Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1914-10-15
GARS1 S||RS EN- UP
INpusTR lSSIoNER's RE-
PORT VIGOROUSLY PROTESTED
BY INSURANCE MEN.
SEND STRONGEST TALKER
TO INDUCE CHANGE OF FRONT
Line Companies Will Make Fight to
Contest Before Next Session Of Leg
islaturs Indicted by New Yorker.
cial to Times Republican.

! Special 10 Times Republican.
/ Des Moines. oct. 15-When ex- Cover
nor Garst put INTO his report a. in
dl2strial commissioner a recommenda-
ton that the workmens compensation
Ian OF iowa, contessediy only a ten
tative measure, should be completely
revised on the basis Of state admin
istration Of the compensation fund and
entire elimination OF the private IN
surance company. ii was recognized
by him and oy al having 70 deal with
the subject that he had precipi,atedl
the biggest fight likely to appear before
The next general assembly.
That his strong statement Of the case
for state fund drew blood vas ap-
parent Yesterday when he organized in
Surance companies sent TO Ex-Governor
Garst their biggest man TO argue VITA
him and to seek to induce him 10 back
Gp On his proposal. This was y W.
/ Wh.tney. general manager of the New
YORK Norkmen's compensation service
oureaa. ar organization among the big
Insurance companies for the purpose
q handling the rate question as to
worhneH's compensation L operates
mucn Ike the IRE Insurance rate
bureaus. in class ifying risks and FIX
Ing rates, which companies adherins
= the compact viii follow under com
pQlslon
Mr. Whitney indicated that deter
mined light by the old line Insurance
com auies would be made 10 have the
L. - SC p q X
70 prevent adoption Of the plan which
Governor Garst has recommended. He
presented all the old familiar argu-
trained insurance men being able 70
handle the business most economically,
etc
This bureau seeks 10 do business
all over the country. /; IS handicapped
in Iowa by the well known Blanchard
pact Law which forces il 10
work under cover. since any plan by
which insurance companies agree upon
rates and undertake to fix arbitrarily
rates 81 insurance comes under the ban
Of me Iowa lax Iowa is the only
state. however, sorbidding comoina-
tons in rates.
The plan suggested by Garst in his
report goes further than that adopted
in any state. In Ohio. where the state
plan is worked out fairly well, the old
line insurance companies are prac-
ticaly out OF it because of being
, forced to compete with a state fund
4 In Washington and Ontario the same
! thing is true In many OF the states
/ however. the business is given over to
the insurance companies by compulston
I with no protection as to rates, and
/ thAs is VIVA; has been done in Iowa.
Mr.. Whitney. the biggest man con-
nected with the business, will organ
ize the hght in Iowa.
The state railroad commission yes
terday took up for final argument the
! branch line cases involving the com
/ paints as to Inadequate passenger train
/ service on the Calmar and Algona
/ branches.
one of the first interesting things
brought out was that The Milwaukee
Railroad Company is able to make
a showing that as a matter of fact al
its passenger business done in lowe
is done al an actual loss o. ". Dimes
commerce counsel for the company
gave the figures for it. He stated thai
in the year 1912 the operating revenue
from passenger business in Iowa, OF
the Milwaukee road, both interstate
and interstate. was S3,444,4S6 and ex
penses s3,502,950 making net los:
of s5S,464 But this Immediately raised
the question as to the method of dis
tributing earnings and expenses De
tween states and on branch lines, ant
developed that the mileage basis Il
used which the railroads tnemselNe
reject as unfair. So the actual re
suit Of operation of pass enser tram
may be quite different
The main question argued by Com
merce Counsel Henderson vas as
what is adequate service and what rUI
shall be laid down 10 determine wha
is a proper service. de showed tina
in previous decisions the commisslo
had laid down a rule that railroa
ought to provide such train service q
would permit anyone on branch lir
reaching the natural trade centers an
getting back home again on the san
day. He showed also that the popula
ton tributary to the Calmar brano
was as great as that tributary to son
other branch lines where more tina
one train day is run
The whole question in this and II
Algona branch line case hinges on ii
| evidence as to the actual business
. be had and the conditions surroundir
the branch lines.
The arguments in the Algona ca
will be concluded today. James
, | Davis appeared for the Northwestern
y Dwight Lewis, assistant cou,
q sci is preparing a very importa,
rate case to be taken up soon. invol'
ing oil rates. The Iowa shippers ask
: for a rate from Coffeyviile. The cent
n of the southwestern oil shipping traG
e to Iowa points the same as to St. Lou
f and other competing points. Later ;
application has been made by the n
!, tional Petroleum Association for r
/, duction Of the rates in this zone. Thi
}, ty companies are to come before 4
} interstate commerce commission
+ Kansas City. What Iowa wants is t