The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-04-02
RAILROAD BILL IS
REPORTED TO HOUSE
Although Stripped of Many Or
iginal Features, 1t Makes
Radical Changes.
PRESENT MEASURE PROVIDES
FOR A COURT OF COMMERCE
Gives Commission Power to Reg
ulate Agreements, Rates,
Routes and Securities.

WASHINGTON, April l.-Widely di
verging views on control Of common
carriers, including q split minority pre-
sentation, are expressed IN reports that
accompanied the submission of the adj
minislration railroad bill TO the house
by the interstate commerce committee
today.
The measure drafted by Attorney
General Wickersham at the instance
Of President Taft. introduced by Rep
resentatiye Townsend of Michigan and
transformed BY radical changes III
house committee into substitute
measure, already is being debated IN
the senate. In the house it probably
will follow the naval appropriation
bill.
Chairman Mann. who will act as
sponsor for the bill, though opposed
to some of its provisions will seek
on Monday TO fix a date for the bill
to be taken up.
The majority report, which Chair
man Mann signed with the other Re
publican members, stamps the pro
posed amendment as even more impor-
tant than any preceding acts for the
control of railroads. imposing no un-
due interference with railway manage
ment and comforting large benefits upon
the public.
The minority report. striking at the
commerce court. declares ono untried.
experimental legislation of doubtful
constitutional character, should be en-
tered upon by congress at time when
neither consumers, shippers nor rail
roads ask for such legislation.
The minority members, while earnest
advocates Of federal supervision of in
terstate railroads, attack the bill as
paternalistic.
Still another set of views is pre-
sented by Messrs. Sims of Tennessee
and Russell of Texas, Democratic mem
bers of the committee, who refused
to sign the minority report, although
in favor of some of its features,
Mr.. Richardson OF Alabama, who
signed the minority report. believes the
bill leads TO government ownership of
railroads and will offer an amendment
prescribing physical valuation instead
of fluctuating value Of capital stock
as Il basis for ascertaining n fair rate.
WASHINGTON. April 1.-The ad.
miniStration railroad bill, stripped Of
many of its original features but still
providing for the creation of COM
merce court and the regulation of rail.
way agreements, consultations, securi.
ties, rates and routes, all as amend
ments TO the interstate commerce law,
was reported to the house today by the
interstate commerce committee.
The bill was introduced by Repre-
sentative Townsend of Michigan Jan
uary TO- The original measure was
drafted by Attorney General Wicker
sham, who also is sponsor for several
of The amendments made by the com
mittce, but the measure contains MS
amendments liberal excerpts from the
bill presented carly IN the session by
Chairman Mann Of the committee
whose views are not in accordance
with the administration, but who takes
charge Of the bill on the floor as com
mittee chairman though personally op-
posed to many of its provisions,
Mr.. Mann will ask the house next
Monday to make the bill privileged,
failing which he will seek suspension OF
the rules TO expedite consideration. The
majority report says:
The Hepburn law of 1906 vastly inn
proved the law providing for regulatiVe
control over railroad corporations engaged
in Interstate or foreign commerce and
ity conferred upon the Interstate COM
merce commission. Experience gained
through execution OF the law shows that
some important matters which should be
the subject of government control are
not now within the scope of authority
heretofore conferred on the commission.
"The originel act 20 regulate commerce
was exceedingly important, the Hepburn
law was of stlll greater importance, but
the propositions involved in the substitute
bill reported by your committee are OF
even greater Importance. While they DO
not impose undue burdens upon the rail-
ways OF the country or unduly interfere
with the power OF the railway managers
for the proper operation OF the roads. yet
they DO confer upon tho shipping public,
the Investing public and the people At
large benefits OF tremendous value"
Creates Court Of Commerce,
Referring TO the commerce court COW
cred In the FIRST three sections OF the blll
the report says II is proposed 20 central
ize the existing authority and Jurisdic-
ton OF circuit courts in one commerce
court but without enlarging such lurls-
diction or authority. The present Juris-
diction of the United Stntes courts 10
sci aside the interstate commerce com
mission orders is believed by many To be
limited 10 the determination OF luTisdic-
tlonal facts and TO the question OF coniis-
cation by the taking or property witH-
out due compensation.
An inhibition against purchase or lease
OF capital stock of a directly or suostan-
tally competitive railroad or water lino Is
made in section IL. which also prohibits
the same person serving on competln'
directorates. 1t permits any coTporauoa
designing 10 acquire interest IN another
sIn,iiar CORPORATION 10 make a preliminary
agreement and to file n petition with the
commerce court for permission 10 carry
ont the agreement. Inc committee. DOW
ever IS considering reporting committee
amendment 10 have the petition hlcd Win
the commission instead OF with the COM
merce court.
Railway securities propositions are cm-
hoGled IN the concluding sections. They
proh!bit railroads from issuing any stock
or bonds except upon application TO the
commission which is to specify the re-
snectivc amounts of stocks. bonds. etc.
authorized 10 be issued for the respective
purposes 10 which the proceeds ere TO be
appiied and stating the price--thcir rea-
sonabIe value-at which such securities
NAV be. sold. The commission is author
iZcd 10 issue certificates in relation to
stocks md bonds and To penalizc officers
or stockholders who assent 10 prohibited
issues,
Pool Traffic but Not Earnings.
Common carriers arc authorized TO en-
ter into agreement specifying freight clas-
eIflca,ion and passengers and freight
TRANSPORTATION charges mol withstandins
existing laws. including the Sherman anti
-.-4,- Continued or Page Two.