The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1923-07-27
PROPOSALS Is
LAID BEFORE
COMMISSION
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in detail showing the lines being
built first in the eastern part of the
state and then being extended to tho
western part. Except for the North
ern Pacific which built through
North Dakota to complete its trans
continental system and obtain large
land grants, railroad building has
been for the purpose of developing
grain raising territory, Mr.. Smart
said.
Wheat The Big Item
Another exhibit showed that wheat
constitutes by far the largest amount
OF tonnage developed by railroads in
North Dakota. He showed 6,S11 cars
of wheat, or 2,754, 1853 tons of wheat,
originated in North Dakota in 1929
and this constituted 1896 percent of
all freight originated in the state
during the year. Sixteen classes of
agricultural products produced 1918
percent of all the traffic. originating
In the state, this including flour
manufactured, and an additional 4
percent was listed under animals and
products. Eighteen percent of the
traffic originating in the state is
Ignite coal. while manufactured
goods comprised little less than 2
pepcent of the total traffic. Wheat,
he showed. averaged 4O,448 tons to
the carload while all other commo-
dities averaged 33,627 tons.
Another exhibit was intended to
show that traffic is handled cheaper
in North Dakota than in other states.
Taking the Northern Pacific as an
example, he said it could move s2.9
tons of freight and 6ha passengers
for, 81 operating expense outside of
No4 Dekota, while in North Dakota
it could move 900 tons of freight
and seven passengers for 81 operating
expense His exhibit showed 1913
capital was employed in such move.
ment outside of North Dakota to
$500 in Moth Dada.
Coming fo tho question >of profit of
railroads operating in North Dakota,
however, it was shown in an exhibit
that the carriers, according to their |
reports from which the exhibits
were made, did not earn the 5M per
cent return contemplated by the In
terstate Commerce Commission. The
Northern Pacific failed by PIG cents
on each 81 spent for operating ex-
penses required to make the $1.54
return on it's system in general, while
in North Dakota in like ratio it fail
ed by 1915 cents per 81 to make the
$l.49 required to yield the 5M per
cent on capital employed.
If the railroads, on the basis of
their figures, made the 5M percent
return, and the money was derived
from increased freight rates, the per-
rentage increase of freight revenue
would be 21.89 percent for the entire
system and 1888 percent for North
Dakota.
The exhibits showed, it was ex-
blamed, that greater return was made
On the capital employed in North Da-
sota than in the system in general,
,ut that in both cases the revenue
vas deficient
Not Making Too Much
"This is submitted purely for in
Mr.. Smart said, "and on
he basis of the reports shows that If
here is any adjustment in grain
'ates in North Dakota it will be not
because the carriers are making too
much money but because of discrim-
nation"
Coming to the question of dis
the witness displayed a
prepared exhibit showing rates from
arious points within the state as
ompared to rates in neighboring
tates and interstate rates.
The intra- rate in North Da- I
ota on wheat for 400 mile haul is I
8 cents, in Minnesota it is II cents
nd the rate indicated by the Inter- {
tate Commerce Commission is 25% q
ents, Mr.. Smart said. He compared v
his to rates from Minneapolis to c
teele, on the Northern Pacific; e
Ferry on the Great North Il
rn and Hague on the 500 lines, all $
rom $50 to 395 miles. The rate toJ t
teele. he said, was 23h cents; q
hurch's Ferry, 1872 cents and Ha- n
ue 25A cents, the rate in each case =
eing considerably higher than the
ate for similar distance wholly -
thin Minnesota, and less than :
re North Dakota ihtra- state
ate. Within the state, he said, :,
ltes on the Milwaukee line were y
igher west of the Missouri river v
etWeen state points than east of the .