The Norfolk weekly news-journal., 1909-03-12

tons. And the same is true as TO
freight trains carrying freight both
In carload and less than carload lots.
Freight and Passenger inseparable.
The valuation OF the roads has
been fxed by the court as shown by
the findings OF fact. The entire
state and interstate earnings OF each
OF the roads within the state Is known
and fixed to a certainty. The expenses
are known and fixed. To apportion
these expenses, must be done accord.
ing to one OF the two theories. and the
correct theory Is that according to
revenue. one theory or other must he
applied to both freight and passenger
expenses and the court should not
adopt the one theory as to part, and
the other theory as to another. The
one theory is helpful to the one side,
and the other theory helpful to the
other side, the one theory to the one
side in freight, and the other theory
to the other side in passenger. But
an arbitrary splitting of theories is
illogical and unfair and cannot be
recognized. The court has adopted
the revenue theory because a great
number of the best railroad experts of
the country, against a very limited
number of the contrary have so testi-
fed. Every court that has ever had
this question before it in so far as |
am advised by the briefs of counsel
and my own Independent investigation
has so held as has also the
supreme court of the United States
in the two cases, by two circuit judges
of this circuit; by three district judges
of this circuit, and by the supreme
court of Florida, State VS.. Atlantic
Coast Line. And Beale & Wyman on
Railroad Rates Regulation, announces
such as being the correct rule. The
values of the property within the
state have been fixed by the court
The entire earnings within the state
interstate and state, freight, passen'
ger, and miscellaneous of each, have
been fixed The entire expense is
each. To ascertain whether the result
is a profit, and If so what per cent, or
loss, is but a problem of primary
arithmetic, as is shown by Judge Van
Devanter in Arkansas rate cases
There are other methods equally
simple, the resultant figures of course
being the same. These computations
show as to the commodities covered
by the freight rate statute of 1907, that
> two roads, the Hannibal & st. Louis
and the Burlington, allowing nothing
for extra cost, there is a deficit, ant
with all other companies less than two
per cent. But with the extra cos
added the deficit for the companies
is much greater, and the other com
panies show a deficit.
Some Roads Earn Nothing.
The passenger earnings under the
two cent fare law of 1907, allowing
nothing for extra cost over interstate
business, give no return whatever t.
the Rock Island st. Louis & Hannibal
Kansas City, Clinton & Springfield
and the Great Western. The othe
-, companies will have the following
. The ST. Louis & San Francisco be
y tween three and four per cent; tn,
- Santa Fe between four and five pc
cent; the Kansas City Southern
small fraction over two per cent; thu
9 M. X. & T. between two and three pc
;, cent; the Burlington between tire
=, and four per cent. But all this /
arrived at by allowing no extra cost o
3 service. But to add the extra cost TO
. freight and passenger, there are n
earnings over expenses. This is cor
- fiscation under the constitution
e Would Make it 2Ia and 8 Cents.
:, 1T being a legislative act, and nc
a judicial one, this court cannot fl
- rates. If it could, two and one-hal
), cent passenger rates would be fixe
= for the stronger roads, and three 70
the others. But that is for the legi!
, lature acting itself with experts, sue
. as the state employed in these case!
=, or through a commission with like al
% sistance."
~ Low Rates Don't Increase Traffic.
- Judge Mcpherson also says in tn
=, decision: when the statutes in que
;s ton were enacted, it was believed b
4 many that by reducing the fare Their
", would be much more travel. For
IA month or so this proved to be tru'
a. But with the novelty gone, the test
n mony shows that the increase has bee
= less than three per cent and nor
% nearly one per cent"
~ Passes Were Minor Matter.
u He says further as to the abolition {
A., passes that the evidence shows tn
- passenger revenue is increased by re-
- son thereof less than one per cent
re ---------