New-York tribune., 1885-01-14
NEW-YoRK STATE RAILROADS
ANNUAL REPORT OF THE COMMISSIONERS.
COMPETITION Observation-Disclosures RATES
YEARLY STATEMENTS.

ALBANY, Jan. 13.-The second annual report
of the Board OF Railroad Commissioners for the fiscal
year ended September 30 has been submitted to the
LEGISLATURE In 1t the complain that they
have not the legal right to protect existing
railroads from competition. Under present laws
any thirteen who can secure subscriptions
OF 900 mile with 10 per cent paid In, can build
railroad anywhere without any public cxigency. Tho
report says:
railroad cannot be but without the State delegang
its promoters the highest power 1t possesses over
property for public uses The State itself never
exercises this sovereign power except In cases OF pu6c
teen men to be exercised for mere private gain, fire.
queny ut the expense OF vested rights ana grave pubic
railroads by the creation Of supervisory boards and
determined to enact the highest standard OF service
at reasonable rates OF freight and fare II would certainly
seem as il corresponding obligation rested upon IL TO
protect existing railroads from useless and disastrous
competition by unnecessary new ones
The Commissioners began their report, however by
admitting the disastrous results Of production.
They say:
The conditions existing today although not yet so seri
ous similar in many respects to those existing zen
In the long period Of depression following the
panic Of 1873 Over-prodcton OF almost every staple
article OF human consumption seems TO obtain through
the civilized world to greater or less extent and In
branch of business has this together with excessive
ton. For many years four trunk lines suced 10 carry
Now there are seven The difficulties of settling the
fierce rvaries between the four were great between
war OF rates has broken ont Of which, at this writing no
one the IL looks as the struggle for
had begun, OF which the result viii De the sur
yiya OF the test the financial death OF others, with s
attendant distress and loss 81 property per- N e eas N,H
Company went into the hands OF a a receiver: @
The quarterly reports to this Office develop inc iact n
for the months and niue days preceding INC opera
Ing expenses had exceeded the gross earnngs,by S3
9JS For the three mouths ana tMen.y yst on y n en
expense Sr% by ss7.S57 75.
alone to earn operating expenses with the hope of
increasing business bJ
cent per mile for the transportation OF passengers
sorespondps reduction Was ma made IN Tegst se
Hudson River Railroad Company. u is needless 10
Sdent STe UPON to- 'sS such eondon Of affairs
struggling along with disastrous ,competi-
nI,ad tGn wn Tn1sry nS and msneal inability to com com
ply with overy recommendation OF the Board looking 10
Evsn those measures absolutely necessary the safety
travel often neglected and when recommended 6y
the Board stonuousy resisted upon the ground tnat te
road is earning fixed charges The objection Is
'werlbe when made 10 teo'ncuaon % - 10, OF, o, a
convenient or agreeable maintenance, Dnt II mot &c
ceped by the Board as reason Tor not complying Win
After presenting summary OF the business OF inc
the report iurnishes slight warning about the export
trade OF the port OF Now-Iork:
while the city Of New-York still maintains It's great
supremacy the commercal metropolis or THIS CONT
neni il must lie lost sight OF that Boston Is some
wha increasing her relative proportion oi export trade
Years 10 Increase terminal facilities tho completion
of the N.w-YOrk aud New England railroad, and of the
tady ia this state having their orect II cannot be
.y ureed that no unwe or oncrous
should be- Imposed upon tho railroads ehtcling
our state or upon the terminal facilities Iat New-iork
City wout divert from that port the golden streams
OF CONNIE rec now entering thcEc.
The Commissioners repeat what they said last year
about necessity Of carefully maintaining the canals
as a regulator of freight charges, and reassert that
they shonld not be allowed 10 detcr!orate or decay
In the year. the report states the Board has considered
four references By the Legislature aud numerous com
1. Lao,
has been wide aud the Board has not been unanimous
In m decisions several OF these cases. although 1t has
reached unanimously the GLOWING conclnsioHs:
Firsi-rhcrc should be entire publicity OF railroad
rate. whether thr same be tarin or special rates
Scc1nd-kaToss should not. ms genera RUE charge
He el1s and quantity freight than Is charged be-
tween snch terminal ana m,sT as'1n' P,nt Pi I'tr m
water competition. unless railroads can afhath'y O.
tah.sh such clroum'i 'nces go'cIhns slsh compeuoh
fk'nL-Any form Of contract or any kind OF d.scrml-
nation AGAINST shippers. which compcs citzens to re-
lrAiu from freely using t4o canals oi the state IN
preference railroads. ~ against sound pabic policy
and ousIt not 10 bc permitted.
V1h There Is no form ~ specific rate fixing legis
laiou. which can be- 10 present recommended; snch
@ % -, ,.i,, ,Srlc9 cnunot bc obtained under ex.
i-tuE laws, with the Aurnlutnts as are Atta'e lecO
mtnGcL
In regard the reports required 10 &c heI by railroad
companies and the discrepancies between theW the re-
port continues:
"A the adoption OF the plan OF quarterly reports by the
D,,rI v,s an entirely new feature IN the requirements
heretofore made by tne STATE upon railroad comane
it mas deemed II het..Iy 10 aHOM ior ,ne S,. JIsi J
accounts had been 20 kept IA many INSTANCES ~ 70 pro
y.c Tor furnishing nc.ia Asui,' 9nS once sra' ~
sned IN measure imperfect while III otler cases
reports for certain quarters have been omitted until an
inventory could be iHhde and BOOKS proper! op'nou;
The system Is very nearly perfected, however ana
snSstanaI evidence Of the working and condition OF
each company. For the coming year a new FORM h
quarter with that of the previous year.
some important companies, for reasons o, thrir ,lr
own. DELAYED Ming reports for certain quarters III
| ong after the expiration OF the SIX weeks allowed
the close Of each quarter Tor furnishing sue re-
lsaiedly called upon 10 do so. until they were cited To
appear and show why complaint should not be made
10 Inc Attorney General agan- them for no-compliaeo
with the requirements Of The Board To obNhte such uh
necessary delays the Board its recommendation
of a-t year as o legislation creating penalty for non
! Ming reports required and will present drait OF
The Legislature Of 1888 dill not pass the amendments
to the General Railroad Act ~hieh were pr1oSsi Dy 's
Boarl They we're however III an nl'c,, , d oI ~ ~; ,Sc
ported favorahly In both houses, ana tue end Oh tno
session left them just at the point OF hnal PaSs.se: w.
therefore, seems proper thAt tuey shou't p NJ
as,in To the Legislature for tts consideration. lhe
| amendment which designed to check uiv con-
strucurn OF unnecessary l%Iilp"H % -, p' 1 1,, ,,e
Incorporation of road should bc permitted % ,u u 'ne t
purlc necessity for it, continuation was cert e9 To Sy
tn, Board or Dy u Gonerd Term Of the supreme IOnlt
did not meet with tuo approval OF the i.st lssl,l"S
| road Company have caused many, particularly uluse
interested In ltsecnrite and ITS cmnpctioiS TO lesad
such a provision ~ q public protection and necessity.
While .ke state should interfere with caution TO prevent
c,nin.titi,n from winch How many public benefits. yet
mn lie other hand t ought To be permitted to become
rninOus destructive aud denioallzHg. MucIo tnce sc
rIds enough to amply the public. farther con
sIrucDn M. bankruptcy "a new iuvcSors ana III thc
end through pool or sDue olhet "eFIce' ihposo'
! upon the public an unnecessary burden. -, ,,-., l..
A further .amrndmcni suggested ana ue'ueo MIse u
one protect more vigorously the rlgn's OF m"",,y @
stockhoiders. They ought, a number ANA amount SUM
cieGt to guard against abusN To nave liHn 90 cu,i az
ascertain the financial condition OF their rO al irDh t1e
books through the Board or RAILROAD ="
snne tLrr agency THIS provision IN force elsewhere,
and seems afford protection where under our statute;
| A. "a wanting Bv the amendment the state pfOhlDiei
tbe increase Of capital stock without the consent o the