Arizona republican., 1921-11-19
RATE HEARING TO COME TO END IN CHICAGO I TODAY
Opens In Denver On Mon day - Railroads Say They Are Not "Wet Nurse" To Intermediate Territory

CHICAGO, Nov. 1S-The present scale of rates on west-bound commo- dities moving to Salt Lake and the other cities of the intermediate ter ritory are now "unreasonably low" That is what Paul H. Hastings, mem Der of the standing rate committee of the transcontinental freight bu- reau. told the examiner for the in- terstate commerce commission today at the hearing on the application of the carriers to reduce rates from 20 to as much as 50 per cent on ship ments to the west coast without changing the present maximum rates to intermediate points.
 In other words, while the rate of S1.S31a on canned goods moving from New York to Salt Lake is ''un- reasonably low" a rate of $1.15 per 100 pounds on canned goods shipped to San Francisco, 500 miles further. is sought by the carriers in this ap- plication of theirs for relief from the short and long haul clause of the transportation act.
 It was in reply to questions in cross examination put by Karl Knox Cart ner, attorney for the Intermediate Rate association representing the commercial interests of the West, that Mir. Hastings made his state ment He said:
 "The high point rate (that to in termediate territory cities) is the rate authorized by the commission as a result of the old fourth section cases plus the percentage increases granted by the commission"
 Testifies For Carriers
 Question by MT. Gartner: "Are those intermediate rates unreason- ably low? What have you to say of the $1.15 rate proposed to the Pa ciffc coast terminals?
 Answer: Tt is more unreasonably low, though it is still reasonably compesatory."
 Inasmuch as it behooves the rail roads to show that the proposed rates are reasonably compensatory before the interstate commerce com mission can legally grant the re- quested exceptions to the short anc long haul clause, MT. Gartner ques- | toned the witness closely on thi: point but was able to find out only that in the judgment of the traffic committee gained through their ex- perience' they believe the proposed rates to the coast will pay more thar the out of pocket costs of the car l riers. Mir. Hastings had no figures tC offer, although he and the two othel members of his committee were chiefly responsible for the framins | of the request to reduce some of thu charges. The only commodity thu | carriers have to offer is transporta' | ton. Another witness for the car riers will discuss casts tomorrow.
 Mir. Hastings today made it cleai 1 in reply to cross examination tha l the carriers principally concerned il l getting the lowered transcontinenta tariffs while maintaining the presen schedules to intermediate cities ar those terminating at the Pacifi' coast which he named as follows l The Union Pacific, Southern Pacific Western Pacific, Canadian Pacific Canadian Northern. Northern Pacific Great Northern, Chicago, Milwauke ! and St. Paul and the Santa Fe.
 Suggest Grading of Rates Examiner William A. Disque fo the commission injected the question of possible grading of rates some what on a mileage basis when h asked MT. Hastings what the posi- tion of the carriers would be towar | the grading of rates eastward "I | would cut us out of the bushes moving west from points east of Chi ! cago," was the reply. The examine likewise asked him, or rather. state | to him:
 "You are giving the Pacific coas | (Continued on Page 9