The Bemidji daily pioneer. [volume] (Bemidji, Minn.) 1904-1971, 1914-04-11
RATE HEARING TEST
EXPECTED soon
Testimony Of Experts Now Investi-
eating Condition of Railroad Books
May Cause Sensation
THoRNE COMES OUT BOLDLY
Accuses Officials of Fixing Figures
TO Build Line in AriZ0na.-Use
For Two Purposes
BY Congressman G.. Fl. Tayenner

BY Congressman &. ii. TaVenner
Washington, April 1.-The final
big test in the advanced rate case
mill comes before the Interstate Com
merce Commission probably during
the final week of this month All
winter long the two sides have been
contending before the Commission
the railroads for an advance of FIVE
per cent in their freight rates on the
plea that their finances demand the
additional revenues; the shippers
that rates are now too high, and that
there should be reduction instead
OF an increase.
The most sensational testimony Of
the case is promised for the closing
days The railroads are hoping for
favorable decision for the psyche
logical effect of stimulation it will
have on business. The shippers
hope to win, because they contend
that the country is prosperous now,
and greater prosperity is not to be
gained by putting more expense on
the people.
A notable feature of the investi-
cation has been the failure of Louis
d. Brandeis, who, was employed as
the Commission's attorney, to show
in his usual brilliant fashion. Many
shippers now believe that Brandeis
made a mistake in planning his de-
Tense against the increase. This de-
Tense was that the railroads can get
the money they need by charging
for services now rendered free to the
larger shippers of the country.
The fatal point in this defense, it
is being said, is the fact that it nee
essitated the admission that the
railroads do need the increased re-
venues. In the opinion of many
shippers this point ought never to
have been conceded.
The turn in the case, however,
. NV dIlCCICu NY LlS Gil u CIHCC VI Clll-
p, ford Thorne, state railway commits
sioner of Iowa, whose arguments for
the first time gave aggressiveness to
the case of the shippers. Thorne
came boldly out with the statement
that the railroads are now making
more money than ever before, but
have fixed" their books to show ap-
parently decreasing profits
The result is that the shippers
have employed statisticians to go
over the railroads books for evil
hence substantiating Mr.. Thornes
charges. These experts will be
called as the final witnesses, and it
is promised that the country will
sit up and take notice when they be-
gin to testify.
Analysis already made are said
to show that while the railroads
have been pleading increased wages
to their employees as an element in
their increased expenses, the actual
figures show that in recent years
railroad wages have actually gone
down in proportion to the total ex-
penses.
1t will he shown that New York
Central wages were IS per cent of
the total transportation cost in
1898; in 1913 had fallen to 81 per
cent of the transportation cost.
Arizona Railroad.
While Congress was laboriously
passing the Alaska railroad bill, and
popular attention was focused on
this, the first government railroad
of the United States, reclamation
service engineers were quietly
arriving at a decision which has
caused Uncle Sam to embark on
another railroad building venture
this time in Arizona. The engineers
are in nightly hurry, for they eX-
pect to have the entire rs miles Of
government road along the Colorado
River in operation within 60 days
after the first spadeful of earth is
turned
The plan is ITO build this roaG
along the top of the levee which is
to hold the Colorado River within
bounds at the Yuma reclamation
project The road will have a two.
fold USE 1t will be part of the pro.
lection of the levee, hauling stone
and gravel from distant points wher
the dixie needs strengthening. Sec
ondly, it will furnish transporta
ton outlet to the settlers on the pro
ject.