New-York tribune., 1919-01-14

Federal control proves a success, the
people will demand that it be con-
tlnued. or, what comes next, govern
ment ownership. We had private con-
troll without regulation, with cut
throat competition, with railroad passes
gong to big shippers and big people.
secret rebates, our legislatures cor
rupted. and everything pernicious.
men Tor thirty-one years we had reg
ulatlon, and then, when we got into
,hls war crisis we found we did not
nave 100 per cent articulatc
system. Therefore we tried Federal
control, which was natural. The roads
have been operated under Federal con-
trol with abnormal costs, but every
thing IN the war was costly. The big
thing is that we did the job and won
the war"
Questioned by Senator
senator Cummins-You believe, as
l understand, that rates should be
founded primarily on the cost of SER
vice. and that in working out this cost
You could reach the result by dividing
the entire charge into terminal or load
ing and unloading charges, and the
cost Of line haul
Woolley-Yes, with of course the
cost of the necessary switching, as
sembling and breaking up Of trains.
Senator Cummins-You have been
member of the commission a year?
Woolley-Fifteen months.
Senator Cummins-Have you made
any effort to bring about revision of
the rate system along the lines you
suggest?
Woolley--I have declared myself
quite vehemently on the subject to
my colleagues.
Senator Cummins Is it not true
that the |. c. c. has had the power to
DO this thing you advocate?
Woolley- theoretically, yes; prac-
tlcally, no. | mean our transportation
system has been constructed with such
utter disregard Of any central plan or
view to the future that we have ar
rived at point where if we attempted
to do this thing, under private control,
would go by the board; with many they
would have to be protected by g,vern-
7nent control or pool, or favorable
rates, or else scrapped.
Senator Cummins-You say this
would destroy the value of many roads
and communities Do you think these
rdships should be considered in fu
ture action?
Wants Minimum Injury
Woolley-Of course the rights of
all communities and peoples should be
considered, but if we have gone on
with an unjust arrangement and wish
to correct it, simply because one COM
munity has prospered unduly, I don't
think you should withhold justice.
don't think as great injury would re-
suit as many people think. Once the
government takes hold and announces
re l>,
would insist, as matter of self pro-
lection, that this thing, competitive
terminals, should be done away with
and they would undertake to make
their terminal costs as low as possible
and scale them as low as the next city.
Senator Cummins--Do you favor
law which of itself would put into
effect distance tariff?
Woolley-Yes. provided Federal con-
troll is continued; that is, I would
favor law which would direct the l.
c. c. to make the necessary investiga-
tlon and inaugurate the plan.
charge one thousand times as much
for hauling coal 1000 miles as for
hauling it one mile.
Woolley-Yes, you make the prop
er ALLEGATION of terminal costs.
Senator Cummns--Do you mean
the consolidated classification, the real
outcome Will be, so far as my state is
concerned, to raise the rates about 25
per cent more?
Woolley-If what is proposed would
result in a substantial raise in rates
it should be very carefully con-
sidered. want to say that agree
with Mr.. McAdoo about the impair
ment of the morale, if the roads arc
turned back. | know what happened
with the Interstate Commerce Commits
sion when the roads were taken over;
how many of our best men were in a
state of panic. They thought they
were in disappearing organization.
Senator Kellogg-But that was be-
cause Mr.. McAdoo discontinued the
commission; that is, he made the rates.
Woolley-Subject to review by the
commission.
Senator Kellogg g-Without reference
to the commission.
Woolley-But the commission still
passes on the rates he initiates as was
shown in the Willamette and other re-
cent cases.