Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-12-28
SENATOR ELK|N'S PLAN
Believes the Circuit Court
Should Regulate Rates.
TO PREVENT REBATES
DIFFERENT PROPOSITIONS BEING
DISCUSSED.
Need for a Tribunal Not Affected by
Political Change-Details of Bill
Being Worked Out.

Senator Elkns, chairman Of the commit
tee on interstate commerce, is engaged IN
the framing of bill for the purpose OF
carrying out the views of the President In
relation to final abolition of rebates on
the railroads of the country.
This task is not so easy as it might seem
and Senator Elkins has devoted vast
amount of thought to the subject. His ex-
perience in business life and his service In
the Senate as chairman of the committee
on interstate commerce especially fit him
for this task, but he finds many stumbling
blocks in the way of many of the plans
that have been proposed. He hopes to
frame bill in the near future that will
accomplish the purpose desired.
THE President in his message said Sen
ator Elkins in discussing this matter with
a Star reporter today, gives attention to
the railroad rebate evil. His conclusion
that the rebate should be finally disposed
of admits of no discussion. We have had
legislation looking to that purpose, but it
has never quite succeeded. But when we
come to the recommendation that the inter-
state commerce commission should be given
power to fix and enforce rates the question
arises to whether the fixing of lower
rates will do away with rebates. l think
not; something more than that must be
done.
ROVER TO Elk mates.
But there should be some power in this
country to declare what rates should be on
the railroads. The United States Supreme
Court has decided that the fixing of a rail-
road rate is legislative and not a judicial
power. So we cannot depend upon the in
terstate commerce commission to fix these
rates, and in fact, no commission or court
can be depended upon for that important
function. What we can do is to empower
court to declare when n rate is excessive
and in that way send the rate back to the
railroad to be lowered. l do not think we
need fear that the roads will attempt to
evade the execution of such instruction In
good faith by attempting to come back
again with another rate so slightly lowered
as to result in no benefit We can depend
upon public opinion as a power to force
them to accept this method of regulating
the rates in good faith. If the lower rate
they fix it not low enough it can again be
declared to be too high and would go back
to them.
For several reasons I think the inter-
state commerce commission is not the prop
er tribunal for the fixing of rates by this
method. 1t should be done in a circuit court
of the United States, and that court should
be presided over by justice of high char
acter, who ought to receive salary OF ten
twelve or fifteen thousand dollars year.
Such judge would, of course, be appointed
for life, and would be independent of the
changes that might occur in the administra-
ton of the government. He could devote
his entire thought to the questions that
would come to his attention.
Danger for a Commission.
Just think what might happen if these
powers were placed in a commission, the
members of which would be subject to
reappontment by the President with
limited terms. Such a proposition would
not meet the approval of conservative
men.
But even with this power to decare
what rates are excessive lodged in a cir
cult court of the United States. we would
still have to make further provisions for
the effectual abolition of the rebate. The
fixing of a rate will not prevent the re-
bate. That is a matter | am endeaVorlng
to go over so fully that we may be able
to draw a bill that will be satisfactory to
meet the ends desired
LAS l have suggested, the functions of
this court would not interfere with the
interstate commerce commission. In the
important matter of declaring what rates
are excessive the court would have Juris-
diction and the respect with which our
courts are held would prove an important
factor in making the system success.