Evening star., 1934-10-18
Allen Confers on Plan to
Handle Supply on
Fluid Basis.
CONTRACT AT II CENTS
TENTATIVELY ACCEPTED
Two Cents Reduction Already
in Sight Under Voluntary
Offer From Dairy.

A further slash in the price of milk
sold to the $4,000 families on the
District relief list was discussed today
at a conference In the office Of Com
missioner George E. Allen.
Allen conferred with Frank 9.
Walker, president Of the Maryland
Virginia Milk Producers Association
on q proposal by Mr.. Allen designed
to enable some local dairy to deliver
milk to the relief families at a retail
price OF 81 cents quart. The plan
revolves around q proposal that the
producers agree to sell the so-called
surplus milk at 20 cents a gallon to a
local distributor for the purpose of
mud consumption. The surplus"
class of milk now bought by local
dairies at this price Is used for manu-
featuring purposes. After the con-
ference Mr.. Allen said no agreement
mad been reached but the discussions
would continue.
This turn in the long controversy
over milk prices here, Immediately
started speculation as to what effect
such plan would have on the price
OF milk charged the general con-
sumer, If the proposal Is approved
and placed into operation.
11-Cent Offer Made.
Only yesterday, officials of the
Embassy Dairy offered to sell milk
to the $4,000 relief families at a price
off II cents a quart, 2 cents lower
than the prevailing retail price.
District relief officials acted prompt
ly today to place this plan in opera
ton, unless some new and better
| price is offered for milk for the re-
lief families. The l1-cent price offered
by the Embassy Dairy Is contingent
upon the District providing for the
dairy concern a certified list of the
families on the relief. this to prevent
others from taking advantage Of the
1 dairy's offer for the poor.
Meanwhile, Chestnut Farms-Chevy
! Chase Dairy announced that for sew
eral months they have been selling
milk at II cents q quart to approx
imately 500 relief families whose names
they obtained from the emergency
relief. Relief officials explained that
such sales were made under contracts
that provided for only about 1000
families all told. Payment for this
milk has been guaranteed by the relief
agency.
Under the plan offered by the En-
bassy Dairy, according to Miss Hill,
the entire %, goo families will get milk
at the same retail price and there is
no contract whatever guaranteeing
payment. Instead, the relief families
will receive their cash allowances and
buy directly from the Embassy Dairy
after their names have been certified
to the dairy company.
Miss Hill ordered speed in the prep
aration of a certified list of those on
relief to be used by the dairy as
guide as to customers who are en-
titled to the reduction in the price OF
milk. Preparation of the list may
require a day or two.
Under the contract plan, also, GER
tain designated stores were supplied
with 11-cent milk for relief families,
but the supply was extremely limited.
At the District Building it was said
when Elwood Seal proposed his plan
to buy surplus milk, it was his idea to
make milk available at about 8 or
cents.
Secret Conference Held.
A. L. Thompson, head Of Thomp-
sons Dairy, an independent concern
called at Commissioner Aliens Office
at 10 O'Clock this morning. Both
Thompson and Commissioner Allen
declined to reveal what was discussed
but it was understood the dairy off,
cial wanted to learn first hand what
was the objective Of the Commis-
; Sioner.
Milk produced by farmers Of this
region now is separated into two
classes, although the milk is Of the
same quality. The dairies buy certain
quantities of milk from each farmer
at basic" price of 26 cents q gal
lon, on top of which there are pre-
miums of az or cents gallon. Thi'
class of milk is used here for fluid
consumption. The remainder of the
milk purchased is called surplus" fol-
which the farmers receive 16 cents Q
gallon.
Commissioner Allen plans to confer
, soon with w. Gwynn Gardiner, prom.
inent Washington attorney, and a
; milk producer, who wrote to the city
head last week announcing that plans
were under way for formation of an
. independent producers association
with the objective of selling milk
retail here at 10 cents O quart,