Capital journal. (Salem, Or.) 1893-1895, 1893-09-06
FREIGHT RATES.
Action ofthe Southern Pacific to Head
off San Francisco Competition.
tEdItorial Correspondenee.l

CORVALLIS, Or, Sept. 6'-Special.-I
IL is a remarkable sight to see wagons
drawn by horses competing with direct
railroad communication. 1t savors Of |
return to the dark ages. Yet this is
being successfully done In Oregon to-
day. All freight over the Oregon Pa
cfic railroad for Eugene is hanled-by
wagon from Corvallis and both con-
signee and teamsters make money by
doing it. The eayuse is getting away
with the steam horse in Oregon. The
local freight rate via Albany is so high
it Is prohibitive. Oregon has railroads
but is not permitted the use of them.
How does this come about? That is
what JOURNAL representative started
In to investigate. Soon after the San
Francisco merchants excursion was
brought into Oregon by the present
managers of the Oregon Pacific railroad,
the Portland managers of the Southern
Pacific Co. advanced its freight rates
to head off all possible competition from
that source. Freight rates between
Portland and points in Southern Ore
gon, beginning with Eugene were ma
terially reduced. No one could object
to this. All business men adjust their
prices to meet new competition. But
this act was accompanied by advances
in freight rates between Eugene and
Portland of from 80 to go per cent. on
the old rates. Rates from Albany
north and south were advanced 30 that
the Oregon Pacific is shut out from all
shipments of merchandise, products,
grain and traffic generally. When it is
considered that three-fourths of the
business of the Southern Pacific in
Oregon is on it's lines in the William.
cite valley north of Eugene, it will ap-
pear that the people are asked to pay
dearly for the reductions to points in
Southern Oregon. Three-fourths of
the traffic is taxed from 80 to go per
cent. to head off q new competitive
element. There is not particle of
Justice in the proposition to tax one
section in order to hold trade in an
other. On the merchants goods and
the farmers grains in the great Will
annette valley, which the Southern Pa
cific has gridironed with its tracks,
should not be levied an extra tax in in
creased freight charges to hold back a
little trade going seaward over the Ore
gon Pacific. No argument is required
to show that if the old commission
PRODUCTION of new element of compe-
tition elsewhere does not render them
any less so. Yet the new commission
promulgates the advanced rates as just
and reasonable also, when they will take
hundreds of thousands of dollars an
nually out of the pockets of the people
in addition to what was already prima
facie proper freight charge. The CON-
doing the business of the Willamette
valley at loss. The rates were COM
pensatory. There was no showing
made to the commission or to the peo-
pie before asking this raise and it is
clearly in violation of the law of 1885
which made the existing rates just and
proper. The Oregon Pacific will not
stand it. 1t will ask full hearing be-
fore the commission. The people will
not stand it. The railroad company
made fatal mistake to ask any ad-
vance In rates when all farm products
are low and business is depressed. The
Oregon railroad commission acted has
tily in letting the raised rates go into
effect without compelling q hearing.
Uuless they undo their work, or can
show that it in necessary at time
when all services are rendered cheaper
instead Of dearer, the commission will
be held severely TO account If 1t is not
abolished altogether. The state of
Oregon will not stand to have competi-
tion throttled, its outlets for grain go
ing to the worlds markets closed up,
and sll possible extension of rail-
roads cut off by the unwise
action ofa board of railroad commits
sioners, who have evidently had the
real situation misrepresented to them,
and who have been led to sanction u
stupendous piece Of short-sighted and
suicidal corporation policy. The ad-
vanced freight rates cannot stand. The
fight against them is going to be made.
The people do not demand any crusade
against railroad property. But thew
demand that some regard be had for
those who are taxed to enrich the
KOhlers, Huntingtons, and Stanfords.
They are going to demand that they
have the full use of all the railroads
they now have at fair rates, and that
no competitor be shut out Of the field |
OF business In this state.
1t is q shame that in any state In the