The Montgomery advertiser., 1906-06-27
REJECTEY BY
 THEs SENATE 
 Railroag keport is Again
 I ned Down. THE PIPE LINES AMENDMENT Its Effect Discussed at Length by
 Several Senators.  Different Views Taken as to the Ad- vantage to the standard oil Trust
 or the Independent Reflners.
THE PIPE LINES AMENDMENT

Washington, June 2e.-when the conference report on the railroad rate bill was taken up in the Senate today Senator Elkins, who was one of the Senate conferees. spoke on the amend ment to the commodity provision using the word railroads" instead of the phrase common carriers" He gave immediate attention to the contention that the change has the effect of eliminating pipe lines from the re- qutrement of the bill He said that West Virginia Is the largest oil pro. CT part of the oil is sold to the pipe line owners so that the owners trans port their own oil and are not strictly ly speaking common carriers Of these carriers, he said the Stan dard Oil Company is by far the most extensive, but so far as he knew 1t had not given offense to the people as q transporter, whatever 1t might have done in the matter of fixing prices. He believed that if the bill should become law as 1t passed the Senate, 1t would greatly embarrass the independent op- orators because even after the oil Is taken to the seashore, the independent operators are without means of reach ing the foreign market and must de- pend on the Standard for that par- pose.
 He also contended that the provis- ion would have the effect of stopping development and commended the ex- ample of his own State which while re- garding pipe lines as common carriers, permits them to carry their own oii4 He declared that the effect would be to give the Standard an entire monop- oily of the oil business and utterly ruin many independent operators
 Defends Pass PrOvissen.
 Mir. Elkins also defended the com ference pass provision as being as sat- isfactory as could be provided.
 Senator Long complimented the con- ference report as showing exceptional success on the ? t of the Senate. He called attention to the fact that of the fifty-one amendments, made in the Senate. thirty-four had been accepted by the House. while only six had been rejected outright. He did not, however, find all the changes made by the con. ferees entirely to his liking, instance ing the provision for passes to per- sons employed In the postal service as an unjustified discrimination
 Mir. Long spoke at some length on the pipe line amendment and in doing SO dealt with the Kansas oil legislation That State had declared pipe lines com mon carrier as a means of hitting the Standard Company, but it had not had that effect.
 Extreme. unjust and unfair icgisla- ton, directed to the injury of corpor- ation like some of that of Kansas Is likely to fail of Its end" he said, but continuing he said that all the legisla- ton had not been intellectual. They had found q State refinery to be the most effective remedy they had re- sorted to. He also stated that the agi- 4ottArx fs4 hi fn Q he a(PA PArkN as la. creasinR the number of independent re- fineries from one 10 seven. There are also independent lines, but unless the Senate amendment is altered. he said. they could not carry their own oil. Fur thermores there Is movement on foot to construct a pipe line to the Gulf of Mexico. which would be under the same restriction.
 Senator Clay raade the point that the provisions do not apply to pipe line companies confined to the transporta- tion of their own oil. but all along con tended that the provision was to make common carriers of pipe lines.
 win Establish Monopoly.
 Senator Tillman declared that the ef- feet of the system of allowing the pipe line companies to buy and transport oil must be to inevitably establish monopoly and Is necessarily in the in- terest of the Standard Company
 MT. Long said that producers do not want to sell their oil at the refner- ies. but at the well In the Eastern States he said the Standard co:ipany ia now prepared to evade the law be- cause practically all of its trunk lines are in the name of the National Transit Company. The Standard com nanv would buy the oil In It's own name and transport 1t through Its lines held by that company under another nam"
 Senator Bailey thought Mir, Long un- duly alarmed because the pipe lines cnuld not he considered as common car riers unless they invoke the sovereign right of eminent domain. but the Kan sas Senator met the point by saying that 1t would remain for the courts to say whether this is true. He thought the provision should be free from doubt
 Senator Clapp could not accept the theory that the proposed Legislation would injure the Independent compa- nies nor did he believe that the pro- tests were uninhuenced by the Stan dard company. In support of this statement he read a letter from George ident of the Mlnnehoma oil Company in which the writer said he had been called into the local office of the Stan dard oil Company and asked to for ward kilograms of protest to Senators and ConRressmer, the Standard agent supplying the. form and volunteering to pay the cost of transmission. He announced his opposition both to the commodity and the pass compromise
 The Senate then decided by an al- most unanimous vote not to accent the conference report and to insist further on its amendment. Senators Tillman. Elkins and Cullom being named as con