RECORD BUILDING

Rotorua Morning Post, Volume 3, Issue 657, 9 October 1933, Page 2

RECORD BUILDING

FOR AMERICAN NAVY -r ; •! ir *,f . '*•> GREAT NEW PRQGRAMiME i TOWiARDS RELIEF OF . DISTRESS. ; THIRT Y -S)EVEN VESSELS. • The greatest naval building pro- ' gramme ever undertaken as a unit in the history of the United States was 'ordered iat the beginning oft August, when th'e Navy Department awarded contracts for twenty-one ships to be ' built by private shipyards and allocated sixteen vessels to be eonstructed. at Navy Yards, says the New York Times. The contracts were approved on August 2 by President Roosevelt. j The total of the face values of the ' contracts was just under 130,000,000 dollars. Since some of the contracts, : 1 but not all, were let subject to adjustment for changes in the cost of labour and materials, it is impossible t0 predict the actual total which these twenty-one ships will cost. The figures named in the contracts cover hull and machinery only, in most cases. She cost of armament and fittings will have to be added. Navy officials were gratified at the speed at which the -building proigramme had moved for ward. Within a week after the President had allocated the 238,000,000 dollars from the public works funds for naval building, the specifications were drawn and bids were opened. Within a week of the opening of the bids, the awards were announced. The threatened complications offered by a letter from Senator Tramejl, of Florida, chairman of the Senate Naval Committee, alleging collusion in the hidding, were disposed of by a naval investigation. It is understood that the charges were based on a misunderstanding of a casual remark of a Florida shipbuilder who had not suhmitted a bid. Admiral Standley said that the , programme would be pushed on with ' all possible speed, since one of its major purposes is to help unemployment in the shipbuilding and allied industries. It has been estimated that 18,400 men will be directly cmployed for a total of 2,430,000 manwork weeks on the thirty-seven vessels. Four men in allied industries are employed for every man directly at work on the shipbuilding, Admiral Standley said. Adding this 73,500 men to those directly employed, a total of more than 90,000 men will be carried on pay-rolls throughout' the country during the life of the work. The Navy Department estimates that 85 per cent. of th'e total cost of a ship is spent on labour. If the whole 238,000,000 dollars authorised is spent,, this would mean that 202,300,000 dollars would be distributed in wages. While raw materials .are being gathered for a progrartime of this kind, the full benefits will not he felt by 'ship workers for about six months, Admiral Standley estimated. However, employment in the contributing industries and trades, which numhtr about 125, should feel almost immediate henefit. The allocation of building to the Navy Yards has given work to prac"ticaliy every principal establishment 'of this kind in the country. The work came at a good time for them, because funds available under the regular current appropriation were running short. Secretary Swanson has just put into effect a five-day forty-hour working week for all Navy Yards, This action was taken pending final adoption of a working under the code, Admiral Standley said. For the previous montyh the Navy Yards had been working forty-four hours a week and paying wages for forty-eight hours. Details of Contracts. The contracts and .allocations include the building of a light cruiser at the New York Navy Yard and two " destroyers at the United Drydocks, Inc., in New York.

Details of the contracts awarded and the allocations of the Navy Yards were announced as follows: — "As a result of the opening of 'bids of July 26, 1933, when proposals were received in the Navy Depart1 ment for the construction of twentyone naval vessels, Secretary of the Navy Swanson has awarded contracts to the lowest responsible bidder in each case, as follows: "Aircraft carriers Nos. 5 and 6 to the Newport News Shipbuilding and Drydock Company, Newport News, Va., for the stated price of 19,000,000 ' dollars each, subject to adjustments 'for changes in the cost of direct labour and material within certain definite limitations. "To the Bethlehem Shipbuilding Corporation, Quincy, Mass., heavy cruiser No. 40 for the fixed price of 11,720,000 dollars without adjustment for changes iri labour and material costs.

"Heavy cruiser No. 40 is the sixteenth 8-inch 10,000 tons cruiser referred to in the London Treaty and under the express provision of that treaty this vessel cannot be laid down before January, 1934, with a completion date for the vessel of January 2, 1937. "To the New York Shipbuilding ■Company, Camden, N.J., two light cruisers of the Nos. 42 to 45 class, for the fixed price of 11,670,000 dollars each, without adjustment for changes in labour and material costs. Two Submarines. "To the. (Eilectric Boat Company, Groton, Conn., two submarines" Nos. 174 and" 175 for the fixed price of 2,770,000 dollars each, without adjust- ' ment for increases in the cost of labour and material in accordance with the bidder's design. This price is on the hasis of main propelling machinery heing furnished by the Govern--ment and installed by the contractor. "Of the eight 1850-ton destroyers, the contracts were iall awarded on a fixed price hasis without adjustment for changes in cost of labonr and machinery, as follows: — - "Bethlehem 1 Shipbuilding Corporation, I/td., Quincy, Mass,, four de- 1 troyers under ihe Act of August, .

1916, for the fixed price of 3,896,000 dollars each, aid . to ' the ' 1 ; "New York 'Shipbuilding Company, Gamdeji, N.J., four destroyers to he huilt fpom punds allocated from the National Recovery Act for the fixed price of 3,775,000 dollars each. "She six 1500-ton destroyers were awarded as follows on the hasis of a stated price subject to adjustments. within certain definite limitations for chahges in cost of labour and material: *•'• "The Bath Iron WoYks Corpora-. ' tion, Bath, Me., two destroyers for the sum of 3,420,000 diollars each7' , "To the Federal Shipbuilding and Drydock Company, Kearny, N.J., two destroyers for the sum of 3,410,800 dollars each. "To the United Drydocks, Inc., New York, N.Y., two destroyers for the sum of 3,400,000 dollars each. "Owing to the fact that the working plans for the 1850 and 1500-tori destroyers will be furnished by ' the Bethlehem Shipbuilding 'Corporation and United Drydocks, Inc., respectively, the above price s for the other shipyards are subject to certain definite reductions for value of planis received. "The final allocation of vessels of the National Industrial Recovery programme, to Government yards was iauthorised as follows. — :"Two submarines to the Navy 'Yard, Porthsmouth', N.H., (previously announced). "Two destroyers to the Navy Yard, Boston, Mass (previously announced). 'One light cruiser and one gunboat to the Navy Yard, New York, N.Y. (gunboat previously announced). "One light cruiser and two destroyers to the Navy Yard, Philadelphia, Pa. "Two destroyers to the Navy Yard, Norfolk, Va. "One gunboat to the Navy Yard, Charleston, S.C., (previously announced). "Two destroyers to the Navy Yard, Puget Sound, Wash. Two destroyers to the Navy Yard, Mare Island, Cal." T-C