Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1917-02-16
Principles Which Railways Hold Should
Govern Regulatory System In Inter.
ssts Of Public and the Roads-Com.
pulsory System Of Federal lncorpo.
ration Favored.

land we must appreciate that efficient
transportation is an essential condition
of national efficiency. If we are to
halt and weaken our transportation
systems by state lines, by the perma-
nent imposition Of burdens by unwise
regulation, we will make national efti-
cheney impossible"
States Rights Would Not Suffer.
Mr.. Thorn cited many instances in
which shippers in one state were in
juriously affected by selfish regula-
lions imposed on the railroads by
neighboring states. He pointed out
that federal regulation would be no in
vasion Of the rights Of the states but
would be the means Of preserving the
rights which they acquired when they
entered the Union. one Of which was
the right to the free movement Of their
products across state boundaries.
What the RAILROADS Advocate.
The principles which the railroads
believe should be incorporated in any
Just system Of regulation were sum-
married by Mr.. Thorn as follows:
| l. The entire power and duty Of reg.
ulation should be in the hands Of the
national government, except as to mat
tiers 90 essentially local and incidental
that they cannot be used to interfere
with the efficiency of the service or the
just rights Of the carriers.
| 2. As one OF the means Of accom-
plishing this. q system Of compulsory
federal Incorporation should be adopt
ed, into which should be brought all
railroad corporations engaged in inter-
state or foreign commerce.
! 3. The Interstate Commerce COmmis.
sion under existing laws has too much
to do and is charged with conflicting
functions, including the investigation,
prosecution and decision of cases. The
latter duties should be placed in the
hands OF new body which might be
called the Federal Railroad Commits
sion. Regional Commissions should
be established in different parts Of
the country to assist the Interstate
Commerce Commission by handling 10
cal cases.
4. The power of the Commission
should be extended to enable 1t to pre-
scribe minimum rates and not merely
maximum rates as at present. This
would increase their power to prevent
unjust Determinations.
Justice to Public and Roads.
8. 1t should be made the duty Of the
Interstate Commerce Commission, In
the exercise Of its powers to az rea.
sonable rates. to so adjust these rates
that they shall be just at once to the
public and to the carriers. To this end
the Commission. In determining rates,
should consider the necessity OF main.
tanning efficient transportation and ex.
tensions OF facilities. the relation Of
expenses to rates and the rights of
shippers, stockholders and creditors Of
| the roads.
6. The Interstate Commerce Commits
sion should be invested with the pow
er to fix the rates for carrying mails.
7. The federal government should
have exclusive power to supervise the
issue Of stocks and bonds by railroad
carriers engaged in interstate and for
eign commerce.
s. The law should recognize the es-
sential difference between things which
restrain trade in the case of ordinary
mercantile concerns and those which
restrain trade in the case Of common
carriers. The question of competition
is not the only fair criterion.
g. The law should expressly provide
FOR the meeting and agreement Of traf-
fic or other officers Of railroads in re-
spect Of rates or practices. This
should, however, be safeguarded by
requiring the agreements to be fled
with the Interstate Commerce Commits.
sion and to be subject to be disapprov-
ed by it.
MY legal proposition" Mr.. Thorn
said. us that the Constitution as 1t
now is gives full authority to Congress
to regulate the instrumentalities Of In
terstate commerce in all their parts
II the power Of regulation is to reach
the public requirements. 1t must be CO.
extensive with the instrumentalities Of
commerce"
Mr.. Thorn explained that the roads
ire not asking either of the Committee
or OF Congress any increase in reve-
nues. but that they are merely asking
the perfection OF a system which will
he responsible to any need that may
arise.