The semi-weekly miner. [volume] (Butte, Mont.) 1882-1886, 1883-09-19
The Senatorial Sub-Committee

NEW YORK, sept. 17.~-The follow.
ing is ! continuation of Albert Flnk'S
testimony before the Senatorial sub.
committee:
He. thought legislation might be
employed to assist railroads in lnaiD.
taining uniform tales, if such an Or.
g%anlZaJiOn as lie managed could be
incorporated by the general govern.
ment; but no direct legislation would
avail. 1t would be best to let rail.
roads manage their own business IN.
til the people come to understand the
matter. The interest of the public
and of railroads was identical. Any
legislation, or attempt at legislation,
at the present time would be Regarded
with suspicion. Mr.. Rtgan's trans
pOrtation bill Was utterly impracti.
cable. Freight rates in this count y
wer the cheapest in the world, and
the tendency was still downward,
He pronounced the scheme that the
government should purchase tI!e
railroads and run them wisely, the
widest folly, and II which no sane
man would contemplate. The amount
OF transportation rates. at different
seasons If the year, was never more
than Il few cents per hundred pounds
The capitalized value Of 112,O1O miles
of railroad i'll the United States was
$7,OOO.OO0,OOO. Last year the gross
receipts of all these lines was $780,
OOO,Np; the net receipts t L the same
time were $33UU.O0O.CUO. Out of this
latter sun $lUO,UOD,O0O had been paid
in dividends on stock; Of the remain
der a large proportion was expended
in interest on bonds. About 70 pei
cent. OF the running expenses Of all
railroads went to laborers, employed
as brakemen, conductors, tiremtn and
engineers.
Witness was asked if shippers and
people were satisfied with the trans
portation charges fixed by tie rail
roads. He replied they never aTb,
and never would be satisfied as long
as they had to pay anything al all.
The extra charge to the consumer for
transportation was insignificant: the
added cost OF transportation per HAN
for the flour anG meat consumed by
himself and family for the year was
about 3 PER cent. of his earnings. The
system of pooling was resorted t. as
a means of maintaining rates and
preventing II road from cheating
another and cutting rates.
A statement had been made by En-
Secretary of the treasury Windomto
the effect that railroads had j. in thei4
power 20 put up their rates ut any
time, and eXtort money from
shippers; and that the raise of five
cents per hundred in the cost oftrans-
p%ortatiOn OF grain would give a gain
of $45 100000 to the railroads. Ibis
statement had been copied extensive
ly throughout the country, but it
was based on Il wrong estimate. as the
false OF five cents referred to, hid
only brought S2,8OO,OW Brsldts,
there were reductions CORE. p0EdlGs
to the increase OF the roads. and the
in grain Vas between 30
and 25 cents per hundred. 1t never
Went beyond these limits and the
rate was now at tie lowest point.
Witness did not think it wa any
evidence that a road was charging too
high rates, that the read Wa, paying
twenty per cent. dividends On the
The only thing to be regarded
was its rates.
Thomas Fortune, editor OF a New
York colored organ. testified that
the educational facilities of the South
Were very poor, and he advoca ed
national appropriations for TINS OBJ
jet. He cUndemned the convict Ia
Dor system of the South, and thought
investigating committees should be
to inquire into the matter
there.