New-York tribune., 1874-12-02
RAILROAD MOVEMENTS.
PROPOSED PRO RATA FREIGHTAGE TO THE
PACIFIC

CENTRAL PACIFIC ROADS AND TIE ASSOCIATED
TRUNK LINEs-CUTTISG UNDER EsrABL1sHfD
RATEs-wEAKNEss OF THE COMBINATIoS-rHE
PENNYsLyANIA RAILROAD AND WESTERN SHIP
PERs
Reports have been in circulation for day
or two that negotiations had been begun for the pur
pose OF making pro rata arrangement on freights BE-
tweed the Union Pacific and Central Paeiac lines on one
side and The associated trunk lines, the New York Cen
trail. the Erie aud the Pennsylvania pro rata ar
ranGement established after the opening OF the
Union Pseifc In 1sc9, and maintained Tor con
siderable time THIS the basis OF allowing y per
cent OF the whole amount received from New-f0rk TO
San Francisco for the freightage from Sew-fOrk 10
Chicago. According TO the comparative mileage the
allowance would have been ~ per cent, taking the
length OF The shortest route and Isl per cent taxing the
OF the distances by the several trunk lines but
the Pacific lines claimed that larger proper
ton should be allowed them than would be DAed
by the mere mileage, account OF tho newness 0f these
roads, their heavy grades, their expenditures for pro-
lection from snow their lack OF local traffic, and other
reasons why their expenses in hauling freight were
larger in proportion to their receipts than those OK the
trunk lines. After the arrangement had continued
considerable time, the trunk lines complained that p
per cent not n sufficient allowance from NeW-fOrk
TO Chicago and the arrangement Gnay broken up.
to the great arrangement OF the harmony OF the rela-
tions OF the railroads. The Pacific roads sent their
lrSlSnIs laFgcE lfOiu NcN-lOh DJ way VI
using the Baltimore and OHIO and the Chesapeake and
OHIO Railroads. and az outlets for then Estorn freight,
they entered into relations with other roads taking
away much OF their business from the trunk Ines.
There seems now to be probability that more
amicable relations Will be renewed although, as tar as
be asceralned. definite steps in negotiations
have been taken.
A REVIEW OF THE CASE.
railway official Of hgh position gives the following
review railroad relaIOus which states tlG
1t is looked upon by the trunk lines b the pro rata
Arrangement, which made after the opening OF the
Pacific lines p per cent was allowed for lrcGAtase
from NewYor6 to Chicago, the Plclh roads from
Omaha 10 San Francisco claiming larger proportion OF
balance than their mileage entitled them to claIn
in comparison with railroads from Chicago TO Ondha,
on the ground their lines being running through
sparseiy dl5r.cs, and benG suiJ ctod to very
heavy expense. During part Of the time In which that
arran cement In force rates were 30 log between
NewYOrk and Chicago that the curreu. rates were lower
than tn pro rata rates, when the current rates were al
lowed preference to Others After the arrangement
had been IN force for couple Of years the trunk lines
became convinced from the reports Of the Plcihe lines
that these were worked at a much less comparative
expense than had been represented for the sake 0f
influencing the pro rata arrangement and the connect
ing roads then claimed that the pro rata basis shoud
be modified to conform strictly to mileage. Tdis
change would allow 2si per cent between New-fork and
CllcaSO III pace VI tldlti uo tN1iO '"N' -"
sisted. Then the Pacific railroads GiiIgrced WITH
The Pacific Mail Company, with which they
had an arrangement before. and In order to
dgnt with Pacific Mail they urged the trlnk li-e-
to allow them 20 mako what rates they pleased
wcstwari-hound freisbts, while they were TO give
the trunk lines only % per cent Of these rates The trunk
line. were willing fn in eJrts to retain thc PAcih3
trade and to allow the Pacific lines to cut down the
rates to compete with Pchc Mail, provided the trunk
iuos were allowed % per Of the reduced rates In
stead OF a. while 10 the Pacific lines wOUld be let the
privilege NJ taking advantage OF the cu.r'nt rates
between New-IOgk aui Chicago II at any time these
should be lower than the pro rata rates. TIis the
Pacific lines declined the pro rata arrangement was
broken up ant the PIcl' lines sought 0tA.r alliances.
first with the Grand Trunk and Vernon ut Central Rail
roa4s aftcrwlrd with tho Baltimore and Oh.o and other
lines.
-, ossertod by some railway that the Pennsyl
vani, Central was more active In breaking up the pro
rata Arrangement than the other trunk lines. IL
that may be- Union P4e:dc glt Row goes
By way Of Baltimore aud the Ere and
New York Central lines, but very little Of
IL goes over tho Pennsylvania. That which
goes over the Erie and Central il forwarded by fast
freight luea, the California ani Overland. wLca give
through bills OF ladnG to san Francisco. Al present
the trunk lines will not give receipts f0r California
freight beyond their terninl at BuH4io, DInkrGiand
Pttsburs and they claim 70 charge full current rates
on all Cal fornia freight. Inquiry among the officials Of
the trunk acs could not brug out the admission that
current rates not maintained. and the on er6 Of
line would not admit that t0ey suspected another
line Of allowing draw backs on these rates, but among
outsiders there s considerable skcpiin expressed a.
the strict observance OF the SrIoG4 contract Ihe
reason for thl5 shepCclsin may De IhsIited IN lhs
way: Tho rate on dry goods bY the overland last
freight San Francisco Is -. Tho Pacific linea
only allow % per cent for fregtge ron newborn 10
Chicago IwentytwO per cent OF s2 IL Al cents which
W tnS Tbe cren rits 70 BnTlS ii ,9
cents, and t IA claimed that the Ncw-IOrk Central
it upon each shpmcnf, and OIIeess OF aE9ther
trunk llne say hat they 80 hCt uouD1 IT, - ~ Ne%-
York Central does this then 1t costs more u take the
goods 10 Buffalo than s allowed To carry them 70 CHI
esgo. Whether the Michigan Central, over winch the
goods to Chicago, bears the loss Or Wnt sort or an
Arrangement is made, puzzles certain officers VI the
trunk INES Union Picihc agents Id the Guy say that
they receive the goods IN Chicago and Is nOt their
Ike 10 take the freight to CIcag0 anu decline to give
details or such arrangements They ciin 10 De salts
inquire whether the NeW-YoEk Central cuts uAdef the
current rates
combination Of the trunk lines. although IL does NOT ap
pear probable at present that the relations OF these acs
will take very soon the phase which they nave been ex
pected assume. Railway officers outside the assOc
uted lines express the opinion that their interests are 80
Grand Trunk void OF announcement that the COM
missOners Tx rates have certainly not been busy,
although il was anticipated before this time.
Another matter which 1t would be necessary TO settle
before pro rata angemenG We're ale with the
Pacific lines would be the cissfcatiOn OF freignts the
fJnOn PIctfie cassfca ton being different from th OF
the trunk lines Some articles which are IN the first
class OF the trunk lines IL the fifth class VI the Pa
eifc lines.
ARGUMENTS OF THE PACIFIC LINES
On the side Of the Pacific railroads it is urged that the
% cent allowance for the truak lines IN the old
rata arrangement was not too small, in consideration
OF the expenses the Pacific lines, which have heavy
grades crossing five mountain ranges which are put to
enormous expense for protection against snow-the
Union Pacific having spent s30000 for that purpose IN
last two years-and which nave not the advantage
OF Large local traffic Ii Is asserted that there are certain
large Items of which about great now
II the business thrice extensive las the care OF
the rOad-Ded), aud the relation between the
amount OF traffic and tho mileage, makes the
comparative expenses OF the Pacic lines much greater
than those OF he trunk lines, aud 1t is denied that
Pacific Railway reports Indicate that these expenses