The New York herald., 1879-09-30
has a planning mill; 1t does work for outside par

organizations here the same as mine that doing
| as good business; have no interest in them.
TO Mr. sterne-Do not carry live stock now; did
To the Chairman-Most of the elevators could be
reached with sixteen or seventeen feet OF water
10 Mr.. shipman-There are about twenty eight
elevators in tho cly; six hoaters connected d.
rectly with the railroads. all are connected with the
canals. f.t4t
TO Mr.. sterne-The rates we mako to Baltimore.
Boston and Philadephis are made indirectly; the
rates to Boston more than to Philadelphia;
think have given under seventeen and half
cents this year fourth class freight Of all kinds
that rate did not last long, the rates change every
day; we have to change our rates conform to the
business find to do do not make special rates.
do not prefer anybody. or do not do any of that
kind of business; 40 not know Of any instance
where have been asked to do SO.
BY Mr.. Serne-Suppose any largo house had Q
special rate with the Erie Railway Company by rail
and lake. would you not take your amount pro rata
OF the rate at which the contract had been TAKEN A.
We would.
THE WESTERN TRANSPORTATION COMPANY.
John Allen. DR.. was next sworn:-l am stock
holder OF the Western transportation Company:
have thirteen Of from 500 to 1900
tons burden have been in the business twenty-five
years; run IN close connection with the New York
Central road; carry through freights OF the New
York Central Company; carry to Toledo. Detroit,
cleveland Port Huron. Milwaukee. Mackinaw aud
Chicago; We have practically the monopoly of the
package freight OF the New York Central road: we
do large business outside OF the railroad; the New
York Central Company do not own any OF tho West
Transportation Coinpany's vessels a director
i'll both the Central Company and the Transportation
Company; the connection between the Central Com
pany ana the Western Transportation Company was
entered into in lS70 the business irrespective of the
railroad company. has been depressed during the
past fcw years there has not been much boat build
ing during that time; one OF the results of the de-
preston has been the low rstos of freight; have
built four boats suce 1878 at cost OF $500000 the
capital stock of the company is S40O, ,000 eastern
bound freight we are bound to pay the New York
bound freight the highest amount Of business
done in 1862 and 1S63-620. .0O0.UO0 bushels; owing
to short crops and the railroad companies entering
into bulk carrying traffic; we carried about
$50 900 bushels in 1874 and 1875; obliged
to build three largo vessels compete with all rail-
road routes; the life OF canal boat is about eight
years.
10 Mr.. shipman:-The contract between the Erie
road and company, dated the spring of 1862
out in the spring Of this year.
COMPLAINTS OF A LUMBER DEALERS.
James N. Scotcherd testified Have been lum-
Der dealer for twenty-seven years in Buffalo, my
business rs wholesale dealer Is practically wiped
out i'll hard wood lumber. which attribute to the
hard wood lnmber comes from OHIO ann other
parts or the West; the dealers in indianapolis
have e pay W pa @ 70 New YORK.
coming by way OF Butfao-that is $32 to Buffalo and
$a5 from there to New York; the pine trade is
now larger than ever; 1t is mostly carried by
waters Indianapolis dealers have superior
facilities over Buffalo dealers; made application
to Mr. Goodman three years ago for special
rates to compete with indianapolis dealerse never
had any favorable reply; can't tell how much the
criminstons nearly all the principal western points
have had special competing rates; the rates now are
satisfactory; during the months Of March April and
is principally done in the West; Eastern
business would not go West if We could get pro
portionately as favorable rates. think the New
York Central and Erie Railroads, which control the
terminal facilities OF Buffalo, prevent it from be-
we have two railroads around the city owned
by the General and Erie. and one being built
across the city; all freight coming eastward
the International bridge is charged S5 per load
II delivered in Buffalo; the ecompettion which might
be felt from six competing lines in Buffalo not
felt as they arc controlled by tho roads named;
found that our neighbors in tho Same business had
special rate. and under our rate; on inquiring of
the agent If this was So would be informed that
such was not the case; then he wrote to headquar-
ters. and we then procured the same low rates.
TO Mr. Shipman-Goodman told me this morning
that he could not control the rates to competing
points, and for that reason could not give me the
rates asked for the International Bridge built
some four years sincc 1t not built by the city
OF Buffalo; think tho citizens of Buffalo have prob
ably allowed the railroad company to control the
terminal facilities OF Buffalo
To Mr.. Shipman-I have had special rates over the
New York Central; have applied to the Eric for
TO Mr.. SternowIf citizens IN smyrna get
lower rate than do they to certain extent. take
10 Mr. Gluck-I ship by rail because it is more
convenient than by canal; have shipped 500 boat
loads OF lumber year; special rates were not given
me until had made application for them. stating
TO Mr. Sterne--Special rates were mover given to
had better rates than had; then procured the
Same rates without rebate on back shipments.
To Mr. Guck-whcn told Mr. Cummings tho
=
not believe It.
10 Chairman-The ratios to Albany and Troy wero
$50 aud $50 per cur load; don't know the rate to
John Allen. Jr.'s testimony continued:-
To Mr. Sterne-I should think that the falling off
OF tho freight on the canals is. due to
the general depression OF business: the larger
part OF the produce raised in the West is
corn it is much larger than wheat. and the most Of
1t that goes East the canal IL there had
boon railroads in the country the wctcrcarrying
facilities would naturally increase; do
very large local busincss the lake transportation
Is largely dependent upon the canal; tho New York
Central docs not allow any but the Lake supe-
rior Transit Company to mako rates except myself.
and that company only from Dubuque; can't say
anything about the live stock transportation do
To Mr.. Hcpburn--Thc proposition the Central
road receives shipments from Chicago to New
York IL $45 80 per cent Of the full rates.
WHAT built UP BUFFALO.
TO Mr.. Sterne-One-q quarter or one-eighth cent
to Mlwaukeo: can. I estimate what would be neccs.
sary to turn 1t from Now York to Phiadelphia
eastbound frcights the producer would receive
tho difference fiuctuation OF rates, not the
sumer rates generally higher West than East; the
bulk OF the traffic is East; always charge moro
on West bound freight q rule than East bound;
have got to have ten per cent Of the tonnage
back to the point of shipping to mako it pay;
as nrst class freight; tho practical effect,
therefore. il there was an actual rate against
;r Buffalo at .n any thine. na%.,o ,,v would DC to
the reduced rates to the West and higher rates
lation for the past twenty-five years; i'll the main
the vessels tho lake not built to carry package
freight we do not care for moro package freight
than can hapdily put between decks; sail vessels
do not want such freight: package freight is very
largely flour in sacks and barrels, and pork, beef.
&c. and everything that comes in bags or barrels
the business Of carrying meats from the West has
Increased for the last three years; -four has not;
Buffalo is as good port IA any on the lakes for car
rying purposes and ~ superior storage point
there Is water power at Buffalo; 1t Is at Black
Rock, Indianapolis. st. Paul and Minneapolis that
they have superior water power.
To Mr.. Hepburn--Therc Is an elevator association
in Buffalo, and they fix the terms Of cevating and
each elevator gets It's proportion. matter whether
1t clevates or not; competition determines tho
canal freight rates largely; the price of canal
transportation depends upon the demand and sup
ply; the toll also fxcs the rate by canal ton years
ago 1t was six cents per bushe; tho first element
OF cost is the canal toll; last season it was four
per bushcl corn; the reduction of tolls has
increased the business of the canals; IL they had
not been reduced the canals must have closed.
To the Chairman=--I sunpose that Xhcn tho ratcs