New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-12-20
URGES RATE REDUCTION.
COMMERCE. REPORT IN.
Interstate Commission Defines 4u-
thOrity 1t Desires.

Interstate Commerce Commission transmitted
TO Congress to-day. After an opening statement
concerning railway operations the commission dis
cusses the regulations of rates and the amending
legislation deemed necessary enforcement OF the
statute Under this heading the report says in part
Successful regulation OF rates depends upon the
effective operation OF both branches Oh S FbTI
airy 10 1903. and which deals with the publication
operating successfully applied to carriers sub
ject 10 its provisions; but, as elsewhere explained
somewhat more definite and extended to Apply 70
may he used means of affording conces-
siOns to shippers. which in effect reduces the cost
of moving their products
The commission calls attention TO the fact that
there has been no amendatory legislation confer
ring power over this rate and making the orders
the commission effective. In the present state
o the law after careful and c:ten extended i'm
| vestigatiOu, the commission may find rate com
planned against TO be unreasonable and order the
carrier to desst from charging that rate for the
future: but il cannot. though the evidence may
and usually does indicate it, find and order the
reasonable be substituted for that which has
been found be unlawful. Any reduction OF the
wrongful charge amounts to technical compliance
and frees the carrier from any legal obligation
under the order The commission condemn the
wrong, but 1t cannot prescribe the remedy Two
cases of unreasonable rates decided during the
year are cited as showing some reductions from the
rates found unreasonable, but which were not so
great as those recommended by the commission
Carriers are entitled to ignore the order of the
commission and await the Judgment Of the circuit
court upon n petition by the commission and an
other trial Of the issues in that court The more
important the case may be, the greater the benefit
conferred upon shippers communities. TIE less
likely is the order Of the commission to be obeyed
The commission must not only render a Just de-
cison. but one that is convincing to the carrier to
afford the relief from unlawful rates contem-
plated IN the statute. If the decision Of the com
mission right. the public is entitled 10 have 1t go
into effect. II It is wrong It's operation could be
enjoincd upon showing TO that effect by the car
rier a suitable and summary proceeding IN the
federal court. The amendment Of the statute rec
commended by the commission involve no fixing OF
whole tariffs Of rates III the first instance or at
any time simply the redressinG of transporta-
ton wrongs shown exist after fun investigation
during which all affected interests have been
heard. and when order IS issued against a car
rier under such procedure it should by operation
Of law become effective upon the date therein
specified.
WANTS no ARBITRARY POWER.
The commission alludes 10 the persistent misrep
resentaton by many who are interested in oppos-
ing this legislation, that the amendments desired
would confer upon the commission the power to
arbitrarily initiate make rates for the railways
and that would be most dangerous 10 place TINS
vast authority the hands Of five men, especial
" five men who have had no experience as rail
way traffic managers. No such power has been
asked by is seriously sought 10 be conferred
upon the commission. Though The popular demand
may eventually take that form. under the stress
of continu ed delay in remedying ascertained de-
fects in the present plan Of regulation, the amend
meut recommended by the commission, as to
authority to prescribe the reasonable rate upon
complaint and after hearing, would confer in sub
stance the 50 me power that actually exercised
by the commission from the date of its oreaniza-
ton. 1887. up MAY 1897 when the United
States Supreme Court held that such power was
The law provides for II complaint full hearing
report and an opinion, and an order ms proceed-
and bears no resemblance in any degree to the aro-
to MAKE tariffs Of rates absolutely for the railways
either IN the first instance or after some form or
hearing and investigations The situation Is regard
ed as Increasingly grave in view Of the rapid dis
.,plIaIaHo Tl asf5bIshai by continuation at
tended as they are by substantial advances IN the
ThoEgh the law is extremely detective, aggrieved
shippers have no other recourse than TO appeal TO
: conditions which they regard as intolerable
lust 1tl Wien they are not So there is now no AIDE
quate means of making them reasonable and lqst
to do so The interests of one party cannot be
rights of another Authority TO require the estab,
lshment of joint through rates over connecting 'hg
continuous lines IS also believed to be necessary, II
authority correct unreasonable or unjust rtte
should be granted
PRIVATE CARS IN FREIGHT TRAFFIC.
The report speaks follows concerning private
cars in freight traffic;
Private freight cars are either owned by the ship
per or a private line. For reasons stated, the
private car may be Of advantage to the carrier by
enabling it TO provide equipment for special pur-
poses during limited periods. and the public in
that the equipment is likely to be more adequate
than if the carrier undertook to the itself
or to secure them from its connections. Some
evils attending the of private freight car are:
First-COncessions are made to particular shippers
IN refrigeration charges which amount TO the pay
SecondIA practical monopoly has been created In
the of private cars for the movement or certain
commodities. especially fruit. which has enormously
increased to the public the cost OF transportation
Third-When the owner OF the car becomes n
dealer in the commodity transported, the fact or
| ownership gives him an important advantage over
| FourtR0When the owner Of the is also the
owner Of the commodity transported, an excessive
rental for the may amount 10 a preference IN
the freight rate. against the shipper who does
! The only way in which complete remedy be
afforded is by investing this commission, or some
other tribunal. with power to INQUIRE whet t
reasonable if found unreasonable. This can be ac-
complished in two ways:
in the matter of this special equipment ana refr!g
Grafton service, if they not now responsible.
provide this refrigeration for interstate shipments
under the jurisdiction Of the act to regulate com
merce and making their charge subject TO the de-
termination OF this commission.
Terminal railroads owned by the railroad COM
/ panIes are also pointed out a for paying
rebates through the switching charges. the Illinois
Northern and the Chicago Lake Shore and Eastern
being cited as examples. The commission points
out that these indirect means OF paying rebates
| are constantly becoming more serious, and demand
/ attention.
SAFETY APPLIANCES.
In discussing the statistics OF railroad accidents
which have already been printed IN The Tribune
the report up the subject of safety appliances