The times. [volume] (Richmond, Va.) 1890-1903, 1902-01-30
They ATTACK The
MAJORITY Plan.
.Messrs. Hunton and Brooke
Unite in Minority Report,
POWERS ARE TOO BROAD.
Corporation Commission Could
Confiscate Property.
MORE CONSERVATIVE SCHEME
Would axe sAmple Provision for the Proper
Regulation of Common carriers, But
Would Not Give the Commission
What 1hey consider the rowers
OF Boards Of directors Of
the companies.
MORE CONSERVATIVE SCHEME.

Messrs Eppa Hunton, Jr.. and D.
Tucker Brooke. constituting a minority
of the Committee on Corporations Of the
Constitutional Convention, have prepared
and submitted to tie CONVENTION their
report, in which Mr.. Robert a. B1air also
ccncurred in the main.
It will be recalled that the majority
of the members reported in favor of a
Corporation Commission of three mem
bers, to be appointed by the Governor.
Very broad powers are conferred upon
this body. 1t is given the powo- of gen
eral supervision over transportation conf
panies, even to the fixing of rates and the
arranging of schedules.
Messrs. Hunton and Brooke vigorously
assail this report They claim that the
powers proposed to be conferred upon
the Commission would permit it to con-
fiscate property.
a more conservative plan is recon-
mended by the minority. 1t provides in
brief that common carriers shall be re-
quired to na.Ae their charges reasonable
and just, and shall not charge more for
a short than a long haul; shall not be
permitted to show special favors to per-
sons or locality.
.,tpor. of The !, inori.y.
The report Of the minority, Messrs.
Hunton and Brooke, with the partial con-
I currence of Mr.. Blair, is here given in
\, full:
TO the President and Members Of the
Constitutional Convention:
We are unable to concur, in many par
ticulars, with the report of the majority
of the Committee on Corporations. In
our opinion it was never more important
in the public interest than at this time
@A1~.
petuate her traditions Of conservatism
and justice in the treatment of invested
capital.
Our people are without large means.
Our resources for the most part consist
of our labor, our intelligence and our
undeveloped natural resources. 1t is es-
sential that our labor and the intelligence
of our people should find employment and
opportunity at home, and that capital
should be available for the development
Of our natural resources. None of these
things can be accomplished unless capita
is brought into the State, and capital will
never! come. into the midst of a hostile
sentiment or where it cannot feel safe in
the spirit and sense of Justice Of the peo-
pie. 1t seems, therefore, to US that it Is
essential for the Constitution Of Virginia,
while safeguarding in every proper and
necessary way the rights of the people
to hold out to the world a guarantee that
capital invested in the State shall be re-
spected and protected. This can only be
done by establishing towards 1t an atti-
tude of wise and Instrumentation
In our opinion the report of the majority
departs widely from these principles.
It asserts over transportation and trans
mission corporations embracing all rail
roads, steamship. telegraph and telephone
companies) powers adequate to their COM
plete destruction.
In subsection "B'' Of section 4 of the
article reported by the majority, not only
is the power conferred, but the absolute
duty is imposed upon the Corporation
Commission to regulate and control all
transportation and transmission compa-
nies doing business in this State in all
matters relating to the performance OF
their public duties and of their charges
therefor The public duties referred to
in this article comprise the whole Of their
Transportation and transmission business.
and by the very terms of the article are
defined to include IA tes of charges clas-
sifcation of traffic, rules and regulations
and the public service. facilities and con-
veniences which such companies must
afford. In other words, the proposed ar
ticle takes from the owners Of the COM
panies and transfers to the State Corpo-
ration Commission absolute control over
every department Of management from
which any. revenue whatever is derived.
and leaves to the companies only the
power to make contracts for the purchase
Of supplies, etc.
GREAT POWERS.
In our judgment this power of the Cor
poration Commission is equivalent to the
power of acontiscaton. If the commission
can say what and how many trains shall
be run; what the schedules shall be:
what rates shall be charged, then the
commission exercises ali the most essen
tial powers of the companies boards of
directors and can make or destroy the
entire value of the properties, and without
accountability to any one.
If the. State has determined to assert
and exercise such powers, it involves the
State lin the moral obligation OF State
ownership for the consequences of bad
management always fall upon the OWL
ers, and ii the ownership and the man
agsment are separated none of the pen
alties and consequently none of the re-
straints of bad mana cement come upon
the managers Morally, the State. if it
mana ges these properties, should not put
upon others the consequences of bad
management, but should itself bear these
consequences; or. in other words, it
should own these properties if it manages
them,
In our judgment. there is a broad dis
tinction between those powers of man
agement and control conferred by the
proposed article favored by the majority,
and that just degree of supervision and
regulation which the State may properly
assert. Inasmuch as these common car
riers under modern conditions do control
e%carrying trade OF the country, AMI
thus exercise over the fortunes Of per-
sons and localities large influence it IS
entirely true that there should exist some
impartial B tribunal to hear and decide
upon complaints, and grant proper re-
lief hut this can, in our opinion be ac-
scGmplished BY Just ana conservative
means and nj tl1out recourse to the