Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1922-08-20
OF
THE PUBLIC IN
PRICE OF COAL
ASKED I'M OHIO
Operators viii Welcome a
Voluntary Arrangement
for Establishing Fair Re-
turns, Hoover Is Told.
WEST VIRGINIA Is
BROUGHT INTO LINE
Maximum of $3.50 a Ton
Is Allowed at the Mine,
the Same as in Kentucky,
BY Director Spencer.

Washington, Aug. 1o-Imms-
date action for the proper pro-
lection of the public in the price
Of coal produced in Ohio was
asked OF Gov. II. l.. Davis today
by Secretary Hoover, In a tele-
gram to the Ohio governor the
commerce secretary declared that
coal operators in that state would
welcome some sort of voluntary
arrangement for establishing fair
prices in Ohio.
Il am informed" Hoover said,
that coal mines now opening
under the Cleveland agreement
in Ohio are demand from 81 to
$40 a ton for coal. In the mean
time. the public utilities Of Ohio
are asking us for priority orders
against southern fields where the
price is $3.50. You will recognize
that in this situation, IL we are
to give priorities as requested, it
would not be just either to the
operators or to persons in great
need of coal in other states in
view of the additional supplies in
Ohio
Garfield Scale.
Mr.. Hoover recalled that under
the Garfield scare the average
price for run of mine coal in the
Pittsburgh district was about
$3.50 a ton, but added that the
recent wage scale represents a
large increase over the basis Of
pay at the time the Garfield
scale was fixed, However. he
added. in Kentucky. where $3.50
ton has been allowed as
maximum fair prices production
costs are higher than in Ohio.
West Virginia was brought into
line with Kentucky prices today
by Federal Fuel Distributor
Spencer, who allowed coal oper-
ators in that state q maximum of
$3.50 ton at the mine. The
previous fair price prevailing in
that state was about $3.50 but
Governor Morgan. of West Vir-
ginia, suggested the increase to
meet the new wage scale agree
ments and accelerate production.
Further increases Of fair price
maXimums to the new $3.50 a
ton level were expected by federal
coal officials, who indicated that
as governors Of the various states
recommended increased prices to
meet changed conditions. the
necessary action would he taken
ny Mr. Spencer.
Volunteer Fair Pr.ccs.
Pending enactment of legisla-
tion as suggested TO congress by
President Harding for the Gre
alton of federal coal purchasing
agency, some officials believe that
volunteer fair prices probably
will approximate about $3.50 a
ton at the mines unless produc-
ton reaches point where
charges would drop automatically.
The coal purchasing agency to
be created by congress is ex-
pected by administration offic-
ials to take the form of the
United States Grain corporation
NhlCn COntfOlleu the prices OF
grain during the war. Legal
complexities involved in the prob
lem of peace time price control
officials believed. would be
avoided by the adoption of such
an expedient, as sufficient coal
operators probably would be will
ing to cooperate with the gov
ernment in maintaining price at
which coal would he sold to the
corporation which would in turn
fix the price for fuel in interstate
commerce.
Similarly. 1t was thought the
various states could set up like
agencies for the maintenance of
fair prices within their boun-
darics for the coal produced there
in or received by way Of federal
distribution.