The Carbon County news. [volume] (Red Lodge, Mont.) 1924-1931, 1931-03-26
BUS COMPETITION
HITS RAILROADS
Bankers Association Presi-
dent for Even Treatment
for Rail and Motor Trans
port-Favors Mergers

NEW Y0RK.-Fair treatment for
~ the railroads in respect to high
way motor competition was called
for by Rome C. Stephenson, Presi-
dent American Bankers Associa-
tion, in a recent address here. He
also strongly endorsed sound Geo.
nomic railway consolidation" and
praised President Hoover for his
initiative in this respect.
81 am very strongly of the opin-
ion that one of the measures which
would help materially to put back
business where it ought to be is
the Eastern four-system plan of
railroad consolidation as announced
recently following negotiations
instituted by President Hoover"
said Mr.. Stephenson. Its adoption
by the Interstate Commerce Com.
mission would tend to stabilize
the transportation industry. faeili-
tate operation and exert a favor
able influence on business.
ut is a fact we'll known to bust
ness leaders that our railroads are
now facing a crisis. Not only do
they need protective laws to meet
competitive situations arising from
increased use of our highways and
waterways by other carriers, but
they need unification such as the
proposed four-syster, plan"
Mr.. Stephenson declared that the
past, present and future progress
of the United States is INSOFAR
ably bound up in railway welfare.
In neglecting just consideration for
them We are even more neglectful
of the publie's best interests.
A Question of Public Interest
1--WE are confronted with the
question as to how much more the
public economic interest will stand
an invasion of the welfare Of the
railroads by forces and difficulties
not of their own creating and not
within the scope of their own unaid-
ed powers to combat said Mr..
Stephenson. Il refer especially to
new competitions that are under
mining the hard-earned position of
the railroads, not only with the aid
of natural economic forces but also
through the aid of government poll
cies which give competitors undue
advantages over the railroads.
1T goes without saying that the
railroads have no right, nor claim
any, SO far as have been able to
to complain at legitimate
competition in the field of transport
tation, for the public is entitled to
the best possible transportation at
the lowest practical cost. But
equally does it go without saying
that this cannot be fairly brought
about by using, or by failing to use,
The taxing powers of government
% enable competitive methods of
to do things they
could not otherwise do as unaided
private enterprises, particularly
When this impairs vested rights held
~ great masses of our people in
now serving the public
WE'LL"
Mr.. Stephenson said it was not
lis purpose to argue against such
competitive transportation as the
highway passenger notorious and
motor truck as such when con-
lucted under proper conditions and
n keeping with public welfare and
benefit. He declared, however,
here is need for serious consider
.tion whether such competition is
icing developed under conditions
hat are unfair to the railroads,
Would Investigate Bus Traffic
Railroad rights Of way, he de-
Jared, represent tremendous cap
tai investments, on which the rail-
Dads have also heavy current
osts to meet. "They pay every day
million dollars in taxes and most
# this Is on their rights of way"
Ie said. "Also they spend daily
yer two million dollars additional
or the proper maintenance of
way" He asserted that the motor
uses have not had to pay for their
lights Of way in any sense that the
ailroads paid for theirs.
"They have simply taken posses
ion of public highways built by
'ublic funds, both state and ma.
ional," he continued, "and they
ave extensively made those high.
rays vastly less comfortable, less
afe and less serviceable for priv.
tie motorists and others who are
ontributing chiefly to their crea.
ion and maintenance"
Mr.. Stephenson declared that all ;
nese matters should be thoroughly
1quired into by competent public ;
odies, both state and national
nth view of determining the
quities and basic public economic
interests involved, particularly in
aspect to their effects upon the
atoms railroads. /,
Il venture to say he added,
that such inquiries would show ,
neither 1t is to the public interest