The Dawson news. (Dawson, Ga.) 1889-current, 1923-12-04
FIGHT MADE ON CHARGES
IN RAIL FREIGHT RATES
PROSPERITY OF RAILROADS
IN THE LAST 10 MONTHS
IS UNPRECEDENTED.
CRITCIZES RAIL EXECUTIVES
Freight Bureau Chief Says Profits
Exceed Sum Contemplated by Law.
Official of Central Gives Carriers
Side of the Matter.

Ofhclal OF central GlVeS carriers
Side of the Matter.
For thirteen consecutive months the
railroads in southern classification ter
ritory have enjoyed the most remark
able period of prosperity in their en-
tire history, according to statement
issued by larry T. Moore, secretary
of the Atlanta freight bureau, in con-
nection with the hearing being con-
Quoted before the Georgia Public Ser
vice Commission on the proposed
changes in the freight rate on build
ing materials, and other commodities.
The hearing is the result of an in
vestigation started by the commission
two years ago for the purpose of
eliminating special rates enjoyed by
some cities that were regarded as dis
criminatory against other cities A
similar hearing was held last August
and resulted in new schedule on va
rious commodities that went into eff
feet November 18th. In this schedule
most of the revisions were downward.
Vast Sums Expended.
IF we take The period since last
January 1st to and including the Sep
TENDER just past" declared Mr.. Moore,
the rate of return received by south
ern carriers during such period has
been substantially 6M per cent based
on the valuation fixed by the federal
commissioner, although such return
is materially in excess of the sum con-
templated by law"
Mr. Moore also called attention to
the fact that during the spring and
summer of 1928, the railroads spent
hundreds of millions of dollars on
their properties that have been charg-
ed to the maintenance of equipment
and other properties"
'In other words" asserted Mr.
Moore, Notwithstanding the expend-
iture of enormous sums of money this
year in getting the properties and
equipment up to a high standard oil
condition, the railroads in the south
still have had left amounts of net
earnings greater than they have ever
received as a whole in the history of
this section of the country and great
er as a whole than the return contem-
plated by law"
Must Spend to Save.
The railroads must spend money to
save money, said prominent official
of the Central of Georgia railway.
Transportation is no different from
any other business wherein adequate
facilities are requisites of efficient and
economical operation.
Improvements in equipment, in
track and road bed, in plant and ma
terials, enable a railroad to reduce
operating costs Expenditures for such
improvements are directly in the pub
lie interest, since they enable the car
riers to hold down the rate level and
prevent the increases that would other
wise be inevitable, because of increas-
ed costs of labor, material, fuel and
everything that the railways must
buy, this official continued The only
revenue that railway has is that
which it receives from the travelling
and shipping public in payment for
transportation of persons and proper
ty. To illustrate the saving to the pub
lie as the result of expenditure upon
and additions, compare
certain conditions upon the Central OF
Georgia railway in 1910 and in 1922.
Volume Keeps Down Cost.
The number of tons of freight car
ried one mile on the Central of Geor-
gia in 1922 was % per cent greater
than in 1910 However, this % per
cent increase in service to the pub
lie was performed with an actual de-
crease in freight train miles operated.
The number of tons of freight car
ried per train mile increased u per
cent from 1910 to 1922. If the aver
age train load had been the same in
1922 as it was in 1910, there would
have been an increase in freight train
miles operated of II per cent instead ,
OF an actual decrease of OF per cent. !
This would have meant that the actual
cost of train operation, such as wages,
fuel, lubricants and other supplies
would have been $1,726047.52 more
than they actually were. On one item
alone, fuel consumption, the saving
represented is $299, 88096
How were these substantial savings
effected3 Simply by well-planned ex
penditures upon improvements and
Light locomotives have
been replaced with heavier ones of
greater power, so that increased ton
mage can b handled in each train load. !
Terminal facilities have been enlarg
Continued on Page Two)