Evening star., 1938-12-24
Railroad Report Summary
Adoption Of Definite National transportation
Policy Covering All Carriers, Creation Of New
Board, Reorganization Court Proposed

spect to intrastate rates In connec-
ton with general readjustments Of
interstate rates.
Transportation Board.-A new and
independent agency to be created,
charged with the duty Of investigat-
Ing and reporting to the Congress
concerning the relative economy and
fitness of the several modes Of
transportation and the extent to
which any of them is now being
subsidized, with its recommendations
for further legislation. Thereafter
to be charged with responsibility
for administering as to all modes of
transportation regulatory provisions
relating to certificates of conven-
ience and necessity covering new
construction or operations and aban-
donments Of facilities or operations,
and the approval of the issuance OF
securities, consultations, mergers,
leases, acquisitions of control, in
terlocking directorates, ETC., and to
exercise all functions of a research
or promotional nature relating pri-
marily to any mode of transporta-
ton now vested in other agencies or
bureaus.
Tolls for Use of Improved Water
ways.-A fair and reasonable system
Of tolls for commercial use OF certain
inland waters, the elimination of the
Inland Waterways Corp. and dis
posal of its properties.
Relief From Tax Burden.
Taxation and Other Govern
mental Observation-Disclosures
national and State, relieving the
railroads of certain unjust tax bur-
dens and providing that Govern
ment bear the expense of eliminate
Ing grade crossings.
Reconstruction of Bridges and
Other Facilities.-Adoption of policy
that whenever, In connection with
the improvement Of navigable
waters or the carrying out of flood
control or similar projects, a rail-
road Is required to alter or recon-
struct bridges or other facilities, 1t
be reimbursed by the Government
for all costs in excess OF any direct
benefit accruing to 1t.
Land-grant Rates.--Repeal of the
reduced rates provisions Of the So
called land-grant statutes.
Reorganization Court.-Establish
ment OF single court vested with
exclusive jurisdiction over matters
connected with railroad reorganiZa-
tions and composed OF judges Sc
lected with especial reference to
their experience in and qualifica-
tions for this highly specialized
service. The Federal District
Courts to retain jurisdiction over
all matters not connected with re-
organization. The Interstate Com
merce Commission to be relieved of
all responsibility in railroad reorg-
anizations.
Consolidation Plan.
Consolidation Plan.-Repeal OF
provisions Of the act which make the
commission responsible for the pre-
scriptlon OF general plan OF con-
solidation for railroads, thereby re-
storing to the carriers all initiative
but requiring approval by the
transportation Board of any pro-
posed consolidation. Such approval
to be granted or withheld in accord
ance with the considerations set
forth In our recommendations in
cluding protection of the public in
| tereSt and a fair and eu,litahla or
rangement to protect the interest OF
employers affected
r. F. C. Loans.-Legislation en-
larging the powers of the Recon-
struction Finance Corp. to purchase
or guarantee obligations of and tc
make loans to railroads or to receiv-
ers or trustees thereof and modify
ing the requirements with respect tc
the approval by the Interstate Com
merce Commission Of any such pur-
chase, guarantee or loan.
We are under no delusion that our
recommendation, if given effect
would dispose of all the problems OF
the railroads. We do feel, however
that they would remove some of the
major causes and are directly re-
sponsive to the principal task as
signed to the committee of develop
ing recommendations calculated to
be helpful in creating stability in
the field of transportation.