The extent to which defense workers will avail themselves of the opportunity to tenant a project
<br />depends, of course, on local conditions, and a particular project may have relatively few defense
<br />workers - the balance of tenants being obtained from the low income families residing in slums -
<br />or it may be filled with defense workers. It should be clearly understood, however, that this pref-
<br />erence for defense workers will exist only for the duration of the defense emergency.
<br />'I£ this information is not sufficient, or if you have further questions, please let us know."
<br />Some few days later, Mr. Clarence Keller of the Local Authority, came to my office to discuss the housing situation
<br />and in the course of the discussion stated that in order for the project to secure approval, it would be necessary
<br />for the Authority to increase the income bracket for eligibility of those living in the project dwellings from $12000 '
<br />00, as originally,stated to the Council, to $2100.00. This was necessary in order that defense workers would be
<br />eligible to live in the project.
<br />Because of the confusion occasioned by the difference between the various surveys, as pointed out .previously in this
<br />letter, and by the changed conditions brought about by the emergency, I told Mr. Keller I would make a personal in-
<br />vestigation in Washington and then make a report to your body.
<br />In Washington in conference with Mr. Starr, Mr. Bergeron, Mr. Hahn and Mr. Posniak, it was decided that Mr. Posniak
<br />should come to South Bend, get in touch with Mr. Pittman and together they would spot check the survey for accuracy
<br />and thus determine whose figures were most nearly correct as to housing conditions.
<br />Mr. Posniak spent spent Monday and Tuesday of last week here'.checking with Mr. Pittman various areas in the city and
<br />at the conclusion of this check, they handed me the following joint report of their findingsr
<br />"`Report on the Low Rent Housing Market in South Bend by Mr. Clare E. Pittman, Acting Executive
<br />Director, Housing Authority of South Bend, and Edwar& G. Posniak, regional Research Advisor,
<br />Region V, United States Housing Authority.
<br />"We have analyzed the .Low -Rent Housing Market in South Bend on the basis of the W.P.A. Survey of Low -
<br />Rent housing Needs, as compared with the Federal Cansus of 1940 and the Real Property Inventory of
<br />1936. Having checked the survey data with these sources, we have made a joint spot check of alk areas
<br />covered in the survey by inspection of structures selected at random..
<br />"'On the basis of these spot checks and comparisons, we believe that the total number of dwelling units,
<br />which are sub - standard, is 6,222. We believe that this total represents an ample market for the hous-
<br />ing projects under consideration, even when account is taken of a possible reversion of the defense
<br />housing units to low -rent housing purposes after the end of the war emergency.
<br />'It is our belief that the original understatement of sub - standard units in the survey was due to such
<br />inevitable factors as the relative lack of qualifications of the personnel furnished by the W.P.Q«
<br />because of the shortage of available man power and the frequent curtailments of the service staff
<br />during the course of the survey. We believe that these defects were such that they could not be over-
<br />come by the best of supervision and training."
<br />In the conference in Washington, Mr. Starr stated that in order for the project to proceed, it would be necessary to
<br />increase the income bracket of those eligible to live in the project to approximately $2100.00. This in order that
<br />defense workers would be eligible and that preference must be given to defense workers in filling the project.
<br />This preference is-to last for'the period of the emergency only, and required by the necessity of securing priority
<br />rating for materials needed in the erection of the proposed project.
<br />I explained to Mr. Starr this occasioned a change of policy that would require my placing the matter before your
<br />Honorable Body for action and that I would do so at the earliest possible moment.
<br />I have asked Mr. Pittman to be present in order that he may explain any question in connection with the local survey
<br />you may wish to ask.
<br />I have also asked the members of the Local Housing Authority to be present in order that this subjbct may be thorougi
<br />ly discussed.
<br />From the outset, I have maintained that should the results of the local survey indicate the need here for a housing
<br />project, I would favor it; on the other hand, if the results did not indicate a need, I would not favor it.
<br />I have only one concern and that is that the citizens of South Bend be properly and adequately housed. I am con-
<br />cerned that those, who, because of insufficient income for reasons beyond their control, have sanitary, safe and
<br />proper housing. I am sure that is the desire of your body.
<br />I do not believe the Local Authority or the U.S. Housing Authority have any desire to place in South Bend housing
<br />that is not needed.
<br />In order that you may have a picture of the housing situation as it is today, let me state that as of January 23rd,
<br />there was still unfilled in the Southmore Defense Housing Project 187 dwelling units. Within the next thirty days,
<br />the 250 units of the Mutual Housing Corporation on East Jefferson Boulevard'will be available, making a total of 437
<br />defense dwelling units open for occupancy*
<br />labor situation among our leading defense industries insofar as I can determine is as follows:
<br />Studebaker Corporation writes:
<br />"'On my return to the city yesterday, I found your communication of January 5th and regret very much
<br />that I was not here to answer it prior to last Thursday.
<br />"A statement regarding the anticipated increase of employees during the year 1942 would be of little
<br />value, inasmuch as the employment.situation in the Automotive Industry is changing so frequently that
<br />it is difficult to make any reasonably accurate estimate. From all appearances at the present time,
<br />it is not likely that we will be able to place all of the displaced automobile workers in our Aviation
<br />Plants."
<br />Oliver Farm Equipment Company writes:
<br />"At the present time we have employed in Plant #1 on Chapin Street, 1.,356. In Plant #2, on Walnut
<br />Street, we have employed at the present time, 87.
<br />"We contemplate increasing our payroll in Plant #2 to 600. Whether we will extend these figures
<br />during 1942 I cannot tell at this time because I do not know what changes will be made in our
<br />present program.
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