The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1918-01-04
AVERAGE INCOME
FOR THREE YEARS
is RECOMMEND DED
AS FAIR RETURN
Says Value Of Railroad Sc
curities Should Be Full
" Protected
ASKS BIG FUND FOR
OPERATING ROADS
Only Way in Which the
Necessary Unity Can
Be Achieved
III
RAILROAD HEADS
DID THEIR BEST
President Praises Efforts
Made to Solve Trans
portatioa Problem
RAILROAD HEADS
DID THEIR BEST
lRv Associated Press.N

washington, Jan. 4.-Presideni
Wilson today laid before congress
assembled in joint session, his recon-
mendations for carrying out govern
ment operation of railroads. Bills to
rarry out the Presidents ideas al
ready had been prepared under the
supervision of the department OF
justice and were Immediately intro
duced with plans for prompt con-
sideration in both house and sem
Lte.
To guarantee proper returns to the
roads during the period of govern
ment operation, the President recon-
mended that congress provide COM
pensation at the rate of the same
net operating income as the roads
have received for the three preceding
fiscal years.
To provide for proper maintenance
of the roads and their return TO
owners in the same order as the gov
ernment takes them over, the Presi-
dent recommended legislation to
authorize their upkeep and better
ment during the period OF federal
operation. Legislation to this eff
e5Esssst Is ali contained In the adHiniss
aration bills, which would appropri-
ate a $500, 100000 fund for govern
ment operation.
only by government operation, the
President told congress, could the
unity necessary to the country De
obtained, and he added that existing
ORGANIZATIONS OF the railroads should
be disturbed as little as possible.
Guarantees To Owners.
The President laid especial
stress on the guarantees to the roads
and their stockholders, saying on
that point:
Il need not point out the essential
Justice Of such guarantees and their
great influence and significance as
elements in the present financial ana
industrial situation Of the country,
indeed, one OF the strong arguments
for assuming control OF the Tallroaos
at this time is the financial argu-
ment. 1t is necessary that the values
Of rasiwey. securities should be just
IL and fairly protected and that the
large financial operations every year
necessary in connection with the
maintenance, operation and develop
mont of the roads should, during the
period OF the war. be wisely related
to the financial operations OF the
govel nmtnt.
'No borrowing should run athwart
the borrowings OF the federal treas
urv. and no fundamental industrial
sarily impaired"
Text Of Address.
The Presidents address follows;
EGentlemen Of the congress:
sI have asked the privilege Of ad-
dressing you in order TO report thaL
an the 2Sth Of December last, dur
ing the recess OF congress, acting
through the secretary of war and
nnder the authority conferred upon
me by the act of congress approved
August 29, 1916, took possession
and assumed control Of the railway
lines of the country and the systems
OF water transportation under thelf
control. This step seemed to be inn
peratively necessary in the interest
az the public welfare, in the pres
anoe of the great tasks of war with
which we are now dealing. AS our
experience develops difficulties and
makes It clear what they are have
deemed it my duty to remove those
difficulties wherever / have the legal
power to do so. To assume control
of the vast railway systems of the
country is, ] realize, a very heavy
responsibility, but to fail to do so in
the existing circumstances would
have been a much greater. 1 assum-
ed the less responsibility rather than
speaking the mind OF all thoughtful
Americans when I say that it Is our
duty as the representatives of the
nation to do everything that 1t is
necessary to do to secure the COM
piete mobilization Of the whole re-
sources of America by as rapid and
effective q means as can be found.
Transportation supplies all the arr
teries Of mobilization. Unless IL be
under a single and unified direction,
the whole process OF the nations
action rs embarrassed
Tried Other Methods,
1T was in the true spirit Of Amer
lea and Il was right, that we should
first try to effect the necessary uni-
fcation under the voluntary action
or those who were i'm charge Of the
great railway properties; and we
did try It. The directors Of the rail-
ways responded to the need prompt
iy and generously. The group OF
railway executives who were charg-
ed with the task Of actual co-ordin-
alton and general direction perform
/