Evening star., 1946-11-06
PAAideUrges
Building Goods
PriceDecontroI
Restraints Threaten
National Economy, He
Tells Legion Group

A Civilian Production Administra-
ton official today advocated the end
ing Of price controls on building ma
terials and warned that present re-
straints on nonresidential building
were "a threat" to the Nations
economy.
Frank r. Creedon, deputy CPA
administrator, told the American
Legion Housing Committee meeting
at Hotel 2400 that he thought the
flow of building materials would in
crease If controls were lifted. He
urged, however, the necessity for
retaining controls that channel ma
terials into housing.
The administration now Is consid-
ering what stand to take on price
| controls of remaining items under a
lid, including building materials, and
the question was last reported in the
hands OF Reconversion Director .
Steelman.
Under present objectives, Mr..
Creedon said, CPA is holding nom
residential building to $35, 600, 900 a
week-"which is dangerously strict"
Sees Unemployment Threat.
That limit may throw "a drastic
number" Of industrial and building
workers into unemployment, he said.
Mr.. Creedon declared the limit
should be raised to $4,000 900, "and
that should be floor, not ceiling"
Asked to what he attributed the
large amount of nonresidential
building under way, in face of the
channeling controls, Mr.. Creedon
said a great volume was started
during the period from October IS.
1945, to March 26, 1916, while cor
trolls were of.
Later today, the World War II
Committee, investigating m ny
phases Of housing bottlenecks, will
hear Joseph Kershaw of the OPA
Construction Price Branch, and off,
cials of labor and the building
industry.
The World War II Committee of
the Legion is in its third day of a
If1ve-day session on housing.
Deputy OPA Administrator Ivan
D. Carson was closely questioned
yesterday on shortages of rental
units for veterans throughout the
country.
Attractive Sale Market.
Asked specifically why he thought
only limited amount Of new con-
struction was being offered for rent,
Mr.. Carson declared it was because
of the attractive sale market"
Prices on both existing and new
property are very attractive from a
sales standpoint, and a quick sale
Is better business than renting" he
; said.
! He denied, however, a suggestion
. that there would be more ready
rental construction If rent controls
were lifted.
= Builders get good rental price
, now - a price fixed to give the
!, proper incentive to build" he said.
!, Bankers Would End Controls.
Earlier, Howard B. Smith of the
American Bankers Association told
the committee that bankers "unani-
mously" feel rental construction
, would be spurred If the controls were
lifted.
All Government controls on hous-
ing, meanwhile, were blasted as
futile" by George w. West of the
United States Chamber Of Com
merce, who asked that the Nations
builders be allowed ito buckle down
without hindrance from Govern
ment permits, ceiling prices or stop
orders"
Let free enterprise produce with
, out Government directives, alloca-
|, tions, regulations or subsidies" he
! declared.
Mr.. West predicted that If the
> industry is given full freedom, ma
terials will be flowing freely by
!, next spring." and that building costs
: would be reduced from 10 to 80 per
cent as result.
Trade Board Plans Survey.
) Leon Chatelain, jr., chairman Of
I the Washington Board of Trades
e Committee on Public and Private
! Building, told the Legion group the
5 board decided this week to conduct
a survey of veterans housing con-
ditions in this area.
r. w. Hudgens Of the Depart
. ment Of Agriculture also outlined
the program of his department for
development Of rural housing, which
he termed "the worst in the
country"
Among other officials to appear
before the committee today are
! Richard Gray, president Of the
Building and Construction Trades
Committee of the AFL; Samuel
E Hook, National Association of Rail-
roads, and Sam Neel Of the Mort
D gage Bankers Association Of
:. America.
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