The Birmingham age-herald., 1918-11-11
NEW RATE SCALE FOR SOUTH WILL
 STIR OPPOSITION Chiefly Because It Deprives State Bodies of Some of
 Their Power PLAN IS BASED ON
 SCALE IN TEXAS Will Apply Only to Class Rates as Distinguished From What Are
 Known as Commodity Rates

Washington, November 1O.-As an im- portant step towards wiping out local freight rate discrimination and knock ing down rate walls between many i, states the railroad administration pro- poses tentatively to establish new scales of class rates in five zones throughout the west and south, scientifically worked out and based largely on cost of transportation and density of trat- ic.
 The proposed scales, which will be subject to long consideration before the interstate commerce commission, state commissions and railroad traffic com mittees before adoption, would cause slight advances in some rates and re- auctions in others, without any general fluctuation in either direction.
 Advantages of the system as set forth by the railroad administration are that it would give all shippers practically the same rates for given distances, re- gartlless of whether their places of bus mess are situated at points served by several roads competing for trafflc with the lure of special rates; that it would promote hauling by the shortest route since charges in general would be based on mileage; that it would permit free operation or COn1Ilel Cldl COlIpSlllloii' now often restricted by state rate bar riers, particularly in the southern states, and that it would simplify the calculation of charges
 Objections are expected from many state commissions, whose rate making powers would be limited by the action from shippers who find the readJust- ments would raise their rates; from pro- ducers who might discover that rela- tions of their rates to those of com petitors would be changed to their ad- vantage and possibly from some rail roads who fear the promotion of short hauling would reduce their traffic when they are restored to private manage ment. Advocates of the new plan pro- pose. however, to retain existing rate relationships between rival communi- ties or producers as much as possible and to make the changes gradually in ,rder not to disrupt shipping conditions,
 SCHEME IN NORTHEAST
 A similar scheme of rates is now be- ing worked out for the territory east of the Mississippi and north of the Ohio and Potomac rivers, and will be an- nounced shortly. Outlines of the scales have been sent to the interstate com merce commission, to state commits sions and commercial organizations for study and criticism
 
 welded to any theory or any schedule" said a railroad administration an- nouncement His purpose is to bring on full and intelligent discussion of the subject to the end that what is right and in tho public interest may prevail"
 The new scales apply only to class rates. as distinguished from commodi- ty rates Under class rates move most articles of high value, or of miscel Ianeous amounts to a variety of desti- nations. or at irregular periods. Bulk materials of comparatively low value, such as coal. brick, lumber grain and live stock, moving regularly in big quanttities usually are hauled under commodity, or specific, rates. Rates vary on classes, into which are grouped ar ticles in accordance with their value. difficulty of handling, and other con- alterations. The five zones are arranged roughly