Panama and Central and South American
points, and 104,651 pieces through the Cris-
tobal post-office for points in the United
States, the West Indies and Europe. There
were 1,009 despatches of mail from the Cris-
tobal post-office during the year, including
several despatches of bullion direct to Eng-
land, and 72,670 pouches, sacks, and regis-
tered sacks of mail were handled by the rail-
way mail messengers.
There were 207,220 money orders issued
during the year, representing a value of $5,-
228,562.15, and the fees aggregated $22,980.-
96. The number of money orders sold ex-
ceeded the sales of the previous fiscal year by
26,831, and the amount by $61,812.69. The
average amount of each order was lower,
however, being $25.23, as compared with
$28.84 for the previous year. Orders drawn
payable in the United States and foreign
countries, except Martinique, amounted to
$3,976,891.63. Orders drawn payable in the
Canal Zone aggregated $1,247,610.22 in value,
and in Martinique, where a postal convention
was concluded on August 1, 1909, the value
of orders drawn amounted to $4,060.30.
Under this convention the settlement of
accounts is made directly between the re-
spective postal administrations. Zone post-
elseif (getClientWidth() > 430)
offices are extensively used as depositories
and the amount of money orders drawn in
favor of the remitter and made payable at
the office of issue on June 30, 1910, was
There were handled during the year 1,023
pieces of unclaimed registered matter, and
32,397 pieces of unclaimed mail matter. Of
the latter class, 10,798 were domestic letters
and parcels, and 21,599 were foreign letters
and parcels. A total of 1,801 misdirected
letters was advertised in The Canal Record,
and about 60 per cent of this number were
delivered or forwarded to the addressees.
During the year, 237 vessels, with a total
tonnage of 400,910, entered at the port of
Ancon, and 238 vessels, with a total tonnage
of 399,690, cleared. At Cristobal, 235 vessels,
with a total tonnage of 636,191 entered, and
232 vessels, with a total tonnage of 625,958,
REVENUES FROM ZONE LANDS.
On June 30, 1910, there were 2,783 leases in
force in the Canal Zone, 1,892 of which were
for building lots and 884 for agricultural lands,
an increase of 686, as compared with the pre-
ceding fiscal year. The area of agricultural
land under lease was 1,545 hectares, or ap-
proximately 3,682 acres. Rents collected
from leases amounted to $27,282.29, as com-
pared with $26,969.88 for 1908-09; $17,436.76
for 1907-08, and $7,974.78 for 1906-07.
TAXES FOR LICENSE FEES.
The total collections on account of general
taxes and licenses aggregated $107,642.58, as
compared with $98,970.86 for the previous
fiscal year. The distillation tax produced a
revenue of $3,158.67, as compared with $2,209
for 1908-09, and $3,S14.94 for 1907-08. The
liquor license collections amounted to $65,400,
as compared with $72,600 for the preceding
fiscal year. Insurance companies paid $234.-
34 as fees for transacting their business in the
ADMINISTRATION OF ESTATES.
The estates of 38 American employes of the
Canal Commission or the Panama railroad
were settled during the year, and there were
17 estates still under adjustment on June 30,
1910. The moneys handled .during the year
on account of this work amounted to $6,531.-
24. Twelve estates escheated to the Govern-
ment of the Canal Zone in accordance with
the provisions of Sections 779 and 780 of the
Code of Civil Procedure. The value of these
estates was $552.25.
In addition to the collection of Zone reve-
nues, bills against employes and others are
collected on account of hospital fees, quaran-
tine charges, subsistence, sales of material, etc.
The total of such collections for the year
amounted to $31,373.03.
The grand total of revenues collected during
the fiscal year by the department was $310,-
279.57, as compared with $297,541.60 for
1908-09, and the total of all moneys handled
was $5,577,285.24, as compared with $5,491,-
566.48 for the previous year.
Pedro Miguel Locks.
Preparations are under way at the Pedro
Miguel Locks for continuing the construction
of the side and center walls from the head wall
north to the forebay wall. The side walls will
extend back from the head wall for a distance
of about 700 feet, and the center wall for a
distance of about 1,700 feet, or nearly to the
site of the No. 1 berm crane. Before concrete
can be laid in this section, however, consid-
erable material, principally rock, will have to
be removed. A steam shovel is already at
work excavating for the extension of the east
side wall; drilling operations, preparatory to
blasting in the section where the center wall
extension will be, are in progress, and grading
for a construction track, over which the spoil
from the west wall excavation will be carried,
has been begun. This track will run on a berm
along the edge of the west bank, extending to
a dump a short distance away, where the
material will be wasted. The spoil from the
center wall excavation will be carried on dirt
trains over a track which will be laid from the
forebay to the present end of the center wall,
thence through the center wall culvert to its
lower outlet and on out of the lock at the
south end. The height of the center wall
culvert is 16 feet 8 inches; it is larger than
some of the East River tubes in New York
City, and the construction trains can be
operated through it easily.
The work of installing the two new 2-cubic
yard mixers, one in the east and the other in
the west storage trestle, for producing con-
crete with which to build the wall extensions,
is well advanced. The west mixer is com-
pleted, and the east mixer lacks only its elec-
The construction of the side and center
walls toward the south end of the lock has
been advanced. A section of the east side
wall, in which the greatest amount of concrete
remains to be laid, is built to its permanent
height, and its foundation has been completed
nearly to the lower gate sill. The culvert
section in the center wall is finished to within
about 100 feet of the sill.
Concreting around the T culvert and the
lower gate sills is in progress. As this work
is out of the reach of the chamber cranes, the
concrete for it is produced by the mixer situ-
ated on the east bank, which formed a part
of the auxiliary equipment before the in-
stallation of the permanent handling plant.
The mixer was placed in operation on Septem-
ber 20, and is delivering an average of 100
cubic yards a day. The concrete is carried
from the mixer in buckets, thence raised by a
locomotive crane into hoppers, and from there
allowed to fall into Decauville cars to be
transferred to the point desired.
Considerable back filling with rock from
Ancon quarry has been accomplished along
the west wall of the lock.
The record of concrete laid for the six 8-
hour working days of the week ending Octo-
ber 1, and the total to that date, follows:
September 26. .
September 27. .
September 28. .
September 29 . .
September 30 . .
Concrete Work at Mlraflores.
A statement of the concrete laid in the locks
at Miraflores during the six 8-hour working
days of the week ending October 1, and the
total placed to that date, follows:
September 26. .
September 27 . .
September 28 . .
September 29. .
September 30. .
The sailing of the Cristobal from pier No.
11, Cristobal, has been fixed for 3 p. m.,
Monday, October 10.
United Fruit Company ships between Colon
and New York will sail on Thursday, instead
of Friday, beginning November 17.
Modesto Huete of Panama has been ap-
pointed consul of Costa Rica in Panama.
THE CANAL RECORD
Vol. IV., No. 6.
New Contract for Payment of Improvements in
Colon and Panama.
A new contract has been entered between
the United States and the Republic of
Panama providing the manner in which
payment shall be made for the sewers,
waterworks, and pavements installed in the
cities of Colon and Panama under Article
VII of the Treaty of November 18, 1903. The
contract was signed on September 30, but is
in force as of July 1, 1910. The chief points
in which it differs from the old, contract signed
on October 14, 1907, are : (1) The amount
estimated to be raised in fifty years for the
cost of installing, operating, and maintaining
for fifty years the waterworks and sewers,
and construction, maintenance and repair of
pavements for ten years was estimated under
the old contract as $3,276,250, or $65,525 per
year for the city of Panama, and $3,492,500,
or $69,850 per year for Colon. In the new
contract the amounts due on July 1, 1910
are specified and a quarterly adjustment is
agreed upon to meet interest and the cost of
maintenance. (2) "Replacements" are de-
fined in the new contract, and were not in the
old. (3) Provision is made in the new con-
tract for extensions, and no such provision
was made in the old contract.
Under the old contract there had been paid
up to July 1, 1910, for public works in Pana-
ma, $228,833.40, and in Colon, $220,028.74.
The new contract provides:
The United States hereby agrees that it will maintain
and operate for fifty years from July 1, 1907, the water-
works and sewerage systems installed by it in the city
of Panama, and that it will maintain and repair for ten
years from said last named date the pavements con-
structed by it in the city of Panama.
It is agreed that the cost of the works referred to,
less the amounts paid as water rate? by consumers in
the city of Panama and the amounts paid to the United
States by the Republic of Panama, was one million, one
hundred, thirty- eight thousand four hundred thirty-
eight and 8/100 dollars on July 1, 1910 (Colon $775,-
245. 13) i and in order to provide for the payment of the
said principal sum, with interest thereon at the rate of
two (2) per cent per annum, and to pay for the cost of
the new work, and the cost of maintenance, operation,
repair, and replacement of the water-works system and
pavements as the work may be done from time to time,
the Republic of Panama agrees that the United States
may collect the water rates from private consumers in
the city of Panama, in the amount and subject to the
conditions provided for by the regulations, which are
made part of this agreement, respecting the use of water
from the public mains and the collection of water rates
approved by competent authority of the Republic of
Panama and by the Isthmian Canal Commision,
effective on and after July 1, 1907.
(The odd provision for a rate of 30 cents pei thou-
sand gallons for all water used in Colon by the Pana-
ma raihoad and the Isthmian Canal Commission is in-
serted here in the contract referring to Colon.)
It is agreed that on September 30, December 31,
March 31 and June 30. yearly, during the period of
forty-seven years beginning July I, 1910, the United
States shall receive from the Republic of Panama, and
the Republic of Panama agrees to pay to the United
States such amount in money, in addition to the water
rates collected, hereinbefore referred to as will equal
during each quarter of the first year, one-fourth of
one-forty-seventh of the sum of S1.138.43K.08 (Colon
$775,245.18) referred to as the total amount due July
1,1910, after the United States has deducted from the
sum of the water rates received for the quarter the ex-
pense of operation, maintenance, and repairs, as well as
a proportionate part of the cost of maintenance, oper-
ation, and repair of the reservoir and pipe lines outside
of the municipal limits, and the proper proportion of the
two per cent of the capital cost of said reservoir and
pipe lines, and interest at the rate of two per cent per
annum for the quarter on the ptincipal sum due at the
end of said quarter; the balance remaining of the prin-
cipal sum shall be increased by the cost of extensions
and replacements in the water-works and sewerage
systems and pavements during the quarter, and the
balance so increased shall be the principal sum due at
the beginning of the next quarter. If at the end of the
quarter theie should result a surplus in the sum of the
water rents collected, such surplus shall be applied, in
addition to the one-quarter of one-forty-seventh of the
principal sum. to thereduction of the principal then due,
and the same computation and the same payments
shall be made quarterly for each succeeding quarter,
until the expiration of forty-seven years from July 1,
The total payments quarterly in the second year shall
be based on one-fourth of one-forty-sixth of the princi-
pal sum due at the end of that quarter, and in the third
year one-fourth of one-forty-fifth of the same principal
sum at the end of each quarter, and so on during the
succeeding years with the same ratio of reduction, until
the full period of forty-seven years shall have expired.
If at any time it shall appear that the United States
can reimburse itself in forty-seven years for the cost of
the works heretofore done and those anticipated to be
necessary by the collection of lower water rates than are
provided for by the regulations hereinbefore referred to,
or that it would be necessary to increase the rates in
order to reimburse the United States within the period
stated, for the cost of such works, this agreement shall
be modified or amended so as to increase or decrease
the rates accordingly.
It is further agreed that at the end of seven years
from July 1, 1910, the Republic of Panama shall have
the right to take over from the United States, and the
United States shall have the right to turn over to the
Republic of Panama the maintenance of the pavements
heretofore or hereafter installed by the United States
in the city of Panama (Colon).
It is further agreed that the purpose of this agreement
is to enable the United States to reimburse itself for the
actual amount expended, or to be expended, by it for
the installation of the water-works and sewerage sys-
tems in the city of Panama (Colon), and the operation
and maintaining of such systems for the period of forty-
seven years from July 1, 1910; for street pavements
constructed by the United States in the city of Panama
(Colon) and the maintaining, repairs, and replacements
and extensions of pavements for a period of seven years
from July 1, 1910, together with interest at two per
cent per annum on the amount expended or to be ex-
pended by the United States for such water-works, and
sewerage systems, and paving; and if at the end of
forty-seven years from July 1, 1910, it shall appear that
the United States has collected from the water rates
established by this agreement and any amendments
and modifications thereto, more than such actual cost
with interest, such excess shall be returned to the Repub-
lic of Panama; and if it shall appear at the end of such
period that the United States has collected less than
such actual cost, with interest, the Republic of Panama
shall pay to the United States the full amount of the
It is agreed that "replacements" within the intent
of this agreement shall be understood to mean repairs
or renewals of the work costing more than SI, 000; those
costing less than that amount shall be considered re-
pairs. (Here is inserted a proviso that the books of
the Isthmian Canal Commission -shall be open to agents
and officers of the Republic of Panama.)
In addition to the provisions hereinbefore in this
contract made which relate to the improved sections of
said city of Panama (Colon) as they now exist, it is
agreed that all extensions of the water and sewer sys-
tems and of street paving and construction of said city,
to sections or portions of said city which are now or
may hereafter be unimproved — that is to say, without
houses or buildings thereon — shall be made by the Isth-
mian Canal Commission, or by such other agency as the
United States Government may select. Before any
such unimproved sections or portions of said city shall
be opened up for the erection of houses or other build-
ings thereon, same must be plotted and laid out sys-
tematically and in proper municipal order to admit of
and provide for. therein, the systematic and sanitary
opening and pavin- of streets, and the orderly and san-
itary construction of water mains and sewers to be
connected with the present water and sewer systems of
said city: and before any houses or other structures are
erected on any unimproved sections or portions of said
city, such sections or portions, in addition to being
properly plotted and laid out as aforesaid, must in a
sufficient and sanitary manner he paved, and water
mains and sewers must be constructed and extended
throughout the same. Such plotting and laying out of
such unimproved sections of said city, and tne work of
paving therein the streets, and the construction and
extension of theaforesaid 3ewers and water mains there-
in, shall be performed by and under the plans of the
Isthmian Canal Commission, or such other agency as
the T 'nited States Government may designate. For all
the improvements and works in and about such unim-
proved sections of said city named and provided for in
this clause the United-States Government, or its proper-
ly designated agent, shall be paid by the Republic of
Panama, in cash, or in such other manner as the United
States or its said agent may require; and thereupon the
municipal improvements constructed agreeably to the
provisions of this clause shall become the property of the
Republic of Panama.
When the sewerage and water systems and the street
paving and construction are extended to any unim-
proved sections or portions of said city, as in t»iia clause
provided, and are paid for as in this clause provided,
rentals for the use of such water and sewerage and
street improvements shall be fixed, collected and
applied in the same manner as are fixed, collected and
apohed similar rentals provided for in this contract;
unless, in the meantime, the Republic of Panama shall
have duly acquired full right and title to such other
municipal improvements, agreeably to the Treaty be-
tween the Republic of Panama and the United States,
signed November 18,1903. or agreeably to this contract,
or any other contracts made in accordance with said
Treaty; rn which case, whatever rentals may be derived
from the municipal improvements provided for in this
clause shall be and remain the revenue of said Republic
The cost of maintaining and operating the municipal
improvements provided for in this clause shall be borne
and taken care of in the same manner as is the cost of
maintaining and operating the other municipal im-
provements named in this contract and agreement.
The provisions of this clause in respect to the erection
of buildings on the aforesaid unimproved sections of
said city shall be made effective by proper presidential
decree, to be immediately promulgated, which decree
shall thereupon become a part of the sanitary rules and
regulations of said city.
Ancon Rock Crusher.
A statement of the rock crushed at Ancon
quarry during the week ending October 1,
September 27 .
September 28 .
October 1 . . . .
*These figures refer to rock shipped from the bins
as none was crushed on these dates.
The shaft of the main crusher broke down
shortly after the day's work had begun on
Wednesday, September 28, compr-iJing a sus-
pension of operations during the remainder
of the week. Repairs were completed and
the plant was started up again on Monday
morning, October 3.
Porto Bello Crusher.
A statement of the work done at Porto
Bello crusher, by days, for the week ending
October 1, follows:
September 2 7
October 1 . . .
Fatal Accident Near Paraiso.
Preston Douglas, a Barbadian, check No.
93530, was fatally injured, and Charles Green,
a Panamanian, check No. 21215, sustained
the fracture of a leg in an accident near Para-
iso at 6.45 a. m., on Thursday, September 29.
The men were employed as brakemen and
were standing on the footboard of the tender
of locomotive No. 298 as it backed down an
incline track just north of bridge No. 57 to
couple on to a train of dirt cars. The engine
wheels slid as the air was applied to them and
the foremost car was struck with considerable
force, pinning the two men between the car
and tender. Douglas lived in Panama and
was removed to Ancon Hospital, where he
died a few hours later.
October 5, 1910.
THE CANAL RECORD
LAKE REGION EXCAVATION.
Work Between Gatun Dam and Culebra Cut.
Excavation in the channel through the
Gatun Lake region is both retarded and assist-
ed by freshets in the Chagres River. Within
the past ten days the shovels at work at 40
feet above sea level have been flooded twice
and have been obliged to suspend for a day
each time to allow the water to subside. Vet
each of these freshets carried away thousands
of cubic yards of material from the dumps
along the river, and thus were of assistance
in that part of the work.
The river dumps are proving very econom-
ical for clay in the wet season, as compared
with dumps on which the tracks must be
shifted continually. Before they were opened
the cost of dumping at Gorgona and Mamei
was from seven to 15 cents a cubic yard, and
on the river dumps this has been reduced to
four cents a yard, and some material is wasted
at as low a cost as one cent a yard. On the dump
at Gorgona, both the plan of casting the earth
into the river from a high trestle, and the
regular dry dump are in use, the latter be-
cause it is desirable to make a fill on which the
yards at Gorgona shops may be extended, if
desired. On the trestle dump the clay is
sluiced into the river, and two water cranes
have been erected to wash out mud that sticks
in the cars. It was here that the invention
of a Spanish subforeman was first used in
dumping and "righting" the cars. It consists
in placing a piece of pipe under the box of
the car at a slight angle with the track, with
one end touching the box and the other resting
on a tie. The locomotive draws the car slowly-
forward and, as the pipe approaches the ver-
tical, the body is dumped. The same plan is
used in "righting" the body, this operation
being accomplished without the train coming
to a stop. Five men can do the work pre-
viously requiring 20 by use of the "pipe tilt-
er." The pay of the subforeman was in-
creased when the effectiveness of his method
At Point 5, near Mamei, the dump is on a
trestle alongside the river, and the material
is sluiced into the stream. In spite of the
sluicing, howe%'er, the bank grows slowly to
the level of the track, and at regular intervals,
the clay is dislodged by small charges of dyna-
mite. From 2,000 to 3,500 yards of spoil are
disposed of daily at this dump, and only 15
laborers are employed in keeping it in con-
dition. The cars are so loaded by the shovels as
to make it unnecessary to hook the chains, and
they are dumped by the "tilting pipe." They
are hauled back to the shovel without being
"righted," and the shovel pushes each body
into position with the first dipperful of earth.
There is a dump on a bend in the river at San
Pablo, in which 50,000 carloads of earth have
been wasted, two loads at a time. The river