The Washburn times. [volume] (Washburn, Wis.) 1896-1976, 1918-01-17
Wilson's Assumption of Control
of Railroads Is Long Step
Toward Efficiency.
GREAT POWERS FOR M'ADOO
Secretary Baker Prodded by Senate
Comnittee-Teutonic Peace Sug-
gesticns Made by Count Czernin
in Reply to the Russian Boil
sheviki Proposals.
BY EDWARD w. PICKARD.

The great event of the week, for the
United States and, indirectly for the
allied cause, was President Wilson's
action in assuming control of the rail-
ways and steamship lines within the
borders of this country. This step,
Mr.. Wilson said, had become impera-
lively necessary because this is q war
of resources no less than of men, and
in order that the resources of America
be completely modified the transpor
tatiOn systems of the country must be
organized and operated under a single
authority.
This single authority is William G..
McAdoo, secretary of the treasury,
who vas appointed director general
bee AS the president expressed it,
81 Nical experience peculiarly
fits aor the service and his author
fly sNretary of the treasury en-
alb to. coordinate as no other
ma I'd the many financial inter
ests nich will be involved" Mr. Nc
Adoo@ assumed control at noon Friday.
Not only rail and steamship lines
are included in the presidents proc
lamation, but also all terminals, sleep
ing and parlor cars, private cars and
car lines. railroad elevators and ware
houses railroad telegraph and tele-
phone lines and interurban electric
lines carrying freight only. StOckhold-
erS of railroads are guaranteed profit
equal at least to the average profits
during the three fiscal years ending
June 30, 1917, which will be about 5.21
per cent on the capital investment.
Step Is Generally Commended.
General and hearty approval was
given President Wilson's action, alike
by railway officials, financiers and the
public. The frs named gave assur-
ance OF their earnest cooperation with
Director General McAdoo, and in nc2r-
ly every INSTANCE declared their be-
lief that the flan adopted would be
entirely satisfactory. They had known
for some time that some such thing
must be done, for the committee of
executives that has been in large meas
ure directing the operation of railways,
though doing excellent and diSinter-
ested work, had been unable to solve
the problem Of equitable distribution
of earnings. Complete unity of opera
ton will permit of this, and will re-
suit in more efficient conduct than has
been possible heretofore.
1t is probable that, under Mr.. Nc
Adoo's direction, competition for earn
ings being eliminated, many competing
trains will he withdrawn and paSSen-
ger traffic will be largely curtailed.
There will be general shifting of
rolling stock and much freight equip
ment will be sent to eastern terri
tory from the South and West to re-
lieve the congestion Of transportation
of war materials. Naturally, every
thing else will be subordinated to the
war needs of the nation. 1t is not I'M
likely that passenger rates will be
raised to three cents q mile.
The one element of the population
that may not entirely approve of gov
eminent control is the railway broth
erhoods. Their opportunity to en-
force by strike their demands for liz
creased pay has vanished, though it
is only fair to assume that their loyal
ty and patriotism would not gave per-
United them to tie up tEE country's
transportation. The teads of the
brotherhoods were cal'tSd to the White
House to confer witl the president on
their requests for :3Igher wages. The
increases asked &Ierage about 40 per
cent. What the government will grant
of course is rAsr yet known. In this