Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1907-06-07
Iowa Commission Will Order
Joint Freight Rates Only on
Mutual Demand
INTERSTATE RATES HIGHER
RAILROADS Decide to Raise Minimum
Joint Rate Charge on interstate
Business in Order to Eliminate
Present Discriminations-companie
Prepared to Fight Law.
Special to Times-Republican.

Special to Times Republican.
Des Moines. June If the Iowa
railroad commission puts In joint
rate, or orders the railroads to make
joint rates on Iowa business in way
that the railroads feel to be unfair and
harmful to their interests or orders
rates that will not be compensatory,
the railroads are prepared to not only
resist such rates but II necessary to at
tack the entire law under which the
commission acts and have the courts
declare it null and void. This was
frankly avowed by representatives OF
the railroads before the commission
here 1t was given as fair warning
that no rates should be put In that
will not be agreed to by the railroad
In fact the Iowa
commission will not put in joint rates
unless there is substantial agreement
as between the shippers and the car
riers.
Several other matters were brought
out in the hearing here, such as
Railroads are willing in some cases
to eliminate the transfer charges.
Railroads are willing to make thru
rates on the basis of one rate plus
Scent transfer charge.
Some railroads are willing to make
rate based on so per cent of the
charge for both local rates.
There is demand from almost every
shipping point in Iowa and on al
most every commodity for joint rates.
In order to eliminate the dfscrim-
'ination of the present system the rail-
roads nave definitely decided that they
will raise the minimum joint rate
charge on interstate business.
Inasmuch as the joint rate question
was brought to the attention Of the
Iowa commission first and perhaps in
the most effective way by the ship
pers of Shenandoah, their case was
considered more than any other. When
the commission adjourned the hearing
some time ago 1t was agreed that there
should be some effort to settle the
Shenandoah complaint by agreement.
But the Shenandoah shippers. repre-
senting nursery stock, husking pegs,
seed corn and implements, appeared
to ask Joint rates, and stated that their
chief reason for so doing Is that they
are subjected to unfair competition
by reason Of the interstate joint rates.
William Ellis, attorney for the Mil
waukee and incidentally representing
other railroads in rate matters IN
Iowa, explained what had been done
in regard to the Shenandoah COM
plaint. He said that he had agreed
on behalf Of the railroads that he would
recommend adoption Of Joint rate
for Shenandoah on the basis of the
Iowa distance tariff, plus a scent
charge for transfer. This would be
entirely satisfactory to the Shenandoah
people.
"But when we sent the proposal into
the head office, it got into the traffic
department, and there 1t fell into bad
company" said Attorney Ellis. In
the meantime there had come from
Iowa regular snowstorm of requests
for joint rates, from every community,
on every kind Of goods and including
practically every railroad in the state.
If there has been any business over
looked 1t has been because somebody
in Iowa has neglected something. Ine
traffic departments were swamped with,
these requests. Now to grant the
Shenandoah proposals meant that Joint
rates would have to go in all over Iowa
and on everything. The commission
might as well make blanket order.
The traffic departments are at work
on the matter, but have not had time
to accomplish anything. There 1t rests
for the present"
The important thing, however, was
the concession on the part of the rail-
roads that they can afford to ship over
two lines as cheaply as over one, pro-
yided the transfer charges are paid
by the shipper, and the further fact
that instead Of 25-cent transfer
being necessary, scent charge would
be deemed enough. In fact, it. was
stated in the hearing, and not denied.
that the railroads get the transfer
hauling done for am average OF 3 cents
per shipment. The invariable charge
to the shipper is 25 cents.
During the discussion. Mr.. Titte-
more for the Iowa Central, stated that
the carriers would be willing to pay the
transfer charges on the basis of Joint
rates equalling 80 per cent of the sum
of the two local rates. His company
would be willing to have an order
made to that effect and would elimi-
nate all transfer charges.
According to Mr.. Ellis, Of the Mil
waukee road, the demand for joint
rates has become general in Iowa. At
first 1t was supposed that in only a
few cases would there be a demand for
joint rates. 1t turns out, however, that
the demand is general, and that any
rate put in must concern the whole
state and lead to similar rates on all
ommodities.
Carroll Wright, attorney for the
Rock Island, disclosed the fact that it