Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1910-09-22
CONFERENCE ON
FREIGHT RATES
Gov. Stubs Declares Railroads
Have Combined 10 Advance
Them as Never Before.
QUESTION OF VALUATION
Has Been Opened by Roads and People
Now Demand Bona
Eide One.

Topeka, Kas.. Sept 22.-Gov. w r.
| Stubs OF Kansas outlined the pur-
! poses Of the interstate rate confer
ence In a rather sensational speech at
the opening OF the session here today
The governor declared that the rail
roads OF the country have combined
TO advance freight rates on scale
never before known. He said that the
railroads Of their own initiative had
opened up the whole question Of as
certaining the valuation Of railroads By
the testimony OF railroad officials be-
fore the interstate commerce commis-
sion. He asserted that the public de-
manded nothing short of bona fide valu-
alton OF all railroad property and SAID
Congress should Immediately pass a
law giving the interstate commerce
commission authority to ascertain this
valuation.
GOV Stubs also deplored the tend
ency of railroads to favor large cities
in the adjustment of rates.
PURPOSE OF CONFERENCE.
In outlining tho purposes Of the con-
ference, Gov. Stubs said:
This 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
pri
Of the United States have combined
for the purpose OF advancing freight
rates on scale never before known in
the history of this country. In the case
now pending the interstate commerce
commission are not considering the
question OF the inherent reasonableness
OF any specific rates. but are passing on
the general proposition as to whether
the railroads OF the country are en-
titled under present conditions to n
general advance in rates. II they
should so decide and approve the rates
now held in suspension then their de-
cision will serve as a precedent not
only TO prevent any reduction In rates
IN the futurs but to he used as a basis
for future advances OF thousands OF
other rates.
The railroads on their own initia-
tive have opened UP the whole ques-
ton OF ascertaining the value OF all
ine IdlTOtuS IN Ine lnlteQ states.
Railroad presidents. traffic managers.
and other high officials are giving vol
luminous testimony tending to prove
what they claim to be the value OF
their property In order to establish q
basis for greater earnings TO which
they contend they are entitled under
the law.
BONA FTDE VALUATION.
THE public demands nothing short
of a bona 1de valuation OF all rail-
road property and public officials. who
represent the consumer. producer,
shipper and general public, will be
negligent IL they do not
avail themselves Of this opportunity to
go to bedrock and assist the Interstate
commission to make a
searching and exhaustive investiga-
ton, so as to determine the actual
value Of all the railroads Of the United
states
III. upon investigation. II is found
that the railroads are justly entitled
10 an advance in freight rates no good
'itizen Will oppose paying such in
'rea sed charges as may be necessary,
,ut. on the other hand. II the railroads |
IRE now earning from 10 to 30 per cent |
dividends on their capital stock then |
Is clearly the duty OF public Officials |
o demand such reduction I'm freight |
ates as may be just and reasonable |
lnder the law. In this connection per /
nit me 20 state that the supreme court |
las expressly held I'm the New York 4
asses that per cent was a reasonable /
nd lawful return on the value OF It's
property.
Congress should at once enact n law
roviding for the physical valuation OF
ailroads by the interstate commerce |
and this should be done be-
ore any general advance IN railroad
ates Is permitted. There l. no m re |
eason why badly managed. badly con.
tructed. poorly rated and over capt.
allied railroads should prosper than |
'hy badly managed business OF any
ind should be successful and neither
ne people nor the government have
ny more responsibility To this class OF
'ilroads than they have 70 ill-advised |
usiness operations Of any kind
RAILROAD POLICIES.
THE general policies Of railroads
,roughout the United States to favor
rye ccnters and build up great cities
the expense Of the rural communi-
es. is little less than crime against
"Such r. policy robs hundreds Of thou
lnds OF children of their natural right
wholesome surroundings. sunshine,
Ire air. and healthy social conditions
also encourages abnormal develop
ont in great cities where crime and
iame find convenient shelter. The !
Ne policy should he n 81 regulate !
rates that tho rural dis !
lets win be developed and the nopula- $
IN normally dstr- buted. The govern J
ent and not the railroads should de- I
rhine absolutely policies Of this char |