The San Francisco call., 1907-01-28

railroad when it is not paid by the
railroad to the state. and II is Tor the
purpose OF determining the merits OF
this charge that todsy's hearing viii be
held
aReginnine Tuesday morning the
Hartman merger win be again taken
up. This merger Involves the oregon
Short Line, the Oregon Railroad and
Navigation Company, the Southern Pa
cifc and the Union Pacific. The IN
Vestigation win be directed 10 the
question OF competitive conditions prior
10 the merger and the effect Of the
merger on these competitive condi-
tions. IL IS charged that the merger
operates IN violation of the Federal
laws and is in restraint Of trade. The
effect Of this merger we intend to de-
termine
II noticed in the press this morning
that local merchants make the charge
Of discrimination against them IN the
matter Of the collection Of 20 cents
ton for unloading. Regarding this
complaint 7 viii say that there has
been no reference to the same in Wash
ington. No complaint has been filed
with the commission, and II 81 is the
desire that this matter be investigated
IN should be put IN the form OF com
plant and brought regularly before
the board. / viii then give IL the
fullest consideration,
After leaving san Francisco ] VIII
go TO Los Angeles, where ] Will take
up what are known as the Santa Bar
bara and Ventura questions. These are
questions involving terminal rates. The
merchants Of Santa Barbara and Ven
tura contend that, as they are on the
sea. they should be given the same
rates as any other coast point
While i have heard that here in San
Francisco certain charges are being
made 10 the effect that the Southern
Pacific and Santa Fe are pursuing 8
policv Of obstruction TO make Il as
difficult as possible for competing roads
10 gain q foothold here. will not in
vestigate this feature Of the contro-
versy. as no formal complaint has been
laid before me.
WESTERN PACIFIC HIT
This matter came before me in one
form IN Portland when evidence was
offered TO show that the Southern Pa
cifc had raised the rates on certain
materials used by the Western Pacific
IN its construction work Railroad
ties were burdened with q greater rate
than had been the custom. The facts
brought 10 light regarding this feature
viii be embodied in my next report TO
the commission as a whole.
"Ons thing ] discovered in the north
Is that the railroads are absolutely
unable 10 handle the business offered
them. The Northern Paoihc frankly
confessed that II was unable 10 give
lumbermen more than IS per cent of
the cars they require. Thousands OF
mills are tied I'D as q result Of this
condition. The railroad men frankly
confessed that IT was not alone g oUes-
tion OF cars, but q question OF the ca
pacitY Of the roads. The physical
- n A..
NIT greater haulage than was being
taken care Of, and in consequence con
struction Of other lines would alone
remedy the situation.
4 noticed in the press that Louis
W. Hill, vice president OF the Great
Northern, had been credited with say
ing that the coal famine that has ere
ated such distress during the present
winter was due to the operation OF the
interstate commerce law prohibiting
railways from doing q commercial coal
business with the product Of their
mines II Mr.. Hill did make this state
ment IL is evident 10 me that he has
been in a serious quandary for an ex-
planation. AS matter OF fact the
provisions Of the law Of which he com
plains does not take effect until May
D. 1903, or nearly a year and half in
the future.
DEATH FACES PEOPLE
Il expect 10 hear OF many deaths in
North Dakota, Minnesota and other
points as g result Of the coal shortage.
The facts, however, are that the short
age be due 20 the unprecedented de-
mano for coal on the part Of railroads
steamship companies and manufactur-
ers and the inability or unWillingness
OF the operators Of the coal mines TO
produce q sufficient amount to meet
the needs Of the country The cam
paign j inaugurated in the north
quickly relieved the situation there at
the time, but the unusual severity of
the weather and the inability Of the
railways 10 keep their schedules in
operation have brought about another
grave situation, and quick action is
imperative. II is not my purpose to
investigate the coal shortage along the
cosst at this hearing, because II would
be q waste OF time. i understand the
situation in al Of its phases. and all
that can be done TO correct IL will be
done.
Before closing this interview I want
20 say something about conditions in
san Francisco as i find them. The East
is astoniEhed that Californlans are go
ing ahead with the reconstruction Of
san Francisco, with no regrets for the
past and no fears for the future. That
san Branciscans should pour their
money back into san Francisco invest
ments is q thing they cannot compre-
hend, and they viii invest here only on
assurance OF large income. They seem
10 believe San Francisco was much
harder hit than San Franciscans believe
IN was
EAsTERNERS ARE TTMID
The Fasteners are not made Of the
same stun that Californians are
have no hesitancy in saying that il
Philadelphia or New York suffered such
. disaster as visited San Francisco that
not one-hundredth part Of the people
would stand by and aid ia the recon-
struction. Calamity alarms the East-
erner and robs him Of his confidence.
calamity steels the Westerner TO greater