New-York tribune., 1918-03-14
They Ask Relief From
Heavy Loss Due to
War Conditions
Aid Sought at Albany
Bill Before Legislature; Ser
vice Commission and City
Officials Confer

The question as to how to afford re
lief to the subway contractors, who are
facing a heavy loss on more than $780,
100000 worth of contracts still to be
completed, on account of war condi-
tions has become serious problem for
city officials to solve. From a letter
yesterday written by Travis H. Whit
ney, acting chairman Of the -omms-
sion, to Mayor Hylan, it appears that
the commission and the city officials
are at loggerheads.
Several days ago the commission IN
formed the Board of Estimate that the
subway contractors were losing money
and facing bankruptcy because OF the
high cost Of labor and materials and
had asked for relief, being willing to
finish their work without any profit to
themselves and only asking to be guar
anteed against loss. The contractors
now have bill before the Legislature
which would permit them to finish their
work at cost. The question has arisen
as to the constitutionality OF such
measure, but the Public Service Com
mission and certain members OF the
Board of Estimate are in favor Of some
special legislation winch may avoid
the question of constitutionality and
at the same time afford the needed re
lief.
Must Act Quickly
Whatever is to be done must be done
quickly, as the Legislature adjourns in
three weeks. But it developed at a
conference Hast Friday between mem
bers of thescommssion, the Mayor and
other members of the Board of Est
mate that the Mayor was insistent that
the contractors should carry out their
contracts, even under present condi-
tions, and that the bondsmen should
be held for any defaults on contracts.
The Mayors attitude has always been
hostile toward the Public Service Com
mission, and in the present instance
ard expedting the subway work.
A member of the Board of Estimate
yesterday pointed out that Section %
of Article III of the State Constitution
precluded the city officials from grant
ing any contractor "any extra compen
sation." A bill such as the contractors
have formulated would amount to that,
it was said. for to permit them to fin
lsh their contracts at cost would mean
to grant them compensation above the
present contract price This member
declared that special legislation was
needed, and needed quickly, that would
result in the ahrogaton of the present
contracts and permit the city to deal
with the contractors on a new basis.
Want Contracts Finished
The commission is most concerned
with the prompt completion of the sub
way contracts. and Commissioner Whit
ney in his letter yesterday to the
Mayor suggested the necessity of spe
cial Legislation to that end. Referring
to the contractors bill, he said:
"The commission indicated that while
1t could not support such proposed leg
islation having for its first object the
relief of the contractors it is primarily
ical completion Of great municipal
enterprise to the end that its operation
may be of the maximum service to the
city and to the nation during the pc
riod OF war. The participation of the
Port Of New York in war activities is
so important that local transportation
facilities must be in the position to do
their maximum service in transporting
promptly the millions of workers en-
gagged in war and other essential bust
ness and industries.
at seems to the commission wiser
to obtain such Legislation as will place
in the hands of public authorities the
discretion by agreement with he con-
tractors and their sureties, whereby
contracts may be cancelled or modi-
fed, and work upon essential lines
completed under conditions that will
secure prompt completion through the
payment of adequate wages to labor
and under provisions whereby le con-
tractors will not suffer further oss."
Commissioner Whitney inclosed in
his letter all the data Mayor Hylan
asked for in regard to the particular
contracts still uncompleted. He point
ed out that the original contracts
called for the expenditure of S222.-
100000. all of which has been let ex-
cent S05 O00 O00