Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1920-04-13
GRAFT IN WAR CONTRACTS.
cantonments Cost so,oc0, COO More
Than Necessary, Committee Says.


Than Necessary, Committee Says.
WASHINGTON, April 13.-Charges OF
waste, inefiiciency, and graft in the
construction of army camps ana
cantonments are made in a report
presented to the house by the Nc
Kenzie subcommittee of the house
war Investigating committee.
Criminal prosecution and recovery
of excessive amounts paid to con-
tractors are urged, the charge being
made that the sixteen national army
cantonments cost nearly SSO,OoO,oV0
more than necessary. Camp Grant,
Ill. and Camp Sherman bear the
brunt of the accusations lodged by
the committee. Cost-plus contracts
are condemned.
Accompanying the report was
resolution requesting the attornc'
general to make a thorough investi-
alton of all construction contracts
with a view to legal action. The
house discussed the resolution for
several hours after adopting by
partisan vote special rule for It's
consideration.
The majority report is signed by
Representatives Mckenzie, of Illinois
and McCulloch. of Ohio. republicans,
A minority report justifying the
abandonment of the usual peace tins
method of awarding contracts upon
competitive bidding. was made by
Representatives Doremus. of Michi-
gan, democrat Mr.. Doremus de-
cIared that if any other course had
been pursued chaos would have re-
suited. many troops would have died
Of cold or disease in the winter OF
1917, and the German army woula
have entered Paris before American
soldiers had reached the battle lines.
The majority report is unsparing
in it's criticism Of civilians serving on
committees of the Council of Natio-
NJ Defense who were responsible for
the adoption of the cost-p'us s"Gfe~,
The special target being Col. w. A.
Starrett. chairman Of the emergency
construction committee.
In private life. the report pointed
out. Mr.. Starrett is an architect and
brother of Paul Starrett, president
Of the George A. Fuller Construction
Company, which received more war
contracts than any other construc-
ton company. Representative Dore-
mus in his minority report declares
that nowhere in the record is. there
the slightest reflection upon the
manner in which the Fuller compa-
ny's contracts were carried out.
Secretary of War Baker is accuseu
Of fna! responsibility for the whole
situation.
The cantonments at which the
committee made personal investiga-
tons were Camp Grant. Rockford,
ILL.,, and Camp Sherman. Chillicothe.
o. Testimony Of carpenters and
others employed at these camps is
quoted in the majority report in
great detail.
Legislation recommended by the
majority members includes. the fol-
lowing:
A law prohibiting any government
construction work being done on a
cost-plus basis. either in an emer-
gency or normal times.
given to the secretary Of war to sus-
pend the requirements relating to
advertising for competitive bids.
A law providing for the co-ordina-
ton and use Of industrial facilities
of the country in time Of emergency
and providing that prices Of all pro-
i ueI ties and commodities mevessury
in the prosecution Of the war, includ-
ing food. fuel, clothing. building,
materials used in the manu-
facture of army or navy supplies
shall come automatically under gov
ernment control, and likewise all
| wage scales.
! A constitutional amendment to
make proflteering in war time treas
on.
The majority report includes a
table Of costs showing that the six
teen army cantonments cost $7S,531,-
521 more than they should have. The
total costs as determined by the
committee from incomplete war de-
partments records is given as $685.
632.920, while the proper cost is fixed
at $128,101, ,399.
| These figures as to what the can
tonments should have cost are based
on estimates made by contractor
with Camp Grant as basis The
actual cost off OF Camp Grant is shcr,.
to have been s14,6S9,620 while the
committee says 1t should have been
sS,119,544. the actual cost represent
ing a loss to the taxpayer of $780,
l076.
Among large items to which 1t is
recommended the department Of JUS
tice give It's attention with a view to
the recovery Of money for the gov
ernment are: Losses thru nlisciassi-
flcation and nonclassification of la
bor, amounting as to carpenter work