Evening star., 1926-05-15
CONTRACTORS PRESSING FIGHT
ON GOVERNMENT COMPETITION
Day Labor Systems Declared Wasteful of Public
Funds-Move to End 1t Begins
in Congress-.
in Congress-.

! ibie bidder. The other Is by buying
materials and hiring workmen and
doing II directly by what is known as
the day labor method.
Either OF these systems is open for
instance. To the private individual
who concludes that he will put up for
himself a l0-room house to cost
around SEQ 900. Such an individual In
either case would have an architect
design his house. laying down the
plan and specifying just the ma
terials and workmanship that were
TO go into II. If he We're then to build
this house under the contract system.
he would advertise for bids. Stlpulat-
ing all the conditions. The builders
of his community would respond and
name figures al which they would
a gree to execute the job. Normally 1t
would go to the lowest bidder. He
would post a bond guaranteeing to
complete the job for the amount and
as specified in the time named.
Examples in Washington.
"If. on the Other hand. this man
We're to build on the day-labor sys-
tenn. he would merely instruct the
architect to buy materials and employ
workmen to complete the job. He
would have no guaranty as to cost,
time of completion, or faithful COM
pliance with the plans and speciflca-
tions.
There are examples of structures
built by the Government here in
Washington under each of the two
alternatives. The Government, some
wears ago. wanted to construct Dis
trict Building to house the municipa
Government 1t had designs prepared
Of
decided to build it by the contract
system It advertised for bids. &C.
cepted the lowest. and let a contract
for a little less than $2,000,000 AS
the contractor gave bond to COM
p!ete the building in accordanc with
The contract the amount to be eX-
nended was known before the work
began.
"A little later the Government de
cided that II would throw bridge
across the Potomac at Georgetown.
The plans presumably We're made and
the Army engineers said the struc-
ture would cost $1,000, 900. The Gov
ernment permitted these engineers
to employ public forces. day labor, on
the lob. to buy materials, and go
ahead. When the task was virtually
completed in 1928, six years had
elapsed and the expense had amount
ed TO $3.50 600"
Reasons for Private Work.
The Chamber of Commerce OF the
United States favorS the erection OF
public buildings by private contract
ors because they feel that the work
is under the direction and inspection
of the contractor, who Is under bonds
as to time and cost of completion, be-
cause these men are specialists, be
cause the contract system Is based
IN well established economic princi-
pies. in which competition, reputa'
tion and skill are involved, as well as
the life of private enterprise.
The day.labor system is condemned
because often public officials are ap-
pointed or politically chosen for office
for other reasons than their ability as
engineers and come actively in charge
of construction. Political power ana
ambition play a prominent parti 'ne
designing department, inspection de-
partment and construction depart
n,ents are many times all one; pay
rolls under Government operation ne
come excessive, and many other rea-
sons are advanced.
Deficiency appropriations on GOV
ernment projects under the day-laoof
system are cited by the contractors,
who say they have to stand the loss
after accepting bid that is too low.
Outside of the general aversion or
Government in business. the general
contractors. the business men and
many private individuals feel that the
entry OF Federal and State govern
ments into the building industry TO
the exclusion of the private con-
ira ctors and under the day-labor sys'
ten, is full Of all sorts Of dangerous.
costly and inefficient results which
hay say they can amply prove by
ac;lial projects undertaken.