Albuquerque morning journal., 1922-11-30
HOOVER FAVORS
REGULATION Of
THE RAILROADS
BY COVE ERNNENT
FARMERS CONDITION
IS CAUSE OF CONCERN


San Francisco Calf, Nov "a
The primary need i'm Development
Of Colorado river projects is full
control 10 protect the residents and
lands of the Imperial valley oe
California. Herbert Hoover, sccrc-
tary Of commerce and chairman ot
the Colorado river commission, de-
clarcd in an address today at
luncheon of the san Francisco
chamber of commerce.
In the past two years, he said,
the Imperial valley had been saved
from destruction only by narrow
margin and the menace from flood
waters still is great.
Describing the Colorado river az
the greatest single uudeveloped
resource in America today, Mr..
Hoover predicted that the rivers
full development would add 3.000-
600 population to the hinterland
Of California and would open N
agricultural area the size of the
state OF Maryland.
Secretary Hoover reiterated that
industry must take place second
ary to agriculture in reaping the
benefits from the Colorado river.
when the need arises farmers
will be privileged to draw upon the
waters a'reauy allocated or dis
trihuted to industry" he said, 1.-THE
real foundation of nation is its
homes rather than its industries"
Discussing economic conditions,
the secretary declared he believes
America has effected q quick post
war readiustment. The only out
standing problem to be solved, he
said. is that presented by middle
western agricultural interests. but
the matter OF railroad transporta
ton presented a pressing secondary
problem,
"The solution Of the transporta-
ton problem rests In the amalga-
nation of groups OF strong roads
under government regulation" he
said. There are two other altern-
atives. tile NATURALIZATION of tho
railroads. which would be a social
disaster to the American people,
and the complete and unrestricted
turning back of full railroad con-
troll to the owners. in which event
the stronger lines would crush tho
weaker ones to the wall and would
create thereby n long list Of re-
ceiverships from which it would
take the country some time to re-
cover" ..-
Government regulation Of tho
rate feature is now being put to n
severe test after complete federal
control had failed to solve the rail-
road problems, Hoover said.
"The condition Of the agricul-
tural interests in the middle west
is such as to cause the gravest con-
corn Mr.. Hoover said. THE pur-
chasing power Of these interests is
less than it was in 1918"
He attributed the plight Of these
interests to the breaking down OF
transportation and the slackeninG
up of the coal output due to in
dustriai ana other disturbances.
The halting OF European recon
Struction, he ascribed to the fact
that the continent is still an arm
ed camp, with 100000 men under
arms and 100000 more in re-
serve. This has its effect upon the
sainful occupations in which these
men might be employed"
Concluding his discourse on the
Colorado river. Mr., Hoover said:
We found n possible solution OF
the Colorado difficulties through
THE employment OF a long disused
clause in the constitution provid-
ing for the appointment Of a fed
eral commission to pass on such
difficulties and draw up treaties,
which, when ratified by the legis
latures Of the states in question and
the national congress, shall become
the law of the land The basic
compact has already been drawn
up and awaits action by the states
and tho nation"
Mr., Hoover estimated that the
task OF damming the Colorado. ana
providing the proposed hydro.
electric energ'- and irrigation sys-
TENS could he stretched over a
period of forty years, but that the
question Of flood control of the I'M
perial valley should bo attended to
at once, because of the great men
ace involved,