The 1941 Lend-Lease Agreement
The 1941 lend-lease agreement began when public opinion in the United States wanted to increase rearmament to help the Allies. President Franklin Roosevelt and Prime Minister Winston
Churchill made a defense agreement for the transfer of 50 U.S. destroyers to England in return for
99-year land-leases for U.S. military bases. Eight British territories would be used.
Newfoundland was a British territory at that time.
Although the bill was opposed by isolationists such as Senator Burton K. Wheeler, it passed the
house 260 to 5. By the time the program ended in 1945, $50 billion in lend-lease aid was shipped
to Britain, China, the USSR and other allies. Negotiations regarding the bases on Newfoundland
were complicated by interests of Ottawa, Washington, London and St. John's. Details of the bases was completed in March of 1941 in London, England. The U.S. obtained authority to build, operate and maintain control of bases and U.S. forces on Newfoundland soil, as well as other British territories, without interference from local governors.
In August of 1940, Ottawa made an agreement with the Newfoundland Government saying that Canada assumed the responsibility of protection for the island. Roosevelt was interested in placing U.S. naval and air bases in the region because it guarded the entrance to the St. Lawrence River and the Gulf, as well as the western reaches of sea lanes in the North Atlantic. The lend-lease measure allowed the President to lease, transfer or lend any defense article to a country that is deemed vital for the defense of the United States. The British Commonwealth gave the U.S. "Reverse lend-lease" in September of 1942. $8 billion worth of services and goods were provided to U.S. forces that were overseas. After the war, financial settlements were made until 1972.
The Ernest Harmon Air Force Base, located in Stephenville, Newfoundland, was constructed as a
direct result of the 1941 lend-lease agreement between the United States and Britain. The base was operational from 1941-1966. During that period of time it contributed significantly to the economy and culture of Stephenville. It is difficult to imagine what Stephenville would be like today, if not for the lend-lease agreement and the base that resulted.