The Ocala banner. (Ocala, Marion County, Fla.) 1883-194?, 1914-03-27

The railroad commissioners con
tinued their hearing Tuesday on the
long and short haul act. and the same
interest that was manifested during
Monday continued throughout the
day. The courtroom at all times was
comfortably filed with interested
spectators, and much testimony was
introduced, showing. determinations
against interior points.
Mr. Caps, representing the Sea-
board. continued his testimony under
cr0ss-examination by Mr. Spencer,
consuming the first hour after the
opening of the hearing.
Mr.. Caps testified that out of ev-
cry dollar earned it cost his road IL
cents approximately for operating ex-
penses, leaving % cents out OF every
dollar out of which interest on bonds,
dividend on stock and taxes we're
paid. He said that his road in charg
ing six cents per sack on grain from
Savannah to Tampa did not make its
fun quota of the 20 cents. but that it
was necessary TO charge more freight
to other points In order that the av.
erage OF 20 cents out OF every dollar
over and above operating expenses
might be made. He used the illustra-
ton OF the wholesaler who made ten
per cent. profit on some goods. thirty
per cent on others. and twenty per
cent. on others. in order that he
might strike a balance or average of
twenty per cent. He was then asked
the question:
What effect would IL have upon
your road II you discontinued the bus
ness on which you were making less
than your quota above operating ex.
penses?"
He replied that IL would be neces-
sary TO raise the rate to other points,
using this illustration: That II his
road made only five cents above oper-
ating expenses on freight hauled to
Tampa. in order to strike the general
average OF % cents above operating
expenses Il would be necessary to
charge more to interior points. and If
his road was prevented from making
the i've cents on Tampa freight,
above operating expenses. I'm order to
make up that Ave cents lost by sus-
pension Of business into Tampa that
u would necessitate the raising of the
rate 10 the interior points.
Mr.. Spencer then asked this ques-
tion: "You have used the illustration
OF the wholesaler I'm several instanc-
IS; do you mean to say that IL a
wholesaler made a profit of ten per
cent on some goods and forty per
cent on other goods. which would
give him a mean profit Of twenty-five
per cent, that II he quit selling the
goods on which he made ten per cent.
- ~ NNAtu htNtcnitdtt IdAohhe thN
price Of the goods upon which he was
already making forty per cent?
Mr. Caps cOntended that the same
comparison did not apply.
Mr.. Spencer then asked Mr.. Caps
about the SeabOard's connection with
me Ocala Northern Railway. II was
wrought out on the stand that the
Vcala Northern Railway could not
oring freight into Ocala from the head
VI silver Springs in competition with
me Seaboard, because of certain
uackage agreements and because of
"eher competition which would pre-
vent the 0cala Northern from secur-
ing freight at the Palatka end OF the
hne. II was further brought out that
even II the ocala Northern built a
"he OF It's own from the head of Sill
yer Springs into Ocala that II would
~ practically impossible for that
..''road to compete with the Co. st
1Ane and the seaboard because of a
possible prevention OF that line from