The age-herald., 1900-03-25

As far as we can see. Birmingham is In position to compete successfully with all her rival towns If, however we can be shown instances where the rates to or from Birmingham are not adjusted on a fair relative basis as compared with these com- peting towns We shall be most happy to make proper corrections. We do not deny that there may be now and then an occa- eional inequality in our rates, and It would be remarkable If in all the complex minu- tdae of rate details an error did not some times slip in, but we are always glad to correct it whenever called to--our attention.
 If there is no discrimination against Bir- mingham or ohter commercial centers in Alabama in the territory naturally tribu- tary to such commercial centers, then the only justification for reduction fn the rates locally in Alabama would be on the ground that the earnings of the railroads in Alabama were on basis that would yield more than a reasonable return on the investment. It Is not believed that any one familiar with the condition of the trans portation lines in Alabama will make this claim.
 The following is a mema rndum of the gross earnings and operating expenses Of the lines in Alabama for the three years ended June 30, 1898, which figures are taken from the report of the Alabama railroad commission. The report for 1899 has not been published:
 During this period therefore, less than T per cent of~the common stock received any returns. and only 21.5 per cent of the mileage paid dividends on the preferred stock, the largest portion of the :SIeage paying only 1 per cent.
 As bearing upon the returns received by the railroad companies in Alabama for the transportation services rendered, it may not he inappropriate to quote from the Seventeenth Annual Report of tine Rail- road Commissioners of Alabama, for the year ended June 30 1897, reading as fol- lows:
 "We have endeavore6 to keep ourselves so advised of the actual working of the railroad system of Alabama, and to exercise such supervision over the passenger and freight tariffs of the several railroad com panies as would enable us to prevent the imposition and eXaction of such rates as are denounced by Section 1129 of the Civil Code of Alabama, as excessive, extortlon- ate and discriminatory. It Is gratifying to us to be able to report that violations of the law in this respect have occurred very seldom, and when We have called the attention of the offend ing railroad companies to the fact and have recommended such change in the rates as would correct the evil, they have with commendable promptness adopted and put into effect our recommendations. We have confined our reduction of rates to the ad- justment of such inequalities as have re- suited from discrimination, extortion and oppression. As required by law, however, we have considered and carefully revised ell the tariffs; but in consideration of the firnitations and restrictions wisely imposed on our exercise of official discretion by Section 113O of the Civil Code of Alabama, which prescribes a fair and just return on the value of the railroad, its appurten- ances and equipment as a condition prec- dent to any general reduction of the rates, and confronted as we were by the sworn statements of the authorized representa-