Arizona republican., 1913-06-17
KFNTUCKY CASE
 NOT DECIDED
Where Point is Raised State Laws Interfere With In tcl'State Commerce Court Points to His Minnesota Decision
LAssocLArrn PpEss nIspArcu

ASSOCIATED PRESS DISPATCH
 WASHINGTON. June 16-WithOut varying a dot from the principles laid down last week in the Minnesota rate cases, the supreme court of the United States upheld today the state railroad rate legislation Of Missouri, Arkansas, Oregon and West Virginia. The legislation included the two- cent passenger laws in Missouri. Arkansas and West Virginia; the maximum freight rate laws in Mis- souri and Arkansas and freight rates out of Portland in the Oregon cases. The only exception 10 a sweeping ap- proval of the state statutes was in the case Of several of the weaker roads of Missouri.
 The Kentucky case was not decided. T. involves an attack by the state on rates from river points to the inland distnlery cities and an attack on the constitutionality of the McChord act. enabling the state railroad commis- sion to fix reasonable rates for in trastate business.
 Justice Hughes announced the de- cision in the cases today as he did in the Minnesota cases a week ago. Where the point was raised that the state laws interferred with inter state commerce the justice referred to his Minnesota rate decision. It disappointed any who believed the court might, in some way, modify the decision.
 We need not review the arguments addressed to the conditions of trans portation in Missouri and the relation of interstate and intrastate rates he said. for while the case has spe- ciaI facts by reason of location in state and use of the Mississippi and Missouri rivers as passing points in rate making the controlling question has been presented with reference to the authority of the state to prescribe reasonable intra-tate rates throughout it's territory and unless limited by eX- ercise on the part of congress of its constitutional power over interstate commerce and it's instruments and is not to be distinguished in any ma terial respect from that which 1 con- sidered. had been decided in the Minnesota rate cases"
 The Oregon and West Virginia cases were decided in favor of the states in few words. and the only point raised by the railroads being that the laws interfered with inter state commerce.
 Justice Hughes went fully into ar examination of the claims of the Missouri and Arkansas cases that th' property of the railroads devoted tS intrastate business be confiscated.
 As a result the stat, rates will be come operative on the Chicago, Bur lington and Quincy; Santa Fe, Kan sas City Southern, Missouri, Kansa! and Texas, Chicago. Rock Island ant Pacific, Gncluding St. Louis, Kansas City and Colorado,) St. Louis ant San Francisco, St. Louis Southern Missouri Pacific, St. Louis, lroI Mountain and Southern, Wabash, Chi cagO. Milwaukee and St. Paul an' the Chicago and Alton.
 For the present the rates will no bzecOme operative on the St Loul and Hannibal Kansas City, Clinton and Springfield Chicago Great West ern, Quincy. Omaha and Kansas Clt and the St. Joseph and Grand Is lands The court refused to accep the valuation placed upon the rali roads of Missouri by the state as sessing board as a basis of tlXln fair value in figuring whether tl rates confiscated the property. Jus tice Hughes took the case Of tn Burlington and showed by applyln the assessment value multlp1e three times as done by the federa court of Missouri) to the whole sys
  ed would be $115, 100000 in excess the capitalization of the system. be sides he said, there is nothing | show upon what the assessors 1lHe the valuation, nor was it demonstra' ed that the assessors avoided th mistakes criticised in the Minnesot rate decision
 The appointment of property value between interstate and lntraStd passenger and freight traffic accorC ing to the gross re-enue, was dlsaI proved for the reasons stated Tn U Minnesota rate cases
 Coming to the apportionment expenses, Justice Hughes said u plan adopted by the lower court applying the revenue basis was opt to the same objection as in the NH nesota cases
 However as to the St Louis aI Hannibal and Kansas City ana II Clinton and Springfield he said u experts of both the state and Il railroads were united in stating tn no basis could be found upon whl' the proposed rates would yield
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