Arizona republican., 1921-12-17
Greet Organization
 To Work for Welfare or All Results From
 Meetings Tn Phoenia

tContiuued from Page Threel
 cation of property, therefore it ap- pears very evident that unless we see that the motor truck will entirely Supplant the railroads, that what ever moneys are diverted from the railroads 10 the motor trucks, wall sooner or later show up in increased Freight bills on tonnage that carnot he advantageously moved via motor srgck and also in increased tax bills Tor repairs to our highways, althougn Ike the drummer with his overcoat, Et may not at the time be realized.
 The railroads are required to fur rish q reasonable service to the public. which service of course is de- pendent upon the volume of busi- ness offering, and think 1t needs no extensive argument to convince an zS<tu7biage of business men, such as is here gathered, to the fact that de- IlecSinE from the railroads in consid- erahie volume on tonnage results in decreasing the railroads ability to render adequate service as well as increase by so much their cost of operation. ali of which in one way or another falls back on the public.
 In California the magnificent sys- tenn of highways. which have been constructed during the past few years, are being ruined by the heavily load ed trucks In some sections, there are already two bond issues out standing on the same stretch of high way. due to the grinding up of the highway by heavy motor truck travel and unless some regulation IS to De had in the near future, 1t seems in erstahle long before the two bond issues will have been paid, 1t Will again be necessary to rebuild the highway, either by truck taxation or a third bond issue. This is a very heavy price for the public to pay for service which can be rendered equal ry well by the rail carriers and at much less expense. all things con- si6ereG.
 The supervisors of some of the most affected counties in California are fully alive to the peril of the highways and have been and are urging upon the state legislature, the passinr of such laws as will protect the highways to their legitimate use.
 Tn sections distant from railroads or in sections not adequately served by railroads, the motor truck per forms a legitimate and very neces- Sarv public service, but even here 1t would seem that the motor trucks should be required to pay at least something toward the up-keep Of their road bed.
 So far as my observation has gone, and |. have had occasion to check great many motor truck tariffs, the general policy of the motor truck is 80 charge a rate somewhat higher. than the rail rate, but slightly less than the rail rate plus the drayage charge at each end of the journey
 The general policy seems to be to eliminate the home transfer company and divide with the shipper, the saw ing thus effected, thus effecting store door delivery at slightly less than can be offered by the railroads plus the local draying expense. This at the time. makes a small saving to the shipper. but later on, the ship per. together with all other taxpayers will more than pay the difference when he comes to pay his tax bill Tor highway maintenance.
 Arizona has already constructed highways which are not excelled by any state in the union and as we all know, she has a very ambitious pro- gram for highway construction, both statewide and county. These high ways will cost the taxpayers millions of dollars and we as taxpayers should profit by experience of California and adequately protect our highways from abuses from which the high ways in California have suffered.
 George Jay of Bisbee, purchasing agent for the Calumet and Arizona Mining company. tben led the dis cuSsion of the railroad subject. A summary of his remarks follows:
 Address of George Jay
 No one factor has contributed more Co our nations prosperity and prog resS in the past than has the develop rraent of our railroads Transporta- ton is fundamental in all lines Of industry and human effort. and is immediately associated with produc- taon and consumption, two important Srohlerns of existence. With the ter raasnation of federal control of the railroads in March. 1920, the govern ment. the railroads and the public were left facing a number of intri- cate problems involving railroad fl rances, operation. labor and rates
 Transportation cost is an item which must be reckoned in determin- ing value. and the price at which transportation is offered becomes one
  Transportation is sold through the medium of established rates by the railroads for service performed, in The transporting of products and commodities. The cost of transporta- rior is an essential factor in our na- rioral existence. states prosperity and community upbuilding, and the railroads have become associated in rRe public mind and are so termed a public utility. We. therefore, es- rahlish a relationship, one dependent upon the other, as between the rail- roads. who are the sellers, and the public. who are the purchasers, ot transportation. It is recognized fact that just as long as fair competition Teigns in any industry, just so long may the public feel assured that Il will get its product at a reasonable UricH above the cost of production and be it transportation or anything else. as the cost of production is de- creased the selling price must be cor respondingly reduced.
 Cost comes down as volume O business goes up, and what is spoker of in terms of quantity production by the manufacturer may be core Spondingly referred to as "tonag' carried by the railroads. If there b, no tonnage for railroad to trans port 1t is non-revenue producins Rates therefore, should be fixed sui ficiently low to stimulate the move