The Daily Alaska empire. [volume] (Juneau, Alaska) 1926-1964, 1950-12-15

aid of $94 $50 against total estimated cost of complet
ing Palmer Airport of $4,000
Project application submitted on January g. 1885,
upon receipt of advice that Palmer Airport included
in CAA allotment and estimated Federal share of
costs reflected as S9475O same as in previous re-
quests for aid.
Federal aid authorization of this amount rejected
by Alaskan officials under date March 15 1850,
month after CAA authorized grant agreement. New
project application submitted March Is, 1850, wherein
estimated Federal share is s145125 while sponsors
share would be $148375.
Total estimated cost was shown as $2925OO or
s163500 more than January 1850 application Increase
due to alleged in that Territory did, not
land at Palmer Airport until April H. 1880 when check
issued to Palmer Airport Association for $150000 Pal
mer Airport Association returned $450o0 to Territory
Territory grant Association the right to reacqure
the airport and donat it to the town sit Of Palmer
when and if Palmer became Incorporated Land
actually cost Palmer Airport Association approx
mately $4,000 but deed written agreement
ecuted by original to anyone until April 1850
and thereafter Deed prepared not legally proper
ever recorded.
Three friendly appraisals submitted report to
Schwamm, valung property from $15500 to $171,000
Corps of Engineers appraisal identical acreage
Aeronautics at time, $15oOOO check issued only
$14756914.
McCutcheon confessed he did not know what
statements appeared project applications submitted
to CAA in January 1850 and in March 1885, notwith-
Standing fact he certified to legal accuracy of state
ments made Stated he may have certified that he
was giving the Territory back to the Russians.
McCutcheon caused Palmer Airport Association
officials to place value of $150000 the airport land
in order that Territory could receive 25 per cent
thereof credit in matching funds $37,500.
Roland Snodgrass secretary of Palmer Airport
Association admitted selling friendly appraisers
on idea that land worth at least S150O00 Gov
ernor of Alaska in touch with Chris Lample of CAA
in effort to get Federal aid for funds spent by Ter
rtory prior to passage of enabling act.
Iample hand carried both project application at
Washington, D. c., in order to expedite and answer
any questions which might be raised by Washington
CAA officials Local officials not as yet contacted
schwamm admitted Territory did not intend to
pay out any of its funds in completing Palmer Airport
to No status. Advised appropriation approved by
Commissioners for expenditure of funds on Palmer
Airport in 1850 Nevertheless, prior to investigation
by this subcommittee, Schwamm advertised and en-
tered into contract with low bidder to complete airport
at cost of s121 2777o and in view of contract Terri
tory obliged to spend funds to meet payment not
whstanding fact that no appropriation made therefor
Schwamm attempted to collect 10 per cent OF con-
struction cost expended in 1850, but payment OF
Federal funds held up pending completion OF instant
investigation Also noted that William Lavery, mem
Der of Aeronautica Commission, told by 'Schwamm
that Frank Barr member of the Territorial Senate)
appointed in his place for expired term. This ac-
ton taken before end of term and without obtaining
his resignation.
Following Senator Hoeys report on the Palmer
Airport Senator Anderson, New Mexico defended the
transaction, and his defense will be published to-
morrow