Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1918-01-31
ALLOW INCREASE
Inter- Mountain R a t e
Decision Far Reaching
Commerce Commissions Ruling VIII
Add Many Thousands OF Dollars
Revenue-WilI Remove Long Stand
ina Complaint Of Western Cities

Washington, Jan. 30.-ln decldlnS Iiie
Inter Mountain Rate case TO-DAY the III
terstate Commerce Commission au-
thorized transcontinental railroads 10
increase rates from eastern points 10
Pacific seaport cities to the level OF the
rates now prevailing 10 inter-mountahl
points.
simultaneously. the commission re-
fused TO allow railroads to cancel ex-
sizing commodity rates on shipments OF
less than a carload and apply higher
class rates.
Rail and water rates on shipments by
way Of Galveston were authorized in
creased to the level of all rail rates be-
tween the East and West.
Rates on commodities for export may
be raised, according to the commits
sions decision.
Former Reasons Removed
The commission found that the for
lner reason for maintaining lower
through rates TO Pacific ports from
eastern territory than 70 the mountain
territory were removed Enen ships, for
merly in service between the Atlantic
and Pacific seaboard by way Of the
Panama canal, were removed for trans
Atlantic service.
The commission also denied the APP
plication OF the Southern Pacific to
maintain low rates on certain commod-
&c n -
through Galveston unless the same bas-
is of rates is applied TO all commodi-
ties ADAPTED to water transportation.
In refusing the railroads request for
appiication of class rates to less than
carload shipments, the commission
specifiel that commodity rates on these
shipments might be Increased in the
same proportion as is applied to car
load shipments.
Water and rail lines through Galveston
were authorized to establish commodity
rates as high rs present au-rall rates
on barley, beans, canned goods. asphalt,
dried fruits and win from California ports
to the Atlantic seaboard.
Certain railroads, including those MAIN
tanning water and rail routes through
Norfolk. had claimed special necessity
to maintain lower rates To the Pacific
coast than to intermediate points in order
to meet the competition of the Southern
Pacific by way of its water and rail route
through Galveston.
The commission decided. however, thai
II was unable to find that these roads
were at great disadvantage and denied
tEcir application
The same increase was allowed fer
through rates imported commodities
as was allowed for export shipments
through Pacific ports.
Commissioner Aitchison dssented from
a number Of features Of the commissions
ruling.
viii Add Much Revenue
The commissions decision will ada
many thousand dollars revenue to the
railroads and viii remove a long-stanc-
ing source Of complaint by interior west
srn cities. Partial decisions of the west
orn inter-mountain case have been rem
derei by the commission several tir-es
previously but elements developing from
time to time prevented the final decision
now given.
The increase resulting from the COM
missions action range from ) to 30 per
cent. over existing rates to the coast
and are generally estimated an average
Of a little less than - per cent An in
dication that the new rates scheme VIII
last only as long as water competition
is lacking is seen in part Of the commits
son's decision.