New Britain herald. [microfilm reel] (New Britain, Conn.) 1890-1976, 1918-02-13
SAYS WILSON ERRED
IN SEEING ROADS
Senator Kellogg Believes Less
Drastic Plan Would Have SuffiCed
SPEAKS ON AMENDED BILL

SPEAKS ON AMENDED BILL
Declares as Great Service Could Have
Been Obtained Through Govern
ment CO-operation-Plan to Allow
President to Fix Rates "AppaIIing'
Washington, Feb. 13.-The opinion
that President Wilson's action in TAX
ing over the railroads was unnecessary
because a good result would have been
obtained by the carriers with proper
government cooperation, was ex-
pressed in the senate today by Sena-
tor Kellogg, a member of the senate
Interstate commerce committee. He
declared that had the railroad heads
been given full measure Of assistance
the government would have escaped
the necessity of guaranteeing the car
rlers an income for the use of the
properties taken over. y
Senator Kellogg spoke in support of
the committees amended draft of the
administration railroad bill, which he
said reflects the best judgment of the
administration and the committee"
Although he did not agree with the
president and his advisers on the rail-
road question, he said he "intended
doing everything possible to strength
EN- and facilitate government opera
ton and insure justice to the people.
the roads and the vast army Of Sc
curity holders
The executive committee of rail-
road heads, the senator said, greatly
co-ordinated the transportation facil-
tiles and enormously increased traf
flee, but were hampered by certain
laws and restrictions which should
have been abolished.
1.-THE railroads should have been
supported by government authority"
he continued, 4" to operate as a unit.
Bearing in mind that congestion was
simply in the eastern and northeast
ern territory, I am constrained to be-
lieve that as great service could be OBJ
tanned through the government CO.
operation as by taking over the
roads,
Approves of Compensation.
He approved of the compensation
provided in the bill, and said:
"A guarantee by the government of
d
ment would be reasonable at a very
much lower rate, but the guarantee
in this case is only for the period Of
the war and a short time thereafter it
should, as near as possible, represent
the earning capacity of the roads
over a reasonable term of years.
The plan submitted originally by
the administration giving the presi-
dent absolute power to fix rates was
denounced by Senator Kellogg. TT
is appalling" he declared, ito say,
that because we are at war, the coun-
try's entire rate-making structure
and the absolute power to change a
rate, affecting the billions of dollars
of railroad property and hundreds of
millions of dollars of commerce shall
be placed in the hands of one man,
without the right of appeal
Senator Kellogg said he believed
the provision in the bin terminating
government control within IS months
after the war should be retained.
IT have no doubt that under the
war power he added, congress may
keep the railroads for a reasonable
time after the termination of the
war. But to keep them an indefinite
time and pay rent therefore, is OBJ
lenses so far as the American people
are concerned. I am not yet pre-
Pared to take a step that will force
government operation upon the
people of this country. That question
should be met by the American
people squarely and fairly, unhamp-
cred by any other issue and should
the time come when the people deem
it wise to take over the roads their
mandate is final"
Transfer Surp1uses to Weak Roads.
The railroad administrations meth
Cd of meeting emergency financial
needs of roads under government op-
Grafton was disclosed today by an
nouncement that surpluses of some
roads are being transferred to others
which need operating funds, under ap-
proval of Director General McAdoo.
Later a clearing house for these
transfers will be established under
John S. Williams, director of finance
for the railroad administration, and
roads rll be given credit for their ap-
proprIati tionS to other lines.