Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1919-04-05
COAL RATE BOOST
NJUSTIFIEDB BY
STATE EXECUTIVE
; "Great Inequalities" and In
creases in Rail Rates
Are Blamed

Great inequalities" and increases
In railroad rates are blamed by Gov
ernor William G. Sproul as contrib
uting factors in the necessity for the
advance in the price of domestic
sizes of anthracite coal planned for
May 1 in a statement issued last
night just before his departure for
Hot Springs, Va, for rest on orders
of his physicians. The Governor says
after an exhaustive inquiry into the
whole anthracite situation, that he
thinks justified the proposed raise
in price of ten cents a month, be-
ginning May l and extending over
five months. He scores the federal
railroad rate making authorities and
says elf our railroad situation is
ever unscrambled and the State ever
again has authority over its intra-
state business, an investigation must
be made to iron out these inequali-
ties and give the people their rights
in the matter"
Governor Sproul says that he
made his own investigation. He in
terviewed coal operators and per-
sonally made a business inquiry, pre-
ferring to do that to invoking the
legislative authority. The coal pro-
ducers and the federal authorities
co-operated with him and in addi-
ton he had information from the
railroads and assistance of men who
worked with the United States fuel
administration.
What Governor Found
In reaching his conclusions that
the increase is justified the Governor
makes these points:
DR.. IL A. Garfield. United
State Fuel Administrator, was
correct in his assertion that
the increase was needed to pre-
vent financial embarrassment
and possible closing of mines of
coal companies.
The wage scale of the miners,
almost one-tenth of the indus
trial population of Pennsylvania
would be affected if the advance
did not become effective.
Operators were willing to de-
fer the increase until July l,
but it would have deranged the
trade in the whole anthracite
using district one-eighth of the
anthracite mined in this State
being consumed in Pennsyl-
Vania.
Curtailment of production
would have interfered with
early buying for winter use.
A considerable part of the
increase has been due to in
creased freight rates.
Charges for delivery to con-
sumers, fixed in the extraordin-
2 ary winter of 1918, can be re-
duced by competition and pa
triotic enterprise of the trade"
Dealers have wide margins. as
he shows by giving prices for
coal on trestles in various places.
= Some authority is needed over
runaway markets and to
maintain the trade on an equit-
able basis.
Municipalities which have the
right to furnish light, heat and
water, should have authority to
establish municipal coal markets
for sale of coal at cost.
Since the announcement of the
proposed raise in the price of do
mestic sizes of anthracite coal at
the mines last month, L have given
great deal of time to the making
of a business-lilce personal investi
cation of the anthracite situation
In this 1 have received every CO.
operation from the operators and
from others interested in the ques-
ton. 1 have made the investiga-
ton personally as a business man
and a as State official, rather than
by utilizing the more ponderous i'm
plement of a Legislative committee,
because l was convinced that it was
essential, in view of the commercial
interests involved, that decision
should be given promptly.
From Many Angles
In my inquiry L have had access
to the reports made by the engineers
and experts employed by the United
States Fuel Administration. These
reports are very complete and their
determinations are reAnt and up
to-date. 1 have also had the sworn
figures of the producing corpora
tions. both the railroad operators
and the independents, before me,
and have had the benefit of the ad-
vice and experience of some of those
who assisted the Federal Fuel Ad-
ministrator in his determinations
"Dr. H. A. Garfield, the United
States Fuel Administrator, when he
relinquished active control over coal
prices on February 1st of this year,