The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1874-06-27
Straw Bids in the Post Office Depart.
ment.

The House Committee ON Post Offices
and Post Roads has submitted a report on
the charges made by Representative Stone
that abuses and irregularities exist in the
Post Office Department in relation to GER
tain mail contracts, the payment to con-
tractors, and contracts for temporary SER
vice. The committee, after an elaborate
examination of the subject, say that the
facts and proceedings relating to the letting
of the routes specified in the preamble to
Mr.. Stones resolution, and the employ
ment of the temporary service rendered
necessary by the failure of the bidders to
enter into contracts and perform the SER
vice, furnished fair illustration of some
at least of the annoyances and difficulties
to which the Post Office Department was
constantly exposed under the system of
"straw' bidding to which it was subjected.
The present Postmaster General has, since
he assumed the administration of the affairs
of the Post Office Department, frequently
called the attention of Congress to these
irregularities and abuses, recommending
from time to time such legislation as was
suggested the experience of the Depart
ment for the purpose of preventing, if pos
sible, their continuance and repetition, and,
so far as the Committee have been able to
discover, after very full and careful
investigation, they believe he has with an
energy and industry worthy of special
commentator, faithfully striven to protect
the Government from any serious losses,
which would otherwise have been sustained
in consequence of these unlawful combina-
lions and illegal practices; under the adj
vertisement of 9, Ala routes, at least 1000
bids were received and examined, and as
soon as it became manifest that the lowest
l.. y
all of those embraced by Representative
Stone in his charges, would fail to enter
into the contract, which was directed to be
executed prior to the LIST day of July, 1871,
the Postmaster General proceeded to lay all
the facts before the Attorney General, for
the purpose of obtaining his opinion, as to
the true Interpretation of the laws bearing
upon the subject, and of being officially
advised as to the proper course for the De-
partment to pursue under the circum-
stances for the protection of the interests
of the United States and the rights of hon
est bona tide bidders. Under the interpre-
tation Of the law as it then stood but little,
if anything, was left to the discretion of
the Postmaster General. He had no au-
thority to disregard the rule defined by
the Attorney-General, nor accept any
other bid upon the list in place of the fail
ing bidder, and his plain duty was to exc
cute the law as he found it. That he and
his assistants in the Department made
every effort within the scope of their au-
bidding, and that they honestly endeavored
to perform their whole duty faithfully and
in the best interests of the Government,
the evidence taken in the investigation
leaves no room to doubt; and while the
prices paid for temporary services in some
of the cases in which it became necessary
to employ it, were higher than portion of
the lowest and probably irresponsible bids
for the regular service of four years upon
the same route, yet the testimony proved
very conclusively that the temporary con-
tract, the only one the Postmaster General
was then authorized to make, was uniform
ly given to the lowest bidder for that kind
of service and that in no case was it award
ed at price in excess of what was believ-
ed to be fair and reasonable compensa-
ton for such service. The Committee
say if the bill which recently passed the
House should become law, it will have
the desired effect of preventing straw bid
ding, and further, that the uncontradicted
evidence fully established the fact that no
payments of money were made in any in
stances i'll advance of the service, nor I'M
til after the expiration of the quarter in
which the work was done. Believing that
while the combinations for straw bidding
have frequently been entered Into by out
side persons, the alleged abuses and irreg-
ularities have not existed and do not exist
in the Post Office Department, as charged
in the preamble and resolution referred to
by the Committee; and being of opinion,
after very thorough examination of the
question, that the charges against the Off
GERS of that department have not been sus-
tanned, the Committee ask that the pream-
BILE and resolution be laid on the table, and
that they be discharged from further con-
sderation of the subject. This was agreed