Evening star., 1934-09-23
NEW CONGRESS EXPECTED
TO EXPAND FEDERAL RULE
Stage Is Being Set by Administration to
Enlarge Powers in January, De-
clares Commentator.

portation, flood control reclamation
and the social changes which 1t is
planned shall accompany the devel-
opment of the great river valleys
such as the Mississippi, the Missouri
and the Columbia
In some respects the proposed de-
velopment of the great rivers and
river valleys comprehends a larger
reaching out of the long hand Of
Federal authority than anything on
the New Deal program. At least, 1t
has stirred the alarm of great business
and industrial interests which fear
they will be adversely affected.
N. r. A. Believed Permanent.
Although the administrators new
program for the N. r. A. is still being
weighed by the President, it has been
made known that no matter what
the details Of the reorganization. no
matter whether Gen. Hugh S. johnson
occupies one command or another
or none at all. it is the purpose to
go forward with certain basic phases
of this establishment. An effort Is
to be made to build up permanent
law to continue large degree OF
control over industry and business.
Important as the recovery act is as
a piece of emergency legislation which
is to expire next June l6, the per-
manent legislation which the ad.
ministration will try to get in its
place will be of much more moment.
And though there has been no end
Of talk about the emergency system
of control over business and industry,
as worked out by Gen. johnson,
giving way to industrial Self-govern.
ment, there is no indication that the
administration has in mind anything
of the sort. On the contrary, the
whole tendency Of the new order is
toward more and more control over
industrial, business and agricultural
affairs from Washington, and the
administration program as eventually
laid before the incoming Congress
will make this still more evident.
A. A. A. to Ask More Power.
The high command in the A. A. A.
has been working hard for months
trying to convince the country Of the
merits of this agency and the impera-
tive need not only that it continues,
but that its authority be enlarged.
Enlargement of its power will be
sought again in the next session.
Though the amendments sought last
session were blocked they will have a
substantial chance of enactment this
Winter.
How the wave of protest from the
South against the Bankhead cotton
control act will affect the expansion
of power desired by the A. A. A. Is
not yet clear. In the face of much
dissatisfaction with the operations of
the A. A. A., however, the chances
are that more power will be given to it
rather than that it will be weakened.
The administrations transportation
program has yet to be clearly defined.
That it will provide for enlargement
of Federal power is taken for granted.
For months there has been talk in
Washington that the Government
would attempt before long to take over
the railroads. While that movement
is not expected to get administration
sanction at this time, there is no doubt
that this is what leading advisers of
the President have in mind as the
ultimate solution of the transporta-
ton question. Observers generally
anticipate drive for legislation this
Winter which will give to the Federal
Government sweeping control over all
forms of transportation, including mo-
tor trucks and busses and every form
OF competition with the railways.
Banking Laws Predicted.
Repeatedly it has been suggested
that legislation would be attempted
this Winter to establish a great
Government-control central bank,
which would in fact be the head and
front of a Government banking sys-
tenn for the country. This presup-
poses the end of private banking in
the United States. 1t would mean,
of course, the end Of the Federal Re-
serve System. At this time it is not
believed here that the President is
ready to ask that this idea be included
in the New Deal.
Nevertheless, the movement to sup
plant private banking with Govern
ment banking has much support
among the thinkers of the new order.
1t has much support in Congress.
The subject will be up in the coming
session and will come in for a degree
of serious consideration which would
have been unbelievable a few years
ago, and especially before the depres-
sion.
These are only parts of the move
ment for aggrandizing Federal power.
The forces of augmented Federal au-
thority are marching ahead and, in
no respect. showing signs of retreat.
In the last three weeks much has
been heard Of expansion of Govern
ment authority in a comparatively
new field. This is for Government
monopoly Of the making of all NUM-
tions and war material. The idea is
being seriously advanced by Senators
connected with the munitions inves-
tigation. The proposals that the
Government go into the business of
munitions and war material manu-
facture. including construction of all
warships, serve to illustrate the
lengths to which in responsible quar-
tiers 1t is urged that Government step
into business heretofore deemed
largely private.
(Copyright. 1934)
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