The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1905-05-20
Railroads Are Best Friends Of
the Manufactures
APPEARS BEFORE COMMITTEE
Birmingham Man Says Transfer 81
Rate Making Power Would Throw
the Country Into State of
Chaos In Six Months.

Washington, May 9.-(SpeciaL)--coL 7.
G. Bush of Birmingham, Ala. president
of the Alabama Consolidated company,
located at Birmingham, large shippers OF
coal and iron, their annual shipments sg-
gregating two hundred thousand tons OF
iron and seven hundred thousand tons OF
coal, appeared before the senate commits
tee ON interstate commerce today, in OPP
position to the Esch-Townsend bill or any
similar legislation.
Colonel Bush said in part:
THE adjustment of freight rates Is
one of the most tremendous problems OF
the age and few people realize how deli
cate and intricate 1t is. If the rate making
power were put into the hands Of the
interstate commerce commission this
country in six months would be thrown
into state of chaos from which 1t could
not recover In ten years. The present
conditions are not burdensome. The south
has prospered under them amazingly and
II they remain undisturbed Will continue
to prosper. If the Ehsch-Townsend bill
were passed business would be demoral-
lied and the south stands solid against
this BILL The PEOPLE do not realize how
big this country is and that 1t is absurd to
say that any body, such as the inter-
state commerce commission. could pos
sbly adjust rates. The business men of
the south want conditions to remain as
they are. We have no complaints and
we want no middlemen between us and
The railroads
Good Friends of Birmingham.
THE railroads succeed said Colonel
Bush, "only by means of the good viii
of their patrons. My district in Alabama
fxes the prices of iron and steel for the
world. The railroads are our greatsse
friends. The trouble is that too many
| shippers think that because the railroads
have to exercise the right of eminent do
| main that they can use the roads as they
| please The right of eminent domain ex-
| lists for the benefit of the people. 1t will
| not be to the benefit of the people to
| take the power to fix rates away from
the roads. II viii reduce wages, will raise
freight rates, will upset the prices Of all
commodities all over the world. The farm
| er Will have to pay more for all that he
| buys and more to get II to him, and he
will awake to the error of his way when
it is too late for him to mend it,
Clements a Star Witness.
Both sides of the rate hearing question
We're represented at the session today.
| Interstate Commerce Commissioner Jud-
| son G. Clements was the star witness, de-
failing the difficulties that confronted the
| commission in its work, and repudiatlng
attacks made on that body particularly
answering a number of criticisms by
| James j. Hill.
| Commissioner Clemens spoke sarcastic
| ally of the claim that only traffic men
| had the knowledge necessary to maize
rates, and declared that In the hearings
| an effort had been made to turn the evi-
dence into a criticism of the commission.
Mr.. Clement said 1t was not intended In
| the proposed legislation to confer gem
eral rate-making power on the commits
| Son, and in answering a question OF
| oenator Doliver declared that the de-
| cision of the maximum rate case which
| held that the the power attempted to be
| exercised would give authority TO fix all
rates went too far The commission he
said, would deal with complaints they
We're made. Senator kean asked IL ii did
not take a hearing to decide certain
| case mentioned.
| Il suppose" retorted the Commissions
| er. that question Is TO Indicate that the
| commission was dlatory."
| Mr.. Clements then explained that the
| delay was due to the Immense amount Of
| testimony taken and to pressure OF other
| business before the commission. He told
ABOUT the issue OF S1pUuVWU ia stock by
| the Atlantic Coast Line TO buy con-
| trolling interest in the Louisville and
| Nashville. and insisted that this issue
| should be considered in determining what
| was a reasonable rate.
Part of Fixed Charges.
This additional stock, he added was
part of the fixed charges of the Atlantic
Coast Line. and borne by the revenues
of the road. Mr.. Clements instanced the
relations Of the Pennsylvania railroad
with the Baltimore and Ohio, the Chesa-
peake and Ohio, and the Norfolk and
Western and said that several men had
directorships in all of them, adding that
this Indicated that there was little prob.'
ability of reduction of rates by competi-
tors under these conditions
Commissioner Clements In referring ia
statements of Professor Meyer of the
Chicago university, whom he called +;
"doctrinarie," suggested that there was
IAN arstocracy of wealth which could
hire men to advocate the theory of vest
ed rights against the rights OF indiyid-
uals," and asserted that the patron saint
Of the institution to which Professor
Meyer belongs" had a colossal fortune
built up by rebates, enabling him to OBJ
tain the property of competitors He
col hat H..