El Paso herald. (El Paso, Tex.) 1901-1931, 1919-12-08
SHIPPERS SHOULD HAVE A SAY
IN NEW RAILROAD LEGISL ALTON

THE shippers Of the United States, who in the main
the distributors Of everything the public uses de-
cared time and again IN favor Of having the railroads
turned to private ownership and operation on January T.
1920 They have in passive demanded that congress
enact legislation TO that end Yet nothing definite has
been accomplished after year Of peace
It Is time the shippers making their demands more
iHsstent and that the public backed them for is the
Pu5c finally that must pay the bill The shippers Of the
last two years than showered them be-
fore They have been denied right after night to which
they entitled.
Each time they were told that unless they bore cheer
fully the burdens placed upon them they would be deemed
guilty Of lack Of cooperation and Of patriotism They
have taken their medicine They have shouldered
and more when hidden And to what purpose? To the
purpose that the freight service Of the country today is
only about Is percent as efficient It was when the rail
roads formerly operated by private corporations
And to the purpose that freight rates have been ad
vancd to such extent snd in such to place
beyond the capabiIty Of any any set Of
the accurate calculation Of how much whole freight
rates actually have been increased Some rates have
creased IS percent within the past 10 months; others as
much as 800 percent.
There two bills before congress which promise
thing. The bin before the senate is known the Cum
Minis bill. The bill before the national house Of repre-
sentatives is known the Esch bill The latter is the
acceptable to shippers Neither contains al Of the
provisions which shippers desire need The shippers
however not afford to the attitude Of whole
hog noue They must agree On the bill containing the
fewer evils and demand It be made d law.
Both bills provide for the liquidation Of railroad ad-
nistration affairs This Of course is important Both
bills provide that rates effect the date FEDERAL con-
troll is terminated shall remain In effect until changed BY
the interstate commission other competent
authority This is fair provision the cost Of railroad
operation has admittedly increased Both bills provide that
carriers shall If they desire file tariffs within sixty days
after the termination Of federal control naming the rate
advances The commission IS empowered 10 ascertain
the advances asked necessary and IN the public inter
est After the Investigation the commission sna enter an
order denying any advance or s2uang the advances to
which the carriers are entitled
In the Cumnins bin the commission is instructed to
initiate modify adjust rates, fares, etc. 50 that the
aggregate return in each section Of the country IS i've and
half percent The commission may, II its discretion, add
an additional one-half Of one percent to nonprO
duve expenditure It also is provided IN this bill that
carrier earn than sz percent per annuns onehah OF
the excess between percent and seven percent and one
fourth any seven percent shan be paid INTO
reserve fund for the caer and the remainder IS to be
paid to United States for expenditure BY Transports
ton board (the creation Of which IS provided Tor IN tns
bl, for expenditure BY such board 1or new equipment OF
In the pubic interest for other transportation purposes
The reserve fund Of carrier is limited to i've percent OF
fe value Of its property and thereafter earnings
over five percent are to Be eiyiaea one'ha 70 lne
and two-thirds to the United States
II is hard to understand how, under the provisions OF
this bill if any one road in particular section OF the
country cams excess Of the fixed return the excess s
Be taken out and divided in the manner specified thereby
reducing the net earnings IN that particular secon ms
might furnish basis for an increase N raes ~s1sln
+ L NOT fair OF right that successfully operated rairoao
should be penazed for the benefit Of poorly and inef
such i-iso1 Of net earnings would inevitably lead to
waste and fnefcency n operation Of the railroads. poor
service and almost if not entirely, eliminate the incentive
further economies pLleL1e1 II
low ire theory is fundamentally wrong II it is not
wrong and illogical then Why should not the government
guarantee the wholesale grocer the wholesale nlloS
sser the newspaper etc, net return Of sz percent On
s vestreut-ther book investment regardless OF what
hey want to make it,
The Esch bin does not make any such radical provision
IS this It simply says that the carriers rates shall be
uch as TO We'd them far return The commission is
10 determine what fair return Is and also what rates
vii yield that return.
The Cummins bin provides for the creation Of railroad
transportation board 70 be appointed by the president
such board is absolutely unnecessary and would simply
another tax burden upon the people There should be
dual responsibility. Whatever additional duties COZ
wishes impose upon any government body other
han the arbitration of labor disputes affecting the egnz
alton Of carriers should be through the instru-
mentality Of the interstate commerce commission
The Esch bin does not provide for transportation