The news & observer., 1905-12-17
"FTXING'' OR "REGULATING.' -


The Columbia State says the presi-
dent is merely losing time and making
a capital blunder in trying to draw a
distinction between fixing" rates and
regulating" rates. The chief bad re-
suit of this attempt is to enable men
to interpret his position differently
and claim to be standing by the
Presidents policy. In his address in
Raleigh on. Thursday night, Mr.. d. a.
Tompkins said the present fight over
railway regulations is "only to create
the machinery to enforce laws now on
the statute books and later he de-
clared that cit is important that We
support President Roosevelt in his po-
sition upon rate regulation" Evil
dently Mr. Tompkins has been misled
by Mr.. Roosevelt's unfortunate at
tempt to make a difference where
there is none. In his message to Con-
gress, Mr.. Roosevelt wrote some vague
sentences that have caused some peo-
pie to think that he was not deter
mined to go the full length required to
bring relief to the people. In his mes
sage to Congress he said:
"It' is not my province to indicate
the exact terms of the law which
should be enacted; but l call the at
tention of the Congress to certain ex-
listing conditions with which it is de-
Sirable to deal. In my Judgment the
most important provision which such
law should contain is that comforting
upon some competent administrative
body the power to decide, upon the
case being brought before it, whether
a given rate prescribed by a railroad
is reasonable and just. and if it Is
found to be unreasonable and unjust
then, after full investigation of the
complaint, to prescribe the limit OIL
rate beyond which it shall not be law
full to go--the maximum reasonable
rate, as it, is commonly ,called--this
decision to go into effect within a
reasonable time and to obtain from
thence onward. subject to review by
the courts. 1t sometimes happens at
present, not that a rate is too high
but that a favored shipper is given
too low rate. In such case the COM
mission would have the right to fix
this already established minimum rate
as the maximum: and 1T would need
ONLY one or two such decisions by the
commission to cure railroad companies
of the practice of giving improper
minimum rates. / calf your attention
to the fact that nv proposal is not to
give the commission power to initiate
or originate rates generally. but to
regulate a rate already fixed or orig
mated by the roads upon complaint
and after investigation. heavy pen
altv should be exacted from any cor
noration which fails to respect an or
der of the commission. 1 regard TINS
power to establish a maximum rate
as being essential to any scheme OF
real reform in the matter of railway
regulation. The first necessity is to
secure it; and unless it is granted to
the commission there is little use in
touching the subject at ALL
Now while Mr.. Roosevelt has been
unnecessarily prolix and seemed in
sistent to call attention to the fact
that he does not propose to give pow
er "to initiate or originate rate" his
conclusion that power to establish
a maximum rate as being essential
to any scheme of any real reform in
the matter of railway regulation
would seem to Ieave no room to doubt
that he is earnestly in favor of power
to fix fair rate upon complaint.
That was made clearer in his celebrat-
ed Raleigh speech. for in this city Mr.
Roosevelt said
But in my judgment the most i'm
portant thing TO do is to give to TINS
administrative body power to make
its findings effective, and this can be
done only by giving it power, when
complaint is made of given rate as
being unjust or unreasonable, II Ii
finds the complaint proper, then itself
to fix a maximum rate which IL re-
CARDS as just and reasonable, this rate
to go into effect practically at once,
that is within a reasonable time. and
to STAY in effect unless reversed BY
the courts | earnestly hope that we
shall see a law giving this power
passed by Congress
The reason for Mr.. RooSevelts care
that he should not be understood to
favor giving power TO initiate or
originate a rate" is not clear. Prac-
ticafly there is little difference between
giving power to "initiate or regulate
a rate and power "to fix a maximum
rate when complaint is made" In
many respects it would be better to
give the Commission power to orig
mate" a rate, as is done by the North
Carolina Commission. The power to
Originate does not preclude giving
a hearing to the railroads. which is
always given, and the Commission does
not act until it has all the light that
can be thrown upon the matter AT
issue.
The Washington Post seems to think
that Mr.. Roosevelt will finally yield
point after point in order to secure