The sun., 1897-12-05
RATES ON INDIAN SUPPLIES.
Secretary Blias Looking Into the Alleged Com I.
bine of Transportation Agents.

WASHINGTON. Dec. 4.-Secretary Bliss Ia look
ing into the system Of letting contracts for tho
transportation Of supplies for the Indians. He
said to-day that from what he already knew of
the subject he was OF the opinion that the work
could be done much more chcapy
1T struck me-" he said "simply as q busi-
moss proposition. being business man. that tho
rates for the transportation of the supplies
wero very high. An investigation showed that
the work was not being done by the railroads.
but by companies or individual contractors
who in turn Z on'racted with tho railroads. OF
which could be saved II the contract was made
direct wi tn the railroads. Now. what want OF
Congress is the privilege awarding this class OF
contracts as we award others, so that il we can
make better arrangements than are offered by
the lowest bidder we shall be at liberty to do so.
Under the law ut present we are compelled to
award tho contract 10 the lowest bidder. and,
as in some Instances there Is but one bidder, the
rates are sometimes very high
There has hecn for some time IA suspicion in
the Indian Office that there WAS u combination
or ring In connection with these contracts. The
Indian agents urc no longer In position 10 rob
their charges, and 10 ono suspects them nova.
Gays. Nor docs there appear to be any question
clothing food. and other provisions goes. These
are two well inspcct ed ut the Government depots
In New York and Chicago to permit inferior
goods 10 he isposcd OF to the Government. And
in these contracts the Government is addition
ally proiected by being able to 20 into the open
market. II necessary. and purchase supplies.
But the department is compelled TO lot the
TRANSFORMATION contracts 10 lhe lowest bidder,
and as Oftcntincs there is but ono bidder. that
one can get amy price no asks.
1t is thought likely that the transportation
companies have entered into some agreement
in order 10 secure the highest prices poss ihIe Tor
tho work. Tho railroads do not enter into tho
bidding. For this two reasons are assigned.
The first Is that they arc sure to get the carry
ing of the goods anyhow. and the trnnsporIa-
tion companies can throw considerable on aide
trade in their way. Tho other is lhnt the CON
tractors indemnify the railroads from loss by
fire or other accidents, and the road docs not
stand to losO anything. Besides there is al
ways more OF less cartlng to bc done. In
some cases the goods have TO he trans
ported = hundred miles from the near
est railroad station. To do this tho
costly train OF wagons and mules. and IL often
put 10 great expense. II Is said that the main
objection which the railroads have 10 taking tho
contracts Is thai in doing 50 they are engaged In
something like buying "a pig in u poke. That is
the cont rHctnr agrees to transport tho goods Mt
q certain figure. regardless OF their character
While ~ the rates shipment OF sugnr TO n
point in the far West might mean a large profit
the cons i.nmCnt Of tho same weight in feathers
would entail u corresponding loss. The buIkiur
the z gbuGa the grGa ter the profit.
1t isa question II tho Government could mako
nnytl.ug 10y attempting 10 OEcrscr the trans
portaiiOu OF the goods itself. but tho department
wishes 10 he allowed 10 exercise some discretion
in the matter. Under the present arrangement
the con raCtor for the goods is hound to deliver
them AT tho Indian warehouse at either New
York or Chicago At the depot the other con
tractor takes charge and delivers the goods
wherc, cr they are consigned Another ware
house is TO be established in Omaha.