The Birmingham age-herald., 1905-01-13
PAUL MORTON Is
 WITH PRESIDENT Writes Out Views on Freight
 Rate Question FOR FEDERAL SUPERVISION Thinks Many Rates Are Too High and Many Too Low, Either Condition
 Being Disastrous to
 Community.
FOR FEDERAL SUPERVISION


 Washington, January 12-Paul Morton, 1 Secretary of the Navy and formerly vice l p1 esident of the Atchison, Topeka and l Santa Fe Railroad company, is author of 1 the article on the railroad rate question which will be published in The Outlook tomorrow.
 He, in the outset expressly disclaims l writing as representative of President Roosevet's administration, and says he
 speaks merely as one who had somewhat
 extensive experience pertinent to an inn portant subject. The Secretary, in the article, says there are very few com 1 plaints against railroad rates per SC in the United States, the chief trouble be- l ing with the relation of rates as be- 1 tween markets" He says that there are
 as many rates that are too low, as there are rates which a court would judge too high, and that either class of rates may
 be equally disastrous to communities. He
 expresses the opinion that federal su-
 pervision of railroads is necessary, but
 adds that regulation and protection
 should go together
 He says that one of the three things
 following is sure to take place in the
 conduct of our railroads: One of Three Things. l 1. Legislation of pools-the rest of the 1 railroads to make the enforceable con- l tracts between themselves as to di- vision of earnings, so that they can re- sist the temptation of being shippers f,g- rloo af la1 httgi ness moving at stable rates which shall apply alike to all patrons. 2 The further unification of ownership, 1 thereby delivering In time the entire railroad ownership of the country in the hands of few individuals or one sym dicate. s
 1 g. Government ownership, the worst of
 the three evils" if such they may be called
 In the opinion of MT Morton govern ment ownership of our railroads would be the beginning of industrial and politi- l cal chaos
 He rather favors the first proposition with adequate provisions to assure rates | being reasonable.
 l As to pending legislation, MT Morton
 favors the continuance of the interestate commerce commission In substantially | Its present form, saying:
 heTcrreQ 10 central OOuFIs
 Let 1t go on making investigations
 and findings. If 1t finds rate is unrea- I sonable (either too high or too low,
 everything else being considered) let 1t
 order such rates as 1t deems reasonable,
 and if the railroads don't make them ef- | fective in thirty days, then the entire
 matter to be referred to a central court | of transportation of, say three or five | members to be created to especially con
 sider and expedite all questions of inter- | state commerce, so far the transpor- 1 tation of the country Is concerned, it be- 1 ing understood that this central court shall have power to adjudicate in all
 such cases, except those involving con
 stitutional questions, and the findings of this court in interstate matters to be | final.
 T would urge severe punishments for
 railroads or steamboat lines engaged in | interstate commerce, which by any de- vice paid rebates, commissions or in any | way afforded preferential rates, and the | punishment should be just as severe to | shippers of commission agents seeking or | receiving them. l would permit the rail-
 roads to divide their earnings or ton | mage among themselves, filing all such | agreements with the interstate com | merce commission for it's information, | dnu l WOulu tieSe ConlIdClS cll- | forcible as between the railroads. It
 would be an insurance to the small ship | pers securing the lowest rate, and as a
 protection to the transportation com | panies against the vast tonnage and con | sequent temptation offered by the big shippers which so frequently have been used to secure inside rates. If theN,
 contracts were Illegal or against public | policy, or unreasonably in restraint of trade, then let them be reviewed by the | same court of commerce..
 Favors Federal Supervision. | 'I would favor even if 1t were necessary l to have a constitutional amendment to | accomplish 1t. the declaration that all l transportation by railroads hereafter to | b. considered interstate commerce, and | subject only to federal supervision, there- | by relieving the states of this prerogative. | and establishing one central regulation, | the federal power.
 T would make 1t impossible for others | than those directly interested as ship | pers or commercial bodies. to bring suits
 for action under the interstate commerce
 act
 'I would favor an agitation and shap-
 ing of public opinion that would not tol- ! crate such a thing as preferential rate, l and would make 1t equally disagreeable | tr grant or receive 1t. The President 8
 message on this subject meets the views
 of all good citizens. whether engaged in
 railroading or shipping"
 l