Evening star. [volume] (Washington, D.C.) 1854-1972, 1890-03-04
POSTAL TELEGRAPH SERVICE.
MIR. Bates Argument in Favor Of Post
master General Wanamaker's Bill

Mr.. D. n. Bates of New York appeared be-
fore the House committee on post Offices and
post roads today in favor Of Postmaster General
Wanamaker's bill for the establishment of .
limited postal telegraph service. Mr.. Bates
stated that he represented . company Of gen.
| tlemen who we're prepared to build telegraph
lines provided the rates in the Postmaster Gen.
erals bill would be remunerative.
He had been thirty years In the telegraph
bushes, five Of which had been spent in the
government telegraph service. Mr.. Bates said
he would like TO correct some statements made
before the committee in opposition to the bill
by the representative Of the Western Union
telegraph company, DR.. Norvin Green. DR..
Green had stated before the committee, said
Mr.. Bates, that
THE BALTIMORE AND OHIO TELEGRAPH COMPANY
had started out to smash things and had done
so. In order to disprove these statements Mr..
Bates outlined Q history Of the Baltimore and
Ohio telegraph company, showing that the COM
pany had not been organized to last short
time, but had lived for q number Of years. As
to the charge by DIR. Green that the Baltimore
and Ohio telegraph company had nearly ruined
the Baltimore and Ohio railroad company, MIR.
Bates quoted figures to show that there was no
loss in the operation of the telegraph company.
or six months that the company
lived. DR.. Green's statement that the
Baltimore and Ohio railroad company
had been compelled to sell its cars and other
property MIR. Bates characterized as absurd.
DR.. Green. said Mr.. Bates, had stated that the
Western Union had not reduced its rates below
those of its competitors. This, he said, was o
mistake. The Western Union had one time re-
duced its rates on some lines below those of
the Baltimore and Ohio.
"On the Western Union proper?" asked DR..
Green, who was present.
'Yes, sir, answered Mr.. Bates
MIR. Bates said there were numbers Of tele-
graph offices situated in post offices in this
country where the postmasters were the opera
tors. These Offices numbered hundreds The
Offices as a rule were very small, but in these
ofhces he thought the best joint service could
be given.
AMERICAN AND EUROPEAN TELEGRAPH RATES.
MIR. Bates took up DIR. Green's statements in
turn and made remarks concerning them. Re-
gardlng the difference between American and
English telegraph rates he said that there was
an arrangement In force in Europe by which
messages OF ten words could be sent from points
In England to points in France, Belgium,
Holland and other European countries at a
uniform rate of 20 cents per message
OF ten words. He showed by means of figures
that the Western Union rate for distance of
QUO miles averaged 49 cents. This, he said,
was considerably in excess Of the European
rate. The accounts of the Baltimore and Ohio
offices showed that under the lower rates the
tendency was to longer messages
The Baltimore and Ohio had adopted a COM
mutation stamp system by which $40 worth of
stamps would entitle the holder to about S11
worth OF business. A slow postal telegraph sys-
had been adopted by the Baltimore and Ohio
also with much success.
THERE WAS DEMAND ON THE PART OF THE
for government telegraph service. The
Postmaster Generals bill satisfied all demands
and overcame all objections. 1t did not give
the government any sort of espionage over the
business OF whatever sort sent over Its lines,
MIR. Bates admitted that it would take a long
time to initiate the government clerks into the
mysteries OF telegraphing. But it would not
take longer than 1t would to master any other
technical work.
AS TO RATES.
uniform rate for the entire country would
be desirable, said Mr.. Bates, but was impracti-
cable. The rate he would suggest on the
basis OF the telegraph company doing all of
the service except collection and delivery and
including operators (nO other basis would be
feasble) would be, under 500 miles. Is cents;
above 500 miles and east of the Mississippi
70 or 30; west of the Mississippi, 25 or 80; be-
tween the eithty-fifth and one hundred and
q
maximum. So large q contract could not be
undertaken for a shorter period than ten years.
NO guarantee OF paying volume of business
wauld be required from the government In
fairness, however, the government should be
required at the expiration of the lease to re-
new it or buy the lines from the company.
Chairman Bingham inquired what induce
ment there was for a new company to under
take this contract at lower rates than those of
the Western Union.
MIR. Baker replied that the Western Union
had made 500, 900 in twenty years.
A LETTER FROM DIR. GREEN
At the conclusion of Mr.. Bates statement
the chairman read letter from Dr. Green, in
which he thanked the committee for the kind
ness shown him and expressed his confidence
in its fairness and impartiality He added
that he had been informed by an experienced
lawyer that his language on Saturday, coach
ing the committee, would bear Interpretation
as directing the committee, therefore he
wished to withdraw those words and substitute,
'urging the committee" which was all that he
meant to imply. The change was made and the
committee adjourned.
DAIRY LUNCH ROOMS,