[Defense : Official Bulletin of the National Defense Advisory Commission. Vol. 2, No. 7]
[From the U.S. Government Publishing Office, www.gpo.gov]
DEFENSE
★ OFFICIAL BULLETIH
* of the NATIONAL DEFENSE ADVISORY COMMISSION ★ Washington, D. C. Issued Weekly ★ FEB. 18, 1941 • VOL. 2, NO. 7
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INDEX
Page
Improved methods of handling defense purchases__________________ 2
Savings to the Government and the public through passage of the
Army appropriation bill__________ 3
Plant expansion contract awards 4,5
Defense contracts awarded, February 6 through February 12_________5
Preferential status for defense orders for magnesium_______________ 6
Recommendation that manufacturers give attention to development of plastics______________________ 7
Mr. Stettinius’ bulletin on the operation of the priorities system___8,9
Sharp rise in number of dwelling units for which public funds have been allocated__________________ 10
Excerpts from an address by the assistant to the Housing Coordinator___________________________ 11
Appointment of interdepartmental committee to advise Mr. McNutt- 12
Office of Education report on vocational training________________ 13
State and local cooperation______ 14
Transportation Division__________ 15
Appointment of Mr. Clifford V. Gregory to head the priorities section of the Agriculture Division_____ 16
X
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First of a series of price schedules issued by Mr. Henderson strikes directly at profiteering in second-hand machine tools; program will be extended where necessary to assert the full force of the Government
Striking directly at profiteering in second-hand machine tools, Leon Henderson, head of the Division of Price Stabilization, National Defense Advisory Commission, February 17 issued the first of a series of price schedules.
Mr. Henderson explained that his action initiates a program which will be extended where necessary to assert the full force of the Federal Government, including the power of commandeering and requisitioning, to protect the public interest against those seeking to profit exorbitantly on defense requirements. It will also serve, he said, to expose their activities to the Congress and to the public in general.
Maximum prices
Mr. Henderson emphasized that the prices set forth in the directive are “ceiling” or maximum prices; that they are not only reasonable but liberal, and that sales may and should be made below the ceiling.
“The underlying purposes of this schedule,” Mr. Henderson said, “is to establish fair price standards which will enable the great bulk of industry to cooperate with the Government in maintaining price stability, and to single out those who wish to grow rich on the defense program.”
Twice the cost
Cases have been brought to the attention of the Price Stabilization Division where machine tools are being priced at twice the original cost when purchased 30 or more years ago.
In many instances the price asked for second-hand tools exceeds current prices for new ones, thus threatening the entire machine tool price structure, stimulating disastrous inflation, placing undue burdens upon Government, and consequently weakening the defense efforts too.
“Clip the profiteer”
“People indulging in these practices,” Mr. Henderson said, “are of the stripe described by President Roosevelt as individuals who would clip the American eagle’s wings to feather their own nests. We propose to maintain the eagle’s full power of flight and clip the profiteer where it hurts him most.”
The price schedules will become effective on March 1, 1941.
MAXIMUM PRICES FOR SECOND-HAND MACHINE TOOLS [Exclusive of extras]
Date of manufacture Classification by con- Maximum price in terms
dition of percentage of current
list price of equivalent
new machine tool
1. Jan. 1, 1936, and (a) Rebuilt and guar-
. after. anteed.
2. Jan. 1, 1930, to Dec. (6) Others____________ 95
81, 1935. (a) Rebuilt and guar- 75
3. Jan. 1,1920, to Dec. anteed. 90
31,1929. (6) Others............ 70
4. Before Jan. 1, 1920.. (a) Rebuilt and guar- 80
anteed. 60
(b) Others____________ 70
(a) Rebuilt and guar- 50
anteed.
(b) Others___________
293239°—41
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★ DEFENSE ★
February 18, 1941
DEFENSE
OFFICIAL BULLETIN published weekly by the Division of Information for the Advisory Commission to the Council of National Defense, and printed at the United States Government Printing Office, Washington, D. C. Published with the approval of the Bureau of the Budget (Rule 42, J. C. P.). This issue covers announcements made from Tuesday, February 11, to Monday, February 17.
SUBSCRIPTION RATES, BY MAIL
75 cents for 52 issues; 25 cents for 13 issues; single copies 5 cents, payable in advance Remit money order payable directly to the Superintendent of Documents, Government Printing Office, Washington, D, C.
★
NATIONAL DEFENSE
ADVISORY COMMISSION
Ralph Budd, Transportation.
Chester Davis, Agriculture.
Harriet Elliott, Consumer Protection.
Leon Henderson, Price Stabilization.
Sidney Hillman, Labor.
William S. Knudsen, Industrial Production.
Edward R. Stettinius, Industrial Materials.
Frank Bane, State and Local Cooperation. Robert W. Horton, Information.
Stacy May, Resear ch and Statistics.
Paul V. McNutt, Coordinator of Health, Welfare and Related Defense Activities.
William H. McReynolds, Secretary of the Commission.
Nelson Rockefeller, Coordinator of Commercial and Cultural Relations Between the American Republics.
RFC ALLOCATIONS $1,183,000,000
Federal Loan Administrator Jones reports that defense allocations by the RFC now amount to $1,183,000,000, and that purchases of strategic materials through the loan agencies now total 111,000 tons of rubber, 93,000 tons of tin, which he said was more than a year’s supply for this country; 34,000 tons of tungsten, and 200,000 tons of copper.
Improved methods for handling purchases for defense—announcement by Mr. Nelson; developed with War and Navy departments
Substantially improved methods of handling purchases in the defense program were announced February 14 by Donald M. Nelson, Director, Division of Purchases, following approval by the Office of Production Management.
They were developed by the War and Navy Departments in consultation with the Division of Purchases.
Satisfactory to both the Army and the Navy, and to the Division of Purchases, the new set-up clarified the working arrangements between the services and the Division. The Army and Navy will continue to initiate and execute contracts as in the past and will have final responsibility for defense material specifications and for fixing specific delivery, dates on needed items.
Terms of the new arrangement:
1. The Division of Purchases is to constitute that part of the Office of Production Management which coordinates the placing of major defense orders and contracts, and advises the War and Navy Departments on procurement and procurement planning aspects of their schedules for the purchase of defense materials, articles, and equipment. To facilitate the efficient procurement of such materials, the War and Navy Departments and the chiefs of all purchasing branches will cooperate with the Director of Purchases.
2. The War and Navy Departments will continue to furnish the Director of Purchases information as to items to be acquired together with delivery schedules and specifications.
3. The Director of Purchases will review certain procurement procedures, methods, policies, and specifications, and, on highly technical items in cooperation with the Division of Production, will give such advice and make such recommendations as will facilitate efficient procurement.
4. AU contracts for $500,000 or more shall be submitted to the Director of Purchases for clearance before awards are made. Other important proposals for purchase—such, for example, as those involving unusual procurement problems, or those likely to have a substantial impact on the market—are to
be submitted to the Director of Purchases on request to the Secretary of War or the Secretary of the Navy.
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Appointment of three advisers to the Division of Purchases to help the Army plan procurement of perishable foodstuffs
Appointment of three special advisers to the Division of Purchases, to help the Army Quartermaster Corps devise plans for the procurement of perishable foodstuffs, was announced February 11 by Donald N. Nelson, Director of the Division of Purchases in the Office of Production Management.
The men appointed are:
William Price, Buffalo, N. Y., former president of the Jacob Dold Packing Company, who will advise on problems connected with the meat-packing industry.
Alec Searle, Oakland, Calif., former western meat buyer for the Safeway Stores, who will also advise on meatpacking problems.
Ralph C. Samsell, Sacramento, Calif., formerly with the American Fruit and Produce Auction Association, who was named by the Food Procurement Advisory Committee as an assistant to John Martin, who is special adviser to the Division in charge of produce.
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AT-7, all-metal training plane, undergoing tests at Wright Field
The War Department announced February 16 that the AT-7, an all-metal low-wing training monoplane manufactured by the Beech Airplane Co., Wichita, Kans., is undergoing Army Air Corps tests at Wright Field, Dayton, Ohio. Carrying a crew of five, it is the first airplane procured solely for training student navigators. The C-45A, a light transport manufactured by the same company and which is essentially the same as the AT-7, is also undergoing tests at Wright Field. The C-45A is different in that it is fitted for a crew of two and four passengers.
February 18, 1941
★ DEFENSE ★
3
PURCHASES ...
Savings of $20,000,000 to the Government and much greater sums to the public through passage of the Army appropriation bill;
provides for advance buying of Army clothes
Savings of at least $20,000,000 to the Government, and much greater unestimated sums to the general public, will result from passage by the Senate on February 10 of a $175,000,000 Army equipment appropriation bill.
The bill, which provides funds for advance buying of Army clothing, was passed by the House February 3.
These estimates were made by the Division of Purchases of the Office of Production Management, as word reached them that the Army plans immediate action to take advantage of economies which the bill makes possible.
As soon as the bill is signed by the President, Gen. C. L. Corbin, Assistant Quartermaster General of the Army, will instruct the Quartermaster Depot at Philadelphia to issue invitations to bid for making large quantities of winter clothing which, in the ordinary routine, could not have been bought until next summer.
Invitations to bid
Invitations to bid will be issued on a “cut, make and trim” basis for the following articles (cloth for which is already owned or on order by the Army):
975,000 overcoats, 400,000 mackinaws, 1,500,000 wool serge coats, 2,690,000 pairs of wool trousers, 1,400,000 field caps, and 1,700,000 field Jackets.
In addition, invitations to bid will be issued for:
4,000,000 pairs^ of wool drawers, 4,000,000 wool undershirts, 2,000,000 pairs of wool gloves, 1,700,000 pairs of heavy leather gloves, 260,000 pairs of lined horsehide gloves, 790,000 pairs of unlined horsehide gloves, 17,000,000 pairs of wool socks, 2,000,000 pairs of canvas leggings, 2,000,000 wool blankets.
General Corbin and A. J. Browning, deputy director of the Division of Purchases, outlined the benefits the Government will get from the advance buying program. These are:
Slack season buying
1. The slack season in the winter clothing industry ordinarily begins toward the end of February. By placing its orders for next winter’s goods now, the Army will be able to get the best possible prices.
Steady employment
2. Workers in that industry will get steady employment through the spring and early summer. Present Army contracts for winter garments will be completed within a fortnight or so, and normally the industry would be slack for several months.
Price control
3. Commercial demands for winter clothing begin to reach a peak at the factories in midsummer. Normally, the Army could not place its orders until after the beginning of the new fiscal year, July 1. Those orders would have gone on top of heavy civilian buying; the result would have been extensive price increases, both to the Army and to the general public.
Prompt delivery
4. By getting in ahead of the peak season, the Army can be certain that its orders can be filled promptly and that complete winter equipment will be ready for the selectees who are called up during the late spring and summer.
Surplus wool
5. Advantage can be taken of a surplus of domestic blanket wool, which can be made up into blankets economically at this time.
Prospective purchases of woolen cloth are not included in this list. The schedule of placing woolen cloth contracts is still under advisement.
.The advance buying program was worked out by Quartermaster Corps officers and experts from the Division of Purchases early this year, after Mr.
Browning had drawn up a memorandum asserting that “in order to do a well-planned buying job which will keep costs at a minimum, give labor continuous employment, keep consumer prices down, and obtain deliveries on schedule, orders must be placed from six months to one year in advance of the time the merchandise is needed.”
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Establishment of 5 O-hour work week on power development to complete job 3 months in advance of original plans
The Work Projects Administration has established a 50-hour work week on the Santee-Cooper hydroelectric power development in South Carolina, Acting Commissioner Howard O. Hunter announces.
The step-up followed placing the project in an emergency classification as “necessary to national defense” by William S. Knudsen, Director General of the Office of Production Management.
The 8,400 WPA workers clearing the 100,000 acres in the $45,000,000 power project are expected to complete the job at least 3 months in advance of original plans, under the new work schedule.
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Appointment of Mr. Eric Nicol as administrative assistant to Mr. Sidney Hillman
Sidney Hillman, Associate Director General, Office of Production Management, February 12, announced appointment of Eric Nicol as his administrative assistant.
Mr. Nicol was formerly administrative consultant to the division of administrative management in the Bureau of the Budget, and before serving in that position was for 8 years an industrial relations and personnel adviser for various concerns in Philadelphia and elsewhere.
In his new post, Mr. Nicol is charged with the responsibility of coordinating activities of Mr. Hillman’s office with those of others in OPM and with staff heads of various sections within the Labor Division of the National Defense Advisory Commission.
4
★ DEFENSE ★
February 18, 1941
January plant expansion contract awards; total of $357,685,332, as compared with less than $700,000,000 for the previous seven months
Acceleration in the award of contracts by the Army and Navy for plant expansion, construction, and equipment was revealed in a compilation of January contracts released February 11 by the National Defense Advisory Commission.
During January, plant expansion contracts awarded totaled $357,685,332 as compared with a little less than $700,-000,000 for the previous 7 months.
January contracts covered projects in 19 States.
These plant expansion contracts ranged from Government-owned munition works constructed on a fixed-fee basis to contracts financed by private manufacturers to be amortized by Government payments over. a period of 5 years, with the option to the manufacturer to purchase the facilities at the end of that period.
The list of January expansion contracts follows:
Alabama
E. I. duPont de Nemours & Co., Wilmington, Del.; construction, equipment, and preparation for operation of smokeless powder plant at Childersburg, Ala. Cost-plus-fixed-fee basis. (Equipment, $13,000,000; construction and preparation for operation $34,997,000); $47,997,000 (War).
California
North American Aviation, Inc., Inglewood, Calif.; expansion of plant facilities for production of aircraft, frames; $2,-270,405 (War).
Colorado
Remington Arms Co., Inc., Bridgeport, Conn.; equipment of a small arms ammunition plant near Denver, and management services in connection with installation; $14,800,000 (War).
Connecticut
Hartford Machine Screw Co., Hartford, Conn.; expansion of plant equipment, machinery, and tools for manufacture of aircraft engine parts; $469,000 (Navy).
New Britain Machine Co., New Britain, Conn.; acquisition and installation of additional plant for manufacture of aircraft engine parts; $409,000 (Navy).
The M. B. Manufacturing Co., New Haven, Conn.; increase in plants for manufacture of aircraft engine parts; $96,000 (Navy).
Georgia
Reynolds Corporation (subsidiary of Reynolds Metal Co.), Richmond, Va.; construction of plant for manufacture and assembly of ordnance equipment at a site near Macon, Ga.; $1,673,315 (Navy).
Illinois
Foote Gear & Machine Co., Chicago, Ill.; acquisition of additional machinery arid equipment for production of aircraft engine gears (in addition to $1,-940,000 previously announced); $920,000 (Navy).
Stewart-Warner Co., Chicago, Ill., increase in plant for manufacture of ordnance items; $4,000,000 (War).
Studebaker Corporation, South Bend, Ind., part of $36,799,300 for plant expansion in Chicago for production of Wright Aeronautical “2600” engines. (See Studebaker Corporation, Ind.)
Indiana
E. I. duPont de Nemours & Co., Wilmington, Del., increased facilities for manufacture of smokeless powder at the Indiana Ordnance Works, Charlestown, Ind. (in addition to $51,000,000 previously announced), $23,000,000 (War).
Studebaker Corporation, South Bend, Ind., expansion of aircraft facilities at South Bend, Ind. Part for expansion at Chicago plant; part for production of Wright Aeronautical “2600” engines, $36,799,300 (War).
Curtiss-Wright Corporation (Curtiss Propeller Division), 30 Rockefeller Plaza, New York, N. Y., part of $14,090,350 for extension of plant at Indianapolis, Ind., expansion of plant facilities at Caldwell, N. J., and new plant at Pittsburgh, Pa., for manufacture of propellers. (See Curtiss-Wright Corporation, Pa.)
Studebaker Corporation, South Bend, Ind., additional plant at (a) South Bend, Ind., a main assembly plant; (b) Fort Wayne, Ind., a feeder plant for manufacture of gears; (c) Chicago, Ill., a feeder plant for manufacture of connecting rods and precision parts (machinery
equipment, $10,045,313; plant construction, $39,740,836); $49,786,149 (War).
Three contractors: (1) Winston Bros. Co., Minneapolis, Minn. (2) C. F. Haglin & Sons, Inc., Minneapolis, Minn. (3) Missouri Valley Bridge & Iron Co., Leavenworth, Kans., construction and equipment of bag-loading plant at Charlestown, Ind. Equipment and management services in connection with installation of equipment by Goodyear Engineering Corporation, Akron, Ohio, $17,600,526 (War).
Maryland
Two contractors: (1) Cummins Construction Corporation, (2) Riggs Distler & Co., Inc., Baltimore, Md., plant facilities, Edgewood Arsenal and Aberdeen Proving Ground; $1,130,684 (War).
E. I. duPont de Nemours & Co., Inc., Wilmington, Del., expansion of powder manufacturing facilities at the Naval Powder Factory, Indian Head, Md.; $3,490,000 (Navy).
Massachusetts
Perkins Machine & Gear Co., West Springfield, Mass., construction, acquisition, and installation of additional machinery and equipment for manufacture of aircraft engine parts; $365,000 (Navy).
The Worthington Pump and Machinery Co., Holyoke, Mass., increase in plant facilities for manufacture of aircraft engine parts; $269,000 (Navy).
Lawon Machine & Tool Co., Malden, Mass., increase in plant facilities for manufacture of aircraft engine parts; $60,000 (Navy).
Michigan
Ex-cell-O Corporation, Detroit, Mich., expansion of plant facilities for use in manufacture of aircraft engine parts; $1,669,678 (Navy).
The Aviation Corporation, (Republic Aircraft Products Division) Detroit, Mich., construction, acquisition, and installation of additional plant facilities and equipment, including machinery and tools for manufacture of aircraft engine parts; $532,000 (Navy).
General Motors Corporation, (Buick Motor Division), Grand Blanc Township, Genesee County, Mich., expansion of aircraft facilities for production of Pratt & Whitney “1830” engines; $24,313,150 (War).
Bohn Aluminum and Brass Corporation, Detroit, Mich., acquisition, construction, installation of additional plant facilities and equipment for manufacture of parts for airplane engines; $1,216,000 (Navy).
February 18, 1941
★ DEFENSE ★
5
Missouri
Three contractors: (1) Fruin-Colnon Contracting Co., St. Louis, Mo. (2) Fruco Construction Co., St. Louis, Mo. (3) Massman Construction Co., Kansas City, Mo., construction of plant for the manufacture of small arms ammunition at St. Louis, Mo.; $11,819,400 (War).
Nebraska
Omaha Steel Co., Omaha, Nebr., machinery and equipment for manufacture of ordnance items; $483,875 (War).
New Jersey
Curtiss-Wright Corporation (Curtiss Propeller Division), 30 Rockefeller Plaza, New York, N. Y., part of $14,090,350 for extension of present plant at Indianapolis, Ind., expansion of plant facilities at Caldwell, N. J., and new plant at Pittsburgh, Pa., for the manufacture of propellers. (See Curtiss-Wright Corporation, Pa.) (War).
Camden Forge Co., Camden, N. J., acquisition and installation of special equipment and plant for production of heavy forgings; $3,125,619 (Navy).
Wright Aeronautical Corporation, East Paterson, N. J., additional facilities for manufacture of aircraft engines; $1,500,-000 (War).
New York
Fair child Engine & Airplane Corporation, Farmingdale, N. Y., acquisition, construction, and installation of additional facilities and equipment; $1,478,-800 (Navy).
New Process Gear Corporation, Syracuse, N. Y„ construction, acquisition, and installation of additional facilities, including machinery, equipment, and tools, for manufacture of aircraft propeller parts; $348,000 (Navy).
Ohio
Wright Aeronautical Corporation, Lockland, Ohio; erection of plant for manufacture of Wright aeronautical engines; $42,488,548 (War).
E. B. Badger & Sons, Boston, Mass.; construction and installation of equip-x ment of TNT and DNT plant at Sandusky, Ohio, to be operated by the Trojan Powder Co.; $9,388,330 (War).
Westinghouse Electric & Mfg. Co., Pittsburgh, Pa.; construction of naval ordnance plant at Canton, Ohio; $16,000,-000 (Navy).
Pennsylvania
Hughes-Foulkrod Co., Philadelphia, Pa.; structural shop, welding sheds, and welding rooms in turret shops, etc., Navy Yard, Philadelphia; $458,100 (Navy).
Compilation of defense contracts cleared and awarded, February 6 through February 12
National Defense contracts cleared and awarded during the period February 6 to February 12, inclusive, totaled $33,491,192. This compares with $21,204,000 for the previous week.
All contracts over $500,000 are cleared by the Division of Purchases of the Office of Production Management.
Awards during the latest period by the War Department totaled $21,238,818, and by the Navy Department, $12,252,374.
EQUIPMENT AND SUPPLIES
War Department
Hudson Motor Car Co., machinery for manufacture of engine parts for the Wright Aeronautical Corp., Detroit, Mich., $939,313.
The Eaton Manufacturing Co., machinery for manufacture of propeller parts for the Wright Aeronautical Corporation, Cleveland, Ohio, $854,335.
Graham-Paige Motors Corporation, machinery for manufacture of connecting rods for the Wright Aeronautical Corporation, Dearborn, Mich., $1,803,280.
N. A. Woodworth Co., land, building, and machinery for manufacture of engine parts for the Wright Aeronautical Corporation, Ferndale, Mich., $738,944.
Murray Corporation of America, machinery for manufacture of airplane wing assemblies for the Douglas Aircraft, Inc., Detroit, Mich., $1,952,474.
The Sperry-Gyroscope Co., Inc., machinery for manufacture of technical Instruments; Brooklyn, N. Y„ $3,025,000.
Thompson Aircrafts Products Co. (a subsidiary of Thompson Products, Inc., Cleveland, Ohio); land, building, and machinery for the manufacture of aircraft parts and aircraft engine parts, Cleveland, Ohio, $11,198,472.
Folmer Graflex Corporation, cameras, Rochester, N. Y., $727,000.
EQUIPMENT AND SUPPLIES
Navy
Warren Steam Pump Co., Inc., pumps, main condenser, circulation, New York, N. Y.; $708,328.
Phelps Dodge Copper Products Corporation, Habirshaw Cable and Wire Division, cable, electric, New York, N. Y.; $553,252.05.
Rockbestos Products Corporation, cable, electric, New Haven, Conn.; $554,484.40.
General Cable Corporation, cable, electric, Washington, D. C.; $538,521.
Snow Shipyards, Inc., sweepers, mine, coastal, Rockland, Maine; $604,000.
AIRPORTS
Siems Spokane Co. & Associates; construction of facilities for Army garrisons at Sitka, Kodiak, and Unalaska, Alaska; $5,193,840.
AIRCRAFT
Beech Aircraft Corporation, airplanes, Wichita, Kans.; $599,948.56.
HOUSING
Hawaiian Dredging Co. and Associates; 1,000 family dwelling units and facilities at Pearl Harbor, Oahu Island, T. H.; $3,500,000.
Union Switch & Signal Co., Swissvale, Pa.; acquisition, construction, and installation of additional machinery equipment and tools; $1,243,000 (Navy).
Luklus Steel Co., Coatesville, Pa.; acquisition, construction, and installation of additional facilities, including building extensions, and mechanical equipment and machinery for increasing capacity of 206-inch mill; $12,160,000 (Navy).
Curtiss-Wright Corporation, (Curtiss Propeller Division), New York, N. Y.; part of $14,090,350 for extension of present plant at Indianapolis, Ind., expansion of plant facilities at Caldwell, N. J., and new plant at Pittsburgh, Pa., for manufacture of propellers; $14,090,350 (War).
Tennessee
Two contractors; (1) The H. K. Ferguson Co., Cleveland, Ohio, (2) The Oman Construction Co., Nashville, Tenn.; construction of an ammunition loading plant known as the Wolf Creek Ordnance Plant, at Milan, Tenn., to be operated by the Procter & Gamble Defense Corporation of Cincinnati, Ohio; $8,514,370 (War).
Texas
Todd Galveston Dry Docks, Inc., Galveston, Tex.; acquisition, construction, and installation of additional plant including floating drydock; $2,254,343 (Navy).
Virginia
Mason & Hanger Co., New York, N. Y.; construction of bag-loading plant near Pulaski, Va., to be operated by Hercules Powder Co., Wilmington, Del.; $9,376,-390 (War).
The Office of Production Management:
William S. Knudsen, Director General; Sidney Hillman, Associate Director General; members: Secretary of War Henry L. Stimson and Secretary of the Navy Frank Knox.
Within the Office of Production Management are the following: Division of Production, John D. Biggers, director; Division of Purchases, Donald M. Nelson, director; and Division of Priorities, Edward R. Stet-tinius, Jr., director.
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★ DEFENSE ★
February 18, 1941
PRIORITIES . .
Complete preferential status for the next 90 days for defense orders for magnesium; letter from Mr. Stettinius to aircraft manufacturers asking that scrap aluminum be saved for return to sources of supply
Defense needs for magnesium were given complete preferential status over nondefense orders February 13 by the Priorities Division of the Office of Production Management.
This action strengthens a step taken earlier in the week when the Priorities Division requested that magnesium be given such treatment in the interest of national defense.
A letter sent to magnesium producers over the signature of Edward R. Stettinius, Jr., Director of Priorities, said that for the next 90 days defense orders for magnesium should be filled to the exclusion of all other demands.
Exclusively allocated
The letter said:
“In view of the unprecedented demand for magnesium required by the cumulative defense needs for utilization of this metal, it is the opinion of the Priorities Division, based on recommendation of the aluminum and magnesium priority committee, that the supply for the immediate future at least should be exclusively allocated to defense needs.
“In consideration of the circumstances of the case, I hereby direct all manufacturers and fabricators to supply manufacturers of defense articles and equipment for the next 90 days, exclusive of all other demands, excepting those articles now in process, suspension of the manufacture of which would result in needless loss if not carried to completion.
“This direction for preferential consideration of defense projects should be considered as becoming operative immediately upon receipt of this communication. In case of special difficulties imposed by this ruling, where these involve minimum amounts of magnesium, reference of the decision involved may be made to Dr. E. M. Hopkins, minerals and metals priority executive.”
Earlier in the week, airplane companies were asked to cooperate by saving scrap aluminum for return to the original sources of supply. Industrial users of
aluminum in the nondefense field were urged to give immediate attention to the use of substitutes, including plastics. The following letter was sent by Mr. Stettinius to major aircraft plants.
“Under the necessities of the present situation, every economy in the use of aluminum becomes necessary and all measures for salvaging existent supplies become imperative.
“Under these circumstances, the Priorities Division, on recommendation of the aluminum and magnesium priority committee, desires your cooperation in suggesting what in your opinion would be the most practical and desirable procedure for handling scrap.
Reservation imperative
“Furthermore, until the Priorities Division can determine what in its opinion is desirable policy in this matter, it requests that all high-strength alloy sheet scrap be held for later return to the source from which the original supply was shipped to you.”
Rapidly increasing demands of the defense program, together with certain other unfavorable factors, have brought about a situation art present in which it becomes imperative that all magnesium be reserved for defense purposes.
Swiss source cut off
Among the other factors in the situation is a cutting off of aluminum from Switzerland, used as a deoxydizing agent in steel manufacturing processes, and a lack of the development of expected power sources as rapidly as had been anticipated.
So far as aluminum is concerned, the Priorities Division is not yet ready to make any formal ruling but requests that concerns using this metal in nondefense manufactures turn their attention at once to the possible use of substitutes. In the case of other metals, as in zinc, industries have already launched investigations to see how and to what extent substitutes may be employed.
Decision that schools’ requests for tool priority certificates cannot be granted; pressing need in existing defense plants
Because of the pressing need for machine tools in vital defense industries, including existing plants and factories under construction, the Priorities Division of the Office of Production Management has decided that it cannot grant applications for priority certificates on such tools requested by schools and other educational institutions engaged in training workers.
An effort is being made to divert such demand into second-hand or second-grade tools.
A letter sent out to boards of education and school administrators, from whom there have been many requests for priority rating for the purchase of machine tools, says that such requests cannot be granted.
Careful study
The letter says, in part:
“The Priorities Division has made a careful study of the machine tool situation in all its aspects.
“As you doubtless understand, there is at present the most pressing need for machine tools to equip existing and new plants quickly to produce the vital arms and equipment that our Army and Navy must have, and while there is full realization of the fact that trained men are just as necessary as machine tools, it is felt that for the present at least, the needs of educational institutions for machine tools must be met as far as they can be by finding second-hand or unused tools.
Training through rebuilding
“The very work of rebuilding or repairing second-hand tools is in itself an effective step in training youth.
“The whole subject of second-hand tools and their availability is being studied here, and it is hoped that effective help can be rendered institutions such as yours in indicating sources from which second-hand or used machine tools may be had.”
February 18, 1941
* DEFENSE ★
7
Recommendation that all manufacturers give immediate attention to the development of plastics to conserve vital metals; calls attention to work of Bureau of Standards
E. R. Stettinius, Jr., Director of Priorities for the Office of Production Management, on February 14 urged all manufacturers who have not already done so to give immediate attention to the development of plastics.
He made the statement in the interests of conserving the supply of certain metals vitally needed in defense industries, such as aluminum, magnesium, and zinc.
Mr. Stettinius pointed out that the United States Bureau of Standards maintains a plastics section headed by Dr. Gordon Kline, which is able to give advice to those manufacturers interested in the possibility of developing plastics to meet problems in their manufacturing processes.
Industry meeting
He also called attention to a meeting of the Plastics Defense Committee of the Society of the Plastics Industry which will meet in Washington February 21 at the Mayflower Hotel to discuss with Army and Navy and other Government officials the increasing emphasis on the importance of industrial plastics. Suggestions for increasing the use of plastics for both defense and nondefense purposes are to be taken up at the meeting.
Mr. Stettinius said:
“The impact of the rapidly developing defense program on our economic system now makes it imperative that certain vitally essential metals be conserved as much as possible for primary defense purposes. This is especially true in the case of aluminum, magnesium, and zinc.
“With defense industries making compelling demands on the available supply of such metals, it appears that the supply available for other production in the nondefense sphere will be diminished.
More important than ever
“This means, in turn, that the whole question of plastics now becomes more important than ever before. A number of industries through their trade associations have already launched investigations to see how and to what extent they can expand the use of plastics in their
products. We feel that manufacturers who have not yet done so should make similar efforts.
“It should be pointed out that the Bureau of Standards through its plastics section is equipped to give advice on these problems.
“I should also like to direct attention to the forthcoming meeting of the Plastics Defense Committee at. which many of the problems involved in plastics production will be discussed.”
Aircraft use
Industrialists in the United States have been giving increasing attention to plastics as well as to the use of other substitutes for a number of years. But the process of “designing into plastics” has been greatly accelerated in recent months by the development of the defense program.
This is the case not only in the field of ordinary commercial production, but also in the production of military aircraft.
A number of aircraft builders are making elaborate tests to see how and where plastic materials may be used in place of metals, such as aluminum, in cowl covers, engine baffles, and flooring.
Bureau project
The Bureau of Standards has under way a project, in cooperation with the National Advisory Committee for Aeronautics, to develop a new material suitable for aircraft uses. One of the major problems involved is the development of a plastic which could be used not only as a substitute for nonstructural parts, but also for those structural units subject to stress.
Broad attention to the possibility of developing plastics is also being given by automobile manufacturers and by the makers of refrigerators, washing machines, vacuum cleaners, and other household equipment. One project being considered would call for the construction of refrigerator frames entirely of plastics.
If the use of plastics increases, officials of the Division of Priorities feel that it will help to ease the situation caused by shortages of defense metals and, in ad
dition, will serve to stimulate desirable activity in an industry which has wide opportunities before it.
★ ★ ★
Agreement to expedite the flow of structural steel shapes into defense construction; greater effort by producers to fill defense orders first
An effort to expedite the flow of structural steel shapes into defense construction has been inaugurated by representatives of the Priorities Division and major steel producers, it was announced February 11 by E. R. Stettinius, Jr., Director of Priorities for the Office of Production Management.
Representatives of the steel companies met in New York with Samuel S. Stratton, general assistant director of the minerals and metals section of the Priorities Division.
Already giving preference
The steel producers said they were already giving preferential treatment to defense orders, and they agreed that an even greater effort would be made to fill defense orders first. This will be done on a voluntary and informal basis.
The major problem discussed involved the fact that a temporary tightness has developed in the delivery of structural steel shapes needed generally for defense construction, including the expansion of aircraft plants, automobile factories, military cantonments,- and machine tool plants.
Difficulty with deliveries
The situation has become particularly apparent during the past few weeks with statements from both defense and nondefense users of shapes that they are having some difficulties with deliveries.
At the New York conference, representatives of the mills, which are working at near capacity, said they expected that most defense orders for shapes would be on their books by early summer. This would indicate a tapering off of such orders after that time and an easing of the situation.
If the new effort to expedite defense deliveries is successful, officials of the Priorities Division believe that the imposition of formal priorities for such orders may be avoidable.
8
* DEFENSE *
February 18, 1941
Working arrangement for the operation of the priorities system; official bulletin issued by Mr. Stettinius
A working arrangement for the operation of the priorities system was announced February 17 in a bulletin issued by E. R. Stettinius, Jr., Director of Priorities for the Office of Production Management.
The new plan is expected to facilitate the handling of problems arising in connection with the issuance and application of preference ratings.
The arrangement is a broad one, covering the entire sphere of the priorities system, and clarifies the relationship between the operations of the Army and Navy Munitions Board, concerned primarily with military needs, and the wider field of general industrial and civilian needs which are administered by the Priorities Division.
The arrangement was worked out by representatives of the Priorities Division and of the Army and the Navy. It is, of course, subject to revision from time to time.
A copy of the official bulletin issued by Mr. Stettinius follows:
Function of the Priorities Certificate
The priorities system is intended primarily to implement the purchasing and production of defense material required by the War and Navy Departments. Certain important civilian projects and foreign orders may be given priority aid, where speed is essential, and civilian needs will have to be carefully balanced with defense needs at all times.
The principal administrative mechanism in the operation of this system is the “priorities certificate” which is the notice to a contractor that a certain material is to be given preferential treatment, if necessary to meet delivery dates. This should be done without prejudice to contracts and orders bearing equal or superior ratings, but by withholding or deferring deliveries on other contracts and orders.
In order to preserve the effectiveness of the priorities certificate, it is to be used only when an alternative solution is not readily available. Therefore, the Priorities Division will attempt to obviate the use of priorities, wherever possible, by working in close collaboration with the Division of Production, with a view to adjusting production schedules, and
with the Division of Purchases, with a view to finding alternative sources of supply.
Ratings and order of preference
The order of preference is indicated by the following symbols: In the order of precedence AA, which is reserved for emergencies of an exceptional nature; A-l-a, A-l-b, A-l-c, * ♦ ♦ A-l-j; A-2, A-3 * * * A-10. As between contracts and orders in the same subdivision (as A-l-c), except as otherwise specifically requested by the Director of Priorities, the date of delivery contracted for will determine the order of precedence.
Plan of organization
The Army and Navy Munitions Board, pursuant to direction from the Army and Navy Joint Board, will determine the relative importance of military items, such as guns, tanks, airplanes, ammunition, etc. On the basis of this determination, the contracting officers of the Army and the Navy, coordinated by the Army and Navy Munitions Board, will administer the assignment of preference ratings to prime contracts for a selected list of critical items.
This selected list, commonly called the “critical list,” is made up primarily of military items and parts which usually have no direct counterpart in commercial production. The contracting officers, under the arrangement now being effected, will also approve the extension of the preference rating assigned the prime contract to the first subcontract, if the items being manufactured in the first subcontract are on the critical list.
The Army and Navy Munitions Board will also assign preference ratings in the same manner to prime contracts placed by certain other governmental agencies for equipment deemed essential to the defense program, upon application by the contracting officer or prime contractor. Such agencies now include the Maritime Commission, Coast and Geodetic Survey, Coast Guard, and the National Advisory Committee for Aeronautics.
The Priorities Division of the Office of Production Management, as the arrangement is effected, will be responsible for the determination of preference ratings on all items below the first subcontract,
including all raw materials. All priorities certificates will be issued over the signature of the Director of Priorities, but in the case of prime contracté and first subcontracts, as mentioned above, the Army and Navy Munitions Board will be supplied with certificates signed in blank to be issued to the contracting officers for authentication by them in accordance with the general policy outlined above. Carbon copies of the completed certificate will be returned to the Priorities Division for supervision, and to the Army and Navy Munitions Board.
The administration of priorities by the Priorities Division is handled in five sections, under group executives, namely: 1. Minerals and Metals; 2. Chemicals; 3. Commercial Aircraft; 4. Tools and Equipment; 5. General Products.
Each of the five groups of the Division is advised by one or more Priority Committees, made up, typically, of the group executive of the section as chairman, and a representative of the Army, the Navy, the producing industry, the industrial users, and Labor. Representatives of the Division of Production and Purchases will act as committee experts and contact points with those divisions. Advisers on price and consumer matters also will be available to the committees.
Procedure in making application for Priority Certificates
Prime Army or Navy Contracts.—Ratings will be assigned by the contracting officers with respect to direct Army and Navy procurement. If a priority rating has not been obtained at any time by a Government supplier and he believes that a rating is necessary, he may request that a certificate be issued by the contracting officer or inspector with whom he is in contact.
If the prime contractor wishes that this rating be extended to his subcontractors, he should ask the Army or Navy inspector, or contracting officer, to fill out a priorities certificate. The Army or Navy official will only approve such an extension if the item purchased from the first subcontractor is on the critical list (a “list of items eligible to receive preference ratings”), and in no case will an extension of the rating be approved by these officers below the first subcontractors (those who sell their products directly to the the prime contractor) or for any items not on the critical list.
All other contracts and orders (including Army or Navy subcontractors below the first line).—Before making applica
February 18, 1941
★ DEFENSE ★
9
tion for a priority rating, every effort should be made to arrange for delivery of materials and equipment on the required dates through the use of commercial channels. Readjusting schedules, making full use of machinery, subcontracting, substitute materials, and processes are also urged. If these means fail, applications should be made to the Director of Priorities on the prescribed form. These forms may be obtained from all Federal Reserve offices and from Army and Navy field procurement and inspection officers or from the Director of Priorities, New Social Security Building, Washington, D. C.
The application form requires that the applicant substantiate his claim for preference rating to avoid harm to other parts of the defense program. When the application is received by the office of the Director of Priorities, it will be administered by the group executive in charge of the particular material and checked with the Purchase and Production Divisions for alternative solutions. The decision of all group executives will be routed through the central office to insure coordination. Priority Certificates will be issued by the Director of Priorities.
General.—The Priorities Division will seek to avoid the imposition of priorities wherever such imposition would needlessly conflict with civil and private activity, and, insofar as possible, action will be withheld until an actual shortage in connection with defense is imminent.
Requests for further information should be directed to:
Director of Priorities,
New Social Security Building, Washington, D. C.
★ ★ ★
Preferential treatment for defense requirements for a new stock of diamond dies; 6,000 available
Defense requirements for a new stock of diamond dies, to be made available to industry through the Defense Supplies Corporation, will be given preferential treatment over all nondefense needs, it was announced February 16 by E. R. Stettinius, Jr., Director of Priorities for the Office of Production Management.
Allocation of the dies to defense industries will be put before the minerals and metals section of the Priorities Division for decision, Mr. Stettinius said.
President’s letter asking the chairman of the Maritime Commission to advise and assist him in assuring that our ocean shipping needs are cared for quickly
The United States Maritime Commission announced February 12 receipt of a letter from the President asking Chairman Land to advise and assist him in assuring that United States ocean shipping needs are cared for quickly and effectively.
The text of the letter follows:
My Dear Mr. Chairman:
The successful conduct of the national defense program requires that our facilities for ocean transportation be fully coordinated; only in this way can maximum utilization of such shipping facilities be assured.
As chairman of the United States Maritime Commission, you are in a strategic position to advise and assist me in assuring that our ocean shipping needs are cared for in an expeditious and effective manner. Specifically, I shall wish your aid in respect to the following matters :
1. The analysis of the stated requirements of the War and Navy Departments, and other agencies of the Government, for merchant vessel tonnage and facilities needed for ocean transportation of foreign and domestic commerce in connection with national defense.
2. Advise with owners and operators of ships registered under the United States relative to shipping routes, movement of vessels, and character of cargoes as defense requirements may make necessary.
3. The coordination of plans for the acquisition and creation of additional
ships and facilities—(a) to carry the water-borne commerce of the United States, including the transportation of strategic and critical materials, and (b) to act as military and naval auxiliaries.
4. The preparation of recommendations pertaining to (a) the acquisition of additional tonnage under foreign registry to meet ocean tonnage requirements for national defense, and (b) requests by other countries or their nationals for assistance in obtaining additional tonnage.
I should like to receive from you regular reports concerning the availability and adequacy of oceangoing ships, and facilities for their operation, together with your recommendations. I particularly request that you give all assistance and cooperation to the Office of Production Management in expediting the shipment of materials which are essential to our production program. You will, of course, need to tie closely to the State Department on all matters involving foreign policy and relations.
Copies of this letter are being sent to the Secretaries of State, War, Navy, Treasury, and Commerce, and the Director General of the Office of Production Management. I am certain that these officials will inform you promptly of such problems as they may have involving ocean transportation, and will fully cooperate in facilitating the assistance that I am requesting of you.
Sincerely yours,
Franklin D. Roosevelt.
Dr. E. M. Hopkins is section executive. The recommendations adopted will then be turned over to the Defense Supplies Corporation, which will handle all applications and the actual distribution.
Obtained from Britain
Since not more than 6,000 dies are to made available, it is expected that the demand for them will outrun the supply. This will raise allocation problems that the minerals and metals section will have to decide.
The dies being obtained from the British Purchasing Commission are small industrial diamonds. They are
classified as a critical material by the Army and Navy Munitions Board.
An acute shortage of the dies has developed in the industrial plants which use them for the drawing of fine wire, such as aluminum and tungsten, for the production of electric lights, radio instruments, fuses for shells, and delicate electrical measuring devices.
In preparation of diamond dies, a small hole is drilled through the center of the diamond with a fine needle and abrasive diamond dust. The smallest hole used is usually 0.0003 inch in diameter. The diamonds are set in disks for easy handling.
10
★ DEFENSE ★
February 18, 1941
DEFENSE HOUSING ...
Announcement of a sharp rise in the number of dwelling units for which public funds have been allocated; total is now 68,432
Defense Housing Coordinator Charles F. Palmer announces the following highlights in the defense housing field during the week ended February 8:
1. A sharp rise in the number of dwelling units for which public funds have been allocated;
2. Sustained activity in private industry as reflected by insuring operations of the Federal Housing Administration; and
3. Assignment by the Federal Works Administrator of 13,200 dwelling units to be built under the Lanham Act.
Mr. Palmer said the new units programmed by the Division of Defense Housing Coordination during the week brought the total number of dwelling units for which public funds have now been allocated to 68,432, an increase of 14,349 over the total number which had been programmed up until February 1.
369 completed
An additional 200 units were put under construction contract during the week and 369 were completed, he said.
The Coordinator announced that 13,060 of the total dwelling units for which funds were allocated last week were to house civilian industrial workers while 1,289 were to be for married enlisted personnel of the Army and Navy.
A summation of the work of each agency in the Defense Housing program showed:
Navy
As of the end of last week, 16,935 units being constructed by the Navy were nearing completion. These units will be for families of enlisted personnel and civilian workers in industrial plants.
Federal Works Agency
Federal Works Agency reported the letting of contracts for an additional 605 units, bringing to a total of 20,032 the number of units now under contract by FWA. Construction costs of the new units amounted to $3,873,510, making a total of $62,673,692 now under contract.
A contract was also being negotiated for the purchase of a USHA-financed
slum clearance project in Boston which will be used to house industrial workers in that locality. Negotiations are being conducted with the local Boston Housing Authority.
United States Housing Authority
The United States Housing Authority has a total of 45 defense projects under its jurisdiction. It was announced that 2 of these have been completed; 17 are under construction; sites have been approved for 11, and sites are being selected for the remaining 15. Ground was broken on projects in Hartford, Conn., and Pensacola, Fla., during the past week.
Federal Housing Administration
Federal Housing Administrator Abner H. Ferguson announced that home construction in general is showing gains up to 50 percent over last year, prompted partly, he said, by housing needs in defense industrial areas. He announced that for the week ending February 8 new homes started under FHA inspection totaled 2,755, compared with 2,363 the previous week, and that new-home mortgages selected for appraisal amounted to 3,835 as against 3,669 the week before.
It was also announced that participation of private lending institutions in the FHA program continued to broaden during 1940 with a total of 8,239 holding FHA-insured home mortgages in investment portfolios at the end of the year.
★ ★ ★
NAVY PROGRAM AHEAD OF SCHEDULE
Secretary Knox reports that “we are using every means and facility” to expedite the naval building program; that work on all war vessels, including dreadnoughts, is from 30 to 60 days ahead of schedule; that a program worked out by the Navy and Sidney Hillman, OPM Associate Director General, had been exceptionally efficient in finding skilled men for Navy Yard work, and that aircraft production and deliveries are “picking up.”
STATUS OF PUBLIC DEFENSE HOUSING CONSTRUCTION FEBRUARY 8, 1941
Funds Con- Com-
allocated tracts pleted
awarded
Number of States and 44 37 10
Territories............... 125 76 13
Number of localities.....2. 225 119 14
Number of projects________ 68,432 35, 011 1,683
Number of family dwell- 26,152 13,692 530
ing units______________ 8,683 5,013 644
Civilian industrial 23,597 16,306 509
workers......_........
Other civilians:
Employees of Army
and Nayy___________
Martied enlisted per-
sonnel_________________
PRIVATE CONSTRUCTION UNDER FHA MORTGAGE INSURANCE
Week Previous
ended week
Feb. 8,
1941
New homes started___________..... 2,755 2,363
New home mortgages selected for 3,835 3,669
appraisal........................
Contract for the construction of 13 shipbuilding ways under the emergency program
The Maritime Commission announced February 10 clearance with the National Defense Advisory Commission and award of a contract for construction of 13 ways and other shipbuilding facilities involving an estimated Government investment of $7,838,000. The contract was awarded to Bethlehem-Fairfield Shipyard, Inc., Baltimore, Md.
The shipyard facilities are to be used for construction of part of the 200 merchant ships under the emergency shipbuilding program authorized by Public Law No. 5. Plant facilities will be installed at cost.
Five other contracts have been let for 32 ways and other facilities at a cost of $20,695,500.
Note.—The division of Coordination of National Defense Housing is, by Executive order, in the Office for Emergency Management of the Executive Office of the President.
February 18, 1941
★ DEFENSE ★
¹¹
Excerpts from an address by the assistant to the Housing Coordinator before the 15th annual Hampton Builders Conference
The following are excerpts from a special address by Carl Henry Monsees, executive assistant to the Defense Housing Coordinator, Charles F. Palmer, before the 15th annual Hampton Builders Conference at Hampton Institute, Hampton, Va., February 12:
* * * This vast effort for defense must derive its energy from manpower. In a recent public statement, Mr. Sidney Hillman, Associate Director General of the Office of Production Management, declared that “more than 3^ million man-years of skilled worker time will be required to meet the needs of the defense program, thus far authorized by Congress, while the total labor needs—skilled and unskilled—will be in excess of 8^ million man-years.”
Must safeguard labor
Such figures give us an impressive concept of the important part which man still plays in an age of machinery. We must, therefore, utilize our manpower to its fullest, and safeguard it so that it may operate to its maximum efficiency.
In calling Up the tremendous reserves of this country, attention must be given to the welfare and happiness of the workers who will be devoting their energies to the defense program. A primary consideration must be the adequate and comfortable sheltering of these workers * * *.
* * * On July 22, the newly appointed Housing Coordinator came to Washington to develop the pattern of a program for which at that time there were no funds. Though there were no funds, there were established Federal housing agencies, prepared and willing to build American homes * * *.
Housing figures
* * * Today, although scarcely 4^ months have elapsed since Congress appropriated funds, defense housing projects are already in various stages of completion throughout the country.
For example, 35,000 federally financed housing units are now under construction or completed in 76 areas; and 33,000 more have been approved and are in process of land acquisition and negotiation of contract in 51 more places. Of these 68,000 houses, 45,000 are for civilian
workers, and 23,000 for families of enlisted personnel. These figures represent only those projects being constructed with public funds. They do riot take into account the thousands of units being constructed through the ordinary channels of private enterprise * * *.
* * * And let me pause at this point to assure you that where our studies indicate that the need for housing is for Negro workers, such housing will be provided. Those agencies of the Government which are engaging in large-scale defense activities are fully aware of the important contributions which Negro workers are making to total defense, and they have taken steps to insure that this fine source of manpower is fully utilized.
No discrimination
John M. Carmody, Administrator of the Federal Works Agency, recently issued the following regulation governing all contracts let by the agencies of the Federal Works Agency:
“There shall be no discrimination by reason of race, creed, color, or political affiliations in the employment of persons, qualified by training and experience, for work in the development of defense housing at the sites thereof.” * * *
* * * Far reaching as our present program is, however, it does not now appear that it will be sufficient. With present appropriations now practically exhausted, and reports pouring in daily of the need for more and more housing, new plans have had to be devised * * *.
* * * In the meantime, we are endeavoring, by various preventive means, to avoid where possible the development of housing shortages. Employers are being urged to utilize all available labor reserves within the localities and thus forestall large migrations of workers into communities where living quarters cannot be found to care for the overflow.
Improved transportation
Improved roads and transportation facilities also make it possible to utilize communities within comfortable commuting distance of defense localities.
The establishment of Homes Registrations Bureaus in all defense localities will make possible the fullest utilization of
existing vacancies and will provide a central point where workers may obtain information about available accommodations. Each bureau will serve all races and nationalities in its locality * * *.
* * * I am unable to do more than remark upon the splendid work which is being done by other divisions of defense in safeguarding the welfare of our citizen workers. Such work includes that which Miss Harriet Elliott’s division is doing in the interest of the citizen as consumer, and the’ contributions which the Health and Welfare Division of the Federal Security Agency are making toward the provision of adequate health and recreational facilities * ♦ ♦,
★ ★ ★
Argentine national council is organized as part of program to stimulate trade between American Republics, Mr.
Rockefeller announces
Membership of the Argentine national council, the second of 21 councils being established by the inter-American Development Commission in its program for stimulation of trade between the American Republics, was announced February 14 by Nelson A. Rockefeller, chairman.
Membership
The council will have as its chairman Dr. Raul Prebisch, general manager of the Banco Central, who sailed for home last week after 2 months in the United States in which he assisted in arranging a credit of $110,000,000 extended by the Export-Import Bank and the Treasury Department to Argentina.
Arrangements for establishment of the council were completed in Buenos Aires. Members in addition to Chairman Prebisch include:
Luis Colombo, president, Union Industrial Argentina; Dr. Alejandro Shaw, president, Confederación Argentina del Comercio, la Industria y la Producción; Arnaldo Massone, prominent businessman; and Dr. Aldolfo Bioy, president, Sociedad Rural Argentina.
Dr. Raul C. Migone, chief of the Office of International Unions, Ministry of Foreign Relations, Buenos Aires, is secretary of the council. John C. McClintock, of the Coordinator’s Office, is executive secretary of the parent Commission.
12
t ★
February 18, 1941
HEALTH AND WELFARE ...
Interdepartmental committee of officials of Federal agencies working in the fields of health and welfare to advise Mr. McNutt; coordination by field staffs
Federal Security Administrator Paul V. McNutt announced February 11 appointment of an Interdepartmental Advisory Committee, composed of officials of various Federal agencies working in the fields of health and welfare, to assist and advise him in coordinating all health, medical ₍care, welfare, nutrition, recreation, and related activities affecting national defense.
At the same time, the Administrator said the field staffs of various governmental agencies would also play an important part in securing effective co-Ordination of these programs.
He explained he had established 12 Federal Regional Advisory Councils made up of the field representatives of all Federal agencies participating in these activities, and that he had designated the 12 regional directors of the Social Security Board as Regional Defense Coordinators.
Regional council chairmen
These coordinators, he said, will act as chairmen of the Regional Advisory Councils and maintain the relationships in these fields with the State Defense Councils in their respective regions.
Mr. McNutt declared he was now setting up a small staff within his office to assist him and Assistant Coordinator Charles P. Taft (see page 13) to coordinate health and welfare and related defense activities. This staff is headed by Miss Gay Shepperson, former Work Projects Administrator for Georgia.
The Federal agencies and their representatives composing the Interdepartmental Advisory Council include: Arthur Altmeyer, Chairman, Social Security Board; Aubrey Williams, Administrator, National Youth Administration; J. J. McEntee, Director, Civilian Conservation Corps; J. W. Studebaker, Director, Office of Education; Dr. Warren Draper, Acting Surgeon General, Public Health Service; C. B. Baldwin, Administrator, Farm Security Administration; M. L. Wilson, Director, Extension Work; Milo Perkins, Administrator, Surplus Market
ing Administration; Dr. Louise Stanley, Chief, Bureau of Home Economics; John M. Carmody, Administrator, Federal Works Agency; Howard O. Hunter, Acting Commissioner, Work Projects Administration; Frances Perkins, Secretary of Labor; Katherine Lenroot, Chief, Children’s Bureau; Conrad Wirth, of National Park Service; Harold W. Brein-ing, Assistant Administrator, Veterans’ Administration; Charles W. Eliot, Director, National Resources Planning Board; and following members from the Advisory Commission to the Council of National Defense—Frank Bane, Director, Division of State and Local Cooperation; Charles Palmer, Housing Coordinator; J. B. Hutson, Agriculture Division; Sidney Hillman, Labor Division; Harriet Elliott, Consumer Protection Division.
Names of coordinators
The Regional Defense Coordinators and the States comprising their regions are as follows:
John F. Hardy, with headquarters in Boston, will be the regional coordinator for Region I, comprising the States of Maine, Vermont, New Hampshire, Connecticut, Rhode Island, Massachusetts, and Connecticut.
Mrs. Anna Rosenberg, with headquarters in New York City, will be the regional coordinator in Region II, which takes in New York State exclusively.
The regional coordinator in Region HI, comprising the States of New Jersey, Delaware, and Pennsylvania, will be W. L. Dill, with headquarters in Philadelphia.
Region IV coordinator will be G. R. Parker, with headquarters in Washington, D. C. This region comprises the States of Maryland, North Carolina, West Virginia, Virginia, and the District of Columbia.
Region V, Robert C. Goodwin, headquarters in Cleveland, Ohio, comprising the States of Ohio, Kentucky, and Michigan.
Region VI, H. L. McCarthy, headquarters in Chicago, Hl., comprising the States of Illinois, Indiana, and Wisconsin.
Region VII, Richard H. Lyle, headquarters in Birmingham, Ala., comprising the States of Alabama, Florida, Georgia, Mississippi, South Carolina, and Tennessee.
Region Vin, Fred M. Wilcox, headquarters in Minneapolis, Minn., comprising the States of Minnesota, Iowa, Nebraska, North and South Dakota.
Region IX, Ed McDonald, headquarters in Kansas City, Mo., comprising the States of Missouri, Arkansas, and Oklahoma.
Region X, James B. Marley, headquarters in San Antonio, Tex., comprising the States of Texas, Louisiana, and New Mexico.
Region XI, Heber R. Harper, headquarters in Denver, Colo., comprising the States of Colorado, Arizona, Idaho, Montana, Utah, and Wyoming.
Region XII, Richard M. Neustadt, headquarters in San Francisco, Calif., comprising the States of California, Nevada, Oregon, and Washington.
★ ★ ★
Assignment of Miss Mary Barber to assist in preparation of Army menus; request of the Quartermaster General
At the request of the Quartermaster General, Miss Mary I. Barber, food consultant to the Office of Production Management, has been assigned the task of assisting in the preparation of Army menus.
In this work she will collaborate closely with the subsistence branch, supply division of the Office of the Quartermaster General. At an early date she will visit many Army camps throughout the country to make a thorough study of menus now in use.
Miss Barber, who is president of the American Dietetic Association, has been loaned to the Office of Production Management by the Kellogg Co., of Battle Creek, Mich., in whose employ she has held the jobs of dietitian, cooking teacher, demonstrator, and home economics director.
February 18, 1941
* DEFENSE ★
13
Appointment of Mr. Charles Taft as assistant coordinator to
Mr. Paul V. McNutt
Federal Security Administrator Paul V. McNutt announced February 10 appointment of Charles P. Taft of Cincinnati, Ohio, as assistant coordinator of all health, medical care, welfare, nutrition, recreation, and related activities affecting national defense.
Mr. McNutt said that Mr. Taft, in accepting the appointment, had consented to remain in Washington 9 months.
The Administrator stressed importance of stimulating immediate local action to meet the needs in these fields growing out of the defense program, and the responsibility of the Federal, State, and local agencies of Government as well as private agencies to combine their resources and efforts in the solution of these new problems.
Regional machinery
“Not only must there be national planning,” Mr. McNutt explained, “but machinery must be established regionally through which the Federal agencies can work together in giving all possible assistance to State and local public agencies operating in these fields in mobilizing community resources, both public and private, to meet these new needs.”
Mr. McNutt said three objectives are to be gained by the mobilization of all public and private health, medical, welfare, nutrition, and recreation sources to meet the needs of this emergency.
They are:
1. To afford social protection to individuals and communities suffering disproportionate economic, social, and health burdens as a result of military, naval, and industrial defense activity.
2. To assist civilian agencies and individuals in making an effective contribution to the health, welfare, and morale of men engaged in the military and naval service.
3. To promote the health, security, and morale of the civilian population as an essential part of effective defense.
Mobilize all resources
The Cincinnati attorney and son of the former President of the United States, William Howard Taft, will assist Mr. McNutt in formulating and executing plans, policies, and programs designed to mobilize all resources in the fields of health, welfare, nutrition, and recreation to the Nation during this emergency.
Office of Education reports vocational training program well ahead of schedule with indications that 1,000,000 persons will complete training for defense occupations by June 30, 1941
Reports from all States received by the United States Office of Education show that regular and defense vocational school training is ahead of its scheduled program.
Plans formulated last year called for the training of 700,000 workers for defense industries by June 30, 1941. A report to Paul V. McNutt, Federal Security Administrator, from John W. Studebaker, United States Commissioner of Education, indicates that, if present trends continue, about 1,000,000 persons will have been trained for defense occupations by June 30, 1941.
During the first 6 months ending January 1, 1941, records show 325,000 trained or in training in the rapidly expanding vocational educational program.
24-hour schedules
More than 800 of the 900 cities with vocational trade and industrial schools are making their facilities available for defense training. More than 300 cities have put their vocational schools on 24-hour, 6-day-week schedules.
Regular enrollments also record-breakers
Enrollments in the regular vocational education program are highest in history. They total approximately 2,000,-000. A large proportion of the occupational training in the regular program is directly useful to defense industry needs.
Trade and industrial education alone enrolls more than 750,000, including hundreds of apprentices who attend part-time. Youth in these courses receive basic and related training in such defense-vital skills as pattern-making, welding, sheet metal, drafting, machine shop, electricity, and auto mechanics.
Regular and special classes
The total number who will be served by various vocational education courses during the coming year will be in excess of 3,000,000.
Vocational schools, Commissioner Studebaker reported, are serving more vari
eties of needs than ever before in their 23-year history. These include:
Preemployment refresher short courses to prepare workers selected from public employment office rolls for defense industry occupations.
Refresher courses for WPA workers with previous industrial training or experience to fit them for defense industry occupations.
Supplementary courses, largely in the early evening, for defense workers already employed but in need of additional training.
Regular day-school instruction to youth preparing for skilled trades.
Part-time related training for apprentices.
Training for youth on NYA work projects.
Extension training for workers in occupations other than defense occupations.
Training for out-of-school farm and town youth in introductory trade and industrial courses.
Short course training of Army personnel in auto mechanics, cookery, clerical, and other occupations.
Regular agricultural education.
Regular home economics education.
Business education stressing training for distributive ocupations.
★ ★ ★
Joint Army and Navy committee on welfare and recreation
The War Department announces establishment of a joint Army and Navy committee on welfare and recreation with Frederic H. Osborne of New York as chairman.
The committee will advise the War and Navy Secretaries on all matters pertaining to recreation and welfare of military and naval personnel. It will work in close cooperation with private agencies and Charles P. Taft, assistant Federal coordinator of health, medical care, welfare, nutrition, recreation, and related activities.
14
* DEFENSE ★
February 18, 1941
STATE AND LOCAL COOPERATION ...
Report of the organization of 42 county councils in South Carolina; State-wide consumer committee
The South Carolina defense council, of which Dr. William P. Jacobs of Clinton is chairman, reports that by February 12, 42 county defense councils had been organized. Similar local councils are to be set up in the remaining counties, according to Maj. G. Heyward Mahon, Jr., of Greenville, who is director of the State defense council.
A State committee of six women, designated as the committee on consumer interests, was set up on February 4 at a meeting of State-wide women’s organizations, called by the State council for national defense. Mrs. A. Foster McKissick of Greenville was elected chairman. This committee expects to work locally with the consumer representatives to be appointed by the county defense councils.
Of the 42 county defense councils, those in 4 areas are particularly con-
cerned with community problems arising out of military concentrations. These areas are in Beaufort, Charleston, Richland, and Spartanburg Counties. Here the local defense councils are working with State and Federal agencies toward provision of necessary housing, health, recreational, and other facilities.
Local defense councils have been organized in the following 42 counties: Abbeville, Aiken, Anderson, Bamberg, Barnwell, Beaufort, Calhoun, Charleston, Cherokee, Chester, Chesterfield, Clarendon, Colleton, Darlington, Dillon, Dorchester, Edgefield, Fairfield, Florence, Georgetown, Greenville, Greenwood, Hampton, Horry, Kershaw, Lancaster, Laurens, Lee, Lexington, McCormick, Marion, Marlboro, Newberry, Oconee, Orangeburg, Pickens, Richland, Spartanburg, Sumter, Union, Williamsburg, and York.
First meeting of War Department insurance committee; formed to advise on insurance matters pertaining to building program
The initial meeting of the advisory committee on insurance for the War Department was held February 10-11. The committee is composed of George S. Van Schaick, formerly superintendent of insurance of the State of New York, and now vice president of the New York Life Insurance Co., chairman; Prof. S. S. Huebner, Wharton School of Finance of the University of Pennsylvania; Prof. Ralph H. Blanchard, of Columbia University; and Prof. George K. Gardner, of the Harvard Law School, who is serving on the committee in lieu of Dean James M. Landis, Harvard Law School, as previously announced.
This committee, formed to advise on all insurance matters pertaining to the present War Department construction pro-
gram, at this first meeting heard certain representatives of national mutual and stock insurance organizations. Mr. C. W. Fairchild, general manager of the Association of Casualty and Surety Executives, was spokesman for the stock companies, while Mr. A. V. Gruhn, general manager of the American Mutual Alliance, represented the Mutuals.
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Arrangements for loan to China against which the U. S. will buy strategic defense materials
Federal Loan Administrator Jesse Jones announces that arrangements have been completed on a $50,000,000 loan to China, against which the United States is purchasing $60,000,000 worth of strategic defense materials from China, including $40,000,000 in tin, $10,000,000 in tungsten, and $10,000,000 in antimony for delivery over a period of several years.
Louisiana defense council’s aid in survey of New Orleans
The defense council of Louisiana has been cooperating recently in a survey in New Orleans, and has assisted in the organization of local or district councils in 19 communities, according to a report. Chairman of the State council is Col. L. Kemper Williams.
Through a committee known as the Parish of Orleans Emergency Research Committee appointed by the Mayor of New Orleans and headed by Mr. Crawford H. Ellis, vice chairman of the State defense council, the State council actively supported a project sponsored by the city of New Orleans, to make a complete survey of all facilities and utilities of the city and to coordinate information of every character which might be used in the defense of the city of New Orleans. Several other projects have been recommended as necessary to national defense.
The council has been instrumental also in bringing together State and New Orleans municipal authorities with a view to initiating local food broadcasts to housewives as a deterrent to unwarranted price rises in commodities.
In cooperation with municipal authorities and social agencies, the council is devoting attention to securing welfare and recreational and other facilities, especially in areas where there are military or industrial concentrations.
Official local or district defense councils have been established in the following communities: Alexandria, Amite, Baton Rouge, Covington, Crowley, DeRidder, Donaldsonville, Franklinton, Houma, Jennings, Lafayette, Lake Charles, Monroe, Natchitoches, New Iberia, Opelousas, Ruston, Shreveport, and St. Martinville.
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STUDY OF BRAZIL’S MINERALS
Mr. Frank Pardee, former geologist and mining expert for the State of Michigan, is being sent by the Bureau of Mines, United States Department of the Interior, to Rio de Janeiro, where he will study problems connected with the extraction and shipment of minerals out of Brazil;
February 18, 1941
★ DEFENSE ★
15
Opportunity for 1,000 young men a month to enter Navy flight training leading to commission
Secretary of the Navy Knox announced that, effective February 15, opportunities were open for approximately 1,000 young men a month to enter flight training in the Navy as aviation cadets, leading to commissions as ensigns in the Naval Reserve and assignment to flying duty with the United States Fleet.
Candidates must be between their twentieth and twenty-seventh birthdays at the time of appointment, and must be unmarried.
They must be college graduates or must have completed not less than 2 full years of credits at a recognized 4-year college. However, consideration may be given to the applications of mature young men who have acquired the equivalent of the college requirements, provided they possess officer qualifications. Such candidates must have completed at least one-quarter of the credits required for graduation from a recognized college; and must have had at least 3 years’ experience in a responsible administrative or executive position in civil life.
Twofold need
The need for the increased number of aviation cadets in the Navy is twofold: (a) Because approximately 15,000 trained Navy pilots will be necessary to man the 10,000 planes contemplated in the Navy’s long-range aeronautical program, and (b) because upon commissioning of the newest Navy flight training center at Corpus Christi, Tex., about March 12, the Navy vzill operate 3 great flight training centers at Pensacola, Fla., Jacksonville, Fla., and Corpus Christi, Tex. It is expected that these 3 centers will receive a total monthly quota of approximately 800 student aviators.
Candidates for this training may apply at any of the 313 Navy recruiting stations and substations throughout the country. If selected they will go to one of 13 Naval Reserve aviation bases >for preliminary flight training for about 30 days. These bases are located at Boston, Mass.; New York, N. Y.; Philadelphia, Pa.; Miami, Fla.; Detroit, Mich.; Chicago, Ill.; Minneapolis, Minn.; St. Louis, Mo.; Kansas City, Kans.; Long Beach, Calif.; Oak-
TRANSPORTATION...
Little interference to civilian motorists in movement of 260th Coast Artillery from Washington, D. C., to Ft. Bliss, Tex.—108 vehicles took part
Traveling on a carefully planned schedule, a convoy of the Two Hundred Sixtieth Coast Artillery recently moved from Washington, D. C„ to Fort Bliss, Tex., with very little interference to civilian motorists on the public highways, it is reported by Mr. Ralph Budd, Commissioner in charge of the Transportation Division, National Defense Advisory Commission.
The troop convoy, which consisted of 505 officers and enlisted men, and 108 reconnaissance cars, motorcycles, and trucks, was accompanied by representatives of the American Automobile Association.
The movement was broken into two serials. Each serial was further divided into batteries, moving approximately 15 minutes apart, so that in one group there were only 20 to 30 vehicles.
Vehicles were spaced 300 or more feet apart. The few traffic tie-ups that oc-
curred seemed to be due to lack of information on the part of civilian motorists as to whether it is permissible to pass Army convoys. It is believed that the posting of “Passing is Permitted” signs on the last vehicle in the column will remedy this situation.
Passing through cities, the columns of thè Two Hundred and Sixtieth Coast Artillery broke ranks and traveled with police escorts, routing around the central business districts and causing a minimum of interference to civilian traffic.
Rail transportation for the services during January
Without disturbing regular traffic, more than 207,000 officers and men of the Army, Civilian Conservation Corps, Marine Corps, and Navy, as well as draftees, were transported by the railroads in January.
Of this number, 132,080 were transported on 385 special trains throughout the country. The remainder were handled on regular trains during the month.
The movement of these men required 633 routings, which were made by the individual railroads in cooperation with the military transportation section of the Association of American Railroads.
Of the 385 special trains operated last month, 297 were necessary to handle 103,303 officers and enlisted men of the Army; 70 were required for the movement of 22,478 members of the Civilian Conservation Corps; 7 for the movement of 4,376 members of the Marine Corps, and 11 for the movement of 1,923 members of the Navy.
In addition to these special train movements, 15,923 service men were carried on regular trains. The railroads also transported in January 59,075 selectees who were moved in small parties on regular trains from induction stations to reception centers.
land, Calif., and Seattle, Wash. Three new Reserve aviation bases will shortly be commissioned at Atlanta, Ga.; New Orleans, La.; and Dallas, Tex.
4-year service
If the preliminary flight training course is completed successfully, the student fliers will be transferred to Pensacola, Jacksonville, or Corpus Christi, where they will be appointed as aviation cadets.
Aviation cadets will be furnished all necessary uniform equipment and will receive pay and allowances amounting to $105 per month. Upon being commissioned as ensigns in the Naval Reserve, their pay and allowances amount to approximately $245 per month.
Candidates accepted for appointment as aviation cadets in the Naval Reserve are required to sign an agreement to serve for 4 years on active duty unless sooner released by the Navy Department.
16
★ DEFENSE ★
February 18, 1941
AGRICULTURE...
Mr. Gregory’s task of analyzing as rapidly as possible all facts pertaining to U. S. agricultural supplies; close cooperation with the Priorities Division
Clifford V. Gregory, associate publisher of Wallace’s Farmer, Des Moines, Iowa, has been appointed to head the priorities section of the Agricultural Division of the National Defense Commission, Chester C. Davis, Agricultural Commissioner, announced February 13.
Mr. Gregory has been one of the Nation’s outstanding farm leaders for many years, and was awarded the American Farm Bureau Federation’s medal for distinguished service to American agriculture for 1940. He is director of the Federal Reserve Bank of Chicago.
He was formerly the editor and vice president of the Prairie Farmer for 26 years, and one of the founders of the Agricultural Broadcasting Company.
To analyze supply
As chief of the priorities section for Agriculture, Mr. Gregory will work in close cooperation with E. R. Stettinius, Jr., Director of Priorities for the Office of Production Management. He will make a thorough study and analyze all the facts pertaining to agricultural supplies as rapidly as possible.
“Agriculture has a direct interest in practically all priorities,” Mr. Gregory said.
“Just how deep that interest is does not seem to be fully understood even by many people whose primary interest is farming.
“For example, farmers are deeply interested in the tinplate situation as it affects them directly through the canning industry.
“At the present time there is a tight situation in the production and utilization of zinc. This is an immediate farm problem since zinc is used in the manufacture of fences, roofing, pails, utensils, chicken feeders, brooders, and numerous other items.
Available substitutes
“One of our first steps will be an analysis of substitutes that may be
available to the farmer. It is possible to substitute other types of roofing for galvanized roofing, but substitutes for many other items in constant use on the farm are not so simple. Much research has been done on the substitution of a plastic coating on black plate instead of tin for use in the canning industry.
“In all probability, this research will lead to development of satisfactory procedure for fabricating containers for food. Although drastic changes may be necessary in our canning procedure, it is believed the problems are not insurmountable.
Looking ahead
“Spring supplies of fertilizer appear to have been taken care of since our information is that more than 75 percent of the farmers’ requirements are now in the hands of dealers with sufficient reserve on hand to supply any emergency demand.
“We are now looking ahead to next fall or spring in order to foresee and forestall, insofar as possible, any situation that might react to the disadvantage of our farmers.”
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Representative of Agriculture Division on the committee on export licensees—Dr. Galbraith
Dr. J. K. Galbraith, former chief economist of the Farm Bureau Federation, has been appointed to represent the Agricultural Division of the National Defense Commission on the inter-Departmental Committee on Export Licensees, Chester Davis, Agricultural Commissioner, announced this week.
Dr. Galbraith will serve in an advisory capacity to Brig. Gen. Russell L. Maxwell, administrator of export control, on the granting of export licensees affecting agriculture.
Dr. Galbraith is on leave of absence from Princeton University, and is a for
mer member of the faculty of Harvard University. During 1937-38, he was a Fellow of the Social Science Research Council of Cambridge University.
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Three appointments to the food supply section of the Division of Agriculture—announcements by Commissioner Chester Davis
Gerald Thorne, of Wilson & Company, Chicago, has been appointed a consultant for the food supply section of the Agricultural Division, according to an announcement February 13 by Chester Davis, Agricultural Commissioner.
Mr. Thorne will serve as a consultant for the meat and meat-products section, with particular attention to production and facilities for storing, warehousing, processing, and distribution.
Prior to his connection with Wilson & Company, Mr. Thome had served the Government as chief of the livestock section of the Agricultural Adjustment Administration, and also as an economist with the Bureau of Agricultural Economics.
Mr. Jesse W. Tapp
Jesse W. Tapp, vice president of the Bank of America, is returning to Washington to serve as consultant on food supply problems, it was announced February 13. Mr. Tapp assisted Mr. Davis in the organization of the Division.
Mr. Tapp has been prominent in the field of agriculture for many years. He joined the Department of Agriculture as an economist in the Bureau of Agricultural Economics in 1920.. He later became assistant administrator of the Agricultural Adjustment Administration in charge of marketing agreements. He was also president and director of the Federal Surplus Commodities Corporation and director of the Federal Crop Insurance Corporation.
Mr. J. N. Chilton
J. N. Chilton, head of the grain department of the Archer-Daniels-Midland Company of Minneapolis, Minn., has joined the Agricultural Division as consultant on the grain situation and the storage problem.