Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-12-25
POSTMASTER NEW
CALLED To EXPl- AIN
NEW RATE PLAN

WASHINGTON, Dec. 2S.-Post
master General New was called to-
day before the senate postoftlce
subcommittee to explain details OF
the administration measure propos
ing increases in rates on practical
ly all classes Of mail matter except
letter mail to take care of tho ad-
vance in the pay of postal employees.
approved by congress but vetoed by
President Coolidge.
The subcommittee has set aside
four days fer the hearing, today, TO-
morrow, Friday and Saturday. Chair
man Moses and other members hope
to conclude the hearings within that
time so that a report can be made
to the entire committee next week.
While the salary increase meas
ure, passed at the last session, has
been incorporated into the mail rate
advance bill introduced by Chair
man Sterling, of the postoffice COM
mittee, there will be no hearings on
. that measure at this time. The ques-
ton of salary raises is pending in
the senate and the committee will
have jurisdiction only in the event
that the presidents veto is sus-
tanned, VIII leaders now say is
virtually assured
At the outset, the American News
;1lN tot
through it's vice president, John
Stewart Bryan, publisher of the
! Richmond, Va, News Leader, pre-
ton against such speed in opening
scented a protest from that organiza
the hearings.
The protest set forth that the post
office department had been two
years in preparing the cost ascer
tajnment report on which the pro-
posed mail rate advances have been
based and that the publishers should
be given reasonable time in which
to study the report. 1t was declared
that in the brief time the report had
been in the associations hands
many discrepancies" in the state
ments of facts had been found.
The protest asked that at least
thirty days be given for analysis of
the report. To this Chairman Moses
replied that the senate committee
had ordered. speedy hearings with a
view to making a report soon after
the Christmas recess and that the
subcommittee had no choice but to
go ahead
Advances proposed by the postof-
flee department are in accordance
with the equities and are for the
users of the several classes of mail
Postmaster General New told the
committee.
Replying to the challenge of the
publishers association as to the ac-
curacy of the cost entertainment
report, Mr.. New declared he had
absolute and implied confidence in
the accuracy of that report" Be-
fore he approved it, he said he
had Il ACKNOWLEDGEMENTS accounting
firm go over it, with a fine-tooth
comb
Action Forced, New Says
The postmaster general said he
had not sought to raise rates, but
that the situation grew out of ac-
ton by congress in raising the pay
of postal employees. He added that
all of his actions had been at the
request or by direction of congress.
Explaining the various rate ad-
vances. he told the committee he
regarded it to be an imposition to
make an increase on every other
class of mail and none on the sec
ond-class mail, consisting of news
papers and periodicals.
II concede as just many of the
points made by the publishers" Mr.
New said, such as that the people
want reading matter, that it is a
good deal, of q public service to see
that they get it.
"All those things were taken into
account and making the rates on
second-class mail l fixed the figures
at $9,S76, 000."
I Mr.. New said he regarded this as
fair proportion of the total in
crease of $6S,000,0 900 necessary to
meet the postal ray advance.
Representative Kelly of Pennsyl-
vania, a member of the house post
office committee wanted to know
why the postoffice department could
not absorb the $6S,000. 900 increase
as it had absorbed an increase fol-
lowing enactment Of the employees
Redistribution bill. Mr.. New said
this could be done ultimately but
that the department under such a
plan could not become self-sustain-
ing within five or six years.
AS matters are now" he said,
''we will be on a self-sustaninG
basis at the end of the fiscal year
J 1926
News Assistant GriIled
Joseph Stewart, executive assist.
ant to the postmaster general, was
questioned extensively as to why
the cost given of handling parcel
post was much lower than that for
newspapers and periodicals, when
, the weight and bulk of the latter
lwas much higher than the former.
Stewart said the bulk counted only
In paying for, railroad service. The
service in postoffices and delivery
should be considered, he said ex.
planning that a pound Of parcel post
would be only one package while a
pound of second-class mail migh.
contain ten or more pieces.
The witness said the total mum
Der of parcel post packages handled
yearly is slightly more than ore
million. Parcel post rates cannot he
increased a very great deal, he said
without losing business for the post
office department