The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-06-30
TranSCOntinentaI Rates Are
Called Unjust and Unrea-
SOnab|e in Decision
REDUCTION MUST Be
MADE OF 18 PER CENT
and Several Railroads Are Affected.
Remarkable situation Is Re-
vesled BY Investigation

Washington. June 2s.-In the Spokane
rate case the interstate commerce COM
mission decided today that present freight
| rates are unreasonable and excessive.
| What the commission considered just and
reasonable rates on both class and COM
modify freight were established for the
future.
Present class freight rates between
Utah common points and Mississippi and
| Missouri river transfer points we're found
excessive and were ordered to be reduced
about Is per cent.
| In what is known as the Reno case the
class and commodity rates from Sacra-
mento, Cal. by the Southern Pacific, be-
tween Reno, New, and Cecil Junction.
Utah, was declared excessive and reas-
enable rates prescribed.
In what is known as the Portland
back haul case, the commission decided
that freight rates from Seattle, Tacoma
and Portland to points in Washington,
Oregon, Idaho and Montana were unreas-
enable and a reduction of 20 per cent was
proposed.
Certain class freight rates from eastern
territory to Phoenix, Ariz were held to
be unjust and unreasonable, and reduc-
tions of approximately 80 per cent was
ordered.
on complaint OF the railroad commits
sion of Nevada IL was held the class rates
from eastern defined territory to points
In Nevada were unreasonable and 1t
was ordered that rates materially would
be put into effect by the carriers.
Pacific Coast Cases
The decisions are what popularity are
known as the Pacific coast cases, which
were heard last autumn. The eommssiop
realized the immense Importance 81
sne shipping pubic thfo',Ehhloynnfi' Ehhlynfi'15 ea eoun.
try, and 1t prepared its opinion with the
greatest care. In every instance re-
ductions I'm the existing rates Complained
of were made, and in some insta nces they
amounted to nearly so per cent The COM
mission found through its inquiry re-
markable rate situation existing on the
Pacific coast, and even more remark
able one in the interior mountain terri
tory.
The shippers of Spokane complained in
sistently of the rates which they were
charged by the railroads freight
classes and commodities from eastern
points Of origin, because they were re-
quired to pay the Pacific Coast terminal
rates plus the local rates back to Spo-
kane, from those terminals. although the
railroads on the western trip.
Substantially the same state of affairs
existed at Reno and other Nevada p oints
which had to pay the rates to San Fran
cisco and the back haul to California
rates from San Francisco or Sacramento
to, the point Of ultimate destination.
These local rates in most instances
amounted to two-fifths or more of the en-
tire rate from eastern points of origin to
| Pacific coast terminals.
| The decisions of the commission in these
cases affect all class and commodity
| rates between eastern points and the far
west. No complaint was made in any of
| the cases of the rates OF the eastern ines
between Atlantic points and Mississippi
river transfers
Excessive Earnings
The Spokane case was against the
Northern Pacific and Great Northern rail-
road companies and other carriers and
Judge Prouty prepared the decision. The
| earnings of these two roads, he said,
| might fairly be held to have been excess
siye for the ten years prior to 1905 and
| that reductions in revenue might there.
| fore be made without violation OF consti
| tutional rights.
| The rates established in the Spokane
case are approximately % per cent lower
on both classes and commodities. but
| they will not be effective Immediately
nata,,a, ra.,,,ctto,,s 80 80 ~. -.
| would 10 disas astro,,s
! The Northern Pacific showed that since
| tha snr,n,r ~ 1oo7 ~ had aspa,,ssa1 a,,,n -
mail, sea n,o oon and ths Graat Napt,,.,,
shnu,aS ~ hod arnsrdad an~ro~s,,,ata,,,
AK ooo ooo IN hatternsnts 1,hs nn,,,,,,ssts,,,
| so,s thot ..thasa s,,,,,s ,a,,,s q, 20 -,
| case equal approximately % per cent of
can,,n,sson apd wo,,Id ,s NO. acoo,s,' ,e
.on,as ~, ,rorassaS 90 ,.,,,,,r ~. ~.
be- -, s,ai,,, ~ rs.i,., 'a1-
| s,t,~ .s @ - ~, . .S., . . 49,. 1ss ~"
| 80. aoas not hor-s,,a, 1a.a !, az 49,,
sY,s,. a.. - lsr ~ ,,.;t,a 80;
haa ~ ,,,,o ~ enrractnsss 80 s,', ss
80 s.., .po '''e " W. Aoa-
'''e'
Reason for Reductions