The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1929-03-13
Rapidity OF Department
Changes Has Official
Washington Startled
3 BUREAU CHIEFS DEPos'ED
Senator Walsh Questions PreSi-
dents Right to Interpret
Federal OIL Policy

reaching changes In the policies and
operation Of the interior department
are being effected under the Hoover
administration with q rapidity which
has startled official Washington.
Although DR.. Ray Lyman Wilbur has
been in charge Of the department
only week, new major policy. that
Of the complete conservation Of gov
ernment oil In the ground, has been
adopted and series Of changes made
In administrative officers with sew
eral more to follow W the near fu-
ture.
Joseph M. Dixon, former governor
of Montana, has succeeded E. v. Fin
ney. as chief assistant to the secre-
tary; MIR. Finney has replaced Ernest
o. Patterson 1s solicitor. and three
bureau chiefs are to be deposed as
soon as their successors can be found.
They are Charles H. Burke. In charge
of Indian affairs; Winfield Scott.
commissioner Of pensions, and VIII
liam Spry. commissioner Of the gen.
eral land office, who has been In III
health for months.
LAG VN CVA1SCA V0v4Ou EOIaSys uAo-
closed yesterday by President Hoover
in reply to questions Of newspaper
correspondents. was determined upon
1t conferences between the president
and DR.. Wilbur and seems to have
produced conflicting reactions on cap
itol hill.
Walsh Questions Hoover
Senator Walsh of Montana, Dem
ocrat, whose prosecution Of the naval
oil lease investigations has made an
indelfhle imprint upon congressional
history, has questioned the authority
OF the chief executive to refuse to is
sue permits for further oil prospect
ing on the public domain when con-
gresS in the general leasing act Of
April, 1920. said that leases for oil ex-
poitation In that domain may be is
sued.
On the other hand, Senator Nye Of
North Dakota. chairman Of the public
lands committee, which has conduct
ed the whole series of oil investiga-
tions and of which Senator Walsh Is
q member. has endorsed the prest-'
dents policy, and so has Senator
Borah, Of Idaho, who also halls from
one Of the public land states.
Sees Broader Scope
After q conference today with Pres
ident Hoover, Senator Walsh OF Nom
tana expressed his belief that the
administration oil conservation pol
icy Is much broader in scope than
was assumed upon its disclosure yes
terday at the white house.
The senator said the presidents
program contemplated the granting
Of leases to holders Of oil prospecting
permits only in those cases where the
permittees have made reasonable ex-
penditures in drilling wells.
There are $4,000 permits affecting
the public domain now outstanding
and the percentage Of the holders
who have made such reasonable ex-
pcnditures as contemplated under the
general leasing act Is believed to be
rather small.
Recalls 1920 Act
The policy of the administration,
as Senator Walsh now understands
it, also contemplated no leases Of land
adjacent to that which may be leased
to prospectors who strike oil. The
senator holds that the act Of April,
1920, contemplated the leasing Of sucl,
lands so as to bring about the de-
velopment Of fairly large fields In
each case.
AS q further measure Of conserving
the government oil In the ground. the
administration will grant leases for
the drilling OF offset wells on the pub
lie domain to prevent drainage OF
government oil through wells on ad-
jacent territory.
Court action to test the validity Of
the construction the administration
places on the general leasing act u
expected to Be one development Of
the disclosure Of the presidents con-
servation policy.
Result Hinges on May
Senator Walsh said the outcome
probably would hinie on the mean
CONTINUED on page nine)