The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1921-10-22
KANSAS SAVED
S3,6OO,OOO ON
R. R. Grain RATE
]. G. G. Reduces Freight Ten
Per Cent.
Takes on Half the Increase
Granted Recently.
IN EFFECT NOVEMBER 20
Reduction VIII Also Make East
ern Cuts Necessary.
Local Rail Chiefs Pessimistic as
to Benefits of Cut.

Washington, Oct. 22.-In a sweep
ing decision involving the entire rail-
road situation wage scales, depression
in industry and finance, the interstate
commerce commission today ordered
the freight rates on grain, grain prod
ucts and hay thruout the western half
of tho United States reduced by an
average OF approximately 16 per cent.
The commission also found the pres
ent rates on coarse grain. including
oats. rye. corn and miIlet to be unjust
and unreasonable and ordered them
to be fixed generally at 10 per cent
less than the tariff prescribed for
wheat.
Makes Eastern Cuts Necessary.
Rates on commodities recognized as
products of the named grains, incIud-
ing flour, feed and finished or SENT
finished manufactures, the commits
sion held, would be unjust and unrea-
sonable unless reduced to a relation
ship corresponding to the rates on the
raw materials.
The decreases, tho chiefly affecting
producing territory in the west, would
make rate reductions in certain por-
tiOns of the eastern territory neces-
sary.
The railroads were directed to make
the reductions "as soon as practicable
and not later than November 20,
1921"
Cut Half 1920 Increase.
The decision removes from wheat
and hay one-half of the increase given
the railroadsin 1920, and on all other
grains fixes the rate at 10 per cent
less than those on wheat. The COM
81, T, la
ttonship built up in the rates on grain
products. including flour and other
commodities, to agree with the lower
level on the raw material.
The increases given in 1920 gave the
carriers a 35 per cent advance in the
Mississippi valley and western ter
ritory a 25 per cent advance within
the mountain and Pacific territory and
39I4 per cent advance on commodities
moving across the division line, of
which half is now taken away.
The Decision Issued.
The commissions decision said:
I'VE find that the present rates on wheat
rnl hay involved herein will be for the
future unjust and unreasonable TO the eX-
tent that they may individually include
more than one-half of the increases au-
thorized in ex-parte IA CThis is the case
under which the l. C. G. granted rate In
I'VE further find that the present rates
on coarse grain will be for the future un-
they may exceed rates 10 per cent less than
those herein prescribed as just and rea-
sorcble on wheat from and TO the same
- further find that the rates on com
modities recognized as products Of the
above commodities will be for the future
unjust and unreasonable to the extent that
they exceed rates that would be made by
continuing the relationships that now exist
except that where differentiHls are observed
and were subjected TO the percentage in
crease the differcntials should be reduced
pFopOrtionately with the rate.
The reduction in rates here required
may make desirable some reductions in
Iates east Of the western district, particu-
larry interstate in Illinois,"
I'VE shall expect the reductions to be
made as soon rs practicable and not later
than November 20 1921 - the decision said
It was also stated that rates in conform
ity with the commissions decision may be
published to become effective on not less
terested parties may bring to the commits
sions attention any outstanding orders of
the commission which may require mOdifi-
cation 70 permit prompt and full comph-
ance with the commissions findings"
Saves Kansans $4,000, 900.
The reduction of freight rates on
grain, grain products and hay, an
nounced by the interstate commerce
commission, is estimated on the basis
of figures submitted by Clyde NJ.
Reed to mean an annuaI saving
of Approximately $3,60O,OOO o Kansas
shippers, according to an estimate by
the state public utilities commission.
This estimate he based on an avera ge
annual crop movement to points out
side the state of 15O,OO0,0OO bushels
and an average rate on hauls of Is
cents bushel.
The case before the interstate com
merce commission was filed personally
by Clyde NJ. Reed, chairman of the
Kansas commission, on July Z, follow
ing a conference of railroad execu-
tives called by Governor Allen. The
conference ended with a statement by
the carriers that a reduction could not
be granted.
Governor Allen Boosts Figures.
Figures announced by Governor AL
len this afternoon indicated that the
rate reduction announced by the inter-
state commerce commission will mean
a saving to Kansas farmers on this
years crop of approximately $4,000
600.
These figures are based on the last
crop report of the state board of agri-
culture. Figuring 60 per cent OF the
wheat crop already marketed, the saw
ing will be as follows: Wheat, ST.
100000: corn. S1.0S3. 900: hay, $1.440,-
600; oats. S3SO.0OO; barley, $4,000;
rye. $33,000; other grain crops, ST.
100000.
According to information received
by the state public utilities commission
this afternoon. the new rates are - be
put into effect upon five days ne8ce
and not later than November 20.
Hearing Lasted Three Weeks.
Members of the Kansas congress
sionaI delegation used their influence
in obtaining an early hearing which
was set for August Is. breaking the
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