Shoshone journal. [volume] (Shoshone, Idaho) 1884-1931, 1898-06-03
MANAGING RAILROADS
INTERESTING DISCUSSION OF
A BIG SUBJECT.
Hon. IL E. Ingalls,, President of the
Big -Four Railroad, Presents Some
Important Facts That WIN Interest
All.

Hon. M. e. ingalls,, one OF the great
est authorities on railway matters,
read highly valuable paper at the
recent convention of railway commits
sioners held in Washington, D. G. His
wise words will be read with interest
by all. The convention was called for
the purpose Of considering questions OF
great interest both 10 the railways and
the people of the United States. Mem
bers of the Association of American
Railway Accounting Officers were also
present and were invited TO take part
in the discussion. Chas. J. Lindley Of
Illinois, was chairman Of the conven-
ton. Ohio was represented by Rail-
road Commissioner r. s. Kahler and
Chief Clerk Ed H Archer. P. A. Hew
tit, auditor Of the Big -Four, was one Of
the railway accountants present. Mr.
ingalls, address is here given as being
a semi-oficial expression Of the views
held by railway managers generally,
and as being also Of general interest to
the public at large:
Mr.. Chairman and Gentlemen; I an
very much obliged for this opportunity Of
addressing you. l understand I have in
my audience the members Of the inter-
state commerce commission and the gem
tlemen composing the various railway
commissions OF the different states. It IS
a body that IS supposed TO stand as
arbiter between railroads and the people.
as a friend of both; a body that ought to
and does have great influence. and esps-
cially in reference TO legislation regard
ing railroads II 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 il into law, and believing as
do that II 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 10
the railways, but to the material inter-
ests of our country.
For 90 years & contest has been waged
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
II finally eliminated in 1881 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 il is as
fairly settled by the highest courts in the
land that the legislatures of the states
snce to their local business. subject 10
certain conditions. and that the congress !
Of the United States has the power TO |
interstate business. The supreme |
rourt OF the United States. which is the |
highest arbiter Of these differences. has !
lust decided that such control Of the I
states. or regulation, must BE reasonable. |
and that rates cannot be reduced below |
a profit where the railroads can earn /
their expenses and a fair return upon /
heir cost.
Railway managers had accepted the !
situation. and were endeavering TO obey |
the interstate commerce law and adapt 1
heir management to it when. in March. 1
SCI. a decision was rendered by the SUI /
1reme court which produced chaos and \
destroyed ali agreements. 1t was prac- 4
ically that the Sherman antitrust law. |
-o-called. which it had not been supposed |
,pplied TO railways. did apply TO them. |
" the court il was practically impossible
o make any agreements or arrangements
or the maintenance OF tariffs. In the |
.ase brought against the Joint Traffic
association in New York, this view has
,een combated by the railways and it
nay be modified by the courts
1T is we'll. perhaps. that we should
ook the situation fairly in the face, and
While I do not care 10 be an alarmist,
eel bound to describe plainly to you the
condition today. so that YOU may under
tand the necessity for action Never in
he history Of railways have tariffs been
% little respected as today. Private ar
aneements and understandings are more
plentiful than regular rates. The larger
hippers. the irresponsible shippers. are
obtaining advantages which must sooner
II later prove the ruin Of the smaller and
more conservative traders. and in the
nd Will break up many OF the CONNER
ial houses in this country and ruin the
J. madness seems TO have
eized upon some railway managers, and
/ large portion of the freights OF tie
COUNTRY is being carried at prices far be-
ow cost Other than the maintenance Of
ariffs the condition of the railways Is
,ood: their physical condition has been
their trains are well managed.
nd the public is well served. II way
an be found by which tariffs can be
maintained and the practice OF secret re-
ates end private contracts discontinued.
he future will have great promise tOr
aiIway investors. railway employees and
he public generally. And here 1 wish to
ay that this is not q question which
oncerns railway investors alone. II II
7as. you might say let them fight It
ut II concerns over and above every
ne else, the great public. One-dfth OF
ur people are interested directly IN
always. either as employees or employees
{ manufactures that are engaged in fur
fishing supplies TO the railways Can
ny body polite prosper II sne-ffth OF
IS number is engaged in a business that
; losing money. The railways serve the