The Greenville journal. [volume] (Greenville, Ohio) 1850-1918, 1916-12-07
CONGRESSIONAL
COMMITTEE BEGINS
RAILWAY INQUIRY
Proposed by President TO Bet
ter Condition Of Carriers,
MAY CHANGE PRESENT SYSTEM


Federal Incorporation, SDpervision Of
Securities and Exsencion Of Authority
of Interstate Commerce Commission.
Washington. Nov. 20-Tea members
Of Congress. five Senators and five
members of the House of Representa-
lives, began here today an inquiry i1tO
| the subject of public control and su
| pervisiOn of railroads that may lead to
| the revolutioniZing Of the whole scheme
Of governmental regulation of the coun-
| try's transportation lines. incidentally
the committee is to look into the ques-
| ton of government ownership of rail
ways, telephone and telegraph lines
and express companies
The members Of the committee
which will conduct this important in
vestigatiOn are Senator Newlands Of
Nevada, chairman: Senators Robinson
Of Arkansas, Underwood Of Alabama,
Cummins Of Iowa and Brandegee of
Connecticut, and Representatives Ad
amsOn of Georgia, Sims of Tennessee,
Cullop Of Indiana, Esch of Wisconsin
and Hamilton Of Michigan. The in
quiry was recommended by President
Wilson in his message to Congress in
December Of last year. He described
as its purpose to determine what could
be done "fOr bettering the conditions
under which the railroads are operated
and for making them more useful serv-
ants Of the country as a whole"
Prominent Men as Witnesses.
In order to obtain the views of all
interests affected by the operations of
the transportation lines the committee
has invited prominent shippers, bank
ers, representatives of commercial or
ganiZatiOns, railway executives, econo-
mists and others to appear before them.
The first to be heard are railroad
commissioners of various states who
began their evidence today. Their
testimony is directed chiefly to oppos-
Ing apya enlargement of the federal
authority over commerce that would
detract from the powers now exercised
by state bodies. They will be followed
shortly by officials of railway labor
organizations who are expected to reg.
ister their opposition to the increase
Of governmental authority over wages
and conditions Of labor.
Chief interest in the hearings cen
ters in the proposals that will be put
forward by representatives of the rail
roads, for it is reported that they will
advocate an extension of federal au
LhOrity over rates and securities to the
practical exclusion of state control of
these matters. 1t is understood also that
they will go on record in favor of fed.
eral incorporation Of all railroad lines
Legislative Program of Railroads.
From an authoritative source is OBJ
tanned the following outline of the leg
islative program which the railroads
will ask the committee to consider In
its investigation: They will endeavOr
to demonstrate to the commission that
one of the principal defects in the pres
ent system of railroad regulation is
the simultaneous and conflicting regu-
latiOn by the federal government and
by the 4S states They will, therefore,
ask that entire governmental control
Of the rates and practices of interstate
carriers, except purely local matters,
be placed in the hands Of a federal
body so that interstate traffic may be
regulated without reference to state
lines. leaving to the state commissions
jurisdiction only over local matters and
| local public utilities. As part of this
plan, compulsory system of federal
| incorporation is to be recommended,
accompanied by federal supervision of
| railroad stock and bond issues.
A reorganization of the Interstate
I Commerce Commission will be asked
in order to enable the commission prop
crly to exercise its increased powers.
It is also proposed that the preparation
| md prosecution Of cases against the
'ailroads shall be delegated to some
Dther agency of the government. posi-
bly, the Department of Justice, so that
he commission may devote its ener
ies to it's administrative functions
With the commission thus relieved
If some of its present duties and equip
ped to handle its business more prompt
Y. the railroads will urge that the pc
riOd during which the commission may
now suspend proposed increases in
iates be reduced from ten months to
20 days, with provision for reparatiOn
be paid to the shippers if the ad
'ance shall be declared unreasonable.
They will also ask that the commits
sion be given the power to prescribe
minimum as well as maximum rates
so that in meeting complaints of dis
elimination the commission may order
the advance of rate which it consid
ers too low.
One of the most important recon
mendations for which the railroads
will ask favorable consideration l.;
that the commission be specifically
authorized to take into account In
rate regulation the effect of rates
upon total earnings in the light of ex-
penses.
While the Newlands Committee ds
required, under the resolution Great
ing it, to submit a report by January
2 next, it is not anticipated that the
Committee will have come anywhere
near completing its labors then.
~------- - -->--H---n-------