The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1917-09-21
State Fails To Return Certified
Paper to Coal Men.
Sharp Political Methods To De-
mand Fuel Supply.
WANT COAL UNDER new RATES
Meanwhile Institutions Must
Suffer for Lack of 1t.
Administration Organ Does Not
Explain Situation.

Sharp political methods and strong
arm business tactics are being en-
pIoved by the state in an effort TO ODD
tain coal for state institutions at prices
fixed by the government Dealers
who placed bids on a oasis OF former
production costs and figuring a mar
gin of profit for handling the ousl-
ness. have been denied return OF their
certified checks or acceptance OF their
bids.
The state board of administration
has held certified checks more than
a month, in an effort TO force dealers
to supply coal at the prices IlXeo III
the government schedule. In an at
tempt to force the sale or coal TO Tue
state on the basis of the federal rates
the state board has refused to return
certified checks of bidders, altho the
bids for which checks were deposited
were not accepted. While holding
checks the board threatened ENFORCE
ment of new federal rates
All methods of ordinary business
procedure seem to have been forsak-
en- in the effort of the state board to
receive a coal supply at minimum
prices Practically all bids were on
a basis of $3.50 for lump and domes-
tic nut coal. S2.75 for mill or mine run
and $3.50 for slack. In order TO
make a proper showing of evidence OF
good faith, each bidder was required
to- deposit with the board of admin
isfration a certified check for 5000.
No business formality seems to have
been overlooked when the board re-
uuired dealings with the state. When
the state dealt with a business man,
tho, it might be something else.
Bids Were Waived.
The good faith upon which the
state board was insistent was forgot
aNRe
published and a coal administrators
appointed. Bids of Topeka and other
dealers were waived aside and de-
mand made upon the dealers to pro
vide coal under the new rates. In
fact the certified checks for good
faith in the $3.50 bids were held by
the state to enforce good faith in the
prices demanded by the state. the
state has failed to return the checks
and dealers may be forced to lose de-
posits for contracts under a price that
insured a profit to provide coal at
the price allowed producers at the
mines.
The $3.50 rate demanded by the
state is the price allowed producers
by the government under the new
schedule and covers the class of coal
for which most Topeka retailers bid
$3.50 a ton. The new prices at the
mines are prices to retailers Thus a
retailer who might earn reasonable
of coal TO the state under the old con-
tracts, is assuming the responsibility
of providing coal without profit and
provides a certified check that he will
faithfully perform the work
Practically No Coal.
Practically no coal has been secured
blythe state in spite of the tactics. One
producing company the Jackson
Walker interests, is said to have sup
piled a contract for coal at the fed
eral rate to institutions at Santa Fe
points. All other institutions, though,
are without fuel for the winter or the
prospect of a contract that fuel will
be provided.
Retailers who bid for state coal
contracts have refused to attempt to
! supply coal at the government rate.
| Threats and demands have been re-
ported. But possibly these rumors are
untrue or unjust. The Jackson-Walk-
| er interests, however, were recently
on the grill in the Usage controversy
| and their contract with the state was
at least an implied acceptance of the
new federal rates.
Efforts of the state to induce deal
ers to sell coal at the government
rates, resulted in the mailing of a new
proposal which seemed to allow deal
ers such price as might be subse-
quently fixed by the governm SIT. The
new proposal failed to attract dealers,
tho, and the state continues to look
for coal. Following is the latest pro-
posal of the state, as mailed to bid
ders who deposited the $500 evidences
of good faith:
Provided, that during the time that
| the present order of the president of
| the United States shall remain in force,
| all coal furnished hereunder, shall be
furnished and paid for at the prices
| fixed by said order; and provided
further, that in case the prices fixed
by said order shall be changed by
said president, then all coal furnished
hereunder, whether furnished before or
after such change, and whether here
tofore paid for or not, shall be paid
/ for at such changed price with the
same effect as if said price had been
in effect at the date of the making of