Los Angeles herald., 1910-09-23
Associated Pressl

TOPEKA, Kas., Sept. ga permanent
organization was formed tonight under the
name 'erhe Traffic Federation of the Mid
die West" William ID. williams, member
of the board of railroad commissioners of
Texas, was elected chairman, and John s.
Dawson, attorney for the, Kansas board of
railroad commissioners, was elected secre-
tary.
A committee was named to take the resO-
Iutions adopted to Washington. This COM
mittee is composed Of MurdO Mackenzie,
Colorado; John l.. Powell, Kansas; G. G.
MesseroIe, Iowa; w. ID. Williams, Texas;
w. T. Bland, Missouri; U. g. Orendorff,
Illinois; George A. Hinshaw, Oklahoma.
finance committee composed of Gov
ernor Stubbs of Kansas, Governor Shafroth
of Colorado, Governor Hadley of Missouri,
L. e. Cruce Of Oklahoma, John NJ Glenn,
Illinois, H. @. Wallace, Iowa, and MurdO
Mackenzie, Colorado, was appointed to adj
minister the plans mapped out today.
TOPEKA. Kas., Sept. Ex-Governor
w. r. Stubbs Of Kansas outlined the
purposes of the interstate rate con-
ference in rather sensational speech
at the opening of the session here to-
day. The governor declared the rail-
roads of the country had combined to
advance freight rates on scale never
before known. He said that the rail-
roads, Of their initiative, had opened
up the whole question of ascertain
ing the physical valuation of railroads
by testimony of railroad officials be-
fore the interstate commerce commits
sion. He asserted that the public de-
manded nothing short of a bona fide
valuation of all railroad property and
said congress should Immediately
pass a law giving the interstate COM
merce commission authority to ascer-
tain this valuation.
Governor Stubbs deplored the tend
ency of railroads to favor large cities
in the adjustment of rates.
In outlining the purposes of the con-
ference, Governor Stubbs said:
'"rhis conference was called to dis
cuss ways and means to protect the
interests of the producer, consumer,
shipper and the public generally in the
middle west from the advance in
freight rates involved in the most I'M
portant case that has ever been heard
by the interstate commerce commits
sion: The principal railroad systems
of the United States have combined for
the purpose of advancing freight rates
on a scale never before known in the
history of this country.
CITES PENDING HEARING
ain the case now pending the inter
state commerce commission Is not
considering the question Of the inher-
ent reasonableness Of any specific
rates, but is passing on the general
proposition as to whether the railroads
of the country are entitled under pres
ent conditions to a general advance in
chnf1la d6Ptda tTq da-
cision will serve as precedent not
only to prevent any reduction in rates
in the future, but to be used as basis
for future advances of the thousands
of other rates.
"The railroads, on their own initia-
tive, have opened the whole question
of ascertaining the value Of all the
railroads in the United States. Rail
road presidents, traffic managers and
other high officials are giving volu-
minous testimony tending to prove
what they claim TO be the value of
their property in order to establish a
basis for greater earnings to which
they contend they are entitled under
the law.
"The public demands nothing short
OF a bona fide valuation of all railroad
property and public officials who rep
resent the consumer, producer, ship
per and general public will be crinni-
nally negligent II they DO not avail
themselves of the opportunity to go
to bedrock and assist the interstate
commerce commission to make a
searching and exhaustive investigation
so as to determine the actual value of
ell the railroads OF the United States.
DEMANDS REvALUATION
'If, on investigation, it is found that
the railroads are justly entitled to an
advance in freight rates no good citi-
zen will oppose paying such increased
charges as may be necessary. But, on
the contrary, if the railroads are now
earning from 10 to 30 per cent dividends
on their capital stock, then 1t is clearly
the duty of public officials to demand
such reduction in freight rates as may
be just and reasonable under the law.
In this connection permit me to state
that the supreme court has expressly
held in the New York gas case that 6
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