The border vidette., 1928-08-04
BIG FREIGHT CUT FOR ARIZONA


BIG FREIGHT CUT FOR ARIZONA
phoenix = Freight reductions
approximating 80 per cent on in.
terstate shipments between Ari-
zona points and Ell Paso, Albu.
querque and California points
will become effective September
18. next, the state corporation
commission was advised yester.
day by carriers involved.
The new tariffs are in keeping
with an order by the interstate
commerce commission, issued
some time since, directing the
railroads to decrease class rates
into and out of Arizona.
These reduced tariffs will re.
suit in a saving Of more than
81 100000 a'year to shippers aud
consumers in Arizona, it is esti-
mated.
At the same time, it was stat.
ed, the railroads will place into
effect reductions of equal
amounts on the traffic moving
within the state under class
rates. This last reduction will
be made in conformity with an,
order issued by the Arizona Cor
poration Commission placing the
state rates on a parity with the
rates.
When the reduction in class
rates go into effect, September
18,, a fight of more than five
years to obtain reductions in the
interstate and intfastate class
rates in Arizona will be ended.
Toe fight started when the
Arizona Corporation Commission
nearly five years ago, issued an
order on it's own motion calling
for an investigation of the class
rate situation in interstate traffic
in Arizona. A hearing was held
in the matter and in 1925 the
Arizona corporation handed down
an order directing that the class
rates in the state be reduced ap-
proximately 30 per cent.
After the Corporation Com.
mission started an investigation
on it's own motion of the rates in
Arizona. and during the period
when the hearings were in pro.
gress in the case, it filed a peti.
ton with the interstate COM
merce commission seeking re.
duction of the interstate rates
into and out of Arizona from a
line north of Ell Paso to Arizona
and from California.
Ia 1925, when the. commission
ordered the intrastate rates re.
duced, the rail carriers at once
went to the federal court and
obtained a temporary Injunction
to prevent the rates from going
into effect. Through an agree.
ment, the railroads agreed to
drop the Injunction suit if the
Corporation Commission would
suspend it's order pending the
hearing of the case before the
interstate commerce commission.
After it had entered its sus.
pension order. the Arizona Cor
poration commission took no
further part in the prosecution
of the interstate case except that
it cooperated with the interstate
commerce commission in hearing
the case and in arriving at the
decision. Following hearing
in the matter the interstate com
commerce commission in 1926
handed down an order reducing
the interstate class rates in Ari-
zona 30 per cent.
The carriers protested and
asked for a rehearing, which was
granted. The rehearing was
held and several weeks ago, the
interstate commerce commission
issued a second order reducing
the rates 80 per cent. or the
same reductions made in the first
order. At the same time the
corporation commission issued
it's order reducing the intrastate
class rates by the same amount.
The carriers agreed to put both
orders into effect on the same
date, namely, 120 days from the
date of the orders.
Yesterday, they advised the
corporation commission that the
new tariffs with the necessary
red uctions would be ready to be
put into effect September 18,
1928.
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