Evening star., 1947-02-01
Truman verifies
Fleming gAccounl
|0f Rent kixup
No Penalty Planned;
Fovors Roise Only
In Hordship Cases

Opposition to a general rent
increase was reiterated today by
President Truman.
He also told news conference he
would not penalize Maj. Gen. Philip
B. Fleming, director OF the Office of
Temporary Controls. for preparing
an order for fiat 10 per cent raise
in rents which the President killed
before it could be issued.
Mr.. Truman said Gen. Fleming
stated the exact truth before 3
Senate committee yesterday in ex-
planning the rent mixup of two days
ago. He added that Gen. Fleming
Is one of the ablest men in the Gov
ernment.
Prior to preparation of the order,
the President continued, Gen. Flem-
ing did not take the matter up with
him.
Favors Hardship Raises.
MIR. Truman said his own stand
was the same as that expressed in
news conference last week when he
called for holding the line on rents
and put up the Congress the re-
sponsibility for any lifting of exist
ing ceilings.
The President also favors indi-
vidual raises in rents where land
lords can prove hardship.
Meanwhile, the move in Congress
for some fiat percentage increase in
rents appeared to have been strength
ened by the mixup.
Gen. Fleming went before the
Senate Banking Committee late yes
terday and took the blame for
having ordered the general raise.
His admission that he decided on
a general increase for landlords
because he doubted whether the
limited OPA staff would be able to
handle individual hardship cases
was seized on by advocates of a
rent increase bill.
Mccarthy Sees Case Proved.
Senator Mccarthy, Republican, of
Wisconsin, declared today Gen.
Fleming's testimony proves land
lords should receive an increase.
Senator Capehart, Republican, of
Indiana. interrupted the general
yesterday to ask him how 5000 re-
naming OPA employees could hope
to 60 into 100000 housing unit
cases and determine which are
hardship cases.
Gen. Fleming previously had said
that, while the administration is
recommending one-year extension
Of rent control, it also has taken
steps to ease the rules under which
OPA allows increases In hardship
cases. One committee member pre-
dicted the mere announcement of
this change in rules will have the
effect of an invitation to landlords
generally to appeal to OPA for ad-
justments. y
The committee will hear more
witnesses next week before acting
on any rent bills.
Fleming Questioned Intensely.
James w. Follin, Gen. Flemings
deputy, was going ahead with the
fiat increase order when it was killed
abruptly at the White House. The
nixup occurred late Wednesday,
while Gen. Fleming was in Iowa to
attend his mothers funeral.
Senator Mccarthy questioned
Gen. Fleming intensively following
his statement yesterday.
"He admitted that his ideas
hadn't changed since three days ago
when he though there should be
10 per cent increase" the Senator
said later in an interview.
HE also admitted that If rent
controls were taken off all new
rental units itwould ease the situa-
ton a great deal"
Gen. Fleming said he had talked
to the President about rents in a
general way and left thinking he
would be justified in ordering an in
crease.
II did not know his policy before
as I do now," he added.
Senator Mccarthy and four other
Republican, Senators are pushing a
bill which. would grant an imme-
date Is per cent increase in rent
ceilings and take them off all new
rental units.
!. Says Many Can Qualify.
Ivan D. Carson, OPA rent division
director, estimated today that a
substantial number" of landlords
will be able to qualify for rent in
creases by proving hardship" under
revised rent control regulations.
The revised regulations covering
hardship cases will become effective
sometime. next week." Mr.. Carson
said. They will provide that land
lords may qualify for rent increases
If they show any decrease in net
operating income during the cur
rent year as compared to a base
period of any two years after 1889.
Landlords also may plead "pecu-
liar circumstance" to bring an in
crease by showing that their rents
were frozen at a ceiling "Substan-
TALLY below" that for similar accom-
modations in their rental areas.
Gen. Fleming wound up his testi-
mony by declaring, Il recommend
that the law be re-enacted sub
stantNlly in its present form"
The Rent Control Act expires
June 80
Gen. Fleming said he will have to
ask for an additional $4,000, 900 ap-
preparation for use between now
(See RENTS, Page A-39
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