The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1889-08-07
GOVERNMENT TELEGRAPH RATES.

the Western Union Telegraph Company
except the officers and stockholders in
that company. Democratic and mug
wump papers have been unceasing in
their criticism of the POstmaster-gen-
erals acts and rulings, asserting that
they showed small caliber, the methods
. of the tradesman, etc. They will make
no such criticism on the letter referred
to. 1t shows that the POstmaster-ge
eral possesses the ability to appreciate a
large business proposition, and the pluck
to grapple with big corporation as
none of his predecessors have done.
An act of Congress, passed in 1866,
makes it the duty of the Postmaster
general annually to revise and fix gov
eminent telegraph rates. This right is
claimed by the government by virtue of
certain privileges granted to telegraph
companies in the act referred to, and
the duty of fixing the rates was vested
in the Postmaster general because,
as a matter of the transmission of infOr-
nation, it seemed to pertain to that de-
parrment more than to any other. I'm
der the law of 1866 each successive Post
master general has annually fixed the
rates for government telegraphing, with
little or no change. For several years
past no reduction has been made, the
old rate being continued by successive
orders from year to year. Postmaster
general Wanamaker reduced the rate by
the stroke of pen to one mill per word.
Those who criticised this action as arbi-
trary and unjust probably never looked
at the law. Certainly they failed to
notice that it conferred important and
valuable privileges on the Western
Union company--sO important and val
liable that the government might very
reasonably demand, as an equivalent,
that all its telegraphing be done for
nothing. Thus the law of 1866 says:
Any telegraph company now organized.
or which may hereafter be organized, I'M
der the laws of any State. shall have the
right to construct, maintain and operate
lines of telegraph through and over any
portion of the public domain of the United
States. over and along any of the military
and post-rOads of the United States, which
have or may hereafter be declared such by
law, and over, under or across the naviga-
BILE streams or waters of the United States;
and shall have the right to take and use
from the public lands through which Its
lines of telegraph may pass, the necessary
stone, timber and other materials for its
posts, piers. stations and other needful uses
in the construction, maintenance and OPP
Grafton of its lines of telegraph. and may
preempt and use such portion of the unOc-
cupied public lands subject to pre-emptiOn
through which their lines of telegraph may
be located as may be necessary for their
stations, not exceeding forty acres for each
station.
Probably few persons were aware of
the scope and value of the grants thus
made to telegraph companies by the act
of 1866. They pertain to all companies;
bat as the Western Union owns most of
the telegraph lines in the United States
it has reaped the greatest benefit from
the law. The only return or equivalent
the government has demanded for these
valuable grants has been the right to
fix the rates of its own telegraphing.
As stated before, it might well have de-
manded that all government telegraph
ing be done free.
When Postmaster general Wana-
maker fixed the government rate at one
tenth of centper word he was severely
criticised in some quarters for doing an
arbitrary and unjust thing. His order
was called official stealing, downright
robbery, etc. But read the law again
Union company has been enjoying since
1866 and still enjoys-the right of way
along every military and pOst-rOad in the
United States and over every navigable
stream; the right to cut poles and take
stone and other material from govern
ment lands, etc. If anybody thinks the
Western Union company has not profited
by these grants and privileges he little
understands the nature and habits of
corporations. Postmaster general Wan
amaker's order was not unjust nor un-
reasonable. The Western Union COM
pany could afford to do government tel
egraphing for nothing for the next TWEEN
ty-five years and then be ahead on the
contract.
The president of the company wrote a
letter to the Postmaster general arguing
that the new order was unjust and the
reduction of rates great hardship on
the company. The Postmaster ener-
al's reply shows that he has Investigated
the subject and knows what he is talk
ing about. 1t is business letter from a
business man. He points out some of
the benefits and franchises which the
Western Union has been enjoying since
| 1865, and still enjoys. He makes the
astonishing statement that the company
has not only used thousands of miles of
! public highways on the ground of their
+ being post-roads, but has occupied
and used streets in cities and
towns on the same ground, and,
most surprising of all, "even
the elevated railroads in New York city
have been claimed as post-roads, and
| the claim sustained" The State of New
| York has been unable to prevent the
Western Union from exercising this
| right under the act of Congress of 1866.
Yet the president of the company says
the benefits of that act are purely i'm
aginary," and denounces the reduction
| of government rates as a great injustice.
| The POstmaster-general is right. He de-
| sarvae the thanks of the people for his