The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1918-01-05
President Requests Congress Tc
Pass Legislation For U. S.
Operation of Carriers
ACT IS WAR MEASURE
Outlines Initial Steps Necessary To
Success of Director General Nc
Adoo's Administration
OF Lines.

Washington, Jan. 0.-IfeSlQent VIII
son has called upon congress to give
him full and unrestricted powers to
conduct the federal operation of the
country's railroads.
Before joint session of the senate
and house the president outlined the
initial steps necessary to success of
Director General McAdoo's admins
tration of the lines.
Action Necessary.
He explained that the action already
taken was necessary TO secure the
complete mobilization of the whole re-
sources of America by as rapid and
effective means as can be found"
Private interests" he said, must
for the present give way to the public
necessity"
The president asked:
Necessary means for protecting the
interests of railroad stockholders.
Measures to protect travellers and
safeguard private shippers.
Compensation for the railroads,
based on the average net railway op.
Grating income of the three years end
ing June 80, 1917.
He added that "it is probably too
much to expect that, even under the
unified railway administration suffi-
cient economies can be effec to
make 1t possible to add to their d. D.
ment and extend their operative fayil-
tiles as much as the present extraor-
binary demands will render desirable
without resorting to the national treas
Iry for funds" but he asked no ap-
preparation, stating that Director Gen
9ral McAdoo will advise with the prop
er committees later on this point
Plain Business Message.
1t was a plain, business message,
taking but l5 minutes to deliver, and
was received quietly by the legislators.
The president obviously sought to
quiet any possible unrest which might
result from the sweeping action of the
government
1T is of the utmost consequence to
The government ITSELF" he said, that
all great financial operations be stabil
lied and coordinated with the financial
operations of the government.
mo borrowing" he added, should
run athwart the borrowings OF the fed
eral treasury and no fundamental in
1ustrial values should anywhere be an
necessarily impaired"
Measure introduced.
Ten or $11 100000, 900 invested fol
securities by many thousands of small
| investors, as well as financial institu
ions of ali kinds, constitute a vita
part of the structure of credit and The
nnQuestioned solidity of that structure
must be maintained" he declared.
Immediately the president concluded
Representative Simms, chairman o
he house interstate commerce com
nittee, introduced bill carrying ou
The presidnet's recommendations The
committee will take up the bill Mon
lay. Simms expects a report mex
week and will press for immediat,
action by the house. Simms and Others
)f the commerce and rules COMMITTEES
will confer with the president relative
% means of fastening action.
President Wilson has laid befor,
Congress, assembled in joint session
ais recommendation for carrying on
government operation of railroads.
Bills to carry out the President
deas already had been prepared un
ier the supervision of the Department
" Justice and were Immediately intro
inced with plans for prompt consider
ltion In both House and Senate.
The President spoke as follows:
Gentlemen of the congress-:
i have asked the privilege of ad
dressing you in order to report tina
On the 2Sth day of December last
during the recess of congress, LASTING
through the secretary of war and un
Ter the authority conferred upon M
by the act of congress approved Aug
%, 1916, l took possession and as
sumed control of the railway line
Of the country and the systems o
water transportation under their con
.rol. This step seemed to be impera
lively necessary In the interest o
The public welfare in tie presenc
,f the great tasks of war with whici
. we are now dealing.
, AS our experience develops diff
,ulties and makes it clear wlat the
j are, have deemed it my duty t
. remove those difficulties wherever
, have the legal power to do so. T
I assume control of the vast railwa
! systems of the country is, realiz'
, very heavy responsibility, but t
. fail to do SO in the existing circun
rfancaa would haxa h0an muc