Fairhaven herald. [volume] (Fairhaven, Wash.) 1890-????, 1891-08-01
A REDUCTION OF RATES
The Northern Pacific and I'm
ion Pacific Make a Re-
duction of Rates
The Railroads Claim They Will
Lose Six Hundred Thou
sand Dollars
They Believe That the Farm
ers Will Be Satisfied
With New Tariff

With New Tariff
PORTLAND, July 3l-Speaking about
the reduction in rates on the Northern
and Union Pacific, James G. Wood
ward, assistant TO Assistant General
Traffic Manager Campbell OF the
Union Pacific said today: "This reduc-
tion has been contemplated ever since
last season. Delay was caused by a
difference Of opinion regarding the
amount OF reduction the roads could
afford to make. We handled about
100000 bushels of grain last year and,
as is well known, that commodity con
stitutes the bone and sinew of our
business, and this reduction OF IS cents
per ton means loss to the Union
Pacific of at least $500, 900 this year.
baslng that estimate on the prospec-
tive Increase in the output this year
over last"
! The Northern Paciic's estimated
loss will be about the same as the
Union Paciiic's, or probably little
more, SO that a conservative estimate
places the combined sum at nearly
100000. The railroad companies
found the task of arriving at the
amount Of reduction very dinicult one
and their only method OF finding IA
basis was to figure receipts at the old
rates with expense accounts. They
| sl la i'm n ha.
not be effected, and believe that farm
ers will be satisfied with the new rates
AT least it is not anticipated that an
extra sssiOn Of the Washington lcgis-
| lature will now be called for % reduce
them further by legal enactment.
"The only effect il can have" said
Caesar, the commission man, "will be
To benefit the farmers. As IL is a
uniform agreement between the two
roads il will not divert traffic from its
regular channels, and the same
amount of wheat will pass through
Portland as If the reduction had not
been made. Liverpool regulates wheat
| prices, and thOses prices are modified
10y railroad rates. Now that the lat
ter are lowered the farmer will get
the difference
Manager Burns Of Balfour, Guthrie
| x Co., entertained "A similar view and
is not Of the opinion that the farmers
Of Washington will make any immedi-
ate fight for further reduction, al
though they may not he thoroughly
satisfied with the new rate.
Henry Everding, wholesale feed and
mill-stulf dealer, said: "The change in
rates on our line OF goods will have no
marked effect on Portland, as eastern
sections OF the Northwest consume
about all Of their manufactured pro.
ducts"
When Theodore b. Wilcox. manager
Of the Portland FIGURING Mills, was
asked as to the effect of the readjust-
ment OF wheat rates from east Of the
Cascades, he showed no hesitation in
speaking. 1--WE have expected this re-
duction for some time, :" said he, "and
the benefit will go wholly TO the farm
ers. The statement that the loss Of
the two railroads will be 100000
through this reduction is absurd. The
export of wheat last year from Eastern
Oregon and Washington was 100000
tons. 1t may have been more. H. is
stated that this years yield will be
larger than that. Suppose 1t were
4JO, go or say 10000. Now the reduc-
tion is 75 cents per ton. In plain Eng
lish, 100000 multiplied by Is cents,
makes s375,O0 If Northern Pacific
officials say they lose nearly 100000,
and the Union that they lose 100000,
] do not see what they mean The ac-
tual loss is some 1925 900 short OF the
estimate. In this | don't consider
the export from Big Bend,
but IL would be one OF the
seven wonders il railroads lose $325,-
900 on outputs from that country. As
| understand IL, they claim they will
take In 100000 less than IL rates were
10 remain the same as heretofore. /
don't believe that special session Of
the Washington legislature will be
called 20 further reduce the rates.
What the legislature might do Is very
uncertain. The session would be very
expensive. The result Of their action
is very doubtful"
Secretary Tracy, OF the Paci iic Coast
elevator, said: at Is difficult to say
what the result will be, but | believe
IL will be found satisfactory. The
wheat crop cannot be figured out In
bushels now, and the Palouse country
is not yet out OF the woods.
The hot weather they have had did AN
immense amount OF damage, and
frosts following will do much greater
injury. The crop last year did not ex-
ceed 1900, 900 bushels, and how much
greater this years crop will be no man
on earth can say with any degree OF
certainty"