, 1896-07-24
'RA|LWA Y MAIL MATTER.
HOW THE GOVERNMENT HAS
BEEN LOSING THROUGH
THE PRACTICE.
1t is Rumored That Uncle Sam Is Max
ing Inquiries Into the Matter OF
Carrying Small Packages Which
Have Hitherto Gone by Express
Notes of the Rail.


Notes of the Rail.
A Washington dispatch says that the
government is now obtaining informa-
ton from all parts of the country,
through its inspectors an postmasters.
in regard to the handling by the rail-
way companies of mail that should. ac-
cording to the law, pass through the
p~ostofIice department.
The trouble. it is understood. was
first brought about through a special
committee of the Publishers associa-
ion making a deal with the express
companies by which all newspapers
would be transported by the express
companies at the rate of one-half a
cent cheaper per pound than the price
at which the government would han
lie them. Third Assistant Postmaster
General Craig met representatives of
the Publishers association. and
Thomas c. Plat and other express
magnates in New York city. As a re-
suit of that conference the third assist
ant postmaster general informed the
expresses companies that if they wanted
10 handle the newspapers at the re-
duced rate to go ahead and do it. as the
p~ostof!ice department actually lost
money in the transportation of that
class of business anyway.
One point, however, was overlooked.
The contracts made by the government
with the railroad companies for the
transportation OF the United States
mail generally have tour years to run,
and the compensation is based upon
the weight Of the mail, mileage and
ascertained that in most cases. ever II
the government did not handle the pa
pers, they would under the terms OF the
contracts have to pay the bills just the
anne until the time for another weigh
ing test arrived. The evenue derived
by railroads for carrying the United
States mail Is one of the best sources
of income they have. A number OF
lines that have no percentage contracts
with express companies operating on
their trains began to figure as to how
they could squeeze the express people
on account of the prospectively in
creased earnings to be derived from the
handling of the newspapers, and the
postoffice department in turn, began to
figure on ways and means to squeeze
both OF them.
The railway companies are going to
"R. r. B." mail, though the little post
Offices established by the railroad COM
panies on their W hook and the ex-
press companies are liable to have to
compete with the government, which
is contemplating the establishment of
a postal parcel express system on the
same basis as is in use in England.
When the present system was estab-
lished in Great Britain the value of
English express company shares drop
ped from c5 to CO a share. The post
masters at important points through
out the country are receiving circulars
asking for such information as would
indicate that the government was o n
templating a move of this kind. 1t is
also known that the inspectors OF the
postofiice department have received in
structions from the department at
taken by the railroad companies on the
notification sent out oy Postmaster
General Wilson.
1t is the opinion of he unbiased that
railroads should be made 70 pay post
age the same al other corporations.
The government. pays railways lib
orally for tie carrying of mail.
The new order means an immense
Increase in the pos.1l The
lev deal will meal a daily expendi-
t;re OF about $?10 to n Chicago rail
road company for the mail leaving the
general offices in that city daily, to say
nothing of the mail originating at the
division Offices on the system.
The daily mail of the several large
railroad traffic associations in that city
is immense. 1t will be directly affect
ed by the order, and will result in a
large curtailment of circular letters
and correspondence.