Wichita eagle. [volume] (Wichita, Kan.) 1886-1890, 1889-07-30
GOVERNMENT TELEGRAPH RATES
Protest of the Western Union Against
Wauamakers Order.

NEW YORK, July 29.-The following is
the substance of the protest of the Western
Union Telegraph company against the
postmaster generals great cut OF the rates
to be paid for telegraph service in trans
mission and delivery of government mes
sages, giving the history and object of the
act of 1866. and the actions heretofore
taken under it. The rate in force for the
past three years has not been uniform
rate of i cent per word, as many papers
have assumed. but increasing on a scale of
distance above one thousand miles with a
minimum of % cents per message
and maximum Of 2H cents per word.
The telegraph companies hold, aud are SO
legally advised that the language OF the
act does not give the postmaster general
absolute power to fix any rate he may
deem fit The power is qualified by con-
stitutional restrictions In article is the
language: Nor shall personal property be
taken for public use without just compen-
sation" The power depends therefore on
the question, Is l mill a word a just CON-
pensations
Hon. John wanamaker Postmaster General
Dear Sir-Title % revised statutes, en-
bracing the acts of july 24, 1866, and of
June 10, 1872. was the outgrowth of the
first efforts to induce congress to establish
a government telegraph. \ scheme was
pressed before a committee of congress to
Incorporate a new telegraph company by
the general government, with which the
government should contract to transmit
kilograms at a price TO be agreed upon,
the government receiving and delivering
messages and being the only party known
TO the patrons of the telegraph. This
scheme was justified on the ground that
the government had no right TO take eX-
listing telegraph properties except at prices
and on terms acceptable to the companies
that owned them and the scheme was OBJ
jected 10 by telegraph companies then exist
ing on the ground that the government
entering upon the telegraph business at
rates that would not pay expenses, would
simply destroy existing telegraph proper
ties. 1t resulted IN compromise between
the telegraph companies and the commit
zee of congress of which | believe the ls-
mented Garfield was chairman, giving 70
the telegraph companies certain franchises
and privileges and TO the government ad-
vantages and privileges, including priority
of service at rates to be an
nually fixed by the postmaster general
and what was deemed at the time of most
Importance to the government, the right
to take existing telegraph property of the
companies who accepted the proYisons OF
the act al an appraised NAiue 70 DC aSSSE-
tanned by arbitrators, as described in sec
ton 5367. This compromise agreement
was enacted into law subject to formal
acceptance, filed with the government
records and TO all interests and purposes s
compact between the government AID tele-
graph companies; the operation OF which
was intended TO be that the govern.
ment should have the right TO TAKE
all telegraph properties sud that If il
should elect TO establish a government
telegraph it should take existing telegraph
properties on terms to be sscertained s.
the law directs. This section 800 revised
statutes of 1878. annotated as being enact
ed June 10, 1872, giving the government
right to take telegraph properties is, ii
substance, in the same language as the
proyiso at the close OF section 3 of the
original act of July "a, ls6S. and therefor,
a part OF the compact accepted By
the Western Union Telegraph company il
1867. The fixing of rates by the postmaster
general does not appear to have been con-
sidered an imperative duty OF the post
master general, for no action seems TO have
been taken by that officer in fixing rate:
until June. 1867. when necessity for ii WA