The Transportation Act also continues in force until changed by lawful author ity all rates, fares, charges, classifica tions, regulations, and practices in effect on Feb. 29, 1920, and prohibits reductions of such rates, fares, and charges prior to Sept. 1, 1920, except with the approval of the commission. It provides certain guaranties of compensation for a period of six months from March 1, 1920, to all carriers wh;ch were entitled to the same under the Federal-control act, and which on or before March 15, 1920, filed with the commission a written statement that they accepted the provisions and condi tions upon which such guaranties are made. A similar guaranty under the same conditions of acceptance is made to the American Railway Express Co. that the contract between it and the Director General of Railroads shall remain in ef fect during the guaranty period in so far as the said contract constitutes a guar anty to the express company against a deficit in operating income. It provides for advances to the express company and the carriers to meet operating expenses, and fixed charges, and that the conunis sion after the expiration of the guaranty period shall ascertain and certify to the Secretary of the Treasury the amount due any carrier under the guaranty, and the amount of and the times at which such loans or advances shall be made to any carrier. The Transportation Act
also provides for the inspection of car riers' records by the President or his agents until the affairs of Federal control are concluded, and for the refunding of carriers' indebtedness to the United States. It also authorizes the Secretary of the Treasury to make new loans to carriers upon certain conditions and upon favorable certification by the commission and creates a revolving fund of $300,000, 000 out of which said loans are to be made and out of which certain judg ments, decrees, and awards are to be paid.
The Transportation Act also provides a plan for the settlement of controversies between carriers and their employees and subordinate officials through the medium of iailroad boards of labor adjustment and a Railroad Labor Board. The latter consists of nine members, three of -whom, representing the labor group, are to be chosen from not less than six nominees designated by the employees; three, rep resenting the management, are to be chosen from not less than six nominees designated by the carriers. All nomina tions in both groups are made under rules and regulations prescribed by the commission. Three members, represent ing the public, are chosen directly by the President. All appointments are made by and with the advice and consent of the Senate.