Kansas City daily journal., 1897-01-31
OFFICIALS MAKE STATEMENTS.
MANY MILES OF ROADBED HAVE AL
READY BEEN ABANDONED.
Action of the Memphis Causes n Cut
in Corn Rates TO the Southeast,
Interior and Coast Points
Other Railway News
of Interest.

The roads represented were: Rock Island,
General Solicitor Lowe: Santa Fe Solici-
tor A. A. Hurd; Missouri Pacific, Solicitor
Bale Waggener; San Francisco. Solicitor
J. Willis Gleed: Union Pacific. Attorney n.
II. Loomis: Wichita & Western, Attorney
i. II. Bentley. The hearing took place in
the old supreme court room.
Each of the representatives presented a
different line of argument to show that no
radical legislation should be enacted
against Kansas railroads; that none of
them was making money now, and that
the passage of a maximum freight rate
bill would mean the wholesale abandon
ment OF branch lines and probable reduc-
tion in wages of employees. These state
ments were not made in the nature of a
threat; they were simply made in expIana-
ton of the true situation in reference to
the present deplorable condition of Kansas
railroads.
Mr.. Lowe. of the Rock Island, was the
first to speak. He took up the Iowa
freight rate law and showed that il had not
benefited the Iowa farmers to any extent
He presented some figures on freight rates
which showed that the farmers of Kansas
pay less freight, by 20 TO % per cent TO get
their products to a market than do the
farmers of Iowa. The comparisons were
based on the markets of Chicago and Kan
sas City. Chicago is the great market for
Iowa products, while Kansas City is the
natural market for Kansas products
Marine. Ia. is Az miles from Chicago and
the freight rates are: Corn. II cents
wheat, % cents; cattle. thirty foot car,
S5l.70. Ruleton, Kas. is just Az miles from
Kansas City, the same distance Marine is
from Chicago. and the freight rates are:
Corn, Is cents; wheat, II cents; cattle.
thirty foot car. SI5. This shows a difference
of cents on corn, cents on wheat, and
$50 on car of cattle in favor of the Kan
sas farmer. The table prepared by Mr.
Lowe gave comparisons between seventy
five towns in Kansas and Iowa, and in ev-
cry instance the Kansas rate was aboul as
much lower than the Iowa rate as in the
case detailed above.
Mr. Waggener, of the Missouri Pacific
bsld that this legislature could do more
thah any other agency to restore conf
dence in Kansas by the adoption of a con-
SerNAtiNe course. THE railroads of KAN
sas have made no money for years" said
he. They are just as poor as the people
ENACT maximum freight rate Dill cutting
DOWN the present freight rates one-third
and the result will be that, in order TO make
up for this big decrease in earnings, wages
viii have to be reduced radically, branch
lines VIII have TO be abandoned, and the
through freight rates to the seaboard towns
win have TO be raised. This is not made as
q threat: II Is the only possible way out for
the roads. The Western lines are now en-
gagged in struggle to divert all freight
shipments to the Gulf The Eastern lines
win the tight, which now looks likely, the
Transportation question will be settled
am In favor of rigid law against discrim-
tnation. This j think would be of more
benefit to the shippers than a maximum
freight rate law. Any law the Kansas leg
islature could pass would not affect over
10 per cent Of the freight business, as the
state has no market and shipments are
made to other markets in other states
which bring the matter under control of
the interstate commerce commission
Mr.. Hurd, of the Santa Fe, presented this
tut Al
by reason of a gradual reduction in rates
from 1882 to 1896:
Tons houled year ending June 30,
Tons hauled one mile during ''0'''-O
year ending June 60, 1S96........ ,42l .693 81
Total earnings S14, ,6l2 0jS. y
Fsis Rsts per per tSR lon per per mile in as s
Amount which would have been
received In year ending June 90.
1895, from rates of 1852. so. .52S 5S. 10
Loss 10 railroad resulting from
decrease In rates. SlI .9i6. .299.
Mr.. Hurd said that the Impoverished con-
dition Of the railroads in the state was
due almost entirely TO the gradual reduc-
tion of freight rates. On account of COM
petition and orders of the railroad commits
siCEers reductions have been made almost
annually and while an inexperienced per-
son In the railroad business would not re-
gard the reductions as amounting to much
yet had the Santa Fe company received the
same rates for the year 1896 that 1t did for
the year 1852, the earnings would have
shown an increase of over seventeen mill
ion dollars for the year. Mr.. Hurd also
said that the most rigid economy was be-
Ing practiced by his company, and yet II
required from 65 to 20 per cent of the
gross earnings TO pay the running eX-
penses and taxes.
MI. Gleed of the Frisco, presented some
facts and figures that viii certainly have
much weight with the committee in its
consideration of the freight rate question.
Two hundred miles of road have already
been abandoned" said he, ''and IL an in
equitable freight rate law is enacted there
will be many times this amount cut off.
am endeavoring TO have the operation of
the Anthony branch resumed. and hope TO
succeed. but IL will be impossible to do 50
If maximum freight rate bill is passed.
So FAR, ! cannot even get anybody to take
the road and operate II for the earnings.
Many Of the branch lines are now on the
ragged edge OF abandonment and a maxi
mum law would simply bring the collapse
Immediately. They are now hanging on
Will. q hope that times will pick up and
earnings increase. OF the twcnty-SiX roads
in Kansas. fourteen are exclusively Kan
sas lines, chartered under the laws of the
state and subject to the absolute control
of the Kansas board of railway commits
sioners. The report of the board just is
sued shows that for the year ending June
80. 1896 the gross earnings OF an these
lines combined amounted to only $500.
above the operating expenses and taxes
These roads represent about forty million
dollars. and yet they only had $4,000 ia
Hrply on the interest account: The abau'
donment of these lines would greatly IN
convenience the farmers, as well as cause
Eastern capitalists 10 lose enormous sums
Mr. BENTLEY of the Wichita e. Western
spoke on the same line as Mr.. Gleed witt
reference 10 branch lines. He said max
imum rate law would simply drive al
small lines ont OF business, and wouls
work hardship on the shipper Instead o
bcneftinE him.
Mr. Loomis, Of the Union Pacific, wa
OF tho opinion that the powers of the rail
road board should not be enlarged 10 tn
extent suggested in some of the bills in
troduced The roads have almost invar
iably followed the orders of the board II
the reduction of rates. and would continu
TO do so.
The railroad representatives. when asket
81 they had anything TO say regarding tn
hill TO fix passenger rates at cents ;
mile, indicated that they considered tina
movement more as a joke than as 4 Sc
rtous proposition. 1T costs us II cents
mile now 10 haul passenger, and We don
believe that the legislature viii even Civ
the matter serious consideration" was tn
way they expressed II. why. don't yot
know said Mr.. Waggener. Il rode fort,
miles the other day on a Central Branc
passenger train and was the only passen
ger. ana I carried pass. That was no
very proiita BILE" The representative
claimed that in Eastern states where trav
el was enormous, there was no such a rate
and they did not think II necessary even I
discuss the matter 10 kill . bill for 2-cen
rate In Kansas.
Chairman Brown, of the house railroa
committee, stated to-day that his commit
tee would listen to the arguments OF tn
railroad representatives, next Tuesda
night.
In the afternoon the representatives @
the express companies and sleeping ca
companies were given a hearing on pend
finish this hearing and postponed IN rInt
Tuesday night.
Chairman Harris tonight stated that a
he was no prophet he could not tell Wha
the committee would do concerning prC
posed legislation he hopes, however, ths