Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1930-11-23
RELIEF SOUGHT
BY RAILROADS
Harlingen Rotarians Hear
About Reputed Unfair
Competition
Especial to Thu Herald)

HARLINGEN, Nov. 22-Pointing
out the possibility that unless rail-
roads of the country receive relief
from unfair bus and truck compe-
tition that the Valley may some
day be compelled to move its crops
TO maket by automobile, j. c. Cart
er, personal representative Of H.
M. Lull. executive vice president Of
the Southern Pacific Lines, told OF
the dire straits in which rail ear
riers are finding themselves in a
talk before the Rotary Club at the
Christian Church Friday.
MIR. Carter made a point OF the
fact that the raj roads, manacled
by government regulation, contrib
ute taxes towards construction of
roads yer which buses and trucks
run in unshackled competition"
Future of Railays
The speaker, who titled his talk,
THE Future of the American Rail-
ways, endeavored to emphasize the
vastness of the industry and the
fact that it was not owned by a
few. He refuted the common be-
lief that railroads are owned by
Wall Street by saying that most Of
the s26, 900 .00G 900 invested in rail
transportation was put up by Main
Street. Most of the railroad stock is
owned by 827 1000 persons living
outside Of New York State, he said.
The railroads. he said, have about
100000 persons on their payrolls
to whom they pay almost 50, 900 600
900 in wages and salaries. And
SAT-. COO, 1000 is paid in taxes every
year.
Tribute To Railroads
Tribute was paid the railroads as
beng mainly responsible aside from
me schools and churches, for the
country's progress.
Yet the railroads trials and tri-
bulations have doubled since jan
uary and if they remain as they are
the service will be impaired to the
extent that it will not be in keep
ing with the nations economic
progress. he asserted. The rail-
roads problems are going 20 be
presented directly TO the business
men Of Texas, he continued.
Railroads are not guaranteed a
return Of five and three-fourths per
cent or their investment bu. are
permitted to earn that much. Mr..
Carter pointed out, any greater
earnings than this going into a
fund for railroads who do not earn
the maximum.
Says Hands Tied
Railroads, under dual domination
of the Interstate Commerce Com
mission and the State Railroad
Commission, suffer competition
subsidized with their own money as
a result Of this system, Mr.. Carter
asserted.
Heavy buses are reported tearing
up the state highway at the rate
of $4,000 a year and 81. 900 IS
taken from the railways in revenue /
from cotton transportation. A total
OF eleven TO thirteen millions is lost
annually altogether. If il were not
for this loss there would not be
thousands of Texas railroad men
walking the streets jobless now, he
stated.
Any young lawyer a year out of
SdA6 AlAA u way diDuliQ lilE Il
governing buses but the railroad
cannot spend even their own money
as they wish, the speaker said. The
railroads Of the United States are
going to challenge the right Of
these agencies to use the roads IN
less they pay a just proportiona.e
share of the cost OF the roads that
you paid for and we paid for, Re
asserted.
Tear Up Highways
Heavily laden trucks not only tear
up the roads but figure in most OF
the fatal auto accidents, he point
ed out. IF the death rate continues
TO increase you are going to dig up
The money for lateral highways and
build them with a siX-inch instead
a four-inch base because trucks
operate over roads with only
. four-inch base he declared.
The Rotarians had Charles Wun-
derman and Wills j. Carter as
Mr.. wunderman preached
plans for a basket party to raise
funds.
Claude j. Rothgeb attended foI
he first time as a member.
Resolution OF coincidence To Mil
sr Harwood. former president whose
Fife died AZ Kerrville, and LLOYD
II. Thompson whose father died
here. were voted.