Albuquerque morning journal., 1918-02-03
Director General MCAdoo Urg-
eS Leaders to Expedite
PaSSagei Federal Control
Limited,
SECURITIES VALUATION
WILL BE STABILIZED
Amendments for Increased
Compensation to Roads Are
Accepted by COMMITTEES
Presidents Power Checked,
Lsv nonnlao lousnAL ssEelAl LEAsEo w,nEl

lay MORNING JOURNAL SPECIAL LEhsEo w'eEl
Washington. Feb. 2.-The adminis'
tlation railroad bill, limiting the
period OF government control of the
railroads and providing for compen'
sation to the stockholders viii be re-
ported to both houses of congress next
week. At the urgent request OF
Director General McAdoo, administra-
ton leaders will make every effort to
expedite passage,
The senate interstate commerce
committee voted today to report the
measure favorably Monday with
amendments limiting government con
troll 70 eighteen months after the
close of the war and giving the presi-
dent power to initiate rates subject
to appeal to the Interstate Commerce
commission. The committees action
was not unanimous. Senators Cum
minis and La Toilette, republicans, an
nouncing they would submit minority
reports
House Favors Two Years.
Is to approved an amendment pro-
viding for termination OF government
control two years after peace Is de-
clared. Chairman Sims later an
nounced that his committee would
complete consideration of the meas
ure Tuesday or Wednesday and that
he would ask unanimous consent for
| immediate passage.
Chairman Sims vigorously opposed
the two years limitation as adopted.
declaring that it would affect the
valuation of railway securities. Rep
resentative Montague insisted that ,at
least two years would be required for
the railroad interests to adjust them
sedves after the war. Those voting
for the two year amendment were
Montague, Rayburn, Coady, Dewalt.
Shook, Sanders, Esch. Hamilton.
Parker of New York. Winsow. Dillon,
Sweet, Stines and Cooper, and those
voting against it were: Sims, Droemas,
stephens, Barkley, Dreyer and Dale,
Rate Left Unchanged.
The senate committee left unchang-
ed the original provision in the bill
fixing the rate of compensation on tho
basis of the annual railway operating
income for the three years ending on
June 80. 1917. and the house commit
tee also is expected to agree. to this
provision. which was suggested by the
president.
Amendments for increased compen-
sation to roads based on their earnings
or surplus accrued during the period
of government control and put into
the property were accepted. The sec
ton authorizing the president to pur-
chase and construct canals was
amended so as to permit only Of their
utilization. fW
The section providing for an appro-
priation of $500,0O0,O00 to be used as
revolving fund from which to pay
any deficiency that may result or to
provide for additional facilities. was
retained by the senate committee. Ths
fund would provide the government
with working capital for operating the
roads.
Flexible Provision Made.
In providing for the termination OF
government control eighteen months
after war, the senate committee fur
ther amended the bill so as to author
ize the president IL in his opinion
necessity for further control should
terminate, to relinquish supervision
over all reads before that time. Dis
cretionary power to determine up to
July /, 1918, what roads are necessary
in the government operation plan also
is placed in the president, but after
THAT time he could not exclude from
government control any roa without
it's consent.
The amendment authorizing the
president to initiate rates permits an
appeal either by the carrier or shipper
to the Interstate Commerce commits
9 sion which is to investigate and de-
g termine their fairness