Evening journal., 1905-12-05
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nN Lno courts, nave reSultcQ more oAttu /
in showing that the states have no
power In the matter than that the ma
1ional government has power; so that
there at present exists a very unfortu- !
nate condition Of things. under which
these great corporations doing an in
terstate business occupy. the position Of
subjects without a sovereign, neither
any state government nor the national
government having effective control
over them. Our steady aim should be
by legislation, cautiously and carefully
undertaken, but resolutely persevered
in, to assert the sovereignty Of the ma
tional government by affirmative ac-
tion.
This is only IN form an innovation.
I'm substance IL IS merely restoration.
Tor from the earliest time such regula-
tion OF industrial activities has been
recognized In the action Of the law
making bodies. and all that ! propose
is to meet the changed conditions in
such manner rs win prevent the com
monwealth abdicating the power it has
always possessed, not only in this coun-
try. but also in England before and
since this country became a separate
nation.
Railroad Rate Legislation.
AS ! said ia my message Of Dec 9
last. the immediate and most pressing
need 80 far as legislation is concerned
is the enactment into law of some
scheme to secure to the agents Of the
government such supervision and regu-
lation of the rates charged by the rail-
roads Of the country engaged I'm inter
state traffic as shall summarily and ef-
fectively prevent the imposition OF un-
lust or unreasonable rates. Il must
include putting a complete stop to re-
bates in every shape and form. This
power TO regulate rates, like all similar
powers over the business world, should
be exercised with moderation, caution
and self restraint but IL should exist,
so that 1t can be effectively exercised
when the need arises.
In my Judgment. the most important
provision which such law should con
tain is that comforting upon some com
petent administrative body the power
to decide upon the case being brought
before it whether given rate pre-
scribed by "a railroad Is reasonable and
Just and II it is found TO be unreason-
able and unjust then, after full investi-
cation of the complaint, to prescribe
the limit Of rate beyond which it shall
not be lawful TO go-the maximum
reasonable rate, as It is commonly call
ed-this decision to go into effect with
i'm q reasonable time and TO obtain
from thence onward, subject to review
by the courts
II sometimes happens at present, not
that rate IS too high, but that IA
vored shipper is given too low a rate.
In such case the commission would
have the right TO fix this already estab-
lished minimum rate as the maximum.
and It would need only one or two such
decisions by the commission to cure
railroad companies of the practice OF
giving improper minimum rates. call
your attention TO the fact that my pro-
posal is not to give the commission
power TO initiate or originate rates gen
orally. but to regulate a rate already
fixed or originated by the roads upon
complaint and after investigation. A
heavy penalty should be exacted from
any corporation which fails to respect
an order Of the commission. / regard
this power to establish a maximum
rate as being essential to any scheme
of real reform in the matter of railway
regulation
Il is worth while considering whether
Il would not be wise to confer on the
government the right Of civil action
against the beneficiary of rebate for
at least twice the value OF the rebate.
This would ,help stop what Is really
blackmail. Elevator allowances should
be stopped. for they have now grown
TO such an extent that they are demor
allzlng and are used as rebates
Private Car Lines.
All private car lines, industrial roads
refrigerator charges and the like
should be expressly put under the su
pervision Of the interstate commerce
commission or some similar body 81
far as rates and agreements practical
ly affecting rates are concerned re
bate in icing charges or In mileage or n
a division OF the rate for refrigeratin
charges Is just as pcrnicious as q re
bate In any other way.
There should be publicity Of the az
counts of common carriers. Only
this way can violations or evasions q
the law be surely detected. A systeI
of examination Of railroad account
should DE provided similar TO that no'
conducted into the national banks b
the bank examiners A fey first clas
railroad accountants, II thN had pro-
or direction and proper authority to II
spect books and papers. could accon
phsh much in preventing wllful viol
Sions OF the law.
Employers' Liability Law.
In my annual message 10 the Fift
eighth congress at its second session
recommended the passage of an en-
ployers' liability law for the District
Columbia and In our navy yards I T
newed that recommendation In nj
message to the Fifty eighth congress
dts second session and further sugges
ed the appointment Of a commission
make a comprehensive study of ei
ployers' liability with a view TO the e
actment of a wise and constitution
law covering the subject, applicable
all industries within the scope Of 1
federal power I hope that such a Ia
will be prepared and enacted as spec
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