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wear, and I have never so heard. This contract was let out to them at Bowling Green and then that company undertook to sublet the contract among men's wear manufacturers, naturally at a greatly reduced price from that which they were receiving from the Government, thereby making a profit by reason of the fact that they simply got the contract over these people who had submitted bids.

Gen. SHARPE. I do not understand it at all, sir. I would like to have it looked into, because the work done there at the Jeffersonville depot is done by these operatives.

The CHAIRMAN. Could you, in connection with those figures you have given us, put in the maximum price paid for the various materials?

Capt. DALY. Yes, sir.

Maximum price paid for cloth, cotton, 35 cents per yard; duck, 8-ounce, 38 cents per yard; duck, 12.4-ounce, 47 cents per yard; duck, shelter tent, 39 cents per yard; melton, 16-ounce, $2.75 per yard; melton, 30-ounce, $3.26 per yard; flannel shirting, $1.60 per yard.

HORSES FOR CAVALRY, ARTILLERY, AND ENGINEERS.

(See p. 454.)

The CHAIRMAN. The next item is "Horses for Cavalry, Artillery, and Engineers," for which you are asking $51,751,466. Your appropriation was $25,000,000.

Capt. DALY. That is for a total of 102,534 Cavalry and 358,705 Artillery horses. That is divided as follows: National Army, 16 Infantry divisions, 23,200 Cavalry and 61,584 Artillery horses. For the six Army corps, 8,700 Cavalry and 23,094 Artillery horses. For line of communication troops for 32 divisions, 17,400 Cavalry and 46,188 Artillery horses. For the Regular Army, 10 Infantry divisions, 14,500 Cavalry and 38,490 Artillery horses. For the three Army corps, 4,350 Cavalry and 11,547 Artillery horses. Line of communication troops, Regular Army, 5,800 Cavalry and 15,396 Artillery horses.

The CHAIRMAN. How many horses is it intended to purchase out of the previous appropriation?

Capt. DALY. There have been purchased out of the present appropriation 10,418 Cavalry and 16,345 Artillery horses; those have been purchased.

The CHAIRMAN. How many are to be purchased?

Capt. DALY. Under contract, but not delivered, 11,944 Artillery and 9,540 Cavalry horses.

The CHAIRMAN. Will that be all?

Capt. DALY. That, I presume, is all.

The CHAIRMAN. You were given an appropriation of $25,000,000. What is to be done with that; how many horses will be purchased? Capt. DALY. We will have to get those figures.

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The $25,000,000 already appropriated will purchase the following horses to fill a portion of the requirements stated above: 44,000 riding horses, at $180 each, $7,920,000; 87,589 Artillery horses, at $195 each, $17,079,855.

The CHAIRMAN. $25,000,000 was appropriated. I want to know the number of horses in the two classes-Artillery and Cavalrythat it has been determined to acquire. How is the present estimate made; upon the number of horses that will be required for a certain number of organizations?

Capt. DALY. The number of horses that will be required for 2,033,000 men; that is, 16 divisions of the National Army, 10 divisions of the Regular Army, and 16 divisions of the National Guard. The total number required for the purpose of equipping those three units is 143,680 Cavalry and 378,742 Artillery horses. Deducting from that number what we have on hand and to be delivered leaves 102,534 Cavalry and 358,705 Artillery horses which are estimated for in the $51,000,000.

The CHAIRMAN. For an army of 1,000,000 men, under the approved organization, there is a certain number of Cavalry organizations? Capt. DALY. Yes, sir.

The CHAIRMAN. Were you instructed to prepare estimates for the animals required for the additional number of men?

Capt. DALY. Yes, sir.

The CHAIRMAN. For the first million men it was estimated that there would be required $73,582,250?

Capt. DALY. Yes, sir.

The CHAIRMAN. And that was in addition to the animals which the Regular Army then had. For the next million men the estimate is $51,751,466. I am trying to find out how that difference occurs. Capt. DALY. The difference, I think, Mr. Chairman, is due to the changes in the organization. The first estimate of $73,000,000 was based on the old table of organization. This estimate is based on the 1917 revised table of organization, which gives a different strength to a division-mounted units in a division are different.

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The CHAIRMAN. When was that scheme of organization adopted! Capt. DALY. It was approved by the Chief of Staff May 3, 1917. It did not get into our hands until quite late, near the end of May or early in June.

The CHAIRMAN. Is that a permanent modification for the Army, or is it a modification designed to meet the conditions that they expect to have abroad?

Capt. DALY. This table of organization for 1917 is the latest permanent table of organization.

The CHAIRMAN. Your estimate now is based upon the number of animals that will be required if a certain number of men were called in, distributed in accordance with that organization?

Capt. DALY. Yes, sir.

The CHAIRMAN. That provides for how many mounted men in the Cavalry organization, do you know?

Capt. DALY. I would have to calculate it.

The CHAIRMAN. Put that in the record.
Capt. DALY. Yes, sir.

NOTE. NO provision was made in the deficiency estimate in question for mounted men in Cavalry organizations, for the reason that this estimate is based on provisional Infantry division (expeditionary) table, which was compiled by the Army War College, and this table eliminates all Cavalry organizations and materially increases the Field Artillery.

The CHAIRMAN. When the estimates were submitted previously they included a sum of $73,582,250, which was to supply the animals required under the then existing scheme of organization. The amount appropriated was $25,000,000, based upon the fact that after conference with the officers of the allied armies it was determined that we would not send the number of mounted troopsCapt. DALY (interposing). Cavalry.

The CHAIRMAN. Yes, sir; that was the scheme of organization, and that they would be utilized in a different way. Do you know whether it is the purpose to utilize the number of Cavalry mounted troops that this new scheme of organization would require?

Capt. DALY. If, as reported, it is proposed to dismount the Cavalry and use them as Field Artillery, it will be necessary to furnish animals to equip the additional artillery for which no provision is made in this estimate, specifically. Therefore, the funds asked for for the purchase of Cavalry horses would have to be made available for that purpose.

The CHAIRMAN. The time when these animals will be needed depends entirely upon the ability of the Ordnance Department to furnish the artillery?

Gen. SHARPE. Yes, sir.

The CHAIRMAN. As far as you have knowledge, was it expected to acquire all of these animals before the 30th of June?

Gen. SHARPE. We were going ahead and buy them.

Capt. DALY. We are going to establish 32 auxiliary remount depots, one at each national camp and one at each National Guard camp, and it is proposed to put in each auxiliary remount depot for training purposes, as explained by Capt. Fair yesterday, about 5,000 animals. The estimate I have given you, Mr. Chairman, of the $51,000,000 includes 20 per cent for wastage, loss, and casualties.

That 20 per cent amounts to about 20,000 Cavalry horses and 70,000 Artillery horses.

The CHAIRMAN. Is this for both mules and horses?

Capt. DALY. No, sir; it is all for horses.

The CHAIRMAN. No mules at all?

Capt. DALY. The mules were discussed yesterday under Army transportation.

METHOD OF PURCHASE OF PUBLIC ANIMALS IN THE OPEN MARKET.

The Secretary of War has approved of the purchase in the open market of the mature specification animals needed by the Government for war purposes. 1. Any reasonable dealer, breeder, or farmer, who is capable of supplying the Government with one or more carloads of animals at a sanitary place, suitable for feeding, inspecting, branding, and loading them on cars, is invited to furnish the following information to the purchasing officers in the remount zone in which he is located or proposes to supply animals:

(a) The number of mature specification animals of each of the following classes that he can supply: Cavalry and riding horses, light artillery horses, heavy artillery horses for siege batteries, wheel mules, lead mules, pack mules. (b) The price per animal at which he will enter into an agreement to supply animals of each class to the Government if called upon to do so.

(c) The places where he proposes to offer animals for inspection by Army purchasing boards.

2. Full particulars as to the specifications of animals, method of inspection, and requirements of inspection plants will be furnished on application to the purchasing officer of any one of the zones.

3. The Government purchasing officers charged with the details of buying horses and mules for the Army are as follows:

Depot quartermaster at Fort Keogh Remount Depot. Fort Keogh, Mont., for the northern remount zone, embracing the following States: Idaho, Minnesota, Montana, North Dakota, Oregon, South Dakota, Utah, Wisconsin, Wyoming, Washington.

Quartermaster at 410 Scarritt Arcade Building, Kansas City, Mo., for the central remount zone, embracing the following States: Colorado, Illinois, Indiana, Iowa, Kansas, Michigan, Missouri, Nebraska.

Depot quartermaster, Fort Reno Remount Depot, Fort Reno, Darlington, Okla., for the southern remount zone, embracing the following States: Arkansas, Arizona, California, Louisiana, Mississippi, Nevada, New Mexico, Oklahoma, Texas.

Depot quartermaster, Front Royal Remount Depot, Front Royal, Va., for the eastern remount zone, embracing the following States: Alabama, Connecticut, Delaware, District of Columbia, Florida, Georgia, Kentucky, Maine, Massachusetts, Maryland, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, and West Virginia.

4. No agreement to furnish animals will be made with any dealer unless he is considered capable of supplying all the animals he offers to supply without subletting or calling upon other agencies to assist him.

5. At least one purchasing board in each zone will be reserved for the inspection of animals by farmers and breeders in not less than carload lots.

6. A bond of 5 per cent of the total consideration will be required as part of the agreement on any order for more than 100 animals. At the end of each day's business a voucher for the purchase price of all the animals bought that day will be furnished the seller. The total value of this voucher will be paid on presentation to the purchasing officer of the remount zone in which the animals are delivered.

7. Under agreements with farmers and breeders to furnish 100 animals or less no bond will be required, but 5 per cent of the purchase price will be deducted from the amount of the voucher for each day's business and will rot be paid until all the animals are delivered.

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Agreement entered in this United States of America, by United States Army, party of the ment," and

day of 19, by and between the contracting officer, Quartermaster Corps, first part, hereinafter called "the Govern (a corporation existing under the laws of the State of and State of, hereinafter designated as "the contractor," party o fthe second part, witnesseth:

-),' of the county of

1. The Government agrees to buy from the contractor and the latter agrees to sell and deliver to the Government the number and kind of public animals, hereinafter provided for, in accordance with all the provisions of this agree ment.

NUMBER OF ANIMALS PURCHASED.

2. The contractor agrees to sell and deliver to the Government during the period beginning 1917, and ending 1917, in accordance with all of the provisions of this agreement, the following number of animals of each of the following classes, to wit: Cavalry horses, ; Light Artillery horses, ; lead mules

-; Heavy Artillery horses for siege batteries, wheel mules, ; pack mules,

SPECIFICATIONS FOR ANIMALS.

3. Every animal herein provided to be purchased by the Government and to be sold by the contractor to it shall conform to the specifications covering the particular class under which such animal is tendered by the contractor. Said specifications are attached hereto marked Specifications" and are hereby made a part of this agreement.

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INSPECTION OF ANIMALS.

4. A purchasing officer assigned to this duty by the Quartermaster General of the United States Army shall be afforded by the contractor such opportunities as he may require to inspect all animals tendered for sale under this agreement by the contractor, and the decisions of such purchasing officer as to whether animals tendered for acceptance or rejection by the contractor under the terms of this agreement conform to the specifications herein provided shall be final and binding upon the contractor.

INSPECTION PLANTS.

5. The inspection plant for animals tendered by the contractor to the Government for purchase under this agreement shall be at — where suitable inspection facilities shall be provided by the contractor in accordance with the provisions hereinbefore set forth. If for any reason the purchasing officer decides that a change in the location of any inspection plant is necessary, the contractor upon being so notified in writing shall, upon 10 days' notice, change such inspection plant to a place to be agreed upon with the purchasing officer. In the event the Government and the contractor are unable to agree upon the location of a changed inspection plant, then this agreement may be rescinded by the Government upon payment by it for all animals accepted under this agreement up to the date of such rescission.

DELIVERIES OF ANIMALS FOR INSPECTION.

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6. The contractor agrees to have ready for inspection at the inspection plant or plants hereinafter provided for, on or before the day of minimum of each of the following classes, to wit: Cavalry horses, Light Artillery horses, -; Heavy Artillery horses for siege batteries. ; wheel mules, ; pack mules,

; lead mules,

And it

1 For method of signature by corporations, individuals, or partnerships, see footnote at end of agreement.

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