Albuquerque citizen. [volume] (Albuquerque, N.M.) 1907-1909, 1908-12-12
PHYSICAL VALUATIONS
OF RAILROADS IS
NECESSARY
II Is the Only Way In Which
Accurate lnforma-
lion Can be
Secured.
FEDERAL CLERKS
Finish BIG TASK
They Have Provided Statements
for Use In Determining the
Standing Of Roads for
Benefit Of the
Commission.

Washington, Dec. 12.---The work
of the experts in preparing for the
government a system of accounts to
be used by the railroads is nearing an
end.
Every conceivable form of account
necessary for steam and electric roads
has been prepared, and is in full use
by the railroads-with the single eX-
ception of the balance sheet. This
final work is now being done. This
system is as complete as expert
knowledge and hard work can make
it, and yet the federal experts are
confronted with the fact that their
structure lacks keynote.
The balance sheet will, of course,
call for statement about the value
of each road. and the information
thus given might. under some cir
cumstances, become exceedingly i'm
portant to the government in its at
tempt to exercise supervision over
the roads. But that figure under
present conditions is of comparative
ly little value, for 1t is not intelli-
gent
No one knows fully what it may
mean, except that the accountants
for each individual road may have a
fAnis. accurate idea OF what Sle3
mean by their own particular figures.
The only way that a uniform AMI
definite meaning can be given to the
railroads figures on cost Is to make
a physical valuation of all the roads
in the country. 1t Will be admitted
ly necessary for experts TO count the
ties and appraise the entire outfit
from Maine to California. Thus the
conclusion of the governments work
in introducing a uniform system u
accounting becomes a pressing argu
ment for the policy which has beer
championed by President Roosevelt
and at which Congress has thus fai
baked.
Without the physical valuation anC
without uniformity as to cost figures
the accounting system still serves TIL
purpose of keeping the railroads oil
their good behavior especially will
regard to rebates. But the highes
use which can be served by the uni
form accounting carried on unde
federal supervision is to give the in
terstate commerce commission relia
Bile information on which to base ii
car valuation the present system ca
not be accurately used for that pur
pose.
Persons in close touch with tn
governments growing work in raj
road regulation believe that the al
guments for physical valuation al
growing steadily, In views of sue
developments as this regarding tn
usefulness of the new system of az
counting they believe that a complet
inventory of the railroads of III
country is inevitably coming.
Without such an inventory the II
terstate commerce commission is 81
riously crippled i'm deciding upon ii
Justice Of rates, for the commission
ers have no accurate means of know
ing the investment upon which
given road ought to produce return
Consequently their judgment on rat
is largely relative They know VIII
wheat can stand as compared wit
pig iron. But they have no defini
information upon which to build
complete schedule of rates.
whether Congress can be broug
this winter to see the wisdom of a
thorizing physical valuation is b
question. The national legislature W
doubtless have the chance, anyho
But those who see through the ey
of the interstate commerce comm
sion believe that they are sure
come to II ultimately