Evening star., 1942-01-17
Production
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| Production
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partment had placed contracts with
the industry for $500 900, 900 in
military supplies since the Pearl
Harbor attack December 7.
o. p. M. Dismemberment Seen.
Ofhcials said Mr.. Knudsen's old
Office in o. P. M. might not be
filled at all and eventual dismem-
berment of that agency appeared
likely. If new director Is named
by Mr.. Nelson, it was said, the
agency he will direct will be vastly
restricted in its operations.
Mr.. Nelson still has not deter
mined the final framework for the
new o. P. M. Sources close to his
Office said, however, that it was
highly possible that o. P. MS
present Production, Contract Dis
tribution and Purchases Divisions
would be placed under the Joint
Army Navy Munitions Board.
An executive order issued yester-
day afternoon formally establish
ing the War Production Board,
which the Chief Executive had an
nounced Mr.. Nelson would head,
contained no "ifs," butts" or reser-
vations of any kind in placing
supreme production under the chair
man. And, in clinching phrase, It
declared "his decisions shall be
final"
The executive order on the board
was followed within a few hours by
second announcement from the
White House.
1t said the former General Motors
chief was being given entire charge
Of directing and expediting the
gigantic production involved in the
War Departments munitions pro-
gram, with special emphasis on
planes, tanks. guns and ammunition.
President Lauds Knudsen.
Mr.. Roosevelt said of Mr.. Knud-
Bill Knudsen is one of the great
production men of the world and his
acceptance of this new post means
that, he can give his entire time to
tl1e direction and expediting OF pro-
duction, a field In which he has no
equal.
"The country Is already i'm
measurably indebted to Mr.. Knud-
sen and in accepting this assignment
at my request, he Is undertaking
one of the most important tasks of
the war.
He will, of course, continue as a
member of the new War Production
Board"
1t was indicated that much of Mr..
Knudsen's work would be in the
field, where his production genius
could best make itself felt. The
White House said he and his staff
would visit the great arsenals and
munitions factories with the object
of helping them constantly to i'm
prove and speed up their lines Of
production"
AS a member of the War Produc-
ton Board and. in his War De-
partment post, Mr.. Knudsen will be
under the general supervision of Mr..
Nelson.
All Federal Agencies Must Obey.
The vast grant of authority to Mr..
Nelson directed that all Federal de-
partments establishments and agen-
cies shall comply with the policies,
plans. methods and procedures in
respect to war procurement and pro-
duction as determined by the chair
man."
Thus, the War and Navy Depart
ments will be subordinate to Mr..
Nelson insofar as procurement Of
weapons is concerned.
Furthermore, the President gave
his war production chief authority
even to rule on the specifications of
those weapons, and to control the
construction and financing of new
plants and conversion of old ones to
produce them.
Many of the powers turned over
to Mr.. Nelson heretofore have been
scattered among various agencies
responsible to no one except the
President.
For instance, a large part of new
plant construction has been carried
out by the Defense Plants Corp.
under Jesse Jones, Federal loan
administrator and Secretary Of
Commerce. At the same time the
Army and Navy have built others.
Nelson Can Make Any Changes.
Presumably, the various agencies
will continue, for the time being
at least, the work they have been
doing.
However, Mr. Nelson has full
authority to make any changes he
deems necessary in the present set
up. The Presidents executive order
said the chairman may exercise the
powers, authority and discretion
conferred upon him by this order
through such officials or agencies
and in such a manner as he may
determine; and his decisions shall
be final"
Mr.. Nelson declined to discuss his
plans, but said he would have a
press conference Monday.
Mr.. Nelson resigned yesterday as
executive vice president of Sears |
Roebuck, surrendering $70,00O-a-
year income. Asked what his pay |
would be in his new job here, Mr.. |
Nelson was stumped.
II forgot to ask" he confessed.
At the White House officials said |
they presumed he would draw about |
$4,000 year.
Undersecretary Patterson's state
ment on auto production said work |
already has been started on many |
of the orders placed.
In addition to the initial sum of |
So, 500 900 900, large additional orders
have been placed with subcon-
tractors and with automotive ac-
cessory manufacturers.
The bulk of the orders cover I!