The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-10-19
RESULTSSECURED BY THE.
RAILROAD COMMISSION
History Of the Rate Investigation Reviewed BY secre
tary Of the Commission Status Of the Pro-
ceednqs at This Time. zssessx.s.ss. S.

7%l s.sEs ~~~AAA4Ao q
Under authority of the Minnesota
railroad and warehouse comission, a
statement has been prepared by A. G..
Clausen, secretary of the commission,
reviewing the railroad rate investiga-
ton up to date, with it's results, and
the present status Of the proceedings.
In the course Of this state inquiry,
some Of the evidence concerning re-
bates was brought out which is to be
jury in Minneapolis next week. T. 49,
i Mr.. Clausen' IS statement follows:
At the. legislative session of 1905
Joint committee was appointed, Jan.
II, 1905, to inquire into the question
Of freight rates in this state, and found
that, comparing the existing rates in
Minnesota with those in force in Hi
nois and Iowa, the people of this state
were paying much higher rates than
those of the. other states named; fur
ther, it was found that but one tariff
Of rates existed in Illinois and Iowa,
which rate. applied to or from all
points, while in Minnesota there were
three separate, distinct tariffs in use,
the first being known as distributing
tariff applying to and from, all points
recognized as distributing points, the
second being a distance tariff applying
between all stations not terminals and
usually bearing higher rate than the
distributing tariff, the two tariffs men
toned applying to classified freight;
the third known and" designated as a
commodity tariff, applying to. articles
Of bulk and weight, such as grain, lum-
mer, coal, livestock, etc, which in all
cases carries a lower rate S4 = =.
The committee further found that,
under the system in vogue In this state,
each railway company issued in the
first instance it's own tariffs, resulting
in a lack of uniformity in the various
schedules Of rates as also in the per-
centage Of graduations established by
the, different companies in the. class
rates.
The findings of the committee result
ed in the adoption Of the following
resolution on April 6, 1905: -,
Whereas, The railroad and warehouse commits.
! sion is the proper tribunal and the only body
properly equipped to- undertake the work OF
securing an equitable, intelligent and fair re-
adjustment Of the rate situation in this state
Now, therefore, be it resolved by the senate
the house concurrng, We recognize the prevail
ing conditions which seem to warrant the ex
istence Of a distributing and distance tariff
and believe that in maintaining a distributing
|
points in the state which are valuable to thu
people as sources of supply, but afford home
market for our products We believe, however
the two tariffs should show but little differenc,
In the rate, for given mileage; in no cas-
| should the difference exceed per cent.
Resolved, further, The railroad and warehouse
commission is hereby directed to undertake tn
| work. of securing readjustment of the exist
/ ing freight IA ties in this state which will Civ
more uniform system of rates thruout tn
state and a uniform scale of percentages whic
each class rate shall bear to the first class, tn
REIMBURSEMENT to substantial reduction
! in the existing merchandise rates.
1 49,, Commission Prepared Schedule.
Pursuant to the resolution, funds fol
the purpose having been provided, thu
commission at once proceeded to in
vestigate and ascertain in a careful ant
methodical manner the relative percent
! ages of difference between existing
rates in Minnesota and those Of Illinois
and iowa. This entailed.s considera bl.
4 labor and time rand rfresultedsc in. til,
! preparation Of schedules showing &C
i curate1y the existing frst-c1ass rate AM
! the commodity rates from st. Paul ant
! Minneapolisaf For, zlgiven distances coy
4 ering several hundred, miles and tn
4 percentage Of increase of termlna
1 rates above the distance tariffs 0
i Illinois and&Iowa.A ,53I --'
/ a. While this work was progressing, tn
commission aalnder the: authority cor
i ferred by the laws Of sthe state pre-
\ ceeded 4 to investigate the reasonable
ness OF the existing tariffs of: rate
4 and charges in Minnesota by fixing O
the 18th. day Of May, 1905, for a pre-
linlinary hearing son 4 the subject, a.
! common carriers being notified tina
they would be 2giyen) an opportunity t
be heard in the manner provided b.
Il law. ~
suant to- notice. Most 2of the rallwa
: companies appeared by, executive off
I GERS Or legal counsel.39'ci49 81 ~ -,
j: There was a general discussion Q
! the Subject matter under considerable
7 during which the commission commun
:, Gated their views as to future pre-
;. cedure and agreed to furnish the con
panies with the tabulated matter. who
: was in course of preparation as 500
l. as it was available for distribution
The hearing was then adlournea TO
;, date to be fixed by the commission,
On Dec. 20, 1905, the commissio
gave notice to the various railway con
panies that a hearing would take plat
, at their office on Tuesday, Jan. L., 100
? at 10 O'Clock am, the particular ma
> ter to be considered being the questlo
; Of the reasonableness of existing rate
] During the interim the commlsslo
had been occupied in securing; the dat
and information as Ito comparative gu
: ferences in rates in different, state
and made the necessary lnvestlgat1
{ to enable them to prepare what In ]
t=i1ldgment was schedule of fair an
5 reasonable maximum class or =mercha1
disc rates for Minnesota. B"
: Maximum Tariff Presented.
! The hearing of Jan. 16, 1906, can
J on as appointed with sixteen OF Il
.. railway systems of the state repr
! scented. ! After a general dlscnsslo Q
: copies Of the printed schedules OF raj
/. proposed by the commission as reaso
: able maximum terminal and dlstrlou
q inu rates were handed to the, repr
8 sentatiyes of each Of the companie
s and as an extension Of time was !
q nuested by the officials in order
: make an examination Of the ,propos
rates, the hearing was adjourned UNI
Feb /. 1906, and again adjourned
$ the goth day Of March.
! The adjourned hearing came :,
!! March 26. 1906, with a large numb
I az traffic and other railroad offcis
! present. also their legal represent
! tives. The attorney general represent
+! the commission. The various exhlb:
! and schedules constituting the case
! the state were filed by the commlssl
! "a considerable quantity of exhlb
were also filed by the railway co
! panies which were placed with Z
! record in the case. The hearing &C
! tinued for several days at when en-