Wednesday, December 12, 1973
THE MICHIGAN DAILY
Wecine.doy, December 1 2, 1973 THE MICHIGAN DAILY Page 5even
(ITY TRACKS INC LUDE D
Senate votes aid
WASHINGTON 01' - The Sen-
ate l ast night overwhelmingly
passed legislation designed to sal-
vage seven failing railroads in the
Northeast and Midwest, including
the Ann Arbor Railroad.
The Ann Arbor Railroad cur-
rently operates a freight service
between Toledo, Ohio, and Frank-
e fuirt, Mich. It is a part of the
larger Detroit, Toledo, and Iron-
THE BILL'S floor manager, Sen.
Van Hartke (D-Ind.) said yester-
day that he had reservations about
whether it would solve the rail
The bill would set up a private,
profit-making corporation t h a t
would run a restrilctured rail net-
work mde up of parts of the
THlE NEW corporation; "United
Rail," woufld be backed by a
Govern-"ental National Railway
his books Friday 14th
2-4 p m. at
209 S. STATE
A\ssoc1- ton that wooild issue fed-
er_.llc.: guaranteed loans to finance
the purch ;sing and upgrading of
the stock of the railroads.
The measure now goes to con-
ference with the House, which has
approved similar legislation.
Before passing the bill by a vote
of 69 to 22, the Senate rejected an
attempt to cut out a controversial
$250-million labor package.
CRITICS claimed the labor pro-
vision g'vi.ranteed exorbitant bene-
fits to workers affected by the
proposed reorganization of thous-
ands of miles of railroad track.
A s~ibstitute labor provision of-
fer'ed by Sen. J. Glenn Beall (R-
Md.), was defeated twice - first
by a 22-vote margin and then, fol-
lowing a motion to reconsider by
Sen. Lawton Chiles, (D- Fla.), by
an 1l-vote margin.
The Nixon administration has
cplled the labor provisions in the
bill "unacceptable" and Vice
President Gerald Ford arrived to
preside over the second vote on the
B e a l I amendment, apparently
ready to cast a tie-breaking vote
IN ARGUING for his amend-
mient, B~eall claimed that in its
present form the bill would pro-
vide a guiaranteed income of up to
$30,000 a year until age 65 for
workers displaced in the rail
shakeup. Hartke did not dispute
the figure but argued that "very
few people" would be in the $30,-
The complex bill also came un-
der attack from Republican sena-
For anyone who wants
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THE ARK-1421 Hill St.
tors wvho said it wvould lead to
ipiece-meal nationalization" of the
The other railroads affected by
the legislation are the Penn Cen-
tral, Reading, Erie Lackawanna,
Lehigh Valley, Central of New
Jersey, and Boston and Maine.
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