The herald., 1895-09-14
THEY CINCH THE RAILROAD
Commissioner Stanton Secures the Pass.
age of His Resolution
Larue and Stanton For and Clark Against 1t.
Freight Rates Reduced Twenty
five Per Cent

SAN FRANCISCO. Sept. 3.-The Cali
fornia railroad commission today adopted
Commissioner Stanton's s resolution reduc-
ing the general freight rates on the South
ern Pacific on an average of % per cent.
On next Tuesday the work of preparing
new freight tariff schedule will be CON-
menced and the new rates put in focre as
soon as possible. The reduced grain rate
will probably be made operative at once.
THE business before us, said Chair.
man Larue, 'is DR.. Stanton's resolution.
1 have thought the matter over and have
few things to say about it. l refused TO
take the pledge exacted by the Democrat
ic party at the last state election to re.
duce the rates of the Southern Pacific 25
per cent. But now l do not think that
reduction excessive, and the Southern
Pacific has not given us a clear statement
of its affairs. l think this commission
should adop5 the reolsution. no matter
what the courts may do hereafter.
Il believe that the rates of freights and
fares in this state, AZ exaetedi by the
Southern Pacific company ever since its
organization and now, have been grossly
oppressive. This is known to every in
telligent man in the state and especially
to those who. like myself, have travelled
constantly and made large shipments
over their lines. / believe that the earn
ings of the Southern Pacific system in
California are sufficient to pay their oper-
ating expenses, maintenance and fair rate
of interest. The statements made and
the testimony taken during this investi
CATION by those connected with the COM
r..n arpif ho oaI Of nHc
of moving freight and other expenditures.
were indefinite, unsatisfactory and
evasive but from the information so OBJ
tanned | am of the opinion that a reduc-
ton OF 25 per cent, inclusive of the re-
ductions made since the first day of De-
Gem ber, 1894 will not be unjust or op-
pressive. For many years the shippers
of the state have heen subjected to extor.'
tion. Satisfied as | an now that such
reductions are legal and Just, L shall. not
wlthstanding my present vote, hold my
self in readiness TO change or restore any
rate which change of circumstances or
further evidence may convince me is un-
Just to the RAILROAD company. 1 fully
realize the fact that we owe not only a
duty to the people, but to the corporation
itself, ana stand prepared to perform
mine to either party whenever the oc-
casion may justify 1T.
Il therefore announce that upon DR..
Stantons resolution for a reduction of
25 per cent, L shall vote aye, and trust
that we may shortly be able to prepare
schedule and put these new rates in
force.
A vote was then taken on the resola-
ton, which was carried. Larue and
Stanton voted aye, Clark voting no.
WILL RESTRAIN THE COMMISSION.
Now that the railroad commissioners
have reduced the freight rates In this
state 25 per cent, the question what will
be rarlroad do about it is of interest.
1t will be many months before the COM
mission has it's new schedule of rates
ready to go into effect and it is st ated
that before that time has arri we'd the
railroad company will be ready to 90
into court and test the legality of the
railroad commissions action. w. f.
Herrin, chief counsel for the Southern
Pacific, was asked today what the COM
pany proposed to do. He said he was not
yet prepared to advise what action shuold
be taken. 1t is understood, however,
that the courts will be asked to restrain
the con- missioners from enforcing the
rates established on a showing that the
reduced rates would prevent the COM
pany from meeting its expenses.