The Salt Lake herald-Republican. [volume] (Salt Lake City, Utah) 1909-1918, 1909-09-29
TESTIMONY IN UTAH
RATE CASE is ENDED
Continued from Page I.

the Union Pacific officials, developed the
| fact that Utah is paying more than
| 81, 600 a year for freight service than
| California is paying for the longer haul
on the same amount of freight as is
| handled by the railroads in and out Of
| Utah.
James B. Gwyn. chief engineer for
| the Denver & Rio Grande, was the first
witness for the Gould interests. He
| gave a detailed statement of the esti-
mated cost OF reproducing the entire
| property Of the Denver & Rio Grande
railroad, including the right Of way, en-
| cheering, grading, bridges, culverts,
rails and ties and water rights. Right
of way he estimated as being worth to-
| day S1S,000,00O, and grading $50, 040, 724,
and TO this he added Is per cent for
| seasoning" the roadbed. Bridges and
culverts, he said, were worth S4,9S5, 632,
| and ballast, where used, was worth
| S262,500. Ties on all lines, he said, were
worth 6,42O, 900, and rails were worth
| $40, 965, 900, estimated at S34 a ton. Other
items were: Track fastenings, $277, 412;
! switches, S6SS,671; buildings, $6, 900;
track labor, 1854 45O; signs, S25, Jos;
crossings and cattle guards, $92, 1885,
water stations, $3.50, 215; telegraph lines,
| 1926, 100; road materials and supplies,
,289; engineering, $4,000, $50, and
| interest on investment during construc-
ton, $2S,949, 286. The total cost of equip
ment, he said, was S21 ,107, $50, and the
total mileage Of 1929, costing $59,221 a
mile.
Expect More Business.
Mr.. Gwyn said the Denver & Rio
Grande anticipated a large increase in
business in the near future from the
completion of the Western Pacific and
1---&
in Carbon county, which would neces-
state the building of more double track
and general costly improvements in Or
der 20 handle the business. At Price, he
| said, a connecting line was nearly COM
pieted, which would bring 1000 to 5000
tons of coal a day, and another cOmpa-
ny was organized at Panther gulch,
near Helper, which would deliver 1,GS0
tons a day to the Denver & Rio Grande.
He said the general understanding was
| that the present margin of profit for the
road at present was not large, and if
that profit be reduced by a reduction in
rates the COmpany's capacity for caring
for increased business would be cor
respOndingIy decreased. He said the
sharp curvature made necessary fire.
quent renewals of rails. and among
other conditions which increased the
cost Of operation and maintenance he
spoke of the wear on wheels, clOudbuTsts
and snow.
Characterization by Mr.. Babcock
brought out the statement that some of
the road included in the statements was
now little used. Mr.. BabCOck's questions
related to the building of the Denver &
Rio Grande road under difficulties of
mountainous territory, with the knowl-
edge that the Union Pacific had an
easier and shorter line to Utah.
David NJ. Knox, mechanical engineer
for the Denver & Rio Grande, had
charts illustrating the profile Of the
Denver & Rio Grande and the Union
Pacific, showing the number of loaded
cars that could be hauled by one engine
on various parts Of the roads. The Den
yer & Rio Grande was able to handle a
maximum of fOTty-five cars with one
engine on some stretches, but this num-
Der was reduced to seven at Soldier
Summit. His testimony also showed ex-
tTemely heavy cost for the water supply
for the engines, and he said the Denver
& Rio GTande could get only about
$4,000 miles a year service out of
freight engine, while on an average road
one engine would give at least $4,000
miles seryS& Recent purchases Of the
Denver & Rio Grande, he said, included
thirty engines, 1900 box cars, 500 stock
cars, $50 fiat cars, 200 refrigerator cars,
ten cabOoses, ten steel passenger
coaches and ten steel baggage cars.
Rate Decrease,
Major s. x Hooper, for twenty-five
years general passenger agent for the
Denver & Rio Grande, presented a state
ment showing the decrease in passenger
rates from the east to Salt Lake. His
testimony was that the rate from Den
yer to Ogden was $500 in the early
days, and this was reduced to SIS for a
limited ticket in 1895, and at the present
time the rate is S17.75, which, Mr. Bah
cock cOntended, showed that there had
been an actual reduction of only 25 cents
in the last fourteen years.
Major Hooper said on account Of the
low excursion rates and tourist rates
the actual revenue per passenger mile
averaged only 2 cents. He said he re-
garded the passenger rates as extremely
low, and cited the colOnist rates as evil
dence that the Denver & Rio Grande
had done much for the upbuilding Of the
state. Testimony regarding the old rate
war brought out the statement that the
railroads at the time they put in ex-
tremely low rates discovered that the
increase in business made up the loss In
every way and it was a good thing for
the railroads, in that the great increase
in western travel practically dated from
the rate war.
Major Hooper said in no way had
there been any discrimination against
Utah in passenger rates, and, or the
other hand, the Denver & Rio Grande
had at all times sought to give Utah the
best of it as a business proposition for
the railroad. Major Hooper admitted
that the railroads revenue on Utah bus
mess was greater than on any other
business, but il would not equal one
tenth of the total passenger business
done by the road.
On crOss-examination by Mr. Babcock.
the old practice Of paying commissions
for the sale Of passenger tickets was re-
viewed. Major Hooper said that he had
actually refused lots of business at ex-
tremely low excursion rates. notably
several trains for the Elks' convention
at Los Angeles.
Compliment for the Major.
4 don't know Of any more widely
known or efficient passenger agent than
yourself, but 1 didn't know that you
ever refused a passenger" said Mr.
Babcock
Thank you" replied Major Hooper.
but 1 have reformed in recent years"
E. n. Clark, counsel for the Denver &
Rio Grande, introduced volumes of tab
ulated exhibits showing every detail of
the financing of the railroad, book
values dividends paid, incomes from
nd ef Fr,Na