The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-12-22
POWER ISSUES
POSE PROBLEM
FOR CONGRESS
Roosevelt Believed Ready to
Urge Extension of
Experiments.
Herewith is the fifth of a series Of
stories on the Congressional program;
BY LYLE c. WILSON
United Press STAFF CorreSpondent


WASHINGTON, Dec. 22-Social
security and more Federal spend
ing are involved in the electric
power program President Roosevelt
will present to Congress next month.
Whether Federal development Of
power projects will provide more
social security or less for the Ameri-
can people is disputed now. In one
form or another the issue ultimately
will reach the Supreme Court.
Mr.. Roosevelt and majority of
Congress are in general agreement
that power development is a proper
field of Government endeavor. The
Administration program divides
naturally into two parts. First there
is Mr.. RooSevelt'S plan to aid in
dividual cities.
New York Gets Aid
Mayor Fiorello La Guardia of New
York has obtained a promise Of
Federal aid for a municipal light
and power plant which would be
built only if the private utilities
serving New York City refused to
lower rates.
PWA funds have been lent to
many smaller communities DESTROYS
of generating their own electrical
power. These ALLEGATIONS probably
will continue with new funds to be
voted next winter if additional mu-
inequalities want help in establish
ing their own light plants.
The Tennessee Valley project is
the best example of the second
category of Administration power
policies. IVA is executing a CO.
ordinated plan Of power, industrial
development, flood control and So
cial experiment. Its power output
will be sold generally at rates which
will be a yardstick for measuring
the rate structures of privately
owned utilities.
IVA Project Pushed
IVA has cost $25, 1926, 909 so far and
$40 1902 of the spending author
ization remains to carry on the
work.
Some of Mr.. Roosevelt's advisers
believe IVA should prove itself an
other year or two before Govern
ment undertakes elsewhere a river
valley experiment on so large
scale. But there is much New Deal
sentiment for extending the IVA
plan to other river valleys. One of
them is the Columbia River, which
flows south through the state of
Washington and then west to be-
come the Washington Oregon
boundary.
Senator George w. Norris CR.,
Neb) has a comprehensive plan for
the Missouri River. There are other
projects and a possibility that the
Administration may itself offer
general long-term plan for develop
ment of the power, flood control and
related resources Of the country as
whole. Congress would welcome
it.
Grand COuIee Project Cited
A beginning has been made up
stream on the Columbia with the
Grand Coulee Dam. 1t is a power,
irrigation and flood control project
for which PWA has allocated SIS
100000 1t will cost $630O0,0O0 COM
plete. High and low dams we're
proposed.
Mr.. Roosevelt approved the less
expensive low level. New Deal
critics contend Grand Coulee power
will be wasted for lack of a consum-
ing market within transmission dis
lance.
Navigation and power are primary
considerations in the st. Lawrence
seaWay project for which Mr..
Roosevelt will ask Senate approval
in a few weeks. 1t must be exc
cuted through treaty agreement
with Canada. The United States
would bear a S257 1892, 900 share of
the cost Of improving the st. Law
renee, of which New York state
power beneficiary-Would pay 500
100000. The Senate last session re-
fused To ratifV the treaty