Arizona republican., 1919-02-14
RATES SO COMPLEX
 THAT EVEN EXPERTS
 ARE OFTEN PUZZLED

How are rates generally arrived at? A shipper goes to the railroad and asks for a rate on a new movement The railroad. after making a thorough in- vestigation of all conditions. ascertain ing the cost of production. the selling price of the commodity at the marke, end, advises the shipper what it thinks should be the rate and if an intrastate rate is wanted proposes this rate at a hearing before the state corporation commission. If the party asking for the rate happens to be familiar with the system he appears in his behalf al the hearing; if not, which is most generally the case. there is but one side of the question offered for the com missions enlightenment and the rat is granted.
 It may be argued that it is the duty of the corporation commission to pro tect the rights of the shippers and re- ceiYers of freight. The fact is as shown by authorities, that no matte how efficient and fair body the st'( commission may be, the shippers defend their rights. must have repre- sentation at a hearing to place their claims in an intelligent manner. The law specifically states in defining tn. commissions powers that no evidence can be taken otherwise than tha, brought before hearin"
 The state constitution says, "No public service corporation shall raisr any rate, or so alter any classification rule or regulation as to result in ar 1 increase in any rate or charge, unde, any circumstances whatever, except upon a showing before the commission and a finding by the commission that such increase is justified" An attor l ney for his railroad may make th' surface of an advertisement for z hearing appear very smooth to tn average reader. but after their evidenc' | and testimonv before the commission ] has been heard. it may be found to b. | very unjust and discriminating to the 1 shippers, but the commission is power ] less to act in the latter's behalf un- less they appear with evidence in re- buttal of the others claims. The ma jor~ of shippers do not know wh' they cannot compete with certain points in the state for the reason they do np have the time necessary tc make an intelligent investigation and
 showing before the commission. All
 they know is that they cannot com pete. They are willing to pay for ser vice rendered and should know what
 the basis of the charoAS are. Through
 a freight traffic bureau the shippers
 could and would receive proper rep
 resentation and protection
 Not only is it imperative for the
 shippers to be represented before thu
 state commission. but to be heard il
 behalf of their interests before the in.
 terstate commerce commission a
 Washington With Los Angeles, F,
 Paso and other points pleading ant
 fighting for water rates and one thin:
 and another at every opportunity, ant
 with no representation the commissio,
 has no reason to believe otherwis
 than that the shippers of Arizona arr
 satisfied with existing traffic condi
 tions
 Railroad freight rates differ iron
 any other kind of rates in one import ! tant particular. in that they have n bearing on the cost of the servic rendered. From the famous truisn 'all the traffic will bear" attributed t
 the late c. P. Huntington. to the motto
 "the public be damned by William H
 Vanderbilt, freight rates have bee,
 evolved to such complexity that eve : the most expert of experts are in maze of confusion and contradiction Here we are with a price of commodi , ties that were never dreamed of be fore, with railrc"d rates higher tha ever /'fore, with business condition more or less unsettled and with 5 complete new start in many things fac
 ing us.
 } This is the attitude expressed by tn ? committee promoting the new traffi I bureau of the chamber of commerc, who think now is the time, if ever. {
 make preparations to meet. the adjust
 ment of these new conditions: to sug [ gest and put into effect methods c making freight rates based on servic rendered. forgetting the old system an the old divisions of territory and look
 ing at the question broadly and wit