The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1909-11-18
Combination Between Main
and Auxiliary Lines
Now Charged.
EACH ROAD ASKS
DIFFERENT RATE
Arkansas Solves Problem by Con-
sidering Both as the Same
Company.

Still another form of discrimination
in rates practiced by certain railroads
against the public was revealed by the
report of the committee on legislation
submitted at today's meeting of the
National Association Of Railway Com
missioners at the Interstate Commerce
Commission.
This new practice of discrimination
has TO do with a difference between
rates charged on the main I.ne and
auxiliary lines of some Of the railroads.
It is explained by the committee
thusly:
1T has been the custom of some rail-
road companies to form suxiliaries to
corporations to build new lines connect
ing with their system. the parent com
pany owning the majority Of the stock
of the new line. This new line is a
part Of the system Of the company
constructing it, yet a higher scale Of
rates is generally charged for trans
portation over the new line than the
old line.
n other words, a railroad may buy or
construct a branch line connecting with
it at an angle, or running parallel to it,
and while stin owning the branch line,
charging a higher rate of tariff on the
connecting or parallel line than on the
main line; or charging, per mile, an
amount in excess OF the amount charged
on the main line
The report says conditions may iusti-
fy this If the new line is TO be cOnsid-
cred as an entirely Independent road
but If considered as a part o. the sys-
TEN of the road that built IL, the old
rates, or the rates on the main line
should be charged.
This has been a great annoyance to
some commissions IN the adjustment of
their state rates" says the report car
kansas has solved il, BY statute pro-
vidinE that in such cases the two roads
shail be considered as one line. Your
committee would recommend similar
legislation, both State and national, be
The report which also recommends
that railroad valuations shall be made
under Federal authority will come up
for adoption tomorrow when the sub
Ject may be discussed.
among those who addressed the as
soGlaton today were Judge Thomas 3.
y BTleTli associate justice OF the sli-
prerne court of Minnesota, who talked
upon the valuation OF railroad property
and generally upon rate regulation. He
pointed TO She fact that ID per cent of
the wealth Of the United States is in
cluded in the holdings of the railroads.
du0AnE Lna- a single generation COuad
more easily solve the rate or valuation
Proplem Jhdn such generation could
country.
lie said Within 2 few years the rail-
roads would unanimously come TO the
conclusion Federal regulation consti-
ttItes the surest protection TO their In
terests- He argued for a system OF
cRst-accountings saying the cost of car
rage was logically the basis for all
action looking to the settlement of tar
IN and valuation
Theodore Brent. assistant TO the third
vice president o. the Rock Island svs-
TEN, talked on the Standardization of
Tariffs For Public Use" He said at
present the tariffs OF the various rail-
roads were torn to pieces practically
every day he thought a more stable
system should be adopted, but this. he
held could be accomplished BY evoIu-
ton rather than by revolution
The associations meetings will close
probably tomorrow. 1t is expected the
delegates will decide upon this CITY for
their next annual meeting as the pres
ent meeting has been one of the most
successful In its history