Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-01-04
Admin t,ration Bill Present 1t
ed Irnrne ediately.. in Con-
gress-Fund Of $500, ,ooo,-
600 Provided for Govern
ment Operation Cannot
{ Tax i in Excess. of Tariff
June 80, 1917. @ q. u. ...... /. { & !. !.

Washington. Jan. 4.--The admin
istration bill for government opera
ton of railroads proposes that the
governments shall pay Compensation at
an annual rate. as near. as possible, to
the net operating income for the
three years ended June so, 1917.
The bill also would appropriate
! $500, 100000 to be used as "reyolv-
ing fund" with. the excess earnings
for the roads for the operation OF. the
law = .s,s:ss III 80 s..
! 4 The. bill is entitled, "AsbtiI to' pro-
vide for operation Of transportation
systems while under federal control
for the just compensation Of their
owners and for other purposes" I,
| Section l provides that the presi-
dent Is authorized to agree with and
guarantee to the roads that during
the federal control they shall receive
as just compensation an income at an
annual rate equivalent as nearly at
may be to the roads average net rail
way operating income for the three
years ending June 80, 1917. This
the bill officially calls the standard
return. This section provides thai
the net railway operating income !,
to-, be computed from returns to the
\ AHSSAo oSaSS SOAAHOlNC COHNll60IOHs CN-
cluding debts and credits. arriving
from accounts which are called in the
monthly interstate commerce returns
leased road rents and miscellaneou.
rents" -,
NO TAXES IN EXCESS r' ,
OF THOSE JUNEs3O, 1917.
No o.federalstaxes-in. excess Of take.
assesksd during the year ending
June 30, 1917. are to- be charged
II.aeatnAt the revenue ainS cem putting thu
IstahdA<d, return. Il Any net. railwa,
4 operating income III excesa OF !. ths
I standard 'rstirH ia toeAe .,the nropert,
j 4tt the pnitNa States The 4moun
E.of: the stSndaaM fetusn safcfuing dur
ing the three year period Is to; be. de.
iel miried by the interstate, commerc.
the amount is to be taken as INA
and c0nclusiye for the purpose: OF tn.
agreement and guaranty. During thu
federal control adequate depreciation
and maintenance of the properties O.
the roads win be included as par
Of the operating expenses or provid
ed through a reserve fund, in accord
.ance with principles and rules which
the president will determine
Il Section 2 provides that il no suci
agreement is made with a road, thu
president may nevertheless pay ol
cause to be pAid to any raiiroat
while under federal control. not, ex
ceeding ninety per cent of the stand
ard return. Under this section tn,
legal rights Of the railroad for pros
ecution Of, its claim for the balanc,
before the court Of claims is provid
ed for. -'jst.
| Section 3 provides that any claim
for just compensation which is no
adjusted under the terms provided il
section 1 will be submitted to boart
of three auditors appointed by tn,
I interstate commerce commission
j whose members and official force will
be eligible for that service withou
4 any.additional compensation Thes
auditors will give full, hearing t,
the road and to the government ant
amount due the road as just compen
sation. A SUM not exceeding tn,
amount SO reported may be agree,
ulOn Ivy the president and the road
Failing this agreement. either tn
q fetier government or the road ma,
4 flle petition in the court of claim
for final ascertainment Of the amour
Of just compensation and In the cour
4 ofsciaims proceedings the report o
j the. auditors will be considered prin,,
I Itacie evidence of the facts stated
The just compensation OF any fedora
controlled road not making return
i 20 the interstate commerce commits
sion will be determined In accord
ance with these provisions.
SECTION ANENT =
CARRIER RETURNS. e.I
ii Section 4 provides that the returl
Of any carrier will be increased u
an amount sreckoned at a rate pc
/, cent to he HxAd 3hv the nroaidonf; nm