The people's voice. [volume] (Helena, Mont.) 1939-1969, 1953-08-14

Gordon (R-Ore.) who somewhat apol-
ogetically led the Administration
fight for the bill in the Senate, quib-
bled that the rule would merely
"void" the contracts rather than cab
rogate" them. But no one denied that
the action taken kills the contracts
and the co-ops-as dead as door
nail
Sen. Gordon insisted the bill would
not bankrupt" the co-ops-"T can
see no reason why" private utilities
won't buy them out at full value,
he declared. "Those transmission lines
are there, they are needed" Gordon
said. ''They have a definite place in
the electrical transmission picture of
that area. There is no reason in the
wide world why whoever operates in
that area should not take them at
their full value"
A bitter but futile battle in the
Senate was led by Sen. Kerr Cd
Okla.) to return the bill to Confer
ence with instructions to eliminate
the coop "execution" clause.
"This is the first time l have ever
seen a shotgun wedding where the
parent took the shotgun to his daugh-
ter, and coerced her, without benefit
of clergy, into union with one who
had nothing but rape in his heart.
the Oklahoman stormed. Private utiI-
titles are not seeking happy home
with the REA's, but a final resting
place for them,' he charged.
Under the contracts, SPA pays for
power from coop steam generating
plants at 'level rate" over a period
of 40 years sufficient to amortize and
pay interest on the co-ops' invest
ment Power from the co-ops is used
to firm-up SPAS hydro power, and
SPA in turn exchanges power to the
co-ops to establish an integrated, we'll
balanced system with the lowest pos
sible average cost of power. Key tar
get of profit utility foes of the ar.
is the 'level rate" by
which co-ops get more money early
in their life, before farmers loans
have been fully developed, than the
ordinary fee for transmission ser
vices paid by SPA. The government
is fully protected financially, how
ever, by continuing contractual
right to the equities in the coop
plants which SPA earns by the early
No record vote was made on the
move to accept the report, but sew
eral Senators took the floor to an
1ounce they would oppose it. Only
one, Sen. Thye of Minnesota was
Others. were Senators
of Minnesota, Kerr and
Monroney of Oklahoma, Jackson and
Magnuson of Washington, Gore of
Tennessee, Hill and Sparkman of Ala
oama, Murray of Montana, John
ION of Texas, and Anderson of New
Mexico.
NFU President Patton wired every
Senator on the eve of the battle to
lrge them to vote against the report,
harging it would cripple the whole
>EA program and place the farmers
It the mercy of the power company"
Iron-clad pro-utility bloc from the
louise appropriations committee was
hiefly responsible for the extreme
melted out to the south
Western co-ops. They packed the
louise conference committee So and
efused to bulge an inch although
senate conferees of both parties
yaged an all-night battle over the
PA measure. Representatives Taber
R-N. W, chairman of the approp-
iations committee. Jensen (R-Iowa),
Torrell (D-Ark.), Fenton (R-Pa.),
nd Bulge (R-Idaho) are the pro-
tility stalwarts. They were opposed
ainly by Rep. Cannon (D-Mo),
ormer chairman, and Kirwin Cd
)hio.)
Killing off the Southwestern gen
rating transmission co-ops is one of
he national utility lobby's primary
oals. To help them plot their sue
essful strategy, Rep. Tabor appoint
d secret Appropriations commit
ee", from the Third House" of big
usiness lobbyists to work behind
he-scenes with Republican commit
a