Evening star., 1944-06-08
NCHA Housinq
Draws Charge
Communism
Smith of Ohio Hits
Federal Activities
At McGehee Heurino
BY DON S. WARREN.

Protracted debate as to whether
Government financing of slum re-
development programs and subsidies
for tenants in low-cost projects con-
stitutes Communism" marked a
hearing today before the McGehee
House Subcommittee studying Wash
ington's slum problems.
It was set of by sharp attack on
the Federal public housing program
by Representative Smith, Republi-
can, of Ohio, an opponent of Gov
ernment activities in the housing
field, and brought defense of Gov
ernment participation from Repre-
sentative Baldwin, Republican, of
New York, who, though a supporter
of private enterprise, contended this
was field where the Government
must lend aid.
Mr.. Smith, in the course of a de-
nunclation of the costs to the tax
payers of five projects of the Ma
tional Capital Housing Authority,
declared: Where the state owns the
homes 1t owns the families living in
them"
New York Action Cited.
Mr.. Baldwin, who played part in
the amendment of the New York
State constitution permitting public
housing operations, asked: do you
think Republican-controlled State
Legislature that approved this
amendment should be considered
Communistic?' and Mr.. Smith re-
piled, Eyes, If they approved that
amendment.
Mr.. Baldwin argued that private
builders themselves admit there is
a field in low-rental housing where
low-income families cannot afford
to pay the lowest rents possible un-
der proflt-making system and
that here there was a clear need for
Government assistance.
He added he felt it would be
more reprehensible" to have rent
"doles" passed out to such tenants
than to have the Government grant
subsidies for construction and oper-
alton of the public housing projects.
Rent Dole AssaiIed.
"The rent DOLE" Mr.. Baldwin said.
lis more Communistic than the
other plan"
Replying to some of his argu-
ments, Mr.. Smith quoted from Karl
Marx, early Communist advocate.
on housing, and Mr.. Baldwin re-
marked with smile, Marx was
not Republican"
Mr.. Smith said he was not so
much afraid of persons who label
themselves as Communists as he
was OF the "insinuation" of their
programs into other groups.
Representative Russell, Democrat.
or Texas, agreed that If the State
has ownership or part ownership of
housing, then the program was
"Communistic." @
Program Is Reviewed.
Mr.. Smith, In q review of the de-
velopment of the Federal housing
program and testimony on the Dis
trict slums before the Burton Sub
committee OF the Senate, charged
that "the men operating the Federal
public housing work" deliberately
prevent ordinary bookkeeping pro-
cedures" to conceal ''finagling and
corruption" 1t ought to be investi-
gated, he said.
IF we don't get rid OF Federal
public housing and the rest of the
political spending and lending
agencies he declared, there is no
hope of ever balancing the budget
or even of reducing the public debt"
Discussing five projects of the
NCHA, Mr.. Smith contended that
the interest payments alone on an
nual Federal contributions of
$205 900 to finance their operations
would run to 1892 900 by, the end
of So years if the loans were
amortized by that time.
Chairman McGehee announced
that the hearings would be con-
tinued Tuesday at 10 am.