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Hickory Daily Record
Hickory, Catawba County, North Carolina
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Henry Ford rejects a counter proposal from the House Military Committee for developing Muscle Shoals, insisting on including the Gorgas steam plant. He warns of further efforts to save the project for the public if rejected. Secretary Weeks suggests federal agents handle negotiations.
Merged-components note: Continuation of the Henry Ford Muscle Shoals story across adjacent components with sequential reading order.
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Rejects
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Washington, June 1.—Henry Ford's modified offer received by the house military committee in reply to counter proposal for the development of Muscle Shoals was carefully considered in executive session, but no action was taken by that body when adjourned to meet tomorrow.
By the Associated Press.
Washington, June 1.—Henry Ford's reply to the counter proposal drafted by the house military committee for development of Muscle Shoals presented today by J. W. Worthington representative of Mr. Ford, immediately upon his return from Detroit where he conferred with the manufacturer.
Mr. Ford's answer made in the form of a letter to Chairman Kahn definitely rejected the provision in committee plan which eliminated steam plant at Gorgas, Ala., from properties to be disposed of by government.
"I cannot consent to eliminate the gas plant," the letter said, "because it is necessary to the economical operation of Muscle Shoals.
If revised offer for Gorgas is rejected then I must conclude that my offer has been rejected."
Ford's reply further stated that if Congress accepts my offer, we get on the job at Muscle Shoals at once, but if congress rejects it, it will be the beginning of a more determined effort on my part to save Muscle Shoals for the public.
Suggestions congress authorize some federal agents to negotiate contracts for the purchase, sale or development of the Muscle Shoals projects rather than attempt negotiations itself were made by Secretary Weeks today before the senate military committee.
The war secretary told the committee that as a "business proposition the chances of getting definite results through the present agreement were far removed."
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Story Details
Key Persons
Location
Washington, Muscle Shoals, Gorgas, Ala.
Event Date
June 1
Story Details
Henry Ford, via representative J. W. Worthington, rejects the House Military Committee's counter proposal for Muscle Shoals development because it excludes the Gorgas steam plant, essential for operations. Ford threatens intensified public efforts if rejected. Secretary Weeks advises using federal agents for negotiations.