The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1889-07-30
WESTERN UNION PROTEST.
Against the Rates Fixed For
Government Messages,
THE COMPANY's LETTER
To Tho Postmaster General-The Pro-
posed Rates Alleged to be I'M
Just-Did Mr., Wanamaker
Exceed His Authority?

posed Rates Alleged to be up'
Just-Did Mr., Wanamaker
Exceed His Authority?
NRw YoRK, July 20.-The following ia
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 the transmission and delivery
Of government messages, giving the
history and object Of the act OF 1850,
and tho actions heretofore taken un-
der 1t,
The rates in force for the past five
years has not been uniform rate oil one
cent per word, as many papers have as
sumed, but increasing on scale Of dis
tanCes above one thousand miles, with
minimum OF twenty cents per message
aud a maximum Of two and q half cents
per word, The telegraph companies hold,
and are so legally advised, that the Ian.
guage OF the act does not give the Post
master General absolute power 10 fix
any rate he may deem tit. That power
Ia squalilied by constitutional restrictions.
In article 5 is the language, "Nor shall
private property be taken for public use
without just compensation" The power
depends, therefore, on the question,
IS ONE MILL PER WORD A JUST CoMPEN-
sATIoN?
Hon. John Ipdaamuker, PoStHdStsr General
= DEAR Sir: Title 65, revised statutes,
embracing tho acts of July "a, 1866, and
OF June 10, 1872, was the outgrowth Of
the first efforts to induce Congress to
establish q Government telegraph. a
scheme was pressed before committee
OF Congress to incorporate a new tele-
graph company by the general Govern
ment, with which the Government
should contract to transmit kilograms at
u price to be agreed upon. The Govern
ment receiving and delivering the
messages, aud being the only
party known to the patrons Of
the telegraph. This scheme was
justified on tho ground that the Govern
nent had no right 10 take existing tele.
graph properties except at prices and on
terms acceptable to tho companies that
owned them; and the scheme was OBJ.
ected 10 by the telegraph companies
then existing, on the ground that the
Government entering upon the tele'
graph business at rates that would not
pay expenses would simply destroy ex-
isttng telegraph properties. 1t resulted
in compromise between the telegraph
companies and the committee OF Con.
gress, Of which, / believe, the lamented
Garfield was chairman, giving TO
the telegraph companies certain fran
chises and privileges, including priority
OF service at rates to be annually fixed
by the Postmaster General and what
was deemed at the time OF most import.
anCe to the Government the right to
take existing telegraph properties Of the
companies who accepted the provisions
OF the act at On appraised value, 10 be
ascertained by arbltfators az described In
section 5207. The compromise agree.
inent was enacted into law subject TO the
formal acceptance by the telegraph Com.
panies; and their acceptance filed with
the Government rendered to all intents
and purposes compact between the
Government and the telegraph COM
panies, the operation Of which was in.
tended TO be that the Government should
have the right 10 take oil telegraph
properties; and that should II elect to
establish a government telegraph, II
should take existing telegraph proper
ties on terms 10 be asceTtained as the
law directs.
This section, 5,267, Revised Statutes Of
1878, annotated as being enacted June
10, 1872, giving the government the right
to take telegraph properties, is In sub.
stance the same language as the proviso
at tho close OF section three Of the origi-
nal act Of July q, 1890, and therefore a
part Of the compact accepted by the
Western Union Telegraph Company in
June 1867.
THE FIXING OF RATES ny THE POSTMASTER
GENERAL.
This doeS not sPpeqr to have been
considered an imperative duty on the
Postmaster General, for no action seems
to have been taken by that officer in the
direction OF fixing rates until July !, Of
| 1871, when the necessity for It was al
i legged 10 have arisen by reason Of the
complicated character Of the service in
transmitting the signal weather reportg,
4 conference with the telegraph COM
panies was. invited by Postmaster Gem
eral Criswell, through Capt, Howgate,
the acting head OF the signal service,
and discussion OF the subject was had
In Washington, President VIM, Orton
representing the Western Union Tele.
graph Company, and the Postmaster
General, haylng the assistance .ot Assist.
ant Attorney General Whiting and the
head OF the signal bureau, and the rates
were fixed satisfactorily to the telegraph
companies. They were not annually
revised until some years later, and lln
almost every instance the telegraph
companies were consulted as TO what
they could afford 10 do the service for.
; In two instances Postmaster General
: Jewett and Postmaster iGenbr0l James,
: at the instance oil the telegraph Compa'
MES, recalled and modified their orders
i. after they had been officially proclaimed,
The language OF the act-that messages
between the bevera. departments oil the
Government "Shdi hare priority Over all
other business, at such rates as Che Post
, master General may annually Gx"-may
:, be construed as contemplating the fixing
I Of higher rate than 10 paid by other
y patrons because ofsuCl priority In trans
mission over all Of or business. Ger.
tainly II never contemplated conferring
the power 10 fix the rates below the
Y autull cost Of tho service, Such &C,
D ton Is nothing short Of q Con6sCation
Q and appropriation oi the property aud
. service Of employees ITO the use Of The
a Government without Just compensation
therefor"
. TttE RATB AZ LAST PlxED.
b STwOnly cents ior twenty wordsOr lea
a ior distances Of 1000 miles OF less, ant
one cont for each additional word ant
one..epth Of a cent per word for each al
dltional 100 miles or fraction thereof, i
/. ior distances Of about 900 miles, as be
tween Washington and New York, AMI
' N, Louis aud Chicago, scarcely one.hAl
!. lhe rate nGId by the public on curfen
70 nehSNpeS For distances of 800 mile
. and rhder II IL about three!tohtthS III
v commercial rate, D..