The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1911-06-29
BACK To The
3 CENT RATE?
Elliott Says North Dakota Is
Next in Line
Says That Lower Rate Is Not
Fair Compensation

St. PAUL June 29.-Althougn WIS.,
consin to the east has passenger fare
rate Of 2 cents a mile and North Da-
both Will be changed TO 3 cents If the
courts allow it, according to Howard
Elliott, president of the Northern Pa
cihc railway. The North Dakota rate.
he said yesterday will soon be tested
by court proceedings, In that state,
and particularly in the western part,
he said, all passenger trains are now
operating at loss and this is tending
to postpone building and Improvement
of service.
In explaining why the roads win
restore the Scent fare In Minnesota
July /, under the Sanborn decision,
Mr.. Elliott declared that the 2-cent
rate has been given a four-year trial
and that the results warrant a change
back to the old fares. "The public
does not want any less service" he
added, than that which the modern
passenger equipment and facilities
provide.
Held Void in DenseIy Populated
States.
"At the time the 2-cent rate was
enacted by the legislature, the owners
of the properties felt that an injustice
had been done and stockholders Of the
various companies brought proceed
ings to test in court the actual re-
suits Of the rate that was being
charged 1t is sufficient to note that
in several more densely populated
states than Minnesota, the 2-cent rate
has been found non compensatory
after careful and exhaustive investiga-
tions. and so far as has been noticed,
In no state in which the subject has
been investigated has a 2-cent rate
survived judicial investigation after
actual test OF results.
overruled in Pennsylvania.
"In Pennsylvania, and on the rail-
road having perhaps the heaviest
traffic per mile of any in the country
with density Of population per
square mile of 10 persons--a similar
law was held to be void because 1t
reduced the earnings to a point too
low to be fair or compensatory. In
Missouri. with a density Of popular
ton bf forty-eight persons per
square mile, a similar result was
reached. In Arkansas, with twenty-
nine persons per mile. the question has
been answered In the same manner
and the same is true of Oklahoma.
I'm Minnesota the most recent fig
ures indicate a density of population
Of twenty-six persons TO the square
mile.
Forced to Charge More by Public.
THE subject is being investigated in
other states, because in the last analy-
sis, the service that the public de-
mands and should receive cannot be
furnished for less than it costs and is
fairly worth, and the ability Of the
railroads to serve the travelling public
as IL requires is measured by the fair
ness of the public towards them and
the amounts of earnings they are per-
mitted to make. Railroads are of me-
cessity heavy and constant borrowers
Of money, needed to extend and i'm
prove service and facilities, and capt.
tai cannot be secured without freedom
to earn a fair return.
From all the light that has been
thrown on the question, there does
not appear to be any substantial doubt
about the correctness OF the conciu-
sion that modern passenger service
cannot be adequately maintained on
a 2-cent basis
Tariffs instituting the Scent fare In
Minnesota have been printed and are
in the hands Of all agents ready for
use July l.