Grey Answers Knox On Tolls Dispute

New York Times 100 years ago today, March 1, 1913:
British Note, Said to Propose Arbitration, Will Pass to New Administration.
WILSON'S VIEWS IN DOUBT
Coming President Denies He Has Finally Expressed Himself on Panama Canal Issue.
    WASHINGTON. Feb. 28.— The rejoinder of the British Government to the last American note regarding the Panama Canal tolls question was delivered to-day to Secretary Knox by Ambassador Bryce. Though naturally of great interest to Secretary Knox, he will make no effort to consider it, but will allow the negotiations on the American side to be continued by his successor in office.
    It is understood that the British note, after a repetition of former arguments in support of its original contention, contains a flat proposal for arbitration of the issue, according to the provisions of the existing special arbitration treaty between the two countries which will expire in June.
    The note was read to Secretary Knox by Ambassador Bryce at the Secretary's office, and a copy was left with Mr. Knox by direction of Sir Edward Grey. It is withheld from publication for the present to afford Secretary Knox an opportunity to lay it before President Taft, but it has been arranged that the note be given out for publication in the Sunday morning papers in this country and the Monday . morning papers in Europe.
    The report that President-elect Wilson favors Senator Root's amendment to the Panama Canal bill repealing the provision exempting American coastwise ships from payment of tolls is the subject of remark, because Senator O'Gorman of New York, who has boon regarded as more or less of a spokesman for Mr. Wilson, is a sturdy opponent of the Root amendment and a champion of free passage for American ships.
    There is no likelihood of any action upon the Root repeal amendment in the few remaining days of the Sixty-second Congress. It was recently tabled in the Senate Interoceanic Canals Committee, thus preventing the possibility of even being brought before the Senate on a minority report.
    It is expected to he revived at the next Congress, probably in the course of the extra session.

    LONDON, Feb. 28.— Dispatches from Washington published here, announcing that president-elect Woodrow Wilson had expressed himself in favor of supporting Senator Elihu Root's amendment to the Panama Canal bill repealing the provision exempting American vessels from paying; tolls for passage through the Panama Canal, have given rise to considerable comment in the English newspapers, which voice their gratification over the attitude attributed to him. The Westminster Gazette, a leading organ of the British Government says:
    "We all very much regretted to find ourselves in conflict with the United States Government on a point of this kind, and believe that public opinion in the United States will welcome this changed attitude leading to the avoidance of further controversy."
    The Pall Mall Gazette says: "Dr. Wilson is to be congratulated on striking a true and high note in this matter upon the eve of his accession. We think repeal of the preemption clause would be far the best solution of a tangle created by the shortsightedness of overreaching politicians."
    The publication to-day of the statement that the British Government has proposed arbitration of the canal question in a note to the State Department, coupled with the comment of the British press on dispatches to London newspapers purporting to represent President-elect Wilson as against free tolls, brought no definite statement yesterday from Mr. Wilson.
    The President-elect declined to make any comment beyond a denial of the published report that he had expressed himself with finality on the question. Mr. Wilson said that he did not feel it would be proper for him to discuss the matter of canal tolls until after he became President and had had a chance to discuss it with members of the Senate.
    The possibility that the Senate might take some action which would remove the grounds for the British protest and thus relieve the new Administration from all embarrassment is cited in some quarters as the chief reason for his reticence.
    On the other hand, it is said by those who know in general the President-elect's ideas on foreign policies that if the question is flatly put up to him he either would indicate opposition to the proposed method of granting free tolls to American ships, or favor submission of the question to a court of arbitration.