Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-06-10
Freight Rate Cut Possible When
Cost Railroad Operation Drops
Continued from Page One)

~ 6SV S'St
, of the railroad managers. 1t is q
simple mathematical problem.
Government Ownership
In abiding to restrictions. Mr..
Lee brought out the heritages from
the government in three parts. When
McAdoo took over the railroads he
thought private ownership was at an
end. 1t meant cutting off the Presi-
dents salaries, amalgamation of
lines. Instead of making money it
cost the government millions regu-
lating the railroads. Government
ownership is failure. 1t always
will prove so, especially under
Democratic ownership.
I The cost of running railroads dur
ing the war was not the most serious
thing McAdoo and the Democratic
administration did in this country.
The most serious result was the de-
moralizing of the railroad personnel.
When McAdoo took charge he sent
out to the railroad personnel mes
sage the effect of which was this:
Your boss is the United States gov
eminent. If you have any regresSions
come to the United States govern
ment. If you have any benefits and
| improvements you ought to be CRATE
full to the L. S. 1t was in Mr.. Nc
Adoo's mind that if as a result of
their qualification they should feel
eral as president he would not OBJ
ject. If he did not have that in his
mind he was not human.
He called to Washington the heads
of the great railroad labor unions.
He practically dealt with the rail-
road employees through the railroad
labor unions. When Washington
was made the center. it took away
the power and the ability of every
| local supervisor to maintain and i'm
| prove. 1t found the whole staff dis
organized. The spirit of loyalty had
been broken down and an entirely
! new feeling had been raised. Men
had been taught to have no feeling
toward making private ownership a
success. The railroads have been
! taken back to private ownership and
. today the job is making it success
! In the United States there are $50,
| 600 railroad employees. If this num-
! Der of employees don't want private
ownership of the railroads in the
country to succeed, then it can't sue
coed. If they are liStless, hostile,
careless. they can make it discour-
! aging The effort now is to restore
/ viz of
managers and employees.
One question is often asked after
an address What can we do about
it? You can do this, you can find
oft if | am right Then you can tell
your Congressman. your Senator, how
you feel about it. If the railroad
regulated system of this country is
wrong tell your Congressman about
it. Have him make views about it.
1t will be cured.
Two heritages embarraSs the rail-
roads most seriously. When the Pres
ident took over the railroads he is
sued u proclamation they would
scrupulously regard the trust issues
and properties and return them in as
good conditions as when taken over.
They found it impossible with the
limited amount of material available
to put in as many ties. A great many
cross ties were sent to France They
! found it possible to scrimp. After the
government was through with the
railroads it was found to be the duties
OF the managers to restore where it
had been scrimped. The government
attitude was this: If they put into
the railroad treasury the amount of
money the railroads had three years
before the war that would be restor-
| ing to the conditions. But in the
meantime the prices have gone up.
But the amount is the same.
During the war it was of course up
to the railroads to make a great deal
of improvement. The government
was selling Liberty bonds in the mar
ket. 1t was practically forbidden for
any other company to raise money on
the market. Millions were spent in
improvements for the benefits of the
pubic. Millions were not funded
when the property was returned. In
so far as the railroad owed the gov
eminent money for this capital that
, should be the offset of the money
raised. Pennsylvania's working cap
ital is ten millions; because the gov :
eminent fails to pay, eighty millions
is tied up in forms of unpaid vouch-
ers, which it cannot pay. Previously
1t was an unheard of thing to delay
for moment the payment of such
debts. Because the government with
holds payment, the railroads must
hold up payment of millions. Tell
your Congressman about it.
Reason for regulating the law was
because people began to mistrust men
in high positions, to mistrust our rail-
| road officials. 1 think you'll find, to-
| day. no group Of our citizens who
discharge their duties more faithfully
than railroad men. Look around, ask
about railroad men your friends
know. If they are doing honestly get
behind them. You want the railroads
to grow and be healthy You don't
want it to get into the rotten ten
tacles of government ownership. If
,, you make your Congressman feel you
really mean that you will find your
railroad systegas are really of the
! right sort.
Small Crowd Present
Ii was small crowd which at
tended the transportation meeting but
enthusiasm was prador,;,oti,r A