The Washington herald., 1921-03-21
BuLPREPA AIRED
TO FORCE RAIL
ECONOMY PLAN
Security Holders Draw
= Up Scheme to Compel
Cooperation.
SENATOR CUMMINS
SPONSORS MEASURE
Federal Direction Under
Private Control Ad-
vocated.

SECURITIES lnaI BONeNhhehh
ship Is the Inevitable outcome Of the
existing transportation crisis un-
less Intensive economy" Is prac-
ticed, has driven them into an or
ganized effort for legislation max
ing coordination of rail facilities
and service compulsory.
Their comprehensive program.
with its revolutionary proposals for
railroad operation enjoying the ad-
vantages Of unified or government
lmanagement without relinquishing
,.private ownership, has been-form-
ulated in a bill for Congress- s.
Davies warfeld, president OF the
National Association of Owners OF
Railroad Securities, will present II
today.
Cummins to File.
This bill and their statement on
the situation, which are necessarily
aimed in part at the railroad execu-
tives who could voluntarily bring
about this coordination Sought TO
be made compulsory by law, will be
Med formally with Senator Cum
minis, of Iowa. chairman of the In
terstate Commerce Committee and
co-author of the Esch-Cummins
transportation act.
The railroads must recognize
that only drastic measures on their
part will save them from being
swallowed up II the demoralization
that government operation and al
ter-wsr readjusfment has brought
upon them" Wis the conclusion of
the warfield statement made public
here last night
Score Executives.
Conditions under which the rail-
roads were turned back after the
period of Federal control and eco
nomic conditions generally were
charged with chief responsibility
for the present plight by Mr.. War
field. Still he spared railway ex-
ecutives no criticism on their ina
bilfty to establish means to insure
economy in operation which the
public asks and later will demand?
establishment by law OF a Ma,
tional Railway Service is the chief
feature of the advanced methods for
conduct of rail transportation which.
the securities owners claim. will
bring annual savings Of millions CT
collars. increase facilities and SER
vice and lower railroad fares ard
rates. This would be an agency
auxiliary to the Esch-Cummins act.
ether equipment to lie furnished to
the railroads on an economical ba-
sis. without profit; and seconds
the means for co-ordinating facii-
ties and service read the Warfield
statement
Summary Of Plan
Here Is the plan briefly summar-
lied:
Cd The Ipterstate Commerce Com
mission TO select fve from among
its members to conctitute the serv-
ic. division 70 have supervision and
initiatory and regulatory powers to
he exercised through the board or
Ear Of the Natiosal Railway Serv-
C.) The board to consist of forty
members sub1ivided into two dfvi-
,ions-hkznce administrative and
railroad onicials. twenty members
.ach-wlh chairman. vice chair
man treasurer. secretary and other
oFncizIs as we'll as an executive
committee Of eleven members
omeiaI. Division.
CD Railway ofnciaIs Division to
b. formed by four group railway
bo.rds. each organized and selected
from and by each group Of rail-
Yoads as now constituted by the
eonufssion's division of country in
20 four rate territories. For each
board the railroad selects five who
hna ~ n
pers of territory name two members
Of group boards
(D Finznee-AdmInistra Divi-
,ion. 70 consist of twenty trustees
Of National Railway Service corpo-
ration. This corporation was re-
Gently organized by the Association
Of Security Owners to furnish
equipment TO carriers by conditions,
szle or lease and will be superseded
By the National Railway Service,
with extended powers for financing
and leasing sauipmenu now neces-
sary when each carrier is required
A. buy its maximum equipment re-
q1irements
Trs Csaaiffees.
(S) In addition there will be ten
committees Of ave members each. to
cooperate with each Of the four
group boards and selected from the
railroads Of each group This means
four group boards and forty COM
nfttees In all for investigation and
reports on normal equipment re-
quirements Of each railroad: addi-
tionai equipment to be leased from
National Railway Service; stan
dardIzation of equipment; useless
expendItures incidental 20 wasteful
competition; Joint use Of terminals.
yards and shop facilities; surplus
property not required I'm legitimate
transportation: cost Of carrying:
purchase OF fuel and supplies: APP
plication Of standard Of efficiency in
railroad operations: and working
conditions, wages. etc
The great problem OF American
transportation has been TO nnd the
means 20 coordinate the natural
advantages Of individual railroad
management and operation without
destroying Initiative and incsntlve,"
read the warneld statement
Admits Needs.
Continuing. he admitted that GER
tain consultations Of railroads are
necessary. but that in the present
emergency the public Is entitled 10
CONTINUED os rAss slvx
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