Fitzgerald leader enterprise and press. (Fitzgerald, Ben Hill County, Ga.) 1921-1964, 1921-07-27
FORDS PROPOSAL AS
10 MUSCLE SHOALS
10 Take Over Power Projects
And Nitrate Plant
EXPERTS STUDY OFFER
1t Is Expected that an Offer Will
Come from Another Source
in Near Future

WASHINGTON, D. c., July H.
Details of Henry Ford's proposals
for taking over the Muscle Shoals.
Alabama power projects and nitrate
plant were given out today at the
War Department, and Secretary
Weeks said Mr.. Ford's tender would
have to receive considerable modifi-
cation before they could be accepted.
Mr.. Ford requires a practical guar
antee from the government to devel-
OPP 100000 horse power at Muscle
Shoals, which cannot be given, the
Secretary declared, though his tender
is being studied by financial and en-
gineering experts. There is a posi-
bility, also, Mr.. Weeks added, that
an offer for the properties would
be made from another source.
The Ford proposals, carefully car
ried out into detail, involve money
payments to the government suffi-
cient to return to it $40,000,O0O with
in the hundred year period for which
he asks a lease, and in addition a
rental of per cent. on the same
value. Mr.. Ford asks further expen-
ditures of $28,000,OO0 to complete the
power and nitrate plants, agreeing
to make additional payments on the
same basis. Proposing to use the
plants for the manufacture of nj
trates, he agrees to hold it in readi-
ness for turning over to the govern
ment in case of war, and to allow his
profits to be limited to 8 per cent.
on fertilizers produced in peace time,
with the establishment of a board of
representatives of farmers organi-
cations to supervise accounts and
see that the limitation be made eff
: fective.
Mr.. Ford's proposal was based on
prompt completion of the govern
ment of the Wilson dam power pro-
ject to produce 100000 horse power
for which he proposed to pay a lease
fee each year of $1,2OO,0O0 together
with $4,000 for maintenance and
$35,537 against amortization of the
governments investment in ninety
four years. On dam No. 8, also to
be completed and developed ESQ.,
OOO horse power, he proposed to pay
$48O,OO0 in annual lease fee, the
payment in each case being percent
on the governments investment.
Based on acceptance of these two
lease proposals was the offer to pur-
chase "all the property at nitrate
plant No. 2, nitrate plant No. /, the
Weco quarry and the steam plant
at Gorgas, Ala.," for $5,OOO,OOO.
IF the United States agrees to sell
and the company purchases the sew
eral properties" the letter said, "the
company will operate nitrate plant
No. 2 to approximate present capital
in the production of nitrogen and
other fertilizer compounds with the
following special objectives:'
10 determine by research wheth-
er there may be produced fertilizer
compounds of higher grade at cheap
er prices than the fertilizer using
farmers have in the past been able
to procure, and to determine whether
in broad way, the application of
electririty and agricultural industry
of the country what they have econ
omically accomplished for other in
dustries.
ITO maintain nitrate plant No. Z
in state of readiness to be prompt
ly operated in the manufacture of
materials necessary in time of war
for production of explosives"
1t is added that if the project is
carried through "it will naturally and
reasonably follow" that buyers of
fertilizers will desire assurance that