Evening star., 1932-08-03
.S1O,O(lD,ODO ASKED
BY KEYSTONE STATE
Finance Corporation Hears
PinChot Plea for Loan.
More to Be Needed.

Pennsylvania has requested an i'm
mediate loan Of s10,o0o,ooo from the
S3o0,oo0,000 unemployment fund of the
Reconstruction Finance Corporation.
Gov. Pinchot appeared before the
directors late yesterday and gave an
account of the needs of his State. He
refused to say how the money would
be spent and asserted that later he
would seek an additional $35 .o0o, ,o0O-
The Reconstruction Corporation or
dered another conference for today on
the railroad situation. For three hours
yesterday its members conferred with
officials of the Interstate Commerce
Commission and rail executives in con-
nectlon with the plan to have the car
riers resume full maintenance and re-
pair work. BY this plan, 1t is hoped to
get thousands of men back to work.
In Rail Conference.
Those comforting on the railroad stu
alton included Interstate Commerce
Commissioners Lewis, Meyer and Ma
hattie and Director Sweet of the Com
missions finance division, Presidents
willard of the Baltimore & Ohio and
Atterbury of the Pennsylvania Rail-
roads; A, J. County, financial vice presi-
dent of the Pennsylvania, and George
M. Shriver, senior vice president of the
Baltimore & Ohio.
President Hoover made maintenance
and repair work on railroads one Of
nine points in his recent program for
enlivening business. The President
took the attitude that the purchase Of
materials and the money paid to the
workmen would go a long way toward
causing business to pick up.
Just what can be worked out in the
conference none would hazard a guess
Nothing definite has been done up Il
the present. The railroads cannot bor-
row money from any source without
the consent of the Interstate Commerce
Commission. The commissioners
present yesterday form the division
that investigates and grants loans.
Recent $27, 100000 Loan.
The Pennsylvania Railroad recently
obtained a loan of S27, 900 from the
corporation to continue the work OF
electrifying its lines between Washing
ton and New York. The Baltimore q
Ohio has received $32, 100000 in loans
to pay maturing obligations and ST.
500, 900 for its subsidiary, the Alton
The corporation last night issued
bulletin signed by Fred G. Croxton, as.
sistant to the directors In charge OF
emergency relief work, making 1t PLAIN
that the corporation has no intention
of lending to any State or municipality
which cannot show a real need:
It emphasized that the board conSio-
cred the intent of the act to be clear
that any loans from the $500, 100000
fund should be mot in lieu Of but
merely supplemental to local and State
governmental funds and private con-
tributions which are available or which
can be made available, and only as a
last resort in case funds from sucn
sources are inadequate"
In making application, Governors win
be required to give a list of municipal
tiles or political subdivisions for which
funds are needed, the total amount
needed, including the cost of admins
tration during the remainder OF the
year. and an estimate Of the amount
available or which can be made avail
able from private contributions, from
State funds and from funds supplied
by national agencies or any other
source.
Statement on Relief.
The corporation will require also n
statement of expenditures for various
types of relief during the first seven
months Of the year from all sources;
the number of families and the num-
Der of homeless or non-family persons
receiving aid. and the estimated mum.
Der for each succeeding month; the
total amount expended for relief, and
the number Of families and the number
of homeless aided in 1881; statement
of any emergency action to provide re-
lief through taxation by each munich
pality or other political subdivision
since January /, borrowing or diversion
from other governmental funds, and
the amount raised through emergency
appeals.
The Governor must alsoS make q
statement Of any local emergency &C.
ton contemplated or which can be
taken before December l.