The Washington times., 1919-01-23

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had an opportunity to explain or in
troduce evidence, we could have
shown to any fair-minded person that
there is real competition in the busi-
ness and that no irregular arrange
ments exist.
You realize that this is a big PROB
lem and very complicated one. and 1t
would be a serious mistake to attempt
any hssty action that might cripple
and make useless one of the greatest
industries in the United States.
Two Principal Points.
There are two principal points to
be considered, or. there are two sides
to the questions. One is that the live
stock producer is inclined to think
that he is underpaid for his product: !:
in other words, 1 presume he would
like to get the best OF the arrange
ment; while on the other hand. the
consumer, who perhaps represents
five or ten times more people, is pret-
ty sure to think that his meat Is
costing too high.
Both sides must be considered by
you gentlemen as to whether the
present system can be improved so
that the producer will get more for
his products-or that the consumer
will get his meat for less.
The packer, a third element, only
expects fair play" between the two.
Please remember that most Of our
volume is in highly perishable prod
uct-it is seasonal product, and has
to be sold daily for what it will bring
while il is fresh. L it gets stale it
loses value and seTls at a loss, and
does no one any good. Scientific
handling of this product cannot be
experimental with except to bring
disaster.
What Bill Provides.
The bill appears to provide definite
Iy for Government acquisition of re-
frigerator cars. live stock ears, stock
yards, branch houses, and storage ia
cilities; and then "for the more ef-
fectual carrying out OF the purposes
of this act" it provides that all stock
yards and other adjuncts and facili-
ties. including the packing houses
themselves, shalr be operated Eek
clusively under license" and specific
ally states that such license may ''in-
cIude the relation, direct or indirect"
to the handling of other commodities
lINC SIOSh VI liNC SNONh PAONuNNo'
License.
Mr.. Colver has explained to you
that it is the purpose of the trainers
of this bill to utilize at first only the
licensing provision of the act, and has
explained that il this does not accom-
plish the result, the more drastic
features of the bill may be brought
into play.
I think you will agree with me that
this is very unusual legislation and
the assumption that only the minor
and less drastic features of the act
will be utilized by the administrators
of the law Ito be appointed by the
President) is hardly fair to the
packers. There is no guaranty that
the departments employees. who have
the matters in charge, might not i'm
mediately start in with the most
drastic actions. thereby upsetting the
entire industry and bringing harm to
the live stock producers themselves,
some of whom / understand are be-
hind this bill.
Theory of Bill.
The regulation provided for in this bill
is suggested on the theory that the large
packers act in concert to suppress com
petition: that through their ownership
OF refrigerator cars, stock yards. and
branch houses, they have undue advan-
tage over small packers: and that they
are making unwarranted incursions into
the fields Of other merchants, notably
the wholesale grocers. by handling
products that they have no moral or
economic right to sell.
i hardly need to call your attention
10 the fact that this might be considered
as class legislation Of the most pro
nounced type. Even il it should not be
found legal or constitutional as class
legislation, it nevertheless singles out
one particular industry and assumes
powers over that industry that have
never been exercised over any other.
1t gives practically an unlimited and
underlined power of control over a pri.
vate industry power that has never
been exercised, except in A limited way
OT~~ railroads and other forms Of enter
prise which may be distinctly classed
as public utilities.
Less Dangerous Method.
Furthermore, l believe we can show
you that the proposals of this bill are
based on an utter misunderstanding
of the packing industry. and especial
ly OF those facilities which il is deem
ed necessary by the trainers of this
bill to regulate.