The Washington herald., 1920-06-06
FREIGHT ORDER
HITSBUTLDING
Hindrance Seen Here in
Practical Refusal Of Open
Car Hauling.

Further complications Of the
building situation became apparent
last week when orders were issued
by the commission on car service
Of the American Railroad Associa-
ucn which. practically deny the use
OF open cars for the shipments of
building material. This act. 1t was
pointed out by: builders, will have
the effect not only OF stopping build
ing operations already under way.
but of impeding new building with
consequent increase In the ma
ierials under the law of supply and
demand.
1 while the commissions order pro-
hibits the distribution of open cars
for loading other commodities re-
quiring open cars to an extent not
exceeding 80 per cent Of actual re-
quirements. 1t was pointed out that
the car supply now, for building
materials. including beth closed and
cpen cars. does not exceed 10 per
cent OF the need.
So serious is the matter, in the
face of the shortage of homes. that
Senator william NJ. Calder. of New
York, has asked the Interstate Com
'nerce Commission what action It
contemplates TO relieve the present
lack of transp ortation for construc-
tion materials.
| Car shortage Serious.
II am informed" said Senator Call
der, in his letter. that producers of
building materials are experie ncing
trouble in securing cars, that the
| car supply does not exceed 10 per
| cent of the need, and that even
where a limited supply of cars Is
available. shipments are frequently
impossible becepse of embargoes. A
number of plants manufacturing
building materials are shutting
down because >of their inability. to
secure transportation for their fin-
ished product or fuel for their op-
erations. Building materials con-
tracted ready for shipment are un-
available because of lack Of trans
portation. Contractors bids are
forced upward because they must
include estimates for losses on ac-
count of the uncertainty and delay
in delivery of materials.
THE need for construction and
| housing has been accumulating for
several years. The housing short
age is now very serious and nation
wide in character. Some property
owners have taken advantage of the
shortage to so advance rentals that
drastic legislation has followed.
| Such legislation, while minimizing
extortion, has not increased the
number of available houses.
During the war. building mater
ials were placed at the bottom of
the preferential list; in fact, con-
structicn not Immediately neces-
sary for the prosecution of the war
was well-nigh prohibited. Judge
Lovett's priority order No. 2. which
denied The use o. open freight cars
for the transportation of building
material. was reinforced by an in
crease in freight rates on building
materials double the increase which
was fixed on other commodities at
j that time.
Need OF Transportation.
Transportation of materials for
the building of homes and OF fuel
needed to operate the plants manu-
featuring building materials might,
in part, relieve the present critical
condition. 1t is possible that some
plan may be evolved to relieve the
|
ton preference to fuel and commod-
tiles such as lumber, brick, hollow
tile, etc. required for housing.
In fixing the new scheiule of
freighe rates. 1t is urged that the
commission should take into con-
sideration the fact that rates on
building materials were increased
on En average double the increases
placed on. other commodities, to-
] gether with the fact that building
materials require the minimum of
terminal facilities.
81 am advised that you now have
before you memorial from the
National Federation OF Construction
Industries, to v h!ch I hope you will
give your earnest consideration.
"I am not unm:ndful of the fact
that the railroads. themselves. are
in the greatest need of funds for
rehabilitation, but 1 believe that n
comparatively small amount of rev.
enue can be derived from the freight
of the construction industry until
the Industry itself is in a thriving
condition. 1 am sure that the COM
mission will appreciate the alarm
ing possibilities of continued
shortage of housing and construc-
tion upon the Industrial and social
welfare of the ration
The Special Committee on Re-
construction and Production of the
Senate. of which I am chairman, is
giving consideration to means of
fostering and stimulating Construc-
tion work of all kinds. The com
mittee is natui ally DESTROYS of OBJ
tanning ell possible information, and
Is particularly interested in learn
ing what steps may be contemplate
ed by the Interstate Commerce Com
nilsson to relieve the present lack
| Of transportation for construction
/ N, a tarials"