New-York tribune., 1922-08-28
W ork Proposes
u. S. Shall Own
All Postoffices
Program Designed to Check
profiteering by Avari-
cious Landlords Also Is
Approved by President
Half-Billion To Be Saved
81, 900, 900 Annually Paid
I'm Rentals; Big Increases
Made as Leases Expire

WASHINGTON, Aug. 27 (By The AS
sociated Press) Government owner
ship of postoffice buildings in every
city and town has been proposed to
Congress by Postmaster General Work,
with the approval of President Hard
ing.
The Presidents approval, Admins
tration officials said to-day, was based
upon reports showing that the plan
would mean a saving to the govern
ment Of approximately $5o0000,ooo
within the next ten years.
Administration leaders in Congress,
regarding the undertaking as an im-
portant business reform and designed
to check profiteering in rentals, were
prepared, it was said, to urge immedi-
ate enactment of legislation providing
For a nationwide postal building pro-
gram. i
The Postmaster General explained
that the department now pays in rent
ais annually about $12,000,000 and that
when many leases recently expired
owners of buildings demanded and OBJ
tanned substantial increases. In view
of this situation he added, "there is
"a necessity for government ownership
of buildings within the limitation of
good business judgment as against the
leasing system
Aims to Check Profiteering
The Postmaster General further de-
elared that with the adoption by the
government of the plan suggested
"profiteering in rentals would be
checked and shameless speculation on
the part of those who sought to prey
upon the government would be abol-
ished for all time"
Before the plan, as worked out by
the Postmaster General and his associ-
ates, was submitted to the President
it was discussed at conference with
Secretary Mellon, after which Treasury
experts examined every detail. 1t was
said that the Federal government, in
some cases, was at the mercy Of owli-
ers of buildings used for postal busi-
ness where occupancy was obtained by
lease, and Treasury officials, it was
added, were of the opinion that gov
ernment purchase or construction of
buildings was essential to economical
administration of the postal system.
President Harding was informed by
1'As w YIN Sldt IlS GOFeIliUtcHk Coulu
borrow money on practically per
cent basis to build postoffices, whereas
when it leases the department pays q
rental sufficient to permit the lesso
to borrow money at per cent, and in
some cases as much as 10 per cent.
Expanded Quarters Necessary
There are 1886 postoffices in leased
quarters and only about 1920 in build
ings owned by the government. Earn
ings Of the department during the last
ten years have more than doubled, with
a result that more buildings and space
are required to keep pace with the con-
stantly growing business.
mo single piece of legislation that
could be enacted by Congress would
have a more far-reaching effect upon
the business life of the various com
munities," Postmaster General Work
said. Taxpayers should be relieved in
every manner consistent with good
business policies, and, in fact, it is
time that the people be given q square
deal for their support of the govern
ynent and it's institutions" /"