HEARINGS ON H. R. 6547, TO AUTHORIZE THE SECRETARY OF THE NAVY TO ACQUIRE IN FEE OR OTHERWISE CERTAIN LANDS AND RIGHTS IN LAND ON THE ISLAND OF Guam, and FOR OTHER PURPOSES

HOUSE OF REPRESENTATIVES, COMMITTEE ON NAVAL AFFAIRS, Washington, D. C., Wednesday, May 29, 1946. The committee met at 10 a. m., Hon. Patrick H. Drewry presiding. Mr. DREWRY. We have for our consideration this morning H. R. 6547, a bill to authorize the Secretary of the Navy to acquire, in fee or otherwise, certain lands and rights in land on the island of Guam, and for other purposes.

Mr. FOGARTY. What is in the bill, Mr. Chairman?
Mr. DREWRY. It is short, and is as follows:

[H. R. 6547, 79th Cong., 2d sess.]

A BILL To authorize the Secretary of the Navy to acquire in fee or otherwise certain lands and rights in land on the island of Guam, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Navy is hereby authorized to acquire in the name, and for the use, of the United States, by purchase or otherwise, land and rights pertaining thereto situated on or within the island of Guam, including interests in fee, leasehold interests with or without option to purchase interests in fee, and rights-of-way and easements, both temporary and perpetual, for highways, drainage system, water supply and water distribution facilities, power lines, communication systems and communication distribution facilities, upon conveyance of title acceptable to him or to such other officer as he may designate without regard to and notwithstanding section 355 of the Revised Statutes, as amended (U. S. C. A., title 40, sec. 255), or any other provision of law requiring approval of title by the Attorney General of the United States.

SEC. 2. There is hereby authorized to be appropriated, out of any money in the Treasury not otherwise appropriated, the sum of $1,630,000 to effectuate the purposes of this Act.

This bill, as is indicated, authorizes the Secretary of the Navy to acquire certain land and rights to certain land in Guam.

STATEMENT OF ADMIRAL W. H. SMITH, CHIEF PLANNING OFFICER OF THE BUREAU OF YARDS AND DOCKS, UNITED STATES NAVY; ACCOMPANIED BY COMMANDER L. O'BANNON, MEMBER OF LAND AND CLAIMS COMMISSION, ISLAND OF GUAM; AND PETER TWITTY, SPECIAL ASSISTANT AND COUNSEL, BUREAU OF YARDS AND DOCKS, UNITED STATES NAVY

Mr. DREWRY. We are very glad to have with us this morning Admiral Smith, Chief Planning Officer of the Bureau of Yards and Docks. Will you tell us something about this matter, Admiral?

Admiral SMITH. Mr. Chairman, I would like to refer to a letter of 23 May, 1946, which was transmitted to the chairman of the House Naval Affairs Committee on May 23 by the Secretary of the Navy. Mr. DREWRY. I have before me, Admiral Smith, a letter written by Acting Secretary of the Navy, John L. Sullivan. Is that the one addressed to the Speaker?

Admiral SMITH. The one I have is addressed to Hon. Carl Vinson, chairman of the Committee on Naval Affairs of the House of Representatives. I think it is the same letter.

Mr. DREWRY. They appear to be the same.
Admiral SMITH. I think that is correct.

Mr. DREWRY. You may proceed.

Admiral SMITH. Do you wish me to read that, sir?

Mr. DREWRY. If you wish, I think it would be well to present it to the committee.

Admiral SMITH. The letter says:

There is submitted herewith a draft of a proposed bill to authorize the Secretary of the Navy to acquire in fee or otherwise certain lands and rights in land on the island of Guam, and for other purposes.

The purpose of the bill is as stated in the title.

It is planned to maintain the island of Guam as a permanent full-scale Navy activity. Present plans encompass the operation of air fields and necessary work areas, the maintenance of receiving and transmitting communication facilities, the installation of a fleet marine base, and the continued operation of the advance base construction depot, the naval operating base, the submarine base, the fleet hospital, the naval ammunition depot, and the naval repair base. To carry out the contemplated plans, specialized installations will be required for aids to navigation, radar installations, tank farms, and antiaircraft. To man and operate the activities, housing facilities of a permanent nature are planned.

Progress in planning has reached the stage where the Navy Department believes it necessary to request authority and funds to purchase certain land on Guam which it is felt must be purchased to carry out its program effectively. It is requested that appropriations totaling $1,630,000 be authorized. It is contemplated that all but $30,000 of the money so appropriated will be available to purchase land, rights in land, and appurtenances which thereafter the Government will own absolutely. The $30,000 will be used to effect leases containing options to purchase the land leased if ownership of that land is necessary in the light of future Navy requirements on Guam.

The plans now projected contemplate the movement or expansion, from their present temporary locations, or some of the naval activities heretoiore enumerated to satisfactory permanent locations. Other activities will remain as located. In changing locations and in retaining activities in their present locations land must be acquired. It is planned to purchase approximately 26,000 acres at an average cost of about $35 an acre. The easements and rights-of-way that it is contemplated to purchase plus the additional scattered purchases for specialized installations will require additional funds. In addition, coconut trees on the land to be occupied must be purchased. This item accounts for $500,000 of the amount requested to be appropriated. It is contemplated to lease, with option to purchase, about 22,000 acres of land. This land is valued at approximately $482,000. It is felt that $30,000 is a fair yearly rental for this property, and that amount is included in the funds it is suggested be appropriated. The Navy Department has been advised by the Bureau of the Budget that there is no objection to the submission of this report to the Congress.

Mr. Chairman, that outlines in general the scope of the program that the Navy has under way. The postwar plans contemplate the development of Guam as a major base and the acquisition of this land is essential to that purpose. In addition, Mr. Chairman, we have already secured authority for transfers of land with the Guamanians in exchange for the lands to be acquired. This bill gives the authority to acquire the land which does not exist at the present time.

Mr. DREWRY. Do you mean the authority does not exist at the present time?

Admiral SMITH. That is correct, Mr. Chairman.

Mr. DREWRY. I understood you to say that you already had the authority to transfer land that you owned.

Admiral SMITH. That we own or that we acquire. This is Public Law 225.

Mr. DREWRY. That has already been done, Admiral Smith.
Admiral SMITH. That has already been enacted.

Mr. DREWRY. That is simply to purchase a certain amount of land? Admiral SMITH. That is correct; to purchase a certain amount of land.

Mr. DREWRY. To be exact, 26,000 acres of land.

Admiral SMITH. 26,000 acres of land, plus an option to lease 22.000 acres of land.

Mr. DREWRY. For the purposes set forth in the bill, Admiral?
Admiral SMITH. That is correct, sir.

Mr. DREWRY. Is there anything else you wish to present, Admiral Smith?

Admiral SMITH. I have no other statement to make, sir, unless someone desires to inquire.

Mr. DREWRY. To whom does this land belong that you are going to buy?

Admiral SMITH. It is in private ownership by Guamanians.

Mr. DREWRY. By people living on Guam? It is held by the natives

of Guam?

Admiral SMITH. That is correct, by the natives of Guam.

Mr. DREWRY. I notice you have the figure of $35 per acre. I do not know how much the value of land is in Guam, but it does occur to me that that would be at first glance a rather high figure. What investigation have you made as to the value of this land?

Admiral SMITH. We have a Land and Claims Commission which has been established and has been operating in Guam for a considerable period in connection with the adjustment of the claims in connection with the occupation of lands by the American Army and Navy forces. I have Commander O'Bannon here, who is head of the Land and Claims Commission in Guam, and who, I think, is in a better position to testify as to the specific things that have been done in a preliminary way in the appraisals of land, history, records of what has transpired, and so forth, on the island of Guam. We have been undertaking the preliminary investigations in connection with this land, but we have been forced to direct the Land and Claims Commission to make no commitments until we had the necessary authority.

Mr. DREWRY. Have you a break-down of the construction you need which will show how much you need for the utilization of a floating marine base, and the continued operation of the advanced base, as you have set it up here? You do not have any break-down set forth. Do you have that with you, Admiral Smith?

Admiral SMITH. We have the preliminary study of the development of Guam, Mr. Chairman. I would like to ask, if that subject is to be gone into in detail, that it be off the record at the present time, and in executive session.

Mr. DREWRY. We will come to that later. Are there any questions that you desire to ask, Mr. Bishop?

Mr. BISHOP. Yes, Mr. Chairman. It was observed during the committee's visit to Guam that there was extensive improvement made there. I am wondering just how much additional you anticipate doing. That of course, would include the proposed harbor improvements, I presume. Specifically, does any part of this go into the development of the harbor?

Admiral SMITH. This provides for the acquisition of suitable land around the harbor. A good deal of this land we are now occupying and will continue to occupy permanently, according to our plans.

Mr. BISHOP. I understand, and we were told while we were there, that it was a godsend some time back that the Navy had not fortified Guam prior to that time because under the circumstances which existed at that time the Japanese would have seized the island and would have used it against us. Can you tell the committee just what has caused the change of mind now, and why you think we ought to make this a strong base?

Admiral SMITH. I think that as far as the Navy Department is and was concerned that it had plans over a good many years for the development of Guam as a Navy base.

Mr. DREWRY. What was the date of the Hepburn report? What was the date of that?

Captain NUNN. That survey was made by Admiral Hepburn's Board in 1937 or 1938, sir, and it was before Congress in 1938.

Mr. DREWRY. That report advised the establishment of a base at Guam?

Captain NUNN. That is correct, Mr. Chairman.

Mr. DREWRY. I am trying to clear that up as far back as that-that the Navy had been on record in that regard.

Mr. BISHOP. The question I was addressing to you had nothing to do with that particular date because we were given that information there as of the 1st of July 1945, that it was a godsend that we had not made Guam an extensive and strong base because we would have lost it and it would have been used against, us. Conditions of course presently are much different. I am wondering if the committee would endorse the full program that you have outlined here and, if not, if it would make it worth while otherwise. I do not see any reason for going through with it unless you go into it on an extensive and permanent way. You say this will only cover part of the expense of the operations involved.

Admiral SMITH. That is correct. We are not requesting any authority in this bill or at this time for the complete development.

Mr. BISHOP. I understand that the figure of $35 per acre was set up for this ground. Does that cover ground that has been improved by this Government?

Admiral SMITH. I think Commander O'Bannon can tell you about that better than I. Commander O'Bannon, will you give the facts in that regard?

Mr. DREWRY. Just a minute. We will take the other witness on the question of the land later. Suppose you defer your question until we take up that point. Let us question the admiral now.

Mr. BISHOP. With that understanding I have no further questions at this time.

Mr. DREWRY. Mr. Cole, do you have any questions?

Mr. COLE. Admiral Smith, has the Navy Department ever, before the letter that you have read from the Secretary to the chairman of the committee which forms the base of this bill, H. R. 6547, requested authority of the Congress to acquire land for any military purposes on Guam?

Admiral SMITH. I believe we have sir, before the war; there must have been some arrangement for the land. Of course, I am not familiar with the prewar situation in complete detail, and I am not familiar with all of the past history which surrounds this matter. As I said, there must have been some arrangement for the land for the marine base and the small navy yard at Guam. That was handled as a part of the occupation after the Spanish-American War, but I do not have the specific information on that. Perhaps Captain Nunn could tell you about that.

Mr. COLE. I am limiting it and will limit it to an inquiry to a more narrow period of time. Has the Navy in the past 7 years requested land for military use on Guam?

Admiral SMITH. As to the past 7 years, not to my knowledge.

Mr. COLE. So when we refer to the recommendations of the Hepburn report which sought to provide development of Guam for military usage for the Navy we must bear in mind that it is a fact that the Navy never did supplement the recommendation of the Hepburn Board by requesting Congress to carry out the recommendations of that board.

Admiral SMITH. I believe there was some appropriation made in 1937 or 1940, and work was started at Guam, but I believe Commander O'Bannon could tell you more about that than I.

Mr. COLE. I limited my inquiry to a request for authority to acquire land. It is true, you say, that there was construction work started?

Admiral SMITH. That is correct.

Mr. COLE. Some construction work on land that the Navy owned? Admiral SMITH. Yes, sir; I believe that is right.

Mr. COLE. This is the first time, I think, the first time that the Navy Department has requested authority to acquire land at Guam for military purposes?

Admiral SMITH. I believe that is correct, sir.

Mr. COLE. You say that of this amount of land requested 26,000 acres of land is to be acquired in fee?

Admiral SMITH. That is correct, 26,000 acres in fee.

Mr. COLE. Another 30,000 is to be used for some other purpose? Admiral SMITH. It is 20,000 acres of land, I believe, 22,000 acres. Mr. COLE. $30,000 is to be used for the rental of additional land in the amount of how many acres did you say? Was it 20,000 acres? Admiral SMITH. Twenty-two thousand acres, sir; which is valued at $482.000.

Mr. COLE. What is the reason why it is advisable and necessary to lease land for double the area, or nearly as much as the land that you plan to acquire in fee?

Admiral SMITH. Those are areas which are now being used in the program of the Navy as combat-training areas. The plans of the Navy Department have not crystallized sufficiently to warrant the