The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1916-01-04
LOSS IN SCENT FARES
Continued from Page One.I

Continued from Page One.l
nearly a half day in discussing a re-
port which his road had billed with
the commission. He repeatedly indi-
Gated that he was not pleased with the
refusal of the state commission to act
and he openly charged bad faith in
the two cent rate agreement
Appeal to Honest Men.
"In honor state officials were bound
to obey provisions of the two cent
rate agreement" Brown told the Kan
saS commissioners. THE legislature
ignored it. OF course you were not to
blame for that. Yet this is a situa
ton that does not appeal to honest
men. If you carried out the spirit of
that agreement, you would have put
in effect the three cent rate after the
decision in the Nebraska case and
| railroads would have been relieved of
the burden of bringing witnesses to
Topeka TO make the showing this
commission has asked
Many Railway Men Here.
Numerous witnesses may be requir-
ed by the commission and much of the
ground covered in the passenger rate
hearing of last April may again be
canvassed. Attorneys for number of
the railroads affected by the rate or
der. were in Topeka today and it is
probable that numerous witnesses will
be demanded by the commission.
Attending the hearing today are:
W. r. Smith, solicitor Santa Fe; r. w.
Blair, solicitor, and C. S. Stebbins,
general auditor Union Pacific; w. w.
Brown and ]. G. Slonecker, Katy; W.
P. Waggoner, solicitor Missouri Pa
cific; Paul E. Walker, solicitor, and
]. A. Stewart, general passenger agent,
Rock Island; c. w. Myers, auditor
4 and S. E. Stohr, general passenger
agent, Grand Island. Paul E. Walker
also represented the Frisco at today's
! hearing.
Long Fight for Railroads.
| Kansas railroads had made almost
continuous attempts for the last sew
| en- or eight years to obtain higher in
translate passenger rates.
Finally. an agreement was reached
between the railroads operating in the
state and the old Kansas railroad
| commission under which a passenger
rate of cents a mile was established
| in the state pending the outcome of a
suit to test the constitutionality of the
| Nebraska 2-cent fare law. However,
in 1911, before the Nebraska case was
| dismissed, the Kansas legislature en-
acted the public utilities law, which
provided that no increase in rates
from those in effect January 1, 1911,
could be made without the consent
of the commission.
Joint Petition in 1914
Accordingly, in November, 1914, a
joint petition for an increase from
| cents to 3 cents a mile was filed by
the roads operating in the state.
! Hearings were held in April of last
year. about thirty witnesses offering
| testimony. Experts, testifying in be
half of the railroads, produced fig
ures in support of the contention that
| with the intra-state passenger rate of
2 cents mile in effect the roads were
not earning a fair return on their in
| vestments An immense amount of
data has been gathered in the case, it
| being asserted by officials of one road
f1nf faf fcfi 1io n
than three and one-half million cal
| culations on it.
On April %. last, the hearings were
closed. Before announcing a deci-
sion, however, last July the commits
sion submitted series of questions
to the roads concerning the relative
operating costs of freight and passen-
ger traffic on Kansas lines compared
with revenues derived therefrom.
Questions were asked as to cost ac-
counting methods employed by the
various roads.
Last 1. c. C. Decision.
Several weeks ago the interstate
commerce commission ruled favor
ably upon a similar application on the
part of roads for permission to in
crease interstate passenger rates
Briefly the ruling was to the effect
that on the Kansas interstate business
on the Union Pacific main line and
north a rate of "a a mile may be
charged, while the rate for the terri
tory to the south of this line was fix
ed at 2.6 cents a mile.
Much speculation has been express
ed on the part of rate experts as to
the Influence, if any, this decision
will have upon the Kansas commits
sion.
The Shreveport Case.
Much interest has been manifested
in the recent socalled shreveport in
terstate commerce commission ruling.
In this case the federal commission or
dered the Louisiana commission to
make state rates similar to the inter-
state rates. The commission ruled