Morning journal and courier., 1890-12-03
REAsoNABLE RATES.


The subject OF Judge Cooley,s Sec
ond Lecture-That Matter OF Local
Observation-Disclosures Transporta-
tion, etc.-verifying the Classifica-
elton Sheet.
The second of JudgeCooley's lectures was
given yesterday afternoon before large
audience. The speaker took up the act of
commerce regulations more in detail.
He confined himself chiefly with the clause
in the act to the effect that all charges
shall be reasonable and just. He spoke in
brief as follows This is refinement
rally of common law, though never before
expressed in this way.
The English system Of fixing rates,
which is in vogue is wholly inexplicable
in this country. There they first consider
whether road will be of public utility,
here we are willing to have them every
where, If any one will put them through.
The charter power in this country to the
railroads comes from the states them
selves, therefore this regulation would
have been utterly impossible from state
legislation.
When congress declares that all rates
shall be reasonable, the principle seems
| easy, but when we come to apply it there
| are many difficulties.
In the sections where state legislation
| has interfered it has been found most gen.
l orally that the rates were established by
l the railroad managers themselves. That
| they established what they considered
reasonable rates is perhaps true.
All railroads at frtt were created as
matters of mere local convenience. It
soon came to be an understood thing that
| these localities should have their interests
considered first of all, and this brought a
pressure upon the companies. The general
result was that all the time certain dis
ordinations were. creeping in, based on
this fact of locality which had the effect
of giving one man a great advantage over
| another. This did not strike the public as
strange anamoly or as being unjust.
This problem Of rates as it thus opens
| up was greatly complicated by the fact
| that the railroads had been accustomed,
unfortunately, to give free transporta-
ton. This was done, oftentimes, on the
grounds which the railroads to-day would
not care to defend.
The most glaring cases were when the
| officials of the country were given free
transportation, sometimes for even more
than their person. Yousand I pay for the
free transportation of those whom the rail-
roads carry without charge, therefore it is
part of our business. It is great mistake
when the railroad company comes out and
says to one who pays, we are only charg-
ing you a reasonable rate, therefore you
have no right to complain of free transpor-
tation.
Here the speaker went into lengthy
description of the process as ii had grown
up by which the railroad companies have
established their rate sheets. A railroad
company never undertakes to make rate
sheet which will specify each article, but
makes out a sheet wherein all articles are
| specified under different heads. Some ar
| ticles are transported at rates differing
| considerably from others, though making
no greater expense to the company in wear
| and tear. Whenever any property is TAX
| en- at rate lower than will bring in rea-
| sonable consideration, some other proper
| ty must be charged 80 as to make it up.
/ The time may come when all the wheat
from the extreme west will be brought to
| sea coast at fair cost, and it will be rea-
| sonable that some other articles be charged
| a higher rate to support it,
Is there any special wrong in this dis
elimination? Is it unjust that the mer-
chant who ships silks to various points
must contribute his share for somebody's
transportation Of cheap groceries,
Some Of the states have taken steps fol
classification. Even some of roads have
their own tables of rates, which makes 6
very complicated state Of confusion. When
the commission was created this diversity
of classification was one of the first things
it turned its attention to. They sought 6
vindication..
The railroad companies have seen the
| necessity of this course and have been in
dustriously working toward that end. Wher
a unified classification has been effected
then will there be disappearance of this
/ local discrimination