The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-06-12
BABCOCk MAKES
REPLY To DERRAH
Touches Upon Some of the Lead
ing Features in Latter's
Statement.
hE DESIRES PUBLIC
DISCUSSION ON MATTER
Says Traffic Bureau Will Be
Glad TO Furnish Place for
Meeting.

In discussing Saturday with S II Bah
cock OF the Commercial club traffic pu-
reau, the statement from S. V. Defrah,
assistant general freight agent OF the
Denver G. Rio Grande railroad. published
in the Deseret Evening News Of Friday,
Mr. Babcock remarked that he. with 9TH
ers OF the bureau. only hoped that Mr
Derrah would act upon the suggestion
made TO him through The Tribune on
Thursday that he would ask for Pubic
discussion with him OF all questions bear7
ing upon the proposition that inc local
coal rates within the state OF Utah are
excessively high. Mr.. Baocock added
that in the event OF Mr.. Derrah asking
for such a meeting, the traffic bureau
will be glad TO furnish proper place for
holding the same. and would be delighted
To have Mr.. Derrah bring with him TO the
of his company that ne might desire TO
have participate In the proceedings: IL
is thought by the bureau that such n
meeting would have the effect Of giving
both sides ample and impartial opportu-
nifty for openly presenting their views IN
full, and his action on the. subject OF
calling a meeting is awaited with very
much interest. 1T might not be improp-
er. however" Mr.. Babcock said, before
the holding of any such meeting to
touch upon some OF the leading features
OF Mr.. Derrahs statements given 10 the
press.
Rates on Railroad Coal.
Concerning tho large quantities OF
coal sold TO the Southern Pacific COM
pany some years ago and shipped from
the mines at Clear Creek 20 Ogden, the
delivered prices at Ogden on this coal
were three In number, as follows: Sl,fo
per ton when moved in cars OF fifty tons
capacity; Sl.S5 per ton when moved in
gondolas or coal cars OF less than fifty
tons capacity; Sl.95 PEI. ton when moved
in box or stock cars. The coal was way
billed from Clear Creek TO Ogden at Its
rlall M Y.rtnn n
applied in payment of transportation ser.
vice was not known to the Southern
Pacific company nor to the public gen
orally and so far as is now known II
first became public through the bulletins
OF this bureau issued last year. The al
lowance Of rs cents per ton for transpor-
tation service after much discussion with
the traffic department. and some time
after the general contract had been made.
was finally fixed by Colonel Dodge. vice
president in charge Of not only the rail-
way but the coal company, and the dis
tributiou OF the amount for each com
pany was arranged through the auditors
office, in which the accounts OF both
companies were kept The amount OF the
allowance was purely arbitrary. but was
very satisfactory to the traffic depart
ment, since II had the effect OF sending
the freight earnings OF the company up
with n bound.
'"The Rio Grande Western railway not
havin sufficient fifty-ton cars to move
the traffic. the Southern Pacific company
essary, and solely to secure the minimum
price on the coal and to avoid the pay
ment OF mileage on foreign cars for its
larger hauls on its own lines. the ad-
vantages of which it was found more than
absorbed any waiver of mileage thereon.
or the cost OF any running repairs. 1t
is therefore readily seen that Mr.. Der
rah's version of the business is entirely
lacking in knowledge OF the real facts"
Would Like to See Contract.
Mr.. Babcock said that he stated the
above details from memory, as he had
not seen the contract for more than ten
years, but II Mr.. Derrah will act upon
the suggestion in The Tribune of Thurs
day and produce the contract for publica-
ton it will set at rest any existing
doubts as to what It's terms actually
were. The only regret was that the
Southern Pacific company would not take
more of the coal on the same terms.
ut would be highly instructive to have
Mr. Derrah demonstrate that the coal
rates now proposed TO be established over
the Rio Grande lines by action of
the legislature would be wholly unproflta-
BILE, and, we should certainly be very
much interested in having him do so,
Challenges Statement.
Mr.. Derrah states that the coal reve-
nue. OF the RIO Grande in Utah Is 40 per
cent OF the gross earnings OF the COM
pany. We challenge the truth Of this