AI D NtWI. HLnulh r.lll. 0r, THUMDAr, J.M It, It4. r. IIiIm.
OPA To Slacken Reins
On Restaurant Prices
WASHINGTON, June IS P)
OPA opened the way today for
higher restaurant price.
But In doing to, the agency
followed only In part a recom
mendation of the senate banking
committee, which voted to wipe
out ceilings on meals made up
of foods on which there are no
price controls.
OPA issued an order which
simply allows new menu prices
to reflect the full amount of
any higher costs stemming from
the removal of price ceilings
on food items.
The order is effective immedi
ately, but it will have little
effect on restaurant prices right
away. The reason is that there
are not many food items exempt
from price control at this time.
But OPA officials said the new
regulation means the cost of din
ing out probably will go up
sharply if ceilings are stripped
from meat, poultry, eggs and
dairy products. The senate com
mittee has recommended remov
al of these controls July 1. A
decision by the full senate is
expected by nightfall.
How much the cost of major
food items might go up if ceil
ings were removed has been the
subject of much controversy.
Stabilization Director Chester
Bowles has estimated that meat
prices would jump 40 to SO per
cent.
At present only a few feed
items come within the scope of
the revised regulation. Ceilings
on lobsters and most kinds of
fish have been removed, for ex
ample. This means menu prices
may be based on the cost of
these items.
An OPA official who withheld
use of his name said the new
order provides "the only just
way" of handling restaurant
prices and at the same time
"maintaining any semblance of
control."
Commenting on this and other
changes in the price regulation
covering public eating places, the
National Restaurant association
said in a statement that the re
vision "will not mean increased
menu prices."
However, a spokesman for the
organization told a reporter later
that this view was based on
present circumstances and did
not take into consideration the
Joins Firm
Al Eighmy. who has joined
Dimbat Motors a general man
ager, according to George Dim
bat, owner of the firm. Eighmy
has been districts service man
ager for the Chrysler corpor
ation for the past two yean
with headquarters in Portland,
and had extensive experience in
the automotive field as parts
manager, salesman and service
manager before joining the
Chrysler organisation. During
the war he was with the air
technical training command
training air force personnel in
B29 maintenance.
possibility that ceilings may be
removed on major foods.
The restaurant changes went
into effect as government econ
omists estimated that house
wives' costs for major foods
have climbed in recent weeks
at the rate of $485,000,000 a
year.
TZ
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