The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1901-09-05
UNIFORMITY is SECURED
The Standard Ratio is Slightly In.
creased in Them.
THE S0UTHeRys INCREASE 10 PER CENT
The Seaboard Makes Tariff in Which the In
crease Over the Standard Rate is
Only Little Over 5
Per Cent.

The Corporation Commission yesterday
gave the Seaboard and the Southern Rail-
way hearing on their exceptions to the
recent order of the Commission applying
on all branch roads of these two systems.
After the hearing the Commission an
nounced that it would reserve its deci-
sion, and in arriving at it would take
into consideration all the arguments
that had been brought forward.
The Seaboard was represented by
Traffic Manager Glover and Attorneys
John d. Shaw and w. H. Day The
Southern was represented by. Traffic
Manager ]. NJ. Culp and Mr.. Drake.
Mr. Shaw was the first speaker. He
argued that the withdrawal of the branch
line rate would cripple the Seaboard, not
leaving it reasonable compensation on
it's investment. He said the Seaboard
Air Line was making smaller income
than either of the two other systems of
the State and that this fact ought to be
taken into consideration in making rates.
Chairman Mcneil asked the speaker
whether or not he was prepared to show
thiss
Maj Shaw said he was not, having only
the figures for the Seaboard but he was
convinced it was true. Then he went on
TO argue that the proposed reduction
meant bankruptcy for the Carolina Cen
trail road. which, even with it's present
rates is making but small return on
the Investment.
Capt. Day followed Maj, Shaw, arguing
along much the same line. He figured
out that. the Carolina Central cost
$120OO,O00 and contended that a rate
ought to be allowed whereby fair in
come might be realized on that sum-.
why, Capt. Day" interrupted Chair
man Mcneil. Il thought you had been
contending that it was assessed for tax
alton for all it was WORTH"
Capt. Day-"It is not a question of
what it is assessed for. but what is
a fair return on the investment, that we
are arguing here.
Mr.. McNeill-"But do you think that
property worth $12, 0OOO 00?''
Capt. Day.-"If you insist, yes, sir.
That is my opinion. l may add further,
it is my opinion that all the property Of
North Carolina is assessed at only about
twO-thirds of it's real value"
This admission, in view of Capt. Days
arguments when the taxation cases were
in court, was heard with much surprise
He was followed by Mr.. HI. W.. B.
Glover, traffic manager for the Seaboard,
who said that since filing of the Seaboard
10 a
that, while not entirely satisfactory to
the road. was little more favorable to
it than the standard tariff, and he was
willing to try it for awhile. 1t is uni
form, being made applicable all roads in
this system except the Lewiston branch
Mr. Glover explained that this tariff
embraced over 1,40O separate articles and
that out of the number, 1898 or 27 per cent
were slightly higher than the standard
tariff, while one or two were lower. Also
the commodity rate established by the
Commission is retained on cotton, cotton
seed, fertilizer and fire wood. On leaf
tobacco the Atlantic Coast Line rate is
used. On brick the old Seaboard rate is
retained, this being below the standard;
also old rate on naval stores Is kept, ex-
cept that crude turpentine is reduced to
the rosin rate.
1--WE find" said Mr.. Glover, "that out
of LASS rates. only 1913 are higher than
the standard, and the average increase of
these over the standard is 5.93 per cent.
I'VE offer this tariff We may have to
come back and ask an increase, but we
are willing to try it.
Traffic Manager Culp, of the Southern,
also presented new tariff after arguing
at length against any reduction.
His tariff, he said, made very slight
advance over the Commissions standard
tariff.
ION all grain, flour and lumber and on
car load lots of other articles, l have
kept the standard rate, but on other ar
ticles shipped in smaller quantities and
on which the freight rate is not factor,
we have made slight advance over the
standard. This advance averages about
1913 per cent. The tariff is to apply TO
the whole System.
II am opposed to a uniform rate for
all roads. as this tariff contemplates, but
if we must have tit l think this tariff
fair -
Before these arguments OH the excep-
lions filed were heard, Mr.. A. J.. McKin-
non, cotton broker OF Maxton, appeared
before the Commission and read an argu-
ment favoring a Is cent hundred-mile
rate on cotton. He made out a very
strong case for low cotton rates, but it
is not likely that the % per cent hun
dled- mile rate now in force will be at
this time changed.
The Commission has not yet announced
its decision in regard to the exceptions
to the uniform freight and passenger
rates.
Mills ReliAved of Tax