The Waterbury Democrat., 1931-03-26

Reiterating his stand taken at the closing session of the United States
 congress, E. W. Goss of this city, congressman from the fifth congress sional district of Connecticut of which Waterbury is a part. to-day declared that he is prepared to op- pose any consolidation of railroads in New England with other similar corporations in the United States. Congressman Goss, when inter- viewed, stated that his stand in op- position to the consolidation is taken in order to protect entire New Eng land and Connecticut, especially. from being sidetracked as port of outlet for freight and goods sent by boat.
 Congressman Goss has for the past two years studied the proposi- ton of consolidating the railways operating New England with other roads. On March 2d, last. just be- fore the last session of congress ad- journed, he took the floor of the house and declared that New Eng land must be protected from being sidetracked as an outlet, both by rail and by water, for merchandise.
 With the matter now of great inn
  whole, Congressman Goss is now preparing to combat any movement on the part of those tending to take away the power of New England's s freight outlets. The matter is now before the interstate commerce com- mission.
 According to one part of the plan now before the interstate commerce commission, the provisions are: Ihe several systems involved in the plan shall be so arranged that the cost of transportation as between competi- tive systems and as related to the values of the properties through which the service is rendered shall be the same. so far as practicaDle. so that these systems can employ uniform rates in the movement of competitive traffic and under effici- ent management earn substantially the same rate of return upon the properties.
 "The quoted provisions are inn practicable" stated Congressman Goss. "in that such uniform results evidently cannot be attained through any sound plan of consolidation. The stockholders of the companies having regular dividends above per cent obviously will not voluntarily accept consultations which will re- duce the value of their securities, and it is doubtful that the stockhoid- CTS of the weaker railroad compan- ies, in times of speculation based on proposed consultations or mergers, would sell their securities at a req sonable price.
 "Infation would be inevitable if the statutory provisions could be enforced. The results sought, in the quoted provisions of the statute cannot be attained through sug- gested consultations, which is the full force of this innocuous legisla- tion Such results, if attainable. could be attained only by means of compulsory consolidation of railroad systems which probably cannot be imposed under our present constitu- ton.
 '"rhe railroad consolidation theory has been advocated continuously since the passage of the transporta- ton act, reflecting the instlgation theory, which was approved on February 29th, 1920. However, very little of substance has developed from the expression of that theory in statute. The interstate commerce commission, in it's letter of February 4th, 1925, to the chairman of the senate committee on interstate com- merce recommended repeal of that part of section of the act which required the commission to adopt a plan for the consolidation of all the railroad properties into a limited number of systems.
 ''The commissions report of De- cember 9th, 1929. in which it adopt ed and published the plan of con- solidation seems to reflect the ac- tion of tribunal. compelled by statute to perform an unpleasant duty. The concurring opinions of in dividual members of the commission, which in substance were expressions of dissent, provide a good foundation for that impression. The commission, in its latest report to congress on December 1st, 1880, informed COZ gress that the commission had re- uuested that it be relieved of the duty of formulating a plan of con- solidation and that upon failing to obtain that relief it adopted and pub lished the plan of December 9th. 1929.
 "The plan for consolidation was adopted and published about 11 months ago. It cannot be enforced through compulsion. Absence of ef- fort to consolidate railroad systems