Evening star., 1922-04-14
&,O[0,GU SAVED
DAILY, SAYS WILLIS
Senator Declares Business
Methods Have Resulted in
Federal Economy.
LIVING WITHIN INCOME
Tells Paper and Pulp Association
of Financial Achievements
of Government.

NEW YORK. April 14.-Application
of business methods to the various
departments of the federal govern
ment has resulted in a saving of
more than s4.OOO.O00 a day. Senator
Frank B. Willis of Ohio stated in an
address lat night at the ansal
dinner of the American Paper and
Pulp Association.
More business in government is
getting results" he said. When an
eminent political leader said few
years ago that 100000. 900 per year
could be cut from federal expenses
looked upon as a doctrinaire and
theorist. yet the application of just
plain business sense, such as you use
in your own affairs, has brought
saving of public funds five times
$780, 900. 600 in twelve months. Gov
ernment can help business some, but
business can help government more"
Senator Willis said that expendi-
lures for the first nine months Of the
present fiscal year to March 81, 1922,
amounted to S2.904.037,94S.
Living Within Income.
~Prorated over the entire year"
he con..nued, this indicates that the
government is well within the sum
of S3.96S, 100000. which was estimated
in December, 1921, as the amount
necessary to carry through the year.
Ours is the only important govern
ment in the world actually living
within it's income and paying its
debts.
''The routine business of govern
ment has been reorganized. duplicate
purchasing co-ordinated SO that dif-
fereut departments no longer bid
against each other in the same mar
het and actually buy at different
prices on the same day. Extensive
work with current results is now be-
ing done in Sfmplification of routine
business and establishment of it's
principles which govern all properly
run private organizations. The budget
bureau succeeded in sending in it's es-
Inmates promptly at the. opening OF
Congress in the new form authorized
by law. The sum of $3,968, 100000 ex-
penditures for the year represents not
only decrease of $52s.000.000 from
the estimates of the amount neceS-
sary made by the departments and
establishments at the beginning Of
the year. but a decrease Of over
S1.500, 100000 from the actual expen-
ditures for the year 1921.
$500 Per Minute.
"This represents actual savings of
more than $4.000.000 per day. $160.0OO
every hour, or more than $500 every
minute of every hour of every day in
the year."
The senator declared that the gov
ernment must be run according to
business principles, efficiency must
be promoted and economy wrought.
even if those hiding behind bureau
cratic camoufage are loud in their
denunciations of program of eff
cheney and economy which cuts on
the payroll 2,090 persons per week.
Heavy, moss-covered tradition will
have to yield in the interest of bet-
ter service and tax reduction OF
S00,0O0,O00 in a single year, he said.
Senator Willis told the manufac-
turers that if the pulp and paper
business "is permitted to become
ambulatory it will walk clear out OF
the country and cross into Canada"
Canada Competitor.
1--WE must keep 1t at home where
1t belongs" he added, $50 far as eco
nomically possible. Canada is a
can produce mechanical pulp 23 per
cent lower and chemical pulp 10 per
cent lower than it can be produced
here"
Available data show 71S establish
ments engaged in the manufacture
of pulp and paper, or both. Senator
Willis said, with capital investment
of $3.50, 900, 900 They employed 10000
men, paid out s55.O00,000 in wages
and turned out an annual finished
product of S335,000,000.
1T Will De oDseTNeu lie Sdiu' thde
1t takes approximately two years
product to equal the fixed investment.
This indicates a very high Investment
of capital as compared with other in
dustries and contributes one of the
serious problems of the business. The
turnover Is too slow, the dependence
on local conditions of timber supply
too great, and the risk too serious to
make investment attractive. I saw
one paper machine at work in Wis
consin that cost 100000. Such ma
chinery is too bulky and costly to be
moved from place to place, and hence
a constructive program to supply
essential raw material In the i'm
mediate vicinity must be adopted"
For Strong Defense.
In connection with proposed reduc-