Evening Star Newspaper, June 13, 1937, Page 1

WEATHER. (U. 8. Weather Buresu Porecast.) Fair, slightly warmer today; tomorrow, fair; gentle, variable winds. tures—Highest, 82, at 5 p.m. yesterday; Jowest, 56, at 4 a.m. yesterday. Full report on page A-5, (P) Means Associated Press. No. 1,682—No. 34,011. he ‘Tempera- Entered as second class matter post office, Washington, D. @. TROOPS MOBILIZED T0 GUARD MONROE; " DAVEY MAY SEEK AID OF ROOSEVELT Steel Strike Spread to All Plants of Bethlehem Pre- dicted by Union Official as Johnstown Unit Is Affected WON'T USE ARMED CITIZENS, MAYOR SAYS Michigan Trouble-Center pares for Mass Meeting Today. Walkout in Mines in Pennsyl- vania Area Is Suggested by S. W. 0. C. Regional Director. BACKGROUND— Committee for Industrial Or= ganization began steel organization campaign several weeks ago. Three independent companies, Republic, Youngstown Sheet & Tube and Inland, refused to sign and strike was called May 25. Newton plant of Republic, at Monroe, Mich., at- tempted to reopen last week. Mayor of Monroe armed citizens as special police and about a score were in- jured in clash at plant. Union an- nounced plans for “protest” meet- ing today, with thousands of C. I. O. members jrom mearby cities joining. By the Associated Press. The possibility that President Roose- Nelt may be asked to intervene in the spreading steel strike arose last night as Michigan mobilized National Guardsmen and State police to pre- vent a recurrence of violence in Mon- roe. Authoritative sources said at Colum- bus that Gov. Martin L. Davey of Ohio may appeal to the President if | his conference with company officials | and Committee for Industrial Organi- eation leaders Tuesday fails to produce &n agreement. Monroe was quiet but expectant last night, awaiting the mobilization | of 300 guardsmen and 100 State | police in preparation for a huge mass meeting in a State park 3 miles north of that Southeastern Michigan | city this afternoon. Ohio's Governor was reported to have under consideration a request that Mr. Roosevelt call officials of strike-bound steel companies and la bor leaders together unless Tuesday's | continuation of a previous conference opens the way for more than 75.000 idle steel workers to return to their | Jobs. Other Governors Approached. It also was reported in the Ohio | eapital that C. I. O. leaders were asking Governors of six other States | affected by the spreading steel mill strike to make similar appeal to the President. M. Clifford Townsend, Governor of | Indiana, upon learning of Gov. Davey's contemplated request to Presi- dent Roosevelt, ‘deferred his own plan | &0 ask Governors Davey, Frank Mur- phy of Michigan and Henry L. Horner | of Illinois to meet with him to dis- cuss the situation. Philip Murray, chairman of the | Steel Workers' Organizing Committee | of the C. I O, said at Pittsburgh | that Ohio steel concerns affected by the strike “have agreed not to at- pempt to rush any men back to work While our conferences are under way.” Murray was one of those who met &ith Gov. Davey and is to rejoin that bonference when it resumes. The United Labor Congress called a Sunday meeting at Youngstown, Ohio, to discuss the possibility of a general strike there. Andy Hubbard, chairman of the congress, charged that public officials had used unfair tactics wgainst the strikers and added “we Will not stand idly by.” Bethlehem Hit. ‘The walk-out, by which the Steel Workers' Organizing Committes sceks signed bargaining contracts, extended for the first time to a unit of the Bethlehem Steel Corp., at Johnstown, An official of the S. W. O. C. said there was “every possibility” it would spread to all plants of, that corpora- tion, second largest producer of stcel, &hich employs 80,000 men. Gov. Murphy, who mediated in (See STEEL, Page A-8.) ALICE WHITNEY HURT IN AUTO COLLISION Daughter of N. Y. Financier, Miss Shepard Injured Near Chantilly, Va. Miss Alice Whitney, 18, daughter of Richard Whitney, former president of the New York Stock Exchange, and Miss Constance Shepard, 17, both stu- Yents at the exclusive Foxcroft School At Middleburg, Va., were severely in- jured yesterday in a head-on auto- obile collision on the Lee Highway hear Chantilly, Va. The girls were en route to Washing- bon when their car collided with the Butomobile of Mr. and Mrs, E. Arnold of McLean, Va. Miss Betty Couzens, daughter of the late Senator from Michigan, and Miss Margaret Cotter, also of Washington, who chanced to be passing the scene, took the injured girls to Middleburg. They were treated by & physician there and then brought to Emergency Hospital here. Miss Shepard, daughter of Mr. and Mrs. Roger Shepard of New York, may have a fractured skull, while Miss Whitney is suffering from cuts and bruises. The parents of each were at the hospital last night. Mr. and Mrs. Arnold were brought to Georgetown Hospital by a passing motorist. Mrs. Arnold has a fractured thigh, while her husband received a broken forearm and severe lacerations, 2 Pre- The Tax Program Analysis of New Revenue Plans Reveals Threatened Inequalities, With Estimates of Yield Ranging From $6,000,000 to $14,000,000. HUNTED back and forth between the House District Committee S and the District Building for almost two months and a half; written and then rewritten many times to include somebody’s newest idea and to discard the older one, the long-awaited tax program for the District comes before the House for action to- morrow. - The program is designed to overcome a deficit in the general fund resulting from reductions in the Federal payment to the National Capital or failure to increase it in proportion to the in- creased ,revenues demanded by new Government functions and growth of the city. The program itself is contained in an 80-page omnibus tax bill which presents five separate plans for new taxes, plus pro- visions for effecting more stringent enforcement of existing taxes. Nobody knows definitely what the program will yield, the estimates ranging between about $6,000,000 to more than $14,000,000 —depending on what is included in the estimate and how it is made. The one thing definitely known about the new tax measures is that their enforcement would demand a great increase in the |number of employes at the District Building, for which no pro- vislon has beén made. No public hearings were held on the omnibus tax bill, which was rushed to completion last week and sent to the House with a report merely outlining the provisions of the new tax schemes. Handicapped by inability to obtain definite information on specific provisions, either at the District Building or the District Committee, The Star has undertaken and presents below an analy- sis of the bill's main provisions, calling attention especially to those which appear unusual, plainly inequitable, and perhaps un- enforceable. Tax on Privilege of Doing Business. Estimates of Yield: 1. By advisers to House District Committee—$3,000,000. 2. By Washington Board of Trade—$6,000,000 to $7,000,000. 3. By District officials—"Have no means of accurate prediction.” Method and Rate of Tax: Every person, company and corporation engaging in vocation, | | profession or business for gain must be licensed, pay an annual: | fee of $10 and pay flat rate of three-fifths of 1 per cent on total of | “gross receipts” of all kinds, with no deductions for any expenses or | | losses. Banks and similar institutions are specifically exempted, | | being subject to other levies. “Labor and services” rendered for | “wage or salary” not subject to tax. [ Comment: The terms of the bill are exceedingly broad. The effects of its |operation would depend greatly on definite. regulations which | would have to be drawn by the Commissioners, or on legal interpre- | tation or court decisions. Doubt prevails ac to application of tax to many classes of business operations. In sharp contrast, there is nc doubt that the bill fairly brisiles with enforcement “teeth.” The assessor and collector would be | armed with numerous weapons to force returns, payments and actual collections. Taxpayers voice fears the flat rate on gross receipts may result | in actual or near confiscation of some businesses. District officials agree there is danger the flat rate may do harm to some and prove | light on others. The bill defines “person” to include “any individual, firm, co- | partnership, joint adventure, association, corporation (domestic 1 or foreign), trust, estate, receiver, or any other group or combina- tion acting as a unit.” The term “business” is defined to include “the carrying on or exercising for gain or economic benefit, either direct or indirect, any trade, business profession, vocation, or commercial activity in the District not including, however, labor or services rendered | by an individual for wage or salary.” It is to be noted that the exemption of wages and salaries | for labor and services by individuals does not include commissions. f This leaves much for determination. - Taking the definition at face value, it would indicate that the | widow selling flowers on a street corner would have to pay the | annual $10 license, plus three-fifths of 1 per cent of her gross receipts. By one interpretation, the taxi driver would be subject to the tax, even if he didn’t own the cab, if it were ruled he renderd contractual service and not service for “wage or salary.” It appears more certain the cab driver who owns his taxi would have to pay the tax. Traveling Salesmen, Huckster, Too. There is the question of the application of the tax to the travel- ing salesman—if the assessor can catch up with him. In many | instances the salesman receives only a commission on sales. He would not be the owner of the property in many instances, merely the owner’s agent. But he would be following a vocation for gain and be subject to the tax unless his commission was ruled to be “wage or salary.” Some legal advisers, however, say the real estate broker un- doubtedly would be taxed on sales of property owned by his clients. This is a major part of the business of numerous real estate dealers. From the District Building comes the suggestion it is the intention toapply the tax to such real estate dealers. It appears the huckster selling vegetables would be caught. The levy would apply to the “doctor, lawyer, merchant” and per- haps even to the thief of the old rhyme, if the heavily-armed assessor could lay hands on his gross receipts. Certainly, it would apply to the “butcher, the baker and the candlestick-maker.” The bill defines gross receipts to mean the gross receipts “received from any business in the District of Columbia, including cash, credits, and property of any kind or nature, without any deduction therefrom on account of the cost of the property sold, the cost of materials, labor, or services or other costs, interest, or discount paid, or any other expenses whatsoever.” The term “credits” may have a legal meaning, but prospective taxpayers in various kinds of business in which there are compli- cated financial or property transactions anticipate the Commis- sioners will have to draw definitions and regulations to clarify many kinds of accounts. No Exemptions to Equalize Burden Are Included. The bill lacks provisions incorporated in business privilege tax laws of some cities and States which were intended to prevent inequities. The New York City law carries a rate of one-tenth of 1 per cent on gross receipts and allows an exemption up to $15,000 on the receipts. It applies to professions and vocations as well as business, but the exemption lifts the burden from the “little man.” Recognizing a difference among business lines, it carries a separate rate of one-fifth of 1 per cent for finance business (with an exemp- tion up to $5,000), but this is applied not to gross receipts, but to “gross income.” This makes a huge difference in the tax. Suppose a financial house made a loan of $1,000 at 6 per cent. The gross recipts, on payment of the loan, would be $1,060. The gross incame would be $60. In the New York law, financial business is intended to include the services and transactions of private banks, bankers, dealers and brokers in money credits, commercial paper, bonds, notes, securities and stocks and monetary metals. West Virginia has a business privilege tax, but it is radically different from the proposed District bill. It applies to gross income instead of gross receipts and, instead of a general flat rate, it has a variety of rates selected according to the types of activities to | the waters of Chesapeake Bay, « WITH DAILY EVENING EDITION wnday St DEATH OF KEENE IS HELD SUICIOE; CASE NOT CLOSED Report of Maryland Police . Prober Mentions Murder in But One Place. STATE ATTORNEY TAKES IT UNDER ADVISEMENT Maddrix Says He Won't Accept Conclusion if Any Slaying Clues Are Unrefuted. BACKGROUND— Charles F. Keene, sr., 2100 Mas- sachusetts avenue, disappeared Jrom Norfolk-bound steamer Dis- trict of Columbia on night of May 13. Next morning his stateroom was found in disarray and blood- splotched. On May 31 Keene's body was found by Smith Island fishermen near the mouth of the Potomac. That night a coroner's jury res turned a verdict of murder. BY JAMES J. CULLINANE, Btaff Correspondent of The Star. CRISFIELD, Md, June 12.—The death of Charles F. Keene, sr., who vanished from the steamer District of Columbia with a bullet through his | brain and a weighted brief case tied | around his neck, was a suicide, State’s Attorney P. Kirk Maddrix of | Somerset County was told tonight. | Sergt. Marlin Brubaker, crack in- vestigator for the Maryland State | Police, laid before Maddrix a lengthy | report, culminating the official inves- tigation of the case. | Possibility that the 63-year-old Washington real estate man was murdered was mentioned in only one place. Maddrix sald he would take the report under advisement and reiter- ated his earlier announcement that | he would not consider the case u; long as any clues indicating murder remained unanswered. After submitting his report, Bru- baker told Maddrix that Keene could have commited suicide in the fol- lowing manner: Tied Case to Neck, Shot Self He looped. the weighted leather | brief case around his neck, after ar- | ranging his cabin to indicate & struggle, and climbed through his state room window to the narrow cat| walk outside the boat. | Holding onto the handrail above the | cat walk, Brubaker surmised, Keene shot himself through the neck slightly | to the right of the adams apple. The bullet took an upward course through the brain and fractured the roof of his skull ‘three times. ‘There was an immediate outpouring | of blood, Brubaker theorized, and be- fore Keene fell over backward into the wind carried spots of blood into the | cabin to stain Keene's bunk and wash | basin and smeared the aft deck rail aft of the window. Brubaker hastened to explain that he had not closed his investigation | and is prepared to reopen it if any | new evidence is discovered. Unable to Find Weapon. The Baltimore detective said he did | not have an opportunity to look at the strand of Marlin rope, several fen | long, which was tied around Keene's | chest under the arms. Brubaker said he had been unable | to trace the death weapon, or the owner of the automobile jack, tire iron and hammer, which were found in the brief case around the dead | man’s neck. After listing 10 reasons why Keene might have committed suicide, Bru- baker said the only motive for murder he could discover would be robbery. Flle scoffed at the robbery theory, as e revealed evidence which showed that Keene was in dire financial straits and could hav had only a small sum with him when he died. Keene’s family insists that he had at least $40 with him: when he boarded the boat. The elderly real estate man is known to have changed a $5 bill at the refreshment stand only a few hours before he vanished. His wallet was missing and his left rear pants pocket was turned inside out when his body was found. Brle(_ Case Thought His. Brubaker revealed for the first time tonight that Charles Osborne, jeweler, with whom Keene shared office space in the Union Trust Building, had par- tially identified the leather brief ease which was found around Keene’s neck. The Baltomore detective said that Osborne had told him Keene had owned a brief case similar to the old leather one before he bought a new (8ee KEENE, Page A-13.) SCHOOL BUS CRASH KILLS 3, HURTS 15 Both Vehicles Reported Demol- ished En Route to Play in Tennessee Town. By the Associated Press. LEXINGTON, Tenn., June 12.— Three persons were killed and 15 injured in a collision of two buses at nearby Scott Hill to- night. They were en route to a school play. First report gave the names of those killed as Bill Standfill, 18; Bess Standfill, 23, and Charles Stewart, 19, all of Reagan, Tenn, One bus carried 1§ passengers and the other 12. Both were reported demolished. The dead were taken {o & Lexington others schooi (Continued on Page 4, Column 2 3 ! hospital and the injured to a Jack- A 'VVAS-HINGTON, D. C, SUNDAY MORNING, JUNE 13, 1937—130 PAGES. News FIVE CENTS Full Associated Press and Wirephotos Sunday Morning and Every Afternoon. [ TEN CENTS _SUBURBS | __ELSEWHFRE _ - v w A ( Tt eahf] {l i Vi '{ AFTER THREE LONG YEARS. GENERALS SHOT SOVIET REVEALS Moscow Filled With Rumors of Other Secret Executions. ! BACKGROUND— A wave of erecutions for anti- government activity has swept So- viet Russia in recent months. Siz- teen persons were shot after the first Trotzkyist treason trial last August. Thirteen more met death in January following a second Trot- zkyist trial. In retent weeks 66 were executed in Eastern Siberia. In Southern Russia more than 20 were shot at Tiftis. By the As-ociated Press. MOSCOW, June 13.—Eight Russian army leaders, all in high repute until | only a few days ago, have been shot for treason, the governgent an- nounced early today. A terse communique issued jusi after midnight sald only tuat they had been executed yesterday. One of those who fell in the volley from the firing squad’s rifles was Marshal Michail Nikolaevich Tuk- hachevsky, vice commissar of defense until a month ago and long known as one of the Soviet Union's most brilliant military leaders. The seven others - were generals. 123 Year's Death Toll. The executions raised to at least 123 the death toll within the past year in the government's drive to stamp out all opposition within the country. Besides Tukhachevsky, those who were shot down wer Gen. A. I. Kork. former ccm- mandant of the Prunze Mili.ary Acad- emy, Russia’s “West Point Gen. I E. Takir, former commonder of the Leningrad district garrisoa, * Gen. I. P. Uborevitch, former com- mander of the army in white Russia. Gen. Robert P. Eideman, former | head of the army organization for training reservists in aviation and gas defense. Gen. B. M. Feldman, former chief of the personnel section of the gen- eral staff. Gen. V. M. Primakoff of the Khar- | koff military garrison. Gen. Kazimirovitch V. Putna, form- er military attache in Rome, Berlin and Tokio. Marshal Klementi E. Voroshiloff, commissar for defense, in a lengthy explanatory statement to the Red Army, said the executed men had con- spired to cede the Ukraine to a for- Nazis Again Try To Replace Music Of Mendelssohn By Radio to The Star. BERLIN, June 12—A new attempt to replace the music of Felix Mendels- sohn-Bartholdy, a Jewish composer, | will be made by Germany soon when Shakespeare’s “Midsummer Night's Dream” will be performed on an open- air stage at Friedrichahagen, near Berlin, with music by Leo Skipies. This composer is considered one of the most promising of young Ger- man contempomMries. When the Nazis discarded Men- delssohn’s “Jewish” music more than three years ago, Edmund Nick, a Nazi composer, tried his hand with the Shakespeare drama but he proved a failure. The National Socialist Cul- tural Association then ®mmissioned two other composers to Wwrite music | that would do justice to both Shake- speare and the Nazis. Their efforts, however, also proved unsatisfactory. (Copyright, 1937.) iClear Way Is Opened to Basque Capital, Insur- gents Claim. | Br the Associated Press | HENDAYE, Franco-Spanish Fron- | tier, June 13 (Sunday).—Spanish in- surgents early today asserted Gen Fidel Davila's advancing armies had opened a clear way crushing Basque resistance with ter- | rific artillery and aerial bombard- | ments. They declared Davila’s troops | gained control of heights surrounding | the Basque capital and began ma- | chine gunning streets. | The insurgent high command re- ported crisply: “The army is advanc- ing methodically.” A dispatch from the Bilbao front said: “The insurgents encountered only a | single instance of resistance, which was feeble, and losses were inconse- quential.” It said the Basques retreated from | their famous “iron ring” system of | fortifications, leaving the trenches full of dead and wounded. Insurgent infantry under Davila's | lieutenants, it reported, crept up upon the defenders' positions under the (See GENERALS, Page A-4.) (See SPAIN, Page A-15.) Porter Wins Star’s Marathon, Leading Rivals by Half Mile, BY W. R. McCALLUM. REASTING the tape with a final nearest rival trailed nearly a B half-mile behind. Mel Porter, beetle-browed, black-haired distance runner and subway employe from New | York, representing the Millrose A. C., late yesterday won the sixth annual National A. A. U. marathon cham- pionship, sponsored by The Evening Star. Porter's time for the 26-mile 385- yard race, run over the heated pave- ments of the Mount Vernon Boule- vard, through Potomac Park and up the length of Constitution avenue | around the Capitol and back to the finish line at the zero milestone, was 2 hours 44 minutes 42 seconds, eight minutes behind the record for the ‘Washington marathon. The 33-year- old Porter succeeds Bill McMahon of Worcester, Mass, as the national A. A. U. marathon champion. Mc- Mahon did not compete in this year’s race. Pat Dengis, long-limbed harrier “(Continued on Page B-6, Column 1.) GULDAHL WINS Ralph Guldahl, Chicago pro- fessional, finishing with a sen- sational 69, set a record score | of 281 to win the national open golf title in the tourney con- cluded yesterday on the Oake land Hills course, Birmingham, Mich. His great final drive nosed out S8am Snead of White 8ulphur Springs, W. Va, the favorite, by two strikes. Yor details see sports section, kick of speed as hLv‘ MEL PORTER. —Star Staff Photo. i FALLTO REBELS to Bilbao after | DELAY S EXPECTED . FOR COURT PLAN Senate to Begin Debate Late in June—Filibuster Seen. Report Tomorrow. | BACKGROUND— | Engendering the bitterest differ- | ence that has stirred the Senate since the League of Nations fight nearly two decades ago, President Roosevelt, in February, proposed legisiation that would add one member to the Supreme Court for every sitting justice above the age of 70. At that time it would have entailed the appointment of siz men; since then Justice Willis Van Devanter has retired. After lengthy hearing, the Sen- ate Judiciary Committe voted 10-8 against the measure. BY G. GOULD LINCOLN. The tug of war over President Roosevelt's court reorganization bill is coming soon in the Seénate. The measure will be adversely re- ported to the Senate tomorrow by the Judiciary Committee, and will be placed on the calendar immediately. pose of the general appropriation bills and the relief bill before the Senate business. Senate leaders said yes- terday they hoped to dispose finally of all the appropriation bills and the relief bill within two weeks. If that be done, the court bill debate will be- gin the latter part of June or July 1. When it will end is a very different matter. As the situation shapes up today the original bill, with its proposal to permit a maximum increase in the | Supreme Court membership to faces defeat. The administration, however, has by no means given up hope of wresting a compromise. It of a compromise. The general im- pression prevails on Capitol Hill that the truce will follow the amendments offered in committee by Hatch of New Mexicon and Logan of Kentucky, permitting the appoint- ment of one additional justice a year, when members of the court of retire- ment age fail to resign or retire. "Foes of Bill to Fight Truce. The Senate opponents of the bill to fight a compromise to a finish. Any plan that looks toward an in- crease in the Supreme Court member- the Hatch or Logan proposals or any other. 80 to the Hatch or Logan compromise, however, it is the opinion of some of the leaders that enough votes can be mustered for the compromise to put it across—provided it can be brought to a vote. Opponents of the court program have said they will talk all Summer, | if necessary, to prevent favorable ac- tion on & compromise—among them Senators Burke of Nebraska and Mc- Carran of Nevada. Th: power of a Senate filibuster, when a large group of members participate, is very great. | The advantage of the administration forces, however, lies in the fact that the present session can run right along | until next January and merge with | | the new session then, if it proves necessary to remain in session that long to get a vote. Might Delay Other Bills. Such a filibuster might tie up all other legislation, including the wages and hours bill. were laid aside, with the understand- ing that it would be taken up later, its opponents would be in a position to debate at great length the measures desired by the administration and so still further delay action on the court bill. Included among court bill op- ponents are some of the hardest fighters in the Senate, resourceful and experienced. The approaching con- test is reminiscent of the Senate fight over the Versailles treaty and the League of Nations convenant, which resulted finally in the defeat of the | treaty and the covenant. In the case of the treaty, the late President Wilson declined absolutely to accept any compromise and so lost the Senate fight. Of the general appropriation bills, | five have become law—the first de- ficiency, the Treasury and Post Office, the Navy Department, the legislative (See JUDICIARY, Page A-8.) Radio Programs, Page F-3. Complete Index, Page A-2. # Present plans, however, are to dis- | makes the court bill its unfinished | 15, | will get as much as it can in the way | Senators | —the irreconcilable groups—are ready | ship will be resisted. whether it be | If the administration is ready to | If the court bill| FIGH DUEONRLE TOMAKECITESPAY AR, OF RELEF |Bill Likely to Be Reported Tomorrow With No Change in $1,500,000,000 Total. | |COMMITTEE APPROVES LOCAL MINIMUM, 13-10 Action Taken Despite Two-Hour Parley With Hopkins Opposing Plan as Unworkable. BACKGROUND— House already has fallen into line with presidential request for $1.- 500,000,000 Federal relief appropri- ation, but Senate is now engaged in trying to trim jund or place other limitations upon its use. Con= troversy has raged over whole re= lief issue since revolt against Presi- dent’s estimate of need began while he was on Spring fishing trip. BY J. A. O'LEARY. A battle cver the rule to require States and cities to pledge 40 per cent of the cost of Works Progress Administration projects after Septem- ber 30 promises to enliven debate on the $1,500.000,000 relief appropriation bill in the Senate chis week. Although the Appropriations Com- mittee is expected to report the meas- ure tomorrow without changing the | | House total of $1.500,000,000, the 40 per cent contribution rule may have the effect of reducing W. P. A. ex- penditures for the next fiscal year, unless local authorities certify in writing their inability to provide the 40 per cent, in which case the Presi- dent would have discretion in fixing the local contribution, as at present. he division of opinion over the 40 per cent rule was reflected in the fact the committee voted it into the bill | vesterday, 13 to 10. The subcommit- tee previously had recommended it, 7 to 3. Hopkins Fails to Turn Tide. The vote came after a two-hcur conference with Harry L. Hopki in which the relief administrator reported to have opposed the iimita- i(mn as unworkable. The discussion i!alled, however, to stem the tide in favor of the amendment, which is | sponsored by Senator Byrnes, Demo- crat, of South Carolina. After defeating several compromises to fix the local percentage at 18, 20 or 25 per cent, the committee recessed | until 10 am. tomorrow. In the re- | cent past local contributions have ’A\‘erued about 16 per cent | Two major questions remain to be settled before namely The amendment of Senator Hayden, Democrat, of Arizona to extend the life of the Public Works Administra- tion for two more years, to enable it | to complete about $300.000.000 worth of approved projects. The money would be obtained from further sale of P. W. A. securities to the Reconstruction Finance Corp. and not from the new relief appropriation. An amendment by Senator McCar- ran, Democrat, of Nevada to earmark | $150.000.000 for Federal aid highway construction, which failed in the House. As to the outcome of the 40 per cent W. P. A. financing edict, there was a strong belief at the Capitol yesterday that even if the Senate adopts it, the final result wgll be a compromise in conference on & local * percentage of somewhere near 25 per cent, since the House placed no re- striction on the present discretionary authority of the relief administration. Share Varied up to 28 Per Cent. Defending his 40 per cent requires ment, Senator Byrnes declared last night that up to January 1 of this year the percentages of local con- tribution to W. P. A. projects have varied in different parts of the coun= try from 7.2 per cent for New York State, up to 28 per cent in Idaho. Senator Byrnes made the following explanation of his proposal: “If the local governments are in- terested in securing projects to fur- nish employment to those on the relief rolls and not solely because the proj- ects are desirable, they will provide the 40 per cent in materials or money, and, if they do, it will result in mak- ing available for work projects ap- proximately $2,000,000,000, which would make it unnecessary to dismiss any one now employed on W. P. A. projects. If, however, projects have been applied for in some States merel because they are desirable or because of the competition between cities, ap- plications will not Le filed and the amount of Federal funds spent will be much less than $1.500,000,000. “In addition to the $1.500,000,000 of Federal funds provided in this bil " (See RELIEF, Page A-4) the bill is reported, 14 TUGS RELEASE ' GROUNDED WARSHIP | Battleship Tennessee Anchors in Proper Position 31 Hours Late. By the Associatea Press. SAN FRANCISCO, June 12.—Four= teen tugs, aided by flood tide, pulled the battleship Tennessee from a San Francisco Bay mudbank late today and the mighty war machine anchored in her proper position 31 hours behind schedule. A day and night of tinkering, wait= ing for high tide and the removal of hundreds of tons of ammunition and stores was required to free the war= sh iarly 200 tons of large caliber shells were taken from the ship and lighters pumped an undisclosed amount ¢~ ] from her tanks. The crew . “mained aboard through= out. Officers had considered mar-« shaling the 1400 men a: portions of the vessel to “tr but finally found it unnece Three Coast Guard cutte; naval tugs and eight privately over- ated tugs performed the cme=ti-n, A