Evening star., 1896-08-24
ARE AFRAID TO BID
Contractors Hesitate to Seek River
and Harbor Work,
THE PURCHASING POWER OF MONEY
Chairmen Babcock and Butler Conn.,
ment on the Situation.
0 p p o S n G VIE W S
THE PURCHASING POWER OF MONEY
o p p o S I n G VIE W S


the work for improving the rivers and har-
bors of the country. The last Congress
provided for work OF this character esti-
mated to cost $GO.COG,UUO. During the next
three months the War Department will be
bEsily engaged in getting bids for this
uoIk-
The agitation among contractors is
brought about by their doubt regarding the
value of labor and the purchasing power
of a dollar, if Bryan should be elected
President and the free coinage Of silver
should be realized through an act Of Con-
gress, which Mr. Bryan would not fail to
promote by calling an extra session as soon
after his Inauguration as possible.
For some time the Engineer Corps of the
War Department, un!er the direction of
Col a. Mackenzie, has been buSfly en-
gagged in perfecting projects for the i'm
proTement of rivers and harbors, prelim-
mary 10 advertising for bids, SO that the
Work might be put under way at once The
total amount OF such contracts will be
about SGl.UUO,UO, a large portion of which
viii be placed under the continuous con-
tract system, under which the work will
be prosecuted Tor several years. There will
he ;hirty-sX of these contracts, but up
&c the present time projects have been COM
pisted and advertisements inserted in the
case OF enly four pieces of work One con-
tract is for the Improvement of the harbor
OF Savannah, Involving about q million of
dollars, one for the Improvement OF Cum
ber}and sound, which will cost about two
millions, while there are two contracts to
be let for the improvement of New York
hsrbor, aSgregating a million and quar-
ter AdveI usements for these pieces of
work are now being published, and bids
VIII have to be SUbGiitted within few
weeks 1t is expected that before Novem-
ber l advertisements will be inserted in
newspapers for nearly all the work in
volYed in the general project provided for
ar @ nf oh ~ CIy fu mil
lions of dollars
A number Of contractors who usually bid
On such work have expressed fear in hav-
Ing to bid before the November election,
ara say they should have some assurance
about the purchasing power of the money
they are TO receive before entering upon
such a gigantic undertaking as those in
volyed in the bill
New Complication.
This Is a question that has never before
trorbled the War Department in the MEM
ory of the officials now n charge of river
and harbor work The money the gov
eTnnent will contract to pay will be the
legal tender of the country, and 1t is not
believed that an offer of a contractor to
do work for which he is to be paid in gold
xould be entertained These contractors
must accept for their work whatever is a
legal tender in this country and take all
risks, If there are any involved in such
contract Practically all the contractors
plants, SO that the cost of labor and
comparatively limited amount Of material
Will be the only elements of uncertainty
to be estimated Some officials of the
war Department fear that the contractors,
In view of this uncertainty, will seek to
materially increase their bids, but should
this be the case they will probably be re-
1ected, as the cost of doing dredging rock
and other classes of work are so well es-
tablished through the large number of
contracts let in the past that the govern
ment engineers can estimate very closely
TO the bids that would be acceptable to
the government, which always reserves the
right TO reject any or all bids.
Always a Risk.
Officials Of the War Department declare
that they have nothing to do with any
possible change In the purchasing power Of
money There Is always an element Of risk
WREN a contractor does work exte1kling
over several years. all Of which Is included
in one bid, as he must always calculate on
the possibility Of having to pay his en-
ployeS more than the price that prevailed
at the time of letting the contract On the
other hand, 1t Is said, the saving secured
by the improvements of machinery are an
advantage to contractors, and that these
various risks usually have tendency to
eQualixe one another.
Much interest Is now centering on the
bids to be received in answer to proposals
published by the department. While con
tractors declare they don't know on what
basis to bid, 1t Is believed at the depart
ment that when the day for opening the
bids arrives the contractors will not permit
the chance to get these mammoth CON
tracts to pass by. If the bids are all so
high as to be rejected advertisements will
De retnserted and the process of getting
BIDS continued until the present financial
agitation gives place to a settled lolicy
which all would recognize sure to pre-
vail for several years at least.
The Political Eject
The attention of Chairman Babcock was
called today to the difficulties of contract
ors in bidding on river ard harbor work.
Yes, replied Mr.. Babcock II know
contractors do not know how to bid on
work. You couldn't get a contractor to
undertake to build railroad now or TO d,
anything involving him in an obligation 70
do work when he sees the bare possibility
of Bryans election. The only way they
could bid would be upon the assumption
that Mckinley will be elected when of
course, they would have an assurance that
the money to be paid to them would have
an honest purchasing power. If they are
to be paid money of a kind that will re-
quire Couble the amount to get the work
done, of course, it would simply bankrupt
them business is badly crippled and will
continue to be until Mckinley is elected in
November Every one recognizes that if
Bryan should be elected we will have very
hard times before u.s.
Mr.. Buffers View
Senator Marion Butler. chairman of the
populist nation al committee, took a very
different view of the situation.
THE country can stand 1t If the con-
tractors can," replied Mr.. Butler, quietly.
IF they don't want to bid on these con-
tracts there is no necessity for them to do
so. The people of the country are not both
cred about these contracts, II the con-
tractors see fit to look through green glass
eS. The fact Is there is a growing belief
among a large part, and, If not now, soon
to be majority, of American voters that
there is no necessity for the government
to be at the mercy Of private Individuals
companies or corporations for carrying out
its work. Whenever such corporations or
Individuals cannot do it, the government
can do it. and it Is the duty of the govern
ment to do 1t. Any laborer or other wage
Garner or small-salaried man who may now
have any doubt about the free coinage of
silver being to his detriment will have all
his fears removed as soon as the gold men
are whipped. as they surely Will be. Pub
lie improvements will then go on on
grea ter scale than 1t has been possible to
carry them on in the past.
'I hauA a1Uaus haliavad that the row.