Pioneer press. [volume] (Martinsburg, W. Va.) 1882-19??, 1917-04-07
rs PnlulS RISE
HIGH COST Of LIVING
HITS The RAILROADS
ss,lss wIh 30 Crippled un-
bss Rsllsf Comes ssoa.
EXPENSES UP, RATES DOWN

EXPENSES UP, RATES DOWN
Wastefui and Conflicting Regulations
!. ha~psr Railroad Credit, Whils Ad-
vance In Labor and Materials Out
strips Revenues, Chairman, krutt-
eetnitt TslIs, Congress COMMITTEES.
United Federal Control Will improve
Conditions.
il, Washington, April 2.JThe condition
In which the railroads nnd themselves
~ 4 result Of. constant increases In
wages, prices OF material, taxes and
other expenses, while their revenues
are restricted by legislation, was strik-
1ngly described by julius Kruttschnitt,
Chairman Of the Executive Committee
Of the Southern. Pacific Company, In
his testimony during the past few days
before the Joint Congressional Com.
mittee on Interstate Commerce. which
-. making study OF the question Of
1niIFpAd regulation. Mr.. Kruttschnitt
1rged the committee to recommend .
pAaA OF regulation which viii center
Eesppus1hiiity for regulation and its
re.nitr In the federal government, 90.
that esnditious affecting both expenses
and revenues may be made subject. 10
= unafsami policy instead OF. the waste
kul ana often conflicting policies In
ryolvsd in. the system OF combined state
and .6sderal regulation.
>. Whx znssds. kssd. Mere Money.
- M. KTpttschnitt'st testimony also had
! bearing IN the reasons for the appli-
estisn Of ~. roads to tho Interstate
Commsrce Cemnisston for general
advanes IN freight rates. He showed
that whils the price Of transportation
Has declined IN recent years, the cost
e& proauSng transportation. IKE. the
cost o4 .alnost, sverything else, has rap
Idly adyaAssA. sThts hs Illustrated by
Aowia1 .tAat II freiEht ana passenger
rates ahad inersASe4 durizg the past
swsaty years Il tks sxnae proportion ~
.atsfass oonzaodity prices the railroads
,of sths United States. would have re-
geeaseds $l,6s4 900. 900 more for trans
4psrtation n 1915 than they did receive
This saving 10 tha public was effect
"a. m spite OF An 1ncreass OF 93 per
cent In the cost OF operation ef trains
By q reduction In the average paSseu-
ger rate Per mile from 2.04 cents In
1905 70 .L9S cents In 1915, decrease
OF q per cent, and by reduction In the
,everaga freight rate per ton mile from
$50 naills In 1895 to 7.3 mills in 1918, or
10 per cent, During the same period
the cost Of operation Per train mile
rose from 90 cents to S1.7s. almost
AeubIins. AZ the same time the aver
age .nEies Of ~ commodities eruner-
.ateA. Ia q bulletin Of the Department. Of
Agriculture Increased lis per cent.
Transportation 70 practically tho only
commodity In general use that has not
Increased tremendously In price during
the rAst twenty years. freight and pas
sSnEer charges being lower than they
wsre twenty years ago.
,Es "a. tis Saving to Public.
:. II rates had risen, proporsionately to
the increase, In the cost Of other arti-
oles .Sf ordinary use, Mr.. .Kruttschnitt
told the committee, the average pas
senger rate In 1915 would have been
1.s5 cents mile. or SO per cent higher
than II was, and the average freight
rate w":,lA have been 1.21 cents. OF ~
per cent higher than it was. The saw
lng r. ihe i.,.bl'c in passenger fares
through. this difference was $314,0OO,-
900 and In freight rates 81, ,34O, 900, 600.
Universal railroad bankruptcy under
this reduction In rates and increased
cost OF operation, he said, WAS avoided
only by heavy expenditures to obtain
...Hr..traI s,;.S u ~ 3H%ir Increment.
.sntss.as. Il foe1s;a'c K, ~ Ill more 'ons Of
s.etaiit yer locomotive This had re-
t:utsti the average cost Of hauling q
soo Of freight. but the decline in the
;>afs s.e Tst:;sat rate rad reduced the
~ Esysn9s e The Eoeds from each ton