Daily press. [volume] (Newport News, Va.) 1896-current, 1905-01-13

i1AAS. SitiChsO .IuLI"duKee anu st. Paul,
Northern Pacific, Illinois Central. Della
ware, Lackawanna and Western and
other railway companies spoke vigor-
ously today before the House commit
tee on interstate and foreign com
merce against the Cooper-Quarles or
any proposition to authorize the inter
State commerce commission to fix rail
way rates.
Keynote Of Opposition.
Mr. Spencer is the first direct and
official representative of the railways
to be heard by the committee and his
testimony is regarded as the keynote
OF the opposition to rate fixing by the
government
MI. Spencer said the Interstate
commerce law and the commission had
been in operation for Is years Be
tore its operation the rebate the Sc
cret contract and discriminatory dew
ices OF various kinds were the rule.
Now the reverse is the case. Rates
are substantially maintained
Rebates are Wrong.
There is no difference of opinion"
continued Mr. Spencer. between the
railroads of the country, Congress and
the President on the subject that re-
bates are wrong. We agree with the
language of the President, the high
ways OF transportation must be kept
open TO all upon equal terms On that
basis the railway companies are ready
and anxious to aid and cooperate.
But ! do not think any additional
legislation is necessary to proceed
against that particular class of
abuses. If such legislation does ap-
pear to Congress to be necessary the
railways of the country will certainly
stand. and have no hesitation in
saying SO, in cooperation and aid to
that end.
That particular phase of regula-
ton has already been pronounced by
the commission as fully covered by ex-
listing statutes. 1t simply becomes a
question of enforcement of the law"
Personnel Satisfactory.
Referring to the personnel of the
commission, Mr.. Spencer expressed
the confidence Of the railway world in
It end said it was Justly worthy of
the respect of the country. There was
but one feature of the Quarles-Cooper
bill which he wished to discuss specif-
ically, that was the portion comforting
power on the commission to substitute
a rate for one complained of as unrea-
sonable. after due hearing, said rate
TO remain in effect subject to change
only by the commission or by the
courts on appeal by the railways
Reasons Specified.
The reasons advanced for the neces
s.i:y Of this lower We're enumerated by
Mr. Spencer, rs first that ii is merely
restoring a power which the commits
sion had for ten years exercised This
~ M L.
lesally existed and he reviewed the
cases and litigation which led to tho
7ecision Of The courts prohibiting thu.
exercise Of the power by the commits
sion in 1851
Easily Evaded. . t
1T is also claimed" he cont inued,
that this power would be a weapon il,
the hards OF the commission to pre-
Vert rebates. Put a rate fixed by the
commission can lie rebated or evaded
just as easily as any other 1t has al
so been claimed. but not officially be-
llcve that such power il the hands
of the commission would act as de-
ter:ent in the matter CT secret rebat-
ing and other devices for evadins a
rate. Eut the use Of that weapon
would punish not the evader of the
rate but the read which upheld the
rate. As its exercise would be to let
the rate down to the lower figure. thus
! working no hardship on the word MAX
lug the less rate. but Furnishing the
roaG maintaining the regular rate"
Most Important Claim.
The most important claim in the
| whole situation Mr.. Spencer believed
to be that such a power would enable
| the commission to prevent discrimin-
tjNO +
ton Ct adjusting rates between locali-
! ties he said was the most difficult and
Intricate of all. the present adjust
rlcnt was the outgrowth- CT natural
! competition not only between locali-
ties. which had and would always ex-
! 'St. h'st between railroads as we'll 10
disturb this adjustment or to begin it's
disturbance he maintained would not
only be task so enormous that no
statement conld convey comprehen-
| sion Of il. but Woul,l be i'm cossible Of
satisfactory completion in the hands
Of body with authority only to take,
INTO consideration the one phase of adj.
]uctlrE rates with reference to their
! equalization so far as the carrier was
concerned. ard leaving out the ques-
ton of competition between localities
Unreasonable Rates.
Taking up the subject Of unreason-
able rates, Mr.. Spencer referred to the
statement which had been made to the
committee, that rates were thirty-three
thousands OF one percent higher in
100" than in 1899, making total
raise Of $155 100000 This he con
coded to be true when the gross re-
ceipts were taken into consideration.
He gave as reason for the increase in
the price of commodities OF every de-
Scrinfinn and hn