The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1921-12-06
REPEAL OF MOST
REV0LVINCFUNDS
URGED BY DAWES
Praises Aid He Received
From DOllar-a-Year
Men.


co-ordinator as chairman. named
by the President. The chief co-or-
olnator has the authority, limited
by a right of appeal in case of any
diHerences in opinion, to impose
co-ordinating orders He can thus
prevent competition between the
ulHerent departments in outside
purchases, not only by preventing
them from raising the price on
each other. but where large guam
tities of standard commodities are
10 be purchased, by ordering one
department to execute the purchase
Tor Itself and as agent for the 9TH
ers. BY Executive order 1t was di-
rected that in each executive de-
partment and independent estab-
lishment of the government there
snail be director of purchases
and director of sales. who shall
coordinate all activities involving
purchases and sales within their
respective departments and be in
direct liaison with the chief co-or-
dinator. These directors of pur-
chases and sales are subject to call
by the chief co-ordinator for con-
ference in all matters involving the
coordination of sales and pur-
chases in the various departments
or the government service. This
was the system adopted in the
American Expeditionary Forces. II
Is the exact system in many large
private Industries which have been
formed by the amalgamation Of
original units located in different
parts Of the country.
Value of Convention.
The power in shaping unified
purchasing policy for the govern
ment is as great as that which
would be possessed by central or
ganization which would take over
all government purchases. but with
this great advantage over a CEN
trail organization-that there is no
Interference with the pressure from
point of departmental supply ne
cessity upon a procurement agent
directly responsible to il. Even
when there is co-ordinating or
der imposed, a representative of
the head of the department which
needs supplies is always able TO in
terpret its necessities, both as re-
CARDS speed in delivery and loca-
ton of delivery.
Again. the co-ordinating control
does not interfere in multitude
of small purchase transactions by
the department where the question
of competition is not involved. A
central purchasing agency for the
government of the United States
which would assume to take over
the procurement and distribution of
all government supplies would be
a complete failure. Not only has
the Federal Purchasing Board
proved already by its successful
operation its adaptability to the
necessities of the situation, but the
principles which govern it have
been tested out by years of recog-
| milton in practice by private bust
| ness enterprises.
Second. the Federal Liquidation
Board, created in accordance with the
same principles and form OF organiza
| ton, is now co-ordinating sales. under
unified plan, of the large surplus
stocks OF the various departments OF
the government. 1t is composed Of
one representative from each depart
ment or establishment having sales
activity. presided over by the chief
co-ordinator, general supply. The
! decisions OF the chief coordination
/ general supply, as TO any co-ordinat-
/ ing action is final, subject only to ap-
peal to the head OF his department
| by any member.
Importance Self Evident.
The importance Of the work OF
| this board is self-evident. Under
the old system. where surplus
/ stocks were sold by the independent
departments irrespective of each
other an absurd and demoralizing
situation existed. 1t was the custom
| OF the independent departments to
sell their surplus stocks with prac-
| tically no reference to the needs of
the other departments for the ma
terial sold. In some cases property
was sold at public auction by one
department, purchased by an out
slider. who then resold it at large
profit to another department of gov
eminent. At the time of the institu-
ton of this board departments were
IN the open market for large amounts
OF material which were on hand in
the other departments. An enormous
loss has resulted to the government
from this condition of things.
THE Federal Liquidation Board
!
signed to knit the activities of the
several departments and establish
ments concerned with the LIQUIDATION
or stocks into Federal business
association to bring about business
methods calculated effectively to safe
guard the interests of the govern
ment.
Third. the organization Of corps
area co-ordinators. For the pur.
pose OF making practical extension
OF the principles involved in the
Federal Purchasing Board and Fed
eral Liquidation Board over the en-
tire country a system of CORDS area
co-ordinators has been created. The
points Of location OF Government
stocks are so scattered. and the diff
fusion OF the points of purchasing
activities so great. that central boa I'd $