New-York tribune., 1921-10-08
Resolution Offered House
Reducing Farm Freigh;s
25 Pct. as Roads Report
Earning 5 Pei. in August
Executives Consider
I Wage Reductions
Senate Agricultural Bloc
to Oppose Credit Bill TO
Force Carriers TO Act

WASHINGTON, Oct. with official
eeures in hand showing that the lead
log railroads OF the country earned )
per cent on their investment in Au-
gust, or more than in many months be
Fore. movement TO force reductions in
freight rates was set afooc to-day in
ootn houses Of Congress. Ways and
means of cutting both rates and wages
we're under consideration also At
meeting Of railroad executives who are
in Washington to discuss the situation
With Senator Cummins, chairman of the
Senate Interstate Commerce Committee.
In the House Representative Dowell,
Of Iowa, after comforting with mem
bers from agricultural states, intro
duced resolution which would compel
reduction of % per cent in freight
rates on grain, grain products, hay,
livestock, coal and cotton. In the Sem
ate members of the agricultural bloc
laid plans for their meeting tom orrow
uight, where the railroad situation will
-
threatening TO fight the railroad credit
bili to the limit unless the roads re-
Juce their rates.
August Income 100000, 600
The figures on revenues of the Class 1
roads, which are preliminary, were sub
Isitted to the Senate Interstate Commerce
Committee. They show that the net
operating income for August of all
:hc Glass / roads, with the exception
os one small line, was 100000, or
> per cent on the tentative valuation
IS fixed by the Interstate CONNIE rec
Commission. This is $17,80o,000 less
han the total which the transportation
let contemplates under the per cent
provision.
For the eight months ended August
il the roads earned $303,752, 900. or
IS per cent. They fell $3sS,OO0 900 in
saand numbers short Of the 1892 .O0o.
seo which they would have earned had
-aeir net revenues come up to the
per cent mark.
The committee Of railway executives
the conference of all rail heads in
chicago next week, met in the Offices
d the Association of Railway Execu-
siTes. The discussion was not con-
t.uded, in the absence of Hale Holden.
Of The Burlington, and one or two
e'hers who were expected, and will be
continued tomorrow.
Representative Dowell's resolution
vent to the House Interstate Com
merce Committee and he intends to ask
hearing on it there. 1t is expected
% have strong backing from Western
and Southern members. Mr. Dowell
said the lowering of rates was impera-
I'VE If the business Of the country wag
. revive.
Text of Resolution
The resolution reads:
Whereas. the freight rates and
saaFges upon grain, grain products,
-Testock. coal, hay and cotton are so
eign snat producers Of such articles
;-nnot prohtab!y ship them at such
iatss; and
whereas such articles are necessj-
es o. Afe for the people of the United
ssstes @ and OF foreign countries; and
whereas the failure to transport
ana freight sucn articles and to dis
iAighr rates has resulted in severe
economic depression, not only among
.ss producers OF such articles but in
~ Important lines OF industry within
me United States; and
hnereas the farmers of the United
S's'ss are greatly oppressed because OF
ae nnd1ly nigh rates on these prod
Dels' and the agricultural interests are
n.aoic 10 recover so long as these
WEE are continued, and the consum-
~ o. me country are adversely al
.ee'ed and al lines Of business and in
anstfies Of the country are crippled:
'serefore. be Il
,"Rssolyed by the Senate and House
?, Representatives Of the United
e.aSs Of America in Congress as
asmoied, That the Interstate Com
.as1ee Commission, within thirty days
~ller tnIs resolution takes effect, shah.
-p'h itg own initiative, readjus1 the
eVe@, coarge, and all classifcatlons,
aNons and practices relating
A,tc.o Tor the transportation OF
sa'a' grain products, livestock, coal,
~ anc cotton by carriers as defined in
Heeuoa i5A of the interstate com
.sefse act az amended, in sucn manner
- VII. az nearly al may be, reduce
.ne fstes In effect October !, 1921, for
..sea articles by % pcrcentum thereof.
aay rste 80 readjustcd by the corais-
.sss .sea'l not DO raiSed unless expressly
.@ssotszed by act oG Congress- subss-
s4sAt TO ne making Of tho rate. Moth
N tnIE resolution shall be con-
ssIasa - prevent the Interstate Com
Isseo tonfnisalon from further re-
1atsr.-