Evening journal., 1914-01-31
BURLESON FOR
LEWIS WIRE
CONTROL PLAN
Postmaster General again
Urges Government Monopoly
of All Lines
WOULD NOT TAKE
OVER FARMERS WIRES
BY The United Press.

establish monopoly Of the telephone
and telegraph business was contained
i'm a report made to the Senate today
by Postmaster General Burleson. 1t
was in answer 10 the Norris resolu-
tion requesting Information which the
Post Onlce Department had collected
on the subject, and its conclusions
were as follows:
"The oniy way to afford to the peo-
pie the complete and modern postal
facilities that the Constitution makes
1t the duty of the government TO pro-
vide, Is pu. into effect in the follow
ing recommendations:
THAT Congress declare a govern
ment monopoly over all telegraph,
telephone and radio communication
and such other means for the trans
mission Of intelligence as may here
after develop;
THAT Congress acquire by purchase
at appraised value the commercial
telephone network, except the farm
ers' line;
"That Congress authorize the post
master general to issue, in his dis
cretion and under such regulations
as he may prescribe, revocable IL
censes for the operation, by private
individuals, associations. companies
and corporations of the telegraph
service and such parts OF the tele-
phone service as may not be ac-
quired by the government"
The report summarizes the inves-
tigation of "A departmental commits
sion appointed several months ago
to look into the matter. II Is n COM
plete endorsement Of the government
ownership plan advanced by Repre-
sentative David J. Lewis, of Mary
land.
"The founders OF this nation" the
report asserted. "were keenly alive to
the Importance Of keeping exclusive
ly under government control all
means Of communication.
"The telegraph and telephone sys-
TENS have long been recognized as
necessary adjuncts to complete pos
tai service. AS with all other pri-
vately controlled public utilities, these
facilities have been extended IN our
country only in proportion as the SER
vice be performed has insured sub
stantial dividends to the stockhold-
ers. Under private ownership, there
fore, the telegraph and telephone are
for the classes. Under government
ownership through the postal ma
chinery which Is conducted IN the
interest OF the whole people and al
ready reaches every mans door. the
benefits Of these facilities could be
extended 10 the masses.
1T is obvious that the longer the
acquisition by the government OF
these facilities IS deferred, the great
er VIII be the cost. Moreover, Il IS
economic waste to permit private en-
terprise TO build up vast properties
that must eventually be taken over
by the government in resuming its
constitutional monopoly O."
The report goes into great detail
in discussing "Prohibtive rates" IN
telephone and telegraph services.
Statistics we're presented showing
that the telephone toll service IS
growing at the expense OF the tele-
graph. The report explained the
simple and inexpensive" manner In
which telephone wires could be trans
formed into telegraph sets as gack-
ing up the recommendation that the
government need only purchase tele-
phone systems and through them
start the government service.
There Is a radical difference the
report continued. between the poll
cies OF a public and private mo-
noply. In extension OF service the
determining factor with the govern
ment Is the needs OF the people: with
the private monopoly. the consider
alton OF profit. In fixing rates the
government must only see that the
service as a whole Is self-support-
ing. The private monopoly must make
proht and tends 10 increase its
rates to the highest point"
ihat the Bell companies are working
assiduously toward a nationwide mo.
nopoly' was declared Refusal of tho
trust TO make physical connection.
with independents, Burloson said. "ha-
deferred the development of independent
4 systems and seriously crippled thos,
started" This IL approved in the re.
I port from the standpoint of engineer
ing.
The report declared emphaticallv that
III is the duay OF the government, I,
make telephones available 20 an of iti
citizens without discrimination.
Competition applied 20 the publt
utility has clearly been shown 10 result
in waste and incilicicncy due TO duplca.
tion," the report stated. "Not artincia
roltraint. but natural department unde
government control Is the true policl
for the public interest"
Merger Of the $4,000 postal Office,
with their 100000 employees. with tn,
$4,000 telephone offices and theii
100000 employees would be easily an,
economically accomplished. the re-
port stated. Automatic telephone in
struments would also curtan expense
Acquisition OF long distance line
first was urged, to be followed By 10
cal exchanges. Desirability OF ac
curing farmers private lines 8
seriously questioned"
That the entire commercial net
work is worth $4,000 600. but woul
( cost the government less because eA
change buildings and other propert
need not be acquired. was recite,
: Purchase OF the lins in bulk and pa,
D ment on the installment plan wa
recommended. A bond issue was DIT,
. posed. That telephone security hol,
4 ers would buy government telephor
bonds was the belief expressed
I Pointing to IN financing OF the Pan
ANA Canal, the United States Ste
Corporation and purchase OF raj
roads by Japan and Switzerland,
was stated that no difficulty of finanl
e ing would be met with.
i FINE HER FOR MISCONDUCT.
4 I.N. n