Evening star., 1924-04-29
COOLIDGE DENIES
SHOALS "DELlVERY
Restates His Recommendation
Made to Congress in Message
Dated December 6.
WAS GIVEN TO NEWSPAPERS
Senate Committee Hears Former
Reporters Telegram Read.

Restating his recommendation to
Congress in his message December o.
President Coolidge has fatty denied
the assertion that he was trying
TO deliver Muscle Shoals to Henry
Ford, contained in telegram placed
in the record OF the Senate agricul-
ture committees hearing on the Ford
and other bids for the properties.
The telegram, dated October II,
1923, and addressed to William j.
Cameron or Ernest Liebold, care
Dearborn Independent. Dearborn,
Mich" by James Martin Miller, for
mer Washington newspaper corre-
Spondent was read yesterday by
Chairman Norris after he had asked
Secretary Weeks about a call made
by Mr.. Ford at the White House De-
cember 8, which was followed by his
Endorsement of Mr.. Coolidge.
"Favor Not for SALE"
Tho President, pointing out that
his message had been placed in the
hands of the newspapers five days
prior to Mr.. Ford's call, not only
reiterated his stand with reference
to the properties and denied the pur-
ported quotations in the Miller tele-
gram, but expressed the belief that
the manufacturers favor" was not
for sale
Statement of President.
The Presidents statement in full fol-
lows:
My position on Muscle Shoals is fully
stated in my message to the Congress
delivered December 6, where / said: The
government is undertaking to develop a
great er-power project known as
lTt,.-, J., 1,
ed many million dollars. The work is
stu going on. Subject to the right to
fetake In time of war, | recommend
that this property, with a location for
auxiliary plants and rights of way, be
sold. This would end the present bur-
den Of expense and should return to
the Treasury the largest price possible
10 "ecure.
While the price is an important
clement, there is another considera-
ton even more compelling, the agri-
culture of the nation needs a greater
supply and lower cost of fertilizer.
This is now imported in large guam
titles. The best information l can
secure indicates that present methods
of power production would not be
able proftably TO meet the price at
which these imports can be sold To
obtain supply from this water power
would acquire long and costly ex-
perlmentat1on TO perfect a process
pose would fail completely. 1t seems
desirable, therefore, in order to pro-
tect and promote the public welfare,
10 have adequate covenant that such
experimentation be made and car
ried on TO success. The advantage of
low-priced nitrate must be secured
for the direct benefit of the farmer
and the Indirect benefit of the public
IN time or peace, and of the govern
lnent in time of war If this main OBJ
h.A nj Itch = 81 -
money received for the property is
not a primary or major consideration.
Urged Joint Committee.
Such solution will involve COM
piicated negotiations, and there is no
authority for that purpose. L there
fore recommend that the Congress
appoint a small joint committee to
consider offers, conduct negotiations
and report definite recommenda tons
From the position OF this message
! have never departed. I have never
said | was trying to deliver Muscle
Shoals to Mr.. Ford or to any one else.
| do not think his favor is for sale.
wanted him to have his proposal
fairly considered, just as l wanted
any other proposals fairly considered.
My mind was made up when Mr.. Ford
called on me on December 3. and at
that time my message was already
written and printed and had been sent
to the press for five days. My mes
age went out November %, five days
before Mr.. Ford came to see me. l
expected there would be other bids
and wanted all of them considered on
their merits.
This question ought to be decided
on its merits. l have no other method
of dealing with It. The Congress
should have none"
PinchOt Expresses Views.
Clifford Pinchot Governor of Penn
sylvapia, told the committee today
that Muscle Shoals is the key to the
that it is the second greatest power
plant in the United States.
'In my opinion Muscle Shoals should
be handled not from a power stand
point, but from a social viewpoint
he said. 1t seems to me the ques-
tion is not so much the individual
biz, but the procedure to be followed
We should know exactly what we
want to accomplish. Ford's bid does
not guarantee anything but that it
VIII build up a great Industrial CEN
ter at Muscle Shoals.
1T will hamstring the south, as the
great water power compoSes the key
TO the industrial and agricultural fu-
ture on the whole great southeastern
plain"
opposed to Ford Proposal.
II see no reason in the world why
20 careless a form of contract as the
Ford bid should be accepted" the
governor continued There is no
penalty for forfeiture and no guar
antee Of any sort. L would not ac-
"ept this contract at all, but first
lind out what the company wants.
What possible objection could there
be to making certain that the gov
ernment's interests are protecte ~
Senator Ralston, democrat. In
diana, asked Who on this committees
represents Hen Ford--if he is here
would like to ask him what OH
lection Ford has to amendments to
rhe bid
Senator Caraway, Democrat. Ar
kansas, said he favored an amend
ment to Ford's bid to make non
compliance with the contract a forfeit
ture OF the contract rather than the
privilege TO sue in Alabama courts
right the government already has.
-s