The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-02-23
PRESENT RATES
HELD LIFE OF
COAL INDUSTRY
Ignite Industry Cannot Sur.
vive Proposed Schedules.
Says Washburn
HEARINGS TO OPEN
Railroads Will Present Case
Before Examiner in Bis
marck on Monday
EARRINGS TO OPEN

"The Ignite coal industry of North
Dakota depends upon the continue
tion of the present freight rates, or
possibly lower tariff" Major Stan
ley Washburn, president of the
North Dakota Ignite Coal Operators
association, declared today in a
statement issued in connection with
| the Ignite rate hearings to be held
| III Bismarck Monday, Feb. 25, before
a joint session Of the Interstate Com
merce Commission and the North
Dakota Railroad Commission. A pre-
llmlnary hearing on Ignite rates as
they affect South Dakota was held
before the Interstate Commerce Com
| mission. A preliminary hearing on
Ignite rates as they affect South Da-
kota was held before the Interstate
= Commerce Commission in Aberdeen,
5. d., this week. The hearings are
the outgrowth of an attempt on the
/ part of the carriers to secure high
er rate on North Dakota coal.
1--WE assume" Major Washburn's
statement reads, chat the railroads
have brought this case with the hope
OF securing a definite rate before
the Interstate Commerce Commits
sion, which, when finally settled, will
give US permanently. either the pres
ent rate or perhaps even a lower one.
In his first message to congress,
PRESIDENT Coolidge advocated a re-
adjustment of the whole rate struc-
ture, which statement, it is believed
on high authority, means that COM
modities which are vital nece ss:ties
to the community, such as coal, should
involve the lowest rates of any form
OF traffic moving over the railroad
lines, even thought it is transported
near the margin Of out-of-pocket cost
OF transportation.
resident Coolidge also emphasize
ed the need Of diversification in lie
wheat producing states but he did
not mean that merely for a sugges-
tion to North Dakota to grow less
wheat and more corn and forage
crops. He does mean that the future
OF this state and other states is
bounded only by their capacity to
develop all their resources, asri.ul-
tural, mineral and industrial, and to
realize on these within their natural
resources. To this end the interests
responsible for the development of
the vast Ignite coal fields of North
Dakota have, with the encourage
ment of state officials and develop
mcnt bodies, sought to extend the
market for North Dakota coal there
by furnishing a northwest fuel for
the northwest and keeping millions
OF dollars in this section of the coun-
try instead Of permitting it to go /
to eastern states in payment for |
eastern coal. In the annual report |
OF the state mine inspector, made
public last month, it was pointed out |
that 1928 was North Dakota's ban
ner year from coal production
standpoint. The value Of the coal
produced was $3,742,413.15, accord
ing to this report. This amount,
close to s4,O0O,OOO, was kept in the
state while # the Ignite had been
replaced by bituminous coal it would /.
have meant sending out, of North
Dakota more than $1O,OOO,0OO, in
,luding freight to eastern railroads.
What It Means.
Eastern financial interests are at
subscribing $10,OOO,OOO capi-
al for the corporation suggested by !
President Coolidge to assist North
Dakota and adjoining states to re-
cover economically. 1t seems very
doubtful if increasing the freight
ates on Ignite coal, thereby shut
ing down Industry in North Dakota, .
an be considered in harmony with
he proposed work Of this corpora
ion. AS matter Of fact, such ac-
lon would be direct contravention
4 the whole program advocated by |
resident Coolidge and administration
eaders for the Northwest.
1T is worthy Of special note that
he railroads serving the state of (,
lorth Dakota and other parts Of the
northwest are lending all possible
ssistance to the. carrying out VI
Continued on page 81 I