The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-02-18
RAILwAY REGULATION.

/ bright smart, able, popular men, IN
their legal and other departments,
who naturally act as lobbyists against
legislative regulation.
It is difficult to resist the blandish-
ments of these men. often able at
torneys with the best Of good feeling
and of good fellowship.
Don't forget, however much these
gentlemen are to be admired and re-
spected that they are paid to work for
the railway interests. That is their
regular business: to present the cor
poration side. This they may do con-
scientously. too; it is a duty.
Railway companies naturally don't
want regulation. They prefer to reg
ulate. They run politics as well as
trains.
One of the great issues in Wisconsin
today is the rate regulating problem
of transportation.
1t has elected Governor La Toilette
to a third term. 1t has without his
effort chosen him to the United States
senate
La Toilette writes on "Fair Rail-
road Regulation'-tl1e. first of
series of such articles-in the issue of
the Saturday Evening Post, of Phila-
delphia, of this date. The full article
/
senator especially. II the news
stands are not sold out get a copy; if
they are borrow one.
The Wisconsin governor says in
part:
ITO meet and discharge wisely the re-
sponsibility OF regulating commerce,
state and interstate to bring railways
back and hold them in their legitimate
business as common carriers, is the
most important work in the govern
ment of this Republic for this genera
ton of men.
Capital and labor, wherever en-
ployed in the creation OF wealth.
whether in mining or in manufacturing
or In agriculture-in short, material
production in every field Of human ac-
tivity. is absolutely dependent upon
transportation. That business, town or
section which is denied the opportunity
rates, and upon an even footing with a |
competing business. town or section, |
must inevitably suffer great loss and, |
in the end, be forced out of the I'M |
equal contest. Therefore, the general
growth and prosperity of every COM |
mUnity, the interests Of producer and |
consumer alike, depend upon these
three factors in transportation; the ser |
vice must be adequate; it must be rea- |
sOnable in cost: it must be impartiaily |
rendered with respect to each individ- |
ual, every business, town or section
Furthermore, the state creates the 1
railway corporation and beStOws upon /
it special powers and special privileges, !
without which it could not establish and /
maintain its lines or build up its bust
ness.
1.-THE only principle upon which gov
eminent can grant such powers and I
privileges, and bestow public aid upon /
maintaining public highways over |
which they must serve the public eff
GENTLY, reasonably and impartia1Iy.
"A shipment originating and ending
hi tat sc at q ms n
state transportation. With respect TO
such a shipment the national govern
ment can exercise no authority or con-
troll whatever Commerce of this char
acter is purely a subject of domestic
concern for the state. If the shipper is
to be protected in his right to an eff
cient service at a reasonable rate, with
out discrimination IN any respect, II
must be by state government alone.
For more than a generation 1T has
been the settled law of this country
that the state. through its legislature
may control railway services and rail-
way rates as to state commerce, and
that the national government, through
congress, may control railway services
and railway rates with respect to IN
terstate commerce.
In recognition of this right, several
of the states have established such
for the control of railway
services and rates within the state.
wisconsin, Illinois, Iowa and Minne-
sofa led in broadly asserting the right
of the state legislature to control trans
portation rates and services
From the enactment of the law in
until its repeal, two. years
later, when the railroads regained con-
troll of the legislature, and long after,
the highest talent which money could
command was employed in assailing the
Wisconsin law, and the laws passed in
Iowa and Minnesota as well.
Notwithstanding all that has been
written and the authorities which may
"a IN the venture /
here to declare that, in so far as the
Granger laws were enforced in either
Of the four states, they were helpful.
and not harmful, to the interests OF
the state. its citizens and the railway :
companies as well. ii
I'm states, where no such laws were
In force. the decline in gross earnings
was great; in fact. the shrinlkage was
from ten to twenty times as great as in
the Granger states. (
THE showing on net earnings is
equally significant For the three
Granger states from 1873 to 1875 there
was a substantial increase. In the ad-
joining states, however, there was a de-
cline in net earnings amounting to I
three per cent. I
IF the rates afforded the railroads !
less than a reasonable profit they would ,
at once appeal to the courts to increase
the rates. It is the settled law that
neither the legislature nor a commits
sion created by it, with power to fix
rates, can compel a railway company Z
to accept less than a reasonably profit :
able rate. Therefore, by acquiescing in
the commission rate in Iowa and Illi- :
nois, without appealing TO the courts
the railroads admit the rates to be high 7
enough in those states. IL
1.-The facts submitted to the Wisconsin +
legislature demonstrated that the pro-
ducers and consumers of this state were .
paying freight charges at that time
ranging from twenty to nearly seventy s
per cent in excess of the rates paid in t
Illinois and Iowa for identicaIly the z
same service. :