New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-12-06
Unity or Seize Roads, Commerce Board Urges

of the conflict. Under such conditions,
and pending the acquisition of such
additional facilities and equipment, 1t
is indispensable that those now in
existence should be used TO their full
est capacity, primarily for the uses
which are most vital to the country's
defence and welfare, but without un-
necessary hindrance to the industry
and commerce of our people, upon
which their ability to contribute tow
ard the success of the war so largely
depends.
"The act TO regulate commerce was
not enacted to meet such a situation.
The carriers have the right to demand
at our hands. and it is our duty TO
approve. just and reasonable rates
sufficient to yield fair returns upon the
value of the property devoted to public
use after necessary expenditures. . &.
Measured in dollars, the gross revenues
of the carriers during the last and cur
rent fiscal years exceeded any in their
history. But what the dollar will buy
in labor material and supplies is sub
stantially less.
Eve arc sensible of the vital and i'm
DeTAtliP
railroads shall not be permitted to be-
come less efficient or less sufhclent'
We realize the gravity OF serious
breakdown of our transportation IA
cilities. Il is unthinkable that this
breakdown would be permitted II II
could be prevented. Increased charges
FOR carriage. il found necessary TO take
care of unavoidable increases IN oper-
atine expenses, would not at TINS time
bring new capital on reasonable terms
in important sums.
Commission Not to Temporize
ain our opinion tho situation does not
hermit of tcmporizing. All energies
must be devoted TO bringing the war 10
a successful conclusion, and to that emo
il is necessary that our transportation
systems be placed and kept on inc
plane of highest efficiency. Thus can
be secured only through uniiication OF
their operation during the period oil the
war.
"If the uniiication is to be effected by
tho carriers they should be enabled 20
effect il in n lawful way. To that end.
in our judgment, the operation OF the
antitrust laws, except in respect OF
or mergers OF parallel
and competing lines, as applied 10 rail-
and water carriers, subject TO the act
to regulate commerce and of the anti
pooling provision of Section OF that
act. should be suspended during the
period of the war and until further ac-
ton By the Congress.
"In addition thsy should be provided
from the government Treasury with
financial assistance in the form OF loans
or advances for capital purposes IN
such amounts, on such considerations
and under such provision OF expendl-
ture as may be determined by appropri-
ate authority.
Control OF Securities
AS a necessary concomltant tine reg
ulation Of security issues OF common
carriers engaged in interstate com
mercc should be vested in some appro-
pirate body, as has been recommended
in our annual reports. The rights of
shippers for reasonable rates and non
discriminatory service under the pres
ont 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.
"lf the other alternative be adopted
and the President operates the rail
roads as a unit during the period Of
the war. there should be, in our opinion,
suitable guarantee TO each carrier of an
adequate annual return for use of the
property a. we'll as of its upkeep and
during operation. with
provision for fair terms on which i'm
proyements and betterments made b.
the President during the period Of his
operation could be paid for by the car
rler upon return 10 it OF the property
after expiration of that period"
McChord's Supplementary Report
Commissioner McChord in his sup
Elementary report said:
THE special report of the majority
of the commission leaves unsaid some
things which should be plainly stated
II prompt and sure relief is 10 be
brought to the present transportation
situation. That the lack of adequate
railroad service, particularly in East
ern territory, is serious at the present
time and Is a cause of grave concern
for the coming winter months needs
no demonstration. Every one knows
IT who knows anything about present
business conditions.
That the industries Of the country
engaged in making war materials. As