The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1906-11-18
SPENCER'S ADDRESS ON
THE RAILROAD PROBLEM

question within the range Of the existing
popular excitement.
Impressed, however. by the Iact that
this is a gathering of the substantial pro-
ducing and shipping interests Of this state,
and wishing to come into closer touch
with our patrons and the public on whose
approval and good will the interests
represent are so largely dependent, and
earnestly desiring at all times to and II
possible In just solution Of the moment
Gus problem, have put aside my doubts
and am here in obedience to the re-
quest of your president.
The railroad managers pos.aon-h1s re-
lationship to the public. on the one hand.
and to the properties he represents and
for the successful management of which
he is responsible, on the other-has under
gone radical changes In rec ant years A
half century ago the need % the people,
and their consequent demand, was for the
development of the country through the
establishment of transport ltion facilities.
Possessed of the virgin and untouched
wealth of continent, ricn i'll its forests,
its mineral resources and IT'S agricultural
possibilities, the need of market was the
pressing and imperative necessity of the
people. To meet this necessity private
enterprise was not simply invited, but
was urged, 10 eSIdDllS0 Tie nSeuef1 lTdHS-
portation facilities Public sentiment did
not merely Justify, but, with practical
unanimity, demanded the granting not
only of charters to railroad companies,
but governmental financial aid and en-
enlargement as well. 1t must be borne
in mind that such inducements were at
that time needed, for in the uncertainty
attending these experimental enterprises
private capital was reluctant to embark
In them. Alabama was no exception to
this rule of governmental encouragement.
Its general statutes and the charters
granted by it's general assembly. in &c
Spouse to the sentiments of its people.
make a history of public aid and cncour-
agement to the building Of railroads, ard
contain no hint of antagonists public SEN
timent or of an ultimate purpose of severe
or drastic public control or injury.
Under these circumstances, these I'M
dertakings, so favored by the state, were,
with reason, regarded as private enter
prises especially favored by public policy
private enterprises established to pro-
vide for a public necessity. 1t is true but
still private enterprises with right of iii
vate control, limited only by tho ade-
quate provisions of the common law.
History of Disaster.
But Notwithstanding the public and gov
IdVOT tnuS exIsnCfu-1lDrWlIl
standing the substantial freedom from
governmental interference in their man
agement-there were very few railroad
enterprises in the south which could at
first maintain themselves The history of
many of them was history of bankrupt
cy and disaster until the weak and DIS
jointed properties were amalgamated so
as to afford continuous traasporta ton,
and open the markets Of the world to
southern products in competition with
those of the other sections and Of other
countries.
With that amalgamaton of properties
and its consequent public good, caine
great power-exaggerated, perhaps. in the
public mind-but still great power. over
the interests of commodities. localities
and persons, and with 1t demand fer
public regulation. 1t must be admitted
that this demand. within just and rod-
sonable limits, is based on sound reason.
There must be some adequate rernedy for
the misuse of power affecting great pub
lie interests, but important is the &C
alton of the remedy, no less important are
it's just and reasonable AMI wholesome
| limitations. In the progress of time, the
| public aspect of this question has become
| entirely reversed The pendulum has
| swung from an extreme on the one side
1 to an extreme on the other.
| Confronted by this evolun on-or, rather,
! by this revolution-of conditions, with tho
administration of property of dual M
ture, invested in as priva.e concern, but