The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1919-05-23
Iowa Senator 10 Leading Authority in
Congress Now on Question Of
American Railway
Transportation.
WOULD DISMISS 100000
Increase Rates in Some Instances in
Order to Take Burden from
Shoulders Of Tax
Payers.
by Arthur Sears Hennings in Chi
cago Tribune

cago Tribune.l
WASHINGTON, ID. c., May %
Senator Cummins, who will be chair
man of the senate committee on
interstate commerce, has worked out
a program to relieve the taxpayers of
the burden of the present railroad
deficit, created under government
operation, and to restore the roads
to their owners on a plan providing
not only for profitable private opera
ton but better and cheaper service.
The senator, who is the leading
authority in congress on Transports
ton questions, outlined his views to
The Tribune today He asserted that
during the period Of readjustment of
the railroads it will be necessary for
the government to guarantee divi-
dends, and under his plan the inter
safe commerce commission. would
be charged with the responsibility OF
bringing the expenditures and the
earnings of the railroads into closer
accord. The taxpayers of the country
must not be called upon to continue
shouldering the heavy deficit in the
operation Of the roads, he said.
DISMISS ZUo,OUO employees.
To narrow the gap between expen-
ditures and earnings the interstate
commerce commission will have to
do two things, according to Senator
Cummins. They are:
First, dismiss from the railroads
more than 100000 men who are being
carried on the payrolls in excess of
the number actually needed. This
will save approximately $200,000,00O
a year.
Second, increase rates in some In
stances.
Senator Cummins has already
drafted bill to be used as the
framework for the legislation which
the interstate commerce committee
is expected to recommend to con-
gress at an early date.
Wire Restoration Next Week.
Immediately upon the reorganiza-
ton of the interstate commerce COM
miltee, probably Monday, Senator
Cummins will call a meeting for the
purpose of disposing at once OF the
wire control problem. 1t is expected
the committee will report a reSnlu-
ton restoring the wires and that
congress will adopt it without delay.
At the same time Senator Cum
Minis will urge the committee to
recommend the passage of the bill
restoring the rate making powers of
the interstate commerce commission.
He hopes to have this passed with
out much controversy. This measure
will give the interstate comm cree
70 M
railroad deficit during the period of
railroad readjustment.
Railroad Bill in Two Months.
II will then ask the committee to
hold almost continuous sessions on
railroad legislation" said Senator
Cummins. 81 do not believe further
hearings will be necessary. The
committee has the benefit Of the valu-
able and voluminous testimony taken
by the Newlands joint commission
and the interstate commerce commit
tee last session. I believe the COM
mittee ought to be able to report a
bill in about two months
Senator Cummins' bill, tentatively
drafted. calls for the reorganization
of the American railroads into fifteen
or twenty systems. He believes it
will take three or four years to ac-
complish this scheme, and 1t is in
this period he would have the gov
eminent continue guaranteeing divi-
dends.
81 do not say, though, that the
should continue guaran-
teeing dividends at the present
rates" Senator Cummins explained.
No Wage Reduction.
'T do not believe much can be &C
complished in the reduction of
wages. The principal employees of