Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1918-12-20
TO TAKE OVER WIRES.
Postmaster General Wants Govern
mont Ownership Of Telephone and
telegraph.

msnt Ownership Of Telephone and
Telegraph.
Ownership by the government Of
the telegraph and telephone systems
perative" by Postmaster General Bur-
leSon in a letter to Representative
Noon. chairman Of the house commit
tee on post offices and post roads.
Mr.. Burleson said the system can be
acquired without the appropriation Of
a dollar from the public treasury by
applying to a mortization fund for rs
years the savings made under govern
ment ownership through elimination
Of Implications in plants and operat-
ing expenses.
In support Of the government own
|ership resolution introduced In the
house last week by Representative
Moon. the postmaster general quoted
from the recent letter of Theodore n.
Vail, president Of the American Tele-
phone and Telegraph company. and
from the annual reports Of number
of the postmasters general since the
civil war, all Of whom agreed, he said,
that government control or ownership
would greatly contribute to the eff
cheney Of service
THE economic importance Of the
proposition to acquire the properties
by the government Is very great"
Mr.. Burleson wrote. Private capital
Is invested in public service enter
prises with the expectation Of to 8
per cent and often a greater return on
the investment. This. Of course. the
public is expected to pay while the
government can borrow money at
1-2 per cent. The public. however,
pays the charge IN either event. The
difference between 4 1-2 per cent and
per cent for the money invested In
the wire system of the United States
would maintain and pay for the prop
erty in Is years and nine months.
The government, as an owner. would
no more expect to charge for interest
in the investment than 1t would for
money invested in postal facilities,
navy yards or other public property.
AS Justification for the permanent
taking over of the wire system, Mr..
Burleson said:
ITO establish and maintain means
of Communication as much for func-
ton Of the government as it Is pro-
vision for national defense--.---More-
over, 1t is essential to the develop
ment Of the country and to the prog
ress and prosperity Of its people. 1t
Is a defense Of the national interests
as much in peace as in war....-....-.Ex-
tension Of the wire service should be
determined by public needs, not the
opportunity for private gain.
The postmaster general said he be-
lieved that an effective plan could be
worked out by which the waste OF
competition can be eliminated and the
search, investigation and experiment
tation not be lost.
1Seffsueaonh&forfne% tacT. ei'ae'
under the existing law, the telephone
and telegraph properties will auto
matically revert to the private owners
upon proclamation by the president OF
a state Of peace. the letter says that
many Of the Independent companies
could not take back the properties
without serious loss to the investors
md great detriment to the service.
Many Of these companies, the letter
says, were operating at loss owing
to waste incident to competition and
diversity of state regulation, and as
proper depreciation funds have not
been set aside, the properties were
drafting into a condition where pro-
per public service could not be rem
dcrcd.