The Washington herald., 1922-10-20

VI th'ShiAS hS IHuCu SooA - pSo-
sible to consumers during and sub
sequent to the miners strike. and
at the same time >ndeavoring to
restrain speculation and pronteer-
ing on the part of unscrupulous
dealers. were the duties assigned to
the Federal Fuel Administration.
through the Secretary Of Com
merce.
In business-like manner this
duty was performed, as the follow
ing record of the activities Of th9
office clearly shows:
1. In October and November. 1921.
the administration having regard
to the serious situation in employ
msnt relations of the coal industry,
agreement providing for an arbitra-
tion of the renewal Of the wage
agreement expiring April /. 1922.
The workers declined as they did
not believe such arrangement would
be in their interest In view OF all
the circumstances a strike seemed
Inevitable, and Secretary Hoover at
oncs undertook to organize the va
rious trades and utilities to increase
their stocks OF coal in order to pro-
tect the public against the great
possibility of prolonged Industrial
stoppage. Active voluntary cam
paigns were carried on to this end
through various trade associations.
Had Five Months Reserve.
Consequent upon these efforts to-
ward preventing shortage, whcn the
strike was called on April /. the
country held its largest stock OF
coal on record. approximately u.s.
900, 900 tons. which. together with
nonunion production of about 5.000,-
900 tons weekly. CAV. production to
uninterrupted commerce and indus
try for Ave months. Events have
proved that without such a reserve
we should have had a general stop
page of industry.
2. Six weeks after the strike be-
gan, about the middle of May. .
buying wave suddenly raised spot
coal prices at the nonunion mines
to an average OF s3.67 per ton. AS
coal prices in 1920, when production
was 100000 tons a week and
therefore prospective shortage much
less, had arisen to an average Of
from s11 to sl2.50 at the mines. It
was considered essential when the
1922 rise began to at ones organize
some restraint to prevent the repe-
tition of this calamity to the con-
sumer. Not only were mine prices
on the increase but prices of coal
in stock by dealers might be ex-
pected to advanc.. 1t was also
considered more in consonance with
peace-tIme government to endeavor
to secure amelioration of fair prices
by voluntary agreement with the
coal trade.
Conference Of Operators.
3. On May Is a conference was
called by Secretary Hoover OF the
leading operators in the nonunion
producing fields and preliminary
discussion resulted in resolution
TO organize the needed restraint and
to call a general meeting of opera
tors on May 81. The general pub
licity Of the intent to restrain
prices resulted in stemming the ad-
vance and brought about a fall OF
60 cents to 81 per ton.
I. On May 81 the general meeting
OF nonunion operators with Secre-
tary Hoover resulted in an agree
mcnt that the price OF spot coal
from the nonunion mines should be
voluntarily restrained at the Gar
field war price plus an amount for
each district that would equalize
the changes in production costs
since the Garfield scale of 1918. Va
rious districts were settled at maxi
NUNS Of from $2.20 per ton to $3.50
at the mine. but each individual
mine was to adhere to the scale ar
rangement at points below the max
imum. About IS per cent Of the coal
production acceded to the agree
ment, embracing all but three dis
tricts east of the Mississippi River.
The arrangement was automatically
to terminate at the end of the strike
In the union fields. Other voluntary
agreements. fully as important. were
made with wholesalers and retailers
not to advance the prices of coal in
stock, but to adhere to costs plus
usual handling charges.
Agreement Saves Public.
5. From June l to July o5 the
price In the nonagreement districts
averaged about 1925, whereas the
price in the non-aEreement districts
rose steadily to as high as $12 at
the mine. The saving TO the public
from these agreements amounted.
not only to many million dollars
weekly on the vast ajority of Goa I