The Lexington progress. (Lexington, Tenn.) 1884-current, 1921-09-30
r. ii COMMISSION
EXPLAINS POSITION

Upon receipt Of copy of the reso-
lutions adapted by the Farmers IN
ion Of Tennessee opposing the propos-
ed freight increase on shipments of
bodybuilding materials, the Tennes-
see Railroad and Public Utilities Com
mission addressed the following let
ter 10 R. T. Derryberry, president of
the Union:
yIbe commission received in this
mornings mail copy of resolution
adosted by the Farmers Union Of
Tennessee with respect to recent in
crease in freight rates permitted to
be made by the railroads Of Tennessee
on intrastate shipments of road
building materials, by order of the In
teFstate Commerce Commission,
resolution we notice was also publish
ed In the Nashville daily papers of
yesterday.
aThe Tennessee Railroad and Pub
| lie Utilities Commission, in session
| this morning, directed the undersign-
ed to acknowledge receipt of the reso-
lutipn referred to and to give your
association some information concern
ing action Of this commission in the
matter, and in accordance Herewith
YOU are advised as follows:
Mn August, 1920, the railroads
published tariffs advancing rates on
intrastate shipments of road building
materials, where consigned to federal,
state. county or municipal authorities,
or their agents, said proposed ad-
vaIlces being 20 per cent increases
These tariffs were promptly suspend
dby order of the Tennessee Railroad
and Public Utilities Commission and
date set for hearing, which was had
and on November 49,. 1920, the Ten
nessee Railroad and Public Utilities
Commission delivered opinion and or
der prohibiting the railroads of Ten
nessee from making the proposed rs
per cent increase in freight rates on
road building materials when consign-
cd as heretofore mentioned.
"The railroad companies took an
appeal from the decision of the Ten
4 nessee Railroad and Public Utilities
Commission to the Interstate Com
nerce Commission, and the Interstate
Commerce Commission, under date Of
August 8, 1921, ordered the railroads
Ito increase the rates in question on IN
trastate shipments % per cent, there
lby setting aside the order of the Ten
/ ressee Railroad Commission.
Upon receipt of order of the In
Itstste Commerce Commission or
dering the railroad companies to
put into effect the rs per cent in
crease, this commission took up with
the Interstate Commerce Commission
and urged a modification of the order
in question, and requested that said
order not be allawed to become effec-
tive upon five days notice, as ordered,
but that the effective date be deferr-
ed. The request of the Tennessee
Railroad and Public Utilities Com
mission was denied by the Interstate
| Commerce Commission.
"Thereupon the Tennessee Railroad
and Public Utilities Commission took
the matter up with the attorney gen.
eral of this state, and after confer,
ence between the Governor, members
of the Railroad and Public Utilities
Commission of Tennessee and the at
torney- general, it was determined
that a suit should be instituted in the
District Court of the United States to
test the authority of the Interstate
Commerce Commission to make such
an order, and the Governor and Pub
lie Utilities Commission directed the
attorney general of the State to insti-
tute such a suit and prosecute same
to the final decree.
"From the above facts it is clearly
seen that the Tennessee Railroad and
Public Utilities Commission has taken
every possible step to prevent the in
crease in freight rates on road-build-
ing materials shipped between points
in this state, when consigned to fed
eral, state, county or municipal au-
thorities and to be used in road con-
struction.
RAILROAD AND PUBLIC
UTILITIES COMMISSION"
81. H. CORBITT, Secy.'