The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-11-30
STATE BODIES HOLD
UP RATE DECISION
Suspension Of Commerce Com
mission Suggestions Caused
Many Complications.
NEW HAVEN TO MAKE PLEA

WAsHrNGroN. Nov 2o.-1t has been
the general expectation among railroad
men and others interested chat the Inter-
state Commerce Commission might hand
down a decision in the advanced rate
case very early In December, but the
commission is no, committed as to the
, dae. Tho statement is made at the COM
mission that the case is being expedited
and is receiving the close attention OF all
seven members
The commissions work has been COM
| plicated as The result of state commits
slons suspcndins inany of the attempts on
the part Of the railroads to carry into
effect the recommendation and sugges-
/ tons made IN the advanced ra.. decision
/ OF July 20 in which decision the commits
sion admitted that the carriers were en-
! titled to additional not revenue
Carriers between the Mississippi River
and The Buffalo Wheeling -pittsburg line
were permitted to make certain increases
/ in freight rates. In The territory east OF
this line no increases whatever were al
! lowed. The commission suggested that
"A charge for switching and spotting might
yield additional revenue. The carriers
! took the hint and formulated tariffs. but
complications arose and the commits sion
itself was compelled to follow the example
OF state commissions and suspend the
rates.
1t was the estimate OF the carriers a;
the recent hearing that even II they were
permitted 10 follow the suggestions and
recommendations made IL would only in
crease revenue in the entire territory pc
| titioning that Is, from the Mississippi
! River north of the Ohio and Potomac
rivers to the Atlantic selbuard, 5000, 900
per annum. whereas they assert that they
need at least $4,000. 900 to meet the con-
dtions confronting them
While the commission permitted the car
riers to make an increase Of one-quarter
| cent In mileage books. II Is said that this
VIII not Yield any appreciate not rev.
enue.
Now the carriers have pending before
the commission proposed tariffs increas-
ing passenger rates In the territory gene
orally. The proposed Increases between
the Buffalo-pittsburg- Wheeling line and
I chicago go into effect ON December | and
the new Eastern rates on December Is
The commissions failure 90 make an an
nouncement on thu subject is construed to
mean that Ii Will not suspend the ad-
vances, but will allow them to g into
effect
No estimates have been filed with the
commission as To the amount Of revenue
which these increases vii. yield II per-
United. In some quarters the opinion had
been expressed that the failure of the car.
riers attempts TO Increase their net rev.
| enue by the reforms suggested may in
duce the commission to solve tho whole
situation by permitting Il straightout gem
eral Increase in freight rates
In addition to the complications 10 rate
readJus tment above indicated the Su-
prene Court reversed the commission in
It's holding that industrial lines are not
common carriers and that payments by
the trunk lines TO the industrias were
in the nature OF rebates and had to be
stopped. The commission estimated that
the carriers paid about SIS, 900. 600 a year
to railroads operated in connection with
the iron and steel industry alone.
The court decided that the commission
could not enunciate as principle that
these roads are not common carriers and
hence not entitled to divisions but that
each Industrial road should De considered
separately to determine whether or not
1t ~ a common carrier.
The commission decided that the rates
on meat and grain could b., increased
in the whole territory involved. The car
rers have filed tariffs increasing these
rates but they are being attacked and
the commission has been asked to suspend
them
Semi official information has reached
the commission that the New Haven sys-
TEN will follow the lead OF the other
Eastern systems and make genera. in
crease In passenger rates. II is be-
lieved that the New Haven will not file
its formal tariffs until the commission has
acted on the increases proposed by the
carriers in classification territory ives; OF
New England TO the Miss ssippi River.
These are scheduled to go into effect
December west OF the Buffalo P!ttshurg-
Wheeling line and on December - east OF
this line. The commission is expected &c
morrow as to whether the new rates will
be authorized.