The Washington herald., 1906-11-22
RAILWAY And PUBLIC
Ownership Question viii
Come Up in Congress.
BURLES0N HAS A RESOLUTION
Texas Congressman VIII EndeavOr
TO Obtain Facts which May Form
Basis for Discussion - Senator
BaiIey's Reported Intention of
Making Speech in Opposition.


Making Speech in Opposition.
Although there has been comparatively
little discussion Of the question Of public
ownership Of railways since the tempo
rary excitement caused by Mr.. Bryan.s
pronunciamento died away, it is evident
that the topic is still alive, and that it
viii figure to considerable extent in the
forthcoming short session Of Congress.
Mr.. Bryan, it appears, Is not enamored
OF the public ownership idea to an extent
which will impel him to insist that it be
embodied in the next Democratic national
platform. In other words, he personally
favors the ownership of railways. and
perhaps other utilities, by the State and
Federal governments. but apparently IS
not sufficiently certain of the merit Of
the plan 10 fight for its inclusion in the
declaration Of principles and policies
which the Democratic party viii formu-
late in the summer OF 1908. His declara-
tion in favor of public ownership, made
in the course Of the speech he delivered
in New York, just after he returned from
his trip around the world was not well
received by Democrats in any part Of
the country, generally speaking, and
those Of the South were especially vigor-
Gus in their expressions of disapprovaL
Practically every Democrat Of national
prominence in the South-Ninority Lead
er Williams, Senators CuIberson and Bal
ley, OF Texas, and numerous 0thers-has
indicated his opposition to this latest idea
OF Mr.. Bryan, and the Southern press is
almost a unit in declaring il wholly inn
practicable. Some of these papers have
conducted successful campaigns for mu-
nic;pal ownership In their respective
cities. but they perceive that there is a
vast different between the ownership Of
natural monop0lies by a city and the
ownership Of competitive utilities like
railroads by either the State or Federal
governments. In the North and East
the Democratic press, almost without ex-
ceptiOn, has assumed the same attitude
as the Southern journals.
Mr.. BurIesOn Wants Facts.
Shortly after the short session of Con
gress convenes at least two or three res0-
lutions intended to elicit information as
10 the immediate effects Of public owner
ship Of railways VIII be introduced.
The author Of one of these viii be Rep
resentatve BurIeson, Of Texas. VINO is
keenly interested in the subject. and who
while he lnclines to the opinion that the
theory of government ownership Is q
beautiful thing, believes that in practice
the results would probably be disastrous.
So far as municipal ownership is con-
cerned, Mr.. Burleson thinks il should be
applied TO natural moncpoHes like water
and lighting plants. especially in we'll
governed cities like Washington. where
graft does not exist, and where such
scandals as have disgraced PHILADELPHIA
ST. Louis Chicago. and other muuici-
paliues-have never been known. B8t gov
ernment ownership of railways, he real
izes, is quite different thing.
1t is reasonable 10 infer, he thinks. that
the operation Of the railways by the fed
erai government and the various State
governments would Inevitably invite graft
and inefficient mana cement, since the
recent exposures in the Post-ofice De-
partment have indicated what possibili-
ties exist in that direction. In order that
the public may have the benefit Of inf0r-
nation as TO the approximate degree Of
the burden it would be compelled TO
assume were the railways government
owned. il is his purpose 10 offer a res0-
luton calling for figures showing the val
UatiOn Of the railways of the country, the
bonded Indebtedness, and other details Of
interest in the premises.
Senator Bailey, Of Texas, is also look
ing into the subject with the idea Of max
ing speech on it some time during the
coming session. AIT. Bailey has been a
consistent opponent Of government own
eIship throughout his public career. and
If he does address the Senate on the topic,
some very valuable facts will doubtless
be adduced. Since both Houses of Con-
gress contain members who entertain the
opposite view, it is quite possible that a
discussion viii be precipitated which viii
bring out most Of the available data on
both sides of the question.
Immense Value of Railways.
Figures contained in the last annual re-
port of the Interstate Commerce Commis-
sion are Of interest, as indicating the debt
of the people Of the United States would
be compelled to assume were the govern
ment to acquire the railways The par
value Of the amount Of railway capital
outstanding on June 80, 1894. was sl3. .213.-
12i,6IS. This sum represented a capitaliza-
tion Of S6i,265 per mile for all the railways
IN the United States at that time. OF this
capital, stock comprised S633g. .Sq9 500. of
which S,050, 529, 469 was common stock. and
the remainder, Sl2Ss, ,S59 SEQ was preferred
stock The remaining part, 81. $50 225. $50.
was funded debt, consisting Of mortgage
bonds, s., t46 6sS,9 ,903; miscellaneous obIiera-
ton. SlZ5.ll4Sob; income bonds, 500 Sc GS7.
and equipment trust obligations. SI73 ga o.
694- Current liabilities, which. as a gen
erai statement, have relation to the oper-
alton, rather than the construction and
equipment Of a road, amounted to SSS1
h2S IN or q 2SS Der mile IN the rnur 1nnl