New-York tribune., 1922-08-03
Federal Coal
Board to Take
Entire Output
Gradually Will Supersede
Dealings by Operators and
Buyers. Completed Plans
of Organization Reveal
State Responsibility Fixed
Must Guarantee Payment of
Bills; Zone Committees
in Charge of Distribution

I'm Snarge OF distribution
WASHINGTON, Aug. 2.-Plans for
the immediate operation of the Fed
eral coal control organisation, involv-
Ing distribution Of fuel to the rail-
roads, public utilities, the states and
the New England and Great Lakes
sections were completed to-day at a
| conference Of Secretary Hoover with
Fuel Distributor Spencer and the vari-
Gus central committee members.
The government plans for distribu-
tion Of coal in the existing emergency
were announced by Mr.. Spencer after
the conference The Federal organiza-
tion in Washington, he said. would
cover the distribution of available sup
plies among railways, Federal institu-
| tions and states, while the governors
| of the states would handle local sup
ply.
To Take Whole Production
Pending completion of the Federal
organization, Mr. Spencer said. three
intermediate stages would ensue-
first, the continuation of their normal
! business by the operators, then
priority buyers under the Interstate
| Commerce Commission service order
No. 23 will gradually encroach upon
operators business and finally, coal
orders placed through the Federal
fuel distributor will absorb the entire
output of the mines.
Provision has been made for the es-
tablishment of district committees to
represent the Federal distribution ad-
mnistration in the producing fields,
with special arrangements for supply
ing the Great Lakes section. Detailed
instructions were drawn up to-day for
the states which included the fixing the
responsibility for the payment of all
coal shipped into state upon the Gov
ernors committee.
District committees set up in the
officer representing the Federal fuel
distributor, a representative of the In
terstate Commerce Commission, rep
resentative of the railroads and repre-
sentatives Of the coal operators.
District headquarters have been es-
tabished as follows: Norton, Va, for
all Virginia mines except the Poca-
hontas district; Bluefeld, w. Va, for
the Pocahontas, Winding Gulf, New
River, Tug River and Virginian dis
tricts; Huntington, w. Va, Kanawha
Logan, Williamson and Big Sandy dis
tricts; Knoxville. Tenn, fields in south
Hazard and all mines in Tennessee
Louisville, KY, Harlan, Hazard and
fields on the Louisville and Nashville
and Illinois Central railroads, and Bir-
mingham, Ala, for all mines in
Alabama.
Rail Fuel Control in Committee
Distribution of fuel for the railroads
is to be gradually concentrated in the
hands Of a railway coal committee
composed of coal buyers from the diff
ferent railway groups as follows: b
P. Philippe, of the Pennsylvania Rail-
road and representing the Eastern
group, chairman; E. A. Clifford, of the
Santa Fe Railroad, for the Western
Coast Line, for the Southern group, and
,, w. G. O'Fallon, of the Terminal Rail
road Association, of st. Louis, for the
Southwestern group.
State fuel committees are to report
at once the consumption of coal in
their territories by utilities, household
users and industries, together with a
list of those who would receive priori-
ties.
''To set up a single consignee in each
state" statement issued after the
conference said, "on behalf of all coal
shipped into that state on orders from
the Governors committee, through the
Federal fuel distributor, the Governors
committee will become responsible for
rayment of all coal shipped into that
state, and will put in advance bank de-
posits to cover same, which deposi-
tory will honor, consisting of a sight
draft with weight certificate, car num-
Der, etc, this being practically an
t. o. b. sale"
Governors committees were made
o1iti ho iop
of profteering and extortion in the
sale and distribution Of coal within
their states, and will distribute coal
made available to them, according to
their judgment.
Northwest To Be Supplied
shipments of coal by the lakes
the statement continued, "to the states
of Minnesota, North Dakota, South Da-
kota, northern Wisconsin, northern
Michigan and Canada, shall operate
through the Ore and Coal Exchange
Of Cleveland. Orders for such coal
on contracts in existence will come
through, or be approved Of by the
Federal fuel distributor, to the dis
trict committees. 1t is the purpose
to inaugurate a regular weekly move
ment of coal to this trade. The divi-
son of such coal between states or
receiving points must be indicated
from the Federal fuel distributor"
Bituminous coal production began
increasing again this week, and, accord
ing to figures compiled by the rail-
roads, 14,768 cars were loaded with
coal at the mines Monday, the latest
day for which output has been reported.
This compares with an average of about
1900 cars per day produce last week
and with high point of approximate
ly 1900 cars, which has only been at
tanned on one day since the miners