The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-05-25

H. Reagan, of Texas chairman reported as
follows, after suggesting that the Inter-
State-commerce Commission be empowered
TO make regulate and maintain rates on
interstate shipments of freight:
Il nave believed, and do believe, that the
pooling of freights and divisions of earnings
could be authorized by law and so regulated
as TO prevent, TO a large extent II not en-
tirely, railroad wars and unjust discrtmina-
tons in freight rates, with advantage both
to the railroads and to shippers.
A separate report by Mr.. Lappe, OF the
Illinois Railway Commission. said of pool
ing: 1t would be a great beneht to
the entire public well as the railroads.
In the same report he further said:
Il therefore give it as my opinion that a
law should be passed legaliZing the pooling
OF freight earnings by railroad companies
under the inspection ana approval OF the
Interstate-commerce Commission. Because
it would protect the weaker lines, protect
railroad property as q whole, protect the
smaller shipper as against unfair adNan-
tages possessed by the larger shipper and
road service for both freight and pasSen-
gers and, in addition to all these adVan-
tages, the working classes would unques-
tionably be benefited to a great extent.
No objection was offered to these reports
The committee on government ownership
control and regulation of railways reported
to the same convention without dissent:
Congress must legaliZe pooling in order 70
make it an effactual remedy for rate wars.
The National Board of Trade twice rec
commended such legislation. All these ludg-
ments received the approval OF the House
of Representatives in the ntty-thlfd CON
gress by q majority of f1fty-siX, ana the
Senate committee on commerce reported the
bill favorably at the same session.
EXPERIENCES ABROAD.
AS to experiences abroad Mr.. Acworth,
of London said in the New York indie
pendent in October 1892:
Certain it is that rate cutting has been
practically put an end to by an understand
ing between the companies which, like IN
ternational law, has no sanction behind 1t
except the agreement of the high contract
ing parties over a considerable
part of England the traffic is pooled.
Some of these pools are subject TO re-
vision every ten years, others, L pelleNe, 10
be agreements in perpetuity, but in this lat
ter case they are perhaps more Oh the
nature of partitions of territory than trafhc
pools" He also said in the same article;
ITO pools, properly so called, there does
not seem to be any popular objection; in
deed, within the last year the TWO great
Scotch companies, the North Brltlsh ana
the Caledonian, have agreed TO Il twenty
five years pool of their traffic, and thouS II
there was a good deal OF oppoSltloh IN
Glasgow when it was nrst ammo ~ Haii e.t3S,;
traders have confessed that they were
mistaken and that none of the his Wnlcn
the fact is, the public see what looks IKE
competition going on all around them. AS
traders they see the canvassers OF the
different companies coming TO them, nat III
hand and begging for traffic, promising a
later departure, more careful handling and
more prompt delivery-it may pc more
generous settlement of claims. AS pas
SengerS, they see the companies .NSlHS
with one another in improvements IN ac-
cOmmodation, In frequency OF service or III
creased speed, as well as in a score OF de-
tails which make up the comforts Oh pas
senger travel. Accordingly When the
theorist comes along with MS assurance
that competition is extinct and that pools
have done the mischief they are apt 70
shrug their shoulders and take not much
notice." , 49,. :,
one feature of American railway rates IS
too often forgotten. 1t would appear tnllt
they are usually made arnltr2Tlly anu al az .
excessive, whereas it is beneVed thal' aaluG
from the reduced tariffs due TO natural
competitive forces, and the changes
wrought in local rates by the long-and-
shorthand clause of the interstate act, 80
per cent. of all other rates nave Deen re
duced to their present low basis by CONFER
ence discussion. trial, change and ultimate
agreement between the large proauctlolii
and consuming interests Of the country anu
the railways, so that the interstate rates
now published and filed substantially meet
ALI the requirements of powerful compeu-
ton and of the law and have the pupilc APP
prevail. AT all events, no appTeclaple per
centage of the rates are complained OF on
that score Secret and preferential reduc-
tions from such rates should, therefore, the
more promptly cease yet whlle aS iaaia
lature there should also be closer super
vision of railway management by railway
financiers, owners and ofncers.
AMERICAN CONDITIONS.
While many of the difficulties which en-
barrass the railways could be corrected by
the sterling good faith which characterizes
the management of English railways, the
equality of their lines in distance and ia
cilities, their short distances and dense
traffic all make it easier to maintain their
rates on faith, yet they have had their pc
RODS of distrust and wrong. The dissimi-
larities in our conditions, the vast extent
of our country, our long railway distances
and extended systems, the greater dlner-
ences in the facilities and strength of
American railways and the strong rivalries
of interior and exterior water carriers, ETC.,
require that good faith be supplemented
here by legislative sanction and safe
guards.
In the case of the Omaha Board of Trade
against various railways, Judge Cooley
said. with wisdom
IF a rate when made by one company as
a. single rate would in law be Objectionable
eral as Joint rate. The policy of the law
and the convenience of business favor the
making. of joint rates, and the more COM
pietey the whole railroad system of the
country can be treated as a unit, as If it
were all under one management, the great
er will be the benefit of it's service to the
public and the less the liability to unfair
eXactionS"
This is all the most perfect pool could do
The foreign railway rate and pool policy
accords with his utterance, and these ar
ticles will conclude with that review.
GEORGE r. BLANCHARD.