Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1885-08-07
FREIGHT TARIFFS.
FREIGHT AGENT GRAY BEFORE
TIE COMMISSION.
Foote's Distance Schedule Discussed
Carpenters Order Outlining
Freight Tariff-Etc.
Lsan Francisco Bulletin. Anrust 9Th.

San Francisco Bulletin. August Gth.I
a meeting of the Board of Railroad Com
missioners was held this morning, all the
members being present The object was to
hear Richard Gray, Freight Agent of the
Southern Pacific upon the hog cattle
sheep and grain tariff proposed some
months ago by Mr.. FoOte, and which was
referred TO him for examination This
freight schedule was founded on the mile
age principle now in use in Illinois. 1t be-
gins with San Francisco, and for twelve
miles out leyies freight rate of II cents
per ton per mile. and as the distance in
creases the rate decreases.
AT former meeting Of the Board Mr..
Gray eXhaustiyely discussed the tariff, and
objected 10 it principally on the ground that
the freight rates of the Southern Pacific
Company were already low enough, and
lower by comparison than the tariffs of
other States He stated that Mr.. Foote's
would, in many cases, increase the rates
now charged by the railroad.
Mr.. Gray presented comparison of the
rates on the Southern Pacific Companvs
system Of roads with those of the roads in
Kansas, Iowa and Nebraska These com
PARSONS showed that the rates on grain in
California were lower than in those States.
Among other things he exhibited a tariff
adopted by the Railroad Commission of
l. -. i
road claimed it could not exist, and which
was subsequently repealed. \ comparison
with this tariff, he said, showed that the
rates in California We're in many cases be
low them. Mr.. FOOte had contended at a
former meeting that Kansas ana Nebraska
were not leading grain n-pToducing States
To controvert this Mr. Gray produced the
figures to show that Kansas was second in
gram and first IN corn production in the
United States. Nebraska was now third in
grain and second in corn. He concluded
by stating that, IN his opinion sustained
by these figures, there was no reason for re-
ducing rates.
Mr.. Foote inquired concerning a rule
lately adopted by the Southern Pacific
Company, by which grain-shippers to Port
Costa and other terminal points were
charged eight cents ton for unlo. ling.
This rule has been in force for three
months. Heretofore the company has un-
loaded the grain without charge.
Mr. Gray said that the Southern Pacific
Company had lately been ecOnomizing in
It's management. In 1854 the earnings of
the corporation were 81, $1,000 less than
III 1888. Consequently the company had
ceased extending its lines, had DISCHARGED
large numbers of men and searched every
where for opportunities TO save money.
This was one of the cases where the com
pany had economical. Prior to three
months ago shippers had been allowed the
cost of unloading on their bills: now they
were charged eight cents & ton. This was
the actual cost OF the work. The company
made nothing by the operation. He did
not think the charges had made any differ
ence i'll the price of wheat either to the
producer or consumer.
Mr. FOote endeavored to elicit from Mr.
Gray an admission that this was an increase
of rates, which the latter refused to give
He stated that prior to three months ago
the company i'll order TO get its cars
promptly from the shippers at Port Costa
had performed the work of unloading it
self Now it placed that burden on the
shippers, which was done with all other
classes Of freight. He said that since the
adoption of the new Constitution the COM
pany had never enforced a freight rate that
was more for short than a long haul, and
in all his experience in the freight DEPART
ment he had never known q freight rate
once established to be increased. The com
pany was reducing, however, all the time.
There had been no reductions lately in To-
cal tariffs, but the rates in Nevada ard Ari-
Zona Were being modified all the time. He
claimed that the Board of Railroad Com
mlsSlOners was as much the servant of the
railroad corporations as the people. and
should do justice by both, and that before
reducing freight rates should give good rea-
sons for so doing.
In response 10 questions by Mr.. Carpen-
ter, Mr.. Gray stated that the rule of I'M
loading wheat free had neverapplied to any
point except Port Costa At all other
places shippers had always been charged
Tor unioading During the past year the
company had discharged over 2,0O0 men in
Its shops at Sacramento, Tulare and other
places, and many of its more prominent
employees. The corporation had not vet
reduced the wages Of its employees, and as an
individual he did not desire t0see the South
eTn Pacific III such a position that it would
be compelled to do 50. This company now
paid the best salaries of any corporation in
the United States.
IN response 10 question, Mr.. GRAY
stated that the Southern Pacific Company
h3d abandoned the special contract svs-
TEN. This was owing to competition and
the opening of other transcontinental lines.
In some cases the rates had been reduced
and in few increased. As n whole, the
present tariffs were about the same as under
the special contract system.
Mr.. FOotc-I suppose that Mr.. Harrison
can now ship his beer the same rs other
people, and buy from whom he pleases.
Mr. Gray-HeS, sir; he can.
a long discussion was held about wool. |
Mr.. Gray sad that as nearly all the wool Of
California was shipped directly East and |
did not come to San Francisco at ALL he had |
not given the rates on wool much consider |
alton, believing that they did not cut much !
of figure Overland rates were not under |
the jurisdiction Of the Board
After speaking generally of the prospect |
that the company's income would be de- |
creased this year by the short crop and of !
the increase in fruit shipments East, the |
inquiry was concluded.
Following is brief statement of the
comparisons used by Mr.. Gray to support
his argument: