The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1923-10-25
by ROBERT TALLEY.

by ROBERT TALLEY.
EU7 AsHINGToN, Oct. 25.-"My Of
IWI fer for Muscle Shoals still
II stands" says Henry Ford, now
debating with Secretary of War
Weeks over the greatest man-made
power project in the world. 1t -is the
only bid so far the Government has
deemed worthy of consideration.
Just what is this Ford offer which
has been dragging for two years?
Ford's bid, entered originally on
July s, 1921, and later placed In de
tailed form and signed by him at
Dearborn, Mich, on May 81. 1922, is
divided into two parts. The first con,
templates a 100year lease of the
waterpower rights; the second, pur.
chase Of the existing plants and
equipment.
In brief, here are the terms:
The Lease
Ford will form a $4,000, goo com
pany which shall begin immediately
and complete for the Government
and at the Governments expense, but
Wilson dam, locks, power houses, etc.,
capable Of developing 60o,00 horse
power.
The company shall lease Muscle
Shoals for 100 years from completion
of this work ard pay the Government,
as annual rental. per cent OF the
cost of the project Upkeep OF the
dam shall be at the expense of the
Government, but the Ford company
will contribute $4,000 yearly to this
purpose. Upkeep of the plants shall
be at the expense Of the company.
The company shall construct. for
the Government. dam No. 8, further
up the Tennessee River, and install
a $50, 900 horse power generating plant
without profit to itself This shall be
leased for period equal to the term
OF the lease on the Wilson dam at
ar annual rental Of 4 per cent of the
cost The company shall pay $40. 900
yearly toward upkeep OF the dam. but
win itself maintain the power plant.
etc.
To enable the Government to Gre
ate a sinking fund to retire the cost
of dam No. 8. the company shall after
the fourth year, pay the Government
3d. semi annually for the nre of
the lease; to retire the cost Of Wilson
dam, s1s,s6S semi annually after the
first seven years.
The Purchase
The company shall purchase nitrate
plants No. / and 2. the Waco quarry,
the Corgas steam plant on the War
r7or River and its transmission line.
together with all equipment, etc.
For this the company shall pay the
Government 5000, 0o0--one-fifth cash
and the rest in four equal annual pay
ments at per cent deferred interest.
The Agreement
Continuously throughout the lease
the company promises to manufacture
nitrates for fertilizers at Nitrate Plant
No. at a profit not to exceed per
cent, said profit to be watched by a
Government commission. in event OF
war, on five days notice. this plant
will be turned over to the Government
for manufacture OF explosives.
The company shall not be obligated
to produce nitrates at Nitrate Plant
No. L It may use this plant for any
purpose II chooses.
At expiration Of the 10o-year lease
the company shall have preference
over all others for renewal.
THE above proposals." Ford's offer
says, ARE submitted for acceptance
as a whole and not in part"
Since the offer was made the Cor
gas steam plant has been sold 10 the
Alabama Power Company and Con-
gress has shown a disposition, with
out final action, however. to cut the
lease term to fifty years.
Yet Ford now says his cffer stfIl
stands. leaving the public In doubt as
to what effect these changes may have
had upon It.