Pine Bluff daily graphic., 1918-12-06
CANCELLATION OF ]. 5. CONTRACTS
 SAVES BILLIONS
Secretary Baker Told Finance That Congress Will Be Called Upon For An Appropriation of Only $l,1OO,- 0O0, ,OOO.

Washington, Dec. o.--Secrctary , Baker told the senate finance com- mittee today that, through contract cancellations, the war department ex- poets to save approximately $7,250- 000,000 of the $24,2S1 100000 voted my congress for the army during the war.
 Earlier ill the day the house appro- priations committee, which is investi gating to determine what part of war appropriations can be returned to the treasury, made public a statement from MT. Baker showing an estimated saving of about twelve billions of dol lars. or nearly half the total appro- priatiOns.
 Chairman Sherley explained later, however, that this estimate was made some time ago and that revised figur- es furnished by the war department showed an estimated saving of about seven billions of dollars "Of necessity the figures change from day to day" explained Mir. Sherley, "but it would seem that something more than seven billions of the appropriations for the army could be converted back into the treasury" The war secretary told the senate finance committee today members of the committee said, that congress vii need to appropriate only about $1,1O0O00,0 900 to cover contracts made under the $S,000,000,0OO of authorize tions provided by congress and for which no actual appropriations have been made
 The secretary's statement to the house appropriations committee said the departments disbursements to date in the United States total s9,- 159,000,000 and those in France $1,- 16S,OO0,0OO.
 MT. Baker previously had informed the committee of contract cancella- tions aggregating about $2,6OO, 100000. These include:
 Powder $275,000, ,000: Artillery $750,- 000,00C; Motor vehicles $2S2,0O0,- 900; Textiles $264,O0O,O0O; airplanes parts $256,0 6,000,O00; gas defense equip ment $130,000,000. Contracts for rifles, shoes. harness, rubber goods, chemi- calls, barbed wire and steel and iron products aggregating millions of dol lars, also have been cancelled.
 Forty percent of the cancellations have been divided among states, MT Baker said, enumerating those ill Massachusetts, as amounting to $231,- 000,000; Michigan, $143,0 3,0O00OO; Con- necicut, $55,OO0,OO0; New York, Pennsylvania, Ohio and Missouri, $99,- 0o0,000 each; Illinois and Tennessee, $55, 100000 each: Maryland, $2,200, ,OO0; Virginia $5,50O,000 and California $4,- 4Oc,0O0. Preparations for the cancella- tion of army contracts were under taken before the signing of the armis tice. Mr. Baker relating that confer ences on this question were held with the war industries board on NOvem- Der 9th.
 Manufacturers working on con- tracts that are to be completed, Sec retary Baker said. had been assisted in many instances by permission being given for civilian orders to take precedence over government orders.
 The army he said, has powder in excess of it's needs.'
 T am very much embarrassed" the secretary added, "as to how to store the amount of powder and explosives which we have"
 OpCl dIlOAo Ol tAC NuoClC Nitrate plant probably will be contin- ued he said. Work on the canton ment at Fayetteville, x. C., is intend cd to be continued with the place be- coming permanent part of the army training system. The cantonment at Raleigh, N. C., he said, would be aban doned MT. Baker also said there is necessity for the Neville Island plant, under construction in the Ohio River, and to be used for making powder and guns.
 Most construction work of the war department however, was stopped soon after the signing of the armis- tice. MT. Baker told the committee.
 Contracts for purchases in England, and France. he said, are also being cancelled, and orders to cease work on many projects were given by Gen. eral Pershing before he received similar orders directing such action