Omaha daily bee., 1910-01-31
FIGHT ON IOWA COAL RATES
Railway Commission Will Hear Com.
plants March 8.
OUTSIDE OPERATORS FAVORED
Recent Shortage Calls Attention to
Fact Many Communities Are stiII
Dependent on Fuel from
Illinois Fields.
CFrom a staff Correspondent

mas Dten set IuT NUe HedIluk utlOit lNt /
railroad commission on the coal rates of
Iowa, and on March next, the represen-
tatlves of the railroads and the coal op-
orators will be permitted to thresh out
their differences. 1t Is expected that this |
will be one of the most important hearings
ever granted by the commission.
The present coal rates in Iowa were fixed |
about twenty years ago and at that time |
they were opposed by the railroads as
entirely too low. The excuse for making |
them low was that it was needed to de-
velop the coal industry of the state There |
has been a wonderful development of the |
coal industry of Iowa in that time and !
now the total output of the state is more |
than ten times what 1t was when the rates |
were fixed.
In the meantime the demand for coal has
increased and the Illinois operators have
been able to secure such rates into Iowa
as win enable them to compete in many
parts of the state. In fact in some parts
of the state they can undersen the Iowa
operators 1t is found also that in some
parts of the state the outside operators
can take advantage of the Iowa local rates
and by double billing make better rates
than on a through Interstate rate.
The recent coal shortage incident to a
little stormy weather has brought sharply
to the attention Of Iowa people the fact
that the coal business is not on the best
basis. 1t is found that the system built
up never provides for an emergency. The
railroads and the coal companies have
always been able to supply coal as needed,
hence no large stocks have been main
tanned Now the demands comes from all
parts of the state that something be done.
Trouble with Outside Coal.
| Perhaps 200 or more complaints have
been received in the last two months by
the railroad commission in the matter of
the failure of towns to get coal as needed.
1t is also found by the commission that
nearly all these complaints are from towns
or dealers who rely upon interstate ship
rnent of coal, generally from the Illinois
fields, and that in all communities using
Iowa coal there has been little trouble.
Twelve years ago the legislature passed
resolution asking the railroad commits
sion to investigate coal rates and take
such action as seemed to be necessary A
thorough investigation was made and the
commission found that there was no oc-
casion for any change in the rate at that
time. In fact 1t was not seriously urged
by the operators or the consumers. Since
then investigation has been made of some
phases Of the question, but no general in
quiry.
Now it is the demand of an association
of the operators which handles rs per cent
of all the coal for commercial uses that
a reduction in the rate be made 1t is
found that In at least one instance the
railroads make a rate. lower than the
legal Iowa rate. this being done to meet
competition from the outside, and from
this it is inferred that lower rate would
be remunerative in Iowa. The coal busi-
ness of the Iowa roads is one of the
largest items of profit and the case will
therefore attract great deal Of attention.
Lamont Wants New Depot.
The Commercial club of Laoni has asked
the railroad commission to intercede in
behalf of their town with the Burlington
railroad and secure new depot for the
town, They represent that the present
one is old and Inadequate and also that
in general the Burlington has not made
improvements along its right-of-way as
the town deserves They set forth long
list of grievances and will be given
hearing.
Branch Lines Are Suffering.
A committee of the stockholders of the
Atlantic, Northern & Southern railroad
consisting of M. N. Esbeck, Hans Madsen
and Peter Lykke called upon the railroad
commission ON behalf of that road and
the merchants along the line and repre-
sented that business in the various towns
reached is suffering from lack of cars
and failure to have business handled at
the connecting point of Atlantic. The
farmers say they have no money to pay
bills because they cannot sell their stock
and grain and the whole business af the
towns is held up because the larger roads
els. a--N.
COAL
Remedy for High Prices.
Attorney General Byers is out in an in
terview, in which he points out that the
direct cause of the high price era is the
system under which business is being oper-
ated and he states that we must look to
congress for some relief. He suggests
! an amendment to the antitrust law that
would make 1t a penal offense for any
person to belong to a trust also there
2 should be made permanent nonpartisan
] tariff commission. provision be ade for
a physical valuation of railroads, etc. He
$ discourages the use Of the boycott as a
. remedy for high prices.
Brakeman Ends His Life,
Bruce Magers, railroad brakeman. en-
ployed by the Chicago, Milwaukee & ST.
Paul railway for time at Perry, Ia,
committed suicide by taking morphine at
, $40 Sixth avenue at 2 o'clock this morning.
He was taken In an unconscious condition
to Mercy hospital and died there at
. o'clock. His act is shrouded in mystery.
The police have been called into the case
Many Insurance Reports.
A large number Of the reports of insur-
ance companies TO the state auditor were
received today. All the larger companies
have reported on the last years business.
The reports indicate that the business OF
the year was excellent, and especially that
business In Iowa has been growing right
along. The deposits OF insurance com.
panies with the state Of Iowa TO guarantee
losses Increased far more last year than
ever before in the history OF Insurance
business.
HetncOrPOrRte State Bank
The articles OF Incorporation OF the Com.
mercial State bank OF Manchester were
renewed today by filing with the secretary
! OF state The Central Heating company
OF Waterloo also filed articles. The Nfvstic
Retail Merchants association filed ar
tcles, with $1,000 capital. for the purpose
Y OF establishing a credit and rating svsten,
of