The Green Forest tribune., 1912-03-01
POSTAL SERVICE
 SHOWS A PROFIT
First Time in History, According to Report of Cabinet
 Officer.
RAISE IN RATES IS FAVORED
President Concurs in Recommends ton of Commission on Second Class Mail Matter-Again sug- gests Adoption of Parcel
 Post System.

Post System.
 Washington, Feb. 22.-For the first time in the history of the postal serv- ce that department of the government showed a profit for the fiscal year 5nding June 30, 1911, according to the lnnual report of Postmaster General Hitchcock transmitted toScon gress to- lay. Accompanying the document vas the report of the commission on second-class mail matter appointed by oint resolution of congress on March 1 of last year and brief message Of the president, in which he called at tention to the principal features of the TWO reports.
 Would Increase Second-cIass Rates.
 The report of the commission on second-class mail matter makes the following recommendations
 ]. The rate of cents a pound on copies mailed by publishers to sub scribers, to news agents, and as sam pie copies, and by news agents to their subscribers or to other news agents.
 A- lAC IoNC VI 1 NSDG lO1 G6lNll ounces for copies mailed by other than publishers and news agents; that Is, the present transient rate.
 3. The present free-in-county priv ilege retained, but not extended.
 The commission also recommended that the cent-a-copy rate for newspa- pers other than weeklies and for pe riodicals not exceeding ounces in weight, and the 2-cent-a-copy rate for periodicals exceeding 2 ounces in weight, when mailed at city letter carrier office for local delivery, be abolished.
 As to the effect and adequacy of the proposed increase of 1 cent a pound in postage the commission says:
 Such an increase will not, in the opinion of the commission, bring dis tress upon the publishers of newspa- pers and periodicals, or seriously in terfere with the dissemination of use ful news condemnation. A reasonable time should be allowed, after the rate is fixed, before it is put into effect. While the new rate viii be very far from compensating thef government for the carriage and handling of sex ond-class matter, it will to some ex- tent relieve the existing burden and result in a more equitable adjustment of rates."
 Both the president and the postmas- ter general concur in the recommends tions and regarding the proposed in crease in newspaper postage the presi- dent says: The proposed increase of l cent a pound in the second-class postage rate, I believe, to be most reasonable, and if sufficient time is al lowed before the change goes into eff feet it should work little serious in- jury to the business of the periodical publishers, while equalizing, at least In a measure, the burdens of postal taxation"
 Rates Should Be More Equal.
 Commenting further on the pro- posed increase, the president says: ''The postal service is now, for the first time in years, operated upon a self-sustaining basis, and in my judg- ment this is a wise policy; but it should not be carried out at the ex- pense of certain classes of mail mat ter that pay revenue largely in ex- cess of their cost It is not just that some classes of mail should be ex- orbitantly taxed to meet a deficiency caused by other classes, the revenue from which is much below their cost of handling and carriage. Where such ineoualities exist they should be re- moved as early as practicable. The business enterprises of the publishers of periodicals, however, have been built up on the basis of the present second-class rate, and therefore it would be manifestly unfair to put into immediate effect a large increase in postage That newspapers and maga- zines have been potent agencies for the dissemination of public intellt- gence and have consequently borne a worthy part in the development of the country all must admit; but it is like wise true that the original purpose of congress in providing fer them sub vention by way of nominal postal charges in consideration of their
 
 value as mediums of public informa- tioE ought not to prevent an increase, because they are now not only educa- tionzI but highly profitable. There is no warrant for the great disparity be- tween existing postage rates on pe- riodicals and the cost of the service the government performs for them. The aggregate postal revenues for the fiscal year 1911 were $237, ,S79 1928 60, derived mainly from the postage col lected on the four classes of mail matter. It is carefully estimated by the postoffice department that the revenue derived from mail matter of the first class is approximately one and one-half times the cost of han ding and carriage; that the returns from third and fourth class matter are slightly in excess of their cost of handing and carriage; and that while second-class matter embraces over 65 per cent. of the entire weight of all the mail carried, it, nevertheless yields little more than per cent. of the postal revenues"
 The commission on second-class .,Sr>~ 1r~~~~-~~~->~~~~~~~~ .o