The Birmingham age-herald., 1924-12-02

agreed with the Alabama Commission and the carriers that this modification of the previous decision was a proper one.
 So far as concerns the rates on hay, the trouble was brought about by the existence or rather low commodity rate of 17 cents from certain Mississippi shipping centers to Birmingham, this rate ranging from 115 to 31h cents less than the rates from certain intermediate Alabama shipping points. It is incredible that difference of 30 to 70 cents per ton on a commodity selling for S23.oO per ton would have kept any considerable amount of Alabama hay out of the Birming- ham market. The decision further shows that this 1T-cent rate was originally established to meet competition from a similar rate which was in effect from Western Alabama to BIT mngham before the Meridian scale was pre- scribed. The carriers admitted that this rate caused a disparity which should be corrected and they announced that they were about to take steps to increase it. The Interstate Com- merce Commission specifically found that this 17-cent rate was abnormally low, distance considered, and that the rates from the Ala bama shipping points to Birmingham were lower than the Class D Applicable on hay)' rates in the scale recently prescribed by the Georgia Public Service Commission for ap- plication in Georgia lower than the scale tentatively approved by the Alabama Com mission, and below the level of the rates ap- plicable from Ohio and Mississippi River points to the Southeast for hauls of similar distance. It would clearly appear from thls decision that tine existence and continuance of the lower rate on hay from Mlsslsslppl points to Birmingham was the result of an oversight on the part of the carriers In not correcting it along with the revision of the rates under the first Meridian decision. The technical violation of the long and short haul rule, while indirectly brought about by the Meridian rate decision, has nothing whatever to do with the decision itself. While In your editorial of October 2Oth you state that the Meridian Rate decision represents the Com missions misinterpretation of the intent Of the long and short haul clause in the Trans portation Act" l think it must be clear, If you will reread my previous letter and the Federal Commissions decision, that the sole purpose of the Meridian decision was as have stated it and there was not even a re- mote connection between it and the so-called long and short haul clause That decision was made for the primary purpose or permit ting the shippers at Meridian, Miss, to ship goods to Alabama points on the same basis mile for mile, as the shippers at Mobile, Selma
 Montgomery, Birmingham, Demopohs and Tuscaloosa, who had the benefit Of abnormal ly low rates prescribed by the Alabama Leg l islature in 1907 over the protest of the car riers. The Federal Commission accomplished this purpose by prescribing rates that brought about both advances and reductions.
 There are other situations of similar kind which need to be corrected. Some of them are due to the existence of state-made rates, which do not correspond, mile for mile, with the interstate rates or even the rates ap- plicable in other states. The reverse IS some times true. You say it is incredible that Alabama producers, although shipping from points much nearer Birmingham should have to pay higher rates on their products than far more distant producers shipping from an- other state" and you attribute thls to the Meridian Rate decision l have shown you, convincingly I hope, that only as to hay, an isolated case, did the Meridian decision cause this result and then 1t was only an indirect result and not intentional. On the contrary, we can cite innumerable instances where Alabama producers of various com modities have the benefit of substantially lower rates, mile for mile, than the producers of similar commodities shipping from other states into Alabama. This is largely due to the continuance of many of the rates prescrlbes by the Alabama Legislature in 1907, and for which the carriers can hardly be held re- sponsible.
 Perhaps it may be we'll to call attention to the rates on live stock. About two years ago
 the southern carriers, after conference with practically all of the live stock interests and farm bureaus throughout the South, agreed upon certain mileage rate scales for uniform application throughout the South. They were submitted to the Interstate Commerce Com mission and approved by that body. The ship,
 ping interests and farm bureaus obligated themselves to go before the several state pub lie service commission and advocate these scales for intrastate application. They have carried out their part of the agreement
 These scales resulted in thousands of reduc
 tons and thousands of advances, but on the
 whole they represented a uniform level oi rates generally satisfactory to shippers, con sumers and the carriers. While effective on
 interstate traffic, all of the state commis ! ;..., ha,,o ,,ot os vat apnroved them. It maj