• TABLE OF CONTENTS
HIDE
 Front Cover
 Title Page
 Letter of transmittal
 Front Matter
 Table of Contents
 Introduction
 Section I: Traffic via the Panama...
 Section II: Business operation...
 Section III: Administration
 Section IV: Government
 Section V: Financial and statistical...
 Back Cover






Title: Annual report of the Governor of the Panama Canal for the fiscal year ended ..
ALL VOLUMES CITATION PDF VIEWER THUMBNAILS PAGE IMAGE ZOOMABLE
Full Citation
STANDARD VIEW MARC VIEW
Permanent Link: http://ufdc.ufl.edu/UF00097365/00034
 Material Information
Title: Annual report of the Governor of the Panama Canal for the fiscal year ended ..
Alternate Title: Report of Governor of the Panama Canal
Physical Description: 36 v. : ill. ; 23 cm.
Language: English
Creator: Canal Zone -- Office of the Governor
Publisher: United States Government Printing Office
Place of Publication: Washington, D. C.
Publication Date: 1950
Frequency: annual
regular
 Subjects
Subject: Politics and government -- Periodicals -- Canal Zone   ( lcsh )
Genre: federal government publication   ( marcgt )
Spatial Coverage: Panama
 Notes
Dates or Sequential Designation: June 30, 1915-June 30, 1951.
Numbering Peculiarities: Report year ends June 30.
General Note: Some vols. issued in the congressional series as House document.
General Note: Reports for 1914/15-1915/16 each accompanied by portfolio of maps and diagrams.
 Record Information
Bibliographic ID: UF00097365
Volume ID: VID00034
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: oclc - 02454300
lccn - 15026761
oclc - 2454300
 Related Items
Preceded by: Annual report of the Isthmian Canal Commission for the year ending ...
Succeeded by: Annual reports of the Panama Canal Company and the Canal Zone Government for the fiscal year ended ...

Downloads

This item has the following downloads:

PDF ( PDF )


Table of Contents
    Front Cover
        Front Cover 1
        Front Cover 2
    Title Page
        Page i
        Page ii
    Letter of transmittal
        Page iii
        Page iv
    Front Matter
        Page v
        Page vi
        Page vii
        Page viii
    Table of Contents
        Page ix
        Page x
        Page xi
        Page xii
    Introduction
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6
    Section I: Traffic via the Panama Canal and canal operation
        Page 7
        Page 8
        Page 9
        Page 10
        Page 11
        Page 12
        Page 13
        Page 14
        Page 15
        Page 16
        Page 17
        Page 18
        Page 19
        Page 20
        Page 21
        Page 22
        Page 23
        Page 24
        Page 25
        Page 26
        Page 27
        Page 28
        Page 29
        Page 30
        Page 31
        Page 32
        Page 33
        Page 34
    Section II: Business operations
        Page 35
        Page 36
        Page 37
        Page 38
        Page 39
        Page 40
        Page 41
        Page 42
        Page 43
        Page 44
        Page 45
        Page 46
        Page 47
        Page 48
        Page 49
    Section III: Administration
        Page 50
        Page 51
        Page 52
        Page 53
        Page 54
        Page 55
        Page 56
        Page 57
        Page 58
        Page 59
        Page 60
        Page 61
        Page 62
        Page 63
        Page 64
        Page 65
        Page 66
        Page 67
        Page 68
    Section IV: Government
        Page 69
        Page 70
        Page 71
        Page 72
        Page 73
        Page 74
        Page 75
        Page 76
        Page 77
        Page 78
        Page 79
        Page 80
        Page 81
        Page 82
        Page 83
        Page 84
        Page 85
        Page 86
        Page 87
    Section V: Financial and statistical statements
        Page 88
        Page 89
        Page 90
        Page 91
        Page 92
        Page 93
        Page 94
        Page 95
        Page 96
        Page 97
        Page 98
        Page 99
        Page 100
        Page 101
        Page 102
        Page 103
        Page 104
        Page 105
        Page 106
        Page 107
        Page 108
        Page 109
        Page 110
        Page 111
        Page 112
        Page 113
        Page 114
        Page 115
        Page 116
        Page 117
        Page 118
        Page 119
        Page 120
        Page 121
        Page 122
        Page 123
        Page 124
        Page 125
        Page 126
        Page 127
        Page 128
        Page 129
        Page 130
        Page 131
        Page 132
        Page 133
        Page 134
        Page 135
        Page 136
        Page 137
        Page 138
        Page 139
        Page 140
        Page 141
        Page 142
        Page 143
        Page 144
        Page 145
        Page 146
        Page 147
        Page 148
        Page 149
        Page 150
        Page 151
        Page 152
        Page 153
        Page 154
        Page 155
        Page 156
        Page 157
        Page 158
        Page 159
        Page 160
        Page 161
        Page 162
        Page 163
        Page 164
        Page 165
        Page 166
        Page 167
        Page 168
        Page 169
        Page 170
        Page 171
        Page 172
    Back Cover
        Page 173
        Page 174
Full Text
m
NNUAL REPORT OF THE
^overnorofThe Panama Canal
FOR THE FISCAL YEAR 1950
1%
PI 87,
my5o


UNIVERSITY OF FLORIDA LIBRARIES


ANNUAL REPORT
OF THE
GOVERNOR
OF
THE PANAMA CANAL
FOR THE
FISCAL YEAR 1950
For sale by the Superintendent of Documents, U. S. Government Printing Office Washington 25, D. C. Price 40 cents (paper cover)


2>$6
he-7
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
http://www.archive.org/details/annualreportofgo1950cana


LETTER OF TRANSMITTAL
Washington, D. C, October 19, 1950. The Honorable, The Secretary of the Army,
Washington, D. C.
My Dear Mr. Secretary: I have the honor to submit the report of the Governor of The Panama Canal for the fiscal year ended June W, 1950.
Very respectfully,
F. K. Newcomer, Governor.
in




OFFICIALS OF THE PANAMA CANAL AND PANAMA RAILROAD COMPANY
The following is a list of the major officials of The Panama Canal and the Panama Railroad Company as of June 30, 1950:
The Panama Canal
Brig. Gen. F. K. Newcomer, U. S. A. (retired), Governor. Col. Herbert D. Vogel, U. S. A., Lieutenant Governor.
A. C. Medinger, Superintendent, Dredging Division.
Capt. Robert M. Peacher, U. S. N., Superintendent, Marine Division. E. C. Lombard, Executive Secretary.
Col. Howard Ker, U. S. A., Assistant Engineer of Maintenance.
Capt. John J. Scheibeler, U. S. N., Superintendent, Mechanical Division.
L. W. Lewis, Chief Quartermaster.
Arnold Bruckner, Director of Finance.
Maj. Gen. George W. Rice, U. S. A., Chief Health Officer.
B. F. Burdick, Chief of Washington Office and General Purchasing Officer.
Panama Railroad Company
Brig. Gen. F. K. Newcomer, U. S. A. (retired), President. Col. Herbert D. Vogel, U. S. A., Second Vice President. A. L. Prather, General Manager.
(New York Office)
W. R. Pfizer, Vice President. J. C. Hughes, Secretary. W. L. Hall, Treasurer.
v




REPORTS OF HEADS OF DEPARTMENTS AND
DIVISIONS
Appendixes Not Printed
The material in the annual report of the Governor of The Panama Canal, published in this volume, is to a large extent a summary of the data presented in the annual reports from the heads of departments and divisions of the Canal organization; the latter, regarded as appendixes to the report of the Governor, are not printed. The annual reports of the Panama Railroad Company and the Health Department are published separately; the latter is compiled for calendar years only. The reports of the heads of departments and divisions as listed below are on file at the Washington office of The Panama Canal and at the office of the Governor at Balboa Heights, C. Z.:
Lieutenant Governor:
Dredging Division.
Plans Section.
Safety Section. Assistant Engineer of Maintenance:
Electrical Division.
Locks Division.
Meteorology and Hydrography, Section of.
Municipal Engineering Division.
Office Engineering Division. Finance, Department of. Marine Division. Mechanical Division. Supply Department. Executive Department:
Civil Affairs, Division of.
Clubhouses, Panama Canal.
Fire Section.
General Counsel.
License Bureau.
Personnel Supervision and Management, Division of.
Police Section.
Schools, Division of.
Surveying Officer. Magistrates' courts:
Magistrate, Cristobal.
Magistrate, Balboa. Pardon Board. Public Defender. Washington Office.
vii




TABLE OF CONTENTS
l'age
Introduction______________________________________________________ 1
The Panama Canal____________________________________________ 1
Canal Zone______________________________________r------------ 1
Organization__________________________________________________ 2
Operation and maintenance of the Canal_________________________ 2
Operation of auxiliary enterprisesbusiness operations------------- 3
Governmentadministration----------------------------------- 3
Other organizations in Canal Zone------------------------------- 3
Services rendered to shipping by the Panama Canal---------------- 3
Net revenues__________________________________________________ 4
Replacements_________________________________________________ 5
Section ITraffic Via the Panama Canal and Canal Operation
Statistics on Canal traffic___________________________________________ 7
Ocean-going tolls-paying traffic---------------------------------- 7
Other traffic__________________________________________________ 7
Net vessel tonnage at record level_______________________________ 8
Traffic trends_________________________________________________ 9
United States intercoastal trade_____________________________ 9
Trade between east coast United States and west coast South
America________________________________________________ 11
Trade between east coast United States and Asia___________ -_ 11
Trade between Europe and west coast United States/Canada---- 12
Trade between Europe and Australasia_____________________ 13
Trade between Europe and wrest coast South America---------- 13
Trade between east coast United States and west coast Central
America/Mexico_________________________________________ 14
Trade between east coast United States/Canada and Australasia. 15
Cargo statistics________________________________________________ 15
Tolls receipts_________________________________________________ 15
Nationality of vessels transiting Canal___________________________ 16
Average tonnage, tolls, and tons of cargo per cargo-carrying vessel--- 16
Steam, motor, and other vessels_____.____________________________ 17
Frequency of transits of vessels through the Panama Canal--------- 17
Gross tonnage of vessels________________________________________ 17
Principal commodities__________________________________________ 18
Ocean passenger traffic_________________________________________ 18
Transient passengers_________________ ___________________ 19
Small tolls-paying vessels transiting Canal________________________ 20
Vessels transiting Canal without payment of tolls__________________ 20
Data in statistical section (sec. V)_______________________________ 21
ix


X
table of contents
Section ITraffic Via the Panama Canal and Canal OperationContinued
Page
Canal operation and maintenance____________________________________ 21
Hours of operation_____________________________________________ 21
Lockages and lock maintenance_________________________________ 21
Operating schedule of locks_________________________________ 21
Lockages_________________________________________________ 22
Delays to shipping__________________________________________ 23
Maintenance and construction______________________________ 23
Overhaul of miter gates at Pacific locks______________________ 24
Power for Canal operation___________________________________ 24
Water supply and general weather conditions_____________________ 25
Water supply______________________________________________ 25
Air temperatures__________________________________________ 26
Winds and humidity_______________________________________ 27
Tides____________________________________________________ 27
Seismology____________________------------------------------- 28
Marine activities______________________________________________ 28
Harbor activities__________________________________________ 28
Aids to navigation_________________________________________ 28
Accidents to shipping______________________________________ 29
Inspections________________________________________________ 29
Salvage and towing________________________________________ 29
Operation of tugs__________________________________________ 30
Maintenance of channelother dredging activities_________________ 30
Ordinary channel maintenanceCanal prism dredging 30
Auxiliary dredgingother projects________________________ 32
Slides____________________________________________________ 32
Subsidiary Dredging Division activities----------------------- 33
Ferry service_________________________________________________- 33
Section IIBusiness Operations
Panama Canal business operations___________________________________ 35
Mechanical and marine repair work______________________ ----- 35
Transfer of mechanical and marine repair facilities___________ 35
Gross revenues____________________________________________ 36
Marine repair work_________________________________________ 37
Dry docks and marine railways______________________________ 39
Shop work__________________________________ 39
Plant improvement________________________________________ 39
Electrical work_______________________________________________- 39
Purchases in the United States__________________________________ 40
Storehouses and ship chandlery------------------- 41
Obsolete and unserviceable property and equipment_______________ 41
Bulk petroleum products_______________________________________ 41
Building construction and maintenance----- ------- 42
Quarters______________________________________________ ------- 43
Motor transportation______________________ ------- ---------- 44
Panama Canal Press___________________________________________ 44
Revenues derived from the rental of lands in the Canal Zone-------- 45


TABLE OF CONTENTS XI Section IIBusiness OperationsContinued
Page
Business operations under the Panama Railroad Company______________ 45
Trans-Isthmian railroad________________________________________ 46
Receiving and forwarding agency________________________________ 47
Coaling plants________________________________________________ 47
Telephone system_____________________________________________ 47
Commissary Division__________________________________________ 48
Sales_____________________________________________________ 48
Purchases________________________________________________ 48
Hotels_______________________________________________________ 49
Panama Line_________________________________________________ 49
Section IIIAdministration
Departments______________________________________________________ 50
Operation and Maintenance------------------------------------- 50
Supply_______________________________________________________ 50
Finance______________________________________________________ 51
Executive____________________________________________________ 51
Health_______________________________________________________ 51
Panama Railroad Company------------------------------------- 51
Revised organization to become effective July 1, 1950------------------ 51
Proposed Panama Canal Company---------------------------------- 52
Changes in administrative personnel_________________________________ 53
Changes in administrative organization------------------------------- 53
Railway Signal System_________________________________________ 53
Administrative Branch_________________________________________ 54
Aeronautics Section____________________________________________ 54
Roundhouses and car shops_____________________________________ 54
Pay roll Division_______________________________________________ 54
Force employed and rates of pay____________________________________ 54
Employees paid at U. S. rates-------------------------------------- 55
Additions to and separations from force-------------------------- 56
Turn-over in force_____________________________________________ 56
Recruiting____________________________________________________ 56
Adjustment in wages and hours of work-------------------------- 57
Employees paid at local rates_______________________________________ 57
Wages of local-rate employees___________________________________ 58
Local-rate leave____________________________________________ -- 58
Cash relief for disabled employees paid at local rates--------------- 58
Repatriations_________________________________________________ 59
Central Labor Office_______________________________________________ 60
Long-range housing-construction program proposed-------------------- 60
Safety program____________________________________________________ 61
Experiment Gardens________________________________________________ 63
Clubhouses_______________________________________________________ 63
Legislation________________________________________________________ 64
Revision of rates of toll____________________________________________ 65
Capital allotments, fiscal year 1950_,__, ^ -, -. ... ^ - - 66


XII
table. of contents
Section IVGovernment
Page
Area of the Canal Zone------------- 69
Population__________________ 70
Public health_______ 70
Vital statistics____________________ 72
Malaria_________________________ 74
Hospitals______________________ 74
Quarantine and immigration---- 75
Municipal engineering------------ 75
Water system______________________
Sewer system------------------ 76
Roads, streets, and sidewalks--- 76
Other heavy construction activities^ 77
Cities of Panama and Colon------- 77
Miscellaneous activities-------- 77
Public order__________________ 78
Arrests_______________________________________________________ 78
Principal causes of arrest---------- 78
Coroner's investigations------------- 79
Prisoners____________________________ 79
Deportation____________________ 79
Traffic accidents____________________ ---- 79
Magistrates' courts_______________ 80*
Pardons and reprieves-------------- 80
Fire protection____________________ 80
Public school system-------------- -- 81
Enrollments__________________________ 81
Achievement__________________________________________________ 82
Curriculum_______________________ 82
Building program___________________
Physical education and recreation---------- 83
Postal system----------------------------------------------------- s '
Immigration visas------------------ 85
Relations with Panama_______________ 85
Customs____________________________________________-------------- 85
Shipping commissioner----------------- 85
Administration of estates-------------- 86
Foreign corporations---------------------
Insurance_________________________________________________________
Licenses__________________________________________________________ 87
Transfer of commercial air activities------------ 87
Section VFinancial and Statistical Statements
Accounting system------------------------------------------------- Ss
Operations of Panama Railroad Company----- 89
Panama Canal operations----------------- 89
Index to tables________________________________-------------------
Financial tables______________________________ -----92-125
Shipping tables____________________ 126-151
Miscellaneous tables_________________________ 153-160


ANNUAL REPORT OF THE GOVERNOR OF THE PANAMA CANAL
INTRODUCTION
The Panama Canal
The Panama Canal is a lock-type canal that connects the Atlantic and the Pacific Oceans through the Isthmus of Panama, traversing a distance of approximately 51 miles from deep water to deep water. In the dredged channel, the Canal has a minimum width of 300 feet and a minimum depth of 42 feet. The greater part of the Canal channel is at the level of Gatun Lake, the surface of which is 85 feet above sea level. In transiting the Canal a ship is raised in three steps or lockages to the level of Gatun Lake and subsequently lowered in three steps to sea level at the other side of the Isthmus. Each of the twin chambers in each flight of locks has a usable length of 1,000 feet and width of 110 feet, and is about 70 feet deep. The flights are in duplicate, enabling ships to be passed in opposite directions simultaneously.
Canal Zone
Generally speaking, the Canal Zone comprises a strip of land extending 5 miles on either side of the center line of the Canal channel and 3 marine miles beyond low-water mark in the Atlantic and Pacific Oceans. The Canal Zone includes also such areas outside of the 5-mile limits as are covered by the waters of Gatun and Madden Lakes and the lands immediately adjacent to these lakes which are below the 100-foot and 260-foot contour lines, respectively, referred to mean sea level. The use, occupation, and control of the Canal Zone have been granted to the United States Government by the Republic of Panama, under treaty agreements, for the construction, maintenance, operation, sanitation, and protection of the Canal enterprise, and the Republic has further granted to the United States all rights, power, and authority within the Canal Zone which the United States would possess and exercise if it were sovereign of the territory.
l


2
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Organization
The organization for the operation and maintenance of the Canal and the government of the Canal Zone was established by the President of the United States in conformity with the Panama Canal Act of August 24, 1912. Authority is vested in a Governor as head of the organization known as The Panama Canal. The Governor is also president of the Panama Railroad Company, an adjunct of the Canal enterprise organized as a United States Government corporation. The Panama Canal organization is an independent establishment in the Government service, directly under the President; but, as a matter of executive arrangement, the Secretary of the Army represents the President in the administration of Canal affairs.
On February 8, 1950, the President of the United States issued an Executive order (No. 10107) revoking Executive Order No. 8232 of September 5, 1939, entitled "Control of the Panama Canal and the Canal Zone." Under Executive Order No. 8232, the provisions of section 13 of the Panama Canal Act, approved August 24, 1912, has been invoked as an emergency measure, and prior to its revocation the Commanding General for this area exercised final authority over the operation of the Panama Canal and all its adjuncts, appendants, and appurtenances, including control and government of the Canal Zone, and the Governor of The Panama Canal had been subject to that authority and the orders issued under it.
Administration of the affairs of The Panama Canal enterprise involves three main elements: (a) Operation and maintenance of the Canal itself; (6) operation of the auxiliary enterprises, including the Panama Railroad, necessary to provide adequately for the needs of shipping and of the Canal operating forces; and (c) government of the Canal Zone, populated largely by employees and personnel of the armed services, together with the families of these groups. The immediate supervision of the administration of these various activities has rested, prior to a general reorganization which becomes effective July 1, 1950, with the heads of nine major departments and divisions of The Panama Canal and Panama Railroad Company. (Note.Further details of the Panama Canal-Panama Railroad Company reorganization will be found under the general heading "Administration" on p. 51 of this report.)
Operation and Maintenance of the Canal
The primary function of The Panama Canal is to provide and maintain a waterway by means of which vessels may make the transit from one ocean to the other, and to handle such traffic as presents itself for transit with a maximum of safety and a minimum of delay.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
3
Essentially this involves the maintenance of the waterway, the operation of the locks, and the control of traffic through the Canal. Throughout the year the Canal force maintained its high standard for expeditious service not only in the actual transiting of ships but in providing emergency repairs, fuel, supplies, and the various supplementary services incidental to shipping. There were no major interruptions of ship traffic during the year.
Operation of Auxiliary EnterprisesBusiness Operations
Second only to the operation of the Canal is the function of supplying necessary services to shipping and the Canal operating force. These services are provided under coordinated and centralized control by the various business units of The Panama Canal and Panama Railroad Company and include oil and coal bunkering plants; storehouses for food, ship chandlery, and other essential supplies; marine repair shops, harbor terminal facilities for passengers and for handling and transshipping cargo; a railroad line across the Isthmus; a steamship line between New York and the Canal Zone; water and electric-power systems; and living quarters and retail commissary stores for the operating force.
GovernmentAdministration
The usual functions of government, such as schools, police and fire protection, quarantine, public health, immigration service, posts, customs, and similar activities, wdiich, in the United States are directed by various officers of the National, State, and municipal governments, are entrusted in the Canal Zone to the Governor, and are executed under his authority and responsibility. This centralization of all governmental activities under one head is essential to economical and efficient administration.
Other Organizations in Canal Zone
In addition to the Canal-Railroad organization, a coordinated organization is maintained in the Canal Zone by the United States Army, the United States Navy, and the United States Air Force, under the over-all command of the Commander in Chief, Caribbean. The United States Department of Justice also maintains a district court in the Canal Zone, with a district judge, a district attorney, and various judicial and other officials independent of the Canal-Railroad organization.
Services Rendered to Shipping by the Panama Canal
The principal services rendered to shipping by the Canal and its adjuncts are shown in the following table, which presents a comparison


4 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
of the activities during the fiscal year 1950 with the 2 years immediately preceding:
traffic through the panama canal
Number of vessels transiting the Canal:
Ocean-going tolls-paying vessels_____________...........
Small tolls-paying vessels (see p. 20)______.....-........-
Total tolls-paying vessels__________________......------
Vessels exempt from payment of tolls (see p. 20)----------
Total transits__________________________________________
Number of lockages during year:
Gatun Locks______________....._____......._____________
Pedro Miguel Locks________________________________.....
Miraflores Locks_________............____________________
Tolls leviedocean-going vessels_____________________________
Tolls leviedsmall vessels........______........_____________
Total tolls_________....._____________....._____________
Value of tolls on vessels entitled to free transit_______________
Cargo passed through Canal, carried by:
Ocean-going tolls-paying vessels (long tons)______________
Small tolls-paying vessels (long tons)_________..........
Vessels exempt from payment of tolls (long tons)_________
Total cargo (long tons)_________________________________
Net tonnage (Panama Canal measurement) of ocean-going
tolls-paying vessels_________________________________________
Cargo per Panama Canal net vessel-ton (laden ocean-going
tolls-paying vessels only)___________________________________
Average tolls per ton of cargo (laden ocean-going tolls-paying
vessels only)......_____.....__________..................
other services
Calls at Canal Zone ports by ships not transiting the Canal____
Cargo handled and transferred at ports (tons)________________
Coal sales to ships (tons)._.......___________________.....____
Coalnumber of vessels bunkered_______..........._________
Fuel oiltotal barrels pumped (both incoming and outgoing),
excluding Panama Canal use_______________________________
Fuel oilnumber of vessels handled_________________________
Repairs to ships other than Panama Canal equipment: *
Number of vessels repaired______________________________
Number of vessels dry docked___________________________
Sales to ships (except U. S. Army and Navy):
Provisions (commissary sales)____......__________________
Chandlery (storehouse sales)_______________......._______
Fiscal year
1950 1949 1948
5, 448 1.185 4,793 1.275 4,678 1,242
6,633 1,061 6,068 1.293 5,920 1,079
7,694 7, 361 6,999
5,883 6,116 6, 063 5,371 5,616 5,623 5,197 5,422 5,367
$24, 430, 206 $81, 507 $20,541, 230 $76. 405 $19,956, 593 $60, 846
$24,511,713 $20,617,635 $20, 017. 439
$2.063, 579 $2, 487, 792 $1,824,321
28, 872. 293 33. 989 1,458,700 25, 305,158 31.975 2, 245, 455 24,117,788 25,690 1,520, 727
30,364.982 27. 582, 588 25,664,205
28, 013, 236 23, 473, 236 22,902,064
1.222 1.270 1.263
$0. 737 $0.708 $0.713
1,219 1,015,714 11,566 24 1,219 1,189. 266 15,563 36 1,176 1,297,963 18, 560 53
9, 557, 829 2,475 10, 389, 753 2,328 11,697,918 2,037
814 76 1,135 100 1,467 130
$561,784 $153, 423 $1.029,970 $199,301 $1,244, 759 $.306. 241
Net Revenues
During the fiscal year 1950 the revenues from tolls charged to shipping using the Canal were $24,511,713.00, and miscellaneous receipts amounted to $298,610.78, a total of $24,810,323.78. The net appropriation expenses were $22,557,703.54, resulting in a net revenue of $2,252,620.24. The business operations under The Panama Canal produced a net revenue of $577,564.05. Thus the combined net revenues accruing from the Canal and its business units totaled $2,830,184.29 during the fiscal year 1950, as compared with a net revenue of $534,374.71 in the fiscal year 1949. The im-


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
proved showing from the previous fiscal year resulted from an increase of some four million dollars in tolls collection.
Replacements
The past fiscal year marked the close of 36 years of successful operation of The Panama Canal. A very important factor contributing to this creditable record is the care that has been taken to maintain all parts of the Canal structures and equipment in good operating condition.
The capital assets of The Panama Canal as of June 30, 1950, totaled $724,125,223, which include $137,930,412 in special item projects and additional facilities, $396,895,146 in nondepreciable property such as locks, dams, and other concrete structures, and $189,299,665 in depreciable property. Against this investment in depreciable property is an accrued depreciation of $61,163,081.
The special item projects, additional facilities, and the nondepreciable property require but little expenditure for upkeep. However, the depreciable property requires systematic and orderly replacement as its economic life is exhausted, and appropriations must be made by Congress for this purpose, as well as for the construction of new facilities as need therefor develops.




Section I
TRAFFIC VIA THE PANAMA CANAL AND CANAL OPERATION
STATISTICS ON CANAL TRAFFIC Ocean-Going Tolls-Paying Traffic 1
The trend of traffic through the Panama Canal continued upward during the fiscal year 1950, an increase of 19.3 percent in net vessel tonnage having been recorded in comparison with the previous fiscal year and 22.3 percent in comparison with the fiscal year 1948. A heavy volume of tanker tonnage employed in the transportation of mineral oils from California to the eastern seaboard of the United States was one of the dominant factors leading to the increase of 1950 over 1949; another was a substantial gain in traffic of dry-cargo carriers operating in the United States intercoastal trade, in which trade tonnage was strike-bound for a period of about 3 months in the fiscal year 1949.
The following is a tabulation of four of the principal features of traffic for the fiscal year 1950, together with those in the two fiscal years immediately preceding:
Fiscal year
1950 1949 1948
Number of transits _______........________................ 5, 448 28,013,236 28,872,293 $24. 430,206 4.793 23,473, 236 25,305,158 $20,541,230 4,678 22.902,064 24,117,788 $19,956,593
Net tonnage (Panama Canal measurement).........._________ Cargo (tons of 2,240 pounds)_________________........._..... Tolls.............________________.........._____..........____

Other Traffic
In addition to the 5,448 ocean-going tolls-paying vessels passing through the Canal in the fiscal year 1950, there were 1,185 tolls-paying vessels under 300 net tons, Panama Canal measurement (consisting principally of small banana boats operating in local waters), and 1,001 transits of vessels exempt from the payment of tolls, a total of 7,094
' Vessels of 300 net tons and over (Panama Canal measurement) for vessels rated on net tonnage, or of 500 tons displacement and over lor vessels rated on displacement tonnage (naval vessels, dredges, etc.).
7


8 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
transits for 1950, in comparison with a total of 7,361 in the fiscal year 1949 and a total of 6,999 in the fiscal year 1948. The Panama Canal does not compile detailed statistics on small tolls-paying vessels nor on vessels which transit the Canal without payment of tolls; hence, except for the sections appearing under the captions "Small Tolls-Paying Vessels Transiting Canal" and "Vessels Entitled to Free Transit" on page 20, the following paragraphs and tables, Nos. 29 through 42, in section V, pertain onty to ocean-going tolls-paying traffic.
Net Vessel Tonnage at Record Level
Net tonnage, Panama Canal measurement, of traffic making transit of the Canal in the fiscal year 1950, totaling 28,013,236, was the highest of any fiscal year in the history of the Panama Canal, the previous record for this feature of traffic having been established in the fiscal year 1930, when 27,716,000 net tons of shipping transited the Canal.
A comparison of four of the principal features of traffic for the fiscal years 1950 and 1930 is as follows:
Number of transits Panama Canal net tonnage Tolls collection Cargo tonnage
Fiscal year: 1950 _......._________________________........_ 5,448 6, 027 28, 013, 236 i 27, 716, 000 $24, 430, 206 27,059,999 28, 872, 293 30, 018,429
1930 ____ ___________________________________
Increase or (decrease) from fiscal year 1930__________
(579) 297, 236 (2, 629, 793) (1,146,136)
1 Panama Canal net tonnage for the fiscal year 1930 is estimated figure, adjusted to conform with revised measurement rules which became effective Mar. 1, 1938.
As indicated from the foregoing table, all features of traffic except Panama Canal net tonnage were considerably below the figure for the fiscal year 1930. The relatively lower figure for the number of transits in the fiscal year 1950 stems from the fact that the average net tonnage per vessel was substantially greater (11.6 percent) than that of the average vessel making transit in the fiscal year 1930. The increase in the size of tankers, which formed 12 percent of the transits in the fiscal year 1950, has been particularly impressive, the average net tonnage per transit advancing from 5,341 in the fiscal year 1930 to 6,928 in the fiscal year 1950, a gain of almost 30 percent. The average net tonnage per transit of dry-cargo vessels advanced from 4,416 in the fiscal year 1930 to 4,709 in the fiscal year 1950, a gain of 6.6 percent.
With respect to the substantial difference in the tolls collection between the fiscal years 1950 and 1930, tolls prior to March 1, 1938, were assessed on the so-called dual system whereby, in order to deter-


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
9
mine a vessel's tolls charges, it was necessary to compute tolls at both $1.20 per net ton laden and $0.72 per net ton ballast in accordance with the Panama Canal rules of measurement, and at $1.25 per net ton laden and $0.75 per net ton ballast under the United States rules of measurement. The majority of the transits paid tolls at the latter rates, with the result that the average cost to steamship operators in the fiscal year 1930 was a toll charge of approximately $0.97 per ton of actual earning capacity, i. e., Panama Canal net tons, as against the average of $0.87 per Panama Canal net ton collected in the fiscal year 1950.
Traffic Trends
Approximately 82 percent of the net vessel tonnage transiting the Canal in the fiscal year 1950 was employed in eight trade routes. By far the most significant change from the previous fiscal year was the heavy increase in the United States intercoastal trade. The gain in net tonnage for all other traffic, i. e., total traffic with the United States intercoastal trade eliminated, was only 2.2 percent. The percentage change from the fiscal year 1949 in the eight principal trade routes (net tonnage basis) follows:
Trade route
United States intercoastal.....................................
East coast United Stateswest coast South America____......
East coast United StatesAsia____________________....._______
Europe-west coast United States/Canada............__________
EuropeAustralasia______________________________....._______
Europewest coast South America____..........._______......
East coast United Stateswest coast Central America/Mexico.
East coast United States/CanadaAustralasia_______.........
All other traffic________________________________________________
Total increase, including United States intercoastal. Increase, excluding United States intercoastal______
Percent
Increase Decrease
171.7 4.6
5.3 10.7
11.6
19.3 2.2
A brief discussion of shipping engaged in these trade routes is given in the foliosving paragraphs:
United States Intercoastal Trade
The United States intercoastal trade, by virtue of heavy tanker tonnage which developed during the early part of the fiscal year 1950, ranked first in tonnage among the various trades served by the Panama Canal during that period, and thus regained a position it had not held heretofore in the postwar era. Net vessel tonnage engaged in this trade in the fiscal year 1950 totaled 6,441,433, and made up 23 percent of the total net tonnage routed through the Canal during that period. Such tonnage, segregated between tanker and all other traffic during


10 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
the fiscal years 1950 and 1949, with the increase, is shown in the following tabulation:
[In thousands of net tons]
Tankers____
All other___
Total
Prior to the fiscal year 1950, postwar tanker tonnage in the United States intercoastal trade had been relatively unimportant. However, in the early months of the fiscal year 1950 it began to assume substantial proportions upon the inauguration of large scale water-borne shipments of heavy fuel oil from California to the eastern seaboard of the United States. From published reports some months ago, it was estimated that the bulk of oil scheduled for shipment upon this program would have been moved by midsummer; however, shipments were continuing at substantial levels at the end of the fiscal year. In addition to the fuel-oil shipments, there was increased activity in the movement of gasoline from the west coast.
As will be observed from the above table, a considerable improvement also was recorded in the traffic of other than tankers, i. e., dry-cargo tonnage. While there is a gain of 53 percent indicated for this type of traffic, this figure may be regarded as inflated in that it compares a year relatively free from the effects of strikes (fiscal year 1950) with a year during which intercoastal shipping was at a practical standstill for about three months on account of the longshoremen's strike. However, only a portion of the wide difference between the two years can be traced to the consequences of the 1949 strike, as a stepped-up activity in the trade has been apparent in recent months. If traffic in this trade had flowed without interruption from labor trouble in 1949, it is estimated that a gain of about 15 percent would have been made in the fiscal year 1950.
Cargo moving in the United States intercoastal trade in the fiscal year 1950 totaled 7,376,440 long tons, an increase of 139 percent over the previous year. Of this total, 1,846,324 long tons were routed from the Atlantic to the Pacific, a gain of 28 percent over tonnage moving in that direction last year; in the opposite direction the cargo movement totaled 5,530,116 long tons, which was almost three and one-half times the Atlantic-bound movement in this trade in the previous fiscal year.
Largely because of the heavy tanker movement, United States intercoastal traffic in 1950 advanced to a level which lacked but 5 percent of equaling the 1935-39 average over this route. The volume
Fiscal year Increase Percent of
1950 1949 increase
3,238 3, 203 279 2,092 2,959 1,111 1,061 53
6,441 2, 371 4,070 172


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 1 1
of intercoastal tanker tonnage in the fiscal year 1950 almost trebled the 1935-39 level for that type of traffic, whereas traffic of intercoastal dry-cargo tonnage, which in the postwar era has been lagging considerably from prewar levels, was at about 57 percent of the 1935-39 average.
Trade Between East Coast United States and West Coast South America
The trade between the east coast United States and the west coast South America ranked second in volume of net vessel tonnage in the fiscal year 1950, relinquishing first place which it had held in the previous fiscal year to the United States intercoastal trade. In the fiscal year 1950 a total of 4,139,247 net tons of shipping was employed in the trade, a gain of 181,714 net tons, or 4.6 percent, in comparison with the fiscal year 1949.
Traffic for the fiscal year 1950 was the highest recorded over this route in the history of the Canal, and more than doubled the 1935-39 average. Vessels transporting iron ore from Chile totaled 958,656 net tons, and comprised 23 percent of the total net tonnage engaged in the trade in 1950; because of a disruption in the scheduled runs of these carriers during the steel strike in the first half of the fiscal year 1950, this tonnage declined about 14.7 percent as compared with the fiscal year 1949. A wider use of refrigerated tonnage to take care of the increasing banana shipments from Ecuador to the United States was recorded during the fiscal year 1950; such tonnage in 1950 totaled 381,000 net tons, as against approximately 242,000 net tons in the fiscal year 1949, a gain of about 57 percent.
Although net tonnage increased 4.6 percent in comparison with 1949, cargo exchanged by these two geographical areas, totaling 4,615,200 long tons, decreased 12.1 percent. The loss involved movements in both directions; that routed from the Atlantic to the Pacific, totaling 774,054 long tons, declined 10 percent, while that shipped in the opposite direction, amounting to 3,841,146 long tons, declined 12.4 percent from the previous year.
Trade Betiveen East Coast United States and Asia
The trade between the east coast United States and Asia ranked third among the various trade routes in the fiscal year 1950. In that period a total of 3,738,047 net tons of shipping transited the Canal in the transportation of cargo in this trade, a decline of 7.9 percent in comparison with the total of the previous fiscal year. As has been the case in past years, the volume of traffic in this trade was preponderantly from east to west, with 62 percent of the net vessel tonnage and 65 percent of the cargo tonnage having transited in that direction in the fiscal year 1950.


12 report of the governor of the panama canal
During the fiscal year 1949, the volume of traffic was considerably expanded by an unusual development, i. e., through the shipment from east to west of over a million tons of coal, a commodity rarely shipped in this trade. These shipments continued in some volume to the early months of the fiscal year 1950, but eventually disappeared from Canal traffic. A portion of the decline sustained by the loss of traffic in the coal trade was offset by a substantial gain in the shipments of phosphates (west-bound) which accounted for a total of almost a half million tons as against only 17,686 tons in the previous fiscal year.
The combined cargo movement in both directions in this trade during the fiscal year 1950 totaled 4,209,265 long tons, a decline of 12.1 percent from the combined movement of the previous fiscal year. Of this total, 2,718,064 long tons were routed from the Atlantic to the Pacific, a decline of 12.3 percent in comparison with the total shipped in that direction in the previous year; from the Pacific to the Atlantic cargo tonnage totaled 1,491,201 long tons, which represented a loss of 11.7 percent from the Atlantic-bound total in the fiscal year 1949.
Trade Between Europe and West Coast United States JCanada
Traffic in the Europe-west coast United States/Canada trade ranked fourth among the various trade routes served by the Panama Canal in the fiscal year 1950, accounting for 2,699,439 net vessel tons of shipping, a 1.7 percent decrease in comparison with the volume of the previous fiscal year. As in the past, the west-to-east movement of cargo in this trade was far in excess of that transiting in the opposite direction, the former accounting for 85 percent of the combined movement in both directions. Prewar traffic in this trade was at a much higher level than in recent years, reflecting Europe's heavy demand at that tune for products from both the United States and Canada. The economic picture in Europe was radically changed by the late war, however, and net tonnage operating in the trade in 1950 was only 50 percent of the 1935-39 average. (Note.In the fiscal year 1939 net tonnage in this trade reached 6,684,000, the highest for any trade served by the Canal in that year.) While shipments from Canada are but slightly under prewar, those from the United States in 1950 were only about one-third of the 1935-39 average. Shipments from the United States to Em-ope will probably expand as the latter's financial position improves, but at present the need to conserve dollar reserves still exerts a restrictive pressure upon demand abroad for United States products.
In the fiscal year 1950, cargo routed from western Canada to Europe totaled 1,586,522 long tons, a decrease of 11.3 percent from the west-


report of the governor of the panama canal 13
east movement between these two areas in the fiscal year 1949. In the movement from the west coast United States to Europe, however, there was a slight increase recorded, tonnage rising from 794,491 tons in 1949 to 806,263 tons in 1950, a gain of 1.5 percent. In the east-west movement which, as previously stated, is relatively light, a total of 433,198 long tons was routed to the United States and Canada, a gain of 40 percent in comparison with the previous fiscal year.
Trade Between Europe and Australasia
A total of 1,945,925 net vessel tons of shipping passed through the Canal in the fiscal year 1950 in the Europe-Australasia trade, a gain of 5.3 percent in comparison with that passing through the previous fiscal year. Ranking fifth in point of net vessel tonnage in the fiscal year 1950, traffic in this trade has increased each year since the end of World War II, and the net vessel tonnage recorded for the fiscal year 1950 was 29 percent in advance of the 1935-39 average for the trade. Generally, the west-east tonnage routings in this trade are heavier than in the opposite direction; however, the difference in the fiscal year 1950 was less pronounced than in the previous year, the west-east tonnage for the fiscal year 1950 making up 56 percent of the total as against 64 percent in the fiscal year 1949. The net vessel tonnage moving from east to west in the fiscal year 1950 was 862,843, a gain of 28.2 percent in comparison with the 672,935 tons passing through in the fiscal year 1949; in the opposite direction there were 1,083,082 net vessel tons, which was a decline of 7.8 percent from the 1,174,794 tons passing from west to east in the fiscal year 1949.
Cargo moving between these twro areas in the fiscal year 1950 totaled 1,718,546 long tons, a decrease of 2 percent from fiscal year 1949. The east-west movement in the fiscal year 1950 amounted to 722,310 long tons as against 554,437 long tons in the fiscal year 1949, a gain of 30.3 percent, while that from the Pacific to the Atlantic, totaling 996,236 tons in the fiscal year 1950, was 16.9 percent under the 1,198,932 long tons of the previous fiscal year.
Trade Between Europe and West Coast South America
The trade between Europe and the west coast of South America ranked sixth among the various trade routes operating via the Panama Canal in the fiscal year 1950. In this period this trade contributed 1,696,333 net vessel tons of shipping to Panama Canal traffic, a total which exceeded that of the previous fiscal year by 10.7 percent. The volume of postwar tonnage in this trade has been running considerably below prewar levels, but a gradual improvement has been recorded each year since normal commerce was resumed between these two areas, following the end of World War II. In the fiscal year 1950


14 report of the governor of the panama canal
net tonnage in this trade advanced to 61 percent of the 19.35-39 average.
Cargo tonnage moving in both directions between Europe and the west coast South America in the fiscal year 1950 totaled 1,545,024 long tons, a gain of 13.3 percent in comparison with that of the previous fiscal year. Of this total, 298,137 long tons were routed from the Atlantic to the Pacific, a gain of 27.6 percent in comparison with the Pacific-bound movement of the previous fiscal year, while in the opposite direction cargo tonnage totaled ] ,246,887 long tons, which represented a gain of 10.3 percent over the Atlantic-bound total in the fiscal year 1949.
Trade Between East Coast United States and West Coast Central America I Mexico
The trade between the east coast United States and the west coast Central America /Mexico, which involves almost exclusively shipping engaged in the banana trade, ranked seventh in net vessel tonnage among the various trades served by the Panama Canal in the fiscal year 1950. Net vessel tonnage in this trade totaled 1,496,912, which was slightly below (less than 1 percent) the 1,503,058 net tons of the previous fiscal year. The level of tonnage engaged in this trade in the 1935-39 era (which period has been used throughout this discussion for comparing current levels wTith prewar) averaged only about 168,000 net vessel tons; the increased tonnage is caused by two factors, viz, (a) the plantations on the west coast formerly were not as fully developed as they are at present and (6) the principal market for the output of these plantations in the 1935-39 period was the wrest coast. By fiscal year 1941, however, traffic in the trade had reached 603,555 net tons, which was the highest attained in any fiscal year until the revival of normal shipping following the cessation of hostilities.
The combined cargo tonnage moving between eastern United States and the west coast Central America/Mexico in the fiscal year 1950 totaled 436,497 long tons, a decline of 3.4 percent from the combined movement of the previous fiscal year. Of this total, 393,806 long tons, which comprised 90 percent of the combined movement, were routed from west to east, a gain of 1.2 percent in comparison with the east-bound movement of the previous fiscal year; about 86 percent of this cargo movement was made up of banana shipments. In the relatively unimportant movement from east to west in this trade, a total of 42,691 long tons were shipped in the fiscal year 1950, as against 62,644 long tons in the fiscal year 1949, a decrease of 31.9 percent.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 15
Trade Between East Coast United States/Canada and Australasia
The trade between the east coast United States/Canada and Australasia was in volume the least important of the eight major trade routes covered in this discussion. In the fiscal year 1950 a total of 827,280 net tons of shipping was employed in the trade as compared with 947,806 net tons in the fiscal year 1949, a decrease of 12.7 percent. The level of this trade in 1950 was about 3 percent in excess of the 1935-39 average.
The combined movement of cargo in both directions between these two areas in the fiscal year 1950 totaled 965,886 long tons, a decrease of 20.6 percent from the 1949 fiscal year total. Cargo moving from the United States (i.e., excluding Canadian shipments) to Australasia in the fiscal year 1950 totaled 577,144 long tons, a decrease of 24 percent from similar shipments in the previous fiscal year, while those exclusively from Canada, totaling 98,571 long tons, decreased 11.3 percent. In shipments routed in the opposite direction, there were 202,556 long tons destined to the United States and 87,615 long tons to Canada, decreases of 20.8 percent and 2.2 percent, respectively.
Cargo Statistics
The combined movement of cargo in both directions through the Panama Canal in the fiscal year 1950 totaled 28,872,293 long tons, a gain of 3,567,135 long tons, or 14.1 percent, in comparison with the cargo tonnage passing through in the fiscal year 1949. This is the highest movement of cargo through the Canal since the fiscal year 1930, when 30,018,429 long tons made the passage, and the fourth highest in the history of the Canal. Although the east-west movement in the fiscal year 1950, with 9,483,863 long tons, lacked 4.2 percent of equaling the tonnage moving in this direction in the previous fiscal year, the west-east movement, totaling 19,388,430 long tons, exceeded the fiscal year 1949 level by 25.8 percent. The west-east movement in the fiscal year 1950 was the highest in 20 years.
In tables Nos. 39 through 42, in section V, will be found a comparison of cargo tonnage shipped over the various trade routes, together with summaries of the principal commodities comprising these shipments.
Tolls Receipts
Tolls received and reported to the United States Treasury in the fiscal year 1950 were $24,511,713.00, which includes tolls amounting to $81,506.58 on local tolls-paying vessels not included in statistics covering ocean-going tolls-paying traffic. This sum of $81,506.58 accounts for the difference between $24,511,713.00 reported to the


16 report of the governor of the panama canal
United States Treasury and $24,430,206.42 shown in traffic studies in this report.
Nationality of Vessels Transiting Canal
Twenty-eight nationalities wTere represented in the ocean-going tolls-paying traffic passing through the Canal in the fiscal year 1950, as compared with 30 in the preceding fiscal year. Vessels of United States registry, accounting for 14,421,508 net tons, Panama Canal measurement, ranked first in volume of net tonnage, as has been the case in almost every year during the 36 years the Canal has been in operation. In the first 4 years of operation, and in the fiscal year 1945, British tonnage ranked first and that of United States registry was second. The volume of net tonnage under United States registry in the fiscal year 1950 increased 36.2 percent in comparison with the previous year's figures, the greater portion of the increase occurring in the United States intercoastal trade. Transit of tonnage operating under the British flag in the fiscal year 1950, totaling 5,154,273 net tons, ranked next to the United States in importance; this tonnage declined 2.6 percent from the volume recorded in the previous fiscal year.
United States vessels made up 51.5 percent of the total net tonnage in the past fiscal year; British vessels, 18.4 percent; Norwegian, 7.4 percent; Panamanian, 3.2 percent; Honduran, 3.1 percent; Danish, 2.6 percent; and Swedish, 2.5 percent.
Further particulars on traffic by nationality will be found in table No. 31, section V.
Average Tonnage, Tolls, and Tons of Cargo per Cargo-Carrying
Vessel
The average measurement tonnage, tolls, and tons of cargo per cargo-carrying vessel of 300 net tons and over, Panama Canal measurement, transiting the Panama Canal during the past three fiscal years, are shown in the following tabulation:
Fiscal year averages, per vessel: Measured tonnage:
Panama Canal net____________________
Registered gross________......_._.....
Registered net________________________
Tolls___________________________......_____
Tons of cargo (including vessels in ballast) Tons of cargo (laden vessels only)_________
1950 1949 1948
5.163 4,936 4,930
6,872 6,675 6, 679
4,104 3,965 3,994
$4,502 $4.310 $4,296
5,324 5,338 5,197
6, 419 6, 432 6, 330
Note.Computation of above averages is based on vessels engaged in normal commerce; craft such as yachts, naval vessels, etc., are not considered.


report of the governor of the panama canal 17
Steam, Motor, and Other Vessels
The following table shows ocean-going tolls-paving vessels transiting the Canal during the past three fiscal years, segregated according to method of propulsion:
Fiscal year
1950 1949 1918
Steamers: Oil-burning........................................................... 3, 773 70 1,580 25 3,164 89 1,488 52 3,155 136 1,35 0 37
Coal-burning..........__________............______________...........
Motorships .____................________________________________
Not classified 1...............______________.......___________.....________
Total..................................._______...................
5, 448 4,793 4,678

i Naval vessels, yachts, etc.
Frequency of Transits of Vessels Through the Panama Canal
During the fiscal year 1950, 1,478 individual ocean-going tolls-paying vessels, representing 28 nationalities, passed through the Panama Canal. In aggregate, these vessels made a total of 5,448 transits. The number of transits made by individual ships varied from 1 to 39, and averaged 3.69. The greatest number of transits 39was made by the Moshill, a vessel of Norwegian registry, engaged in the banana trade between Gulf ports of the United States and Ecuador. (Note.The greatest number of transits in the previous year36also was made by the Moshill.)
Vessels of the United States registry led in the number of individual vessels transiting the Canal during the year with 474, as well as in the number of transits, 2,452; those of British registry were second in number of both individual vessels and of transits, with 413 and 876, respectively.
Further information on the frequency of transits of vessels will be found in table No. 34, section V.
Gross Tonnage of Vessels
The 5,448 ocean-going tolls-paying vessels which transited the Canal in the fiscal year 1950 included 5,439 vessels rated on net tonnage and 9 vessels rated on displacement tonnage.
Of the 5,439 vessels rated on net tonnage, 2,097, or 38.6 percent. were vessels ranging between 6,000 and 8,000 registered gross tons. The average registered gross tonnage of all vessels was 6,856 as compared with 6,650 in the previous fiscal year.


18
report of the governor of the panama canal
Further information on gross tonnage of vessels will be found in table No. 35, section V.
Principal Commodities
Statistics on commodities passing through the Panama Canal are not precise, because at the time of transit it is not required that complete manifests of cargo carried by vessels be submitted to the Canal authorities. In lieu of a manifest, the master of each vessel is required to submit a cargo declaration, which is a briefly itemized statement, listing the principal items of cargo carried and showing their ports or countries of origin and destination. These cargo declarations form the basis of the commodity statistics. There is a natural tendency not to list small miscellaneous shipments but to include them under the head of general cargo. Hence, except in the case of commodities commonly shipped in bulk, such as mineral oils carried in tank ships, wheat, lumber, nitrate, etc., aggregate shipments of the various commodities are likely to be in excess of the tonnage reported during the year and shown in the annual summary. Hence, all commodity statistics carried in this report are subject to inaccuracies arising from this source.
The commodity of the greatest volume passing through the Canal from the Atlantic to the Pacific in the fiscal year 1950 was mineral oil, totaling 1,418,655 tons, followed by manufactures of iron and steel, with 1,286,790 tons, and ammonium compounds, with'864,919 tons. In the opposite direction, leading commodities were ores (various), with 3,461,598 tons; mineral oils, with 3,425,181 tons; lumber, with 2,863,412 tons; wheat, with 1,516,235 tons; nitrate, with 1,485,745 tons; and canned food products, with 1,148,027 tons.
For details on principal commodities passing through the Canal, see table No. 36, section V.
Ocean Passenger Traffic
The following tabulation shows by month the number of passengers, exclusive of transients, disembarking and embarking from vessels at Canal Zone ports during the fiscal year 1950, segregated between first-class and all others, with comparative totals for the fiscal years 1949 and 1948:


report of the governor of the panama canal 19
Passengers disembarking Passengers embarking
First-class Others Total First-class Others Total
July..................-------------------- 1,112 100 1,212 1,465 84 1,549
1,775 115 1,890 1,616 212 1,828
1,493 160 1,653 1,476 721 2,197
October_______............................ 1,364 165 1,529 1,013 183 1,196
November................................ 971 78 1,049 1,253 248 1,501
December................................ 1,009 38 1,047 945 21 966
January................................... 1,067 35 1,102 1,068 176 1,244
859 84 943 L.057 146 1,203
March________............................ 564 1,036 1,600 1,497 298 1,795
1,005 882 1,887 1,816 140 1,956
May.................--------............. 796 245 1,041 1,962 271 2,233
995 61 1,056 1,757 132 1,889
Total, 1950....................-....... 13,010 2,999 16,009 16, 925 2, 632 19, 557
Total, 1949................____________ 13,627 2, 275 15,902 15, 585 1,746 17,331
Total, 1948.............____........... 12,302 578 12, sso 12,381 1,402 13, 783
The following table shows the passenger traffic through the ports of Cristobal and Balboa during the fiscal years 1950, 1949, and 1948:
Port of Cristobal Port of Balboa
1950 1949 1948 1950 1949 1948
Passengers disembarking................. Passengers embarking.................---- 12, 593 15, 765 12, 716 13, 534 12,001 11,390 3,416 3, 792 3,186 3, 797 879 2,393
A further segregation of the passenger movement for 1950 shows that 12,297 incoming and 17,271 outgoing passengers came from or were destined to ports on the Atlantic, and 3,712 incoming and 2,286 outgoing were brought from or were destined to ports on the Pacific.
Transient Passengers
In addition to the figures shown above of passengers disembarking and embarking, there were 49,987 transient passengers brought to the Isthmus by vessels calling at Canal ports during the fiscal year 1950. The 1950 figure is a decrease of 927 (1.5 percent) from the number recorded in 1949, but an increase of 9,435 (23.3 percent) over the number passing through in the fiscal year 1948.
The origin and destination of these transient passengers are indicated in the following tabulation:
Fiscal year
1950 1949 1948
Remaining on board vessels transiting Canal: Atlantic to Pacific............................_______...... 24, 242 18,914 6,674 157 23, 220 22,947 13,619 128 21,099 11,273 7,875 305
Pacific to Atlantic...........................
Remaining on board vessels entering port but not transiting Canal: Atlanticto Atlantic.........................................
Pacific to Pacific..................................___________.........
Total.............................................
49,987 59,914 40, 552



20
report of the governor of the panama canal
Small Tolls-Paying Vessels Transiting Canal
Transits of small cargo-carrying vessels and other miscellaneous craft of less than 300 net tons (Panama Canal measurement) or 500 displacement tons (for vessels rated on displacement tonnage) are excluded from statistics on ocean-going tolls-paying traffic, although the vessels are not exempt from the payment of tolls. Transits of these small vessels during the fiscal years 1950, 1949, and 1948, together with the tonnage, tolls, and the amount of cargo carried, are summarized in the folio whig table:
Number of transits:
Rated on net tonnage_________
Rated on displacement tonnage
Total transits_______________
Panama Canal net tonnage_________
Displacement tonnage_____________
Tolls______________________________
Cargo (long tons)__________________
Fiscal year 1950
Atlantic to Pacific
605 2
607 52, 228 777
$38,719. 32 2,635
Pacific to Atlantic
578
578 48,193
$42,787.26 31, 354
Total
1,183 2
1,185 100, 421 777
$81,506. 58 33,989
Total, fiscal year
1949
1,274 1
1,275 94,497 371
$76, 405.06 31,975
Vessels Transiting Canal Without Payment of Tolls
The following classes of vessels are entitled to free passage of the Panama Canal: Vessels owned, operated, or chartered by the Governments of the United States and Republic of Panama; war vessels of the Republic of Colombia; and vessels transiting solely for the purpose of having repairs made at the Panama Canal shops. Such vessels are not included in the general statistics pertaining to Canal traffic.
The following table shows for the fiscal years 1950, 1949, and 1948 the number of transits in each category outlined in the preceding paragraph, and the amount of tolls to which such vessels would have been subject at the prescribed rates if tolls had been charged against them:
Category Fiscal year 1950 Fiscal year 1949 Fiscal year 1948
Number of transits Tolls value Number of transits Tolls value Number of transits Tolls value
Government of: United States_________....... Colombia_________________...... Panama_____________________ Transiting for repairs......_________ Total_______________.......... 1,020 34 3 4 $2,026,450 28,306 21 8,802 1,265 21 3 4 $2,461,617 15,444 21 10,710 1,050 11 8 10 $1,789,577 12, 281 60 22,403
1,061 2,063, 579 1,293 2,487, 792 1,079 1,824,321


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
21
Further details on vessels transiting the Canal without payment of tolls will be found in table No. 43, section V.
Data in Statistical Section
Further particulars of traffic through the Canal are presented in section V of this report in the form of tables and graphs.
CANAL OPERATION AND MAINTENANCE Hours of Operation
Dispatching of ships through the Canal is conducted on schedules. Vessels awaiting transit begin moving through the Canal from the terminal ports at 6 a. m. and dispatches are made thereafter from each terminus at intervals of from % to 1 hour. The following is a summary of normal arrangements in effect at the end of the fiscal year.
From Cristobal harbor, first ship at 6 a. m., last at about 3 p. m.; from Balboa anchorage, first ship at 6 a. m., last at 3:30 p. m.
Tankers and vessels carrying hazardous cargoes are dispatched at the discretion of the port captain and normally are not permitted to proceed unless they can clear Gaillard Cut before dark.
Lockages and Lock Maintenance
Operating Schedule of Locks
Two operating crews were maintained at Pedro Miguel locks and three, each at Gatun and Miraflores locks until March 26, 1950, when two additional six-locomotive crews were employedone at Gatun and one at Pedro Miguel locks. Coincident with the employment of these additional crews, two eight-locomotive crewsone at Miraflores locks and one at Gatun lockswere reduced to six-locomotive crews. An additional crew was assigned at Pedro Miguel locks and operating hours rearranged at Miraflores locks to provide 24-hour service during the period of the miter gate overhaul at the Pacific locks during the period January 7 through March 25, 1950. Twenty-four-hour service was provided at Gatun locks between January 22 through March 25, 1950. Additional crews were assigned during peak periods to expedite transit of ships.
The following operating schedules were in effect at the locks on June 30, 1950:
("latun:
Shift No. 1: 7:00 a. m. to 3:00 p. m.8 locomotives. Shift No. IX: 7:00 a. in. to 3:00 p. m.6 locomotives. Shift No. 2: 3:00 p. in. to 11:00 p. m.8 locomotives. Shift No. 2X: 3:00 p. in. toll :00 p. in6 locomotives.
92539451-3


22
report of the governor of the panama canal
Pedro Miguel:
Shift No. 1: 8:00 a. m. to 4:00 p. m.-8 locomotives.
Shift No. 2: 9:30 a. m. to 5:30 p. m.6 locomotives.
Shift No. 3: 2:00 p. m. to 10:00 p. m.8 locomotives. Miraflores:
Shift No. 1:
Shift No. 2:
Shift No. 3:
7:00 a. m. to 3:00 p. m.8 locomotives. 9:30 a. m. to 5:30 p. m.6 locomotives. 3:00 p. m. to 11:00 p. m.8 locomotives.
Lockages
The number of lockages and vessels handled (including Panama Canal vessels) is shown in the following table, by months, for the fiscal year 1950, with corresponding totals for the previous 5 years:
Gatun Pedro Miguel Miraflores
Lockages Vessels Lockages Vessels Lockages Vessels
460 617 471 629 473 632
433 603 455 647 451 646
449 606 468 659 474 655
476 637 493 679 494 673
457 615 483 665 479 657
508 665 530 714 529 725
513 674 554 773 543 770
489 676 513 714 502 702
561 765 589 799 574 780
508 682 512 681 508 683
550 713 561 758 551 759
479 615 487 621 485 626
5,883 7,868 6,116 8,339 6,063 8,308
5,261 9,201 6,268 12, 334 5,635 10, 097
6, 823 9, 901 7,139 10,654 7,076 10, 561
4,858 6,674 5,155 7,281 5,084 7,221
5,197 7, 093 5, 422 7, 578 5, 367 7,574
5,371 7, 500 5, 616 7,863 5, 623 7, 890
19J,9
July..........______
August___......____
September__________
October_____________
November__________
December__________
1950
January____________
February___________
March______________
April__________.....
May________________
June________________
Total_________
Fiscal vear:
1945_____________
1946.......______
1947_____________
1948........_____
1949_____________
Total lockages for all three locks were 8.7 percent above the number handled in the previous fiscal year. All chambers were available for service with double culvert at all three locks throughout the year except during the overhaul of miter gates at Pedro Miguel and Miraflores locks. At Pedro Miguel the west chamber was taken out of service for overhaul on January 7, 1950, and traffic was confined to the east chamber, using single culvert, until 11 a. m. on February 17. Overhaul activities were then transferred to the east chamber and the west chamber was returned to service using single culvert; overhaul of the east chamber was completed on March 26, and both chambers were again available for service with double culvert.
At Miraflores the west chamber was taken out of service for overhaul on January 7, 1950, and traffic was confined to the east chamber, using single culvert, until February 16. Overhaul activities were then transferred to the east chamber and the west chamber was


report of the governor of the panama canal 23
returned to service using single culvert; overhaul of the east chamber was completed on March 26 and both chambers were again available for service with double culvert.
The average number of lockages made daily and the average number of vessels handled per lockage during each of the past five fiscal years are shown in the following tabulation:
Fiscal year Average number of lockages per day Average number of vessels per lockage
Gatun Pedro Miguel Miraflores Oatun Pedro M iguel Miraflores
1946 18.7 19.5 19.4 1.45 1.49 1.49
1947 13.3 14.1 13.9 1.37 1.41 1.42
1948 14.2 14. 8 14.6 1.36 1. 40 1.41
1949 14.7 15.3 15.4 1.40 1.40 1.40
1950 16.1 16.7 16.6 1.33 1.36 1.37
Delays to Shipping
The lock-operating machinery functioned smoothly throughout the year except for a few incidents of faulty operation or minor failures of equipment. The following summary includes all delays to vessels while transiting the locks due to the incidents mentioned:
Number of lockages delayed Aggregate delay caused all vessels
Gatun ____________________._____________________________________ 35 16 37 10 hours 00 minutes. 4 hours 13 minutes. 9 hours 24 minutes.
Pedro Miguel _____
Miraflores_______________________________....._________......._______
Total___________.......................................________
88 23 hours 37 minutes.

Maintenance and Construction
Regular inspection and maintenance was continued for all locks machines and equipment. Routine tests and inspections were regularly carried out with a view to detecting weak points and potential failures before breakdowns occurred. Where inspection and tests indicated that a mechanical or electrical part of a device was in need of replacement or repair, appropriate action was taken by the operation and maintenance forces of the locks.
The modernization of the electrical power and distribution system of the locks and preparation of plans for the future program were continued. A major part of the design work for the Pacific locks has been completed and design work for the Atlantic locks has been started. The construction of all track transformer rooms at the Pacific locks wTas completed during the fiscal year, and unit substations, sectionalizing switches, and lighting transformers have been


24
report of the governor of the panama canal
installed in all rooms. The construction of duct lines from above-ground transformer rooms to the locks tunnels has been completed.
Delivery of six towing locomotives built by the Mechanical Division for the Pacific locks was effected during the fiscal year.
Overhaul of Miter Gates at Pacific Locks
A major overhaul of eight miter-gate leaves was accomplished at the Pacific locks during the fiscal year. Miscellaneous minor maintenance and repair work also was performed in the unwatered chambers within the limitation of available time and personnel.
The major items of work accomplished consisted of the following:
(a) Gates Nos. 116, 117, 118, and 119 at Miraflores and gates Nos. 64, 65, 66, and 67 at Pedro Miguel locks were unhinged and all bearing plates, yokepins and bushings, pintles and pintle bushings, sills, and bottom seals were renewed. Four lower pintle castings and two upper pintle castings also were renewed.
(b) Accessible corroded areas on all gates, valves, and other underwater equipment were cleaned and painted.
(c) Upper pintle castings on 24 gates were drilled for pintle lubrica-cation.
(d) Cathodic protection installations on miter gates at Miraflores locks were repaired.
(e) Gate latches, wood and rubber seals, and other miscellaneous items were repaired as required on all gates.
Power for Canal Operation
The table below summarizes and gives pertinent data relative to the electric power generated by the power system of The PanamaCanal for the past three fiscal years:
[Kilowatt hours]
Fiscal year
1950 1949 1948
Gross power generated: Gatun hydro station________________________________ 96,841, 500 154, 592, 500 608,700 99, 534,100 149,214,900 21,670, 200 103,912, 400 143,874, 700 17, 771,300
Madden hydro station........_________.........____ Diesel stations______________________________________
Total generated__________________________.....____ Consumed in station service..............______________ Net generator output_____________________________...... Distributed to consumers......______......____________
252.042,700 2,383, 512 270,419,200 2, 799,235 265, 558,400 2,647,448
249,659,188 225, 776, 281 23,882, 907 9.6 47,600 July 11, 1949 267,619, 965 241,325,061 26, 294, 904 9.8 48, 900 JaD. 10, 1949 262, 910, 952 235,682,203 27. 228,749 10.4 47.800 Mar. 8, 1948
Transmission loss: Kilowatt hours_____ _______________________________
Percent_____________....._____________._____________
Peak load (kilowatts)_______________......._______...... Date ________ ________



report of the governor of the panama canal 25
The six Diesel-electric stations were not operated for water-conservation purposes during the fiscal year. The gross generated 608,700 kilowatt-hours were used for supplying peak demands.
Generating unit No. 4 of the Gatun hydroelectric station was out of service for about three and one-half months during the year for general overhaul. Considerable rehabilitation work also was performed on generators Nos. 1, 5, and 6 at this station.
At Madden Dam hydroelectric station No. 3 generating unit was removed from service on May 19, 1950, for general overhaul.
The rehabilitation of the Balboa substation discussed in last year's report was practically complete at the end of the fiscal year 1950.
In March 1950 the work of relocating Gamboa substation was begun, as well as the installation of new switchgear and additional transformer capacity.
Overhaul of Diesel engines and associated equipment was performed at the various Diesel-electric stations following extensive operation during the 1948-49 dry season.
Dining the year service was temporarily interrupted at various substations on nine occasions. There were 18 transmission-line failures during the year, of which 4 were caused by lightning flashover, 1 by a line-wire break, 6 by animal contact, 1 by faulty operation of protective relays, and 6 from undetermined causes.
Water Supply and General Weather Conditions Water Supply
The water requirements of the Panama Canal for hydroelectric power, lockages, and municipal use are supplied by the Madden and Gatun Lakes, which serve as storage reservoirs for a drainage area of 1,285 square miles. All outflow from Madden Lake, whether spilled at Madden Dam or drawn for the use of the Madden hydroelectric station, flows into Gatun Lake, and, together with the direct inflow from the area downstream from Madden Dam, is available for Gatun Lake uses. The total inflow into Madden and Gatun Lakes during the year ended June 30, 1950, amounted to 239,971 million cubic feet, which is 16 percent above the average inflow for the 36 years since the formation of Gatun Lake. Evaporation losses from Madden and Gatun Lakes totaled 22,059 million cubic feet, leaving 217,912 million cubic feet available for use.
For further details on water supply and expenditures, see table No. 44, section V.
Storms and Floods.No storms occurred during the year with wind velocities high enough to cause any material damage to CanaJ


26
report of the governor of the panama canal
structures. A norther occurred on December 6, 1949, which produced flood conditions in the Gatun Lake Basin, resulting in a runoff of 10 billion cubic feet. The maximum discharge from Madden Dam during the year was 35,280 cubic feet per second on July 13, 1949.
Dry Season, 1950.The 1950 dry season was considerably shorter than normal. The period during which the flow into Madden and Gatun Lakes was not sufficient to provide water for evaporation losses from lake surfaces and for Panama Canal uses extended from December 26, 1949, to April 28, 1950, a total of 124 days. The total inflow into Madden and Gatun Lakes during this period was 18,669 million cubic feet. Water expenditures for the same period amounted to 47,231 million cubic feet, consisting of 10,475 million cubic feet evaporation loss from lake surfaces and Gatun Lake water use of 36,756 million cubic feet. The dry-season draft on lake storage amounted to 28,562 million cubic feet, of which 12,230 million cubic feet were drawn from Madden Lake and 16,332 million cubic feet from Gatun Lake.
Lake Elevations.During the fiscal year ended June 30, 1950, Madden Lake varied in elevation between a maximum of 253.45 feet on December 6, 1949, and a minimum of 224.07 feet on April 29, 1950, a total range of 29.38 feet. Gatun Lake varied in elevation between a maximum of 87.19 feet on December 25, 1949, and a minimum of 83.49 feet on April 28 and 29, 1950, a total range of 3.70 feet. Elevations on June 30, 1950, were 242.92 feet for Madden Lake and 85.25 feet for Gatun Lake.
Rainfall.The rainfall in the Canal Zone during the fiscal year ended June 30, 1950, was generally above normal at most locations except in the central section where a well-marked deficiency occurred. Along the line of the Canal channel, annual totals ranged from a minimum of 74.37 inches at Balboa at the Pacific terminal to a maximum of 140.42 inches at Cristobal at the Atlantic terminal, 5.89 inches and 10.63 inches above normal, respectively. The month of maximum rainfa 1 was November 1949. The maximum monthly amount recorded during the year was 38.85 inches at Agua Clara in November 1949. January was the month of least rainfall, with the average monthly total of 0.71 inch.
Air Temperatures
There was little variation in air temperatures throughout the year, no monthly mean at any station departing more than 2 degrees F. from the annual mean. Annual means and extremes at Canal Zone stations for the fiscal year are given in the following tabulation:


report of the governor of the panama canal 27
Station 1950 maximum 1950 minimum 1950 mean (F.) Departure (F.)
F. Date F. Date
Balboa Heights____............. 96 Apr. 17,1950 67 Dec. 23,1949 79.7 -0.6
Madden Dam................ 94 June 17,1950 64 Jan. 24,1950 79.4 +0.4
Cristobal....................... 91 June 9, 19.c0 70 Dec. 23, 1949 79.4 -1.3
Annual extremes and means on record at the above stations are as follows:
Station Absolute maximum Absolute minimum Annual mean (F.)
F. Date F. Date
Balboa Heights____.................._____..... 97 98 95 Apr. 27,1948 Apr. 13,1920 Oct. 18,1924 63 59 66 Jan. 27,1910 Feb. 4,1924 Dec. 3,1909 80.3 79.0 80.7
Madden Dam.....____________......__________ Cristobal................._____________________

Winds and Humidity
Wind velocities for the year averaged 6 miles per hour at Balboa Heights on the Pacific coast and 9 miles per hour at Cristobal on the Atlantic coast. Monthly mean velocities at Balboa Heights ranged from 4 miles per hour during June to 9 miles per hour in February. Monthly mean velocities at Cristobal ranged from 6 miles per hour in September to 16 miles per hour during February. The most frequent directions were northwest along the Pacific coast and northeast along the Atlantic coast. Maximum velocities for five-minute periods were 28 miles per hour from the north on March 30, 1950, at Balboa Heights and 28 miles per hour from the northwest on October 17, 1949, at Cristobal.
The relative humidity averaged 85 percent at Balboa Heights and 84 percent at Cristobal. Monthly means at Balboa Heights ranged from 76 percent in April to 91 percent in June, and at Cristobal, from 78 percent in February to 90 percent in November.
Tides
During the fiscal 37ear ended June 30, 1950, absolute tidal ranges at Canal terminals were 21.8 feet on the Pacific coast and 2.5 feet on the Atlantic coast. At Balboa, the Pacific terminal of the Canal, the following extremes occurred: Highest high water 11.3 feet above mean sea level, lowest low water 10.5 below mean sea level, with the greatest range between consecutive tides 20.4 feet. At Cristobal, the Atlantic terminal of the Canal, the following extremes occurred: Highest high water 1.56 feet above mean sea level, lowest low water 0.94 feet below mean sea level, with the greatest range between consecutive tides 1.92 feet.


28 report of the governor of the panama canal
Seismology
Three earthquake shocks were felt by Canal Zone residents during the fiscal year ended June.30, 1950. All were light and caused no damage in the Canal Zone area. The three shocks felt were rated in the Canal Zone at Intensities I, II, and III. The shock, rated at Intensity I, occurred on July 15, 1949, at 6:46 p. m. Its point of origin was about 105 miles from Balboa. The second shock, rated at Intensity II, was slightly stronger and occurred on August 18, 1949, at 8:34 a. m. with its epicenter about 220 miles from Balboa in the vicinity of the city of David, Chiriqui Province, Republic of Panama. The third shock, rated at Intensity III, occurred on March 24, 1950, at 7:08 a. m. with its epicenter about 110 miles from Balboa in the vicinity of Santiago, Veraguas Province, Republic of Panama. Including the three shocks which were felt in the Canal Zone, the seismographs at Balboa Heights recorded a total of 68 seismic disturbances during the fiscal year 1950.
Marine Activities
Traffic through the Canal, which reflects to a large extent the volume of work performed by the Marine Division, is fully discussed earlier in this report under "Statistics on Canal Traffic."
Harbor Activities
The following table shows the number of vessels handled at docks of the terminal ports of Balboa and Cristobal for the fiscal year 1950 as compared with the two previous years:
Cristobal Balboa
Fiscal year Fiscal year
1950 1949 1948 1950 1949 1948
Number of vessels docked: Handling passengers and/or cargo_____ For all other purposes_________________ Total_______________________________ 1,341 1,134 1,235 1,087 1,147 1,073 370 499 343 578 358 621
2,475 2,322 2,220 869 921 979
Aids to Navigation
On June 30, 1950, there were in service in the Panama Canal and its approaches 756 aids to navigation maintained by the Aids to Navigation Subdivision. These were classified as follows: Acetylene gas-operated, 113; electrically-operated, 334; unlighted, 309. Included in the above are two automatic accetylene gas-operated lighthouses, located at Morro Puerco and at Jicarita Island on the coast of Panama


report of the governor of the panama canal
29
in the Pacific approach. Two visits were made to these aids during the year for the purpose of inspecting and servicing the equipment.
Accidents to Shipping
The Board of Local Inspectors investigated and reported on 30 accidents to shipping in Canal Zone waters during the fiscal year 1950; a summary of which follows, together with a comparison of accidents in the two previous years:
Cause of accidents
Collision_________________
Ship struck lock wall____
Groundings______________
Ship struck by lock gates
Ship struck dock---------
Ship struck Canal bank. Other causes_______......
Total________......
Fiscal year
1950 1949 1948
4 4 6
16 5 4
2 1
2 2
1 5 2
1 2 2
4 3 5
30 21 20
Inspections
Complete inspections were made of the hulls, power plants, and equipment of 20 American vessels and 27 foreign vessels, and certificates of inspection were issued. Fifty-two hulls of commercial, Panama Canal and Panama Railroad vessels were inspected in dry dock. Twenty steam boilers were inspected and certificates issued. Eighty-nine air tank pressure vessels and twenty-one carbon dioxide fire extinguishing systems were inspected. Annual inspections were made and certificates of seaworthiness issued to 375 motorboats.
Salvage and Towing
During the fiscal year 1950 the following towing and salvage work was performed by the Marine Division tugs for private interests:
On August 18, 1949, the tug Gorgona II was dispatched to assist the M. S. Achille Paladlni which was disabled at sea; on March 30, 1949, the tug Arraijan was sent to tow the S. S. H. D. Collier which had lost its propeller at sea; on October 5, 1949, the tug Taboga sailed from Gatun to Corinto, Nicaragua, to tow the tuna boat M. S. Martin B. to Balboa; on January 15, 1950, the tug Taboga was dispatched from Balboa to the Galapagos Islands to tow to Balboa the tuna boat M. S. Sun Queen which had been disabled; on February 14, 1950, the tug Taboga freed the S. S. Portmar which was aground on the west bank of the Canal; on April 4, 1950, the tug Taboga went to the assistance of the coastal craft, the M. S. San Pablo, and towed the vessel to Gatun; and on March 20, 1950, the tugs Arraijan and Gorgona assisted in extinguishing a fire in the S. S. Santa Rita.


30 report of the governor of the panama canal
Operation of Tugs
The following statistics summarize the service of tugs used in marine activities (as distinct from dredging) during the past three fiscal years:
Operating hours, fiscal year Jobs handled, fiscal year
1950 1949 1948 1950 1949 1948
Cristobal_________________________________ Total_______________________________ 5,861 3,326 5,412 3,708 5,811 3, 526 5, 270 2,200 4,829 2,490 4,632 3,096
9,187 9,120 9,337 7,470 i 7,319 7, 728
i Corrected figure.
The above table does not include statistics for tugs which were occasionally borrowed from dredging service to assist vessels during emergencies.
This fiscal year set the highest record for tolls-paying ocean-going vessels since 1939. A total of 5,448 ships transited the Canal. Fiscal year 1950 also saw the first German craft to transit since the outbreak of hostilities.
Maintenance of ChannelOther Dredging Activities
Dredges were operated throughout the year on the maintenance of the Canal channel, terminal harbors, and on various special projects. In the fiscal year 1950 the total material excavated amounted to 8,890,000 cubic yards. This is 15 percent less than the amount removed in fiscal year 1949 but 25 percent greater than the amount removed in fiscal year 1948. A summary of dredging operations and of operating equipment employed for the year will be found in Tables Nos. 45 and 46 in section V.
Ordinary Channel MaintenanceCanal Prism Dredging
Central DistrictGatun Lake.A total of 1,551,200 cubic yards of material was removed in maintaining the Gatun Lake section of the Canal channel. This dredging was performed by the dipper dredge Paraiso and the pipe-line suction dredge Las Cruces as follows:
Equipment Days worked Cubic yardage dredged
Earth Kock Total
Paraiso ________________________ 2% 56)4 2,200 1,476, 700 2,300 70,000 4,500 1,546, 700
Las Cruces _____________________......________
Total _______.........-............
59H 1,478,900 i 72,300 1,551,200

' Unmined.


report of the governor of the panama canal 31
Gaillard Cut.A total of 565,700 cubic yards of material (exclusive of slide excavation) was moved in maintaining Gaillard Cut. This dredging was performed by the dipper dredges Cascadas and Paraiso and the pipe-line suction dredge Las Cruces as follows:
Equipment Days worked Cubic yardage dredged
Earth Rock Total
Cascadas_______________________________ 44 43 7 132, 400 106,600 210, 000 57, 200 40, 500 19,000 189, 600 147,100 229,000
Paraiso_____ _______________________________________
Las Cruets_____ ________________________________
Total ........................_______
94 449,000 1 116, 700 565, 700

Unmined.
Project Aro. 13.This project, which consists of widening Culebra Reach by 200 feet to the westward, was started in January 1935 and has been continued on a low-priority basis since that time. A total of 245,900 cubic yards of material, consisting of 97,400 cubic yards of mined rock, 108,700 cubic yards of unmined rock, and 39,800 cubic yards of earth, was sluiced into the Canal prism to be removed by regular dredging operations. During 1950 dipper dredges excavated a total of 499,500 cubic yards from this project, as follows:
Equipment Days worked Cubic yardage dredged
Earth Rock Total
Cascadas_______________________________________________________ 80 26!4 69,800 15, 900 305, 700 108,100 375, 500 124, 000
Paraiso_________________________________________________________
Total...........................______.......____........
10654 85,700 1 413, 800 499, 500

i 195,000 cubic yards shore mined; 218, 800 cubic yards unmined.
Pacific DistrictMiraflores Lake.A total of 232,000 cubic yards of earth was removed in maintaining the Miraflores Lake section; this work was performed by the pipe-line suction dredge Las Cruces.
Pacific Entrance.The pipe-line suction dredge Mindi performed the following dredging operations at the Pacific entrance of the Canal during the year:
Nature of work performed Days worked Cubic yardage dredged
Earth Rock Total
Maintenance................_____________.................... 53 2 1,625, 500 23, 600 24,000 25,400 1,649, 500 49.000
Project No. 1deepening entrance channel.................____
Total..............______................................
55 1,649,100 49, 400 1, 698. 5C0

1 18,200 cubic yards mined; 7,200 cubic yards unmined. J 18,200 cubic yards mined; 31,200 cubic yards unmined.


32 report of the governor of the panama canal
Auxiliary DredgingOther Projects
Atlantic DistrictCristobal Inner Harbor.The pipe-line suction dredge Mindi performed the following inner harbor dredging operations during the year:
Nature of work performed Days worked Cubic yardage dredged
Earth Rock Total
Maintenance, inner harbor......_____ ....._ __________ 4 40 81, 000 890, 000 4,000 249, 000 85, 000 1,139, 000
Dredging, approach_____......_________________
Total_____.........................____________________
44 971, 000 i 253, 000 1, 224,000

1 Unmined.
Pacific DistrictBalboa Harbor.The pipe-line suction dredge Mindi performed the following dredging operations in the Balboa harbor during the year:
Nature of work performed Days worked 58 21 Cubic yardage dredged
Earth Rock Total
Maintenance, harbor......._____________............__________ 2, 080, 000 783, 000 2, 080, 000 792,000
Project No. 1deepening harbor_________............._________ Total_____________________________________________________ i 9, 000
79 2, 863, 000 i 9, 000 2, 872, 000

1 Mined.
Slides
A total of 247,100 cubic yards of material was excavated from slides in Gaillard Cut during the fiscal year 1950. Slide activity throughout the Cut was somewhat greater than in recent years. Culebra Slide West continued to be the most active of all the slides.
The dipper dredges Cascadas and Paraiso were engaged during the year on the following slide projects:
Equipment Location Days worked Cubic yardage removed
Earth Rock Total
Cascadas _______ Powderhouse Slide East__________________..... 6 20 4 mi 1,100 52, 100 8, 400 91, 000 i 5, 400 53,100 12, 600 23,400 6, 500 105, 200 21, 000 114,400
Cascadas Culebra Slide West_______________....._________
Paraiso Culebra Slide West________ _____ ________
Cascadas Culebra Slide East
Total......
mi 152, 600 2 94, 500 247,100

1 400 cubic yards mined; 5,000 cubic yards unmined. 1 400 cubic yards mined; 94,100 cubic yards unmined.


report of the governor of the panama canal
33
Movements were observed in five other slides during the year. Numerous small bank breaks occurred which were limited to movements of minor consequence. There was no interference with shipping on account of slides during the year.
Excavation from slides in Gaillard Cut from June 30, 1913, to June 30, 1950, totaled 52,423,500 cubic yards.
Subsidiaiy Dredging Division Activities
Sand and Gravel.During the past fiscal year 14,851 cubic yards of sand and gravel of all classes (both run-of-bank and wrashed) were shipped from the gravel stock pile at Gamboa as compared with 25,990 cubic yards shipped in the previous year. There was no pumping of gravel into the stock pile at Gamboa during the fiscal year 1950.
Hyacinth Control and Other Activities.The Canal and adjacent waters through Gaillard Cut, Miraflores Lake and Gatun Lake (including all dump areas) were periodically patrolled throughout the year for the purpose of keeping the growth of hyacinths under control. Log booms at the mouths of the Chagres and Mandinga Rivers were maintained to prevent hyacinths, logs, floating islands, and other obstructions from entering the Canal channel during freshets or spilling at Madden Dam. During the year periodical inspection trips were made at the Chagres, Mandinga, Frijoles, and Azules Rivers and along the shores of Barro Colorado Island, Pena Blanca and Gi-gante Bays, Dumps Nos. 1 to 14, and Miraflores, Pedro Miguel, and Red Tank Lakes. Weekly inspection trips were also made of the Canal channel between Gamboa and Gatun.
It is estimated that 36,318,000 hyacinth plants were destroyed during the past year, of which 20,931,000 were pulled and 15,387,000 were sprayed; of the plants pulled, 6,747,000 were removed by debris cablewray. One hundred and twenty-four cords of driftwood were removed by the debris cableway during the past year and an addi-"tional 126 cords of driftwood were picked up along the banks of the Chagres, Mandinga, and Cocoli Rivers, Gaillard Cut and Gatun, Miraflores, Pedro Miguel and Red Tank Lakes.
Ferry Service
Thatcher Ferry service was continuous throughout the past year with the exception of the period from August 1 to December 5, 1949, during which time service was suspended to permit reconstruction of the east and west ferry slips and racking, and for four nights during June 1950 when the east and west rackings were being repaired. During these periods of suspended service, all traffic was routed over


34 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Miraflores Bridge. This ferry crosses the Canal at the Pacific terminal and connects Balboa on the east bank with Thatcher Highway on the west bank. Service was maintained by rotating the three ferry boats, Presidente Amador, President Roosevelt and Presidents Porras, keeping two of these ferries in continuous service.
In the following table are shown the more important statistics relative to operations of the Thatcher Ferry for the past three fiscal years:
Fiscal year
1950 1949 1948
Single trips made ___________________......__________ 33,674 53,793 55, 736
Vehicles carried: United States military vehicles.....________.....--------- Commercial trucks______________________ ___________
9,422 22,152 66,156 103, 601 200,693 10, 681 33,995 101,928 147, 414 255,066 10,884 44,932 117,856 152,048 245,771
Commercial passenger cars________________________________ Private cars ________________________________......____
Total vehicles carried _______________ __________
402,024 549,084 571, 491

2,215,392 2,922, 970 3,036,065


Section II
BUSINESS OPERATIONS
The business enterprises operated by The Panama Canal and by the Panama Railroad Company embrace a number of activities which in the United States would normally be carried on by private enterprise. These activities have been developed to meet the needs of shipping passing through the Canal and of the Canal-Railroad, the armed services, and their employees. The business enterprises include the supply of fuel, provisions, ship chandlery, and repairs to vessels; the provision of public utility services; the maintenance of living quarters, and the sale of food, clothing, and other essentials to Canal and Railroad employees; the handling of cargo and allied operations; the operation and management of a railroad line; and a steamship line 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 Company.
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 and sanitation of the Canal Zone. The annual appropriation acts for The Panama Canal authorize the expenditure and reinvestment of all moneys received from the conduct of auxiliary business activities, with the proviso that any net profit derived from such business activities shall be covered annually into the Treasury of the United States. During the fiscal year 1950 Panama Canal business operations produced a net revenue of $577,564.
Mechanical and Marine Repair Work
Transfer of Mechanical and Marine Repair Facilities
The volume of work available to the mechanical and marine repair facilities (Mechanical Division) declined to such an extent in the fiscal year 1950 that it was deemed advisable that the Balboa shops be
35


36 report of the governor of the panama canal
closed and that the principal activities of the Division be consolidated with the smaller plant on the Atlantic side of the Isthmus. Theinac-tivatioii of the Balboa shops and the substantial reductions in operating forces were scheduled to coincide with the completion of the careening of the last of four United States Navy floating dry docks during the latter part of May 1950. The transfer involved the greater part of the personnel retained under the general retrenchment program, and some equipment. The activities which remained at the Balboa shops included the foundry, the gas-manufacturing plant, and the instrument repair shop. The large dry dock at Balboa, along with certain heavy equipment not duplicated at the Cristobal installation, will be kept in a state of readiness should their use be required in an emergency.
Gj'oss Revenues
On the basis of revenues received for work accomplished, there was an over-all decrease of 20.4 percent in the volume of business of the Mechanical Division in comparison with the fiscal year 1949. The reduction in work required by commercial interests caused revenues from that source to decline $474,091, or 29.9 percent, from the previous year. Revenues from United States Army sources declined 61.7 percent, while those from the Panama Canal and Panama Railroad Company were off 1.8 percent and 56.2 percent, respectively. On the other hand, revenues from the United States Navy advanced from $1,073,287 in the fiscal year 1949 to $1,303,243 in the fiscal year 1950, an increase of $229,956, or 21.4 percent.
The following table shows the class and source of work for the past two fiscal years:
Fiscal Year 1950 Fiscal Year 1949
Revenues Percent of total Revenues Percent of total
Class: Marine___________ ________________________ $3, 278,274 336,087 234,724 645,868 72.9 7.5 5.2 14.4 $3,704,800 792,450 379, 211 768, 887 65.6 14.0 6.7 13.7
Railroad_________................__________ Fabricated stock___________________________ Sundries_______________________......_____ Total...... _________________
4, 494,953 100.0 5, 645,348 100.0
Origin: The Panama Canal______................ Panama Railroad_________________.....____
1, 460, 525 382,058 240,768 1, 303, 243 400 1,107,959 32.5 8.5 5.4 29.0 1, 487, 589 871,865 628, 563 1, 073. 287 1,994 1,582,050 26.4 15.4 11.2 19.0
Other U. S. departments: Army_______....._________........... Navv_______________________.__________ All other _________
Commercial__________.....______........ Total_________...........________________ 24.6 28.0
4, 494, 953 100.0 5,645, 348 100.0



REPORT OF THE GOVERNOR OF THE PANAMA ( ANAL 37
Marine Repair Work
The work load for commercial interests, which suffered ;i drastic decline in the previous fiscal year continued its downward trend throughout the fiscal year 1050 without any apparent indication that there would be a change for the better in the immediate future. Insofar as marine work for private interests is concerned, it became increasingly evident that unless such work was of an absolute or critical emergency nature the ship would proceed to its home port. Work on ordinary or running repairs of any size could be secured only when it was seemingly expedient to have such work performed in conjunction with emergency repairs (in order that a vessel might not be delayed at some subsequent port), or when dry-docking and repair facilities could not be obtained at some other port. Some of the principal factors which contributed to this situation, and which are common to the entire shipyard-repair industry, are as follow-:
(a) The increasing development of the ship-repair yards and related facilities in foreign repair yards; (b) the devaluation of foreign currency; (c) modern ships have a comparatively low age, and with modern machinery equipment require less maintenance and repairs and do not require the services of the repair yards as frequently as the old-type vessel; (d) high wages and material costs; and (e) the practice of vessels of United States registry to make every effort to have1 all repairs and services performed at home ports during turnarounds preparatory to the next voyage.
In the fiscal year 1950 there were only three commercial vessels, which might be classified as of major tonnage, dry docked in the large dry dock at Balboa; two were of foreign registry and one of United States registry. Although the great majority of the marine repairs performed for commercial interests during the year were of a minor nature, there were 16 calls for service with billings ranging from $14,723 to $58,775.
The heavy workload provided by the United States Navy in the previous fiscal year continued throughout the fiscal year 1950. This work consisted of careening, transiting, and righting of the floating dry docks AFDM-3 and AFDM 7, and the careening and transiting of AFDM-9. The experience gained in the previous fiscal year in the careening and righting operations performed with the AFDM 1 (described in the Governor's Annual Report for 1949) enabled the work to be performed on the AFDM-3, AFDM-7, and AFDM-9 with efficiency and dispatch. The balance of the work performed for the United States Navy consisted principally of routine dry dockings and repairs to locally based craft.
92539451-4


38 report of the governor of the panama canal
The work performed for the United States Army declined substantially during the year. This decline was of particular significance since Army work in the past provided a stable workload for the Mechanical Division's shops. The severe decline resulted from the absorption of the Army's marine functions by the Military Sea Transport Service and the withdrawal of the marine equipment formerly operated by United States Army personnel.
The revenue derived from Panama Canal sources remained at approximately the same level as in the previous fiscal year. Such work provided the Division with a steady volume of work during the year, and thus assumed greater importance with the rapidly diminishing workload from other sources. The major jobs accomplished during the year for the Panama Canal divisions included the construction of six towing locomotives for the Locks Division; the construction of two launches (U. S. S. Bonefish and U. S. S. Plover) for the Marine Division; and the general overhaul of the dredge Mindi, and the dry docking for general repairs of the dredge Paraiso and the ferryboat Presidente Porras for the Dredging Division. The dry docking and repairing of numerous barges for the Dredging Division also were accomplished.
The railroad roundhouses and car shops were transferred to the Panama Railroad Company effective February 1, 1950, and from that date the maintenance and repair of locomotives and cars previously performed by the Mechanical Division became a function of the Panama Railroad Company.
The following statement shows the number of vessels and the total "ship days" for each category of vessels repaired at Balboa and Cristobal for the fiscal year 1950:
Balboa Cristobal Total
Category
Number Ship Number Ship Number Ship
of ships days 1 of ships days 1 of ships days 1
Commercial___________.......____________ 194 886 503 910 697 1,796
U. S. Army_______________________________ 10 99 45 296 55 395
U. S. Navy.......________________________ 29 485 33 438 62 923
Panama Canal____________________________ 29 777 31 447 60 1,224
Total, 1950........_______........ 262 2,247 612 2, 091 874 4,338
Total, 1949__________..........._____ 398 2, 647 798 2,409 1,196 5,056
i Total days consumed in repairing number of ships indicated.


report of the governor of the panama canal
39
Dry Docks and Marine Railways
The following table summarizes dry dock and marine railway operations during the fiscal year 1950, with comparative figures for the two preceding years:
[Number of vessels dry docked]
Category Fiscal year 1950 Fiscal year
Balboa dry docks Cristobal dry docks and marine railways Total 1949 total 1948 total
U. S. Army.........._____........______...... U. S. Navy____________________________________ Commercial___________________________________ 5 8 23 13 12 14 18 20 37 25 16 58 39 19 71
Total outside interests_____.............. Panama Canal..................______________ Panama Railroad....._________________________
36 12 1 39 13 75 25 1 99 22 1 129 23 1
Grand total___________...................
49 52 101 122 153
Shop Work
Shop work for the fiscal year 1950 consisted of the usual manufacturing work performed for the storehouse, plus the fabrication of shore pipe, pontoons, balljoints, and other miscellaneous castings and forg-ings required by the Dredging Division. Work was started on the stainless-steel facing of the wickets and the installation of a new turbine runner and stainless-steel wearing rings for the No. 3 generating unit at Madden Dam hydroelectric station. The fabrication and assembly of the last of six towing locomotives for the Locks Division was completed during the year.
Plant Improvement
The consolidation of the Mechanical Division's shops at Cristobal necessitated alterations and extensions to various buildings in the shop area so that the transferred machine tools, equipment, and personnel might be properly accommodated. The fabrication of the steel parts of the new steel cradle for marine railway No. 2, Cristobal shops, was begun during the year. Plant maintenance work was limited to absolutely essential items, and the plant improvement program was reduced to improvements most urgently required.
Electrical Work
The principal activities of the Electrical Division are the operation and maintenance of the electric light and power system, the construction and maintenance of electrical facilities as required by the Panama Canal and other Government agencies, and the performance of services


40 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
for vessels undergoing repairs at the Canal terminals. The Electrical Division operates and maintains the telephone, telegraph, electric clock and printing telegraph systems owned by the Panama Railroad Company.
Following is a comparison of the two principal classes of expendit ures of the Electrical Division for the past three fiscal years:
Fiscal year
1950 1949 1948
Electrical construction and maintenance work___ .....____ Maintenance and operation of electric power system__________ $1, 757.350 1,493,020 $1,799, 459 1,456,618 $1,417,900 1,327,370
Among the principal projects of electrical work carried on during the year were the modernization and rehabilitation of the telephone and electrical facilities of the Pacific locks; installation and the maintenance of electric ranges; the completion of the rehabilitation project for Building 29 in the Balboa shops area; the rewiring and the installation of electrical facilities in sections C and D at Gorgas Hospital; the installation of 60-cycle and direct current outlets on docks Nos. 13 and 14 in Cristobal; the installation of duplicate 2,300-volt service to the transformer houses in the Balboa "Flats" and Gavilan areas; the rewiring of all the permanent buildings at Fort Gulick and the replacing of gas heaters with electrical water-heating units on that post; the improvement of the street-lighting systems in the various town-sites; the completion of electrical service installations to the new Balboa Theater; the modernization and rehabilitation of the electrical control systems for the east and west ferry slips at Thatcher Ferry in Balboa; the wiring and installation of electrical facilities of the newly constructed quarters of both U. S.-rate and local-rate employees; and the rewiring and the installation of electrical equipment in the Cristobal shops.
Information concerning the principal construction projects undertaken and the operation of the power system are given on page 24 of this report under the general heading of Canal operation. The expenditures shown in the above table include interdepartmental transactions.
Purchases in the United States
The principal purchases of supplies for The Panama Canal were made, as heretofore, through the Washington office of The Panama


report of the governor of the panama canal 41
Canal; the volume of the purchases is indicated by the following table:
Fiscal year
1950 1949 1948
Number of purchase orders placed............................ Value of orders placed -...........___________........ 8,142 $4,806,613 14,544 $8,232,577 626 $674, 428 $24,431 8,667 $8,118,372 15,769 $12,262, 553 680 $638,898 $41,614 7,857 $7,341,563 16,112 $8,572,247 770 $2, 245,799 $33,505
Number of disbursement vouchers prepared.................. Value of above vouchers ........___________________________
Number of collection vouchers prepared -..................... Value of above vouchers___.......__________..................
Cash discounts taken .............._____________......_______

Storehouses and Ship Chandlery
In addition to the main functions of requisitioning, storing, and issuing general supplies for the Canal and Railroad (exclusive of the merchandising operations of the Commissary Division), the Panama Canal storehouses sell ship chandlery and other supplies to commercial shipping, as well as to units of the United States armed services. The following figures indicate the volume of material and supplies cleared through the stores' accounts during the past 3 years:
Fiscal year
1950 1949 1948
General storehouses
Gross revenuessales and issues......................._______ $10,604,991 $9,835, 253 $10,149. 528
Cost of materials, plus operating expenses.............._______ 10,445,175 9,545, 261 9,600,099
Net revenues....._____________________......_.....----- Inventory as of June 30 1______________________......--------- 159, 816 289,992 549, 429
10,442,482 12,822,149 10,841,644
' This includes all materiarandjsupplies^of The Panama Canal, by far the greater part of which is in the general storehouses.
Obsolete and Unserviceable Property and Equipment
During the year disposition was made by sale, or by destruction where the items had no money value, of obsolete or unserviceable property and equipment which had an original value of $2,241,545. Replacements were made as necessary.
Bulk Petroleum Products
All deliveries of fuel oil, Diesel oil, gasoline, and kerosene to and from storage tanks, for private companies and for The Panama Canal, are made through pipelines and pumping plants owned and operated by The Panama Canal.


42
report of the governor of the panama canal
In the fiscal year 1950, a total of 9,792,523 barrels of fuel and Diesel oil were handled by the oil-handling plants, as compared with 11,140,830 barrels in the preceding fiscal year. These plants also handled 41,415,768 gallons of gasoline and kerosene in the fiscal year 1950, in comparison with 40,924,876 gallons in the preceding fiscal year.
See table No. 47, section V, for further statistics on the oil-handling plants.
Building Construction and Maintenance
The principal projects of building construction for The Panama Canal completed by the Building Division in the fiscal year 1950 are shown in the following paragraphs. Unless otherwise specified, the items listed are new projects:
Ancon-Balboa.Alteration and conversion of two four-family concrete quarters from two-bedroom to three-bedroom type; fire protection in Administration Building, Balboa Heights; Balboa Theater; alterations to Balboa and Ancon clubhouses; steam plant and replacement of elevator at section D, Gorgas Hospital; steel erection in connection with 11,000-volt outdoor substation, Balboa; Balboa gymnasium addition.
Diablo Heights.One type-218 and two type-112 composite quarters; one type-322, two type-323, and two type-324 masonry quarters.
Cocoli.Conversion of one four-family one-bedroom quarters to two-family three-bedroom quarters.
La Boca.Vocational school; occupational high school.
Gamboa.Distribution house for substation.
Silver City.Convert 36 type-S-121 local-rate quarters to four- and six-family apartments; occupational high school.
Margarita.Three type-112 composite quarters.
Cristobal.Air conditioning of clubhouse theater; replacing elevator at Colon Hospital; repairs to wood shop and saw-filing building, Mechanical Division; alterations to commissary.
Mindi.Four type-128 composite quarters and one 8-room masonry bachelor quarters.
Camp Bierd.Rehabilitate clubhouse.
Camp Coiner.Four type-130, one type-131, two type-135, six type-137, three type-138, five type-139, four type-140, five type-141, one type-142, and one type-143 masonry local-rate quarters. In addition to the principal projects listed above which were completed during the year miscellaneous work was also performed for The Panama Canal and Panama Railroad Company units, the armed services and employees. The volume of operation as measured in finan-


report of the governor of the panama canal 43
cial terms totaled $4,280,785, as compared with $5,912,405 in the fiscal year 1949.
The total volume of work for the past three fiscal years is summarized in the following table:
Fiscal year
1950 1949 1948
For Canal divisions_______.............___............________ $3,016, 532 382,063 882,190 $4, 588, 590 225,615 1,098, 200 $3,125,632 266, 723 824, 912
For Panama Railroad Company........................._____ For other departments of the Government, employees, and others_______________________________________________________
Total.........................._________...........
4,280, 785 5,912,405 4, 217, 267

Note.Includes funds spent from capital allotments which are not taken up in net revenue appearing in table 15, sec. V.
Quarters
For U. S.-rate employees.Replacement of quarters was continued, a total of 31 apartments in eight houses of one- and two-family types having been completed during the year in the Balboa district. During the year a transfer of Fort De Lesseps from the Army was completed and, as a consequence, eight buildings with a total of 20 apartments were acquired for Atlantic side employees. At the close of the fiscal year, 16 additional buildings comprising 19 apartments were under construction at Balboa in continuation of the replacement program.
On June 30, 1949, there were 42 applications for family quarters from regular employees in all districts, and on June 30, 1950, 27 applications were on file. These figures represent applications from regular employees for assignment within their official work districts, a few of whom occupy quarters temporardy elsewhere, and all of whom are requesting particular types of quarters. The figures do not include 27 Mechanical Division employees who have been granted a somewhat special status and have not yet been reached for assignment to satisfactor}' quarters in Cristobal. In addition there were 321 applications on file for provisional or temporary assignment from employees of other agencies who are entitled to occupy available Canal quarters in accordance with assignment rules.
Under existing regulations, employees are required to have an assignment to family quarters before permission is granted for their families to come to the Canal Zone.
For local-rate employees.Construction of new housing was continued during the year, with 76 completed family apartments being occupied in the Camp Coiner area. At Mindi, 16 family apartments and one eight-room bachelor quarters were completed during the year.


44
report of the governor of the panama canal
At the close of the year, work on two masonry-type and 18 composite-type quarters at Camp Coiner was in progress. In Silver City, 28 of the 36 cantonment-type quarters converted to four- and six-family apartment-type quarters were released for assignment by the Building Division; five 12-family U. S.-rate quarters were converted to local-rate quarters at Gatun; one six-family quarters was converted to three-family quarters, and two barracks buildings were converted to dormitories at Balboa.
The demand for quarters for local-rate employees still greatly exceeds the supply. As of June 30, 1950, there were 933 applications for family quarters and 447 applications for bachelor quarters, a total of 1,380, as compared with 1,847 on file June 30, 1949.
Motor Transportation
The Motor Transportation Division is charged with the operation and maintenance of motor transportation for the departments and divisions of The Panama Canal and Panama Railroad Company. The centralization of transportation facilities in this Division and the requirement that it be operated on a self-sustaining basis have been for the purpose of supplying needed transportation at minimum cost to The Panama Canal and Panama Railroad Company. Repair work is also performed for employees and for contractors engaged in work for the Government of the Canal Zone.
The public transportation system of privately owned busses operating under the supervision and control of the Motor Transportation Division continued to carry employees and their families in and between the various towns of the Canal Zone; 99 busses were operating as of June 30, 1950.
Revenues of the division during the past year, including motor repair shop activities, totaled $1,836,537, and the expenses, $1,787,495, leaving a net revenue of $49,042 for the fiscal year 1950.
During the fiscal year, 89 cars and trucks, two trailers, and one motorcycle were purchased, and 125 cars and trucks, five trailers, and one motorcycle were retired. At the close of the fiscal year, 719 cars and trucks, 31 trailers, and five motorcycles were on hand.
Panama Canal Press
The operations of the Panama Canal Press were continued under the same policies as heretofore. The printing plant carries stocks of materials, and prints such forms, stationery, etc., as are required in connection with the operation of The Panama Canal and the Panama Railroad Company.


report of the governor of the panama canal
The printing facilities of The Panama Canal were consolidated into one unit with the transfer of the reproduction plant at Diablo Heights, formerly operated by the Special Engineering Division, to the supervision of the Panama Canal Press. In addition to regular reproduction work performed for Panama Canal and Panama Railroad units during the year, the Diablo plant assisted on several occasions in the production of special rush work for the Army.
The following is a summary of the financial operations of the Panama Canal Press during the past three years:
Fiscal Year
1950 1949 1948
Oross sales revenues .___........_____________________________ $667, 464 654,319 $630,145 614,634 $528,192 510,076
Total expenses (including cost of materials used in manufacturing and cost of stationery stores not processed)________________ Net revenues ___________.....________________________
13,145 15,511 18,116

Revenues Derived From Rental of Lands in the Canal Zone
Rentals for building sites and oil-tank sites in the Canal Zone totaled $61,412 for the fiscal year 1950 as compared with $64,957 for the fiscal year 1949. Rentals from agricultural land in the Canal Zone totaled $7,415 as compared with $6,943 for the preceding fiscal year. At the close of the fiscal year 1950, there were 588 licenses, covering 1,188 hectares of agricultural land, in effect in the Canal Zone. This is a reduction of 23 in the number of licenses as compared with the previous fiscal year and a reduction of 41 hectares in the area held under licenses. This reduction is largely the result of the policy adopted as a health measure in May 1935that no more licenses for agricultural land would be issued and that holdings under Licenses previously granted may not be sold or transferred.
BUSINESS OPERATIONS UNDER THE PANAMA RAILROAD COMPANY
The Panama Railroad Company was incorporated in 1849 under the laws of the State of New York for the purpose of constructing and operating a railroad across the Isthmus of Panama. When the concessions, rights, and property of the New French Canal Co. were purchased in 1004, ownership of the stock of the Panama Railroad Company was transferred to the United States Government. On June 30, 1948, the Company was reincorporated pursuant to section 304 (b) of the Government Corporation Control Act, comprising sections 245 to 256 of title 2, Canal Zone Code. The Governor of The Panama Canal is by statute the President of the Company.


46
report of the governor of the panama canal
Since the operations of the Railroad complement those of the Canal, the designation of the Governor of The Panama Canal as President of the Panama Railroad Company has insured complete 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 administration are included in this section.
In addition to the operations of the trans-Isthmian railroad, the business enterprises conducted by the Panama Railroad Company include the following: A steamship line operating between New York and the Canal Zone; 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 and to Government employees and their families; and the operation of a coaling plant, hotels, a telephone system, a dairy, and a laundry.
Trans-Isthmian Railroad
The railroad line operates between Colon, the Atlantic terminus, and Panama, the Pacific terminus. In addition the railroad serves all activities of The Panama Canal and of the Armed Forces located between the two terminal cities. Gross revenues from the operations of the railroad proper (not including subsidiary business activities) during the fiscal year 1950 amounted to $1,627,920 in comparison with $2,106,283 for the preceding year. Revenue freight totaled 219,541 tons, as compared with 291,183 tons during 1949, a decrease of 71,642 tons.
Comparative statistics covering the significant features of railroad operations during the past 3 years are presented in the following table:
Average miles operated, Colon to Panama Gross operating revenues_________________
Number of revenue passengers carried:
First-class____________________________
Second-class__________________________
Total_______________________........
Revenue per passenger-train-mile_________
Revenue per freight-train-mile _...........
Passenger-train mileage...................
Freight-train mileage...............______
Work-train mileage________.........______
Total train mileage________.........
Switch locomotive miles_____.........____
Fiscal year
1950 1949 1948
50. 93 $1,627,920 50. 93 $2,106, 283 50. 93 $2, 4%, 067
96, 738 220,792 126,508 270,254 182.043 319,062
317,530 396,762 501,105
$2. 27 $22.72 132, 247 49,175 2,643 $2.67 $27.49 151,379 53, 304 3,695 $3.34 $28. 36 148,268 69, 248 2,032
184,065 208,378 219, 548
102, 480 109,516 142,403


report of the governor of the panama canal
47
Receiving and Forwarding Agency
This division handles the dock and harbor activities of the Panama Railroad Company at the two terminals of the Canal. The following statistics summarize the result of operations for the past three years:
Fiscal year
1950 1949 1948
Total revenue $2,493,974 $2,621,919 $2,573,955
Total cargo handled and transferred across docks_____________ Cargo stevedored by Panama Kailroad Company_______....._ Cargo ships handled________________________________________
Tons 1,015,714 792, 474 Tons 1,189, 266 552,161 Tons 1, 297,963 520,908
1,755 29 2,455 78 2,881 58
Agency services furnished to vessels_____________.......
Coaling Plants
The volume of coaling-plant operations at Cristobal and Balboa for the past three fiscal years is shown in the following table:
Fiscal year
1950 1949 1948
Cristobal only Cristobal and Balboa
Gross revenues.............___________________________________ $294,330 $418,415 $468,856
Coal sold__________.............______________________________
Tons 11,860 8,089 Tons 16,601 19,828 Tons 19,357 10,026
Coal purchased................................

Telephone System
Gross revenues from the operation of telephones, electric clocks, and electric printing telegraph machines totaled $368,360, as compared with receipts of $367,257 for the preceding fiscal year.
During the fiscal year 1950, 1,774 telephones were installed and 1,803 were discontinued or removed, resulting in a net decrease of 29 telephones for the year. At the end of the fiscal year 1950, there were in service 6,112 telephones, as well as 31 electric clocks and 35 automatic printing telegraph typewriters. Telephone calls averaged 104,975 calls per day in the fiscal year 1950 and 108,639 per day in the fiscal year 1949 during the sample days tested. This represents an average of 17.2 calls per telephone per day in the fiscal year 1950, as compared with 17.7 in the fiscal year 1949.


48
report of the governor of the panama canal
Commissary Division
The primary function of the Commissary Division of the Panama Railroad Company is to supply at reasonable prices food, clothing, and household goods to meet the needs of United States Government personnel and the various Government departments on the Isthmus. In carrying out this function the Division operates wholesale warehouses, cold storage plants, a laundry and a dairy, as well as retail stores in each of the Canal Zone towns. Sales are restricted to agencies and personnel of the United States Government and others residing in the Canal Zone, except that ice, food, and other essentials may be purchased by commercial steamships passing through the Canal or calling at its terminal ports. '
Sales
Net sales for the fiscal year 1950 totaled $24,998,523, compared with $32,841,765 for the previous fiscal year. The value of merchandise on hand June 30, 1950, was $3,498,633, compared with $5,538,041 at the close of the fiscal year 1949. The ratio of sales to an average monthly inventory of $5,443,902 indicates a theoretical stock turnover of once in 11.3 weeks. The distribution of sales for the past three fiscal years is shown in the following table:
Fiscal year
1950 1949 1948
United States Government (Army and Navy)________________ The Panama Canal. _______________________ ... . $1,654,425 3,158, 531 263,269 689, 576 561,784 19,562, 560 $2,182,868 3,772,976 503, 501 1,195,550 1,029,970 25,102,830 $1,685,068 3,490,455 553,073 1,199, 869 1,244,759 25, 820,816
Panama Railroad Company.. _..........._........._ Individuals and companies_________......._________....._____ Commercial ships_______________________
Employees_______________ ______________................
Gross sales_________________________________.....
25,890,145 891,622 33, 787, 695 945,930 33,994,040 853,194
Less discounts, credits, etc.. ......................._______
Net sales________________ ...........________
24,998, 523 32, 841,765 33,140,846

Purchases
Purchases during the year aggregated $16,771,248, a decrease of $8,218,235 from the previous fiscal year. The following tabulation shows the value of the various classes of merchandise purchased for the past three fiscal years:


report of the governor of the panama canal 49
Fiscal year
1:011
1949
1948
Groceries.............
Candies and tobacco
Housewares..........
Dry goods............
Shoes........._______
Cold storage.........
Haw material........
Cattle.........._____
Milk and cream......
Dairy products _____
Dairy farm herd____
$5,907, 799 925,405 1,070,504 2,429,162 798,099 2, 409, 429 1,187,560 438,895
$8, 770,902
3,137, 466
SIS, 513 4,338,643
1, Sis, I'.IT 665, SII7 152,262
2, 406, 725 135,164
1,0117,319 1,678,455
$8,241,152
1,225,249 2,139,608 5,412, 270 I.0NX, 131 4,655,911 1,921,722 562, 591 180,599 3,011,555 161,295
68, 870 1,482,537
52, 9ss
Total
16, 771.21S
24,989,483
28, 600,383
Hotels
The Hotels Tivoli and Washington were operated by the Panama Railroad Company without change of policy during the year. These hotels are an essential adjunct to the Canal, providing necessary accommodations for employees, visiting Government officials, and others.
The gross revenue from hotels was $857,998, as compared with $864,680 in 1949, and the number of guest days was 77,612 compared with 85,025 in 1949.
The gross operating revenue of the Panama Line for the fiscal year was $4,989,304, and the gross operating expense totaled $4,898,341, resulting in a net profit of $90,963.
Freight carried during the year totaled 195,683 tons, and passengers carried numbered 12,966. Freight for account of The Panama Canal and other departments of the United States Government in the Canal Zone was carried at tariff rates, but passengers were carried at reductions from tariff rates ranging from 25 to 75 percent.
Panama Line


Section III
ADMINISTRATION
DEPARTMENTS
The organization of The Panama Canal on the Isthmus as in effect during the fiscal year 1950, but to be superseded on July 1, 1950, by a revised organization, embraced five principal departments, namely, Operation and Maintenance, Supply, Finance, Executive, and Health. In addition, an office of The Panama Canal was maintained in Washington, D. C. The Panama Railroad Company, a Government-owned corporation operating a steamship line between New York and the Canal Zone and a railroad as well as other business enterprises on the Isthmus, is a distinct unit, but is closely affiliated with and operated as an adjunct to The Panama Canal.
Operation and Maintenance
The Department of Operation and Maintenance included the management functions and those directly involved in the operation and maintenance of the Canal as a waterway, including the dredged channel, locks, dams, aids to navigation, accessory activities such as shops and dry docks, vessel inspection, electrical and water supply, sewer systems, roads and streets, hydrographic observations, surveys and estimates, and miscellaneous contraction other than the erection of buildings. Construction of the Third Locks, now in a suspended status, and recent studies concerning investigation of means of increasing the capacity and security of the Panama Canal, as provided by Public Law No. 280, approved December 28, 1945, also were included as responsibilities of this department.
Supply
The Supply Department was charged with the acquisition, storage, and distribution of materials and supplies for The Panama Canal and Railroad; the maintenance and construction of buildings; the assignment of living quarters; care of grounds; the operation of storehouses, oil-handling plants, an experiment garden, and a printing plant; the supplying of motor transportation facilities for the various 50


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 51
departments and divisions of the Canal and Railroad organizations; and the performance of land rental functions.
Finance
The Department of Finance was responsible for the collection and disbursement of funds; the adjustment and settlement of claims; the administrative audit of fiscal accounts; the recording of financial transactions of the Canal and Railroad; cost accounting for the Canal and Railroad; and the preparation of estimates for appropriations.
Executive
The Executive Department embraced the civil government functions, including the administration of police and fire protection, postal service, customs, shipping commissioner duties, estates, schools, and, in addition, the general correspondence and records of The Panama Canal and Panama Railroad Company, personnel administration, wage adjustments, general information, relations with Panama, and the operation of clubhouses, restaurants, and moving-picture theaters.
Health
The Health Department had jurisdiction overall matters pertaining to sanitation and public health within the Canal Zone and the cities of Panama and Colon, the operation of hospitals and dispensaries, and the enforcement of quarantine regulations.
Panama Railroad Company
The operations of the Panama Railroad Company on the Isthmus are carried on as an adjunct to The Panama Canal. As the Governor of The Panama Canal is also President of the Panama Railroad Company, the heads of all departments, both of the Canal and Railroad organization, report to him.
REVISED ORGANIZATION TO BECOME EFFECTIVE
JULY 1, 1950
In last year's report it was stated that a detailed plan for revision of The Panama Canal-Panama Railroad organization had been submitted in June 1949, and set forth the need and objectives sought to be accomplished under the proposed revision. On January 31, 1950, the President of the United States issued Executive Order No. 10101 (amending Executive Order No. 9746 of July 1, 1946), which delegated to the Governor of The Panama Canal authority to determine the internal organization of The Panama Canal. By virtue of such


52 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
authority, so far as concerns the organization known as The Panama Canal for the care, maintenance, sanitation, operation, and protection of the Panama Canal and the Government of the Canal Zone, and with the approval of the Board of Directors of the Panama Railroad Company so far as concerns the organization of that Corporation, the Governor, under date of March 13, 1950, directed that the organizations of The Panama Canal-Panama Railroad Company be revised, and set forth in coordinated outline the functions and responsibilities of the principal units of the two organizations.
Briefly, the revised organization is to consist of the following: (a) Office of the Governor-President, which will include the Lieutenant Governor of The Panama Canal, who is also Second Vice President of the Panama Railroad Company; an Executive Secretary of The Panama Canal; an Executive Assistant to the Governor-President; and a Military Assistant to the Governor.
(6) Five staff units, namely, a Management Division, a Law Division, a Civil Intelligence Branch, a Safety Branch, and Special Assistants and Boards.
(c) Four administrative units, as follows: Finance Bureau, Personnel Bureau, Administrative Branch, and Magistrates' Courts.
(d) Eight operations units designated Marine Bureau, Engineering and Construction Bureau, Health Bureau, Supply and Services Bu-reau, Civil Affairs Bureau, Industrial Bureau, Community Services Bureau, and Railroad and Terminals Bureau.
(e) Two offices in the United States: the Washington Office of The Panama Canal and the New York Office of the Panama Railroad Company.
PROPOSED PANAMA CANAL COMPANY
On January 31, 1950, the President of the United States transmitted to the Congress a report of the Bureau of the Budget, along with certain recommendations concerning the organization and operations of The Panama Canal and the Panama Railroad Company. The report and recommendations were prepared pursuant to House Report No. 1304, Eighty-first Congress, first session, dated August 23, 1949, which requested the President "to cause a study to be made of the organizational aspects of all phases of The Panama Canal, including the Panama Railroad Company, and that his recommendations of suitable changes be furnished to the Congress."
In his communication to the Congress, the President recommended that legislation be enacted to (a) authorize the transfer of The Panama Canal to the Panama Railroad Company, excepting subdivisions relating to civil government, health, and sanitation; (b) change the name of the Panama Railroad Company to the Panama Canal Com-


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
53
parry; (c) authorize the Company's Board of Directors to establish toll rates subject to the President's approval; (d) permit the Company to retain and utilize toll revenues; and (e) authorize appropriations to the Company to cover losses which might result from changes in economic conditions.
At the end of the fiscal year, legislation designed to carry out the President's recommendations was pending in Congress.
CHANGES IN ADMINISTRATIVE PERSONNEL
Col. Herbert D. Vogel, United States Army, was appointed Engineer of Maintenance on July 1, 1949, vice Col. Charles G. Holle, United States Army, relieved from duty with The Panama Canal. Effective February 21, 1950, the designation was changed to Lieutenant Governor.
Capt. Marvin J. West, United States Navy, was appointed Captain of the Port, Balboa, on July 21, 1949, vice Capt. Edward S. Hutchinson, United States Navy, relieved from duty with The Panama Canal.
Col. Clifford G. Blitch, United States Army (M. C), was appointed Superintendent, Gorgas Hospital, on July 23, 1949, vice Col. Horace S. Villars, United States Army (M. C), relieved from duty with The Panama Canal.
Col. William C. Knott, United States Army (M. C), was appointed Superintendent, Colon Hospital, on January 17, 1950, vice Col. William B. Foster, United States Army (M. C), relieved from duty with The Panama Canal.
Dr. William F. Ossenfort, United States Public Health Service, was appointed Chief Quarantine and Immigration Officer on April 11, 1950, vice Dr. Howard C. Rufus, United States Public Health Service, relieved from duty with The Panama Canal.
Capt. Robert M. Peacher, United States Navy, was appointed Marine Superintendent on May 11, 1950, vice Capt. P. C. Nichols, United States Navy, relieved from duty with The Panama Canal.
Capt. John J. Scheibeler, United States Navy, was appointed Superintendent, Mechanical Division, on June 17, 1950, vice Capt. Joseph Bird, United States Navy, relieved from duty with The Panama Canal.
CHANGES IN ADMINISTRATIVE ORGANIZATION
Railway Signal System
Effective July 1, 1949, the supervision and direction of the Railway Signal System was transferred from the Electrical Engineer to the General Manager, Panama Railroad Company.
02539451-5


54
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Administrative Branch
Effective November 1, 1949, the Administrative Branch was established in the Executive Department. The new Branch, which combines the work and persomiel of several small units, comprises the following: Correspondence Unit, Photography Unit, Press Unit, Property-Survey Unit, Records Unit, and Transportation Unit.
Aeronautics Section
Effective January 31, 1950, the Aeronautics Section was abolished. The discontinuance of this activity followed the transfer of civil aviation activities within the Canal Zone to the National Airport in the Republic of Panama.
Roundhouses and Car Shops
Effective February 1, 1950, the railroad roundhouses and car shops, together with appurtenant structures and facilities, were transferred from The Panama Canal to the Panama Railroad Company, in accordance with section 5 of Executive Order No. 10102 signed by the President on January 31, 1950. The transfer involved all personnel, property, and equipment with the exception of the Cristobal roundhouse, which already was owned by the Panama Railroad Company.
Pay Roll Division
Effective April 16, 1950, the supervision of the Pay Roll Division (formerly Pay Roll Bureau) was transferred from the Executive Secretary to the Director of Finance.
FORCE EMPLOYED AND RATES OF PAY
The force employed by The Panama Canal and Panama Railroad Company continues to decrease. A total of 21,338 persons was employed by these two agencies as of June 30, 1949, while the force report of June 30, 1950, revealed a total of 18,792, a reduction of 2,546, or 11.9 percent.
The liigldy diversified activities of the Canal-Railroad organization include scores of different functions, and almost every conceivable employment category will be found in the organization. For many years only citizens of the United States were eligible for employment in executive, supervisory, professional, subprofessional, and clerical positions. For several years past, however, properly qualified citizens of the Republic of Panama have been eligible for appoint-


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 55
ment to these positions, in winch special educational, training, or other high qualifications are a requisite. The rates of pay for positions in these higher categories are based on equivalent or closely similar rates prevailing in the Federal service in the United States. In a second group are included such positions as those occupied by semiskilled workers, helpers, laborers, and other positions not requiring the services of highly skilled workers or those requiring special training or other qualifications. The rates of pay for employees within this group are based generally upon local prevailing rates. The positions in this group are filled mostly by natives of the areas adjacent to the Canal, although a scattering of nationals of many other countries will be found in these positions.
The rates of pay of those persons within the first group referred to in the preceding paragraph are termed "U. S." rates, while the rates of pay for the second group are designated as "local" rates.
Personnel administration in The Panama Canal and Panama Railroad Company on the Isthmus was exercised during the fiscal year 1950 by the Division of Personnel Supervision and Management.
EMPLOYEES PAID AT U.S. RATES
The force of U.S.-rate employees, including the combined organizations of The Panama Canal and Panama Railroad Company, numbered 4,322 on June 30, 1950, as compared with 4,779 on June 30, 1949, a decrease of 457, or 9.6 percent. The largest numerical decline occurred in the Mechanical Division which dropped from 528 last year to 276 on June 30, 1950; this decline was the result of a further decrease in workload, particularly for commercial interests. Although the majority of functions reported slightly smaller forces than in the previous year, greater workloads or transfers of functions from one unit to another made small increases necessary in a few of the units.
The number of full-time U.S.-rate employees of The Panama Canal and Panama Railroad Company as of June 30, 1950, and June 30, 1949, and the differences, is shown in the following tabulation:
As of June 30, 1950 As of June 30, 1949 Decrease
The Panama Canal_____................................._____ 3,814 508 4,180 599 366 91
Panama Railroad Company............................._____
Total_____........................................... 4, 322 4, 779 457

The number of full-time employees paid at U.S. rates is shown according to function in table No. 48, section V.


56
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Additions to and Separations from Force
The following table gives for the Canal-Railroad organization a summary of the additions to and separations from the force paid at U.S. rates for the fiscal year 1950:
Additions..........-......---......-----......---.....-.....-
Separations:
Resignation-----------.......-----.......-----.........--.
To enter military service____________......................
Reduction in force______________________________.........
Termination of temporary employment or reassignment..
Removal for cause__________________.........---..........
Retirement:
Age.......-----.......,-------------------------------
Disability........_________________.....----...........
Optional---------------------------------.............
Termination (administration policy of Panama Canal,
5 years' service, age 62).....----------------.........
Disabilitynot qualified for retirement-------------------
Disqualification___________________________________________
Iaefliciency__________________________.....---------........
Transfer (to other departments of Government)___________
Death_______......______........_________________________
Total separations. Net separations...
Panama Canal Panama Railroad Total
430 21 451
297 68 365
1 1
192 58 250
109 2 111
8 8
36 3 39
48 3 55
47 i 48
3 3
8 8
5 5
2 9 2 9
765 139 904
335 118 453
Note.In addition to these figures, there were 79 additions and 59 separations of employees on a part-time or irregular basis.
As the figures of net separations in the table above were taken from the weekly personnel reports, which usually lag slightly behind the actual termination dates, there is a difference of four in the number of net separations and the net decrease in force as shown in the preceding paragraphs under the caption of "Employees Paid at U.S. Rates."
Turn-Over in Force
Based on an average aggregate force of 4,676 and 904 terminations for the year, exclusive of part-time and irregular employees, the total turn-over rate for 1950 of this group of employees was 19.3 percent, as compared with a turn-over rate of 17.9 percent for the fiscal year 1949. Voluntary terminations for fiscal year 1950 totaled 414, a rate of 8.8 percent. Involuntary terminations for the same period totaled 490, a rate of 10.5 percent.
Recruiting
Of the total full-time additions to the force during the fiscal year 1950, 137, or about 30 percent, were effected through United States recruitment, and 314, or about 70 percent, were employed through local recruitment. On the basis of 451 full-time employments, the recruit-


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 57
merit of this group of employees in tbe fiscal year 1950 represents an accession rate of almost 10 percent. Including the 79 part-time employees who were added, the accession rate was slightly more than 11 percent, as compared with approximately 15 percent for the previous fiscal year. This decrease in recruitment stems from the general decline in force and greater utilization of in-service employees by transfer or reassignment.
At the close of the year there were requisitions pending in the Washington Office for 59 employees. Of these, 23 positions were for the Schools Division, 29 for the Health Department, and the remainder to fill miscellaneous vacancies.
Adjustment in Wages and Hours of Work
Base-pay increases were granted to classified employees and certain groups of related-to-classified employees under the Classification Act of 1949. Revisions in other United States rates of pay used as bases for similar positions in the Canal-Railroad organization resulted in one upward revision for postal emplo}'ees, one for railroad nonopcrating personnel, three for the floating-equipment group, and two for Panama Canal Press craftsmen. An upward revision was also made in the rates for policemen, firemen, and teachers, instructors and supervisors, retroactive to July 1, 1948. As a result of the Classification Act of 1949, upgraded postal empkryees were classified April 30, 1949, but were subsequently returned to their ungraded ratings existing prior to April 30 because of an amendment which exempted this group from the provisions of the Act.
EMPLOYEES PAID AT LOCAL RATES
The force of employees paid at local rates, including the combined orgaiuzations of The Panama Canal and Panama Railroad Company, numbered 14,470 as of June 30, 1950, as compared with 16,559 as of June 30, 1949, a decrease of 2,089, or 12.6 percent. A general decrease in activity resulted in substantial reductions in several functions, as well as reductions of lesser significance in many others. The largest numerical decline occurred in the Mechanical Division, which decreased from 933 to 352, a reduction of 62.3 percent. In contrast to the general downward trend, there were a few increases resulting from increased workloads; the most significant of these were in the Locks Division, Marine Division, Building Division, and the Receiving and Forwarding Agency.


58 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
The number of local-rate employees of the Canal-Railroad organization as of June 30, 1950, and June 30, 1949, with the differences, is shown in the following tabulation:
As of June 30,1950 As of June 30,1949 Decrease
The Panama Canal__________ ______ ____________.....________ 9, 494 4,976 10,811 5, 748 1,317 772
Panama Railroad Company____________......________________ Total____________ ______.........................
14, 470 16, 559 2, 089

The number of local-rate employees, by function, will be found in table No. 49, section V.
Wages of Local-Rate Employees
Local-rate employees, with the exception of those on disability, pension, injury, and weekly dock rolls, were placed on a biweekly pay basis effective January 1, 1950. The minimum and maximum rates of this group of employees were 26 cents and $1.40 per hour, respectively, with an average wage of 50 cents as of June 30, 1950. Within-grade increases were received by 2,327 local-rate employees in January 1950. Thirteen local-rate employees in six occupations were transferred to the U. S.-rate roll in July 1949.
Local-Rate Leave
Under the present regulations local-rate employees earn leave at the rate of one hour for each ten hours of service in the basic workweek, not to exceed four hours leave credit in any one week. The maximum allowable is 416 hours. Effective May 1, 1950, all credits usable only for absences because of sickness were abolished and such absences are now charged against regular leave credits. The number of hours leave paid during the fiscal year ended June 30, 1950, was 2,597,115.
Cash Relief for Disabled Employees Paid at Local Rates
New applications for relief under the Act of Congress of July 8, 1937, averaged 74 per month during the fiscal year 1950, as compared with 42 per month in the fiscal year 1949. The regulations established during the latter part of the fiscal year 1938 for administering this relief were continued without material change.
The following table shows the disposition of all applications for relief benefits from employees of both The Panama Canal and the Panama Railroad Company during the fiscal year 1950:


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 59
Panama Canal Panama Railroad Total
On hand July 1, 1949 .........______...................... 8 557 6 337 14 894
Received during fiscal year 1950..-.......................----- Total...................................................
5i',5 343 908
Disposition: Approved for payment................--......____........ Rejected or found ineligible............................... Pending____________________......_____......_____________
504 38 23 252 79 12 756 117 35
Total.............................................._____
505 343 908

Note.Removal from the rolls on account of the death or subsequent reemployment of cash relief recipients: The Panama Canal, 101: the Panama Railroad Company, 37; Panama Railroad pensioners, 5. Total and average costs per month during the fiscal year 1950 were as follows:
Number of cases Monthly average payment per case Monthly average payments
Panama Canal rolls........___......_______.....______________ 1,802 677 67 $22.14 21.23 13.66 $39, 889.00 14,159. 25 915. 00
Panama Railroad rolls _______________________________________
Panama Railroad pensioners 1____________......______________ Total____.....__________.......___________________......
2, 546 21.59 54,963. 25

1 Superannuated employees granted cash relief prior to July 8,1937.
Expenditures on behalf of The Panama Canal cash relief program are paid from annual appropriations for that purpose, wThile those of the Panama Railroad Company constitute a continuation of the former plan of granting cash relief to the superannuated employees of that company and are paid by the Panama Railroad Company.
During the fiscal year 1949 studies were completed looking toward the amendment of the Act of July 8, 1937, commonly referred to as the Cash Relief Act. As a result, legislation wras requested, as outlined in the Annual Report for fiscal year 1949, and at the end of fiscal year 1950 this legislation was still pending.
Repatriations
In 1934 an appropriation of $150,000 was provided for the repatriation and rehabilitation of former local-rate employees (and their families) who have rendered at least three years of service with the United States Government or the Panama Railroad Company on the Isthmus. During the fiscal year 1950, $11,343 was expended for the repatriation and rehabilitation of 131 former employees. To the end of the fiscal year 1950 a total of $140,021 had been expended from this appropriation.


60
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
CENTRAL LABOR OFFICE
The Central Labor Office program of The Panama Canal provides for eligibility control over applicants seeking employment with Government agencies and private contractors operating on Government work in the Canal Zone. A decrease of employment activities is indicated by the comparative figures presented in the following table, showTing the total number of employees paid at local rates of pay carried on the rolls of the various organizations as of June 1950 and June 1949, the decrease in total force being 23.9 percent:
Panama Canal and Panama Railroad Company
U. S. Army____......___________________________
U. S. Air Force....._______________....._________
U. S. Navy________.................-------------
Oovernment contractors and miscellaneous______
Total................._____________________
26,070
Note.The figures in this table are based on reports submitted by the various cooperating agencies, which form the basis for prorating the expenses of the Central Labor Office.
Because of the insufficient supply of qualified labor on the Isthmus to handle the heavy construction program carried' on during the war emergency, The Panama Canal was forced to resort to the recruitment of contract laborers from the Republic of Colombia, Jamaica, Costa Rica, and El Salvador. With the diminishing need for outside labor after the cessation of hostilities, most of these workers have been repatriated to their native countries. From the inception of the foreign recruiting program in 1940, 22,265 contract workers were brought to the Isthmus, of which 22,191 have been returned to their native countries, leaving as of June 30, 1950, a total of 74 remaining on the Isthmus.
LONG-RANGE HOUSING CONSTRUCTION PROGRAM
PROPOSED
At hearings of the Committee on Appropriations held in January 1950, the Governor submitted a long-range program proposing the construction of new housing to replace the existing deteriorated and unsatisfactory living quarters for Panama Canal and Panama Railroad employees in the Canal Zone. It is intended to proceed with this program in the fiscal year 1951, and funds totaling $4,000,000 have been requested for that year.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 61
The program, currently estimated to cost $70,882,000 over a period of eight to ten years, involves the construction of some 6,100 new housing units and remodeling and enlarging existing buildings to provide 800 units, a total of 6,900. It covers the replacement of all dwelling umts in old frame buildings erected during the construction period of the Canal, beginning in 1906, and temporary frame buildings constructed during World War II, all of which were designed generally to meet construction-camp standards. The older buildings have reached the end of their useful life and are in such an advanced stage of deterioration as to necessitate excessive maintenance expenditures.
It is tentatively planned to construct for the U. S.-rate force in the fiscal year 1951 a total of 72 buildings, embracing 129 apartments, of which '42 buildings, comprising 53 apartments, are to be built in the Pacific area, and 30 buildings, with 38 apartments, are scheduled for the Atlantic area. Construction of quarters for local-rate employees in the fiscal year 1951, involving 230 family apartments of various sizes, will be divided between Cocoli in the Pacific area and Silver City in the Atlantic area.
SAFETY PROGRAM
The principal duties of the Safety Section are the development, improvement, and supervision of adequate safety programs in all functions of the Canal-Railroad organization; to seek out and eliminate the causes of accidents; and through safety education, safety engineering, and the enforcement of safe operating procedures, to reduce the frequency, severity, and costs of accidents. The frequency rate for the fiscal year 1950 showed a 12-percent increase over the new low frequency rate established in the previous fiscal year. This is a reversal of the trend of continued improvement, embracing the ten-year period the safety program has been in effect, with the exception of a slight reversal during the fiscal year 1947. Three fatalities occurred during the fiscal year as compared with four in the fiscal year 1949, which is the equivalent of one accidental death for every 6,637 emploj'ees, a very favorable comparison with the national average of one death for every 3,448 workers for the calendar }-ear 1948 (latest figures available). During the fiscal year 1950 there was one injury resulting in permanent total disability and nine injuries which caused permanent partial disability. A severity rate of 1.28, the second lowest in the ten-year period the program has been in effect, constitutes an 11-percent improvement in the severity rate over the previous fiscal year, but a three-percent increase over the ten-year low established in the fiscal year 1948.


()2 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
The following statistics cover the accident rates for the Canal-Railroad organization for the ten full fiscal years since the inauguration of the safety program:
Year Man hours Disabling injuries Frequency rate 1 Time charges Severity rate 1
1941 ______......________________ 72, 725,000 92, 429, 000 94,325, 000 80, 499, 000 70,108. 000 61, 510,00(1 5, 750 4,978 3, 585 2, 770 2, 347 1, 44H 1. 252 1,058 663 670 79 54 38 34 33 23 24 23 16 18 214,170 238, 628 230, 914 158, 770 90,159 81,007 79, 821 56, 225 58, 479 46. 868 2.94 2.58 2.45 1.97 1.29 1.32 1. 54 1.24 1.44 1.28
1942 ........_______:_______________
1943 _________________i_________________
1944 ___________^________________
1945 .....____________________________
1946 ________________________________

45 338,000
1949 --......___________________ 40, 505,000 36, 492,000
1950 .....______________________________

Number of fatalities
1 Frequency rate is the disabling injuries per million man hours worked.
2 Severity rate is the time charges, in days, per thousand man hours worked.
The following table shows injury and death compensation benefits for the Canal-Railroad organization for each of the ten years since the inauguration of the present safety program, compared with the annual average for the preceding 23 years:
Yearly average
23 years, 1918 to 1940
Fiscal year:
1941_____________
1942_____________
1943_____________
1944_____.......
Injury compensation
$51,886
86, 290 US. S30 104, 550 120, 037
Compensation per $1,000 pay roll
$3. 31
2. 55 2. 21 2.17 2. 58
Yearly average Injury compensation Compensation per $1,000 pay roll
1945__________________ $107, 5S5 $2. 56
1946_______.....______ 109,658 2.. 78
1947__________________ 110,899 2.75
1948______J___________ 116, 238 3.04
1949____......._______ 106,080 2.70
1950__________________ 153, 427 3.99
The average injury and death compensation rate per $1,000 pa}^ roll for the last ten years has been $2.71, or 18 percent below the 23-year average of $3.31 recorded prior to the establishment of the safety program. An average of $2.72 wTas maintained during the first four months of the fiscal year 1950, but, with the enactment of Public Law No. 357, Eighty-first Congress, approved October 14, 1949, amending the United States Employees' Compensation Act, certain benefits, including increases from $116.66 to $525.00 in monthly maximum compensation payments, plus certain retroactive features, resulted in an increase of the compensation rate to $3.99 per $1,000 pay roll for the entire fiscal year. For this reason this rate is not comparable with previous periods. Ninety percent of the compensation payments for the year were for injuries and fatalities occurring in prior fiscal years. Payments on many of the prior cases and a fewr of the current cases will continue for several years; however, these payments would have been materially higher except for the progress that has been made in


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
63
accident prevention resulting from the inauguration of an effective safety program.
EXPERIMENT GARDENS
The Canal Zone plant-introduction gardens and experiment station were established in June 1923. The gardens, which include greenhouses, nurseries, and experimental plantings, embrace approximately 300 acres of land, and are devoted to the propagation and cultivation of a wide variety of useful and ornamental plants from all parts of the world, primarily for the purpose of determining their adaptability and value under local soil and climatic conditions, for general propagation on the Isthmus. This unit also designs and supervises all landscape work for The Panama Canal and the Panama Railroad Company, and also does landscape work for other Government agencies on the Canal Zone. The Landscape Section was engaged in 74 projects during the fiscal year 1950. The principal projects undertaken by this Section were preparation, sodding and planting of Panama Canal quarters building sites. Plant introduction work was of minor significance during the year.
CLUBHOUSES
The Panama Canal clubhouses unit operates restaurants, motion picture, bowling, and other recreational facilities for United States Government personnel, their families and guests. The clubhouses are self-supporting and for a number of years no appropriations have been required for these activities.
The construction of a modern air-conditioned theater in Balboa, which was started in the previous year, was completed during fiscal year 1950, at a cost of $748,000. The opening of this new theater, which has a seating capacity of 1,301, has placed the Clubhouse Division in a more favorable position with regard to securing first-class, first-run pictures. The new theater was opened to the public on December 23,1949. The Cristobal Theater was air-conditioned during the year at a cost of $39,738.
The Balboa shops cafeteria, the facilities of which were expanded in the previous year to provide breakfast and hot lunches for the employees of the shops area, was closed on June 2, 1950, because of the inactivation of the Balboa shops.
A new unit, comprising a small lunchroom and facilities to operate a short-order restaurant serving patrons in their automobiles, was opened during the year in the Civil Affairs Building. This unit is known as the "Drive Inn" and the service to patrons in automobiles has been particularly well received. The Drive Inn is operated in conjunction with Ancon Clubhouse.


64
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Alterations were under way at the close of the fiscal year to convert the dining room of the Diablo Heights clubhouse into a cafeteria, using the equipment removed from the Balboa shops cafeteria. Extensive work was performed on the walk-in refrigerator in the Ancon clubhouse.
The Division continued to work very closely with the Canal Zone Recreational Council to assure the success of the Summer Recreation Program for children of the Canal Zone. Various live stage shows were booked for presentation at the Balboa Theater or Balboa stadium for the purpose of raising money for the program. Through this medium a considerable sum of money was raised for use by the Council in the purchase of supplies and equipment.
The volume of business of the Division as a whole decreased 16 percent from the preceding year. The decline in business necessitated a sharp reduction of force, as well as the institution of other economies such as reducing hours of operation, curtailing services, etc.
LEGISLATION
Among the laws enacted by the Congress during the fiscal year 1950 which relate to or apply in the Canal Zone or affect The Panama Canal and which are of importance and interest are those described below:
An Act approved July 16, 1949, exempting the Panama Railroad Company from the provisions of the Federal Tort Claims Act.
An Act approved July 21,1949, repealing the Canal Zone Retirement Act and extending the Civil Service Retirement Act to the Panama Canal and Panama Railroad employees affected by such repeal.
An Act approved August 10, 1949, referred to as the "Omnibus Act," amending the Canal Zone Code in reference to several varied and, for the most part, unrelated subjects.
An Act approved August 12, 1949, referred to as the "Point-of-order" Act, amending the Canal Zone Code in several respects, principally for the purpose of enacting substantive legislation in support of certain appropriation Act provisions.
An Act approved October 14, 1949, the Federal Employees' Compensation Act Amendments of 1949.
An Act approved October 15, 1949, increasing the salary of heads and assistant heads of executive departments and independent agencies, including the Governor of The Panama Canal.
An Act approved October 25, 1949, authorizing a retroactive increase in compensation for Panama Canal teachers, policemen, and firemen.
An Act approved October 28, 1949, the Classification Act of 1949. An Act approved June 16, 1950, to make the Classification Act of 1949 inapplicable to postal employees of The Panama Canal.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 65
Legislation relating or of interest to the Canal Zone introduced during the fiscal year 1950 and still pending in Congress on June 30, 1950, includes:
A bill (S. 2940) to create a Department of Health and to transfer to such department certain hospital, medical and public health functions, including Panama Canal hospitals, dispensaries, and health services.
Two bills (S. 3427 and H. R. 8415) to extend unemployment compensation benefits to certain citizen employees of the Government outside the United States.
Two bills (S. 3453 and H. R. 8114) to amend the Cash Relief Act of July 8, 1937, and to provide for the retirement of certain non-citizen employees of The Panama Canal and the Panama Railroad Company on the Isthmus.
Two bills (S. 3649 and H. R. 8677) to provide for the maintenance and operation of the Panama Canal by its present corporate adjunct, as renamed; and to reconstitute the agency charged with the civil government of the Canal Zone.
A bill (S. 3650) to prescribe certain procedures to be followed in establishing rates of Panama Canal tolls.
A bill (S. 3859) authorizing the control of the anchorage and movement of foreign-flag vessels in United States waters when the national security is endangered.
A bill (H. R. 5651) to extend to aliens the benefits of the Panama Canal construction service annuity law of May 29, 1944, as amended.
A bill (II. R. 7272) to exempt from tax the annuities paid under the Panama Canal construction service annuity law of May 29, 1944, as amended.
A bill (H. R. 8920) to amend the Internal Revenue Code so as, among other things, to extend the Federal income tax to Government employees in the Canal Zone.
REVISION OF RATES OF TOLL
In the Governor's annual reports for the fiscal years 1948 and 1949 attention was invited to the issuance of Presidential Proclamation No. 2775 of March 26, 1948, providing for a revised schedule of toll rates for transiting vessels, and subsequent actions which resulted in a number of deferments in the date such rates were to become effective. The new schedule prescribed the following rates: $1 per net vessel-ton on laden vessels, 80 cents per net vessel-ton on vessels in ballast, and 55 cents per ton of displacement on other floating craft, which represented an increase of approximately 11 percent over the current rates.
In the fiscal year 1950, a Subcommittee of the Committee on Merchant Marine and Fisheries of the House of Representatives which,


66 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
pursuant to House Resolution No. 44, has been studying the financial operations of The Panama Canal in connection with the tolls question, issued two interim reports. The first of theseNo. 1304, dated August 23, 1949asked that the President cause a study to be made of the organizational aspects of all phases of the Panama Canal, including the Panama Railroad, and that his recommendations of suitable changes be furnished to the Congress. Such action resulted in a deferment by the President of the effective date for the toll rate increase from September 1, 1949, until April 1, 1950. The second interim reportNo. 1728, dated March 2, 1950indicated that further delay in the effective date for the toll increase was advisable in order that the Congress be given adequate time to consider certain recommendations made to that body by the President concerning a reorganization of the Panama Canal and the Panama Railroad. Accordingly the President issued on March 6, 1950, Proclamation No. 2875 which extended until April 1, 1951, the effective date of the schedule of rates as prescribed by Proclamation No. 2775.
CAPITAL ALLOTMENTS, FISCAL YEAR 1950
The appropriation for the fiscal year 1950 carried $1,920,200 for
improvements and betterments and for the replacement of worn-out or excessively deteriorated facilities as follows:
Quarters for U. S.-rate employees_______________________________ $200, 000
Quarters for local-rate employees________________________________ 601, 000
Improvements to Gorgas Hospital_______________________________ 250, 000
Road and street replacements___________________________________ 252, 700
Replace Gamboa substation____________________________________ 30, 000
Cradle for marine railway No. 3, Cristobal shops__________________ 192, 500
Rehabilitation of boys' gymnasium, Balboa_______________________ 124, 000
Gasoline service station, Margarita______________________________ 46, 000
Replace building No. 5067, Motor Transportation Division, Cristobal. 79, 000 Toilet facilities and equipment storeroom for local-rate maintenance
crews______________________________________________________ 45, 000
Miscellaneous minor improvements______________________________ 100, 000
Total__________________________________________________ 1, 920, 200
Brief comment on these projects is given below:
Quarters jor U. S.-rate employees.The dwelling units for which replacements are being provided under this program are in old frame buildings erected during the early construction period of the Canal. The arrangement and facilities of the better quarters of this group were designed for minimal construction camp requirements of almost 40 years ago. Some are in buildings originally constructed for other


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 67
purposes and since remodeled into dwellings because of the pressing need for accommodations.
Quarters for locaUrate employees.The living quarters being replaced under this program are in dilapidated old frame buildings, most of which date from the construction period of the Canal. Many were originally constructed as temporary buildings, and were kept in service only because of the pressing need for housing.
Improvement to Gorgas Hospital.This appropriation was made to defray the costs of foundations of a clinics-auditorium building at Gorgas Hospital, which is proposed as a part of a general improvement program extending from 1948 through 1955.
Road and street replacements.This appropriation was used in connection with a long-range program of modernizing the narrow and deteriorated streets and roads of the Canal Zone. The majority of these streets and roads were built to the standards of the period prior to 1924, and are not suited for the weight, volume, and greater speed of traffic now using them.
Hi place Gamboa substation.This appropriation was required to cover the cost of replacing obsolete and inadequate transformers and switchgear at the Gamboa substation, and the installation of remote supervisory control to permit operation of the switchgear by the power dispatcher at the Miraflores substation.
Cradle jor Marine railway No. 2, Cristobal shops.This work consisted of replacing the wooden cradles of marine railway No. 2 with a permanent type steel cradle. Marine railway No. 2 is one of two structures at the Cristobal shops which were constructed by the Navy during the war and turned over to the Mechanical Division for operation and maintenance.
Rehabilitation of boys' gymnasium, Balboa.This project consisted of rebuilding an old section of the boys' gymnasium in Balboa, including space for housing various miscellaneous activities such as health classes and lectures, handicraft activities, and various other school and community recreational functions.
Gasoline service station, Margarita.This additional gasoline service station on the Atlantic side of the Isthmus was considered necessary in order to provide more convenient facilities to the residents of Margarita, as well as to relieve the congestion at the Cristobal service station.
Replace building No. 5067, Motor Transportation Division, Cristobal.This project involved replacing an old open shed constructed of wood and corrugated iron (building No. 5087) with a new 230- by 50-foot open garage constructed of steel frame and corrugated iron roof.


68 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
The new structure has eleven 20-foot bays each capable of accommodating two large vehicles.
Toilet facilities and equipment storeroom for maintenance crews. This appropriation was made to defray the cost of constructing small buildings to provide toilet accommodations and compartments for the storage of equipment for maintenance crews working in Canal Zone towns. In some cases it was necessary to construct new buildings, while in others existing structures or parts thereof were converted to this use.


Section IV
GOVERNMENT
The government of the Canal Zone is conducted as prescribed in the Panama Canal Act of August 24, 1912, and subsequent acts and Executive orders applicable to the Canal Zone. Whenever practicable, governmental functions have been assigned to departments in the organization established for the operation and maintenance of the Canal. Complete cooperation and increased efficiency are derived from such coordination of functions.
Data on expense and revenues of various features of Canal operation and government are contained in the financial and statistical statement in section V of this report.
AREA OF THE CANAL ZONE
The total area of the Canal Zone 1 as of June 30, 1950, with areas segregated for various purposes, is shown in the table below:
Land Area: Square miles
Military and naval reservations (inclusive of licenses and assignments):
Military reservations_______________________________ 82. 46
Naval reservations_________________________________ 11. 60
Total__________________________________________ 94. 06
Canal Zone townsites and areas outside of townsites in active
use________________________________________________ 13. 59
Miscellaneous assigned land areas:
Barro Colorado Island______________________________ 5. 71
Forest preserve (excluding Madden Road)____________ 5. 38
Cattle pastures____________________________________ 39. 90
Commercial licenses________________________________ 4. 82
Total.......___________________________________ 55. 81
Swamps______________________________________________ 15. 16
Remaining usable land_________________________________ 193. 87
Total land area of the Canal Zone_________________ 372. 49
Water Area:
Fresh water___________________________________________ 186. 07
Tidewater (Atlantic and Pacific within 3-mile limits)______ 89. 45
Total water area of the Canal Zone____________________- 275. 52
Total area of the Canal Zone__________________________ 648. 01
' Excludes small tracts (total area 0.83 square mile) whicb are noncontiguous to the main Canal Zone. 92539451-6 69


70
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
POPULATION
In accordance with plans prescribed or approved by the Director of Census, Washington, D. C, a complete census of the Canal Zone was taken as of April 1, 1950, as part of the Seventeenth Decennial Census of the United States.
In a preliminary report issued by the Bureau of Census under date of June 21, 1950, the population total of the Canal Zone as of April 1, 1950, was 52,300, an increase of 0.9 percent over the 1940 population of 51,827. The Balboa Court District advanced from 31,502 in 1940 to 37,271 in 1950, an increase of 18.3 percent, while the Cristobal Court District declined from 20,325 in 1940 to 15,029 in 1950, a loss of 26.1 percent.
PUBLIC HEALTH
The health of the Canal Zone populace continued relatively good during the fiscal year 1950. Excluding malaria and venereal disease, the average number of reportable diseases per month for the fiscal year was 153 as compared with 36 during the previous fiscal year, and 42 per month during the fiscal year 1948. The sharp rise in the monthly average number of reportable diseases for the fiscal year 1950 may be accounted for by the expected cyclic epidemics of the childhood diseases of measles, mumps, and chicken pox. Although these three diseases made up 70 percent of the total number of cases reported during the fiscal year 1950, the cases were not severe and no deaths occurred. Tuberculosis constituted two percent of the total number of reportable diseases.
For Panama City, the average number of new cases of communicable diseases per month reporte'd to the Chief Health Officer for the fiscal year 1950 was 39, as compared with 27 per month for the previous fiscal year, and 26 per month for the fiscal year 1948. The city of Colon had an average of 12 cases of reportable diseases per month for the fiscal year 1950, as compared with six and four cases, respectively, for the fiscal years 1949 and 1948. Measles, chicken pox, and mumps accounted for 82 percent of the total number of cases reported from Panama City during the year, while these same diseases accounted for 71 percent of the total number of cases reported from the city of Colon. As many cases of pneumonia, tuberculosis, and whooping cough outside the Canal Zone are not reported unless death occurs, the above comparative figures for reportable diseases of residents of the cities of Panama and Colon exclude such diseases, as well as malaria and venereal disease.
The malarial rate for employees of The Panama Canal and Panama Railroad Company for the fiscal }'ear 1950 was 2.2 per thousand, as


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
71
compared with 4.6 per thousand for the fiscal year 1949, and 7.2 per thousand for the fiscal year 1948.
There were seven cases of poliomyelitis admitted to Panama Canal hospitals during the fiscal year 1950, one of which subsequently died. Two of these seven cases were contracted outside the Canal Zone and Republic of Panama and were flown to the Canal Zone for treatment. There were nine cases of poliomyelitis reported for the previous fiscal year, and 30 cases for the fiscal year 1948.
The coordinated yellow-fever program which was inaugurated in the fiscal year 1949 was continued through the fiscal year 1950 and concluded June 30, 1950. This program, conducted jointly by the governments of Panama and the Canal Zone, was set up after the Health Department was apprised of five deaths from jungle yellow fever which occurred in November and December 1948 in the vicinity of the town of Pacora, in the interior of the Republic of Panama. At the time the program was concluded, the achievements in the three main objectives of the program were as follows:
1. Immunizations.A total of 504,851, or 84 percent of the total population of the Canal Zone and the Republic of Panama were immunized against yellow fever.
2. Aedes Aegypti Eradication.A total of 40 towns and villages were found to have Aedes aegypti (foci). Foci were eliminated. In addition, 314 towns and villages were sprayed with DDT residual spray. A complete check for evidence of Aedes aegypti in the towns and villages throughout the Canal Zone and the Republic of Panama (except the towns of La Palma, El Real, Yaviza, Pinogana, and Jaque in the Province of Darien) was made during the months of April, May and June, 1950. No Aedes aegypti adults or larval breeding were found. It is the consensus that within the Canal Zone and Republic of Panama Aedes aegypti eradication has been obtained; however, a complete, rigid inspection early in 1951 would be necessary to prove this belief.
3. Epidemiology(a) Human blood survey.Human bloods were tested from young males working or living in the jungles throughout the Republic of Panama. Of these, 19.1 percent were positive, indicating that these people had had and recovered from yellow fever at some time in their lives.
(6). Monkey blood survey.A similar blood survey was made on wild monkeys (the animal reservoir for jungle yellow fever) throughout the Republic of Panama and the Canal Zone. Of these, 23.7 percont were positive.
(c). Viscerotomy service.A total of 57 viscerotome liver specimens on persons who died of undiagnosed febrile illnesses was examined. None was positive for yellow fever.


72
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
(d). Yellow-fever deaths.Subsequent to the original five yellow-fever deaths previously reported, there were four additional deaths from 3'ellowr fever which occurred in the Republic of Panama. Three were from the mountains between the Trans-Isthmian Highway and the Canal, approximately 13 to 16 miles south of the city of Colon. The fourth case was in the mountains in western Panama, 5 miles south of the Atlantic coastal village of Palmas Bellas. All were young males living and working in the jungles, and none had been immunized against yellow fever. The last case to be reported was on January 24, 1950.
The Gorgas Memorial Laboratory reported two confirmed cases of Rocky Mountain spotted fever which occurred in the mountains 8 miles northwest of Chorrera, Republic of Panama. The first case died, and the second recovered. This is the first time that this disease has been identified in the Republic of Panama.
Vital Statistics
The morbidity and mortality rates from diseases and injuries, together with the other vital statistics relating to the population of the Canal Zone and the cities of Panama and Colon, are set forth in detail in the report of the Health Department for the calendar year, which is published annually in booklet form. For this reason, the data herein pertaining to vital statistics are limited to a brief resume' of the important information.
General Death Rates.The death rate for the Canal Zone is arti-fically low in comparison with Panama City and Colon, because residence in the Canal Zone is largely restricted to a selective group, i. e., Government employees and members of the Armed Forces and the immediate members of their families, and because ex-employees generally leave the Isthmus after retirement. Below are shown death rates by yearly periods for the past five calendar years:
Death rate per 1,000 populationall causes
Calendar year
1949 1948 1947 1946 1945
Canal Zone 1____......__________..........__________ 5.83 5. 60 6. 00 6.31 5.12
Panama City____________.........______............. 6.83 7. 51 7.96 9.44 9.42
Colon............................................... 9.28 9. 54 9. 47 12. 00 12.32
i Omits Army, Air Force, and Navy personnel. Corrected figure.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 73
Principal Causes of Death.The principal causes of death in each of the groups of population, together with the rate per thousand population, were as follows:
Number of deaths and annual rate per 1,000 poprdationcalendar year 1949
Canal Zone:
Organic diseases of the heart..
Tuberculosis..................
Cancer, all types.............
Pneumonia____.........------
Nephritis____................
Diseases of the arteries........
Panama City:
Organic diseases of the heart..
Tuberculosis.............----
Cancer, all types......-------
Birth Rate.In the Canal Zone a change in the birth rate, as distinct from the number of births, has only limited significance because of the peculiar situation which exists with regard to the population on which the rate is calculated. For the past nine years, population figures have excluded uniformed personnel of the armed forces, but included members of their families, and children born to armed forces' families are included in the total number on which the rate is calculated.
A factor which depresses the birth rate concerns local-rate personnel in the Canal Zone. Canal Zone quarters are generally available only to such employees who have more than average length of service and they and their wives are, therefore, predominantly in the older age brackets.
The following table shows the birth rates in the Canal Zone and the terminal cities of Panama and Colon for the past five years:
Birth rate per 1,000 population
Calendar year
1949 194S 1947 1946 1945
Canal Zone: > White........................................... 50.81 21.29 53.23 22.41 55.92 19.17 44.69 18.92 32.23 IS. 47
Colored_________________________________________
Combined.....................................
35. 79 28.65 39. 64 37. 20 29. 08 38. 49 36.32 29.26 37.47 29. 42 32. 52 38. 47 23.74 32.62 38.81
Panama City........................................
Colon...............................................

1 Canal Zone rates are based on civilian population in each group.
Number Rate per 1,000 Number Rate per 1,000
Pneumonia................... 75 .524
56 1.205 Diarrhea and enteritis........ 52 .363
11 .237 Apoplexy.................... 42 .293
50 1.076 Colon:
19 .409 Organic diseases of the heart.. 76 1.520
13 .280 Tuberculosis......_____...... 62 1.240
15 .323 Cancer, all types_______...... 41 .820
Pneumonia................... 29 .580
126 .880 Diarrhea and enteritis........ 24 .480
181 1.264 Nephritis..........___________ 30 .600
107 .747


74 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
Death Bates Among Children Under One Year oj Age.The following table shows the infant mortality rates per 1,000 births for the past five years:
Death of infants under one year of age per 1,000 live births
Calendar year
1949 1948 1947 1946 1945
Canal Zone:
White___________________________________________ 11 19 14 17 24
40 47 45 63 44
20 27 23 34 34
Panama City.....----------------------------------- 49 61 58 67 72
54 65 56 71 94
Malaria
The rates for malaria among employees only for the past ten years are shown below:
Calendar year Rate per thousand Calendar year Rate per thousand
1940 17 14 25 15 13 1945_____________________________________ 13 12 12 6 3
1941 1946_____________________.....__________
1942 1947......_______________________________
1943 1948_____________________.....__________
1944 1949........_____________________________

There were no deaths from malaria among employees during the calendar year 1949.
Hospitals
The number of patient days in Panama Canal hospitals for the r ast three fiscal years was as follows:
[Number of patient daysj
Fiscal year
1950 1949 1948
203, 210 95, 778 37,062 47,879 (') 41, 264 204, 786 94,078 37,285 55,762 (') 41,628 224,610 92,565 35,012 47, 228 17,282 40,666
Corozal Hospital:
Cripples and chronic medical and surgical cases-----------


Total......_______......____________________.....______
425,193 433,539 457,363

i Closed.
Work was completed by the contractors on the new obstetrics and gynecology buildings at Gorgas Hospital and the building was turned over to the Governor of The Panama Canal on May 29, 1950. Work


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
75
continues on equipping and otherwise preparing the building for occupancy, and the new structure will be ready for use about August 1, 1950.
This building is modern in everyrespect and has a normal capacity of 133 beds, exclusive of 84 bassinets.
Quarantine and Immigration
During the fiscal year 1950, inspection was made of 6,893 vessels and 4,600 airplanes, as compared with 4,623 vessels and 4,455 airplanes in the previous year.
Continued experience with quarantine rules and regulations, revised September 1, 1948, demonstrated the practicality of exempting vessels from ports under control of the United States or the Republic of Panama from quarantine inspection.
No cases of quarantinable diseases (plague, typhus, yellow fever, smallpox, and cholera) on arriving vessels were reported in advance of arrival or detected at quarantine inspection. No vessels were detained because of quarantine regulations.
In September 1949, the quarantine and immigration facilities at the Canal Zone Air Terminal were discontinued and such of these facilities as were necessary to carry out quarantine-immigration activities, insofar as related to the Canal Zone, were transferred to the National Airport in the Republic of Panama.
A summary of quarantine and hnmigration activities will be found in table 50, section V.
MUNICIPAL ENGINEERING
Municipal work carried on during the year included the construction and maintenance of roads, streets, and sidewalks, and the operation and maintenance of the water and sewer systems in the Canal Zone, including reservoirs, filter plants, and pump stations. The maintenance of the water system, sewer system, and the streets in the cities of Panama and Colon, and the furnishing of filtered water to these municipalities, were also handled by the Municipal Engineering Division. Construction work was performed and services rendered for departments and divisions of The Panama Canal, the armed forces, the Government of the Republic of Panama, and for various individuals and companies. Only the major items of this work are commented upon in this report.
\\ ater System
Consumption of filtered water for municipal uses and for sales to vessels during the past three fiscal years is given in the following table.
1


76
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
The cities of Panama and Colon, Republic of Panama, used 46 percent of the total amount consumed.
[Thousands of cubic feet]
Fiscal year
1950 1949 1948
795, 748 544,274 158, 812 18,070 889,502 553,323 166,303 18,446 913,162 544,053 171, 222 20,550
1,516, 904 1,627,634 1,648,987
Canal Zone_____
City of Panama City of Colon... Sales to vessels..
Total_____
Regular maintenance work was performed on the pipelines, reservoirs, filtration plants, and pumping stations during the year. In addition, a number of special projects were completed or in the process of completion during the year. The more important items included the replacement of 1,108 linear feet of 6-inch and 8-inch water line, Miraflores Street, Pedro Miguel; installation of 742 linear feet of 8-inch cement-lined cast-iron mam on Chagres Street, Ancon; and installation of 1,512 linear feet of 8-inch cement-lined cast-iron main, Paraiso.
Sewer System
In addition to regular sewer maintenance, consisting of cleaning and flushing lines, cutting tree roots, replacing defective pipe, etc., 2,300 linear feet of 16-inch cast-iron sewer discharge line were installed at Fort Davis from the sump station to its outfall in the Canal.
Roads, Streets, and Sidewalks
Regular maintenance work was performed on the Canal Zone roads, streets, and sidewalks during the year. In addition to this wrork, there were a number of special road projects, the more important involving the reconstruction of Gorgas Road from the Gorgas Laboratory to Herrick Road/Gorgas Road intersection, Ancon; the extension of Frangipani Street, Ancon, to the Canal Zone boundary; repaving 1,000 feet of Ancon Boulevard near the San Juan intersection, Ancon; the widening from 18 feet/20 feet to 24 feet of Bolivar Highway from Mount Hope to Fort Davis; reconstruction and widening by 4 feet of Keycs Road between Boilvar Highway and Jadwin Road, near Gatun; and the improvement of a section of Bruja Road, beyond Miraflores Bridge, by realignment, improved grade and repaving with 8-inch reinforced concrete, pavement.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 77
Other Heavy Construction Activities
The work begun in the fiscal year 1949 on the rebuilding of Thatcher Ferry slips wras continued and brought to completion in the fiscal year 1950. This work consisted of the complete rebuilding of the west slip, exclusive of ramp, and the complete rebuilding of the east slip with the exception of the caissons and ramp.
Work on the renewal of the crane tracks for the Mechanical Division shops, Balboa, was brought to practical completion, and work on the construction of the steel cradle for marine railway No. 2, Cristobal shops, which will replace the existing wooden cradle, was under wray at the close of the fiscal year. Considerable service work was performed in connection with the proposed clinics-auditorium building for Gorgas Hospital, Ancon, and in connection with the new housing project in San Juan area, Ancon.
Cities of Panama and Colon
Regular maintenance work was performed on the wrater and sewer systems, and on the streets and sidewalks during the year. The principal improvement projects undertaken during the year were the paving of Calle 22 Este Bis, Panama City, to provide an additional access from Avenida Central to the eastern part of the City of Panama; the widening by 6 feet each of the two streets forming Paseo del Centenario, Colon, and the installation of streets, sidewalks, storm and sanitary sewers, water lines, and curbs, gutters and catch basins in connection with the Colon fill development.
Miscellaneous Activities
Sosa Hill Quarry and Rock Crushing Plant.Rock crushed during the fiscal year 1950 and issued to various departments and divisions of The Panama Canal, Panama Railroad Company, units of the armed forces, the Republic of Panama, and to individuals and companies, totaled 37,945 cubic yards. In addition, this plant produced approximately 5,546 tons of asphaltic mixtures for placement on street surfaces;
Central Mixing Plant.During the year 12,032 cubic yards of ready-mix concrete were produced.
Concrete Pipe Plants.These plants manufactured 2,996 linear feet of various-sized concrete pipe, both plain and reinforced, in addition to varying quantities of concrete valve boxes, valve box covers, and cement blocks.
Testing Laboratories.The Miraflores laboratory made tests throughout the year as required, including chemical and bacteriological analyses of water, concrete tests, hydrocarbon tests, and chemical analyses and physical tests on various materials, to determine their


78 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
suitability for Panama Canal use. Tests also were conducted to determine the presence or absence of asphyxiating, explosive or deleterious gases in the holds of ships and oil tanks. This laboratory also conducts sod tests and analyses.
The materials-testing laboratory for special projects continued throughout the year with its program of protective coatings and metals corrosion studies.
PUBLIC ORDER Arrests
During the fiscal year, 8,553 arrests were made, an increase of 7.1 percent in comparison with the previous year, and an increase of 5.9 percent in comparison with the fiscal year 1948. Statistics covering these arrests, with corresponding figures for the two previous fiscal years, are given in the following table:
Fiscal year
1950 1949 1948
Male________________________________....._______________- 7,854 699 7,366 619 7,622 457
Female _______- ___1_______________
Total....._____....._____________________.............
8,553 7,985 8,079
Arrests made with warrants____________ _____________________ Arrests made without warrants _______________________
1,105 7, 448 1,047 6,938 953 7,126
Total_______________________________.........___________
8,553 7,985 8,079
Residents of the Canal Zone__________________________________ Residents of Panama ______
2,910 5,294 349 2,739 4,838 408 2,367 5,342 370
Transients____ ......_____________.....-
Total_________________________________..........________
8,553 7,985 8,079

Principal Causes of Arrest
There were 9,144 charges filed against persons arrested during the fiscal year 1950, of which 8,909 were misdemeanors and 235 were felonies, the latter representing 2.6 percent of the total offenses charged. The following were the principal causes of arrest:
Fiscal year
Cause of arrest (charge)
1950 1949 1948
Violation of traffic regulations_________________________________ 6,134 5,043 4,848
Trespassing_______________________________..........---------- 614 584 542
Loitering_______________________________________........------ 350 563 669
Vagrancy_____________........-------------------------------- 276 302 228
Intoxication___________________________ ........-------------- 266 248 234
Petit larceny ________________......________________ 266 337 486
Disturbing the peace................__________..........______ 182 154 178
Fugitive from justice________........-----------------......--- 160 212 202
Battery______________________________________________________ 127 171 161
Total...........____............____.................... 769 824 898
9,144 8,438 8,446



REPORT OF THE GOVERNOR OF THE PANAMA CANAL
79
Coroner's Investigations
A total of 105 deaths was investigated by the coroner during the fiscal year 1950. Of these 32 required formal reports of inquests which established that 25 were accidental, two homicidal, and five suicidal.
Prisoners
During the year the number of prisoners serving sentences in the Canal Zone jails averaged 62.1 per day. All physically able prisoners were employed in useful work.
There were 56 convicts committed to the Canal Zone penitentiary, a decrease of 69 from the number committed in the preceding year. Sentences imposed upon these convicts totaled 95 years. Eighty-four convicts were discharged, leaving 117 in custody at the end of the year. Computed at standard rates of pay for common labor, the value of the labor performed by convicts during the year amounted to $72,307. Of this amount, 53 percent represented the value of work performed in the operation, maintenance, and improvement of the penitentiary buildings and grounds; 32 percent on the penitentiary farm; and the remaining 15 percent on outside work.
Deportations
By order of the Governor, 49 persons were deported from the Canal Zone during the fiscal year, of whom 42 were convicts who had served sentences in the penitentiary and seven were persons whose continued residence in the Canal Zone was regarded as undesirable.
Traffic Accidents
A total of 741 traffic accidents was reported during the fiscal year 1950, as compared with 773 in the previous fiscal year. The most common cause of accidents in the fiscal year 1950 were "reckless driving" and "following too closely," these accounting for 35 percent of the total. Eleven persons were killed and 271 injured in traffic accidents during the fiscal year 1950.
A total of 3,206 traffic violations were disposed of by the traffic violations bureau, which was established in fiscal year 1948.


so
REPORT OF THE GOVERNOR OF THE PANAMA CANAL
MAGISTRATES' COURTS
The following is a summary of the business transacted at the magistrates' courts for the subdivisions of Cristobal and Balboa for the fiscal year 1950, together with comparative figures for the fiscal year 1949:
Cristobal Balboa Total
1950 1949 1950 1949 1950 1949
Cases handled: Criminal___________________________........... 2. 452 8 2, 228 1 5. 950 36 5,400 29 8, 402 44 7. 628 30
Civil.....______________.....______________________
Total_____.............. ... .........
2, 460 2,229 5. 986 5.429 8,416 7, 658
Disposition of criminal cases: Conviction........_____________........_______ ..
2, 299 58 54 48 2, 076 48 46 58 5, 680 115 75 82 5, 098 74 140 88 7, 979 173 129 130 7,174 122 186 146 7,628
Acquittal_________________________________________
Dismissal......__________............________.....
Held for district court______________......_________ Total........______......_______________________
2, 459 2,228 5,952 5, 400 8,411
Convictions in which execution of sentences was suspended and defendants placed on probation___..... Rearrested for violating terms of probation____________ Revenues.____......._______________..............
101 2 $22, 429 94 7 $22, 629 125 7 $54, 444 199 15 $46, 687 226 9 $76, 873 293 22 $69,316

PARDONS AND REPRIEVES
The Pardon Board, consisting of five members appointed by the Governor, acts in an advisory capacity in the consideration of requests submitted by prisoners for executive clemency. During the fiscal year 1950, the Board considered 66 applications for executive clemency, 62 of which were for commutation of penitentiary and jail sentences and four for revocation of orders deporting persons following service of sentences and imprisonment. Recommendations for or against clemency were submitted to the Governor in each of such cases, and clemency was extended in 15 of these cases.
There were 19 cases considered by the Board at its meeting on June 28, 1950, and these were still pending at the close of the fiscal year.
Effective July 6, 1949, Maj. Gen. George W. Rice, U. S. A. (MC), was appointed a member of the Board to succeed Col. S. D. Avery, U. S. A. (MC), relieved from duty with The Panama Canal, and Dr. K. O. Courtney was appointed alternate for General Rice.
FIRE PROTECTION
During the year 233 fires were reported involving property value of $9,044,980, and caused damage estimated at $90,274. In addition to the fires reported, the Fire Section responded to 46 false alarms, 36 emergency calls, and 44 alarms at which no fire was found.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 81
The following table classifies the owners who suffered property losses during the year, as compared with the previous year:
The Panama Canal.........
Panama Railroad Company
U. S. Army.................
U. S. Navy............_____
Private (including ships)____
Total.................
Total property involved.....
Fiscal year 1950 Fiscal year 1949
Number of fires Property loss Number of fires Property loss
163 19 3 5 $14,451 57, 739 140 70 208 45 8 1 $4, 426 921 2,168
43 17,874 72 92,183
233 90,274 9,044,980 1 99,698 27, 258,213
The largest fire of the year was that involving the commissary in the town of La Boca, on February 13, 1950. The fire originated in the automobile accessory section of the commissary store, presumably from a discarded cigarette. Four firemen received treatment for injuries and burns received at the fire. The total damage was estimated at $57,734.
PUBLIC SCHOOL SYSTEM
The public school system for white children includes eight kindergartens; nine elementary schools, grades 1 through 6; two junior high schools, grades 7 through 8; two senior high schools, grades 9 through 12; an apprentice school; and a junior college. Public schools for colored children include six kindergartens; seven elementary schools, grades 1 through 6; five 3-year junior high schools, grades 7 through 9; two occupational high schools, grades 10 through 12; and a 2-year normal training school. In the upward extension of the colored schools a normal training junior college at La Boca, with three instruc-torships for the faculty, will be opened in September 1950, using existing facilities, replacing the 2-year normal training school.
Enrollments
The schools for white children operate on a nine month basis, while the schools for colored children are open ten months each year. February enrollments are used for purposes of comparisons, since they usually represent the enrollment peaks. In February 1950, 4,511 pupils were enrolled in the white elementary and secondary schools and 3,412 in the colored schools, compared with 4,509 and 3,277, respectively, in February 1949. The kindergarten enrollments were 514 white and 291 colored in February 1950, as compared with 691 and 274, respectively, in February 1949.


82 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
For the past three years the average daily attendance has been as follows:
Fiscal year
1950 1949 1948
White schools......__________________________ .________ 4,335 3,245 4,244 3,104 3,978 2,846
Colored schools______________________________________________

Note.Junior college and kindergartens not included.
February enrollments of day-time students in the Canal Zone Junior College numbered 206 as compared with 195 in February 1949. The extension division of this school offered adult classes during three terms, viz, October 3, 1949, through January 30, 1950; February 2, 1950, through May 29, 1950; and June 12, 1950, through August 3, 1950. The extension division served a total of 965 individuals, not including duplications, about 398 less than were enrolled hi the previous year. There was no summer session at Cristobal. The courses offered at the Balboa center numbered 31, 37, and 10, respectively, for the three terms; those at Cristobal numbered 7 and 1 for the two regular terms.
Achievement
The achievement tests which have been administered in March or April to pupils of grades 1 through 8 in white and colored schools for many years, and which have been used as a means of comparison between Canal Zone pupils and those in the United States, were given in September in the colored schools and in October in the white schools. It is believed this change has (1) lessened the influence of test materials on the courses of study, (2) removed unfavorable tensions, and (3) provided the teacher with a better diagnostic instrument in that the tests reveal needs at the beginning of the school year rather than weaknesses at the end. It will probably be several more years before the value of this change may be definitely determined.4 The function of the tests in providing a comparison with pupils in the United States is not impaired. In the cooperative tests in senior high school subjects administered at the close of the second semester, the median pupil in 23"tests scored at a point equivalent to the 60th percentile, as compared with the 64th percentile in the previous year.
Curriculum
The general curriculum revision program begun in 1948 was continued through the year. A number of teachers in both white and colored schools were organized into committees for the purpose of


REPORT OF THE GOVERNOR OF THE PANAMA CANAL 83
reevaluating and revising the present courses of study in various subject areas based on previous professional studies in the fields of educational psychology, sociology, philosophy, and current school practices.
The secondary teachers in the white schools were organized by subject areas for curriculum study. Each department reviewed the present courses of study in its field and submitted a tentative plan for revision. The social studies committee in the white secondary schools completed tentative courses of study for grades 7, 8, and 11.
Planned foundation reading by teacher groups in preparation for curriculum revisions was completed in the elementary schools in the areas of educational sociology, psychology, and philosophy, and in modern educational practices. In accordance with the general plan, the curriculum revision program then moved into special studies. Present purposes and practices were analyzed by a special social studies committee representing both white and colored schools and all grade levels from kindergarten through grade 6, meeting weekly over a period of three months. Suggestions for course-of-study improvements, from the reading groups which included all teachers of the previous year, were considered. At the conclusion of its work in May the committee completed revised outlines of purposes, grade-by-grade scheduling of study materials, points of emphasis as to attitudes and skills, and the like. These outlines will guide working committees in the revision of teacher manuals in the special studies next year. It is planned to follow the same general procedure in other learning areas as the curriculum revision program continues. This committee also recommended the adoption of certain basic and supplemental social studies books, which recommendation was accepted.
Building Program
The study-hall buildings at the Silver City and La Boca occupational high scholls, which were started in the fiscal year 1949, were completed early in the fiscal year 1950. These study halls measure approximately 40 by 60 feet at La Boca and 40 by 50 feet at Silver City, and were constructed at total costs of $73,671 and $84,330, respectively.
Physical Education and Recreation
Physical education classes for both white and colored pupils are conducted by the personnel of the Physical Education and Recreation Section. In addition, personnel from this section provide leadership and guidance for the Boy and Girl Scout organizations on the Isthmus and supervise such sports and recreational activities as baseball,


84 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
basketball, handball, football, tennis, boxing, fencing, archery, athletic meets, swimming and water safety.
POSTAL SYSTEM
Twenty post offices were in operation by the Bureau of Posts during the fiscal year 1950. Of these, 11 were in civilian localities, five in Army localities, one in an Air Force base, and three on Naval reservations. Due to the reduction in Air Force activities and changes in Army forces, it was possible to discontinue the following three post offices during the fiscal year: Quarry Heights on September 30, 1949; France Air Force Base on August 21, 1949; and Fort Sherman on January 31, 1950.
Operations for the past three years are summarized in the following table:
1950 Fiscal year 1949 1948
Receipts:
Sale of air mail postage.....................-....._______________ $301,346 $381,394 $353, 742
Sale of other postage stamps, postal cards, stamp books, etc_____ 213, 743 218, 743 182,236
Money order fees......________________________________________. 58,617 52,134 40,908
Box rents collected__________________________________________ 45,453 49, 650 46,115
Handling mail, other agencies_______...................______ 13, 500 13, 500 13,500
Otherreceipts....._________________...................________ 372 473 312
Total receipts.........___________......______________.....____ 633,031 715, 894 636, 813
Expenses:
Transportation charges for air mail.-.....____________......_____ 137,081 168, 705 161,989
All other charges and expenses_________.............____________ 656, 234 664,951 608, 994
Total expenses________________________________________________ 793,315 833, 656 770, 983
Net surplus (deficit)....................................._________ (160, 284) (117, 762) (134,170)
Transferred from postal savings interest account......__________ 200, 000 200,000
Reported surplus (deficit)_________________________..........
39, 716 (117, 762) 65,830
' This operating deficit was absorbed by reserve funds.
Statistics relative to the operation of the Canal Zone postal system for the past three fiscal years are covered in the following table:
Fiscal year
1950 1949 1948
Registered and insured articles handled: Sent...................................... 114,234 146, 736 3,379 3,571 (') 121 16,216 17, 952 141,392 175, 231 3,124 3,059 (0 135 19, 864 21,419 148,937 175,820 1,943 973 i 173 240 21, 702 21,646
Received.......................____
Dispatches of steamship mail handled: Cristobal: Number sent.......................
Number received.........................
Balboa: Number sent...........................
Number received..............
Dispatches of air mail handledBalboa: Sent.........................................
Received....................................

1 Effective Oct. 1, 1947, the dispatching of surface mail for South and Central America from Balhna wad discontinued and that function transferred to the Cristobal exchange office.


REPORT OF THE GOVERNOR OF THE PANAMA CANAL
85
IMMIGRATION VISAS
During the fiscal year 1950, 397 visas were issued by the Executive Secretary to alien residents of the Canal Zone traveling to the United States. Of these, 19 were quota immigration visas, 264 were nonquota, immigration visas, 74 were nonimmigrant visas, and 40 were transit certificates. Fees collected for visas amounted to $2,858.
RELATIONS WITH PANAMA
Because of the close relations existing between the Governments of the Canal Zone and the Republic of Panama and the proximity of the two areas, numerous matters of mutual interest arise continually. During the year, correspondence and discussions pertaining to the transaction of matters of this kind were conducted between representatives of The Panama Canal and the Panamanian Government. The majority of these matters related generally to such subjects as customs, immigration, repatriation of aliens, municipal improvements, public health, postal service, letters rogatory, and extradition.
CUSTOMS
The following is a statistical summary of the more important items handled by the Customs during the fiscal year 1950, together with corresponding figures for the two preceding years:
Fiscal year
1950 1949 1948
Vessels entered_______________________________________________ 13, 553 12, 558 12, 204
Vessels cleared _____________ . ____________......._____ 13,547 12, 574 12, 205
Aircraft entered.........................................-..... i 834 3,824 4,344
Aircraft cleared. ____________________________________________ i 843 3,825 4,346
Customs releases on shipments consigned to Panama......._ 9, 686 7,710 8,491
Shipments of household goods of employees, inspected and
sealed for shipment to United States................._______ 2 4
Inroices certified for shipment to United States_____.......... 1,167 1.380 1,073
Chinese passengers arriving____............................... 62 137 84
Chinese admitted to Panama................................. 33 20 42
Vessels with Chinese crews checked_____...................... 2,545 1,051 894
' July 1, 1049, through Sept. 21, 1949, at Canal Zone air terminal.
Canal Zone customs officers have been stationed at the National Airport in the Republic of Panama since the transfer of commercial air activities to that airport from the Canal Zone on September 21, 1950, to inspect baggage of passengers destined for the Canal Zone, and to release air express consigned to the Canal Zone.
SHIPPING COMMISSIONER
The Shipping Commissioner and his deputies have the same authority with respect to United States seamen as shipping commis-
92539451-7


86 REPORT OF THE GOVERNOR OF THE PANAMA CANAL
sioners in United States ports and United States consuls in foreign ports. Eight sick or destitute seamen were maintained and returned to the United States at the expense of the appropriation for the relief of destitute American seamen, and 157 were signed on vessels as workaways, and returned to the United States without expense to the Government.
The total wages earned by seamen who were discharged at Canal Zone ports amounted to $70,709, and the total approved for deductions on account of advances, allotments, fines, slop-chest account, etc., was $37,181. The balance of $33,528 was either paid to seamen under the supervision of the Deputy Shipping Commissioners or received on deposit for the seamen by the Deputy Shipping Commissioners. The wages, money, and effects of two American seamen, one of whom died in the Canal Zone and one at sea, were handled by the Shipping Commissioner during the year. Their personal effects and cash, amounting to $68, were remitted to the proper courts for disposition. The unclaimed wages of one seaman were deposited with the Treasurer, The Panama Canal, as provided by law.
ADMINISTRATION OF ESTATES
The Public Administrator takes charge of all estates requiring administration within the Canal Zone that are not handled by others legally entitled to administer them. In cases of estates with total assets exceeding $1,000 in value, the Public Administrator charges the regular commissions fixed by law, which are paid into the Treasury of the United States. Commissions amounting to $4,310 were collected during the fiscal year. The estates of 148 deceased or insane persons, with cash assets of $151,210, were settled during the fiscal year.
FOREIGN CORPORATIONS
Foreign corporations doing business in the Canal Zone are required to have licenses, and 136 such corporations, the majority of which were steamship lines, steamship agencies, and Government contractors, were licensed during the fiscal year 1950. Fees amounting to $1,360 were collected.
INSURANCE
The license fee for insurance companies doing business in the Canal Zone is $10 per year plus a tax of X% percent on premiums collected. At the end of the fiscal year 27 insurance companies were licensed to write insurance in the Canal Zone.


University of Florida Home Page
© 2004 - 2010 University of Florida George A. Smathers Libraries.
All rights reserved.

Acceptable Use, Copyright, and Disclaimer Statement
Last updated October 10, 2010 - - mvs