The Green Forest tribune., 1909-01-22

l geological survey and suggests that plans | Tor the drainage of the overflow and lowlands of our state be authorized. He would have the gas and oil conditlons investigated and \ | report made the adaptab!ity ol our claws. 1 lie believes any laws enacted for n better system of levces and drainage would he advhnc- ing the material interests and heaitaful condi- tIuna of tnc stute, and worthy ot most careihl consideration and more yigt@Jus policy ipaug- uratcd. He also recommends that you make suitable investigation of the Fish and Game ] laws and pass d bill which will be for the i best interests of all the people. He also sug- gests that you memeriaze congress and espe- cially our Representatives, to spare no pains ! in working for and passing some measure for the improvement of inland waterways. ! ENDORSEMENT OF STATE LAND OFFICE. | The Governor recommends the ab0lishment of the State Land Office. declaring 1t to be only legislative office and asserting that the state has suffered from the disposition of Its | lands Ut the prices received. In the past two l years l47, ,s25 of land have been sold and | on October l, 199S. only 279,j2S remained. | For the Hi. .S25 the amount of cash taken in was only SS5, 5,6S2.00, because the amount of i cash taken in is so much less than the number i of disposed of, the Governor assumes 1 that the number of acres disposed of was large | ly in the way of redemption rather than sales l that many of the lands remaining gre subject to redemption, and that the amount subect to donation, entry sale Is very small. He, therefore. suggests that further sales be pro hibitcd at once. and the lands held available only for actual settlers who desire to donate or homestead them under restrictions which will prevent their being utilized for any other pur- pose than actual settlement. The aboltshment of the office will net the State S2D.0oo.oo bicnnally well the lands which in the future will hecome of much value for the actual supply.
 RAILROADS.
 Governor Donaghey begins d discussion of the | railroad question with plea for less antagon- | ism against the railroads declaring them to i be essential to the industrial development of l the Statc He admits. however. that notwfth- standing all the excuses that be made. 1 there has been some for antagonism. all i though the records of our legislatures will show 1 that for thirty years laws favorable and none adverse to the railroads passed. tnntn- | ung with review of recent legislative i bodies. the Governor says:
 Finally it became an open secret that the | principal railroads operating in Arkansas wer, buying legislation favorable to themselves and oppressive to their true friends the citizens. These open secrets were subsequently developed | into newspaper statements. but the climax came when the facts out in court pro ceedlngs.
 Now, after this long history of Legislative i fayors abundantly bestowed on the railroads and at the first attempt to control them by the State if is but natural that after being pet ted as they have been by both the people and Legislatures, they would mutiny against restraint.
 I attended the two hearings at St Paul Minn., before the Judge of the United States i Court. of the application for temporary in- | junction to restrain the State from enforcing the rates imposed by it's Railroad Commission which was brought by the five lines operating | in Arkansas. l heard them make the allega- tions that they were losing money inter- state business in Arkansas because the swamps are too sickly; the hills too steep. and be- cause the ties routed quickly and the curves had to be built too sharp. I concluded that as far as l was concerned. I would rather | see the receipted bills and actual pay rolls for the material bought and labor paid for, than to l listen to such argument.
 As has before been stated and is of- 1 uSt bn niyt, vharn the public interest in railroads and the private l interest of the corporators meet; where the | vice of the public at the lowest practicable rate will produce the largest legitimate h. come to the Railroad It also stands to req son as conended by most learned in the for service by railroads will not produce the largest income for themselves or redowned to the best interests of any of the parties cerned.
 Now then the five trunk lines with all sub. sidiary ones. have revoted from the sur yefllance and control of state railroad com mission. They say the intrastate rate which we have limited them to is too low wc say # is adequate. They have. through the United States Court. enjoned us from enforcing ii Suppose the injunction Is made permanent bv that Court? Then who is going to say what reasonable rate is? The United States Court can not make rates and unless the rail roads would inspire us with more confidence than they have in the past can scarcely accept their rates as reasonable. Besides this there are all sufficient reasons why We want to hHoN hHhl we are uolrE ourselves. Certainty all intelligent bodies of people. when transacting business for themclves want U know thcir | rights. Then by research. by obtaining facts and by unmistakable analysis. the exact point where the public interest and the private in terest of the corporators meet must be established It nust. be shown eoneilsiyely where tht service to the public at the lowest practicable rate will at the same time produce legitimate income for the railroad The importance of this question can not be overestmatcd Whatever rate is es tablished at the conclusion Of this controyc rsy if rightly established will doubtless remain In force for many years to come.
 Neither the passenger freight traffic i originating outside of the State and transported into the State; the traffic originating on the | inside of the State and transported out of IL ; nor traffic transported from outside of the State across it into another State any of the lines. can be regulated controlled by this State.
 But all traffic hauled from one point in the State to another point therein is intrastatc traffic: and If have any State sovereignty at all we have jurisdiction over it. and may regulate the charges and otherwise supervise the | conduct of public carriers.
 
 | To succeed in establishing a fair comnon- sation for the cost of construction equipment maintenance end operation of our railroads We must ascertain the following facts: | lst. What is the present value of such lines and their equipment?
 2nd. What are the operating expenses prop- | erly cFHrgeable to Arkansas:
 l ord. " nat are the earnings of eDcn line on it's Arkansas business?
 | ith. Whit Is the cost of carrying the pure | ly intrastate traffic?
 5ih. What the gross earnings derived , from traffic originating and terminating between ] points in the State?
 9th. How to separate the freight tra.hc from the passenger traffic?
 1 lth. To determine Il margin of profit the railroads should have for their capital invested !? Sth. In what manner and for what purpose the earnings of the railroads have been ex- ! pended?
 l The Courts practically unanimously agree so far as my information extends that the Legs. 1 laturc has the power to delegate the authority to Railroad Commission to fix rates for the transportation of freight and from point to point within the limits of the State l And that the public undoubtedly has an in- terest In railroad running through it. ter | ritory concerning which the following state mcnt Is generally agreed to:
 ''One who drvotes his property to use in which the public has interest in effect i, grants to the public interest in that use and must submit to be controlled by the pub lie for the common good. to the extent of the interest therein created.
 1 It is also well settled that the public shall not be burdened with fictitious charges for watered stock. illegal and extravagant expendi- tures etc.
 Nor can the public be subjected to lnrea | sonable rates In order that stockholders may earn dividends at all. Yet under any nor | maj conditions, rate should be rcmunerati tive.
 Now evidently the railroads have selected this State as the weakest point in the ter ritory of their operations. upon whose ground 1 their battle shall be pitched. to practically defeat States Rights. They have forced the light npon us; have gotten temporary njunc. ton; then increased thfir rates in many in stances to double that which had agreed for them to charge: and the moment we file | objections. they even go far to take us into the United States Court for contempt On all parts of the ground they force us to the disadvantaseous position in court of hav- ing to defend ourselves while in the meantime they are taking money for what we believe to be gross violations of the principles of legi- L nf,lne tinn for thoir orri.o N.