COL. GEO. W. GOETHALS, U.S. ARMY

A canal connecting the Atlantic and Pacific oceans has occupied public attention for upward of four centuries, during which period various routes have been proposed, each having certain special or peculiar advantages. It was not until the nineteenth century, however, that any definite action was taken looking toward its accomplishment.

In 1876 an organization was perfected in France for making surveys and collecting data on which to base the construction of a canal across the Isthmus of Panama, and in 1878 a concession for prosecuting the work was secured from the Colombian Government.

In May, 1879, an international congress was convened, under the auspices of Ferdinand de Lesseps, to consider the question of the best location and plan of the Canal. This congress, after a two weeks' session, decided in favor of the Panama route and of a sea-level canal without locks. De Lesseps's success with the Suez Canal made him a strong advocate of the sea-level type, and his opinion had considerable influence in the final decision.

Immediately following this action the Panama Canal Company was organized under the general laws of France, with Ferdinand de Lesseps as its president. The concession granted in 1878 by Colombia was purchased by the company, and the stock was successfully floated in December, 1880. The two years following were devoted largely to surveys, examinations, and preliminary work. In the first plan adopted the Canal was to be 29.5 feet deep, with a ruling bottom width of 72 feet. Leaving Colon, the Canal passed through low ground to the valley of the Chagres River at Gatun, a distance of about 6 miles; thence through this valley, for 21 miles, to Obispo, where, leaving the river, it crossed the continental divide at Culebra by means of a tunnel, and reached the Pacific through the valley of the Rio Grande. The difference in the tides of the two oceans, 9 inches in either direction from the mean in the Atlantic and from 9 to 11 feet from the same datum in the Pacific, was to be overcome and the final currents reduced by a proper sloping of the bottom of the Pacific portion of the Canal. No provisions were made for the control of the Chagres River.

In the early eighties after a study of the flow due to the tidal differences, a tidal lock near the Pacific was provided. Various schemes were also proposed for the control of the Chagres, the most prominent being the construction of a dam at Gamboa. The dam as proposed afterward proved to be impracticable, and this problem remained, for the time being, unsolved. The tunnel through the divide was also abandoned in favor of an open cut.

Work was prosecuted on the sea-level canal until 1887, when a change to the lock type was made, in order to secure the use of the Canal for navigation as soon as possible. It was agreed at that time that the change in plan did not contemplate abandonment of the sea-level Canal, which was ultimately to be secured, but merely its postponement for the time being. In this new plan the summit level was placed above the flood line of the Chagres River, to be supplied with water from that stream by pumps. Work was pushed forward until 1889, when the company went into bankruptcy; and on February 4th that year a liquidator was appointed to take charge of its affairs. Work was suspended on May 15, 1889. The new Panama Canal Company was organized in October, 1894, when work was again resumed, on the plan recommended by a commission of engineers.

This plan contemplated a sea-level canal from Limon Bay to Bohio, where a dam across the valley created a lake extending to Bas Obispo, the difference in level being overcome by two locks; the summit level extended from Bas Obispo to Paraiso, reached by two more locks, and was supplied with water by a feeder from an artificial reservoir created by a dam at Alhajuela, in the upper Chagres Valley. Four locks were located on the Pacific side, the two middle ones at Pedro Miguel combined in a flight.

A second or alternative plan was proposed at the same time, by which the summit level was to be a lake formed by the Bohio dam, fed directly by the Chagres. Work was continued on this plan until the rights and property of the new company were purchased by the United States.

The United States, not unmindful of the advantages of an isthmian canal, had from time to time made investigations and surveys of the various routes. With a view to government ownership and control, Congress directed an investigation of the Nicaraguan Canal, for which a concession had been granted to a private company. The resulting report brought about such a discussion of the advantages of the Panama route to the Nicaraguan route that by an act of Congress, approved March 3, 1889, a commission was appointed to "make full and complete investigation of the Isthmus of Panama, with a view to the construction of a canal." The commission reported on November 16, 1901, in favor of Panama, and recommended the lock type of canal.

By act of Congress, approved June 28, 1902, the President of the United States was authorized to acquire, at a cost not exceeding $40,000,000, the property rights of the New Panama Canal Company on the Isthmus of Panama, and also to secure from the Republic of Colombia perpetual control of a strip of land not less than 6 miles wide, extending from the Caribbean Sea to the Pacific Ocean, and "the right … to excavate, construct, and to perpetually maintain, operate, and protect thereon a canal of such depth and capacity as will afford convenient passage of ships of the greatest tonnage and draft now in use."

Pursuant to the legislation, negotiations were entered into with Colombia and with the New Panama Canal Company, with the end that a treaty was made with the Republic of Panama granting to the United States control of a 10-mile strip, constituting the Canal Zone, with the right to construct, maintain, and operate a canal. This treaty was ratified by the Republic of Panama on December 2, 1903, and by the United States on February 23, 1904.

The formal transfer of the property of the New Panama Canal Company on the Isthmus was made on May 4, 1904, after which the United States began the organization of a force for the construction of the lock type of canal, in the mean time continuing the excavation by utilizing the French material and equipment and such labor as was procurable on the Isthmus.

President Roosevelt, in a message to Congress, dated February 19, 1906, stated: "The law now on our statute-books seems to contemplate a lock canal. In my judgment a lock canal, as herein recommended, is advisable. If the Congress directs that a sea-level canal be constructed its direction will, of course, be carried out; otherwise the Canal will be built on substantially the plan for a lock canal outlined in the accompanying papers, such changes being made, of course, as may be found actually necessary, including possibly the change recommended by the Secretary of War as to the site of the dam on the Pacific side."

On June 29, 1906, Congress provided that a lock type of canal be constructed across the Isthmus of Panama, of the general type proposed by the minority of the Board of Consulting Engineers, and work has continued along these lines. The Board of Consulting Engineers estimated the cost of the lock type of canal at $139,705,200 and of the sea-level canal at $247,021,000, excluding the cost of sanitation, civil government, the purchase price, and interest on the investment. These sums were for construction purposes only.

I ventured a guess that the construction of the lock type of canal would approach $300,000,000, and without stopping to consider that the same causes which led to an increase in cost over the original estimates for the lock canal must affect equally the sea-level type, the advocates of the latter argued that the excess of the new estimates was an additional reason why the lock type should be abandoned in favor of the sea-level canal.

The estimated cost by the present commission for completing the adopted project, excluding the items let out by the Board of Consulting Engineers, is placed at $297,766,000. If to this be added the estimated cost of sanitation and civil government until the completion of the work, and the $50,000,000 purchase price, the total cost to the United States of the lock type of canal will amount to $375,201,000. In the preparation of these estimates there are no unknown factors.

The estimated cost of the sea-level canal for construction alone sums up to $477,601,000, and if to this be added the cost of sanitation and civil government up to the time of the completion of the canal, which will be at least six years later than the lock canal, and the purchase price, the total cost to the United States will aggregate $563,000,000. In this case, however, parts of the estimate are more or less conjectural—such as the cost of diverting the Chagres to permit the building of the Gamboa dam and the cost of constructing the dam itself.

Much criticism has resulted because of the excess of the present estimates over those originally proposed, arising largely from a failure to analyze the two estimates or to appreciate fully the actual conditions.

The estimates prepared and accompanying the report of the consulting engineers were based on data less complete than are available at present. The unit costs in the report of 1906 are identical with those in the report of 1901, and since 1906 there has been an increase in the wage scale and in the cost of material. On the Isthmus wages exceed those in the United States from 40 to 80 per cent. for the same class of labor. The original estimates were based on a ten-hour day, but Congress imposed the eight-hour day. Subsequent surveys and the various changes already noted have increased the quantity of work by 50 per cent., whereas the unit costs have increased only 20 per cent.—not such a bad showing. In addition, municipal improvements in Panama and Colon, advances to the Panama Railroad, and moneys received and deposited to the credit of miscellaneous receipts aggregate $15,000,000, which amount will eventually and has in part already been returned to the Treasury. Finally, no such system of housing and caring for employees was ever contemplated as has been introduced and installed, materially increasing the overhead charges and administration.

The idea of the sea-level canal appeals to the popular mind, which pictures an open ditch offering free and unobstructed navigation from sea to sea, but no such substitute is offered for the present lock canal. As between the sea-level and the lock canal, the latter can be constructed in less time, at less cost, will give easier and safer navigation, and in addition secure such a control of the Chagres River as to make a friend and aid of what remains an enemy and menace in the sea-level type.

In this connection attention is invited to the statement made by Mr. Taft, when Secretary of War, in his letter transmitting the reports of the Board of Consulting Engineers:

"We may well concede that if we could have a sea-level canal with a prism of 300 to 400 feet wide, with the curves that must now exist reduced, it would be preferable to the plan of the minority, but the time and cost of constructing such a canal are in effect prohibitive."

We are justly proud of the organization for the prosecution of the work. The force originally organized by Mr. John F. Stevens for the attack upon the continental divide has been modified and enlarged as the necessities of the situation required, until at the present time it approaches the perfection of a huge machine, and all are working together to a common end. The manner in which the work is being done and the spirit of enthusiasm that is manifested by all forcibly strike every one who visits the works.

The main object of our being there is the construction of the Canal; everything else is subordinate to it, and the work of every department is directed to the accomplishment of that object.

Too much credit can not be given to the department of sanitation, which, in conjunction with the division of municipal engineering, has wrought such a change in the conditions as they existed in 1904 as to make the construction of the Canal possible. This department is subdivided into the health department, which has charge of the hospitals, supervision of health matters in Panama and Colon, and of the quarantine, and into the sanitary inspection department, which looks after the destruction of the mosquito by various methods, by grass and brush cutting, the draining of various swampy areas, and the oiling of unavoidable pools and stagnant streams.

According to the statistics of the health department, based on the death-rate, the Canal Zone is one of the healthiest communities in the world, but in this connection it must be remembered that our population consists of men and women in the prime of life, with few, if any, of the aged, and that a number of the sick are returned to the United States before death overtakes them.