The San Francisco call., 1910-06-28
SOUTHERN CITY
GETS SETBACK
IN RATE CASE
Los Angeles JObbers' Attorneys
Try to Show That San Fren-
cisco Is Favored
Southern Pacific Official Testi=
fles as to Alleged Advan-
tages of Terminals

pars Los Angeles from the San Joaquin
= valley failed yesterday before the
. state board Of railroad commissioners
. The commission is considering the
. rates between San Francisco and the
San Joaquin valley and Los Angeles
. and the San Joaquin valley. IT was
q. from testimony of W. r. Scott, assist
ant general manager of the Southern
1-aclnc company, that Attorney L. G.
\ uster for the Los Angeles association
tf1ed TO develop his point. NO COM
parisOn of any advantage to Won can
, BE made between the Bay Shore cutoff
and the Iehachapi grade" said Scott
I, 20 Kuster.
+, /. huster's pertinacity was not re-
- Marded. While Scott declared that it
was impossible for any railroadman to
Segregate maintenance and operation
= charges against any particular traffic
ise. maintained that neither the Bay
shore cutoff nor the Dumbarton point
cutoff WAS constructed with any inten-
tion Of facilitating san Joaquin valley
tranSporta ton. Attorney c. W. Dur
brow for the Southern Pacific company
frequently tried to stop the direction
OF i listers examination by showing its
fuulity, but kustcF stayed manfully
by his purpose and when he laid of
FOR a moment or two Attorney Joseph
? p Loeb, his associate, took up the lost
cause
RELATIVE FREIGHT RATES
- General Freight Agent George W.
D. Luce concluded his testimony early in
the afternoon. During the morning
p. session Loeb questioned Luce on rela-
tive freight rates into the valley from
Los Angeles and from San Francisco.
and stsked his case on the fact that in
some instances the rate per ton per
mile was greater for long haul than
for 2 short haul, which both Loeb and
Kuster declared to be anomalous.
Attorney c II. NeumiIler, represent
ing the Stockton iobbers' and manu-
facturers association, entered into the
examination Of Luce and gained the
comfort Of Luce's declaration that
Stockton might have a better differen
tial on rates from that point into the
san Joaquin valley. Neumiiler shot
his questions into Luce with rapid fire
velocity and got prompt replies
DIALOGUE on DIFFERENTIALS
The dialogue was after this order:
Neumiller-Do you consider, Mr..
Luce, that Stockton is the gateway to
the San Joaquin valley?
p. Luce-Yes-
-. NeumiIler-Is stockton an important
factor as distributing point in Cali
Iprnis2
81 Luce-Yes.
Neumiuer-Is Stockton nearer the
San Joaquin valley than San Francisco2
l-uce-Yes; 80 miles.
Neumiller-Is it nearer than Sacra-
lnento?
aLuce-Yes: 4S miles.
-: Neumiu uer-Is stockton enjoying the
differential il is entitled to?
.Luce-It is a forced differential The
rates from san Francisco are too near
. the stockton rate.
ARBITRARY RATES MADE
At the morning session Kuster and
Loeb went with Luce into the ques-
tfon of rates into the san Joaquin
valley. Luce explained that the oil
cars rate from Bakersfield into Los
angeles took into account the hauling
of the empty cars back over the Te-
hachapi mountains.
3 II was admitted that the rate from
= Los Angeles TO Berenda, near MADEIRA,
per ton per mile was the same as
!. from Tulare to Los Angeles which was
. a shorter distance. Loeb said that the
rule in rate making was that the rate
per ton per mile decreased as the dis
.tsnce increased.
THE rates from Los Angeles into the
san Joaquin valley" admitted Durbrow
frankly, ARE made arbitrarily for the
purpose OF enabling Los Angeles to
reach the valley
Luce explained that the Southern Pa
cifc did not deliberately favor any ter
r-ftory at the expense of another terri
considering the economy Of operation
and with the idea Of getting business.
he believed that the rates into the
valley were properly adjusted
SOUTHERN JOBBERS' CASE
In the afternoon Traffic Manager
f-reRson Of the Los Angeles jobbers
Aook I'D with Luce the rates into Ari-
zona. Luce stated that the differential
Retween Los Angeles and San Francisco
end Arizona points represented the
weight rates from San Francisco 10
San pedro. which are le5k cents Greg
son wanted the differential 10 be 271z
rents. the total rate from San Fran
cfsco to Los Angeles via San Pedro
Attorney Seth Mann, representing the
Merchants exchange traf1c bureau,
~,,estfoned Luce in behalf of the local
shippers. -
s7,e amount of reasonable rates into
territory? he asked
yes" replied Luce.
at is diff1cuIt TO itemize the differ
euce in cost over competitive routes
Is II not?" said Mann
T5Ice said that ii was, and agreed
+be+ this difference was constantly
taken into consideration by the inter
e+ate commerce commission and by
railroad commissions generally
CONCESSIONS TO Los ANGELES
4sTbe rates from Los Angeles TO the
lower part of the valley are conces-
Eions to Los Angeles, are they not?
asked Mann.
..Tbev are" replied the general
freight agent. who agreed furthermore
that they were low rates. Luce ad-
lpitted that the potential water COM
petition 10 Firebaugh effected rate
making from San Francisco into the
valley.
The examination Of w. r. Scott, the
assistant general manager or the
southern Pacific, covered everything
from snowsheds in the Sierra to the
axle friction and atmospheric condltions
on the Tehachapi climb. Scott found 1t
impossible to answer many of Kuster's
questions, and Durbrow frequently took
mart 10 expedite the proceedings
sOUTRERN ARGUMENT SPOILED
~Can you give in round numbers the
cost TO the Southern Pacific of the
raad maintenance and operation from
n Angeles to Bakersfield, compared
"a a level haul2" was one of Kuster's
efmpler questions. 1t got a negative
answer.
scott gave the cost Of the Bay Shore
rufoff al $4,000. 900. He said that st.
Tso,,is Kansas City. Denver and other
Il