The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1870-02-25
when the number of messages was found to
be in excess Of the failure. for their trans


| mission. In Belgium, he showed that from
1865 to 1869 there had been an increase of
81 per cent. in the number Of miles of
wire, while the increase in the number Of
messages during the same period had been
Sc per cent In Italy, from 1866 to 1869 the
miles of wire had been increased As per cent,
while the increege Of messages transmitted
vas only twelve per cent. In France du.
ring the same period the increase in the
miles of wire had been twenty-nine per
cent, and in the number of messages
twenty-eicht per cent. He claimed to have
established the fact beyond question that
any considerable increase in the volume
of business must necessarily require
IN increase of facilities, the invest
ment in which would be entitled to
fair profits, and the operation of which
would increase expenses, which, under the
Hubbard plan, would fall on the Post Office
Department.
Mr.. Orton then took up the statement that
the charges in this country are not uni
form in different sections for the same dis
tance; that they are higher South than
West, and higher West than East and pro-
ceeded to argue against the Justice Of
OF the country to enable another section to
enjoy the same rates. He showed by the
report of the Postmaster-General that the
postal service in the eastern States, inclu-
ding New York, New Jersey, Pennsylya-
MIA, Delaware, District of Columbia, and
Maryland, yielded an excess of receipts
over expenditures of over So, 600, 900 during
the last fiscal year, while the central States
and Territories north Of the Ohio, and inclu-
ding New Mexico, Montana, and Wyoming,
cost 81 900, 900 more than the receipts. The
States in the southern division showed de-
| felt of 81 600, 900, and the Pacific States
and Territories deficit of more than
81 100000. As his company was private
corporation doing business for profit, with
nothing in reserve on which to draw in case
of loss, it could hardly be expected that
they would undertake to perform in that
portion of the country which cost the Co.
vernment several millions annually for the
postal service in excess of receipts the tele-
graph service at the same rate Of tariff az
in the section where the business of tho
post-oiiice and the telegraph were both
transmitted at profit.
Mr.. Orton spoke at some length Of tie
progress which had been made in the United
States during the past three years towards
cheaper and better telegraphic service,
claiming that go long as q private enter
prise kept pace with the growing demand
of the public for more wires and for their
extension into new territories, charged
rates which yielded only fair profits upon
the cash value of the capital invested,
there was no occasion for interference by
the Government in any manner.
He concluded by submitting the following
proposition: " You desire to have the pre-
sent rates of telegraphing reduced, and so
do /. You do not desire to accomplish this
result Mt the expense of the Treasury, nor
dol. Yet, in order that both these may be
accomplished it will be necessary to materi-
ally reduce the expenses of business. Now,
it takes profit upon about 81 100000 (equal
to about one-seyenth of our gross recelpts)
to pay our taxes, Federal, State, municipal,
&c.-n burden nowhere imposed on the bu-
s;ness under governmental control. Relieve
us from this and we can make an average re-
duction of one-seventh on our present rates.
You have authority to give free right Of
way along railways in MI the States to
Hubbard's company. You can give it to
/
to reduce another one-seventh without in
terfering with present profits. Then let
Congress provide for commission to ascer-
tain and fix the cash value of our pro-
perty franchises, on which gum we shall
be entitled to earn and divide annually to
our stockholders ten per cent. We will then
surrender to the Post Office Department the
right we now possess to fix and modify the
tariff of rates, 80 that as fast as the profits
on the actual capital exceed ten per cent.
the surplus may be applied to the reduc-
ton of rates in such manner as the Post
Office Department shall direct. II the
rates proposed by Mr.. Hubbard can ever
make the business self-sustaining they will
ultimately hc reached by this plan, under
which all tie facilities the Government con
supply can be availed of to the fullest e1-
tent, but without incurring any expense or
assuming any responsibility.