The record-union., 1892-12-06

l'tAA A5CA "a A-At N~CA@NAASAStA1
Which Railroads are Operated
Here and at the East Rates for
Transportation of Passengers and
Freight Found to be Equitable.
We present herewith the report of Ex
pert Morgan to the Railroad Commission,
upon which some of the San Francisco
press have commented with so much bit
terness.
\ perusal of the report Will enable our
readers to form their own judgments
concerning the document, and conclude
whether Colonel Morgan's report has
been given by the San Francisco press
that consideration and truthful repre-
sentation such a public document de-
serves.
The report in full would make six
columns Of the RECoRD-UNIoN. Lengthy
articles not being so much read as briefer
ones, we have, where it does no injury
to the document synopsized portions of
the report, but have stricken out or
omitted not single thought, statement,
recitation of fact or conclusion drawn.
Whenever synoptical form supplants the
text the fact is clearly indicated. Several
Of the sub-headings we have introduced.
THE INTRODUCTORY STATEMENTS.
Colonel Morgan introduces his report
by recalling the fact of his employment
by the board to examine and report in
respect to what would be just and
equitable rates of freights and fares, talk
ing into account operating expenses and
all other matters OF general import bear
ing thereon and affecting the operations
OF railroads in this State?''
He then recounts that for such report
and reasonably accurate conclusions data
acquired by personal observation and
knowledge of physical conditions affect
ing railroads and their business is essen
tIal. This data he had supplemented by
1acts as TO rates and fares, expenses, etc..
from twenty-three railroad companies in
the State.
He personally examined the property
OF the companies and investigated care
fully the rates, conditions affecting
operation Of practically all the railroads
IL the State, and traversed all the prin-
cipal water lines OF transit.
lie adds that the data are so numerous
and extensive that to present the matter
clearly he has adopted as much of method
as was practicable, avoiding extreme
minutal and useless precision and state
lnents too comprehensive. lie concludes
his introduction by saying that the report
has been prepared in consciousness of the
complete character of the subject, the
importance OF accurate conclusions and of
the truth underlying them.
He found il necessary, from an expert
ence OF many years in such work, to
study the physical characteristics and re-
sources of this and the adjacent States
the immediate and prospective gross
4
maintaining its railways. He adds that
he has examined into and reported on
many other systems Of railways in the
United States, in varying degrees
analogous in some Of their conditions to
the railroads in California, and again
others which are merely similar.
AS full and lust comparisons as need
ful and feasible have been made with
other roads and systems, but none have
been found which are really analogous in
many of their conditions to those in
California. The latest and highest au-
thoriies on essential matters he also care
fully studied, and every available fact or
factor leading to sound conclusions.
COMPARISON OF CONDITIONS AND RATES.
He adds that in comparing physical
conditions and rates especial care has
been exercised to do so III sufficient de-
tail; also, as far as practicable, the vary
ing conditions affecting them are pre-
sented that comparisons may be fairly
conclusive and not misleading as COM
parsons OF the mere figures of rates
necessarily are. The best method NV
which the reasonableness OF the railroad
rates of the State can be properly de-
termined is mainly by fair, Just and
equitable comparisons, taking into ac-
count all conditions which affect them,
and rates and conditions, past and pres
ent, in the United States at large and
States separately, and conditions of indi-
vidual railways.
1t will not be contended that the rates
in the country at large are, as a whole,
unreasOnably high and inequitable.
Those who are familiar with the history
of railway construction and tranSporta-
ton will remember that continuously
since the era of railways began the high
est intelligence and patriotism of the peo-
pie of the United States have been strenu-
ously engaged to establish reasonable
and equitable relations in this respect
between themselves and the railways,
and that in a remarkable degree those
highly beneficial relations have been ad-
justed from time to time, as the condi-
tions have changed. IL is conceded
that rates are now in many States as
permanently established as practicable
In addition to all Of the elements of the
cost of transportation; the tluctuation of
the prices of the markets, home and for
tlRus lue Cudll8luS cOnulllOnS OF the
country, and of its finance and COM
merce-properly exercise strong influence
IN determining the question of rates.
He holds that If in adjustments the
people have suffered injustice so have the
railroad companies. But the precedents
now existing in the older States. and the
information obtained by the States and
the General Government throw so much
light upon the question of railway rates
that intelligent and careful investigation
should prevent serious injustice or in
equity being done to the people or the
railway companies in the development of
comparatively new States. If the priuci-
pal factors at this time available are
fairly taken into account in considering
the railway problem OF this State, the con-
clusions ought TO be measurably fair and
satisfactory, but requiring adjustment
from time to time to meet changing con-
dltions.
PHYSICAL CHARACTERISTICS OF CALI
FoRNIA.
California embraces two grand and nu-
merOus lesser valleys and ocean table
lands, all of marvellous prOductiveness.
They are surrounded by vast and lofty
mountain ranges; broad zones of arabic
foothills rise from the valleys and table
lands to the line of unproductive alti-
tude. In the southeasterly portion there
Is an arid region of comparatively great
magnitude. san Francisco Bay, euui-
distant from the north and south bound
airy, is the entrepot for commercial ex-
changes with the world.
The State has l55,0O0 square miles.
which have been classed as follows:
Square miles,
kalteN 900
= 600
Desert. ... s 600
COMPLEX NDITIoNs-PRoFITLEs MILE
AGE.
No State possibly, excepting Colorado,