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34 IMMEDIATE RELEASE JANUARY 29, 1948 John R. Steelman, Assistant to the President, made public today the following report to him from Federal Works Administrator Fleming on converting government building heating plants from oil to coal to conserve short supply fuel: "Honorable John R. Steelman Assistant to the President The White House My dear Mr. Steelman: "Further reference is made to your letter of December 19 requesting that an investigation be made as to the practicability of converting Government buildings from the use of oil to the use of coal. As you were advised, a meeting was held in this office on December 30 and those present were requested to have final data in our hands by January 22 on which to base a complete report to you. "We have now received a mass of information from the majority of those who were present at the meeting, included in which are figures to show the buildings which cannot be changed over for various reasons, as well as those which are susceptible of being changed and under what con- ditions. Briefly the information developed consists of the following: "1. Before the date of our meeting, some of the Agencies had already issued to their field offices instructions to sus- NARA pend any further conversions from coal to oil. "2. The Justice Department reported the partial conversion of one plant using 400,000 gallons of fuel oil per year to the use of coal; Public Health Service reported the recent conversion of one small plant burning 15,000 gallons of oil per year to the use of other fuel; and Public Buildings Administration reported the partial cancellation of a contract which had been entered into for converting a building to the use of oil. The contract had been partially completed and would have produced a plant which would burn 370,000 gallons per year. "3. The Agencies reporting that conversion from oil to coal is practicable stated that to accomplish this would require the expenditure of a substantial sum, which funds had not been included in the budget estimates and that it would therefore be necessary for them to obtain the additional funds before proceeding with the work. They also reported that the oil burning plants that are now in operation are in many cases automatically controlled. If converted to the use of coal, it would be necessary to employ firemen to operate them, requiring the necessity of additional funds. I am enclosing two of the reports that were received as samples so that you may see the care that was exercised by the Agencies in gathering the desired information. It will be noted that the Department of Agriculture report shows a possible saving of 888,690 gallons of oil per year but that the cost of making the necessary changes would amount to $129,539 and that there would be an increase in operating costs of $70,065 per year. An analysis of the report of the Public Buildings Administration shows that it is considered practicable to convert 35 of the buildings but that this work would cost $414,220. This figure does not include the cost of any addi- tional employees who might be required as firemen. "4. Apparently the situation existing in the Navy Department, which was reported in our letter of January 16, is the only one reflecting a major saving at this time. They can immediately begin the use of coal in certain of their plants previously operated by oil and thereby save at the rate of 1,420,000 barrels of oil per year. (OVER)