The sun. [volume] (New York [N.Y.]) 1833-1916, 1891-10-18
NORTHERN PACIFIC BEATEN,
nut IT GETS OFF WITH TWO THIRDS
OF IT'S SHARE OF THE SUBSIDY.

BUT IT GETS OFF WITH 1WO-IhAhDS
OF IT'S SHARE OF THE SUBSIDY.
IL II Only . Three Months Provisional Ar
r.nsenent and the Fight May 90 on Next
Janusry-The Southwestern Liaes Hops
to Establish . Penalty for Ofenders
which the Court win Recognize.
The ranscontlnc entail Association saved time
yesterday by adopting provisional apportton-
ment OF the Pacific Mail subsidy which shall be
effective for three months. Some time in Janu-
ary meeting will be called at which the old
Issue will be rcopened. and there may be Just
as much. or even more. antagonism than has
been exhibited during the past few days In
New York. It now appears TINT one reason for
holding the meeting hero was to be in easy
communication with the Pacific Mail Com
pany's officials. There was fear that some OF
the roads, like the Northern Pacific. might
threaten to back out OF the subsidy altogether.
and they might have to call upon the steam
ship company to help them out by tightening
the burden.
The Northern Pacific. as mentioned. de-
manded that 1t be relieved from paying its
proportion. reckoning on the tonnage OF the
business for Pacific coast points north OF San
Francisco Its reason was that the Pacific
Mail did not compete for such business. and
hence the subsidy did not benefit It. General
Traffic manager Hannaford held on to this no.
ton for three whole days. and It was only by
threats that he was brought around.
The outcome was that the other roads
agreed to lot the Northern Pacific of for about
two-thirds OF what 1t has been paying. Last
year 1t was taxed nearly 100000. and by the
new arrangement it will pay from $4,000 to
$4,000 The other roads will divide the $780,
ooO extra among thcm. They arrived at the
tho total east and west bound tonnage in and
out Of San Francisco and points south thereof.
out OF Upper Pseiic Coast points, Keeping tho
two estimates distinct. They will deduct one
sh % the the Pacific ss ws a
About Il per cent. out Of ioG per cont. which
taxed its proportion of the, San Francisco ton.
a as to sGsqn hs ys sls e baa
Francisco business it will not be taxed to any
extent the tn first But the
coast does not change: 50 that its
one-thirt. Instead Of standing IA pcr cent. it
will thcref1rTe PAX about 10 n er , cent Of the
M the
Pacific 20. Atchison IL. and the other roads
The Executive Committee Of the Southwest
ern Hallway and Steamship Association finish
tel. having disposed Of all the business on tho
docket. 1t devoted most Of its time consid-
erinR the question Of penalties for violations
Of the agreement The purpose Is to cstab-
llsh rules which will hold In q court OF law for
their enforcement. The chief trouble is that
tho law does not recognize the existence Of
railroad associations.
Each member OF tho Executive Committee
will draw up a code OF rules pertaining to
penalties and no will confer with the counsel
Of his company SO as to place 1t on legal
basis and mako binding contract such rs
can be enforced in a court Of justice. 1t was
the idea Of those present that the infection Of
the penalty should DO left to the Chairman.
subject to the privilege Of arbitration. The
arbitrators viii be disinterested parties select
ed In the usual way.
It's question Us to whether such decision
will hold in court but that is Just what the
Asmentioned yesterday, they. are determined
70 have forfeit put up by all the roads. and
the penalty will probably be in the thousands.
Other topics that came UP were rules for
limiting the issuance Of transportation, which
was referred to a special committee to confer
with other associations. distribution OF ex-
penses. keeping Of statistics. the establish
ment OF a general bureau for the weighing Of
carload freight. and violations OF the rules. As
for the last matter Chairman Faithorn went
over his regular budget Of evil doings. calling
the officials on to tho carpet one by one: but
the cases had all been dealt with weeks before
the meeting. and there was nothing for him to
do but preach sermon.