The Sentinel=record., 1911-07-25
RATES ARE
 EQUALIzED
MID. WESTERN POINTS WIN IM- PORTANT RATE CASE BEFORE
 COMMERCE COMMISSION.
Material Reductions Made to EquaIlze the Coast to Coast Rates Which Have Always Been Less Than
 to the Nearer Points.

Washington, July 24.-In what are known as the Spokane Reno Pacific Coast cases, the Interstate Commerce Commission today ordered material reduction in freight rates from the East to points between Denver and the western terminals of the great trans-continentaI railroads.
 For many years the railroads have eXacted from shippers to intermediate points, such as Spokane and Reno, nigher rates on eastern freights than were charged for the much longer lhaul to Seattle, San Francisco and lother coast points. The theory had been that the railroads mast meet water competition to the Pacific Coast. The higher rates to inter- mediate points, arbitrarily fixed have been defended by comparison with the coast rates, plus theoretical hack haul from the coast to the in Hand stations along the line.
 The commission recognizes the right
 of railroad to meet water compe- Itition 10 Pacific Coast points, but practically wipes out the back haul rates 10 inter Rocky Mountain ter iritory It lays down what it consid- lers would be fair and just rates to various freeze zones in the west and gives the railroads until Octoner IS ito adjust their tariffs accordingly. The commission also lays down the Important principle that hereafter the railroads will not be permitted to fix arbitrary market limits and that hereafter commercial conditions rath- CT than the will of railway traffic managers shall control rates on trans IcontinentaI transpo tsation.
 The decisions announced late today are of far-reaching importance. They affect directly all freight rates be- tween the Atlantic Ocean and the Pa- lcific Coast. Particularly they affect the rates in the territory lying be- tween Denver and Pacific Coast points. Hereafter the rates paid by shippers will be governed by strict Incorporation of the long and short haul clause.
 The commission holds in the SO. s;;s;lliisssa s;ss;l ss. ssn..;; gsn.;; tha: traffic csigi mating at Chicago and in Chicago ter- ritory moving under commodity rates may have rate 2 per cent higher to intermediate points than that i'm posed on freight originating in Chi cago and Chicago territory destined ito the Pacific Coast terminals. From Bulfalo-Pittsburg territory the rates may rise above those demanded from ihe same points to Pacific Coast ter minals to the extent of 15 per cent, iwhlle from New York and trunk line Territory the rates charged shall not exceed 2S per cent over Pacific coast lterminaal rates.
 wase are the first decisions an- lnounced by the commission in which la definite principle in respect of the long and short haul provision is laid down
 The cases involved are those of the lcity of Spokane against the Northern Pacific Railway Company, known lpopularly as the Spokane rate case, lthe Commercial Club of Salt Lake City Iagainst the Atchison, Topeka and the Isanta Fe Railway Company, and oth- Iers; the rai'rorf commrssron of Ne Evada. against the Southern Pacific lCompany and cthers: the Maricopa County Commercial Club against the santT Fe. Prescott and Phoenix hall- way company and other carriers. | Inasmuch as the cases generally ldove tail into one another, the com
 mission announces it's decisions ir
 two opinions. In brief the commis lsion takes the view which 1t tooE lin it's opinions of the same cases an lnounced year ago last June. Al lthat time the commission said il
 would make no order respecting th' lrates which 1t suggested might bs but into effect until it had had op- |portunity to determine from reports made to it blythe carriers of th'
 probable effect or the suggested lrates. Meantime, the carriers have Ihubmitted to the commission theil earnings under the old rates ant leshat would have been uheir earning
 under the rates proposed by th' conmission.
 These tabulaged statements nav