Republican farmer., 1918-01-25
SENATE QUIzzES
 DIRECTOR M'ADOO
 ABOUT RAILWAYS

Washington. Jan. 19 - Director General McAdoo was summoned be- fore the Senate interstate commerce committee today to explain the oper- ation of government administration of railroads.
 MT. McAdoo said that certain so- called short line railroads would be released from government operation as soon as Investigations now under wayAdetermined that it was not neces- sary.
 In explaining the purpose of the administration railroad legislation MT. McAdoo said he did not propose to keep control of any unnecessary line nor have the government compensate those not taken over.
 "As far as I can see after three weeks preliminary investigation" said MT. McAdoo, q don't contem- plate taking over any roads not neces- sary for the governments war pur- poses and if some interests necessarily get hurt by it, they will have to stand it''
 Director General McAdoo said that if it should develop that operation of canals was necessary, they might be taken over. He added that opera ton will also be extended to inland waterways.
 Director General McAdoo was told by senators that small independent short lines feared bankruptcy if the government took control of the large trunk lines and that the government should take over all railroads, large or small.
 'I can't tell yet,'' McAdoo replied what will be essential for the pur- poses of the war. The treasury, al- ready ever burdened, can't be called upon to reimburse for real, imaginary or indirect injury. I don't think the government should draft into it's ser- vice a needless railroad any more than it should draft a, cripple into the military service. There is no inten- ton to do any injustice to the short lines. They will be helped as far as possible consistent with the needs of the nation.'
 Chairman Smith suggested that the short lines are in g. difficult situation because of the sudden transition of the transportation systems from a competitive to a controlled basis.
 'tIt seems to me-" MT. McAdoo re- piled, that the short lines are holler- ing before they're hit. The bill ought to provide compensation for railroads only that are really used and injured"
 Do you consider these short lines are part of the continental system?" asked Senator Smith.
 q would consider them so,'' MT. McAdoo replied, If they form a part of the system utilized for war neces- sities. I have assumed that the bill will not deal specifically with qsies- tions as to what should or should not be taken over by the government un- der the presidents proclamation. That has got to be determined after an 1n- vestigation. My own opinion is that it is the duty of the director general, as quickly as possible, to determine what railroads or parts of railroads are needed by the government and to mo- tify the carriers That is now in pro- cess.
 "As to railroads taken over, com pensation is provided under the law we are going to pass. As to those outside it seems to me that any in- jury is a matter for the courts to de- termine. I don't believe the law should require compensation to rail roads whether the government needs them or not.
 There is no disposition to rip any body up the back. It's the govern ment's desire to treat small as well as big roads as equitably as is possi- ble, as far as is compatible with pub lie use and interest. All the lines ex- cluded from government control ought to be kept going, encouraged and treated by the government with ut most fairness and consideration"