The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1921-03-23
Association of Owners
of Railway Securities
Will Ask Congress to
Relieve Situation
DRASTIC ACTION
NEEDED, IS CLAIM
Intensive Economical
Measure Must Be
Adopted If System Is
Saved From Ruin


Washington. March 20.--CoOrdina-
ton of the facilities and service of
the railroads of the country under
strict government supervision is pro-
posed by the National Association OF
Owners of Railroad Securities us
way out Of the present transportation
crisis.
The plan will be submitted tomor-
row to Chairman CumminS, OF the
senate interstate commerce commit
tee, and s. Davies Warlield. president
of the association, announced today
that representatives of his organiza-
ton would appear later before that
commission to urge it's adoption.
Mr.. Warficld says the plan will en-
sure annual savings of millions OF
dollars, increase facilities and serv-
ice and lower railroad fares and rates
He adds that American transporta-
tion has outgrown the system under
which 1t now operates and warns that
the railroads must recognize that only
drastic measures on their part will
save them from being swallowed up
in the generalization that govern
ment operation and after war read
justmcnt has brought upon them"
Unless intensive economical meth
DDS in railroad administration arc
adoptcd.' he continues, there is no
alternative but government opera
ton followed by government owner
ship, although the country hns Civ
en- overwhelming evidence of being
opposed to it,
The proposed coordination would
be brought about through a National
Railway Service to be organized by
an act Of congress, and which also
would be an agency to purchase cars
and other equipment to be furnished
TO the railroads without profit
The Interstate Commerce COmmis-
sion would select five of its members
who would constitute the service di-
vision of the national organization.
This division would have supervision
AMI initiatory aud regulatory powers
to be exercised through the board of
the national railway service.
The board would bc composed of
forty members, Subdividcd into two
divisions. finance and administrative
and railroad officials of twenty mem
bcrS each.
Subordinate to the board would be
rrour group railway bodies, one j..
each of the four rate territories int,
which the commission has divided
the country eastern, southern, wcs-
tern and mountain Pacific. Each
board would consist Of seven mem
bcfS. iIV' to hc selected 10y the rail
roads or each group and two from
the shippers located in each group
territory. The twenty railway oni-
ciaIs servings on these four boards
would serve aS the boards would
serve rs the railway officials division
of the national board.
Cooperating with the group boards
would bc ten committees each So
icctcd from the railroads of cacn
group. These committees would cover
u large range of Investigation and re-
port, including the normal equipment
requirements Of each railroad; addi-
llonal equipment to be leased from the
National halfway Service; stand
afdiZatlon Of CQuipmcnt; useless cX-
p"hdltur"S incident to competition; n
study Of Joint use Of terminals. yards
ana Shop facilities; cost of carrying:
purchase Of fuel and supplies; appn-
cation of a standard Of efficiency in
iallioad operations; working condl-
tions, wages and the like.
The excess earnings created under
TN" transportation act would be used
IN connection with the sale of trust
certificates Of the national railway
service to provide for the purchase
of freight cars and equipment for the
railroads under the plan proposed.
Equipment would be leased bv the
service TO the roads to meet seasonal
requirements, and thus used at dir-
fCrent times on different railroads
rh" savings in this method OF
handling equipment would .,n very
great SAYS Mr.. Warlicld. The rental
cost to the railroads would be grad
uaIIy cut down and railroad rates
correspondence lowered"
Discussing the proposed regional
consolidation of the carriers. Mr..
Warhcld says a troublesome question
arises in connection with the possible
conflict OF this section Of the trans
portatiOu act with state laws He
points to the dangers Of unjunctions
by dissenting stockholders and SAYS
dissenting states Will likely challenge
the authority of congress to authorize
a consolidation contrary to the sta.-
uteS or decisions Of the states 20
which the constituent companies o,vn
their corporate allegiance and exist
.encc.
y. The organization proposed. he saws.
2ll aid the interstate commerce
ntpisson in affecting consultations
Ids. ms may prove desirable in
PC interest.
rloasd plan also will give