Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1909-01-15
GOV. SMITH SPEAKS
TO FREIGHT BUREAU
ABLY TREATS TRANSPORTATION
ACKNOWLEDGEMENTS M
PoRTANT INCREASE IN POWER
OF INTERSTATE COMMISSION.

The first speaker at the annual banquet
of the Atlanta freight bureau Tuesday
night, was Governor Hoke smith His
address was an able treatment OF the
railroad situation, He stressed the me-
cessity Of such associations as the At
lanta freight bureau, then, going INTO
the matter of transportation, pointed out
the affects every man, no matter who
he be, and is thereby one Of the most
important of all public considerations.
He spoke of, the illimitabie power of the
roads If allowed to go unchecked sand
stressed the need and efficiency OF an
interstate and of intrastate commissions.
He insisted that the national commission
should have more power and that It
should be allowed to pass on all rates
before they become effective. He=eonz
graduated the freight bureau on its con-
sentative course during the panic. put
now that conditions have returned 70
normal, he pointed out that there is much
work for its hands to do.
His address follows in full:
In discussing the relations between
transportation companies and their pat
rons 1 desire to repeat elementary prin-
ciples because it is necessary 70 state
them over and over again lest they De
-
The problem of transportation is one
which affects all Industries and .occupa-
tions
The farmer must rely upon transports
tion companies to carry. the products OF
bis land & the consumer. He must rely
upon transportation companies to pring
to him commercial fertilizers and othef
things which he buys
L rFr,. -
transportation companies to assemble his
raw material and again to carry the pro-
ducts of his mill to distant places.
The merchant must use the transporta-
ton companies TO bring goods TO his
store and frequently to ship to his Gus
toners.
Our inland waterways have been neg
Elected and Transportation is conducted
almost exclusively by. steam railroads.
The railroad companies in, local hapls
/ have almost an entire monopoly. and
even through hauls from distant. points
are not substantially affected by compe-
tition for the great through lines are so
controlled by the same parties that traf-
fic arrangements eliminate competition.
: Railroad companies without national or
state, control would be free to charge
whatever they pleased for service and to
give just such service as to them seemed
| fit. Such a condition would leave the
farmer. manufacturer and merchant en-
| tirely at their mercy. Excessive rates and
poor transportation could absorb the en-
/ tire profits Of labor. Without national
and state control they could discriminate
| between. localities They could make and
| destroy all values.
The railroad company which .absprbs
/ the profits Of production for cranspor-
I m xvl1a ffc
bonds are held out of the state of IT.
/ operation, destroys the prosperity of the
state. and checks investment In the state
II Is only where transportation is furn-
lshed at legitimate charges and in a prop
err way that investment IN business gen.
orally can be expected. Foreign capital
win not come into a state where trans
portation facilities are impaired by the
arbitrary conduct of those who manage
transportation companies.
| Public in Nature
| The courts have held that railroad COM
panies are public In their nature. Tofthem
Is given special privileges because of theiI
public obligations The supreme court
of nearly every state. the supreme court
of the United States, and the highest
courts of Great Britain have all rec
ognized the public character of railroad
1
duty of the nation and the states to SUI
pervise and regulate their conduct to the
end that the public receive PROPER FA-
CILITIES FOR TRANSPORTATION AT
REASONABLE CHARGES.
| There is a class of men who insist that
governmental regulation of the affairs OF
a railroad is an invasion Of the righta
OF property. and those who favor national
and state regulation frequently have been
given the title Of asitators. demagogues
and railroad baiters-
A fair consideration Of the subject VIII
convince that unless national and state
regulation stand between the railroad
companies and the public, the property Oh
every citizen Is subject at all times Il
invasion by those who own or control
railroad companies. eyre
Government Regulation
THE UNPREJUD1cED MIND MUST
RECOGNIZE THE NECESSITY FOB
GOVERNMENTAL REGULATION AMI
SUPERVISION.
To perfect legislation and administra-
ton which VIII give supervision and reg
ulation just to the public and fair to the
railroad companies is as difficult as II Is
important. Unjust determinations be-
tween localities must be prevented, else
one city and one class OF merchants and
manufacturers would thrive at the ex-
pense OF another, Unreasonable rates
must be prevented, else the products OF
the labor of all the people could be abb
sorbed by the holders of excessive bond
and stock issues In transportation com
panies.
| In determining what is a reasonable
rate there are many questions to be con-
sidered. A railroad company might be
paying an excessive dividend upon stocks
and yet not be charging an excessive rate
The excessive dividend might come from
neglect to keep in proper repair its prop
critics. from failure to pay adequate com
pensation to employees or, from lack OF
sufficient service. All these questions en-
ter into the determination of reasonable
rate. 1t should be conceded that IN
TIMES OF UNUSUALs PROSPERITY
SOME ACCUMULATION MUST BE
MADE TO MEET TIMES OF UNUSUAL
| SCARCITY. but after all these questions
have been taken into consideration. IL
nally the rate should be one that per-
mits only a reasonable profit.
The best thought of this country is
working out a plan for government and
state control under which the duties OF
the government and the state are to be
executed through commissioners charged
with the responsibility of deciding be-