678 tr. S. BUREAU OF FISHERIES 



On January 24, 1902, this regulation was amended so as to require 

 the planting of "red-salmon fry in such numbers as shall be equal to 

 at least ten times the number of salmon of all varieties taken from 

 the said fisheries." 



Although the regulation was mandatory, but few of the packers 

 obeyed it, some because no suitable place was to be found within a 

 reasonable distance of their plants, others because the establishment 

 and operation of such a hatchery would cost more than their returns 

 from the industry justified, and others because of lack of knowledge 

 required in hatchery work. The greater number of them absolutely 

 ignored it, and as a result those who conformed to the regulation 

 were placed under a heavy financial handicap. The injustice of this 

 arrangement was patent on its face, and in 1906, when a compre- 

 hensive revision of the law was made by Congress, provision was 

 made for reimbursing in the future those cannery men who operated 

 salmon hatcheries. The section covering this point reads as follows: 



Sec. 2. That the catch and pack of sahnon made in Alaska by the owners of 

 private salmon hatcheries operated in Alaska shall be exempt from all license 

 fees and taxation of every nature at the rate of ten cases of canned salmon to 

 every one thousand red or king salmon fry liberated, upon the following conditions: 



That the/Secretary of Commerce and Labor may from time to time, and on the 

 application"of the hatchery owner shall, within a reasonable time thereafter, cause 

 such private hatcheries to be inspected for the purpose of determining the charac- 

 ter of their operations, efficiency, and productiveness, and if he approve the same 

 shall cause notice of such approval to be filed in the office of the clerk or deputy 

 clerk of the United States district court of the division of the District of Alaska 

 wherein any such hatchery is located, and shall also notify the owners of such 

 hatchery of the action taken by him. The owner, agent, officer, or superintend- 

 ent of any hatchery the effectiveness and productiveness of which has been 

 approved as above provided shall, between the thirtieth day of June and the 

 thirty-first day of December of each year, make proof of the number of salmon 

 fry liberated during the twelve months immediately preceding the thirtieth day 

 of June by a written statement under oath. Such proof shall be filed in the office 

 of the clerk or deputy clerk of the United States district court of the division of 

 the District of Alaska wherein such hatchery is located, and when so filed shaU 

 entitle the respective hatchery owners to the exemption as herein provided; and 

 a false oath as to the number of salmon fry liberated shall be deemed perjury and 

 subject the offender to all the pains and penalties thereof. Duplicates of such 

 statements shall also be filed with the Secretary of Commerce and Labor. 



It shaU be the duty of such clerk or deputy clerk in whose office the approval 

 and proof heretofore provided for are filed to forthwith issue to the hatchery 

 owner, causing such proofs to be filed, certificates which shaU not be transferable 

 and of such denominations as said owner may request (no certificate to cover 

 fewer than one thousand fry), covering in the aggregate the number of fry so 

 proved to have been liberated; and such certificates may be used at any time by 

 the person, company, corporation, or association to whom issued for the payment 

 pro tanto of any license fees or taxes upon or against or on account of any catch 

 or pack of sahnon made by them in Alaska; and it shall be the duty of all public 

 officials charged with the duty of collecting or receiving such license fees or taxes 

 to accept such certificates in lieu of money in payment of all license fees or taxes 

 upon or against the pack of canned salmon at the ratio of one thousand fry for 

 each ten cases of salmon. No hatchery owner shall obtain the rebates from the 

 output of any hatchery to which he might otherwise be entitled under this act 

 unless the efficiency of said hatchery has first been approved by the Secretary of 

 Commerce and Labor in the manner herein provided for, 



