Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1913-01-29
WEDNESDAY, JANUARY 20, 1918
RAILROADS CANNOT
BOOST THEIR RATE
For Carrying Increased Mail Under
Parcels Post-Present Contract
Stands for Two Years.


ment would run up against serious
obstacle in its parcels post law be-
cause the railroad companies would
raise the rates for transportation on
account of the largely increased
volume of business, but it now begins
to look as though the companies will
be held to present rates for at least
two years to come.
The Milwaukee Daily Journal
throws some light upon the subject in
the following interview:
"Uncle Sam certainly rubbed it III
on railroads in more ways than one
when the parcel post was established, :"
said j. W. Kelly, commercial agent
Frisco lines to a Journal reporter.
''The railroads don't get a cent from
the government for hauling extra mail
sent by parcel post, About 80 per
cent Of merchandise, now sent by
mail, formerly went by express and
railroads were paid for hauling it.
POSTMASTER Owen tells me Sc. 800
incoming and 10 900 outgoing parcel
post packages we're handled by the
Milwaukee office the first three weeks
of this year. Estimating them to
average five pounds, the total weight
was 344. 600 pounds. 1t takes about
10 600 pounds of merchandise TO make
a carload, so the parcel post business
in three weeks, was over thirty four
carloads, in Milwaukee alone. | esti
mate that seventeen carloads of this
represents express business for which
we were formerly paid. Tbs roads
are under contract to carry the mail
for lump sum. no matter how much
there may be This contract was made
two years ago, aud it has two years
to run.
Naturally, railroads are busy in
Washington trying to get it amended.
This is just the beginning. When
big mail order houses take full ad-
vantage of the parcel post, you can see
what will happen to railroads, with
mail contracts. | know Milwaukee
firms that once sent by express from
three to five packages a day which
now 60 by mail. =
POSTMASTER EXPLAINS BUSINESS.
According to Postmaster Owens the
contract under which the western
roads, Wisconsin included, carry
mail, was dated July 1, 1911, aud ex-
pires July 1, 1915. 1t is custc-cry
for the government and railroads to
put on clerks every four years to
weigh mail matter The present con-
tract is based on weight of mail in
August. Septem Der and October, 1910
He says the contracts are iron clad and
railroads would have no chance of
escaping were the increase due to in.
creased business and not a new
system. He says the usual increase
in weight of mail is about per cent
a year and he thinks railroads are
sure to lose during the last year
and possibly two last years of their
contracts During the last year, the
weight of mail matter will have in
creased anywhere from "a to Sc per
cent, he says.
He does not agree with railroads
claim that parcel post packages aver
age five pounds. He says the average
weight of the 26, 900 parcels, mailed
at the Milwaukee Office the first
twelve days of January was only II
ounces. He explained that this in
cludes all old fourth class mail
packages. The number of new pack :
ages, under the parcel post in this
period, was about $4,000 with an
average weight of three and one half
pounds. so that the total weight of
the new business brought in by the
parcel post would be about 40, 600
pounds.