The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1899-12-22

OBS That tine FrOpOseQ Rates
Are the Highest KNOWN since
the Establishment Of Commlssion
WASHINGTON. Dec. n.-A hearing
was begun today by the interHtate CONF
merce commission In the matter OF
changes in freight classification and ad-
vances In freight rates by carriers using
the classification.
Many complaints have been filed with
the commission alleging that discriminat-
ing changes in freight classification have
been agreed upon, to take effect on Jam
uary !, 1900. To determine this question
the hearing OF today was held. Many OF
the most prominent railway officials Of
the Eastern part Of the country attend
ed the hearing, and representatives Cf
large shipping interests Of the same sec.
tion were also present.
Railroad Side Presented.
At the opening of the hearing Mr.. G. e.
Gill, of New York, chairman Of the "off1-
cial classification committee" said the
railroads were without knowledge Of the
persons who had requested the. hearing,
and asked that they be called upon to
state wherein the proposed changes wera
unjust. Mr.. Gill maintained that the pro-
posed advances in freight rates were due
to the increased cost OF railroad plants
and maintenance, and the advances had
been applied to classes Of freight that
could well pay them.
Mr.. Gills contention that the shippers
be first interrogated was overruied. and
he himself was put on the stand.
Advanced Rates Necessary.
He said that all protests would be con-
sidered by the classification committee,
but the committee was satisfied the pro-
posed advances were necessary on ac-
count Of increased cost OF railway opera
tions. He intimated that for the same
reason still further advances probably
would have to be made. Upon many arti-
cles Mr.. Gill maintained that existing
rates Of freight were unjustihably low.
No Reasons Given.
In the course OF a long examination by
Mr.. w. A. Day, attorney for the COM
mittee. Mr.. Gill gave no reasons for the
proposed advances upon special articles
or classes of freight, except the general
reasons which applied to all freight. He
maintained that the proposed new cassif-
cations, generally speaking, were restora-
tions of freight rates which prevailed in
times past when commercial and trade
conditions were similar to what they are
now. His replies to long series of ques-
tions indicated that his own belief and
that of his colleagues on the classifica-
tion committee was that the recent mark
ed advance in the price of railway equip
ment and operations--in steel rails and
all forms of steel and iron, etc.--rendered
1t necessary for the railroads In degree
proportionately to advance freight rates.
He said freight rates had been on a grad
ual descending scale for twenty years,
but he was unable to say whether the
proposed new rates would be higher or
lower than the rates which prevailed in
1892
Higher Than for Years Past.
In statement to the commission At
torney Day said comparison of the pro-
posed rates on certain specific articles
showed that the new rates would be high
'er than ever had existed since the COM
mission was created
Judge c. A. Prouty, a member Of the
commission, instituted line of inquiry,
the questions and answers indicating that
In 1887 the railroads paid more for steel
rails and other articles of equipment than
they had to pay now.
In view of these facts, he desired to
know why the classification committee
deemed 1t necessary to increase the rates
Mr. Gill replied, as he had previously done,
that in the rates on articles which had ad-
vanced. they could well stand them. ana
the railroads needed the additional revenue
which the advances would give them He
indicated by his answers that the present
prices of articles and the prices in 1887
had little, If anything, to do with the ac-
ton of the committee except in a
general way. The committee felt the ar
ticles on which increases had been made
could afford to pay them. While protests
against the proposed rates had been re-
ceived from shippers, the shippers had not
been afforded an opportunity to be heard
by the committee. as It was not the prac-
tice of the committee to accord such hear
ings.
AS chairman he heard the protests, and
| communicated their substance to the COM
mittee. Protests against the proposed class
ification had not been considered by the
committee. and would not be until after
the classification had gone into effect.
The committee then took recess until 2
o'clock.
Hopes for a Compromise.
At the opening of the afternoon session
Mr.. William Corwine, representing the
Merchants Association. Of New York, sug-
gested that II postponement of the hear
cspsinpsa q PsSs I've,