The Challis messenger. (Challis, Idaho) 1912-current, 1924-11-12
OPPOSES FEDERAL
Rail OWNERSHIP
Government Operation Would
Mean Increased Taxation for
/ General Public, Says Rail Head.

Opposition to Government owner
ship of the railroads, not because OF
the interests of the present owners
but rather because of the burdens and
disadvantages the change would i'm
pose upon the people as a whole. was
expressed by C. H. Markham, presi-
dent of the Illinois Central Railroad,
in an address before the recent con-
vention OF the American Bankers AS
ISOLATION.
I'VE have never favored Govern
ment ownership as national policy"
Mr. Markham said. IF the railroads
are taken over by the Government,
we must face the fact that the big
step in reversing our old and settled
policy will be taken. there is no
particular reason why the Govern
ment should not own and run the
railroads. is there any reason why II
should not take over also the banks,
the stores, the factories, the farms,
until all of US are Government en-
plO1cEc dlQ Tue lQCdi VI LIZ cO'@N -
attained? The railroads are the trst
line of defense against those who
would make this country second
Russia
1.-The railroads have about 100000
employees. approximately as many
employees as there are in all the Gov
eminent services - Federal, State,
county and municipal-put together
II the railroads are taken over by the
Government there will be one Gov
eminent employee out of every ten
wage earners in the country, instead
of one out of every twenty. as at
present.
Doubling Taxation
"Then, too. there Is the matter OF
taxation The railroads. under prl-
vate ownership, are among our heav-
lest taxpayers. Last year they PAID
taxes amounting to So for every man.
woman and child in the country. In
some counties. particularly in the Mid
die West, the railroads pay from III
per cent to nearly 80 per cent OF the
taxes collected. Under Government
ownership, the railroads would be no
more subject to taxation than the
post Offices now are In some way
the Government would have TO make
up the difference Of So a head for
every person in the country In many
counties the taxes on the re-
manning property would have to be
nearly doubled. The result would De
an unbearable burden that might
force many OF our local governments
to stop payments on their bonds and
go into bankruptcy. The tax prob
lem would be great deal more vexa'
tious than 1t Is today.
Then. too, the acquisition OF the
railroads would add more than twenty
billion dollars to our national debt
II Government railroads in this coun-
try were no more successful than
they are elsewhere today in the
world. the interest on that twenty bill
lions of purchase price would be the
cause for additional burdens on the
taxpayers left to carry it AS the tax
burden developed, it would not be
surprising to see other industries vel
coming Government ownership for
themselves. They would gain I'M
munity from taxation in turn, and
their owners probably would be pro-
tected from loss. The Constitution
prevents the confscation of private
property, and Government ownership
can be accomplished only by paying a
fair price for the properties taken
over.
Bad for Public
IT do not oppose Government own
ership of the railroads on behalf OF
the present owners of the railroads,
many of whom would obtain safety In
Government bonds in return for Sc
curities which have not paid re-
turn in years. l oppose Government
ownership of the railroads because 1
believe that it would be bad for our |
people as a whole. 1t would open the
way to Government ownership OF
everything. and at the same time 1t
would certainly lead to the wreck1ng
of our highly essential railway ser
vice. IL the lessons of experience Of l