The record-union., 1893-04-26
WHO ARE THE ENEMIES OF CALL
FORNIA2

The San Francisco Bulletin in recent
issues has INDUCED in startling head
lines, such as "The Southern Pacific. the
Enemy of California" Likewise the in
stitution, known as the Traffic Associa-
ton, and which appears to pull the
strings of the Chamber of Commerce of
the city of San Francisco. chiefly for the
1un of watching the jumping jack re-
spond, recently sent to the chamber
subject for discussion under the blood
curdling title, "The Conspiracy Against
the Freight Traffic of California
The reason for all this nervous agita-
ton is not far to seek. San Francisco
became gravely solicitous over the prop
osition of so adjusting freight rates that
the people of the State of California
would be obliged to buy in that city as
against purchasing in any of the COM
mon points-Marysville Stockton, San
Jose, Los Angeles or San Diego. They
organized the Traffic Association for the
purpose of regulating freights and fares,
not necessarily to reduce them, but to
regulate them in such way as that the
through rates to San Francisco from the
East when added to the local rates to in
terror points should be less than from
Eastern common points to intermediate
points in California. For Illustration:
Freight shipped from New York to San
Francisco and from San Francisco to
Fresno should reach Fresno by way of
San Francisco at less rate than freight
shipped directly to Fresno from New
York. This was the demand of the Traffic
Association from the outset. 1t was not
an effort to make the rates to and
from San Francisco less; it was
simply an effort to give San Francisco an
advantage as to rates. Mr.. Leeds plan
was to get control of the instrumental
ties of regulation in the State of Califor-
MIA, and therefore demanded of the Board
of Railroad Commissioners that it read
just the freight rates of California to suit
the requirements of San Francisco, and
maintain in that city supremacy in the
distribution of the commerce of this
coast. This statement of the fact simpli-
ies the whole question. Mr.. Leeds
proposition to amend the Constitution by
inserting a freight schedule grew out of
the fact that he was more familiar with
freight schedules than constitutional law.
Itfailed ofpassage ignominiously, because
it was grotesque and impracticable.
All the time, however, there has been
in San Francisco a party in favor of ap-
pealing to the ocean from overland trans
portation. This party has complained
of low freight rates from the East by
rail. What it desired was that the over
Land rates should be high, so that profit
able rate could be had for shipment by
sea. The failure of Mr.. Leeds Salt Lake
Railroad, his constitutional amendment
regulating freights and fares, his plan to
abolish the State Board of Railroad Com
missioners, furnished the party in San
Francisco III favor of carrying the entire
commerce of California by sea its golden
opportunity. If the commerce of the
coast entered and departed by the Golden
Gate, San Francisco's case was made,
and the interior would necessarily become
subject to it as the chief distributing
center of all the territory lying west of
the Rocky Mountains. Mr.. Leeds plan
having gone awry, the sea-going party
were listened to, and the Traffic Associa-
ton bent its energies to the establish
ment of a steamship line in connection
with the Panama Railroad. To guaran-
tee a permanency to this line the sum of
100000 was subscribed by the stock
holders of the line. Steamships were
rented, rates of transportation were estab-
lished, and the Office of the new trans
portation company opened for business.
This new transportation agency cele-
brated its inauguration by proposed re-
duction OF freight rates between San
Francisco and New York. Necessarily,
this competition left the overland roads
their choice between permitting freights
to move by the sea or continue by rail,
and the only way to meet lower rates is
by an offer of equally low or still lower
rates.
On the 25th of this month the Southern
Pacific Company enters upon the compe-
tition to which it has been challenged. 1t
makes the lowest rate between San Fran
cisco and New York on all classes of mer-
chandise and all lines of California pro-
ducts offered since the beginning of the
overland transportation era. To simplify
this statement, the North American Navi-
CATION Company proposes at low rates TO
carry the commerce between California
and the Atlantic seaboard, and the South
ern Pacific Company proposes to carry
that commerce at still lower rates. There
are two competitors in the market, each
soliciting business, and each offering to
perform a service for a compensation
named, and each vieing with the other as
to the cheapness of the service it pro-
poses to perform.
The Bulletin denounces this proceed
ing as one at enmity with California and
its interests, and yet this paper has de-
clared in unison with anti-railroad papers
generally that the freights have been too
high. Just as soon, however, as these
rates are lowered the true inwardness oi