Evening star., 1940-03-12

and settlement made for $7,948.
Emphasizing that they serve
without compensation, the trustees
who are underofficials of the Cover
ernment. say that Mr.. Elliott i'm
puteS" to them IAN attempt to sac
rifice the interest of the Govern
ment roE the benefit OF the associa-
tion,' and that this "castigation of
the character and motives of the
trustees is rendered all the more
reprehensible because founded upon
q misconcepion of the legal and ac-
counting principles involved
Opposes Change in Set-up.
The trustees also take vigorous
exception to Mr.. Elliott's recon-
mendation that "the Federal Works
Administrator return to the wholly
unsatisfactory method of operating
concessions which prevailed prior to
the organization of the Welfare and
Recreational Association, or that the
Government assume the obligation
directly"
Citing an example of what this
might entail, the report points to
the unsatisfactory operation of the
old Interior cafeteria by private
concessionaires from 1916 to 1927,
and says the association assumed
the debts of 'defaulting" operator
when it took over in 1927, at time
when creditors were calling on Off
cials of the Interior Department to
assume responsibility
THE acting controller general rec
ommends that the concessions be
awarded to private interests" the
report continues. TINS care-free
recommendation on his part is in
keeping with the @hit-and-miss
statements made throughout his let
ter. OF course, there would be
countless bids on the large cafeterias,
such as Commerce, Interior, Labor,
ETC., but who would want the Tenth
and U streets cafeteria, Potomac Park
cafteria, War Annex cafeteria, Apex
cafteria with its present restric-
tions as to hours of service), shops
lunch, the tennis courts, swimming
pools and Pierce Mill?"
Has Profited Government.
From the time of the incorpora-
ton of the Welfare Association to
the present time" the report con-
tinues, "the Government has ap-
propriated not penny for it's sup
port and has received from the
association Ito the end of the year
1889 cash in the amount OF S316,-
621.03. improvements in Federal
buildings and parks totalling over
100000. and in addition, other ben
efits which cannot be definitely
evaluated. 1t would be difficult to
get an appropriation through Con-
gress for the Government to take
over the activities of the associa-
ton and assume from then on the
liabilities of that business at a time
when the effort is being made to
reduce, rather than increase, Gov
ernment expenditures.
From the time of it's inception
the Welfare and Recreational Asso-
citation has followed the principle
that its purpose was to serve. 1t
has assumed activities turned over
to it for management when it we'll
knew they would be operated at a
loss"
In this connection, the association
points to the criticism by Mr.. Ell
lott of the operation of tennis
courts and swimming pools at a
loss, but adds that no mention was
made ''of the saving which resulted
to the District taxpayers through
the maintenance of the tennis
courts and swimming pools with
monies taken in by its activities, nor
is mention made of the hundreds of
thousands of free sWims made avail
able in the swimming pools to both
children and adults without cost to
the taxpayers.
G. A. o. Approved Vouchers.
In dealing with the legality of the
contract between the Government
and the association under which
space is occupied on Federal prop
erty, the trustees contend that the
Specific authority" whose lack
was questioned by Mr.. Elliott is un-
necessary as the general authority
for leasing applies. and has been so
recognized by Attorney Generals
opinions for SO years.
The report also defends pay
ments of approximately $196,000
to welfare societies" throughout
Government agencies which Mr.
Elliott contended had deprived the
Government of its rightful share
of the profits and adds that 76O
vouchers covering these disburse-
ments had been approved without
question by the General Account
ing Office since July l, 1929.
The report went to the admins
traitor of the Federal Works Agency
under whom the public buildings
come, and the Secretary of the
Interior, with whom there is a
contractural relationship covering
the units in the parks. 1t is the
second blast produced by the FL
lott report, Secretary of Interior
Ickes having sharply criticized the
acting controller general also.