The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1874-08-10
RUTLAND AND WASHINGTON COUN-
TIES PRODUCERS ASSOCIATION.
MEETING At POuIrNEy ON
SATURDAY.
Report 81 Committee on Memorial.

The Rutland and WASHINGTON Counties
n. ,,.,. , Ill. =,
! loO'oo's HS9ool"''on NV "s'''"oio ~
adjournment at the DAD Fellows Hall in
Poultncy on Saturday afternoon last.
pros;Icn, uvdo called ,o ordor anil fine
cn.,. -. ..'... .,I H.,
minutes Oh 'hc i'st lnce''"B WIRE Ic"" ~
the secretary
The committee who were Amounted at
,r,, las, ,,oo,ir,, ..i,, cor.idcr ,hn rror,;c,v
'''O ''''' ''s
OF taxing Inc matter ol regulating rates oi
freight by law to the ncNt session of the
Vermont LEGISLATURE" were called upon TO
-, r. r...,o, 1,,;.,.t. u 1.;.
report ii"''' i''' "'' '',"''' wv '"'"-
man OF said committee, Submitted the iol-
lowing
-. 49,. ,,,.,,o,.,,, .,,,.,..,.,.,..
Hh'o"' VIZ "N'''''''' o'""'' '-N
To tic RUtlaid aud washington tonHties |
Producers dissertation
At your meeting held July %, 1874, yen |
adopted the following resolution
Rosoiccd. That committee of five be
appointed by the President to consider the
propriety OF taking the matter of regulal-
ing freiglts by law TO the next session of
the Legislature, and report ut the next meet
ing of the association.
acknowledgment, appointed committee
under said resolutions, have duly consider
cd the same, and respectfully submit for
your consideration the following report.e
The proposition to regulate rates of tariff
on railroads by law should be considered,
as we believe, in its general application.
The attention OF The association has here
toforc been called mainly to rates ON the
Delaware and Hudson canal company's
road, but il an effort is made to procure
legislative action, such action, if had, your
committee understand, must be on general
principles, such as may apply to all roads.
1t should not be expected, rs we think,
that rates shall be regulated by an act OF
the legislature on one road and not on
others. With this view we have considered
the subject given us by the resolution.
The first question which seems 10 arise is,
whether the legislature has the power to
regulate tariffs on railroads owned by cor
porations or individuals. Most, if not all,
acts OF incorporation by our legislature,
| and we believe in other states as well, con-
tain substantially this provision THAT
| the legislature shall hayc power at any time
thereafter to modify, alter or repeal the act
| or any of its provisions. rs the public good
may require"
| A railroad is an Incorporated franchise.
| The people by their representatives in gen
cral assembly, grant certain privileges to
certain persons and their successors. The
franchise is in the nature of contract; n
contract between the people and the cor
| poratOrs and their successors. If not an
express. there is an implied covenant on
the part Of the government not to invade
the rights vested under the act. and there
is also an implied covenant on the part of
grantees or corporators that they will not
misuse or abuse the the franchise granted.
The corporators, in receiving the fran
| chise if not expressly, do implicitly Obli-
gate themselves and their SUCCESSORS to run
and operate their road when built as best
they can in the interests Of the people.
| They cannot make the franchise an engine
of oppression, whether it be in taking toe
high rates or otherwise, without violation
of the contract between them and the
government. This, to us, is clear, though
It may not be herein clearly expressed
The granting of franchise is not the
granting of real estate in fee simple but il
is a grant of rights to use and exercise
privileges; and the conditions and reser
vations, whether express or implied, dc
not become nullity, but remain II
force as long as does the franchise itself
The terms, conditions and reservations
whether express or implied, ARE inseparabl'
from the grant, and hence very proper,
are incorporated in the bill that the leglsla
ture may at any time thereafter ''modif.
alter or repeal, as the public good may re
quire. We say, then, that in our opinion
if railroad eXacts eXorbitant rates, it is
violation OF the terms of the contract, AM
that the other contracting party (the PEG
ple) may, by virtue OF the same contract
modify, alter or repeal, or do whatso
ever it may legally, constitutionally, o
properly do to secure the peoples right
tunder the grant.
We believe there is good ground foun'
outside of acts of incorporation for tn
legislature to interpose in this matter AM
regulate rates on railroads; it is the groun,
of necessity. This point has been full,
discussed in former meetings Of the associa
tion, and we need not elaborate upon
here. 1t is simply this, that so long a
combination is possible, competition canno
be relied on TO regulate tariff rates Oh rail
roads, and in the absence of competition
selfish men may charge what they pleas
with impunity, unless there is a powe
outside of corporations which may regulat
: rates.
We have no hesitation in saying that W
believe a power exists in the legislature L
regulate tariffs on railroads. AS to wha
shall be done-the particular form, charaC
: ter or provisions of acts be procured for tn
purpose of properly regulating rates, W
have not considered, even if we were con,
potent TO deyisc plan. 1t better he don
by the law-making power, or some person
other than ourselves.
entertaining the views above expressed
met IcrsIatI9on onlG No, n~, To ioo, a." m
, constitutional, but now the only way a
r securing reasonable rates of freights on on
iallroaus, we REPORT NC loIlowihg resoi'
Pesojred That n committee IL fvo ho .,
} | pointed Of whom the president of this a,
2 ISOLATION shall he one and the chairman
wiost i uus1 !. s1ali IT, ~ oring ,he mate
o,hor WOW, 40 sa,d c9mmi,ino sholl ,oo,