Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1913-05-20
TRACK CONNECTION ORDER OF
COMMISSION PUTS INTO FORCE
LOWER TARIFFS.
MAIN REASON RAILROADS
OBJECTS TO CONNECTIONS
Commission Determined Roads Shall
Not Defeat Joint Rate EstabIishm
by Refusing to Facilitate Application
Of Joint Rule and Shorter HauIs-
Commissions Powers Challenged.

Des Moines, May 20.-Railroad COM
panies are not to be permitted to effect
defeat Of the benefits following the
establishment Of joint rates in Iowa
for Iowa people. Shippers are entitled
to track connections between systems
at convenient points and to the smai.e
rates which will follow the shorter
hauls and application Of the 81 per
cent icint rate rule.
Doubtless the railroads viii make o:
the Akron case q test Of the right OF
the state to orGer connection where
both roads oppose any such facilities.
If the state csn not compel the North
western and the Milwaukee to get to-
gether at HAVE rden then tin: joint rate
order autho:i=eG by the legislature
some years ago is of little value.
The railroad commission decided the
"Y" at Hawarden would no. be very
costly. that it would accommodate a
large business, and that it was reason
abule to have the connection.
The railroad companies insisted the
ordering of connection there would
be regulation Of interstate commerce,
but the commission showed this was
not in harmony with the, view of the
federal courts.
Reduces Revenues.
Most important. however, was that
the railroad companies did not want
the connection because it would reduce
revenues by giving many shippers the
shorte- haul and joint rates. Shippers
wanted lower rates as well as better
facilities, and the railroads We're es-
pecially concerned over loss of revenue.
Regarding this important phase of the
Akron case, which will apply as We'll
to many other situations in Iowa, the
commission said:
1.-The Iowa commission has ordered
on joint shipments the combined rate
not to exceed 80 per cent of the locals
The proposed track connections will
cause very large shortening Of the
mileage to various points in Iowa and
the consequent application of this rule.
1t will also cause some shipments to
t.come intrastate business instead of
interstate business and thereby sub
ject same to state regulation.
"If each railroad in the state should
adopt a policy of not making track
connections with other companies
crossing their lines 1t would prohibit
the application of joint shipment rules
and regulat ions between MANY points
in the state that have been established
by the commission. The removal! or
refusal to establish all track cCnnec-
tons at cities on the borders of the
state would thereby make many snip
ments become interstate traffic which
by all rights should constitute state
commerce. The commission believes
it to be wise public policy to compel
all reasonable track connections when
ever substantial benefit will result
therefrcm, providing the same gre
practicable and will not require an I'M
reasonable expenditure on the par: Of
the carriers.
"The commission has Jurisdiction
over commerce between points in the
state Of Iowa: and growing out of that
authority, it certainly has the right
and power to require adequate t:acl;
connections and reasonable inter-
change of business between carriers
operating within the state. And no de-
vice or technicality can be used to pre-
vent the state exercising thru IT'S
proper authorities, such regulatory
powers in a reasonable manner
The companies were therefore given
time in which to make the connections,
and if they do not do so within rea-
sonable time an order will be issued.
The situation at Akron had a great
deal to do with the establishment of
the joint thru rates.. and it will now
be used to establish the principle CT
compelling track connections.