The Barre daily times. (Barre, Vt.) 1897-1959, 1920-08-02
TO ASK STATES
TO GRANT RAISE
In Intrastate Railroad
Rates to Conform With
Interstate Rates
NEW ENGLAND'S
NEEDS ARE GREAT
Carriers Are Asked to Give
Careful Attention on
Joint Rates

the whole rate structure of the nations
transportation systems was begun to-
day with a view to putting into effect
by September the freight, passenger,
Pullman, excess baggage and milk rate
increases authorized Saturday by the
interstate commerce commission.
While tariff experts are working on
the general rate schedules the carriers
will make application to the various
state commissions for advances in in
trastate rates to correspond with those
in interstate rates. Requests for ad.
vances in passenger, Pullman, milk
and excess baggage tariffs are expected
to be the same for all states, as the
increases in these charges authorized
by the federal commission were gen
eral for the entire country. They were
20 per cent on passenger, milk and ex-
cess baggage charges, and 30 per cent
on rates for sleeping and parlor ear
space. In the case Of freight rates
however, the carriers will ask the. states
to advance these tariffs to correspond
with the increases granted by the fed
eral commission for the territory in
which the state s located The inter
state increases authorized are 40 per
cent in eastern territory; 25 IN south.
ern and mountain Pacific territory, and
81 in western territory.
In announcing that the applications
for intrastate advances would be made
to the state commissions, Alfred p
Thorn, general counsel of the AssoeIa.
tion Of Railway Executives, said these
increases would not enlarge the gross
income to be received by the roads I'M
der the decision OF the federal commits
sion because in presenting their ease
the carriers had based their estimates
on corresponding intrastate rate ad-
vances.
The railway executives have not cal
eulated the total increased revenue to
be derived from the rate advances, but
from their estimates presented to tho
commission at the public hearings the
sum has been unofficially approximated
at one and half billion dollars. The
commissions decision is intended to fix
rates SO as to give the roads the six
per cent return ON their aggregate val
lie permitted by the transportation
act
Since the commission fixed the az
gregate value of all the lines at SIS
300 100000, the net operating income
Would be approximately Sl,lSl,000000
as compared with the Ssa3, ,0O0, 600
standard return the roads have re-
ceived during the period OF federal con.
troll and since,
Coastwise and inland steamship com
panes and electric railway lines, are
permitted, under the interstate com
mcrce commissions decision, to raise
only freight rates Nothing was said
by the commission a. 20 passenger
rates on the steamboat lines, but the
decision did say specifically that the
freight rate increase granted electric
railway lines was not to be construed
a. an expression Of disapproval of in
ereases made or proposed in the reg
ular manner in the passenger fares of
electric lines.
While the commission authorized
separate freight rate increases to the
railroads in the four separate terri.
tories. the increase on freight moving
from one territory into another will he
33 and one third per cent
Creation by the commission on its
own motion Of the Mountain Pacific
territory was unexpected. The wes-
tern roads. a. a whole. had Joined in
asking for an increase Of 322 per cent,
but the southwestern lines later at the
public hearing asked that they b. given
separate treatment and a freight in.
crease Of approximately 80 per cent.
The commission did not grant this re-
quest, saying that il had been opposed
by many shippers and by other car
riers in the western group
The record shows said the com
mission, "thst the principal railroads
serving the territory west Of the Colo
rado common points. especially to the
so-cailed trsns-continental railroads
= a whole. are in a substantially bet
ter financial condition than other car
ricrs in the western territory Il also
shows that the rate. generally speak
ING. are materially higher in the region
west of the Colorado common points
than in the part of the western terri.
tory living east thereof Considering the
" hole situation. Il j. our view that the
territory west Of the Colorado com
mon points and the traffic to ard from
that territory NAV properly be given
separate treatment
The commission also sid that the
carriers IN New England had brought
t. it, attention the peculiar financial
nrods nf she railroads On that terri
tory and in iis general conclusions re-
rardine the freight inrreass. 81 sid.
sWhns the New England carriers arc
included in the eastern group and are
subject 10 the percentage for that
rToap. the evidence 80 70 ths disprorcr-
ticuats needs ~ ths Neu England lines
rnakes s desirah's that TIE esrrirrs
eis- rsrsfuI ornsissrafion ts ths fisi-
-ian ~ ieinf rates sclruluE ~ th,ss
Hucs