The Delta independent., 1921-07-01
TO SECURE FUNDS
FOR RATE COMMISSION.

At the meeting Saturday afternoon
which was called by the Chamber OF
Commerce and Farm Bureau, definite
steps were taken to procure financial
aid for the support of the committee
appointed by Governor Shoup in ac-
cordance with the authority given
him at the last session OF the legis-
lature. to represent the shippers of
Colorado in procuring a reduction of
freight rates in general, and an emer-
gency reduction to be effective be-
fore the moving of the fruit hay and
grain crops.
The meeting was held at the audi
torlum presided over by F. B. Kes-
ling. president OF the farmers union.
Hon. NJ. D. Vincent OF Grand juno
committee. explained the duties of
the committee, and the objects it
seeks to attain.
Mr.. Vincent's explanation of the
work of the committee is that 1t Is
a committee representative Of all
Colorado industries, appointed for the
purpose OF securing a rate reduction.
while the committee was created by
the legislature, the legislature made
no appropriation of funds with which
to finance the work 1t seeks to ac-
complish, and the committee is ask
ing the industries of the state which
would be affected by the reduction,
to provide the necessary funds.
This intermountain region has suf-
fered from rate conditions more than
other sections OF the country, ana it
will be the duty of the committee to
attempt to effect a re-adjustment of
rates which will be fair to Colorado.
A general revision of rates will oc-
cur. There might be. and there has
been a substantial reduction in rates.
without certain sections being bene-
fitted by the same reductions on ac-
count OF a difference in classifica-
ton. It is the plan OF the commit
tee. according to Mr.. Vincent's ex-
PLANTATION. to keep in Washington
rate experts and counsel to appear
before the interstate Commerce COM
mission, and to attend all meetings
at which freight reyisions are dis
|cusssd- AZ the g pssssat time the
Interstate Commerce Commission is
making an investigation and is In
conference with the railroad officials
in an effort to bring about voluntary
readjustment.
At a recent hearing OF the commit
tee before the Interstate Commerce
Commission, the committee reviewed
the conditions they found to prevail
in the farming territory Of Colorado
during the last year. u was found
on investigation that so per cent of
1he farms OF the state were under
mortgage, $1,000 being the average
Indebtedness. and that rs per cent
OF the live stock was under mort
gage. An accounting OF the cost of
the production OF crops. and the
returns to the farmers. showed the
returns in everyy section of the state
to be less than the cost of production.
Mr.. Vincent said, "It is not a ques-
ton OF whether rates are reasonable
or unreasonable. but a question of
whether or not business can live
under such circumstances"
That increased rates had not In
creased the revenues OF the roads
was found by the committee,
and an illustration was shown by Mr..
Vincent in the conditions which pre-
vailed in eastern Colirado following
the 33 1-3 per cent increase last Au-
gust. The manufacturers OF alfalfa
meal. prior to this raise in rates
shipped annually 10000 cars Of
meal. After the August raise, the
number OF cars was reduced from
10000 to $500. as the shippers were
unable to compete with eastern
manufacturers under the new regu-
lation, resulting in loss Of 100000
gross revenues to the railroads