The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1920-09-25
FOR INCREASED
RAILWAY RATES DENIED

IuIluvuI IWILU ULuILU
The Public Service Commission.
through an opinion and order written
by Chairman shsughnessy. has de-
MED the petition of the steam roads
throughout Nevada for an increase
of 25 per cent OF freights. 30 per
cent on milks and perishables, and q
SO per cent raise Of Pullman charges.
The commission In denying this
raise does 30 ON the reasonableness
Of the charges, but the main issue IL
that covering the question Of the
power of the State Commission to
regulate its intrastate commerce. In
this instance the Nevada Commission
takes the stand that the state has
forfeited nothing through the pass
age Of the Esch-Cummins Congres-
sional act, which allowed the inter-
state raise Of freights from the At
Iantic to the Pacific.
The opinion covers over fifty pages
and is probably the most exhaustive
review of the freight and tarin
scheme ever undertaken by any COM
mission in this State. ~
In the opinion the commission
holds that present freight and pass
enger rates are too high and in many
instances discriminatory and confls-
catory. Prompt action to bring about
a reduction in passenger fares IL
promised by the commission which
states: Pe
There is no Justification for the
maintenance of higher than a-cent
fares on main lines and Accent on the
branches of the trunk line systems
within this State. This commission
will therefore, take prompt action to
bring about q reduction of the pres-
ent extorttonate and discriminatory
trunk-line passenger-fare exactions
between points within this State.''
The Commission compares Nevada
rates with those In California. Ore
gon and surrounding States and finds
that the requested increase vould
raise passenger rates in Nevada on
Main lines to from l.8 to 7.2 cents
per mile against 3.6 cents q mile IN
the other States.
Nevada, Arizona and New Mexico
are the only States where the rail-
roads attempt to collect passenger
fares In excess of cents q mile. ana
these States have petitioned the In
Ierstate Commerce Commission to re-
duce the rates. A hearing was to
be held at Los Angeles September ~,
and the Nevada Commission states it
will have representative present to
submit argument and testimony.
The ruling also refers to the stat
ute limiting the powers of the COM
mission and states that I'VE do not
understand that we can authorize in
flexible horizontal increases" with
out determining the effect upon both
carrier and public Of the increase ON
each commodity.
The commission found that grant,
ing the increase as asked would place
IN additional tax of $4S3,3SS annual
y upon transportation in Nevada.
which is declared unjustified.
The State commission holds fatty
hat interstate commissions have no
authority to regulate traffic within
his State. The opinion states:
Without the consent of the State.
Federal authorities may not consti-
utionally regulate Nevada's internal
'ommerce-the adoption of territor-
al valuation and rate regulation to
he contrary Notwithstanding.
The territorial horizontal m
'reases in rates prescribed by the
commission for interstate trafic has
'ast an unreasonable and confisca-
ory burden on interstate traffic orig
mating with this State. and would
operate excessively and discrimtna-
orily ON many lines of traffle, for
which we find no warrant In the laws
II this State. The Interstate Com
nerce act is reciprocal in its action
md prevents the imposition of un-
discrimination or undue
BURDENS being cast upon State COM
nerce by the regulation of interstate
'ates, as well as burdens upon inter-
tate commerce flowing from the reg
llation of. or the failure to regulate.
state rates. There is nothing in the
lct which authorizes the Federal
commission to fix high rate in one
State in order that 1t may confer jur-
sdiction upon itself to say that rates
n another State are too low and
must, therefore. be raised to the
anne level without regard to any
'ther considerations has been so
trongly urged upon this commission
~ the carriers in this CASE