The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1870-02-25
Washington Items...The Telegraph

WASHINGTON, Feb. 24-MT. Ort9n,
President of the Western Union Tel
egraph Company, made an argument
before the Senate Post Office Com
mittee to-day in opposition to the
Hubbard bill. He gave statistics 70
show that telegraphic rates In this
country are now less per mile than 10
Europe, and that the telegraph is
more used il the United States in
proportion to population than n Eu-
rope. He opposed the bill in ques-
ton as unjust to the existing eompa-
MES, and because il would not pro
teet the public against a monopoly,
since it would be easy for the w. u.
Il. Go. to take possession of the or
ganization. lie said the receipts of
the Western Union In 1869 were
Sc SOC. 600, and the expenses 81 800, :
COO. The same amount of business
would, under Hubbard's bill, have
produced less than $2,090,0 0,000-being
81 100000 short Of what the company
paid for salaries. An increase Of fifty
per cent in the volume of business
would still leave deficit of more than
100000.
Mr.. Orton spoke at some length
Of the progress which had been
made in the United States dur
ing the past three years toward
cheaper and better telegraphic SER
vice, claiming, that so long as private
enterprise kept pace with the growing
demands of the public for more
wires. and for their extension into
new Territory, and charging rates
which yielded only fair profts upon
the cash value Of capital invested,
there was no occasion for interfer-
ence by the Government in any man.
ner. He concluded by submit
ting the following propositions: !:
You desire TO have the pres
ent rates for telegraphing re-
duced; so do /. You do not desire
to accomplish this result at the eX-
pense Of the treasury, nor do l yet
In order that both these may be ac-
complished, it will be necessary to
materially reduce the expenses Of
business. Now, it takes the profits
upon about 81. 900, 600, equal to about
one seventh of our gross receipts,
to pay our taxes, federal. State,
municipal, &c, burden nowhere
imposed on business under govern
ment control. Release us from this,
and we can make an average reduc-
of one-seventh Of our present rates.
y you have authority to give free
right of way along railroads in all
States to Mr.. Hubbard's Co, you can
give it to mine. Do this, and we
should be enabled to reduce another
seventh, without interfering with
present profits. Then let Congress
provide commissioner to ascertain
the cash value of our property and
franchises, aud which sum we shall
be entitled to earn and divide
annually among our stockholders,
ten per cent. We will then surrender
to the Post Office Department the
right We now possess, to fix and mod
lily the tariff rates so that as fast as
the actual capital exceeds ten per
cent the surplus, may be applied to the
reduction of rates in such a manner
as.the Post Office Department may
direct. If the rates proposed by Dir.
Hubbard can ever make business self
supporting, they will ultimately be
reached by this plan under which all
the facilities t. Government can sup
ply can be availed of to the fullest ex-
tent, but without increasing any ex-
Dense or assuming anV respongibilitv.