The evening times., 1911-08-08
Long and Short
Haul by Waterways
(By H. M. stephens.)

tee and has been largely instrument
al in bringing to successful issues
the fight made by that city against
unjust freight rates. Mr.. Stephens
was placed in charge of the legal end
of the fight against the railways in
1906 and since has practically given
his undivided attention to the subject.
There is probably no man, lawyer, or
railway traffic expert, better versed
on railroad rates and rate making in
this country than he is. His views
therefore on questions arising out Of
the decision just rendered by the in
terstate commerce commission in the
Spokane rate case are vitality inter-
esting, not only in the Spokane coun-
try, but throughout the Pacific north
west and the Missouri and Mississip-
pi valleys.)
Inasmuch as the coast cities are
kicking up considerable dust on the
subject OF the completion of the Pan
anna canal and water competition
from that time on it may not be amiss
to call attention to few well-known
facts and suggest one or two things
that may appropriately be done.
The committee and counsel in
charge OF the rate case have been in
formed that many traffic men have
long been in favor of adopting the
policy Of developing the interior,
thereby securing freight that can not
be taken away by the water craft.
Commissioner Prouty, in the opin-
ion in the Spokane case, says that ma
tural laws and economics suggest
that the middle west, such as Chica-
go, and common points and territory
west thereof, ought to produce and
be able to sell very large proper
tion of the goods consumed in the
intermountain country and on the
Pacific coast. With reference to this
subject Commissioner Prouty states:
ITO disinterested observer it
would seem to be in the true interest
of these transcontinental lines which
begin at the Missouri river to make
rates which would build up interior
points as against the coast. The haul
to these points is shorter and less ex-
pensive. The distribution from these
points is easier, but, above all, the
traffic which is created at such q
point belongs to the rail line which
creates it, while the traffic which is
fostered upon the coast is the prey of
every vessel which sails the sea. Car
riers in the future will doubtless
adopt this method and will voluntar-
lily make rates to interior points like
Spokane, which will enable these To-
calities to compete with coast cities"
| Commissioner Prouty does say,
however, that when the Panama ca
nal is completed water competition
will probably be more intense than it
is now.
| Commissioner Prouty also states
| that the commission is not able to
tion on the Atlantic seaboard may
eastern interior points.
/ Commissioner Lane Tin the Nevada
! case) makes the following statement:
+. "It is fairly established that the
influence of water competition does
not cease at the Pittsburg-Buffalo
, line, but extends westward as to GER
tain particular commodities, and
doubtless for some distance west of
Pittsburg the carriers may properly
make rates which will prevent the
movement eastward to the seaboard
instead of westward over their lines,
! but we look in vain throughout the
records of this commission for twenty
years to find any but the most frag-
mentary evidence that sea competi-
! ton extends to Chicago"
Extend Long and Short Haul Clause.
/: In view of these two statements,
and especially in view of the Ian
guage of Commissioner Lane, the long
and short haul clause ought to be
applied from Chicago, st. Louis and
common points, and it does not seem
there ought to be serious difficulty in
getting the commerce act of congress
amended so as to apply from these
interior points and points west there
of, and 1t may be wise thing for
the people of this inland empire and
all of the intermountain country from
Canada to Mexico, including the in
terror Of California, to organize to
secure this just and equitable amend
ment.
Commissioner Lane, in the Nevada
and Arizona cases, goes into the his
tory of water competition very thor
oughly This history shows that
whenever the carriers have so desir-
ed they have owned enough of the
water craft to drop rates SO low as
to put all competitors out of busi-
ness. The rail carriers are SO strong
that they can continue this policy
and thereby they can dominate the
sea as they have heretofore done.
F.; Commissioner Prouty makes the
following observations:
"Since the advent of the American
Hawaiian line there has been not,
! perhaps, definite agreement between
it and the rail lines, but general
understanding that such rates should
be. maintained by water as compared
with rates by rail as would give to
the vessels a reasonable amount Of
traffic from the immediate vicinity Of
New York"
Commissioner Lane says:
"The routes by way of Cape Horn
and the straits of Magellan have
been virtually abandoned. For near
ly forty years the Panama route has
been under railroad control. When
an attempt was made to reestablish
this route as vital competitor the
railroads used their own ocean-and-