New-York tribune., 1914-05-27
Another Excuse for Starving TIT
Railroads Demolished.

Tho decision of the United States Supreme court
In the tap line" railway cases is another argument
in favor Of an increase OF freight rates on 'ne
Eastern railroads. The special counsel Tor the III
terstate Commerce Commission, Mr.. Louis ID. BRAN
deis admitted few weeks ago In summing up
the argument against a fat increase OF D per cent
that the present of the Eastern roaus are
smaller than is consistent with their assured proS
perity and the welfare of the community but "s
an alternative 10 increased freight rates ne strohs!
recommended the cutting off of concessions 10 IN
dustris spur lines and other alleged Administrative
extravagancee.
The Interstate Commerce Commission. under MT
Brandeis's guidance, has been trying TO hoio that
Joint rates to spur and tap lines are essehuah'
rebates. The commission itself has approved the
Joint rates now in existence and il they are repates
il has connved rebating 1t decided IN the cases
considered 10y the Supreme Court that these JOINT
rates were improper and illegal. But the Court OF
Commerce now abolished, held that the commis-
sion was without power to prohibit the making ol
Joint rates by the trunk lines TO the tap lines ana
was equally without power ito forbid any allow
ance whatsoever to a proprietary railroad. Inc
Supreme Court has now upheld the Commerce
Courts opinion.
The cases Just passed upon affected lumber dis
trict tap lines only But the principle established is
farreaching. The commission may, as before, pass
upon the reasonabeness Of joint rates to spur llnes
but it must assume It's proper responsibility FOR
regulating them. 1t cannot throw the whole blame
on the railroads and make the failure OF the latter
10 abolish allowances an excuse for not granting
them the increase in freight rates which they need
in order to keep solvent.
Outside the commission and little band OF star
vationsts in Congress there is general acceptance
Of Mr. Brandeiss dictum that the net income ana
net operating revenues Of the roads In the Eastern
district and throughout the country generally are
smaller than consistent With their assured pros
peritv and the welfare Of the community" The
largest and most important associations of shippers
are either lon-committa or Outspokenly in favor
Of an Increase Chambers of commerce and SINH
lar civic bodies are advocating squarer deal for
the railroads, since those in closest touch with trade
and industry realize that revival Of railroad ac-
tiyity and prosperity would he wonderful stimulus
TO general business.
From Il political point of view nothing could
help the present administration more than
increase of freight rates. with its after effects
business activities. If some such help is not
given soon the Wilson administration will itself
he beyond help. Were the Presidents word law
with the commission, increase in rates would
probably have been ordered before this. But the
commission is a stiff-necked body. IL is standing
in the countrys light and in its own light. The
Supreme Court has now stripped it of one Of its
last excuses for obstinacy The manly thing
for II 10 do Is to admit at that 1t was wrong
in carving far its inhumane policy of slow
starvation for the common carriers.