The sun. [volume] (New York [N.Y.]) 1833-1916, 1898-03-13
NEBRASKAA ALL STIRRED UP
PoPULIsTs CEAMoR FOR 4 NEW
MAXIMUM RATE BILl.

Stringent Than the ORe Just Declared Un-
OBSERVATION-DISCLOSURES Political Situation There
LINCOLN, Mob. March 1O.-The notification
Of the Nebraska maximum freight rate bill has
caused more comment throughout the State
than ANYTHING that has occurred since the Prosi-
dcntinl election. Tho railroad element Is elatod,
tho agriculturists Indignant, and the business
men In general Indifferent.
Tho law just declared void by the Federal
courts was q measure Of the fusion forces Of the
State, passed In tho first flush Of victory in the
spring Of 1893. 1t was intended to cement the
rotations between the Democratic party OF the
state and the farming element in the Peoples
Independent party. 1t served its purpose well.
though it never regulated the freight ratios Of
the State for a day.
The measure had a stormy career from the
very moment Representative Newborry sent the
bill to the Speakers desk. The railroads con-
centrated all tho forces OF their strong lobby to
defeat the bill. and n tremendous effort
was made to kill 1t in committee. How
over. the very energy the railroads dis
played made the subject an issue In the State,
and the agrlculturists supported It in q most
hysterical manner. It was made the test Of
party fealty. and n number of political careers
were wrecked and made on the issues involved.
When its passage was certain the railroad man.
ayers announced that they would at least give
the law a trial. That this was their intention is
certain. At the last moment, however, the
Burlington road applied for relief and the case
went to the court of last resort. Just why the
programme Of the railroads was changed was
never definitely known. but It is believed the
stockholders of the Burlington forced adverse
action. and this induced other railroads to take
up the fight again.
Tho day the decision was announced q great
cry went up for an extra session for the passage
of another law similar to the one just nullifed.
tho impression seeming to be that the features
Of the law declared unconstitutional could DO
eliminated and yet the roal object attained.
Gov. Holcomb was called upon by numerous
kilograms to convene an extra session OF the
Legislature at once. The call came largely
from tho rural districts. However, the Governor
has given out a statement that the LeRisla-
ture will not bo convened for this purpose.
He very shrewdly gives other reasons than
those connected with the maximum rate bill,
however, for his refusal. He says that Just at
this time tho farmers arc very busy with their
spring crops. and that since tho Legislature is
madc up largely Of agriculturists 1t would be
a great loss to them and the State to have the
crops delayed. Then, too, he cites the fact that
q new Legislature will convene within nine
months. and this body can amply cover the
situation and give needed relief.
The truth is. though, that Gov. Holcomb, who
Is a very able lawyer. realizes that another
maximum rate bill OF any force IL impossible SO
long as the present ruling of the Federal Court
stands. Many lawyers of tho State pretend that
State regulation Of railroad rates Is possible in
spite OF the recent ruling. but the Governor does
not agree with them. He admits that the situa-
ton Is hopeless % IL now stands for getting any
reduction In railroad rates throughout Nebraska.
unless the reduction Is voluntarily made by the
companies. rs he does not think II can ever DO
forced by the Legislature or the State courts.
This opinion is also held by some very good
lawyers. w. J. Bryan and Attorney-G General
Smythe, however. think the State can still have
a maximum rate bill. They go oven further
than the old bill and assert that a new measure
must be passed that will regulate passenger as
well as freight rates.
The bill just nullined regulated nothing but
freight tariffs. 1t reduced the present rates 90
per cent. This would have left the local rates
in the State 90 per cent. higher than the pre-
vailing rates in Iowa. This was thought to be
quito just. Bryan and many other prominent
men OF the State are trying to induce the Gov
ernor to reconsider his decision and call an
extra session. This would be q very popular
political move, and tho Governor may yet DO
forced to take such action.
Undoubtedly tho question will figure in the
politics of tho State. The law was a fusion
measure. 1t was appealed TO the State Supreme
Court-a body at the time wholly Republican
by which II was declared void. The law was de-
Tended by tho fusion lawyers and opposed by
Republican lawyers. In the Supreme Court of
the United States w. J. Bryan and Attorney
General Smythe appeared for the State. Gen.
John c.. Gown of Omaha represented the rail-
roads. Gown Is q prominent Republican ana q
leading candidate for the Republican nomina-
H., fn. arn,na nthia fol Gpnpthn O., - tl,a
Democrat and is equally prominent as n candl-
date for Gubernatorial honors this fall.
Gown is a family and boyhood friend
OF President Mckinley and is receiving
all tho support of the national Admins
tration here. Therefore IL Smythe and Gown
are nominated by their respective parties. the
issue on the rate bill will be clearly defined.
Nebraska Republicans assert that the fusion
forces. in their efforts to punish the railroads.
wero too severe In framing the maximum rate
bill. but the fusion element declare that tho rate
should have been reduced even moro than 1t
was. and that now they will pass a law even
moro stringent. which will regulate both freight
and passenger traffic, and that all unconstitu-
tional features will be eliminated. They do not
explain how this Is possible. A prominent
Nebraska jurist, whose legal opinions are re-
gardcd very nearly as law In Nebraska, sizes up
the situation thus:
"The effect OF tho decision is far reaching.
While II does not deprive the State of the right
to regulate railroad rates under the ~constitu.
tional provision which expressly empowers tho
Legislature TO enact maximum rate laws. It re-
duces the power to the nero privilege OF sug-
gesting a schedule of charges which the Federal
courts may allow to stand or may nullify at
will. In practice. this means the establishment
OF a double veto powor-one to no exercised by
tho Governor. tho other by any Federal
Judge. But, while tho Legislature may over
ride the veto OF the Executive, the
judicial veto arbitrarily overrides both the
Governor and the Legislature In other
words. tho decision afirms tho prin-
ciplo that the Federal courts are the public
carrier rate-maklng power within tho State
lines ss we'll az without the State. Carried to
its logical sequence. the Federal courts may at
will hang up not only all State legislation af-
fecting the income OF public corporations, but