New Britain herald., 1917-06-20
POOL COAL
 INDUSTRY OF U. s.
Federal Trade Commission Rec ommends Control by President
FEARS WINTER DISASTER

Suggests Government TAke Over Pro-
 ductton and Raal and Water Trans-
 porta&aon and Return Them at End
 of waz.
 Washington. Juno 70.-Govsrnment pools of coal production and distri- button and of rail and water trans- portation were recommended to con- gress today by the federal trade com mission as the only means of avoid ing a disastrous coal shortage next winter.
 The commission bklieve,,' says the report. ''that the coal industry is paralyzing the industries of the coun- try and that the coal industry itself Is paralyzed by the failure of transpor- tation. There are enough coal cars in the country. but not enough are de- livered to the mines. and these cars are not moved to points of consump- ton with the greatest expedition nor are they promptly discharged.''
 In view, of these conditions" the report says:
 First. that the production and dis tribution of coal and coke be con- ducted through a pool in the hands of government agency; that the pro- ducers of various grades of fuel be paid their full cost of production plus uniform profit per ton (with due al- lowance for, quality of product and efficiency of service). and.
 Second that the transportation agencies of the country. both rail and water. be similarly pooled and operat- ed on government account, under the direction of the president and that all such means of transportation be op- erated as unit, the controlling cor porations being paid just and fair compensation which would cover nor- maj net profit. upkeep and better ments." .g .,a2 These recommendations are ap- proved by Commissioners Davies, Col yer and Fort. Chairman Harris dis scents on the plan for transporta- tion pool except as a last resort. and suggests instead ''that during the war the president be authorized to order rail. and water transportation agsn- cies to give preference to shipments of coal. coke Aand other commodities in the order of their importance to the public welfare"
 
 l mediate legislation to correct condi- tions. lsays the report. because tho i usual spring and summer, accumula- tions of coal stocks at points distant ! from producing districts ''is not now taking place" l Present production of ':soft" coal is forty per cent under the possible maximum, principally because of coal car shortage. the report declares. Contributing factors in the disor- ganixation of coal transportation are 1 the high barge rates from New York ] and Newport News to Boston, and I the practice of lake ships to make i trips to the northwest in water ballast rather than carry coal Discussing the proposed remedy. ! the commission says:
 eff the producer at each mine were paid his full cost of production with l allowances for depletion. mainte- 1 nance, upkeep and all the usual items. 1 and to this were added fixed and uniform net profit per ton with due regard to the quality the coal thus produced, at widely varying costs. If i pooled could be sold through the gov- ernment at an average and uniform price, quality considered. which would De 0nC1T0ly tClSFdulo Co sA0 SOAS0AaAAAA6 . I public.
 .'The railroads of the country if op- erated as unit and on government account could be used to transport coal and other products by the most direct route to their point of destina- ton and the efnciency of the roads themselves, existing rolling stock and 1 motive power would be vastly tn- creased. t
 "All receipts from all rail and water 1 transportation agencies being pooled in the hands of the government and all expense of operation being paid from the common fund. each indi- vidual company should be paid a just compensation which might be meas ured by the average annual net profit and expenditure for maintenance and 1 bettermcnts for the five year period prior to the war.
 '"The operation. both of the mines and of the transportation agencies
 could be carried on by the present employees and officials, and after the war they could be returned unim-
 paired to private operation
 The commission will continue its
 investigations. @