The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1920-08-05
FREIGHT AND PASSENGER COSTS
TO GO SKYWARD.
Billion Dollars Added.
Interstate Commerce Commission
Provides for Carriers to Meet In.
crease in Employees Wages.


commission. Freight rates will be
advanced about one-third, passenger
fares one-ffth and Pullman charges
one-half.
CoastWise and inland steamship
lines and electric railway companies
also were granted permission to in
crease their freight rates in pro-
portion to the increases granted to
the railroads serving the same terri
tory. No estimate Of the aggregate
amount to result from these advanc-
es has been made.
The new rates, which are to con-
tinue in force until March /, 1922,
become effective on five days notice
by the carriers to the commission
and the public and they must be in
operation before January 1. Since
the givernment guarantee expires
September /, the carriers are expect
ed to bend every effort to put the
advances into effect by that date.
Increases granted by the commis-
sion are designed to- Offset the $780,
100000 wage advance awarded by
the railroad labor board and to pro-
vide the per cent net income on
the aggregate value of the railroad
properties as permitted under the
transportation act. The aggregate
value of all the railroads was esti-
mated by the commission at S18,900,-
100000, as against book value of
S2O,O4O, 100000 given by the car
riers
The 20 per cent increase in pass
enger fares, excess baggage charges
and milk transportation rates and
the so per cent. surcharge on Pull
man fares authorized by the commits
sion will be general the country over.
Freight rate increases will vary, &C
cording to territory, with DO per cent.
in the east, 25 per cent. in the south,
35 per cent. in the west-that is,
from the Mississippi river to the
Rocky mountains, and 25 per cent.
in the mountain-Pacific territory
from the east of the Rockies to the
Pacific coast, not including Alaska.
Says Increases Justified.
The commission in it's sc page de-
cision made no attempt to compute
the amount of increased revenues the
carriers would receive by reason of
the rate advances. 1t did say, how
ever, that the increases were justi-
fed in view of the rapidly changing
conditions as to prices and the neces-
sity for providing adequate transpor-
tation facilities during and after the
period of readjustment.
From figures submitted to the COM
mission by the carriers when their
applications for the increases were
made it was unoficially estimated
that the apportionment of the ad-
vances would work out at about ST.
2S5, 100000 on freight, s233,800,-
900 on passenger, $45,600,0OO on
Pullman, S4,500,O00 on milk and
S1,400,000 excess baggage charges.
On the same calculations the east
ern roads would get the greater part
of the total increase, receiving ap-
proximately s873,930,000 as COM
pared with s559,483,OOO for the
western lines, including those in the
mountain-Pacific territory and $780,
$4,000 for the southern carriers.
The increased charges on freight
alone were estimated as equallng a
levy of s12 per capita per annum for
every man, woman and child in the
country, basing the nations popula-
ton at 1O5, 100000 for 1920 recently
made by the census bureau.
The increases in passenger, Pull
man and excess baggage rates were
exactly those asked by the roads.
Freight increases requested were
1915 for eastern roads; 32.03 for
western roads, and 1891 for the
southern roads, the total estimated
to yield s1,356,0OO,COO. The eastern
roads thus were granted .25 of one
per cent. more than they sought; the
western roads approximately what
received approximately IA per cent.
they sought, but the southern roads
less than they had requested.
South in Better Shape.
In connection with the increase for
the southern roads the commission