The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-06-08
Eastern and Central Lines
Agree to Withhold Pro-
pOsedRate Advances
OFFICIALS WILL WAIT FOR
PASSAGE OF THE new LAW
Square Deal and Time VIII Be
Given to Fully Test the New
Railroad Law

washington, June THE recent hurry
as to the railroad situation became a
thing of the past today. The railroad
presidents went home; President Taft
went horseback riding, and the railroad
bill went into conference.
The eastern and central railroad presi-
dents at a conference with the President
this evening agreed to withhold proposed
freight rate increases until the new rail-
road law becomes effective, and after
that to submit the reasonableness of the
increases to the Interstate commerce COM
mission.
The railroads interested in the sout
territory said they had not as yet hled
notices of increase. but that if they did
they would be ready to abide by the
decision of the commission.
| At the capitol things were not so pleas
ant, it is stated. President Taft sent a
special message to Congress, telling Of
the settlement he had reached with the
railroads, urging the provision of the bill
which gives the interstate commerce
commission the power to investigate and
| to suspend new rates be made effective
Immediately upon the signing of the act
rather than have it go into effect along
| with the other clauses which have a CO.
day limitation following the executive ap-
proval of the measure.
The President did this as a part of the
agreement with the railroads by which he
promised them a square deal and n
speedy determination as to the Justice Of
their new rates. He also did 1t to pre-
vent the filing of any new rates during
the 60 days between the signing of the
act and the taking effect of the law
Bitter Fight in House
There was bitter fight in the House
| as to whether the Senate amendments
should be accepted as a whole or the
measure should be given into the hands
OF conferees from the House and Senate.
The insurgents and democrats who were
! opposed to conference said that the
| wishes OF the President as to the imme-
diate effectiveness of the interstate COM
merce rate approval clause could be met
by an agreement on the part of the
House.
| The regulars, who desired to have the
bill sent to conference for a smoothing
out process, said that the only way to
| effect the presidential wish was to send
the bill to conference. They won out
finally by six votes.
! President Taft declined to commit him.
self in his message or in conference with
Senate and House leaders say anything
as to the necessity of a conference He
merely expressed the wish indicated in
his message and left 1t to Congress to
determine the best means of meeting that
wish.
The conference of the President today
was with President James McCrea of the
Pennsylvania, President w. C. Brown of
the New York Central and President W.
W. Finley of the Southern railway. These
men represented all OF the trunk lines
| from Chicago eastward.
AmicnbIc Settlement
| 1t was taken for granted before the con-
| ference began that there would be an am
icable settlement, and there was little sur
nrise when after an hour an da half the
statement was issued that there had been
| an agreement
| In none of his negotiations with the
railroad presidents has President Taft
suggested that there was any purpose on
the part of the administration to apply
for a dissolution of the various trunk line
| associations.
At the same time there has been no in
| timation that any of the roads would be
| granted immunity from the operations of
| the Sherman antitrust law. The admins
| tration used the antitrust law In bringing
the Injunction to stop the proposed In
! creased rate simply because there was no
| other way to stop 1t.
| During the conference the question of
the ability of the interstate commerce
commission to dispose of all the new
| rates within the next II months was dis
cussed. President Taft expressed the be-
lief that the present rates gave basis for
comparison which would not require a
great amount of time.
President McCrea offered the sugges-
| ton that as there are certain basic rates
| which form the foundation for all the
other thousands of rates. that the disposi-
/ tion of the basic ones might not require
such a great length of time.
Once the basic rates are fixed the others
apply almost automatically.
| The statement issued by the White
House at the conclusion of today's con-
ference was as follows;
OmciaI Statement
eat the invitation Of the President.
James McCrea, president of the Pennsyl-
vania Railroad company, with Judge Mas
sey general counsel; Mr. w. c. Brown.
president of the New York Central, and
Mr.. w. w. Finley of the Suothern rail-
way, met the President at his office for
conference with respect to the pro-
posed advance of rates which had all
ready been filed bv. the trunk lines and
| central freight lines with the interstate
| commerce commission. to be effective
June l and thereafter. At the confer
ence 1t was agreed that If the amendment
recommended in the message OF the Pres
ident to the pending railroad bill was
adopted, and II the bill became law on
or before July 1, no agreement was neces-
sary to bring the rates In question be-
| fore the Interstate commerce commission
| for Investigation and decision before they
| became effective. But 1t was further
agreed that II the enactment of the rail-
road law was deferred or 1t should other
wise become necessary the railroad COM
panies would submit the proposed ad-
vance in rates to the Interstate commerce
commission in accordance with the pro-
visions Of the new law.
mfr. Finley, president of the Southern
| railway. stated that as to southern ter
ritory his company. while recognizing the
necessity for some increase in some Of
the rates had taken no action as yet, 90