The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1930-07-17
/. c. C. GRANTS RATE
RAISE TO RAILWAYS
Territory of Lake Michigan to
the Rocky Mountains In
cluded and Affected
FARM PRODUCTS EXEMPT
Estimated Income Will Be
Augmenter to More Than
IL Million Dollars

AhIiSiPoICo iuCTedScS III AACASh'
rates in this section of Minnesots
is a fact, as the railroads operating
in western trunk line territory
which extends west from Lake
Michigan to the Rock Mountains
and northward from Kansas and
Missouri to the Canadian border
were authorized Tuesday to estab.
lish increased rates on classified
freight.
The increased annual earnings
expected to result from the inter.
state commerce commission ruling
are estimated in railroad circles al
$12,OO0,OO0. -.=-.
At the same time, railroads in
eastern territory were accorded
permission to institute a new sys'
tenn of class rates applying over
the northeast quarter of the United
States, which in general will re-
suit in increased earnings.
The western trunk line rate re-
vision will be effective November
1, while the eastern division revi
sion will be made effective within
four months.
At the time of the Railroad and
Warehouse hearing on the applica.
ton to operate freight trucks be
tween the Twin Cities and New
Ulm, and other points, this spring
the fact that a decision of the In
terstate Commerce commission or
an application of the railroads ir
this territory for an increase ir
freight rates was awaited, was dis.
closed.
Whether this increase will affect
New Ulm and the points included
in the Watertown zone, as much as
other shipping points in the north
west, not included in this zone, has
not been determined, but it is not
anticipated that it will. This was
the opinion expressed by those
who were familiar with the rate
situation in the Northwest at the
time of the hearing.
The order of the Railroad an6
Warehouse commission issued or
May 1, with reference to granting
the application of Steller & Sons
of Excelsior for operating freight
trucks between the Twin Cities anG
New Ulm, and other points, con
tanned the following facts:
1T is recited that. New Ulm il
within what is known as the Wa
tertown rate zone. On less thar
carload shipments out of the Twir
Cities on the M. & st, L., New Uln
is the first point affected by the in
creased rates established by thu
Interstate Commerce commission
July ii, 1925. Prior to that time
the interstate scale of class rate.
prescribed by the Minnesota com
mission applied from the Twir
Cities and Minnesota jobbing point.
to New Ulm, Mankato and south
western Minnesota points.
'The Interstate Commerce com
mission established a maximum
scale of rates, which had the effec
of increasing the rail rates on les.
than carload shipments into New
Ulm approximately rs per cent ovel
the rates established by the Mime
sofa Railroad and Warehouse com
mission" according to the recita
of findings and facts. 1.-THE maxi
mum rates authorized were adopt
ed by the rail carriers, effective Sep
TENDER II, 1925.
One of the principal reasons that
points in the Watertown zone ella
mored for relief through forma
ton of truck lines to haul freight
was that they were initiated
against to the extent of rs per cent
increase over and above what other
points in Minnesota were paying
1t is not anticipated that the new
rates granted the railroads of this
section by the Interstate Commerce
commission will be in addition tc
the rates that apply to the Water.
town zone, but that the rates n
this zone and other points outside
this territory will be equalized.
In eastern territory generally
the commission prescribed dis
lance basis for classified freight
rates, which in some cases involved
reductions from existing rate
levels.
The decisions laid down three
zones in the west and used them
for outlining the differences found
necessary.
For zone l. including all of the