The Washington times., 1907-01-29
Trust Pipe Lines Com
mon Carrier for Its
Own Products.
Senator NeWlandS FavorS
a Federal lncorpOra-
ton Law.
AS Last Resort He Ad-
vocateS Federal Rail-
way Ownership.

JUST as soon as possible legislative
measures designed TO correct bad c0ndi-
| tions Ia the coal and OH industries viii
| be introduced In Congress
Senator Tillman, who introduced the
/ resolution under which the inquiries tn
I these two industries were made 1y the
I Interstate Commission. Is responsible
| for this statement He has not set had
/ time 20 study and digest thoroughly the
I two reports that the commission has re-
/ Gently made under his res0lutiOn-Onc
/ relating 10 the coal industry. made last
/ week. and the other relating 10 the oil
/ business, made yesterday.
4 don't even know certainly that 1
will introduce the legislation" said the
/ Senator. but ! can give assurance that
I Il will be introduced. Perhaps il viii
not come al this session. for the time
I is very short; but II not now. then al
/ the long session
The Senator mould not more than
roughly suggest the provisions which
might constitute the basis Of legislation.
| He was, however, OF opinion that one
Of them would be the separation OF
! pipelines from oil-IrOduciEg concerns.
I The commission recommends this. and
/ Senator TIllman las, spring made de-
| termined night to have IL put into the
rate law.
The fight for this provision was real
I ~ made IN the conference committee.
/ The Senate had provided that pipelines
/ should be common carriers. Then later
/ IL provided that common carriers should
not be in the business OF producing the
/ commodities they carried
How STANDARD Was Exempted.
The Standard oil owned pipelines. and
hauled its own oil by means Of them.
| This provision. II IL remained in the
act. would divorce the Standards oil
/ business from its carrying business
| There was a determined night Tor the
! Standard TO save IL from EEis necessity.
and il finally Won. though not TIL after
| Tillman had made some highly seusa-
tloual speeches ia one Of which he de-
/ clared that standard oil was getting
/ in its work anc that nobody should
I brand S. o. on his brow However.
/ 8 O." won, and the provision for the
/ divorce @ the two operations Of no
ducing and transporting was limited 10
/ railroads leaving the SlaLdaid i!ee 70
retain its own pipelines.
/ VOW the commission finds that the law
| isp working well. just because this eE-
{ re ,n was made In favor OF standard
an. senator Jl!nan quite AatHtal41 HAS
Z a indicated feeling.
! seDator Newlands Of Nevada when
asked about the Standard oil report and
3 The measures which ought 10 be taken
+ To curb the power OF this great concern
replied,
Federal Incorporation Law.
s.-rhe very widespread interests and
activities of the Standard on Company
are now pretty well understood by the
public. though until a comparatively re-
I cent time the people at large did not
auite realize what the company was
/ growing TO be II is. OF course, deep in
| 4nance, in railroad properties, in copper,
/ in steel and in many other OF the most
I important and powerful Investment con
/ Germs Of the country. The problem OF
curbing such a power probably must DC
/ solved ultimately by an extension 70 II
/ of he applicatiOn Of The Federal Gov
ernMent's control over interstate com
/ merc... That IS the one hold that The
! Government has. The State cant han
die these problems. II the power over
] broadly then the Federal Government
can m ke itself effective. II that power
/ ii 10 he given the narrow construction,
then there is nothing short Of consttu-
tional amendment. which seems Amos
| fmpossible. with Government ownership
as alternative.
/ ..TTnder what believe would be a
] propeF extension OF that power, Con-
! gress should adopt the measure which
/ Dr0Dosed for the incorporation or ma
/ tional railroads, giving the Interstate
| Commerce Commission authority over
Capitalization so that issuance OF eX-
! cessive capitalization could be prevent
| ed. and with that must so the other
| provision for making a scientific Valua-
! ton Of these railroad properties, 10 de-
/ termine present values and give a start
I ing point from which 10 operate in
] future.