The Washington times., 1913-07-22
RAILROADS MENACE
CAPITAL s STANDING
=
Washington Stands to Become
Gateway to South by Fight
for Water Competition.
Continued from First Page.)


roalroads.
1t is what the New Haven road want
ed to do when it bought up the coast
wise, steamship lines of New England
in order to perfect its control of tn
rate situation for all New England.
1t sVwhat the railroads of the who'll
Middle West did when they monopo
lized terminals, cut rates, gave rebates
and otherwise compelled shippers t.
Quit using the Ohio, Mississippi, Mis-
souri, and other rivers of the centra
valley as transportation routes, anc
forced them TO use the iron rails eX'
cIusively. Today there is practically M
business on these rivers; the railroad:
control 1t all
Law Tried To Prevent This. -
Recognizing that the railroads would
monopoIize the business if they were
allowed. and that they would drive both
the river and the ocean ship lines out
of business, Congress passed law that
when 4 railroad had reduced rate In
competition with water route 1t might
not thereafter raise that rate unless
the Interstate Commerce Commission
was shown that there was good reason
for doing so.
Can that showing be made as to the
increase of rates in Washington and
Baltimore? II is almost certain that Il
cannot. For thirty years in Baltimore,
gave this special privilege. They did not
complain that they were losing money
by reason of giving it., They prospered
magnificently. Yet they now propose
to withdraw this privilege; not because
they cannot afford to continue II, but
because they are not So much afraid
{ Of water competition as they once were.
R. P. Andrews, president of the Re
tail Merchants Association, expresses
the opinion that It is :immaterial whe-
har- ffa -NR nl fE oil n
tained or a reduction of rates of eQuiva-
lent value is secured. He points out
that the free freight delivery is worth
about Sl00.Ooe a year to Washington
merchants, and that If it is to be with
drawn, concession of equal value in
rates should be eXacted. Business men
generally, Of whom The Times has in
. terviewed a large number today, are
for carrying the fight to the last ditch.
By way Of illuminating in the most
ington and Baltimore as the gateway
cities between East and South, The
Times today prints a map that shows
the Eastern and the Southern railroad
systems; each system touches the other
at this point; each tunnels its business
through the Washingtoh-B Baltimore gate.
These two cities and the short distance
between them constitute the narrowest
part of the hourglass; the sand must all
pass this way, whichever sway the glass
is. turned. That franchise is what
makes great cities. Are Washington
and Baltimore to surrender it?
Georgetown Mans Views.
P. T. Moran, a Georgetown merchant,
takes precisely the same view of the
situation that The Times outlined yes
terday with. respect to water compe-
tition, and its effect on the abolition OF
the delivery concessions.
He believes that Washington's mer-
uhaats by cooperation. can prevent the
PennsyaxaHia road from putting It's plan
into effect With this idea in mind, he
has called a meeting of the Chamber
Of Commerce freight, committee Tor l
O'Clock today. :,
rectly to the Interstate Commerce COM
mission. A..
PENNSYLVANIA railroad can put this rule
into operation. AS l understood the sit
nation. after the recent Washington
Baltimore discrimination case, the rail-
roads had to continue the store door
delivery feature for some time Yet
here comes the Pennsylvania now, ana
says that it will shut OFF this delivery
in a little over thirty days. This time
limit in itself is an injustice, for IT would
take several months for stores to build
freight wagons for themselves.
II believe the merchants Of Wash
ington should stand together for con-
tinuance OF the store-door dehvery plan, plan
rather than 10 direct their energies
toward getting a reduction of freight
rates and paying for the hauling them
selves,
now contemplated is direct result OF
decreased water competition, especially
at Baltimore"
Favors Fight To Cut Rates.
President R. P. Andrews, of the Re
tan Merchants Association. on the
other hand, takes the view that the
subject OF water competition does not
enter into the consideration of the
railroads. He feels that the water COM
petition from New England points Is
still very keen, and that boats carry
large percentage OF the freight from
does not exist with respect TO New
York and Philadelphia freight
Andrews advocates strenuous night
for reduction of freight rates, but.
according to his Interpretation OF the
recent Washington Baltimore discrimi-
nation case, there is no chance 10 COM
bat the railroads on elimination OF
stcre-door delivery, provided II affects
Washington and Baltimore alike.
He figures a rate Of to cents per
livery. This means an additional cost
of about 10000 a year to Washington
merchants If they are forced TO deliver
their own goods and still pay the old
rates for freight.
Andrews suggests. as his personal
view, that the merchants accept the
decision of the Pennsylvania TO abolish
city delivery, but conduct stin fight
a gainst maintenance Of present freight
r9tes.
Wait For Legal Advice
Whether or not the association takes
this view will depend largely on advice
OF coursel. At least the association will
put up stiff fight at one angle or the
other. II does not propose to submit
TO q virtual increase of rates without
doing all in its power to prevent them.
Andrews expects that the aid Of the
Merchants and Manufacturers AssOcia-
zion uf Baltimore will be a powerful
factor in the forthcoming campaign.
Carl A. Droop said he had not gone
into the present situation in detail, but
he indicated that his firN would stand
with the Retail Merchants Association
In the fight against the railroad.
An interesting sidelight on the fight
Is the attitude Of the wholesalers. They
are inclined to welcome the elimination
may mean to them an increase in bust
ness from smaller retailers. who now
do their business out of town.
Ready To Take Chances.
The F. P. May Hardware Company.
for instance, is not inclined to take
any part in the present contest. A
member Of the firm says II will take
it's chances with any decision that is