Cottonwood report. [volume] (Cottonwood, Idaho) 1893-1901, 1898-07-29

HON. M. D. INGALLS,, PRESIDENT OF
THE BIG FOUR"
commissions of the different states. 1t is
a body that is supposed to stand as an
arbiter between railroads and the people,
as a friend of both1 bSdy that ought to
and does have great influence, and espe-
cially in reference to legislation regard
ing railroads. If this audience should
agree upon any legislation in that respect
that was needed. I presume there would
be no difficulty In inducing yonder con-
gress to enact 1t into law, and believing as
DO that 1t is essential to the public in
terest to secure legislation, I am pleased
to have this opportunity of presenting my
views and endeavoring to enlist you in
the reforms which I think are so vital.
We have reached a crisis in railway man
agement when something must be done
II we would avoid disaster, not alone to
the railways, but to the material inter
ests Of our country.
For 30 years contest has been weged
IN legislatures, in congress. and before
the courts, by the people on one side who
believed that railways were public cor
porations and subject to control by the
power that created them; and, on the
other hand, by officials of the railways,
who did not believe that such control was
legal or practicable. State after state
asserted its right These rights were CON-
tested from one court to another and
decided from time to time always in favor
Of the people, under certain restrictions.
1t finally eliminated in 1887 In the enact
ment Of the Interstate commerce law, and
since then there has been hardly a day
when some provision of that law was not
under consideration by the courts or by
congress, until now we may state 1t is as
fairly settled by the highest courts in the
land that the legislatures of the states
nave control over railways with refer
snce to their local business, subject to
certain conditions. and that the congress
of the United States has the power to
regulate interstate business. The supreme
court of the United States, which is the
highest arbiter of these differences. has
just decided that such control of the
states. or regulation, must be reasonable
and that rates cannot be reduced below
q profit where the railroads can earn
their expenses and q fair return upon
their cost.
Railway managers had accepted the
situation, ma were endeavoring to obey
the interstate commerce law and adapt
their management to 1t when, in March,
1887. decision was rendered by the SUI
| preme court which produced chaos and
destroyed all agreements. 1t was prac-
| tically that the Sherman antitrust law
so-called, which 1t had not been supposed
| applied to railways, did apply to them.
and under the construction of that law
! by the court 1t was practically impossible
to make any agreements or arrangements
for the maintenance OF tariffs. In the
| case brought against the Joint Traf1c
association in New York, this view has
been combated by the RAILWAYS and II
may be modified by the courts.
1T is well, perhaps, that we should
look the situation fairly In the face, and
while DO not care to be an alarmist. I
| hound n he 1ol.,
condition today, so that you may under
stand the necessity for action. Never In
the history OF railways have tariffs been
| so little respected as today, Private or
| rangements and understandings are more
| plentiful than regular rates The larsa,
shippers. the irresponsible shippers, are
obtaining advantages which must sooner
OF iater prove the ruin OF the smaller and
more conservative traders, and in tbo
end Will break up many Of the CONNER.
ciai houses in this country and ruin III.
railways A madness seems To b.ys
seized upon some railway managers anS
large portion of the freights OF A.
country is being carried at prices far he
low cost. Other than the maintenance =,
tarnIs the condition OF the RAILWAYS Is
good; their physical condition has hear
improved; their trains are well manos,aa
and the public is well served. n We,
can be found by which tariffs can ~
maintained and the practice of secret re
bates and private contracts discont;nras
the future will have great promise 81,
railway investors, railway employees an
the pubiiS generally. And here 1 wish ~
say that this is not a question wb;ct
concerns railway investors alone To I,
was, you might say, let them fi,ht !,
out 1t concerns over and above ever,
one else, the great public one-fiftb y
our people are interested directlv :,
railways. either as employees or emniorn
Of manufactures that are engaged ~ fs, e
nlshing supplies to the railways Ca,
any BODY polite prosper If one-ifth -
It's number Is engaged in a business ~ y
is losing money? The railways serve .S'
public In so many ways that their ~ 90
perry is closely interviewer with tn
prosperity and comfort CT the ordinar,