The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1919-03-29
Director General Hines Says
Improvements on Railway
Property VIII be Continued
by Government
FAILURE OF APPROPRI-
ALTON HAMPERS WORK
Clear Statement Of the Railroad
Administration Plans Made to
Give Public Understanding Of
Situation.

Pittsburgh, March 26.-Despite the
financial predicanlent Of railroads.
the railroad administration plans to
carry out as much of its improve
ment program as possible to keep 10
Dor employed and roads in repair.
Walker D. Hines. director general Of
railroads. declared in an address TO-
night before the Pittsburgh Traffic
Club. He asked for a more adequate
understanding on the part of the pub
lie Of problems facing the railroads
during the war and in the immediate
future, and presented suggestions fer
operating roads privately under puD-
lie regulation as a permanent solution
of the problem. He emphasized that
the ability of the railroad admins
tration to finance itself in spite Of the
failure of the appropriation does net
mean that it does not need the Hr-
preparation as soon as congress .,ects
again.
Referring to the Improvement pro-
gram, Mr.. Hines said
Unfortunately the impression has
gone out that the railroad admin;stra-
ton has decided to cut off ell i'm
proyement work, including additions
and betternents and maintenance
This is not fact. What has happen
eel is that we are taking steps to
give the railroad corporations full op
portunity to determine whether they
should assent to the work which
they must finance. It is the inter-
ton of the railroad administration
to carry forward just as much addi
tons and betterm ents and mainten
ance work as possible in order that
the railroads be kept in good repair
and extended to meet the needs Of
the situation"
Proposing eventual private opera
ton with government supervision Mr..
Hines said:
my own view is that a moderate
guaranty on capital should be pre-
scribed by the government so as to
give reasonable assurance to capi-
tai, and there should be q right to
participation IN any profits made in
excess Of that guarantee so as to fur
nish the needed stimulus to private
initiative
|'I further believe that the govern
ment should be strongly represented
on the boards Of directors. and that
these government directors shoulc
constitute an important part OF the
regulating body which prescribed the
rates so that this regulating body VIII
know as necessities develop that the
necessities are developing and will be
III !, If hn CT
ton much more nearly at the time
the needs arise than is possible at
present.
do not believe these fundamen-
tai changes can be successfully car
ried through except by the constrUc-
ton of comparatively few great
railroad corporations each of which
will so combine the prosperous and
unprosperous reads as to presen. a
fair average result and get away
! from the hopeless diversity in earn
ings which has existed in tie past
and upon each of which Will be prac-
ticable to have governmental repre-
Sentation.'
Reviewing the government opera
tons of railroads during the war Mr..
Hines said it was important that the
public understand the accomplish
ment Of three great results. First,
conflict of priorities was eliminated
and unification of control prevented
serious congestion. Second. through
government control railroad labor
was given wage increases and i'm
proved working conditions. Third,
the government provided for ode
quate financing Of the roads which
otherwise would have been almost
; impossible. None Of these questions
: could have been dealt with proprrly
; except under government control
said Mr.. Hines.