The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-01-28
THE DAvEY BILL.
------------
How It Will Affect Southern De-
vclopment, If Passed
Editor of ,rhc TImos. Disnntcl.

communication, under the above ant ouo.
tation from Major Jancs n. Doolay,s
on President Roosevclt's invitation 10 In !,
Southern people to walk into Ills railway
rate trap.
Since then It would seem that the Dem
ocratic members OF the House Commit
tee on Interstate and Foreign Commerce.
by endorsing tho Davev railway rate bill
have walked into the parlor and that they.
arc now endavoring to drag The entire
Democratic membership of the House in
after them and to deliver them, gagged
and bound hand and foot to Mr.. Roose-
welt.
In fact. from the viewpoint OF the South
the Davcy bill IL by far tho most objcc-
tionable railway measure that has yet
been introduced In either House OF Con-
gross IT is Impossible TO conceive how
any Southern man could have been led
to draft and give his name to ouch ~
bill. and it's support by the Representa-
tlvess OF the Southern States can have
but one rcsult--that of alternating from the
Democratic party many men who have
the business interests of this section OF
the country more ut heart than the po-
litical success of any set of dcmagogues
who arc trying to strengthen their hold
on official position by catering to an ,,n-
thinking populistic sentiment voiced by
those who have been swept off their feet
by the high-sounding platitudes of our
, strenuous President.
that, IL enacted into law. would work the
utmost harm to Southern Industries and
do the most to retard Southern develop
ment, he could not have succeeded bet
ter The Dayy bill contains every fault
of every other rate-fnaking bill that has
been introduced In Congress and several
others that are peculiarly its own. Like
all of the other rate-makng bills, IL pro-
poses to confer on a political commission.
responsible only to the President OF tho
United States, autocratic powers over
transportation charges, nnrestrained by
any effective provision fol, judicial review.
This. In itself. would be enough to con-
denim II in the mind of every Southern
man who Is not ready to turn the con-
troll oil the commerce of this section over
to political commission that might use
It's vast powers over the railways of the
country to build UP a political machine for
the pcrpetuation of a President or his
party In power.
Mr.. Davey has gone further, however
and has introduced in his bill many pro-
visions that would strengthen ana extend
the powers of the Interstate Commerce
Commission further than Is proposed by
any of the other bills. He. would extend
the aut hority of the commission over
water traffic. where the transportation Is
partly by railroad and partly a. water"
without any qualification as To common
control or management or as to through
! bills of lading. This would necessarily re-
suit in bringing to a dead level rail-and-
water rates and all-rail rates between any
two points having both kinds of service.
Under such rates the all-rail lines, with
their greater speed would soon have all
OF the traffic and the water lines would be
| put out of business. 1t is unneces-
! sary to point out what this would mean
to the Southern States with their long
coast line on the Atlantic and Gulf and
/, their many navigable rivers, all of which
| have played a most important part in the
development of our entire section and in
bringing freight rates down to their pres
| ent average level.
This truly remarkable bill proposes in
express terms, to give the Interstate Com
merce Commission jurisdiction over ex-
! port traffic. It proposes to amend sec
| ton four of the present interstate com
merce act BY eliminating from the long
and short haul clause the words under
substantially similar circumstances and
| conditions thus prohibiting absolutely
| the making of less charge for tie long
| er haul, subject, however, to a remark
able provision giving the commission abb
| solutc discretion to suspend the opera
/ ton of this prohibition at will. and en-
aiding it to exercise the dispensing power
of granting or Withholding favorable rates
| at pleasure.
| The Interstate Commerce Commission.
under the present law. until 1t had been
instructed by the courts time and again
| as to what that law meant, undertook to
| give the most narrow construction posi-
bie to this qualification of the long and
snort haul cluase One of the particular
! applications that the commission strove
| to make of the long and short haul clause
| was the breaking up of the basng point
system In the Southern States, the inev-
| liable result of which would have been 10
| have destroyed the jobbing trade of The
South and to have thrown the distributing
business of the country back more and
| more to the great cities and especially
to New York.
Taking this long and short haul clause
| OF the Davey bill In connection with its
provision for the control OF export traffic
| 1t can be asserted that It would seriously
| fnjure, IL 1t did not absolutely destroy.
the export business of the Southern sea-
ports. Not only must the railways haul
| export traffic at less than domestic rates
but the lines serving the South At.
lanttc and Gulf ports must make lower
rates than those to the North Atlantic
ports. because the ocean rates from the
4 Southern ports are materially higher I'm
DER the rate making power alone the
! commission could greatly hamper the rail-
ways of the South N their Efforts to
build up the export business OF the
| Southern ports. Under the peculiar pro-
visions of tho Davey bill 1t could destroy
| the Southern ports.
Take as an illustration the export wheat
business through Mr.. Davey's home city
?
first place, the commission could order
reductions on the roads leading to North
ern ports that would place the roads
| leading to New Orleans at a disadyan-
tage. 1t could then forbid the Illinois
Central from making a lower ratio on
wheat to New Orleans for export than
for domestic consumption. and it could
then forbid this road from making II low
! er rate on wheat from Omaha TO New
Orleans than from Omaha to any in
termediate points. Every man familiar
with the way in which the roads leading
to the Gulf ports have to make export
grain rates in order to- obtain n share Of
the traffic in competition with the North
Atlantic ports with their cheaper ocean
freights will realize that. under such con
ditions the Illinois Central would have
4 to go out Of the export grain business or
would have to haul all Of Its grain traffic
at a loss and endeavor to make both ends
meet by charging higher rates on other
traffic to the manifest DISADVANTAGE of
all OF the communities along its lines.
The Davey bill would extend the time
required for notice of an increase or de-
crease In rates to thirty days. but would
give to the Interstate Commerce Com
mission unrestrained power to modify or
.1,t