[Victory : Official Weekly Bulletin of the Agencies in the Office for Emergency Management. V. 3, No. 18]
[From the U.S. Government Publishing Office, www.gpo.gov]
VICTORY
OFFICIAL WEEKLY BULLETIN OF THE AGENCIES IN THE OFFICE FOR EMERGENCY MANAGEMENT
WASHINGTON, D. C.*
MAY 5, 1942
VOLUME 3, NUMBER 18
IN THIS ISSUE
* Review of the Week_____________ 2
On the Home Front________________ 3
PRICE ADMINISTRATION
Over-all ceiling for duration____ 1
Rent control for 302 new areas— 8
Solid fuel prices regulated._____ 11
Textiles stabilized_____________ 12
PURCHASES
Recovering money on war contracts_____________________ 16
RATIONING
More people to get autos________ 18
Gasoline cards described________ 19
INDUSTRIAL OPERATIONS
Storage batteries curtailed______ 22
Coffee reserved to guard supply— 24
Priority Actions________________ 26
CIVILIAN DEFENSE
Volunteers get Federal recognition. 30
TRANSPORTATION
Nation-wide organization for war. 81
U. S. puts blanket ceilings on retail and wholesale prices; pegs rents in 302 areas
Rigid Government controls for the war’s duration over retail and wholesale prices and rents were announced April 28 by Price Administrator Henderson following President Roosevelt’s call for decisive action to halt the swiftly mounting cost-of-living.
In a single sweeping order—the General Maximum Price Regulation—the Administrator set the highest prices charged tn March 1942 as an absolute ceiling over virtually everything that Americans eat, wear, and use. The only exemptions are a limited list of food commodities. Companion orders paved the way for Federal control of rents in 302 defense areas in 46 States and Puerto Rico, housing more than 76,000,000 persons, and set separate ceilings for a broad range of commodities and products.
What the order does
By its terms, the General Maximum Price Regulation requires that:
1. Beginning May 18, retail prices, with a few exceptions, must not exceed the highest levels which each Individual seller charged during March 1942.
2. Beginning May 11, manufacturer and wholesale prices and the prices for wholesale and industrial services must not exceed the highest tMarch levels for each seller.
3. Beginning July 1, no one may charge more for services sold at retail In connection with a commodity than he charged during March.
4. Effective immediately, all retailers, wholesalers, manufacturers and sellers of services must preserve existing records of sales made during March for maximum pricing purposes when the ceiling goes into effect.
Other highlights of the general order include:
The requirement that every retail store must publicly display the ceiling prices for selected “cost-of-living” commodities on and after May 18;
Immediate licensing of all retailers and wholesalers, effective as of the date the ceiling applies to their articles or services; in other words each retailer should consider himself licensed as of May 18 and each wholesaler as of May 11. Later, wholesalers and retailers will be required to register in writing on forms which OPA will provide.
.COMMODITIES AND SERVICES COVERED
The general regulation applies to prices at all levels—manufacturer, wholesale, and retail—of every commodity or product, domestic or imported, that is neither covered by a separate OPA regulation nor specifically excluded. All services connected with commodities also come under the ceiling.
Prices on literally millions of articles of all sorts are, by the regulation, automatically controlled.z Prices on relatively few products are exempt.
Almost all processed foods
Among those controlled are prices of almost every processed food commodity*—sdch as bread, cake, and bakery products; beef, pork and their products; sugar, ’•fluid milk and cream sold at retail; ice cream; canned meats, soups,
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OVER 1,000,000 WORKING IN PRODUCTION DRIVES—Page 16
457800°—42
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May 5, 1942
Review of the Week
Last week’s big news was the general maximum price regulation which set the highest prices charged by the individual seller in March 1942 as the ceiling over virtually everything that Americans eat, wear, and use. Ceilings are effective May 11 for wholesalers. May 18 for retail sales, and June 1 for retail services. Rent control was ordered for 302 areas in addition to the 21 already designated, putting the freeze as of a certain date on regions populated by some 86 million people in the 323 areas.
Farm produce escapes
Excepted from the. general ceiling were such things as books, magazines, newspapers, and movies, which do not fall within the Price Control Act’s definition of commodities; unprocessed agricultural produce, which cannot be treated under the act until prices rise substantially over parity; some goods like objects of art, for which there is no organized market; and primary raw materials, which are already controlled by individual ceilings. Also excluded were waste materials below the level of the industrial consumer; certain machines and parts made by subcontractors; antimony ore .and concentrates; instrument jewel bearings.
Solid fuel prices pegged
A number of separate ceilings were issued, mostly pegging prices at levels other than March. Dealers’ prices for all solid fuels (except wood) were frozen at December 15-31, 1941, figures. Other separate ceilings were imposed on bituminous coal (producers); miscellaneous solid fuels (producers); rolled zinc products (producers); nonferrous castings (manufacturers); fluorspar (producers); paper, its products and raw materials (manufacturers); standard newsprint (manufacturers, converters, distributors, merchants); camelback (manufacturers) ; waterproof footwear (manufacturers) ; farm equipment (retail); construction and road maintenance equipment (rental); mixed fertilizer (retail); machines and parts (manufacturers and
wholesalers); standard ferromanganese (producers.)
Premiums on motor fuels in East
Service station prices for motor fuels were frozen in another ceiling, providing premiums over the March level for the East, where use of tank cars boosts costs.
Prices of cotton goods and cotton yarns, governed heretofore by a sliding scale based on cost of “spot” raw cotton, were brought to a rest on the basis of the highest March price for the raw material. Action was taken also on woven cotton tickings; on “finished” cotton piece goods; and on raw and processed wool waste, which is the most important substitute for virgin wool in garments.
New autos easier to get
As the public prepared over the weekend for sugar-rationing registration, which began Monday, and learned the details of the interim gasoline rationing cards which will be given out beginning May 12, the Office of Price Administration announced that it was relaxing the conditions for distribution of new automobiles. <
The War Production Board meanwhile restricted deliveries of coffee for large retailers and large restaurants to 75 percent of the amount in the corresponding period of 1941.
War contracts being reviewed
A measure of the growing war effort which underlies these regulations and deprivations was contained in the announcement that funds made available for America’s battle now total more than 162 billion dollars—while President Roosevelt during the week asked for additional appropriations which would round the figure out to some 200 billions. WPB Chairman Nelson revealed that war contracts are being reviewed in all cases where it is believed the ever-increasing swing into mass production has lowered costs to the point where refunds or adjustments for the Government are feasible. Substantial savings already have resulted.
Mr. Nelson also announced that voluntary war-production drives in cooperation with the WPB campaign have been organized in plants employing over a million workers.
On the industrial front, WPB set up machinery to handle power shortages wherever and whenever they may occur; regulated the manufacture of storage batteries to save vital materials; got more metal by limiting the size of hairpins; limited production of protective helmets; banned„fancy finishes on metalworking machinery, to speed up deliveries; put metallic zinc and “high wine” (new source of industrial alcohol) under complete allocation.
Synthetic rubber program increased
WPB placed all rubber substitutes of the Koroseal and Vinylite type under direct allocation; continued restrictions on scrap and reclaimed rubber; and at the same /time authorized the Reconstruction Finance Corporation to provide facilities for an annual production capacity of 700,000 tons of Buna synthetic rubber by the end of 1943—an increase of 100,000 tons over the previous Buna program.
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Wool dealers, shippers asked not to overtax Boston storage space
ODT Director Eastman, in a statement issued May 1, called upon wool dealers, shippers, cooperative organizations, and mills to do everything within their power to prevent arrival in the Boston area of more wool than they can handle without delay and with minimum storage and warehouse requirements.
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WAR EFFORT’S PROGRESS TOLD VISUALLY
The charts appearing every week on the front cover of Victory tell the story of America’s battle as it is fought here at home. One-column mats are available for publication by newspapers and others who may desire them. Requests should be sent to Distribution Section, Division of Information, OEM, Washington, D. C.
VICTORY
OFFICIAL BULLETIN of the Office for Emergency Management. Published weekly by the Division of information, Office for Emergency Management, and printed at the United States Government Printing Office, Washington, D. O.
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May 5, 1942
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On the Home Front
Today, five months after Pearl Harbor, the U. S. A. has driven the last spike in the framework for total war on the five continents and the seven seas. In one hundred and fifty days we have mobilized our vast reservoir of brains, brawn and spirit—men, materials and machines—for titanic death struggle with the Axis.
Here are the timbers in that stout framework: Our production machine moving toward maximum conversion to war; the flower of our youth training for service in the air, on the land and at sea; our technical skill massing for duty at lathe and punch-press; our scarce supplies of automobiles, rubber, gasoline and sugar rationed in justice to all; our materials guarded by a Nation-wide drive for saving and for salvage and, finally, our economic resources marshalled securely under the price and rent-fixing regulations.
“Strides made by a free people”
Democracy’s enemies scoff at its alleged inefficiency but democracy’s friends might well exult over this record. For these strides have been made by a free people, acting voluntarily under the direction of their'duly-elected leaders. No concentration camps, no dragooning of helpless minorities, no “one-way ballots,” no whiplash of invective and harangue accomplished this job. The goal was set, the blueprints mapped, the requirements were explained—and the people responded.
“Privilege”—not “sacrifice”
Americans have dropped the word “sacrifice” from their vocabulary and substituted the word “privileged” because as President Roosevelt said in his last message to Congress, “free men and women, bred in the concepts of democracy, and wedded to the principles of democracy, deem it a privilege rather than a sacrifice to work and to fight for the perpetuation of the democratic ideal.”
More ceilings on what we eat and wear
It would have been futile to convert the great automobile industry and other durable goods industries to war work, send our workers to man the machines of war and our boys to foreign fronts, dole out our scarce commodities, conserve our household appliances, collect old scrap iron and share our cars with
our neighbors—if at the same time we had permitted our national economy to careen toward certain disaster down the highroad of inflation.
The Office of Price Administration recognized what every housewife and every businessman knew, too—that the cost of living was getting out of hand and that something must be done to halt the inflationary spiral. That’s why the OPA
REPRINTING PERMISSIBLE
Requests have been received for permission to reprint “On the Home Front” in whole or in part. This column, like all other material in Victory, may be reprinted without special permission. If excerpts are used, the editors ask only that they be taken In such a way that their original meaning is preserved.
last week imposed a ceiling on almost all prices for the things we eat and wear and use and a roof on rents in areas housing 76,000,000 people.
No “dead” mileage for taxicabs
The importance of transportation as an indispensable link between Democracy’s arsenal and her battlefront has been underlined by Joseph B. Eastman, director of the Office of Defense Transportation. Last week he told the taxicab industry that the highly personalized service received by one billion passengers last year must end, that cruising must be abolished and dead mileage pared to the bone.
Other steps to make the Nation’s wheels,roll farther and carry more: War workers and civilian employees were urged to move as close to their places of work as possible to save millions of miles in tires and gasoline. The use of closed freight cars for transporting shipments within cities was banned wherever motor vehicles can be utilized.
Illustrating his recent statement that “We are over the hump on war production,” Donald M. Nelson, Chairman of the War Production. Board, remarked on the success of the War Production Drive in a message to the Citizens for Victory Committee of San Francisco. More than a million men and women are on the job in factories where Joint Labor-Management Production Drive Committees have been set up, he said, and such committees will soon be under way in more than a thousand plants.
Women are being shown new ways in which they can contribute to the war effort. Now they are asked to save the metal, glass and plastic containers in which they buy their glamour aids and hold them for refills.
This might seem like a trifle measured against the gigantic panorama of war production, but look at the figures: In 1941, it is estimated, three to five million pounds of plastics, 10,000 tons of steel, 2,250 tons of copper and 550 tons of zinc were consumed by the cosmetics industry. A lipstick holder saved is a bullet gained.
More rubber planned------for war
The Reconstruction Finance Corporation has been authorized to build plants sufficient for the production of 700,000 tons of Buna synthetic rubber a year, starting not later than the end of 1943, an Increase of 100,000 tons over the previous program approved by WPB . . . But all this and more too will be needed for military operations, none of it will be available for civilian use . . . Fifty-eight specialists with wide experience in the consumer’s field have been appointed to help unravel the knots in the sugar rationing program. They will be on hand in regional and local offices in the 48 States and the District of Columbia when consumers register this week for their War Ration Books . . . Steamships starting voyages may get their sugar just by signing a receipt. .. But OPA is drafting regulations for them.... When the President signed the Sixth Supplemental War Appropriation Act, involving 19 billion dollars, it raised the total funds made available by Congress and the RFC for war purposes to $162,416,000,000. . . . The WPB has set up the machinery to prevent power shortages by choking off the flow of electricity to nonessential services and diverting it to war industries and primary civilian needs. ... War comes to Derbytown: OPA has requested the hotel men of Louisville, Ky., not to jack up the rates for war workers caught in the flood of racing fans bound for the Derby. . . . The U. S. coffee supply has been placed under WPB restrictions. Roasters may not deliver to wholesalers more than 75 percent of the brown bean supplied in 1941. It’s needed for the Army and Navy . . . Stabilization of the cost of cotton goods for the American wardrobe has been buttressed by the freezing of manufacturers’ and wholesalers’ selling prices. . . . WPB has released a total of 19,351 trucks and truck trailers under the ration program announced March 9. Most of these have gone to war agencies, Lend-Lease operations, or the export market.
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May 5, 1942
PRICE ADMINISTRATION . . .
U. S. puts blanket ceilings on retail and wholesale prices; pegs rents in 302 areas
(.Continued from page 1) canned fruits and vegetables; canned fish and other canned seafoods; cereals; lard and shortening; coffee, tea, cocoa, salt, and spices. Also covered by the ceiling are all clothing, shoes, dry goods, and yard goods; soap in all forms; every kind of common fuel (even firewood); pipes, cigars, cigarettes, and prepared smoking and chewing tobacco; drugs, toiletries, and sundries; furniture and furnishings; appliances and equipment; and hardware and miscellaneous agricultural supplies.
Specifically mentioned in the regulation are “cost-of-living” items including those which are most significant in the budgets of average low-and-middle-in-come family groups. Ceiling prices on such items must be publicly displayed by retailers, thus giving consumers every possible assurance that they will not be charged more than the highest prices reached last March.
Existing schedules remain
All of the existing OPA schedules and regulations issued over the past year continue in full force and effect. Those commodities covered by temporary 60-day regulations automatically will come within the provisions of the general ceiling regulation upon their expiration unless otherwise treated by separate orders.
Separate orders, issued simultaneously with the general regulation, impose maximum prices over a broad range of products of a nature requiring special pricing treatment. For the most part, these separate regulations set prices back beyond March 1942—in some cases back to the levels of last October.
In addition to the separate orders, there are several amendments intended for the most part to make outstanding regulations conform with provisions of the general order. One highly important series of amendments eliminates. OPA’s “sliding-scale” maximum prices for cotton yarns and textiles. By these amendments the maximum prices of all cotton textiles and yarns covered by OPA ceilings are fixed at the levels determined by the highest price quoted for raw cotton on 10 spot markets during March— 20.37 cents a pound. Alsd issued with
the general regulation was a supplementary. order revoking seven temporary maximum price regulations, thus bringing the commodities involved under the new general regulation,
EXCLUSIONS
Commodities not covered by the regulation fall generally into three classifications:
1. Those that are exempt because of provisions of the Emergency Price Control Act of 1942 either (a) because they do not fall within the Act’s definition of a “commodity”—this excludes advertising, newspapers, books, magazines, motion pictures, wages, common carrier and public utility rates, insurance, real, estate, and professional fees; or (b) by reason of the Act’s special treatment of agricultural commodities unless and until they attain a level reflecting a substantial premium over parity.
2. Commodities which do not have organized markets and for which it would be almost impossible to determine maximum prices either on the basis of previous sales or prices for comparable articles. Examples are: highly seasonal fresh vegetables, fresh fish and game, objects of art, and collector’s items.
3. Primary raw materials-r-such as timber and mineral ores—all prices for which are substantially controlled by ceilings already in effect at certain levels.
Administrator Henderson explained that many of the commodities which are left free of price regulation at the present time will be covered in the future by supplementary orders. Among other things, he said, it is planned to set maximum prices for certain agricultural prod-
TEMPORARY CEILINGS REVOKED
The following temporary maximum price regulations are being revoked, bringing the products concerned under the provisions of the general maximum price regulation:
Number of Tem-jorary Regulation Products
12 Domestic washing machines and ironing machines—distributors and retailers.
13 Resale of new domestic cooking and heating stoves and ranges.
14 Resale of - new radio- receiving sets and phonographs—distributors and retailers.
15 New typewriters. -
17 Plumbing fixtures.
18 Domestic electrical appliances.
19 Oil paints and varnish.
ucts as soon as such action is consistent with present or future legislation.
Some items specifically excepted
Specifically listed as “excepted” in the regulations are:
1. Any raw and unprocessed agricultural commodity or greenhouse commodity while it remains in substantially its original state, except bananas. In general, prices of such commodities are fixed at the stage of first processing, although fresh fruits and vegetables, plants, flowers and the like are excluded entirely.
2. Eggs and poultry.
3. All milk products, including butter, cheese, condensed and evaporated milk (but not fluid milk sold at retail, cream sold at retail, and ice cream).
4. Flour (but not packaged cake mixes and other packaged flour mixes).
5. Mutton and lamb.
6. Fresh fish and seafood, and game.
7. Dried prunes, dry edible beans, leaf tobacco (whether dried or green), nuts (but not peanuts), linseed oil, linseed cake and linseed meal, mixed feed for animals, and manure.
8. Living animals, whether wild or domestic.
9. Books, magazines, motion pictures, periodicals, newspapers, and materials furnished for publication by any press association or future service.
10. Domestic ores and ore concentrates.
11. Stumpage, logs, and pulpwood.
12. Stamps and coins; precious stones; antiques and knotted oriental rugs; paintings, etchings, sculptures, and other objects of art.
¡13 . Used automobiles.
14. Wood and gum for naval stores (resin, turpentine, etc.) and naval stores prior to sale to industrial consumers, or prior to the first sale to a distributor. (HoWever, all sales of naval stores on any Exchange are not exempt.)
15. Securities (“Securities” are defined as any notes, stocks, bonds, or instruments commonly known as securities.)
Supplementary Regulation No. 1 to the general order, issued at the same time, lists several additional exceptions, including sales of all waste materials up to the level of the industrial consumer; zinc, lead and tin industrial residues; certain machines and parts manufactured in the course of subcontracting (and the services performed on these subcontracted materials); antimony ore and concentrates; and Instrument jewel bearings.
Individual or special transactions
To make provision for transactions of an individual or special nature the general regulation exempts the following sales and deliveries:
1. By hotels, restaurants, soda fountains, bars, cafes, or other similar establishments, of food or beverages prepared and sold for consumption on the premises.
2. To the United States or any of its agencies of such commodities or in such transactions as may be specified by supplementary regulations. These supplementary regulations will Include broad categories of finished military equipment.
3. By a farmer, of commodities grown and processed on his farm, if the total of such sales or deliveries does not exceed $75 in any one calendar month. (This permits the sale of small farm processing items such as smokied ham, bacon, maple syrup, cider, etc.)
4. By an owner, of his used personal or household effects or other personal property used by him.
May 5, 1942
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5. By any merchant, farmer, artisan, or person who renders professional services, of his used supplies, or business, farm or professional equipment, not acquired or produced by him for the purpose of sale.
6. At a bona fide auction, of used household or personal effects.
7. By a breeder, trapper,-or hunter, of pelts, furs, or other parts of wild animals raised by him, or trapped, shot, or killed by him, if the total of such sales or deliveries does not exceed $75 in any one calendar month.
8. Of commodities sold without private profit in the course of any sale, fair, or bazaar conducted for a period of not more than 15 days by any religious, charitable, or philanthropic organization.
Professional services excluded
Personal services not connected with commodities, and professional services are excluded from the order. AU other retail services having to do with the installation, maintenance, preservation, repair, storage, and distribution of commodities must be priced no higher than the highest levels charged in March 1942. (The “retail service” ceiling goes into effect July 1.)
Thus the rates charged by automobile repair shops, garages, tailors, laundries, dry cleaners, shoe repair establishments, etc., are covered by the regulation, while the prices set by barbers and beauty shops (services to the person) and the fees of doctors, dentists, and lawyers, etc. (professional services) are not.
Services that are not rendered at retail, for example, repair of machinery in a manufacturing plant by an outside contractor, come under the ceiling on May 11—the same date on which maximum prices apply to manufacturer and wholesaled.
Text of the general regulation lists “excepted services” as follows:
a. Services of an employee to his employer.
b. Personal services not rendered In connection with a commodity.
c. Professional services.
d. Motion pictures, theaters and other entertainments.
e. Services of a common carrier or public utility.
f. Advertising services, including radio broadcasting.
g. Insurance and underwriting services. h. Press association and feature services.
i. Services relating solely to real property. j. Such other services as may be specified by supplementary regulations.
RENTS
The Price Administrator’s action on rent applies to defense rental areas in every State of the union except North Dakota and Idaho and extends into Puerto Rico also. Metropolitan New York with close to nine million people is covered as well as King George County, Virginia, with a population of only 5,400.
In effect, Mr. Henderson recommended the maximum rent ceiling for each of 302 groups of communities. If his recommendations are not carried out within the next 60 days, he is empowered by the Emergency Price Control Act to step in and impose Federal controls. This is not OPA’S first action on high rents, since 21 areas with an aggregate population of 10 million persons already are on notice to bring rents down. In four-fifths of the areas so far announced, Mr. Henderson’s recommendations would freeze rents as of March 1, 1942, thus wiping out any increases that have occurred during the current spring moving
and leasing period. Because exorbitant increases have taken place in 64 areas, the Price Administrator recommended that rents be cut back to levels in effect on January 1, 1941, April 1,1941, or July 1, 1941. Ten of the 21 areas previously designated were enlarged.
Appeals to landlords, tenants
“Rent control is a war measure and an essential part of the over-all price ceiling,” Mr. Henderson stated. “Rent is second only to food in importance to the average family budget and American families spend 5 to 6 billion dollars a year for rent.”
Hr appealed to every landlord and every tenant to cooperate with each other and with the Government to guarantee success of the program, which he described as “an invaluable contribution to the war effort on the home front.” He warned that the March 1, 1942, rent date would not establish fair levels in many cases and that if voluntary adjustments were not sufficient he would reconsider and take appropriate action. “Furthermore,” he added, “the designation of 323 areas does not mean that rents would not be checked in the ftfW remaining sections of the country still free of control. We are continuing our study of local conditions and will move immediately into additional areas whenever it appears that the defense activities are likely to result in higher rents.”
Three main points are involved in Mr. Henderson’s rent recommendations: (1) For housing accommodations rented on the maximum rent date (March 1, 1942 or January 1, April 1, or July 1, 1941, as the case may be) the rent shall not exceed that charged on the maximum rent date. (2) Provision must be made for establishing maximum rents for accommodations not rented on the maximum rent date, or substantially altered subsequently. (3) Provisions must be made to prevent evasion of maximum rents and to protect the tenant against unwarranted eviction.
Of the 323 defense rental areas designated, 132 contain establishments of the armed forces, 63 primarily are centers of ordnance manufacture and storage, 15 are mainly shipbuilding and ship repair centers, 8 are locations of aircraft plants, and the remaining 105 contain establishments engaged in varied war production.
MAXIMUM PRICES
One feature of the General Maximum Price Regulation will result in different prices for the same article in different stores, even though they are under com-{Continued on page 6)
SEPARATE MAXIMUM PRICE REGULATIONS
Following is a list of the separate maximum price regulations issued April 28 by Price Administrator Henderson in connection with announcement of the general maximum price regulation:
Beg. No. Commodity or product To whom ceiling applies Price level date Effective date
120 Bituminous coal Producers Oct. 1-15,1941 May 18 Do.
121 Miscellaneous solid fuels Producers Dec. 15-31,1941 .. ..
122 All solid fuels .. Dealers other than producers.. Producers Dec. 15-3R 1941 Do. May 11 Do.
124 Rolled zinc products ...... Nov. 29,1941.
125 Nonferrous castings.. M anuf act urers................ Oct. 1-15 1941
126 Fluorspar 7 Producers Jan. 2,1942 .. Do.
129 Paper, paper products, raw materials for paper and paper products. Standard newsprint paper M anufact urers Oct. 1-15, 1941, generally. A later date in a few cases. Oct. 1-15,1941 same as April 1, 1938. March level :. Do.
130 Manufacturers, converters, , distributors and merchants. ' Manufacturers Do.
131 Camelback for recapping and retreading tires. W aterproof footwear Do.
132 Manufacturers .... March level Do.
133 Farm equipment Retail .... Oct. 1-15,1941. Do.
134 Construction and road mainte- Rental to user ... Oct. 1-15, 1941.... Do.
135 nance equipment. Mixed fertilizer machines and Retail....... Feb. 16-21,1942. Apr. 28 May 18 >
parts. Standard ferromanganese Manufacturers and whole- Oct. 1,1941...
- salers. Producers Oct. 1-15,1941
Residential rents Housing accommodations in specified areas. Varies from January 1,1941, to March 1, 1942.
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May 5, 1942
U. S. imposes blanket
(Continued from page 5) mon ownership or are located in the same neighborhood. This is because the order requires each individual seller (and each store is considered “an individual seller”) to charge no more for any article than the highest price charged in that particular store during March 1942. As an example, Mr. Henderson pointed out that a certain brand of tomatoes might have a maximum price of 12 cents per can in one grocery, while in a market around the corner the can of tomatoes of the same brand and size might be priced at 11 cents.
Housewives will recognize that this situation prevails even under ordinary conditions. The only change made by the new regulation is to require each seller not to exceed his maximum price. However, the regulation specifically allows any seller to lower his price; hence, competition may well iron out many of the different prices over a period of time.
How to determine ceilings
The heart of the regulation is contained in Sections 2 and 3—the provisions by which maximum prices are determined.
As a first step, the seller is ordered to take for his maximum the highest price he charged during March 1942 for the same commodity or service sold to a purchaser of the same class.
“Highest price charged” means two things:
First, it means the top price for which an article was delivered during March 1942 in completion of a sale to a purchaser of the same class. Customary allowances, discounts or other price differentials cannot be changed, except to lower the price. Thus a physician who buys bandages or proprietary medicines from a local drugstore will, if he has a professional discount, continue to receive the benefit of a lower maximum price than an ordinary citizen.
Second, if there was no actual delivery of a particular article during March, the seller may establish as his maximum price the highest price at which he offered the article for sale during that month. This permits the use of a list price if no completed sale occurred in March. Conversely however, if there was a completed sale at a price under the list price the actual sale price must be used as the maximum. The “offering price” where used to set the maximum price cannot be a “freak” price quoted to open bargaining or one never intended to apply to a bona fide sale.
These two provisions are expected to permit retailers to arrive readily at ceiling prices for the great majority of their articles.
Articles not sold in March
To cover articles that were not sold during March and had no offering price—such as a
price ceilings
new line of canned goods—-the seller must establish as his maximum price the highest price charged in March for the most nearly similar article. The seller cannot use his own discretion to adjust the maximum price for the new article up or down because it may vary in grade or quality or size, but must adhere strictly to the “March highest” price of the most similar article.
A "similar commodity” is defined as one that has the same use, gives the buyer fairly equivalent serviceability, and is of a type which ordinarily would be sold in the same price line. Differences merely in style or design which do not affect use, serviceability or the price line cannot be taken into account.
In cases in which a seller did not deal in the same or similar commodities or services during March 1942 (for example, a person who took on a completely new line of goods during April), he must base his maximum price on the highest price charged during March by his most closely competitive seller of the same class. The seller here cannot use the prices of a more pretentious store in a better neighborhood, but must find a store as nearly like his own as possible. If the “competitive seller” does not have, item by item, the same brands and grades of goods, the seller seeking prices must apply the most nearly similar commodity standard as outlined above.
Pricing other items
Inevitably, there will be a small number of commodities which a seller will be unable to price under any of the foregoing methods. These commodities usually will be wholly new and there may be no standard of comparison with any existing article. In this case, a retail or wholesale seller will select the fastest moving comparable commodity of the same general classification; divide its nt&ximum price by his current replacement cost and multiply the percentage result by the cost of the new article. The figure obtained will be the maximum price of the new article and must be reported to the nearest OPA field office within 10 days. In other words, the retailer gets the same percentage margin on his new item as he would get on the comparable fast-selling item if he had to buy that item now.
Manufacturers seeking to price a new article must apply to OPA, giving full information, and then will be told how to calculate the maximum price.
ADMINISTRATION
In order to administer the universal ceiling; OPA has made extensive changes in its organization. A Retail Trade and Service Division has been established in the Washington office. This Division will have responsibility for ironing out irregularities in the ceiling at the retail level and for working with retailers in the administration of the regulation. The present regional offices of the OPA situated in Boston, New York, Cleveland, "Atlanta, Dallas, Chicago, Denver and San Francisco are being enlarged and a special staff has been stationed in every regional office to aid in organization for the new program. In addition, State and district offices are being opened to decentralize administration as widely as possible. The process of decentralization
eventually will involve the establishment of local War Prices and Rationing Boards in each community. Further information on the regulation will be made available by OPA through the press and radio. Urgent inquiries should be addressed to the regional office serving the area in which the person resides. To facilitate the work of OPA it is requested that such communications be confined during the next few weeks to those of the most compelling character.
LICENSING AND REGISTRATION
While on May 11 and 18, 1942, respectively, all wholesale and retail sellers of commodities covered by the general regulation or by any other outstanding schedules or regulations of OPA are automatically licensed by the Administrator, there will be no physical evidence of the license issued immediately. Nevertheless, the provisions of the price control law are applicable, which means that a licensee who violates the regulation may, after warning by OPA, have his license suspended by court action.
Sellers of services At retail do not become licensed until July 1, 1942, when the maximum price provisions of the order as applied to them go into effect.
National registration coming
A national registration of every retail and wholesale outlet will be undertaken in the near future. Each store or business establishment must be registered separately. Forms for this purpose will be issued by OPA.
With reference to the posting of “ceiling prices” for the “cost-of-living” items listed, the order requires the article itself or the shelf, box, rack or counter to be marked, or a price list posted for public inspection. Maximum price is to be stated as “Ceiling Price $----” or “Our
Ceiling $-----.” Lines of certain mer-
chandise, such as suits, coats, hosiery, and dresses, may be posted by price-lines in the store and, in addition, the actual selling price (which may be lower than maximum price) must be marked on the article itself.
Penalties that the Emergency Price Control Act provides for violations of the Administrator’s regulations, orders, etc., include fines of not more than $5,000 or 1 year’s imprisonment, or both; civil suits for treble damages (these suits may not 'be brought until July 31, 1942); and revocation of the seller’s license for not more than 12 months. All sellers are subject to the criminal penalties, but only those buyers who purchase OPA-regulated commodities or services in the course of trade or business.
May 5, 1942
★ VICTORY ★
7
WHAT HOUSEWIVES SHOULD KNOW ABOUT PRICE CEIUNG
Q. When does the ceiling become effective?
A. 1. For goods sold at retail, the ceilings apply on May 18,1942.
2. For services at retail, that is, rendered to the ultimate consumer, the ceiling applies on July 1, 1942.
3. For sales by manufacturers, producers and wholesalers, and services rendered to an industrial consumer, the ceiling applies on May 11, 1942.
Q. Will the ceiling prices be the same at every store for the same article?
A No. In general, the ceiling is the highest price at which each store sold an article during March. The maximum price will vary from store to store just as prices varied from store to store during March.
Q. How will the housewife know what the maximum prices are?
A. The Regulation lists about 100 of the most important groups of items in the average family’s cost of living. The maximum prices of these items must be displayed by any retailer selling them after May 18.
Q. What about prices of goods that are not on the cost-of-living list?
A. Until July 1, the housewife should ask the storekeeper for his maximum prices. After July 1, the retailer must have a prepared statement of the highest prices for all commodities or services which he delivered or supplied during March. This may be examined by any one on request.
Q. What should the housewife do if she believes that she is required to pay more than a storekeeper’s maximum?
A. She should ask the storekeeper to explain the price to her. If she still believes that she is required to pay more than his legal maximum, she should communicate the facts to OPA’s nearest War Price and Rationing Board or its nearest local office.
Q. How can the shopper obtain a record showing what she paid so that she can make positive comparison with March prices?
A. Every store, when requested by a customer, must give a sales slip or receipt showing the date, the name and address of the store, the item sold, and the price received.
Q. What articles are covered by price ceilings?
A Practically every article used in the life and work of America.
NOTE.—For an outline of the exceptions to the ceiling, see pages 4 and 5.
Learn ceiling methods, talk to retailer first when in disagreement, OP A urges
Patience and tolerance by the buying public—for which the price control program is being placed in operation—was urged April 30 by the Office of Price Administration.
Americans will recognize that the overall ceiling on prices is their protection against the rising cost of living, Administrator Henderson said.
“Long-run success of the program requires the complete cooperation of the consumer. The housewife and the shopper can help by learning how price ceilings will operate and by showing patience while a program so vast is getting under way. . . .
“Shoppers should realize that by the 18th of May every retailer must reprice his merchandise in keeping with the price regulations and after May 18 he can not make sales above the ceiling. This is a tremendous task, especially for small merchants whose records may be Incomplete.
"When disagreements arise, the shopper and the seller should get together and see if they can not reach a common understanding. Only after that has been done and the shopper has facts to warrant a conclusion that price regulations are being violated should the matter be reported to enforcement authorities.”
An outline of the part the housewife and shopper can play in making the over-all ceiling of prices effective was contained in this three-point guide from the OPA:
1. Before July 1: Educate yourself and your neighbor on the price regulations and how they operate.
Don’t try to be a price-policeman. Leave the policing job to the Office of Price Administration. From the very start, prices will be under the closest surveillance by OPA, which will use trained technicians of the Bureau of Labor Statistics to check price trends.
2. After July 1: By this time War Price and Rationing Boards—committees of your neighbors—will be operating and handling complaints. Know how and where and in what detail to report violations. The boards will sift complaints and make adjustments wherever possible, but will turn special cases over to OPA enforcement officials for final action.
Meanwhile, OPA will train professional shoppers to work with each War Price and Rationing Board and police prices in the area.
8. For the long-run: Realize that you have a personal responsibility to buy only at or below the ceiling price. As goods become scarce, get together with your neighbors to help make the scarce goods go farther, to pool delivery services, and to find substitutes.
★ ★ ★
Territories’ ceilings remain unless construed inconsistent
Price ceilings which have been established by Territories and possessions of the United States, through action of their own legislative bodies, are to remain in force unless and until they are construed to be inconsistent with the purposes and provisions of the Emergency Price Control Act or regulations issued under the authority of that act, Price Administrator Henderson stated April 28.
★ ★ ★—
Tin-coated iron and steel scrap prices raised
Revised Price Schedule No. 4 for iron and steel scrap has been amended to provide an upward adjustment in the price of bundles made exclusively of tin-coated materials, Price Administrator Henderson announced April 28.
The amendment, which became effective April 28, 1942, also adds a new requirement to the schedule with regard to rail or Vessel shipping notices and stiffens the regulations on mixed shipments of scrap.
The amendment—-titled Amendment No. 3—increases by $4 per gross ton the price of bundles made exclusively of tin-coated material. The former provision priced such bundles at $8 per gross ton below No. 2 dealers’ bundles.
The reduction of the $8 per ton differential to $4, OPA officials said, was made to assure a more adequate supply.
★ ★ ★
RUBBER FOOTWEAR CEILINGS
Maximum Price Regulation No. 132, effective May 11, establishes ceilings on manufacturers’ wholesale prices for waterproof rubber footwear at the levels that prevailed under voluntary agreement during March.
8
★ VICTORY ★
May 5, 1942
Rent control ordered for 302 more areas in parts of 46 States, all of Puerto Rico
The 302 “defense-rental” areas designated by OPA April 28 for rent control (see p. 4) have a population of 76,000,000 people. The addition of these areas to the 21 already named places rent control over regions with a total of 86,000,000 inhabitants.
The 323 areas now under control are listed below. Each area is named by its principal center of population or by the geographic name most common to the section. Areas extend beyond the municipal areas of the principal city or cities within them and have been defined chiefly in terms of counties and parishes. The date given in each case is that whose rentals are recommended as the maximum.
ALABAMA: Anniston, Counties of Calhoun and Cleburne—April 1, 1941; Birmingham*— Jefferson County—April 1, 1941; Columbus, Ga.*—In Russell County, Ala., Election Precinct One, including the City of Phenix City; and Muscogee Co., Ga.—January 1, 1941; Dothan-Ozark—Counties of Dale and Houston—March 1, 1942; Gadsden—Etowah County—March 1, 1942; Huntsville—Counties of Limestone, Madison and Morgan—April 1, 1941; Lannett—Chambers County—March 1, 1942; Mobile*—Mobile County—April 1, 1941; Montgomery—Counties of Elmore and Montgomery—March 1, 1942; Muscle Shoals— Counties of Colbert and Lauderdale—April 1, 1941; Selma—Dallas County—March 1, 1942; Talladega—Counties of St. Claire, Shelby, Talladega—April 1, 1941; Tuskegee—Macon County—March 1, 1942.
ARIZONA: Fort Huachuca—Counties of Cochise and Santa Cruz—March 1, 1942; Phoenix-Salt River Valley—Counties of Gila and Maricopa—March 1, 1942; Prescott-Flagstaff—Counties of Coconino and Yavapai— March 1, 1942; Tucson—Pima County— March 1, 1942.
ARKANSAS : Benton-Bauxite—Saline County—March 1, 1942; Blytheville—Mississippi County—March 1,1942; Camden—Counties of Calhoun and Ouachita—March 1, 1942; El Dorado—Union County—March 1, 1942; Fort Smith—Sebastian County—March 1, 1942; Hope—Hempstead County—March 1, 1942; Little Rock—Counties of Lonoke and Pulaski—March 1, 1942; Memphis, Tenn.— Crittenden County, Ark.; Shelby County, Tenn.—March 1, 1942; Pine Bluff—Jefferson County—March 1, 1942; Texarkana—Miller County, Ark.; Bowie County, Tex.—July 1, 1941.
CALIFORNIA: Bakersfield—Kern County— March 1, 1942; Chico—Butte County—March 1, 1942; Fresno—Fresno County—March 1, 1942; Lassen County—Lassen County—March 1, 1942; • Lemoore-Hanford—Kings County— March 1, 1942; Los Angeles—Counties of Los Angeles and Orange—March 1, 1942; Marysville-Yuba City—Counties of Sutter and Yuba—March 1, 1942; Merced—Merced County—March 1, 1942; Monterey Bay— Counties of Monterey and Santa Cruz— March 1, 1942; Ri ver si d e—Riverside County—March 1, 1942; San Bernardino—Ban Bernardino County—March 1, 1942; San Diego**—Area Extended; now include^all of San Diego County—January 1, 1941; San Francisco Bay—Counties of Alameda, Contra Costa, Marin, Napa, Sacramento, San Francisco, San Joaquin, San Mateo, Santa Clara, Solano, Sonoma, and Yolo—March 1, 1942; San Luis Obispo—San Luis Obispo County—
January 1, 1941; Santa Barbara—Santa Barbara County—March 1, 1942; Visalia-Tulare— Tulare County—March 1, 1942.
COLORADO: Colorado Springs—El Paso County—March 1, 1942; Denver—Counties of Adams, Arapahoo, Denver and Jefferson— March 1, 1942; Pueblo—Pueblo Comity— March 1, 1942.
CONNECTICUT: Bridgeport**—Area extended; now includes all of Fairfield County— April 1, 1941; Hartford-New Britain* *—Area extended; now includes Counties of Hartford, Middlesex and Tolland; and in the County of New Haven, the towns of Meriden and Wallingford—April 1, 1941; New Haven— In the county of New Haven, the towns of Ansonia, Branford, Derby, East Haven, Guilford, Hamden, Madison, Milford, New Haven, North Branford, North Haven, Orange, Seymour, West Haven and Woodbridge—April 1, 1941; New London—Counties of New London and Windham—April 1; 1941; Waterbury**—Area extended; now includes Litchfield County and in the County of New Haven the towns of Beacon Falls, Bethany, Cheshire, Middlebury, Naugatuck, Oxford, Prospect, Southbury, Waterbury, and Wolcott— April 1, 1941.
DELAWARE: Wilmington — New Castle County, Del.; Salem County, N. J.—March 1, 1942.
FLORIDA: Banana River—Brevard County— March 1, 1942;. Fort Meyers—Lee County— March 1, 1942; Gainesville-Starke—Counties of Alachua, Bradford and Clay—January 1, 1941; Hobe Sound-Stuart—Martin County— March 1, 1942; Jacksonville—Duval County-April 1, 1941; Key West—Monroe County—■ March 1, 1942; Orlando—Orange County— March 1, 1942; Panama City—Bay County-March 1,1942; Pensacola—Escambia County-March 1, 1942; Sebring—Highlands County—
Service station gasoline price set at March level with additions for East Coast
Motor fuel prices at all service stations throughout the country—with the exception of 17 East Coast States and the District of Columbia—have been placed under a ceiling based on the highest prices charged by each individual seller during March 1942, Price Administrator Henderson announced April 28.
These price ceilings were established by OPA in Maximum Price Regulation No. 137. The new maximums become effective May 18, 1942.
In the east coast area, service stations will be allowed to charge the highest prices prevailing during March 1942, plus 0.4-cent per gallon in the case of gasoline and 0.2-cent per gallon in the case of Diesel fuel (used for heavy trucks, buses, and boats). Due to abnormal war conditions, much gasoline customarily arriving in this territory via ocean tanker now is being moved by tank car, which is more expensive.
March 1, 1942; Tallahassee—Leon County-March 1, 1942; Tampa—Counties of Hillsborough, Pinellas and Polk—March 1, 1942; Valparaiso — Okaloosa County — March 1, 1942.
GEORGIA: Albany—Dougherty County— March 1, 1942; Atlanta—Counties of Clayton, Cobb, De Kalb and Fulton—March 1, 1942; Augusta—Richmond County, Ga.; and Aiken County, S. C.—March 1, 1942; Chattanooga, Tenn.—Counties of Catoosa, Dade and Walker, Ga.; Bradley, Hamilton and Marion Counties, Tenn.—March 1,1942; Columbus*— Muscogee County, Ga.; in Russell County, Ala.; Precinct one, including Phenix City— January 1, 1941; Copperhill-McCaysville— Fannin County, Ga.; Polk County, Tenn.— March 1, 1942; Hinesville—Liberty County— March 1, 1942; Macon—Counties of Bibb, Houston and Peach—April 1,1941; Moultrie— Colquitt County—March 1, 1942; Savannah— Chatham County—March 1, 1942; Toccoa-Stephens County- -March 1, 1942; Valdosta— Lowndes County—March 1, 1942.
ILLINOIS: Burlington, la.**—Area extended; now Includes Henderson County, Hl.; Des Moines, Henry and Lee Counties, la.—January 1, 1941; Chicago—Counties of Cook, Du Page, Kane and Lake—March 1, 1942; Crab Orchard—Counties of Jackson and Williamson—March 1, 1942; Dixon—Lee County —March 1, 1942; Joliet — Will County—April 1, 1941; Peoria—Counties of Peoria and Tazewell—March 1, 1942; Pike— Pike County, Hl.; Pike County, Mo.—March 1, 1942;- Quad Cities—Rock Island County, UI.; Clinton and Scott Counties, la.—March 1, 1942; Quincy—Adams County, Hl.; Lewis and Marion Counties, Mo.—March 1, 1942; Rantoul—Champaign County — March 1, 1942; Rockford—Boone and Winnebago Counties—March 1, 1942; Savanna—Carroll County—March 1, 1942; Springfield-Decatur—Counties of Christian, Logan, Macon and Sangamond—March 1, 1942; St. Louis, Mo.—Counties of Madison, Monroe, and St. Clair, Hl.; Counties of Jefferson, St. Charles, St. Louis, Mo., City of St. Louis, Mo.—March 1, 1942.
INDIANA: Bedford—Counties of Lawrence and Martin—March 1, 1942; Clinton-Newport—Counties of Parke and Vermillion— March 1, 1942; Columbus—Counties of Bartholomew and Brown—March 1, 1942; Connersville—Fayette County—March 1, 1942; Evansville-Henderson—Vanderburgh County, Ind.; Henderson County, Ky.—March 1, 1942; Fort Wayne—Allen County—March 1, 1942; Gary-Hammond—Lake County—March 1, 1942; Indianapolis—Marion County—July 1, 1941; La Fayette—Counties of Fountain, Tippecanoe and Warren—March 1, 1942; La Porte-Michigan City—Counties of La Porte and Starke—April 1, 1941; Louisville, Ky.—Counties of Clark and Floyd, Ind.; Jefferson County, Ky.—July 1,1941; Madison—Jefferson County, Ind.—March 1, 1942; Muncie-Anderson— Counties of Delaware, Grant, Howard and Madison—March 1, 1942; South Bend*— Counties of St. Joseph and Elkhart—January 1, 1941; Terre Haute—Vigo County— March 1, 1942.
IOWA: Burlington**—Area extended; now Includes Counties of Des Moines, Henry and Lee, la.; Henderson County, Hl.—January 1, 1941; Cedar Rapids—Linn County—March 1, 1942; Des Mqtnes—Polk County—March 1, 1942; Omaha, Nebr.—Pottawattamie County, la.; Douglas and Sarpy Counties, Nebr.— March 1, 1942; Quads Cities—Counties of Clinton and Scott, la.; Rock Island County, Ill.—March 1, 1942; Waterloo—Black Hawk County—March 1, 1942.
KANSAS: Baxter Springs—C h e r o k e e County, Kans.; Ottawa County, Okla.—March 1, 1942; Junction City-Manhattan—Counties of Geary and Riley—April 1, 1941; Kansas City, Mo.—Counties of Johnson, Leavenworth and Wyandotte, Kans.; Counties of Clay, Jack-son and Platte, Mo.—March 1,1942; Parsons— Labette County—July 1, 1941; Topeka-Lawrence—Counties of Douglas, Franklin and
May 5, 1942
★ VICTORY ★
9
Shawnee—March 1,1942; Wichita*—Sedgwick County—July 1, 1941.
KENTUCKY: Cincinnati, Ohio—Counties of Boone, Kenton and Campbell, Ky.; Counties of Butler, Clermont, Hamilton and Warren, Ohio—March 1, 1942; Evansville-Henderson— Henderson County, Ky.; Vanderburgh County, Ind.—March 1, 1942; Fort Knox—Counties of Bullitt, Hardin and Meade—March 1, 1942; Huntington, W. Va.—Counties of Boyd and Greenup, Ky.; Counties of Cabell and Wayne, West Va.; and Lawrence County, Ohio—March 1, 1942; Louisville—Jefferson County, Ky.; Counties of Clark and Floyd, Ind.—July 1, 1941; Morganfield—Union County—March 1, 1942; Paducah—McCracken County—March 1, 1942; Richmond—Madison County—March 1, 1942.
LOUISIANA: Alexandria-Leesville—Beauregard, Rapides/ and Vernon Parishes—Japuary 1, 1941; Baton Rouge—East Baton Rouge and West Baton Rouge Parishes—March 1, 1942; Lake Charles—Caleasleu Parish—March 1, 1942; Minden—Webster Parish-—July 1, 1941; Monroe-Bastrop—Morehouse, Ouachita, and Union Parishes—March 1,1942; New Orleans-Jefferson, Orleans, and St. Bernard Parishes— March 1, 1942; Shreveport—Bossier and Caddo Parishes—March 1, 1942.
MAINE: Bangors-Penobscot County— March 1, 1942; Bath—-Efeacoln and Sagadahoc Counties—April 1, 1941; Portland—Androscoggin and Cumberland Counties.—March 1, 1942; Portsmouth, N. H.—York County, Me.; Rockingham and Strafford Counties, N. H.— March 1, 1942; Presque Isle—Aroostook County—March 1, 1942.
MARYLAND: Baltimore***—City of Baltimore and Anne Arundel, Baltimore, Carroll, Cecil, Harford, and Howard Counties— April 1, 1941; District of Columbia Suburbs— Montgomery and Prince Georges Counties, Md.; City of Alexandria and Counties of Arlington' and Fairfax, Va.-—January 1, 1941; Hagerstown—Washington County—March 1, 1942; Indian Head—Charles County—March 1, 1942.
MASSACHUSETTS: Eastern Massachusetts—Barnstable, Bristol, Essex, Middlesex, Norfolk, Plymouth and Suffolk Counties— March 1,1942; Greenfield—Franklin County—' March 1, 1942; Pittsfield—Berkshire County—March 1, 1942; Springfield—Hampden and Hampshire Counties—March 1, 1942; Worcester—Worcester County—March 1, 1942.
MICHIGAN: Adrian—Lenawee County-March 1, 1942; Detroit**—Area extended; now includes Macomb, Oakland, Washtenaw and Wayne Counties—April 1, 1941; Flint—Genesee County—March 1, 1942; Grand Rapids-Muskegon—Kent, Muskegon and Ottawa Counties—March 1, 1942; Jackson—Jackson County—March 1, 1942; Kalamazoo-Battle Creek—Calhoun and Kalamazoo Counties— March 1, 1942; Lansing—Clinton, Eaton, and Ingham Counties—March 1, 1942; Niles—Berrien County—April 1, 1941; Port Huron— St. Clair County—March 1, 1942; Saginaw-Bay City—Bay, Midland, and Saginaw Counties—March 1, 1942; Toledo, Ohio—Monroe County, Mich.; Lucas and Wood Counties, Ohio—March 1, 1942.
MINNESOTA: Duluth-Superior — Carlton and St. Louis Counties, Minn.; Douglas County, Wis.—March 1, 1942; Minneapolis-St. Paul—Anoka, Dakota, Hennepin, Ramsey, and Washington Counties—March 1, 1942.
MISSISSIPPI: Biloxi-Pascagoula—Harrison and Jackson Counties—April 1, 1941; Columbus— Lowndes County — March 1, 1942; Greenville—Washington County; March 1, 1942; Hattiesburg—Forrest County—April 1, 1941; Jackson—Hinds, Madison and Rankin Counties—March 1, 1942; Meridian—Lauderdale County—-March 1, 1942.
MISSOURI: Joplin-Neosho — Jasper and Newton Counties—July 1,1941; Kansas City— Clay, Jackson and Platte Counties, Mo.; Johnson, Leavenworth and Wyandotte counties, Kans, — March 1, 1942; Pike — Pike County, Mo.; Pike County, Ill.—March 1, 1942; Quincy, Ill.—Lewis and Marion Counties, Mo.; Adams County, Ill.—March 1, 1942;
ADDITIONAL EXCEPTIONS FROM GENERAL CEILING
Additional commodities and services excepted from the provisions of the general maximum price regulation were announced April 28 by Price Administrator Henderson.
Supplementary Regulation No. 1 to the general regulation, issued simultaneously therewith, excludes from the master price order the following:
1. All waste materials up to the level of the industrial consumer.
2. Zinc, lead, and tin industrial residues.
3. Certain machines and parts manufactured in the course of subcontracting— including certain machines and parts specially designed for war production use, also services performed on materials furnished by the customer, which will result in sùch machines.
.4. Antimony ore and concentrates.
5. Instrument jewel bearings.
Supplemental Regulation No. 1 becomes effective May 11, 1942.
Special situations in connection with prices of all these commodities, as well as services performed on materials furnished a subcontractor by the customer led to the exceptions, officials of the OPA stated.
Rolla-Waynesville — Laclede, Phelps and Pulaski Counties—April 1, 1941; Springfield— Greene County—March V1942; St. Louis— City of St. Louis and Counties of Jefferson, St. Charles and St. Louis, Mo.; Madison, Mon-' roe and St. Clair Counties, Ill.—March 1, 1942.
MONTANA: Butte—Silver Bow County— March 1, 1942.
NEBRASKA: Columbus — Butler/ Colfax, Platte and Polk Counties—March 1, 1942; Grand Island—Hall County—March 1, 1942; Lincoln—Lancaster County—March 1, 1942; Omaha—Douglas and Sarpy Counties, Nebr.; Pottawattamie County, la.—March 1, 1942; Sidney—Cheyenne County—March 1, 1942; Wahoo-Fremont—Dodge and Saunders Coun-ties-^March 1, 1942.
NEVADA: Las Vegas—Clark County— March 1, 1942.
NEW HAMPSHIRE: Manchester-—Hillsborough County—March 1, 1942; Portsmouth— Rockingham and Strafford Counties, N. H.; York County, Me.—March 1, 1942; Springfield-Windsor, Vt.—Sullivan County, N. H.; Windsor County, Vt.—March 1, 1942.
NEW JERSEY: Allentown-Bethlehem, Pa.—Warren County, N. J.; Northampton and Lehigh Counties, Pa.—March 1, 1942; Bridgeton-Millville—Cumberland County — March 1, 1942; Northeastern New Jersey—Bergen, Essex, Hudson, Middlesex, Monmouth, Morris, Passaic, Somerset, and Union Counties— March 1, 1942; Philadelphia-Camden—Burlington, Camden and Gloucester Counties, N. J.; Bucks, Chester, Delaware, Montgomery and Philadelphia Counties, Pa.—March 1, 1942; Trenton—Hunterdon and Mercer Counties—March 1, 1942; Wilmington, Del.— Salem County, N. J.; New Castle County, Del.—March 1, 1942.
NEW MEXICO : Albuquerque—Bernalillo County—March 1, 1942; Boswell—Chaves County—March 1, 1942; Silver City^fierds-burg—Grant and Hidalgo Counties—March 1, 1942.
NEW YORK: Albany-Troy—Albany and Rensselaer Counties—March 1, 1942; Binghamton—Broome and Tioga Counties—
March 1, 1942; Buffalo—Erie and Niagara Counties—March 1, 1942; Elmira—Chemung and Steuben Counties—March 1, 1942; Essex County—Essex County—March 1, 1942; Jamestown—Chautauqua County—March 1, 1942; Massena—St. Lawrence County—April 1, 1941; New York City—City of New York, including the Boroughs of Bronx, Brooklyn, Manhattan, Queens, and Richmond; and Nassau, Rockland, Suffolk and Westchester Counties—March 1, 1942; Poughkeepsie— Dutchess, . Orange and Ulster Counties— March 1, 1942; Rochester—Genesee, Monroe, Orleans and Wayne Counties—March 1, 1942; Schenectady»*—Area extended, now includes Montgomery, Saratoga and Schenectady Counties—April 1, 1941; Seneca—Ontario, Seneca and Yates Counties—March 1, 1942; Sidney—Chenango, Delaware and Otsego Counties—March 1, 1942; Syracuse—Cayuga, Onondaga and Oswego Counties—March 1, 1942; Utica-Rome—Herkimer, Madison and Oneida Counties—Marph 1, 1942; Watertown—Jefferson County—April 1, 1941.
NORTH CAROLINA: Charlotte—Mecklenburg County—March 1, 1942; Durham—-Durham County—March 1, 1942; Elizabeth City-— Pasquotank—March 1, 1942; Fayetteville-Cumberland and Hoke Counties—April 1, 1941; Greensboro—Guilford County—March 1, 1942; Jacksonville—Onslow County—March 1, 1942; Mt. Airy-Elkin—Surry County— March 1, 1942; New Bern—Carteret and Craven Counties—March 1, 1942; Wilmington*—' New Hanover County—April 1, 1941.
OHIO: Akron**—Area extended; now includes Medina anc. Summit Counties—April 1, 1941;' Ashtabula—Ashtabula County— March 1, -1942; Canton**—Area extended; now includes Stark and Tuscarawas Counties—April 1, 1941; Celina-St. Marys—Auglaize and Mercer Counties—March 1, 1942; Cincinnati-—Butler, Clermont, Warren and Hamilton Counties, Ohio; Boone, Campbell and Kenton Counties, Ky.—March 1, 1942; Cleveland**—Area extended; now includes Cuyahoga, Geauga and Lake Counties—July’ 1, 1941; Columbus—Franklin County—March 1, 1942; Dayton—Champaign, Clark, Darke, Greene, Miami, Montgomery and Preble Counties—April 1, 1941; Findlay-Fostoria—Hancock and Seneca Counties—March 1, 1942; Huntington, W. Va.—Lawrence County, Ohio; Cabell and Wayne Counties, W. Va.; Boyd and Greenup Counties, Ky.—March 1, 1942; Lima—Allen County—March 1, 1942; Lorain-Elyria—Lorain County—July 1, 1941; Marion—Marion County—March 1, 1942; Point Pleasant-Gallipolis, W. Va.—Gallia County, Ohio; Mason County, W. Va.—March 1, 1942; Ravenna*—Portage County—April 1, 1941; Sandusky-Port Clinton—Erie, Huron, Ottawa and Sandusky Counties—March 1, 1942; Toledo—Lucas and Wood Counties, Ohio; Monroe County, Mich.—March 1, 1942; Wheeling-Steubenville, W. Va.—Belmont, Columbiana and Jefferson Counties, Ohio; Brooke, Hancock, Marshall, Ohio and Wetzel Counties, W. Va.—March 1, 1942; Youngstown-Warren*—Mahoning and Trumbull Counties— April 1, 1941.
OKLAHOMA: Baxter Springs, Kans.—Ottawa County, Okla.; Cherokee County, Kans.— March 1,1942; Choteau—Craig, Mayes, Rogers, and Wagoner Counties—March 1,1942; Enid— Garfield County—March 1, 1942; Lawton— Comanche County—April 1, 1941; Muskogee— Muskogee County—March 1, 1942; Oklahoma City—Oklahoma County—March 1, 1942; Paris, Tex.—Choctaw, Okla.; Lamar County, Tex.—March 1, 1942; Tulsa—Creek, Osage, and Tulsa Counties—March 1, 1942.
OREGON: Astoria—Clatsop County—March 1, 1942; Corvallis—Benton and Linn Counties—March 1, 1942; Medford—Jackson County—March 1, 1942; Pendleton—Umatilla County—March 1, 1942; Portland-Van-
couver—Clackamas, Multnomah, and Washington Counties, Oreg.; Clark County, Wash.— March 1, 1942.
PENNSYLVANIA: Allen town-Bethlehem-Lehigh and Northampton Counties, Pa.;
(.Continued on page 10)
10
★ VICTORY ★
May 5, 1942
Rent control ordered for 302 more areas
(Continued from page 9)
Warren County, N. J.—March 1,1942; Altoona-Johnstown—Blair, Cambria, and Somerset Counties—March 1, 1942; Chambersburg— Franklin County—March 1, 1942; Erie—Erie County—March 1, 1942; Harrisburg—Cumberland, Dauphin, Lebanon, and Perry Counties—March 1, 1942; Lancaster-York—Lancaster and York Counties—March 1, 1942; Meadville-Titusville—Crawford and Venango Counties—March 1, 1942; Milton—Montour, Northumberland, Snyder, and Union Counties—March 1, 1942; Philadelphia-Camden— Bucks, Chester, Delaware, Montgomery, and Philadelphia Counties, Pa.; Burlington, Camden, and Gloucester Counties, N. J.— March 1, 1942; Pittsburgh—Allegheny, Armstrong, Beaver, Butler, Fayette, Greene, Lawrence, Washington, and Westmoreland Counties—March 1, 1942; R e a d i n g—Berks County—March 1, 1942; Scranton-Wilkes Barre—-Carbon, Columbia, Lackawanna, Luzerne, and Schuylkill Counties—March 1, 1942; Sharon-Farrell—Mercer County—April 1, 1941; Williamsport—Lycoming County— March 1, 1942.
RHODE ISLAND: Newport—New County-March 1, 1942; Providence—Bristol, Kent and Providence Counties—March 1, 1942; Quonset Point—Washington County—March 1, 1942.
SOUTH CAROLINA: Augusta, Ga.—Aiken County, S. C.; Richmond County, Ga.—March 1, 1942; Beaufort—Beaufort County—March 1, 1942; Charleston—Charleston and Dorchester Counties—March 1, 1942; Columbia— Calhoun, Lexington and Richland Counties— March 1, 1942; Greenville — Greenville County—March 1, 1942; Greenwood—Greenwood County—March 1, 1942; Spartanburg— Cherokee, Spartanburg and Union Counties— March 1, 1942; Sumter—Sumter County— March 1, 1942.
SOUTH DAKOTA: Provo-Hot Springs-Fall River County—March 1, 1942; Rapid City-Sturgis—Lawrence, Meade and Pennington Counties—March 1, 1942.
TENNESSEE: Chattanooga—Bradley, Hamilton and Marion Counties, Tenn.; Catoosa, Dade and Walker Counties, Ga.—March 1, 1942; Clarksville — Montgomery County— March 1, 1942; Columbia—Maury County— March 1, 1942; Copperhill-McCaysville — Polk County, Tenn.; Fannin County, Ga.— March 1, 1942; Jackson-Milan-Humboldt— Carroll, Gibson and Madison Counties—January 1, 1941; Knoxville—Blount and Knox Counties—March 1, 1942; Memphis—Shelby County; Tenn.; Crittenden County, Ark.— March 1, 1942; Nashville—Davidson County— March 1, 1942; Paris—Henry County—March 1, 1942; Tullahoma—Bedford, Coffee, Franklin. Lincoln and Moore Counties—January 1, 1941.
TEXAS: Abilene—Callahan, Jones and Taylor Counties—April 1, 1941; Amarillo— Potter County—March 1, 1942; Austin— Hays, Travis and Williamson Counties— March 1, 1942; Bastrop—Bastrop County— March 1, 1942; Beaumont-Port Arthur—Jefferson and Orange Counites—April 1, 1941; Bonham—Fannin County—March 1, 1942; Brownwood—Brown, Coleman and Comanche Counties—January 1, 1941; Corpus Christi— Nueces and San Patricio Counties—March 1, 1942; El Paso—El Paso County—April 1, 1941; Fort Worth-Dallas — Dallas and Tarrant Counties—March 1, 1942; Gainesville—Cooke County—March 1, 1942; Houston-Galveston— Brazoria, Chambers, Galveston, Harris, and Liberty Counties—March 1, 1942; Killeen-Temple—Bell and Coryell Counties—March 1, 1942; Lower Rio Grande Valley—Cameron, Hidalgo, and Willacy Counties—March 1,1942; Lubbock—Lubbock County—March 1, 1942; Marfa—Presidio County—March 1, 1942; Marshall-Harrison, Marion, and Upshur Counties—March 1, 1942; Matagorda Bay—Cal
houn, Jackson, and Matagorda Counties— March 1, 1942; Midland-Odessa—Ector and Midland Counties—March 1, 1942; Mineral Wells—Palo Pinto and Parker Counties—January 1, 1941; Paris—Lamar County, Tex.; Choctaw County, Okla.—March 1, 1942; San Angelo—Tom Green County—March 1, 1942; San Antonio—Atascosa, Bandera, Bexar, Comal, Guadalupe, Kendall, Medina, and Wilson Counties—March 1, 1942; Sherman-Denison—Grayson County—March 1, 1942; Texarkana—Bowie County, Tex.; Miller County, Ark.—July 1, 1941; Victoria—Victoria County—March 1, 1942; Waco—McLennan County—March 1, 1942; Wichita Falls—Wichita County—March 1, 1942;
UTAH: Provo — Utah County — March 1, 1942; Salt Lake City-Ogden—Salt Lake, Davis, Morgan, and Weber Counties—March 1; 1942; Tooele-Wendover—Tooele County—March 1, 1942.
VERMONT: Burlington—Chittenden County—March 1, 1942; Springfield-Windsor— Windsor County, Vt.; Sullivan County, N. H.— March 1, 1942.
VIRGINIA: Blackstone—Nottoway County—March 1, 1942; District of Columbia Suburbs—Alexandria and Counties of Arlington and Fairfax, Va.; Montgomery and Prince Georges Counties, Md.—January 1, 1941; Hampton Roads*—Cities of Hampton, Newport News, Norfolk, Portsmouth and South Norfolk; Elizabeth City County; in Norfolk County, Magisterial Districts of Deep Creek, Tanners Creek, Washington and Western Branch; in Princess Anne County, the Magisterial Districts of Kempsville and Lynnhaven; in the County of Warwick the Magisterial District of Newport—April 1, 1941; King George County—King George County—March 1, 1942; Petersburg—City of Petersburg; and ' Dinwiddie and Prince George Counties—April 1, 1941; Quantico—City of Fredericksburg; and Prince William and Stafford Counties— March 1, 1942; Radford-Pulaski—City of Radford; and Montgomery and Pulaski Counties—April 1, 1941; Richmond—City of Richmond; and Chesterfield and Henrico Counties—March 1, 1942; Yorktown—City of Williamsburg; James City and York Counties; and in the County of Warwick, Magisterial Districts of Denbigh and Stanley—March 1, 1942.
WASHINGTON: Bellingham — Whatcom County—March 1, 1942; Everett—Snohomish County—March 1, 1942; Island County—Island County—March 1, 1942; Long View-Kelso—Cowlitz—March 1, 1942; Pasco— Franklin County—March 1, 1942; Port Ange-les-Port Townsend—Counties of Clallam and Jefferson—March 1, 1942; Portland-Vancouver, Ore.—Clark County, Wash.; and Counties of Clackamas, Multinomah and Washington, Ore.—March 1, 1942; Puget Sound*— Kitsap County and those parts of the counties of King and Pierce lying west of the Snoqualmie National Forest—April 1, 1941; ’Spokane—Spokane County—March 1, 1942; Walla Walla—Walla Walla County—March 1, 1942.
WEST VIRGINIA: Charleston—Kanawha County—March 1, 1942; Huntington—Coun- , ties of Cabell and Wayne, W. Va.; Lawrence County, O.; and Counties of Boyd and Greenup—March 1, 1942; Morgantown— Counties of Marion and Monongalia—April 1, 1941; Point Pleasant-Gallipolis—Mason County, W. Va.; Gallia County, Ohio.—March 1, 1942; Wheeling-Steubenville—Counties of Brooke, Hancock, Marshall, Ohio and Wetzel, W. Va.; Counties of Belmont Columbiana and Jefferson, Ohio.—March 1, 1942.
WISCONSIN: Beloit - Janesville — Rock County—March 1, 1942; Duluth, Superior— Douglas County, WiS.; Carlton and St. Louis Counties, Minn.—March 1, 1942; Madison— Counties of Columbia, Dane and Sauk—March 1. 1942;. Manitowoc—Manitowoc County— March 1, 1942; Milwaukee—Counties of Ke
nosha, Milwaukee, Racine and Waukesha— March 1, 1942; Oshkosh-Fond du Lac— Counties of Fond du Lac and Winnebago— March 1, 1942; Sparta—Monroe County— March 1, 1942; Sturgeon Bay—Door County— March 1, 1942.
WYOMING: Cheyenne—Laramie County— March 1, 1942.
PUERTO RICO: Puerto Rico—The possession in entirety—March 1, 1942.
♦Announced March 2, 1942.
♦♦Extended; originally announced March 2, 1942.
♦♦♦Announced April 2, 1942.
★ * ★
20 “defense-rental” areas to be checked for compliance with OP A recommendations
Investigation of housing rents in the 20 “defense-rental areas designated March 2 (see Victory, March 10) will be undertaken at once to determine whether Federal recommendations for the reduction and stabilization of rents have been met, Price Administrator Henderson announced April 28.
Administrative offices will be opened on or about May 15 in areas where surveys show that recommendations have not been complied with, and in these, areas Federal regulation will take effect with June rents.
The 20 areas follow:
Bridgeport, Conn.; Hartford-New Britain, Conn.; Waterbury, Conn.; Schenectady, N. Y.; Birmingham, Ala.; Mobile, Ala.; Columbus, Ga.; Wilmington, N. C.; Hampton Roads, Va., area; Detroit, Mich.; Akron, Ohio; Canton, Ohio; Cleveland, dhio; Ravenna, Ohio; Youngstown-Warren, Ohio; South Bend,, Ind.; Burlington, Iowa; Wichita, Kans.; San Diego, Calif.; Puget Sound, Wash., area.
★ ★ ★
Five percent rise granted for original auto, truck tires
Following a study of tire companies’ operating experience in January and February of this year by OPA, Administrator Henderson has established maximum prices on original equipment tires and tubes for automobiles and trucks allowing 5 percent increases over levels that prevailed throughout 1941.
Maximum Price Regulation No. 119, which establishes the new ceiling, was effective as of April 27.
Prices on original tires and tubes for farm equipment are not to be advanced and will continue at the 1941 levels.
May 5, 1942
★ VICTORY ★
11
All rented living quarters in Federally controlled towns must be registered, OPA rules
Registration of all rented dwelling accommodations will be required in cities and towns that are brought under Federal rent control. Price Administrator Henderson announced April 29 in making public the text of OPA’s Proposed Maximum Rent Regulations covering dwelling units other than hotels and rooming houses.
Scope of registration
The registration will be made by landlords at a local rent administrator’s office to cover houses, apartments, trailers, and all other property which is rented for living quarters. A similar registration will be required of persons operating hotels and rooming houses. Regulations covering hotels, rooming and boarding houses will be issued shortly.
Implementing the Emergency Price Control Act, the regulations, not yet in effect in any area, prescribe the methods of rent control by the OPA. They will become effective only on specific order from Mr. Henderson, and only in previously designated war-rental areas where, after a 60-day period, a finding is made that recommendations for stabilizing rents have not been met.
At the end of the 60-day period, the OPA ifiakes an investigation to determine if rents have been brought in line with the Price Administrator’s recommendations. If they have not, an area rent director is appointed, a local administrative office is opened, and the regulations for the area are issued. After the effective date of the regulations, tenants in the area are to pay the rent fixed by Mr. Henderson.
In addition to the Registration Statement by landlords, the regulations cover such points as leases, evictions, services, new construction,-substantial alterations, adjustments, special relationships between tenant and landlord, off-season rentals, violations and evasions, and penalties.
★ ★ ★
Hotels asked not to raise war workers’ rates in Derby Week
Hotel operators in Louisville, Ky., were asked by Price Administrator Henderson to make no increase in rates during Derby Week for Government employees residing in hotels and engaged in the war effort.
Solid fuel prices put under ceiling for over 45,000 retailers and wholesalers ,
Maximum prices which may be charged by the more than 45,000 wholesalers and retailers of all solid fuels were established formally April 30 at the highest levels prevailing in the December 15-31, 1941^ period through issuance by Price Administrator Henderson of Maximum Price Regulation No. 122. Previously, informal agreements, subject to some exceptions, had held prices at this level.
The regulation will become effective May 18, the effective date of the general maximum price regulation, and will cover all sales of solid fuels in any quantity excepting sales at mines or preparation plants. Sales of the latter types are covered in other regulations issued previously.
Dealers to be licensed
Plans were being formulated by OPA in conjunction with the RFC to make this program effective, particularly as regards the New England area, by taking care of increases in transportation costs in such manner as to prevent retail prices from rising above the December 15-31 level.
All dealers covered by the regulation will be licensed as in the case of persons subject to the general price regulation.
The dealers also are required to post the maximum price per ton of all solid fuels offered for sale.
“Solid fuels” quoted
The term “solid fuels,’’ as used in the regulation, means all solid fuels with the exception of wood and wood products. It includes all anthracite, semianthracite, semibituminous, bituminous, subbituminous, and cannel coal; lignite, all coke, including low-temperature coke and petroleum coke (except byproduct foundry and blast-furnace coke, and beehive oven-furnace coke produced in Pennsylvania), briquettes made from coke and coal, and sea coal used for foundry facings.
The maximum prices provided in appendix A are:
1. The price specified in any advertisement inserted in newspapers or other publications in the same locality between October 1, and December 81, 1941, and in effect during any portion of the period of December 15-31, 1941. This must be the price so specified for the sale of:
a. The same size, kind and quality of solid fuel;
b. In quantities taking the same price per ton;
c. To purchasers of the same general class;
d. By the same method of delivery; and e. Under the same terms of delivery.
2. If the maximum price cannot be established as stated above, the maximum, price shall be the same as specified in the last price circular, list or schedule issued by the same person on or before December 81, 1941, and in effect for any portion of the December 15-31, 1941, period;
3. If neither of the above two methods can be used, the maximum price shall be the “average price” obtained by dividing the aggregate of prices charged by the same dealer during the period December 15-31, 1941, by the tonnage sold, on sales of the same price size and quality of fuel, similar quantities and under the same terms and conditions of delivery.
4. If none of the above methods can be used, the maximum price shall be the maximum price specified by any dealer of the same general character and in the same general locality, either in an advertisement placed between October 1 and December 31, 1941 or a circular issued on or before December 31, 1941.
The regulation stipulates that the dealer shall allow deductions from his price of cash and quantity discounts which he permitted during any part of the December 15-31, 1941 period. Charges for special services shall not exceed those for similar services during the December 15-31, 1941 period.
★ ★ ★
Soft coal prices at mine or preparation plant put under OPA maximum
Coincident with the issuance of the general maximum price regulation April 28 Price Administrator Henderson established maximum prices for bituminous coal sold at mines or preparation plants at levels which will permit the industry a realization somewhat higher than during the October 1-15,1941 period. The regulation—Maximum Price Regulation No. 120—becomes effective May 18,1942.
Maximum prices at the mines, established by the Price Regulations are set forth in 22 appendices covering specifically mine operations in the 22 production districts set up under the Bituminous Coal Act of 1937 and under which the operators are observing minimum prices established by the Bituminous Coal Division of the Department of the Interior.
In determining these maximum prices at the mines, OPA gave consideration not only to the October 1941 price levels, but also to increased costs of production which the industry stated it has incurred since that timé.
Lower prices than the established maximums may be charged, provided that nothing in the regulation shall be deemed to authorize code member producers or distributors to make sales or deliveries at prices lower than the effective minimum prices set from time to time by the Bituminous Coal Division.
12
★ VICTORY ★
May 5, 1942
Cotton and rayon finished piece goods prices lowered by permanent ceilings
Converters’ and wholesalers’ prices of “finished” piece goods made of cotton, rayon and their mixtures were placed under a formal OPA price regulation April 28 at substantially lower levels than the temporary ceilings imposed last March.
At the same time Administrator Henderson, in a companion order, established maximum charges which converters may obtain for their costs of transforming “grey” goods into finished textiles, through such processes as bleaching, dyeing, napping, printing or mercerizing.
Broad effect on consumer
These two regulations—one establishing the margin which a converter may charge to cover his overhead and profit and the other setting forth what his costs for processing shall be—are among the broadest yet issued affecting prices of cotton and rayon textiles as they reach the consumer.
Under Maximum Price Regulation No. 127—Finished Piece Goods—the method of determining ceilings for “finished”, piece goods is set forth in detail. In general, the regulation provides maximum margins which may be charged by the converter.above the sum of his speci-fied cost items. These cost items are stabilized by grey goods ceilings already in effect and by Maximum Price Regulation No. 128—Processing Piece Goods— which is issued simultaneously covering the various finishing operations on the basis of prices charged for each particular service between March 16 and April 15, 1942.
“Finished” piece goods under Regulation No. 127 include items ranging from plain bleached fabrics used for such products a^sheets and shirts; plain dyed numbers used for linings, dress material, and underwear; and goods printed in their wide variety of colors, patterns and styles for cretonnes and other fabrics such as those used by dress and clothing manufacturers as well as home dressmakers. The regulation does not apply to sales at retail.
Sell to clothing manufacturers
Converters, affected by the April 28 provisions, usually buy “unfinished” grey goods from mills, have them styled and finished, and then sell them to apparel manufacturers or to retailers as piece goods.
The regulation became effective May 4, and is applicable to all deliveries and all contracts made on and after that date regardless of the terms of existing contracts.
The regulation also replaces Temporary Maximum Price Regulation No. 10, and, in practical effect, reduces the maximums which were temporarily “frozen” at the levels prevailing between last March 7 and 11. When the “quick freeze” order was issued on March 13, OPA officials pointed out that it was for the purpose of stopping further advances pending the issuance of a permanent regulation. At that time, Acting Price Administrator Hamm asserted that “there is no justification for the rapid rise in the price of finished goods since basic costs of converters selling such goods have» been relatively stable.”
Profit based on costs
The method of controlling prices for the finished piece goods covered by Regulation No. 127 is through the control of converters’ margins above their direct costs. The five cost elements are carefully defined in detail to prevent obvious abuses ot a “cost plus” system These five costs are:
1. The basic cost of the "grey” goods from which the finished piece goods are produced;
2. The cost of freight for transporting the grey goods to the finishing plant;
3. The actual “working allowances,” due to the shrinkage in yardage resulting from the finishing process. In some cases where there is a “working gain” — when the finishing process stretches the goods, a deduction from grey goods cost must be made;
4 The cost of finishing, and “ 5. The cost of "put-up,” which represents the packaging by the finisher. To determine the converter’s margin above these direct costs, the sum of these five items is divided by a “division factor” which results in a price higher than the total of the five cost items. The gross margin thus provided covers overhead and profit.
★ ★ ★
TERM “WOOL” REDEFINED
Because a maximum price regulation establishing ceiling prices for wool waste materials became effective April 28, the term “wool” has been redefined by an amendment to Revised Price Schedule No. 58. Under Amendment No. 1, effective April 28, wool waste, clips and rags and reworked wool of all grades and mixtures are eliminated from the definition of wool.
Maximum Price Regulation No. 123 (Raw and Processed Wool Waste Materials) replaces Price Schedule 58 insofar as the latter applies to wool waste materials.
, PROCESSING CEILINGS
Ceilings for figures to be calculated as processing .costs for rayon, cotton and mixed piece goods, established under Regulation No. 128, are the prices contracted for by each processor for each particular service during the period between March 16 and April 15, 1942, inclusive. In no event, however, may any processor’s prices be above the general levels of prices of processing piece goods prevailing during the established base period.
The regulation carries a provision for a processor who made no contract for a particular service during the base period. In such an event, his maximum is his highest outstanding x quotation during that period for such service. If he had no such quotation outstanding, then his maximum price is the highest quotation in the thirty days immediately preceding.
If a processor cannot determine his maximums under the foregoing provisions, his ceiling charge is a price in line with the maximum of the most nearly comparable processing service rendered by him during the March 16-April 15 period.
Provision is made in the regulation for reporting maximum prices for each particular process to the Office of Price Administration on or before June 20, 1942. Persons filing may request approval by OPA of such prices as being in line with the general levels prevailing in the base period. If OPA approves such specific prices, they are then considered to be the maximum prices of that person for all purposes.
★ ★ ★
A-2 for agricultural bag fabrics to cover more uses
Order M-107, which assigns a preference rating of A-2 to purchase orders by bag manufacturers for cotton fabrics suitable for “Agricultural Bags,” has been amended to include a few additional commodities for which such agricultural bags may be used. They are shellfish, hops, brewers malt, tobacco and nursery stock, ground poultry grit, manufactured and natural abrasive grain, and metal parts.
Cotton picking sacks and sheets are brought within the definition of agricultural bags, so that osnaburg may be used as a substitute for duck.
The list of sheeting constructions specified in the order as being suitable for agricultural bags is enlarged to include one additional construction.
May 5, 1942
★ VICTORY ★
13
Sliding scale for cotton goods pegged on March spot basis
Price Administrator Henderson April 29 gave further assurance to the American people that the cost of cotton goods items in their wardrobes would be stabilized at March 1942 levels by freezing the ceiling price at which manufacturers and wholesalers may sell virtually all types of cotton goods and cotton yams.
Six price schedules affected
Supplementing the General Maximum Price .Regulation, the Administrator is-.sued amendments to 6 price schedules applying to cotton products. These changes peg the previous sliding-scale “textile” ceilings on the basis of a “spot” cotton price of 20.37 cents per pound. This represents the highest quotation registered for actual cotton sold at the ten leading southern terminal markets during March 1942.
The Administrator emphasized that, if the objectives of the General Regulation are to be attained, “it is evident that cotton yarns and textiles must not be allowed to advance beyond the highest prices attained in March.”
“Sliding scales”, eliminated
The April 29 action,, which is designed to prevent wholesale prices from creeping up on retail prices, was taken only after exhaustive OPA cost studies showed that the ceilings determined for cotton yam and textile prices are ample to satisfy the agricultural commodity requirements of the Emergency Price Control Act of 1942.
In eliminating “sliding-scales,” Mr. Henderson pointed out that “the essential point to be observed here is that the ceilings now being imposed on cotton textiles are amply high to permit raw cotton prices to rise above any levels specified in Section 3 (a) (‘the agricultural section’).”
Before taking the April 29 action, OPA studies of costs, mill margins and earnings revealed that mills could pay considerably above the levels specified in Section 3 (a) and still earn a substantial profit on the great majority of cotton goods constructions.
The schedules covered, by the April 29 amendments, which became effective May 4, 1942, are: No. 7—Combed Cotton Yams; No. 11—Fine Cotton Grey Goods; No. 33—Carded Cotton Yarns; No. 35— Carded Grey and Colored-Yarn Cotton Goods; No. 89—Bed Linens; and No. 118—Cotton Products.
Ceiling put on wool waste, most important substitute in making clothes
Ceiling prices for raw and processed wool waste materials, the most important available substitutes for virgin wool in men’s and women’s clothing and other articles, were established by Maximum Price Regulation No. 123, effective April 28.
Six classes covered
Specific dollars and cents prices set in the April 27 order cover 2,865 items under six general classifications of raw wool waste materials. These are wool waste (wool fibers recovered during manufacturing processes), new wool clips (trimmings from garments), knitted wool clips, graded old wool rags, mixed old wool rags and government hew wool clips. The maximum prices are based on levels which prevailed during October 1 to 15, 1941.
For processed wool waste materials, which comprise clips, etc., cleaned and reduced to a fibrous condition, a price formula is designed to allow processors a margin generally equal to the amount they received for their services and materials during the base period of October 1 to December 15, 1941.
Supersedes previous provisions
The new regulation supersedes those provisions of Revised Price Schedule No. 58 as amended (Wool and Wool Tops and Yarns) that applied to wool waste materials. Under the previous provisions, Individual maximum prices were determined at the highest prices received by each seller of these products during October 1-December 15.
While the original schedule did not expressly forbid a purchaser to pay more than the individual ceilings, the April 27 order specifically applies both to buyers and sellers of these wool waste materials.
Greatly increased demand
The wool fiber which is reclaimed or processed from wool rags or clips is commonly known as “shoddy.” Proper mixing of shoddy with new wool often produces a cloth which is equal in appearance, color and serviceability to cloth made of medium grades of new wool.
Price Administrator Leon Henderson said:
Inasmuch as restrictions have been placed" on the volume of virgin wool allocated to the woolen Industry for civilian use, the need for these waste materials has been heightened. The ceiling prices will thus be helpful in hold
ing down costs of woolen goods to manufacturers and should stabilize costs of clothing to consumers . . .”
Based on extensive study
In determining the specific maximum prices for the various types and grades of raw wool waste materials, OPA officials studied price reports from some 200 firms and reports of several thousand transactions submitted by producers, dealers, processsors and consumers. The ceilings provided are based on tabulations of these reports.
Classifications of types, kinds and grades of wool waste materials and price differentials between classes have been used in the regulation to embody, so far as practicable, existing trade practices.
Price basis
Prices set are on a net weight basis for wool waste and knitted wool clips in accordance with the usual trade practice. For new wool clips, old rags and Government clips, the prices allowed are on a gross weight basis with a provision that tare is not to exceed 5 percent, as is the customary practice.
Discounts may be allowed by sellers at prices less than the maximums.
Maximum prices for rough cloth and overcoats are established on a basis to encourage their use in the manufacture of processed wool and waste materials.
Mr. Henderson expressed the hope that all holders of wool rags, waste and clips would sell these materials to dealers, sorters, shoddy manufactures or consuming mills.
“With the imposition of ceilings, hoarding operations will not result in hoarders obtaining higher prices,” he said.
★ ★ ★
Sales of imported nickel scrap not to exceed domestic ceilings
An amendment requiring imported nickel-bearing scrap and secondary materials to be sold at not more than the maximum prices provided for domestic scrap was announced April 29 by Price Administrator Henderson.
In the past, import charges under the law could be passed on to the ultimate consumer.
The measure—titled Amendment No. 1 to Revised Price Schedule No. 8 on nickel scrap—became effective April 28.
14
★ VICTORY ★
May 5, 1942
Ceiling prices set on makers’ sales affecting hundreds of paper items
Maximum prices at which manufacturers can sell many varieties of converted paper products and industrial papers are established at levels which prevailed late in 1941 in Maximum Price Regulation No. 129 announced April 29 by Price Administrator Henderson with the General Maximum Price Regulation.
Two base periods
The regulation, effective May 11, 1942, fixes manufacturers’ maximum prices for hundreds of paper items. Some prices are basecTon levels prevailing during the period from October 1 to October 15,1941, others are based on levels of the December 1-15, 1941, period, and for a few other commodities specific prices have been set forth.
Scope of regulation
The Administrator found that the prices established by the regulation are fair and equitable.
Covered by the regulation are:
Waxed paper; envelopes; paper cups, paper containers and liquid-tight containers; sanitary closures and milk bottle caps; drinking straws; certain sulphate and certain sulphite papers; certain tissue papers; rope and jute papers; gummed papers; technical papers; . tags, pin tickets, and marking machine tickets; glazed and fancy papers; standard grocer’s and variety bags; resale book matches; unprinted single weight crepe paper in folds; certain bag papers; and certain wrapping papers.
The maximum prices established by the regulation for the following commodities are the highest prices a manufacturer charged during the October 1-15 period:
Waxed paper, including such classifications as bread wraps, carton wraps, cutter box papers, waxed glassine, twisting tissue, plain waxed papers, and delicatessen papers; paper cups; envelopes (except those made of specialty papers or of transparent materials); paper container^, and liquid-tight containers; sanitary closures and milk bottle caps; drinking straws, certain sulphate and sulphite papers defined specifically in the order; rope and jute papers; tissue papers under 18 pounds basis weight, excluding cigarette, carbonizing, fruit wrapping and condenser tissues; and technical papers including but not limited to those classified as saturating, impregnating, insulating, shotshell, and photographic papers.
Other provisions
The maximum price a manufacturer now can charge for any gummed papers, tags, pin tickets, marking machine tickets, glazed and fancy papers, are the highest prices he charged in the period from December 1-15, 1941.
Specific maximum prices are estab-
lished by the regulation for the following: (1) self-opening (automatic) kraft grocer’s bag; (2) resale book matches; (3) unprinted single weight crepe paper in folds, and (4) standard kraft bag paper and three grades of wrapping paper. Differentials for other grades of standard grocer’s and variety bags and machine glazed kraft bag paper and kraft wrapping paper are established by reference to differentials on sales and deliveries during the period from Oct. 1-15, 1941.
The maximum manufacturer’s delivered price for self-opening (automatic) kraft grocer’s bag carload lot, ^one A, is 25/5’s discount from standard list price. (The zones defined in the order are those generally used by the trade for pricing purposes.)
The manufacturer’s maximum delivered price for resale book matches is $3.60 per case of 2,500 books.
The maximum price at which a manufacturer may sell for export is the price determined by the provisions of the Maximum Export Regulation which becomes effective April 30.
★ ★ ★
Public schools asked to stagger paper orders
An appeal to public schools and other public institutions to stagger shipments to them of certain paper products so that deliveries can be spread out over the year was made by the WPB April 30 in an effort to avoid disruption of commercial paper markets.
The pulp and paper branch placed special emphasis on supplies of tissues and paper towels, which most schools and institutions order in vast quantities during a brief period of time.
The branch asked them not to demand delivery within the next few weeks of all such supplies that they will need until the summer of 1943. In so changing their purchasing methods they will contribute to the war effort, branch officials said.
No shortage in tissues and paper towels is anticipated, but a flood of buying orders calling for deliveries a year in ^.advance is threatening to disturb commercial markets seriously because of unusual conditions resulting from the war emergency.
“Standard” newsprint ceilings remain at $50 per ton in permanent regulation
“Standard” newsprint paper prices will remain at 50 dollars per ton as the result of Maximum Price Regulation No. 130 announced April 29 by Price Administrator Henderson with the General Maximum Price Regulation freezing prices of nearly all cost-of-living items at all levels of distribution.
Few changes effected
The new newsprint regulation, effective May 11,1942, replaces Temporary Maximum Price Regulation No. 16, which on April 1 established maximum prices for standard newsprint at the same levels.
Mr. Henderson explained that the new regulation does not preclude further discussions between OPA and the Canadian Wartime Prices and Trade Board concerning Canadian newsprint mills.
The April 29 regulations effect few changes from the provisions of the temporary order. Maximum prices are fixed to cover the sales of standard newsprint paper by converters—who process newsprint paper from rolls to sheets—and sales by merchants and distributors who purchase standard newsprint paper from converters, as well as from manufacturers.
The regulation also precisely defines standard newsprint paper, with specifications as to weight, rolls, sheets, stock, finish, ash content, degree of sizing, color and thickness, and establishes one level of prices for all sellers.
Sales taxes conform to regulation
Sales taxes, and the possible use of sales taxes, are treated to conform with provisions of the General Maximum Price Regulation, and adjustable pricing—not to exceed the levels established by the régulation—is permitted in conformity with the general order.
Sales by exporters are placed under the Maximum Export Price Regulation controlling prices on all exports, effective April 30. Exporters’ contracts entered Into prior to April 1, 1942, may be completed even if the prices are above the maximum if the exporter has received delivery of the newsprint he has contracted to resell from a supplier and keeps records of such transactions in accordance with provisions of the regulation.
Zone price differentials frozen
The price of $50 per ton is the “port” price of white standard newsprint for carload lots in rolls. A price of $51 per ton is set for zone 4, and is used in the regulation as a base price to determine the actual prices in the 10 zones into which thé United States is divided.
Price differentials for other zones, and for color, sheets, or special packing are frozen in the regulation at the levels prevailing during the period October 1 to October 15, 1941.
May 5, 1942
★ VICTORY ★
15
Gasoline, oil wholesale price allowed to rise in East
Acting to permit the petroleum industry to recover additional expenses incurred in moving petroleum and petroleum products eastward by high-cost transportation — substituted for tanker shipments curtailed by the war—Price Administrator Henderson on April 29 amended Revised Price Schedule No. 88 to permit increases over established maximum prices on the Eastern Seaboard for fuel oils and gasoline.
The increases permitted in the Amendment to Revised Price Schedule No. 88 on all fuels excluding service stations are:
Gasoline, 4/10i per gallon; tractor fuel, gas house oils, distillate Diesel fuel oils, Nos. 2, 3, and 4 fuel oils, 2/10e per gallon; No. 2 fuel oil in Washington tank wagon area, 2/10^ per gallon; residual fuel oils (Nos. 5 and 6 fuel oils. Bunker C, Navy Grade and residual Diesel fuel oils), 25^ per barrel.
The amendment, No. 10, effective April 28, 1942, affects sales of the products mentioned in Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, West Virginia, Georgia, and Florida east of the Apalachicola River, and the District of Columbia. Bristol, Tenn., is included in provisions regulating gasoline prices under Amendment No. 3 to temporary maximum price regulation No. 11, issued April 27, 1942, and made effective as of April 30, 1942.
Maximum prices for Bunker C and No. 6 fuel oils on the East and Gulf coasts in cargo and barge lots f. o. b. refineries and terminals (ex lighterage) are also established by the amendment.
★ ★ ★
Metallic zinc allocation scheduled to begin June V
Metallic zinc will be placed under complete allocation control beginning June
1, WPB announced May 1. Industry Operations Director Knowlson issued an amended Order M-l’ setting up the zinc allocation plan. He issued at the same time Order M-ll-a which places zinc oxide and zinc dust under the pool arrangement by. which all zinc has been controlled heretofore.
Zinc pool for May
Zinc pool requirements for May also .were issued May 1. The metallic zinc pool is set at 75 percent of January production for high grade and special high grade and 50 percent of January production of all other grades of zinc. Zinc oxide is set at 10 percent of January production. No zinc dust need be set aside for the month.
FAINSOD TO HEAD
OPA RETAIL DIVISION
Appointment of Merle Fainsod as chief of the retail trade and services division of OPA was announced April 29 by Administrator Henderson.
Named as head of the trade relations branch in the new division was Hector Lazo.
The new division will work in close conjunction with the local boards in administering the details of the price control program. The trade relations branch will be responsible, among other things, for instructing the Nation’s retailers in the specific requirements and procedures of the program and will confer and consult with retailers and representatives of retail trade associations.
★ ★ ★
OPA clarifies gasoline price base for East.
For the purpose of clarifying the base upon which are calculated the permissible increases in maximum prices for gasoline on the eastern seaboard (above the retail level), Price Administrator Henderson has issued Amendment No. 8 to Revised Price Schedule No. 88 (Petroleum and Petroleum Products), effective April 29.
Amendment No. 4, issued last March 26, stipulated that gasoline sold in 15 States on the eastern seaboard and in the District of Columbia should not be priced in excess of 8/10 of a cent per gallon above the prices on October 1, 1941, and in Georgia and Florida east of the Apalachicola River not in excess of 5/10 of a cent above the prices on the same date.
Amendment No. 8 reestablishes as a base for calculating increases, the stipulations originally ordered in Revised Price Schedule No. 88.
★ ★ ★
Ceilings set on rolled zinc products
Maximum prices for rolled zinc products were announced April 30 by Price Administrator Henderson.
The prices established are those published by the Price Administrator on November 29, 1941, with slight changes in the prices of zinc, boiler, hull, and engravers’ plates based upon the receipt of additional information subsequently by the OPA.
The maximum prices areKcontained in Maximum Price Regulation No. 124, which becomes effective May 11.
Makers’ ceilings set on paperboard and specialty items
Maximum manufacturers’ prices for specialty paperboard, and many processed paperboard items not covered previously, were established in Amendment No. 2 to Revised Price Schedule No. 32 (Paperboard Sold East of the Rocky Mountains) announced April 30 by Price Administrator Henderson following issuance of the General Maximum Price Regulation.
The amendment has the effect of establishing maximum manufacturers’ prices for all paperboard, including specialty paperboards which were not included in the original schedule. The definition of “paperboard” has been expanded by the amendment to include “all kinds, grades, types, calipers, colors and patterns of paperboard.”
★ ★ ★
Gasoline ceilings adjusted on some grades in Mid-West areas
Because prices used as standards in establishing maximum tank wagon prices for regular and third-grade gasoline in Midwest and Western territories were protested as not truly reflecting market quotations, Price Administrator Henderson April 29 issued Amendment No. 9 to Revised Price Schedule No. 88 for Petroleum and Petroleum Products. The amendment was effective April 29.
★ ★ ★
Woven cotton tickings put under formal ceiling
Woven cotton tickings, used chiefly in the manufacture of mattresses, pillows, and box springs, were placed under a formal price ceiling April 30 by Price Administrator Henderson through Amendment No. 2 to Revised Price Schedule No. 35—Carded Grey and Colored Yarn Goods.
★ ★ ★
Ceilings set on standard ferromanganese
Maximum prices for standard ferromanganese were fixed April 30 in Maximum Price Regulation No. 138 Price Administrator Henderson has announced.
16
★ VICTORY ★
May 5, 1942
Review of war contracts, now in progress promises large savings by adjustment, refund; costs drop as mass output begins
A method by which costs and profits on war contracts are being continuously reviewed by Government war agencies in order that savings made possible through mass production of war material will be reflected in savings to the Government was announced April 30 by WPB Chairman Nelson.
The method involves collaboration by the War Department, the Navy Department, the United States Maritime Commission and the War Production Board in studying war contracts and working out adjustments or refunds with the contractors in cases where costs or profits are found to be excessive.
3 discussions save $140,000,000
Direct savings to the Government which will be obtained in this way will be very substantial, Mr. Nelson said, pointing out that recent discussions with three contractors by the War and Navy Departments had resulted in savings of $140,-000,000. He added:
“In our war program we are calling on, industrial firms to manufacture hundreds of articles which were never previously made on a mass production basis. It is perfectly obvious that as a company gets into mass production on such articles, its costs go down. But it is also obvious that it is not possible for a new contractor to know in advance just how much those costs are going to drop. It is also true that the primary objective of the procurement officers must be speed in production. Hence it is out of the question to delay signing of all war contracts until everyone is certain that costs and profits have been figured down to the most just and equitable level.
Many firms initiate talks
“The system which has been worked out by the Armed Services and the Maritime Commission, in consultation with the ' War Production Board, gets us around this difficulty. As production gets into full swing, both the contractor and the Government get a clearer picture of costs and are able to determine what constitutes a fair profit. Contracts are now being so examined in all cases where the agencies involved find it advisable. In cases where an excessive profit is found, the contract can be renegotiated at a lower figure—or, if the contract has
been performed, a refund can be arranged.
“I should like to point out that many business firms are coming in voluntarily to discuss this lowering of profit margins. Our experience so far reveals a very general realization among industrialists that there is no place in our war program for excessive profits.” .
By a joint memorandum signed by Under Secretary of War Robert P. Patterson, Under Secretary of Navy James Forrestal, Chairman E. S. Land of the Maritime Commission, and Mr. Nelson, a cost analysis section has been set up in each agency to conduct studies and surveys. In addition, price adjustment boards, on each of which the War Production Board is represented, have been established in the War and Navy Departments and in the Maritime Commission, to advise and assist the procurement officers in getting adjustments or refunds in all cases where costs or profits are found to be excessive.
★ ★ ★
$162,416,000,000 in war funds made available since June 1940
War funds made available by Congress or the Reconstruction Finance Corporation since June 1940 totaled $162,416,-000,000 when President Roosevelt signed the Sixth Supplemental War Appropriation Act of 1942 on April 28. This Act carried cash appropriations and net contract authorization of $19,138,000,000.
$8,761,000,000 for airplanes
The $162,416,000,000 total includes approximately $6,000,000,000 for the Navy Department, which does not become available for spending until fiscal 1943, and has not been allocated officially for specific purposes. The total does not include $4,096,000,000 contracted by foreign governments for war production in the United States.
The most important item of expenditure provided for in the latest appropriation is $8,761,000,000 for airplanes. Posts, depots and stations call for $6,-123,000,000, virtually double the amount previously »appropriated for such purposes. Miscellaneous munitions and supplies covered in the Act came to $2,268,000,000.
1,000,000 making war material . in plants which have
Production Drive committees
More than one million men and women are producing war material in factories where joint labor-management Production Drive committees have been set up, Donald M. Nelson, WPB Chairman, said in a message April 30 to the Citizens for Victory Committee meeting in San Francisco.
The Citizens for Victory Committee is a nonpartisan -national organization.
Pressure of his duties prevented Mr. Nelson from attending the meeting and a recording of his address was sent.
Excerpts from the text follow:
/‘I don’t need to remind you that as far as we at home are concerned this is a war of production. The war is finally going to be won on the battlefields, of course/ but we must never for one moment forget that it could easily be lost in the shops and factories of America. That puts a terrible responsibility on you and me. We’re the people who could lose this war. And if by evil chance we should lose it, nobody would care to listen to us while we tried to blame each other for the defeat.
“We would all be guilty—management, labor, and Government alike; and the fires of defeat would quickly consume all of the rights, privileges, and liberties that we are so zealous to guard.
“I believe we have all 'earned that lesson by now. We know that unless we cheerfully work together for our own liberty we shall some day be forced to work together in slavery. We are up against something that is bigger than any of us. We know now what the price of freedom really is.”
★ ★ ★
BANE LEAVES OPA
Relinquishment by Frank Bane of his temporary post with the OPA ta return to the Council of State Governments was announced April 27 by Price Administrator Henderson.
Mr. Bane was lent to the OPA last November to develop a field organization plan. He was later induced to stay on in order to initiate this plan in principal cities, and again in January he agreed, at Mr. Henderson’s insistence, to continue further with the OPA in order to set up the organization for rationing tires and other commodities.
May 5, 1942
★ VICTORY ★
17
Time to Take the Mountain to Mahomet
Cartoon by Elderman for OEM. Publishers may obtain mats of these cartoons weekly in either twb- or three-column size. Requests to be put on the mailing list should be addressed to Distribution Section, Division of Information, Office for Emergency Management, 2743 Temporary R, Washington, D. C.
Dairy conservation program
Clyde E. Beardslee, chief of the WPB dairy section recommended on May 1, that the butter and ice cream industries curtail a number of services, discontinue the use of certain packages and change some distribution methods to conserve materials for the war effort.
Mr. Beardslee said that the recommendations were adopted after conferences with the dairy industry advisory com
mittee and have been approved by Douglas Townson, chief of the food supply branch.
★ ★ ★
Save cosmetic containers
American women can help the war effort by saving the increasingly precious metal containers in which they buy their lipsticks, their toiletries, and other beauty aids.
WPB consultants from industry help Services find factories, break bottlenecks
Donald M. Nelson, Chairman of the WPB, announced April 26 that facilities of American civilian industry which can be used to break bottlenecks in war production are being made available to the Armed Services and the Maritime Commission through special industrial consultants in the Bureau of Industry Branches.
Men thoroughly familiar with the existing machinery and facilities in their own industries have been brought into the Government service.
Chief function of these industrial consultants Is to furnish information to Army, Navy, and Maritime Commission . procurement officers about the types of war work which each industry can handle, both in prime and subcontracts. They do not, however, enter into any direct negotiations for placing orders. .
Report on conversion coming
In announcing this industrial approach to the problems of conversion, Mr. Nelson said that first consideration must be given to efficiency in filling war orders. Time does not permit a detailed program of placing war orders with every company affected by a WPB limitation or conservation order.
The activities of the industrial consultants are therefore directed primarily toward finding existing facilities to speed the war effort. A progress report on the whole conversion program will be issued by WPB in the near future.
Consultants named
Consultants actively engaged in this program, with the business connections and the industries concerned, are as follows:
N. L. Etten, American Wringer Corporation, Woonsocket, R. I.—Household Appliances; D. G. Smellie, Hoover Vacuum Cleaner, North Canton, Ohio—Household Appliances; D. D. Bumside, American Stove Co., St. Louis, Mo.— Stoves; E. E. Berry, Beloit Iron Works, Beloit, Wis.—Pulp and Paper Machinery; S. H. Arnolt, Atlas Steel & Tube, Warsaw, Ind.—Metal Furniture; W. E. Chollur, Remington Rand Co., Bridgeport, Conn.—Office Machinery; Alvin Haas, Yates American Co., Beloit, Wis.— Wood Working Machinery; Fred Erbach, Yates American Co., Beloit, Wis.—Wood working Machinery; John Lehman, Harris, Seybold, Potter Co., Cleveland, Ohio—Printing Machinery; R. G Conklin, Vulcan Lead Products, Milwaukee, Wis.—Lead Products; A. P. Nichols, Jr., Kansas City Smelting Co., Kansas City, Mo.—Lead Products; C. C. Lincoln, Virginia Lincoln Furniture Co., Marion, Va.— Wood Furniture; Dr. A. B. Pacini, American Home Products, Jersey City, N. J .—Toiletries and Cosmetics; L. C. Wilkoff, Youngstown Steel Car Co., Youngstown, Ohio—Car Building; and Col. L. S. Horner, New Haven, Conn.— Builders’ Hardware.
18
★ VICTORY ★
May 5, 1942
RATIONING...
Moving to ration autos faster, OPA relaxes standards of qualifying
In order to increase the flow of new passenger cars to eligible buyers and to assure more uniform treatment of applicants for automobile rationing certificates throughout the country, the Office of Price Administration has made changes in its automobile rationing regu-
lations, Administrator Henderson announced April 26.
This is in accordance with the Administrator’s express policy of releasing all new passenger automobiles, except those in the Government “pool,” within a 12-month period after the beginning of rationing on March 2 of this year. Sales so far under rationing have been at a rate considerably less than was expected at the time quotas were allotted for March, April and May.
Standard of need relaxed
Thé new amendment revises completely the section of the automobile rationing order which requires an applicant to prove that he needs a new passenger automobile before a local rationing board may issue a certificate. The applicant must still prove that he needs a car to carry on efficiently essential civilian services or war work, but the standard of need has been simplified and relaxed.
An eligible applicant may establish need for an automobile by meeting any of the following conditions:
That he must travel quickly and would be better able to do so by automobile than by other means of transportation;
That he must transport passengers or heavy or bulky tools or materials;
That without a car he would have to walk at least 3 miles in going to and coming from work;
That he would have to spend at least 1 % hours in going to and coming from work without a car, and could save 45 minutes by using one;
That his work is arduous, or his hours unusually long, or that he must travel late at night;
That local transportation services are overcrowded;
That his physical condition would make it a hardship for him to walk or to use public transportation facilities;
That he clearly needs an automobile because of other unusual circumstances.
How to qualify
If the applicant fulfills one or more of the above conditions, he may qualify for a new car purchase certificate by showing that he does not already have an
TAKE CARE OF YOUR AUTO— Illustrations (“Drive Slowly,” “Form a Car Pool”) are from a WPB flier which is being distributed to motorists with cooperation of State motor vehicle departments. Other pictures on the flier get across these ideas: Drive less; grease often, check your oil; start right in cold weather; take care of your battery; protect the finish. Another page tells 10 ways to prolong tire life.
automobile adequate for his purposes. A board may decide that a car is inadequate if (a) it is a 1939 or earlier model; or (b) it has been driven more than 40,000 miles; or (c) it has been rendered unserviceable by fire, collision, or otherwise; or (d) it is not reliable enough for the services it is to perform; or (e) demands upon the applicant for the specified services have increased to such an extent that he needs an additional automobile to render such services.
These changes are brought about by Amendment No. 6 to thè New Passenger Automobile Rationing Regulations, which was to go into effect April 29,1942.
Henderson explains reasons
Commenting on the objectives of the new amendment, Mr. Henderson said:
When automobile rationing began there were some 535,000 new passenger automobiles in the hands of dealers, distributors, and manufacturers throughout the United States. It was then and still is our policy to distribute
the major part of these cars—roughly 400,000 of them—during the first 12 months of the operation of the rationing system. The remainder—about 135,000—have been earmarked as a reserve pool to meet military and essential civilian needs thereafter.
We are fully aware that the reserve pool 1» pitifully small to meet our needs after March 1943. Requirements of the Military Services for passenger automobiles will Increase next year. Police services must be expanded In certain areas, and thousands of additional cars will be necessary to transport workers to defense plants now under construction. In addition, we will have to replace automobiles that will be worn out or wrecked in Important civilian services.
Nevertheless, two primary considerations make it appear desirable to distribute the major part of our passenger car stock over a relatively short period.
Storage taxed, cars depreciating
First, even though a serious Scarcity of automobiles is in prospect due to the stoppage of production, the present stock of automobiles is taxing our storage facilities. Reduction of this stock will release warehouse space badly needed for storing other commodities.
Second, automobiles depreciate in storage even under the most favorable storage conditions. Some deterioration is bound to occur with the passage of time. The rate of depreciation is greater where the conditions of storage prevent occasional starting of motors and movements of cars. When automobiles are stored in open lots, exposed to the weather, as is now the case in some areas, depreciation is rapid unless exceptional precautions are taken.
The present amendment to the new Automobile Rationing Regulations results from reports received recently from State rationing administrators which indicate that new passenger automobiles are now moving at about 40 percent of the quota rate. By relaxing the age and mileage requirements for trade-ins, and by establishing relatively liberal tests of need, this amendment undoubtedly will increase the flow of cars into the hands of eligible buyers.
There are, however, other factors which have held up the movement of automobiles. Some eligible persons who need to replace their cars are not doing so because they believe it to be unpatriotic.
To such people, I would like to say that there is nothing unpatriotic about replacing a car which is used to perform essential serv-
ices and which would have to be replaced next year or the year after. To the extent that we can equip those who need automobiles for the performance of essential services with the best available transportation, we will be cutting costs of storage and reducing next year’s automobile-requirements. Those who obtain new automobiles under the rationing program have, however, a special responsibility for using their cars sparingly, for driving slowly and carefully, and for keeping their automobiles and tires in the best condition possible.
The amendment to the New Passenger Automobile Rationing Regulations does not change the list of eligible services.
May S, 1942
* VICTORY *
19
WPB authorizes 700,000-ton Buna S synthetic rubber program
The WPB has authorized the Reconstruction Finance Corporation to provide facilities for an annual productive capacity of 700,000 tons of Buna S synthetic rubber to be in operation not later than the end of 1943, it was announced April 25 by WPB Chief Donald M. Nelson and Coordinator for Rubber Arthur B. Newhall.
Assured of priority aid
This represents an increase of 100,000 tons in the Buna S program previously authorized by the WPB, and is in addition to the planned capacity for Butyl synthetic rubber and neoprene, totalling 100,000 tons.
The WPB said that the 700,000-ton Buna S program is to be given all the priority and allocation assistance needed to assure the production of not less than 350,000 tons during the calendar year of 1943.
All the synthetic rubber to be produced for many months must be reserved for military uses, and none will be available for civilian uses, such as automobile tires.
★ ★ ★
Check on tire and tube rationing shows some margin below quotas
•
Figures released by the OPA April 29 on the amount of tire and tube rationing quotas actually used in January reveal a small but important offset to the serious deterioration that has- taken place in the Nation’s rubber position since that month’s allotments were established.
In the 40 States and the District of Columbia for which January reports are available, certificates issued for new passenger car tires amounted to 45 percent of the combined total of their quotas and the reserves which are set aside in each State for adjustment of emergency situations. A slightly higher percentage of truck tire quotas was used.
These preliminary figures indicating a margin of quota allotment over actual use were welcomed by officials in the OPA tire rationing division, who point out that any saving at this time can be looked upon as an addition to the vitally important inventory for later use.
10,000,000 automobile owners in 17 Eastern States must show ration card
to buy gasoline after May 15
The cards by which nearly 10,000,000 passenger-car owners in 17 Eastern States will make their gasoline purchases under rationing after May 15, were described April 28 by the OPA.
Five different ration cards
The cards, as well as the application forms which some gasoline users will be asked to fill out, will be distributed to school registration sites throughout the rationed area before May 12, when registration begins.
Five different ration cards have been prepared, and owners of motor vehicles and inboard motorboats will receive at registration time the type of card -for which they qualify. The cards are-designated as “A,” “B-l,” “B-2,” “B-3,” and “X” cards and are Intended to last users to whom they are issued through the 45-day period, from May 15 to July 1, in which the temporary plan announced the previous week will be in effect.
“A” or basic allotment card
No application form whatever will be needed to obtain the “A,” or basic allotment card. Owners may receive one of these upon presentation of their car registration cards.
Across the Ijottom of the “A” card are seven squares, each good for one “unit” of gasoline. The gallonage value each unit will be announced before May 15. The holder of an “A” card may use up his “units” as fast as he wishes, but he is warned that he will not be eligible for another “A" card after his “units” are gone. The squares on the card will be punched, marked, or torn off by the service station attendant as purchases are made.
Instructions issued with all cards point out that only after the registration dates can the local rationing boards make adjustments, or issue different cards to registered gasoline users.
More units on “B” cards
The “B” cards resemble the “A” cards, except for the number of “unit” squares. The “B-l” card has 11 units; the “B-2” catd, 15 units; and the “B-3” card 19 units. The value of these units will also be announced before rationing begins.
In applying for one of the “B” cards an owner must fill out at the time of registration the “B.” application form, as well as present the registration card of the motor vehicle for which gasoline is needed.
The information to go on the “B” application will show the applicant’s need for more gasoline than he could obtain with an “A” card. Specifically, it will ask for the exact nature of the applicant’s work (gainful occupation). Other questions that must be answered are:'“If you drive to work, what is the shortest mileage from your home to your regular place of work, or commuting point?” “How many miles do you drive each working dky in carrying on your work (other than from home to work and back)?” “What is the total average daily mileage customarily driven in the car described above to get to and from work and to carry on work?” “Are you making every possible, effort to reduce this mileage by using public transportation and by ‘doubling-up’ with your neighbors?’’
The applicant will certify that the gasoline obtained with the ration card will be used solely in the motor vehicle described in the application and will not be used for any other purpose.
“X” card “for essential use”
The applicant for an “X” card, which entitles the holder to whatever gasoline he needs “for essential use,” must also fill out an “X” application form.
Legitimate uses, which make an owner eligible for an “X” card are listed on the application as foUows: (a) As an ambulance, or hearse; (b) as a taxi, bus, jitney or other public conveyance for hire, or as a vehicle available for public rental; (c) for a regularly practicing minister of a religious faith, in the performance of religious duties in meeting the religious needs of the congregation served; (d) for a duly licensed physician, surgeon, Christian Science practitioner, nurse, osteopath, chiropractor, or veterinarian for rendering medical, professional, nursing, or veterinary services; (e) for the official business of Federal, State, local or foreign governments or government agencies; (f) for trucking, hauling, towing, freight-carrying, mail carrying, delivery, or messenger service; (g) for the transportation of materials and equipment for construction or for mechanical, electrical, structural, or highway maintenance or repair services; or for transportation of work crews to enable them to render such services.
Inboard motorboat owners must fill out a form to obtain either the “A” or “X” cards. An “A” card will be issued if the craft is used for nonessential purposes; an “X” card will be issued if the boat is used for specific commercial purposes listed on the application form.
Other gasoline rationing forms prepared by the OPA will (1) serve persons wishing to replace lost, or damaged, ration cards, (2) authorize the transfer of gasoline for use other than in motor vehicles or inboard motorboats, (3) authorize bulk gasoline transfer for ultimate consumption in motor vehicles and inboard motorboats.
20
★ VICTORY ★
May 5, 1942
Tires to be denied to those who abuse them; recaps will be required where practical
New tires will not be available for list A vehicles after May 1, when use of a recapped tire is practical, and no tires at all will be released after June l^to anyone who abuses those he now has in use.
These provisions are contained in Amendment No. 7 to the Revised Tire Rationing Regulations, announced April 30 by Price Administrator Henderson. Effective date of the amendment was May 1.
In the case of vehicles operated in hazardous services where the safety factor is a consideration, the local rationing board may issue a new tire certificate. Although this provision is primarily to take care of police and fire vehicles, it is considered broad enough to cover other list A eligibles when the board is convinced of their need for new tires.
After June 1, anyone who presents an inspector’s report that a tire cannot be made fit for recapping or retreading will be called upon to show that it did not become unusable through abuse or neglect.
★ ★ ★
TRAILER TOW VEHICLES ELIGIBLE FOR TIRES
Vehicles used to tow house trailers from the factory to sites where they are necessary as living quarters for war workers will be eligible for tires under A of the rationing regulations’after May 1, Price Administrator Henderson announced April 30. The tow car must not be used for other than list A purposes, and the length of haul for a house trailer is limited to 200 miles. However, on written consent of the State rationing administrator, a local board may issue a certificate where the distance limit is exceeded. A further provision prohibits issuance of a certificate when it is practicable to move the trailers by rail.
★ ★ ★
Heavy truck tires provided
WPB has made it possible to equip heavy trucks produced under existing quotas with tires and tubes. Amendment No. 7 to Limitation Order No. L-l-a, effective April 25, rescinds the prohibition against putting tires and tubes on new heavy trucks except for delivery to dealers.
58 SPECIALISTS AID RATIONING IN FIELD
The appointment of 58 specialists to aid in handling the problems which will arise in the sugar-rationing program, which went into effect on April 28, was announced April 30 by OPA Administrator Henderson. They will serve as technical aides in the offices which are maintained in the 48 States and the District of Columbia as well as in the 8 regional offices through which the rationing program is administered.
★ ★ ★
Excess sugar inventories not to be maintained
Retail grocers will not be permitted to maintain stocks of sugar they now have on hand which are in excess of the amount of sugar allowed them as working inventories under the rationing regulations, the OPA said May 1.
While no grocer is required to surrender any present excess sugar inventory, he cannot accept any future delivery of sugar until he has first turned over to his loçal rationing board for cancelation War Ration Stamps or Sugar Purchase Certificates with a weight value equal to the excess amount.
The same principle applies to wholesalers who have present inventories in excess of their allowable inventories.
★ ★ ★
If you eat in a boarding house...
Among the establishments classified by OPA as institutional users of sugar are hotels, restaurants, resorts, fraternities, sororities, dormitories, hospitals, boarding houses, orphanages, convents, monasteries, and State institutions such as prisons and asylums.
Persons who reside or eat their meals in buildings classified as institutions were to register or be registered the same as other consumers in the registration on May 4, 5, 6, and 7.
Consumers who eat 12 or more meals a week in an establishment registered as an institutional user are required to surrender their War Ration Books to the owner or manager of the establishment in order to permit removal of the sugar ration stamps for cancelation by the local rationing board.
“Off-sale” baked goods to get 70 percent of 1941 sugar
OPA on April 27 issued a clarification of sugar rationing regulations as they apply to restaurants manufacturing baked goods or other products for off-sale purposes.
According to OPA, restaurants which in 1941 manufactured products for sale off the premises may receive for that purpose 70 percent of the amount of sugar they used during the corresponding month last year. This regulation applies to the off-sale portion of their business only.
For use in making baked goods or other products for consumption on the premises—as meals or food services—restaurants preparing and serving meals may obtain 50 percent of last year’s sugar usage.
★ ★ ★
School teachers commended for handling of sugar registration
Price Administrator Henderson April 30 expressed his gratitude to the thousands of public school teachers throughout the country who conducted the 2-day trade registration for sugar rationing.
★ ★ ★
Ocean shipmasters to get^ sugar by signing receipts ,
An ocean-going vessel may for the time being obtain the sugar it needs for the voyage on which it is embarking without a sugar purchase certificate, OPA said April 30.
AU that is necessary is that the master of the vessel sign a receipt for the amount of-sugar delivered.
The person delivering the sugar can then present this receipt to his local rationing board and receive in exchange a sugar purchase certificate which will permit him to acquire an amount of sugar equal to that delivered to the ship.
★ ★ ★
First industrial sugar quota April 28 or 29 to June 30
The first allotments of sugar to industrial and institutional users—under the new Nation-wide rationing program—were to cover the period from the time of registration, April 28 or 29, to June 30, 1942, OPA announced.
May 5, 1942
★ VICTORY ★
21
LABOR...
President gives Board job of stabilizing wages; labor members to handle jurisdictional disputes for the duration
The National War Labor Board last week received a new job from the President—to stabilize.wages—and it set up a system for final settlement of all jurisdictional disputes between labor unions for the duration of the war.
President Roosevelt gave the Board the job of stabilizing wages when he outlined to Congress his 7-point program to keep the cost of living down.
“In respect to the third item,” the President said, “seeking to stabilize remuneration for work, legislation is not required under present circumstances. I believe that stabilizing the cost of living will mean that wages in general can and should be kept at existing scales.
“Organized labor has voluntarily given up its right to strike during the war. Therefore all stabilization or adjustment of wages will be settled by the War Labor Board machinery which has been generally accepted by industry and labor for the settlement of all disputes.
“All strikes are at a minimum. Existing contracts between employers and employees must, in all fairness, be carried out to the expiration date of those contracts. The existing machinery for labor disputes will, of course, continue to give due consideration to inequalities and the elimination of substandards of living. I repeat that all of these processes, now in existence, will work equitably for the overwhelming proportion of all our workers if we can keep the" cost of living down and stabilize their remuneration.”
An interdepartmental committee consisting of representatives of the War, Navy, and Labor Departments, the War Production Board, the Maritime Commission, the new Manpower Commission, and the War Labor Board was formed to work in cooperation with the War Labor Board in this difficult task. The committee was created as a result of a conference of high-ranking officials of the agencies involved which was called by Board Chairman William H. Davis to discuss the President’s message.
Jurisdictional disputes to be settled
Jurisdictional disputes between labor unions coming to the Board will be re
ferred to the labor members of the Board for settlement from now on, Mr. Davis, Board Chairman,^announced. Hie procedure was evolved as a result of an agreement between William Green, president of the American Federation of Labor, and Philip Murray, president of the Congress of Industrial Organizations.
The jurisdictional disputes agreement will dispose not only of disputes between unions affiliated with the two national organizations, but also disputes between unions within either the AFL or CIO which affect the war effort.
“All jurisdictional questions in cases coming before the War Labor Board,” Mr. Davis announced, “will be referred as a matter of course to the labor members of the Board for adjustment.
“If any particular dispute cannot be settled by the labor members, Mr. Murray and Mr. Green will be so notified and they will thereupon promptly appoint a group or individual to make a final and binding determination of the dispute.
“Jurisdictional disputes have always been the most difficult to settle because of their very nature. The American people will welcome this agreement between the two labor organizations for finally determining all jurisdictional disputes until the war is won.”
Harvester Company accepts
Mr. Davis last week congratulated the International Harvester Co. on behalf of the Board for its decision to accept a maintenance of membership clause ordered by the Board April 15. The Board is still awaiting word from the United States Steel Corporation that it has accepted a similar clause ordered by the Board in the case of its subsidiary, the Federal Shipbuilding & Drydock Co.
News of the acceptance by this giant farm equipment concern, after deliberation by its board of directors for more than 2 weeks, came in the form of a telegram from Fowler McCormick, company president. In the telegram Mr. McCormick stated that the company “will fully comply” with the Board’s decision.
Thomas Fair Neblett, principal mediation officer of the Board, is now in Chicago, setting up machinery to hold secret
ballot elections in eight of the company’s plants on this clause, Mr. Davis announced. The clause would require all members of the union to maintain their membership in good standing for the duration of the contract. Only members of the majority union in each plant will be eligible to vote.
“I hope and believe,” Mr. Davis said in a telegram to the company president, “that under the new contract the relations between your company and its employees will advance toward that cooperative understanding and mutual confidence upon which maximum production depends.”
The elections are believed to be the first strictly' intraunion elections ever to be held under the auspices of the agency of the Federal Government. The 8 plants employ 25,000 workers.
Complete contract drawn up
The Board unanimously settled the dispute between the Arcade Malleable Iron Co., Inc., Worcester, Mass., and the Steel Workers Organizing Commitee, CIO, by ordering both parties to accept a collective bargaining contract drawn up by the 3-man panel of the Board which heard the case. A total of 400 employees are affected. This marks the first time the Board has had to draw up a complete contract.
The contract drawn up by the panel was sent to both parties. The union signed it, but the company rejected it. The panel then adopted the contract as its unanimous recommendation for a “fair and equitable” settlement of the dispute and referred the matter to the whole Board.
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WENDELL LUND NAMED LABOR PRODUCTION DIRECTOR
Wendell Lund of Detroit will head the new Labor Production Division of the WPB, Chairman Donald M. Nelson announced May 1.
WPB operations having to do with labor relations and staff activities bearing on production will be continued without interruption, Nelson said.
Lund, 36 years old and a native of Escanaba, Mich., has been executive director of the Michigan Unemployment Compensation Commission during the recent automobile conversion program and is conversant with the Labor Division activities of the WPB.
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May 5, 1942
INDUSTRIAL OPERATIONS...
Production of storage batteries cut for autos, light trucks, to save vital items
The WPB April 26 announced a program to conserve substantial quantities of lead, antimony, rubber, and other critical materials going into the manufacture of storage batteries for passenger automobiles and light trucks.
Sizes and models cut from 75 to 15
In Supplementary Limitation Order L-4-b, the Board:
’ 1. Prohibited production of these batteries after April 30 except in specified minimum ampere hour capacities, thereby reducing the number of sizes and models now being produced from about 75 to 15. This will in no way affect the normal life of a battery.
2. Curtailed production by each manufacturer during the 6 months from April to September 30 to 75 percent of the number of batteries sold by him during the corresponding period of 1941.
3. Ordered retailers to cease selling or delivering after April 30 any new replacement Battery to any purchaser unless the purchaser turns in a used battery at the time of the transaction.
4. Placed rigid restrictions on inventories of producers, retailers, jobbers, and warehouses, in order to avoid tying up critical materials.
Quota modified for second quarter
Terms of the order do not apply to batteries produced for the Army and Navy, certain other Government agencies, certain foreign governments, and Lend-Lease requirements.
The limitation on production during the second and third quarters of this year supersedes, as affects the second quarter, the production quota fixed for the first 6 months of this year under Amendment No. 1 to Limitation Order L-4-a, which covered all replacement parts for automobiles and light trucks. Under that order, battery manufacturers were authorized to produce during the 6-month period up to 150 percent of the number of batteries they sold for replacement purposes during 1941.
Inventories restricted
Producers may manufacture, before May 31, batteries from materials on hand at the present time in minimum ampere hour capacities other than those specified, provided no additional material is required and the material on hand cannot be used in batteries of the specified capacities.
No producer is permitted to have in inventory on the first day in any month a stock of batteries in excess of the number sold by him during the 60-day
period in 1941 corresponding to the 60-day period following the date of the inventory.
Retailers, jobbers, and warehouses are prohibited from ordering more than a 45 days’ supply of batteries or accepting delivery of batteries which, in combination with existing inventory, will aggregate more than a 45 days’ supply. In any month, a 45 days* supply means the number of batteries sold during the corresponding month last year plus one-half the number sold in the next succeeding month in 1941.
The order places a 30-day limit on the time producers, retailers, jobbers, and warehouses may keep used, traded-in, imperfect' or condemned batteries, or parts for them, in inventory, in their possession or under their control.
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Curb on use of scrap and reclaimed rubber continued
Use of scrap and reclaimed rubber during May in a specific list of articles will continue to be limited to 60 percent of a formula based on average monthly use over a base period, Director of Industry Operations Knowlson announced April 27.
It was ordered on March 20 that after May 1, products on list F of rubber order M-15-b could be made only with the prior approval of the Director of Industry Operations. Since information on which specific allotments could be based has not yet been developed, this date has been postponed to June 1 by Amendment No. 9.
List F includes automotive parts, fan belts, business machine rolls, parts for motor-driven electrical apparatus, and certain other items generally used in industry.
The use of scrap or reclaimed rubber which is permitted by the formula for the month of May is 60 percent of an amount comprising the average monthly consumption of reclaimed or scrap in List F products during the last quarter of 1941, plus 166% percent of the average monthly consumption of crude rubber or latex in the List F products in the same period.
Metal windows authorized for certain rated housing projects
Limitation Order I>-77 on metal windows has been amended to permit the manufacture of basement windows and residential-type casements for use in certain rated housing projects.
The amendment, effective April 28, authorizes the manufacture of metal windows composed wholly of materials in a manufacturer’s inventory prior to March 25 for use in a project to which a preference rating has been assigned by Order P-55 (Defense Housing), Order P-19-d (Publicly Financed Housing) or Order P-110 (Remodeling of Houses in a Defense Area).
This is permitted whether or not the preference rating has been extended to the order or contract for the purchase of the metal windows.
The amendment also permits the manufacture until May 15 of any metal window pursuant to an order received on or before March 25, if the window is for use in a rated project. The provision of the original order which permitted the manufacture of any metal window to fill an order with an A-2 or higher rating, is continued by the amendment.
Sale and delivery restricted
After May t, deliveries of material for the manufacture of metal windows may not be made except under the Production Requirements Plan.
Sale and delivery of metal windows is permitted only for the following purposes :
1. On an order or contract rated A-10 or higher.
2. Until May 31, sale and delivery is permitted on orders received on or before March 25, if the window is for use in a rated project.
3. For use in a project to which a preference rating has been assigned by the three Housing orders mentioned above.
4. Any manufacturer or distributor may sell and deliver any metal window to any other manufacturer or distributor.
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WINDBLOWN FOR VICTORY
The WPB has restricted the amount of metal to be incorporated in hairpins and bobpins and regulated their length and thickness in order to obtain the maximum number of such articles from the amount of metal that may be used.
The order is L-104, effective April 25.
May 5, 1942
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23
Fancy painting and finishing of metal-working machinery banned
Fancy painting and finishing of metalworking machinery by machirje tool builders were to be banned after April 30, the WPB announced April 27.
‘Limitation Order No. L-108, effective April 27, provides that only one coat of primer or sealer may be applied to new metal-working equipment. No filler may be applied and not more than two coats of paint, enamel, or lacquer may be used. Any color other than “old machine-tool gray” for the final coat of paint is prohibited.
The order was issued, the Board stated, to reduce the time required for delivery of machine tools andxto free the space now used for finishing, for more productive work.
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“High wine” placed under complete allocation
Beverage alcohol from 100 to 189 proof, known in industry as “high wine,” April 28 was placed under complete allocation control so it can be used to augment the Nation’s industrial alcohol supply.
Amendment No. 1 to Order M-69 requires distillers to deliver specified quantities to rectifying plants for redistillation into 190 proof alcohol.
Each producer also is required to report to the chemicals branch, WPB, the quantity of high wine his distillery is capable of producing and his entire storage facilities.
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FORMAL FLUORSPAR CEILINGS
Formal price ceilings for fluorspar at levels generally prevailing on January 2, 1942, were announced April 30 by Price Administrator Henderson.
The maximum prices—contained in Maximum Price Regulation No. 126—become effective May 11.
An informal price ceiling for fluorspar, coinciding for the most part with the new formal maximums, has been observed since January 20, when all persons known to be producing and milling this crystalline mineral were requested not to exceed their prices of January 2.
The Price Administrator said that the formal regulation' was necessary to prevent price increases and to limit the prices of Individuals or companies that had not complied with the informal request.
Fluorspar is important to the war effort by reason of its uses, among others, in the manufacture of synthetic cryolite for making aluminum, and as a flux in the manufacture of steel and ferro-alloys.
MAGNESIUM CONTROL EXTENDED
The Director of Industry Operations on April 25 extended until October 31 Order M-2-b, which provides for complete allocation of magnesium. The order was due to expire on April 30.
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GAS EQUIPMENT ORDER CLARIFIED
An exemption paragraph in Limitation Order L-86, governing the installation of liquefied petroleum gas equipment, was clarified April 27 in an official interpretation issued by the Director of Industry Operations.
The paragraph in question exempts from the terms of the order equipment “Installed and in actual use prior to April 1, 1942 . . . subsequently withdrawn from such use.” The interpretation makes it clear that only equipment withdrawn after April 1, 1942, is exempt.
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Use of A-l-c for mining machine repairs clarified
An amendment to Preference Rating Order P-56 issued April 13, 1942, added explosives and explosive equipment to the list of mining machinery and equipment in Schedule A of the order. This enables mine operators who have serial numbers under the order to use an A-l-c rating in obtaining repair parts for such equipment.
Not for ordinary operating supplies
To clear up some confusion which has arisen as a result of this amendment, Dr. Wilbur A. Nelson, administrator, of the mining branch, explained April 28 that the A-l-c rating is applicable for repairs to blasting machines and similar machinery and equipment, but that the rating may not be used for ordinary operating supplies such as black powder and dynamite, to which the A-8 rating remains applicable.
Mines which do not operate under P-56 may use an A-10 rating under the general repair, maintenance and operating supplies order, P-100, to obtain explosives. The amendment to P-56 does not affect any existing priorities on explosives and explosive equipment, nor does it prevent any mine operator from obtaining explosives in the same way as before the amendment was issued.
General Motors punished on charge of using chrome, aluminum for decoration
General Motors Corporation, Detroit, Mich., was cited May 1 by the WPB for wartime violation of priority regulations in a suspension order charging prohibited uses of substantial quantities of scarce materials.
Suspension Order S-53 states that between January 7 and March 9, 1942, the Ternstedt Manufacturing Division of General Motors used 10,259 pounds of chrome steel in the manufacture' çf decorative mouldings for automobiles, and that between January 24 and March 13, 1942, it used 9,239 pounds of primary aluminum and 11,492 pounds of secondary aluminum to produce radiator grills and other body hardware, in violation of Supplementary Orders M-l-e and M-21-d.
The suspension order, effective May 2, prohibits General Motors Corporation from manufacturing or producing any replacement parts for passenger automobiles, light, medium, and heavy trucks, truck trailers, passenger carriers, and school bus bodies other than functional replacement parts as defined in General Preference Orders P-57 and P-107. The order is effective for three months.
At the same time, the WPB announced that it had investigated complaints received from various sources that Ternstedt also was using large quantities of copper, nickel and zinc in violation of WPB orders. The investigation showed that Ternstedt’s use of these metals did not violate any then existing orders.
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Dairy processors must use repair ratings before June 30
The WPB April 27 amended Preference Rating Order No. P-118 to restrict application of preference ratings by dairy processors to orders for repair, maintenance and operating materials for use before June 30, 1942, when the order expires.
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RADIOSONDES ORDER EXTENDED
Preference Rating Order No. P-38 covering materials for the production of radiosondes was extended April 29 to June 30, 1942, by the WPB. The order, issued February 26, 1941, and amended February 18, 1942, was due to expire April 30.
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May 5, 1942
WPB cuts coffee deliveries to 75 percent; war need for ships might affect supply
WPB on April 28 placed restrictions on the distribution of the United States entire coffee supply..
The order reduces the amount of coffee which may be delivered by roasters and the amount which may be accepted by wholesale receivers during any month to 75 percent of deliveries during the corresponding period of 1941.
Ships needed for war
This action was taken to conserve supplies now on hand for the Army, Navy, and civilian population and to make future supplies go as far as possible. The war has created uncertainties about future supplies, since merchant ships that normally transport coffee are needed to carry war materials.
Practically all coffee received in the United States comes from 14 South and Central American countries, with Brazil and Colombia alone supplying about 75 percent of the total. Present stocks of green coffee in this country are about normal.
Conservation Order M-135, issued April 28, specifically requires roasters and wholesalers not to discriminate between customers. The direct order does not attempt control at consumer levels, but receivers affected by the order are expected to pass the cut along to their customers as equitably as possible.
Provisions of orders
Order M-135 and Supplementary Order M-135-a, which fixes the percentage of the reduction in deliveries, restrict the amount of coffee which may be delivered by a roaster or by anyone who has green coffee owned by him roasted by another person. The amount of coffee which may be accepted by a wholesaler, jobber, or any representative of a retail system of four or more stores is similarly restricted. “Wholesale receivers,” as defined in the orders, include retailers or other users (such as restaurants), whose purchases during 1941 averaged 2,000 pounds or more of coffee per month.
Each month, until further notice, a coffee roaster may deliver 75 percent of his average monthly deliveries in the corresponding quarter of 1941. The quota also applies, on a pro rata basis, to deliveries during the rest of April. Deliveries against the quota for any month may be begun not more than ten days before the first day of that month.
Inventories under control
A wholesale receiver may not accept delivery of any coffee which, together with his stock on hand, would bring his total inventory above the amount of his monthly quota. If any receiver now has on hand more than his monthly quota of coffee, he may not accept further deliveries until the excess is disposed of at a rate corresponding to the amount he may receive under the quota.
If a wholesale receiver is also a roaster, he does not need to include in the calculation
of his inventory any coffee which has already been roasted, or coffee which has been delivered to retail stores.
Quota-exempt deliveries of coffee may be made to certain agencies and persons directly connected with the war program. These include:
The Army, Navy, Defense Supplies Corporation, Veterans’ Administration hospital and homes,- and any Lend-Lease agency; the American Red Cross and the United Service Organizations; operators of oceangoing vessels; and operators of camp restaurants, post exchanges, and similar camp or ship services for soldiers and sailors.
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Production and sale of protective helmets curbed
Production and sale of protective helmets, except on order by an agency of the United States or by one of the other United Nations, was forbidden by the WPB April 29 to prevent the waste of critical materials and the manufacture of helmets not conforming to safety standards.
A protective helmet is defined in Limitation Order No. L-105, effective April 29, to include any head covering intended for civilian use during air raids. The term does not include industrial, official, police, fire department, or other helmets not represented as a means of civilian protection from the hazards of war.
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Worrell succeeds Luke on pulp and paper committee
Rufus I. Worrell, president of Mead Sales Corporation, Chillicothe, Ohio, has been appointed to the pulp and paper industry advisory committee. He succeeds D. L. Luke, Jr. *
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Use of totaquine banned except as antimalaria agent
Distribution and use of totaquine, except as an antimalaria agent, was prohibited by WPB April 30 in order to prevent an evasion of the intent of Conservation Order M-131 on quinine.
It was pointed out by the health supplies branch that after issuance of the original quinine order on April 4, some drug manufacturers began to use totaquine, which was not covered by the terms of the order, for the same purposes for which quinine had been prohibited.
Tea quota alternative relieves seasonal hardship
WPB on May 1 issued an amendment to the tea order (M-lll) and a new supplementary order (M-lll-b), relaxing some of the distribution provisions of the original order.
The amendment will make available more tea than would have been available under the original order. The percentage delivery to dealers remains the same—that is, 50 percent of deliveries in a 1941 base period—but the amended order makes allowance for irregularities in delivery schedules which would have penalized some dealers unduly under the terms of the original order.
The amended order redefines a receiver; provides alternative base periods for computing quotas for May and June, to take care of the seasonal marketing of tea; includes bulk 4ea as well as packed tea; enables a packer to sell tea to any receiver; extends quota exemptions on deliveries of tea to the following agencies and persons connected with the war program: The Veterans’ Administration hospitals and homes; the American Red Cross and the United Service Organizations; operators of oceangoing vessels; and operators of camp restaurants, post exchanges, and similar camp or ship services for soldiers and sailors. Originally, quotaexempt deliveries were permitted only for the Army, Navy, and Lend-Lease agencies.
One of the alternative bases for computing monthly quotas is the same as in the original order. That is, the quotas for May and June are 50 percent, each month, of average monthly deliveries in the corresponding calendar quarter of 1941.
The other alternative basis is 25 percent, for each of the months of May and June, of the difference between deliveries in the first six months of 1941 and the first four months of 1942. This alternative takes care of situations, particularly in the South, where deliveries are seasonal because of the popularity of iced tea.
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Crown cap change rescinded
Amendment No. 1 to Conservation Order M-104 on glass container closures, issued April 23, was rescinded April 25 by the Director of Industry Operations.
This action, effected by Amendment No. 2 to the order, ’Was taken because adequate time was not provided for crown cap manufacturers’to secure certificate forms for the shipment of caps with cork discs as required by Amendment No. 1.
Terms of the original order thus again govern the manufacture of crown caps for use on beer and beverage bottles. Production of crown caps made of tinplate and terneplate for these bottles was permitted to the extent that cork was available until May 1, after which date such production was to end.
May 5, 1942
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25
All heavy sole leather set aside for military use
WPB on April 25 ordered the entire stock and production of heavyweight sole leather set aside to meet military . and Lend-Lease requirements for shoes. Previously, 80 percent of such sole leathers was set aside, but that was found insufficient.
The WPB leather and shoe section explained that only heavyweight outersole leather is affected by the order, leaving for civilian shoes the entire supply of ordinary and lightweight outersoles, the kind of soles used for most civilian purposes except in heavy work shoes.
During the coming months, the demand for civilian shoes is not expected to be as great as it was in 1941 because thousands of men who were in civilian life last year are now in the Army. Moreover, indications are that stores and consumers already have large stocks of shoes on hand. In addition, the number of cattle on American farms now is close to an all-time high, and cattle slaughter in 1942 is expected to be at record proportions, increasing the potential leather supply.
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Cotton textile orders for industrial tape get A—2 rating
In order to assure an adequate supply of industrial cloth or tape, indispensable as insulation in electrical cables and for other essential purposes, the WPB has issued an order (M-134) assignirig a preference rating of A-2 to purchase orders for cotton textile fabrics from which tape is made.
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Quick-freeze refrigerators not covered by L-5 orders
The WPB orders-in the L-5 series governing the production and sales of domestic mechanical refrigerators do not apply to a low temperature mechanical refrigerator designed for the storage of frozen foods or for the quickfreezing of food, when the low temperature compartment contains more than 75 percent of the total refrigeration space, WPB said April 25 in an amendment (No. 2) to the order. Quick-freeze refrigerators will be covered by another order.
Men’s, boys’ clothing, imports included, must follow amended rules after May 30
All men’s and boys’ clothing sold or delivered in this country after May 30, 1942, must comply with the restrictions of the War Production Board except for clothing put into the process of manufacture before May 30. The only exception to this ruling is second-hand clothing.
While the manufacture in this country of men’s and boys’ clothing has been subject to WPB wool conservation restrict tions since March 30 under General Conservation Order M-73-a, the original order did not apply to men’s and boys’ clothing imported from other countries. The order as amended April 27 will make it necessary for clothing manufacturers outside this country to comply with the simplification order if their products are to be sold or delivered in this country. The recently issued WPB Order L-85 contains the same provision for clothing for women and girls.
Replaces original order
The order as amended April 27, which replaces the original M-73-a, in general follows the lines of the original order. However, it provides some new restrictions and removes some of the restrictions in the original order.
Changes include the following:
1. Lumber] ackets and mackinaws, not included in the original order, are brought under the restrictions. The maximum length of a lumber jacket is the same as a sackcoat— 29% Inches for a size 37 regular, 24% inches for a boy’s size 14, with other sizes in normal proportions. The maximum length for a man’s mackinaw is 32 inches. For a boy’s size 18 it is 30 inches, with other sizes in normal proportions. Unlined lumbenjackets and mackinaws are permitted to have two lower inside patch pockets of wool.
2. The amendment permits coats and overcoats to have a two-piece back with belt stitched on in such a way that there is no overlay of wool cloth on wool cloth greater than a half inch on the upper and the lower side of the belt. This is Intended primarily for lumber jackets and mackinaws but may be used on other coats and overcoats.
Religious garb exempt
3. Restrictions of the order are removed as to clothing, robes and vestments of religious orders or sects, and to historical costumes for theatrical performances.
4. Leisure and loafer coats, work pants, slack-suit trousers, work overcoats, fingertip coats, and similar type garments are specifically mentioned in the order as coming under restrictions. A WPB interpretation of Amendment No. 1 of the original order mentioning them by name had already made it clear that they were covered.
5. A new category is set up under boys’ clothing to Include sizes from 2 to 10, inclusive, corresponding with a similar category
for girls’ clothing in order L-85. This new section of the order provides that:
(a) In sizes 2 to 10, a suit, jacket, mackinaw, topcoat, or overcoat may not be made with separate or attached hood, ’ scarf, helmet, cap, mittens, gloves, or •purse of the same or matching material. However, a mackinaw or a jacket may have an attached hood if it is made without a collar.
(b) A snow or ski suit in sizes 2 to 10, Inclusive, may not have a wool cloth lining, a separate or detachable hood, a collar if an attached hood is used, an attached hood of wool cloth lined with wool cloth, more than one pair of pants or leggings, self or contrasting wool belt more than two inches wide, or separate • or attached cape, muff, scarf, bag, hat, coat, or mittens of the same or matching material.
Tailors’ cuffs banned May 9
6. The amendment advances from May 30 to May 9 the effective daté of the cuff prohibition on merchant tailors and tailors-to-the-trade. The original order provided that the restrictions under the order, effective on March 30 for manufacturers, would not become effective as to these tailors until May 30. The two-month extension was given to tailors to put them on an equality with clothing merchants who, it was thought, had on hand a two-month supply of ready-made clothing manufactured prior to the issuance of the simplification order. This, however, gave tailors an advantage in the matter of finishing trousers with cuffs and also was a source of many attempted violations of the order. The amendment was intended to put an end to that advantage, but gave these tailors more than a week to make arrangements to put orders on hand into process, which will allow them to be completed without any kind of restrictions.
The amendment also limits the turn-up at the bottom of trousers to three inches. Since the purpose of the no-cuff provision is to save wool cloth, nothing would be gained if the equivalent of a cuff were used in the turn-up.
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Curb on iron, steel continued for domestic cooking appliances
Limitation Order L-23 on domestic cooking appliances has been extended for a 15-day period beyond May 1 to permit the conclusion of further studies on a comprehensive order to replace L-23.
Supplementary Order L-23-a permits manufacturers to use iron and steel in the production of domestic cooking appliances in amounts equal to % of quotas assigned for a 3-month period by the original order. Manufacturers may also use during the additional 15-day period all or any part of quotas granted as a result of appeals under the original order. Quotas for use of iron and steel under L-23 were fixed only for the quarter ending on April 30.
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May 5, 1942
Questions and
Answers on
Priorities
1. Q. Does the Production Requirements Plan in any way compel the elimination of PD-1A certificates? ' -A. The PRP does not compel the elimination of PD-1A certificates. It does, however, forbid producers who are operating under it, from using any ratings other than those assigned by the plan.
2. Q. What provision is made for producers and distributors to keep their plants and equipment in working order?
A. A special P order, P-100, replacing the old order P-22, permits specified producers and distributors, such as manufacturers, wholesalers, and warehousemen to use an A-10 rating to obtain repair, maintenance, and operating supplies.
8. Q. What materials are excluded from the terms "repair,” "maintenance,” and "operating supplies” in the sense of P-100?
A. Since the primary purpose of P-100 is to enable producers, as defined by the order, to maintain their property and equipment, the above does not include replacement of existing equipment, except for purposes of repair, or materials incorporated in a manufactured product, or items such as typewriters or other business machines, or fuel.
4. Q. Is the maximum permissible inventory under L-63 uniform for all suppliers?
A. Wholesalers and distributors in eastern- and central-time zones are required, under L-63, to limit the total value of their inventories at any given moment to twice the value of sales shipped from stock during the second preceding month, while those in other time zones must limit the total value of their inventories to three times the corresponding amount.
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LEAD POOL UNCHANGED
The May lead pool was set at 15 percent of March production by the Director of Industry Operations May 1. The percentage is unchanged from previous months.
PRIORITY ACTIONS ♦Through April 30
Subject Order No. Related form Issued Expiration date Rating
Agricultural bags: a. Cotton textile fabrics for use as: 1. Amended to include a few additional commodities for which such agricultural bags may be used. Alcohol: a. Distilled spirits: 1. Beverage alcohol from 100 to 189 proof placed under complete allocation control: distillers required to deliver specified quantities to rectifying plants for redistillation into 190 proof alcohol. Chemicals: a. Polyvinyl chloride: 1. All rubber substitutes of the general type of Koreseal and Vinylite made subject to direct allocation. Coflee: a. Conservation order: 1. Reduces amount of coflee which may be delivered by roasters and the amount which may be accepted by wholesale receivers during any month to 75 percent of deliveries during the corresponding period of 1941. b. Supplementary order: 1. Fixes percentage of reduction in deliveries. Liquefied petroleum gas equipment: a. Exemption paragraph clarified— makes it clear that only equipment withdrawn after Apr. 1, 1942, is exempt. Magnesium: a. Extension _ . M-107 amend. No. 1. M-69 amend. No. 1. M-10 tunend. No. 2. M-135. — 4-27-42 4-25-42 4-29-42 4-28-42 4-28-42 4-27-42 4-25-42 4-25-42 4-28-42 4-27-42 4-28-42 4-25-42 4-23-42 4-23-42 4-27-42 A-2.
M-135-a
L-86 int. No. 1— M-2-b extended T^104 — 10-31-42
Metal hairpins and metal bob pins: a. Restricts amount of metal in production and regulates length and thickness. Metal windows: a. Permits manufacture of basement windows and residential-type casements for use in certain rated housing projects; authorizes manu-* facture of metal windows composed wholly of materials in a manufacturer’s inventory prior to Mar. 25 for use in a project to which a preference rating has been assigned by P-55, P-19-d or P-110. Metal working equipment (finishes on): a. Only 1 coat of primer or sealer may be applied to new metal-working equipment; no filler may be applied and not more than 2 coats of paint, enamel, or lacquer may be used. Any color other than “old machine-tool gray” for final coat of-paint prohibited. Mining machinery and equipment: a. A-l-c rating applicable for repairs to blasting machines and similar machinery and equipment, but rating may not be used for ordinary operating supplies such as black powder and dynamite, to which the A-8 rating remains applicable. Cooking appliances (Domestic): a. Supplementary order: 1. Extends L-23 for a 15-day period beyond May 1; permits manufacturers to use iron and steel in production of domestic cooking appliances in amounts equal to one-eighth of quotas assigned for a 3-month period by the original order. Corsets, combinations and brassieres: a. Reduces amount of elastic fabric that may be used by approximately 50 percent. Manufacturer prohibited from using any rubber yam and elastic thread frozen under order M-124. b. Supplementary order: 1. Quotas for remainder of month of April 1942. Cotton: a. Cotton textile fabrics for use as industrial cloth or tape: 4. To conserve supply and direct distribution—inventories of tape
L-77 amend. No. L TAI 08 - ——
Explanation of amend. No. 5 toP-56. T, 23 a - -
L-90
L-90-a
M-134
May 5, 1942
★ VICTORY ★
27
Subject Order No. Related form Issued Expiration date Rating
manufacturers restricted to a 60-day supply of “grey goods” (technically, greige goods)—fabrics suitable for tape but not put into process of manufacture of tape— or a 30-day supply of partially processed cloth. Dairy products: a. Restricts application of preference P-118 amend. 4-27-42 6-30-42 A-2; A-3.
ratings by dairy processors to orders for repair, maintenance, and operating materials for use before June 30, 1942. Electric lamps and shades (portable) : a. Extends by 39 days period in which No. 1. L-33 amend. 4-30-42
metal, metal parts, lamp cords, and silk may be used in manufacture of portable lamps and lamp shades. Such materials must have been fabricated or semifabricated form in the inventory of the manufacturer or his supplier prior to Mar. 23,1942. Fire-fighting apparatus: a. Fire-protective equipment: 1. Prohibits transfer, sale, or use of all 2J4-inch brass fire-hose couplings except on specific authorization; prohibits use of copper in antifreeze extinguishers. Fluorescent lighting fixtures: a. Eases restrictions on production No. 1. L-30 amend. 4-27-42
No. 1. L-78 amend. 4-23-42
and sale of small fixtures, and sets a definite closing date on manufacture of other types. Leather: a. Sole leather: 1. Set^ aside entire stock and pro- No. 1. M-80 amend. 4-25-42
duction of heavyweight sole leather to meet military and Lend-Lease requirements for shoes. Motor carriers: a. Motor Trucks, truck trailers and No. 2. L-l-a amend. 4-25-42
passenger carriers. 1. Rescinds prohibition against putting tires and tubes on new heavy trucks except for delivery to dealers. Natural gas: a. Restrictions on delivery of natural No. 7. L-31 amend, to 4-23-42
and mixed natural and manufactured gas to consumers extended to parts of six midwestem States. Petroleum: a. Material for producing, refining, Exhibit A (No. 2). P-98-a revoked.. 4-25-42
transportation and marketing of petroleum outside United States limits—revocation of order. b. Materials for operation of Stand- P-103-a revoked 4-25-42
ard Oil Co. of New Jersey—revocation of order. Plumbing and heating equipment: a. Vapor and vacuum heating specialties: 1. Requires simplification of vapor L-42 schedule 8— 4-25-42
and vacuum heating specialties after June 15. b. Direct fired gas storage water heaters: 1. Storage tanks for hot water heaters of the kind used in most homes will be mfg’d. in only three sizes after May 15. Protective helmets: a. Prevents production and sale of L-42 schedule 9.. 4-25-42
L-105 4-29-42
except on order by an agency of the United States or one of the other United Nations. Radios and phonographs: a. Radiosondes: 1. Extension P-38 extended... 4-29-42
Refrigerators (domesticmechanical): a. Orders in L-5 series do not apply to a low temperature mechanical refrigerator designed for storage of frozen foods or for quick-freezing of food, when the low temperature compartment contains more than 75 percent of total refrigeration space. Replacement parts: a. Materials entering into production of replacement parts for passenger automobiles and light trucks: 1. To conserve lead, antimony, L-5 amend. No. 4-25-42
2. L-4-b 4-25-42
rubber and other critical materials in manufacture of storage batteries for passenger automobiles and light trucks. Rubber: a. Use of scrap and reclaimed rubber during May in a specific list of articles will continue to be limited to 60 percent of a formula based on average monthly use over a base period. M-15-b amend. 4-27-42
No. 9. (.Continued c *7i page 28)
WPB sets up machinery to handle power shortages anywhere in U. S.
The War Production Board on May 1 set up machinery to handle power shortages wherever and whenever they occur in this country.
It issued an order (L-94) of Nationwide application which may affect every user of electric power in thé country. The purpose of the order is to assure a steady flow of power to war industries and essential civilian services by curtailing nonessential uses. Curtailment of electricity for regular consumers, however, will not take place until an area becomes a power shortage area.
Two main lines of action
Two main lines of action against power shortages are set out in the order. The first, which goes into operation at once, requires utilities to operate their sys-• terns in a way that will produce the maximum amount of power from their present capacity. In general, this calls for'integrating or tying together the systems to permit transfer of power from one locality to another where the power is needed most.
The second part of the program, which will be put into operation when and where a shortage occurs, establishes machinery for mandatory curtailment of power for commercial and industrial consumers. Provision is also made for curtailment of residential consumers’.
★ ★ ★
Makers of portable lamps, shades given more time
The WPB April 30 extended by 39 days the period in which metal, metal parts, lamp cords, and silk may be used in the manufacture of portable lamps and lamp shades. Such materials must have been in fabricated or semifabricated form in the inventory of the manufacturer or his supplier prior to March 23, 1942.
Under the original order (L-33), none of these materials could be used after April 22. The extension to May 31,1942, was granted in Amendment No. 1 to L-33 to permit manufacturers and suppliers to use up fabricated and semifabricated parts.
A manufacturer may not produce during May more lamps or shades than 50 percent of his total quota for May and June, which was fixed in the original order at 60 percent of the 1940 rate.
28
★ VICTORY ★
May 5, 1942
Rubber substitutes subject to direct allocation
All rubber substitutes of the general type of Koroseal and Vinylite have been made subject to direct allocation by the WPB by Amendment No. 2 to General Preference Order M-10.
The order as originally issued in June 1941 and as amended last December included only polymerized vinyl chloride and its co-polymer with vinyl acetate, containing 92 percent or more of vinyl chloride. The April 29 amendment brings under the restriction all co-polymers of polyvinyl chloride and all co-polymers and polymers of vinyl chloride.
★ ★ ★
Rubber situation to be explained to public in meetings
A series of meetings in principal cities throughout the United States to explain the seriousness of the rubber situation to shippers, truckers, tire dealers and the general public has been arranged by the Office of Defense Transportation and the Office of Price Administration.
The first meeting in Boston, May 11, will be followed by one in New York the next day. Succeeding meetings are scheduled for Philadelphia, May 13, Atlanta on the 15th, Cincinnati on the 18th, Chicago the 19th, Kansas City the 20th, Dallas the 22d, Denver the 25th, Salt Lake City the 27th, Seattle the 29th, San Francisco June 1, and Los Angeles June 3.
★ ★ ★
Stocks of rubber yarns, elastic threads frozen indefinitely
The WPB has extended indefinitely an order freezing stocks of rubber yarns and elastic threads in the hands of manufacturers. The original order, M-124, expired at midnight April 29.
★ ★ ★
Form PD-73 required with all iron, steel purchase orders
The filing of Form PD-73 with all purchase orders for steel and iron products to be delivered before June 1 is required by the terms of amendment 4 to General Preference Order M-21, announced April 29 by the WPB.
PRIORITY ACTIONS ♦Through April 30
(.Continued from page 27)
Subject Order No. Related form Issued Expiration date Rating
Sewing machines (domestic): a. Manufacturers may produce new machines and attachments until June 15 at a rate of 75 percent of 1040 rate. Machinés completely assembled prior to June 15 may be installed in cabinets or portable cases after cut-off date, provided they come within the 75 percent quota. Steel and iron: a. Requires filing of PD-73 with all purchase orders for steel and iron products to. be delivered before June 1; will not be necessary for a producer to secure the certification (which will replace PD-73 beginning June 1) in cases of orders previously placed to fill Lend-Lease, other export or warehouse requirements, inasmuch as these classifications remain the same as in PD-73. Suppliers inventory order: a. Removes health supplies from list L-98 M-21 amend. No. 4. L-63 amend. No. PD-73 4-25-42 4-29-42 4-27-42 Until revoked.
of products subject to control. Tin: a. Tinplate and terneplate closures for glass containers: 1. Further restricts manufacture of crown caps for beer and other beverage bottles during the balance of April. b. Tinplate and terneplate closures for glass containers; 1. Repeals amendment No. 1 entirely; production of crown caps permitted to the extentthat cork is available until May 1, after which date such production is to end. Wool: a. Woolclothingformenandboys: 1. All men’s and boys’dothingsold or delivered in this country after May 30 must comply with restrictions of WPB except for clothing put into process of manufacture before May 30; second-band clothing excepted. L M-104 amend. No. 1. Amend. No. 1 (repealed) amend. No. 2. M- 73- a as amend. Apr. 27,1942. PD-384...J 4-23-42 4-25-42 4-27-42
SUSPENSION ORDERS
Company No. Violation Penalty Issued Expiration date
Aluminum and Magnesium, Inc., Sandusky, Ohio. S-32 Unauthorized deliveries of 45,063 pounds of aluminum, and deliberate misrepresentation in reports. Prohibited until Sept. 30 from melting any aluminum for use in deoxidizing or alloying steel, or entering into contracts to deliver any aluminum for these purposes. 4-25-42 9-30-42
Tanglefoot Co., Grand Rapids, Mich. S-35 Applied for and received priority assistance in acquisition of materials for $54,269.44, by representing that the materials was essential to the completion of an Army contract. It was later discovered that the total value of the contract was $45.50, and that the company made use of the rated deliveries to complete not only its Army contract, but also to fill orders to which no preference ratings had been assigned. No deliveries of any material to the company shall be accorded any preference ratings, and no allocation of restricted materials shall be made for a period of three months. 4-23-42 7-23-42
Lewittes & Sons, 36 East 3Jst St., New York, N. Y. 8-38 Used large quantities of goose and duck feathers, the entire supply which is reserved for sleeping bags for the armed forces, in the manufacture of upholstered furniture. Prohibited from accepting deliveries of any goose or duck feathers, or making shipments of any articles containing these materials. No deliveries to them will be accorded preference ratings and no allocations of restricted materials will be made to them for a 4-mpnth period. 4-26-42 8-26-42
Susquehanna Woolen Co., New Cumberland, Pa. S-39 Put in process approximately 40,000 pounds of wool, of which 19,000 pounds were Prohibited from putting into process any wool, yarn or cloth for nonmilitary orders for a period 4-24-42 7-24-42
May 5, 1942
★ VICTORY ★
29
Company No. Violation Penalty Issued Expiration date
used for nondefense orders, despite limitations of 18,132 pounds of which only 9,066 pounds were to be used for nondefense orders. of 3 months; no deliveries to the company will be assigned preference ratings, and no allocation of restricted materials will be made while order is in effect.
Acme Chemical Co., Inc., New York, N.Y. 8-41 Failure to use chemicals for purpose, specified in connection with P-29; unauthorized sale of chemicals and extension of preference ratings. For a period of 6 months, no preference ratings shall be as-sighed to delivery of any material, and no allocation of any material restricted by WPB shall be made to it. 4-23-42 10-23-42
Rona Chemicals, N. Y. S-42 Acting as agent for Acme Chemical Co., made unauthorized sales and contracts for sales. For a period of 6 months, no preference ratings shall be assigned to delivery of any material, and no allocation of any material restricted by WPB shall be made to it. 4-23-42 10-23-42
Everett Sales & Equipment Corporation, New York, N. Y? 8-44 Willful violation of the cellophane limitation order by manufacturing cellophane packages for textile products. Priority assistance withdrawn; prohibited from accepting or delivering any cellophane or similar transparent material derived from cellulose; after 10-day grace period enjoined from cutting or processing any cellophane. 4-30-42 5-31-24
PRIORITIES REGULATIONS
Priorities Reg. No. 9 Govern issuance and use of ratings for export whenever appropriate forms are approved for specified industries or products. A preference rating assigned under its terms to a product for export may not be applied without an export license or other authorization to export, and the rating will be automatically cancelled if the export license or authorization is revoked. 4-25-42
New industry advisory committees
. The Bureau of Industry Advisory Committees, WPB, has announced the formation of the following new industry advisory committees:
BABY CARRIAGE INDUSTRY ADVISORY COMMITTEE
Government presiding officer—Louis C. Upton.
Members:
Harvey Hartman, vice president, Hartman Mfg. Co., St. Louis, Mo.; B. Lederman, president, Leader Baby Carriage Co., New York, N. Y.; Wm. Reusch, president, George Cooper Mfg. Co., 362 Jefferson Avenue, Brooklyn, N. Y.; George A. Keyworth, president, Collier Keyworth Co., Gardner, Mass.; W. B. Stearns, general superintendent, Heywood Wakefield Co., Gardner, Mass.; W. N. Much-more, secretary, Frank F. Taylor Co., Norwood, Cincinnati, Ohio; Paul R. Holman, president, F. A. Whitney Carriage Co., Leominster, Mass.; Wm. Troendle, president, Thayer Co., Gardner, Mass.; Carl Hedstrom, Jr., president, Hedstrom Union Co., Gardner, Mass.; A. D. Welsh, president, Welsh Co., St. Louis, Mo.
FOLDING BOX COMMITTEE
Government presiding officer—William W. Fitzhugh, chief, folding and setup box section, containers branch.
Members:
A. G. Ballenger, Morris Paper Mills, Chicago, Ill.; Joseph P. Thomas, U. S. Printing & Lithographing Co., Cincinnati, Ohio; R. F. Burroughs, Trenton Folding Box Go., Trenton, N. J.; Sidney L. Wellhouse, National Paper Co., Atlanta, Ga.; Walton D. Lynch, National Folding Box Co., New York, N Y.; William B. Leavens, Jr., Wilkata Folding Box Co., Kearny, N. J.; Leonard Dalsemer, Lord
Baltimore Press, Baltiniiore, Md.; J. J. Bros-sard. Container Corporation of America, Chicago, Ill.; W. D. Lane, Eggerss-O’Flyng Co., Omaha, Nebr.; Norman F. Greenway, Robert Gair Co., Inc., New York, N. Y.; Bruce H. Bacon, Spitzer Paper Box Co., Toledo, Ohio; V. C. Hobbs, Fibreboard Products, Inc., San Francisco, Calif.
★ ★ ★
FERTILIZER PUT UNDER
PERMANENT CEILING
The Nation’s farmers were assured by Price Administrator Henderson April 30 that the prices they pay for mixed fertilizer, superphosphate, and potash will be stabilized at the levels prevailing since February under a previous maximum price regulation.
Maximum Price Regulation No. 135 in effect continues the provisions of Temporary Maximum Price Regulation No. 1, which applied to the same kinds of fertilizers and which expired on April 27, 1942. The permanent regulation became effective April 28.
Under a new provision for adjustable pricing, a person may offer or agree to adjust prices to, or not in excess of, the maximum prices in effect at the time of delivery upon application to, and approval by, the OPA. This changes limitations of the temporary regulation whereby conditional agreements providing for the adjustment of a price to a higher price were prohibited.
127-page indexed digest issued covering OPA releases
Issuance of an indexed digest of all public announcements made by the OPA and its predecessors over the period of slightly more than 1 year and 7 months in which Federal price-control activities were carried out under Executive orders of President Roosevelt was announced May 2, by OPA.
The digest—a 127-page booklet entitled “Federal Price Control”—covers the period from July 1, 1940, when Mr. Henderson was acting as Price Stabilization Commissioner in the National Defense Advisory Commission, up to Feb-_ruary 11, 1942, when he took the oath of office as Price Administrator under the Emergency Price Control Act of 1942.
Embodying as it does a comprehensive digest in convenient form, indexed and cross-indexed for ready reference, the booklet is expected to be of considerable value to business establishments, trade and industry associations, purchasing organizations, schools, colleges, students, researchers, and librarians.
The foreword emphasizes that many of the press releases indexed in the booklet are no longer available. However, copies of the formal price schedules and rationing regulations and their amendments, all of which are itemized in special sections can be got from OPA.
The booklet is being placed on general sale by the Superintendent of Documents, Government Printing Office, Washington, D. C., at 20 cents per copy.
★ ★ ★
New export rating plan
A new method of assigning preference ratings to orders for export was adopted April 25 by WPB. Immediate application of the new method is limited to exports for petroleum enterprises outside the United States and Canada.
Priorities Regulation No. 9, issued by the Director of Industry Operations, will govern issuance and use of ratings for export whenever appropriate forms are approved for specified industries or products. The most important provision of the regulation is that a preference rating assigned under its terms to a product for export may not be applied without an export license or other authorization to export, and the rating will be automatically canceled if the export license or authorization is revoked. This will help to prevent burdening transportation and dock facilities with materials which cannot be exported.
30
★ VICTORY ★
May 5, 1942
CIVILIAN DEFENSE ...
Volunteers’ efforts recognized by creation of new Citizens’ Service Corps; Civil Air Patrol gets Federal status
Provision for the organization of a new United States Citizens Service Corps and formal recognition of and basic regulations for the United States Citizens Defense Corps and the Civil Air Patrol are contained in a new series of administrative orders and regulations issued April 30 by Director James M. Landis under the new Presidential Executive order for the Office of Civilian Defense. Certain classes of persons not enrolled in any of these services who may wear arm bands during a blackout are also designated.
In essence, the orders accomplish the following:
1. Give official status to the Citizens Defense Corps for the first time, and prescribe standards of eligibility and training for membership; the regulations provide that no person who is not a member may wear the official insignia or receive or use Federal protective equipment to be issued by the Office of Civilian Defense.
50 hours of work required
2. Create a new U. S. Citizens Service Corps for official recognition of volunteers who have completed 50 hours of work in such activities as conservation, War Bond sales, salvage, education, health, consumers’ services, etc., or for those who have completed certain prescribed training courses in volunteer war activities other than the protective services.
3. Make official provisions for special insignia which will permit doctors, nurses, newspaper reporters and photographers, members of the clergy, undertakers and others to carry-on essential services or duties during the course of a blackout or air raid.
Must meet basic training standards
In announcing these new regulations, Mr. Landis made it clear that defense workers in protective services will not be entitled to wear the official insignia nor will they be permitted to receive protective equipment under the recent $100,-000,000 grant from Congress unless the basic standards of training are complied with. He pointed out that communities that conform to the new ba>ic regulations which become effective June 1,1942, may of course adopt provisions to meet special needs if not inconsistent with the regulations.
I
U. S. CITIZENS DEFENSE CORPS
The new regulations prescribe that all citizens, shall be eligible for membership with
out distinction as to race, color, creed, or sex and that appointment shall be made by local authorities, based entirely on ability to perform the prescribed duties.
Eligibility of resident aliens
Resident aliens of Germany, Italy, and Japan are ineligible for membership in the United States Citizens Defense Corps except where State Defense Councils, acting on the favorable recommendation of the particular local defense council, may declare an alien of enemy nationality to be eligible when his loyalty is satisfactorily established. Resident aliens of other countries are eligible for membership except that local defense councils may declare any alien ineligible if the interest of the United States so requires, taking into account his reputation for loyalty.
Approved courses of training must be satisfactorily completed and an oath to defend the Constitution and perform all the required duties, including a statement that a member does not advocate the overthrow of the Constitution by force or violence are among the requirements. Certificates^ of membership will be issued to enrolled members. Local defense councils or the Director of OCD may terminate or suspend membership of any member improperly appointed or trained or any member who fails to perform his duties. In this connection it is pointed out that the community may continue to permit such persons to act in its protective service but that they will be deprived of membership in the U. S. Citizens Defense Corps and the right to use its insignia.
In order to assure that the Federal supplies and equipment to be procured from the $100,000,000 appropriation are used only by persons qualified and trained under the basic standards of training, the rules provide that no such equipment can be distributed to persons whose appointment and training have not met these standards. The purpose of this regulation is to assure maximum protection for civilians.
n
U. S. CITIZENS SERVICE CORPS
The U. S. Citizens Service Corps for the first time formally organizes the men, and women of all ages who volunteer under their local defense councils for work outside of protective services and who meet certain prescribed standards of qualifications, training, and work. This corps will be supervised nationally by the Civilian Mobilization Branch of OCD.
Membership qualifications
Qualifications for membership include completion of prescribed training courses, officially approved by the local defense council, or completion of a prescribed apprenticeship devised by the local Civilian Defense Volunteer Office, or completion of 50 hours of work where no specific training is required in a position approved by the local defense council through its volunteer office. Persons already serving in such positions who have completed the re
quired number of hours are immediately eligible for membership in the U. S. Citizens Service Corps.
Appointment to the U. S. Citizens Service Corps is to be made by the local defense council and each person appointed must take an oath to defense and uphold the Constitution of the United States and to perform all duties to which he is assigned. Members are entitled to a certificate of membership and to wear a newly adopted insigne of the U. S. Citizens Service Corps. Failure to perform, duties assigned is ground for dismissal by the local defense council.
The new insigne for the members of the U. S. Citizens Service Corps consist of a red V in the center of a white triangle with a small red C and D placed on the sides of the V, the usual white triangle to be embossed on a circular field of blue.
Members of the U. S. Citizens Service Corps are entitled to wear their insigne either as a lapel button or pin. They are not, however, authorized to use the brassard or sleeve band which entitle members of the protective services of the U. S. Citizens Defense Corps to be in the streets during a blackout.
in
CIVILIAN DEFENSE AUXILIARY GROUP
This is a group of professional or specialized persons who are not otherwise members of the Citizens Defense Corps but whose busi-ne& or profession might require that they be permitted to travel on the streets during a blackout or air raid. Upon the authority of the local defense council, these persons will be designated in advance and given the right to wear arm bands which will be in essence “passes” to permit transit on official business. The arm bands will bear, as a special insigne, the basic OCD insigne of the letters CD in a triangle within a circle, except that the letters will be in blue Instead of red.
IV
CIVIL AIR PATROL
The Civil Air Patrol is confirmed in the new order as an integral corps of the OCD. Civil Air Patrol is comprised of volunteer pilots and ground personnel usually operating in close cooperation with military authority in the various States.
V
INSIGNIA
Under the act of Congress dated January 27, 1942, and the Executive order issued by ^the President, the Director of the Office of Civilian Defense is authorized to prescribe official insignia, the unauthorized use of which is a Federal offense. The new rules prohibit the use of the simple CD arm band frequently used by trainees and other persons by Local Civilian Defense Groups, and all prior orders and instructions relative to the use of the CD arm band are rescinded. -
The insignia regulations provide that only licensed manufacturers may make and sell articles of identification embodying any prescribed OCD insignia, such as lapel buttons and pins, automobile plates, and arm bands. To guard against unauthorized use of the insignia, the rules further provide that all distribution must be through the local defense councils. Any unauthorized use of insignia will be prosecuted.
May 5, 1942
★ VICTORY ★
31
TRANSPORTATION...
Eastman calls for Nation-wide transport organization, enlists governors, mayors
Joseph B. Eastman, Director of. the Office of Defense Transportation, April 28 called for immediate organization of a Nation-wide war transportation program.
Aid sought from each State, town
The call was issued simultaneously to the governors of every State and to the mayors and other chief executives of every town and city with a population of 10,000 or more.
Plans also are under way to mobilize the smaller communities and rural areas in the first systematic drive to get the most efficient service possible from the country’s passenger transportation facilities.
In letters to governors and mayors in every State, Mr. Eastman declared:
Any break-down in our local transportation facilities, including the necessary use of automobiles needed to get war workers to their jobs, will seriously interfere with the war production program.
Immediate steps must be taken by each State and by each community to insure the continued and efficient operation of all such facilities essential to war production and to the maintenance of essential civilian activities.
The plan proposed by Mr. Eastman has two main objectives:
1. To prolong the life of all transportation facilities now in use.
2. To increase the efficiency of mass transportation.
Emergency transportation programs already have been put into operation in several communities, and the experience thus obtained, according to Mr. Eastman, has shown that the job can be done.
Three conservation methods suggested
Three principal methods are proposed for conservation and more efficient use of present transportation facilities:
1. Systematic staggering of business, school, and working hours.
2. Group riding in private automobiles on a planned, neighborhood-by-neighborhood basis.
3. Improved regulation of local traffic to make possible more efficient movement of passenger vehicles, both private and commercial.
A master plan designed to provide each community with a basis for setting up a war transportation program has been drawn up by the ODT in cooperation with a number of governmental and private agencies.
Responsibility for national direction and coordination of the program has been assumed at Mr. Eastman’s request by the National Highway Traffic Advisory Committee to the War Department, under the chairmanship of Commissioner of Public Roads Thomas H. MacDonald.
Each governor is requested to place administration of the program in the hands of the State Highway Traffic Advisory Committee and to designate the chairman as liaison between the State and national committees.
The mayor or other chief executive of every city, borough, or town with a population of 10,000 or more is requested to appoint an administrator to take charge of the program locally.
Manual describes master plan
Methods for dealing with the specialized problems in each phase of the program are provided in a manual containing the. ODT’s master plan which will be sent to the State and local administrators as soon as they have been designated.
The plan calls for staggering of hours on a community-wide basis, replacing the haphazard, piecemeal attempts made along this line in a number of communities.
Once this phase of the program is under way, it is expected that each community will attack systematically the problem of waste of tires and equipment in the private transportation field.
The average number of passengers per car at present is less than two, including the driver.
Copies of the manual are to be sent to all State and local administrators as soon as Mr. Eastman has been notified of their designation.
★ ★ ★
Eastman suggests war workers try to live near jobs
War workers and other employed persons who do not live near their places of employment can do their country a real service by moving into such locations whenever possible, ODT Director Eastman said April 29.
Such a practice carried out on a large scale would result in valuable conservation of tires, gasoline, and vital transportation equipment.
Local deliveries curtailed to save facilities, equipment
Joseph B. Eastman, Director of Defense Transportation, April 23 Issued a general order curtailing local delivery services as a means of conserving transportation facilities and equipment.
Special services affected
The order (General Order ODT No. 6) prohibits most special deliveries and “call-backs,” and limits the number of deliveries and the mileage of local delivery carriers.
Effective May 15, local carriers are forbidden to make any special deliveries except to hospitals and the armed forces of the United States, and except emergency deliveries of supplies necessary to protect the public health, life and safety.
As of the same date, the order prohibits call-backs made in a second attempt to deliver shipments on the same day or to make collections and forbids carriers to make more than one delivery to any one person in a single day. However, if deliveries to one person are so large as to require more than one vehicle, they may be considered as a single delivery.
After June 1, local carriers using rubber tires are required to reduce their total mileage by at least 25 percent each month as compared with the corresponding month in 1941. In computing the mileage reduction, mileage saved by cutting down on deliveries and by eliminating special deliveries and call-backs may not be included.
Pooling of deliveries
If local carriers undertake joint action to pool their deliveries or to curtail services, such action must conform to the terms of the joint statement issued by the ODT and the Department of Justice on March 12,1942.
Excepted vehicles
Vehicles are defined by the order to be any rubber tired vehicles propelled or drawn by mechanical power or by horses. Local carriers include all persons engaged in the transportation of property by vehicle for compensation or as a business service in or near communities or on trips not longer than 15 miles.
Vehicles exempted from the provisions of the order include those operated exclusively for the construction and maintenance of telegraph, telephone, radio, electric light and power, gas, water supply, sewage disposal, garbage disposal, and sanitation services; vehicles owned or operated by the armed forces of the United States or of any State; farm vehicles when transporting produce or farm supplies to market or farm; and vehicles performing pick-up and delivery service for line-haul motor, rail, express, air, or water carriers, or for feight fowarders.
32
★ VICTORY ★
May 5, 1942
Intracity use forbidden for closed freight cars if motor transport is possible
Use of closed freight cars in any kind of intracity freight movement where utilization of motor vehicles is possible was prohibited April 30 by Defense Transportation Director Eastman, in an amendment to General Order No. 1, which established weight limits for less-than-carload merchandise and directed carriers to conserve freight cars for preferential transportation of war materials.
★ ★ ★
WPB cancels A-2 ratings for freight car materials to use up inventories
In order to make full use of existing inventories in the hands of all freight car makers before permitting them to receive additional raw materials, WPB has issued an order canceling all preference ratings of A-2 or lower on material for car construction which has not already been received by or put in transit to producer.
At the same time, the order. Supplementary General Limitation Order No. L-97-a-l, effective April 29, permits any producer to sell and deliver any material which he has on hand or in transit to any other producer of freight cars.
Railroad labor shortage complicated by needs of war
Already facing an acute labor shortage in many departments of maintenance and operation, American railroads today are confronted with the necessity of finding enough men to fill an estimated 117,-000 new jobs for the remainder of 1942. Current estimates, meanwhile, Indicate that employment in war industries will increase from about 7,500,000 to about 15,000,000 men and that about 4,000,000 men will be needed in the armed forces by the end of this year.
This situation was disclosed April 30 by ODT Director Eastman upon receipt of a report by Otto S. Beyer, director of the division of transport personnel, based on information obtained from the Interstate Commerce Commission, Railroad Retirement Board, and the railroad industry.
★ ★ ★
Cabs’ fate rests largely on use of equipment, says Eastman
The fate of taxicabs—by which almost one billion passengers were transported last year—depends in large part upon how efficiently existing equipment is used, ODT Director Eastman said April 29.
In any event, he said, highly personalized cab service available in the past cannot be maintained during the war.
WAR EFFORT INDICES
MANPOWER
National labor force, March_____ 54,000,000
Unemployed, March_______________ 3,600,000
Nonagricultural workers, March. - 40,298,000
Percent increase since June 1940- * * 14
Farm employment, April 1, 1942. 9,483,000
Percent decrease since June 1940_ ♦ *4
(In millions
FINANCE - of dollars)
Authorized program June 1940-
April 30, 1942___________________il56,416
Airplanes_________________________35, 557
Ordnance__________________________ 32,122
Miscellaneous munitions___________ 19, 592
Naval ships_______________________ 15, 457
Industrial facilities_____________ 14,365
Posts, depots, etc._____________._ 13,184
Merchant ships_____________________ 7,484
Stock pile, food exports__________ 5, 791
Pay, subsistence, travel for the armed forces___________________ 4, 930
Housing___________________________ 1, 392
• Miscellaneous_________________ 6, 542
Total expenditures, June 1940-
April 30, 1942___________________ *26, 534
PRODUCTION ....
(In millions
June 191/0 to latest reporting date of dollars)
Gov. commitments for plant expan-
sion; 1,428 projects, Mar. 31____ 10,677
Private commitments for plant ex-
pansion; 7,366 projects, Mar. 31__ 2,333
EARNINGS, HOURS, AND
COST OF LIVING Percent
Manufacturing industries— increase
February:
Average weekly earn- igi#
ings__-----------------------$35.76 38.7
Average hours worked
per week______________„______ 42. 2 12. 5
Average hourly earnings—_------------------ 80.3« 19.5
Cost of Living, March (1935- indent
39 = 100)_________________ 114.3 13.7
♦ Preliminary. Includes revisions in former months.
$ Preliminary and excludes authorizations in Naval Supply Act for fiscal year 1943.
*’Adjusted to avoid reflection of seasonal changes.
OFFICE FOR EMERGENCY MANAGEMENT
Central Administrative Services: Dallas Dort, Director.
Defense Communications Board: James Lawrence Fly, Chairman.
Information Division: Rbbert W. Horton, Director.
National War Labor Board: Wm. H. Davis, Chairman.
Office of Scientific Research and Development: Dr. Vannevar Bush, Director.
Office of Civilian Defense : James M. Landis, Director. " '
Office of the Coordinator of Inter-American Affairs: Nelson Rockefeller, Coordinator.
Office of Defense Health and Welfare Services: Paul V. McNutt, Director.
Office of Defense Transportation: Joseph B. Eastman, Director.
Office of Facts and Figures: Archibald MacLeish. Director.
Office of Lend-Lease Administration: E. R. Stettinius, Jr., Administrator.
NJmzvte Coy, Liaison Officer
Office of Price Administration: Leon Henderson, Administrator.
Consumer Division: Dexter M. Keezer, Assistant Administrator, in charge. Dan A. West, Director.
Office of Alien Property Custodian: Leo T.
Crowley, Custodian.
War Manpower Commission : Paul V. McNutt, Chairman.
War Relocation Authority: Milton Eisenhower. Director.
NJ mi Shipping Administration: Rear Admiral Emory S. Land, U. S. N. (Retired), Administrator.
War Production Board:
Donald M. Nelson, Chairman.
Henry L. Stimson
Frank W. Knox.
Jesse H. Jones.
William S. Knudsen.
Sidney Hillman.
Leon Henderson.
Henry A. Wallace.
Harry L. Hopkins.
War Production Board Divisions:
Donald M. Nelson, Chair num.
Executive Secretary, G. Lyle Belsley.
Planning Committee: Robert R. Nathan, Chairman.
Purchases Division: Houlder Hudgins, Acting Director.
Production Division: W. H. Harrison, Director.
Materials Division: Wm. L. Batt, Director.
Division of Industry Operations: J. S. Knowlson, Director.
Labor Division: Sidney Hillman, Director.
Labor Production Division : Wendell Lund, Director.
Civilian Supply Division : Leon Henderson, Director.
Office of Progress Reports: Stacy May, Director.
Requirements Committee: Wm. L. Batt, Chairman.
Statistics Division : Stacy May, Director.
Information Division: Robert W. Horton, Director.
Administrative Division: James G. Robin-' son, Administrative Officer.
Legal Division: John Lord O’Brian, General Counsel.
U. S. 60VERKMEKT PRIHTIH4 OFFICE; l»4t