The Mena weekly star., 1916-12-07
CONGRESSIONAL COMMITTEE BEGINS
 RAILWAY INQUIRY
Proposed by President to Bet !. for Condition of Carriers.
NAY CHANGE PRESENT SYSTEM
oseial. of Roads Prepared to Advocate
 Federal incorporation, Supervision of
 Securities and Extension of Authority o1 Interstate Commerce Commission.


 washington. s--Ten members a, Congress, five Senators and five nembers of the House of Represents t,yes began here today an inquiry into The subject of public control and su- Deryision of railroads that may lead to tbe reyolutionizing of the whole scheme of governmental regulation of the coun- rvs transportation lines. Incidentally ,be committee is to look Into the ques- ,,on 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- euiry was recommended by President wilson in his message to Congress in December of last year. He described ss 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 fhe transportation lines the committee has invited prominent shippers, bank CTS, representatives of commercial or limitations, railway executives, econo- nists 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 any 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 organizati tions who are expected to reg lster their opposition to the increase of governmental authority over wages and conditions of labor.
 Chief interest in the hearings cen tszs in the proposals that win be put fcrward by representatives of the rail- reads, for it is reported that they will sdyocate an extension of federal au- thority over rates and securities to the practical exclusion of state control of these matters It is understood also that they will go on record in favor of fed ersl incorporation of all railroad lines
 Legislative Program of Railroads.
 From an authoritative source is ob- fnned the following outline of the leg isistive program which the railroads VIII ask the committee to consider in hs Investigation: They will endeavor to demonstrate to the commission that cns of the principal defects in the pres ont system of railroad regulation is the lack of coordination resulting from ihs simultaneous and conflicting regu- htion by the federal government and hy the 4s states. They will, therefore, esk that entire governmental control of the rates and practices of interstate Hrriers, except purely local matters. pe placed in the hands of federal body so that interstate traffic may be regulated without reference to state <nes leaving to the state commissions Jurisdiction only over local matters and peal public utilities As a part of this Pisn' compulsory system of federal ncorporation is to be recommended. accompanied by federal supervision of rilroad stock and bond issues.
 reorganization of the Interstate Commerce Commission will be asked order to enable the commission prop ] Mly to exercise it's increased powers Is also proposed that the preparation sno prosecution of cases against the hhroads shall be delegated to some Nher agency of the government, possi. " the Department of Justice, so that me commission may devote it's ener Hes to it's administrative functions. With the commission thus relieved some of it's present duties and equip peo to handle its business more prompt N the railroads will urge that the De- n0o during which the commission may npw suspend proposed increases in mtes be reduced from ten months to " days, with provision for reparation @ De paid to the shippers if the ad- Hnce shall be declared unreasonable. They will also ask that the commis. @on De given the power to prescribe "lhllnum as well as maximum rates
 that in meeting complaints of dis HHitnination the commission may order 1e advance of rate which 1t consid-
 6s too low.
 ohe or the most important recon
 ~ehuauons for which the railroads
 1ll ask favorable consideration is
 " the commission be specifically 'norized to take into account in
 ue regulation the effect of rates
 pOn total earnings in the light of ex- "nie the Newlands Committee is qulred, under the resolution creat.
 It to submit report by January e1t It is not anticipated that the
 umittee will have come anywhere A' completing its labors then.