Evening Star Newspaper, July 30, 1933, Page 41

e National News Stage - Screen Part 4—10 Pages EMPLOYMENT RELIEF ROLLS C IN PENNSYLVANIA 56,000 Families Dropped as Industrial Conditions in State Improve. JOHNSON IS TO SPEAK ‘Will Explain Recovery Program to Residents Under Auspices of State Chamber of Commerce. BY WALTER D. ROOS. Special Dispatch to The Star. HARRISBURG, Pa., July 29.—The most striking evidence of re-employ- ment in Pennsylvania thus far pro- duced was furnished by the State Emergency Relief Board this week, It announced a reduction of 56,000 families on relief lists since the high tide of 467,000 families in May. The reduction in less than two months was 12 per cent. If the same proportion pertains to the number of unemployed who have returned to work, it means that approximately 150.000 persons re- turned to pay rolls in this period. Because of the reduction in number of jobless, food relief grants again have been reduced for August by 5 per cent in Philadelphia and Allegheny County, which includes Pittsburgh, and by 15 per cent in other counties. The total grant of Federal and State relief funds for August is $5.435,856, compared to $6,700,000 a month last Spring. Plans Much Road Work. ‘To increase employment the board al- located $5,000,000 in Federal relief money to be spent in road work in $600,000 monthly instaliments until next April. This money will finance construc- tion of thin macadam surfaces on 1,000 miles of rural roads, and is in addition to the $18,891,000 Federal road money allotted to Pennsylvania by terms of the public works act. State funds will finance another program of rural road improvements to be carried on next ‘Winter to provide work at the time when outdoor employment usually lags. In Philadelphia, where the number of unemployed has been greatest, the industrial research department of the University of Pennsylvania reports 51,000 persons were given jobs in three months. In March, 421,000 persons ‘were unemployed ire the city. The list of jobless was reduced by 7,000 in April, 23,500 in May and 20,500 in June. ‘The results the Roosevelt administra- tion expects in Pennsylvania from the vational recovery program will be ex- plained to a meeting cf industrial, com. mercial, agricultural and labor repre- sentatives next Wednesday by Gen. Hugh 8. Johnson, national administra. tor. The meeting is sponsored by the State Chamber of Commerce in order to get first-hand information on kinks in the law which have been perplexing eg?loyers who must operate under codes. Support Pours In. Meanwhile pledges of support for the Tecovery program, and the stop-gap blanket code, poured in from manufac- turers and merchants in all corners of the State in a constantly increasing ide. Pay increases, in some instances as high as 200 per cent, were reported simultaneously by some of the em- ployers. Partly due to the improvement in business conditions, Gov. Gifford Pin- chot this week announced he will not call a Summer special session of the Legislature. The industrial codes’ opera- tions have removed immediate necessity for legislative action regarding child labor, maximum hours and minimum wages, which had been considered for inclusion in the scope of the con- templated session. Sufficient votes also were in sight to assure passage of an old-age pension amendment to the constitution in time to permit it to be advertised the required period before submitting it to voters for ratification in November. At the time of adjournment of the regular legislative session in May it was anticipated a special session would be necessary not later than next Spring to provide additional funds for relief of ithe unemployed. If relief requirements continue to decrease at the present rate, 'a session for that purpos may become unnecessary. An emergency meeting of the General Assembly may become im- ,perative about the end of this year, however, to enact laws to control and 1ax liquor, if repeal becomes an ac- complished fact by that time and the Federal Government does not assume «ntire control of dispensing intoxicants. Pennslyvania’s old liquor licensing law ‘was repealed in 1923 at time of adop- tion of a State enforcement act phrased to meet conditions of the Volstead period. Back Repeal Ratification. The Democratic State Committee this week threw its full power behind Pennsylvania ratification of prohibition Tepeal by directing all its county chair- men to organize local campaigns to elect repeal delegates and “‘co-operate to the fullest extent with the national ad- ministration” in its repeal stand. This Municipal Finance Studied by Illinois .Town Officials | CONCLAVE OF STATES he nday She WA?HINGTON, D. C, SUNDAY MORNING, JULY 30, 1933. GROWS AS STATES BACK R ? New Re gulations Stem Tide of Wild Trading in Grain SWEEPING REFORMS LIMIT DAILY FLUCTUATIONS IN PRICES ON WHEAT AND OTHER GRAINS Modern Methods Held| Need of City At Chicago Parley. B BY RUTHWELL DUNCAN. Bpecial Dispatch to The Star. CHICAGO, July 29.—Many of the ob- jective ills of the municipal financial mismanagement were part of the scenic setting in which was staged last week at the University of Chicago a conference of mayors, controllers, audi- tors, fiscal agents and experts in the problem of public revenue, expenditure and indebtedness. With its police and firemen unpaid for four months, its teachers unpaid for six months, and public improvements halted for lack of ds, Chicago furnished horrible ex- amples to give point to the discussion. The conference discussed many phases of the present municipal debt situation, tax delinquency and the dis- tribution of governmental revenues and functions. It represented one aspect of a movement that has aroused con- siderable interest in Illinois under the fostering hand of the political science department of the University of Chi- cago, namely, the modernizing of the local government by simplification, co- crdination and the development of sound business practices. Immensely valuable research work in that fleld has been done by the university experts, and by public finance experts under a State commission. The movement makes headway slowly against political resistance, since there are many jobs at stake, and much confusion and con- | flicting mechanism which contributes to extravagant and corrupt expendi- ture. " But the task of education is be- ing carried on with intelligence and persistence. The municipal finance conference dis- closed- the fact that conditions in II- linois are little different from those in many other States, and that general recognition is growing of the funda- mental nature of local government as a factor in those problems which causz anxiety for the taxpayer. Onz of the viclous practices com- mon in Illinols, which was emphatically condemned by the conference, is that of borrowing on anticipated revenue. Many cities, it was reported, are in serious straits today because their short term credit has been exhausted through chronic and extravagant re- sort to the tax anticipation warrant as & means of meeting current obligations. Banks are loaded with such paper, and there is no citizen market for it. The conference urged that effort should be made to place municipal gov- ernment on a cash basis by synchroni- zation of budgel making and tax col- lection. There was discussion of the practicability of instaliment tax paying, or tax paying in advance—a method by which the , citizens, rather than the banks, would ‘be the creditors of their 7 a nances itself th.r.ough consumer Traf was proposed. - But it was recognized that basically in Tlinois, and in not a few other States, the trouble lies in systems of local government so archaic that eco- nomic adjustment to modern needs is almost impossible. Illinois, for ex- ample, functions today on a funda- mental pattern of township government that is identical with that first estab- lished in New York in 1691. Economy by lopping expenditures cannot solve the problem, nor can readjustments of revenue sources, improvements in tax collection or other methods addressed to mere symptoms. Local government itself must be made efficient in mech- anism and capsbly manned, the con- ference agreed. LG 4 CONNECTICUT STUDIES APPEAL OF PRESIDENT Considerable Response Given, but No Great Enthusiasm Evidenced. Special Dispatch to The Star. HARTFORD, Conn., July 29.—Pyesi- dent Roosevelt's direct appeal for ac- ceptance of the blanket code resulted in a considerable response in Connecti- cut, but there is as yet no evidence of great enthusiasm for the proposals. A large number of employers are engaged in industries for which codes have been or are being drafted, and others are definitely waiting for further in- formation. Leading newspapers of the State editorially remark that there must be an attitude of co-operation on the part of the Recovery Administra- tion toward industry and express the fear that employers now in such finan- cial straits that they can neither reduce hours nor increase help and wages may be victims of misunderstandings through a revival of “war psychology.” ‘While there is no definite informa- tion here as to whether the State Gov- ernment is expected to subscribe to the blanket code, Commissioner of Pinance and Control Edward F. Hall has de- clared that it would be “impractical” for the State to attempt the establish- ment of a 40-hour week in the State maneuver is regarded as more than (Continued on Seventh Page. institutions where attendants are now employed on two-shift daily basis. NEW JERSEY SURVEY OF MONTH * SHOWS WORK AND PAY GAINS Industrial and Business lSpurt Accbmpanied by Sharp Increase in Building Operations. BY EDWARD M. GILROY. Bpecial Dispatch to The Star. TRENTON, N. J, July 20.—Sub- stantial gains have been made in New Jersey in the last four weeks in em- ployment and wage peyments, & sur- vey by State officials reveals. Private business and State officials alike are encouraged by the increased b * coming as it does with the national reeo;ery prm glving promise of further stim i Most important to business leaders 4s that the upward trend in the State has been steady since March and with payrolls 184 per cent and average weekly earnings 8 per cent. More than 16,000 workers have been added to industries no signs of & letdown or break. Em- |tax loyment has increased 5.7 per cent in Ehe last four weeks, payrolls have jumped 8.1 per cent and average weekly earnings 2.4 per cent over the previous month. Labor er Blunt declared the gains were based upon 679 concerns representing 56 principal manufacturing industries. Since March the gains have been im- pressive throughout the State. Factory employment has increased 10.4 per cent, $200,000 increase over April and May. The State's relief expenditures have nsiderably “more than was anticipated during the Summer months. The 5‘ diture was $1,- government. Financing a municipalit; INDIANA WAGES Reorganized State [ Headed by Al Feeney of Notre Dame Fame. BY HAROLD C. FEIGHTNER. Special Dispatch to The Star. INDIANAPOLIS, Ind., ‘With a $75,000 chalked up so far this year Indians is ytzmrlnf, to . meet .this challenge of rime with a feorganized State police force built along entirely new lines. Motivating force behind the revital- ized drive on criminality is Al Feeney, famous all-America center on the Notre Dame squad in the days when Knute Rockne was winning his spurs, and now head of the new division of public safety created by the McNutt admin- istration. For 10 years Indiana’s small State police force was more or less of a joke, Testricted by legislation to enforcement of the automobile laws alone. The last Legislature, however, withdrew it- from the secretary of State’s office and lodged it directly under the supe: of the executive, Gov. Paul V. McNutt, and endowed it with full police powers. Then Feeney was placed in control not only of the police force but of other allied bureaus which had been strung out all over the State house. * Record for Titles. As a result he holds more titles than any other man in the State govern- ment. Not only is he commissioner of police, but he directs the fire marshals, has charge of the Crimfnal Identifica- tion Bureau, handles the Motor Bus Inspection Department shifted from the Public Service Commission, co- ordinates safety measures and is the one-man State Boxing Commission. When bank bandits began using In- diana for a picnic ground this Summer Feeney realized the need of a State- wide radio system which would permit instant communication with his 175 men constantly on patrol. The State, however, had no money to spend, so the director called the bankers to- gether and talked to them Yrankly. He told them that they had invited criminals to Indiana through their carelessness in handling money, in failing to co-operate with the police and in leaving banks open during noon hours. From that developed a cam- paign for $100.000 with which to es- tablish the radio hook-up. Vigilantes Being Formed. In addition, Feeney is reorganizing the old vigilante system by enlisting the aid of citizens in every town in the State. In each community a dogen or more men will be selected who can be summoned by telephone or radio to spread a network of guards to co- operate with the mobile State. police in case of crime. A As part of his reorganization scheme (Continued on Seventh Page.) (_)n Loan Board t and the | Home Loan Bank. —Underwood & Underwood Phota. . | Ji 29— b—!u"y*lfi’b" L | | WAR UPON CRIME Police| The above scenes were taken of Trade during the recent wave of feverish buying and about drastic regulations decided upon this week by a in the “wheat pit” of the Chicago Board sel which brought m of grain erence leaders and administrative spokesmen in Washington and placed in instant effect. —A. P, Photos. MARYLAND IN FULL FORCE BEHIND RECOVERY DRIVE Governor’s Message to President Fol- lowed by Mobilizing of Industries and Business in Carrying Out Code.. BY J. C. DEPONAL Special Dispatch to The Star. ALTIMORE, July 29.—Led by Gov. Albert C. Ritchle, who wired President Roosevelt, following his Nation-wide address launching the national recovery campaign this week, that “You can count on the employers and workers of Mary- land to co-operate with you to the limit in your drive to end the depression and I will back your efforts to the best of my ability, energy and influence; we in Maryland will do our part,” the entire industrial and business world of the State has rallied to “make good” that promise. Representatives- of 125 organizations in Baltimore met here yesterday under the auspices of the Association of Com- merce, pledged their suppyri and-ap- pointed a city-wide steering committee to carry out President Roosevelt's blanket code plan. Delegates attending the meeting rep- resented every industry and business in the city and adoption of the code, it is estimated, will provide employment for several thousand persons at once, with more thousands in the future as fic- tories statt working full time, which is expected .to follow as & result of the increased - demand for commodities of all kinds. Baltimore is expected to benefit more fhan many of the manufacturing cen- ters of the country due to the diversity of manufacturing industries here, which covers' a wide range of articles, prac- nounced :|ment would fall into line as far ‘The, largest industry here is the $100,000,000 plant of the Bethlehem Steel Co. at Sparrows Point, which em- ploys sbout 25,000 workmen in normal which includes in its membership 150 | D8 of the largest stores in the city, signed the code as a body at a meeting Thurs- day and the Independent Retall Grocers’ Association with a member- ship of 3,200 also signed as a body in addition to the chain grocery stores operating about 300 establishments. Calling for an expenditure of approxi- mately $25,000,000 and employment of more than 10,000 men, the first official schedule of river and harbor projects planned for Maryland under the na- tional industrial recovery act was for- The list, proposing 10 projects, one ‘which woufin give support to approxi- tion of L mendagion of Public Works Projects for Maryland and carried the approval of Gov. Ritchie. ‘The largest project, that of widening and deepening the Chesapeake and Delayare Canal, would put 4,800 men to work, with another 1500 employed for a period of about one year. Other projects submitted for approval ‘were oonmu:flonm of an inlet between the Atlantic Ocean and Sinepuxent Bay, which would add $1,000,000 an- nually to the State’s fishing industry; deepening and wi of Knapps Narrows at ‘Tilghmans 3 “Pfi thoroughfare of Deals Island, Pai Creek on the West River and Baltimore channels from Sandy Point to Fort McHenry. $497,000 Harbor Work. ‘The program also calls for improve- ment of Annapolis Harbor at an esti- mated cost of $497,000, Honga River Howard W. Jackson an- that the municipal guvem- Tt Tew iy cmployes eataing leas are lew em| than the minimum scale under the times, while. the shipping industry here |1 represents an investment of approxi- signing the code and it is will be 100 per cent organised within & short The Retall Merchants’ Association, a R Smith and Deal Due to Split Vote of Opposition in Dem- ocratic Primary. BY R. L. C. BARRET. Special Dispgtch to The Star, RICHMOND, Va., July 29.—Virginia's eanter of ettraction at present is the gubernatorial campaign which will be decided by the Democratic primary to be held Tuesdsy. The primary nomifee is virtually certain to be the next Gov- ernor of Virginia. George C. Peery of Tazewell, former [luprvunudve: Joseph T. Deal of Nor- folk, another former Representative in the National House, and W. Worth Smith, jr., of Louisa, a State Senator, are the aspirants for the coveted plum. The campaign has failed to bring out much expression from the voters and this injects an element of uncertainty in any forecast of the result, but po- litical leaders and observers with few exceptions see Mr. Peery, candidate of the party organization, as the winner of the contest. It is conceded that if one strong man, and only one, was in the race against Mr. Beery the result would be exceed- doubtful, as there is considerable revolt in Virginia against the orgafiza- tion, but. as the situation stands, Mr. Smith and Mr. Deal are expected to split the anti-organization vote just about as evenly as it is possible to do s0. All three candidates are for repeal of the eighteenth amendment and for cther changes in the liquor laws, but Mr. Peery’s wetness is of a milder brand than that of his two opponents. The wet and dry question has played little part in the campaign. Mr. Deal and Mr. Smith have spent most of their time in attacking the organization’s record, while Mr. Peery has defended it. Virginia industrialists are mobilizing behind President Roosevelt’s national recovery plan and the State as a whole is giving wholehearted support to his . Considering that Midsummer is at hand business is holding up good. The sale of beer, which is quite general in the State, although not yet legalized by State legislation, is the earnings of drug stores, restauran and many other places and 1plo; to a lazge number of people. George W. Guy, newly- appointed Federal director for Virginia of the re-employment cervice, opened up of- fices in Richmond this week and plans a - lively re-employment campaign _for months between now and Jan- has given to the ts | While there appears to be Music - Radio Autos -Yachting |Senatorial F ight Over Fess Seen In Buckeye State Gov. White to Seek Nom- ination Against Former Gov. Vic Donahey. BY J. H. GALBRAITH. SpeciakDispatch to The Btar. COLUMBUS, Ohio, July 29.—Out of the controversy between factions of the | Democratic organization in Ohio over | the distribution of Federal patronage come inklings of a fight next year over | the party nomination for the United States senatorship, to succeed Senator 8. D. Fess. Though Gov. George White has made no utterance on the subject, it is known that he will ask for his party’s nomination. It is expected that former Gov. Vic Donahey will contest the nomination with him, and will have the support of the element of the Democrats who out among ing W. W. Durbin, who has just received appoint- ment as register of the Treasury at Wi , and former Representative M. L. Davey of Kent, who has Gov. White in every political ambition lately. Apparently Burr Gongwer, the Democratic leader in Cleveland, will Join the opponents of the Governcr. A bitter fight of this kind would be apt to leave sore places in the party no matter which faction might win, and greatly help the chances of Senator Fess for re-election. The Senator will ask his party’s nomination, and get it, no doubt, even though some of his more radical dry friends are now censurin him for® admitting that prohibition seems certain to be repealed. Seeks Political New Deal Sensing this situation, John F. Nolan of Steubenville, who is now the prin- cipal candidate for Democratic State | executive chairman to succeed Henry G. | Brunner, who resigned as soon as he | was appointed to the head of the Ohio | Home Loan Bureau, has announced his | intention, if elected, to bring about a “new deal” in the party management. | His object will be to iron out the party | differences and make it possible to pre- | sent a solid front in the campaign of next year, in which the first test of the | strength of the Roasevelt administration | with the people will be made. | In tendering his resignation as Democratic State executive cl , Brunner said he was withdrawing from active politics for good. That may, however, have been called out by the criticisms of his opponents for the State home loan position, who predicted he would use the extensive patronage coming to his hand with it in the interest of Gov. White. The Governor put through the Legislature at its recent session two measures that will largely increase the patronage of the Executive, against stout opposition of antl- tion Democrats, one of them taking the administration of the Automobile Bureau from-the See: Highway Department, whose head the Governor names, and the other estab- mhufi & State constabulary, members of which are selected by the Governor. Gov. White p;n:lynge uvm}.menue measures passe Legislature to become laws without his signature— one of them providing a 2-cent tax on beer bottle caps, and the béer interests are now denouncing him for “breaking faith” with them. The Governor says they are only tem; Tevenue measures anyhow, and he will call back the Legislature September 1 to pro- vide more revenue, the present being inadequate, and will call a second spe- cial session in January to take up the complete overhauling of the taxation system of the State. The Governor signed both the 3.2 (Continued on Seventh Page.) PROVIDENCE PLEDGES ‘SIMPLE PATRIOTISM’ Fifty Retailers Vote to Adhere to President’s Code and Not to Ad- vertise Views Until August. 1al Dispatch to The Star. PROVIDENCE, R. 1, July 29.—Fifty retailers in Providence, all members of the Retail Board of Trade, voted to ad- here to the blanket code promulgated by President Roosevelt. They called such adherence “simple patriotism,” and pledged themselves not to include it in any advertisement, and thus capitalize on it, until August 1. The effect of the blanket code, with its 35-hour and $14 minimum provisions for labor, was to send industry repre- sentatives here into a determined drive to draft individual codes for submission recovery act administration. power under which the President can enforce his blanket code, industry here feels he does not need it, but that public opinion and public action will m;ee the issue with those who do not act. Out of a strike of silk and rayon workers in the Blackstone Valley come terms of settlement which manufac- stock, Labor Department conciliator, 2 | Committee, of which Lucius of State and placing it under the State | his ECOVERY PLAN NEW YORK STARTS DEPRESSION FIGHT Federal and State Units Function With Momentum and Co-operation. LEGISLATURE TO MEET -— Many Prest*ag Problems to Be Con- sidered, Including Utilities, Relief and Liquor Control. BY THOMAS COMPERE. Special Dispatch to The Star. NEW YORK, July 29.—While the Legislature convened in extraordinary session this week for the consideration of a multitude of pressing problems, including provisions for the financial relief of municipalities, the passage of more stringent public utility regula- | tiors, laws for relief of the home mort- gage situation and a liquor control measure, various Federal and State units created to combat the depfession began to function here with greater momentum and co-ordination. The Federal Home Owners' Loan Corporation, under the direction of- Vincent Dailey, and Gov. Lehmsn’s Home and Farm Mortgage visory . East- man is chairman, now-are functioning, as is the State's first minimum wage board. Wilfred H. Winans, newly ap- pointed director of the National Re- employment Service for New York State, also has started mapping plans for the employing of workers on proj- ects to be financed from funds of the $3,300,000,000 Federal public works pro- gram. _Also, the appointment of Ed- ward J. Flynn, Secretary of State of New York and personal friend of Presi- dent Roosevelt, as regional administra- tor of the public works fund in New York, New Jersey and Pennsylvania, has given rise to the belief that there will be as little delay as possible in the launching of gigantic projects through- out this area, thereby re-employing many thousands of men during the next few months. Long Session Seen. Because of the complexity of the problems faced by the legislators it is believed that the special session will be a lorg and unusually important one. In his opening address Gov. bluntly thrust New York City's finan- cial troubles back to the doorstep of Tammany. He maintained that he would oppose stringently any move to double the State retail sales and stock transfer taxes and return most of the new revenues to cities for use in unem- ployment relief. Mayor O'Brien and associates in petitioning for the spe- cial session had urged the rise in State taxes for the benefit of muni ities, especially New York City, which must raise at least $41,000,000 in new taxes to preserve its tredit and continue un- em%l‘oynémt relief lctlv‘muAh‘ e Governor proposed the passage of a law which w‘;uld permit any mu- nicipality in the State to levy addi-’ tional municipal taxes for relief work during a period of emergency. Such problems, he held, should be met by the municipalities and not the State. This makes it clear that the Tammany- controlled officials in New York City Wwill have to take the onus for jacking up municipal taxes unless they can con- summate a makeshift alliance with uj State Republicans and override t; Governor. It is believed here that such a move would fail, since Republican leaders have announced that Tammany could welter in its own financial morass. Since a mayoralty election will be held in November, Tammany is placed in an embarrassing pesition, which promises to become more acute . Either way they go, Tammany offi are going to lose votes. If the relief work crumbles O'Brien’s chances will be dimmed considerably and if the city raises municipal taxes a heavy protest vote will go to the opposition candidate. The only easy way out for Tammany apparently has been blocked by the Governor's opposition. Refuses Tammany Demands. Gov. Lehman, in addition to refusing to accede to Tammany’s demands, went & long step in another direction by urg- ing the Legislature to grant him wide powers to_control economics in munici- palities. His plan is for the of “general legislation authors the govemor, rin the evex‘:t o't a del‘ault v?ln e part of any county, town, city, vil- lage or special improvement district, to set up a financial agent or agents, with authority to limit any expenditure of public funds by such municipality. or the incurring of any debt by it.” This would increase the Governor’s powers vastly, giving him legislal control of liquor and wines will be con- sidered. It is known that Gov. Lehman wants provision for the control of the liquor traffic made at this session, so that it will be unnecessary to call the Legislature when the eighteenth amend- It is believed that liquor control will ke placed under the urge Gen. Johnson to write into the codes for the silk and rayon industries. State Alcoholic Beverage Control Board, (Continued on Seventh Page.) DELAWARE’S PUBLIC PROJECTS WOULD COST ABOUT $28,605,510 Industrial Recovery Commission Given List Covering 4-Year Work by Wilmington C. of C. Manager BY C. E. GRAY. Special Dispatch to The Star. 'WILMINGTON, July 29.—About $28,-