The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1914-01-27
Interstate Commerce Commis-
sion Will Not Permit In
crease Of Freight
Rates.
A WARNING is ISSUED
Decision Of Today 10 Considered One
of the Most Important
In Recent
Years.

| UNITED Press Leased Wire Service.1
WASHINGTON, Jan. 27.-The In
! terstate commerce commission served
/ notice on railroads. today that before
they will consider granting Increased
! freight rates, the carriers must show
that they are forcing reasonable
contribution to their revenues for
every service they perform and that,
loven with this full exaction, that their
revenues are shrinking.
| The warning was issued in decis-
/ ion declaring unwarranted the pres
lent rules in vogue on eastern railroads
/ in connection with industrial lines
short railways or tracks owned by
various industries.
The commission led its significant
comment on freight rates decision by
decision on free service granted over
Industrial lines-service which 1t de-
clared would add millions annually to
the carriers income, If charged for.
mo substantial part OF the well IN
formed and rejecting public the COM
mission declared, would deny to the
4 owners Of the railroads. reasonable
return on their Investments; never
theless they may fairly ask the general
public to share further in carrying
their burdens, 1t is manifest that the
railroads must themselves properly
conserve their sources OF revenue by
making every service rendered thy
them contribute reasonably to their
, earnings.
This having been done, the COM
mittee on an adequate showing of the
, needed additional revenues, will not
!, shrink from the responsibility OF
! sanctioning such measures, including
even a general advance In rates as
may be required to bring reasonable
s prosperity to railroads SO far as this
! may be accomplished under rates and
i charges that are reasonably just, alike
4 to shippers and to the carriers. Aside
from the right of the owners of prop
erty so devoted to the use of the pub
l;c, to receive from the public reas
enable return on their investments, II
is Of profound Importance to the pub
lie in its own interest to accord fair
) and equal treatment to the owners OF
railways for upon no other basis may
we continue to look to private capita
for the further development and OK
tension of our railway facilities. The
d general public interest is therefore
t advanced in a very direct way by the
j, reasonable success of railroad invest
q ments under rate schedules tha
:. reasonably respect the rights of ship
9 pers.
\. But If further burdens through al
Q increased scale of rates may justly bt
Q imposed on the general public al
e must agree that unlawful concessions
l. rebates, and preferences in the inter
9 est of small proportion of the ship
y ping public ought to be eliminated
from the practices Of carriers
The decision in which the commits
, sion hinted its opinion on the freigh
: rate advances was considered one o
the most important in recent years l
laid down the rule that service by car
r;ers beyond reasonably convenien
point Of interchange over Industrial
! short lines, was entirely shippers
. service to be charged for. 1t con
A. demned the present allowance by rail
I5 roads for such short tracks, as grant
S ing the industry owning the shor
lines an unfair advantage over com
: petitors not SO situated. The com
mission flatly held that delivery of
car by line carrier upon the inter
change track constituted delivery
F to the industry itself.
1 Among the industry lines" affect
: ed by today's decision are; Line
% owned by the American Steel an
d Wire Company, Newburgh, Ohio
j, McKeesport, Pa, connecting railway
,r st Clair terminal railroad; lines owr
Ie ed by U. S. Steel corporation, at Gary
e Ind, and a number of others.
Use OF Motor Trucks.
e WASHINGTON. Jan. 27.-- Moto
II trucks may be used in many section
IS to supplant freight trains on shor
e. hauls If the proposed rate increas
p. goes into effect according to 'predit
II ton given at the interstate commerc
it commission rate hearing today.