Arizona republican., 1917-06-21
MUST POOL GOAL PRODUCTION T0
 AVOID SHORTAGE
Republican A. p. Leased Wire1

WASHINGTON, June 20.-Govern-
 nent pools of coal production and dis
 -ribution, and of rail and water trans
 DOrtatiOn were recommended to con-
 yress today by the federal trade com
 mission as the only means of avoiding
 ! disastrous coal shortage next win CT.
 ''The commission believes" says the 'eport submitted after many months If investigation ordered by congress, that the coal industry itself is par llyZed by the failure of tranSporta- ion. There are enough coal cars in he country, but not enough are deliv- red to the traders and these cars are lot moved to the point of consumption with the greatest expedition nor are hey promptly discharged.
 In view of these conditions the commission recommends:
 'First-That the production and distribution of coal and coke be con- lucted through a pool in the hands of ! government agency; that the pro- lucers of various grades of tueI be )aid their full cost of production plus uniform profit per ton (with due allowance for quality of product and Efficiency of service); and
 'Second-That the transportation 'gencies of the United States, both rail and water be similarly pooled and operated on government account un- Ter direction of the president, and that Ill such means of transportation be operated as a unit, the owning corpor- ltions being paid just and fair com pensation which would cover normal let profit, upkeep and betterment. These recommendations are approv- 4d by Commissioners DavIs, Uo1Ver md Fort
 Chairman Harris dissents on the plan for transportation pool, except ..5 ! last resort and suggests instead. that during the war the president be authorized to order rail and water transportation agencies to g renee to shipment of coal, coke and )ther commodities in the order of their importance to public welfare" An urgent necessity exists for i'm mediate legislation to correct condi- lions, says the report, because .,le tsual accumulation of spring and summer coal stocks at points distant rom producing points lis not now -aking place, but it must be made dur ng what remains of the summer lnless the country is to face next winter most serious and an ire parable situation"
 Present production of bituminous )r soft coal is 40 per cent under the | possible maximum principally because f coal car shortage, the report de- flares. Consequently. the extra large production of anthracite coal this ipring, one-fourth greater than usual, 1as been diverted to industrial mar lets ordinarily filled by bituminous ,oal and coke. Anthracite mines have | been given ample car supply, the | mi he close corporate relation between 'ail transportation and anthracite pro- iuction. Bituminous mines, however | Ire compelled by the car shortage to | operate only part time and many | miners are going into other work | Contributing factors in the dsorgan- | zation of coal transportation are the 1 high barge rates from New York to | Newport News and to Boston and the
 ,ractiee of lake ships to make trips to | the northwest in water ballast rather l han carry coal.
 | Discussing the proposed remedy | the commission says:
 If the producer at each mine were 1 paid his full cost of production with | allowances for depletion, maintenance. | lpkeep and all the usual items and to 1 his were added a fixed and uniform l let profit per ton, with due regard to l iuallty, the coal thus produced at | widely varying costs, if pooled, could | De sold through the government at an | average and uniform price, quality | considered, which would be entirely
 -olerable to the consuming public and | price much lower than could be | fixed if an effort were made to fix a
 uniform price to the producer. It | would seem that steady employment, l lair compensation to labor and capital, | equitable distribution and stable | prices could be secured
 "The railroads of the country. if | operated as unit and on government
 account, could be used to transport
 .o2l and other products by the most 1 tirect route to their point of destina- | ton and the efficiency of the roads | themselves, existing rolling stock and | motive power would vastly increase.
 All receipts from all rail and water
 transportation agencies being pooled at the hands of the government and | all expenses of operation being paid | rom the common fund, each individ-
 1al company should be paid just
 compensation which might be meas dred by the average annual net profit
 and expenditure for maintenance and | betterments 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 unimpaired
 to private operation. The rolling
 stock of railroads, operated as a unit.
 could be mobilized so as to care for
 the shifting seasonal demands"
 Attention IS called to the fact that
 Great Britain, France, Russia. Italy
 and Germany have found it necessary
 during the war to take over control
 of their coal industries in varying de- grees.
 The commission will continue it's investigation.