Evening star., 1918-02-26
Senator Reed Gives Estate
ment of Facts" on Situa-
ton in Nation.
GARFIELD ORDER is
SHARPLY CRITICISED
Declares u. S. Fuel Administration
Issued Edict to "Extricate Itself
From Sef-Created Dilemma"

Responsibility for the coal shortage
was placed squarely on the fuel admin
istration by Senator Reed of Missouri
today in Statement of facts" sub
mitted to the Senate subcommittee on
manufactures as basis for report Of
its recent investigation on the fuel sit
uation.
Senator Reeds statement was not the
report of the subcommittee, which in
vestigated the food and fuel administra-
tions, but statement of his individual
conclusions on the facts.
Senator Reed referred to the coal
situation in Washington only incident
ally to show that the fuel administra-
tion had issued reassuring statements
to the people early in the fall which
were not borne out by the conditions
which followed during the winter.
Quotes From October Statement.
"On October H." said Senator Reed.
"a statement was issued telling the
of the Capital city for anthracite were
now assured. The statement was as
follows:
-Four big coal firms of Philadelphia
notified the United States Fuel Admin
istration today that they have made
will fill all needs for anthracite. They
are the Philadelphia and Reading Coal
and Iron Company. NJ. A. Hanna Com
pany, Madeira Hill and Company and
action was taken upon request
future be confronted by coal short
age of the most disastrous character"
"The chaos now existing in the coal
the senator says, must give
place to stability or we will in the near
future be confronted byacoalshortage
OF the most disastrous character.
Would Announce Prices Now.
For this reason Senator Reed said
there should be an immediate an
nouncemsat Of prtees and cestsects
which serminss xpFii L
The senator's statement also advo-
Gated the announcement of a hxed time
in which the business world may safely
adjust itself to the new contracts, and
added:
TT is plain that the prices allowed
to be charged must be reasonably re-
If this is denied the maxi
mum of production cannot be expected"
Criticises Recent Garfield Fuel Order
Senator Reed declared the recent fuel
order closing industries east of the Mis-
river was issued by the fuel
without warrant or au-
thority of law in order to "extricate
itself from its self-created dilemma
The senator made it plain there was no
excuse for such a condition to exist. as
the government on August 10 took over
the control of coal, with authority to
mines and ample powers
to meet any emergency.
The transatlantic shipping tie-up. as
far as was due to lack of bunker coal,
also was blamed on the fuel admins
tration by the Missouri senator. His
statement asserted that the entire busi-
ness machinery for bunkering ships.
built up by practical experts. not the
orists or dreamers had been put out OF
or completely subordinated
to the fuel administration, SO that it
can be fairly said that the fuel admin
istration was substituted for the ma,
Heretofore existing.
Denies Demand Unprecedented.
..It cannot. therefore, be claimed that the
fuel administration found itself surprised
by an Unprecedented demand On the con-
trary the problem it faced was much
smaller than those successfully solved
during previous years by the local mer-
chants.
Neither can it be asserted that the fuel
failed because of any lack
of power AS early as April IL the gov
ernment had practically assumed charge
Of all of the railroads of the United States.
1t had organized board of priorities. and
this board carried out every request of
the government for priorities. Likewise
the government assumed control of all
coastwise and lake vessels. 1t thus COM
manded every avenue and instrument of
IT. therefore. the govern
ment permitted the avenues of transporta-
ton to be congested by any means or
with any kind of freight whatsoever to
such an extent that bunkering coal, con-
ceded to be vital to our success in war,
could not reach the vessels, thus compel
that responsibility must rest upon those
agents of the government who had the full
power and right to control the avenues of
Says Garfield Admitted Error.
To add to the confusion, the statement
said. the prices fixed by the Lane COM
mittee were swept aside by the fuel ad-
" discovered and admitted by Dr. Gar
field. Sentor Reed also showed how the
of priority orders resulted in
lying up thousnds of freight cars and
n creating embargoes in many of the
great terminal yards of the country
Il submit that no great business" con-
.inued the statement, -'can prosper unless
he conditions under which it is to be con-
1ucted are reasonably stable. What coal
producer can be expected to expend large
sums of money to increase the output of
lis mine when he is informed in advance
hat the prices he will in the future be
allowed to charge are subject to change at
my moment by individuals over whom he
las no possible control and who may
either be informed or uniformed on coal
.osts or conditions?
Experimentation and Guesswork."
"It also seems too clear for dispute
hat restrictions upon business ought
o be reduced to minimum; that ex-
and guesswork concern
ng a great fundamental business upon
which all other business to a large ex-
ent depends ought to cease. Obvious
y this great fundamental business
,ught not to be wrested from expert
.nced hands and taken over by those
Who, however good their intentions. /
ire utterly lacking in that knowledge
essential to its successful conduct"
The statement made by Senator Reed. |
RI. 81