Evening star., 1948-05-08
Against More Twas

To the Editor OF The star:
Lowell Mellett's "On The Other Hand COL
umn of April "a entitled "TVA Effort to Meet
Approaching Power Needs Fought by Utilities"
is very misleading and certainly needs amplifi-
cation. 1t makes my blood boil to see people OF
influence such as Mr. Mellett, who are bene-
factors of the American free enterprise for
profit system, champion socialistic experiments
at taxpayers expense for the benefit of a few.
Let's Just analyze few Of his erroneous.
misleading statements. He says the utilities are
seeking to mobilize every friend they have in
Congress to prevent approval Of 100000
item in the iva appropriation with which to
start construction Of an additional steam plant
" =" seem to recall that IVA was sold to
us as taxpayers few years ago as flood control
and conservation project We were told then
that the manufacture of hydro-electric power
was by-product and would benefit the devel-
opment of the area. What possible connection
is there between a steam plant to manufacture
electricity for sale to citizens in a government
created power monopoly area and flood control
and soil conservation? He frankly admits that
the Tennessee Valley Is now a monopoly dis
trict for sale Of electric power by IVA. Is
Government monopoly any better than private
monopoly? I don't like any monopoly, Gov
ernment or private.
When Mr. Mellett says that Congress mem
bers are asked to protect their own distant
districts against alleged IVA competition he
implies that this is bugaboo that business
men are crying wolf. Maybe MI. Mellett should
check Representative Priests bill, HR. 1884, to
amend the IVA Act by making all references
to the Tennessee River in the Act to include
also the Cumberland River and its tributaries.
That takes in a lot of new territory IN the iva
monopoly area. OF course, that will give rise
to lot of new appropriations of many times
the little $4000000 asked for this steam plant"
now under consideration Maybe Mr. Mellett
never heard of the MVA and the eva. Maybe
he doesn't agree that once an authority like
this is set up with half billion or so and
few thousand citizens get used to feeding at
the Government trough there is no stopping
their imaginations. Soon we nave fue new pro-
posals all blueprinted for additional places to
invest CD the taxpayers dollars by the billions
and none of these enthusiasts for Government
in-business ever dream of figuring out how to
pay Uncle Sanl-we the taxpayers-back Let
Mr. Mellett look at the record of revenues now
received from the sale Of industrial power"
that he thinks "are substantial help in paying
back the Federal investment"
He might find that we-the taxpayers-have
We have never received any interest on our in
vestment and got about s15,o0Oo 900 back before
fiscal 1948. This year we are promised $685.
674 and next years IVA budget offers us $780,
600 out of an estimated income from industrial
and other power sales, over and above ex-
penses, of $186 900. That's pretty high finance
for me but even I know that return of $l8-
900, 900 on $3.50 100000 dollar investment with
no interest charges to be paid and no taxes to
be paid smells to high heaven of inefaciency.
Worse though is the effrontery Of those bureau-
Gratis in power in iva who offer us-the tax
payers $50, 900 as our share of that poor return
they admit they will make Of about $4,000 900.
submit that in face Of the figures available
in the Presidents budget, quoted above, it is
high time that some of us taxpayers join with
the "shortsighted selfshness and dog-in-the-
manger sectionalism' that Mr.. Mellett so alb
hors and block all efforts to expand IVA or
any other VAS hereafter proposed.
ELTON KILE.