711.4215 Air Pollution/468

The Secretary of State to the Minister in Canada ( Robbins )

No. 300

Sir: Referring to the Legation’s despatch No. 424 of February 24, 1934, and to the enclosure which accompanied that despatch, I enclose herewith two copies of a draft of a proposed convention which was drawn subject to further consideration and change when Mr. J. E. Read of the Canadian Department for External Affairs was in Washington, from March 10 to March 14, 1934.

As indicated above, the proposed convention was drawn subject to further consideration and change. It is felt after further consideration and in the light of developments that it would be desirable to make some changes in the proposed agreement.

A report on the condition of the atmosphere in Stevens County for the period from February 1 to February 20, 1934, has now been received. I regret to note that the report of the automatic recorders at Northport, Washington, and Boundary, Washington, reveal that a very unsatisfactory condition obtained. The presence of sulphur dioxide was recorded at Northport on ninety-five percent of the days and seventy-seven percent of the hours. The maximum concentration of sulphur dioxide which was recorded in the twenty days was .69 p.p.m. The longest visitation of sulphur dioxide continued 98.67 hours.

At Boundary, sulphur dioxide was present ninety-five percent of the days and sixty-nine percent of the hours. The highest concentration of sulphur dioxide was 1.35 p.p.m. The longest visitation of sulphur dioxide continued 44.33 hours.

The sum of $350,000 is deemed inadequate indemnification for the period up to January 1, 1932, and, in view of increasing intensity of visitations of sulphur dioxide and of the delay experienced in coming to an agreement to adjust this difficulty, I feel that the sum mentioned ought not to be accepted, and that the whole question of damages ought to be submitted to the proposed Tribunal for determination. I feel, moreover, that the first question stated in Article III of the draft of the proposed agreement would not admit of adequate protection of United States interests.

Accordingly, I propose that the substance of Article I be omitted from the agreement, and that the three questions included in Article III be stated as follows:

1.
Is the Trail Smelter required by law to refrain from causing injury in the state of Washington in the future?
2.
Same as in the proposed agreement.
3.
What indemnity shall be paid for damage which occurred prior to the date this convention becomes effective and which occurs subsequent to that date?

With the changes suggested above the proposed agreement would admit of the adjudication by an impartial tribunal on a basis of legal right of the question of abatement and the question of damage from the time injury in the State of Washington began. I am sure that the Canadian Government will agree that United States interests are entitled to a full and impartial adjudication on a basis of legal right of all questions arising out of the presence in the State of Washington of sulphur dioxide from the Smelter at Trail. Any arrangement which would not admit of a full and impartial adjudication would be prejudicial to injured United States interests. Such an adjudication would be eminently fair to the trespassers.

Other changes in the proposed agreement are suggested as follows:

It is desired that the word “practice” be omitted from Article IV of the proposed convention. This omission would admit of having the questions decided in accordance with law.

I feel that the three months’ period mentioned in Article II within which the non-national judge is to be selected, would require the making of a choice at an unnecessarily early date, considering the length of time which, according to Article V, would elapse before the case would be submitted to the Tribunal.

There would seem to be no occasion to agree on the non-national judge or to request the President of the Permanent Administrative Council of the Permanent Court of Arbitration to select one until the first pleadings were exchanged which, according to Article V, would be nine months after the exchange of ratifications of the convention. It is suggested, therefore, that nine months might be substituted for three months in Article II of the draft. This period, of course, could be shortened should it for any reason be desirable to shorten the period for the first exchange of pleadings prescribed in Article V.

Depending upon the conditions obtaining when and if the proposed convention is signed, it may be desirable to provide a somewhat shorter period for making the first exchange of pleadings. This change might be desirable should the proposed convention not be signed in time to admit of its presentation to the Senate to obtain the advice and consent of that body to ratification in the present session of Congress.

For the convenience of the Government of the United States in apportioning any indemnity which the Tribunal awards, it is desired that a paragraph reading as follows be added to Article III of the proposed agreement:

“The indemnity which the Tribunal decides, pursuant to the third question stated in Article III, to be payable shall be paid to the Secretary of State of the United States to be deposited in the United States Treasury.”

I am sure that the Canadian Government appreciates the necessity of finding an early solution of this matter. United States Senators [Page 927] and Members of Congress from the State of Washington are deeply concerned about the delay in reaching an agreement. The matter is of such character as to require immediate adjustment. I hope that the Canadian Government can see its way to give the matter immediate attention, and that the proposed agreement, modified as suggested above, may be signed in time to submit it to the United States Senate for the advice and consent of that body to ratification before the present session of the Congress adjourns. Unless the agreement is signed within a month, it is improbable that the consent of the Senate to ratification can be obtained before adjournment.

Please communicate with the Department for External Affairs in the sense of the foregoing and urge expeditious action. Follow the matter closely and report developments.

If you have not communicated to the Department for External Affairs the contents of instruction No. 259 of March 14, 1934, please do so forthwith.

Very truly yours,

For the Secretary of State:
William Phillips
[Enclosure]

Tentative Draft Convention Agreed Upon by Mr. J. A. Metzger of the Office of the Legal Adviser, Department of State, and Mr. J. E. Read, Legal Adviser to the Canadian Department for External Affairs

Whereas the Government of the United States has complained to the Government of Canada that fumes discharged from the smelter of the Consolidated Mining and Smelter Company, at Trail, British Columbia, have been causing damage in the State of Washington;

Whereas the International Joint Commission established pursuant to the convention of January 11, 1909, between the United States and Great Britain investigated problems arising from the operation of the smelter at Trail and rendered a report and recommendations thereon dated February 28, 1931; and

Whereas the desirability and necessity of affecting a permanent settlement of the problems arising from the drifting of sulphur dioxide from the smelter into the State of Washington is recognized:

The President of the United States and His Majesty for the Dominion of Canada have named as their respective plenipotentiaries:

The President of the United States of America—

His Majesty for the Dominion of Canada—

Who, after having communicated to each other their respective full powers found in good and due form, have agreed upon the following articles:

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Article I

The Government of Canada will cause to be paid into the Treasury of the United States at Washington, within three months after ratifications of this Convention have been exchanged, the sum of three hundred and fifty thousand dollars, United States currency, in payment of all damage which occurred in the United States, prior to the first day of January, 1932, as a result of the operation of the Trail Smelter.

Article II

The Governments mutually agree to constitute a tribunal, hereinafter referred to as “the Tribunal”, for the purpose of deciding the questions referred to it under the provisions of Article III of this Convention. The Tribunal shall consist of a chairman and two national members.

The chairman shall be a jurist of repute who is neither a British subject nor a citizen of the United States. He shall be chosen by the Governments, or, in the event of failure to reach agreement within three months after the exchange of ratification of this Convention, by the President of the Permanent Administrative Council of the Permanent Court of Arbitration at The Hague described in Article 49 of the Convention for the Pacific Settlement of International Disputes concluded at The Hague on October 18, 1907.44

The two national members shall be jurists or scientists of repute, who have not been associated, directly or indirectly, in the present controversy. One member shall be chosen by each of the Governments.

The Governments may each designate a scientist to assist the Tribunal.

Article III

The Tribunal shall finally decide the questions hereinafter referred to as “the Questions” set forth hereunder, namely,

(1)
Shall the Trail Smelter be required to refrain from causing injury in the State of Washington in the future and if so, to what extent?
(2)
What is the maximum frequency, duration and concentration of sulphur dioxide visitations which can be permitted in the State of Washington in accordance with the decision of the preceding question?
(3)
What indemnity shall be paid for damage, if any, which has occurred or may occur after January 1, 1932?

Article IV

The tribunal shall apply the law and practice followed in dealing with cognate questions in the United States of America as well as [Page 929] International Law and Practice, and shall give consideration to the desire of the High Contracting Parties to reach a solution just to all parties concerned.

Article V

The procedure in this adjudication shall be as follows:

1.
Within nine months from the date of the exchange of ratifications of this agreement the Agent for the Government of the United States shall present to the Agent for the Government of Canada a statement of the facts on which the Government of the United States rests its complaint and petition;
2.
Within a like period of nine months from the date on which this agreement becomes effective, as aforesaid, the Agent for the Government of Canada shall present to the Agent for the Government of the United States a statement of facts relied upon by the Government of Canada, together with the supporting evidence;
3.
Within three months from the date on which the exchange of statements and evidence provided for in paragraphs 1 and 2 of this Article is completed each Agent shall present in the manner prescribed by paragraphs 1 and 2 an answer to the statement of the other with any additional evidence and such argument as he may desire to submit.

Article VI

When the development of the record is completed in accordance with Article V hereof the Government of the United States and the Government of Canada shall forthwith cause to be forwarded to each member of the Tribunal a complete set of the statements, answers, evidence and arguments presented by their respective Agents to each other.

Article VII

After the delivery of the record to the members of the Tribunal in accordance with Article VI the Tribunal shall convene at a time and place to be agreed upon by the two Governments for the purpose of deciding upon such further procedure as it may be deemed necessary to take. In determinating upon such further procedure and arranging subsequent meetings, the Tribunal will consider the individual or joint requests of the Agents of the two Governments.

Article VIII

The Tribunal shall hear such representations and shall receive and consider such evidence, oral or documentary, as may be presented by the Governments or by interested parties, and for that purpose shall have power to administer oaths. The Tribunal shall have authority to make such investigations as it may deem necessary and expedient consistent with other provisions of this agreement.

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Article IX

The Chairman shall preside at all hearings and other meetings of the Tribunal, and shall rule upon all questions of evidence and procedure. In reaching a final determination of each or any of the Questions, the Chairman and the two members shall each have one vote, and in the event of difference, the opinion of the majority shall prevail, and the dissent of the Chairman or member as the case may be, shall be recorded.

In the event that no two members of the Tribunal agree on a question the Chairman shall make the decision.

Article X

The Tribunal shall report to the Governments its decisions and reasons therefor as soon as it has reached its conclusions in respect to the Questions, and within a period of three months after the conclusion of proceedings. Such period may be extended by agreement of the two Governments.

Upon receiving such report, the Governments may make arrangements for the disposition of subsequent aspects of the third Question, and it shall not be necessary for that purpose to continue the Tribunal.

Article XI

The Government of Canada undertakes to take such action as may be necessary in order to ensure due performance of the obligations undertaken hereunder, in compliance with the decision of the Tribunal.

Article XII

Each Government shall pay the expenses of the presentation and conduct of its case before the Tribunal and the expenses of its national member and scientific assistant.

All other expenses which by their nature are a charge on both Governments, including the honorarium of the neutral member of the Tribunal, shall be borne by the two Governments in equal moieties.

Article XIII

This agreement shall be ratified in accordance with the constitutional forms of the Contracting Parties and shall take effect immediately upon the exchange of ratifications, which shall take place at . . . . . . . as soon as possible.

In witness whereof, the respective Plenipotentiaries have signed this agreement and have hereunto affixed their seals.

Done in duplicate at . . . . . . . this . . . . . day of . . . . . nineteen hundred and thirty-four.