Shiner gazette. [volume] (Shiner, Tex.) 1893-current, 1911-03-02
NO ADVANCE IN RATES
SECESSION OF INTERSTATE COM
MERGE COMMISSION
ASTONISH RAILROAD EXPERTS
Commission Says the Public Is Not
Responsible For Losses Due to
Bad Management, Etc.

WaSnlngtOn.-ln decision written
by Interstate Commerce Commissioner
Harlan the railroads have won almost
complete victory in the matter of adj
vanclng the rates from st. Louis to
Texas common points, and from Tex
as to all points north of Ohio and east
of the Mississippi River.
These advances were made little
over two years ago and were contested
in complaint filed before the inter-
state commerce commission by the
Texas railroad commission against the
Santa Fe and other railroads. The
commissioner sustains the rates on
first-class goods, which is the bulk of
the traffic, and slightly reduces them
on -second and third-class freight.
Commissions Statement.
The interstate commerce commits
sion issued the following statement, in
which its decision is summarized in
this language:
"The case of the railroad commits
sion of Texas, Atchison, Topeka & San
ia Fe Railroad Company ct al, number
1876, known as the Southwestern rate
advance case, was not on the suspen-
sion docket, the rates having been in
creased and the complaint attacking
them filed before the commission was
given the power, under the recent
amendment, to suspend increased rates
The amount of the increased revenue
involved in the advanced rates was not
so considerable as the amounts involv-
ID d., - al,
decided, but the increases were de-
Tended by the carriers on the same
grounds of insufficient revenue and in
adequate returns on their investments.
"In the general rate revision made
by these carriers on Aug. 10, 1908, from
st. Louis to Texas common points, the
first-class rate was increased from
S1.37 to $1.47, and corresponding in
creases were made in the other classes.
The effect of these advances was to
increase to the same extent the rates
on the traffic moving on exceptions to
the classification. The commodity rates
were also substantially increased, and
the record shows that the great bulk
of the Texas traffic moves under COM
AiiOQibJ latCps OlliJ dbOul POA OChb
moving under the class rates. The re-
suits of these advances in the class and
commodity rates was not only to raise
the rates from ST. Louis to Texas COM
mon points, but also to raise the rates
to Texas from all the territory of the
Mississippi River north of the Ohio
River and west of the so-called sea
board territory, rates from that portion
of the country being fixed on differ
entail over the st. Louis rates to Tex
as.
VoIumonus Record.
1.-THE record in this case was very
voluminous, and was laid before the
commission with printed abstract of
about thousand pages. There were
also three printed volumes of exhibits.
The contest was fought out largely on
the statistics relating to the financial
condition of the carriers engaged in
that traffic. The principal question at
issue was whether, under the old rates
the returns to the carriers on the in
vestment in their several properties
are sufficient. The railroad commits
sion of Texas took the position under
the new rates that the returns to the
railroads were such as to be extortion-
ate and excessive. 1t was also alleged
that the new rates we're unreasonable.
1.-THE interstate commerce commits
sion in a report prepared by Commits
sioner Harlan holds that the carriers
that were made defendants have not on
the whole prospered as have many car
riers in other parts of the country. 1t
therefore declines to disturb the COM
modify rates complained of, and de-
clines also to disturb the flrst-class
rate. The second-class rate, which on
Aug. 10, 1908, was raised from $1.21
to $1.29, the commission orders now to
be reduced to $1,25. On the remaining
classes the defendants are required to
restore the rates in effect before the
Increased rates were published. This
readjustment of the class rates is bas-
ed somewhat on the class rates to Col
orado under the order of the commits
sion in the Findel case, 15. I'C. @.
Rep. 555. AS the lower class rates eff
feet only small part of the traffic,
the result is that the contention of the
carriers is substantially sustained, the
conclusion reached being a recognition
by the commission that their financial
condition was such as to justify an in
crease In their revenues. 1t is express.
ly stated in the report that no repara-
tion will be allowed"