Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-02-02
MUSCLE SHOALS
FER IN CONGRESS
sails Of Henry Ford's Pro-
posaI Submitted by Sec
retary Weeks
10 SUGGESTIONS MADE
SUGGESTIONS MADE
nv the Associated Press

Washington. Feb. 2.--Henry Ford $
Y proposal for the Government projects at
Muscle Shoals. Ala. was submitted to.
~ to Congress by Secretary Weeks.
4 ~ ''such action as Congress may deem
oppropriatc. The only suggestions
scontained in the letter Of transmission
related to specific clauses In the con-
I tract and the dcsirability of amend.
nients which would. in the event tho
proposal be accepted by Congress.
further safeguard the Government In
terests.
Otherwise. the Secretary Of War
carefully avoids reference to congress
sional action involving the ultimate ar-
ccptance or rejection of the offer as
submitted.
(, SIN the event Mr. Ford's proposal is
accepted" Secretary Weeks declared,
''the Government must make new ap 4.
preparation amounting to $40 900 WM
10 $50. 900. 600. Of which Mr.. Ford will
have the benefit for pproNimately ono
hundred years at per cent.
Alternate Plan Explained
In the event the offer be rejected,
the Secretary gave it as his "opinion
that dam No. . Wilson DAM should
be completed by the Government and
that the power requirements for com
mercial purposes. the benefits to navi :
cation as we'll rs the possible needs of
the Government would warrant this
expenditure
\ rat this time" the Secretary points
out, "when there Is large amount of
unemployment. il is not without. i'm :.
nortance to consider the advantage TO
the Nation Of the employment of the
large amount of labor required in
undertaking this development. |,
Z therefore. urge. that Congress give early
considerable to this matter. not only
to settle h controvcrted question. but
to furnish employment on large
scale.''
The Secretary explains his action in
sending the offer to Congress by de-
claring he is without authority in law
to accept Mr.. Ford's offer. or dis
nose of the property as a whole. either
by sale or by lease and that lit Is
peculiarly the province Of Congress to
weigh the considerations which will
pass to the respective. parties to the
proposed arrangement.
Ford's Offer Outlined
SECRETARY Weeks outlined to Congress
the yoluminous offer of Mr.. Ford in this
way:
'Mr. Ford offers to undertake the
completion of Dam No. = and the con
struction of Dam No. 3, according to
the Governments plans, for which he
shall be reimbursed the actual cost, and
to lease the dams and power plants ut
an annual rental equivalent to 1 per
cent of the cost to the Government
Of completing Dam No. > and construct
ing Dam No. 3 Exclusive of the cost
of acquiring lands and fOwage rights
So, Nn
n 1.-The rentals Of per cent are to
commence. respectively. in six years
after Dam No. has been completed To
the point where equipment for 1W,Wh
horse power is installed and ready for
service at Dam No. 3. In the meantime
I during the six year and three year pc.
riods, respectively. he offers to pay
upon Dam No. an annual rental Of
500, 900 and on Dam No. j S1GO. 900
His offer places upon the United
/, States the responsibility for repair art
maintenance Of the two dams other thar
(. the power houses, which power houses
and electrical equipment he agrees tc
maintain at his own expense in efficient
operating condition. As compensation
to the United States for the repnir ant
upkeep of Dam No. > and locks h'
offers to pay the sum of $50 900 an
nually and of Dam No. 3 and lock tn,
sum of $50. 900 annually. He ais,
agrees to furnish electricity for operat
ing the locks at each of these dam
without charge to the Government. an,
in addition he agrees to pay the sum o
322,373 semi annual for the purpos
OF building up IA sinking fund to return
to the United States at the end Of tn
lease period.
-'As a condition of this offer he ask
that the United States sell to him nitrat
plants Nos. l and ., the Waco quar-
with all appurtenances for the sum q
as 1000, 900. payable 81 900 900 dow
and the balance in annual installment
Of 81 ,OO0, 900 each with ) per cent in
terest on deferred payments.
"As further consideration to tn
y Government he agrees to operate nitrat
plant No. = at the approximate presen
annual capacity of It's machinery an
equipment in the production of nitroge
and other fertilizer compounds through
out the lease period, and to maintain
in it's present state of readiness, or IL
equivalent. for immediate operation i
the manufacture of materials neccssar
In time of war for the production ,
explosives. He further agrees that III
fertilizer produced at nitrate plant y,
= shall not be sold at profit in exec,
at s per cent Of the actual annual co,
of production thereof, and to turn ov,
to the United States nitrate plant y,
= whenever it shall be required for II
national defense. He also states tn,
his proposition must be accepted as
WHOLE"
FaxaiLH Are Wild"