The Union daily times. [volume] (Union, S.C.) 1918-current, 1922-02-09
COMMITTEE TAKES
UP FORD'S PLAN

Washington, Feb. S.-Opening ses-
sions of the house military commit
tees investigation Of the Ford con,
tract offer for purchase and lease of
the government properties at Muscle
Shoals, Ala, revolved today princi-
paliy about the clauses relating to
manufacture Of fertilizers for the ma
tion's agricultural needs. Secretary
Weeks Of the war department, appear
irg as the first witness, repeatedly
declared his doubts as to whether fer
tilizers could be manufactured cheap
~ at Muscle Shoals and expressed his
belief that amendments to safeguard
better the governments interests in
the S106,000,00O Investment already
made should be incorporated in the
offer as it was drafted
To alter existing government poll
c!cs regarding the lease Of real estate
or other properties and permit 100
year lease Of the water power machin-
cry and dams in Alabama, the sccre-
tary asserted repeatedly, would be AN
unwise act and should not be permit
ted. He advocated reduction in his
time clause from 100 years to so III
the event congress should decide 10
accept the offer.
Another often reiterated suggestion
Involving a change in present Ian
guage of the offer, the secretary point
cd out, would require fixed capital
ization for the operating company Mr..
Ford is to create. The secretary said
10 provision existed in the offer guar
anteeing a capitalization which the
government might recover, in whole
or III part, in the event the contract
was violated. A provision of some
sort was advisable, he said. which
would permit the government to i'm
pose through legal means a penalty or
forfeit should the company fail to
carry out the terms of the offer.
Anything might happen in the next
100 years." he said. while not the
slightest doubt have as to the sol
vency Of Mr.. Ford or of his intentions
t. execute the agreement in good
faith, neither he nor l will be here
during the life Of the contract. In
considering this question we are pro-
viding for the future generations"
Regarding the manufacture of fer
tilizer and their cheap delivery to the
kfaImers sof tIis acosntryss Mr.. Weeks
said there was no reasonable certainty
in his mind that that was possible.
eff thought that development per-
fected by Mr. Ford would effect a ma
tcrial reduction in the cost Of ferti-
lizer." he said, 81 would vote for his
proposition if were in congress. But
] am so in doubt as to that, should
hesitate to give any advice unless as
&ured Of guarantee
Asked what the annual consumption
Of fertilizer was the secretary said
it approXimated 100000 tons and
the Muscle Shoals plants would only
produce at a maximum 100000 tons.
That amount, he asserted, would not
in his opinion affect the existing mar
ket.
The war secretary previously had
told the committee that Mr.. Ford had
declined to guarantee fertilizer pro-
duction over given number of years
and had informed him in conversations
that he would not manufacture the
commodity at loss.
Although pressed repeatedly by sew
cral committee members the secretary
did not express an opinion as to
whether the offer should be accepted
or rejected by congress. At one point
he was asked whether the project
should be salvaged or Mr.. Ford's offer
accepted, but he replied only that the
government would not salve the pro
iect in any event and repeated his in
tcntion to complete the Wilson dam if
the offer was rejected. He said dam
could be completed, without taking a
dollar from the treasury, by bond
issue based on commercial value Of
the project as water power develop