Evening star., 1954-11-06
Don | Know Origin
|N Dixon Yates Deal
Acc Officials Say
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All VIIlCldlS 9dy
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hackers have insisted the West
Memphis deal is an effort to
destroy the famous project. :.
The question Of authorshit
of the proposal was raised by
Representative Price. Democrat.
Of Illinois, who said the atomic,
Energy Commission is now
engaged in an activity far re-
moved" from its proper sphere
and that he would like to know
just what was responsible for
the controversial proposal in
volved.
Mr.. Price brought out by
questioning Gen. Nichols that
while the actual Dixon Yates
proposal had been first developed
last February, 1t was not until
March 26 that the IVA was
brought into the picture, al
though 1t is vitally concerned.
The Joint Committee is hold
ing hearings to decide If the
proposed contract can be put in
effect without lying before the
next Congress for 80 days. The
administration has asked that
this be done. Chairman Cole.
Republican, of New York asked
Mr.. Nichols If the contract. on
which agreement has been
reached, is in such shape that
it could be signed when the
hearings end if the committee
decides to waive the waiting
period and Mr.. Nichols said that
1--WE are now in position to sign
it."
Cole Wants Ruling.
He said, however, that he was
basing this statement on an
opinion for the atomic commits
sion. Mr.. Cole said he would
like a ruling from the Attorney
General as the top law officer of
the Government.
/ Admiral Strauss said that
would be obtained.
IVA Head to Testify.
Brig. Gen. Herbert D. Vogel.
President Eisenhower's newly
appointed chairman of the IVA,
also was on hand to testify to-
day.
Gen. Vogel was named to head
the IVA after expiration of the
term earlier this year of Gordon
Clapp, bitter foe of the pro-
posed Dixon-Yates contract.
! Gen. Nichols, in testifying yes
terday, disclosed that Dixon
Yates plan to use a firm in
volved in the so-called 'Ebasco
fiasco" to construct the proposed
| SLOT million power plant.
| Gen. Nichols said a review of
the company's record showed
| that Ebasco Services, Inc, had
only one blot-its failure on the
construction of a power facility
for the ACC at Joppa, Ill.
The Government relieved
Ebasco Of it's contract after costs
scared millions above estimates
and construction headlines were
not met. Ebasco blamed labor
controversies for. the trouble.
Another firm finished the job
Overall, Record Called Good.
! The Acc manager. said that
when Ebasco was first brought
up. I sort of blinked my eyes"
but that the commission would
not object to the company be-
cause over the years it "had a
record Of coming very close to
estimates"
Senator Anderson, Democrat,
of New Mexico interjected
tartly:
/ "One $40 million flop ought
to be enough for one Govern
ment at one time"
The Senator then remarked
that it seemed to him that
Ebasco had given the Acc a
"black eye" and that approval
of the company as the builder
might invite a lack of confidence
in the commission.
Gen. Nichols replied that the
question was a critical one for
Acc. but that he favored letting
Dixon-Yates select it's own con-
tractor since it would suffer
most if the contractor failed.
Chairman Cole informed the
committee that Congress could
do nothing to keep the contract
from going into effect unless
Gen. Eisenhower acquiesced.
The negotiation of the con-
tract in an executive prerogative,
the chairman told the commit
tee, as he questioned the right
of Congress to do anything until
the pact had been signed.