Monday, Sep. 11, 1933

Public Works

By last week Secretary of the Interior Ickes was able to make a big showing on public works. Of the $3,300,000,000 at his disposal, he had, within ten weeks, allocated about $1,400,000,000. But allocations hire no workers. Public agencies first have to sign loan agreements with the Government before they see a cent of cash. Then they have to survey their project again, advertise for bids, pick a contractor. The contractor, in turn, has to order his materials, assemble work crews. This routine explains why the flow of public works cash was still only an insignificant trickle last week and why, despite hopeful headlines, the country still has to wait weeks, perhaps months, to feel the full effects of this enormous spending program.

Last week Public Works Administrator Ickes agreed to lend the Port of New York Authority $37,500,000 at 4% with which to drive a second automobile tunnel from Manhattan (West 39th Street) under the Hudson River to New Jersey (Wee-hawken). Work was to start in 60 days.

The whole job would require about four years, directly employ about 4,000 men. The Port Authority, operator of the present Holland Tube, got $10,000,000 in quick cash to order 50,000 tons of cast iron tunnel segments, 2,000 tons of special tunnel nuts and bolts.

The Port Authority loan followed closely on the heels of another grant to New York City for the construction of a three-pronged bridge connecting Manhattan, The Bronx and Queens over Hell Gate. The Public Works Administration was ready to give the city $7,200,000 outright for this triborough span, lend it $37,000,000 more. The Triborough Bridge Authority had yet to sign its Federal loan agreement, arrange for bids on the contract. Estimated employment: 10,000.

Last week Secretary of the Navy Swanson signed contracts for 17 warships to be built in private yards, payment for which will come out of the $238,000,000 public works fund allocated to the Navy (TIME, Aug. 14). He also named some of the new craft as follows: Vincennes (heavy cruiser), Brooklyn, Savannah, Nashville, Philadelphia (light cruisers), Yorktown, Enterprise (aircraft carriers), Porpoise, Pike, Shark, Tarpon (sub-marines).

Other large public works allocations of last week: $70.000,000 for 90 river & harbor projects (commonly called "pork") to re-employ 40,000 men; $36,986,956 for flood control on the lower Mississippi River to re-employ 34,000 men; $15,415,000 for 14 irrigation projects in eight western states; $13,600,000 for navy yard improvements.

Large allotments of the last month included $14,153,108 to re-employ 8,000 men making a 6-ft. channel in the Missouri River for 387 mi. from Kansas City up to Sioux City; $63,000,000 for a hydroelectric dam on the Columbia River at Grand Coulee; $22,700,000 for a reclamation project near Casper, Wyo.; $11,500,000 for dredging a 9-ft. channel in the upper Mississippi.

Permanently pigeonholed last week was Secretary of War Dern's proposal to use $80,000,000 of public works funds to mechanize the Army, build more airplanes.

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