Evening star., 1933-06-11
INDUSTRIAL BILL HI
| HELD UP IN SENATE
Measure to Reach White
House Early This Week,
Harrison Predicts.
~ the Associated Press.

BY the Associated Press.
The administrators industrial con-
trol-public works bill, agreed upon in
conference and approved by the House,
was caught in the jam of unfinished
business as Congress adjournment plans
were suddenly abandoned in the Senate
late last night.
The conference report, adjusting the
nearly 100 differences between the two
houses as result of amendments added
by the Senate, was adopted by the
House early in the evening, but a Re-
publican progressive revolt against sine
die adjournment without sufficient time
TO consider a last-minute governmental
reorganization executive order pre-
vented final action until this week.
Senate Approval Forecast.
Senator Borah, Republican, of Idaho,
who protested the brief time given for
consideration of the reorganization or
der, was also concerned over the modi-
flcation OF his amendment to the in
dustrial bill to prevent combinations in
restraint OF trade, price fixing and other
m0nopohStic practices in effecting trade
practice agreements among industries.
The conferees struck out the ban
against combinations in restraint of
trade and price fixing, contending these
limitations might prevent trade prac-
tlce agreements and defeat the pur-
poses Of the bill
Despite Borahs opposition to adop-
tion of the conference report. Chair
man Harrison of the Finance Com
mlttee, predicted the Senate would ap-
prove 1t and send it to the White House
early this week
The conferees had labored nine hours
before reaching an agreement.
First Accepted Tax Plan.
The coatless conferees first accepted
tne senate tax program to finance the
S3,5oo,OOO, 600 public works bond issue,
under which income tax increases pro-
vided by the House were eliminated.
Then they pushed to an agreement
removing administration objections to
the Borah anti-rnonopoly amendment
and placed limitations on the La Foil
ette income tax return publicity pro-
: vision
g. The Clark amendment. which would
have made all outstanding Federal
State and local securities taxable, in
cluding those now tax-exempt. was
stricken out on grounds of unconstitu-
q tionality.
The amendment by Senator Borah.
s Republican, of Idaho, would have pro-
hibited industries from agreeing upon
codes OF fair competition that involved
combinations in restraint of trade.
price-hxing or other monopolitistic
practices. This was modified by re-
moval of trade restraint and price-fix-
ing bans.
Administration leaders upheld the
change on the ground the original
amendment placed too severe limita-
tions on the trade practice agreements.
|: In favor of which the antitrust laws
are to be suspended for two years.
Before Borah's amendment was adopt
ed by the Senate two days ago, the
measure already contained anti-monop-
oily provisions but the added bar
Senators to be Objectionable in view of
. the purpose of the bill to raise prices
and wages through relaxation Of the
antitrust laws.
The La Toilette amendment for full
publicity of income tax returns was
changed to permit the President to de-
termine the extent of the publication In
rules and regulations.
Senate's Tax Program.
The Senate's tax program calls for:
One-tenth of l per cent tax on the
net worth of corporations, the value to
be fixed by the corporations themselves, |
but with an added 5 per cent levy if |
earnings on such valuations exceed 12ia |
per cent.
A fiat per cent tax on corporation |
dividends deducted at the source.
An increase of one-haf a cent in |
the 1-cent gasoline tax.
p Administrative changes to prohibit I!
at,rfTyo4a a,,k
their income any losses on stocks and
bonds held for as long as two years, to
prevent members of partnerships de-
Quoting from income their share in
partnership losses, and prohibiting in
dividuals and corporations carrying over
into the succeeding year stock and pond
losses which exceed the gains in the
taxable year in which they occur
This program is designed to raise
S22O,000 900 in revenue for interest and
sinking fund requirements in connection
with the public works bond issue.
: compromise was reached On the |
epportionment of the S400, ,000, 900 to be |
granted outright to the States for roads. |
giving the more populous States slight /,
concession.
Under the compromise. the money
would be allotted on the basis of seven
eights on existing law and one-eighth
dCcOIQlIg 10 populatlon. Existing law
apportions Federal road funds on the
basis of one-third each for area, pop
ulation and existing road mileage.
All Differences Composed.
. This means population will be given
a percentage consideration somewhere
between the Senate one-third and the
House one-haf basis.
The Senate's oil regulation provision
was accepted, as was the clause author
izing the President. after Tariff Com
mission inquiry, to embargo or limit
imports in event domestic prices and
wages rise to the point where a food
OF imports would be encouraged
The conferees also accepted the Sen
ate amendment providing that not less
than S50,000,000 of the public works
fund shall be spent for national park
forest and Indian reservation roads and
trails.
In all the conferees had composed
Senate and House differences over 95
Senate changes in the bill.