The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1921-12-09
|. {. C.C. HOPES
LOWER RAILWAY
RATES COMING

Washington Zee. Slope IS expressed
by tho Eat"rStrte Commerce Commission
in its annual report today to congress
that "A substantially lower" level OF
railroad rates and fares Will be possible
with an Improvement In the volume OF
traffic following tho present business
depression ard with further adjust
meat OF operating costs in harmony
with prevailing tendencies"
Freight rates. following war time In
creases and some later readjustmCn,S.
have not yet reached IN G u!'iDr!Im. the
commission says because the chief fac
tors controlling them. the Calue OF SER
Vice and the cost OF transportation"
sim are in 4 state Of tluX.'
The commlssirn's report IS for the
year ended last October 81. IL discioses
that u total az S+3C.0O0OcO has oeen
ordered paid 10 the railroads under the
government guarantee against losses
during the first six months after their
return { private ownership and that
there still Is due an estimated $lO5. 00O,-
600 on this account.
Out OF CT carriers entitled to guar
antee payments. the commission says,
5lI have filed claims. totallinG $SlS.9oO.-
000 but payments OF only 1886. 100000
have been held justified by the commits
SONS audit No statement was made
with reSNeC. to the difference between
the roads own summary OF their losses
during the six months and the govern
-ucnts findings. The roads which hRvo
not yet flied claims for losses. tho re-
port adds. are short lines and the total
will be relatively small"
In !ts capa"ty rs supervisor OF rail-
ice :.
sued during the wear certificates allow
Ing roads 70 ISSUE stocks and bonds 10
a tota! OF $l.Ti5 600. 001. the report says.
The commission points out. however,
that this total rcrrrsented for the great
est part rc:und.nE operations, not In
vOly!nG new and increased investment.
Discussing railroad earnings. the com.
mission says tho carriers income and eX-
r"nscs have reflected the unsettled In
dustr.al conditions and that despite the
reduction OF the working forces by half
4 million men. 4 lowering OF the cost Of
materials and cuts IN employees pay the
net earnings have not yct reached a rate
IT per cent on the value OF the prop
critics determined for the United States
as I whole The per cent net earning
rate, IS that recognized by Congress In
the Trarsportatio ton Act as fair return
on the Invested value.
In It's recommended tons. the commits
sion asks Congress to reconsider section
IS OF the Merchant Marine Act author
iz!ng preferential rail rates on ship
ments OF commodities for export in
American bottoms. declaring that the
ultimate effort may be merely TO d.
vert traffic from certain ports 10 others
with little or no gain in tonnage Tor
United States vessels" Operation o.
this section Of the law has been suS-
-rndcl b. agreement between the
shipping board and the commission.
Other recommendations OF tho com
mission are:
Enactment OF = Law providing for
the punishment OF any person Offering
or giving 4 br!le to an employc or a
carrier with intent 20 influence his ar'
tion or decision with respect 10 car ser
vice. and providing fer the punishment
Of the guilty employc.
That the use Of steel cars in the PAS
scnccr service lie required and that the
Use in p3 SScngcr tra!aS OF wooden ears
between or in front Of steel cars be
prohibited
Amendment OF the Interstate Com
uerre Act so as clearly 10 provide
whether and if SO. how voluntary con-
solidations Of carriers may he etIec;c0
nendiug ultimate adoption by the com
m!ssicn OF a complete plan uf consotda'
tioN.