Camas Prairie chronicle. [volume] (Cottonwood, Idaho) 1901-1917, 1910-07-15
FREIGHT RATES
ORDERED REDUCED
The Interstate Commerce com,oi...o.
1lnally Renders a decision in
the Famous Spokane case

.no Ahland Empire and Spokane IN
particular. iNone u
ne ueclslon comes on the fourtb an.
inlYersary OF the Passing OF the Henh,rr
80, unuer winch IT Is rendered am,
erei - years after the city of Spokane
sC starred ITS fight against discrim,-
ay ArelghC rates. During this time
tno case mas attracted national alton,
eion ana mas been one of the most i'm.
PorIahC with which the Interstate CON.
ne ~, commission has had to deal
Inc ruling OF the commission annl;oc
10 class rates and more than $50 CON-.
nloGltles. 1t is estimated the rednctions
VIII average about 25 per cent of tho
iates hitherto prevailing from eastern
points to Spokane.
Inc results of the decision will ho
tWo-fold. Spokane IS jobbing TERRITORY
Will be greatly extended and the cost
OF merchandise to Inland Emnire cor
sumers will be reduced. The 1rada bao
been informed by MANY iobbers +ha9
any reductions they get will he nassao
along to their customers and tbat 49,,
WI WI use tne lower rates to extend their
BUSINESS rather than to increase profits
on present business.
OIner lnter-mountain cities will share
Al Inc fruits OF the victory, the great
kane. gwen SPo-
Short Historical Resume,
Inc history of the Spokane rate case
uateS pack properly to 1891, when "the
CITY OF Spokane" backed informallv
by the principal jobbers, made a com.
paint to the interstate commerce com.
mission. At that time the Spokane rate
was determined by taking the through
rate from the east to the Coast and
adding the local rate from the Coast to
Spokane. '''' "
A decision. was issued by the com
mission in the spring Of 1892 which
gave Spokane rate of 80 per cent of
the terminal rate to the Coast on all
articles which were not actually carried
by water. The limits of water competi
ton were also very carefully defined
| The railroads paid no attention to
this decision, and in 1896 the shippers
OF Spokane brought suit in Judge Han
ford s federal court to compel the rail
roads to carry out the instructions of
the commission. Before the court could
pass upon it, however, the United States
supreme court issued a decision which
declared that the interstate commerce
commission had no authority to fix
freight rates.
This brought matters to a halt until
SIX years ago, when the merchants of
Spokane bOycotted the Hill roads and
gave their freight to the 0. R. & N.
Then Spokane was given what was
known as the "100-mile radius" of lob
bling rates, but these were steadily re-
stricted.
When the Hepburn bill was before
the senate committee, Brooks Adams of
Boston appeared before the committee
In behalf of Spokane and argued for
the passage of the bill.
1t was in 1896, also, that the chamber
of commerce elected a special com
mittee to gather facts and figures in
regard to Spokane freight rates, and
Spokane IS suit against the railroads
was the first on the calendar under the
new law.
The first hearing was held in January,
1907, with Commissioners Charles A.
Prouty and Franklin K. Lane present.
There was another hearing in June, with
subsequent hearings in Portland, Chi |
cagO and Washington. The commission
finally rendered a decision in February, |
1909, in which the rates were reduced !
on 81 commodities. The decision was
not mandatory, but allowed the rail /
roads to make a counter proposition, !
which was to take rs per cent of the
through rate to the Coast and add |
thereto the local rate from the Coast |
back to Spokane.
This proposal was opposed by dele !
cation of Spokane business men, headed !
by H. NJ Stephens as attorney, which |
appeared in Washington in person, June
9, 1909, presented a revised complaint
and succeeded in getting the railroad
proposal knocked out.
At that time 80 commodity rates
were suspended by the commission and
class rates were reduced 16 % per cent,
an advantage which the retailers have
enjoyed for IS months.
Spokane was allowed to substitute
the amended complaint, which included
more than 500 commodities, and the
made six weeks trip
over Pacific coast and interurban terri
tory last fall, holding hearings, not only
in Spokane, but in Seattle, Portland,
San Francisco, Los Angeles and Reno.
The present decision is the result of
these hearings and embodies all the
named in the amended
Conference July II.
July II is the date and Chicago the
place fixed by the interstate commerce
for conference with repre-
sentatives of railroad companies af-
fected by the decision in the Spokane
rate case, at which time plans will
be discussed for checking up receipts
If the roads under the prevailing rates
and comparing them with receipts that
would have accrued had the reduced
rates favored by the commission been )
put in operation.
Favor a Fair Profit.
The commission, before ordering the
.oads to adopt the rates stipulated IN
he decision, is anxious to ascertain t
whether the proposed reductions are /
reasonable. or whether they are so '
yreat as to deny the roads reasonable '
profit.
This is the first time such an expert a
nent has been tried, and it was re-
orted to because the commission pre- a
.o.ro5 m delay the reduction for three Z