The Leon reporter. (Leon, Iowa) 1887-1930, 1913-08-07
LOWER FAIR RATES DEFEATED
IN COURT.
Three Federal Judges Upset Order
Issued by Iowa Board.

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The law requiring railroads tc
grant excursion rates to the state
fair was declared unconstitutional al
Council Bluffs by Federal Judges
Mcpherson, Smith and Van Valken
berg. This means that there will be
no special rates to the fair the last
of this month. The court granted
the injunction asked by the railroads
to restrain the railroad commission
from forcing them to announce rates
Of u cents mile to- Des Moines
during the fair.
An appeal will be taken by the
state at once. Even though decided
favorably for the fair board no bene.
fits would be derived this year, as
the fair will be over before the case
possibly could be heard.
Special Favor to Des Moines.
The decision states that the law is
discriminating in favor of Des
point. Considering the fair an edu-
cational institution it sets forth that
the law would be discriminating in
favor of the fair as against other
educational institutions.
The decision recites the legisla-
ton enacted in Iowa from an early
| day to the present affecting rail
roads, goes into some detail in re-
! ferring to the cent law and to the
more recent enactment from which
sprung this action, and says:
There can be no doubt of the
right of the state to establish maxi
mum rates of transportation, SO long
as they are compensatory, but the
question here is how far this power
extends in the making of rates, par
ty rates, mileage rates and excursion
rates. AS to such rates there has
been little legislation and still less
of adjudication. 1t will be observ-
ed, however, that the rates herein
questioned are not limited to those
attending the state fair, but any per-
son desiring to obtain round trip
ticket to Des Moines may do so for
three fourths of the. ordinary fare
at any time between Aug. 20 and 20
of this year. 1t is insisted that this
provision was necessary to make the
rate legal. In this we cannot wholly
concur
Fairs Education Value.
The court then comments at
length upon the question of the edu-
cational value of the state fair, and
states that as that was the basis for
the reduced rate the court holds that
tickets should then have been limit
ed to state fair visitors, and says:
1--WE cannot agree that the char
acter of the state fair is such as to
make it legal to make a discrimina-
tory rate to Des Moines, and that it
would not have been legal to have re-
stricted it to those going to the state
fair. The basis of the contention
of the state in this regard is that the
state in this regard being an educa-
tional institution, justities an excep-
ton in the law as to the rates Of
transportation and that this classifi-
cation requires that all persons be
admitted at the same rates. OF
course we realize that ordinarily the
object of the law is to avoid dis
elimination in passenger rates, but
the very object of the rule permit
ting the state to Great classes will be
done away with if the law be constru-
ed as claimed by tina state.'
The court states the state fair is
not the only educational institution
in the state and mentions various
colleges and gatherings.
Other Interests Involved.
Referring to the fact that Des
Moines is not the only city in Iowa,
the court says this law operates not
only as fragrant discrimination
against those who are securing edu-
cations at some point other than Des
MOines, but it is a clear discrimina-
ton against those who are seeking
to buy at wholesale or retail at some
other city in Iowa than Des Moines
Assuming for the sake of this
case" the court says, that the state
institution as to justify discrimina-
ton in it's favor, we feel confident
that the constitution does not re-
quire that the state, in making such
discrimination as that contained in
the order of the railroad commits
sion, shall make another discrimina-
ton against all the industries of the
state except those of Des Moines.
This law as drawn not only dis
eliminates rs between cities and in
dividuals, but in a violation of the
long and short haul principle. To
illustrate-one who wants to go
from Davenport to Colfax will have
to pay 2 cents each way, or $3.04,
but to go from Davenport to Des
Moines through Colfax, he will only
nave to pay 1 II cents per miles, or
$3.50, and less in the aggregate than
it will cost to Colfax. If we take
any point A, which is more than
four times as far from Des Moines
as another point on the same line, B,
the rate from A to Des Moines
through B is less at 1 II cents per
mile than the rates left in force from
A to B at cents"
No Need of Discrimination.
The city of Des Moines, with it's
size, wealth and it's prestige has no
need for discriminating rates from
all parts of the state in it's favor and
the state cannot exercise the right
to reduce maximum rates to "a fair
return based upon investment and
earnings, and then still insist upon
the same gratuities voluntarily grant
ed by the carriers when left in un-
disturbed control of their income.
$50 long as any feature of private
ownership is recognized by the law
the state must not proceed upon an