Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1907-05-01
No Material Change to Be Made
By Commission in Merchand-
ise Glasses
SERIOUS OBSTACLES FOUND
Revision of Rates Would Compel Re-
adjustment of Business Relations =
Some of the Conditions Found to Ex-
ist in lowa--Joint Rate Question Not
Yet Taken Up.
Special to Times Republican.

Special to Times Republican.
Des Moines May 1.--There will not
be any material change In the rates on
freight in general merchandise classes
under the Iowa classification, and the
rates as established upwards OF esgh-
teen years ago will remain substanti-
ally without reduction. Neither ship
pers nor railroad men have pointed out
to the commission just how any revis-
ion Is to be made that will be reason
ably satisfactory to many of the inter-
ested persons without being very OBJ
noxious to at least few.
Two serious obstacles to revision by
reduction have been found. The first
and most important Is the matter OF
compelling readjustment OF business
relations IN the state and general
shaking up of commercial relations,
with special reference to communities
and commodities and firms and prices.
The railroad men say that the great
obstacle to the growth of Iowa cities
and towns Is the rigidity of Iowa rates
and the fact that under the Iowa law
rates must be based on mileage
schedule, so that there Is no way that
special industries may be favored or
competition be established where ma
tonal conditions are opposed to 1t. But
1t is also pointed out that business In
Iowa has been made to conform to this
system, jobbing and manufacturing
eenters have been established all over
the state and any material change
means readjustment of these mat
ters. This would be a serious thing.
Then there Is the question of abb
straet right and fairness in the rate
1t was shown at the hearing yesterday
before the railroad commission that the
Iowa rate is lower than that of Illinois
for distances from 30 to $50 miles, and
then higher for longer distances. But
the bulk OF the local business is done on
the shorter haul. II the Illinois rate is
accepted, them there will be increase
OF rates for the shorter distances. The
commission cannon escape this logic.
But the representatives of the Coun-
Gil Bluffs Commercial Club put up to
the commission and the railroad
problem which appears to be peculiar
to the cities in the western part Of the
state. They pointed out that in easte
ern Iowa the cities get the benefit Of
the long haul on interstate rates to the
Mississippi river basing point, and that
the addition of the local rate across
pointed out that on some commodities
Des Moines gets the Mississippi river
rate. They argued that the Interstate
rate was evidence that in the opinion
of the railroads freight can be hauled
cheaper than under the Iowa schedule
for distances Of 200 to 800 miles In
answer to this representatives of the
railroads suggested the argument that
the density of population east of the
Mississippi river had much to do
with 1t.
But 1t was made pretty plain to all
concerned that the Iowa rates on short
hauls are now lower than in most of
the other states and If there is any re-
adjustment Of these general rates
there will be some increase on the
short rates. The railroads, however
are more concerned in keeping the long
to disturb interstate rates, which might
be affected by the same. Inasmuch as
1t appears that majority Of the ship
pers are we'll satisfied with present
rates, or at least are not making COM
plants, it is likely there will be no
change made at present.
So also in the matter Of preparing
schedule for joint rates 1t appears that
the Des Moines jobbers are not ask
ing for any joint rates, and in fact,
would prefer that they be not put in,
for they can reach more points in the
state by direct route than other job
bers. When joint rates are established
there is sure to be much complaining
even among the shippers so the task
is not an easy one. The commission
has not taken up this work as yet and
can not do so under the law until
later.
THE railroads will not make fight
to have declared Illegal the cent fare
in Iowa. They will go into the courts
to resist the 2 cent rate in Nebraska,
in Arkansas, in Missouri and perhaps
In other states. The attorneys say
that the rate will be accepted in Iowa
as final and that there will be no con-
test made. The situation in Iowa is
different from what 1t is in other
states. When the Iowa rates go into
effect the first Of July interstate rates
will be put at the 2 cent basis at least
for large area.
1t is expected that the governor will
veto the bill limiting the dividends of
insurance, companies.
REVIVED THREE TIMES.