The Snyder signal. (Snyder, Tex.) 1887-????, 1917-04-02
RAILROAD SITUATION
IS NOW LARGELY
UP TO CONGRESS
Must Share Responsibility In
Future Development
ROBERT S LOVETT'S VIEWS

Qualification Of Regulation 10 Essential"
A Complste, Harmonious, Consistent
and Related sys.em Needea-Fedoral
Incorporation OF Railroads by osner-
al Law Favored
Washington. March 20 RESPONSE
bllliy for the railway Development Of
the country for providing nccessar,
transportation facilities to care Tor tn,
growing business and population OF
the country. now rests largely with
congress and not entirely with the rail.
road managers This was the state
ment Of Judge Robert $. Lovett, chair
man OF the executive committee Of the
Union Pacific system. to the Newlands
Joint congressional committee when
that body resumed It's inquiry Into the
subject Of milroad regulation this
week
In making this statement OF the
changed conditions Of the railroad sit.
uatlon Judge Lovcti undoubtedly had
In mind the decision Of the supreme
court on the Adamson law, handed
down last week which establishes the
right OF the federal government 10 OK
Hiiroud wages and TO prevent strikes.
This decision is regarded by railroad
men aud lawyers as marking an epoch
In the development Of transportation
In the United States
I'VE have our share of responsibility,
said Judge Loyctt but It rests prlma.
rily on congress When the govern.
ment regulates the rates and the lnan.
cial administration Of the railroads, the
borrowing OF money and the Issuance
Of securities II relieves the railroad or
flcers Of the responsibility Of providing
and developing transportation systems.
except within the limits Of the revenue
that can be realized from such rates
and under such restrictions,
= For country such as ours. for
people situated as we are, 10 blunder
along with series Of unrelated, incon.
sistent. conflicting statutes enacted by
different states without relation to
each other. Instead OF providing a com
plete and carefully studied and pre-.
pared system Of regulation for bust.
ness that is so vital to the life " the
nation. Is worse than folly"
lie summed up the present problems
and difficulties Of the railroads as FOL.
lows:
First.-Thc multiplicity Of regula.
tons by the several states with respect
to the Issue Of securities, involving de-
lays and conflicting state policies gen.
orally dangerous and possibly dlsas.
trous.
Second.-The state regulation Of
rates In such manner as to unduly
reduce revenues, TO discriminate In "a
vor Of localities and shippers within
Its own borders as against localities
and shippers In other states and to dis
turb and dlsauange tho structure Of
Interstate rates,
Third.-The inability of the Inter
state Commerce Commission. whoever
the commissioners may be. TO perform
the vast dulles dovoIylng upon It un-
der existing laws. resulting In delay
which should never occur IN CONNER
clal mattcrs-and compelling the com
missionors 10 accept the conclusions
Of their employees MS final In deciding
matters Of great importance to The
commercial and railroad interests ul
the country.
Fourth.-Thc practical legality thar
has been accorded couspiracies 10 liz
up and suspend the operation " the
railroads N the country by strikes and
violence and the absence Of any IN
to compel the settlement Of such dis
putes by arbitration or other Judiclnl
means, as all other ISSUES between citi
zens In civilized states are 10 he set
tied
Filth The phenomenal Increase IN
the taxation NJ railroads In recent
years.
slxth.-Thc cumulative effect Of
these conditions upon the investing
public. to which railroad companies |
must look for the capital necessary to
continue development
I'VE believe that the unification OF |
regulation is essential" said Judge |
Lovett, and that with the rapid In.
crease OF state commissions In recent
years congress- will In time be com.
PEELED to exercise It's power In the |
premises To unity regulation there
should be a complete, harmonious, con.
slstent and related system. We he.
lleve the best, II not the only practical
plan. Is the federal incorporation Of !
railroads by general law. which viii |
make incorporation Hereunder com
pnlsory thus Imposing on all railroad
companies throughout the United |
States the same corporate powers and |
restrictions with respect to their nnan.
clnl operations and the same duties |
md obligations 20 the public and the |
government, so that every investor will |
know precisely what every railroad /
corporation may and may not lawfully /
do"
Judge l.ovctt conicuded that the so |
mtlon of these Problems and Difficult (
ties rested with congress. lie told the ]
committee that under the constitution |
the authority Of the federal govern |
mcnf "A paramount. that congress hal