Evening star., 1922-12-22
HIGH COAL PRICES
BLAMED UPON j. S.
]. Maury Dove Tells Fact
Finding Commission of Gov
ernment Competition.
CITES DISTRIBUTION COST
Declares Rationiug System Adds
Greatly to Expense of Deal.
ers in District.
CITES DISTRIBUTION COST

Representatives Of three local coal
companies testified yesterday before
! the federal fact finding coal commits
sion, Investigating coal prices in the
District of Columbia. They were j.
Maury Dove. jr., of the J. Maury Dove
Company; w. 3. Swindell of BIick
Bros. Inc. and Charles F. Miller of
Charles F. Miller & Co. of Bethesda,
Md.
Mr. Dove. in a prepared statement
submitted to the commission. said
that coal prices to the general public
would be reduced by local dealers IL
the dealers were given back the bust
ness now done by the government
fuel yards. which. the witness said.
was taken away practically over
night. He questioned the legality of
the fuel yards selling coal to officers
of the Army. Navy and Marine Corps
and feared this practice might spread
to the civil employees Of the govern
ment, thereby further reducing the
! business OF the retail dealers In
washington. Mr.. Dove went at great
length into the various aspects Of the
y
that the local dealers could sell coal
| for less money to the government than
In charged by the government fuel
! yard, considering the appropriation
necessary for the maintenance Of the
1 latter
Letter From Keller Read.
A letter from Engineer Commissioner
request OF George OTIS Smith. member
OF the coal commission. directing at
tentfon to the high prices charged local
dealers by some anthracite wholesalers.
DR.. Smith pointed out that purchase
! Of high priced coal replaces low-price
| coa' as Washington is only allowed
this year so per cent of its last years
allotment Of anthracite.
Mr.. Swindell testified that his firm
sold w-priced anthracite to the Corby
Baking Company at $14 ton, under a
verbal agreement and that the firm
sold anthracite to private consumers al
$3.50 a ton.
The Interstate Commerce Commission
Yesterday issued An emergency order
to the Pennsylvania railroad requiring
that road to give priority in transports
tion for coal billed to the government
fuel yards. mined at Twin Rocks. Pa.
by the Commercial Coal Mining Com
pany. The road was instructed to fur
At the rate OF three cars per day for
, fifteen days.
Gives Csst Reasons.
| Mr.. Dove in his statement said, in
part:
Knowing that Jour commission is
endeavoring to the utmost OF its abil-
| ity to ascertain all facts contributing
to the present prices, assign as my
| reasons for the present prices of an
thracite in Washington the following
| principal contributing factors:
II. Increased cost of this coal
Z. o. b. Washington.
"2. Increased retail distribution
80. The excess of retailers Of coal
in the District Of Columbia, far and
beyond the demands of the commu-
nifty ana the economic conduct Of this
branch Of the industry. thereby caus-
Ing q duplication Of overhead and
the prevention of employment OF
al-handling facilities to an extent
approaching their rated capacity. Re-
taii coal-handling facilities of the
District of Columbia were built up
and operated prior to the formation
of this government fuel yard with the
purpose of handling the local demand.
the government demand and an al
lowance for the necessary factor OF
safety.
-Overnieht and during the war
period the government tonnage was
I taken from the dealers Of Washing
ton. leaving on their hands excess
facilities and unacceptable and IRE
ducible costs which have persisted
| and will persist until the proper au-
thoritie. have been brought to see
the light OF day and to realize that
| the continued operation Of this gov
| erpment fuel yard in Washington Is
an expensive subsidy levied on the
taxpayers Of the entire nation and
| particularly upon those OF the DIS
| trict Of Columbia
Aationing Cssts Heavy.
! a. Present necessity OF allowing
| consumers but one to two tons Of
anthracite at time.
ITO insure an equitable distribu-
tion of what anthracite Is shipped
| into the District of Columbia during
the present emergency. and in CO.
operation with the District Commits
sioners and the civic organizations OF
| Washington, the dealers are ration
| ing coal IN one and two ton lots,
| never in excess of any consumers re-
quirements for thirty days. and this
benefit Of the citisens of Washington
] and has without the shadow Of a
| doubt prevented untold suffering. Is.
nevertheless. an item of exrr1 cost
to the dealer In the distribution of
such coal 1t is a matter that is self
evident that coal cannot be weighed.
delivered and handled as cheap1y in
| one-ton lots as in larger lots. nor
can the same truck produce as much
| revenue.
! II have made the statement that
the government fuel yard in WASH
ington is Improbable to the govern
ment, is contrary to good business
policy and Is working an annual loss
to the taxpayers of the United States.
I'm support of this statement.
would respectfully refer you 10 the
report prepared by Mr.. Howard
| Baker Of the staff of Gen. Charles G.
Dawes. at that time chief of the bu-
reau Of the budget. and by the bu-
| reau transmitted to Senator Miles
Pofndexter. chairman of the Senate
committee on mines and mining, un-
der date Of March s. 1922.
II would respectfully request that
your honorable commission take cog
nizance in connection with the gov
ernment fuel yard situation herein
set forth, Of the possibility of the ex-
tension Of its activities so that the
same may include among its list of
patrons civil employees Of the federal
and District governments. There is
no doubt in my mind that agencies in
Ia ~ rn wi IN