[Defense : Official Bulletin of the National Defense Advisory Commission. Vol. 2, No. 4]
[From the U.S. Government Publishing Office, www.gpo.gov]
★ OFFICIAL BULLETIN of the NATIONAL DEFENSE ADVISORY COMMISSION
★ Washington, D. C, Issued Weekly JAN. 28,1941 . VOL. 2, NO. 4
INDEX
Page
Agreement between Mr. Henderson and scrap zinc industry representatives _____________________________ 2
Compilation of defense contracts cleared and awarded during the week________________________________ 3
Transcript of Mr. Knudsen’s discussion with the press of many phases of the work of the Office of
Production Management_______________4-5
Awarding of contracts for construction with public funds of
2,704 additional dwelling units for industrial workers and enlisted personnel. _____________________ 6
Report on the survey of rent increases ___________________________ 7
Miss Elliott’s statement that National Defense requires business profits come through volume sales rather than high prices__________:__ 7
Assurance by Mr. Davis that food supplies in the United States promise to remain ample_____________ 8
Labor’s contribution to defense— Mr. Hillman’s address _____________ 10
West coast conference aim to establish a master agreement for labor in the shipbuilding industry_______ 11
Report on the progress of construction at Indiana Ordnance Works______11
Defense resolutions by Assembly of the Council of State Governments______________________________ 12
List of principal purchasing agencies for defense equipment_________ 14
Successful transportation of .troops and selectees without dislocation of civilian service________________ 15
Conserving the Nation’s resources through minimum of restrictions on business—address by Lieutenant Colonel Maxwell_________________ 16
The Navy’s broad program for subletting contracts to stimulate production of machine tools; summary of the week
Secretary of the Navy Knox said the Navy is undertaking a broad program to sublet contracts among small concerns to stimulate production -of machine tools and parts.
“We are ordering machine tools as rapidly as possible and tying in the small subcontractors with the prime contractors whenever possible,” the Secretary said. “The contractors assume the whole responsibility for carrying out the contract and for the subcontractors. It means spreading the work and getting quicker delivery.”
The House passed and sent to the Senate legislation designed to increase the personnel under training at the Naval Academy and provide more officers for the fleet. The bill increased from four to five the number of Annapolis appointments allowed each member of Congress, raised from 50 to 100 the number of naval reservists taken each year at Annapolis, and from 15 to 25 the number of midshipmen tfie President may appoint to the Academy.
The House also passed and sen* to the Senate the remainder of a Navy request for authority to build $1,209,000,000 of ships, shipyards, gun, and ordnance factories. The bill would authorize the Navy to—
1. Build 400 auxiliaries at a cost of $400,000,000.
2. Spend $315,000,000 to supply the shipyard facilities for these vessels and other parts of the Navy.
3. Spend $194,000,000 for more gun and armor factories to keep the supply of this equipment abreast of the shipbuilding speed-up.
Health and welfare
Federal Administrator McNutt called attention to “danger signals” affecting the Nation’s health which he said necessi
tated: (1) Additional medical service for civilians and military forces; (2) extension of scientific knowledge; (3) improvement of civilian health with special attention to curing physical defects of men eligible for military service and the men, women, and children with substandard health; (4) industrial hygiene in relation to workers in defense industries; and (5) essential medical materials be assured to meet demands in event supply is cut off.
Labor
Secretary of Labor Perkins said she would like to see “many more agreements” between employers and employees, calling for “no stoppages of-work” pending the exhaustion of all methods of conciliation, mediation, and arbitration. The Secretary pointed out that most contracts negotiated by companies and unions with the help of the Conciliation Service participated included a clause embodying this agreement.
At his Friday press conference, President Roosevelt said, considering the size of the country, he thought the delays in the defense program caused by strikes have been small and the national defense picture was very encouraging despite a few labor disputes in several plants manufacturing defense material. (See also the article on p. 10.)
“Moral embargo”
The State Department announced that the United States had advised Russia that President Roosevelt’s “normal embargo” against shipping of airplanes to Nations that bomb civilian populations is no longer considered applicable to the Soviet Union. In a letter to the Soviet Ambassador, Under Secretary Welles added “this decision is being communicated to interested American manufacturers and exporters.”
2
★ DEFENSE ★
January 28, 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.).
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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, Research 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.
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Charter rates decrease
Chartering rates on oil tankers have decreased substantially in the last month and are not expected to go as high in the next few months as they were in December, the Maritime Commission announces. The Commission noted that its announcement of December 19, that there was adequate tanker tonnage available for the needs of this country, had been borne out and that sufficient tonnage would be available for the rest of the winter.
Agreement by the scrap and secondary zinc industry to prepare a report on how thè requirements of customers may be met
Representatives of the scrap and secondary zinc industry have agreed to prepare a report on how the requirements of customers may be adequately met. Price Stabilization Commissioner Leon Henderson of the National Defense Advisory Commission announces.
Preparation of the report, which is expected to take a few days, was decided upon at a meeting of representatives of the producers of secondary zinc, and the Price Stabilization Division of the National Defense Advisory Commission, in Washington, last Thursday.
Officers of the National Association of Waste Material Dealers attended the conference and discussed the present situation in the markets for both scrap zinc and secondary zinc, the bulk metal obtained by processing the scrap.
Scrap price up
Although the price of primary zinc has remained at 7.25 cents per pound at East St. Louis for the past 4 months, some producers of secondary zinc have recently been charging premiums above the price. At the same time the price of zinc scrap, source of the secondary zinc, has jumped sharply.
It is clear that the actual tonnage of metal which has been sold above the base price is very small compared to the total sales of primary and secondary zinc. Nevertheless, these sales are undoubtedly an unsettling influence on the market. At the same time, some secondary producers and scrap dealers have contributed to the situation by “overreaching”—trying for the highest price obtainable.
Consumers anxious
In addition, consumers have been made unduly anxious by exaggerated rumors of shortages and high prices. In this connection. Price Stabilization Division officialsjpoint out that additions to the primary zinc smelting capacity of the United states in the first half of this year will amount to about 100,000 tons.
Those present at the meeting included Commissioner Henderson, C. A. Bishop and Donald Wallace of the Price Stabilization Division of the NDAC; President Harry Goldstein and Secretary Charles Haskins of the National Association of
Waste Material Dealers; and 15 representatives of both large and small producers of secondary zinc in the East and Middle West.
★ ★ ★
The specific noncombatant units to which conscientious objectors can be assigned—statement from the War Department
The War Department has announced the specific noncombatant units or installations to which conscientious objectors could be assigned, at the same time making a provision to permit any conscientious objector, through a voluntary request in writing, to be later assigned to combatant services of the Army.
Trainees whose status as conscientious objectors has/ been established will not be transferred from noncombatant to combatant service although such a classification will not prevent their reassignment to some other form of noncombatant service.
The commanding officers of units or installations receiving such personnel will be held responsible for compliance with the requirement that the individual’s as-» signment is such that he will not be required to bear arms or be trained in their use.
The field forces to which objectors can be assigned:
Any unit of the Medical Department.
Any unit of the Quartermaster Corps except those organicaly assigned to divisions or smaller units.
Decontamination companies only of the Chemical Warfare Service.
Construction units, photographic units, depot units, repair units, or pigeon units of the Signal Corps.
Any unit of the Corps of Engineers except combat units, general service units, separate battalions, pontoon battalions.
Any unit or installation of Corps Area Service Commands or War Department overhead except Replacement Center units of the Infantry, Cavalry, Field Artillery, Coast Artillery Corps, Air Corps, Ordnance Department, Armored Force, and Military Police units.
January 28, 1941
★ DEFENSE. ★
3
Compilation of contracts cleared and awarded between January 16 and 22
The following is a compilation of contracts cleared and awarded during the period January 16 to January 22, inclusive. These contracts were cleared by the National Defense Advisory Commission and awarded by the War and Navy Departments in. the approximate amount of $111,007,800.
Contracts of $500,000 or more are cleared by the Production Division of the National Defense Advisory Commision.
AIRCRAFT
Navy
Brewster Aeronautical Corp.; airplanes; Long Island, New York; $4,544,287.
EQUIPMENT AND SUPPLIES
Army
E. B. Badger & Sons; For construction and installation of equipment of a TNT and DNT plant at Sandusky, Ohio, to be operated by the Trojan Powder Co., of Allentown, Pa. (cost - plus - fixed - fee basis); Boston, Mass.; $9,388,330.
Continental Motors Corps.; ♦aeronautical engines and spare parts; Detroit, Mich.; $10,715,019^
Diamond T Motor Co.; *trucks; Chicago, Ill.; $3,112,360.
Fargo Motor Corp.; ♦trucks; Detroit, Mich.; $8,775,645.
Fargo Motor Corp.; * ambulances; Detroit, Mich.; $1,272,240.
The H. K. Ferguson Co; and the Oman Construction Co.; architect and engineer: The H. K. Ferguson Co., Cleveland, Ohio; construction of an ammunition loading plaht known as the Wolf Creek Ordnance Plant, at Milan, Tenn., to be operated by the Procter & Gamble Defense Corp., of Cincinnati, Ohio (cost - plus - fixed - fee basis); Cleveland, Ohio, and Nashville, Tenn.; $8,514,370.
Goode Construction Co. and Blythe Bros., Inc.; Construction of an airport at Charlotte, N. C. (cost - plus - fixed - fee basis); Charlotte, N. C.; $1,187,127.
The Heil Co.; * trailers and dollies; Milwaukee, Wis.; $992,550.
Humble Oil & Refining Co.; *engine fuel; Houston, Tex.; $1,416,330.
J. A. J. Construction Co.; ♦ general hospital, including utilities thereto at Fort
♦Contracts, not hitherto announced by the National Defense Advisory Commission, which have been cleared by the Defense Commission and awarded by the War and Navy Departments.
Dix, N. J.; New York, N. Y., $1,828,000.
W. E. Kirer Construction Co.; ♦supplemental contract for temporary buildings at San Diego, Calif.; San Diego, Calif.; $599,547.
T. A. Loving & Co.; *additional construction of temporary buildings at Fort Bragg, N. C. (negotiated cost-plus-fixed-fee contract); Goldsboro, N. C.; $13,861,-593.
Mason & Hanger Co.; construction of a bag-loading plant, near Pulaski, Va., to be operated by the Hercules Co., Wilmington, Del.; New York, N. Y.; $9,376,-390, (cost-plus-fixed-fee basis)/
McCloskey & Co.; architect and engineer: Graham, Anderson, Probst & White, Chicago, Ill.; * construction of air base, Borinquen Field, Puerto Rico; Philadelphia, Pa.; $4,763,750.
Nash-Kelvinator Corp.; * trailers; Detroit, Mich.; $3,063,750.
Phillips Petroleum Co.; »engine fuel; Bartlesville, Okla.; $1,043,444.30.
Shell Oil Co., Inc.; *engine fuel; New York, N. Y.; $2,530,876.88.
Standard Oil Co. of California; * engine fuel; San Francisco, Calif.; $828,980.
J. P. Stevens & Co., Inc.; * cloth, cotton, wind-resistant, 2,550,000 yards; New York, N. Y.; $1,281,375.
Tide Water Associated Oil Co.; ♦engine fuel; San Francisco, Calif.; $510,725.
W. Horace Williams Co.; architect and engineer: The Benham Engineering Co., Oklahoma City, Okla.; construction of a cantonment near Leesville, La., to be known as Camp Polk; New Orleans, La.; $7,294,227.
Navy -
The Aviation Corp. (Republic Aircraft Products Division); construction, acquisition and installation of additional plant facilities and equipment at the Aviation Corp, plant. This expansion includes the acquisition and installation of additional machinery, equipment and tools for the manufacture of aircraft engine parts; Detroit, Mich.; $532,000.
E. I. duPont de Nemours & Co., Inc.; ♦expansion of powder manufacturing facilities at the Naval Powder Factory, Indian Head, Md.; Wilmington, Del.; $3,490,000.
Lukens Steel Co.; acquisition, construction, and installation of additional plant facilities, including buildings extensions and additions and associated mechanical equipment and machinery for increasing the productive capacity of a
206-inch mill at the plant of the Lukens Steel Co.; Coatesville, Pa.; $2,160,000.
ORDNANCE EQUIPMENT
Army
Norwalk Lock Co.; *artillery ammunition components; South Norwalk, Conn.; $2,910,000.
Scovill Manufacturing Co.; ’artillery ammunition components; Waterbury, Conn.; $3,780,000.
MISCELLANEOUS
Army
New Jersey Fulgent Co., Inc.; ♦flares; Metuchen, N. J.; $639,960.
R. C. A. Mfg. Co., Inc.; *radio sets; Camden, N. J.; $594,992.70.
★ ★ ★
Executive order empowering the paroling of violators of the Selective Service Act
President Roosevelt has issued an Executive order empowering the Attorney General to parole violators of the Selective Training and Service Act on recommendation of the Selective Service Director, if they agree to undergo 12 months of training as provided by the act.
In recommending the parole of any man, the Selective Service Director must specify the status in which the parolee is to be placed, as follows: 1. Induction into the armed forces; 2. Induction into the military forces but only for noncombatant service; 3. Assignment to work of national importance under civilian direction; 4, Assignment of those special cases which do not come under any one of the first three recommendations.
Selective Service Director Dykstra said: “Ordinarily all person convicted under a Federal statute must serve at least one-third of the sentence imposed before becoming eligible for parole. The Executive order signed by President Roosevelt, therefore, is a distinct leniency to violators of the Selective Service Act, who repent of misguided or emotional actions.”
Under the order men between the ages of 21 and 36 years may be paroled only if they agree to serve their 12 months of training. Paroles will be revoked automatically if they fail to fulfill their obligation. Men or women who have been convicted of aiding or abetting violators of the act, may be paroled solely at the discretion of the Attorney General.
4
★ DEFENSE ★
January 28, 1941
Transcript of Mr. Knudsen’s conference; discussion with the press of many phases of the work of the Office of Production Management
Following is the transcript of a press conference held by William S. Knudsen, director general of the Office of Production Management on January 22. The “Q” indicates a reporter’s question. The “K” precedes Mr. Knudsen’s reply.
Q. I have just received a telegram saying the CIO goes on strike at Allis Chalmers plant, throwing 7,000 men out of work and $26 million on defense orders involved.
K. When?
Q. Today.
K. What time?
Q. The telegram was sent at 2:34 p. m.
K. I will find out.
Q. What is the general policy of the OPM in such cases?
K. We immediately get Hillman’s division working on them. So far, we have been successful in holding the stoppages down to a minimum. Mr. Hillman is in the hospital. (Isador) Lubin (assistant to Mr. Hillman) and his organization get on the job with Steelman of the Labor Department.
Q. Any plan for setting up a labor unit in OPM?
K. Hillman is getting that arranged for.
Q. Will that take the place of the labor (Labor Division) set-up in the Defense Commission?
K. I think it will be moved like we have moved production. (Division of OPM.)
Q. Would you comment further on your report at Jesse Jones’ party the other night? We assumed that it was off the record.
K. I have made one since. I spoke extemporaneously. I didn’t expect to be called on. I talked about things in general.
Q. Let’s talk about things in general.
K. Starting with what?
Tooling up
Q. If you could give us a picture of how you review the picture today.
K. The biggest part of (the) tooling-up job will be practically over the hill in April or May. I asked the National Association of Manufacturers in New York to speed the tools up. They are making progress. I am now engaged in finding out how many hours everybody is work
ing on shifts. As soon as this report is ready they can put people on. Production is getting better.' It was a little better last month. We try to get hold of the shortages whenever they appear. Raw materials and machine-tool manufacturers spread tools where they can be used to the best advantage. We do the “follow-up” as we call it in industry.
Q. One of the manufacturers reported there haVe been 14 stop orders in 2 days from Army and Navy, due to minor changes.
K. We have had the cooperation of the Army and Navy. Of course, if we find something is busting in the field, there is no need to go ahead making it. I don’t know any particular instance.
Q. This was on the coast—an aviation plant.
K. I don’t think there has been any shut-down on account of changes.
Q. For even an hour or so?
K. No. Maybe for a particular part and planes may be held up in the yard for a while, like last month.
Q. How many planes were produced in December?
K. 799.
Q. How many planes in January?
K. I can tell you the 5th of February— it takes about 5 days to know.
Q. How about an estimate now?
K. Yes, but how much is that worth? Q. Will it be better than December? K. A little better. Yes.
Plane break-down
Q. Can you give us a break-down between training and combat?
K. 40 percent training and 60 percent combat.
Q. Do you eventually expect this program to catch up with schedule?
K. Yes.
Q. To speed up the tool program 3 or 4 months, would that result in a speeding up of production? Would we get our 35,000 planes before July 1942?
K. That figure is 33 instead of 35, 19 (thousand) to United States and 14 (thousand) to British. I have not given up yet. There is no doubt but that we were slow in getting under w3y.
Q. Is that 19 to United States and 14 to British?
K. Yes.
Q. Are the Detroit plants actually in production on parts?
K. They have given all sorts of assurances that they will get right at it. Briggs (Corporation) and Murray (Corporation) are making tail assemblies.
Q. Will they turn out any finished planes under the program?
K. They don’t turn out finished planes. They turn out sections and ship them to assembly plants. The four final assembly plants will be just about finished in September or October. Martin is making B-26’s and if he can get sections he can put them together.
Reuther plan
Q. Any decision on the Reuther plan?
K. No. We are waiting till (Sidney) Hillman (Associate Director General of OPM) comes back. We will see what we can get out of it.
Q. Are the parts Briggs and Murray are turning out to be used in current plane production?
K. Douglas is using them.
Q. On present subcontracts?
K. Yes. Ford, General Motors, and Chrysler are also making parts.
Q. General Motors might then turn around and subcontract.
K. That is what we hope for.
Q. When will the assembly plants get going?
K. I think the last quarter of 1941 we ought to have something to show on some of them. I think the Kansas City (plant will start) first, then Omaha, Fort Worth, and then Tulsa.
Q. What kind of arrangements do you have for making operations under the lease-lend bill.
K. The biH has not passed.
Q. Have you any plans to take care of British needs?
K. We expect to get a schedule. To make items for them doesn’t require any particular scheme of payments. We will go to work on the schedule when we get it.
Q. How will you divide up with the British to give them theirs?
K. I suppose the OPM win have to decide if we have got enough, when we get the schedule and we can know how much.
Q. How many planes did we send to the British in December?
K. I don’t know.
Light tanks
Q. Regarding light tanks being turned out at the rate of four a day. Are any of those factories shut down for changes?
K. There were some changes and some gaps in placing orders due mainly to our
January 28, 1941
★ DEFENSE ★
5
not getting appropriations. 'Production was 38 last month and 20 odd this month.
Q. What will the production be in the Chrysler plant?
K. 10 a day on two shifts for medium tanks.
Q. You made some statement previously in this conference about expecting some reports on working shifts.
K. Yes, we expect estimates on manhours on the use of tools—how many men and shifts are working.
Q. Any need for speed in the enactment of the lease-lend bill?
K. Yes.
Q. Will the start of the new bomber (subassemblies in automobile factories) affect motor-car production?
K. No. They are not going to have, any to show.
Q. But no mechanical changes in the new automobile.
K. If you change axle, transmission, motor, it would mean a big tool program and you would not have the tools.
Q. Any plans for a tin smelter in this country?
K. I will have to find out from Stet-tinius, There is one project.
Q. One or two?
K. I don’t know. We have just switched over in the last 10 days—Raw Materials merged with the Production Division. I have been pulling back to give my attention to the three groups. I may not be entirely posted on some of these (industrial) material matters.
Bottleneck: Time
Q. What is the first bottleneck on production?
K. Time.
Q. Is there a need for rail priorities at this time?
K. No. .
Q. Someone made some mention of them at the Canners Association?
K. No; traffic handling has been all right.
Q. Is your airplane-engine production going to keep up with fuselage production?
K. About 2,400 engines of our kind—in a 1-month period.
Q. Military type?
K. Trainers and combat.
Q. Any decision on steel expansion?
K. There will be a little expansion. Mostly in electrical furnace steel. I have seen one or two projects. Mr. Gano Dunn is working on reports (on steel production),
Q. Are the reports ready?
K. I saw him at noon, but forgot to ask him (about them).
Q. Any information to indicate whether Britain (air strength) is rising in comparison to Germany?
K. I can’t answer that. We have only Beaverbrook’s statements. They are better off than if we didn’t give them any.
Q. Any trouble with zinc?
K. We thought we were running pretty close. We asked automobile manufacturers to leave off so many chromium doo-dads.
Q. Any need for smelting?
K. No. There is a shortage of skill in magnesium casting. More people (are) needed.
Q. Is the OPM resulting in greater efficiency?
K. You will be able to judge that.
Q. How do you like this Government job in comparison to private industry?
K. It’s the only one I have. I enjoy (it) and have learned a lot.
Armor plate
Q. Is the situation regarding light and heavy armor plate easing up?
K. Furnace capacity will get us by. I think we will be able to catch up for small tanks.
Q. For ships?
K. A small expansion has taken place. Bureau of Ordnance and the Navy are satisfied.
Q. Heavy forgings?
< K. You know that most heavy forgings are made by private manufacturers and Navy does its own machining. From Bethlehem I got a man who specializes in heavy forging. He is working with Mr. Biggers. The quantities involved are not so large.
Q. A while ago, you mentioned time as the chief bottleneck. Will you clarify that?
K. If we had more time, there would be no bottleneck. We are working against time.
Q. Do you share the view with some of these men who believe the next 60 days are crucial?
K. I have no first-hand information— I stick entirely to production.
Q. Do we need more steel production capacity?
K. I don’t know yet. There sure two schools of thought. Isn’t capacity enough and with conversion of capacity there will be enough.
Q. What of aluminum?
Steel capacity
K. I talked with Dunn the other day and we decided on a course of action— more forging capacity for aluminum
forging. There is no surplus. The aluminum is being built up and if steel (capacity) is not enough, we will put more in.
Q. Any priority arrangements actually operating in steel?
K. We have the Steel Priorities Committee set up now to see where priorities are needed. It is voluntary so far to give certain orders preference—there have been no mandatory orders.
Q. Have there been some priorities on a voluntary basis?
K. Yes.
Q. Breakdown of production for December?
K. I don’t think we ought to give it to you—it is 40 and 60.
Q. Thank you, Mr. Knudsen.
★ ★ ★
Authorization to establish a board of civilians to study influenza and other epidemics
Secretary of War Stimson announces he has authorized Army Surgeon General Magee to establish a board of civilian experts to study influenza and other epidemics that might hinder the Army’s expansion program.
The Secretary described the assignment as one of “the most important” and recalled World War experiences when epidemic diseases were responsible for the death of thousands of soldiers.
Mr. Stimson said the expert committee on epidemics will consist of a central body of scientists and technicians. In addition, special investigative units will be established for assignment to epidemic centers to “handle the thing on the ground,” he said.
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 and such other operating agencies as the President may from time to time determine: Division of Production, John D. Biggers, director; Division of Purchases, Donald M. Nelson, director; and Division of Priorities, Edward R. Stettinius, Jr., director.
6
★ DEFENSE ★
January 28, 1941
DEFENSE HOUSING ...
Awarding of contracts for the construction with public funds of 2,704 additional dwelling units for industrial workers and enlisted personnel; funds allocated for 54,283 units
Contracts were awarded for the construction with public funds of an additional 2,704 dwelling units for families of industrial workers and enlisted personnel, during the week ending January 21, according to C. F. Palmer, Coordinator of Defense Housing.
Besides the awarding of contracts for the additional 2,704 dwelling units, other new developments reported by Mr. Palmer included:
The total number of dwelling units for which public funds have been allocated rose to 54,283, and the number of family dwelling units completed totaled 1,035.
Of the 54,283 dwelling units for which funds have been allocated, 21,992 will be used to house civilian industrial workers, 8,696 will be for the use of families of civilian employees of the Army and Navy, and 23,595 will accommodate families of enlisted personnel.
Private industry’s pace
At the same time Mr. Palmer reported that private industry was continuing its rapid pace despite the fact that seasonal factors usually bring a lull in normal building operations. New homes started under FHA for the week ended January 18 totaled 2,597 against 2,555 the previous week, and mortgages selected for appraisal by the FHA in the same period amounted to 4,261 compared with 3,876 the week before.
A summation of the work of each agency as of last week showed:
Navy
As of January 21, the Navy had 15,-915 dwelling units under construction in vital defense areas, an increase of 1,400 units over the number reported for the previous week.
Army
The Army reported that there are now 27 developments on which intensive construction activity is taking place, with contracts negotiated and awarded for an additional 13 projects. These are
being built under the direction of Federal Works Administrator John M. Carmody through the Public Buildings Administration.
Federal Works Agency
Federal Works Agency reported the awarding of contracts for the construction of 1,110 defense housing units. These developments will be located at Tucson, Ariz.; San Rafael, Calif.; Boise, Idaho; Ayer, Mass.; and San Antonio, Tex., and will be for the occupancy of married enlisted personnel of the United States Army.
Defense Homes Corporation
Defense Homes Corporation has approved the construction of 1,944 dwelling units, location of which will be announced later.
Federal Housing Administration
Statistics announced by the FHA last week revealed that almost one-half of the families purchasing new homes last year under the FHA paid less than $25 per month to meet interest and amorti
zation of the principal on their loans. Such monthly payments are well within the reach of thousands of defense workers. FHA also reported new high records for 1940 in both the number and volume of insured modernization and repair loans. Many of these advances are used to create extra dwelling units in existing properties. Such renovations are expected ‘to contribute many extra hundreds of dwelling units for defense workers.
United States Housing Authority
Defense workers—Army and Navy enlisted men and civilian employees and their families—by next week will be living in seven defense housing projects constructed with United States Housing Authority funds.
Tenants will be moving into new defense projects at Corpus Christi, Tex.; Columbus, Ga.; East Moline, Ill.; and Mare Island, Calif.
Already occupied are similar defense housing developments at Montgomery, Ala.; Pensacola, Fla.; and Portsmouth, Va.
Note.—The Division of Coordination of National Defense Housing is now, by Executive order, in the Office for Emergency Management of the Executive Office of the President.
Status of public defense housing construction
JANUARY 21, 1941
Funds Contracts Completed
allocated awarded
Number of States and Territories___________ 40 36 5
Number of localities_______________________ 95 72 9
Number of projects_______________________ 185 107 9
Number of family dwelling units_______._____ 54, 283 32, 166 1, 035
Civilian industrial workers ____________ 21, 992 12,' 142
Other civilians: Employees of Army and
Navy_____ _____;____________________ 8, 696 4, 901 582
Married enlisted personnel_____________ 23, 595 15i 123 453
Privai a mnstnictinn FHA
Week ended Previous
Jan. 18 week
New homes started____________________________________ 2, 597 2, 555
Mortgages selected for appraisal_________________________ 4, 261 3, 876
January 28, 1941
★ DEFENSE ★
7
CONSUMER DIVISION ...
Report on increases in rents in defense areas; rises most frequent on homes renting for less than $30 a month
Rapid advarices in rents and shortages of dwellings were reported last fall in a number of areas where the influx of defense workers had greatly increased the demand for housing.
To secure more detailed information, the Consumer and Labor Divisions of the National Defense Advisory Commission and the Coordinator of Defense Housing requested the Bureau of Labor Statistics to survey changes in rents charged for representative houses and apartments during the past year in a number of these cities.
The first group of these special rent surveys, currently released, confirms reports reaching the Defense commission that rents have gone up more in some of these areas than in large cities as a whole.
Low-rent homes
These initial studies reveal that the rent advances are most frequent on homes renting for less than $30 per month, although in some of the areas covered, higher rents are also reported for more expensive homes. In all large cities there has been a tendency for some time for rentals of low-rent homes to increase more rapidly than others, the Bureau reports.
Although, in general, the increases have been most marked in lower rent homes, this is not the case in certain areas. In Paterson, N. J., for example, rent advances were most numerous for homes renting at $30 to $50, for which there appears to be a considerable demand.
0.3 percent rise
For the 33 large cities scattered throughout the United States, which are regularly surveyed by the Bureau, rents in September 1940 averaged only 0.3 percent higher than a year earlier and 0.1 percent higher than in June 1940.
The contrast in rents between the special-survey areas and other cities is illustrated by the situation in South Bend, Ind., where the average increase was 7.3 percent from October 1939 to October 1940. In Bridgeport, Conn., the increase was 2.9 percent over this period.
Other rent advances in these centers
National defense requires that business profits come through volume sales rather than high prices—Miss Elliott’s statement
National defense requires that business profits come through large volume rather than through high prices, Natignal Defense Consumer Commissioner Harriet Elliott states.
“Expanding sales volume induced by low prices will enable producers to cover costs and make fair profits,” said Miss Elliott. She urged business men to stand firm against the very great temptation to advance prices "just a little.”
“Every increase in the price of a commodity” she said, “means an increase in the cost of living, and this adds impetus to the movement for higher wages and hence higher costs and still higher prices. It develops into a vicious circle and the time to halt the movement is before it begins.”
These recommendations were embodied in a letter Miss Elliott sent to Mr. A. P. Haake, managing director of the National Association of Furniture Manufacturers, approving the stand reported taken by a number of furniture producers who are keeping prices down.
Text of letter
Commissioner Elliott’s letter to Mr. Haake follows:
“Dear Mr. Haake: I am greatly interested in your letters of December 20,1940, and January 4, 1941, with reference to
the pricing situation in the furniture industry.
“The position taken by those of your manufacturers who are holding prices down, and depending upon increased volume to absorb any higher material and labor costs through reduction in unit overhead, warrants our heartiest commendation and support. We do not, of course, expect manufacturers to sell at unremunerative levels, and it is not difficult to sympathize with sellers who have experienced a series of profitless years and once more see an opportunity for profits in the prevailing situation. It is clear, however, that sound business judgment as well as consideration of the public interest in this period of national emergency requires that, just as past losses have had their origin in slack operations and low output, profitable operation should now be sought in an increased volume of production induced by stable prices.
“Low prices and high volume can achieve full and efficient utilization, at a profit, of our total arsenal of resources. Every rise in price, no matter how slight, carries a threat of fatal price spiralling. Particularly now, while there still is time, American businessmen should stand firm against the very great temptation to advance prices ‘just a little.’ ”
were 2.4 percent in Akron, Ohio; 1.0 percent in Wichita, Kans.; 1.1 percent in Paterson, N. J. The northern New Jersey industrial area showed increases ranging from 0.2 percent for Jersey City to 1.3 percent for Elizabeth. In some of the largest cities where substantial defense orders have been placed, a greater number of homes was available for new workers and the average advance in rents has apparently not been much greater than for large cities as a group.
New tenants
Rent increases were most frequent when new tenants moved into a property, as in the Akron area where every new tenant whose rent was reported to the
Bureau of Labor Statistics paid a higher rental than the previous tenant.
A small percentage of old tenants also had their rents advanced, especially in the “Quad-city” district (Davenport, Iowa; Rock Island, Moline, and East Moline, Ill.), where nearly half of the rent increases was on homes which the same tenants had occupied for more than a year. Between October 1939 and October 1940, in Akron and Bridgeport, rents were raised for one out of every four homes.
$5 rise exceptional
Typical rent increases have been about $2.50 to $3 per month. Increases of more {Continued on page 9)
8
* DEFENSE ★
January 28, 1941
AGRICULTURE...
Assurance by Mr. Davis that food supplies in the United States promise to remain ample; agricultural problems in the offing due to demand for labor and material
“Food supplies in the United States promise to remain ample as the defense program enters its second phase,” Chester C. Davis, agricultural commissioner of the National Defense Advisory Commission, told the Farm Bureau Federation of New Hampshire holding its twenty-fifth annual meeting last week at Concord, N. H.
He pointed out that some new agricultural problems are in the offing due mainly to increased demands for labor and material.
“Our storehouses and granaries are full and our farms are producing efficiently and abundantly. No part of our defense program has been handicapped by shortages of agricultural raw materials. We have had nothing to explain away in this regard.
“Not all of our people have been as well fed as they should for the most efficient production. But the responsibility for this does not rest with the farmer as the producer of things these people need. He has provided the wherewithal for removing the handicap of hunger, and he shares with others the hope that this handicap will be removed.
“In their stride”
“Nor do I see any insurmountable problems in the supply of agricultural materials in the months ahead. There may be some places where we may need moderately expanded supplies. As men who have been on relief go back on regular payrolls, they consume more meat and dairy products. Farmers may be faced with the task of supplying increased quantities of these and similar commodities.
“I feel sure that they will be able to do this in their stride. I believe it can be done in such a way that we will improve the long-term balance of our farm production and avoid the sickening maladjustment which was the aftermath of the last war.”
As for such great staple crops as wheat, cotton, lard, and tobacco, Mr. Davis believes that the war has intensi
fied rather than relieved our surplus problem. “For these crops rather than a problem of meeting increased requirement, we still have a problem of surplus disposal and production adjustments, and, in addition, we shall have to build up our storage stocks for an indefinite period in the future.”
Rural manpower
Touching on the rural manpower available for the defense effort, Mr. Davis said that agriculture in many parts of the United States had a surplus of men available for the work of rearmament.
“During the depression years the normal migration of farin people to the cities stopped and they backed up on the land. The loss of export markets left us with a heavy surplus of idle or ineffectively used labor in the cotton, tobacco, and wheat producing areas.
“I have been much interested in seeing that this labor reserve is fully and. effectively available to the defense program. This can be done partly through scattering our new defense industries over the areas of labor surplus, and partly through making certain that training programs for defense industry are fully available to rural youth who have no opportunity to make a living on the farm.
Need for planning
“I cannot say that I am entirely satisfied with the progress so far in either of these programs. However, as we reach the point of acute labor shortages in the industrial areas, the importance of this rural labor reserve is certain to be more widely recognized. Perhaps we shall be more successful in the future than in the past.”
Mr. D^ivis stressed the need for planning the^policy of feeding Europe, when the opportunity for reconstruction presents itself.
“Starvation is an instrument of war but in the long run, civilization is not advanced by starvation. We must plan for the day when the war is over—perhaps we should even go so far as to hold
a reserve of food against that day. And when the time comes, let us find a way to make American farm supplies play their part in the reconstruction that lies ahead—let this be our promise to the hew Europe which we all hope may emerge. This will be the American farmer’s contribution to a better world order and his assurance that his products will always be used abroad?’
★ ★ ★
Probability of increased demand for food resulting from bigger pay rolls—address by
George Livingston
Increased pay rolls resulting from the defense program will mean a considerable increase iff demand for food, George Livingston, chief of the Food Supply Section of the Agricultural Division, said in a speech on “Food on the Civilian Front” delivered at the canners’ convention and allied trades in Chicago last week.
“If national income expands to 90 billion dollars—a 20-percent increase over the 1940 level—a rise of 10-15 percent in total consumer expenditure for food can be expected. Although some commodities will benefit more than others, improvement will appear in the demand for all major groups of food.
“Meats, poultry and eggs, dairy products, and most fruits and vegetables will, show relatively large increases, leading to moderate price rises despite increased supplies of some products. Cereals, fats; and oils, other than butter, potatoes, and sugar will show relatively small increases.”
Different from 1917
He pointed out that the picture today is quite different from 1917, when we had shortages in many important foods.
“Today we have surpluses in almost all of them. But we can’t afford to be too comfortable about these surpluses. We can estimate rather closely our requirements for the civilian population and for the armed forces, and also bur anticipated exports. However, there are three big unknown factors: ’
1. Possible food requirements for Brit-, ain to prosecute the war, which, we may be called upon to supply.
2. Relief requirements for devastated countries. Already some foodstuffs are being sent to Spain, Finland, Greece,
January 28, 1941
★ DEFENSE ★
9
China, and unoccupied France. How greatly such shipments will increase in the near future is anybody’s guess. If the war should terminate suddenly, our surpluses could melt away very rapidly. If we ship more than we should, our reserves might be reduced to the danger point.
3. The always present possibility of. drought and pestilence, which might produce acute shortages in many commodities.
Spice supply
Reviewing the official import statistics on the effect of war on our spice supply, Mr. Livingston said that it does not indicate many actual shortages.
“Those spices which come from the Mediterranean area—caraway, mustard, poppy seeds, sage, paprika, peppers, etc.— are in small supply and hard to get, due in part to the fact that European markets have been cut off. We may have to use some substitutes, but as long as the Orient trade routes are open we will have our condiments.”
At present we have a sufficient supply of cocoa bean and tea, but shortages of cargo space or closing of trade routes may curtail supplies and this possibly may continue firm spot prices, especially on tea.”
Studying supply
Mr. Livingston said that the Food Supply Section of the Agricultural Division is studying the whole food supply situation—taking an inventory of stocks, production possibilities, manufacturing, processing, warehousing, and distribution facilities—and setting up against these our best estimates of the requirements for the Army, Navy, civilian population, exports, European and Oriental relief. .
The section is looking at the over-all food situation and planning to meet any anticipated change in production or requirements. It also is giving serious thought to possible food control or regulation, if that should ever become necessary.
★ ★ ★
Appointment of Ben Lewis of the Consumer Division as consultant to the Priorities Division
Miss Harriet Elliott, Consumer Commissioner of the National Defense Advisory Commission, announces appointment of Ben Lewis, chief economist of the Consumer Division, as Consumer Consultant to the Priorities Division of the Office of Production Management.
Opening of Washington office by thé Advisory Committee on Wholesale Distribution to aid xooperation with the Consumer Division
To facilitate cooperation between wholesale distributors of consumer goods and the Consumer Division of the National Defense Advisory Commission, the Advisory Committee on Wholesale Distribution has opened a Washington office.
The Advisory Committee was elected by a conference of wholesaling trade representatives who met with Consumer Commissioner Harriet Elliott last November. The wholesalers committee has been perfecting machinery to discourage unwarranted price increases, speculative buying, and excessive inventories that might produce harmful effects upon consumer and national defense needs.
Price reporting
A reporting system is being set up to collect price information from a large number of business firms and Government sources. Information will also be gathered currently, on sales volume and stocks on hand. To discover short-supply items and possible substitutes, the Committee intends to make frequent spot checks of consumer goods industries in which shortages threaten.
In the interest of promoting price and supply stability, special studies will also be made, as needed, in advertising and selling policies, warehousing facilities, credit policies, wage levels, and costs in wholesale distribution.
The Committee plans to encourage maximum use of available resources by bringing about more simplification through cooperation with manufacturers, retailers, and the Bureau of Standards.
Information
The Washington office will inform national trade associations in the wholesaling field of defense developments and of ways in which the wholesaling trades can further assist the defense program and help maintain living standards.
Mrs. Helen M. Slator has been appointed secretary of the committee upon the resignation of Mr. Thomas A. Fernley, Jr., who is assistant secretary-treasurer of the National Wholesale Hardware Association. Mrs. Slator has been connected with the public relation^ department of Francis H. Leggett & Co., wholesale grocers in New York City. The
Washington office of the Committee is temporarily located at 1615 H Street NW.
The Retailers’ Advisory Committee, elected by a conference of national retail trade organizations which met with Commissioner Elliott last August, has been advancing similar objectives in the retailing industry. Mr. Walter Morrow, Secretary of the Retailers’ Advisory Committee, has established a Washington office at 1627 K Street NW.
★ ★ ★
Rent survey . . .
(.Continued from page 7)
than $5 are exceptional, the surveys reveal. Where rents are being raised it appears to be customary to advance them by approximately the same dollar amount at all rent levels. For example, a $2.50 increase may occur in homes renting for less than $20 as well as those renting for $30 or more.
Although these special rent surveys have not included a study of the number of vacant dwellings, local reports indicate that there are very few vacancies in some of these cities. Where vacancies are reported, they appear to be most numerous in dwellings renting for $40 a month or more.
Periodic surveys
Recognizing the importance of suitable living quarters at moderate rentals for defense workers, as well as for the entire population, the National Defense Advisory Commission has requested the Bureau of Labor Statistics to survey rent changes in /these areas quarterly hereafter.
In addition to the cities mentioned, rent surveys are being completed in Charleston, S. C.; Hartford, Conn.; Quincy, Mass.; Chester, Pa.; and Louisville, Ky.
Studies of the entire cost of living, including rents, are in progress in five other cities: South Bend, Ind.; Bridgeport, Conn.; San Diego, Calif.; Gadsden, Ala.; and Corpus Christi, Tex.
The rent surveys being made by the Bureau of Labor Statistics cover only rented homes designed to accommodate family units. Rooming houses, furnished houses, and furnished apartments are not included.
10
★ DEFENSE ★
January 28, 1941
LABOR DIVISION ...
Review of the present contribution of labor to defense—“has never been excelled at any time in all history”—Mr. Hillman’s speech read by Mr. Lubin
“I have no hesitancy in saying that labor’s present contribution to the defense of the Nation has never been excelled at any time in all history,” Sidney Hillman, associate director of the Office of Production Management, told the recent Fifth General Assembly of the Council xif State Governments in a speech read in Washington by Isador Lubin, Mr. Hillman’s executive assistant.
“The number of industrial disputes since last May, when the defense program was started, has declined radically as compared with the corresponding months of 1939,” Mr. Hillman said.
“Moreover, the number of strikes thus far has been considerably smaller than in the year 1916, when our factories were engaged in arming the Allies. The number has been much less than in 1917 when we were actually at war. To date 241 potential industrial disputes in defense industries have been brought to the attention of the Labor Division of the National Defense Advisory Commission.
“Of this number only two resulted in appreciable stoppages. Even these two were of short duration, one lasting seven working days and the other two.”
Keeping ahead
The Nation’s factories expanded their output by 23 percent between May and December of 1940, Mr. Hillman pointed cut.
“Despite this tremendous increase in industrial activity,” he added, “the Labor Division of the National Defense Advisory Commission, through its training program ‘on the job’ and in the Nation’s vocational schools, is keeping ahead of the labor demands of defense industries.
“As for the future,” he declared, “more than 3V₂ million man-years of skilled-worker time will be required to meet the needs of .he defense program, thus far authorized by Congress, while the total labor needs—skilled and unskilled—will be in excess of 8% million man-years.”
The magnitude of the job facing
American industry and American labor, according to Mr. Hillman, is shown by the problems to be solved by the airplane industry.
“To fulfill existing commitments for the 2% billion dollars’ worth of Army and Navy planes, parts, and plants now on contract for this country,” he said, “the industry will have to have 455,000 workers engaged in making air frames, engines, and propellers by August of this year.
“Today the industry has approximately 230,000 workers on its pay roll. Speaking conservatively, this means that if the industry is to deliver according to schedule it will have to hire an,additional 225,000 workers within the next 8 months.
Magnitude of the problem
“This figure indicates the magnitude of the training problem faced and successfully met by the Labor Division. It does not include the requirements of the manufacturers of nonmilitary aircraft and engines, nor the needs of the numerous accessories manufacturers, the naval aircraft factory at Philadelphia, or of the new plants now under construction for which delivery schedules are not yet available.
“Together, it is estimated that these will require an additional 100,000 workers before the summer is over.”
With the aid of the United States Employment Service, the Apprenticeship Committee of the Department of Labor, the United States Office of Education, and the NYA, the Labor Division, he pointed out, has been devoting the major part of its attention to meeting industry’s requirements for labor, when and where they arise.
In the early days of the defense program emphasis was placed primarily on bringing the available idle workers into contact with plants that could use their services. Since last June workers have been added to pay rolls at the rate of 300,000 per month.
Immense reserves
“Our first task, and the record has been gratifying,” Mr. Hillman continued, “has been to fit the available unemployed into jobs where they can make their best contribution to defense. With this in mind the Labor Division undertook last October to survey the existing unused plant, equipment, and labor resources of many communities where they were going to waste.
“This survey, made by trained engineers attached to the Labor Division, revealed immense reserves which could be made available for defense needs. We have stimulated the formation of more than a hundred local groups throughout the country which are making inventories of their resources with a view to using them for defense production.
“Our second task has been to provide the training needed by workers, both employed and unemployed, to equip them to be efficient producers. To assist the defense industries in meeting their needs we have established a Training-Within-Industry Program.
“Through this program the Labor Division of the Defense Commission renders advisory assistance to management in setting up programs of instruction and ‘upgrading’ for production workers and for training supervisors. These training programs are carried on by the individual concerns within their own plants. They are not compulsory. We render training assistance through the services of experienced industrial personnel mien borrowed from neighboring plants on a part-time basis.”
Preemployment training
“Hand in hand with the program of training within the plant has gone the program of preemployment training in the public vocational schools. At the present time nearly 110,000 people are enrolled in defense vocational training courses. Over 40,000 of these are enrolled in preemployed courses and 66,000 in supplemental courses.
“More than 300,000 different persons have been enrolled in preemployment and supplemental courses during the past 6 months. Of this number about 130,000 have been receiving supplemental courses which have enabled them to increase their skill and efficiency. Nor has the need for developing all-around skilled craftsmen been overlooked. To train them requires from 3 to 5 years of apprenticeship. Work in that field has been widely expanded by the United States Department of Labor in cooperation with industry and Labor.”
January 28, 1941
★ DEFENSE *
11
Aim of West Coast conference to establish master agreement covering wages, hours, and working conditions of shipbuilding industry
In an effort to establish a master agreement covering uniform wages and working conditions for the entire West Coast shipbuilding industry, a conference will be held in San Francisco, Calif., February 3, it is announced by Sidney Hillman, Associate Director General of the Office of Production Management.
The announcement follows a recommendation by the Shipbuilding Stabilization Committee after an all-day session under the chairmanship of Morris L. Cooke of Mr. Hillman’s staff.
Attending the conference in San Francisco will be representatives of all the employers and employees in the West Coast shipbuilding industry. T. L. Norton, executive secretary of the Shipbuilding Stabilization Committee, will be present as the Committee’s observer. The Navy Department and the Maritime Commission will also send observers.
Separate agreements
All yards on the West Coast now building ships are union-organized, and a master agreement, if reached, will bring uniformity regarding wages, hours, and working conditions to a situation which is now covered under a number of separate agreements.
The Shipbuilding Stabilization Committee was set up by Mr. Hillman November 27, to explore ways and means of stabilizing employment in the country’s shipyards to facilitate the most efficient production of ships for the Navy and the Maritime Commission. The Committee is composed of representatives of organized labor, the shipbuilding industry, the Navy, and the Maritime Commission.
Policy approved
At a meeting held December 5, these representatives approved a policy urging that there be no interruption of production on the part of shipyard employers and shipyard employees before all facilities at the disposal of the National Defense Advisory Commission for adjusting differences have been exhausted.
The Shipbuilding Stabilization Committee is composed of the following members: Morris L. Cooke, chairman; Harvey Brown, president of International Association of Machinists; John P. Frey, president, Metal Trades Department, A. F. of Lj John Green, president of Industrial Union of Marine & Ship
building Workers of America; Gregory Harrison, representing Pacific Coast shipyards; Admiral Emory S. Land, chairman, United States Maritime Commission; F. A. Liddell, representing Gulf Coast Shipyards; Joseph W. Powell, special assistant to the Secretary of the' Navy, representing United States Navy; Prof. H. L. Seward, representing North Atlantic & South Atlantic Coast Shipyards; H. Gerrish Smith, representing Great Lakes Shipyards; Philip H. Van Gelder, secretary of Industrial Union of Marine and Shipbuilding Workers of America; and T. L. Norton, executive secretary.
★ ★ ★
Dispatch of list of 650 prime contractors to local defense production groups to speed up the farming-out system
To speed up the farming-out system inaugurated by the Labor Division of the National Defense Advisory Commission, local defense production groups throughout the country have been sent a list of 650 firms now working on prime contracts for the Army or the Navy so that these groups could more readily solicit defense orders.
The list was compiled under the direction of Morris L. Cooke, management engineer attached to the staff of Sidney Hillman, associate director of the Office of Production Management. It contains the names and addresses, broken down by states, of all prime contractors who have received defense orders of more than $100,000 each for any of seven major types of equipment. The list covers the period from July 1 through December 30, 1940.
The categories picked were ammunition components; aircraft and parts; automotive, tanks and equipment; machinery and parts; guns and parts; ships and parts, and electrical equipment.
This list was sent out as part of the third of a series of Farming Out Bulletins which have been issued from, time to time by the Labor Division to aid the more than 100 local defense production groups being organized throughout the country to obtain defense subcontracts. The list would be used by these groups in soliciting defense orders.
Report on the rapid progress of construction at Indiana Ordnance Works near Charlestown, Ind.
The War Department announces that construction at the Indiana Ordnance Works near Charlestown, Ind., is making rapid progress under a schedule of three 8-hour shifts daily, manned by approximately 17,000 workers.
The plant is being constructed by the E. I. duPont de Nemours & Co. under a contract which was announced July 17, 1940. Assisting the duPont Co. in building the project are 30 subcontractors employing 3,300 workmen, obtained from the immediate vicinity.
No casualties
During 1 week 40 permanent buildings and 37 temporary structures were completed. The 24-hour working day is in effect for the entire area. When the current is turned on at night 12 million lumens are brought into play. Not a single casualty has been reported on the night shifts.
Of the 36 miles of railroad originally planned for the four lines of powder production, over 26 miles of 100-pound standard gage track have been laid.
Work is being expedited so that two production lines may be in operation by early spring.
A project to build a bag loading plant adjoining the site of the powder plant is now under way and arrangements are being made to convert the entire area into a safe, permanent, industrial section.
4-lane highway
A 4-lane dual highway from Charlestown to Jeffersonville, Ind., a distance of 12 miles, is to be completed early in July.
In order to solve a serious traffic problem, presented by the commuting of 12,-000 or so workers by automobile daily to and from the project, an overpass is to be built to enable workers who use the railroad to pass from the plant area to the railroad station without interfering with highway traffic or endangering their own safety.
The constructing quartermaster of the Indiana Ordnance Plant is Lt. Col. R. E. Hardy, Ordnance Department.
In order to provide adequate sewerage on the site of the powder plant now * being erected, it was found necessary to excavate the rough terrain to a depth of 30 feet.
12
* DEFENSE ★
January 28, 1941
STATE AND LOCAL COOPERATION ;..
Full resources of the States pledged for national defense; officials consider law enforcement, taxation, role of small' plants in the defense program
Recognizing the “imminent and pressing” dangers confronting democratic government the world over, the Council of State Governments closed its fifth bi-enniel assembly in Washington last week by resolving that, in furtherance of the national defense program, each State should take immediately all necessary steps to promote total defense. To this common end, the States pledged to each other and to the Nation their full resources.
Forty-six States were represented at the general assembly which met January 21-23. (See also Defense, January 22.) About 300 State officials attended. This included governors, legislators, attorneys general, members of State defense councils, and others.
In addition to the resolution on national defense, several others concerning interstate or Federal-State relations were adopted at the final session.
Use of small plants
Mr..William S. Knudsen, Director General of the Office of Production Management, in an address to the assembly January 22, pointed out the need of bringing into immediate use in the aid of defense existing, but currently unutilized, production facilities.
Following statements by members of the assembly that many small manufacturers in every State are unaware of their potential usefulness in the defense effort and will remain so unless competent individuals seek them out, examine their plants and advise them as to how to participate in the defense program, the assembly voted to recommend action by the States.
This recommendation proposed that the States “either set up new facilities of liaison between such small manufacturers and their respective councils of defense or similar bodies or use present facilities for that purpose, to the end that there be made immediately available to the National Government, the present production potential of plant and labor in the furtherance of defense.”
Trade barriers
A review of developments during 1939-40 with respect to interstate trade barriers, reported by Senator Robert E. Hendrickson of New Jersey, showed that the previous trend toward erection of State trade barriers has been reversed.
During this period such laws were repealed or vetoed in more than 20 States and, with perhaps one exception, no new trade barriers were set up. Moreover, a number of States have taken administrative action to remove such barriers.
Obstructions to the free flow of commerce between the States were condemned and resolutions adopted by the general assembly, which pointed out that “free trade among the States is imperative in the interest of national defense aind the promotion of unity.” The council of State Governments was requested by the general assembly to continue to discourage such legislation.
Health and welfare
Federal Security Administrator Paul V. McNutt addressed the assembly on problems arising in the field of health, welfare, education, recreation, and allied fields for which he has been named defense coordinator.
So far as Federal participation goes, he said, the Office of the Coordinator proposed to utilize every service of all existing agencies that touch that sector of the defense program. Where services necessary for emergency defense purposes are lacking, it is proposed to expand these established agencies rather than set up new ones.
Existing channels of cooperation—as between Federal, State, and local agencies—and the basic division of responsibility among them will be recognized and maintaiijed. And not only public but also private agencies will have their place in the program.
The Coordinator’s Office will maintain only a small staff, its major organization being upon the basis of committees representing participating agencies’
Field organization will cover the 12
geographical areas set up by the Social Security Board. The regional directors of the Social Security Board will be designated Regional Defense Coordinators, to effect necessary coordination through cooperation of the Federal agencies in each region. Since many Federal functions in the field are carried on in cooperation with State and local governments, State and local authorities may be asked to serve on regional advisory committees.
Certain aspects of Federal-State relationships in the field of public assistance were discussed by the general assembly of the Council of State Governments in connection with the report of its committee on relief.
Public assistance
The committee on relief recommended intensified occupational training of potentially employable persons. It recommended also transfer to the States of the administration of work relief and Federal reimbursement of certain percentages of relief costs. These recommendations grew out of regional meetings of State legislators and administrative officials during the past year. The Honorable Ellwood J. Turner, member of the Pennsylvania General Assembly and retiring chairman of the board of managers of the Council of State Governments, pointed out that national defense may lighten the financial burden of relief now, “but the same problems, in intensified velocity, may be waiting for us at the end of armament production and spending.”
He urged the Council to provide leadership in making plans against that time. “Not alone because of national defense, but for the welfare of all our people, we must, during the present period, train retrain, and rehabilitate those who cannot find employment in industry today.”
Financing defense
Financing national defense expenditures was discussed by the Honorable Simeon E. Leland, of Illinois, in his statement for the special committee on taxation. This statement also traced the interest of the council of State Governments in tax problems since the first interstate assembly in 1933.
Mr. Leland advocated financing national defense expenditures by loans •until practically full employment and production are reached, and then supporting defense wholly from taxation. The present revenue system of the Fed
January 28, 1941
★ DEFENSE ★
13
eral Government is geared to this end, he said, but increase in Federal income and consumption levies would be desirable when full employment and production ' are reached. Such tax increases would help prevent post-defense economic collapse.
Present reliance of States upon sales and consumption levies may obstruct this course, he added, but the difficulties they present in the development of a coordinated Federal, State, local fiscal system are not insurmountable.
If the defense effort is to attain maximum success, fiscal, monetary, and other economic policies must form a consistent whole and be followed by all levels of government, he observed.
Specifically, he urged that “all governmental activities, such as public works, that involve use of productive facilities and goods which could be used for defense, or productive power which could be diverted to defense, be immediately directed toward defense or else as drastically curtailed as possible.” Only emergency construction and emergency production of goods and services should take place.
The reason for this recommendation, he pointed out, is that governments should not compete with defense for goods and services, save in the performance of essential services, and governments should make it impossible for individuals to do so. This policy would build up a reserve demand useful when the time comes to turn from production for defense to production for the enjoyment of peace.
In line with recommendations of the council’s tax committee, the general assembly passed a resolution endorsing the recommendation in the recent report of the Treasury Department to Congress, which would provide for the establishment of a national tax commission.
Purpose of the commission would be “to explore the maze of conflicting and overlapping tax measures that exist among the Federal, State, and local governments, to the end that a comprehensive and constructive tax program may be developed for all levels of government— Federal, State, and local.”
Law enforcement
Gov. Herbert O’Conor of Maryland reported on the Federal-State conference on law enforcement problems of national defense, held in Washington in August 1940, and work of the committee set up at that time to draft so-called model State acts relative to defense problems.
These proposed acts deal with organization of State guards, control of explosives, interstate protection of public property, and prevention of sabotage. They have been sent to the States whose legislatures are meeting this year for such action as their respective lawmaking bodies deem proper.
On certain related subjects no legislation was recommended by the drafting committee. It was believed, for example, that the deputizing of special guards should be dealt with in the light of practice in a particular State. It was considered that there should be Federal, rather than State legislation for control of firearms. Recent Federal legislation was deemed adequate to cover the registration of secret organizations.
In referring to the model bills, Governor O’Conor offered assurance that the interests of labor Will be protected in this legislation.
Fifth column
Both Attorney General Robert H. Jackson and Governor O’Conor spoke of the need to be on guard against “Fifth Column” activities. The Attorney General considered the problem from its military, economic, and propaganda angles.
For protection against sabotage, the Federal Bureau of Investigation, at request of the Army and Navy, has made protection surveys of over 1,200 plants. It has provided a protective program for defense industries, utilities serving them, and for airports, docks, and shipyards. State governments are cooperating in handling such national defense problems.
The Attorney General pointed out that “all enemy propaganda tries to drive a wedge between any government that is carrying out a policy and the people without whose support it must fail.” He asserted that “danger for democracy lies not so much in totalitarian propaganda as in our failure to answer it. Already that answer is being made. It is not the synthetic product of a central propaganda bureau, but the spontaneous expression, in our free press and from our free radio, of Americans in all walks, of life.”
★ ★ ★
OHIO DEFENSE COUNCIL
Maj. Ralph D. Henderson has been named chairman of Ohio’s defense council. There are now 39 such official defense councils for the various States and the District of Columbia.
MISSOURI STATE DEFENSE COUNCIL
A Missouri State Defense Council organized in accordance with plans suggested by the National Defense Advisory Commission, has been created by executive order of Governor Lloyd C. Stark.
In making his appointments to the various offices and committee posts, Governor Stark designated that the holders of certain official positions, regardless of subsequent change, should fill the specified assignments rather than the individuals named.
The Governor of Missouri will function as chairman, the Commanding General of Missouri National Guard as vice chairman, and the Director of the State Planning Board as executive secretary.
As constituted at present those positions are assigned to Governor Stark, Brig. Gen. Lewis M. Means, and William Anderson, respectively.
Governor Stark appointed as executive vice chairman, Wilbur C. Jones, of St. Louis, prominent civic leader and past president of the St. Louis Chamber of Commerce.
Working as an executive group with the officers will be a “Functional Council.” Each member of this Council heads a division and will be assisted by a committee.
★ ★ ★ •
Announcement of special courses to train 2,000 enlisted men annually as Army officers
Secretary of War Stimson announces that beginning July 1 special courses to train 2,000 commissioned officers annually will be opened to enlisted men, including Selective Service trainees.
He said the Army planned to operate four successive courses, each lasting 3 months. A maximum number of 500 students was set for each course because of limited facilities.
The training courses will be initiated with 200 men at the Fort Benning, Ga., Infantry School; 50 at the Fort Riley, Kans., Cavalry School; 125 at the Field Artillery School, Fort Sill, Okla.; and 125 at the Coast Artillery School, Fort Monroe, Va. To be eligible, enlisted men must have 6 months’ active field service with at least 3 months of unexpired enlistment. The maximum age has been lifted, Mr. Stimson said, from 30 years to 36 years so as to provide for commissioning Selective Service trainees.
* DEFENSE ★
January 28, 1941
List of principal purchasing agencies for defense equipment for the services
The following tables list the principal purchasing agencies of the War and Navy Departments engaged in contracting for defense equipment, materials, and supplies.
The purchasing activities of the War Department are largely decentralized. The table lists the War Department agencies which are purchasing the bulk of the equipment, materials, and supplies under the national defense program. Omitted from the table are agencies making local purchases only and agencies purchasing nonmilitary items only.
The Navy Department in general adheres to a centralized purchasing system with over half of the defense equipment, materials, and supplies being contracted for from the Navy Department Headquarters in Washington. The major field purchasing agencies, however, are listed.
PRINCIPAL ARMY PURCHASING AGENCIES
Quartermaster Corps
Holabird Quartermaster Depot, Camp Holabird, Baltimore, Md.
Boston Quartermaster Depot, Army Base, Boston, Mass.
New York General Depot, Brooklyn, N. Y. Chicago Quartermaster Depot, Chicago, Hl.
Jeffersonville Quartermaster Depot, Jeffersonville, Ind.
Philadelphia Quartermaster Depot, Philadelphia, Pa.
San Antonio General Depot, Fort Sam Houston, Tex.
San Francisco General Depot, Fort Mason, San Francisco, Calif.
Seattle Quartermaster Depot, Seattle.
Wash.
Quartermaster, St. Louis, Mo.
Washington Quartermaster Depot
Washington, D. C.
Ordnance Department
Aberdeen Proving Ground, Aberdeen, Md Augusta Arsenal, Augusta, Ga.
Benicia Arsenal, Benicia, Calif.
Charleston Ordnance Depot, Charleston, S. C.
Curtis Bay Ordnance Depot, Curtis Bay Md.
Picatinny Arsenal, Dover, N. J.
Wingate Ordnance Depot, Fort Wingate, N. Mex.
Erie Ordnance Depot, LaCarne, Ohio. Raritan Arsenal, Metuchen, N. J. Ogden Ordnance Depot, Ogden, Utah, Delaware Ordnance Depot, Pedricktown, N. J.
Frankford Arsenal, Philadelphia, Pa.
Nansemond Ordnance Depot, Portsmouth, Va.
Rock Island Arsenal, Rock Island, Ill.
San Antonio Arsenal, San Antonio, Tex.
Savanna Ordnance Depot, Savanna, Ill. Springfield Armory, Springfield, Mass. Watertown Arsenal, Watertown, Mass. Watervliet Arsenal, Watervliet, N. Y.
Air Corps
Air Corps, Material Division, Wright Field, Dayton, Ohio.
Chemical Warfare Service
Edgewood Arsenal, Edgewood, Md.
Signal Corps
New York General Depot, Brooklyn, N. Y.
Chicago Quartermaster Depot, Chicago,
Ill.
Aircraft Radio Laboratory, Wright Field, Dayton, Ohio.
Signal Corps Laboratory, Fort Monmouth, N. J.
Signal Corps Photographic Laboratory, Army War College, Washington, D. C.
Corps of Engineers (Military)
Office of the Chief of Engineers, Washington, D. C.
Medical Corps
New York General Depot, Brooklyn, N. Y. St. Louis Medical Depot, St, Louis, Mo.
Coast Artillery Corps
Coast Artillery School, Fort Monroe, Va. Submarine Depot, Fort Monroe, Va,
PRINCIPAL NAVY DEPARTMENT PURCHASING AGENCIES
Naval Academy, Annapolis, Md.
Navy Yard, Boston, Mass.
Puget Sound Navy Yard, Bremerton, Wash.
Navy Yard, Charleston, S. C.
Naval Proving Ground, Dahlgren, Va.
Naval Training Station, Great Lakes, Hl.
Naval Powder Factory, Indian Head, Md.
Naval Station, Key West, Ha.
Naval Air Station, Lakehurst, N. J. Submarine' Base, New London, Conn.
Navy Purchasing Office, Newport, R. I.
Navy Purchasing Office, New York, N. Y.
Navy Supply Depot, Norfolk, Va. Naval Air Station, Norfolk, Va. Naval Air Station, Pensacola, Fla. Navy Yard, Philadelphia, Pa.
Navy Yard, Portsmouth, N. H.
Norfolk Navy Yard, Portsmouth, Va. Naval Air Station, San Diego, Calif. Naval Supply Depot, San Diego, Calif. Navy Purchasing Office, San Francisco, Calif.
Navy Department, Washington, D. C. Navy Yard, Washington, D. C.
Naval Research Laboratory, Washington, D. C.
Naval Air Station, Washington, D. C. Naval Mine Depot, Yorktown, Va.
★ ★ ★
Plan of the War Department to organize National Guard regiments similar to those in the Regular Army
The War Department has announced that infantry regiments in National Guard divisions (square) are to be organized the same as infantry regiments In Regular Army divisions (triangular), but with slightly reduced personnel. This will double the antitank weapons in each regiment, which will now have 12 37-mm. guns instead of 6, as formerly.
The total active strength of each regiment under the new tables of organization is about 3,000 enlisted men. Normally up to 10 percent of the regimental personnel are assigned to special duties, are on the sick list or are absent for other reasons. To keep each regiment at a 3,000-man strength at all times, the new tables have assigned a special 10 percent basic allotment, or roughly about 300 additional enlisted men, to each regiment.
Because of a shortage of personnel and housing, however, each National Guard regiment will be limited to a strength of 2,660 enlisted men, with no allowances for an extra 10 percent basic allotment.
This figure—2,660—was the war strength of infantry regiments under the old tables of organization. The peace strength of such regiments was 1,833 enlisted men. The new tables of organization have eliminated peace and war strengths, and provide for only one strength. The present allotted maintenance strength of National Guard Infantry regiments which have not yet been inducted into the Federal service, however, will remain at approximately 1,300 enlisted men.
January 28, 1941
* DEFENSE *
15
TRANSPORTATION...
Accomplishment of the task of transporting troops due to careful plans and cooperation of railroad officials with War Department
Ralph Budd, Commissioner in charge of the Transportation Division of the National Defense Advisory Commission, reports that the task of transporting troops and the many individuals being inducted into the Army is being accomplished without difficulty due to the careful plans which have been made and to the manner in which the railroad officials are cooperating with the transportation agencies of the War Department.
The Quartermaster Corps Commercial Traffic Branch takes charge of transporting selectees at the. bus or railroad terminals at the induction stations to reception centers.
In doing this, as well as in the movement of men from reception centers to Army posts, camps, or stations, complete cooperation between the Quartermaster Corps and the railroads is maintained. ₓ As flexibilty in moving selectees is an essential element of the program to assure swift transportation and comfort for the passengers, buses are being used to a considerable extent.
An arrangement made between the Office of the Quartermaster General and the Association of American Railroads and its several passenger associations, makes available the entire facilities of these railroads.
Transportation officers
At each induction station, as well as each reception center, there is a transportation officer to arrange and direct transportation activities. To assist him, the Association of American Railroads provides a special representative who has authority and direction to carry out the agreed arrangements for the movements of these recruits, and also to lend such other assistance as may be desired.
The Norfolk & Western Railway is arranging to operate shuttle train service for construction employees at the Radford Ordnance Works.
These trains will run from Bluefield, W. Va., to Radford, serving intermediate points, and from Roanoke to Radford,
serving intermediate points. Suitable service will be operated to handle three 8-hour shifts.
65,545 new cars
The railroads during 1940 placed in service a total of 65,545 new freight cars and on January 1, 1941, had 35,702 new cars on order.
A total of 126 steam locomotives and 293 electric and Diesel locomotives was installed during the year. There were on order on January 1, 115 steam locomotives and '91 electric and Diesel locomotives.
Movement of coal
The carload movement of coal to New England points for the year 1940 and earlier was:
1940 1939 1938
Anthracite____ 93, 646 90, 261 80, 108
Bituminous___ 101, 159 95, 986 84, 953
1937 1936 1935
Anthracite.___ 85, 449 89, 708 91, 607
Bituminous___ 99, 900 102, 221 106, 840
On January 1 the railroads reported a total freight-car ownership of 1,640,006, with 108,972 cars, or 6.8 percent of cars on line, awaiting repairs. Total serviceable car supply (ownership minus bad orders) was 1,531,034. Since September 1, 1939, there has been an increase of 105,214 in the number of serviceable freight cars available.
Average daily freight-car surplus during the quarter-monthly period ending December 28 was 129,081, of which 45,-187 were box and automobile cars and 57,383 were open-top cars.
300,000 miles of rural power lines are now available to be tapped by decentralized defense industries
Today, one of the important measures of our national strength is found in our electric power resources. And today, our power resources include thousands of miles of new rural electric distribution lines, which distribute electricity at cost in 45 States.
Some 300,000 miles of lines financed by the Rural Electrification Administration and controlled by local farm people may be tapped, and have been at many points, for defense requirements—relocation of industry, food and meat processing, military and industrial training activities, military and civil aviation needs, and conservation and forestation.
New needs
Mines, oil fields, and quarries are located in remote areas far from city power lines. Local processing of many kinds, meat packing, canning, and textile manufacturing, will prevent waste and uneconomic use of transportation facilities.
But local processing requires adequate power. With increasing restrictions upon immigration, our farm youth is the main source of new industrial labor. Relocation of plants near the labor supply eliminates at the start problems of city crowding, health, housing, and recreation.
3,500 separate establishments
To a considerable extent, rural power lines are already supplying these many defense needs. More than 3500 separate establishments, representing over 100 different industries, are today getting electricity from REA distribution systems alone besides many served from potential lines.
The great southern Illinois oil producing fields use rural power for pumping and refining. Scores of coal mines through the Pennsylvania, West Virginia, and Ohio mining area depend upon farm power. A Tennessee cement plant producing 2500 barrels a day is another large power user on REA lines.
CCC camps and NYA training schools throughout the country are training an army of new skilled workers for industry. Shop equipment, running water, lights, communications, entertainment, cooking, and refrigeration for many camps are possible because of recent rural power extensions.
16
★ DEFENSE ★
January 28, 1941
Conserving the Nation’s resources through a minimum of restrictions for business— address by Colonel Maxwell, Administrator of Export Control
Control of the Nation’s exports in the interests of national defense today is following a policy which involves a maximum of conservation of this country’s natural resources, coupled with a minimum of restrictions and regulations for business, Col. Russel L. Maxwell, administrator of Export Control, told the Export Managers Club in New York last week.
“Conservation of the Nation’s resources is rather a new subject to most Americans,” Colonel Maxwell reminded the group. “For years they have been told of their country’s wealth and riches^ how within our borders lie the world’s greatest concentration of raw materials, of agricultural products—of the physical assets by which a nation’s resources are reckoned.”
Pointing out that this country’s needs are multiplied a thousandfold when it is engaged in a. defense effort, Colonel Maxwell cited as an illustration the fact that a single ship for the Navy requires about 200,000 pounds of copper. Although this metal is produced in large amounts in this country, it will be subject to export control on and after February 3d, he said.
Ample margin
“Demand for products and need for materials cannot be measured by normal civilian or business requirements * * * but must take into account the tremendous military and naval demands superimposed upon the nonmilitary demands. Obviously, we cannot afford to gamble, but must, in the national interest, leave ample margin for unforeseen contingencies or additions to the defense program.”
Outlining the present procedure for limitation of exports, Colonel Maxwell stated that his office is advised by the Army and Navy as to needs, and by the Defense Commission and the newly organized Office of Production Management, as to available resources. Any balance represents defense items that can be safely exported, he said.
The Department of State is issuing daily some 800 licenses for exports, and every effort is being made to expedite the issue, Colonel Maxwell reported.
‘ He said that the issuance of general licenses, which recently was authorized by Executive order, will facilitate the export of items under control without jeopardizing the defense program. This procedure replaces that of issuing individual licenses.
Minimize restrictions
From the outset, the policy of the Office of Export Control has been to minimize restrictions on normal business, Colonel Maxwell asserted. “The reasons for this are two-fold: first, complete prohibition of exports, in some instances, would result in the curtailment of imports needed in our defense program; second, we want to be able to look back, when this emergency is over, and see that we have fostered foreign trade, that we have assisted American business to expand and to sell in world markets, where the selling did not interfere with our total defense efforts required at the time.”
Among the national policies influencing decisions, special consideration is given the policy of hemisphere defense, Colonel Maxwell revealed. “Our approach to this problem has meant that we are doing all we can to strengthen the defense agencies of these other great American republics lying to the south of us.”
In order that action may be expedited on applications for export, Colonel Maxwell urged that applicants make certain that the forms are properly filled out, and that instructions issued as to the units of measure be followed. He said that at present it sometimes requires 3 full weeks from the date of mailing of applications to complete action.
Fair compensation
In cases where the owners of controlled items are unable to export the items, or are unwilling or unable to dispose of them to defense activities, the War or Navy Departments, acting through the Army and Navy Munitions Board, request requisitioning. Following the physical taking over of the property, hearings are held to determine fair, and just compensation to be paid the owner.
Many shortage difficulties on “strate
gic” and “critical” materials can be traced to the draining out of this country, over the last few years, of articles, products, and materials, according to Colonel Maxwell. Prior to last July 2d, the only controls over this commerce had as their purpose the limitation of international traffic in arms.
“The major effect of this limitation was to restrict and curtail our domestic production of the weapons of defense, leaving us a scarcity of munitions, and practically eliminating the facilities for their production—facilities being feverishly built in the present crisis,” Colonel Maxwell said.
Early in 1940 the world situation forced a complete reversal of national policy in this respect and control of exports was instituted in the interests of national defense.
★ ★ ★
Expectation that six large new general hospitals will be ready for use by March 1
Construction work on six large general hospitals being built by the Army at a cost of $8,879,969 is progressing rapidly, and all of them are expected to be ready for use March 1, 1941, the War Department announces.
The six hospitals will provide 6,500 beds, which will be used for cases which it is not considered advisable to treat in camp or station hospitals.
Work on five of the hospitals already is under way, and that at Fort Benjamin Harrison, Indiana, will start as soon as acquisition of land has been completed.
The hospitals, their locations, and capacities:
Atlanta General Hospital, Atlanta, Ga., 2,000 beds; Charleston General Hospital, Charleston, S. C., 1,000 beds; New Orleans General Hospital, New Orleans, La., 1,000 beds; Fort Benjamin Harrison General Hospital, Indiana, 1,000 beds; Santa Barbara General Hospital, Santa Barbara, Calif., 750 beds, and Vancouver General Hospital, Washington, 750 beds.
★ ★ ★
NEW POLICY ON SALUTES
The War Department has ordered that, during the present emergency, salutes and honors usually rendered to officials of the Army will not be given unless requested by those officials in advance of their arrival at any camp, post, or station.
Among military officials entitled to such salutes and honors are: General of the Armies, chief of staff, a general, a lieutenant general, a major general, and a brigadier general.