Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1905-12-08
Mistellansuas Rsading.
RAILWAY RATE MAKING.
Supervision BY National Government
Strongly Urged.

SaPOi ~
Strongly Urged.
Presidents Message to Congress.
am we'll aware Of the difficulties Of
the legislation that I am suggesting,
and Of the need of temperance and
cautious action In securing 1t. II
should emphatically protest against
improperly radical or hasty action.
The first thing to do is to deal with
the great corporations engaged in the
business of interstate transportation.
AS said in my message Of Dec. 6. last
the immediate and most pressing need
so far as legislation is concerned, is the
enactment into law Of some scheme to
secure to the agents Of the govern
ment such supervision and regulation
Of the rates charged by the railroads
Of the country engaged in interstate
traffic as shall summarily prevent the
imposition of unjust or unreasonable
rates. 1t must include putting a COM
plete stop to rebates 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-re-
straint: but 1t should exist. 80 that 1t
can be effectively exercised when the
need arises.
The first consideration to be kept
in mind is that the power should be
affirmative and should be given to
some administrative body created by
the congress. II given to the present
interstate commerce commission or to
reorganized interstate commerce
commission. such commission should
be made unequivocally administrative
I do not believe in the government In
terfering with private business more
than Is necessary. do not believe In
the government undertaking any work
which can with propriety be left In
private hands. But neither do I be-
lieve in the government fiinching from
overseeing any work when 1t becomes
evident that abuses are sure to obtain
therein unless there Is governmental
supervision. It Is not my province to
indicate the exact terms Of the law
which should be enacted; but I call
the attention of congress to certain ex-
listing conditions with which 1t is de-
sirstle 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 1t, whether
given rate prescribed by a railroad
is reasonable and just, and II 1t is
found to be unreasonable and unjust,
then, after full investigation Of the
complaint, to prescribe the limit Of
rate beyond which 1t shall not be law
full to go-the maximum reasonable
rate, as 1t is commonly called-this
decision to go into effect within a rea-
sonable time; and to obtain from
thence onward, subject to review by
the courts. It sometimes happens at
present, not that rate Is too high,
but that a favored shipper is given
too low q rate. In such case the COM
mission would have the right to fix
this already established minimum rate
as the maximum, and 1t would
only need one or two such de-
cisions by the commission to cure
railroad companies Of the practice
of giving improper minimum rates.
call your attention to this fact
that my proposal Is not to give
the commission the power to in
itiate or originate rates generally. but
to regulate a rate already fixed or
originated by the roads. upon COM
plant 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 rail-
way regulation. The first necessity Is
to secure 1t; and unless 1t Is granted
to the commission there Is little use In
touching the subject at all.
illegal transactions often occur un-
der the forms OF law. 1t has often
occurred that a shipper has been told
by a traffic officer to buy large guam
| tity of some commodity and then az
ter 1t has been bought an open reduc-
| ton Is made In the rate to take erect
| Immediately, the arrangement result
ing to the profit Of one shipper and
the railroad and to the damage Of all
their competitors; for 1t must not be
forgotten that the big shippers are at
| least as much to blame as any rail-
| road in the matter Of rebates. the
| law should make 1t clear so that no
body can fail to understand that any
kind of commission paid on freight
shipments. whether in this form or In
the form Of fictitious damages, or or a
concession, a free pass, reduced pas
senger rate or payment Of brokerage,
Is illegal. 1t Is worth while consider
ing whether it would not be wise to
confer on the government the right OF
civil action against the beneficiary or
the rebate or at least twice the value OF
the rebate; this would help stop what Is
really DlacKmall. EleNdlor allowances
should be stopped, for they have now
grown to such an extent that they are
demoralizing and are used as rebates
The best possible regulation OF rates
would Of course be that regulation Sc
cured by an honest agreement among
the railroads themselves to carry out
the law. Such a general agreement
would, for instance, at once put stop
to the efforts of one big shipper or big
railroad to discriminate or secure ad-
vantages over some rival; and such
agreement would make the railroads
themselves agents for enforcing the
law. The power vested in the gov
ernment to put stop to agreements
to the detriment Of the public should.
i'm my judgment be accompanied by
power to permit, under specified con-
ditions and careful supervision, agree
ments clearly in the interest OF the
public. But in my judgment, the
,ooa,sit,, for Giving this further power