Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1888-03-01
RAILROAD FREIGHT RATES.
Proposed Reduction Upon the Northern
Division of the Southern Pacific.

trarilv. The most rabid demagogue, the
most fanaiical apostle of the anti monopoly
creed, would hardly urge that it was the
duty of the Railroad Commissioners. in
performance of the trust committed TO
them by the State. to reduce rates for
transportation to point at which the
business OF carrying freight and passen-
gers must cease TO be carried on at
profit, or that they could possibly have the
power TO do it. 1t was undoubtedly in
tended that the power of the Railroad Com
missioners must be reasonably exercised.
To hold otherwise would be equivalent to
holding that the Railroad Commissioners
have the power 10 force the great carrying
interests into bankruptcy. TO close up the
great highways of commerce, to paralyze
every industry in the State and to regulate
the thousands of settlers, who have been
induced by offered facilities for Transporter
ton, to convert our millions of acres of
forest and desert into fertile orchards and
farms, TO the slow going ante-rairoad days
of the pack-train and the ox-team. All
over the world it is the railroad to-day that
gives value to the farm and to farm produce
Crush the railroad and you cripple the
farm. Cripple The farmer and You destroy
the town and the village, while the city
itself, keeping pace with the backward
march, will soon take the place of the vii
lage, retaining nothing of the city but the
name. 1t ought TO be readily seen, there
fore, that this power TO establish rates is one
that should be carefully exercised, and
where exercised should be carefully
watched by the people.
A case has just now arisen in reference to
what is known as the Northern Division of
the Southern Pacific. That road is TO- day
the most important factor in the develop
ment of what promises to be one of the
richest sections of the State of California
Starting from San Francisco it .raverseS the
peninsula, passes through San Mateo and
Santa Clara to Gilroy, in the southerly por-
ton of the latter county, whence il crosses
into the Pajaro valley, and thence pro-
ceeds in an almost direct line through the
heart of the rich counties of Monterey
and San Luis Ooispo to Templeton, in the
latter county, present terminus of the di-
vision. The road itself is one of the best
built and most completely equipped in the
United States. The arrangement of its trains
is perfect, and it affords the most ample
facilities for the transportation of freight
and passengers. There never has been a
complaint against its management, with the
exception CT some little local difficulty last
year in the neighborhood of Watsonville,
which was satisfactorily adjusted at the
time. The rates for carrying of freights
and passengers have been accepted as rea-
sonable by the great bulk of the people
along the whole line. Yet without any
apparent necessity or reason, the Railroad
Commissioners have ordered an arbitrary
reduction of ten per cent. on all rates be-
tween San Francisco and jacksonville.
The order, however, has not been en-
forced, pending the hearing of protest
by the railroad company. The reasons
upon which that protest is based are now
before the public, and would seem to be
founded in justice. II is shown conclu-
sively that the rates now charged compare
favoraDly with those OF the great Eastern
roads, and yet Eastern rates afford no fair
basis of comparison. Taking one of the
great Illinois Trunk lines as an example,
it is shown that with coal and wood at Sc
a ton and 81 rs cord, respectively, as
against 81 II and 81 56, fuel supplies have
cost here an excess of 500 600 and upwards
over the cost of similar supplies in Illinois,
for the year 1887. In addition to this the
higher rate of wages paid by the Southern
Pacific Company has made in the same
period an increased cost of $500 900 and
upwards over the cost OF similar services
in the East. Yet, in face of this, it is
shown that in the carriage of groceries,
grain, lumber. etc, the rates charged by
the Southern Pacific Company are from
of the roads compared Still further. as i'll
evidence of the desire of the railroad COM
pany in good faith TO study the interest of
its patrons, il is shown that during the past
ten years 1t has voluntarily reduced its
rates nearly fifty per cent on different
articles. With these indisputabe facts be-
fore the Railroad Commissioners, how can
it be shown Or even claimed that the in
terests Of the public demand their inerfer-
ence at this time?
But there is still another aspect of the
case that it would be well to consider. The
northern division of the Southern Pacific,
which, as we have seen, now has Temple
ton for its terminus, is but one step in
! long march of contemplated improvements.
The projected road, which it has been the
intention of the company to build and
| equip as soon as possible and as rapidly as
its business will warrant, leaving Temple
| ton will continue through San Luis Obisp0
county. the city of the same name, and
| thence through Santa Barbara, Ventura to
Newhali, connecting with the Southern Pa
| citic main line across the continent to New
| Orleans; the line from point fifteen miles
this side of Santa Barbara to Newhal being
already completed. But what encourage
ment will the company have to go on and
/ complete this great work of development
/ II ii Is to be met almost at the outset with
| this arbitrary interference? If the Com
missioners insist on the present reduction
| of 10 per cent, which does not seem to be
called for, what guarantee has it that that
reduction will not be followed by others
| which would make every successive mile
| of road that it now contemplates building
an additional burden instead of profit,
threatening overwhelming debt and disas-
ter to its enterprise. The enforcement of
| this proposed reduction will be practically
to serve notice on the company that its
| great work of building up and developing
| the State must be continued, if at all at is
| peril. Such action of the Commissioners
1 can have one effect only, and that is to re-
| tard the great progress of State development
which is now going on. There is no we'll
| founded complaint that the conduct of the
| railroad company, whatever cause for COM
| plant there may have been in the past, is
| not now just and fair. Thousands of acres
| of land in the richer section of country
through which this road when completed
will pass are now awaiting the arrival OF
| the railroad to give them tenfold and hun
| dredfuld value and 10 make them the sites
of the comfortable homes of hundreds Of
thousands of industrious settlers. Cripple
| the road by this unwise action and it will
have a paralyzing effect on this vast
i scheme of development, producing an ag-
| gregafe loss against winch THIS proposed
reduction of ten per cent. on freight rates
between San Francisco and Watsonyille
offers no appreciate offset. We believe
| that the present action is uncalled for it is
not even asked for by any appreciable
number of the patrons of the road. the
majority of whom are satisfied that the
company is today doing all that can in
josiice and fairness be expected of it and
In addition to this the effect of the order
while nominaily operating only between
/ San Francisco and Wats0nviile, would
practically he to compel similar reduc-
| ton throughout the whole or else leave
the company exposed to contisnal com
plants and charges OF discrimination.
We are convinced that tbs unwise pro-
posed action of the Commissioners will
meet with strong and earnest protest from
! all the great counties along the line. not
only where the road is already completed
| Int along the whole of the proposed exien-
| sion. The route is one of the finest on the
continent. When open TO travel ii will
| pass through the richest and most rifle
| country and Cirough climate the most
| delightful ard scenery as besu,lful as sny
J in The world. The people of those c'IuI-
! ties have long been looking for the compile
| ton of this road. II is necessary 20 open
| up their lands TO the tide of Immigration
which is destined TO follow the progress of
the locomotive The great valley of Santa