The Salt Lake herald-Republican. [volume] (Salt Lake City, Utah) 1909-1918, 1909-09-25

shippers who would ship nothing by sea
Later. he said, it was found that the
rail shippers were exchanging ship
ments with those who shipped by water,
and this led to d termination of the
agreements with the few shippers and
the making of the rate an open one.
The subsequent history of rate max
ing was gone into at some length by
Mr.. Luce. Following this, ne was asked
by Mr.. DurbrOw whether he thought
the rates established by the railroads at
present to the coast were as low as
could be established.
I certainly think they are" was the
reply.
rs water competition increasing"
1T is" said Mr. Luce, and he went
on to say that, with the getting of the
time of transit by ws-er down TO TWEEN
ty-five days between New York and
San Francisco, the railroads had a COM
petition which could not be driven out
even by establishing other rates. He
said that no further reduction could be
made in the rates from New York, Chi
cagO, Pittsburg and other eastern points
to the Pacific coast.
What would be the effect of a fur
Their reduction of rates to the coast?"
| Mr.. Luce was asked.
TT would be suicidal on our part"
he replied.
This ended the direct examination of
Mr.. Luce, and Commissioner Clark ad-
| journed the hearing until Monday at 10
o'clock.
End Not in Sight.
At the close of the days session,
Judge billiard was asked whether he
could express an opinion as to the time
which will yet be consumed by the rail-
roads in completing their case. He said
he had previously ventured the opinion
that the railroads might get through by
noon Friday but so much time had
been taken up in the examination Of
Mr.. Kruttschnitt that he could not give
an opinion now.
1T might take Monday, Tuesday and
! Wednesday" said Judge billiard.
The hearing of the Spokane rate case
/ is set for Wednesday, Sept. % and
| Judge billiard said he should be there,
| but that it would be a physical impOs-
/ sibility to look after two places at the
| same time.
/ At the start of Friday mornings ses-
/ sion Commissioner PTOuty announced
/ that there would be no session Satur-
| day, the commissioners having decided
/ that it would be proper to adjourn the
hearing during the presence in the city
/ of President Taft.
/ start of the session, and for over three
and one-half hours gave answers to the
/ questions of Judge billiard, on the di-
/ rect examination, and to Mr.. Stephens
I and the representatives of the local
/ traffic bureau, on Cross-eXaminatiOn.
! Mr. Kruttschnitt testified first on the
/ item relating to a considerable amount
/ Of reconstruction work, contained in
/ the tables presented Thursday after
]
/ strUCtiOn work was west of Cheyenne,
/ and the cost of construction would be
/ moderately high, although not excess
/ i've. Other figures in the report were
| discussed at some length.
/ Were these figures gotten out by you
/ and your board as an actual record of
! construction, and not for this hearing?''
/ asked Judge billiard.
Yes. sir" was the reply.
Board May Be Educated.
Mr.. billiard remarked that he hoped
| the commission would take the action
/ which had been suggested by Commits
J sioner Prouty Thursday, Of sending an
/ examiner to the offices Of the company
/ to examine the vouchers on the work
[ and judge of the correctness of the fig
/ uTes.
/ 1T may be-" remarked Commissioner
] ETOuly, with a smile, mat he has got
/ ten this board educated now so that
/ they will overestimate, instead of I'M
derestimate."
/ Judge billiard said he thought it
| would be shown that such was not the
/ case
/ MI Kruttschnitt, from the figures
! which had been prepared, estimated the
! value of the railroad property covered
/ i'm tie report at from $4,000 to $4,000
/ mile, this being he said, a conserva-
/ tive estimate for the Union Pacific
! Figuring the total mileage at 5000
miles, this would give a total value Of
/ about $3.50, 600 600.
| Judge DillarJ asked whether the
! general market for terminals and rights
/ of way has had an upward tendency,
and the witness replied that such was
] the case.
Then a railroad cannot buy at as
| reasonable a price as do others pur-
| chasing property" he was asked.
Mr.. Kruttschnitt replied that, unless
/ the plans of the railroad for purchasing
/ property are kept secret, the price is
! always advanced, sometimes to a very
/ high figure.
Mr.. billiard asked the witness
! whether all conditions which should
/ make for the lowering of freight
/ rates during the last ten years had
not shown an increase. making it i'm
/ possible to lower freight rates, and
/ whether there had not been an i'm
preston that the freight rates should
! be lowered. calling attention to the