The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-10-18
RAILROAD RATE
QUESTION AGAIN
Effort Will Probably Be Made
Amend the Hepburn Act
the Coming Winter.
SEVERAL DEFECTS NOTED
ACTION DEPENDS UPON THE IN
TEREST TAKEN.
SEVERAL DEFECTS NOTED
Especial to The Herald.)

Washington, Oct. 1.-THE railroad rate
question is going to figure prominently
before congress next winter, in view of
the action of the National Association of
State Railway Commissioners at their re-
cent convention held in this city. There
viii be no general attempt to amend the
Hepburn law, but an amendment will be
proposed along the lines suggested by the
commissioners, making it unlawful for a
railroad company to enforce a new rate
until that rate shall have been declared
by the interstate commerce commission to
be reasonable.
Law Not Sufficiently Tried.
1t was the consensus of opinion among
the various state commissioners that the
Hepburn law had not been sufficiently
tried to develop its weak points in general,
and 1t was therefore decided TO recon-
mend no general changes. In fact not a
single amendment would have been pro-
posed but for the action of State Commits
sioner Clyde b. Aitchison, of Oregon, who
called attention to the injustice OF the
existing law, in that it permits the rail-
roads TO raise their rates, despite the pro-
tests of shippers, and allows them to col
lect the increased rate for on indefinite
period. or until the rate shall be declared
unreasonable by the commission.
While Minnesota, Texas and one or two
other states have laws prohibiting rail-
roads from increasing interstate rates I'M
Til so authorized by the state commission,
1t is. not so essential that state commits
sions should have this authority as that
a similar authority should be conferred
upon the interstate commerce commits
sion. If a rate within a state is unreason
able, the shippers can enter complaint
and the case is decided within very few
weeks, so that no lasting harm is done
If the rate be excessive.
Must Wait for Months.
merce. no such speed is possible. The in
terstate commerce commission is flooded
with all manner Of complaints from all
over the country, and it must necessarily
dispose of complaints in the order in
which they are filed. Then, as the law
now works. if a railroad raises rate 1t
need only serve notice through the COM
mission, and, after fixed period, the
rate becomes operative. If shippers con-
slider the rate eXorbitant they can file
complaint, but the commission can not
give it immediate consideration; perhaps
il can not dispose of the complaint for
year or more. Meanwhile the increased
rate Is I'm effect. and so remains until de-
clared unreasonable by the commission.
Shipper Can Recover.
1t is true that if the rate is ultimately
held TO be unreasonable, the shipper can
recover the excess freight he has been
compelled to pay, but in the meantime he
has been deprived of the use of his mon
ey, while the railroad has been the gain
er. But the most serious objection TO
the present law is that it permits the
railroads TO raise their rates. and MAIN
tain them at high figure. thereby driv-
ing out of business many small shippers
The increased rate on Pacific coast lum-
Der is a specific instance
AS an illustration of the way the law
works at the present time. it is pointed
out by some authorities that there is a
working agreement between James J. Hill
and Weyerhauser. the lumber baron
whereby they work together for com
mon profit. Weyerhauser furnishes the
lumber and Hill the transportation BY
mutual agreement Hill can raise his
rates on lumber, which Weyerhauser, I'M
der the law, must pay. along with his
competitors, but Weyerhauser can afford
men can not
Small Dealer Driven Out.
The consequence is that an increased
rate drives the small men out of business
and Weyerhauser controls the market
That enables him to fix his price where
he wants IL, and he loses nothing in the
end; in fact he gains by reason of his alb
solute domination of the trade. 1t is
charged that the Standard Oil company
that owns large sections of forest in Mon
tana, is planning TO do business on this
same scale. With Weyerhauser ard the
Standard Oil in control. and with high
freight rate which the small millman can
not pay, and with no immediate relief in
sight, the fate of the small shipper is
apparent.
Can Be Worked in Other Lines.
What can be done in the lumber trade
can. of course, be done in other lines of
business. and the action of the National
Association of Railway Commissioners
serves TO bring TO the attention of con-
gress the crying need for amending the
Hepburn law. Now that the issue has
been so prominently raised an amendment
will be proposed in congress, and public
sentiment is likely to be so strong that
friends of the railroads will not be able
10 prevent action. That the railroads will
fight the change is assured. for a quiet
effort was made TO suppress the resolution
presented TO the railway commissioners
convention The same men who fought
TO rob the Hepburn bill of its teeth will
fight 70 prevent the adoption of this