Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1919-05-01
GOVERNMENT RIGHT TO BOOST
INTERSTATE TARIFFS TO
BE- TESTED.
IOWA JOINS IN SUIT
OF ADJACENT STATES
Conference 81 Railroad Commissions
Meet in Chicago to Plan Prosecution
prere Court-contention Of Counsel
For Railroad Commissions.

Des Molnes, May THE test Of the
authority OF the federal government
thru its railroad administration TO
undertake to impose Increased rates
for railroad service and service by eN-
pees companies. telephone and tele-
graph companies aud other public
service corporations for business
wholly within a state is about 10 be
tried out in the highest court in the
land. the United states supreme court
nj Washington.
The Iowa railroad commission, to-
gether with the commissions OF South
Dakota and Nebraska. has never
recognized that the government could
void the authority vested in the state
railroad commissions TO reg ulate such
rates within their own states. parti-
cularly after the war is over
Iowa joined with South Dakota in
case TO test this out some months ago.
When the new express rates were an
nounced TO take effect Jan. l OF this
year Iowa and South Dakota went into
the courts in South Dakota and
secured an injunction against the
making effective of those rates in that
state. The South Dakota courts
granted an injunction against the Am
ericen Railway Express Company
from enforcing it's rates in South Da-
lota but the express company has dis
regarded the injunction altogether is
proceeding to enforce these new rates
on all intrastate business, which rates
intrastate rates
State Join in Appeal.
Last Saturday a number of state
utility or railroad commissions were
represented at a conference held in
Chicago. where the plan of procedure
before the United States supreme court
in the appeal of this South Dakota
case was discussed In addition to the
middle west representatives from
Iowa, Nebraska, South Dakota and
Minnesota attending the conference
there were commissioners or attorneys
present from Vermont, Indiana. Georgia
Alabama and Missouri State Com
niece Counsel J, II Henderson, Assist
ant Commerce Counsel r p. Thomp-
son and Chairman Dwight y. Lewis,
Of the state board Of railroad commits
sioners of Iowa, were present. Charles
E. Elmquist. employed by the various
middle west railroad commissions as
their representative, and Judge Hem
derson were selected TO continue the
brief. together with the assistance Or
Assistant Commerce Counsel Thomp-
son Of Iowa. Counsel Henderson and
Mr.. Elmquist Will go on to Washing
ton the latter part of this week to
assist in the presentation OF the case.
The position of the state of Iowa is
set out in a brief prepared by Assist
ant Counsel Thompson and laid before
the recent conference.
lowa's Position Outlined.
It IS argued by Counsel Thompson
that the federal control act of March
Il. 1918, does not authorize the presi-
dent Of the United States to control
the regulation Of interstate rates. That
state regulation of intrastate express
rates does not affect the transporta-
ton Of troops. war materials, govern
ment supplies and the like. That
congress in the passage of this act did
not intend to interfere with the rights
of the states to regulate their domestic
or intrastate rates 'if such regulation
does not come within this specific
enumeration of matters of which it is
claimed the exclusive control, namely,
the transportation of troops, war ma
terials and the like And further that
the war had virtually ended two
months previous to the time that these
increased express rates were put into
effect. It is also argued that sucn
powers are denied by the constitution.
The brief quotes section 10 of the
federal control act as follows:
Nothing in this act shall oe con-
strued TO amend. repeal, or effect the
existing laws or powers Of the states
in relation to taxation or the lawful
police regulations Of the several states,
except wherein such laws. powers. or
regulations may affect the transporta-
ton of troops, war materials. govern
ment supplies or the issue of stocks
and bonds
The iowa officials claim that the
term police regulations" or police
| power" embraces the regulation Of the
| rates and fares charged by those con-
Germs whose business is affected with
a public interest. such as utilities ant
the like This power. it declares,
vested with the state railroad commits
sion in the matter of utility rates.
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