The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1914-08-02
RAILWAYS WIN
RATE DECISION
Advance in Freight Rates of
Five Per Cent Allowed
to the Eastern
Roads.
NEED MORE REVENUE
Interstate Commerce Commission
Hands Down Its Long Awaited
..' Decision on tho
Request.
NEED MORE REVENUE

oSN
WASHINGTON, Aug. ia decision
highly favorable to the railways in
the five percent advance freight rate
cases was given today by the inter.
state commerce commission. The in
crease was granted on all classes and
most commodity rates to roads In the
eastern official" classification terri
tory, east Of the Mississippi and north
of the Ohio river. as far east as parts
vania.
It Is estimated the roads in Ohio,
Illinois, Indiana, Michigan and other
midwest states will benefit to the OK
tent Of from $4,000, 600 to $30,ooo,ooo
annually in revenues.
Trunk lines in the east and New
England were denied rate Increases.
The commission declared the rail-
roads in need OF more revenues and
granted the full five percent ad-
vances in central freight association
territory on everything except coal,
coke, iron ore and other heavy mater
ials, but denied increases in trunk
tory. Central territory includes Ohio,
Indiana, Illinois, Michigan, western
Pennsylvania, in Guiding the Pittsburgh
district and extreme western New
York including the Buffalo district.
Trunk line territory includes most Of
Pennsylvania, New York, New Jersey.
Maryland, West Virginia, Virginia,
Delaware and the District of Column
bia. On the whole, the decision is
much more favorable to the railways
than had been generally anticipated.
Commissioner Daniels recently ap-
pointed by President Wilson and Com
missioner McChord announced dissent
ing opinions favoring going further
, than the majority and giving the rail
ways the full increase asked The
commission showed the railroads how
they could increase their revenues by
more economic and efficient manage
ment and by the elimination Of free
service. It suggested the total abol-
ishment of the free pass system with
the declaration that this causes an
annual loss of s1S,O0O,0GO to the rail-
roads. ...
The commission discussed the need
Of increased passenger revenues with
the statement existing statutes in
Ohio, Indiana, Illinois and Michigan
may be obstacles to the raising OF
passenger rates in those states. But
we are confident that if these statu-
tory fares are clearly shown to be I'M
duly burdensome to the carriers, the
people of those great states will cheer
fully acquisces as the people Of New
England have done to reasonable in
creases and necessary legislative
authority will be given. The travel
ing public has given expression Of it's
demands for better service, better ac-
commodation and for the adoption by
all carriers Of all devices for safety.
A public that demands such service,
cannot reasonably object to the pay
ment of a reasonable compensation
therefor"
viii Boom Business.
PITTSBURGH, Pa, Aug. with
contracts between big railways and
large steel plants assured released by
the decision of Interstate commerce
commission, freight rate advance.
Pittsburgh and other steel centers
were facing great business and man.
ufacture boom tonight. Every big
EIapt in this city was being hurriedly
prepared for full blast operations with
full shifts and probably much over
time employment within the next two
weeks.
How many millions will be expeni-
ed by the railroads here in the pI--
chase of steel rails and steel cars,
bridge and structural steel and steel
equipment was question, no steel
man would hazard even a guess. But
it was agreed that the contracts call
ed for an enormous outlay. The Penn
syIvania lines west and the New York
IL Il. ILL.,