Nebraska Newspapers

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and your community of which you are a vital part. ARE YOU INTEREST
ED YOU ARE! Then read this article-Read it again and YET Again
.then clip it out for future reference.
Things, Mr. Header, that you 1
—yes you, need to know. The
Omaha Guide, your servant
Invites you to read very Care
fully the following letters and
statements of facts. Ye«, It
indeed concerns your present
and future interests, doubly so.
Knowledge is Strength. Know
the facts for yourself.
If there is anything In those
letters and statements that
you don’t thoroughly under
stand. Mr. C. C. Galloway,
Publisher of The Omaha Guide,
has made a special study of all
letters and statements herein
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WE CARRY A FULL LINE
OF BONDED LIQUORS
and has held Several Conferenc
es with all parties concemel
in the above matters. Mr. Gal
loway will be in his office at
2420 Grant St., Omaha Guide
Kulldin*. every Friday from 9
a_m. to 6 p_m. on July 30,
Auk. G, 13 1943 for the purpose
of explaining any portion of
the five letters and statements
of facts that you do not thor
oughly Understand.
Again we repeat, that know
ledge is strength. Know the
truth for yourself. Head the
full contents of this article.
The Case of The
Nebr. Power Co.
Legislative Speaker <
Writes Mayor
Hon Dan B. Butler,
Mayor, City of Omaha,
Kxecutive Office,
Omaha, Nebraska.
Dear Mayor Butler:
This will acknowledge your let
ter of June 14th, In which you stale
that some opposition to the appoint
ment of a People’s Power Commis
sion Is being expressed. You ask
my views on the mutter.
My purpose, in supporting Legis
lative Bill 204 In its final form,
was to establish a process through
which the will of the people of o
muha and surrounding terrtory,
Could be adequately expressed.
The Immediate *ssi o in the Omaha
locality is whether the electric util
ity should become publicly owned,
or whether it should continue to be
privately operated. In Section 3
of the Bill, that choice is first giv
en to the Mayor and Council of O
maha, they being the elected repre
sentatives of the People most direct
ly affeted. As such representatives
It is their function to determine
whether public ownership is for
the best Interests of the people at
large, and whether a mojrity of the
People desire public ownership.
I anticipated before the Bill was
enacted into law thut there might
develop vigorous opposition to the
creation of a People’s Power Com
mission, and that this opposition
might be sufficiently strong to dis
---I
» BIO BIO LIFT
OH BVBRY SHIFT
c
*
*
4?
suade the Mayor and Council trom
proceeding with necessary steps to
accomplish public ownership. Such
opposition, if it represents the will
of a majority of the people affect
ed, should prevail. But if the op
position 1b merely the expression
of minority groups, seeking to sub
serve their private advantage con
trary to the wishes of the public
at large, then the opposition should
fail.
In order to guard against the
possibility that minority opposition
might prevent public ownership of
the electric utility in Omaha, I
sponsored Section 4 of the B'U.
That Section provdes a simple meth
-od by which the voters of the city
may require the People’s ^ower
Commission to he appointed, »o‘-|
withstanding that the Mayor d
Council have refused to act, and
may further require' that the eltc-i
trie Utility be appropriated by con
demnation proceedings In a Couit
of competent jurisdiction.
I call your attention to the fact
that the Bill did not pass with the
emergency clause attached, and
therefore will not become effective
until August 28th of this year,
With best personal regards, I am
Very truly yours,
‘Signed’ R. B. CROSBY.
Speaker of the Unicameral
Legislature.
_ I
A Question for the
People of Omaha
Who Made the Deal?
Why all the fuss about L. B.
204?
Why not leave Nebraska Power
Company as It Is?
Nebraska Power Company does
not have to be sold. And if the
present owners should be told in
the future to Sell, Omaha is under
no obligation to buy.
The following telegram to Char
les E. Starr of the International
Brotherhood of Electrical Workers
from the Securities and Exchange
Commission proevs the above state
ment:
May 31, 194S.
“CHARES E. STARR
6018 Lafayette Ave.,
Omaha. Nebraska
Relative wire May 29, 1943 con
cerning Nebraska Power Comp
any. This Commission has en
tered no order specifically re
quiring American to dispose of
Its interest in Nebraska but did
on August 22, 1942 enter an order
Under Section 11 (B) (2) of ilie
Public Utility Holding Company
Act requiring the dissolution of
American Power and Light Co.
parent holding company of Ne
braska and Directing respond
ents to submit a plan for Americ
an's liquidation. This order hae
been appealed and American has
not submitted a plan of liquida
tion. Any disposition in compli
ance with such dissolution order
may be either by sale or by dis
tribution to security holders or
some other appropriate method.
Neither the Act nor the order
obligates the City of Omaha to
purchase.
Milton H Cohen,
Securities and Exchange
Commission.
*****
WHO MADE
THE DEAL
And why this fictitious issue at
breaking faith with the legislature?
L .B. 204 was conceived in the
first place to make it Impossible for
Consumers Public Power District
(the State project) to buy Nebraska
Power Company. The following
paragraph from an editorial in tho
Omaha World-Herald, March
this year, stuted the situation, in
truth, and as the people understood
it:
“The question is simple: Shall
this great public service Cor
porat'on come under the owner
ship and Control of the com
munity it Serves, or shall :t be
come an appanage of Consum
ers, and be operated from Col
limbus, Nebraska?
L.B. 204, the new law, makes it
impossible for Consumers or any
other State project to buy Nebraska
Power Company and thus Create a
great State monopoly. Since the
law keeps Consumers out, what
else is wanted and by whom?
*****
“City Is Protected” .
SAID MAYOR and COUNCIL
The Mayor and city Commission
went on public record on May 23,
! 1942 with a formal resolution which
said in part:
“The Mayor and city commiss
ioners of the City of Omaha desire
to go on record that they have full
j confidence in the contract which
! the City now has with the Nebraska
Power Company and the American
Power and Light Company regard
ing any sale otf the local electric
Company.
“If the Nebraska Power Comp
any is going to be sold, the city
will have every opportunity to pro
tect the interests of the people of
the city.
‘There Is no genera' demand in
Omaha for the sale of the Nebras
ka Power Company. This company
has furnished our city with splen
did service an dls a fine citizen.
“The City of Omaha has an en
viable record in financial circles.
We must be careful not to jeopard
ize Omaha’s fine credit standing.’’
If anyone pormised the legislat
ive that Omaha would buy the Ne
braska Power Company and put it
into political operation even though
it DOES NOT have to be sold and
even though the state project (Con
sumers) CANNOT buy it, who made
the deal?.... Who assumed th*
authority to make the deal?..The
people of Omaha didn’t vote on it
— .the people’s only representa
tives, the City Council, didn’t make
any promises. In fact, the City
Council and the Mayor .last sum
mer. isgned a public statement in
which they said they didn’t want
the Nebraska Power Company sold.
What is it all about anyway?
LET’S LEAVE NEBRASKA
POWER AS IT IS.
“No Disposal Ordered
Issued
LEO BOZELL RECEIVES
ANSWER TO INQUIRY
U. S. Securities and Exchange
Commission,
18th and Locust Streets,
Philadelphia, Pa.
Public Utilities Division
July 10, 1943
Mr. Leo B. Bozell,
Omaha, Nebraska,
Dear Sir:—This is in further ack
nowledgement of your telegram of
July 7, 1943, in which you inquire
as to whether this Commission
issued, prior to 1941, an order re
quiring Iowa-Nebraska Light and
Power Company to dispose of any
of its properties or to otherwise
comply with the integration or cor
porate simplification provisions of
Secton 11 of the Public Utility
Holding Company Act.
As stated in my return wire, this
Commission has not issued an order
directing such action, either prior
to the date of the sale of the com
pany’s Nebraska electric propert
ies in April 1941 or thereafter.
However, 1 should like to summar
ize certain circumstances which are
related to this matter.
A 8 you probably know, lowa
Nebraska Light and Power Comp
any is a subsidiary of Continental
flas & Electric Corporation, which
is a subsidiary of The United Light
and Railways Company, which in
turn is a subsidiary of The United
Light and Power Company. All
four of the above-named holding
companies, as well as American
Light and Traction Company, are
holding companies of this holding
company System wthin the mean
ing of the Act, and are registered
| as such under said Act, Iowa-Ne
braska, while essentially an operat
ing company, has the status of a
holding company by virtue of its
ownership of all the stock of Mary
ville Electric Light and Power Co.
On March 9, 1940, the Commiss
ion instituted proceedings against
United Light and Power and its
subsidiary Companies (including
Iowa-Nebraska) for the purpose of
determining what action was nec
essary and should be required to
be taken to limit the operations of
the holding company system of
each of the registered holding com
panies (which then also included
Ulnted American Company) to a
single integrated public-utility sys
tem. together with such other busi
nesses or additional systems as
might be retained under Section
11 (b) (l) of the Act. On Decern bet
6, 1943, separate proceedings were
instituted by the Commission »
gainst the same companies am
their subsidiaries for the purpose
of determining what action should
pj>e taken by such companies ■> ef
| fectuate the corporate simp' float
| ion provisions of Section 11 00 (_'
i of the Act.
! In this latter order, th Cornmis
j that it had reasonable grounds to
sion alleged, among other tilings,
bel'eve that "The corporate struc
ture or the continued existence, or
both, of one or more of the sub
sidiary registered bolding comp
anies of United Light and Powei«
Unduly and' unnecessarily compli
cate the corporate structure of the
bolding company system.” After
considerable testimony adduced at
the public hearing subsequently
held in the matter, the Commis
sion on March 20, 1941 ,issued an
order requiring the liquidation and
dissolution of United Light and
Power itself and of United Amer
ican Company, and the Commission
reserved jurisdiction with respect
to the remaining issues in the pro
ceedings and particularly for the
purpose of considering what action
should be ordered to be taken by
the holding companies of the sys
tem with the further requirements
of Section 11 (b) (2). Tis reserva
tion applied to Iowa-Nebraska, a
mong others.
The foregoing represents, in
summary form, the status of Iowa
Nebraska in proceedings before
this Commission during the period
in which you are interested, name
ly, prior to the time of the sale by
that company in Apirl 1941, of its
electric properties in Nebraska. I
should like to repeat that at no
time eitehr prior to or subsequent
to the foregoing date has the Com
mission directed Iowa-Nebraska to
divest itself of any portion of its
properties or to otherwise effect
compliance with Section 11 (b).
The application of Section 1Kb) (1)
to the properties and assets of Iowa
Nebraska was first publicly dis
cussed by the Commission in a
statement of tentative conclusions
dated June 13, 1941, which state
ment included the following obser
vations:
“Iowa-Nebraska Light and Power
Company operates electric and gas
properties in the Southwestern
portion of the State of Iowa and
gas properties in eastern Nebras
ka. Recently it sold to a public
power district Substantially all the
electric properties which it former
ly operated in the State of Nebras
ka. Through a subsidiary, Mary
ville Llectric Light and Power
Company, it conducts electric and
gas operations in northwestern
Missouri in a Service area adjoin
ing the territory served in Iowa.
“We do not at this time attempt
to determine how many ‘integrated
public utility systems’ are compris
ed by the utility assets of Iowa
Nebraska Light and Power Comp
any. Neither do we believe it nec
essary at this time to determine
the xtent to which, under the stan
dards of clauses (A) and (C) of Sec
tion 11 (b) (1), such systems may be
retained under common control to
gether with whatever system is
determined to be the ‘single’ inte
grated public utility system. We
believe it sufficient for the present
to indicate our tentative views as
to the character of the major ac
tion required to be taken by the
respondents, leaving this question
for further determination, partic
ularly in the light of whatever dis
positions may voluntaiily be made
ion the interim by Iowa-Nebraska
Light and Power Company.”
On August 6, 1941, the Commis
sion issued its findings and Opin
ions under Sections 11 (b) (1) and 11
(b) (2) in the subject proceedings,
directing four of the holidng com
panies of this system to dispose of
their interests In certain of their
subsidary Companies but reserving
for further determination at an
appropriate time, among other
things, questions a sto the retain
ability of the lowa-Nebraska prop
erties, under Clauses (A) and (C»
of Section 11 (to) (1). There has
been no change in that status since
that date.
I trust that I.have been of assist
ance to you in this matter. Please
feel free to communicate with me
aguin at any time.
Very truly yours.
Signed,
RALPH T. McELVENNY,
Assistant Director.
Council Stand on Power
Deal Put in Record
SAYS CITY’S INTERESTS
WILL BE PROTECTED IN
ANY EVENTUALITY
Statements issued Friday by c>tv
commissioners, assuring the public
that the city council will protect
Omaha's best interests in connec
tion with moves of the Consumers
Public Power district of Columbus
to purchase the Nebraska Power
company, were made to formal rec
ord today.
The text of the statement signed
by Mayor Dan Butler and all cun
missioneis except Park Commis
sioner Roy Towl. follow-:
“The mayor and city commission
ers of the city of Omaha desire to
go on record that they have fall
confidence in the contract which
tl c city now has with the Nebras
ka Power Cijup-n. :: -v. to
lean Power and L g cim>: y
garding any sale of the local eiec
tric Company.
PRAISES NPt SERVICE
“If the Nebraska Power comp
ny is going to be sold, the city
w- il have every opportunity to pro
tect the interests of the people of
“X
X.
THE OMAHA GUIDE
A WEEKLY NEWSPAPER
Published Every Saturday at 2418-20 Grant St
OMAHA, NEBRASKA
PHONE WEbster 1517
Entered as Second Class Matter Maxh 15. It27. at
the Post Office at Omaha, Nebraska, under .-,ct of
Congress of March 3, 1879.
1. J. Ford, — — — Pres.
Mrs. Florna Coone% — — Vice Pres.
C. C. Gallowav. — Publisher and Acting Editor
Boyd V. Galloway. — Sec’y and Treas.
■ ...— • ' —- I' -M
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All News Cony of Churches and all organizat
ions must be in our office not later than 1:00 p. no.
Monday for current issue. Ai' Advertising Copy o«
Paid Articles not later than Wednesday noon, pr*
ceedin^r date of issue, to insure publication.*
National Advertising Representative:
INTERSTATE UNITED NEWSPAPERS. INC.,
545 Fifth Avenua. New Yotk City, Phone MUrray
Hill 2-5452. Ray J3ck, Manager.
the city.
‘‘A group of Omaha citizens com
posed of W. J. Coad, W. Dale Clark
I.c’jis J TePoel, SamUel Reynolds,
l. *>n p. Campell, H. M_ Bushnoi
T. I_ Davis, Don B_ Woodyard,
C»era?<3 Collins and 1 . 0_ Barr,
have been ap|>ointed to work with
y.-ur city Council to :nak? a study
af the situation.
“There is no general demand in
Omaha for the sale of the Nebras
ka Power Company. This comp
any. This company has furnished
our city with splendid service and
is a fine citizen.
“However, if the company is to
be sold, the city of Omaha should
have a study made by its own civ
ic leaders together with the city
council to ascertain what is best
j for our citizens.
! "City’s Credit Cited—
“The City of Omaha hag an en
| viabe record in fnancial circles.
We must be careful not to jeopard
ize Omaha’s fine credit standing.
‘The people can rest assured
that any action that is taken will
be in their best interests.’’
Towl issued a separate statement
voicing virtually the same senti
ments exeept that it contained no
reference to the question of local
demand for sale of Nebraska Power
and carried an additional para
graph which read:
‘We desire to have the legal ad
justments of our home rule char
ter to safeguard the interests of
the city of Omaha in all of its de
partments, regardless of the dis
position of the property.’’
We Think of Nebraska
as the “White Spot”
The name white spot, and the
very conservative reasons therefor,
are known throughout the country.
But suppose Nebraska Power
Company becomes a municipal or
governmental enterprise, managed
politically.
If that happens, Nebraska will
quickly become known as a state
where “state socialism” is being
tried out with one important in
dustry, unanimously, 100 percent.
There won’t be a kilowatt of elec
tricity generated or distributed in
the state which is not generated
or distributed by the public; one
great important business controlled
by the state and politicians.
And then, what of the ‘ white
spot” reputation?
Nebraska will be hailed by the
Socialists ,the honest ones and the
dishonest ones, the schemers and
the dreamers, the teachers, the
professors, the philosophers, as a
proving ground for state sociaism.
If socialized medicine is to be
attempted on a grand scale, “let's
see if it won’t work in Nebraska.”
If the food business,—which is a
truly vital business to *1. gcopiw,
is to be placed in the hands of the
States or municipalities, let’s all of
us center on Nebraska.
(Many people, and some of them
in fairly high places,—are now
thinking of having the food busi
ness designated as a public utility.
The next step will be state control.)
And why not “try it out in Nebras
ka”? Nebraska will be the perfect
example.
I don’t know what kind of a coot
we will be once a basic industry
becomes s ate controlled, but I -av
to you the COLOR will no longet
>e WHITE.
Mississippi Stirred
by Race Issue
(continued from pajre 1>
not going to pay the new 20 per
cent withholding tax, that they will
work up to the amount of their ex
emption and quit work the balance
of the week. This is a situation
that will lead to trouble.
“Grenada county in the last draft
call (June) sent about 80 percent
married men. and I understand the
July call will be about 100 percent
married men. The June call for
Negroes was 60 odd. an4 the armj
n tained only 17, sending the rest
of them hack.
‘'Tiie feeling among white people
here is that the arry does no*
want any more Negro soldiers
i That married men with familic.
I REAL SHOE " ^ $
FONTENELLE
l SHOE REPAIR
* CASH Jfc CARRY CLEANER J
5 1410 North 24th St. \
—CARL CRIVERA—
will soon be going out, NECESS
ARY TO FILL OUR QUOTA BE
CAUSE THE WHITE MAN MUST
TAKE THE NEGROES’ PLACE.
“Now if we strip the county of
white men, leave Negroes here,
who are not interested in working,
there is going to be trouble.
“Why should we permit this idle
ness, when our boys are giving
their lives on battle fronts all over
the world?
“The thought has occurred to
me, that if you, as governor of the
state, could issue a work or fight
proclamation, to be followed by
each mayor over the State, all done
at the same time with plenty of
publicity, it would have a good ef
fect. Law enforcement officers
could then follow it up, and make
them work, or go to jail.
“At least, let me urge that you
carefully look into this situation,
for in my opinion, unless some
thing is done, we are headed for
trouble.
Haven for 9,000 Negro
Maritime Seamen
More than 9,000 Negroes sailed
the seas on the ships of the United
States Merchant Marine, carrying
supplies to the war fronts of the
a survey made by the War Ship
United Nations, it was revealed in
a survey made by the War Ship
ping Administration. This num
ber constituted one tenth of the
entire merchant marine force.
Our merchant seamen are at
w-ork on the most grueling front
of the war. The ratio of their loss
es is 400 percent higher than for
oUr armed forces.
They wear no Uniforms, march
in no parades, take no bows; but
they ore braving torpedoes, aerial
bombs, seas of flaming oil, mach
ine gun fire and cunningly placed
mines, days and weeks in flimsy
life rafts—rackeod with hunger,
cold and maddening thirst.
Realizing that these men, indis
pensable to victory, must be ac
corded recognition and benefits e
qual to those in uniform, the War
Shipping Administration took the
lead in the launching of the Unite 1
Seaoman's Service in 1942 to ad
minister to the needs and morale
of marine workers.
The USS provides for American
merchant seamen, both in home
and foreign ports, medical service,
rest and recuperation centers and
recreation clubs. It is the one a
gency born of the war which does
not countenance discrimination in
any form. It is generally Conced
ed that the merchant marine ser
vice is one o fthe most democratic
Institutions now taking part in the
war.
In every seaman’s center when
ever possible, democracy is pract
iced and officials go as far as
they can in their attempts to se •
to it that all merchant seamen, re
gardless of color, enjoy the same
the South where segregation is a
— _
benefits of the service. Even in
part of the constituted law, it is
now without reluctance and protest
that the USS permits its men to be
separated.
The United Seamen's Service is
one of the agencies composing the
National War Fund, which will
soon launch its nation wide drive
in cooperation with local War
Fund campaigns. The fund Con
sists of 15 other war relief and
serivee agencies. Among other a
gencies included in the drive are
the USO., War Prisoners Aid, Uni
ted China Relief. Russian War Re
lief, Refugees Relief and others.
The National War Fund was con
ceived to economize time and over
funds for the various war ageno
head expenses in the collection of
ies which have heretofore been
conducting their individual fund
raising campaigns. Winthrop W.
Aldrich is the president of the
board of directors and Dr. Chann
Ing H. Tobias is a member of the
board.
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