File No. 817.812/123.

The Secretary of State to Minister Long.


Your telegram in regard to the possibility of securing from Salvador the lease of land for a naval base in return for certain advantages to be afforded in the establishment of a university there has been considered by the President and you are directed to communicate with the Foreign Office and secure from them the outline of such a proposition as would be favored by them. This Government is disposed to give favorable consideration to the plan and appreciates the high purpose which actuates the Salvadoran Government. While we are not in a position to give financial assistance as a government, we hope that American financiers, when their attention is called to the matter, will be willing to furnish the capital necessary for the bank and for the reorganization of the financial system of the country. The President is disposed favorably to consider a treaty having in view the acquiring of the site for a naval base, this Government in return to establish a college or university open and free to the young men of Salvador. Please inquire whether Salvador would have any objection to our making the same provision with Honduras in case that country desired to enter into a similar treaty. Also as to whether there would be any objection to having young men from other Latin American republics admitted to the institution. We take it for granted that Salvador would not object to others being admitted provided accommodations were sufficient. We shall be pleased to receive an outline of the plan which the Government of Salvador has in mind.