The Birmingham age-herald., 1924-03-07
AMENDMENTS PROPOSED

be unavoidable. We have hte strength to put the Ford offer across"
 AMENDMENTS PROPOSED House Debate Ends For Day In
 Consideration Of Bills Limitations
 WASHINGTON, March 6.-House debate on Henry Ford's offer for Mus cle Shoals ended at 8 :35 p. m. today without vote on any amendments.
 The Mckenzie bill, which would au' thorize acceptance of the bid, then was taken up under the five-minute rule with amendments in order.
 l The first amendment was offered by Representative Burton, republican Ohio, who sought to make the corpora. tion to be organized responsible for the execution of the contract, rather than Henry Ford.
 Before a vote could be taken Repre-. sentative Begg, republican, Ohio, shot in another amendment which would provide for the cancellation of the en l tire contract if for three successive years MT. Ford should fail to produce at least 10000 tons of fertilizer an nually.
 Would Limit Lease
 MT. Burton withdrew his amendment and then offered another to place Fora under the federal waterpower act and to limit his lease to 50 instead of 100 years.
 Provision would be made in another amendment for the payment of 4 per cent interest on all the government properties involved in hydro develop ment and a stipulation would be made that the nitrate plants and adjuncts should be leased, to him for 50 years al an annual rental of $1 instead of being sold to him.
 These amendments were drawn by O. c. Merrill, executive secretary of the federal power commission, at the re- quest of Mir. Hull and other opponents of the Ford bill. Mir. Merrill also suggested that if the United \ States is to be reimbursed for it's annual lia- bilities on account of maintenance and depreciation as we'll as interest, sec tions of the Mckenzie bill which pro- vide for only partial maintenance by the company of the dams, powerhouse and equipment should be amended to place the responsibility for maintenance wholly on the company.
 The recommendation also was made by the Merrill if the government is to be relieved of the cost of making re- newals and replacements not covered by the obligations which would be as- sumed by Ford under the bill it would be advisable to make the requirements that the Ford company maintain sink ing fund out of payments which would be made by it.
 Mir. Merrill recommended inclusion in the bill of this section to cover this point.
 Wants Replacement Func
 For the purpose of enabling the gov ernment to retire and, replace worn out, inadequate, or obsolete equipment or structures hot renewed under the provision of sections and 8, 'the com pany shall establish and maintain a sinking fund and shall at the beginning of the fourth year of the lease period and semi-annually thereafter for the remaining term of the lease set aside in such fund the sum of 3,505 and at the beginning of tho seventh year of the lease period and semi-annually thereafter, an additional sum of $19,- 86S, and shall also pay CT cause to be paid into said fund at each half yearly period an amount equal to two per cent of the balance in said fund at said periods. No expenditures from said fund shall be made except under the au- thority or at the direction of the gov ernment and the balance remaining in said fund at the termination of the lease period shall become the property of and shall be paid by the govern ment."
 In a memorandum submitted to Mir. Hull and his colleagues, MT. Merrill declares: "The preceding changes if adopted would bring the bill within reasonable conformity with the federal waterpower act as to it's general pro- visions and to approximate reimburse ment of the Unted States for the ex- penditures arising from i..; investment in the dams and power houses at Muscle oals. It would, however, seem de- sirable to require the distribution and sale of surplus energy available at Muscle Shoals. If so the following new section is suggested as language ade- quate to do so: The company shall operate the said powerhouse, equipment and any steam power plants now form ing part of the properties named in section Il hereof, or which may here after, be constructed in connection herewith, under the act or otherwise so as to produce the fullest practicable output of usable or Salable electric energy and shall either itself transit, distribute and sell all surplus energy not used by it in the manufacture of nitrogen or other commercial fertilizers, or enter into contracts for such trans mission, distribution and sale. Such transmission, distribution and sale and contracts therefore shall be subject to the regulation and control of the prop erly constituted authorities of the state or states in which such transmission, distribution or sale is effected or of the federal power commission with the re- spective Jurisdiction of each as pro- vided by the federal waterpower net.
 Ask Accounts Check
 "The company shall also establish and maintain for its entire operation, such system of accounts as may be pre- scribed by said commission and said commission shall have with respect to the accounts, books and records of the company the same authority which it has with respect to the accounts, books and records of, licenses under the act"
 Representative Graham, republican, Illinois, made a vigorous plea for put ting proper safeguards in any contracts that turned over Muscle Shoals,
 II have not the time for general dis cussion' he said. "I have tried to ap- proach this subject from proper stand point without prejudice in my mind. The first question is shall Congress authorize the secretary to sell?-therefore it re- solved itself into wise legislation and economies. Unless this particular con- tract is modified it is not wise. It will do the farmers harm unless changed.
 Not Giving Enough
 t.Ford dosn't give enough for what he