The Washington herald., 1913-12-18
u. S. MAY own
ALL WIRELINES
ooNr1NuED rBoM PAGE ONE.

interests, and this can be accomplished
only through government ownership.
The act of July q. 1866. providing for
the government acquisition Of the tele-
graph lines upon payment of an ap-
praised valuation, and the act of 1907
directing the Postmaster General to re-
port to Congress the probable cost Of
connecting a telegraph and telephone
system with the postal service by some
feasible plan are evidences of the policy
If this government ultimately to acquire
and operate these electrical means OF
communication as postal facilities, as is
done by all the principal nations. tina
United States alone excepted.
THE successful operation of the par
eel post has demonstrated the capacity
5f the government to conduct the pub
lc utilities which fall properly within
he postal provision of the Constitu-
ion.
Receipts Have Increased.
Every argument in favor of the gov
ernment ownership of telegraph lines
Fmay be advanced with equal logic and
force in favor OF the government owner
ship of telephone lines. 1t has been COM
petently decided that a telephone mes
sage and telegram are the same, within
the meaning Of the laws governing the
telegraph service, and therefore it is be-
ieved that the statute enabling the gov
ernment to acquire upon payment Of an
appraised valuation, the telegraph lines
Of the country will enable the govern
ment to acquire the telephone network
Of the country"
''Since June last the department has
been conducting an investigation to de-
tsrmine the desirability and practicable
ity Of extending the government owner
ship and control of means OF communi-
cation, with a view to the acquisition by
the government of the telegraph and
telephone facilities, to be operated as an
adjunct to the postal service The Post
master General is now engaged in re-
viewing the data collected, and later, II
desired, will submit same to the ap-
propriate committees Of Congress for
their consideration"
AT the Postofice Department 1t is said
that all of the big telegraph companies
of the country fall within the operation
Of this statute and have on file with the
clerk of the Postoffice Department writ
ten acceptance. of the restrictions and
obligations imposed by the act, which, ac-
cording to the Postofice Departments
contention includes the Acknowledgement
of the right of the United States to pur-
chase the wire properties at their ap-
praised value.
Considering Lewis Bill.
The bill which Mr.. Burleson now has
under consideration has been drawn by
Representative David ]. Lewis, of Mary
land, the father of the parcel post legis-
lation. Lewis has been working on this
problem of government ownership of
wire facilities for months, and has col
lected a bushel Of statistics. His bill,
however, provides only for the acquiring
80 Gala
phone lines of the country, long distance
and local. The Lewis scheme is to equip
the telephone lines OF the country in
such a way that they can be used also
In a telegraph service. Lewis proposes
then to have the Federal government un-
dertake the conduct of regular tele-
graph business as well as the manage
ment of the immense telephone system
of the country. In other words, Mr..
Lewis would have the government enter
actively into competition with the exist
Ing telegraph lines. Apparently he would
subject them to the same sort Of treat
ment that-the express companies have
received through the competition of the
parcel post. In fact, it is understood to
be Mr.. Lewis idea that the telegraph
companies eventually would be glad to
consent to the government taking over
the entire wire control of the country.
Mr.. Burleson's views expressed today,
however, do not indicate any such limited
lction on the governments part He
seems to favor the acquiring of the tele-
graph as well as the telephone lines, and
in this he is commended by members of
Congress, who contend that any such
plan as Lewis proposes would practically
amount to an effort to sandbag the tele-
graph companies into selling out to the
government at a low figure.
Requires 5000, 900, 900.
Representative Lewis has estimated
that it will require an outlay Of $500, 600,
roo to purchase the telephone systems of
the country, Just about twice the amount
that it has cost to build the Panama
Canal He figures that the cost to the
government would be reduced by about
ZOO, 900 If the purchase of the tele-
graph companies is eliminated.
Under the Lewis plan also, the ap-
praisal is to be made by the Interstate
Commerce Commission, and not by a
commission composed of two representa-
tives of the government, two of the COM
pany concerned. and a fifth chosen by
these four. When the valuation has been
determined, Mr.. Lewis would have the
government issue per cent bonds, with
which to take up the obligations. He
would give the stockholders and bond |
holders of the telephone companies the |
the basis of the actual appraisal of gov
,rnment bonds in the new system.
Lewis estimates that the government |
nould earn at least 800, 900 annually |
h rom the telephone lines, and that such |
,arnings should be used to pay OF the
government telephone bonds, which would
un for forty years. Eventually, the |
.ates could be reduced until the system |
was merely on a Self-sustaining basis. |
Mr.. Lewis would reorganize the long
distance telephone rates at once, but
maintain the present local rates until the |
government has obtained accurate data
IN regard to the system.
Higher Than in Europe. 81
I Mr.. Lewis has compiled a vast array OF
CURES, comparing the telephone rates
IN this country with those in effect in
Europe. These have been laid before the
'ostInaster General. Mr.. Lewis will con-
end on the floor of the House that
ONE of these long-distance rates are 900
er cent higher than the rates for the
anne distance in Europe. When it comes
o this, though, he will be confronted
With a comparison of the service in this
,ountry and in European countries.
The Lewis plan also contemplates the
utilization of postage stamps in payment
1r telegraph messages, thus eliminating
me cost of accountings in handling tele-
ans.
Lewis had expected to introduce his
lin in the House Immediately after the
Postmaster Generals report had been
made public. Today, however, the Mary