The Richmond Virginian. (Richmond, Va.) 1910-1920, 1915-03-14
WANTS MORE POWER
IN !. c, COMMISSION
aEA, OF THE PENNSYLVANIA, SAYS
1T SHOULD BE ABLE TO GIVE
RAILROADS STRENGTH.
:
NEED PRIVATE CAPITAL
THINKS INVESTMENT Required
ron EXPANSION AND FOR CON-
sERvING CREDIT WOULD
RESULT.

RESULT.
Tho recent suggestion made by
President Samuel Rea in the annual
report OF the pennsylvania Railroad
Company Is one of the most notable
utterances which ever proceeded from
the head of u great corporation that
is subject to regulation by an agency
vi the general government. says the
Manufacturers Record. Briefly put
he recommended that the Interstate
Commerce Commission should be
clothed with power by law to strength
en the railroads so as TO encourage
the investment in them OF private cap
ftal required for their expansion and
also to conserve their credit by grant
ing them reasonable rates commensu-
rate with the Increased expenses i'm
posed upon them by legal requirements
and government awards. etc; further
more, that the Commission should be
| enlarged and reorganized so that ii
might deal promptly with railroad
questions. and also that the commits
sioners should he placed beyond the
Influence of politics by long terms of
ONCE, with salaries ample 10 draw and
retain men of adequate ability and
experience.
In connection with these general re-
eoinn endations President Rea presented
several supplementary suggestions
making clear the reasons for the pro-
posed enlargement OF the powers OF the
commission and the advised increase OF
its mem eership. mentioning particu-
iarly authority to reduce or advance
rates as might he Adv.sa Bile, TO regu
late The revenues of the railroads for
carrying the mails and the parcels post.
and other questions of either expenses
pr revenues. and he finally pointed out
| that increases OF wages. etc. should
1ot he allowed unless the rate sche-
Fdales were sufficient to bear them or
the Commission was prepared 10 APP
prove rate increases sufficient 30 meet
the advances OF pay without iessenIng
the credit of the lines thei- eff
| cheney.
These remarks are weigh,iiy perth
nent to the existing railroad situation.
Conditions with respect TO the rail-
roads OF the United States were never
more serious and deserving OF deep and
pzinstaking consideration than now.
In spite OF the fact that the whole
trend OF railroad operating for num-
Der of years has been In the direction
of hauling the greatest number Of
cars Of freight tn "a train for the pur-
pose of reducing the cost of transpor
taticn per ton per mile, millions of
dollars being expended for heavier
motive power and rolling stock, all
equipped with the most powerful train
brakes with this end In view. the eff
forts OF other men. I'm iawmaking
bodies and elsewhere. have simultan-
eousiy been directed in such manner
as would nuliify the endeavors OF the
railroad managers. Notwithstanding
that the companies are employing more
men than ever to conduct their bust
ness, and also that II is safer than
sver for both the employees and the
patrons OF the roads.
Deep IN financial and operating prob
lens which demanded the combined
and utmost thought and study of the
ahiest railroad managers OF the eoun-
Try. the companies found that no
sooner were they about TO receive n
morsel OF what they had asked from
the Interstate Commerce Commission
than they were confronted by Increased
demands from employees. backed by
| political influence, and which threat
ened TO neutralixe the modest BENEFITS
that were granted. At the same time
proposed legislation In this and that
State appeared to prevent the operation
Of trains longer than \ certain number
Of cars. this hSing in addition to the
fuli-crew laws treally excess-crews
laws, according 10 the claims of the
roads, supported by evidence from their
operating offcersl. to which reference
was recently made In these columns
| And these complexities have come
| about mt time when the decline In
railroad traffic as compared with late
years has been appalling. the falling
OF in operating revenue ON the Penn
| sylyania system alone In 1914 being
over a3S,oo0.ooo as compared with
1919.
Here Ia legislation or proposed leEis-
lation which would stop progress with
respect to railroad practice. Engines
and cars of large capacity have made
possible here today the lowest freight
rates of any country In the world yet
ill-considered laws would prevent the
| public from enjoying the advantages
| which railroad equipment and heavy
roadways are extending to the people
II this sort of lawmiking Is to be
trontinued, the companies will not be
able to meet the requirements OF hus-
mess when finance and commerce flow
again In their usual channels and re-
sume growth at the rate OF progress
which they followed during the last
twenty years. In such an emergency
the outlook Is most gloomy for the
railroads. and II behooves everyone to
lend aid toward checking the demands
upon them in order that their credit
NAV he more firmly established and
financing assured for them to fully
play the great part which they are
obliged TO assume in the economy OF
our times.