New-York tribune., 1916-02-26
RosenSOhn Attacks Rail
roads Plea for Higher
Passenger Fares.
SHOWS DISPARITY
IN TRAFFIC ITEMS
Says Statistics Make Carrying
Cost In State Thrice as Great
as Outside.
lrrom stan Correspondent, of Tie Tribune ]

ltrom q SIAN correspondent OF Tic Tribune.
Albany, Feb. 25.-S. J. Rosensohn.
Assistant Corporation Counsel Of New
York City, declared to the 2d Dis
trict Public Service Commission here
to-day that the proposed increase Of
passenger rates by the New York Cen
tral Railroad was unfair. He repre-
sented Mayor Mitchell at the hearing
on the complaints against the increase.
Mr.. Rosensohn said that the method
adopted by the Interstate Commerce
Commission in the Western ratio case
for proportioning passenger and
freight expenses should not be applied
in the present case. He believed that
the rates should be determined on
basis of the comparative freight and
passenger ton miles, and asked the
railroad for information which would
enable the determining Of rates in that
way.
Mr.. Rosensohn criticised the Cen
trails methods Of proportioning reve-
nues and expenses between state and
interstate passenger business. He
pointed out that the railroad had
adopted az basis of this division an
arbitrary figure of 70 per cent, sup
posed to represent the ratio of mile
age within the state 20 that without
the state. and treating this with the
number of passengers carried. lie ar
gued that because this figure did not
take into account the number of miles
each passenger was carried IN state
and interstate traffic, it was seriously
defective.
Dispute Roads Figures.
/. +. Nosburgh, the Centraps general
passenger agent, had conceded earlier
in the day that in computing the reve-
nue. from passenger traffic the railroad
accountants took into consideration
only fares for transportation between
points in the state. IT. had been testi-
fed that the passenger revenue with
I'm the state was S15.513.000 IN 1914.
II was brought out to-day that the
total passenger revenue from the en-
tire system from New York TO Chi
cago for the same year aggregated
$40.164,0 900
The comDlanants held that a large
proportion of the S25000,0 600 differ
ence should have been added 20 the
amount credited TO state trafir. Mr.
Rosensohn said that, according TO the
Central's figures, il cost three times
as much to carry passenger within
the state "a 20 carry him on interstate
journeys. Mr.. Nosburgh was not able
to explain this apparent disparity OF
cost.
c. c. Paulding. attorney for the
Central finally admitted that the pro
portion Of interstate receipts which
might oe allowed TO intrastate car
riare was about sl1 ,293 900 for 1914
and about the same amount for 1918.
Commission Wants Facts.
"We do not intend TO exercise juris-
dictional power over interstate rates"
said Chairman Van Santvoord, but It
s ms only fair that we should be sup
piled with this knowledge Of what pro-
portion Of these interstate fares might
be allocated 10 intrastate carriage
Joseph $. Wood, of Mount Vernon,
read into the record a statement show
ing that the Central had paid divi-
dends each year since 1870, and pos
sibly before that, and declared that,
in view of that fact, the proposed in
crease was unjustifed. Chairman Van
Santvoord held that this testimony was
not n terial because of the ~ecent
opinion Of Justice Hughes, of the
United States Supreme Court. tha' pas
senger traffic should bear its proper
tionate share Of a railroads expenses.
The hearing was adjourned until
March g.