The Birmingham age-herald., 1908-02-16
IF l WERE THE GOVERNOR

taqonism o Railroads Should Not
 Exist and That He Might
 Like the Governorship.
 Tt. Worth. Tex, February 15.-D. T. Yoakum, head of the Rock Island rail- road lines, addressed the State Associa- ton of Commercial Secretaries here today. His speech discussed problems of develop ment which the country faces. He de- clared there is but one position for which he would give up his present work and that is to be governor of Texas so that he could develop that state. He said he could bring 5,0oO,OOO people to Texas in four years if he was governor of the state.
 MT. Yoakum spoke in part as follows:
 I am not talking in fault-fndng man ner, but it is for the people of Texas to consider whether or not it is to their in terest to treat the existing railroads fairly, and fix laws on fair and equitable basis as will Invite capital to make further railroad investments in the state. 1 am not going into details in this connection further than to Illustrate one point which should appeal to every man as being un- just and prejudcial to existing railroads and a hndrance to further construction. The railroads of Texas are capitalized at about ,000 or S33, 600 per mile The railroad commission of Texas In it's last annual report valued the properties at 161a thousand dollars per mile, or one-half of the capitalization. The tax assessors of Texas have assessed the railroad properties on the 1907 tax rolls at 900 per mile. One of these valutions must be wrong. Either that fixed by the railroad com mission for rate making purposes or that assessed by the tax assessors for taxable purposes. If, however, the tax assessors use the same percentage of true value of property in preparing their assessment roll for railroads as they do for other property-which percentage is about 3S per cent-then they have placed the true value of the railroads at more than they are capitalized. and the owners are en- titled to consideration
 Value of Securities.
 I am not trying to defend over-capital- ization and never have. We all know that in the construction of these great prop critics there has been andsyet exists se- curites of greater face value than their actual cost. This is true of every propery in this growing country, but their value can only be arrived at by taking the values of the properties as they are found today, including their rights of way, ter minal facilities, etc, and not what they cost when they were constructed and terminals acquired, most of them many years ago.
 I believe the people of this country are reasonable and discerning and will be fair in the adjustment of this important question which is now before the whole American people; and in arriving at a solution of this problem, the railroad owners must consider the proposition in the same spirit as they are asking the people to consider it, namely, to adjust it in a business-like manner equally fair to all interests.
 I believe every citizen of Texas who knows me knows that I have been consistent and devoted worker for the state practically all of my business life, and if every mile of railroad in the state were, through adverseslaw of the state. bankrupt and thrown into the hands of receivers, destroying their ability@to build up the state or properly serve the public, I would not change my loyalty to my native country but would await until bet ter and saner reason prevailed, as I know it will in time.
 Restrictive Legislation.
 
 restrictive legislation has accomplished for the state. During the last 16 years there have been only 300 miles of rail road built in Texas; and more than one third of this entire mileage has been constructed in the last few years by interests with whom I have been asso- ciated and largely under my influence. Texas needs and should have as rapidly as money can be found for such invest ments 10000 miles of new railroad, and if the 10000 miles cannot be financed and constructed more rapidly than rail- road construction has taken place in Texas during the last Is years, which has been on the average of 24o miles a year, it will require 40 years to furnish the 10000 new miles necessary for the best interest of our state, too long for most of us to hope to see it's accomp- lishment.
 Let us see what our new sister state Oklahoma has accomplished within the last 16 years where they have until re- gently had liberal laws. There have been constructed in Oklahoma 400 miles of railroad within the same perfod-l6 years with only 25 per cent of the area of Texas. To put 1t in another way, within this period capital has come forward for over four times as much railroad in Okla horna. considering the area, as in Texas In Louisiana to the east Of you during the last Is years the railroad mileage has increased 15o per cent, and 1t now has twice as many miles of railroad as that Of Texas to the square mile. The liberal laws of Louisiana were the induce ment.
 Iowa furnishes us an illustration of what railroads accomplish for a country. Iowa. which state is only one-fifth Of the size of Texas, like Texas. has no large cities, and 80 per cent of Its area con s,sts of areable lands, while the areable nercentage of Texas is about IT. To more completely illustrate the comparison, have had a map prepared showing the narts of Iowa and the parts Of Texas located 10 miles or more from steam railroad, which speaks for itself and the following figures show the result.
 Control of Railroads.
 whatever motive might be charged against me in pleading for the future of Texas. I can say that I am on record as far back as eight years as strongly favoring a system for control of rail- roads under such rules and regulations as would properly protect the public from abuses, injustice and extortion, and equally as strong in favor of the abolition of all special privileges or discriminations asainst any class of shippers in favor of another; but when through agitation ,,ntrst laws that go to the extent or op- strncting the proper and natural deVet- onment of country like ours are passed ,nv whole nature rebels and Is against such restrictive measures. They are un- inst not only to the railroads but to the people whom the railroads serve.
 T helieve it is the duty of public officers
 gfn O Q