Show Plus Cost-Plus Prohibition Would Hurt War I Effort Nelson Says V WASHINGTON ASHINGTON March 2 WI- WI Chairman Donald M. M Nelson of the war production board told congress con con- gress Thursday a flat prohibition against plus cost fixed-fee fixed contracts contracts contracts con con- tracts would hamper the vital aircraft aircraft aircraft air air- craft and ship repair programs upon which the early success of the armed forces depends Urging Senator Ferguson R. R Mich to make more flexible the provisions of his proposed resolution resolution resolution tion to abolish the plus cost-plus system system tem tern in favor of a price fixed-price procedure procedure pro pro- Nelson said in testimony before a military subcommittee I dont don't know how you can adopt a fixed price for airplane construction n and allow for thousands thousands thousands thou thou- sands of modifications that that sometimes sometimes some some- times are necessary on the basis of ot actual tests o of planes in battle The s same me situation is true when you consider ship repairs Repairs on damaged battle-damaged ships are ordered ordered ordered or or- dered before the ships get into port in many instances Ferguson in n urging his bill told the committee that war yar ar subcontractors subcontractors subcontractors tractors have ha been known to treble their production cost estimate to permit th the thc hoarding of or la labor bor anda and a a. larger fee tee under plus cost-plus con con- tract |