The West Virginian. [volume] (Fairmont, W. Va.) 1914-1974, 1917-06-30
MUST
WAIT UNTIL FALL
FOR HIGHER RATES
Commerce Commission sus-
Ponds New Tariffs I'm
til October 20.

WASHINGTON, D. c. June 3D.
The Interstate Commerce Commis-
sion yesterday suspended until october
2s, 1917, the proposed general Is per
cent. increase in railroad freight rates.
Commissioner McChord dissented
and Commissioner Meyer dissented in
part. Commissioner McChord said:
'The issue is in reality rather one OF
governmental policy than a question
whether the rates sought are reason
able for the service Of transportation.
The commission in announcing the
decision said:
I'VE are led to the conclusion that
no condition Of emergency exists as to
the Western and Southern carriers,
which would justify permitting a gen.
eral increase in their rates to become
effective.
I'm the Eastern districts increased
rates have recently been permitted
to become effective generally on BIZ
luminous coal, coke and iron ore.
We think that similar increases may
properly be permitted in the South
ern district on coal, coke and iron
ore, and in the Western district on
coal and coke.
I'm the Western district the in
creases are based upon Is per cent,
with minimum of Is cents per ton.
These tariffs will be suspended but
the Western carriers may If they so
elect, file new tariffs carrying in
creases in rates on coal and coke not
exceeding in any case Is cents per ton.
"All of the tariffs included in this
percentage of the Western lines will
be suspended. All OF the tariffs in
cluded in this percentage of the
Southern carriers will be suspended,
excepting those applying on coal,
coke and iron ore.
in the Southern district the pro-
posed increased rates on coal are on
the basis of is per cent. with a
maximum of is cents a ton. These
tariffs we shall permit to become effec-
tive"
The commission authorized roads to
file tariffs increasing existing joint
rates between rail and water carriers
to level not higher than the all-rail
rates between the same points"
The commission declared its willing
ness to increase class rates between
New York and Chicago, provided the
carriers preserve established relation
shin between ports and localities.
Amounts ranging from II per cent. on
first-class rates down to per cent. on
sixth-class rates will be permitted.
| approximately rs per cent. of the
freight tonnage in Eastern territory
moves under class rates, and the in
creases, officials estimated, would
ameunt to perhaps a or 3 per cent.
increase in gross revenue for Eastern
carriers.
The commission declared its will
ingness to meet any situation which
may arise in case the fears Of the rail-
roads of heavily decreased incomes are
realized.
WASHINGTON, June SO-The rate
advance cases were born of the
threatened nationwide railroad work.
esr' strike in the summer Of 1916. The
first mention of an advance In rates
was made in connection with the pas
sage of the Adamson law which avert.
ed the impending strike.
January 1, 1917 found the railroads
in condition unparalleled in their
history. They were hauling freight
and passengers at the top Of their
driving power, working their plants
at speed and capacity exceeding what
experts had previously believed the
maximum. So much freight mad been
poured in that they could not handle
it all; rails, sidings, terminals, yards,
were congested with burden Of load.
ed cars. Tremendous congestion en-.
sued, especially at eastern seaports
where ocean-carrying vessels were
not so plentiful, and an acute car
shortage resulted.
Money was pouring into the rail
roads, too, faster than ever before.
Receipts for the 10 months nearly
reached the $4,O00,000,00O mark; net
revenues Appropriated $1,OO0,000O0O.
It seemed as If the railroads were at
I the dawn Of a new days prosperity.
Then another factor, more potent than
the Adamson law and more unexpect-
ed than the threatened strike, came
into the situation. 1t was the rising
cost Of necessities.
Coal prices rose-in some cases
more than 100 per cent. Steel rails,
steel cars, structural steel, everything
of iron and steel that entered into