The Madisonian. (Richmond, Ky.) 1913-1914, 1913-06-03
RATE ADVANCE IS UP
RAILROADS AGAIN SEEK TO
RAISE TARIFFS oNeFREIGHT
FIVE PER CENT.
MEANS sac, 100000 A YEAR
Interstate Commerce Commission to
Decide Matter Affecting Country
East of the Mississippi and North
Of the Ohio and Potomac.
Rv GEORGE CLINTON.

Washington.-It has become the
present duty of the Interstate COM
merce commission to determine wheth-
er the railroads east of the Mississippi
river and north of the Ohio and Po-
tomac river shall be allowed to In
crease their freight rates five per cent.
From what one hears from all quar-
tiers, it seems to be the pretty gen.
eral admission that the interstate COM
merce commission is Q. fair and eff
cient government board. Judging from
the past it can be said the impression
is that the commission can be depend
ed upon to do the square thing by the
railroads and by the public.
The duty CT the commissioners will
be to determine whether or not the
five per cent. increase is reasonable !"
If they so find it, the railroads affect
ed will add about $40,000,000 to their
annual revenue. In letter which
Samuel Rea, president of the Pennsyl-
vania Railroad company, has written
for publication, and sent in printed
form to all the newspaper correspond
i
annual revenue from freight in the
territory concerned is about SS00,000.-
600. Five per cent. of this is S4G,-
000,000. There are about 100000
people in this portion of the country
The proposed increase, therefore,
means an average Of one dollar per
head of the population-eight cents a
month"
Plenty of Facts and Figures.
The interstate commerce commits
sion has everything which has been
written in behalf of the reasonable
ness Of the proposed rate increase
1t will get much more in printed form
and by word of mouth before it is
ready to make its decision. 1t also
will be given the other side of the
question, for the increase will affect
the shippers and the public generally.
Once before the commissioners de-
cided against the reasonableness of
the advance in the rates which the
railroads now ask. The question
which the commission must answer in
the near future is: Have conditions
changed enough to warrant the ad-
vance in rates which did not seem to
be warranted three years ago?
In the year 1910 the railroads which
are now seeking to advance their rates
filed with the commission a table Of
increases upon all classes of rates and
upon one-half of the commodity rates
within the eastern territory. Follow
ing this action the railroads west to
Chicago fled similar tables increas-
ing their rates upon many commodi-
ties.
The public showed indignation over
this action, and under the direction
of President Taft the department of
justice was told to bring suit on the
ground that the increase of rates was
the result of conspiracy restraining
trade and violating the Sherman anti
trust law. An injunction was forth
coming, and then the railroad repre-
sentatives appealed to the president,
saying that they would suspend the
rates until the interstate commerce
commission definitely could determine
whether or not they we're reasonable.
The commission determined that they
were unreasonable. and SO the roads
continued their former rates
This advanced rate problem, the an
swer to which it is for the interstate
commerce commission to give, helps
to outline sharply the course and the
progress of governmental control in
corporation matters. Once upon a
time the big corporations of the coun-
try were either law unto themselves
or were subject to the laws of states
whose legislators in the main part al
ways showed friendliness toward men
and corporations of big affairs. Today
the railroads are going to a small BODY
Of men, representing in one capacity
the people of the United States, to ask
whether or not the freight rate ad-
vance is reasonable.
There are men in congress utterly
opposed to government ownership
who say that the increased power of
the government over the corporations
is the shortest means of avoiding gov
eminent ownership, and they add that
most of the thinkers in the great in.
terstate corporations believe as they
do.
Uncle Sam, Railroad Builder.
Within IL months the United
States government will begin the
construction Of railroad on its
own account and will embark the sea
OF railroad ownership. and, probably
\ - - =
operation Following legislation by
the present congress, the federal gov.
eminent In all human probability will
construct and own railroads in Alas.
ka- Twenty years ago such an an.
nouncement would have set certain
conservative ones by the ears I,
would have been no more ASTONISHING
report 20 years ago. however. than
Is the the assertion today that Alaska
railroad Legislation has been pronosad
In q form which has the support OF
loyal conseryationists and lis not On
posed by the interests
President Wilson. secretary of tbe
interior Lane ard Senator Pittman
chairman of the senate COMMITTEES q,
Territories hove ,;-,,., ~. &. s-l -