The Birmingham age-herald., 1924-05-09
FORDCOMMITTEE,
 FAILS TO LIMIT
 HEARINGS
Substitute Proposal For Property Presented By
 Union Carbide Go.

WASHINGTON, May S.-The Sen. ate agriculture committee today at an executive session failed to determine on date for closing the hearings on bids for Muscle Shoals.
 Senator Harrison, democrat, Mis- sissippi, who requested that the hearings 't be terminated to make certain action on Ford's proposal before Congress ad- journs, said an effort will be made later to fix a time for ending the hear ings.
 ' WASHINGTON, May S.-The Union Carbide compnay's substitute proposal i. for operating Muscle Shoals under a 50-year lease was presented to the Sen ate agriculture committee today by s. Greasy Morrison of New York, repre- senting the company.
 l, Morrison and the Union Carbide com pany was willing to abide by the orig inal offer submitted last year, but pre- scented the new offer in case the com mittee did not accept the first. Under the first bid the company would lease for fifty years the nitrate plants and Waco Quarry and purchase annually at the going rates" 50,OO0 [ horsepower produced at Muscle Shoals ' by the government. This would net the government approximately $82, ,50O, 900 during the 50 year lease, Morrison said.
 The company would agree to manu- saeture fertilizer at the plants.
 The new bid provides for leasing all Che property for 90 years with a min imum guarantee of $120, 900 during She life of the lease. The company would agree to manufacture 10000 tons annually of fixed nitrogen in the form of "urea," new fertilizer.
 Morrison said his company delayed submitting the new bid pending in- vestigations to determine what could be accomplished at Muscle Shoals.
 The nitrogen processes in this coun- ary are in a state of flux," he said
 In order to make certain that the processes contemplated at Muscle ehoals would not become obsolete, he said provision was made in the bid to shange the process at any time,
 Morrison said "urea," a discovery of Swede, was an entirely new process and that the company held an option en the patent. The Union Carbide com Yany has no connection, "either direct or indirect. with any other bidder for biuscie Shoals, he said.
 There -are few persons in the Uni ved states who have both the experi- wlce and the capital to undertake such proposal involving the payment of ever $100,000,000 in fifty years," he ndded
 Answering Chairman Norris, Morri- son said under the first bid all power developed would be left to the govern Rtent, but under the new bid the com Kany would control the power and dis tribute it at reasonable rates, under &le supervision of the federal pqwer
 He said the cheap power at Muscle ! Shoals should not be used to manufac- alre commodity which could be pro- duced more economically by some pro- cess other than from hydroelectric pow es-
 Comparing the carbide bid with Tords, he said, in the first six years of operation, Ford would pay a total of $2,93T,512 and have title ins fee 6mple to all of the property except ehe dams. The carbide company, he @lid, would pay in the first six years and $5,490,060 under the old bid and have no title to the property.