The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1918-02-07
EUARANTEE TO
THE RAILROADS
climate in Interstate Commerce
Commission Bill of $96O,ooO,o0o
Returns Annually to
Roads.

WASHINGTON, Feb. THE gov
nment will guarantee the railroads
40 200 900 returns annually under
railroad control bill drawn by
q interstate commerce commission.
his estimate is made in report OF
committees subcommittee to the
enate along with the re-drawn
beasure.
"The average of the past three
BARS" says the report, reflects
Either poverty nor riches.
4 After most careful consideration,
lie committee are Of the opinion that
lie owners of these properties would
pt be unlikely to receive an award
Tom court at least equal to the
toposed offer. 1t Is therefore the
hty of the congress to authorize the
resident to make such offers as will
eyent patriotic and fair minded
ktizens from resorting to Htigatio
time of war, In order to determine
eir rights against the government"
The report points out that carriers
tcepting these terms will be able to
lake all their usual disbursements
their security holders.
THE stabilizing, conddence-pro-
lcing effect of such guarantee
I'LL, the committee believes, be OF
feat assistance in war financing"
e report says.
The standard return, the report
bints out, will be disposed of in
lying fixed charges land war taxes
hich remain burden upon the
andard return" in paying dividends
pd If any balance remains for the
called surplus.
No increase is allowed for addi-
Dns paid out for surplus during the
Frod of federal control. the report
ys.
Whether a denial of any return
BON surplus earnings invested in
dditional facilities will result in
rowing an unnecessary burden of
BANGING upon the federal govern
ent and in the accumulation of a
bad surplus, will require careful
|nsideration by the senate" the re-
prt says.
Commenting upon the government
enership question which entered
to the committees deliberations, the
port says:
Your committee is Of the opinion
at this is the time for emergency
ar legislation and not the time to
tue the many controversial and
Aed questions concerning our future
ansportation policy"
discussing the last provision in
Dill, which limits federal control
eighteen months after the close
tne war the committee says:
II may be that the nation will be
Niilng to return to conditions OBJ
alhg on the assumption Of federal
nlroi. Legislation may be demand.
RADICALLY changing the relation of
government to the railways from
al now existing"
me commission explains that the
VV'ooooOO revolving fund carried in
Dill, is to pay expenses of fed
:. :. control, supply any deficit in
.ompensatlon to any carrier and
3, etc.
Ihis rolling stock will be used
aeleVer war and nation needs de-
nu-precisely as the Pullman and
'e, private car lines are now used
me lines of the various carriers
'ne needs of the seasons require. .
,rr committee explains.
,s. ne uitlmate of this rolling stock
S' ava, await postwar legislation. !"
ADDITIONS or extensions ordered
on ene president will remain the
sinas OF the carriers. it is ex.
'hlo The government is made
ron v TO Claims for loss or damages
foei,. ,he construction of addition
l" ss.' which may become use.
nnttonments. 90 achs 10
me ne president is authorized 70 t.ra
ce aSatullng securities at price not
losn ns par and to sell them with.
n ,pss to the treasury" whenever
Tb resident sae deems desirable. 'ei
a., as follows: securities re-
!: iS1moss a 2,sos,525; 1s1s-s1ss. 21a
e'5ssss So-s1ss,52s ,25s: 1ea1Ms44o'.
rbe e Committee says:
ht tho eo nnee is OF the opinion
Nn' commercial organizations at