The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-05-25
DETRIMENTAL QUESTION.
Galveston Again Seeks to Have II
Aunulled by the Commission.
THE TESTIMONY OF mr., JONES.
lie Wns ON the stand Nearly Al, nav.
In Porte Creditors Accept Hunt
tngton Hroposition.

Austin, Texas. May 2i--Beforc the rail
road commission this morning hearing Of
the application Of Galveston for reopen
ing OF the Houston Galveston difeerential
question, in connection with the proposi-
ton to reduce cotton rates. was begun, r.
j. Ballinger representing Galveston and
Colonel Hutchinson representing Houston
II; a. Jones. general freight agent CT the
Houston and Texas Central was placed on
the stand and explained the theory on
which rates from points west of Rosenberg
Junction TO Houston and Galveston are
made. Az to rates from Beaumont terrific.
ry, he said the Texas and New Orleans
had applied TO the commission to make
rae to Galveston TO meet the Gulf and in
terstate rate and ignore the Houston and
Galveston ditferential.
On shipments Of cotton from the interior
OF Texas to Liverpool via New Orleans
sent flat TO Houston. he said the through
rate would be the same as the rate via Gal
weston plus the insurance diffcrential
me rail lines proportion Of the rate WIS
the same via either outlet. namely, G5
cents per loo pounds No aiffercn,ial on
export cotton shipped via New Orleans eS-
cept the insurance diffcrentiul Denied
that the great bulk Of the cotton exported
from Texas was hauled fla, TO Houston
Rate from Houston to Liverpool and other
foreign ports was made by adding the local
rate to Galveston 10 the insurance differ
entail and the ocean rate Denied that the
Direct NAVIGATION company hauled cotton
from Houston TO Galveston for less than $
cents per 100 pounds. Had heard that the
cent rate included . cents paid for
Wharfage at Galveston, but did not know
that il did. Sugar rate from New orleans
TO Houston and Galveston was the same.
namely, % cents Said rate is based on
water competition to Galveston. Galveston
pays a differental over Houston on sugar
going out into the State. This Is because
conditions surrounding outgoing sugar are
not the same as prevail on sugar coming
In. Galveston does not get all It's sugar
from New orleans, The cotton diifercntial
was justified because Houston cotton going
out pays 3 cents more freight than Calves
ton cotton going out.
Would refuse a shipment OF cotton from
Houston to Liverpool via New Orleans II
the ocean rate out Of New Orleans was the
same as the ocean rate out of Galveston.
In answer to Captain Hutchinson. Mr.,
Jones said that cotton from Port Lavnca
could be delivered at Galveston as cheaply
as at Houston. The rail rate from Port
Iavaca is dictated by the water rate. Goa
ditions west Of Rosenberg and in Beau
mont territory were different from condi
lions prevailing anywhere else and affect
ed but very small proportion of the .o'
ton crop. No other fifty miles Of road in
the state enjoys the same exemptions from
existing rates as does the mileage between
Houston and Galveston. The difierenual
is not a creature OF the commission. Had
existed as long as he could remember.
Never lower than 10 cents until reduced
by the commission. With one exception
tower the Santa Fe) no shipment Of cotton
originating 100 miles or more from Houston
can reach Galveston without being sub
iected IN two or more line haul. Every
road originating cotton. except the santa
re. must pay division Of least cents
to get 1t to Galveston. If the dtfitrential
were abolished the railroads would get
cents less for hauling it TO Galveston than
to Houston
Recess until d. III.