Evening star., 1942-05-05


REPRESENTATIVE
supervising subcontracts, providing
contracts for small concerns, certi-
flying small firms to procurement
divisions and studying means by
which these small concerns can OBJ
tain the essential materials they
need.
Empowered to Make Loans.
Second, the bill provides for Gre
alton of the Smaller War Plants
Corp. within the War Production
Board. Mr.. Nelson would be chair
man of this agency, too. Provided,
with 500, ,O00, 900 revolving fund
with which to get started, the
corporation will be empowered to
make loans direct to small plants
to finance their conversion to war
production or essential civilian sup
plies and then to act as a prime
contractor to procurement agencies
and let subcontracts to the small
plants.
The agency will be authorized to
furnish facilities, rehabilitate plants,
furnish the contracts and provide
needed finances.
This, IN brief, covers the pur-
pose of this measure and its ma
chinery. 1t will, its sponsors are
convinced, eliminate past bars to
full mobilization of our production
might. In simplifying procedures,
Congress has had to oppose some
Government ofncials, who sought to
have us adopt some other plan. But
MIR. Nelson and ofiicials Of his or
ganization have indicated that this
method will receive the fullest and
fairest consideration there. Mr..
Nelson is willing to take the re-
sponsibility for that and he will
have full authority.
The measure will centralize au.
thority while gaining the benefit o1
the War Production Boards exper-
fenced technicians in every field and
its contract distribution branches
located in every section Of the
country. The small business men
will have to deal with only one
Government department-and that
q friendly organization, anxious te
help him in every possible way
Under the old system, the small
manufacturer had to deal with sew.
eral separate departments and, after
he had made the exhausting rounds
too often discovered that he could
not get Government loan because
he did not have Government con.
tract, and that he couldn't get q
Government contract because hi
couldn't get a loan to finance his
converted operations. He wa.
caught in a hopeless circle.
Remove Fears of Collapse.
But this bill is designed not only
to help the small plants that car
be converted to war production. II
will be used to assist, wherever
necessary, all those concerns en-.
gagged in production or distribution
Of food. clothing and other articles
or providing services, essential II
the great civilian army that i.
backing up the fighting forces.
Thus, we hope it will be a rea
boom to many thousands of plant.
not adaptable to manufacture ol
munitions. In turn, the continued
steady employment of these many
little industries will feed and sustain
thousands Of thousands of small
businesses engaged in supplying the
plants and in distributing finished
goods Of supplying and servicint
their employees
The plan so devised should, il
efficiently and sympatheticauy ad.
ministered, provide a stimulus thai
will be felt by nearly all the 5000 ,00(
small business men and women ol
the country and remove for the
! duration their fears of failure anc
collapse. The plan can prove a.
great a bolster for the nationa
morale as the announcement tha,
Gen. Macarthur had been safely
evacuated from Bataan to lead the
combined forces of the United Ma.
tions against Japan in the South
Pacific.
| 1t will not be good news fol
Adolph Schickelgruber, who know.
from personal experience in Ger.
many the increase in potential pro.
ductlon from such decentralization
even though his slaves of the Reich
! and conquered nations do not have
the inspirational incentive of free
men.
Extra Cost Justified.
Even such comprehensive plar
as outlined here cannot hope tt
sustain successfully every small bus.
ness dislocated by a sudden, ruthles.
change to full war economy. NJ
single plan could do that. But tn,
business men and women in thi.
group, which, we sincerely hope
will be but a fraction of today.
going concerns, are not to be for.
gotten in the overall planning. L
would sadden our ultimate victory
indeed, If in overthrowing our en-.
emies. we found that there has
been any destruction of any part Of
our system of free enterprise, which
We might have saved.
If it should cost more to obtain
our war production through small
plants the extra cost viii i" - -.
fed, since it can be obtained more
quickly this way. Speed is eo-en.
tial in our all-out war effort anc
| is much more important thar
money. 1t is my belief that thu
public interest would be promoted
if the Government adopted q policy
Of getting all supplies and service!
locally wherever possible, even il
the costs were as much as 10 pei
cent more.
The small business men and womel
Of America are essential 10 on