The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1920-04-22
AIOk a. b. CUMMLNS' ADDRESS ON
RAILROAD LEGISLATION AND LABOR

senator A. B. Cummins, temporary
,hairman OF the republican state con-
.,antion, in session today at Des
Moines. after discussing the league
~ nations and other legislation by
oangress, spoke of the railroad and
labor laws as follows:
l"I One of the notable achievements Of
.he republican congress now in ses-
~, ~ ia the enactment Of law for the
. .,otu,n of the railroads to private
Inuaration and the enlargement OF the
upwers of the interstate commerce.
uuon,mission respecting their future
sDa,,Iation and control. While some
- the democrats in both the senate
snd house Loyalty and periodically as
sisfed in this hong and laborious task,
a. is nevertheless, a measure for
,gbich the republican party is respon-
INC and we must stand or fall upon
he Judgment which the people shall
rander with respect to it. The posi-
son of the administration upon this
subject was that the government
should remain in possession and
one,at ion of the railroads for at least
two wears more and preferably flve
Years more, and that view was urged
strongly upon the committees of CON
Grass by the director general and his
associates. In support OF this posi-
zion there came before us several or
ganizations which 1t may be well to
remember as the subject is de-
yeloped. First, the Plum Plan league,
. composite body made up OF some
Of the railway broth erhoods and labor
unions whose ultimate plan was the
mrchase OF the railroads by the gov
eminent and their operation by a
hoard two-thirds of which was to be
composed of railroad employees. The
POSITION was also maintained by an
alleged farmers organization whose
activities are largely confined to
Washington and which is engaged in
nropagating the most advanced theo-
rios Of socialism. In this situation,
the first question which congress had
II decide was whether the govern
ment should continue in possession
and operation ofs the railroads under
the war act of 1918 or whether they
should be Immediately returned to
their owners for private operation
under such regulations as might seem
10 be best adapted to meet the de-
mands of the people for transpor.a-
ton.
consequences Government Operation.
A very brief review OF the conse-
ouences of government operation
seems to be appropriate at this point.
The government took over the rail-
roads about the first of January,
1918. 1t operated them for twenty.
six months; that is, until March !,
1920. When all the accounts between
the government and the railroads are
settled and all that the government
owes the railroads and all that the
railroads owe the government is paid,
the result will be that the govern
ment operated these transportation
facilities with a loss of more than
1000 5000 The government adj
nits loss of more than 100000
and when the disputed claims are
given fair consideration a loss OF
III, 900, 100000 Is an underestimate
father than an overesttmate OF the
final outcome. This vast deficit must
be paid from the treasury OF the
United States and the taxpayers OF
the country must, of course, furnish
the. money. The loss IS somewhat
more than $1,000,000 per day, and
this Notwithstanding the fact that
toward the middle Of the year 1918
the director general increased the
rates of transportation so that the
aggregate annual increase approx
mated $3.50, 100000. l do not intend
TO fall into criticism OF the manner
in which the railroads were operated
during this period. | think the direc.
tor general did the best he could and
that the appalling facts which | have
stated were the inevitable conse'
Quences of government operation at
any time and under any circum,
stances. | have given you, however.
only a part of the story. When the
government took possession of the
railroads., it necessarily assumed the
duty of maintaining and ens1rSing
them as required by the commerce OF
the country. In the original act, |
congress appropriated $50O,0JO.GO0. !
About a year thereafter, 1t became
necessary to appropriate S750,ooo, 600 !
more, and If the government had re- |
III pOoSCoSioA
whole of the year 1920 an additional
OF $1,000, 100000 would |
have been required, and every year
thereafter we would have found it
essential to appropriate $1,OOO.o0o,Oo0
or more. All this for current eApen-
ditures, either for maintenance or af-
ditions and betterments. 1t is well
known to every student of the sub |,
lect that when the government began |
the operation Of the railroads there !
was some shortage of equipment, but
during the period OF government |
operation that shortage increased so !
that when we came to return tie |
there was absolute need Ut
10000 additional freight cars and
he proper proportion Of locomotives.
warehouses;, sidetracks and other
ABILITIES. When congress looked
OYER this situation and considered
hese facts, there was scarcely vote
'r voice in favor Of continuing gov
'rnment operation, Notwithstanding
he insistence of the administration,
md the passionate demands of the
'lurb Plan league, some of the labor