The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-08-17

souri, river, are entirely within the
Estate of Kansas, entirely within the
control of that commonwealth Now,
at the last session of its legislature the
state of Kansas by. direct statutory
enactment, reduced all grain rates
within that state Is per. cent. This
reduction has been accepted by the
railroads and applied to the rates be-
fore US Inasmuch as these rates are
completely within the jurisdiction of
the state of Kansas, and inasmuch as
that state has acted upon that subject
since the complaint was filed, this
commission can not with any pro-
priety whatever examine and pass
upon these rates upon the petition of
these residents of the state of Kansas
and of the board of railroad commits
sionerS of Kansas. We are not, of
/ course, legally concluded by the ac-
ton of the legislature, but when this
state has acted upons a subject which
peculiarly concerns it, we ought not
in the absence of strong reasons to the
contrary, to interfere with the action
taken.'
Time Has Come for a Change.
The commission goes into an elab-
crate analysis of the competition
which has existed between Kansas
City and Galveston, and comes to the
conclusion that these competitive con-
ditionS have so distorted rates that the
only way to straighten the thing out
is to go back to first principles and
figure on what the service is really
worth. This is the way the commits
sion puts it: -l
This condition has of necessity
been highly competitive. The eastern
lines have extremely disliked to re-
linQuish the traffic which they had en-
toyed in the past and which they were
built to enjoy, while the southern
lines have found it necessary to obtain
this traffic almost as the price of ex-
istence. Rates from Kansas City in
all directions have been. under tlse in
fuence of this competition, forced
down to a verv low level. 1t is we'll
understood that until about 1902 no
serious attempt was made to observe
the published rate upon this grain
traffic. and that from 1902 until the
taking effect of the amendment of
1906 there was more or less deviation
from the published tariff in the case of
these export charges. 1t has generally
been easy to agree upon the publica-
ton of a higher rate from Kansas City,
but straightway some carrier in some
direction has departed from that rate,
which has led to corresponding action
by some other carrier in the same or
in some other direction. and this has
6nallv induced the publication of the
lower rate. Today it is much easier to
advance this rate and maintain that
advance. As a result of all this COM
petition it is probable that for the last
ten years the average rate actually
paid from Kansas City to Galveston
for export has not exceeded from IL
to 16 cents, although the published
rate has usually been Somewhat high
er. The fact of these low rates from
Kansas City and the reason for their
existence must be kept thoroughly in
mind by whoever would understand
this situation.
This leaves for our consideration
the inherent reasonableness of these
rates. Are they. considered in them
selves, fair charges for the service
performed? In the past the rate from
Wichita to Galveston for export has
been determined by the rate from
Wichita to New York, - Wichita is 724
miles from Galvestont.L approximately
1900 miles from New York. The cost
of hauling this grain for the first 5 90
miles, at least. is practically as great
toward the. east, as tQWard the south.
The total cost Of ihaf1ing it to New
York must, UPON every consideration,
be much greater than. tor Galveston.4We
think the time has come when these
rates from southern Kansas should
no longer be established with respect
to Kansas City, nor upon a competitive
basis. but that their reasonableness
should be inquired into as an inde-
pendent proposition"
What the New Export Rates Are.
One of the features of the opinion
which will be of especial interest to the
grain raisers of Kansas is what the
new rates really are. The following ia
bles show the new rates which are
dered in on the Santa Fe and Rock Is
land lines to Galveston on car load
shipments: $3.50