Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-01-30
Discusses the Phases OF the
Rate-Making Problem.
FAVORS THE HEPBURN BILL
Advocates 1t as Remedy for Existing
Evils.
HE ARRAIGNs THE OPPOSITION
Declares That the Pending Measure
is the Very Least That The Peo-
pie Will Accept.

pie Will Accept.
According to special order the House
today took up the Hepburn railroad rate
bill. In making request that speeches.
be confined to the subject matter of the
bill, Mr. Hepburn stated that requests
for time on the bill have been so numer-
Gus that il seemed proper TO confine de-
bate TO the bill.
Mr. Williams the minority leader. OBJ
jected to this restriction. whereupon
discussion followed as to whether this
request could be enforced by vote.
Mr. Williams remarked: I'VE are a
body now that can't do anything but talk.
and If this precedent is made we will
even have that privilege cut off"
Not wishing to abrdge any of the
gentleman's prerogatives | will not press
the matter" responded Mr.. Hepburn good
naturally. He observed further that,
while no time had been set to close de-
bate. 1t had been his idea that a vote
might be taken the bill one week
from today,
In taking up the bill in committee of
the whole Mr. Vreeland New York; was
selected to preside over the debate.
Mr.. Townsend's Speech.
Mr. Townsend edichigau) at once be-
gan the opening speech on the bill.
Mr.. Townsend addressed the House for
more than an hour. calculating practi-
cally every phase of the rate-making prob
lem. and describing In detail the terms of
the Hepburn bill.
Regarding the question as one of the most
important ever before Congress, Mr.. Town
send advocated the bill as the correct rem
edy for the evils which exist. and pre-
dicted that Notwithstanding the protests
OF the roads, greater prosperity would come
to them under its provisions than other
wise To substantiate this. he called at
tentlon to the tremendous strides of year
In the transportation business, and this in
the face of the legislation which the last
Congress initiated, and which the present
Congress Is taking up in somewhat more
strenuous form.
Like the bill of last year. which bore Mr..
Townsends name. he said the present one
was the very least the people would ac-
cept. yet the present bill confers wider pow
ers and extends over every facility of
transportation. However, the present bill
he believed not only fully within the con-
stitutional powers of Congress, but was
simply an expression of the plain duty of
Congress to the American people.
Aim of the Bill
In brief. the bill attempts, he said to
place under the supervision of the inter
state commerce commission every form of
Interstate and foreign commerce and all in
strumentalities of commerce and transpor-
tation
The most serious complaints on the part
of shippers. he said have been directed
against special services, such as private
cars. Icing. elevator and terminal charges
and the like. Mr.. townsend believes the
bill affords a complete remedy for all or
these evils. as hereafter every such charge
must be just and reasonable, and in case
1t is not the commission has power to make
II So
The evil of the midnight rate was de-
scribed and the remedy set forth-reuuiring
thirty days notice of a change of rate
Briefly the midnight rate" IS device
whereby a large shipper notified a road that
or certain date a large shipment will be
made. On that date the published tariff Is
changed for a day. the shipment made at
the lower rate and the tariff Immediately
raised.
Power to Substitute Rates.
The main feature of the bill. bearing on
the point about which the greatest con-
troversy has been had and the one which
Mr.. Townsend believes lies at the founda-
ton OF the whole question, is that which
gives the commission power upon COM
plant and after full hearing, to substitute
reasonable maximum rate in place of one
found to be unjust or unreasonable.
Mr.. Townsend went at length into this
phase Of the proposed legislation. II was
opposition had been directed, he explained.
and this opposition had been alike on the
questioned constitutionality, the impossi-
bility for the commission to find a just rate
and the injury such a finding would entail
alike on business. the railroads and the
widowed and orphaned shareholder In the
broader View of the question and In the
correct conclusion on any of these phases
he saw but one answer-that to require the
railroads to be just and reasonable could
III
all
As showing how deep were the fears of
the railroad world. he states, 1900 miles
of roEd had been built during the past year
In tne United States and up to June 30
orders for more than 500, 900 900 worth of
railroad equipment had been placed.
While the number of commissioners is in
creased by two and their salaries raised
TO $4,000 year, MIR. Townsend expressed
the belief that when the law was once es-
teblishcd the duties of the commission
would decrease rather than increase, The
railroads, he suggested, would doubtless
realize the business of the law and fix their
rates with reference to II. He realized fully
the great power that conferred upon
the commission. and believed the higher
salary only adequate compensation for
men of the character needed.
The wide publicity of railroad affairs re-
auired in the bill in his opinion a potent
factor for good. The provisions expediting
the business OF the commission and the
cases in the courts growing out of the
The courts are to pass simply on the
validity OF the decisions. and the appeal to
the Supreme Court will be on the question
as 10 whether given rate fixed by the
commission is or is not confiscatory.
The Opposition Arraigned.
Although MIR. Townsend regarded the
question I'm no sense political. he ex-
pressed himself pleased that the repub-
lican party has taken IL up. He arraigned
the means employed by the opposition to
rate legislation.
ITO me 1t has seemed he said. that a
systematic effort has been made TO discredit
the administration in various matters in
order to direct attention from this great
question. and | have no doubt that delay
will be caused wherever possible in the
vain hope that something yet will happeu
TO prevent final action As one of the
younger and most humble republicans in
the House. let me admonish my party as
soeiates in both houses that this question
VIII not down. nor Will II much longer brook
delay
The people Aave spoken and every dav
to their demand Is mora imnara i,,s