The Ypsilanti daily press. (Ypsilanti, Mich.) 1928-1962, 1944-01-15
Michigan in
Washington
BY Esther Van Wagner ruHy

Senator Homer Ferguson looks
at the three burning issues before
Congress-taxes, subsidies, and sol
diers' voting-with a full realiza
ton they are the kind that makes
or breaks freshmen senators. He's
made up his mind irrevocably on
only one-soldiers' voting-but his
preyoting thoughts on the other
two point up some OF the contro-
versial aspects that confront the
men in Congress.
Always the lawyer, Ferguson's
concern with setting up federal
machinery to facilitate soldiers vot-
ing is largely on the constitutional
~ OF such legislation. As a member
OF the elections committee, he has
gone on record that the main con-
stitutional requirements are fulfill
ed-namely. that secrecy and the
intent OF the voter is assured.
When the Senate reconslders the
question. he will no doubt go along
again with Senator Lucas OF I'LL
nois, who is bringing revised pro-
posal.
As to taxes, he favors the gen
eral principle OF renegotiation Of
war contracts to avoid undue profits
but says so far renegotiation has
been terribly administered" And
too many bad" contractors in esti-
mating costs depended on renego-
tiation to rescue them.
The senator cited the excessive
profits in the tool industry in De-
troit as an example where without
renegotiation a scandal would re-
suit.
Some merit Is seen in an 80 per
cent tax on excess profits with
the remaining 20 per cent put IN
special government bonds redeem
able at a specified postwar date
and for only some such purpose as
financing the reversion to private
industry. Industry, both manage
ment and labor has a right to pro-
eide an umbrella against some
rainy day, recognizing that CONVEX
sion is not so simple in reverse.
When the customer is Uncle Sam
he will pay before he receives the
goods, but the civilian will not pay
for his refrigerator" until he can
have it delivered,
In a larger tax bill, the senator
sees perhaps an unfair burden on
the fixed income group Chose who
haven't benefited by war wages
or profits) because their taxes will
be boosted 1917 per cent anyway as
we 60 on a current basis and that's
about all they can manage.
With all these things in mind
the senator doesn't know how he
will vote but certainly he
leans toward some curb on war
profiteers.
Senator Ferguson is allergic to
subsidies as such. He calls
them "a bad thing-not economic
ally sound. Yet, he recognizes, in
wartime subsidies become a handy
weapon to get the materials of war
For example. in normal times
some copper mines IN the Upper
Peninsula are not worth operating
But today when the war demands
for copper are high, ii is necessary
to open these mines with the gov
eminent paying three cent sub
sidy per pound to sustain II cent
price.
Subsidies will not be a cure-all
for initiation, We must also have
real price fxing to hold the line,
and what subsidies are granted
should be flexible and removed as
soon as possible"
Wages should keep pace with liy-
ing costs, maintains the senator,
but adds that's difficult when
prices and labor are under dif
ferent control"
To Ferguson, any subsidy what
ever must be supplemental to price
fixing. the main block TO excess
spending.
WI men III tht MlNll4 san uOlCbd-
ton came back few pounds
more prosperous" looking. Both
could use a few extra or tact
wouldn't allow a mention OF such
a personal fact.
One is the lcng and lean George
A. Londero who has always looked
like a congressman should and
seldom does. He still does look
like the model legislator-only
maybe more iovial and less dignih.
ed than his 1943 version
John Dlngell's new five pounds
were acquired in Florida. The
Detroit congressman hasn't been
we'll and he thoroughly enjoyed the
happy surprise his tan and slight
gain in weight gave his worried
friends.