New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-02-02
TO REGULATE COAL PRICES.
A DRASTIC MEASURE PRESENTED TO THE
SENATE
THE COMMITTEE TO INVESTIGATE THE READ
ING COMBINE" DECIDES THAT STATE con-
IHDL OF THE COAL TRADE is NEC'
ESSARY 10 pEOTECT CONSUMERS.

traou rify HrGULAn CORRESPONDENT OF INV '''boHh'
Albany. Feb I.-Senator Mcmahon. chairman OF
the committee appointed by tho >e3ate last year 10
investigate the "Cool Trust" today submitted his re-
por; With The report the committee submitted a b.lI
drawn I'D by Daniel c. Griffin It's counsel. The Oil
Is u most radical II substantially creates state
Commission with power TO saw what shall be the pIlce
of anthracite In The state OF Ncw(ork. ana "ha
the price for transportation from the coal fields Of
Pennsylvania to the villages and cities OF Ncw'fork.
Few more radical measures have ever been SUBMITTED
10 the Legislature. The senate dealt With the measure
also In an astonishing manner Al Senator McMahons
request the bill Immediately ordered 10 secona
and then TO third reading. The act says:
sescn lon and after September l. 1893 It shall 90
unlawful First-For any person not having Vo"i
carriers license" IN this act provided TO transport
anthracite coal which Is offended for consumption In u
stase on a railroad the navgable waters or cahA'
therein; secondFor any person n6t having "coal d'a
e.'s license" as In this provided to engage III he
BUSINESS Of selling anthracite coal which IS IN thc Sac
and intended for consumption therein
Sec 2-The license, provided this act shall be
known respectively local carriers license ana
"coal dealers license" local carriers hcehsc sh'H
outhorIze the owner thereof transport anthracite COAL
which Intended consumption In the state ACCORD
Ing to said license railroads the naveabe waters
and the canals prescribed In said license ana IL ''a
prescribe the maximum prices per ton per ME IL sho"
h. lawful for the licensee demand receive for trans
portipc the different grades OF such coal on such ia
roads navigable waters and canals. "coal dealers
license" shall authorize the owner thereof 70 engage IN inc
busncss OF selling anthracite coal which Is IN the stare
and intended consumption therein. according TO sad
license and shol prescribe the maximum prices 1t snail
no lawful for tho censce demand receive for the
Different grades Of such coal exclusive OF the prices io
delivering the same the places where the Iicensee may
transact the business authorized by his license and that
the licensee shall on demand deliver the coal sold by
him IN purchaser thereof without charge such de-
livery at place IN the Suite where said coal may be
stored ut the time OF its sale.
In section authority Is conferred upon The state
Railroad Commission to fix the maximum prices for
the sale and transportation OF the coal section
says:
Sec 4-The provisions Of licenses In pursuance OF
this act with respect maximum prices Tor the trans
portaon anthracite COAL as herenb"iore pro-
yde shall b. in accordance with the prior determination
O: the Board Railroad Commissioners based on Its in
vestigations herein provided oil the matters
affecting such prices and such prices shall be SO ad
Justed as not to with and as to afford only
reasonable compensation for such coal Detoie IL 10 e
and for the services and capital necessarily employer and
expenses necessarily incurred In its pIo1uctoh' usVor'
taon handling storage and sale and so "a not TO confer
on any censee an advantage over any other
license, in pursuance OF this act.
In section 9 there is a provision that the state
Ioard OF Railroad Commissioners shall meet every
three months and arrange the price OF coal and the
price OF its transportation. The BILL says
The Bosrd shall meet regularly least every three
months at such times places may designate Ia it
rules consider and act on the subject OF prices Pr
yided IN the licenses may have issued and TO transact
any other business under this act.
Determinations Of the Board OF RAILROAD
shall be written and filed In its Office together VIA inc
evidence on such determinations may be maa" anu
any person applying therefor shall be entitled TO cerhed
copies determinations and evidence on paS"s e
actual for making such copies.
Determinations Of the Board Of Railroad Commissioners
may DO reviewed by writ Of cerorar ana the existing
provisions and rules Of the courts rcauns 70 saa
arfh
INA ROAD ~ Railroad Commissioners Is authorized ann
arectd 70 fehear and matter previously
hoard and determine by IT In ACCORDANCE WIN .'e ~
order or decision made on writ oil ceftiofa''.
said Board may DO party, ana 70 aaop' a"0 o"o'e 80
n. and rguatIons consistent with this act as may
deem ussful for the enforcement thereof.
The testimony taken before the committee was
reported in full and was gathered from all praic"c
Of the coal business including production trspora
fion iobbing whoesallng, retailing ana 'faae report
ing II presents the evidence Of representative men
In all these departments well as that OF thosc u-
rectly concerned in the investigation that gave rs'
10 the INQUIRY The report reviews the circumstances
leading ND to the Reading combination, describes the
oneratiops OF the roads which were In the "comthe
and saws the amount Of coal controlled BY 'hesc sew
emil companies aggregates about 10 per cent OIL t'o
en,ire tonnage annually brought to tide water Inc
coal regions covered by this combination OF trahspora-
t,on and producing COMPANIES the only source OF
supply OF anthracite coal for the state OF New ioik
sf ;ao.d nracticallv the entire country. The
roads thus far involved directly or indirectly IN tue
combination mainly foreign corporauohs' anu
carry on th.r operations without the state OF Now
York. with the exception Of the Delaware Lacka"ahha
s,A Western the Lehigh Valley the Central Railroad
n, New.Jersey and the Philadelphia, Reading ana
N.u,rnplond The committee reviews briefly the
testimony taken before 1t and comes 10 these concu
sions -
Thu, the consolidation Of railroad ard coal producing
fhA nAaf
companies herein described ana known ~ INC Neau"'
compilation has created substantial monopoly OF anhra
. .o.l IN the management the Phadephia and Read
ing Railroad Company -
Ths. the roads involved substantially parallel anc
the mines controlled by them the source Of the arzes
supply and competitors In the coai onshess un"
thL. combination was formed
That the most and obvious beneft TO be derived
nv them from consolidation Increase In the pcc OF coal
That the price Of coal may in the interest OF the com
bnsoa and OF its pleasure, be ADVANCED 70 I'LL uhfcaso
able and cxtortlonate rate
That since the combination was formed, material 40
yanccs 10 price Of coal have been made ana othels ar
threatened.
branch Of the business and due 30 natura
auctuauon In the value OF the commodity, but are tn
direct result OF the policy OF the Reading combination am
the partial Of by the competition III 'he ousi
ness Of coal production and transportation
That such combinations opposed 10 the spirit oil TN
law 10 fcrcbly declared in the decisions OF the hehes
courts Of this and other States ~ well as OF Eneaa
whose Institutions might be thought 70 encourage suo
conditions far than own.
Your committee rcafrns the view expressed IN thei
former reports that The combination herein dcscfoc
IL contrary public policy and dangerous TO the ihfes'
Of the State the welfare OF its people.
lis to be noted that little II any. advance has thu
far been made In that Of anthracite coal which enter
lS.gey into competition with the bituminous pfoauet
and II is suggested IN the testimony that any ADVANCE
I'D ,rteular sze or general advance beyond certa
iimits would result the introduction into general US
Of beuminous coal.
This IL is believed. would be for the city OF New'fof
unhic calamity and bring At to the unfortunate cohd
,,nn acans which some interior and Western cite
aye now con,ending 1t IL needless TO pont out to an
ous who 10 familiar With present condition OF the cite
referred 70 how great would be The discomfort 70 IN
son,e Of tho city OF NcwYork and how irremcdaoe h
damage To It's business ami It's commerce. should the sun