The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1898-12-02

t,ea, <,r,r,'-s'. Sonii'"ly dave 40 Al, I'm. !.
b,c. -, N.e sa' as economically as prAs,,r,,
L. ' . i.s operating expenses Ta,,',,
't.hes Deen as rea.onaIoie an, - 's'S az o.
10 tney could be made by econonv sis9 a. a.
~sysous ininsts ancnt; th1t 1, ,z,,,,, ."
~ All Nines secured the ses,yis,.s ~, - ~
-, am employees us cleaply az nrsc,,l
s~oie and mas einiaoyei 10 it,|se - ~ .,
-, ana ~ lair ana yeason ~ 81
s,- psy, oaat y mas al al Vtmes slci,ie{ m
4 h.,,,,r'Is,. a.iaeSadi and properly OF eyery
.naidNter used in The operattoj ~ - 49, ~ !,
Why's az the cheapest m3t,ssg ,,.5, -, ~ Z,
i 80 as, as low as the same could no .sel',,r,1
~. .uu nia secuted ana useSi no fn5r. \, !,
, wss aetually necessary for the opsrit3n,, ~
ITS Railways ops'a'ton OF
!, s ,nS the same allegation Is n,da
~ tne cross bill and both are ,sltifmsd . I, 4
s sss.a by afltdayits OF competent WI
| ton, " 'iis mo-
ine valuation placed Upon the nroner,v a.
unis railroad corporation by ilie r,ii;ns !
sso,'.iplssion OF Texas is In round n,Lnbers
| Szl,Vou per mile. This statement shoSs IN,
| vast dlnereifce between The esrimges Fnsss
! ~ anu on behalf Of the dslilnoad company
anu me estimates made by Vhe ia iroIl
n ,s,lI OF the value OF the railroad
piuperty on which II is entitled 10 cara
some profit.
III seems 10 be clear from tho answer n,
| the commission, the tone of the affidn,its
WINCH II offers IN SUPPORT Of it's answer
aiHi lne argument OF the attorney general
anu Ehe assistant attorney general who
represented 1t on this heading, that In es-
t'inal1ng the value of the railroad ufone.,v
no allowance was made fcr The favorable
iocut'on OF the same. In view OF the adj
vance OF prosperity OF the country through
wnlen II runs and the increment TO It's
'aiue Que to me setting seasoning and
permanent establishment of the rai,wavs
and TO the established business and the
eocd VIII connected with tic business,
which has been established through a long
selies of years; and all of which ought
reasonably TO be considered in fixing Inc
Vaiue OF the property and the capitaliza-
tlon upon which at least II is entitled 10
earn and should pay some reeurns by wny
of interest or dividends.
rms is pracoicaly the oldest railroad
IN the STATE. A few miles OF another road
were built earlier but p1is road running
throughout the whole course of its main
line through what is now the mosl uopu-
lous and best developed portions OF the
State ana sim and rapidly increasing in
population and development. has estab-
'lshed business that would not and could
not be disregaHded in estimating The value
of the railroad. II considered solely as a
business property and venture IT can not
be so. considered solely because CT its quasi
public nature. Its duties, its obligations
ana ITS liability to coltiol are elements
that must be considered. AS popularly eX-
pressed the rights of the people-the !
rights OF shippers who use it as IL carrier /
nave to be regarded; hut as iudiciously I
expressed. these last have TO be so regard
ed as not TO disregard the inherent and /
reasonable rights OF the projectors, pro-
prietors and operators of these carriers.
IL is settled that a Statl has the II sht /
Wlbrin the limitations of the constitution.
TO regulate fares. From the earliest times
public carriers Rave been subject TO sim
liar regulations through general law ad-
ministered by the courts. requiring that
the rates for carriage should.be reasonable.
having regard to the cost to the oaallsr
of the service, the y~lue of the service 10
the shipper and the rate at which such
carriage is performed by other like carriers
of similar commodities under substantially
similar conditions. But neither at common
law nor under the railroad commission law
of Texas can the cor:Ss or the commission
compel the carriers 10 submit To such Il
system of rates and charges as will so re-
duce the earnings below what reasonable
rates would produce, as to destroy the
property of the carrier - appropriate 1t 10
ihe benefit of The public.
The cost of the service in carrying any
enc particular shipment may be difficult
to determine, but the cost to the carrier of
receiving, transporting and delivering the
whole volume Of tonnage and number of
passengers liz given period of time must
include as one of its substantial elemelts
interest on the value of the property used
IN the service. In countries conditioned as
Texas has been and is, such a railroad
property aud business car not be repro
duce,4 except substantially in the same
manner in which this has been produced;
hat is. by a judiclous selection of Location,
by small beginnings ard gradual advance
through a number of wears, more or less,
Of reproductive growth. The particular To-
catiGu Of this road, of course, can not be
reproduced, and it can not be appropriated
BY another private or quasi public cor
poration carrier by the exercise OF The
States power of emineat domain. Ana evea
+ the State shoull proceed to appropriate
his properly for tho purpose OF taking the
sane TO itself for pubic use, thu location
# this road can not be appropriated am
more than any other property right of a
aturai person or OF a corporation can be
appropriated. without just compensation
i is, therefore, rot only impracticable but
impossible TO reproduce this road III any
u~t sense or according TO any fair detnl ..
ion of those terms, And system OF rates I,
ma charges that looks 10 violation fixed
IN so narrow basis as that shown 10 have :
,een adopted by the commission and so /,
xed as to return only a fa. profit upon
hat valuation, ard which permits no ao- !,
cunt fer betterments mase necessary by =
he growth OF the trade. seem 10 come
learly within the provision OF the four :
zenith amendment to the constitution OF the /
United States. which forbids that State
hail deprive any perop of property with !
ut due process OF law or deny any person
within its jurisdiction the equal protection /
tho laws. q
1t is true that railroad property may he {
, .mprcvidently located or so iinproyl' +
entity constructed and operated that rail /
Dad rates for carriage OF freighls and pas =
sngers will net produce any profli on Z
ne investment. II is also true tnat mary 5
,dlroads not imrroviiently located ana n
OF improvi1ently constructed ana no. I'M h
royldently operated MAY not DC abe, y
bile charging reasonable rates for car n
age OF freight to earn even me necessary h
inning expenses including necessary re- e.
Hrs and requirements ana there are n
hers or may be others thus constructor :,
ID conducted which. while able to earn q
,crafing expenses. are hot able TO earn =,
" apJreciable amount OF interest OF ~
vidends for a considerable time alL11 "a
g Opening of the road for business ms =,
true now Of some Of the roads parties ~ ~
these bills. At one time or apolnsr, =, "
d for longer or shorter times, mas :,
dn,,l.icez nf each of the rOalS ~