Muncie Post-Democrat, Muncie, Delaware County, 6 February 1931 — Page 1

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THE POST-DEMOCRAT

VOLUME XI—NUMBER 4.

MUNCJE, INDIANA, FRIDAY, FEBRUARY 6 ,1931.

t-RICE 5 CENTS

FUND SHIFT REVEALED IN HIGHWAY BODY QUIZ

JOBLESS CENSUS FIGURES BRING HEATED DISPUTE

Washington, 'Feb.’—Again there is a wide discrepancy between the figures on unemployment as given to the public by administration agencies on -v'e hand and ••William Green, President of the American Federation of Labor on the other. Recently Col. Arthur Woods, Chairman of the President’s Committee for Employment, estimated that the unemployed was between 4,500.000 and 5,000,000. President Green, a few days later, estimated the number of unemployed at 5,700.000 in the early part of January. President Green‘s latest figures are double the number reported by the Census Bureau in April. Colonel Woods’ figures are based on a special census taken by the Metropolitan Life Insurance Company in forty-six: selected cities. President Green’s figures are based on reports from his own organization. He pointed out that the large increase in unemployment since December is partly due to the number of men laid off, who previously thereto had been employed part-time. Speaking at a meeting under the auspcies of the Institute of Arts and Sciences of Columbia University, President Green took the administration to task for its failure to comprehend the situation and for delay in inaugurating a plan. He said: “Unfortunately, the government, which after all is the only agency which can adequately deal with a national emergency, seems to have failed to comprehend the seriousness of the situation. There has been inexcusable delay in the inauguration of a national work project and in the appropriation of funds to adequately meet the requirements of the occasion.”

proposed appointment of Ernest A. Michell, Minnesota lawyer, endorsed by the Senator for a Federal judgeship. Attorney General Mitchell holds that appointments should not* he made “to pay political debts.” He states President Hoover’s attitude as follows: ‘President Hoover has raised a standard of judicial appointments in which political ‘usefulness’ does not enter. He has refused repeatedly to be bent by such motives.” In this connection it is recalled that the , appointments of Judge Parker of North Carolina to the Supreme Court, Judge Watson of Pennsylvania and Judge Hopkins of Kansas to the District Court were all opposed in the Senate on the ground that the appointments were political. Attorney General Mitchell’s references to the proposed appointee have led to a retort on the part of Senator Schall that the Attorney General used “less than good taste.” After citing this statement, the New York Times remarks that “he (Mr. Mitchell) might better be charged with a lack of memory.” Although the paper points out that the Attorney General resisted the Pennsylvania and Kansas appointments, Mr. Hoover, however, did not withdraw either name and they were both confirmed, but only after strong opposition.

COUNCIL REFUSAL OF ORDINANCE NOW FORCES STREET DEPT. TO RENT TRUCKS

And how does the head of the Government feel after his Wicktrshampoo?—'St. Louis Post-Dis-patch.

Farm

Board Salaries Denounced As “Exorbitant”

In a discussion of the Independent Offices Appropriation Bill in the House, Representative Woodrujn (Democrat, Virginia) made the following statements concerning salaries paid by the Federal Farm Board, which have been denounced as exorbitant, : “We found that a gentleman by the name of Milner is manager of the Grain Stabilization Corporation and the Farmers’ National Grain Corporation .... He had formerly been connected with the Grain Stabilization Corporation at a salary of $36,000 a year. When he took over the additional duties as manager of the Farmers’ National Grain Corporation, he was given an additional salary of $14,000, so he gets a salary of $50,000. “He has an assistant manager who receives $27,000 a year. “Then, of course, the Grain Stabilization Corporation has to, have a treasurer. He gets $20,00u a year. ‘The 'Cottonj Stabilization Corporation has to have a manager and he is guaranteed a minimum salary of $25,000, with a graduated scale that may run up to $75,000, according to the earnings.” On the question of who pays these salaries, Mr. Woodrum said that while theoretically they are paid by the two Corporation agencies referred to, that “the only funds which the Stabilization Corporation has are what it borrows from the revolving fund, and in case of loss, the loss comes on the revolving fund .... So it is idle and ridiculous to say that because these salaries at this time are being carried on the books of the Stabilization Corporation and the Grain Corporation that they are not coming out of the Treasury of the United States. They are coming out of the Treasury of the United States, and the loss, if and when it comes, must be borne by this revolving fund.” Mr. Woodrum predicted that the next Congress will he asked for another $100,000,000 for the Farm Board revolving fund, for which $500,000,000 already has been appropriated.

Hoover Tries to Drag Red' Cross Into Politics, Says Baltimore Evening Sun Referring to the controversy between President Hoover and the Senate as to whether relief funds for food to drought sufferers shall be .made .by Congress or the Red Cross ,the Baltimore Evening Sun recently said: “By persuading the Red Cross to undertake the whole burden of relief—even though he (the President) has to use pressure to do it— he obviously places himself in a .better position to defy Congress. “But we wonder whether this effort to drag the Red Cross into politics isn’t a little too transparent. The Red Cross has an excellent reputation which it would be a pity to injure. In the past its appeals have been taken at their face value and the people have always responded generously. So, in consenting to become a tool of politics and thus lowering itself in the eyes of the public, it stands to gain little and lose much.”

Refusal of the city council to even bring out for first reading an ordinance authorizing the purchase of much needed motor equipment for the street department has forced the city to rent trucks to carry on the street maintenance and repair work. Although the ordinance has been before the councilmen several weeks they not even permitted the reading clerk to start it on the path for passage or rejection, while the needs of the street department for the new equipment are apparent to everyone. Decision to rent two trucks at $10 a day each, which is somewhat lower than the customary rental price for such equipment, came after the Feb. 2 council session when the ordinance was not brought up for first reading, although it had been in possession of the council for several weeks. Bill Daniels, street commissioner, has been struggling along with a flock of wrecks inherited from the Hampton administration and the wrecks at last became in such condition that the new equipment was sorely needed. Two trucks were purchased last year for service in the garbage and refuse collection and these are kept busy every working day in that service. With spring coming on and street repair and maintenance necessary Daniels was confronted with a situation of having to obtain some new equipment or form a bucket brigade to carry sand, gravel and stone all over town. Now the council has shown a very, very strong tendency to reject anything that the administration desires in the way of appropriations and for months and months this situation has existed. They used to read the ordinances, refer them to committees, hold a public hearing on them and then as they bobbeb up for action the vote was nearly solid against the desires of the administration.

Late last year, however, Councilman Shroyer with a keenness for observation ventured the suggestion of why go to the trouble of reading the ad-ministration-sponsored ordinances when everyone knew that the council would vote against them. His idea was that the expense of advertising could be eliminated if this procedure was followed. Then for one or two sessions the Shroyer plan of voting on whether or not the ordinance would even be considered prevailed and of course the result was the same for they were rejected in their infancy. This year, however, the council coalition went Shroyer one better and now don’t even bring up reading the first time. So, while the council coalition fiddles on around with this silly scheme in an effort to handicap the administration it became necessary to rent the equipment. If we recall rightly in the morning nwespaper yesterday Cal Coolidge devoted his corner discussion to a similar situation where Congress tried to handicap departmental work and needs by such by such a scheme as the council coalition is doing. Bill and his men have given the citizens of Muncie the best service in keeping the streets and alleys clear, and getting the ashes and refuse out of the wey weekly until the city has gained a reputation for real service of the street department lo the people. Even with the council bickering and refusal to even place ordinances up for consideration the administration is going to find a way to keep up the good work regardless of the council coalition attempts to handicap the departments. When Mayor Dale learned of the customary council refusal he exclaimed: “Oh, hell, rent enough trucks then.”

EVEN SCHOOL BOARD REMONSTRATES PAVING TRUST—ALLIES STREET GYP

Hoover Put Increased Tariff Taxes On Workers and Farmers (From the Raleigh News and Observer) President Hoover once said: “No matter how devised, ,an increase in taxes in the end falls upon the workers and farmers.” When he signed the tariff bill he put millions of increased taxes on them.

Henry P. Fletcher, Chairman of the Tariff Commission, according to a Washington political writer, appeared at a local ball masque recently in the character of Disraeli ,so perfectly made up that he could not be identified for a long time. What character could have been more appropriate? Disraeli didn’t know anything about the tariff either.

President Hoover and political Ju-

dicial Appointments

Attorney General Mitchell and Senator Schall (Republican, Minn.) are in open controversy over the

Republican Senator Denounces Lucas for Card-indexing Federal Employes for Political

Purposes

In a recent scathing review of the political activities of Robert H. Lucas, Executive Director of the Republican National Committee, Senator Cutting (Republican, New Mexico) read into the Congressional Record, a letter which the Senator said Mr, Lucas had sent to the employes of the Internal Revenue Bureau appealing to them for political advice and cooperatiou in their respective districts. The following are excerpts from the letter : You cannot, of course, take an unduly active part in politics, but you can be a great help to me In keeping me advised of political conditions in your community. You aro familiar with the political situation in your county and adjoining counties. If you will write me from time to time, letting me know just what is going on politically, such information will be of great value to me in my work. , I would like for you to fill in the enclosed card and return it to me in the enclosed envelope. This will give me a record of your home address and enable me to communicate with you more directly. I will appreciate it also if you will enclose a short statement, giving me your ideas of the present campaign and the result you expect of the coming election. When you are in Washington, come in to

see me.

The letter is written on the letterhead of the Republican National Committee, carrying Mr. Lucas’ name as Executive Director and is dated October 6, 1930. Until August of last year, ‘Mr. Lucas was Commissioner of Internal Revenue Commenting on^ this letter, Sen(Continued to Page Two)

Now the Whitely streets fiasco promoted by the paving trust-allies and made possible by the Hampton board of public works has become so glaring that even the Muncie School Board has remonstrated at the gyping it received when the crushed stone streets were constructed over there at prices "Tugher than concrete surfaces. Will White, a member of the school board, and representing that body has filed remonstrance against the board’s assessment of $1,357.51 for the Penn street frontage of the Whitely school.. This remonstrance joins the protest of property owners in Whitely over the greatest feat of paving gyping that has come to light for many a day. “Excessive and exorbitant” reads the remonstrance filed by the school board and the property owners in that territory have frequently referred to the saddling of the crushed stone street at $1.95 per yard and curb and gutter at $1.30 per foot as just plain, old-fashioned robbery and there’s nothing else more to make out of it. Another remonstrance filed during the week is one signed by Bracken, Gray & DeFurr, representing Emma Mason who thinks her assessment of $174.20 for her lot is likewise “excessive and exhorbitant” and there are many others who share her resentment. Whitely residents have employed Paul Brady, attorney.

to represent them in the impending legal fight over the deplorable deal which cost the property owners $1.95 per yard for crushed stone when concrete paving costs have been reduced by the Dale administration to $1.70 per yard and the old trust price of $1.30 or thereabouts per foot for curb and gutter has been cut down to about 65 cents per yard. No wonder the Whitely residents are angered and bitter over the paving trust-allies gyp and Ed McGuff, contractor, who got coaxed into the mess by the paving trust admits that the price “might” have been too high.. He knows darn wekk that it is about fifty per cent too high for similar work is being done for around the $1 mark per yard for crushed stone and the curb and gutter reduced more than forty-five per cent during the past year by the alertness of the Dale administration. On February 18, the Whitely remonstrators will meet with the board of public works to consider further evidence of the rotten deal perpetrated upon the people of that section of the city. Mayor Dale several days ago informed Contractor McGuff that he would not sign the bonds for work of this character at such a high price and see the people robbed in such a high handed manner. He added that If the contractor would place a fair price on the work the difficulty could be adjusted without much delay.

DEMOCRATIC AXE NEW EARTH TREMORS SHAKE NEW

STRIKES 13 MORE

ZEALAND IN THE NAPIER REGION OY LEGISLATURE

FUNDS ARE CUT

Indianapolis, Feb. 6.—The Democratic ax which has descended periodically since Jan. 1, fell again yesterday and lopped thirteen Republicans from the Statehouse pay roll. All those ousted were employed in the office of Frank Mayr, Jr., secretary of state, and were connected with the automobile license department. Democratic successors for the discharged Republicans were announced by Mr. Mayr. , Changes As Announced Changes announced were: A. F. Byers of Kokomo for George Clark, Indianapolis, traveling auditor; Gordon Olbey of Noblesville, for William G. Boyd, Indianapolis, file clerk; Harry Darling for Miss Ella Campbell, file clerk; John V. Pinegar of Rockville, for D. A. Endicott of Crawfordsville, file clerk; A. E. Atin of Terre Haute for A. D. Hock ett of Indianapolis, file clerk; Clyde Underwood for Clifford McLain of Sullivan, file clerk; Miss Catherine Criss of Brazil, for Miss

Auckland, N. Z., Feb. 6.—(UP)o —New tremors shook the Napier area today while evacuation of the town, devasted by earthquake and

fire, continued.

The bottom of the harbor, permanently raised by the earthquake, was subjected to new earth move-

Helena Mueller, typist; James Arnold of Peru, for John W. Thompson of New Albany, file clerk; Mrs. Grace Olapd of Indianapolis, for Miss Bess Tracy of Indianapolis; Otis Reed of Madison for George W. Applegate of Indianapolis, clerk; John Riddle Jr., of Indianapolis, for Ralph E. Bobbitt of English, information clerk; E. Arnold of Elkhart, for John Goddard of Indianapolis, information clerK, and Miss Joy Holmes of Sullivan, for R. W. Heaton of Indianapolis. Mr. Bobbitt, who was replaced by Mr. Riddle, is a brother of A. N. Bobbitt, who was auditor of state preceding Floyd E. William son, present auditor.

ments and the naval sloop Veronica was grounded again.. The sloop has been aground or in shallow water several times since the earth

shocks began.

Relief work was fully organized under government direction. Food, clothing and medical supplies were being distributed to survivors, and complete order was maintained in Napier and Hastings, although some looting was reported from other towns in the earthquake zone. The number of dead still could only be guessed at as rescue parties attacked heaps of debris. The latest estimate was 200 known dead and 1,000 injured. Towns in the area resounded with explosions and the roar of falling brick and stone as the demolition of damaged buildings was carried on. Marines were stationed around the business district

Indianapolis, Feb. 6.—(UP)—Aggregate appropriations of $27,947,030 for expenditures on state institutions and departments during the two years starting October 1, 1931, will be recommended to the legislature by the state budget committee. In addition, the committee will recommend that $322,622 be expended on April 1, 1931, to meet immediate needs. The recommendations, which will he included in a bill to be considered by the legislators item by item, are $617,402 lower than the total appropriations for the previ-

ous biennium.

The budget committee slashed $8,915,047 from requests by officials and departments. Institutions suffered heavily. They had requested appropriations of $27,683,256, some of which was to finance building programs. As provided in the budget bill, these appropriations will total only $20,-

at Napier, and volunteer police'034,281, compared with $20,589„070

were on duty at Hastings. in 1929'

State Senate Investigation Brings Unique Transfer of Three Million Dollars of Highway Funds From Constmction To Maintenance To Finance “Black Top” Regime. Indianapolis, Ind., Feb. 6.—Echoes of the difficulties of the Indiana state highway commission last summer when its construction funds were depleted were heard at the state senate’s investigation of the commission in progress for several days. Transfer of more than $3,000,000 cash from the construction fund to the maintenance fund was admitted by officials of the commission and this hugh shift of funds was necessary to engage in the celebrated “black top” regime to which that body has acceeded. When the commission to finance the “black top” activities depleted the construction fund it likewise deprived the state of a similar amount of Federal aid. The United States government through its Federal aid pays half the construction costs on approved roads, but doth not participate in maintenance costs. William Titus, chief engineer of the commission, testifying before the special committee of the state senate declared that the funds transfer deprived the state of that amount of Federal aid money. He also said that the “black top” appropriation in 1922 was but $824,247 and it grew’ to the sum of $3,050,980 spent in 1930 for this type of maintenance. Senator Watson Asked To Help. During the inquiry it was brought out that when the depletion of the construction fund became evident in the summer an appeal was made to United States Senator Jim Watson to pull the commission out of the hole by seeking to induce the government at Washington to loosen the rigidity of inspection here in Indiana so the shifted funds might be equalized. “Black top” is the oil composition surface being widely used in secondary road building and upon which the state highway commission placed the designation as maintenance material so that vast sums of money could be expended upon that type of road work. During the past two years the use of “Black Top” became so marked that considerable proportion of the maintenance funds were used and last year particularly the construction fund was raided to provide for the “black top” activities. While the state highway commission since its origin has been largely favorable to cement construction there has been a noticeable swing to the “black top” in the last three or four years. In fact, “black top” activities have spread out to most counties in similar proportions to the highway commission support of this material. Since the Goodrich-Fairbanks interests sold their cement holdings in the state to the International Cement Corporation, the cement trust, several years ago the swing to the substitute material has been noticeable. Prior to the sale of the Goodrich-Fairbanks interests to the trusts for $4,000,000 the highway commission frowned on anything but the cement-hard surface program. Commission Act Astounds. During the past four or five years when the swing to “black top” became evident it has been frequently observed by persons following the activities of the commission that sooner or later a change in commission attitude against the substitutes might be expected. No one, however, expected the commission to adopt a program of raiding the construction fund to promote extensive “black top” operations as has been evidenced last year. Senators are aroused over the change of front of the highway commission and are planning to delve into the matters extensively. Motorists through the payment of license fees and the 4 cents a gallon tax on gasoline provide the highway commission was more than $20,000,000 revenue for construction and maintenance purposes and the raiding of the construction fund strikes them as a most unusual action of the commission. Assembly Busy But Amount Of Work Is Small

Indianapolis, Feb. 6.—(UP)— Finishing touches were being put on personal and corporate income tax measures by the Ways and Means committee of the House today, preparatory to recommendations for passage, expected tomorrow. Enactment of the two measures, it is estimated, would raise approximately $7,500,000 annually, about one-half the present state levy on property. One of the bills chosen for favorable recommendation would place a levy of three per cent on net incomes of corporations; the other would tax personal incomes at from one to four per cent. The committee report will recommend amendments, chief of which will be one requiring secrecy in both corporate and personal income tax returns. Both Houses were occupied in dull sessions yesterday afternoon. Six measures were passed by the Senate, including one legalizing

the killing of pigeons. Another was a resolution providing for appointment of a committee to study the feasibility of consolidating small counties, which would report to the 1933 Legislature. This was recommended in Governor Leslie’s message. The House Old Age Pension bill was sent to the Senate committee on judiciary C, headed by Senator French Clements, Republican. Evansville, who has been leading the attack on a similar Senate bill. The impending debate on the Friedley bill to set up a hoard of seven members to control high school athletics broke when the committee on Judiciary B recommended that the bill be killed. The fight was averted, however, when several senators urged that action be delayed until some time when Senator Russell Kehoe, Democrat, Jeffersonville, could be present. Kehoe has introduced another bill to abolish the present high school athletic association’s hoard of control.

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