Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1911-07-25
ATER COMPETITION FIGURES
Pacific Coast Points to Enjoy Present
Locality Advantage.
ROADS TO ADJUST THE TARTFs
Details 20 he worked out by the
Companies Affected ny the
New Order.

WASHINGTON. July 25.-Deeisions Of Jar
reaching Importance were announced late
today by the Interstate Commerce commits
sion. They affect directly all freight rates
between the Atlantic ocean and the Pacific
coast. Particularly. they affect the rates
in the territory lying between Denver and
Pacific coast points.
The rates TO this inter-mountain territory
heretofore have been made without any
definite relation to the water competitive
rates to the Pacific coast, the extent OF the
discrimination being entirely optional with
the carriers BY the opinions handed down
today the commission has attempted to ar
rive at a definite relation OF the rates to
the noncompetitive points as compared with
those to the coast and has laid down the
extent to which the rates TO interior points
may exceed the coast rates.
In all the cases decided the carriers are
given until October IS 20 file tariffs with
the commission constructed in accordance
with the views set forth in the opinions.
The net result OF the decisions will be TO
give lower rates on all west-bound trans
continental traffic TO cities In the inter-
Rocky mountain territory. To all intents
and purposes the baek-haul rates from Pa
cific coast terminals TO cities In the Rocky
mountain territory are wiped out and the
service rendered by the carriers viii be paid
by shippers substantially on a strict inter-
probation of the long -snd-short haul pro-
vision Of the existing law.
what the Com sni.siea Holds.
The commission hcIds n the so-caued
Reno case that traffic originating at Chi
cago and in Chicago territory moving under
commodity rates may have a rate per
cent higher to intermediate points than
that imposed on freight originating In Chi
cago and Chicago territory destined TO the
Pacific coast terminals. From Buffalo
Pittsburg territory the rates may rise above
those demanded from the same points to
Pacific coast terminals to the extent of Is
per cent; while from New York and trunk
line territory the rates charged shall not
exceed q per cent over Pacific coast ter
minaI rates.
These are the first decisions announced
by the commission in which a definite prin-
ciple in respect OF the long-and- short haul
provision is laid down. While the opinions
fully recognize the influence of water com
petition, to a marked extent they draw a
line upon indiscriminate market" COM
petition.
The effect Of the decisions will be to
notify the carriers that they will be allowed
TO meet water competition TO a reasonable
extent, but that the location of markets
hereafter Will be left more TO the PLAY of
commercial causes than to the will Of the
traffic managers of railways.
Cases Involved.
The cases involved are those of the CITY
of Spokane against the Northern Pacific
Railway company. known popularity as the
Spokane Rate Case; the Commercial club
OF salt Lake City. against the Atchison.
nnalra q II
others; the Railroad Commission OF Nevada
against the Southern Pacific company and
others; and the Maricopa County CONNER
cial club againt the Santa Fe. Prescott A
Phoenix Railway company and other car
riers.
Inasmuch as the cases generally dovs-
tail into one another the commission an
nounees its decisions in two opinions. In
brief the commission takes the view which
II took in its opinions OF the same cases
announced year ago last June At that
ume the commission said II would make no
order respecting the rates which IL u,9-
gested might be put into effect until n bad
had opportunity to determine from report.
made TO il by the carriers OF the probahIe
effect OF the suggested rates. Meantime
the carriers have submitted 70 the eornr,ts-
sion their earnings under the old rates ana
What would have been their earnings under
the rates proposed by the Commission
These tabuiated statements have convinced
the commission that the rates determined
upon by the commission In its decisions OF
June 7. 1910, are generally fair and reason
able The commission says that there is
no reason why those rates should not now
be established.
"stnce the PRONUNCIATION Of that opinion"