The San Francisco call., 1899-12-22
RAILROAD MEN CONSIDER
PRESENT RATES TOO LOW
argue Before the Commerce Commits
sion That the Proposed Increase
Is JuStiiable.

NASHlNGTON. Dec. q. A hear,r,, ayss
pts1n to-day by the Interstate Cornrn.rca
ptltllsslon iu the matter Of changes IA
-Ie.shi classification and advances in
lcatiOn
Many complaints have been filed with
,-le commission alleging thai discriminat-
- changes in freight classification have
zen asrve1 upon 70 take effect on Janu-
-is o. l.''- To determine this question
t.-e nearing ~ to-day was held Mann %
tAe most prominent railway officials of
me eastern pagt OF The country attended
me nearing. ana representatives OF large
snlpping interests of the same section
were also present
Al tne opening q the hearing c. (. Gil
az New York. chairman of the Oficlal
Nlassincauon Committee. said the rail-
Ioals we're without knowledge ot the per
sons Nho had requested the hearing and
asked that they be called or 10 state
wherein the proposed changes were un-
just
Nr. GiN maintained that the proposed
advances IN freight rates were due 10 the
increased cost oI railroad plants and
maintenance. ana the advances had been
applied 10 classes OK trelgnts Jhat could
pay tlem.
ar. GINS contention that The shippers
~ lrst ilierroga was 0yerrU.e1 ana n-
himself was PIT on the stand.
s-4tIel ps the classification committee.
b-- the committee was satisfied the pro-
posed advances Wcrr necessary on oc-
count OF tne increased cost ~ 9AilNa az
operations he llunated that Tor tlr
SAME reason s-ia --r-uer advances r-1u-
au4l Nc-ll have O. le uale. poL many
ARTICLES ar. Gll maintained thar existing
rates 0t freight N-rr --ll- -4st.lauly loN.
ll tGe course uI a long examination ty
~ a D1A. att4.lrt 10. tl- committee.
-4r. 1lll gave no reasons FOR The proposed
advances upon special articles ur classes
Nt lftiEnt except tre general reasons
which applied Cd al freight. le mair-
t.-ie1 ilat me proposed new classlaea-
f.r-. generally ~ueakluE were I---ura-
tDrs HI -rliElr Rates which prevailed in
lil,- fast. Nlt. c. rntncrcial ana trade
t-.-il -eie We're similar % Mtat iItE now
are hls replies tD long series ut Qles-
t4nls indicated that las own BELIEF and
rrat ~ lis colleagues OL tne class lfi,atlCn
committee was trar It- recent marked
advance lD tle price ~ railway equip
mNrf and ur-ratlug-ll steel rails and all
-.rrns ~ steel and iron etc.-reUlrrel u
necessary -nf ihe railroads. D. a degree
Ifuportiorarely 60 advance tre.glt rates
ttf SAID frtigl- rates Rad been -r4a-
-aly descending scale Cor twenty Years.
l-t he was unable 20 Say wlef her the
proposed new rates Hr-.l o- higher or
lover than The rates which prevailed n
In a statement 70 the commission Attor-
rrA Day said comparison ~ the pro
posed rates Oh certain specific articles
showed that the new rates would oe high
e- tlaL ever had existed since the corr
mission was created.
judge C. A Prouty. a member of the
commission. instituted "A line ~ inquiry.
me qGeslio and answers indicating that
il ls>l The railroads paid more Tor steel
railr and other articles " equipment than
t.'A nave io pay now IN view ~ these
.aCt~ he desired t0 know why thu Classi-
rtltlUn committee deemed Dr. necessary
20 increase tle rates.
Nr. GIL replied as he had previously
done, thar in the rates on articles which
had advanced rfry could well stand them
and the railroads needed the additional
revenue which The advances would give
them. He indicated by has answers that
The rrr-ert prices -Of articles and the
prices tr lSS7 had little y anything 70 DO
trat 800 g general way. the committee felt
rEr articles .D which Increases had been
rlaie could afford 20 pay them While
protests against tne proposed rates had
been received from shippers the shippers
had nor been Afforded an opportunity 10
he r@srl oF the committee, as u vas not
fEn Drartlra Il the committee 20 accord
such hearings. A. chairman. be heard
tre protests and communicated their sub
stance to The committee. Protests against
-hr proposed classification had not been
considered hy the committee and would
NOT be- until after The classification had
Al the opening ~ she afternoon session
William r tCrwine. representing the
Merchants Association ~ New York, sug
EeSted that ~ "a DosrpOnement q the hear
ing could be- had he believed the shippers
and The carriers might come 20 reason
able q gree FlleNf upon the proposed CiaSsl-
frari0n which would prove satisfactory 20
all concerned.
\ - Kelly. secretary % the Trade
League ~ Philadelphia. said what the
shippers wanted was that the new clas-
~frCartrrs should - into effect April
ireread ~ January T. le0. II the railroads
would consent Co. this proposition he an
ririrated no trouble. As no representa-
tiEe 80 The railroads present had authority
o. accept Mr. kellv's proposition a. went
hy default. NJ Gill who was on the
stand during -he morning session. did not
approve 0f Mr. heIT's proposition that
rhe clsssirc7ri0us should not 70 into ef-
feet until April 4 as that would deprive
The railroads ~ added revenues for three
months. lfe asked for "A thirty minutes
recess 90 fhe hearing iu order that he
might consult fhe railroad men present
a. rn Tho action ther should take.
r. = Mouneft. Attorney General %
Ohio. questioned Mr. Giu as 20 the cost
~ shipping petroleum. evidently endeav-
oring ~ elicit from him some statements
90 The effect that the Standard on Com
pauy was favored hy the railroads ar the
expense - The small shippers. Mr.. Mon
nett said that in less than carload lots
- petroleum tho proposed classification
increased the rate ei9 Der cent. depending
on the disfanCe. This. he said. was a dis
crimination which would break Up the
small shipper Mr. Gill explained that his
committee had nothing 20 10 with the car