The Washington times., 1918-12-02

respective lines in. the interest of
sEpedition and natIenal economy.
We may hope, l believe, for the
formal conclusion OF the war by
treaty by the time spring has come.
The twenty-one months to which
the present control OF the railways
Is limited after formal proclamation
OF peace shall have been made will
run at the farthest, / take II for
granted. only to the January Of
1921 The fun equipment OF the
railways which the Federal Ad-
ministration had planned could not
be completed within any such
period.
The present law does not permit
the use OF the revenues OF the several
roads for the execution of such plans
except BY formal contract with their
dirootora. some Of whom win con-
sent while some will not. and, there
fore docs not afford sufficient au-
thority TO undertake. improvements
upon the scale upon which Il would
be necessary to undertake them. Ev :
cry approach to this difficult sub
5ect-matter Of decision brings Us
face to face. therefore, with this un-
answered question: What Is Il right
that we should do with the railroads
In the interest OF the public and In
fairness TO their owners?
Let me say at once that have
no answer ready. The only thing
that is perfectly clear TO me Is that
II Is not fair either to the public or
to the owners of the railroads to
leave the question unanswered anS
that It will presently become my
duty to relinquish control OF the roads,
even before the expiration OF the
statutory period, unless there should
appear some clear prospect In the
mean time Of q legislative solution
Their release would at-least produce
one element of a solution, namely.
certainty and q quick stimulation OF
private initIatiye.
Alternative Courses.
believe that II will be serviceable
for me to set forth as explicitly as
possible the alternative courses that
lie open to our choice. We can sim
ply release the roads and go back TO
the old conditions of private manage
ment, unrestricted competition, and
multiform regulation by both state
and Federal authorities: or we can go
to the opposite extreme and establish
complete Government control. accom-
panied, IL necessary, by actual Gov
eminent ownership; or we can adopt
an intermediate course Of modineo
private control. under a more unineo
and affirmative public regulation ana
under such alterations Of the law as
will permit wasteful competition to
be avoided and a considerable degree
OF unifcation of administration TO be
effected, as, for example. by regional
corporations under which the rail-
ways OF definable areas would be in
effect combined in single systems.
The one conclusion that I am ready
to state with confidence Is that II
would be a disservice alike to the
country and to the owners of the rail-
roads to return to the old conditions
unmodified. Those are conditions OF
restraint without development. There
IL nothing affirmative or helpful
about them. What the country chief
Iy needs Is that all its means oi
TRANSPORTATION should be developed
its railways, its waterways, its high
WAYS and its countryside roads Some
new element Of policy, therefore, Is
absolutely ACKNOWLEDGEMENT Ior
the service of the public. necessary for
the release of credit to those who are
Administering the railways, necessary
for the protection OF their security
holders. The old policy may be
changed much or little, out surrey =
cannot wisely be left as II was. /
hope that the Congress will have
complete and impartial study OF the
whole problem instituted at once and
prosecuted as rapidly as possible L
stand ready and anxious to release the
| roads from the present control and
must do so at a very early date u
by waiting until the statutory limit
Of time is reached / shall be merely
proIonSing the period Of doubt and
uncertainty which is hurtful to every
interest concerned
welcomes Opportunity.
I welcome this occasion to an
nounce to the Congress my purpose
to Join in Paris the representatives
of the governments with which we
have been associated in the war
against the central empires for the
purpose of discussing with them the
main features OF the treaty OF peace.
realize the great Inconvenience
that will attend my leaving the coun-
try. particularly at this time. but the
conclusion that II was my paramount
duty to go has been forced upon me
BY considerations which I hope will
seem as conclusive to you as they