Delaware state journal. [volume] (Wilmington, Del.) 1870-1883, 1873-05-17

II thfOuCkDs
We have already aiu e "a the disaser
GUS effect OF one -uf ths 81 ku.e shr
Railroad Tax Law passed BY the late
Legislature, II II should be enforced. We
nud In the Dsldisarsail, of this morning,
the following letter, explanatory Of the
dlflcnlty -
IPdnADrLPaIA, wItMNoroN AND BAIrI-
MohE RAnRokD CoNrAHr.
- PRBsIDEST'A OFFIoE,
.f .PBn,. May oh, 1879
HON. J. P, CoMEefs, Dover, Dsi,;
DnAR siRs--You ask me how the rates
Of transportation upon railroads In Della
ware would be affected BY the compliance
of several railroad companies with the
Alb section OF the law passed at Dover,
upon the 18th ult. i reply, that rates
both for passengers and freight, for all
dis.ances, except the very shortest, must
be largely Increased. Our present rates
for the shortest distances are not remu-
nerative, although much higher per mile
than the rates for longer distanees. Bul
the law REFERRED TO prescribes the same
rates per mic for all distances, ...L
The following Illustration OF the effect
upon freight rates win elueidale the
subj act. Hlr a
Suppose we carry 5 barrels -four from
Dover TO Camden. Our present rate
would be 10 cents per barrel, and that
rate Il not remunerative. II we comply
with the law, and charge the same price
per ton per mile from Philadelphia to
Dover, as from Dover to Camden, the
rate for barrel of -four from Philadel-
phia 10 Dover would be s2,bS, instead OF
20 cents as at present. But, BONE may
say, why.not carry the -four from Phila-
delphia TO Doverat % cents per barrel,
and reduce the rate for the shorter dis
tances 10 conform 10 the law, 10 that
wayf II we adopted this course, we
should be forced TO carry barrel Of flour
from Canterbury TO Plymouth for four
mills, and from Dover to Camden for
eleven mills. or course Il would be
impossible TO do this.
II we were to reduce our present rate
from Dover to. Wyoming one half, we
should lose money ON every ton moved
between those points, and yet after hav-
ing so reduced the rate, we should be
forced by the law TO carry at the same
rate per ton per mile from Philadelphia
to Dover. Thus the law would force us
to charge S10.13 per ton Of fourth class
freight from Philadelphia TO Dover, when
\ y
those places for $2.40
The law referred TO, If oheyed, requires
us TO raise all Of our rates on freight com
ing into Delaware, if carried more than
two or three miles.
As to It's effect upon passenger rates
II would II obeyed, stop the sale of cler
gymen's tickets, children's and settler
tickets, season tickets, Communication tick
eta, package tickets, and excursion tick
cts, except to limited extent.
We cannot carry a passenger the short
est distance for less than Horse Car Rail
road rates, say cents per passenger
and " we charge 8 cents for passenge
from Plymouth TO FELTON,, for Instance
we must II we comply with the law
charge for passenger as follows;
: From Philadelphia to Dover S4.56, In
stead OF $500, present fare.
I From Baltimore to Dover " 0S, instea
, Of t3,25, present fare.
From Philadelphia to Wilmlngto
s1.6s, instead Of so so, present fare.
From Philadelphia to New Castle fl.9
instead Of $0.75, present fare.
8 give you the above as Illustrative Q
2 the operation of the new law, If read
Z Alright. ] must confess, however, that
o am In doubt IA TO its construction.
: would seem that il requires the sam
. rates per ton per mile for peaches as fo
70 pig iron, out | am very probably mi
taken as to this.
The law seems based on the impract
= cable theory, that a Wholesale dealt
! shall charge exactly the same price f
his commodities as the retail dealer doe
and inasmueh as the latter cannot
forced to lower his prices, the former
required TO ralse his, regardless Of q
consequences TO the customer or TO Il
\. dealer.
% should be exceedingly gratihed If Il
4 man or men who famed the Law referrt
10, or any of the gentlemen who vOt
for 1t, will explain how the law, II e.
IA forced, could fail TO produce the mo
n disastrous effects upon the business
~ the state. Yours, truly,
\. isaac HINCKLEY, President.
n In printing the letter the Delaicdrs,
=. says; We understand that steps a
- being taken to test the validity Of secti'
! 4, Of said act, which was charged as bell
4 unconstitutional by the counsel of Il
n company, when the bill was first reporte
Without expressing any opinion on tn
"a point we must say, that If the practit
AZ working Of that section is, as affirmed
he the writer of the letter, no steps ought
al be left untried IL get rid Of 1t.