The Glasgow courier. [volume] (Glasgow, Mont.) 1913-current, 1920-01-02
MARCH 1ST SET FOR
TURNING ROADS BACK
President Has Decided on That Date.
Express Companies Will Be
Returned at Same Time.

Washington. December 24.-Presi-
dent Wilson tonight issued proclama-
tons turning the railroads and ex-
press companies to private control
March /.
Failure of congress to enact legis-
lation was given as the reason for
extending by two months the time
originally announced for %relinquish-
ing government control of the rail-
road properties. In his message to
congress last May, President Wilson
said the roads would be turned back
at the end of the calendar year.
The Esch-Cummins bill designed to
meet conditions incident to the re-
turn of the roads now is in conference
with the prospect that an agreement
on differences between the house and
senate will be threshed out before
March 1. While one. provision of the
bill would order the return of the
roads at the end of the calendar
month in which the bill is approved,
it was considered hardly likely that
an agreement would be reached quickly
enough to put the roads back Febru-
airy |, or one month earlier than or
dered by the president. There are in
dications of a lively fight before eth
er house adopts the other measure on
anti-strike clauses of the-bill, or the
question Of continuing the government
guarantee to the roads until they can
obtain increased rates to meet advan-
ced operation costs. Also, it was said
tonight in congressional quarters, that
because Of the presidents decision no
attempt would be made to rush thru
the necessary legislation.
1nasmuch as the staffs of the va
rious systems have been retained vir-
tually intact by the railroad admin
istration the return of the railroads
to private control will involve legal
and financial rather than operating
questions. Those departments of the
railroad administration will remain in
existence with increased personnel for
months after the operating have left
the government service. Swager
Sherley, former chairman of the pub
lie appropriations committee, and now
director of finance for the railroad ad-
ministration, probably will be the man
chosen to wind up the governments
business.
Bust programs face the express
companies. Consolidated into one sys-
TEN under government operation, the
four original corporations are report
ed to have asked the department of
justice if there would be any viola
ton of the Sherman antitrust law in
their remaining a unit.
In two years of possession of the
railroads the government has shown
a deficit of approximately $646,00O,-
900, according to estimates submitted
by Mr.. Sherley to Senator Cummins.
When the roads were taken wei Jan
uary l. 1918, congress guaranteed
them a rental of 5000, 600, 900 annually,
based on the average income of a three
year test period. Operating revenues
in 1918 fell $236,OOO, 900 below the
standard return and this year will be
about $3.50, 900 under that amount.
The remainder of the deficit has been
incurred in the expenses of admins
t%ration, in land waterways, etc.
Two appropriations have been made
by congress of $500, OOO, 900 and the
other of $3.50, 0OO, 900 much of which
has been used as a revolving fund by
the railroad corporations and for the
purchase of new equipment.
These amounts will be repaid to the
government.