Sir Julian Pauncefote to Mr. Foster.

Sir: I have the honor to inform you that a copy of your note of the 6th September last with respect to wrecking privileges for American vessels in the Welland Canal, was transmitted to the governor-general of Canada, and that I have now received from his excellency in reply a dispatch inclosing copy of an approved minute of privy council concurring in a report of the minister of railways and canals dealing with [Page 332] the subject, and to which are attached regulations submitted by him with a view of enabling the United States wrecking vessels to render aid to disabled American vessels in the Welland Canal.

I have the honor to inclose a copy of that minute.

I have the honor, etc.,

Julian Pauncefote.
[Inclosure.]

Certified copy of a report of a committee of the honorable the privy council, approved by his excellency the governor-general in council, on the 19th November, 1892.

The committee of the privy council have had under consideration a dispatch, hereto attached, dated 9th September, 1892, from Her Majesty’s chargé d’affaires at Washington, covering a copy of a note received by him from the Secretary of State for the United States, dated the 6th of September, 1892, in which the Secretary of State acknowledges the receipt of a copy of the minute of council passed on the 27th of August last, with respect to wrecking privileges for American vessels in the Welland Canal whereby there was conveyed the intimation that as the waters of the canal are not “contiguous” to the United States they did not seem to come within the scope of the enactment of last session respecting reciprocity in wrecking and towing.

The minister of railways and canals, to whom the dispatch and inclosures were referred, observes that the Secretary of State in his present communication represents that the President is not prepared to admit certain conclusions of a note, probably addressed to the United States Government by the British chargé d’affaires, which has not been communicated to this government, but which is presumed to have been based on the minute of council of the 27th August last.

The minister further observes that the gist of these conclusions appears to have been that the words “wrecked, disabled, or in distress” (in their ordinary sense) are not applicable to vessels in canals or such waterways.

Upon this the Secretary of State of the United States observes as follows:

“The phrase must evidently be construed with reference to the ordinary navigation of such channels, and any of the lesser casualties to which tugs and their tows, or self-propelled vessels, are liable in such waters, such as an accident to the engine or steering gear, the breaking of the towline, the grounding of a tug or its tow in shallow waters, and the like, constitute a practical case of disability or distress within the purview of the intended reciprocity. Past experience has shown that in such contingencies any assistance rendered by an American vessel, however legitimate, even in the case of a tug picking up or pulling off its own tow, is treated by the Canadian authorities as wrecking and punished accordingly when performed in Canadian waters.”

The minister observes further in relation to the foregoing that by section 6 of the Consolidated Orders in Council, Cap. 21, it is expressly provided that the rule prohibiting foreign vessels having other vessels in tow and haying parted with them in Canadian waters from again taking them in tow to move them further in Canadian waters shall not apply to “an accidental parting of such vessel by breaking hawser or other temporary damages.”

The minister of railways and canals concurs in the view of the Secretary of State for the United States that distress of the temporary nature indicated should be within the purview of the intended reciprocity if it is not otherwise provided for, but the Secretary of State is mistaken if he supposes that assistance in any such case has ever been punished when performed in Canadian canals.

The minister with respect to the main question now under discussion between the two governments, namely, whether the Welland Canal should be included in the reciprocal arrangements for wrecking, and desiring to assist to a satisfactory conclusion, submits for the consideration of your excellency in council a set of regulations which may be found available for the purpose contemplated.

The committee concurring therein recommended that the same be adopted.

The committee advise that your excellency be moved to forward a copy hereof to Her Majesty’s minister at Washington.

All which is respectfully submitted for your excellency’s approval.

John J. McGee,
Clerk of the Privy Council.
[Page 333]

Special rules and regulations in respect of American wrecking vessels in the Welland Canal.

In the event of an American vessel being wrecked, disabled, or in distress in the course of a passage through the Welland Canal it shall be permitted to American wrecking vessels and their appliances, subject to the existing canal regulations and to the conditions hereunder, to afford assistance to such vessels, provided always:

(1)
That such assistance be rendered within such time as the canal authorities consider reasonable in view of the necessity for freeing the canal from obstruction.
(2)
That the operations of such wrecking vessels and their appliances shall be conducted to the satisfaction of and carried on within the time or times fixed by the superintending engineer of the canal or other duly authorized officer of the government.
(3)
That in the event of delay occurring either in the rendering of the necessary assistance or in the completion of the necessary work of removal of the vessel the canal authorities shall proceed to take such steps as to them may seem necessary.
(4)
The concession hereby made shall give no right to any American wrecking vessel or its appliances to lie in the canal except for the time during which it is employed in the actual wrecking operations, or in going to or returning from the same.

Mr. Herbert to Lord Stanley of Preston.

My Lord: With reference to your excellency’s dispatch No. 49 of the 25th ultimo, I have the honor to inclose a copy of a note which I have received from Mr. Foster in which he repeats that the President cannot issue his proclamation until he is advised that the Canadian wrecking act can be construed to apply to the Welland Canal.

I have, etc.,

Michael H. Herbert.