Evening star., 1933-02-18
RAIL REFORM PLAN
OFFERED BY L0REE
Sweeping Changes in Regu-
Iatory Laws Proposed to
Senate Committee.
BY the Associated Press.

| BY the Associated Press.
Far-flung reforms by the railroads
themselves, sweeping changes In regu-
latory laws and inclusion of competing
carriers in them were advocated today
before the Senate Finance Committee
by L. F. Loree. president of the Della
ware & Hudson.
Loree, appearing in the committees
study of economic ills and ways to cure
| them, asserted the need for adjust
ments are apparent on every hand"
adding that 'intelligently made, the
railroads might rapidly assure their old
time efficiency and usefulness"
Specific Reforms Urged.
Specific points he called for were:
Adjustment OF taxes, wages and work.
ing conditions.
Elimination of waste through the
abandonment of all unused and obsolete
facilities and mileage no longer justified
by traffic.
Development of essential railroad IA
cilities to the highest state of efficiency
through improved grades shortening OF
lines and improvement of equipment
Amelioration of the five major haZ-
ards" to employees accident,
death, unemployment and superannua-
ton
Extend regulation by the Interstate
Commerce Commission to all commerce
and all carriers which the Government
has the power to regulate.
Give the "pr0Sacutinp' n0uorS r1aa rlV
to the Interstate Commerce Commission,
but put the Judging" clearly in the
hanGS of the courts.
Recapture Clause Hit.
Repeal the clause of the interstate
commerce laws providing for the re-
capture of ''so-called excess earnings"
Do away with provisions for valua-
tions Loree asserting "the valuations
have not been completed and all work
done SO far is condemned by decisions
of the Supreme Court"
Remove restrictions upon control and
operation Of boats and other accessory
services by railroads.
Eliminate commission powers to fix
rate divisions except when carriers are
unable to agree after joint rate has
Leave the courts the power to award
damages.
Repeal provisions preventing carriers
from moving any commodities in which
they have an interest except timber and
its products.
Assails High Taxes.
Loree, in urging tax adjustments as
serted ''prodigality tin governmental
COSTS is reflected in the taxes levied
upon the people"
As for wages, he said that from 1900
to 1929, tonnage had increased PIT per
cent and passengers 943 per cent, but
wages had increased 409.3 per cent.
Labor restrictions, usually known as
'feather-bed' practices" he continued,
have proved waSteful, burdensome, and
in the last analysis, expensive to labor
ITSELF
Railroad Improvement through in
creased managerial skill and mechani-
cal advancement, he said were wiped
out by the vast increases in wages"
adding:
'InaSmuch as the rewards of labor,
capital and management have to be
earned by joint effort, anything that
decreases the effectiveness of economy
in operation works against EACH"
Victor Emanuel Called.
Victor Emanuel of New York, de-
scribed by committee members as a
financial and economic authority, and
others interested in the efforts to out
line specific cures for present condi-
tions, also were called as witnesses.
The committee yesterday heard David
F. Houston of New York, Secretary of
the Treasury and Of Agriculture under
President Wilson.
Houston advocated a broad program.
directed primarily at maintenance of
Federal credit, revision of trade bar
riers. discussion of war debts adjust
ment, strengthening of the banking
system and keeping the country's money
sound
L. J. Taber, master Of the National
Grange, advocated legislative machin-
cry to lift farm prices, reduce interest
rates and supply ample farm credit.
Lewis Urges Dictator" Board.
John L. Lewis, president of the United
Mine Workers, suggested a board with
broad dictatorial powers to seek shorter
working hours. lift price levels and lay
economic plans.
The hearings are sponsored by Dem
ocrats seeking basic data on which the
incoming administration may lean for
its anti-depreSsion attack. Programs
were advanced by Bernard M. Baruch.
John w. Davis, Daniel Willard, Myron
Taylor and other leaders in the hear
ings this week.