711.42157SA29/1402½
Memorandum by the Minister in Canada (Armour)56
During a conversation this afternoon with the Prime Minister, arranged for the purpose of enabling Mr. Hickerson in Mr. Bang’s presence to take up certain angles of the valuations question with Mr. Ilsley, the Minister of National Revenue,57 the subject of the St. Lawrence Waterways was touched upon. I asked Mr. King whether there was anything new since our last talk. He rather indicated that there was nothing and gave the distinct impression that he hoped that the matter might be allowed to remain where it was.
Mr. Hickerson stressed the President’s continued interest in the whole waterways question, notably the power angle of it, and said that he hoped very much that the Canadian Government might at least see its way clear to get around the table with us and talk over the possibilities of combining the two treaties; that is, the Niagara Falls Power and Science Treaty with the St. Lawrence Waterways Treaty. Mr. Hickerson said that there was no hope of having the Niagara Falls Treaty put through the Senate in its present form and that he thought that if some changes could be made and the two treaties combined a good deal of the objection in Ontario might be overcome, as he understood that Ontario did want more Niagara Falls power. Mr. Hickerson added that he felt sure that during his visit to Ottawa the President would take up the matter with the Prime Minister.
While Mr. King admitted that he supposed there would be no objection to discussing the matter informally he had a very strong feeling that far from gaining ground the sentiment in favor of a St. Lawrence treaty was on the wane, and that most people felt the need for it past, if it ever had existed. He stressed the opposition to it in Quebec as well as in Ontario, and in general showed little enthusiasm for the project.