New-York tribune., 1920-10-12
Try
Break Laws
In.Rate Fight
State Commissions Attack
Move to Compel Them to
Permit the 1. C.. C.. to
Prescribe Local Revenues
See Violation of Rights
Carriers Declare They Will
Lose $7,OOO,OOO Rev.
cnue on Scent Fare

WASHINGTON, Oct 11.-Arrument
on the right of the Interstate Com
merce Commission to prescribe rates
for rail transportation within the
states began to-day at hearing be-
On the application of the railroads of
New York to compel the State Public
Service Commission to permit an in
crease III passenger fares for intra~
state traffic similar to the 20 per cent
advance granted for interstate travel.
brief filed by John E. Benton. gen
erai solicitor of the National Railway
and Utilities Commissioners, in be-
half Of thlrty-nine state regulatory
commissions, attacked the railroads
application as an attempt to deny to
state authorities the right to pass on
the reasonableness for state traffic of
increased rates granted by the COM
mission for interstate traffic.
at is obvious that if this commission
has the power to prescribe intrastate
rates on such record, there remains
10 the states no effective power to
regulate their own intrastate rates
the brief said Carriers are taking
this course in the hope to establish a
precedent which will destroy the rate
making power not only of the state
commissions, but of the legislatures of
the states.
IT is deliberate plan to deprive the
people of this country of rights and
liberties which have heretofore been
an inseparable incident to local self
government. The state commissions.
on behalf of which this is filed. be-
leve it their duty to the people of
their respective states to protest
against this brazen attempt of carriers
to procure misconstruction of the
Federal law and to break down and
destroy agencies of local self-goxern-
ment which the people of the states
have. created and which Congress has
scrupulously respected"
The states whose commissions filed
the brief were Arizona. Colorado,
Florida, Georgia. Idaho, Illinois, Indi-
ana. Maine, Maryland, Michigan, Min
nesota Mississippi, Missouri, Montana,
Nebraska, Nevada, New Hampshire
New Jersey, New Mexico, New York,
North Carolina, North Dakota, Ohio,
Oklahoma, Oregon, Pennsylvania, South
Carolina, South Dakota. Texas. Utah.
Vermont, Washington, West Virginia,
Wisconsin and Wyoming.
Railroads OF New York and Illinois
at hearing before the commission to-
day sought an order making effective
II intrastate passenger traffic the
incrase of 20 per cent.
+. Y. Fletcher, representing the rail
roads of Illinois, said those carriers
would lose S7,000,000 revenue annually
on the present fare of three cents a
mile. Charles C. Paulding, speaking for
the railroads of New York, declared
That on the three cents a mile tariff
now in effect in that state the railroad s
Woulc lose revenue amounting to SIP
100000 year.
TOPEKA, Kan, Oct. 1-Railroads
operating in Kansas will apply to the
Interstate Commission to overthrow
the decisions of the Kansas Court of
dindustrlals Relations which granted a
~ per cent increase in intrastate
freight rates, but refused an increase
IN passenger fares to correspond to
those allowed by the Federal Commits
.on Tor Interstate Transportation, w.
K Smith, Santa Fe legal solicitor for
Kansas, announced to-day.
Kansas Is the twentieth state to re-
use TO grant the increase in full.
In Its decision the Industrial Court
charged that the Interstate Commerce
COMMISSION made an error of S192,853,-
t96 IN computing the revenue neces-
ssry to provide 6 per cent return
on railroads in the Western District,
which includes Kansas. The court held
thst a 20 per cent increase in passen-
ger fares was not necessary to insure
lhe per cent return in Kansas.