Evening journal., 1919-01-03
M'ADOO AGAINAIRS
HIS RAILROAD VIEWS
lContinued dom paso ono


classification introduced by the railroad
administration.
Common timetables between inn
poriant points.
High demurrage rates and uniform
rules.
Establishment OF thorough way-bill-
ing freight from point Of origin Of
destination.
Rendering Unnecessary the rebilling
by connecting or intermediate routes.
Elimination OF the practice Of paying
in mileage or per diem rental for the
use OF freight or passenger cars Of one
carrier by another.
slmpliflcation Of the old practice Of
apportioning inter-llne passenger rev
enue.
Use Of water routes for the release OF
crowded rail lines.
Some OF these reforms can be con
tinued should the roads be returned 10
private operation, Others cannot said
McAd0o.
Competition and self interest dictate
that when the roads are under private
control each carrier gets as much busi-
ness as possible and keeps It regardless
Of the fact that the aggregate result
may be wasteful and uneconomical.
"Private carriers may not enforce
rules which, although designed 10 bring
about efficiency and economy might
drive business away from their lines.
All the waste resulting from these
practices and running into huge costs
IS paid by the public in the form 0t
increased rates.
In presenting his views 10 the com
mittee, McAdoO said
~ have given you statement Of the
transportation achievements under Fed
eral control during a year Of war and
OF the political situation.
what remains to be considered is
what permanent solution Of the rail
road problem should be adopted and
what shall he the temporary form Of
railroad control pending permanent
solution.
In December, 1917, there were about
$50 separate operating railroad com
panies in the United States with operai-
ing revenues Of Si,OO0,OOO or more per
year each. Seventy-three OF these COM
panieS had operating revenue OF Si0-
100000 or more per year each. There
were several hundred companies whose
respective operating revenues were less
than Si,O00,GOO per year.
Broadly speaking, there are three
general permanent solutions OF the rail
road question The first is TO send the
railroads back into the private control
Of the several hundred old companies.
The second is 10 have outright govern
-ment ownership and control Of all the
railroads. The third is TO reconstruct
the railroad map along logical lines SO
as 10 wipe out these hundreds Of differ
cnt railroad companies and substitute
comparatively few companies which
under strict and close government con-
troll can be expected to combine the
advantages of government control in
cluding unified control Of those things
where il is needed with the ADVANTAGES
Of the initiative of private management.
Il am not committed TO any particu-
lar plan
81 wish to lay before you certain re-
forms which / think are indispensable
and without which any so-called solu-
tion OF the railroad problem Will be a
mere disappointing make-shift
81 am frank TO say I do not believe
that these important reforms can pos
sibly be accomplished il we are to have
in the future several hundred different
railroad companies as We have had in
the past, or even a hundred or even
nifty different railroad companies. be
lieve they can all be accomplished
either through a comparatively few
railroad companies or through single
Federal control II the country prefers
TO continue in existence the hundreds
or different railroad companies as in
the past ] believe it viii be necessary
for the country 20 abandon the hope
OF obtaining most OF the fundamental
reforms which ! propose TO point out