The Birmingham age-herald., 1922-02-14
DECLINES ID ALTER OFFERF FOR
 MUSCLE SHOALS
Efforts to Exact Pledge for Manufacture of Fertilizer During Life of the
 Contract Fail
By Associated Press


 forts of House military committees men to exact a pledge for the man. ufacture of fertilizers during the 100-year life of the proposed con tract by Henry Ford for purchase and lease of the governments prop etries at Muscle Shoals failed to- day.
 w. B. Mayo, appearing before the committee as the personal repre- sentative of Mr. Ford, declared the Detroit manufacturer was not will ing to modify his offer fu any of it's existing provisions unless it was to clarify language only and not alter the plan itself.
 Committeeman also failed in their attempt during examination of Maj J. H. Burns chief of the ammunition division of the army's ornance de- partment to adjust differences of opinion between ordnance officers and those in the judge advocate gem elaFs department with regard to the Warrior power plant. Major Burns insisted throughout an extended i'm terrogation that the government was obliged to sell that property to the Alabama Power company or remove t from their grounds. He declared 1t could not be sold to Mir Ford as a part of the Muscle Shoals project un- less the government violated q com tract with the company
 Previously. officers of the judge ad- Iocate generals office had said the contract was non-eHforcable.
 Needs Warrior Plant
 Statements by Major Burns that the Warrior plant was not essential to the Ford plan were countered later by Alr Mayo. who declared the power developed there was needed and Mr. Ford would demand clear title to that unit as specified in his offer. This situation was regarded by sew efal committee members as interpos- ing difficult obstruction to over come before they could return the fard plan 10 the House for disposition bs that body while others deelaesa they could see no solution at all 4tssl the contract wtth the etUpaas wasl Violated
 While tbe eonunitfcg sf tifE TT biI ntltI dl ihf taAIfIHttl tary Weeks continued st tf st tAt war department of the ott aftefs he has on Muscle Shoals. tle nssiHs8 Frederick Engstrum of Wllnlna x C., that he would give him 2 4ar- ing Wednesday morning. after which he would submit his offer 10 Con sress- The secretary has stated that the Engstrum proposal, as amended, appeared "to be better" than it was as originally submitted.
 To Make Finished Product
 Mir Mayo told the committee MT Ford intended to manufacture fer tlizers in their finished forms and would not produce exclusively thetr nitrate ingredients. He also declared that not more than s per cent profit would be imposed and that 1t was MT, Ford's intention to deliver the com pleted product direct to the farmer' preventing their purchase by agencies which might buy them and possibly fix the price before they reached the farmers hands.
 Questions by several committeeman developed that il was Mir Fords in- tention to use all the power developed the water projects and other plants for his own purposes at Muscle Shoals It was not the intention. Mir Mayo stated. to establish a power selling company to compete with com mercial companies engaged in that i enterprise.
 part of the power created, h was explained. would he e0nsuni-
 ed in the manufacture of "nuto- mobile parts from raw materially.
 This statement by the witness revealed for the first time that it was the intention to operate the Alabama plants in connection with MT. Ford's automobile busi-
 ness and was construed ns imply
 ing the production of light
 metals, possibly aluminium, which
 would enter into the construction
 of automobiles at the Detroit fac tory.
 The Ford offer was scheduled for consideration today by the Senate agriculture committee. That body probably will decide upon program of hearings of it's own. Many re- quests to be heard already have been received by the coht-littee from m terested persons and commercial concerns related to power deyelop- ments as well as agricultural orgsni- zations Further examination of MT. Mayo will be conducted by the pubiie committee tomorrow morning.