Elmore bulletin. [volume] (Rocky Bar, Idaho) 1889-1906, 1898-06-02
HON. NJ. 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 both; body 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 | presume there would
be no difficulty in inducing yonder con-
gress to enact 1t into law, and believing as
l do that it Is essential to the public in
terest to secure legislation, / am pleased
to have this opportunity of presenting my
views and eEdeavoring to enlist you in
the reforms which / think are vital.
We have reached crisis in railway man
agement when something must be done
IL we would avoid disaster, not alone to
the railways. but to the material inter
ests of our countSS,
For 80 years a 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.
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 il is as
fairly settled by the highest courts in the
land that the legislatures of the states
have control over railways with refer
ence to their local business. subject to
mar at DTaA hot he
of the United States has the power to
regulate interstate business. The supreme
court Of the United States, which is the
highest arblter of these differences has
just decided that such control of the
states. or regulation, must be reasonable,
and that rates cannot be reduced below
profit where the railroads can carr
their expenses and fair return upon
their cost.
Railway managers had accepted the
situation, and were endeavoring to obey
the interstate commerce law and adapt
their management to 1t when in March,
1897, decision was rendered by the SUI
preme court which produced chaos anC
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 Traffic
association in New York, this view has
been combated by the railways and II
may be modified by the courts.
ut is well. perhaps, that we should
look the situation fairly in the face, and
while l do not care to be alarmist.
feel bound to describe plainly to you the
condition today so that you may under
M ha IN
the history of railways have tariffs been
so little respected as today. Private ar
rangements and understandings are more
plentiful than regular rates. The larger
shippers the irresponsible shippers, are
obtaining advantages which must sooner
or later prove the ruin of the smaller and
more conservative traders, and in the
end will break up many of the CONNER
eial houses in this country and ruin the
railways. A madness seems to have
seized upon some railway managers, and
| a large portion of the freights of the
country is being carried at prices far be-
low cost. Other than the maintenance OF
tariffs the condition OF the railways is
good. their physical condition has beer
improved; their trains are well managed
/ and the public Is well served. If a way
can be found by which tariffs can be
maintained and the practice of secret re-
bates and private contracts discontinued
the future VIII have great promise for
railway investors, railway employees and
the public generally. And here / wish ia
say that this Is not "A question which
concerns railway investors alone IL II
was. you might say, let them fight il
OUT 1t concerns over and above every
one else, the great public One-hfth OF
our people are interested directly in
railways, either as employees or employees
of manufactures that are engaged in fur
nishing supplies 10 the railways Can
any body polite prosper If one-ffth OF
is losing money? The railways serve the
public In so many ways that their pres
perity Is closely interviewer with the
prosperity and comfort OF the ordinary
people. One thousand sillions of dollars
were paid out last year by the railways
from their earnings to employees of man
ufactories in this country; 5l1 900 600 OF
passengers were carried 1900 millions
were carried one mile 1855 900 OF tons OF
freight were moved; O.. 900 millions of tons
were moved one mile. Do you think that
any interest performing such immense
service as this can be IN difficulty and
the balance of the country not feel il?
Forty millions of dollars were paid out
millions OF dollars that have been invest
ed in railways have earned no dividend
for years. This Is not water as some
populist orator viii say. but good. honest
money. These securities are held all
through the land, and their failure 10
pay any return has brought disgrace up