Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1891-07-19
WESTERN GRAIN.
Railroads Endeavoring to Correct tho
Abuse of Privileges.

Abuse of Privileges.
| For many months the grain situation at
Kansas City has been a source of annoy
ance and perpleXity to railroad men gener-
| ally. as the shippers took advantage of
| privileges allowed them by the railroads to
forward grain east or south under cover of
| expense bills of Western roads, by which
| means they were enabled to obtain the
benefit of the proportions of Eastern roads
| on grain originating in North Pacific terri
| tory. when it really originated in Kansas
and Nebraska, and after laying in Kansas
City several weeks was forwarded under
the original expense bill by which the pro-
portion of the through rate paid the East
ern roads because the local rate out of
Kansas City. At the meeting Of the gen.
eral managers in Chicago, the eff
fort was made to keep the action
of the meeting secret, but it has finally
leaked out. Chairman NIidgley submitted
his report. and the Chicago Times says:
The report recites that the evil began with
the harvest of 1SSS, when, to favor Kansas
City dealers, grain was allowed to stop
there and be reshipped within ten days at
proportions of through rates. In order to
protect the revenues of lines west of the,
Missouri river, they were to charge local
rates and thereafter reduce to their proper
tions of the through rates on certificate of a
joint agent that the grain had been for
warded as originally consigned. The joint
agent was appointed, Mr.. Midgley says,
but the checks did not suffice, owing to the
disposition shown by certain lines to re-
spect or ignore the JOINT agent, as their con-
venience seemed to dictate, and after
year the Office was discontinued.
Meanwhile other complications arose.
The practice of accepting east or south of
Kansas City the balance of the through
rate after allowing Transmissouri lines
their local charges became general. 1t
originated with an unwillingneSS on the
part of roads having rails east and west of
the Missouri to maintain divisions of
through rates with their competitors east
of the river In the meantime the limit of
the stop-over was extended to thirty days,
and finally to six months. Kansas City
shippers We're quick to discover the lowest
proportions allowed east or south of Kansas
City. and enough expense bills of lines west
were usually obtained upon which to for
ward at low proportions the grain they de-
sired to ship east or southeast Expense
bills covering shipments of wheat from
North Pacific territory We're used to for
ward to the East grain that originated in,
Kansas or Southern Nebraska. Another
abuse resulted from the facility with which
shippers were enabled to forward large
amounts of excess tonnage But the fea-
ture constituting the greatest abuse, con-
tinues the report was the extent to which
excess tonnage has been allowed on elevator
shipments. Instances could be cited
wherein the weights shown on
Western expense bills were raised
10000 porlnds and upwards per car
Expense bills were sold without reference
to the grain they We're supposed to cover.
No check was kept on the devices adopted
to obtain reduced rates, and no concerted
measures are now in force to prevent ir-
Irregularities. Expense bills covering ship
mentS placed on team tracks at Kansas City
and manifestly consumed there were used
to forward shipments. Another and more
hagrant wrong is to apply on shipments
proportions applicable on grain from re-
mote Western points.
Mr.. Midgley observes that the only way
to insure proper charges is to withdraw thes
transit arrangement. but as the railroad
companies are unwilling to do this the COM
mittee deems it expedlent to adopt such
safeguards as will minimize the evil. It
therefore recommended the appointment of |
joint agent, with full powers to control |
the stop-over privilege.
The report was adopted by the general |
managers, together with the following res
olutlon:
Resolved, that the foregoing recommends
tons be adopted and be made effective when /
they shall have been approved by the sew /
eral lines terminating at Southwestern |
Missouri river points and thereafter con-
tinue in force for six months provided that /
the Chicago, St Paul and Kansas City rail- |
way reserve the right to withdraw there /
from on the expiration Of ten days after
notice to that effect shall have been given in
writing; that, in the event of such notice
being given, other parties shall have the
right simultaneously to withdraw from the |
Agreement; it being understood that if no.
ice be given by the Chicago, ST. Paul and
Kansas City railway, as hereinbefore de-
'cribed, meeting of the other parties |
hereto will be convened as soon as practica-a3
Die to consider the effect of such notice.
The approval of the Missouri Pacific and
he Memphis was obtained by wire. and it
made the action Of the roads in the Western
erritory unanimous. The Maple Leaf took
Exceptions to the report, but finally con-
ented to its adoption on the condition that |
could withdraw as provided in the reso-
ution- Tho Transmissouri association
laving approved the plan, it only remains
or the Southwestern association to adopt |
he report to make the action unanimous. 4