The Chanute times., 1912-03-01

Supreme Court OF the United states;
President A. Lawrence Lowell of Har-
ward University, and Mr.. Harry A.
Wheeler, president Of the Association
Of Commerce of the city Of Chicago.
In commenting on their findings the
president says:
"The report discloses a most ex'
haustive and critical inquiry into the
subject of second-class mail matter
after adequate notice to all the par
ties in interest. Extensive hearings
were held by the commission, at which
the Postmaster General and the Sec
ond and Third Assistant Postmasters
General appeared and submitted for
NAL statements presenting the various
contentious Of the Post Office depart
ment, together with all the relevant
official data and evidence relating to
the cost of handling and transporting
second-class mail matter Certain OF
the leading magazines were represent
ed by counsel, while various other pub
lications appeared by representatives.
"The findings of the commission
confirm the view that the cost OF
handling and transporting second
class mail matter is greatly In excess
of the postage paid. and that an in
crease in the rate is not only justified
by the facts, but Is desirable"
Cost Inquired Into.
1.-THE commission reports that the
evidence submitted for its oonsidera-
ton Is sufficient to warrant finding
of the approximate cost of handling
and transporting the several classes
of second-class mail known as paid
at-the-pound-rate, free-in-county, and
transient matter, in so far as relates
to the services of transportation, post
Office cars, railway distribution, rural
delivery, and certain other items OF
cost, but that it is without adequate
data to determine the cost OF the gen.
eral post-offlce service and also what
portion of the cost Of certain other
aggregate services is properly assign
able to second-class mail matter. 1t
finds that in the fiscal year 1908, tn"
period for which the statistics for tho
Post Office Department were COM
piled, the cost of handling and trans
porting second-class mail, in the items
of transportation, post-office cars, rail-
way distribution, rural delivery. and
certain miscellaneous charges, was ap'
proximately cents pound for paid
at-the-pound-rate matter, and for free
in-county and transient matter each
approximately cents a pound, and
that upon this basis, as modified by
subsequent reductions in the cost OF
railroad transportation, the cost or
paid-at-the-pound-rate matter, for the
services mentioned, Is now approx
mately 51k cents a pound, while the
cost of free-in-county and transient
matter remains as formerly, namely
each at approximately cents a
pound.
The commission suggests that the
department maintain an adequate
cost system, so that the effect OF the
new rates may be closely observed
and a proper basis may be secured
for the consideration Of any future
proposals"
President Taft again concurs In the
recommendation Of the Postmaster
General for the adoption Of a parcel
post system, suggesting the Inaugural
ton of such a service on rural routes
and in the city delivery service first.
Ownership of Telegraph Opposed.
Hitchcock's recommendation for
government ownership of the tele-
graph lines under the supervision OF
the postal service is not approved OF
bv the president. Regarding this he
says:
There is only one recommendation
in which I can not agree-that is one
which recommends that the telegraph
lines in the United States should be
made a part Of the postal system and
operated in conjunction with the mail
system. This presents question OF
government ownership of public uti'i'
| ties which are now being conducted by
private enterprise under franchises
from the government I believe that
the true principle is that private en-
terprise should be permitted to carry
on such public utilities under due regu'
lation as to rates by proper authority
rather than that the government
should itself conduct them. This prin'
ciple I favor because do not think 1t
in accordance with the best public pol
icy thus greatly to increase the body
of public servants. OF course, II II
could be shown that telegraph service
could be furnished to the public at a
less price than 1t is now furnished to
the public by telegraph companies,
and with equal efficiency, the argu'
ment might be a strong one in favor
of the adoption Of the proposition. But
I am not satisfied from any evidence
that If these properties were taken
over by the government they could be
managed any more economically or
any more efficiently or that this would
enable the government to furnish serv'
ice at any smaller rate than the pub
lie are now required to pay by private
companies"
| Uho raDort of tho pOstmaster Gen.