New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-12-13
Presidents Reported
Plan Is to Guarantee
Earnings and Deal
With Labor
Billion a Year
May Be Price
Neither Officials Nor
Shareholders To Be
Affected by Pro-
posed Seizure
By Carter Field

" ASHlNG ON. Dec. iz.--f OIloNlNk
is the solution of the railroad problem
which onSof President Wilson'S closest
advisers thinks the President will ad-
vocate before Congress in the imme-
diate future, perhaps this week:
The railroads 10 be run as one
organization, under their present
executives, but under the supreme
authority Of some administrative
body. probably one man, 10 be named
by the President.
2-The government to take entire
financial responsibility, guaran-
teeing TO each OF the roads a sum
applicable for dividends or interest
on their bonds equivalent TO their
net earnings under normal condi-
tions, to be fixed either as of 1916 or
for some period Of years to be Sc
lected.
3-The government to furnish every
thing needed in the way Of ad-
ditional equipment, additions and
betterments, and allowance for money
thus spent TO be taken into consid-
Grafton when the roads are turned
back to their owners, the security
holders--if they are turned back-st
the close Of the war.
d-The labor problem TO be met by
the government. Thus advances
in wages, il made, will not affect the
returns Of interest and dividends 20
railroad security holders. the amour.
TO be paid them being fixed as stated.
except that if the reads are handed
back to their owners at the end o.
the war there will be, of course. tn,
additional burden in cost Of oper-
alton.
S-The anti-pooling and antitrust
laws affecting the railroads to
be repealed for the duration of the
war. so as to protect the executives
in operating the systems from in
quiries on the part of tie Attorney
General.
Administrators Name a Secret
The Tribune's authority thinks that
this is as far "a the legislation 10 be
asked By the President will go. He
declined to give an inkling as TO who
might be appointed as administrator.
though there is much gossip around
Washington with respect to that.
One Of the most credible rumors is
that Secretary of the Interior, Franklin
X. Lane. will be appointed. He has
many advantages, such rs having
served with distinction on the Interstate
Commerce Commission, having the
confidence of the country. etc. He is
intensely radical, but the President hs,
selected many radicals for important
positions.
Another important point is tina. he
was born in Canada, and can therefore
never be President This commends
him in two ways. First, he would not
De as apt 10 run the railroads political
ly, and attempt either By playing TO the
galleries or by putting his friends in
Office 10 enhance his chances for the
1920 nomination. Therefore he would
presumably do the best he ccad. with
out fear or favor. Second, he would
not be opposed through fear he might
take advantage of his position b. Sec
retary Of the Treasury McAdeo or Sec
retsry OF War Baker. both Of whom are
high in the Presidents regard. and
both Of whom are suspected, in politi-
cal circles. Of desiring that 1920 nomi-
nation for themselves.
Wilson Discusses Problem
Headed by Fairfax Harrison. the
members OF the Railroads War Board
spent more than an hour with the
President this afternoon. Il is under
stood that they concentrated in a fight
against government ownership, and
protested at any further movement
toward government control during the
war than a Traffic Director. who would
coordinate the priority orders. II is
further understood that they failed 10
make mucn impression against the
Presidents programme as outlined
above.
Almost immediately after the con-
ference with the War Board officials
the President conferred with Thetus
Sims, who will be chairman Of the
House Interstate Commerce Committee
after next Saturday. when Judge Adam
sons resignation will take effect.
Still later IN the afternoon the Presi-
dent saw representatives Of the four
brotherhoods for about ten minutes
These were W. VI. Clark. vice -presi-
dent OF the conductors; y. J. MeNs-
mara, yice-president Of the Gremen and
enginemen; IL. F.. Wills, assistant grand
chief Of the enginemcn. and W. n.
DOak. vice-president of the trainmen.
The brotherhood officials declined TO
discuss their interview with the Presi-
dent, but il Is understood that they op-