width for the traffic, and has cut the cost of maintenance of the old macadam road 50 per cent or more, even under the heavy traffic that exists between Washington and Baltimore and Baltimore and Frederick. The same principle has been used to widen and strengthen concrete roads in California.

A somewhat different type is developed in New York to some extent by building wider shoulders, say 8 or 9 feet wide, and leaving a part of the old macadam in the center, and thus getting the additional width, but still providing roadways heavy enough to carry the truck traffic.

I speak about these two methods of stage construction because practically all road work has to be carried out along these two lines. The volume of highway production is considerably influenced by changes in material and labor prices. This varies not only in the United States as a whole but between sections of the country. The price of common labor, for instance, rose from 20 cents per hour in 1915, to 36 cents in 1918, and 49 cents in 1920. It then dropped to 36 cents in 1921, and 32 cents in 1922. It then began to rise a little, and for 1923, was 40 cents.

To show the variation between sections it may be noted that in the East-South Central States in 1915 labor was 12 cents per hour, while in New England it was 20 cents, and in the Pacific and Mountain States it was 26 cents. In all of these States the price rose until in 1920 it was 32 cents in the East-South Central States, 49 cents in New England, and from 55 to 60 cents in the Pacific and Mountain States. It dropped again in 1922 in the East-South Central States to 20 cents, in New England to 39 cents, and 48 cents in the Pacific States, rising again slightly in 1923 to 22 cents in the EastSouth Central, 51 cents in the New England States, and 54 cents in the Pacific States.

There was a similar range for prices of road-building materials which gradually rose until in 1920 they were about 150 per cent above the 1915 figures for lumber, a little over 100 per cent for steel, and about 100 per cent for cement. From this high point all materials dropped until 1922.

The results in road construction were that the price of common excavation rose steadily to 1920, fell back again until 1922, and then began to rise again. Similar movements took place in structural concrete and in the pavements. These fluctuations may be shown graphically, and taken together produce variations in the total cost per mile from year to year. For example, if we assume a road with 8,000 cubic yards of excavation, 10,560 square yards of pavement and 75 cubic yards of structural concrete, and use the prevailing labor and material prices for an expenditure of $100,000, the mileages we would have been able to build are:

Mr. MACDONALD. This chart [indicating] has been completed to bring before the committee the differences in the mileage built due to the changing costs of labor and materials on the basis of $100,000 expenditure for the years 1918 to 1923. On the basis of 1918 we could build 3.22 miles of road of the type we had selected; in 1919 we could build 2.88 miles of that road; in 1920 we could build 3.8 miles; in 1921, 2.55 miles; in 1922, 3.28 miles; and in 1923, 2.98 miles. That shows the scale of prices for the past five years. Mr. GARDNER. It has gone up from last year?

Mr. MACDONALD. Yes, sir.

Mr. WARD. Labor has not gone up, has it?

Mr. MACDONALD. Lately; yes, sir. These are taken from our actual cost figures.

Mr. WARD. That is on the basis of 10 hours a day?

Mr. MACDONALD. Yes, sir. Mr. Chairman, I think that is as far as I would like to go this morning, and unless the committee has some other questions, I would like to return to-morrow, or whenever it suits your convenience, to take up our recommended modifications of the Federal highway law, and a short discussion of highway transport.

I have tried to bring out our physical research this morning, and I should like the opportunity to describe our economic research showing the development of the use of highways as carriers of traffic.

The CHAIRMAN. Then, we will meet to-morrow morning at 10 o'clock, when we will proceed; and we will then ascertain if it is not possible to close these hearings on the day following.

(Thereupon, at 11.50 o'clock a. m. the committee adjourned to meet to-morrow, Wednesday, March 19, 1924, at 10 o'clock a. m.)

COMMITTEE ON ROADS,
HOUSE OF REPRESENTATIVES,
Wednesday, March 19, 1924.

The committee met at 10 o'clock a. m., Hon. Cassius Dowell (chairman) presiding.

STATEMENT OF MR. THOMAS H. MacDONALD, CHIEF BUREAU OF PUBLIC ROADS, DEPARTMENT OF AGRICULTURE— Resumed

The CHAIRMAN. Mr. MacDonald, you may proceed with your

statement.

Mr. MACDONALD. Mr. Chairman, this morning I wish to take up the recommended modifications and additions to the Federal highway act. These recommendations are made under the requirement of the Federal highway act of 1921, which states that the Secretary shall submit to the Congress his recommendations for legislation.

The first recommendation has reference to increased Federal participation in certain States. There are nine Western States which as a group are known as the public-land States. They are so known because they contain large land areas, the title of which rests in the Federal Government.

The area and population of these nine States is shown as follows:

That is the

Such lands in any of these nine States is 6 per cent. percentage in Montana. The highest is 74.01 per cent, which is the percentage in Nevada. I wish to say these percentages shown in the table submitted are exclusive of lands held within reservations. These are the percentages of unappropriated lands.

Nine of these States are quite sparsely populated. The average population of the United States is 35.5 per square mile. You will note that in comparison with this figure, the density of population in Arizona is only 2.9 per square mile, in Nevada, 0.7, Utah, 4.5, and Wyoming 2.0 per square mile. All of these nine States have a population under ten per square mile, while the average for the United States is 35.5.

Large areas in this region have practically no population. Large areas lie at high altitudes and have restricted rainfall, with short cropgrowing seasons.

These nine States, with their civil subdivisions, the Bureau of the Census reports, have increased their average indebtedness since 1912 by 226 per cent compared with an increase of 124 per cent for the remaining States. The average per capita tax paid in these States for 1922 was $43 as compared with $27 for all the other States.

Twelve per cent of the Federal-aid highway system lies within these States and they have 4.1 per cent of the population and 6.9 per cent of the assessed valuation of the entire United States.

Mr. ROBSION. Before our Committee on Education a table was submitted showing the amount of dollars behind each child between the age of 5 and 20 years, and I was greatly astonished to note that Nevada, with all the States of wealth behind it-North Carolina runs down to about $1,100 behind each child, and Nevada $3,500 behind each child. I do not see how that works out.

Mr MACDONALD. That comparison was based on population. I have said that they have 6.9 per cent of the assessed valuation and only 4.1 per cent of the population, indicating a ratio of wealth to population above the average.

Mr. ROBSION. This is wealth per capita.

Mr. CABLE. That is on account of the mines out there.

Mr. MACDONALD. And the very sparse population. They have less than one person per square mile in the State.

Mr. HUDSPETH. And yet, a very wealthy State in minerals.
Mr. MACDONALD. Not to the former extent now,

deposits are found.

unless new

The CHAIRMAN. Have you the figures as to the comparative wealth of these public-land States as compared with others?

Mr. MACDONALD. The average wealth per mile of road in the Federal-aid highway system of the nine States is $668,000. The average in 37 other States for which figures are available is $2,022,000. I believe that will answer your question.

The CHAIRMAN. Under the law every State meeting the Federal aid must make its assessment upon valuation of the property within the State?

Mr. MACDONALD. No, sir; property taxation is only one of the ineans available for raising the State funds. Funds are also raised by gasoline taxes and motor-vehicle fees.

The CHAIRMAN. Now, my inquiry is, how do these nine StatesMr. MACDONALD. Does this answer your question. Assuming as a basis of comparison that we have a Federal-aid apportionment of $100,000,000, these States would then be required to raise $2 per capita as compared with 83 cents per capita, the average for the remaining States, as a single group.

The CHAIRMAN. Is a.sparsely settled State like Arizona with $2 per capita equal to 35-did you say in the other States?

Mr. MACDONALD. Eighty-three cents.

The CHAIRMAN. When you take into consideration the sparsely settled communities there?

Mr. MACDONALD. Yes, sir.

The CHAIRMAN. I was just trying to get the information.

Mr. MACDONALD. I think that this gives you the basis for a direct comparison; to meet the Federal-aid funds on the basis of an assumed apportionment of $100,000,000, these States would have to raise $2 per capita as against an average of 83 cents per capita for the remaining States.

Mr. BRAND. Turning that around, the people in those States get $2 per capita from Federal aid, whereas the other States get 83 cents; is that not right?

Mr. MACDONALD. No, sir.

The CHAIRMAN. Have you any way of ascertaining in the various States the comparative values of the properties in the State as compared with other States not public-land States?

Mr. MACDONALD. Yes, sir. The per capita wealth is a direct comparison.

Mr. BRAND. Do we ask those States to raise $2 per capita to meet Federal aid?

Mr. MACDONALD. Well, we ask them to raise funds in that ratio. This is simply a ratio. On the basis of a $100,000,000 apportionment we ask them to raise $2 per capita.

Mr. BRAND. But here we do not ask them to raise as great an amount per capita.

Mr. MACDONALD. These figures take into account the sliding scale. This is a correct statement under the present law.

Mr. BRAND. It is?

Mr. MACDONALD. Yes, sir.

Mr. BRAND. Well, then, do we not give them $2 per capita of Federal aid?

Mr. MACDONALD. No, sir; they get more than $2 per capita. Under the present law the Federal-aid payment on each project

exceeds the payment by the State, so that while the State raises $2 per capita to meet Federal aid it gets in return more than that amount per capita. The average amount of Federal aid paid to these States on the basis of a $100,000,000 apportionment exceeds $3 per capita. Mr. BRAND. Isn't this true, that in those States the public land is of little value? The real wealth of States like Arizona, I take it, is in the mines.

Mr. MACDONALD. And in the irrigated districts.

Mr. BRAND. Yes. Outside of that the land is not very valuable, consequently the amount that is taken out as public lands is of but little value compared with the value of the property outside of the public lands in the State? I am trying to get at

Mr. MACDONALD (interposing). The Indian reservations on which oil has been discovered are very valuable.

Mr. BRAND. How many miles of road does each of these States have? Have you that?

Mr. MARKHAM. That was put into the record the other day by Mr. White, the total mileage of each State and the total amount improved on each type.

Mr. MACDONALD. Twelve per cent of the mileage of the Federalaid highway system lies within these nine States.

Mr. BRAND. One-fifth of the States then have 12 per cent of the mileage?

Mr. MACDONALD. Yes, sir. But, of course, they are large States. They have only about one-half as much mileage as the other States in proportion to area. Such is evident from the map. West of the central Mississippi and Missouri Valleys, the vast network of roads concentrates in a few lines across these particular States. In this area, particularly in the intermountain States, it is of great national concern that certain specific roads or links in transcontinental routes shall be expedited. These specific roads may not be of first concern to the States in which they lie. The road west of Salt Lake City across the Great Salt Lake desert is an example.

The precedent for construction of such roads with greater participation than the present established scales for general application has been fixed in the Act of 1921, providing for payment of such part of the cost as the Secretary of Agriculture shall approve for roads across Indian reservations. There are some such projects in which the full cost is being paid from the State's apportionment of Federal-aid funds.

I wish to call the attention of the committee to the situation in Utah with reference to this particular road running between Salt Lake City and San Francisco. Here is an enlarged map of the State of Utah. The Great Salt Lake Desert lies west of Salt Lake City and there is practically no development between Salt Lake City and the Nevada State line. The population of the State of Utah is largely centered on the road that runs diagonally across the State from the north to the southwest, which is called the Arrowhead Trail.

The State is building this particular line and it would be to the economic interest of the State of Utah to concentrate its money upon the Arrowhead Trail and upon certain other routes which connect with Colorado. From the State's standpoint the building of the road west of Salt Lake City would not be expedited. I think