The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1918-01-21
GOVERNMENT
RAILROADS
Continued from page IL

the railroads, / think it extremely
unwise to hamper him in rate fixing
matters to meet any emergency" de-
clared McAdoo.
McAdoo cited his recent action in
New York in ordering coal trains
moved through the Pennsylvania
tunnel as an instance where it was
necessary arbitrarily to set aside To-
cal control.
Freight movement through the
tunnel is very restricted under the
public service commission, he said.
II / had to file an application to
move this freight and wait decision
Of the commission, Long Island peo-
pie would have frozen to death" he
said.
THAT means, then" said Senator
Kellogg" that the rate fixing during
the war and until congress acts
would be up to one nfan?"
He has the power to do so. He
may not use it, said McAdoo. "He
has great many powers he doesn't
exercise"
Il haven't heard Of any he hasn't
exercised" said Kellogg.
McAdoo was then asked how long
in his opinion. 1t would be necessary
for the government to, retain control
of the lines.
THAT all depends on the length Of
the war replied McAdoo. "If it
lasts six months or a year, the period
required to Hquidate the roads at
fairs and turn them back will be COM
paratively short. But IL it lasts
three to five years, the period OF
|! liquidation naturally will be longer
Nobody can tell definitely; that's
why congress should not put hard
and fast limit on the period OF gov
eminent control.
Billion Dollars Needed.
WASHINGTON, Jan 21-Before
thirty days. application of the Ger
field Monday holiday order may. be
discontinued. Director General Nc
Adoo declared today before the in
Iterstate commerce committee.
Summoned before the committee
to explain further proposed opera
ton under federal control. McAdoo
declared the holiday" probably will
not be necessary beyond the middle
Of February. At the same time he
startled members of the committee
with the declaration that between
81 ,000, 100000 and $1,500,0O0,000 must
be put into the railroads by the fed
in the transportation crisis.
The fact that the government is
guaranteeing compensation, McAdoo
state commissions. particularly the
right to determine to any degree
what the roads earn.
Arguing that the three year COM
pensation basis is fair and reason
oh1o Onoo MCAdOo aaid.
I'm the fiscal year ending June 80,
1917. the net railroad earnings were
81, O35, O00, 900. The average for the
past three years is about $685., 0OO,-
900.
"If the government with 100000
900 advantage has not made fair
deal, am frank to say do not
know what fair dealing is.
You gentlemen must bear in mind
that what you propose, you can't
impose. Your proposal is. merely a
suggested basis of reaching a COM
pensation agreement.
1.-The government must not do a
deliberate injustice to the railways or
anybody else"
McAdoo had no direct hand in the
composition of the Garfield shut
down to save fuel, he told the COM
mittee today.
WAS the Garfield order issued to
help the director general of rail-
roads?' asked Senator Watson.
ut was issued In my opinion, to
help the railroads deliver coal and
also to help save fuel" said McAdoo.
did you help In it's composition"
asked Watson.
IL had no hand in it's composition"
said McAdoo. though l approved It,"
McAdoo also expressed hope it
may not be necessary to continue
Monday holidays beyond the middle
of February.
McAdoo said every once In while
we have to submit to surgery, you
know" and declared in his opinion
the order will result in more good
and less confusion and trouble than
anticipated"
"The order says 1t is designed to
aid the director general" said Wat
son.
TT doesn't much matter what the
order says" responded McAdoo, cor
whether it was to help the director
general personally or not, SO long
as we attain the results which l be-
lieve will be infinitely more benefi-
cial than expected, The order was