Evening star., 1949-03-26
.Conferees Settle
On 15Months
OF Rent Control
Longer Extension
Favored in Swap
For Local Option
By J. A. O'LeoN

eral rent control was agreed or
today by House and Senate con-
ferees. subject to the option given
States, cities and towns to get rio
of Federal control if the State
Governor consents.
This left the question of how
to measure any future rent in
creases the only big issue remain
ing to be settled as the conferees
remained in closed session this
afternoon.
The straight extension to June
80, 1850. was a House provision
The Senators gave up their own
provision for a one-year extern
sion Of the entire act with three
additional months Of limited
control.
Local Option Kept.
The Senators gave in to the
House on the duration Of the new
law because the House managers
took most of the Senate language
last night on local option.
The agreement on local option
would allow States, cities. towns
and villages to get out from under
Federal control If the Governor
approved such step.
With the present law due to ex-
pire Thursday night, the con-
ferees have indicated they will
work through the week end If
necessary to present a final draft
Of the extension measure to both
houses before the deadline.
Basis of Increases Issue.
On the big issue of how to cal
culate future rent rises. the con-
ferees are trying to decide between
the Senate plan for two automatic
fiat increases. or the House pro-
vision for a reasonable return on
the value of the property, to be
applied as far as practicable.
The Senate bill would allow a
fat 5 per cent increase on October
/ and another 5 per cent next
April unless the tenant already
has had a Is per cent increase
since June. 1947. II the increase
since that date has been 10 per
cent, the landlord would get only
the first increase.
The House home rule provision
would have allowed the governing
body Of any State, city or smaller
political subdivision to decontrol
at any time. The main effect Of
the agreement is that the Cover
nor will have a vote over the de-
cision of any one community. The
conferees, however, also retained
another part of the Senate bill
allowing State Legislatures to de-
control all or part Of State.
No Rush Expected in States.
A check-up by the Associated
Press indicated, however. there
will be no rush to do away with
controls under the local option
plan. 1t may lead to some COM
munities setting up their own con-
trolls in place of Federal super
vision. Most of the mayors con-
tacted took the view ceilings were
still needed.
Mayor Kennedy of Chicago and
his City Council favor continuing
controls, and have an ordinance
ready for adoption in the event
Federal supervision of rents is
dropped.
In Virginia. Mayor Morrison Of
Lynchburg came out for State and
local control, under State super
vision.
The conferees agreed early yes
terday to let the Federal Housing
Expediter restore controls in any
area he decontrols after March
81, but where controls have been
dropped prior to that date a rec
ommendation from the local Rent
Advisory Board would be neces-
sary to resume Federal control.
Senator Sparkman. Democrat,
of Alabama, who steered the rent
bill through the Senate, said to-
day that. on the issues settled thus
far, the conference agreement is
an improvement over the separate
House and Senate bills. The still
unsettled question of how to ar
rive at future increases, however.
is the toughest nut" the con-
ferees have to crack, he added.
There were reports that Repre-
sentative Brown, Democrat, Of
Georgia is waging a finish fight
for the House formula of reason
able return on value, which he
sponsored.
Meanwhile, Senate leaders will
try to get action in that body
early next week on the separate
District Of Columbia 'rent-control
bill, which has passed the House.
The District law also expires