Every evening, Wilmington daily commercial., 1920-05-12
WORSE R.R. SERVICE
FOR NEAR FUTURE
US. DIRECTOR SAYS
Lines Need a Billion Dollars a
Year, Retiring Chief De-
c1ares.
INSISTS TRAFFIC RATES
MUST HAVE BIG BOOST

Washington. May 12-Transporta-
ton service for several months less salts
factory" than during Federal Control
was forecast by Director General Hines
last night in. what he termed ''valedietory
comments" on the general railroad situa-
ton before the National Press Club.
Without public patience and cooperation
by the corporate owners and pubic he
said, the prospect of successful restoration
of adequate service would be materially
lessened.
Mr.. Hines plans TO retire as direc tor
general next week. and therefore, HE said,
he could speak with "a reasonable degree
of detachment The principal problem
is financing he said. He estimated the
annual needs of the roads "conservativeiy
at $1,000 900 for new equipment,
extension of facilities and the general
rehabilitation of the properties.
Need of rate structure which would
put the roads on a self-sustaining basis
was described by the director general
as of supreme importance"
with an enormous volume of business
being insistently offered for transporta-
ton he continued, with a long sus-
pension of the normal increase in facilities
and equipment, with continued heslta-
tion In making beginnings in that direc-
ton. and with breaking off to a consider
able extent of unified practices which
prevailed during Federal control, the
public must be prepared for unsatisfactory
service.
II strongly advise the exercise of
patience and good temper in putting up
with q service that, especially as measured
by the volume of freight traffic moved
during periods of heavy demand, Is, and
promises to continue for some months
to be. less satisfactory than was rendered
during Federal control.
The man not intimately acquainted
with raiload affairs finds it difficult
to understand the magnitude and pressing
character of the demands for additional
capital expenditure. Additional equip
ment alone calls for perhaps 5000 100000
a wear. In addition there is on nearly
all railroads need for great enlargement
of terminals, generally in costly localities,
modernization of shops and engine houses
and construction of additional facilities.
"There are demands also for additional
trackage, construction of heavier bridge
to admit of the use of heavier power. the
reduction of grades and curves and the
installation of safety devices and other
remedial construction.
NO scheme of railroad management
and regulation can succeed permanently
unless it is able TO draw from some source
the capital necessary TO make these
expenditures.
Discussing the new transportation act,
Mr.. Hines expressed the opinion that
there could not be- successful perma-
nent development of the theory Of
private management of the roads Of this
country without thorough-going and
far-reaching consolidation into few large
systems"
The new law provides for voluntary
consolidation, but Mr.. Hines argued
substantial results could not be accom-
plished in the absence of further legisla
tive provisions which either compel con-
solidation or offer inducements that will
insure voluntary upification ''if we are
to avoid government ownership.