New Britain herald., 1918-01-04

sume direct administrative control Of this new executive task. At our rec Ommendation he consented to assume the authority and duties of organiz- ing director geneml of the new. rail- way administration. He has assumed those duties Ind his work is in active progress.
 | .tyt jo probably too much to expect nat even under the unified railway doIn1nlstration, which will now be poSSloIe, sufficient economies can be eAected In the operation of the rail- sWays to make it possible to add to l11hhnelr equipment and stand their oper- Se I5,culties as much as the present 1Lr29Eatnary time demands upon
 4will render desirable with
 Sng to the national treas
 n funds. If it is not pos-
 aL of course, be necessary
 sO the congress for grants
 Nor that purpose. The sec
 Nthe treasury will advise with
 nmittees with regard to this
 Tactical aspect of the matter
 present, I suggest only the
 ces, I have indicated and such
 srsatkons are necessary at the
 Ins this task. I take the liberty
 ressipg the hope that congress
 s.,a1t these promptly and un-
 kngly. We are dealing with
 It matters and will, I am sure.
 III. with them greatly"
 Washington. Jan. A bill was in froduced today to provide for oper- ating, the railroad systems.
 #sA The bill is entitled "A bill to pro- EVlde for operation of transportation 2Nystems while under federal control, x Tor the just compensation of their aQWners and for other purposes"
 Section 1 provides that the presi- 4ent is authorized to agree with and ABree to the roads that during the &1ederal control they shall receive as x just compensation an income at an 1 annual rate equivalent as near as may be to the roads average net rail- 1 way operating income for the three { years ending June 30, 1917. This, the 1 bill officially calls the standard return. 1 This section provides that the net l railway operating income is to be com 1 puted from returns to the Interstate 1 Commerce Commission excluding dabits and credits, arising from the 1 accounts which are called in the 1 monthly interstate commerce commits i sion returns of rents and miscella- neous rents.' No federal taxes in excess of taxes assessed during the year ending June 30, 1917, are to be ] charged against the revenue in com 1 putting the standard return. Any net l railway operating income in excess of | the standard return is to be the prop erty of the United States. The amount of the standard return accruing dur l ing the three year period is to be de- | termined by the Interstate Commerce 1 Commission whose certificate as to 1 the amount is to be taken as final and | conclusive for the purpose of the l agreement and a guaranty. During | the federal control adequate deprecia- 1 tion and maintenance of the proper ties of the roads will be included as l @ part of operating expenses or pro- vided through a reserve fund, in aC- cordance with principles and rules which the president will determine.
 Section 2 provides that if no such agreement is made with a road, the president may, nevertheless, pay or cause to be paid to any railroad. while under federal control, not eX- coedlng ninety per cent. of standard return. Under this section the legal rights of the railroad for prosecution of it's claim for the balance before the court of claims is provided for, and any amount found due above the amount that has been paid, will bear interest at per cent. a year. and any excess amount paid by the government l will be recoverable by the govern mont with per cent. interest.
 Section 3 provides that any claim for just compensation which is not l adjusted under the terms provided in Section 1 will be submitted to a board of three auditors appointed by the In 1 terstate Commerce commission, whose t members and official force will be eli ! gible for that service without any ad- ditiOnal compensation. These auditors will give a full hearing to the road and to the government, and will re- port to the president the amount due the road as just compensation. A sum not exceeding the amount so reported may be agreed upon by the president l : and the road. Failing this agreement either the federal government or road