The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-06-30

reductions that necessarily would have
| TO be made elsewhere
| In addition, the Northern Pacific
showed that since the first decision in the
Spokane case in the spring Of 1907, II
mad expended approximately S93 900 900
and the Great Northern showed it had
expended $4,000 900 in betterments.
The commission says; "These sums
would IN each case equal approximately
% per cent Of the entire cost OF repro
duction as found by the commission and
would, II not accompanied by increased
earnings, perhaps justify the claim TO a
nature of these expenditures does not.
however, lead to the conclusion that they
can have any legitimate bearing upon the
correctness of our decision.
In ,tlxing the rates to Spokane the com
mission did not use the rates to Seattle
as standard, but adjusted the rates to
reasonable basis; taking into account
that water competition at Spokane was
not material. Then the commission held
as follows:
Basis Of Through Rates.
Joint through rates, both class and
commodity, should be established from
defined territories east OF Chicago to
Spokane
Where joint through rates do not now
exist from points east Of Chicago upon
certain lines to Spokane. the commission
tlnds there Is no reasonable and salts
| IdClOIy lllTpupH route ana S1cn lnrOUEn
routes and Joint rates ought to be estab-
lished,
Both class and commodity rates should
be slightly lower from Mississippi river
points TO Spokane than from Chicago
points
In the Spokane opinion. it was also
held that the rate to Baker City, La
Grande and Pendoton, Ore. and walla
Walla. Wash. were excessive in so far
as they exceeded tho new rates fixed TO
Spokane.
commission determined. before making a
nnal order TO ascertain by an actual
test the result OF the present and the
proposed new rates
The carriers will be required, how
ever, for the months Of July, August and
September To keep a detailed account
showing the revenues accruing on busi-
ness actually handled under present rates
and the revenues which would have ac-
crued had the rates prescribed by the
commission been in effect.
In Nevada and Arizona.
in tho Nevada and Arizona cases, in
Cluding the Sacramento-R Reno case against
the Southern Pacific company. the rail-
Southern Pacific company and Ebe MARI
copa County Commercial club against the
Atchison, Topeka & Santa F'e and other
carriers. the decisions were prepared by
Commissioners Franklin X Lane.
In each OF them a heavy reduction In
class rates is ordered. some OF the re-
duotions being as high as 30 l-3 per cent.
The commission finds that the existing
rates are practically without precedent
or parallel in the United states. The
average rate per ton per mile on all ten
classes from Sacramento to Reno Is 9lb
cents, an unprecedented figure. The class
rates between Sacramento and Reno are |
reduced approximately 80 per cent the
rate on irst-class freight being lowered
from Sl.?9 per hundred pounds 10 20 !
cents, Similar reductions in tne class
rates are made from Sacramento TO other |
points in Nevada and Utah.
In tho case of the railroad commission !
of Nevada against the Southern P2cilic |
company and other carriers. the COM |
mission condemns the existing west
bound class rates from eastern points TO
Nevada.
Highest Rates in Nation.
In this connection the commission de-
clarcs these rates to be 1ho highest main
line rates found III the United States,
For carrying "A carload Of first class
traffic containing 2O.OOu POUNDS from
Omaha to Reno. the Union and southern
carload goes lbi miles furthcr/to Sacra-
mento. the charge is but $500. The ilrst-
class rate to the more distant point, Sac
Is SO per 100 pounds, and TO the
nearest polnt, Reno. Si29 per 100 pounds,
II the same carload OF freight originates
at Denver 500 miles west of Omaha, the
Same rates TO Reno and Sacramento APP
ply: and II the freight originates at Bos-
ton 1900 miles east of Omaha, the ratei
are the same.
The commission finds that only % per
cent of the traffic into Reno from the
east originates cast OF Chicago and Den
YER
Turning TO the division OF earnings be-
tween carriers on traffic from the east TO
Reno the commission finds that the lions
share accrues to the Southern Pacific
company,
1t is significant. as indicated in the
opinion that the lines cast of Ogden,
Utah, receive exactly the same divisions
Dut of the so-callcd water competition |
rates to Pacific coast terminal points as
hey receive out OF the vastly higher {
'ates to Nevada points. the entire dit-
'crenco ucinG appropriated by the South
,rn Pacific company,
Increase in Income.
Astonishing facts were developed con
,crnlng the earning capacity of the Pa 7
'inc lines The commission shows that
during the last two years the operating q
'cvenucs OF the Southern Pacific com :
,nny's Pacific system had Increased .
IS 000 900. while its operating expenses !
.ad decreased $5.000,O00. thus producing l.
IN increased operating income of over \
~ 600 900. net Increase OF about
1000 per mile of road
Referring to other lines of the Pacific 1
system, the commission says: y
III we take the Central Pacific alone '
| o