The river press. [volume] (Fort Benton, Mont.) 1880-current, 1914-01-28
WEDNESDAY, JANUARY, %, 1914
RAILROAD RATE MAKING

- SANS
railroad commission will hold another
hearing on the distribution rate case
will give general satisfaction. The
people who pay the freight do not
expect to get transportation facilities
at less than cost or at a price that
leaves no profit to the carriers. but
they naturally desire a schedule of
rates based upon what the service is
reasonably worth.
At a recent hearing in Helena, the
state railroad commission invited ties.
timony from railroad officials and
shippers regarding rates that should
be charged from Montana distributing
points, and later announced a scale of
charges that made a big cut in the
charges heretofore in effect. The pro-
posed reduction in rates caused a
commotion in railroad circles, and an
indignation movement was organized
to protest against what was alleged to
be practical confiscation of railroad
property. The hearing arranged by
the railroad commission will give op-
%portunity to show in what respect the
proposed rates are unfair and unrea.
sOnable, and to present a scale of
charges to Which the shippers and
the railroad interests should not offer
objection. There is at present a con-.
dict Of views upon this matter, a num-
Der of shippers having expressed the
opinion that the new rates proposed
by the state commission are higher
than the circumstances justify, al
though railroad officials complain that
they are too low.
When these so-called rate experts
liable basis upon which to form an n
biased opinion. The subject of rate
making is a mystery to the average
business man; the experts" do not
appear to have any rule or system that
can be understood by citizens who
seek information regarding the meth
DDS by which rates are fixed by rail-
road officials. There seems to be a
lack of uniformity in the arrange
ments-different charges being made
in different localities for similar trans
pOrtatiOn services in each case. In the
endeavOr to secure a dividend paying
revenue, the ~rate-makers arrange a
scale of charges that may be too low
in some localities and too high in 9th
ers-the latter thus suffering unjust
discrimination.
While the rates from Montana dis
tributing points are a matter of i'm
p%Ortance to merchants and jobberS,
they are not of so much general inter
est as the freight rates on grain that
have been brought to the attention OF
the interstate commerce commission,
About nine months g the railroads
announced new rates on Montana
grain shipments that were alleged to
be considerably lower than the for
mer charges, but it developed that
most of the reductions were in rates
to Pacific coast points TO which very
few Montana shipments are made. In
the case of fax, there was actually
an advance in the rates that were for
merly charged. According to advices
from Washington, the Montana rail
road commission has submitted these
grain rates to the federal board thai
has supervisory control of interstate
transportation.
In all of these rate-making contro
versies, however, it should be the gen
eral desire to reach an adjustment
that is fair to all parties. 1t is hopet
the hearing ordered by the railroad
commission will produce information
upon which an equitable schedule O
6~iotrihNfinp ratoo nav ho h ocoi