Salt Lake Telegram | 1934-04-03 | Page 6 | The Daily New York Financial Whirligig

TilE DAILY NEW YORK F Fi Financial Whirligig r V tn for o The Th Dy By JA JAMES IES McMULLIN NEW YORK Governor Lehmans Lehman's utility program will not go through in the form he advocates despite his radio appeal and the popular response it evoked A substitute tute set of regulations has already been drafted and will be introduced when the moment is ripe The real sponsor of the compromise corn com promise measures is Charles veteran veteran Hewitt Republican member of the state senate finance committee but his name wont won't appear on the legislation Instead some deserving Democratic Democratic Demo Demo- cratic senator will be honored The compromise proposals will be passed without much argument Outwardly they will bear the earmarks of drastic regulation in accordance accordance ac- ac with the demands of government and citizens Actually they will be pretty innocuous ous Political insiders say that the measure to allow the public service commission to reduce rates to a 5 per cent return on investment less depreciation will be deftly eased out and permission to municipalities to build their own power plants will be so hedged as to be practically practically prohibitory These provisions are the heart of the Lehman program Dem and Republicans in the legislature legisla- legisla ture turc will cooperate to bring about this happy result Its It's supposed to satisfy everybody If the governor wil credit for the revised laws lawshe lawshe he can have it The utilities will continue to yell for the record but they're relieved at the prospect Feared Boomerang One of the most potent single obstacles to the Lehman program was the opposition of the state banking department Its members have no special fish ish to fry iry for the utilities but they have been apprehensive about the effects of the legislation on their charges They foresaw cities which had reached their debt limit rushing rushing rush rush- ing to construct their own plants thereby knocking both municipal and util utility ty securities on the head to the detriment of the banks which owned them or loaned against them I This aspect of the argument hasn't reached the public eye but has counted a lot behind the scenes Nobody connected with the New I York state government cares to risk counting I further banking complications Eyes Second Term Governor Lehmans Lehman's utility message is interpreted interpreted inter inter- I by political sharps as serving notice on his opponents within the party that he intends to run again Lehman wasn't so keen for the nomination two years ago and might not have entered the lists if Mr Roosevelt had not requested requested re- re quested him to do so But local friends of the governor say he feels that to quit now would be tacit admission that he had not succeeded in office and hes he's determined this shant shan't be said of him Democrats prominent in state councils would still like to sidetrack the governor but they dont don't dare do anything about it unless F. F D. D R. R should intimate that it doesn't matter to him That's not at all likely Shot Full of Holes HolesA A Democratic insider who knows his state politics tells friends privately that the party is split worse than it has been in 30 years This view is confirmed by other observers who claim that the state Democratic machine resembles resembles re- re nothing so much as a piece ot of Swiss cheese Even in New York City the Brooklyn and Bronx organizations cant can't get alon along together Tammany disaffection sticks out like a sore thumb Several state up-state factions are ready to slit each others others' throats The lack of party harmony is clearly discernible if you examine the legislators legislators' vote on any specific measure The Democrats cant can't agree with each other on New York City economy on liquor control on utility regulation n or almost any other issue of importance Some of the most responsible party leaders are arc privately spouting woeful prophecies They insist that if the Republicans nominate Wadsworth Wads Wads- worth or Fearon for governor they will win in ina a walk against any Democratic candidate including in- in eluding Lehman They add that unless Curry is ousted any Republican con can be elected There is doubt that even strenuous Washington intervention intervention inter inter- can hold in line We Democrats Democrats Demo Demo- are up to our old tricks of beating the stuffing out of ourselves Republicans Happy Family Republican problems problems-in spite of the Macy row are comparatively simple The Republican can legislators at Albany have been unity itself compared to the Democrats An open fight on the Macy leadership is due t begin within two months If he can be evicted without opening too many wounds state party chiefs are confident dent of a snappy comeback this fall falI Trubee Davison is losing ground us as Kingsland Kings Kings- land Macys Macy's possible successor Inner Re- Re circles doubt whether lies lie's aggressive DemocratIc enough leaders privately concede concede con con- cede they're less likely to capture the state slate assembly than the Republicans are to take the senate Copyright McClure Eradicate