The daily banner. (Cambridge, Md.) 1897-2008, 1917-12-06
URGE u. S. TO ]
TAKE RAILROADS
May Run Them il They Are
Not URifi8d,
LAWS HAY Be SUSPEND
interstate Commerce Boards Aiterna-
tive War Measures Ara Eig e.
Rates and Lean by Governments.

''N'N~S ~~-'G N-~--'' - ~ - '''''N''-'
Washington, Dec. 6.-GayernmeTt
1e"gtiou OF railroads fer tle -uza-
.lan ~. lie war, if Unifoat:0l of lie
,-aEsr rt9 ion system is net ie II : !
I'D ly congress, was recommended -
congress bv The interstate Dommerea
commission. i'll a special port.
An increase in rates, q -nv nmel
loan Of money, and the suspension Of
tie IN irruet and antt-poo.i~ 9 avs s
far as railroads are concerned for the
duration Of The war, were -gc-mmend- /
ed by the commission as an aI1erna-
tive
After reviewing the extraordinary
demand on the railroads during tae
7ast wear md the increase in Iabbr /
md material costs. the comm ssion's
special ran0rt says:
The act 10 regulate commerce was
not enac. ed to meet such stuation
The carriers have the right to d-man
at our hands and it is our du.y 80
approve. jVst and reasonable RAGS
sufficient 10 yield fair returns upon
the value Of the property devoted to
public use after necessary expeBdi.
lures. Measured in dollar
the gross revenues Of the CART 5rs (
during tho past and current fiscal
years exceeded any in history. But
what the dollar will buy IN Hator,
material and supplies is substantially
less
''We are sensible of the vital and
imperative need Of the hour that our
railroads shall not be permitted to
become less efficient or less sufficient /
Q realize the gravity of a serious
breakdown Of our transportation IA
cilities. It Is unthinkable that shis
breakdown would be permitted T. it
could be prevented. Increased cha.ges
for carriage, if found Necessary to
take care of unavoidable increases In
operating expenses would not at this
time bring new capital on reasonable |
terms in important sums.
"In our opinion the situation does
not permit of temporizing All ener-
gies must be devoted to bringing the
war to a successful conclusl- - ard
to that end Il Is necessaE..
transportation systems be placed land
kept on the plane of highest efficien- !
cy. This can only be secured through
unifcation Of their operation during
the period of the war.
'1f the unification is to be effected
by the carriers they should be en-
abled to effect It in a lawful way.
To that end, in our Judgment, the
operation of the inti-trust laws except
in respect to consultations or mer-
gers of parallel and competing lines
as applied to rail and water carriers,
subject to the act to regulate com
merce and Of the anti-pooling provis-
ion of Section of that act, should
be suspended during the period of
the war and until further action by
the congress.
"In addition they should be provid-
ed from the government treasury
with financial assistance in the form |
of loans or advances for capital pur-
poses IN such amounts, on such con-
siderations and under such superyis- !
ion of expenditure as may be deter |
mined by appropriate authority.
GAS a necessary concomitant, the |
regulation of security issues of COM |
mon carriers engaged in interstate |
commerce should be vested in some |
appropriate body, as recommended in
our annual reports. The rights of |
shippers for reasonable rates and !
non-discriminatory service under the /
present Jurisdiction of the commission !
need not be seriously interfered with |
by such unified control. Some elastic !
provisions for establishment of new
routes would probably be needed.
"Tf the other alternative be adopted |
and the president operates the IsiI-
roads as a unit during the period of /
the war. there should be. in our opin-
ion, suitable guaranty to each carrier /.
of an adequate annual return for use |
Of the property as well as of its up
keep and maintenance during opera
ton with provision for fair terms on
which Improvements and betterments |.
made by the president during the |
period of his operation could be paid !
for by the carrier upon return to it /!
Of the property after expiration Of
that period"