'tf-earil LI'iivel at (il l 'i:iih '1iK. p]ile. al WOll as
4ni tOi ii n-Iruct ion of t lir travel -l1.iL pil' dike. Tlie 2.051-ton float-
iiiL' 41rin'' .1 i r il< Ifi i/}li, were o|>ra ti*il altrrialel y durinR the
*nlu 1* \

REPORT OF GOVERNOR OF THE PANAMA CANAL

large tugs, the Trinidad, Chagres, and Gatun, supplemented by the
illariner and Bohio and the two small tugs Indio and Siri, were oper-
ated during the year in general towing and transportation service,
one large tug being out of commission continuously for purpose of
repairs. Ten launches were in service during the greater part of the
year. An average of two launches was continuously out of service
for repairs. The Diesel ferry boats President Roosevelt and Presidente
Ait)a'Jnr were in service in connection with the operation of Thatcher
Highway ferry service at Balboa for 10.45 months and 12.0 months,
respectively, during the year.

FERRY SERVICE

Ferry service across the Pacific entrance of the Canal, connecting
La Boca, Balboa, and Panama City on the east bank of the Canal
with Thatcher Highway on the west bank, was operated on a con-
tinuous 24-hour basis throughout the year. Traffic at the Thatcher
Ferry showed a sharp increase in volume in 1940 over 1939 due to
the inauguration of United States Army construction projects on the
west side of the Canal. The total number of vehicles carried during
the fiscal year 1940 was 39.2 percent in excess of that of the preceding
year, and the number of passengers carried 38.8 percent in excess of
that of last year. In the following table are shown the more im-
portant statistics relative to the operation of the ferry for the past
2 fiscal years:

1940 1939

Single trips made by the 2 ferries--------------------------------------------- 44,023 33,017
Vehicles carried:
Panama Canal vehicles---------------------------------------------- 24,049 13,083
U. S. Army vehicles-------------------------------------------------------- 69,199 36,904
Commercial trucks ------.-------------------------- 42,889 41,420
Commercial passenger cars------------------- ----------------------- 93, 748 67,168
Private cars---------------------------------------------------- 281,324 208,731
Total vehicles carried ------------------------------------------ 511,209 367,306
Total passengers carried----------------------------------------- 2,459,311 1,771,884

MARINE ACTIVITIES

Effective early in the past fiscal year, certain measures were in-
augurated to safeguard the Canal, such as having all ships inspected
by a Navy boarding party and special forms subll itted and passed
on by the proper authorities before transit could be grua ted. Armed
guards were also placed on board vessels by the Army during the
transit and other safety precautions enforced. The single culvert
operation put into effect at Pedro TMigiiuel Locks on December 27,
1939, and continued throughout the year, necessitated a change in
the method of dispatclhing vessels for transit and occasionally, in

RlEPORT OF GOVERNOR OF THE PANAM.A CANAL

ord*ir to pr*rvi*iit ii nil drtiiy to sli pping, 2 -1-h tiir service Hwas main-
taUiild in tdi' ( 'Ciiil.
Air, TIO NAVIGATION

TIi1 Illiiiitenitim n(CI nijld- to iiiivigittioni \wit. ciltiirill d Il tlrou ghout
tio piist 1lis ill *Ilf. 1111 f* W rr 11 i liri .r (if lliprr i iu-n'ill tS anid
atIjII 1. int'llls Illd. inllir l. ip itis, billy % l1ir);i .riis, Ili I o ir In viga-
tio1ii l Ilid, iniiitillfu-I fwr t1it l*inil-lit of v s,'.ls (1op nIItilig il the
(I' 11l d 11dra i cs i lt wnt-ris. E1pi *rilliii i \'r*r uIltiillilvd i(lflirn thel
yV 'lf (in ( uriil s0li 1111mi nd shl i i -t ()--,]--li- It I'llif-(] ifplil IIIII (.C0lllltii nlli-
caltionl to finilitute (t1l disn|)tteliing of v ssts iimidi thiir -(nitrolduring
ti 111sit
ACCIDENTS TO SHIPPING

Ti, honird of loidul iiisp)cltrs i*nvcstigatrd and rni)pirt(-d on 33 acci-
(dilts t a SilIiiJii rof whlclh fIollow. with 11 V(iimuFjis(il of accidents ill the
pia.

Cau..- of 1ac 1ideot 1940 1939 1938

Shli tIruck k . .... .-. ..... 4 3
hli ilamr i I tll .- ..--- 7 4
rhi. strii. k ick i. l . .. . ... 6 7 5
Still- u iriKck Crmw l ank ... . ..... ..... .......... 3 2 4
hl ll ........- --- .2 4 1
-hlj. strurk C irinni iquipintl lt ----. -..... ... . .. I
nhi-i i r.1 k hrr. tIt'tI I l k' u .&I. r - I ...... 1
htl tiriaL k I'riiiil cr n hoU t. ... ...... ....... ..-.. I. I
r,1lw 'i.,n . . .. ... . .
ki . . . . 1
( ii.. k li -.I* I In locks .--.----- -------. --. . .-- . .----- .---------
Othwr catI I ...... .......................... .... .. 2
T t................................................ ... ..... 33 7 3

SALVAGE AND TOWING

Piin nmi (l'nll ild eq()illu])rlllit zIIIIl personnel renilered assistance to
disaiblId 1n11. distr.-I-11d hiipping during the y'i-r as follows:
S1 11 ,r-., ' 11 i.- T ('lilirn motor-ship 6;piaim in the
i*ll'ral [I>i-l'r-'.'ri' i n LIiIII cilL t'i I i te'(\veCt" New York afid Vailpairaiso
siriik tli.1 inirr end of thle %%e-t lr'adid\iefr c at timc entiraince to the
('ri-t1iull liiirliir, i.riIii-Al dmIlllll'iiir li- 1 r hill iunld flooditl thl (tW
forw'rn I honlk. 'TI, 1 .. S s. S n ifil a21d figlihthouse sublivision
(rfiliPip al \t %I% PIil'1.i1I ill Slq ;1I2' Oip ili iltls oni the 4lanniPfl d v ssel.
YaIl / fI .I711, ;t ..i/. The'I I I 11 U S. ,i'r j(i/' ? Imlde a (frip to sea
tO r1eiiir In -iirrIi ti tll* 11 iitI fi'ral'i, i a Si1m11l Villit o\\-led by the
Iiit.ld rl- il ('r. 111 'ii r-lilt, frmlii (;)ll itlI. (( ''4t Ric'll. to Bil oa01a
%%itl, 1I 4Iio* of 1,14 ;id 3 p:i J -ll it'Ii T i'\ 1('icl( Illt n -l adl to arrive
111 Bi.1lmii Wil Illi ii-i1(tlinr of li I' InI, whiih stiulo liv, due to lihevy
W\Ivr ivl r, to r] 1 Jlr ilil if ili'ei--.-nlrV.

REPORT OF GOVERNOR OF THE PANAMA CANAL

AMETEOROLOGY-HYDROLOGY-SEISMOLOGY

Prrcepifatini .-Rainfall in the Canal Zone and vicinity for the
calendar year 1939 averaged slightly below normal with the deficiency
most marked in the Pacific section. The average in the Pacific section
was 65.01 inches; in the central section, 95.56 inches; and in the At-
lantic section, 137.21 inches. Annual totals at rainfall stations ranged
from 62.64 inches at Balboa Heights to 156.70 inches at Porto Bello.
February was the month of least rainfall and November of greatest
rainfall. The maximum rainfall in 24 consecutive hours during the
calendar year 1939 was 9.40 inches at Barro Colorado Island in Gatun
Lake on November 6 and 7.
Air felnprahure.-The mean air temperature in the Canal Zone for
the calendar year 1939 was slightly above normal. The annual mean
at Balboa Heights was 79.20 F., with monthly means ranging from
77.20 in February to 81.10 in April. The annual mean at Cristobal
was 80.30, with monthly means ranging from 79.20 in February to
82.0' in May. The means and extremes at various stations for the
calendar year 1939 are shown in the following table:

Maximum Minimum Annual
Station bihourly
OF. Date oF. Date mean

Balboa Heights ....------------------------------------ 95 Apr. 25 67 Feb. 23 79.2
Madden Dam--------- ----------------------------- 96 May 8 60 Apr. 2 76.8
Gatun ----------------------------------------------- 94 May 9 70 ---do---. 80.2
Cristobal -------- --------------------------------- 91 June 11 72 Dec. 6 80.3

The absolute maximum and minimum temperatures on record at
various stations up to June 30, 1940, are given below:

SLength Absolute maximum Absolute minimum
Station of record ------------ Annual
fvoarv) average
(years) oF. Date OF. Date

Balboa Heights...................---------------------.. 34 97 Apr. 7,1912 63 Jan. 27, 1910 78.7
Madden Dam---................------------------. 29 98 Apr. 13, 1920 59 Feb. 24,1 } 77.1
Gatun-----.------------------------29 95 2 66 Aug. 7,1912 80.3
On ______ 29 95 May 4:1933 66 Aug. 7,1914 80.3
Cristobal---...------------------------ 32 95 Oct' 1925 66 Dec. 3,1909 80.0

Winds a(d h Iumii it/Y.-Monthly mean wind veloci ties on the Pacific
coast during the calendar ye;ir 1939 ranioed from 4.4 miles per hour in
September to 10.3 miles per hour in March, with a maximum velocity
for a 5-minute period of 35 miles per hour from the south on July 23.
Monthly mean wind volo(citios on the Atlantic coast raniedl from 5.8
miles per hour in September to 14.8 miles per hour in March, with a
maxiinuin velocity for a 5-minute periodl of 35 miles per hour from the
.1;:;,",4 -41--4

I.:i1'il';T it' M.')\T1Ni)> U)' THil: P'AN.A.IA CANAL

\\i-i 1. r **'iiin r i; N ortjlie t w liiml \\IWr r 1 *Il' I!I'-!I fri'*cil t 4 1 1 i tlie
S.I:'l.lis I 1.1' :L 11. | f i \\i Iii in i li AI t Jtlatlll i v I -1* 11 IlIII<,I; I ( Il -
11i 1 "i'. I InII r 1 (', tIn- *1 cI .! il'l r ye r YI1.':: I \t;e 1i II'I'' Lt (il1 '4 it1t
I *-l-'- I rl I I I**Ill 'V I.' ) 11 II r r l 1 ;lld M. III lll I I IIIr:ll I .r ?t i v
tiild t 'ir sr ti I 'n iliJr tIh i.it rI;t :'i. t Ill: 7"r rf S i A't i \N 1- 1 l 1 f ib v r.i' r: lie il' N\ l i)I.t 1 h AI 1 1 1ic
IC I -' [;i h'iL" f 1'dlll I II h I 1'rht i 11 I) 1 : II'\ 11. f'l ei llt N vvill \ i.1

:*. h ;io :1' Iintrv lt ; ;i'l ti h 1 i 1i fI rth ie l i'lwee (- i 1riu it i\
iim-. 21.1 fIet I on 'bi d. At CI'lol;i1, tile At.it IIt t'riiii!:l

i. Ii t'1,.tt. 3l 1 OVI Il l *l i -s'; level ol o I )'iiiher 6; Alivest Ir wnt ei, 0.9.5
fm.i hm.hi .l rin'uij sfii level oil o ili-lull 9 anil JIi:e 16; :1i0 l1 CO*:lm t'
i.iI1.' b l 1tw 1'n 1('on)- < tiv tI d -. 1. .feIet on iT.il1 y 5.
I. ?nno'. v/1 11 re w..' -.] -'l :-[ill'< ,. distu'111 1i ic s rN r 'Trijld at the
fl l':i I c Ieirhts seisninal '2iv l -.t ti'on d::rini: the nlerid ld r year I ';3:A,
of whlicl 142 were too -liih' t aul indistinct to classify, 1s were defi-
nitely of iifainit im l il. :!1d the r il:iiin_: 71 W\'r*1 of c finiioirwaIivrly -
i.birb' frLi with ef)icentir. di-. i unt l h- l n t ;ii: ( mile6 b s. Ia erit !f
the lnearlty ShOCIks wetre of sufficient intensity to be felt by lth;il re-i-
d'nt-I. Ninety-six - -liiirthll :irliird. JaTil:i:rV to Jne 1010. Only one ;:1) snnficientll

'alenhdar ar 1':291 o'r d(ri:i' the first 6 iii iithes of 10-10 exmtidrd
int ensity Ill, otn the M odifiid Mercali Sale, an1d i lne 1cmsrd any
Sillit.il locally.

SECTION II

BUSINESS OPERATIONS

The business enterprises carried forward by the Panama Canal and
by the Panama Railroad Co. embrace a number of activities which in
the United States would nornaiilly be carried on by private initiative.
These activities have been developed either to meet the needs and
demands of shipping passing through the Canal, or to meet the needs
of the organization and its force of employees. The business enter-
prises include those sections which are engaged in the supplying of
fuel, provisions, ship chandlery, and repairs to vessels; the sale of
foods, clothing, and other es-sentials to Canal and Railroad employees;
the handling of cargo and allied operations; and the operation and
management of the Panama Railroad and of the steamship line oper-
ating between New York and the Isthmus.
The Canal and the Railroad are separate organizations, but the
administration of both organizations is vested in the Governor of the
Panama Canal, who is also President of the Panama Railroad Co.

PANAMA CANAL BUSINESS OPERATIONS
Business operations of the Panama Canal are conducted separately
from operating activities pertaining directly to the transiting of
vessels, and the government of the Canal Zone. The annual appro-
priation acts for the Paiinama Canal authorize for expenditure and
reinvestment all moneys received from the conduct of auxiliary busi-
Iness activities with the proviso that any net profit derived from such
business activities shall annually be covered into the Treasury of the
United States.
It is the aim to operate. the business activities as a whole on a
self-supporting basis and to include as a charge against business
operations a fixed capital c-Iargei of 3 percent (with some minor varia-
tions) as interest on the investment. In the accounting of profits to
be covered into the Treasuiry, the amount representing charges for
interest on investment is a part of the net profits covered into the
Treasury and is in effect a reimbursement to the United States
Treasury for interest. paid by it to holders of United States bonds.
The investni ict, in business activities totliled $35,061,078.25 at the
beginning of the fiscal year, and $37,448,541.54 at the end (tables 4
and 5, sec. V). The capital charge for the fiscal year 1940 \\;ias
$808,207.64 (table 20, sec. V). The profits of $1,033,886.06 exceeded
this amount by $225,678.42.

1IF.'P4 T illii' iOl-.Nl.ii (1i THrm PANA.MA CANAL

T'wN* r%%.0, P IIw1. OIIwI.FII \. l i 111mi (11 mi. N Iih(.I is the
'1' rI 1 Millllli* rf F u1 [k p1'' I lirilln 1 rr 11ll PIllllli IIll lil.\ll H ilvil IS (110

jp iii iti d Iu t l i i ill tl fIu IIl Iill dit % i I i l nI it ) 1 IN V i' i 2 i111 i -l 'is' of
$2. 7", N."122 i-' cIlimp ifi* %% itil I ItI pr lill z 1 f-4-1ll 11 r. T hie total
V4u11111m' 4 %n%.k frr n il inlTrt -kt- wast.em6..;,,9G. in invi'ase of
$2'13. 7p.-iY -14 w, <4ill ii ly l I d \ It I I -1 i *ill'.
Tlir vuiiu 111. Iln of \\ 11' iltiiii inll 19l. wilh the sources of hlie
SHR 11i, 11s 1i,1ji it n'- \ I lli O wr l 1rr. .ill''-, y,- I-, ill.' 1lo111l ill 1 `4 f owiHlli

,rf,,. rtevf f ni cla.s a(lN 1(/ WourrCe

I i-- d I-ar PIT-reii Fikcal ear I'Trrent
IHifi 1 I 4lil I391 or utiil

fI riti $1. '47.77: 1 25 5 $1. .14h.IIA 49. 5
I( eir. .a.l 411 N'1. i 7 i1 4 4 5. 7'N2 H 4
1 .ilri.t. 1 [ .. k -'11. !71 3 r. :57. .i7 7- 6
.urlirI.4 3.. 1, 71t2 fi 4 It. U21i 29 0
'I l ..> ... ...,. ... .... .... r; no"^i '..' 1 0 :3 l.S. D 1.1N) II
(IrtI'l Ti
I in!l I ......1 ... .... 4. 41' '.'1 72 1. #.-7i 114 53 6
I'.iT tin I r Ilr t ..... ... I .I .% .% 4 2 11 7
Other I i. -In d.(.n ntitt i .... ..t.. ... i7. (A14 I0 n 414.."4. 1i 3
. . . .. .....1. . ..-r .'s I 1 I 57t. li .i IS 4
1 '.r1l ..... ............................... - -..--.-- 100 0 3. 1 f.s 1u0O 0

OpIr2-itin .pi.i-c-. for the ii'.-ni yer toitalcd S6003.f3s2, heaving a
t lh' r vi' Ilill fr-oldl ('l1 I ilollS of .iDl) 2SO.
Ti itrii le mwirk listeId Ilv w"e inllilvs const ruiction of new vesseis
foIr the C(iiiail iiii(l ivrrliiiiT l if \i i-i1 fillr the Cannld, the United States
Niv v, findl itlir di);rlft riu'its of tih United Staitos Governmlnt.l as
W\'1 s illrl4rcl iiif -11ii *(r irs.

DRYDOCKS

urifinl ili V"fir I.1i rv(i1P1kin W1r2 mIied at the Bal)on aind the
('ri (uiuul Ilrvulirk fmurhll r details of which :ire ive'n below:

M--- I t* onglD to 1llls.*"! I Cri" tialh
Sdryioek drydoek

I il. :'! i 1 11 .1.7. ..2, 1 *
I -- -
I. 1 1 '**, 4 r
Oilwr .*Lr****nt* f tt I, j r ..... r. TO 0 2
utscl L terr 30 26
- 61
S' ......' .... ..... ... .

Tllw 11 ii ni11I. lI (dr l %.li, ilmt nilt ] dV\1 V it of 011. ye l,
: i thf ( If' i l .-i d .n I ir ..i- vd,.o'k Il*ili. -d i lilt' d- \- I ll ith iscill
y -!ir i '* le I ..: dryl k 11:- ii6rir i. only 10 dayc, 1n1d4 the
('ri't(>1!i l vlrInrk1. ,.. (ln\

REPORT OF GOVERNOR OF THE PANAMA CANAL

MARINE REPAIR WORK
The volume of marine repair work performed for commercial
shipping interests was somewhat less than in preceding years. The
decline in this work is attributable in part to the decrease in shipping
through the Canal.
Probably the most unique job performed by the marine repair forces
during the yenir was the dismantling and reassembling of the Navy
Floating Drydock, YFD-2. This large steel drydock, formerly a
part of the equipment of the New Orleans Navy Yard, was en route
to the Hawaiian Islands by way of the Panama Canal. In its assem-
bled form, the dock was too wide to pass through the lock chambers.
It was necessary, therefore, to dismantle it, pass it through the Canal,
and then reassemble it for the remainder of the voyage. The job of
dismantling and subsequent reassembling was performed by forces
from the Cristobal and Balboa shops of the mechanical division, aided
by divers from the Coco Solo Naval Station.
Repairs to commercial vessels consisted principally of emergency
repairs to vessels transiting the Canal, or to small craft operating
between the Canal and ports in South and Central American countries.
A number of vessels in need of underwater repairs, such as damaged
propellers or broken tail shafts, were drydocked.
Marine work performed for vessels of the United States Army and
Navy during the year was limited to general repairs and overhauling
of craft based in local waters. No job of an unusual nature in con-
nection with Army or Navy craft arose, as was occasioned last year
by the drydocking of two of the larger United States Navy's battle-
ships.
Marine repair work for vessels of foreign governments was excep-
tionally light during the year, work being done for only two Colombian
destroyers and one Colombian transport ship.
As fa ilit is- became available from time to time throughout the year,
a number of the units of the dredging and marine divisions of the
Paniama Canal were drydocked and overhauled. Several new pieces
of equipment, built in the mechanical division shops, were completed
and turned over to these divisions.
WORK OTHER THAN MARINE WORK
Light and heavy repairs on locomotives of the Pnaiima Railroad
Co. were carried out as needed. This class of work was somewhat
reltduce(l in volume and cost in comparison with last fiscal year, due to
plnciring 5 new\ locomotives in service. This new equipment, lessened
the amount of heavy repiiirs formerly necessitated by the worn out
condition of the old locomotives.
A considerable volume of millwork, including sash and doors, door-
frames, %window\\frames and molding was manuifictured for use in the

REPORT OF (GOVYR1NOR OF THE PANAMA CANAL

trlli-t( ruitiuIll I1f vnew quar ters an(l pIbli bildiigs inf ti1 varlillis towns
of t1ie ('iiinl Zrine. 111ige qlltillitilis of IllUiii 11111 "gs wee sawed
into III(TIC1 lriHlu 'I' I11ll rc1r for Iorticl 1'iiiiiiiIInii 111hiibe dealer's and
alit] id ers.
PLANT II V Iol% E11E-.NTS

New ehickivAiro-in shlitls for Inborers ntidl other enriplintr rt- wern con-
structied at bithl B;llboa. tinl Cristolhl sliops for the piirposl. of facili-
titini the identirfirtion of nil personnel ult'rini ariid Ililviijr thill shoj)s
nr11n. NNivllitri iinprovnilrmits WvrO cO Tivled i (tlit tlilrollgIit the
hilinii iiiL iiinil groiinl'S, such as tli r instillntion of electric refrigirteil
drinking' fililtf1iins, the ioni0truinltioti of IIw plVeriln s!it, ln th1 exten-
sion of pinv'-'1 and working arvitis. Two :)-ton Diesel operniteil loco-
nmoiltve cr riles were pjrelini-d l il pindc11 ue iie; one nt Cristo.ll aiirc
one at Bullnhoa. Several new niiincliiiine toolswere added during the year.

E'LErTiICAL INSTALLATION AND REPAIR WORK

The pritnipal ict ivities of the electrical division are as follows:
Tli oipelt ion and niiiltenance of tlih power system ; the operation
and nmaintien ine of telephone, telegraph, electric clock. fire alarmn,
printing tleleigraip)1, nd railwany signil systems; the operation auld
mninitenance of tihe street lightinr system; and the installation and
mnainteriiance of such electrical equipment as is required by the P.na1na
Calnil and other GovernmenLlIt LgenIlCies, or by vessels Iinderl-ii ri-
panir at t1ie Canal terminals. Following is a comparison of the various
expnltlituris of the electrical division for the past 2 fiscal years:

Expenditures 1010 1939

mari n ir ndl ip.r ilq n r I f i I'm r :. -r .*in . . . *.N i' ..**2 lilt
C rn ri ; . I Ill .I11 1 i it .I in *' l . 1 I I . ''
M l inn l 11ii iiir l i |.i r ii r' i I i c .. . I II,.. Il'-' ** 4
MU IIt.' ni. i Il .|I r itin i ,it f r ilt i. ni* .....- . ... ... .. 11. 21''
Tui .. . ..... . ... .. ... 2. 7. .. ,1 .. 96J

Details of the ncl(uni cirstriiction and maintenance performed for
thie power system may I>r found on pn'ge 32 of this report, under the
gpnerni hmi ldina g of Caiinl1 o)ilr'a tion, while operating sinistiscs of the
tclfplionfe system are, covered on page 57 under ithe opiritions of the
Panama TlRilroad Co. Thll total of $2,6t47,154 shown above for gross
expendlitiures is not a correct toll of primary expenses, as it includes
sPveral .'erlernts of (diiilicat io. As taln example, l:ilte Im;l cn ler( andl
repairs on the power' system ire pirrfornmd ly lite elet rictal work unit.
nnrid hence t(is direct clement of expense is included in tlihe expenses of
both tilhe power systerm and till electric work.

REPORT OF GOVERNOR OF THE PANAMA CANAL

PURCHASES AND INSPECTIONS IN THE UNITED STATES

The principal purchases of supplies for the Panama Canal were made
by the Washington office, as heretofore. Branch offices with assistant
purchasing agents in chli irge were continued at New York and San
Francisco. The Panama Canal medical section, New York general
depot, United Slates Army, Brooklyn, N. Y., continued, as heretofore,
to make purchases of the principal medical and hospital supplies used
by the Panama Canal on the Isthmus.
The assistant purchasing agents at New York and San Francisco
and the assistant freight-traffic manager at New Orleans of the United
Fruit Co. have acted as receiving and forwarding agents for material
and supplies delivered at and through their respective ports for trans-
shipment to the Isthmus.
The preliminary inspection of materials in the United States cover-
ing purchases, the delivery of which is required on the Isthmus (which
constitutes the large majority of purchases), and final inspection of
materials delivered in the United States are made by the force of
inspectors in the field under the supervision of the inspecting engineer
of the Panama Canal at Washington, assisted by the officers of the
Corps of Engineers, United States Army; the Bureau of Standards;
the Bureau of Mines; the Bureau of Chemistry, Department of
Agriculture; the Medical Department, United States Army; the
Bureau of Construction and Repair; and the Bureau of Engineering,
Navy Department.
The volume of purchases made through the Washington office of
the Panama Canal is indicated by the summary following:

Fiscal year Fiscal year Fiscal year
1940 1939 1938

Number of purchase orders placed.................._ _--------------------------- 1 12, 463 8,582 8,198
Value of orders placed ---......--- ---...- .. .... ... .......... $17, 719,486 $4, 543,924 $4, 281,979
APLr.-'Ljt. of purchases since 1904 made through Washington
1I1 r. ------------------------.. .------.-------.--- ---. $260, 478, 013 $242, 758, 527 $238, 214, 603
Number of disbursement vouchers prepared.------------------- 14, 842 11,002 12, 128
Value of above vouchers -------------------------------------- $14, 742, 058 $4, 061, 710 $5, 322, 678
Number of collection vouchers prepared ---------------------- 330 316 308
Value of above vouchers.. ----------------------------------- $242,179 $164,324 $281,993
Cash discounts taken.---. _-------------.--. ----------- $126, 563 $42. 291 $49, 119
Realized from sales of surplus material. ------------------------ $40, 912 $348 $90

I T.r..-t number of orders placed during any fiscal year since 1904, when construction work on the Canal
was begun.
STOREHOUSES AND SHIP CHANDLERY

In addition to its main function of requisitioning, storing, and issuing
general supplies for the Canal and Railroad (exclusive of the merchan-
dising operate ions of the commissary division), the Canal Zone store-
houses handled sales of ships' cha ndlery and other supplies to cornm rer-
cial shipping as well as to units of the United States Army and United
States Navy. The following statistics cover the more important op-
erative features of the storehouse during the past 3 years:

tEU ilT oW tOiv.HFIl{ N O IF THE PAN.AMA CANAL

I 4i1 I ma 1rid. I u ornatum ;- &. k

.r *-J 1 .* . . . . .
r i i; .. :1l on I . ... .
a* I ** ..' I* *

VFl. .' ..Ar FI i \.. .r Fiscal vyar
iii [ .ij: ls I .

i 17 $5S, I 2W i 5, ^*1. 4105
14. 3a1,415 A31, 776 B, 2'.. 415
-I '- 1 70.490
: 1.i ; l I. ii *1- | .is

.II 1.71 1, 773
'..: 6 $ V..7W, 218
17", 412
)0 0 ,454

S )ll .l' l l. .\ [ .1.11 1 \li \l;1I.. PM iCI'E1 TY .vM> EQUIP. 'NT

jiriiIiri l* uiilI 1r11,!)ji lit wlil i liml n iriLwiill viIue of .$368 ,172.

ljrflll irflllrlll^ \\M [** 111111n ;1 I Inr 1* ;1 1 \.

I' i I. (1r., I)r -1 Oi ( \-".I -, AND K EItU I.\'NE

A.ll t-li\drire of the IprIIilI-l- li- 1l-l ilulve to m]id from tanks for

p int % '. riipl--il r :; \%<' II :I; fbor tliI, Pa:iiima C(ailal and t1hi L'Uiited
SIIII* -\ll\y, i lii' illri*l 1ibrimill. 'I pipi lliiis iinII pi iiiir;llg plniits of
t IIl' I 'lllll lll: ( h h III .

T ih fii llr\\ Il; 1i1,1 v '11111111: 11-; -1/ (hIr Opier lilfl l Of Il Ir Ou l oil 111111 ling
plit, fil the im) 3 y-1 *I\\

I .C: I1 .. -
H :1i. (, r Islr I I I. l , -
II ,. 1 1' li t). i I : i . !

I h r !i i..l .
1 r. . t the I i. or rrul ..* ,1 . .

A ll lib"It I* -C. t
I b i ** tr anft r rc ti nk il

N . .. t . .
r' h" r *! I ir. .nii o errei tlg fuel or t he

I .Total F.... l...... .... .I.

Nul _..._._.

I i l i ar Fiasril % -ir Fir.d yvar

asrr-/le irrrels Llhrrels
7. 1 1 -4 -. 4 1. 7 A.I 7
i 17 .1 1i. d .7 (.I e2i

. . iI7 I; .7 ".. .4 -7. i.6

.. 11. 1. I j 214.i.1121
2. i J .1il. h:17. 424
S 41 .1 *3%. 1171 1'I. 2"7
. ... II till 1 .- J 1. JO
- - -...1.... .4 V, 7 3)6

,lr ..\',i ,itrr .Vu *rierT
I. I i 141
.2 im.1 1. 'A"'
S1.. 2 172 2.144

( G i/'. i Gall.nf

G, I

.1 . . 13, 7 T.
...... __ 7 "-' ". 1 C il .ll'. i. i

Il II.II\i, (Xi\s l 11 I I h N ANJD M AIN l lN \N% C

T'hI lijiii ijil %%imijr n 1>iildli1'r IIInii Tii.ll \1 |I *O( ll. ( (| t by

lit i" IiI-ill tiI fI flqi*Iirf rnllIli 'a \ ill 1i dli iill,' Ohe I11il yvl.nr were
II fi saIn w :

REPORT OF GOVERNOR OF THE PANAMA CANAL

C(Yxtobal.-Erection of motorcar repair shop and checking-in shed;
erection of six buildings for family quarters.
GaI iiti f.-Erection of silver labor receiving station and eight building gs
for family quarters.
Gamboa.-Erection of new Panama Railroad station; construction
of field office for dredging division and one 16-apartment building for
quarters.
Pedro Migucl.-Erection of new Panama Railroad station; barracks
for lock guards.
Ancon-Balboa.-Erection of field plant for constructing quarter-
master; general office building for Pa na ma Railroad Co.; nurses'
quarters; checking-in shed, Balboa shops area; addition to Balboa
dispensary; 37 buildings for family quarters.
Diablo Heights.-Erection of office building for special construction
division; 200-man mess hall and kitchen; commissary; 35 buildings
for family quarters.
All others.-Erection of ward at Palo Seco; barracks for lock
guards, Miraflores; soils and structural laboratory, Miraflores;
barracks and mess hall for United States Navy; bathhouse for Far
Fan Beach; drafting room, Miraflores.
In addition to the new construction, expenditures for maintenance
and repair work during the past year aggregated $853,598, of which
$350,800 was expended on maintenance of quarters for gold employees
and $126,838 on maintenance of quarters of silver employees, the
balance of $375,960 having been expended on all other maintenance
work performed by the constructing quartermaster division.
The total volume of construction and maintenance work for the
past 3 years is summarized as follows:

Fiscal year Fiscal year Fiscal year
1940 1939 1938

For Canal division:
Repair and maintenance work-------------------- -------- $643,499 $619, 630 $665, 604
Construction work----. ---...---------- ----- .------. --. --- 4,090,527 1,463,052 1,381,667
For the Panama Railroad Co.:
Repair and maintenance work -----.----. ----...-.--. ----- --.-_ 94, 375 63. 229 41.930
Construction work_--.-----------.. --. ---------..-------------. 195,671 5,540 i6 643
For other departments of the Government, employees and others--- 128,631 64, 921 5.,, 056
Total.- ----------- -------.. -------------- ----- -------- 5,152,703 2,246,372 2,193,900
Total maintenance------------....------------------------- 853, 598 777, 779 765, 590
Total construction.--------.. ----------------- --.--.. ---.--- 4,299, 105 1,468,593 1,428,310
Total.---......----------------------------------------....--- 5, 152. 703 2,246,372 2,193,900

QUARTERS FOR ENrPLOYEEI s

Gold employees.-A total of 78 new buildings, totaling 691 apart-
ments, wa;s erected during the year for the purpose of providing
additional family quarters. For the greater part, these were multiple
apartment houses of a special type designed to provide small, two-room

5)2 IT.li)KT MIl t;.I\T1:N'I nlI TIHE PANAMA1 CANAL

IiiiLrl IIt% r1e.1llt I jii.iVi.* 1. 1111pi11iar rily iidII Ii tIle oi organization in
rilirli' ill Xi t lltm. r > i l rl*.z I i1111(11i'-II r rt ii ll of tilt- 1Ihird locrks and
0llirl -[ i :lll :ipiijlr ini
T li il d'r 111: ii o rf \'Il 1 a p I"ui. 1p I>1rlllj t to till- 1 diltos has
I lllln r tII hi ull'-Ii ill: 1 III ll fi-l fI11111 .-lir, IlII to ji r\ti*< 1 1' oIl all rte i c.lte
tllll 'l R r. .N\' < 1 %tlllI -l lll ill I h0 i l 'If l i i ill Of le ir]W l !10 ln in -
431 1 f Hililiti.il l fl$ I- ; r-, i 1n f Ii*ii :i, 19 01), i*Iv c *on trc liili.cip p lif tsh
WtIlw illi"iL 'i flln i 1 Ill t l frt illy riii l'Irtc f t Ir in .:151 rtI' (Irni|)l oyv PS
in li r j1i.i il t10 1 illi fin tIf hir lrIII.-i iII 2"9 wHere of mipormt y

ii llll igirp' .L 'i lilll"l lII-It il llfl rllS rtl fi llr 'llrA \tr lTO il lllu ded
(lI r ll- Ir il r U. Tas f -1t,
S> rii in il [I-iL in I II(- t, o all t. I1,- ,rlr applican;i were given
rrfdit ii i- all previous service with the Panama 'nai l and I'anas la Itailroad

A -[i ciAil applica tion livt was esltallishciu for employees recruited in the
I'nit al rt.-t for t1ir lo .11s a1nd special projects with a view to Riving
tf h ( 1 ii l.1.-. i lr.-f. rl .' in :1--iCi ni.lL')l to certain tyiLe of quarters.
.11 I/fl i Pi l f 1 0 ii. i II[>ll rr tlii .I of s ilvor ti rters wt s conltllintSed
1l'l ilt, irlni; r s1. is ;i- i'i prtihie 1 i' rilti. Nr i' CU [s I lltion fu r the
yrllr l lii1- i-fil of tI\o 12-~intilly filii-errs at. C litol)IIl and adoimitory
il t111 IlLlicl i.(illl i at L .1111iW I f ri l ;Il- 6t*bnts. A tinil >er of tnalra' -ki
fil l[r] lliilli -I ;ii' c r i llirr r(i-'ll'fi tl for third loc1Fk nisploT os at
ill'.n-r it ll Itiii I-. blnt Io family quarters for tI third lock silverr eni-
])lhi) I \%ill Ih rjvihil by IlI- C.:1 itil. Ti nw (oi nliie l for quarters
frlii' I -ii'l.liyees on 1ll- silver r'I1(1 is far in excess of the supply, there
i1 I.i i i appli.-at irii on file i all d(lig -riuts as of June 30, 1940.
ir i tilan 5I0 ji rI' rliit of tir offir: iliin- flrc. oni t111 l sillvfr rolls
of sr-1 (':.II;I l nii lr';I: l have been li\ni in the cities of Colon and
P:Irmiii :L fr l'the p:i-t -,r. *Il: yri:I'. Due to the l io Nrg increa;ses in
Viif o .lillirL1' l lI 1 ':'r1 ''iri til e i1-.l-Lrh l -of' fi llio r- vino g ointiiJ e the
Zli11 1.:1- I iiiri' .'ll to Iiire' 111i11 Gei 6r5 Il Vc it (tof tl i total.

R' I P J M1.:.\ OF Qv I1 UII.Hs I 1i .1 A.MI.!ICAN E-M PLOYEES
Aliout 13 yv.r- *'I' 1..,- record' iiilimIIreld that (IIP expense of ailn-
1: II'i i _' t s s< f rrI lli (|i 1 -I -.- f .\ iiilerIfili vmip1nve s ls i re( 1 0 c 1ed
Ili. rinil wji4 I' rI1i tl n I r 'i'it vo, i'Ite inhat eeo r oi uili] procedII wure. A

|>I'-I of i- i *I ii lI vi ru11p11 typll' I f frIr : li111 I i e built dill ino l tle first
i..irs of .\lli' ii';.1 1 "i11'ii ; ll i im a d la I; 11.1111 I' of si ll ii lousl es
il I il1'r 1of thes ll k. llPOPWre WeItr ]vT vi lC II)I 1CII1d lil l
lirrl*l III\ l I~rf l rlU 1il\\ I lll lt \'. rl-r a >;1 llll I 1 p1111 ( ollllplly ioll Of
*i'slld ri\V ion wol".. It r o i\v-i@ l ta 8t fll ir re0i- laeienf would
rrti- illn* n **\1 rii-lve r ii-1I r ti' pi T |)_T;IIII over ;i periodt Of veers. 1Tie

REPORT OF GOVERNOR OF THE PANAMA CANAL 53

matter was placed before Congress and the first appropriation for
replacement of quarters for American employees was made for the
fiscal year ended June 30, 1927.
The first types of quarters designed and built for the permanent
force were of concrete. On account of the large first cost of concrete
buildings, designs were resorted to of concrete column and first-floor
beams with wood frame structure above. After experience in the
construction and maintenance of various types of houses, and after
giving consideration to original cost, upkeep, etc., the wooden struc-
tures supported on concrete beams have been adopted as standard,
and are preferred by a majority of the employees.
Family quarters on the regular replacement program constructed
in 1940 comprised 49 apartments-12 at Gatun, 16 at Gamboa, and
21 at Ancon-Balboa. The following table shows the number of apart-
ments for American employees' quarters which were to be replaced
as of June 30, 1926, the replacements by years up through 1940 and
the balance of the original program remaining to be replaced after the
fiscal year 1940:

Number of apartments for American employees' quarters
[Status of replacement program as of June 30, 19401

Cristobal,
New Cris- Gatun Pedro Ancon- Total
tobal, Colon Gatun Gamboa Miguel Balboa
Beach
Locations

Family 347 148 ----2 - 1,098 2-

Bachelor. - ----- 276 ------ 23 -3 - - 60 - 401 - 1760
19 2 7 ---- --- --- --- --- 4 9 - - -- - -- - - -- -- -- -- -- -- -- -- -- -----. 4 9 -- ---
10i28 ----- ---- .. 80 ------ ----- ----- ---- --- --- ---- 809 --- --
Bachelor--- ----- ----------- 2765- 23 --------- -------- 60------ 401 ----- 1 760
19270 ------------------ 49 ----- -------------- ----- - ---- ---- --- -- 349
192931---------------.---- 6 -------------------------------------- -
1929...--------------------........... 65 -.--- ------------ ------------.. ..... -.... 1--- 0 -.... 75 ..---
1930--------..----------- 16 ----- ------------------------ ------ 30 40 46 40
1931........... -._. .. -. 1 -.... ...... ...... -..... ... ...... ...... 70 71 ..- -
1932.------------------- 46 ------ ------ ----- ------ ------ ----- 25 71
1933...................... --------------------10 100 ---- ------------ ... ------ ------12 ---- 22 100
1934...........-.... -...... 1 ... 15 .... ... 10 .. 26 -
1935 --.. ..... -...--....... .. ...... 50 32 ... -- ---. ... .... 1 ... 51 32
1936...... .. - - -_-_- .-...- 57 ---- 26 24 ------------ ----- ------ 83 24
1937----------------- ------------ ...------. ...------ 37 12 ------------ --------- 37 12
1938 -. ----- -.-- ..--. ---.--- 52 ----------------------------- 52 ......
1939--------------------................... -----. 16 22 ----- --------------- - 29 51 16
1940 .................. ...... ...... 12 ----- 16 ----- -- ------. 21 64 49 64
Total replacements:
Family............... 268 ------ 2156 ------ 3 131 -.-- .------.... 208 ---- 763 -
Bachelor. --.... ----- -. 116 ------. 32 -..... 336 ---- ----- -- 104 -- -- 288
Remaining to be replaced
after 1941:
Family--..-.-.-...--- 79 ------------- ----- ------ 4 ------ 260 - 335
Bachelor-.......----------- ----- 160 .- -----. ---.. ----. ----- 24 ---... 297 ----.. 472

1 Reduced from 831 to 760 by the chief quartermaster July 15,1937, due to less demand f..r ho' lihi-lr riiiirt rs.
2 Gatun replacement of old ijpirtinh-nti has been aci e.uiI l'i, '. The additional 8 api:rtilil>ni- ii-r [Lie
number listed in 1926 are used for increased personnel on account of 40-hour week and increased activities.
3 The quarters built at Gamboa will replace quarters at Pedro Niigturll and in other districts.
Includes 9 additional bachelor quarters required at Gatun on account of increase in lock force because of
40-hour week.

0-4 IP'iI 11 M (.)ElKINMI Ml TIME P'.AN.AMA CANAL

.M tif'i'l '1tn err>I;FA'I PN\

TIlr- Ii ; iiiii tli\ i- I n i 1i.1i %% Oh the Opi-niti li and
Illlliblllrl illi .e f fill I IHir f III II il lllll I .I Il-p ll I itll II ll li t 'd till-
dtl'e nI liii llI .*1Au Iit i-iIIII- f I i I'liliu l (iii ;id ll iiiiii1111111 RIl il rol 1l
l'vo TliI nl i i/ll l li / i 1 1 f' I l .11f i 1 Ijilll fl hl ilili I' i* Ill t1is division
Wlill Iliri r.-.1ili ir-iI rl i it p.* l ll -1 1111111 1 1 r1 11'.1 I hi iIli lils i l' )Ilc11
p rii iIIIi I. fi ll' I I to IIII ~ r IlI il in-* (i trIf ti ll ri t ; l iLIi i i tit i
I'Ii'11i 'I-f r 1 I the P.111 111 1. 1 Ilmll.ll III 1iIIi 1 I itl f4 I t (l C o.
\* Uliil',N 1 ill i li -' lr llt e tail ; N I? ti ;111<1d 19 il v puri-lSl I $ .6 ,94S,
wiiI I fl.- I a 1t 4 [f l i III rf 12 tl. I i i'(fll fL Ai lilr 1* 1ll0 11t of lnt-ivy

2111d h1"Ilw a v Hl lll-,( -l IcilV I
Duriii I 1lli ri' 1* I r i' ; i ,i( tir'ck were p)iii illseu ii id 31 caIrs
nRill tuit \t' r- i* 1'otind. At till 0lsc of t II Isi- il yciair 4S'O cars nl
truiiuk-, 4 triilr-., iiil 6 mot'>1-TvY
AN \i \ C \NAL PUi.ss

T ir (qipriltilf ( if the 1,1i2 lll;i Ca ~tial Prrv-s \H r 0 1111i0i1t 'd 1111ide
et1 'Miii pli1iy nS liirti if'I. iTh prinltiiLp plaintt Criirivs sf-Ckls of
iiiiiIi il-.I, till-] jrfillt- such f uinfi ttion ry, etc., S as L'C r ( Ilifr d oil
the 1-.tl1iiI[.. ill eoiiin rliliii with tihe IliitioIll of tll' Pallu llunl (ii a l
aiiiil til PIli mLJIlZ Rl:IIrMull. It 1s ill-i> linrgcil with the plintinpg of

stllt i-'ir- siuiiiunrai/.ir th tujirrzuilicils of this p)inti during the past
2 1veilre:

Ficiv.l v-ar F..-c-fl year
I-m 1939

r r rcvenuM. ... ........ 1'1 I W \1. *'.1
T.-.tr. l output ens (includrt supplies not prwest- d ii ti lrriir [pilnii .. i .. i '.. 17 21. 21(
\ | I .. r 2..... 4 '. 1 1 I 11.0 %i
inventory on hlan,1. June ...... .. il. s 7 6-i.'7

RF.V.I TES )}.l(I I [> FItlM Ti1H. RENTAL OF LANDS IN THE
CANA, ZON1'

Rlr tuils oi Ill ilidil Sites :1id til-t1i1k sites in th.. CIiuaIl Zone totaled
- s.' f.4:'. f i l tlir h 1- !*\1r, i1 cIIi)):Il-I W ith I'evvillius of $44,3I0I fiOl (lie
fi' l v-iir :i. l(ini if R:LFriui t r uriill l IInd illn tihll (C nIal Zone
tiotlilrl $10,lfdrr).l. rSc ii!irrl withl $10,i')iS for tlhe prc'clding year.
At tO'w oln ''i of ith' fi-cndi .lif r Il.0II lii i1 1 1 r IIIi rN\lcl. covering
ll 1 Il l-u ui'-- 1if iliur irll-ll Iii*ud withnlluii till, CuiimiI 1Z m rThiis is a
1Id' irloili 4f 7.s i i I lit, imin -rU of liie '-n, s iiItuler ithe pwt'vi ins fiscal
n ill' WI al rit icliu- nlf ll ill tihe nrlf:I hi ld i idrilr licciiis of 141 hecthircs.
T'i-. r.i-liniiinn s in.i-ly the Iresult of hlr ploliu'y adopted in Malny
l'S.i,. |)r v\ ilin-' 111t il i IIuI il li nl i -. rIe no0It ii r licittsiis s for agri-

REPORT OF GOVERNOR OF THE PANAMA CANAL

cultural land would be issued and that holdings under licenses pre-
viously granted cannot be sold or transferred.

BUSINESS OPERATIONS UNDER THE PANAMA RAILROAD CO.

The Pnanima Railroad Co. was incorporated in 1849 under the
laws of the State of New York for the purpose of constructing and
opera ting a railroad across the Isthmus. When the concession, rights,
and property of the New French Canal Co. were purchased in 1904,
the stock of the Paiin;ai Railroad Co. become the property of the
United States Govei nment. Since the acquisition of the railroad by
the United States, its corporate status has been preserved and the
railroad has continued to function as a common carrier.
At the beginning of canal construction work, by Executive order
of the President of the United States, the Panama Railroad Co. was
made an adjunct to the Panama Canal. Its operations are supervised
by a board of directors functioning under the direction of the Secretary
of War. As the operations of the railroad complement those of the
Canal, the policy has been for the Board of Directors to elect the
Governor of the Panama Canal as President of the Panama Railroad
Co. Thus, the Governor of the Panama Canal is the administrative
head of the Panama Railroad Co. This practice has insured com-
plete coordination of the activities conducted by the two organizations.
As the activities of the railroad company are covered in detail in
its annual report, only the major features of operation as they relate
to Canal administra t ion are covered in this section.
In addition to the operation of the trans-Isthmian railroad, the
business enterprises conducted by the Panama Railroad Co. include
the following: A steamship line operating between New York and the
Isthmus; the loading, unloading, storage, and transfer of cargo for
shipping interests at the terminal ports; the operation of wholesale
warehouses, retail stores, and subsidiary manufacturing plants engaged
in the supply of food, clothing, and other essential commodities to
governmental agencies, employees, and their families; the operation
of coaling plants, hotels, a dairy, and a laundry.
Business operations on the Isthmus, carried on by the Panama
Railroad Co., yielded a profit of $2,497,073 for the fiscal year 1940, as
compared with $1,481,847 for the previous fiscal year, an increase of
$1,015,226. The increased revenue was due to increased volume of
business, but a substantial )art of this was offset. by increased capital
expenditures required to meet demands of the additional business.

TRn.NS-ISTHMIAN RAILROAD
The railroad line operates between Colon at the Atlantic terminus
and Panlnima City at the Pacific terminus. In addition to these cities,
it serves all nearby activities of the Panama Canal. Gross revenue,

)( lIl.PhlT IlI (,\ il-.HNil 1)1 THE PAN.AMNIA CANAL

froili 1 lli I li1tiiill6 oI'f 4 l4 i I:Li,- ''ilI rjll i T 1 (Oln t iliilud gini subl sidiaryT -
bi-nIIi.-. i4ikti IreS) dli-ill I' ti* li- inl In I I 19 40 lini tillI t'd to $2.1 s5,938.
KR \ I*w11 fri-ih t 1 tliv lird 1 111(1.S77 ioll-. :1- r; prill llrd Wihll 323,233 }tons
d lIflil* l ..1, 1111ilt) fe (if 2-'77 1 0 1 l .
I)IIIrli 11 tli In' rIiiir iril.r. \ i* iI l :i1 *il frli 5 rit.H t s tlll I Ild 5
ii'W' 1 )ir~<-l.-<1('itnj 1i'3u'iiuti( i l-, Itnd fur .Id litn-w frcHii.1t cllrs. These
% i11 Ii.Ii1Ilti i 1iill'i]H in 1t 11ml i- III \ ) mr IIi V -virl' -11il. By the end of
li \.:i11 tli* 5 i1' 14:1 111 I*IIIii 1,ii ii nivr liiil 6>.I< dclivcer d iiid w1111
inillid.'".'ilin lill: I ti- I i -e*i. tinl li 1-tIlII1i Tine D i tI -dlcl trick
1( ,l i i4 *-i \ uiii- tf I n. freiglit, (r1 \1t'-. % r e -' I Id1 l I to IDariv in tlhe carly

Iirt oIf lihI li>-c;l !ir I\ fnll.
:ii 11-t -iit- '. I Iil\ ii l* ,I illl- riif1 1llv. of rniltr !id op llrItillns during
til- pil-1 3 \ 111ir- wIIe pri-. i ted ill tll fl )ll< ( ninll tiIldl1 :

1940 1(.0 1938

A ',.rg '.e I. r.I* . ..1i -n t sr Tir!.,s 47 fil 4* # I 47. ol
reti r re.r.,....-.. --.... ..-.- --- .-------.-- -.--- S-. 165,3G 8 | S1l.'l. l il1.B00.748
uniiLu r of ca l gr3 cariedrl:
S. . . ... 91J 1.'.'. 1 I 574
-c- l- ..-...- ... ... .... ....-.-.-.- ..-- .--- .--.-. 244,083 2bi7..l- 19 323
0tal0! i... ....ii...... 4-.' 7 -------- ----------------- 3. 41 b 'b
1; *.. lie s I I r... r !r l ile .... .............-...--.-- -. -.. I 41 -1 II. .. 4
to .cnU r pMr 'r. '* '*r i [idle.. .I. .... i .. ....I...- ..2..i l l1 ?l .3
1 r .: .. r ?r r..!. IL .. .. .. .............. 14'.. 144 1.12. ..'21 14 2.7
} r- * '. ,]. r . .. . . .... ..... ll.751 71, 114 G8, 524
S.. A ri i rn.... ...... .. ... ..... ................ 4,204 0143 13, 916
To. a itrw itn rushi; .......---............ ...... ................... .14. .1 ,i'I e4..
A .---'. -. o tw-io- -v- ai.- - . . ......- .-. -... .. 114. 514 11]i 1.14 1 J. ;'iJ

I 1.I. VI N; A ND FOI W.A\DING A;GENI-Y

This di\ i-ii mr Iidlles tll- dock lnd harbor nctivitics of the Panama
li: iln.il Co(. at the 1 wo Ir-rininiiils of the Canal. The following
-ftili-lit -inll Iit i i' n op lrliliolls for tlhe past 3 years:

1940)

-. . . .. ............ _...,........' $-. ;.il'I 749

1 *.. rr nuC. .- .

S'r. u. I :tl ni transfrred ..........
.ir. i.r v iur d ... ....... .. .......
l ot l. .... . . ... .. .... .
1 C o ship I i !..1 *

.................... 2,,.'.0320
- - - --......... 2-...- 7y:,36t
- 7K 356
. -. ................. 2,S.1, 376

4 1 ;
- - - - ---

1NJ9 193s
ir-
1. 1 3r. I lli f\l. WS Usti

To7rn Tion
1, 580.859 1,.'30. 2'7
615, 530 617, 137
2, 1 l...9 2, 117.u424
S *'.j I,f01
: l. -'l l1, .0

CD(, \.I1\C; PLANTS

( .ir'-- ret(lllue fl in ,t, oll s-i1l.- diii in, the' pits( fisc il t ri iino a nllnted
to 1'.'-s 11241 'i- rnuniiiani'ad \ it i s$.7.,7,921 in 19 139. Sa lci or coal for tlhe

REPORT OF GOVERNOR OF THE PANAMA CANAL 57

fiscal year 1940 were the highest for any fiscal year since 1931. The
following statistics summarize the operations of the coaling plants at
Cristobal and Balboa for the past 3 fiscal years:

1940 1939 1938
Gross revenues------- ------------------ ------------------- $928,024 $557,921 $767,126
Tons Tons Tons
Coal sold ---------------------------------------------------------- 118, 219 70, 487 103,844
Coal purchased -------- -------------------------------------------- 148, 024 490,199 124,884

TELEPHONES AND TELEGRAPHS
The gross revenue from the operation of telephones, electric clocks,
and electric printing telegraph machines amounted to $257,554.
During the year 1,948 telephones were installed or reconnected and
1,608 were discontinued or removed, resulting in a net increase of 340
for the year. At the end of the fiscal year there were 50 electric clocks
and 24 autoina tici printing teleigraiph typewriters in service. Local
and long distance telephone calls handled through the automatic
exchanges averaged 66,621 calls per day in 1940 as compared with
54,403 calls per day in 1939. This was a daily average of about 21.7
calls per telephone.
REAL ESTATE OPERATIONS
Real estate operations of the Panama Railroad Co. cover property
owned by the company in the cities of Colon and Panama and buildings
erected by the company in the Canal Zone. At the close of the fiscal
year 1940 a total of 1,596 leases and 15 licenses were in effect covering
the use of the Panama Railroad properties in the cities of Panama and
Colon. During the past year 2,099 square meters of land in the city
of Panama, not needed for business purposes, were sold.
A disastrous fire took place in the city of Colon on the night of
April 13, 1940. This fire involved an area of 24 city blocks, 13 of
which were completely destroyed and the improvements on the re-
maining 11 blocks were partially destroyed. The fire affected 207
lots owned by the company, on which 270 buildings were di-t royed,
or so badly damaged either by fire or dynamiting as to require rebuild-
ing. In order to encourage and expedite the construction of new
buildings within the burned area, substantial concessions in the
remiision of rent for periods up to 1 year are being innde to those
lessees who actually begin construction of new buildings not later than
July 1, 1941.
COMMISSARY DIVISION
The primary function of the commissary division of the Panama.
Railroad Co. is to maintain adequate stocks of food, clothing, and
household supplies to meet the needs of Government personnel and the

1i1.PhiT i)h lo.VEI Nii '34 THE I'.ANAM1A (C'ANAL

\r Iar ll 1 I Ill ll i S IIItr I- \ lt I F lli eIll I )llr ill' Illr 1) 11 l ll' Is llliUS.
I Ii li- r imil (t II I i i ll rllii 41i olik (liIVIrll 1]f Tii I'S ii-h' il It.Yvs in
u110 11 1f t1 I (': l l .1.-Iil 1f t ll,- :1111 Iil viila i lr'ltra l w i\\ t i' ite 1i( CO ld
11,2 1 "lr. :111, I'f*lli' 'l'd ii '"-* II I d )IT. l l d4" Of the
l litrll-d ([t 'i 'I\ 1i11i1i t, I \wt lit d int ii'l. V(?lil foodiilr fll
41111T i*- o'1 il*k II- : V I IllW i 1111i I Vl I yI Pl It(. IIIiIII i- ;il) t l iii>; t u iil ing
tlir ( 'iI l Ir u tliiIL': l l 11ii i iililn l W !I 'f
l-t ifh f( I 1- If I llc lf l t 12 29 211".-i vi ( iIIIIIrc( 1 ilI
1.7 f, l l f tIr pfl | I iwl-- t 11 : I 1ftr. T 1'v vilue of [illfr lilfl(lis11 oil
hIllll 111. .;10 1'.11), $1 \\ $ .61,. ,I n u1s r1i0iuilj vi l \\w i(h .l1,137,)."0) ntl
Ill.. Cilip f the Ii thitl *if vrur '. 'IWrI T r il r.6 of is 0to Ill litory
ITIhlunici t i a tl riII Stock turiinver oj "'vcral times a yetr. The
ilislrihiitimln itr -lllP f t 0I ilp;i^( Veail' f\- <()ipima ed WI li lIt e 2 pif-ec filn "
yrtill W 1 \ i ts 1i- in :

I 1(Urm rnln Ar4T*hy Nto N i x
I h.- I's t I 1 1;
I *I' an rm its.roei d
In l tu I ao ii >in|it .

Ir.'..- ..
1 .. *N d .. I t . .
Net . . .

[1' 1 I' t l.'

4t 1'i "711 $1, V i,n I 1, 2- vi. 2;317
1 .'22'. 4. 1 .,* ;.i, 4.i
S .A. 2'17 *.2. V". 27.1 Iti
Vi. *I l *.. nI I' 271. 2T .i
217,171i 307G,342 :27.A44
8,<.1-'I -.<1 1.731 6.04, t100
] i. 1 1 1 1 1 1 1 i l l .II' r. ,1
1- 6.I 1, .A I o 11 g l '.
________I 1 5 1 12_

Pu1acCASES

Pinrhiii-*-. (lmlini tI l." Xy ar n Ir.* rigr t I d $9 4.24,203. ai iriern'ase of
A*23. il .)2 G 2 ii1- esilinrcd with t I pieviu ) itUS yv;i r. Til- following
nla ii liillll shows tIIe I vilut of tll, Vilriouls IHw.-i. r iii rol1iitcll illi the1 2 I)Ilrv diig y aI.s:

9ir, 1e .i I .
1I . \ r .

PI .% c r
. s. i .l .

'lI >kr p4 r( .

I .4 .. . . ... . .

1940 1939 1.8s

--------..... $2..vir'.1. $l,-".472 ;1. m.1. 179
4411293 1. 943 .12. 061
S544, 147 J,65, 359 .U. U51
...... .. 1 192 il 1.704 %.2 Iti
-. 12 400 121,. 127 212.UiMS
......... 2,W-r..22 1, .34 1 71 04
----- .i.ii. .'I 90. 2 4 I18. 734
-... 273,413 2.i.. II 224. wi
- .2:. 1.1900 i.'..30 3130
:.'I.. "11 .1'Y 7 Ar'l Il. I i1. 750

II.I I .-

Iv IIot- Tivoli mid WIVI Illiivllmi \\r op.( Ob tll cd bV tll. IP211 711n
.llll.1i4ii ( i. witliu'jt .c iu 'ri of Ill Tlr. hotels aiIre ail csscLtiill
liin l it if t. he ( 11 d1. IIri all(4iii IL' I lloIil icc1 tl iI>i ill hi)ltd iis to foreiIe
vi'.il~ri. .\lillcric111 twiiri'k". vi-iiliL, CGovernnifmiil ofrn-iillb, IInd othe-rs.

REPORT OF GOVERNOR OF THE PANAMA CANAL

The gross revenue from hotels was $395,126, as compared with
$308,399 in 1939, and the number of guest days was 67,006 as com-
pared with 43,744 in 1939.

MINDI DAIRY

The operation of the Mindi Dairy continued as in previous years.
Milk production for the year totaled 445,656 gallons, as compared to
417,947 gallons in the preceding year, an increase of 27,709 gallons.
Fresh milk was supplied the Army and Navy units stationed on the
Isthmus in addition to employees and units of the Canal and Railroad
organizations. Buildings and pastures were maintained in good con-
dition by the dairy operating force.

PANAMA LINE

The gross operating revenue for the steamship line for the fiscal year
ended June 30, 1940, amounted to $3,141,294.04, and the gross oper-
ating expenses amounted to $3,026,340.68, resulting in a net profit
from operations of $114,953.36. The operating profit compared with
the net loss for the fiscal year ended June 30, 1939, of $87,005.35,
shows an increase in the net revenue of $201,958.71.
For the year ended June 30, 1940, the tonnage carried by the steam-
ship line amounted to 317,141 tons, as compared with 210,728 tons
in the previous year.
The steamship line carried freight and passengers for account of the
Panama Canal and other departments of the Government of the
United States at material reductions from tariff rates, which amounted
to the important sum of $931,750.13. Had regular tariff rates been
received by the steamship line for such freight and passenger services
performed for the Panama Canal and other Government departments,
its income would have been increased by $931,750.13, and its opera-
tions for the year would have resulted in a profit of $1,046,703.49.

276264-41- 5

SH1'TION III

ADMINISTRATION
DEPARTMENTS
Ti- orirpill;/iillr f t hl l Iw l ill l ('101 1 o llO 11t i ll- hmus1 1 (cIlu1 n c fivi principal I11i11i141it.ll *-. miilll tPo -l lhaill lli Ill1 ailtllI cll ellic ,
sipjip)l' Ilre' iinlli irt .. execti ve iiiitld healili Ill adl4ditioil to this. aln
Of)irE (1f til PIiiiIIIIu ( 'rili I mlill iii ii'id il W asihiiigtonr. D. C. Tile
Pi tIti11iia Ritiltril ( i., Ia (ovi-Iilliilit-ow ied co poraltionl voi(diictili
1al.in *l.v* ent*rpri' n -t. (c I lil I1irii-. at distinctc unit, yet it is closely
tiliibuted \\iltI til- C(linfild nm i i ai/ lion.

( )llc \TI)O\ AND M \].1 I L.\ N(E

Tlil itlel irtuiu(ii*iit if opl'r tlio l I111 Iliiilit lliicl (ill)1)ra'e-. funllctiOll S
1r*It- iE4 to t1eif ckt ulit usa 41f the Ce anl 1i1 a \\it aitrFwav. ilcl rldini tI1'
dirtl iit 0cti11111l. lock-. i:1111-, iiit- to Iavigr itt all,. uliI statistics of
ILV ignil il. tss I U oC'r(V cItiv is sucllh v lw I)' ;Il (v al 1l drydocks. vessel in-
'pril It I *(rlI c l 11t fril lid w tel s 11 pl),)V. '\\ r "ysi'lll s. aoiids iallld st re ts,
liy tiii* lir j ir ohli l \ iil u' su 'Vvys anilld eslii lzte an1(d in11 l1 liie(1s
c tru ct i lon 0 o1 11 tlihill the r11*ilclill of b ldl inlg] .

'I' i- .j-ly ti11 ii 'It-rilrutitoll (if rii'itr'ial-s antid -iip|li." fir tmi Paliluinall CInalil alld
lIiEl l t Ih llll tii t11iiir 2111d 11 ii-. t rii rliimi o if buildiligs; lie 111 1i' -
Ili ll' f i 11i llif' I11 i'1tei" to rnIijily iee5 :n ;elli carc of grouds111 ; lie (Op r-
1itiiu 1 of gtos*'r liu i-a-. fi le 12 Illiilt 2111 fxpj)eriIei'llt ilt o1e 11114ada aI
jpri ltiti'L i'' p iiI ii t :111 e 1 it p 11 ll iI'. of Ii tor t iriils )rtliitioull facility es
to thile 1variolls dpt'liIartlI1ientI :lld divisions of the Cainl tin Railroad
iI '1 ii l 1/.iti 11 i.
(I! NTilJ.

lI)rIcil *tli r (II; e i t I Ir I0 I,1I I i' I Ii l*. fl< I llrt ie lIw i oirvcc 1 ordi II
offiinaiiici.i t sai 1ul dit i of v\( Ii lwil e(1 III tlte 111 *'i i1 andl ill iii ii1 ilt of full ds
.iirliniiini~i '. I ti e fii' untl sii I theli (liiuriial Account iiit i Ofhice

i -iIt II( I II\ to If ll 1 1 I* l i ssil ov d I ip l G ilern i I il 1111 1 1 0
ilf ap.I'I'>plI I'll i t< tll \t.in d '| Iirf s n d di\ii o a he

1 .1 1

REPORT OF GOVERNOR OF THE PANAMA CANAL

EX ECUTIVE

The executive department emlbrnces the general office business of
the Governor and all administrative activities invested by Executive
order within the authority of the executive secretary. Under this
department come the administration of police and fire protection,
postal service, customs, shipping-commissioner work, estaitees, schools,
general correspondence, and records for the organization of the Canal
and Panam n Railroad, personnel records and administration, wage
adjusten4nts, information and publicity, relations with Panama, and
the opera tion of clubhouses, restaurants, moving-picture thea t ers,
playgrounilds, etc.
HEALTH

The health department has jurisdiction over all matters pertaining
to sanitation and public health within the Canal Zone and the cities
of Panama and Colon, the opera t ion of hospitals and dispensaries, and
the enforcement of quarantine regulations.

PANAMA RAILROAD COMPANY
The operations of the Piunama Railroad Co. on the Isthmus are
generally related closely to the work of the Canal. As the Governor
of the Panama Canal is President of the Panama Railroad Co., the
heads of departments of both the Canal and Railroad organizations
report to him. The general administration of the composite organiza-
tion is centered in the executive office, and the accounting work in the
accounting department; the Pananima Railroad and the business divi-
sions of the Canal organization are billed for their proper share of the
ri'neral overhead work.
CHANGES IN ADMINISTRATIVE PERSONNEL
Appointments in official positions during the fiscal year 1940 were
as follows:
Mr. Frank H. Wang was appointed executive secretary on March
1, 1940, vice Cloyd A. McIlvaine, retired.
Mr. Paul A. Bentz was appointed general counsel on March 1, 1940,
vice Frank H. Wang, appointed executive secretary.
Mr. B. F. Burdick was appointed Chief of Office and General
Purchasing Officer on April 24, 1940, vice Mr. H. A. A. Smith, deceased.
Col. Morrison C. Stayer, United States Army, was appointed chief
health officer on September 2, 1939, vice Col. Henry C. Pillsbury,
Unit ed States Army, relieved from duty with the Panama Canal.
Lt. Col. Thomas B. Larkin, United States Army, was appoint ed
assistant to the Governor on September 11, 1939, and was appointed
supervising engineer in charge of the special construction division on
September 25, 1939.

IKEPuIT OF (.VKEINOEiR Ii T1IEF PANA.MA CANAL

CHANGES IN ADMINISTRATIVE ORGANIZATION

.S'/ fCt F Ce friitl-h #I i-r *111%/. -1i 11 Ili i- i 2a1I %1 tlltldla lisl*d effec-
ti h* ;r pttev 'ilbr .), 1 I. ill (Allnir* of At Ii ri-i Ll 22 1 tlill 1)-e who
Ifr filts to I lli. r r ii ii1 11'f nf 1i 1lilfl ll'lir .

of top rattinll 11i.1 1 inlinlriviuilct r rii*, ApiI 2n i, 114(), illdl reports to

S eirlmii f ialirf IP< f rn 1 f ri l. -'llt' I1 Il *r M y 1940, I alit part of
1l ci o1l f S11 -% t'%- in*4d111*l *d i.ii]i );t iv with m S vifiV yllin was trans-
firel d 1t iI t i sec itiI t f I1 l Ir C 4 ti.'. iii. .r - a sil se1'tilon of t lin orgari i-
7zationl. Ti' rII'1I'n11iiidr of the section of si rviys WI;s red('siglinted the
n't ion of ilet'orology ali liyil ] iidrrapliy aniiid loaded by a chief liy-
ilrin HjIlIiIr, rfporting to tVin' itle a iiit riri'eiir of milaintienance.
I ', 'ral lauhr fice, .-Efe.-lt ive Sept 'iin-r 1, 1939, a unit, designatedd
.i thin' '11ritrid li lid r 'firt* was -I iii 1 *Ii'd in llt ihe division of personnel
iprvf iioIl lifidl I klil':Zfi l i-reIt to 41--i.-1 ( 4l(ll (d'lYriltilip : tihe local em -
plIN"illlnfit of flriIvt < h1i r ile i \ ill *ii0 :Wi'tivitit's of tle Unlitedi States

PERSONNEL ADMINISTRATION

C'niiil iii 'tl ird li r'-'lS 11111d e ill the di evelopllelit of files of local
applivauts 211141 ietrIr rEI1ordilati lnii wv:- Tffe'tlid ith the Washigtoll
1i 1*i H\\Iili* i-1'r, to 0I- l 1111.yili*iiit p 1ror d 11re 21ad thle develop ilnent of
atipi iili fll r f Vll'vi'u.-V t1 p*i* of minllin liit on tilhe Istlumiu.is. AS of
Jun 30i. P1ilo, thire was ni file a total of 12,641 applications for
'lllIyi 'itii il l'ir Ii 'cli. "]1 of the PIaiaima Cam(dil amid Railroad orgall-
izatilnls, of whirh 11.:1ii7 \1rr from tlie I'nited Stztes, 7SS local civil-
ill-, 1,7'2 frolm1 %ir11Mlle i1f l1ic Ariiy, *Navv, mall1 Marinie Corps, 2111(
:)I fk'iiil C' irrd r I tc Ro1 ii .l Ii ic'ii' l, [ it i1'ltliji Z Pll anama There
wri al-o 314 ajppliviilii'n; for trial ifer from emI)pl)tyees lioldinig per-
imiatiit or Ir iiiporary pi-it ini'.; %% it I the, Panaima Caiil and 167 appli-
catliisoi for ( 'tiill r ply i'niii nt rrill; i il ii tlite civilian employees i f
ill- Arly, Navy 11141 n ariir ('irp.. This maide a ranId total of
13.122 applirali1-i oi fi Ill 11t' elid f1 tin lit ci year, as comIpared
with 1,733 fir tie aime I rimlnd in Ill- pri-evdi11 yealr.

EMPLOYEES

Ti tl forco r.- Illplnd l) NI till Paii'mn1i Canial lld the Panaima Ratil-
rmitl ('. IS 4'ili d I f t1 (' lii .e sW 11i1 fi O1 I 'oil CoI Lveli ce liafive
1he141 d-iL' iaelid "t d fll d ".ivi-rr" vin|lly ees. Tilt terms "gold"
Ielil1i)1 P'c Ill a1 id "siv1'er" ciiilhy s5 Mniiiiaid diiriiig tile construction
1i''ri-id of tIll (, 'aIal fi t ii el 111 i ra li tf paying cor ton laborers and
other in-'kilird orI only 4p.l'o'iykill i workr cm4 loyed in thlie Tropics

REPORT OF GOVERNOR OF THE PANAMA CANAL 63

in silver coin, while skilled craftsmen and those occupying executive,
professional, and similar positions were paid in gold coin, the latter
group being recruited largely from the United States. Although all
employees are now paid in United States currency, the original terms
used to designate the two classes of employees have been retained for
convenience. The terms "gold" and "silver" are applied( also to
quarters, commissary, clubhouse, and other public facilities.
The gold employees-that is, those carried on the gold pay roll-
are, with a few exceptions, citizens of the United States and comprise
those employees who are engaged in the skilled trades and in the exec-
utive, supervisory, professional, subprofessional, clerical, and other
positions where education, t lining, and special qualifications are
required. The force of silver employees is composed almost entirely
of natives of the Tropics, a considerable number of whom are Pana-
manians. The force of silver employees is composed principally of
laborers, helpers, and semiskilled workers who perform work which
does not require the services of specially trained or qualified persons.
Panama Canal employees are divided, therefore, into two general
classes, one of which comprises United States citizens, and the other
principally native tropical labor. These two classes are carried on
separate pay rolls and the conditions of employment applicable to each
differ materially. The division of labor between the two classes of
employees is a matter of long custom in tropical countries and Panama
Canal practice conforms to this general custom.

GOLD EMPLOYEES

The distribution of the gold personnel on June 5, 1940, and June 7,
1939, is shown in the following tabilatinon:

June 5, 1940 June 7, 1939 Increase Decrease

THE PANAMA CANAL
Accounting department .---------------. ---------- 221 177 44 ------------
Dredging division----------..--------------- --------- 235 187 48 ------------
Assistant engineer of maintPnance'
Elicelrirc:l di\ isiin... ......... .. . .... 294 189 105 ----------
Locks division--------------------------------.. 329 288 41 -------..
Municipal division. ----.-------..---..-------- 674 120 554
Offi .e nrin irr . ..... . .. .. . 176 6i2 114 ------------
Sure -M te..ri' .. .. .. 25 21 4 ------------
Executive department:
Eulrui '.i. offices.. ------------------. --------. 220 147 73 ---------
Bureau of Posts---------- --.... -------- --.--- 95 80 15 --------.
Civil iilalirs and customs--..--------.----- .... 27 16 11 -------...-
Clubs and playgrounds. ...----------------- -- 90 72 18 ------------
Collector ---------------------------.. 16 16
Finr protection-. ------------------ ------ ---- 49 48 1 --------- -
i r p -tion ... ........................------------------------- 4 4 ............
';,nii lt-r. . ------------. -....... -..... 16 12 4 -- -- ----
Police and prisons...---...--------------------. 186 169 17 -----------.
Schools ------------------. --.... --........-.- 146 143 3 ----------
orrit alti.ns is in .............. ....... ...... 3 3 ------
Befalhli If pirtinn hcnt ........ .................. .. 386 310 76
Marine division---.-----... --... --....-.. -----.. .------------------ 216 196 20 ------------
Mechanical division..-------.----.------....-- 586 447 139 ------------
Spr ial engineering division---.-----.--------------- 180 42 138 ----------

(I il*.PIRI MUl ,i.\(l-.HNH 1] THif PANAMA CANAL

INiri PAO June 7. 1939 I Increase I'rrr-o.

TUE P'iAlN Clit 4Nil- n iI altU

-I T I [ I, W
i i f -I I I *n 1r r i r 3
i i.~ i i ir r r 1 .2)5 I .
I li.. ri I'. r 3 B I
F i r. l ,| i 3 38 1
1utor i -r r. I >ir *h. I. 45 34 II
\ I to r rr i r ...r .. lot 12 (62
-r.r- r..If. 71 :,:j 2 1
I 1 .11 1 0 ; *1 . . 1 17 3 I

r I. r. r -
1 '..al. the rI I nS I .r i I *'i I-
. . .. . . .. . I I
E cstlt* se.tivn ..... ...... ...... .... .
I tr al. thv .I . . ...... .... ... ".. I''l l"

Froin tlhe f' 'rcsrring table it may be seen thait tliriie alu. )beei a net
iii.-ieac' 'if 1.747 in the number of old IIemplo)ees oI tlie mils of the
IPa IiIiti Caal( i a1(nd the PainiImIIIa Railroad Co. This is all iiimreasl. of
prairtically .1 J)p<-eril iii ali with a fevw miiinor cxc1])pions it Inmy 1-> se'-ii
in 'rI 1111mit of the orgaI izii/tiion. This is tihI dincv't result of flit
*' I'I vi-111lume of 1i'l -*(inictioll al iity 110W Iltilig CalIlTried 4111 locally, on
1atiomt l defense pr)ojc .,. Thus, by far the lilrL!nst iiinri -p is iii lltil
iniliiiirip l1 ri'iIIIi irl, divi-'inii, which now has a ;,oldd force lmore fllum
fil\ 11111 ii- tS ri -;it ;i it hilid a year ago. Other aInge iillrTaii's (;iIn lI
1111.11 i lite liiizI forces, the office I11cgiler aind the special t(*Eili1ia1r-
ll. division, a;id il other units rila.It'd to construction activities, suchl
a- 10e 4111l lir1 l di' i-;i(l thle 111i'0ChIaiiiciil division, li 1 conllt ilirtili *
'jila rtiiI ia-ter, andl the motor tranisporItation divi-iinl. Bcealii- of
0i1,' riIral iK l'i-ra in a;ilivit it li-; likewie been neccsa;ry to
i1(ri: 11I' fiir<'. in iiiiiiir lls 1 othe 1r 1111it ;. not hactillly iialgi'd ill
' 11i-I I iiit Ill W0il. sl ueli as tile aiifcollill 1 tilpaliiiiliit flll li'altilh
d PI|irl lnir.''t ; dll t1 div oiiiiiii 4>;ili-, The i0 c 11 asis in tin execnt.il i
offices i4s I i 'ly in ll ti pI1-1nilliel dii<)it and 1 ?is cu.lls.ld l1)I the
1IIT'*T ;i -1l W' Il i nrj i'1edl to i iiih11 tdI' tlA :i il i ( 1 1i|i i I l yi n11 lll
i *I*r'- ted lV (o11Sft ill uctio at iv\i ii-.

I 'l : I I.\ ; .\.N"I) I 1 -OV ( OF FOI) I. ,I. ii 1) 1IPLOY 1.

'11 fl' ili able -.1, H dditin 1'l and sep r.tiu(lis riuini tle
"It I f'r '- i te fIi'-dl year from *JIIlv 1, 1 'u1:. to June 30, jl l.
p'Viiri' Ft-, dl'. ('bus'siie(1 s Iii:idle in the united Stat or rii hlic
Itlimlii- uind l'|iI;i I ii'ii-.ure cIsi-I-itiard by 'a iI-e:
11 1 1- 1 1 < *:H 1 H l a : 1 1 *< i l

REPORT OF GOVERNOR OF THE PANAMA CANAL 65

Operation A Panama
Gold force and main- E u- Supply Health Railroad Total
tenance Co.

Em rripl. 1 ..r ro-inil I-loyed in the United
.--t-,1,.-. 897 63 134 74 35 1,203
Enipl-.. -1 or reemployed on the Isth-
mus---------- -------- --------- 478 176 164 62 39 71 990
Total additions------------ 1, 375 239 298 136 39 106 2, 193
Resigned ----------------------- 122 51 25 49 7 26 280
Retired:
Age --- --- -------- 24 5 4 1 2 1 37
Disability-------------------- --- 9 5 4 2 2 4 26
Voluntary------------------------ 6 2 1 -------- --------2 11
Died.------------------------------- 10 7 4 2 23
Discharged:
Reduction of force------------------ 3 1 -------- -------- ---------- -------- 4
Expiration of temporary employ-
ment ------------ ------- 12 16 3 11 ---------- --------- 42
Cause---------- ----- ------------- 15 1 9 2 4 31
Other reasons -------- 9 7 1 17
Total separations--------------- 210 95 51 65 11 39 471

NOTE.-The above figures do not include 106 employment made on a part-time basis and 40 terminations
of part-time employees; neither does it include 62. nli.l.vri'rnt.. of citizens of the United States on the .ilv or
roll and 32 terminations of citizens of the United -r.o." ..n 0rh silver roll.
The Panama Canal: Panama Railroad Co.:
Additions ------------------------------- 2, 087 Additions -------------------------------- 106
Separations------------------------------ 432 Separations----------------------------- 39
Net additions.. ---------------------- 1, 655 Net additions -------------------------- 67

Based on an average aggregate gold force of 4,380 for the year, the
471 separations shown above give a turn-over of 10.75 percent from all
causes, as compared with a turn-over rate of 11.74 percent for the fiscal
year 1939, which was based upon an average of 3,456 employees with
406 separations. The turn-over rate when discharges by reason of
expiration of temporary employ ment are excluded is 9.79 percent, for
the fiscal year 1940, as compared with 7.4 percent for the fiscal year
1939.
The Washington office of the Panama Canal tedlered employment,
on reqiiisition above the grade of laborer, to 2,604 persons, as against
642 the previous year. A total of 1,545 accepted tenders and were ap-
pointed, covering 136 classes of positions. This is nearly 6 times as
many as in the previous fiscal year when 266 appointments were made.
This incre.i-e was occaisilled by the increased coilistruiction activities
being ca-rrined out on the Canal Zone by the Panama Canal and the
United States Army and Navy. A total of 5,708 persons, including
new appointees, employees returning from leave of absence, and mem-
bers of their families, I\-ere provided t( 0:liportation from the United
States to the Isthmus. This is an iiicr';a-;i of 1,669 over the previous
year. Of tlh-e to whom transportation was provided diuri lig the past
y(-1 5,016 came from New York, 370 from New Orleans, 11 from other
Atlantic coast ports, 307 from Pacific coast ports, and 4 by way of air-
transport service.

REPORT (IF GOVEtiNclH OF THE PANAMA CANAL

XAt-. ADJiSTMN.NTS

ThIe f liia J ul I : rct provides 1I1i t Celipclsiiitiif fior Panaima

CanIl 1 Iployees lied lt herem ili' .- lIIll in no iiisitiiee exceed by more

tawn 25 percent t li' idliib r v
lar St-rvicf t-) persuims viii[ ail v( 1) the G vrillniniit in continental

United Sbttes." The li usiul p[li<- i, to piay ti Uniited( States citizens

employil i t i
similar work in ( invrniiiiniit miii(l>ii'iit in the UniteoI States, within

the limit of iipproprinitiomi.

SILVER EMPLOYEES

,l( liillleibers mf of vvivf-'e in t1he silver roll by (idepartinoents and

divisions, as show on force repj)rts for Junie 194(0 and June 1939, are

given in ti' following ii bilatioii. These summaries cover the num-

ber of employees 11 lie pacific dfiys on whichli the force reports were

compiled (the first \edine-sd;iy of thlie month), and are believed to be

fairly represent native for iiiot of the divisions. In some divisions the

number of iemployi) ees at work nimay climnnge by several linidred within

a short. timrne, nedcordinig to ViIriitions in the demand for hourly rated

labor. The sumnnary shows only those at work on June 5, 1940, and

June 7, 1139.

Juj e., 1O JuLieI 7. I3'd.f Innerase Decrease

T'lt. r\ 1 it I .M

Acc'-unlinc Iv'.irli tin ti
Drriling 411 iwi-.r
ASsM iLni r itw r if ri ti ir- ri :irp
l tIrir i l 1 -L .n .. I
l..ck- I In%. a nI II
4 Ifiri -|iil L:iFll\ Ir n
!-in' I;* M. rI

Ei' ii' '.*ii irwnsi
Exec" ul, t P ill : F
E r%. po I sts
Si .ir an customs .
cI1 and >ly grour .. .
1.-.ti. .r r'i c urt . .
)*n'ri 11 .t. r .
I'..Iiin ;r l pria n . .
8 eho la, F F .. . .. .
Iltalth elcpartmnn't... ...... .
r. . ... . . .

I-uppl% I'l t- ri i ii n
I P ,.- rr ii r it L ii ri astr. ... r.
I 1 11 n I i n it 1 11 L r ,...... ...
'l irI .1 r .
1P I l . . . . . .
,r r' r .1.
S.t F r Fr. i r.1 . . . .
I':inanus I ii il I'r* ...
.- fr-r ..i. .. .
T tal, w Pananm Canl....
PANAMA BAI1.BOAO CO.
kirrN.r IfI r 1 k*!r . .
jirr. l lil t i. lc r *. rdlii 19 ;. .
( c.ii I -.ir
Iln"! I I

Totlz lorce .

1 Tt
1. 17'.

4-11

.73

MII
54
22
1
702
3
2
47
119
1,010
1,100
147

40$
1B17
60
(.3
2112
95
472
r*. ]mt

518
1,105
1, 8.2
124
1811
3
: 7<''

1w. it

64

2.i'j

1,4'.4
W,

41
20
1
323
2
2
40
119
842
602
102
28

I 'd
381
29
53
49
132
74
I __ 272
." .' 1

560

1, 2413
113

3

1 1 .'iI',

1 . .. .

30'

S13 . . .
2i4
379
0 .. . ...

----- ............

1 ....
*-- --- 79-------------

119 ..

1,637 ..
27 .........

14
1,63 ---------- _
27 -..----------
7 ---.--------
130 .- - -
21 ----
200

I . m .. .

4&

11 : 4S.
4 ..
S .1 I...........
840 45

7, 7 ri 1II

REPORT OF GOVERNOR OF THE PANAMA CANAL

From the above table it may be seen that there has been a net
increase of 7,645, or 69 percent, in the number of silver employees on
the rolls of the Panama Canal and Panama Railroad Co. As e\pliined
under the heading of gold employees on page 63 of this report this
increase is the direct result of the construction activity now being
carried forward. The two principal increases are in the municipal
engineering division, which performs the large construction projects,
except bui]liiIngs, and in the constructing quartermaster's division,
which handles building construction. The decrease noted under the
general manager of the Panama Railroad is due to completion early
in the fiscal year 1940 of the program of reballasting the main line of
the railroad.
SILVER WAGES

Wages of employees on the silver roll bear no direct relationship
to wages of corresponding classes of workers in the United States. As
these employees are for the most part natives of the Tropics, their
wage scales are established at levels based on wages prevailing for
tropical labor in the Caribbean area.

SILVER ELIGIBILITY AND EMPLOYMENT PROGRAM

During the fiscal year 1940 there were 16,789 silver applicants for
employment regularly scheduled for interview and physically exam-
ined, an increase of 750 percent over the previous year. Of these,
1,194 were rejected for various ca uses, while 15,595 were made eligible
for permanent employment. An additional 5,054 applicants were
made eligible for temporary employment, bringing the total to 20,649
applicants whose eligibility was established during the fiscal year.
This is nearly 10 times as great as the previous year's eligibility figure.
The eligibility work of the past year brought the total number of
those interviewed and examined under the procedure to 26,760 at the
close of the year. Of this number, 25,957 were made eligible or found
still eligible, and 803 were disqualified or found ineligible because of
physical disability or other causes. Of those made eligible or found
still eligible, 24,069 were at some time in employment and 2,691
remained unemployed( during the year.
Total employment verified during the year totaled 23,262; place-
ments therefore averaged 1.1 times the eligibilities established. Total
termiinat ions v erified during the sa me period were 9,384, approximately
40 percent of eligibilities established.
A survey of available labor in the interior of Panama was made
recently in conjunction with the labor office of the Republic of Panama
to determine the cl;is, and amount of labor still available on the
Isthmus. The survey indicated that while tlere seemed to be some
labor still available in the interior, there was a general reluctance to

IEPOiKTiT ill. l4l. KNIM Fl THE PAN.M.1A CANAL

hlem1 1h 11o1l' ii 1111 (.1,1111 n ill lilt z Il U ldiT t.'I 11111t Ibe w11 tir l t-d [ ll til l d mr upp I tfll ) Ilirf.-tedf ill Clllia
Zoine v nlli|> vyll) i t( li- be n vmt-n h ?.y11 pl i-raw illy I-lXII a1tcl. EXinIlstion of
lit' loilul IIpp'v of -iiiiki rit nlivt "v hdoi iier- till ied tie e(stub-
i-4IIlIi'lt. ill Ff1 brilir of a ir elliiili.(1 I. irl ill i ilcla By. J Junie
3: 1 -1)n. Iliat lli14 I hiin emnlirFtit d IIII foi ii rd 4I to flie Zone 150

Il l. ['eI \TIONS
1nni i li I 1j l-l M P i ll lisnid V ill I1434. iin ippjlropriation of
$l."i5iii)() wns I i ri\ iilrii liy ( 'lr e's filr flil pirp1-he of repllilrnting.
lufiiilII[li fi| v Ves IWIIi i f 11 111 1 II llld ili lic \S w inve Hrc inlprd at
lei'i-l 3 VeiiP -I*T* ir, %H il i it'ullited Staite- G ( "ill iiiu it or tlhe

ippi o\if i I nl t v '42.4i-l \%|ii. e\p n11i 'nill filrl the r('p tlfl intliol 11 I1II1 Iirllilili-
tntifiii f -1.f fr(irll ir vllt I yIvni iir'Onll)llp lCd by 21 meI'nlers otf their
ftillilli .t a tutl tf 71 pteo- -. To date, a grilild ttuil of $5t4.200
Illo 1 ii'i 1'\p1iildcd1 for ltie r i ti])i rin 1ioi of 722 foriilor epnildO v(ee
Ilvrc(iil)ljlli ld iy! nI)%- I ll'I Of f.nif ilu triillj a i(iTi lidr totili of
1.3mf; i nd1% iIdinls. 'I'li i avpi'ili' ro1(t per person for rpinitriatiioni has
lriviel siI.Ij11 ilid tile ajvefriL;. co4-t per emiploYeev $75.07. It is be-
lirrd tdlint I liI drre:i-c' ill repu;il nation for the eurni-rit Yiea1r is due1
to ti heavy drni;ihd for Ilhlr on the Isthnmus.
I .\-II ICIE,I1F Ili DISA LED E11PLOYI:I.
A-. the resliut of Ili' development to concIlusion of tlie illitil Iairge
illIlli\ Of :ipJplif:iliilln- for l lieIf IlundiI the ;1 rt of C('ioi re'' of July 8,
P,.7, llI c.i- i. rlihif prii-igra;i lJiriiiL the fic-ud year 1940 tapered off
to it IIr-111111*l State Of norimli y. jAppli \\ill, li r.i'i ed I ft Imi H.: v1'. I :il< of 15 per iIoInth. Tlill oriLiinl
-(rii 1i est ;illi-lni 1 d m i' nl'e tl'e Iit ler pi rt of tlhe fiscal year 193-s for
iadal aiii rilie-lj f)r(32tl. 1 p,1i1i r t1 :61iis ll.-j-1i1i Hi \%i io t *tI linii i'e. A
f4ew 1111110,minor i*-t r ivi iwiilItion'- live been) ;idoplvd, lio%\c\er, to
Pi1-, ;.midl IrIrr<'l to tlie int'lnt of tdwe m t in its 1reirtest -41n,; .
Tlhir t.illi- helow Ilsl: ll
*ill f"i lii lt-a, of iot i Ie i i (a I l i tle Pamna1 a 1 ;illrailo i ) ( .
f"-i O lt e j i tg jio t of till- I's action. 'The .111d net .inioi1ii1-4 of
tlie 1;i.%I 11 % ,IllI i lld ir.ited .

\ ; l11 l 1

F 7 -, 1
i. i .r 1 I I | | 1 i

I1 ** * i rI I .
rllitrcrl Int'i- nn iitl) WJ;: I'arnnum~ I. I- ir.

REPORT OF GOVERNOR OF THE PANAMA CANAL 69

Total and average costs

Monthly Monthly
Number average pay roll as
of cases payment of June 30,
per case 1940

Panama Canal rolls -------------------------------------------- 373 $17. 19 $6, 412. 50
Panama Railroad rolls.. ----. .. . ------ ------------ 91 15.70 1,429.50
Total ----------------------------------------------------- 464 16.90 7,842.00

Expenditures on behalf of the Panama Canal cash-relief program
are paid from annual allotments for that purpose, while those of the
Panama Railroad Co. constitute a continuation of the former system
of granting cash-relief to the superannuated employees of that com-
pany and are made from Panama Railroad funds. At the beginning
of the fiscal year 1940 cash relief payments were being made to 233
former employees of the Panniama Railroad Co. Of this number
75 died or were otherwise separated from the roll, leaving a balance
of 158 at the end of the fiscal year. These are not included in the
statistics above which include only those employees granted cash-
relief under the plan now in effect. The expenditure of the Panama
Railroad for the payment of cash considerations to both the super-
annua ted employees and those employees who were awarded cash-
relief under the act of Congress of July 8, 1937, amounts to $39,031
for the fisceafl year.
EXPERIMENT GARDENS

The Canal Zone plant introduction gardens and experimental
station were established in June 1923. The ;cairdens which include
'rr!rihliioi i-., nurseries, and experimental plantings, embrace approxi-
mately 125 Ire-, of land, and are devoted to the prop;ig t ion and
cultivation of a wide variety of useful and ornamental plants from all
parts of the world, primarily for the purpose of determnilning their
adaptability and value undiler local soil and climatic conditions for the
gel)nil prijpi;gatiiin on the Isthminus.
Thec construction of new residential A area, and town sites brought
about by the ini-: 1;i-ed ;i-ti\t i ies on the Canal, as well as the expansion
of the United States Army an1d ULnited States Navy posts, has in-
crri-~'-il the work of the experimental gar.dens. In order to obtain
gir.tiolr efficiency in carrying out the landscape prna I;lli of the Canal,
the landscape unit was reestablished to take over all land-';ipe work
ill connection with the new constrction proW'riii. Aside from
c(1 rIlii! out the work of tihe Cailal, outside advice and ;-i--;1ince was
rendered to the Army and Navy in thle arrli ienVII ent of landscape
plaintiiing for their new expansion.
In coopira (tion with the Bureau of Plant Industry, United States
Department of AL2riculture, a reference collc tion of -Oif rcine

I:.PIft' (11 i ll l E ) K rN') ill i Hl Pi\ .\I IP .CANAL

v l -ill ii'- h' 1it tlr W Apil l I'.:'. 1T i1* ;ili:i*Ip:d p!;[i l 1it l stl'i! is to 4l t r 1 llliiI tile
frll I Ill l I iE I il l ll l \il l ifll i tI I ll i -11 1. 1 G itii i lll -id !I It ill-is foi l
iq*\ rilpil L, i,-. tl Il,. \ l\ i'w, fr .I ll! 1JII / lt *l wIl.k %\ I il c i11-
I I lII~ i 1i'l 1- n .iA I f1I ill,-, Ji.l ill tilt d v% Lt* i)lwl tl

wII: 1i 1111111 Ii\ I f 11< I i . ti t 1II I Elirl il of liWi i ; rIllll lily Io illie
IlE l r 'iii i i 'l :il t I

il i-:1 1% ll 11 1 111i, 1.w *.1-- lI OW V rllc, I to(n e a l ull ry of a111 -:i11n ilv
r lil liti. ill'h e ill',i I illi. iII O fI llt' l' PI I f l iii I'i ll ll ira H-i-l, ouL 1

irulFin Il 1 Nt.c 1ii I ,-\ fIrli I li I 1(1'iit plovt': wI ctIl condt c Sitid y l thle Y. )I.-
il.l withi I IIl tallli ll ].-. lij l't Of t. e Unite ItIIilts GoverI ment.il 1
I/.EL 1;ll li El1 iliulE i lEt- nt hilr l () of cl ubs(1h and 1 ilatgllu n).ll (
11 ci (11l itii L ll Ii indl fi f the Armiy f nul Navy hidi itte Depiirtmen t of
AririVI fl irr. i- t(iiIihi ir-.ri Ilo ti Lir:111*41, i4gh work rrqu cs s is-zin td
f.i i ill- I -cll iIllh work.I .lll' ** in l (J S il

CLUBHOUSES AND PLAYGROUNDS

Dinin g tr co iit; Ill it r t oi f o lef t 1 stdiiJl, Cn2cilt riTic r of tolli bul r
wrifanr activilic-, for Cnail emnployvocs were conducted by the Y. 'M.
C. AL. with h iii- ti inaitol support of the Unitedas Stts Govelloent.
TIr '.n Itivi .is whe n carrivld fol reward into the prnnnt. orastrict-ed
/ .Liiil Wr C |J)I t'r i" in 1df thei 11 f t ili.i-t! Of CjlubS 1ii playgrotlis.
I.: tlliIlltI ]alivily diviErdifed wcti1vitivs. sucli as iliderpartells, pliy1sical
flinr .il unitn~l ri ii r j icinrr-, rrstini raet, sodcarri forintairl candy and
'I.I\' *41lin1-k, *lt., WHrI a-'Nirignod to the buvlfitir Due to the expansion
ill Iwtivitir-1 m in J ia'i111ry 1 :.Ii i ;iftrr ii detainiled study, tihl nctivities of the huarilu
wcrr iibdividid into (two units as follows:
T'I ITh.- fliihlou subdivision whim-lh o|pwrmti- r~(taurafnt-, soda fiintfains,

r -m- w luM i-.: .16T and 'A inlnini |inul1-. and in which the pali -tnil agpr i.s restricted
fto 'rn..t\r r u ii I pu r annl a d t eir families. This subdr ii -lIl f-ll i pporting
: no :ii.[..i r;-ifi -, are rmfuirh d for the activities carried forward.
T liw ).li i l"ii l -1"ilj -k i'-i- l. 1i:, iIIt01]iil w ith npp iprio hfil' l fi nal ,. N id hI
pr-, i\ ,. ffi-.111j. for owitdoor trrpation 1 i.d pri iiinc- and supervises -11iid

l!'ii.1l.1. foott~all,. * i- I...- i r. ir- archer athlct~i n-11(-. p1WI n(t,. rte.

.A 'l l il ti 1;1 Zi min i I *'i, l i r. iv i-' vv -

1 l tica trrs. 11111fi t l ** r lr iir iv ti fr1 1 1, 1i1 ;i t 11 ir llnl; m oilty dPivitIlid.

REPORT OF GOVERNOR OF THE PANAMA CANAL

A conisideiible number of these activities is under the clubhouse sub-
division of the bureau of clubs and playgrounds for the reason that
their centralization under one roof greatly facilitates idtiiniistratioit
and tends toward a lowering of operating costs. Along with the
operation of swimming pools the clubhouses furnish instruction in
swimming and lifesaving to the local community.
There were no important changes in the prices or in the general
clubhouse management policies during the past fiscal year. Restau-
rant revenues increased by 70 percent because of the great influx of
new employees. Sales at the tobacco and merchandise counters
increased by 30 percent and motion-picture revenues increased by 20
percent, all as compared with the preceding fiscal year.
Several of the buildings now used to house the facilities of this
bureau are very old wooden structures that have already outlasted
their economic lives. Some of these originally had been erected in
construction towns of the Canal Zone and toward the end of the con-
struction period were dismantled and reerected on their present sites.
It was recognized at the time that these facilities were in the nature of
a more or less temporary Irrangement, but they were satisfactory and
their replacement was not advocated because of the more urgent needs
of the Canal. Several of these old wooden buiildings a tr now in a badly
deteriorated condition and require heavy maintenance expend itures;
the time is approaching when they will no longer be adequate and when
it will be ni'ccss.;-ry to replace them with permanent strict iires.

SUBDIVISION OF PLAYGROUNDS
When the United States Government embarked upon the Canal
project in 1904, it was necessary to bring many thousands of employers
from the United States and from the West Indies to the Isthmus.
In the absence of proper rereei tional facilities in the Canal Zone, or in
the cities of Panama and Colon under Panamanian jurisdiction, the
Government embarked upon the policy of providing wlholesonii
amiusement and recreational facilities in each of the Canal Zone
villages, similar to those provided in the District of Columbia and by
m1an1 y coI11mmu1nit ies in the States, and likewise corre-ponding with those
provided by foreign corporati lons operating in the Tropic..
Climatic conditions on the Isthmus and the ever-pre'seiit da;ng-er of
contracting im;l;ri, dyseintery, and other tropical diseases, when
recrea tion is sought outside of the -snii tat d aLiras adjacent to the zone
villages, imake the mni iter of providing adequate rccri iti iiirl facilities
to Government pcrsoniel and their families of con iitlderaibly greai tvr
importance than in comiiiiitiiiuits in the States. In the 0lihIncL' of such
facilities many employees undoubtedly would seek div%'er(sion and
entcertaniimnieiint in unhealthy and undesirable ways and pieces.
The appropriation for playground activities covers the salaries of

7'2 l:1.Pi!T (Il
(pi l\ a1 *I it u fle' iiri- tills t ll 1 r*r kiIii r l rf 1't 1 i. *iclici', 1111d( I )l( tlV-
L' rall'ind ti *iiI Hil l)1-. iliil iiliiu pio idr i- fiuid f r1 iII' the i tlla t trlilain.e of

|ii)d :iniiliir 'lr-, fpI It l l il' (i l ilr p ly rl i.11111 I1ain physicall

hIIm'-*If- .ii ii 1 l111lr1 1ii r j 1ii 1.rr for ninl mf1IIf1u ly 'I. without. 1111('r tly
j llu-liiili (I l i riip .II tdiii tle ( l 'i A- ii llI ti l; t'hiv liIlt- ilM\\'lill r-

4t1*i v fil ehIhIr4litd of t;( u'er it .'.mjlovet11 I1(1 f iiti u I- i t 1litii' 'auu'r-
lrI Il i1l ( ln t1 illll 1 Jll ild 1Xt 'l i 'l- l .ll i )ll

rolll4 111111niit, ill \%nI' i'* iSirh w ll Wli1 ( ivi ti(Ill of 'cl tndA, lm \ 1110r of

1l1 ('14 c i11r1D -I(11t 1 1 *lld S Ili Iti I Cmlllnl Zonrc s 1 l; emIlduct kirllcl(a -
'I'li1s hi''l"itict i u f ll~ s O s lllDrl ll lll y)d O 5',2 fald filllldIs lictivi P itr
t vi il ( fi ll- n1 lli,4 1.-(11 offflill(* rlGiil oly r 1i : fur ..tii l Iicl lii t r -
hilill Mid tiiidaiK-v to *'d11 1 m.111i:/.i()Izi' i 'll.; ll till- Boy Scoult", irl Scollts.
Sea Scouts, etc.
Tiev reriti'al tti ri[- liti- ipnirvidld by the playgirouiid subdivisin
are unsei ext i'Aively, Fl ill iv by t) i- ci viliaii e1 plo ,ves anid t1iir
raiilii.ii-. ut dl= bYy tle Utnited Sutitvs dufEcins* force-, sttiiionled ont the
1.tiirtti--. r icj iailly ll facilities Ire liutilized to their p)iuevity d(urling
% i'\it{> of InitIi of the Unitel Statuis Navy. The vost of the-se plhysicial
HiIM r i'aililli faiciliti s is Illofn than rept id in i1 reniisid 'fficieliey
.fiu uii rtii' of the( l'rIIII/. io;ll :-iuld ill the imiuprtved ulir0il welfire ailtd
it *i:it 11 t ho w 1intr C l';i.Iil 011 Zone popultimi. Th i(' is ;iJIll-I,' juitif11ii-
1 uui1 f-r th' t'ol < illillitionll f IrciI illia l Ibl *\fl) idil nii.u-, iluil I-i hIave 6 .1-0i
r1111 Ii ll1 Ill p is .
TIliw tiw plax-lied at C'-li-iolil, wIhich was under croii.-t roII -i tit tli'
ei111 of ill. p'lvio(i- (fiscal yeaur, W>s Co pll t Aed a1111d opentedl for ivsr.
Tlii. pilrvided a new gymiiiiiiu and pl)yivhrd for tihe Cristohidl oldI
[liis r uziui iland \i uii cd extit'l'ivlv throuigiLoilu tihe- past fin'Cll Yeir.
A -ite for a pliyrutuitd in old Critiobal was approved aindl this area
will -oi11i be ii an drvrlo d.

LEGISLATION

The iIoIt iiiipt( hilltiit p)i v (if i)iiiaIienitt 114iI-i al tlO l ] 11111in to tihe
Ihiiiiiim ( 1ililad(1 thIe C1iiiii:I Zonil which wil.s enaited during this
\I.lit i %i \%i- wi act to aimll id tit (C'aial ZomI ('ode. Public, No.
e.'1' Seventy-sixth ('litnrv-', approved June 13, 1040. Section 1
oIf thnit act amended -i-tioni 10 of title 2 of lthe icnui Zone Code,
I -- 1h I ve to injuies lto vi' '-, n ild s fort 1. oc t<-ui(inud iY the operilt ionll
Iof t ir ( 'llIll I
Ti' ii- mitiiiilnl -* Hliil rii iirie the Plii'sidliit to |> vid b r iigi1al 1ion
for thii pjriijiPt iIdjmIm't ii'iIt atIid pililluult lY the 6o ( vun1lor, '11ilj'ct
ori (*'iT inII ilitil lo I'*, I' ualuillauZ fIor injuries to vessels, or to tile cargo,
crew, or wP!ild- L. or vn Wu* wili my tariSe (a) )v reason of tite
pn-ati I if -lcil \ I -olv-< it iihi ii the lom s f th e ('01anall or () biy ri'ason

REPORT OF GOVERNOR OF THE PANAMA CANAL

of the presence of such vessels in the waters of the Canal Zone, other
than the locks, when the Governor shall find that the injury was
proxima tely caused by negligence or fault on the part of any officer or
employee of the Panama Cainall acting within the scope of his employ-
ment. The Governor is forbidden, however, to adjust and pay any
claim for damages occasionedl outside the locks the amount of which
claim exceeds $60,000, and must submit such claims to Congress with
his report and reconmlenidat ions. In the case of claims arising in the
locks, a claiilimant who considers himself aggrieved by the Governor's
determination or award may bring an action on the claim in the Dis-
trict Court for the Canal Zone. With this exception the section for-
bids actions against the United States or the Panama Canal or any
officer or employee of the Panama Canal, for damages for injuries
arising in connection with the opera t ion of the Canal and by reason
of the presence of a vessel in the waters of the Canal Zone. The
substantial purposes effected by this amendment are to cover injuries
to crew members, to provide direct statutory authority for the adjust-
ment and payment of claims for da magis for injuries arising outside
of the locks, and generally to clarify and render definite and certain
the subject matter of the section.
Section 2 of the aforesaid act restates and amends the sections of
the Canal Zone Code relative to the Canal Zone postal service. The
general purposes achieved by the amendments were to provide the
means for clarification and rendering more definite the general ad-
ministrative regulations applying to the service, and to provide more
specific authority in reference to the custody, safeguarding, and in-
vestment of postal money order and postal saving funds. The sections
provide for a system of postal savings deposits in lieu of the former
system of potail money orders. Section 3 of the act renders more
flexible the code section prohibiting the placing of signs on lands or
structures in the Canal Zone by authorizing the Governor to regulate
that subject matter. Section 4 of the act amends the code section
on proceedings on plea of guilty in magistrates' courts so as to make
the hearing of testimony discretionary rather than mandatory.
Section 5 of the act amends the code section relative to the execution
of death sentences so as to shorten the period between time of judg-
ment and (late of execuitioIn.
By an act approved July 2, 1940, the President was authorized and
directed to set aside Barro Colorado Island in Gatun Lake in the Canal
Zone, for the purpose of preserving and conserving the naittural fea-
tures of the area, including existing flora and fauna, in as nearly a
natural condition as possible, thus providing a place where duly
qualified students can make observant ions and scientific investigations
for increase of knowledge, under such cond(litionis and regulations as
may be prescribed by a board of directors of the Canal Zone bio-

1:1.'hiT lII 4.l .liNtIk il T Ili: P.AN.AM1A 'CANAL

lo ir' d ll a il --I. ITl' t I' rl In l r- l ll tt III lllin llird )oilrd if Adi 'cto rs,
pi 'crilwis tl fiii'lr I ll 1r 1-, )il1 d Iltes I t ll( fii Illi w rll r i lli I s tilt 1 handlhi
of fIllidslit1111 i'd i 1m li4rinl 1io tlllerl* pr.i' irs for till eXc ti ve
oliet'i fIo)r tilt- iu ril, 1iiil iii1 ill)i/.es the* IIijnpriii tion 1 of iot. to exceed
$Io(),I)o fr f x- 1 el i n l* .-' l l v i n tVr n il iiuliiiii'ltnil iTi of theI aIt a11( for
tilt lit tii till 1 'It nf I Iniiiti ll'% Ill Olli w r fIw ili lt ..
Biv it leJnird ait 1 ipir' -i\ *1d .Iimr 11, 19) (1, Public. >No,. I0(1-evcllity-
sixtlh ( rlgrf--' it wii% IIII' a 1Iiii- cxc'tdliiig *.i (10( ill- ri.uiiiiituiit for iio 1 x( ri*' 'di1ii 1 year or r oth, to
stMAIo iu% lVy Am11 tt N. t l dipjiarii iIL frn i i port, inidcr tilt- jtirisdictioni
of dw1* iilrd .11 11 1iiritn 11 Ig I ll il Zo or, having stoI Id
aWiIy in il (II l'ir 1 '*r*, to *iF l i"ll iioiiId iit d lie found ()11 li' Vts' l
at or iItf rv the Iarrivil of tIew v'-rlA in any i ichi port. Tilic ILat, flUr 1he,
punis i nel i i whi11 nit I i abl>et ill the olfernsi .
SiLi act of MaiIrch 2"-). 19l10, Public, No. 444 -Seven'ty-sixth
( InLZit .'-;. i gtriill *Atiliite IS 1'. S. Code 97) penalizing unilwfil
'iitrv inti Illilith i\l l rI-i'*I. iiif .s, folt'. or aiSiwin s \\WuS eXtellcded to
u11(11 re*'re ili' ill tilhe C( il ionl.
I'1izI-i- Il1 I' iiltiiiL' to the O aiial Zo1ie, intrIiuhiieil d111in11i tlis fiscal
vy Jir alnlI still ierIldii'r ini Conri-'-. inclsii -s a bill (H.R. 93: 3; S. 3754)
to nn1110111 tli ( 'It1111l Zone Code with re-poet to the trial of joint de-
fe11a 1111i tile rvfillov.1 of fn ilivlvs from jIlltice, I11ul tihe ral d.1ataion of
criiiiirizal procedure in the C0iiii.l Zone, and a bill (H. R. 91103) to
to Jilinerid thle l'nal Zone Code >o a; to permit tihr filing of iiiortgiriles
of pir'*uil vprp I t, raittllri tli.1ii their t iraiseription in Iooks kept for
thll pIlri")Osc., anlt to O:1rllldl tile co4.4 provi-inin I-elhitivel to the takillng
of V-iihiI*'* fir tIr'll)orar'Y useP or Op1e I' t iirl so as to vest jilri.sdict ion of
fr-I 'it.jj.i'.r in the Illoii'ir, n ptes' i-wiipt( raillier than tile distrifCt court.
(Other .!.r ii lrri -Itainl en i-idired 'by the Ciongress duiriiing tlie
yar Wils carefully revi'u 1i and 4t dled for the purposei of det erininiig
i(< 'ffct )on the Callial-R;i it I'ili4l ';; Iiizaltion, :Inll aippr' pr'iate recoin-
1lenlii t iHir were ii;ule from time to time wheln the eirlminlstAalices
1il0irvitrd '1d1 iclihiln.
CAPITAL ALLOTMENTS. FISCAL YEAR 1941
Till i iitaild a1llotenIt apprl'pri.itioll for flthe fiscal yer 1940 of
$2.171,(i ll was l ii-<-id ill d inl ill tih 11 Ill il illr-( t for fiscal v ye r
'l-v To thii, a Jijil p lu liti It 411 t1 H .l* 411 adIded li ir h c yealr a
sui pl)) iiiiniital .i .llpp riilt ion ill tlie iii, 1iit of $.516,1)(lo. Of this
afi'io'Uit. .32.'i.000O wia to be -1il for the ciii nltriiciii of Ciiti\ll R0o d,
will ii WH tbli 1' (ii by tlhe I IIite Si.Ii-, (hv riii'flllill i iitI iL .l l t111
tLrimi- of tl1e ii'l\ ti-il ilh tie Rep 1>ieiv of liiilliim. Thi I'l ro d
Will -i\lc a l an outlet foir tl city11 of Colri1 11thfiiill1i territory flow
unii'II the jill iliction )of thle CaIl Zorie, and in addition to its civil
IIse it ill sner 4' S diI iIi IpIf*l*iit ehuicInIit, ill Cainal d fIlf. '. Tlie

REPORT OF GOVERNOR OF THE PANAMA CANAL

remaining $191,000 of the 1940 supplemental appropriation is for the
expansion of the water supply system. This expansion is necessitated
by the increase of Army and Navy activities on the Canal Zone, as
well as by the new construction and increased activities of the Panama
Canal and Painaima Railroad. These increases are making a demand
far in excess of the capacity of the present, system for supplying water.
The appropriation for 1941 carried $1,496,000 for the improvements
and betterments, and for the replacements of worn out or excessively
deteriorated facilities, as follows:
Expansion of water supply system ----------------_------- $500, 000
Beginning of section "A," Balboa high school and junior college 350, 000
Quarters for American em ploe- -------------------------- 300, 000
Steel sand barge ---------------------------------------------- 100, 000
Relocate Gaillard Highway at Fort Clayton -------------__--__ 90, 000
Cement shed at Cristobal ------- --------------_-----------_-__ 86, 000
Improvements to Corozal Hospital -------------_ __----_---__ 47, 000
Expansion and improvement of Gorgas Hospital facilities -------- 23, 000

Total-_ ----------- -- ---------------------- 1, 496,000
Expansion of water ,mpply system.-This appropriation is required
for the continuation of the expansion of the water supply system begun
in 1940, through the supplemental appropriation of $191,000. As
stated above, this expansion is necessary to relieve the overtaxed
facilities of the plr*lsellt system which are now running at capacity
limits. With the continuance of new construction activity by both
Army and Navy, as well as by the Panama Canal, this expansion is an
immediate necessity.
Bfgiu,;ing section "A," Balboa Vh l school ai1/ jiun ir college.-This
project is an immediate need to accmuiiiinodate the large increase in
school population due to the expansion of military posts on the
Isthmus, as well as to the additional personnel required by the in-
ereased constf auction activities on the Canmul Zone. This will alleviate
the crowded and unsatisfactory conditions now existing in the ele-
mentary grades, where unsuitable tempo ra ry quarters are now in use,
by allowing the high school to use jointly with the junior college the
new building for all classroom work. This will allow the former high
school building to be used for elementary school grades.
Quarters for -.1mi rican employees.- -A considerable portion of the
exi hling dwellings for .Aincrie;ii> employees and their families consists
of frame structures built prior to 1914 in the early days of Ai'mericai
occupation, many of which were transferred from construct in cainps
to their present locations in the permanent town sites. All of these
fraine quarters held over from construction days have brcI'me so
deteriorated that they are not only below reasonable standards of
family shelter, but the expenditure for repairs which are beinii made
from year to year nce'a-;ii'ry to keep them habitable, is Iargilv an
276264-41,--6

ItKI'PRT l1- 4;01VEHN)lH OF THE P.AN.'1IA CANAL

*v1*ilihlil Wili*- T l. l d c11* 1 (111111 rIT '*i 1 l *i'r re ill'F r I'r1pli fd by
1t rv iitilinnllni- b ilding pl if.i ll mv-I a1 pu*iIl nl V *II s.
I'itlv/ *1Tin- Ipj)r rii* aII' f"r thie (**Il 111 14 t1111 of at II-w b ilatfge.
f lir p iill ll\ pil ii"ii (if I r-1 isp fri li: *t' illi, (ii t i'ph i <>t 011V existing
6ri1 11"n II nI l ill 11i1 Niii r h ll i n dr I IIl I i*l II, tn- Ilder bairJvs
tlilivil;lir.-01 *ll ron-lVI nirlid ld inll ic t'iIII I'.K!!I' .
li,: liirt'lr hii e~i-lirii..r; nirl "f ill'e hiii.rliuiv liii^ pzi'-sinl. tliioDgiili in J)Elst
lf Vi l'ri ( 'IlIli.ill )IiIri is Ibv\ hi 11 1. 1 11 1ll< "H thi lfilIl' of ll I1l Ih t p S
V.-I-0 1 'II IItil 1%1 Ill(.I is 11-,% it 111m11 limn ,11dir r ofY till.* )po, WL,
u I us atII lilill hl i u iLv. 'IThi [I I:ii.r.ilii'iit if tis )oS an d iithe
illf l-.I*i lk d Il1 -I f tll uii il fiir A.\ili 1 Hliivill CU'S 1Jill tIil 2 iv( ill. I11111H i t.his
it iiviL l ini /u.uirl ffr iiii iiin ilr.'. u. LI ilit(*'if <'<' Wviti rgiilia \Arilly
liiIIllIlrvrr-f. TIhi* r ri*rh ili-a ll %% 1ill ii* the pio-lt of Fort. ('1i vtoi froil
il li*t- (< '!irll-ilri i tr l iriil'l i' 1' ft po nit oiln thI- existillng lighwiiv alit
tll. f.o t of 111il1rcs H ill.
< 'C n, fit bI,,l fit ( itIul.-T i' hiilihiiL1 is to rnpi)nve tll. exislinr
C(*r ll*Illt. 0hid ii'r 4141d 1ll)(1 4 1014., Wp)lfIltP StKlill iIIlCS S*l It SC[1L )
illd fr r l lis t i 11Is dnliti*- frmi lli i I tii 111v( ti i jifiilld ii2 l iS in aIt pour physical
iIII( liliiiii. It i iIIi i% IlaicdI i iat( i Ito IZid tO ini hd'' the ceiviint stocks
IiP*irlfll to Ihw* kept 1i1 lhind by the1 C(1aal.
Iin fI 'iiii I1 10s #t O :'l Ju yiu tI .- l Is p)ri) ject iS Idt'simiid to
rI li f the II I I:I il fIvto'ry conditions ii ftlie ;isyII 1l ila e iis I ly 1ti
monc ill alum-r p.1il-irts beriir., t Ic Whit e .\A irintis. TIii pro Ijvi will provide plisilit'Ie s1u-
ruuuiiri4 iils wil adIi-uiitle rn'liii. which will be COdullCiVe to better
I i.11 u t :11ii l tre of lli pi t Ini I d. Tin' staff Of lirsvse will i1n es-
-I'iily i Ive to be iIII'i'i i-'d to take care of the sepairatinn of wanrds.
This C.Ill, for the en.strutn(i of id t rliinnal quarterts to adkit c eiv (if
1the i (' I lS'd fill"r (i f IlllPO I..
ptib 'ii iandl *mpow'f'i m nt nf fni jisf;il ffli1' ?/!!j, jeaac H1 IIf /uf(.-
'lii pc iijrt is to riVCU lT'C I alY ell niintsolis. 1 ild the intlalll dilh of 21
IlI--.Illr'I 1 01\i Wiir in onll e sec ti l4n of tIe hospil li a]t l h< 1-t(ofo(e hits
not ll tlihi/.d except Iun1der cfiinmrlCilV'iK il (iilln. Tlii ilnIcease
ill te .\Arm ii N l d C;1i 1nil ZoIll p|)fizi.'rs nll4 j111n11o- the altellration ind
iI .lhillhitioi
I ii imlliti i to tle idinmv* iii ild nim fiJ t lih f rcal 1ealr 1941, 0then
lt r iuIuii *uiIiliu tr a sii pl.)i Illvrital iiippi'li) it)ia iol ill the a1111moint of
!m. 1 I I '(11) foii the micls n it ll nr qf 1jiisirt s fol. A1i1 riv .I11 1Ilt1plo(yI'.S

GENERAL PROGRAM
Iiu il'r earll of Ill pI- l sIllCi v nil CVni the CnIt a11 Ad.lliniu ilt tilh hlas
.ivn CIiuh1-iinrihli d stdily to ,ill phnis-s of ('innil arnet ivities with a view
Iip l'V IIlPiIiL 2iiIl EhI ll.111 fiiWaill It W i ('1illsid (iI ed uil(ing uand

REPORT OF GOVERNOR OF THE PANAMA CANAL

construction programii, with advance planning extending some 10
years in the future. These studies have been (Clrieild out in order
that the more pressing needs of the Canal project in the way of
replacements, bettermenets, and ienlrged facilities will be provided for
under a carefully considered plan.
Previous studies made in this connection were reviewed during the
past year, and a detailed 10-year advance construction program has
been compiled covering improvements and betterments and also
replacements of worn-out, obsolete, or excessively deteriorated facili-
ties, for which funded reserves are insufficient. This program, which
covers all anticipated requirements of this nature exc ept for incirvc sing
the capacity of the Canal, requires an annual appropriation of about
$2,000,000.
The value of adopt ingi and adhering to a definitely planned program
of replaIeIents and bettermniu ts lies in the fact that it not only
facilitates the submission of comprehl enive data regarding future
needs to the Bureau of the Budget, but also appreciable savings in
the purchase of materials, recruiting and employment of personnel
frequently result from coordinating the program for replacements
and betterments with the regular activities of the Canal organization.
ADDITIONAL NEEDS
As stated above, lists have been prepared of needed additions and
replacements over a. period of years and approximate estimates have
been made of the costs. Obtaining funds for this work is one of the
most important problems of the Panama Canal. During the con-
struction of the Canal inexpensive, tcmpoirary, wooden struck iiuri s
were built to house the shops and other parts of the construction plant,
the employees, and many of the public-utility and governmental func-
tions, and many of these continued to be used in the interest of
economy for housing the operating plant and personnel after cotnstruc-
tion was completed. Because of the destructive effects of the ele-
ments and of the insects in this locality, the economical life of such
structures is relatively short. The plan is to replace these with
structures of longer life, and at the same time increase their capacity
where justified, as funds are obin inced. The undertaking is so exten-
sive that many of these old structures are being maintained at exces-
sive cost, and this uneconomical procedure will continue and become
progressively worse unless funds can be made available for replace-
ments of many of these structures duiriing the next few years. The
most economical method of effecting replacements would be to allo-
cate a definite sum to be used for this purpose each year, as this would
permit coordinating the replacement program with the regular
activities of the Canal organization.

I:FP(1'T 11Y .i.uHEi 't (1 TIHl. PAN\1TA C'ANAL,

THIRD LOCKS PROJECT
Til- th116 I. 1 prb. ct, p rvi u r till C rl n -tiil of nIl dilli-
tilli l .(s t i li4.1 I lt'nt1. r11 il f till Ill ilfly Ipri Il''l. to, l ilt lI I soilnt" (is-
iii(*Icr fr mi. tl i 'll* .1l iirl lvr %tilIl 1(li-11 idrols Ii1 111 ( l, riij. a filnOrl s.
1111(l fi I ll ti11 ll W I 1 i \i hll 11 ti ll(11*-, it*IIvillit ll2 l c1 llH1H1 1. t1g ther( I w itll llll
Sii lfinim~ill sin l tii x \U n1 .. fu 1il i l, 11 ('llfi1r riltiils 0m it pro\-
IlvIr* tl k f v*xi ill ili*i i*ii l ~ir'*i**ill i t, ll I 1 tutI 4 1-t Il int to vXi'e(1 $277,00().0 01(I, was
nitlh'ri/rd liI iirt If ('ILnI I-rt (rPuciI No. 91tl, 76thl Conig.) approved
August 11, 1I:;!*. 'I'lii I-.-i-itin m for tlie cost ruction of anilitlional
facilili es in dle ( ;Illiul Zil- w N iu uI tdill for the pilurpose of muore
l1Ie11(( litrlIV rfluVli g f(il 11i I'd f'lli>' ( r lthe Pain mnia CIn11l miill for
liIrll Itr i l< pipi| irity fwor le it lifr iit c d i s of interoceanic slipping.
sil -1tinitially ill ;ir ii ll11 1d Ill tli rI'Jurt Of 11I r* Cl(\'"vr1l r of the PaILtinai Canal dut (d F4riiniitr
24. 19:).!1, and pIhli-lichd as House Dicuiimeniit. No. 210.
Prclimiiinia-r p|)lainiinlg for the third locks was coiitiniiul throilhIioiit
tin yi ir by t111l sp'u)iil eliLrilcerinia <1ivi-ion. The work inrled'd idhli-
ti<'niIl I1lIImppinll: d 11 d'ltil l stuiduies for thle e.;Ir t loat'ioiii of the louk-
a811d JiJ1J1n112hI li (i:1111i}iS. In tlis cii onctiOl, geologicid Studiies were
indlir Il l m eantl s of :;I I*'F.* l) iII-. ti-t pit',. rT rll ; ill soil -w; l lIilliu* a dll
tI',-f in. 11. i1 by 40,742 feet of Ciii' hlroinigs. Cost !uil qiuantity v-'li-
lluiit'i H i'ii iille- for hlcks of vairiols sizes, and at Viaioins lo. itiols.
1111tr'i'll 7 Iti(hitI, ili:It, W\*i*Ir I in c lmii ction with tih power rDq'lire-
Illritll d IInil'' lonstructioll. Mlbo)r0111 dtesigi st U dies Welt' 1111n14ue oll
111ii -4111, I tVli- of lin-k W\i1 J iti1 P lle nli ltiry stlli e Is of hyfltlr liuh
fuli 'I iif'- \\'ur'* (c;riil Out. .A 'ro' IniIl for future hydrauilic studies
W:i i pd f1\(l) uIIId 'Iil nilel studies iCnmllinlellr e on nll1Lifoliths, complete
1 vd lirn li -yscv.-IIs for the l r-k-h. aplproanch channels to the licks. and ont
stirfs 8in 1in' CmimiIl. Tcl;ltiii and (desilgn stuillies were mIlle of nlov-
1H0'I h'nillr'- over new lWek-. at Cti ilii ind over existilig aind nev lhoik.
IIi Iiillln(rr- :ild fir hiihiuy iIII nri-ls 1111(dir the w low-rks at GCittilltu
Jii l l i] ill v-. Prji ) iSiils w \ re revivcdI from hilnl.s of c)i-iii tilil
i-I11uii rri fir tiLriii.erilig' Serv i( e.- in coined etionll with tie (1 ei<1,1 alid
11ii-tril'tiil tif a IllOv bl lii idge" It N N irihllOrs and desigil's Wl pre-
p;r l-. I d furr t e I' ;i-l ; > u.il i \iuid t to thir tii l.l r Illis n vi!hi i11ridhi .z
( 'I ll-l1 i i'lI l .11 sC iedlilets 1111 I lii ites W re ij)I'pill ed t ii iiet.( ittC11 -
PIll C illdii Wit I ri --i-j. t to :ii)pl-riiriuit(ilnis of .l-tril tol t illi -.
I ) d li! lilOfl l *i ill \i i -. W iiilT 1 4illlli 10i t lie eftleet of new 1oe1l

i oil l lieU \ t *i lt raiiiL fFi<-iiu -l< 0n ..1111 r1(|liir llii 11ts Wuiur 111 ll irul
l 111th011 J e- I 11 I *-. filli l I' ui li i -'i Iili' 1 ll!
:II< f :714 4 i1 aysd *I' --. 1v f ljc Jill(] rverlitlilEr aI 1 1 ile *

REPORT OF GOVERNOR OF THE PANAMA CANAL

A special construction division was established in the department
of operation and maintenance on September 20, 1939. Duties of this
organization include sup'-rvsion of con-t ruction of the third set of
locks. Work of the division duringiq- the ycrel- included preparation of
*construct ion schedules and co-t estimates, and a compreil iriiive budget
allocating expenditure of $15,000,000 for the third locks duriniiii the
fiscal year 1941. Nontechnimcal parts of specifications for the excava-
tion of the new Gatun locks were drafted and submitted for discussion.
,Construction camp sites were selected ;ind constn'ction initiated at
Cocoli for gold and silver personnel on the Pacific side, and at Gatun
for silver personnel and at Maiigi-rita for gold per-'onnel on the
Atlantic side. Ploirn., schedules, and cost estiinuites were prepared
for utility and building changtisg made necessary by the new locks, in
order that relocation work thereon could be initiated immediately
upon notice of appropriation of funds. In this colinnection, plans
were practically completed for reloca ti ng the Army reservation
boundary at Fort Davis and for replacemntit of all Army structures
and utilities at Fort Davis affected by construction of the third locks.
Tentative negotiations were conducted with qualified key men for
employment in the construction organization and when funds were
appropriated June 24, 1940, for construction of the third locks, formal
offers of employment were tendered selected men. These new em-
ployees did not arrive until after the end of the fiscal year.
The War Department civil appropriation act of the Seventy-sixth
Congress, Public, No. 653, approved June 24, 1940, contained an
item of $15,000,000 to initiate work authorized by the act of August
11, 1939, and authorized the Governor, with the approval of the
Secretary of War, to make or authorize the imakin: of contracts
prior to July 1, 1941, for or on account of the construction of such
additional facilities to an amount not to exceed $99,000,000.
Construction work began on July 1, 1940. At 7 a. m. on that
-date the dipper dredge Cascadas started excavation at the Pacific
end of the bypass channel leading to the new Miraflores lock site.
PANAMA CANAL TWENTY-FIFTH ANNIVERSARY
The twenty-fifth anniversa ry of the opening of the Patinama Canal
was celebrated on August 15, 1939, in accordance with the joint
resolution of Conigress adopted March 28, 1939.
A feature of the celebration was the CamIal transit of the S. S.
Aincun of the Panama Line, which reIni;irtId its vova.e of 25 years
i'before when, as the first commercial yve--l to transit the Canal, the
A ,nc"i opened the waterway to conlurll rial itrafic.
Ceremonies in honor of the occiiioin were held in all the Canal
zone communulities and were attended by thousands of residents of
the Canal Zone and the Republic of Panama.

SE('TION IV

GOVERNMENT

TII I'l\ ii d*'>I riIiliirtIl oF t ilti Cnal 11n11 i.s c 1iil( as p)1'srbed
ill till Piliiiiiiii (Ciliil .At of August 2.4, 1912. and -ibrch1ejqueit acts
2rill "I' lutIl\ 'iv tiT-' Illiad.i ;IIII Ii il r to the (iI ll Zioi WIl ilt'l-e F
Il~ri-tif ~lit, ^>II\I rI IIIIIiiItill ftiiiciiiri-' li;ivc Ixt' h i e ) iL igIcdel to d1(jl~rp t-
I irt i thi ,' i. ilill/.iitill cstllhuil wl'd rill. til- the p is ilt iiiiild ifl inilte-
12i'llli till t ( 1 1'i1111. d Illl 1ll .r .i1ii11.il ill) ill r ll If i '(ia d c( clicir i )
iffl II'll'td fr ili 11 -IK II <- >ils V)itition of 1iinctm'1 s.
DIata o t1le 1 ilIS i, i i i*'n l iiii' of v\ irio)ii ft itilrcs of tIn ill-('1
41p)rrit il lIll :i l rin II'1rilie1ii t arel' -'l1 mi il tinlt' nfill ici'd aid Mt ali tical
'lhitiiiiilt 111 -ierlillhi V of this fjir .

AREA OF THE CANAL ZONE

TIl'- tiil aIurra of the ('Canal Z r i,'1 with areas s.orrigited for v-1ioIIs
pin i.-. is shiowxn lirwit i. :;-, of June 30, 19-140:

Land area of the Canal Zone. -------..---.---...----.------------_ 362 01
H ater area of the Canal Zone (inclusive of Maddi-n Lake to +2'-;l-fquot
contou -r)- --... ---...... _......... -...... ...- 11-10 94

Tutal area of thell C nal Zi -.....

--------------- 5 52. .

Land ar .1- 1,i!i:r3\ and naval re-:ervations (inclusive of revocable-
lic'nse area:
M1bI ii o res r aintions .. 1 :.__ __. . _.
Nava l rev'r \ a t i lnls -- -. --_- -- ._____ -_-_ -.
Land .:-. ('anal Zone mtow sites and areas in active use (ex cluivev of
A-r -and N:' post- - __. .... ...- .
Iarro C -olo-rado I-land-- - ..-,..- .,.- --..- - -
I orf-t ircserve .. .. - -. .- -_-
-' -... .. - - - - - - - - - -- - -- -- - - -
'attir 11.1-i *r . . ir. .-

I T land. . . . . . . . . . . . . .

T"tal laIl anra a - -aov --

ref. .S.
7. 36

12. 46
5. 71
5. 47
16. 50

1i
1 7. 45

3I;2 ll

POPULATION

\ f oin1ji t rciil-- of Itn' ('u ial Zin w i L ll aI *f Ap. rjil. 1, 19-l11,

ii 1.'It 1 l tim ~-i\!r(InltII d cn i-f il rii-i, or t11 l e l lbe )i( tilt. Siir in

1 r~ I ~. '~ X l h- 1i '. i th j Hi iton of P tilla I'oint \i:l:ry e srvat ion.

REPORT OF GOVERNOR OF THE PANAMA CANAL

Census in Washington. The total population was 51,827, a gain of
12,358, or 31.3 percent, for the 10-year period 1930-40. Of the above
total, 31,502 were in the district of Balboa and 20,325 were in the
district of Cristobal.
PUBLIC HEALTH
General health conditions in the Canal Zone and the two terminal
cities of Panama and Colon in the Republic of Panama continued
satisfactory throughout the year. There were no epidemics of com-
municable disease.
Due to the increase in personnel of the Panama Canal, United
States Army and Navy, and contractors with the Government, the
Canal Zone dispensaries and hospitals have been taxed to capacity.
All of the wards at Gorgas Hospital have been opened, and an annex
to the hospital is now being constructed in the vicinity of Ancon
laundry. An addition to Balboa dispensary was built, and other
dispensaries were remodel d1 and additional physicians were employed
to take care of the increasing number of patients.

VITAL STATISTICS
The morbidity and mortality rates from disease and injuries, and
other vital statistics rla tiing to the populations of the Canal Zone and
the cities of Panama and Colon, are set forth in detail in the caZlendar
year report of the health department, which is published annually in
booklet form. For this reason, most of the tables are omitted from
this report, and the data pertaining to vital statistics are a limited
resume of death rats, birth rates, and infant-mortality rates.
Gtn nl death rate.-For the Canal Zone in the cialrndar year 1939
the dea thI rate from all classes was slightly higher than for the preceding
year, but has shown little change since 1934, when it dropped below
7 per 1,000 for the first time. The death rate is artificially low
h1e u;se employees geiir.ially leave the Isthmus after retirciin-nt, and
blco(alse the population includes a large number of relatively young
soldiers. For Panama City the rate has altereil very little, avera.p-gin
13.01 for the lp;st 5 years. Colon, which lhas consistently run a slightly
higher death rate in the past years, showed a decisive drop in 1939 from
the previous years, the rl; I e dropping to 11.57 for 1939. This is the low-
est death rate per 1,000 on rtlordi for the city of Col(( The death rate
in Colon for the past 5 ; i arveriagi'd 13.93 per 1,000. Below are
shown death roles by yri-irly purilds for the past 5 yv;irs:
Death rates petr 1,000 population-all causes

Calendar Year 19:39 1938 1937 1936 1935
Canal Zone......... ....... -..-...-.. ............. 6.32 5.79 6.241 5.62 5.89
Panama n.................................---------------. 11.93 12.36 13.72 14.44 12.61
Colon...............-----------................ 11.57 16.03 14.53 14.60 12.90

.SL: i -. Pi fR (0) 1 .\ I \NH ; N 11, ) T HI I N\\ \ I \ ( -\\.\L

fi ft/ 1f I Ii l 11( .iisl /.l i llir JuI Ii riate p '1r' 1, 11M pjOpilrltit ui
I- lil'l tl l 1 Il l i'Jl"nl u11 1 i"uI I l ft air'.di' 'lln'll t' Iiof rlllt i d '(l 111(11
inll i .\rin\ll A m I In l""i iilnir 1i )|ll 1 I it I n illilrl n IIt 16 I p oport ion of

Ill i 1\ *rr ill (r ll i II !- Ll o. l l. 'ls olr ly i i ll I i < r lllilo) rr-; \\ illl (11(>I 1'

qIl111111\ Isi 'll* in* O w I ow, ar"" i. H1 IWy 1' id... % t Iallolr
Slli 1 i r t hi; Iit % l m w. in iwr filii;l. i il rid Il H -i r f11 : 111 : 111V Il1 to
4 r1it. i 1li (r :11i Illi 1 n nl foilo. niL t in, u -lit\-. li birth rules
in liii ( Kiiind! Z;.s, ir a nd in i j iiii t iA if Pvizirn itiil ( 'ohli for
Illr l):i 5 'mierinli r pnr-c

Live 1 !i rate per I'll ./'j /

I( *lriil r Year

1.49 1938 1137 I 138i 1935

I .P* ; / .I
S o'! .. 7 '..1 7 i 1" '. I 7
.1 *i 1' 1' Ilr r. In
r'..:I !.Ir"'. .n ,'. 111 *i 11 A 1I7 'I 1 1 .i I
I n t111i 11it i .. . 'i 74 ."A. 1r -i) P.9
1 '* .. ." ii. i. .. .11 *M r.:3

lbirlu rub s 1i1an ny, rcil ri, i uhii ,r I year of vigr .-Th' following table
*lo\ lhir infant iImortnallity rute, pir 1,000 live births for thli past 5

lWth' .f i irns under I 'aiIr "f aig per 1,IK lI live births

1 allriiar Yeanr

1939 1938 1937 1936 1935
I I2

i1 %1 1 37-
1 '.i '1l .

S7' 'i; 'P
77 77 7

.:1'

.6

PrInr;jwil cai.u'x ,f tdiat le.-The eighLt priinriipil cilll-e s of denth in
*}ITh of t1e- tlhrt grialps of 1tlI pilh1l "I11 i) \('r il foII(\ Hv:

Nu.nime r *.rd/* d and annual rate per ,1If if J pwi'u)liiiii, t/ inldr .Par 1939

a in l .ri | Painana I I all l.ian
C' :R of Jr pe r

^,,^ ";';-M~~~nI>... .-.;*^me^";

1'' ...' r'I

I a if' eialr~ ,tb

I' i

~1
4. .11

lill I

M1 \.LAM k

wI"* Ii:l.*iril ii lt )IInoi' i Ipl l-lir i Pr I. vonanama Clanal and
llJ* h lIIiiiin;i lailriiil ( 'o. olia ta -lilit inttt'le i'vt'r tihe record

rin Il /rinP

I1 .. Ti1

. .. ........ .

REPORT OF GOVERNOR OF THE PANAMA CANAL 83

low of 10.4 per thousand set in 1938, with a rate of 14.0 per thousand
for the calendar year 1939. While the cycles of rise and fall in the
malarial rate do not appear to follow each other within fixed and
predictable spans of years, it does seem that there are factors, other
than those instituted by man, the nature and extent of which we do
not know, that mark(edly influence the rates from year to year, or
over longer periods. No employee has died of malaria within the
past 7 years, and but 6 employees have died of malaria in the past
19 years.
The rates for miialhrii, among employees only, for the past 10 years
are shown below:

Calendar year Rate Calendar year Rate

1930-----------------------------------. 26 1935 ----------------------------------- 15
1931------------- ----------------- 19 1936-------------- --------------------- 12
1932-.....------------- ------ --------------- 14 1937------------------------------------- 12
1933---------------------------------.. 27 1938------------------------------------- 10
1934------------ ------------------- 16 1939 ----------------------------------- 14

HOSPITALS

The number of patient-days in Panama Canal hospitals for the
past 3 fiscal years has been as follows:

1940 1939 1938

Gorgas Hospital -- ------------------------ 211,113 162,172 170,811
Corozal Hospital:
Insane --- - -------------------- -- -..----. 78,139 72,169 67,388
Cripples and chronic medical and surgical cases--------------- 35,581 38,059 41,937
Colon Hospital---- ------------ ---- ------ 33,543 30,508 30,784
Palo Seco leper colony ------------- --...---- --------- 45,477 43,124 39,723
Total------------------------ --------------------- -.. -------..... 403,853 346,032 350,643

QUARANTINE AND IMMIGRATION

Inspection was made of 6,292 vessels and 729 airplanes, as coinm-
pured with 6,727 vessels and 761 airplanes during the preceding year;
149 vessels availed themselves of the "spe-cial de4aind" night boardiiin
service, as compared with 65 last year.
The decrease in shipping, shown by these figures, is thoroughly
discus.swd in section I of this report. The general distuirhince in
world conditions had led to the belief that there might be an increase
in the number of casIes of illness brought in by transportation agencies.
However, no variation in this respect was noted from previous years
and no case of quarantinible disease was encountered.
Yellow fever continued to be endemic in parts of Afrie and South
America, where it was reported mainly as the jungle type. Due to
its proximity in South America, this disease remained a niinace, and

ItEPI'ORT (I i.' JINiCNilt ill THE PANAM.1A CANAL

Il' rll l il I'l lr' lll illlI'> llll (Iii I if all Ii lllr ing 1hY a1 t ril' taflt % IlS
pII:II'I l 1 )-l ll IIIIII 11 t 1111'4 I A frwH I l l \ tll villptoillS of
\.,'l11\ ftr e -\*I \Hi 1 1 i ilii l ( I II ()rilli.- 21111n \\I 'I' i i t iiuII liii tel y jsO-
2li1ril. 1 1i( lli'i 11111ii.-.- jpriI(ved to he 41ll*I 1t111t1a v 11W fever. ilnugLi
** Tll [ il. 11 r 1 1111-- w- l1iI t II wi t 1! .i] 1h ll 1 ha IIt Wim f Ill 1
i\iit iini'i' I l hr I ille r'imiituI fi'nii V Ir'fillj- pait.il- of ti w rld, 211(1. is wis

\ l li ll-II-% .I .11 i lIOn ( \\ 1 lli N li'lllll fl 1111t S ( f Ill illrrIr'11 l lT
Hf 111i*iai.*ulzili* r'1' i'i to I II* ( Iinl: F uni Ilf i lil of s1Iip'; ;IIlII 4t1Ilr(-)4

i(l in s e di 't 111:1111Yt f\*l 11111t. rlil I II Ii4i t i l 1 1 1 Hi l l]T,

(of .l ii ,. Il i \ 1i 1 I:u l ( ll,*( at p -ii t-1 infected wit t i ll disicaii visit

tt ( iiil ili in' :ind I .l i ( t -ItIri I1i 1 ipilrt in fl i io(l \Ir il)orthin
r iiit(i -s of safety No 11 iiriuii d oi ;tiivil l y')1" s l I'ill lil. ('I u iil1.-

I i l iii-. rfvirti twa sli i? ji pe a llc t in ll ~ j i* S TIIi 1Iifllp \ iM ain 111n u II 1- tili form aid of iniil tylp- exi( ('d in
IIIix p.i tr- nif the world. "I'li prr-. iir' of the d1 ii-'r il- III -21r1- y
-41 ini1riie, of S"iouth AiIllri'i c( il|.c *l'(l il l ni 'lt Watmfile plll lm S 1in i)*r-
eali 'il to |iv'IIl its intiumll li etion into the Caiail Zone.
Tillill I:I i'ill activiti'-. inll ai(ddiliii to rugiilir and routine procI'-
dli1 I-, W ri liiiiiid to be actively (eOillrIled withi the probl1in of r*fit-
'.':*- frimiii I'Ilir im. Arti. OiY at the quarantine station was four timi-.
its -riat as in eilid r of the 2 j|n)r 'diii- yvar-,. the niiInl 'r of dttrii-
Ii'l d4 1 f1 fillr iscal year 1010 lOlviiiL 35,670 as euinni)red to arouInd

Fiscal Fiscal Fiscal
.a.r i mr var
1i40I I 7 i'r 193.

l. ,' 1.. r. I | 1 .1l 1 I '.. ., 7 _27 i,. |- ,
S r '. .1 pr 1.. rit lio0 i 42 1 22

I ' I l r i wti' 17 1. v'7ir.. 1. '1,".

.\ fji:fl"PIr lfill ]I l | l V 1. .7t,
I' 1l.* L 7 P1 i. 1

i i i y *r . . . .. .. . .. .. 1 .7 1 .i t I '' .
*i r. i l. 7 'i t 7. 77
Sr 'i ii U 1 1)
** s. r l. .i. 1 1 .1 1 1 1 .7 1
r -It 32In
. l : . .. ....l . .. .. ..... .7
V r b lc n ~ -l r **. .''[. . .. ... .. .. 14 0 : 05
< 'rr< w il~r t' i l on 1 i-Y ih |itr n0r. . .'.. ....

REPORT OF GOVERNOR OF THE PANAIMA CANAL

MUNICIPAL ENGINEERING

Muiiicipal work carried on during the year included the con-
struction and maintenance of roads, streets, and sidewalks, and the
maintenance and operation of water and sewer vsktenll, and mis-
cellaneous construction jobs of various kinds.

TI-LTI'1NG LABORATORY

A well-equipped laboratory was maintained for the making of
chemical and bacteriological analyses of water, chemical analyses of
diffl-lrri'nt materials, concrll te tests, tests for selection of suitable aggre-
gates for concrete, tests to determine the suitability of different
materials and supplies for Canal uses, tests to determine the presence
or absence of deleterious gases in the holds of ships and oil tanks, soil
and permeability tests, etc.
During the year the testing laboratory carried on a variety of work,
making a total of 5,849 tests in connection with 2,989 varied samples.
This included 1,779 tests on water and 916 tests on concrete for various
purposes. Other tests were made on building m at trials, clay and soil,
gas and oils, and various metals, etc., while inspections were made of
swimming Hg pools, ships, tanks, etc.

WATER SYSTEM

Consumption of water for municipal uses daiiibimr the past 3 fiscal
years has been as follows:

Canal Zone
City of Pan
City of Col
Sales to ves

1940 1939

Gallons Gallons
--------------------------------------------- 3,468, 961, 223 3, 179, 1(,. 500
ama ---------------------- -------------- 1,899,779, 000 1, 761, 111., 000
on -------------------------------------- 892,972,000 811,639,0001
sels .--------------.--- ------ --- ----- ---- 175,681,627 177, 628, 840

Total.

-.---- 6,437,393,850

5,933,433, 340

1938

Gallons
3, 159,332,000
1, 568, 202, 000
807, 194,000
184, 781,000

6,079,509,000

The following sl;i(-'iiiviit shows the quantity of water pumped at
ea;cli of the puiiipiing stations during the year, the a\Ilr-;ig per month,
and the cost of pumping per thousand gallons:

Total ill.ii-r
I'liniir- station pumped
during year

boa (intake) -------- .------------- .----------------- 4, 144, 489, 000
itr (relay). ---------------- ----- ---- -- --- ----- I ; :1. 713, 000
)a (relay)..----------- --- .....- .. -.. --.------- ---: 2, 983, 890, 000
so (relay) --~. .----.---------- .. ... -- ...-------- 1111i. 879, 000
flores Lake (intake).---. ..- ..-- ..--- .----..-. _.- -- 4,908,000 -
nt Hope (intake)..------------------- ------ --------- 1, 942, 281, 000
(' Ii 1(intake) ...----------------------- -- 438, 528, 000
i Lirio (intake) ---------. ---------------------------- 477, 000
es (intake) -..--.--------------- -------------- ----- -- 5,491,850
Total.-----...--------------------------------------- ... 10,361.656,850

A. Ir Average cost
paper 1,000
gallons gallons for
Iper mnionth pumping

345, 374,000 $0.0081
60', '". 000 .0191
248, 58, 000 0062
9, 157. 000 0432
..--- .0231
I..'. 523, 400 .0199
36, *11. 000 .0656
'(, 750 .5754
457,700 .2596
**.:(. 788,850 ----------

Garnm
Balb(
Parai
Mira:
Mou
rIIjol
Frijol

I /

ItEPT'I 01' (.UVERNi'I (OIF' THE PANA.M/. CANAL

W t I' Ilnl stliil-' t* l ll litn I t rl( Pa alfi nr, il'nllr' s, n11111 BnlboI l fire
Irl Stltilli ll. ( Illnti till \%IE l* iT w liaih wits repiiIlped from the
it a 111 l'( Ia1se*, II'. t., 174. g..' ^ llmi- of I-fB Waiter, atll a l\V ragie of
Insrr t lii 17?.So),(In I)u10 all (I1v 1da \ r*I'1 pimlIp d ti t11 Illllnicipal
waIter -v-nili diri'i ti p.I-t VIIr. All p11p1 IrI electrically drivenI,
c\I'fi(t 1tl4'1 lit IlI'i'jll- ti.- \111 il1 Lilii lli l irfe d I ifllemi -
TIliw Il"11l1 IIlllit*IIllil* \\i r \.'I |n1lIfiirIiiE' l i l 1i pipe liIe' ,
r1 *1'r\ ir-.l filt rii(iiill 111:Iiilt, ii l IlllIiill) a11 i t'ils dluring t ilt c lar. In
tidlililiu'ri i ri"'iiluir ijjaijitiriiinine \ iiir \\ii-< |)crf1i --dl ail a ini1flIr of

IIII iii iul" lii tIr. ri'"iihr P i:IIitelii li0 work J)arf()[iirmld on the sewer
y-tinIl. the f(lli, iill. -pr(i:il work \II- ill'coili shie(l: ('onsriiltion of
frl' -r\\f it- iit (i. I''il-ite oif Pili':1'1 o110W oc ipiled as an Ariy
Sfiiipn fo, r 1iiii (': CIT( of -t\\*'rirr' disponl1 at Pailliso as well as puIrt
of itll (dlijiu.n:il frO'ii the il\% i of 1Petiro Migucl; the separation of
stiiriili 1iil .-IlilI' 8t it*- a td eiiil of ( iIIIl Street, Cristibail; extension
Of Inulilr *0.1c''. servinLr C(ii' i and New Cristobhl, by extending the
u1i--jin-iil pii .i>|> ely 1.000 feet into 4deep water; inshtillation of
itlil lin il stor im ll sewer. Roosevelt Avniltile, Bail)b to remCtill y fnoo1-
ill1'": iiill Stor ill r iliili'f'e Oat utit H op'..

H0 \ I)-. I 11 1.. \\D M> ,IW.xI.KS

I d i a d itio to iii:i iitr111in 'e work perfrnied on ri(ds, streets, ilnd
'i .-W: ill. I. i lbl e Cani ll Zome, In 1ll peilei prlojCFI were carried out
4II'irinu1 tl N- y.,ir. Thir- iniiliiled: C'< ii)pl]elion of reconstruction of
the Carlenias River Liiu:..; M iSinI (il rt^li et 1111i consllltriieIi pik ing
.i l -I' P idiN M i:l1; removal of C lore flrtzl B.iriniuuy Street, i o11).li oi.
p epyiIllf \ m i' r' \i<*| iii r_; cONstil'llctio of Ilvw oald front Calitollit
('r.--iri]. in |'.i ;amA to connect with Tiv ali Riiid andl Gailla'rd IHgli-
1wa1 II:r n NI'I Litel Th i-( I (lie" -;t11riirtiill of "'>f the ridlT1n stopping
]lIr 'r- I "l l(! 1 z' nill,] 'o'i1iI inVl'' o flieii; (*'n i t ruic, tin i of fe\W
i".. Ir.1iii frm 1r i rr. ni s .; Hill tCo Mirnall'ws Lake to Itoke care of
tr:ilr I' -ii'.1 ew r l s ps; I co Istriulctill of 4' wi lks illn A eon ll il(

l 1i-i.r( wid'Ii I'l orvlt ilAvetime from iiiecliicild division m1111 ii
,.'!to 14 i:i: I yi .'' iII -.* r'pI1;in'iiiil't<. ailld ricondt riueiimn of

T N N I I 1 1) VI I 1 1 .\

I '1r to ihe iiri Itw '' ill C; 1:i1d Zonile I mil titiim. Sevetit alareas Were
d-l\ 1 N> p liy 111111the 1nicip'il (. Ofinll nrin-i (divisioI i prempiration for
erictirn nf li''is-s. Arean were prnded, roads and walks conistrucited

REPORT OF GOVERNOR OF THE PANAMA CANAL

and water and sewer lines installed. The following principal areas
and sites were developed: Diablo Heights, location of new construc-
tion town and headquarters for new construction division; Ancon
areas formerly used by the municipal division and motor transporta-
tion division; Williamson Place, new residential area in Balboa for
housing of new employees; development of Pedro Miguel area for
housing new construction personnel; and the prepare itory work on
the Margarita and Cocoli gold townsites for proposed third locks
construction.
CITIES OF COLON AND PANAMA

Regular maintenance work was performed on the water and se%\\er
systems and the streets during the year. There were no major im-
provemients or special projects carried out for the city of Panama.
In Colon, the disastrous fire of April 13, 1940, which destroyed a
large part of the city, constituted the main project. Aft tr the fire
the municipal division of the Panama Canal cleared over 13,500
cubic yards of debris from the streets and sidewalks. The Panama
Canal took over the task of demolishing and removing the remaining
46 partially burned concrete buildings. Approximately 320 feet of
sanitary sewer lines were constructed for emergency public sanita-
tion; the extension of Front Street and the cleaning of storm sewers
in Colon were other special projects carried out during the year.

MISCELLA NEOUS PROJECTS

Sosa Hill quarry and rock crushing plant.-The new rock crusher
purchased in the previous fiscal year, and made necessary by the in-
creased demand for rock in new construction work, was installed and
started operation on June 15, 1940. Though the output was slightly
decrease(l due to the revaimping of the old plant and installation of
new nmaclinery, during the past fiscal year 66,451 cubic yards of rock
were crushed and sold to various departments and divisions of the
Panama Canal and the Pannnma Railrozad Co., the Army and Navy,
and other outside interests.
Cocoli rock crushing plant.-A small auxiliary rock crushing plant
was erected in an old abandoned quarry on the west side of the
Canal, the output of this quarry being used for construction of roads
in the new town site of Cocoli.
Colon corridor.-The construction of a road running from Colon to
the Canal Zone boundary, on a strip of land ceded by the United
States Government to the Republic of Pannma, was begun with
necessary fills, culverts, and clearing. Work is now suspended wait-
ing the coming dry season for completing the laying of concrete slab.
Playground site.-The area between the Balboa Heights railroad
station, Gaillard Highway, and the Panama Railroad roundhouse was

SS i%' PirT i ti,.nVEHil il THIE PANAMA CANAL

tilll I lliIi- ihll. I j1I
(1 stld1111. 111111]1. Illte ~i' < l 1 II II 11 ItVl ;VI I li ild I I q ill. 111 11' (Iv
L'r14l li I il I7 i ll 11 r4 1Ic lr l lilII S lt( \ till- II (IlN J utll )l1l
( 'n lliL I ll il i I lll 'teH M h *ill' l'< ll* l l I'll( t I l .

PUBLIC ORDER

I)lllingr d 1 Ii 111| t li;. ;l lirl' 1,977 jHI("'DIN \\r'I '1i jfl l i1111did l r 1lsr t
1b tll. (':mlilI Z i'I., MlI illI*1ii-eIr (If 918 HIirrsi.. or '0) )-rvcilt,
il- (*l1111ilii>' i It 1 1e( () \ iou s \y6i r, tilll'l .i!) : I t i ts lild beel1n r11111(1.
Slti il- ir' n i Irlii c ir tl el t iwith ) ir\I i i '.ni, lifre ''ll1r cld in the fri owHiii. tarli:

II L I. I
h II l i. . i
Total... ... ._.-_ .-. -_. --------------- -. .

Arrsts mnadl with warrants i .....- - ---.. .. .. ... . .
Ar'sts imade without warrants ......-- --.-------. --.. -.-----.-..-- .
Ta.*n I.. I ... . .. .. . . . . .. .

lI( clients of Ianrmi il ne. . .. . .. . -.. . . . .
I ri j . . .
Rt'sdt'n of I'at. .. .i i i.a... -.- .-

I jI ld ------------------

1940

I'r rrnns
1. 771.

3. 977
*ill
3, 676
3. v.77

2. 116
. 503.
3 .1^7

1939

I'errne
2. tWi
171
4. 0!;"

213

1. 11'*1.

1.841
302

Th re wcrl' -4..-l' M liirlc- filed :iiiit I'sloIS arrslt 41 Ili d Iri tl le
t Irc.l vr ir, of \% l I ,'2 1 I were G1.(Ifisd ea1 o ;iA d 108 w1'rT ft lo o IIs.

tie ll 2 ir lcirlil: 2..5 1) I I*it of tle t( tidl offten.rp,( rlia( ril. Followinlg
\ I*I- t1e pl 1I'i ip1 causes of Iarrests:

('BUll of aest

Vtulatinn of 'rhlcle Ir.illi't reguli-
t > . . . . . . .
isolation of Ilnni eration rnculii-
inns-ri:
I...r r l . t. ... ..... .
l.ill r r . .

I'2lli

2211
ISA
IW

I*.' I .I .f l TrI
I'ri ll l in r l i . .i . .
I '7.7. 1- '1 ii \ fr iii j-i1i* . .

1Ji \''i r.inl \ I ....... ....
321 .1 .i r .. . I .. i.....ir .
13I A-
12$ I .i .. . .

1140 I'.i'i

11.2 124
1i11 114
14i 117

604 43i
4.. 1 .1. 41

T inll, 10-1-' lIIII" iii Stl ill uIId d .ilio idll 1 fIIo 8 fiLimnll o ri }lild tIrri-
t14r1e-l s ali!d (,l oF 147 dilter flt l iili iiii t pr 'fc- in Nine ('il.'s

* ~i n~si i lln \\W he \\-,I tilt, c11 1eIi ti li f eh, foul.
I- *\ *! il l l l II l Vi1 1 II\i' i I I 1 11 1 ti 1: *( IIIII i (Ilinill. g thile veanr. Of 1 tII

H fere Iiui--'.1,. a vridil *of ''huot guiltYv Wats retitrtl ii in111 nli. i11 e11-
1ie4ti'r l eirlr in'llI'.' a se it 'r of i illltil in Bid1onlll i lit [i de in ;inoll ir 1 1 ',
m WIr i l ne we '-wis (ill |i.' iid ill i th e (' siol )ln uurt ill the
S il 4 tlhi year. (iil llIIII-' of "V IIol lr t vIr jln:!i I 1. 1 iiiL 'h '1i' r-ni iltdII
ill I.in\m i nrIti ll iilld c*IIlrIIIlf to I \ l al 111' i 1ird iiit :ll lird Ci'; i i! OIK

REPORT OF GOVERNOR OF THE PANAMA CANAL

Penitentiary. One defendant, arrested on a chulirge of "murder" and
on two charges of "assault with intent to commit murder," was trains-
ferred to tile Corozal Hospital for mental observation and was later
adjudged insane in the Balboa District Court.
During the year the coroner investigated five cases of "suiicide" as.
compared with nine in the prece.dinig year. Of these suicides, one
was by drowning, two by hliingirg, one by cutting his throat, and one
by poison. Coroner's investigations were made in 66 cases of death
during the year. Fifteen of these deaths were due to automobile
accident injuries, 23 to natural causes, and 10 to accidental drowning.
A daily average of 57 prisoners served sentences in the common
jails of the Canal Zone during the year, and all of those physically
able we-r employed on maintenance of trails, road repairs, and other
municipal improvements; others were employed on janitor and mis-
cellaneous work at police and fire stations and at target ranges. The
total value of such common-jail labor for the year was $19,783.26.
Thirty-seven convicts were committed to the Canal Zone Peniten-
tiary during the year, a decrease of 6 from the preceding year, with
aggregate sent nces of 56 years and 6 months. Forty-one convicts.
were discharged. At the close-of the year 67 convicts remained in
custody, as colilpil red with 71 at the end of the precediIng fiscal year.
The convicts were employed during the year on road and municipal
improvement work; improving and clearing penitentiary grounds;
maintaining of prison buildings; manufacturing and repairing prison
clothing; and the cultivation of fruits and veget tables, etc., at the peni-
tentiary farm. Labor performed by convicts was valued at $29,605.80.
The total value of fruits, vegetables, and other products of the peni-
tentiary farm amounted to $6,662.87, as coipiip;red with $6,543.71 the
previous year.
Forty-four persons were deported from the Canal Zone by the
Governor during the year. Of this number 27 were convicts who
had served sentences in the penitentiary and 17 were persons who had
been convicted of misdemeanor charges or who were otherwise deemed
indesirible personI s to be permitted to remain in the Canal Zone.
The increase in the registration of motor vehicles which exceeded
those licensed in any previous year was reflected in the increased
number of traffic accidents thit.t occurred in the Canal Zone during
the fiscal year. There was a total of 568 accidenits, or an average of
47.33 per month, as compared with 441 traffic accidents, or an aver-
age of 36.75 per month during the previous fiscal year. These
accidlents resulted in the deaths of 11 persons and injuries to 182
persons, of whom 47 were pedestrians.
Following is a classification of the causes of these accidents for the
past 2 years.

HI) ICEPOHT OF (ioVEHNOR olF THE PANAMA CANAL

I it.I'1 V.'1 190 I O 1939

ilrcki-*< .r l nk .'1"n I '*-**< 11 bli 1. 21 15
T -.:I.. l. I rl:i I4 %i '. r .. . 1 14
I n -ri. r.I -Iri%-r .'I ]** -.l -l ...... i 441
Slu I.u WMrt V Ir i r I I r

''The hlarbors of IBalba iiind (C'ristobi, lte Clihagres River and the
'inal in ti vicinity of (m Obon, ( Itiin Llkf, and the Maddhlen Dam
Lake aircea were patrnilled tfliroiigliir t thie yveur, priiicipailly for the
enft orcement of thle ni viiizatioin laws rnd regulations. During this
period motor launch ])trol olflievrs irre'ste a total of 17 persons for
violations of the uiLvilition regiiflations. During the course of the
year Ipilice ollierrs on liimonthly pati rls of the interior or rural sections
of thel ('tinal Zone Imade 22 arrests, of which 11 were on charges of
tresp)asing. 1 if 1ialiiiouM miscihliief, 3 of petit larceny, 1 of embezzle-
ment, 2 of disturhinig thr pencne by fighting, 3 of committing a public
Tiiistinii, and 1 of noviring a boirnldry line monument.
Detectives effected 25(i arrests, and in additiJtn made 671 investiga-
tions during the year. The usual routine work was carried on by the
cririiinal idenitific'tlion bureau in cooperation with the Army and
Navy and with other law-enforcement organizations and immigration
aut horiti.'s.
At tlie C(anal Zone Penitentin ry a wooden structure with concrete
absei, icid iis quarters for l)aclil'elor officers stationed theieat, was
rT/.ed byh c b convict labor and a new structure was built on the same
fullIdii tion by the constructing quartermaster. During the dry
sensor tllie stockade fence was rp)laiced and extended; the old woven
narI barbed-wire nititerial was removed and replaced by an 11-foot
rcYloini' fencr; the extension permits addition of cell space and drying
room to the ain stockade building.

FIRE PROTECTION
During tlit, year 141 fires, 16 false alarms, and 2 emergency calls
were reported. The following table lists the owners on whose prop-
erty these fires occurred and the. extent of losses suffered, together
with a comparison with the fires occurring in the previous year:

I4c'n 1939

Number of Prolerlty Number of propertyy
flres Io's flrrs loss

-r nl 9.5 2.4 IM 611 $4.625
I' i r'. I i lr.r.. 1-t. I 4 4
I I r ... \ \ 4 42 3 3100
I !T.., I ., 1 I 1 600
Iri iL. 29 212.4.'i 21 1.907
I l .. ... ... 141 21'. 5.7 92 7.336
Tottl value of proerty Involved. ... ..... $2.174. .870

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