and because the Gatun location affords 10 miles more of absolutely unobstructed navigation. I have confidence in the absolute stability and sufficient impermeability of the Gatun dam as designed. The experiments made and recited by Mr. Stearns and Mr. Noble give a scientific basis to such an opinion. It is not an engineering guess, in the present state of knowledge, to claim that percolation may be reduced to almost any extent by the increase of resistance through additional material and by the reduction of the hydraulic gradient. My experience with the levees of the Mississippi River, with which I was connected for twenty-six years as engineer for the State of Louisiana, and afterwards as a member of the Mississippi River Commission, confirms me in this view. These structures deal with the same problems of the stability of the embankment, and seepage through the foundations as does the Gatun dam. There are levees there holding heads of water up to 40 feet, with bases of only about eight or ten times the pressure height, and back slopes of one on five or six. They are proved safe by experience. The Gatun dam, as designed, has a base thirty-one times the pressure height and a back slope of one on twentyfive. In the great Mississippi River flood of 1882, when the levee system was in its worst state, entirely inadequate in both grade and section, there were in a certain district over 140 breaks, of which every one but two was caused by the water overtopping the levee crest, and the remaining two by unknown causes, probably burrowing animals. Neither of these causes can affect the Gatun dam with its height of 50 feet above the lake and its thickness of 374 feet at the water line. B. M. HARROD. Statement submitted by Mr. Shonts. ISTHMIAN CANAL AFFAIRS, OFFICE OF ADMINISTRATION, Washington, D. C., March 26, 1906. SIR: I have the honor to transmit herewith for the information of the committee, and for such use as you may desire to make of the same, a statement of receipts, expenditures, and statistics of operations of hotels and mess kitchens on the Isthmus of Panama to December 31, 1905. The statement shows each hotel separately, and the mess kitchens under two groups-those in the La Boca district and those in the Culebra district. The receipts for meals and care of rooms are separately given, and the expenditures for the meal service and for care of rooms are separately shown. The direct charge for care of rooms was discontinued on October 15, 1905, since which date the care of rooms is included in the cost of meals. ISTHMIAN CANAL COMMISSION, OFFICE OF GENERAL AUDITOR Exhibit of receipts, expenditures, and statistics of operations of hotels and mess kitchens on the Isthmus of Panama to December 31, 1905. 7, 454. 14 13, 038. 70 3, 798. 95 1, 402. 35 1, 697. 10 1, 976. 85 1,306.80 30, 674.89 3, 413. 19 22, 698. 68 26, 111. 87 56, 786.76 335.00 245.20 580.20 7,789.14 13,283.90 3,798.95 1,402. 35 1, 697. 10 1,976. 85 1,306. 80 31, 255. 09 3, 413. 19 22, 698. 68 26, 111.87 57, 366.96 580.20 6, 762. 57 2, 396. 50 3, 128. 36 2, 432.25 2, 101. 23 51, 661. 53 4, 042. 21 18. 480. 31 22, 522. 52 74, 184. 05 22, 149. 52 6, 762. 57 2, 396. 50 3, 128.36 2, 432. 25 2, 101. 23 55, 633. 12 4, 042. 21 18, 480. 31 22, 522. 52 78, 155.64 Exhibit of receipts, expenditures, and statistics of operations of hotels and mess kitchens, etc.-Continued. Depreciation of buildings, at 10 per cent; equipment, at 12 per cent per annum. Cost of equipment included in first period. Correct. HARRY C. LEWIS, Acting General Auditor. WASHINGTON, D. C., March 23, 1906. Excess of receipts over expenditures. Excess of expenditures over receipts Number of meals furnished. Revenue per meal: On basis Meals only. ISTHMIAN CANAL. COMMITTEE ON INTEROCEANIC CANALS, UNITED STATES SENATE, Washington, D. C., Wednesday, April 18, 1906. The committee met at 10.30 o'clock a. m. Present: Senators Millard (chairman), Kittredge, Dryden, Hopkins, Knox, Ankeny, Morgan, and Taliaferro. Present, also: Maj. Gen. George W. Davis, U. S. Army, retired. STATEMENT OF HON. WILLIAM H. TAFT, SECRETARY OF WAR. The CHAIRMAN. Mr. Secretary, you were before the committee when we started this investigation, so that the questions that were asked you then to start with will not be again asked you now, but we will let you proceed with your statement. Senator MORGAN. It has been understood by this committee for some time, and was so announced here, that Secretary Taft wanted to give his testimony at the conclusion of the examination of the other witnesses. I have shaped my course on this committee with respect to that very matter, thinking that it was very essential indeed that the Secretary should have the opportunity of passing his judgment, or his opinion, and giving us advice upon the whole of the testimony. That arrangement was not perfected, because, while the chairman called the witnesses here in regard to the railroad transactions, there has been some disappointment about their coming. I wish to say that I do not believe that Secretary Taft knows, or that anybody knows, except those officers, all the facts that are necessary to be known in order to give us complete advice and judgment upon one great question in this case, and that is, What shall be done with the railroad company and the railroad property in the further management and conduct of the operations of this canal? I think that is one of the most important questions before us. Now, I suggest to Secretary Taft that, after he has proceeded with his statement to-day, or at least before he makes a final conclusion of his statement, we will bring Mr. Drake and the officers of the railroad company here and examine them with the books; I want to see those books; and that he will conclude his testimony after they have been here. Secretary TAFT. I am at the disposition of the committee, gentlemen. I have, at considerable effort, read all the evidence that has been before the committee except the expert evidence-I mean, as to the type of the canal; and I have prepared a statement on the issues |