Salt Lake Telegram | 1927-02-14 | Page 2 | I. C. C. Indorses Pittamn Bill Measure Would Authorize Short Lines to Keep Net Earnings

L 13 Cs C CI C INDORSES BIll Measure l Would Authorize Short Lines to Keep Net Earnings WASHINGTON Feb 14 14 APA AlA AP- AP A favorable report on the Pittman bill 1111 exempting short line railroads from the present requirement that they pay lY to the government one one- one one- half haIr of all net earnings In excess of C 6 per pel cent was ordered today by bythe bythe the senate interstate commerce committee Short lines are described in the bill as roads having not more than miles of and earning not more mOle than gross per mile annually It Is estimated that there are such lines In the United Unit Unit- ed ed States The report which the committee will present to the senate senate sen- sen ate says the failure to grant relief to these lines will result in bank bank- of man many of them Henry r. r Moore one of the receivers receivers re- re of the Orem Electric lines said The Pittman bill will bG be of tremendous I benefit to all the small railroads ot of the country HowevEr it is Intended primarily to apply to short lived Ive railroads rather than to short line roads By short lived lIve roads I mean lines which have been and may be built to serve mines or other industries which nay may be temporary For instance a mine is opened an and worked A road Is built to serve it In ten fifteen or twenty years the mine Is worked out and the road goes out of business If such roads are not permitted to keep their earnIngs earn earn- Ings they cannot get out of the hole during their lifetime and this lill was intended principally for their bene benefit J t. t