The Wolf Point herald. (Wolf Point, Mont.) 1913-1940, 1932-06-03
|. c. C. HEARING ON
RATES

Continued from page ene)
Sheridan, Wyo+ from which j
angles southeast SO as to includ
Casper. A line extending slightl'
northwest from the westernmos
point of this boundary would in
clude Malta and Hogeland within
this zone.
Say Mont. Rates o. X.
Representatives of oil compan
les opposing the complaint of the
Westland Oil company, did not op
pose the ~rezoning proposal, but
urged that any decision in the mat
ter be withheld until after a de.
cision in what is known as the
Mountain-Pacific case, now before
the commission. In this cas- Mon
tana freight rate schedules are un.
der investigation. These ~interven-
OAo ooSCi lcu lHdI pA CoCAL ISlSul
rates on petroleum products into
Montana are not too high. but just
about right, and rates to points
farther east are too low.
r. j.. C~oughIin on Stand
R. j. Coughlin of Minot, presi-
dent of the Westland Oil company,
was the first to testify. He said
that his company operates 16 bulk
stations in North Dakota and 81
in Montana, but that the North
Dakota business compared to the
Montana business in the ratio of
Is to so. He said that rates along
the border in Montana were higher
than on the North Dakota side Of
the boundary. that a reduction in
North Dakota freight rates effect
i've March Is, made this difference
greater than before. The result
was that North Dakota dealers
could haul gas into Montana and
sell it more cheaply than gas could
be sold when shipped in by freight.
This forced the Westland company
to reduce prices along the border,
below what they normally should
be. For instance, bulk station gas
at Grenora. N. Oak, sells at 1913
cents a gallon, and at Westland
stations between Bainville and
Plentywood it is 20 cents. This in
the sc tax. At Wolf Point
it is 20 cents, but should normally
be % cents.
Gas 4L2c at Refinery
Since the Westland Oil company
made this complaint, it had ship
ped into Montana from the Group
; section 287 carloads of gasoline.
On these shipments the gasoline
was bought fob refinery and the
Westland company paid the freight
charges. During the last year gas
,line has been seeing at Tulsa at
IN average price of AZ cents a gal
and the present freight rate
S 81 cents a gallon. Besides gas
Zine, the Westland company ships
rom Minot %lubricating oil and
sreases blended at Minot. Some
are made to the West
and stations and others to Gust
,mers who buy in carload lots. In
Ill cases the products are sold
OBJ. destination and the same
PRICES prevail on lubricating oil in
North Dakota and in Montana. The
Vestland company absorbs the diff
erence in freight rates. Mr.. Cough
in said that the price for Montana
was based on the Group
price delivered plus the freight
rom Group 3. He said that the
early average consumption for
Montana vas 300 ~S,0OO-gal. cars
purchased from the refinery. Fifty
Ier cent Of the petroleum products
hipped into this section YER used
4 farm tractors or for other agri-
ultural use. He said that because
f the difference in price farmers
requently bought their gas in
forth Dakota and trucked it as
as 40 miles.
Gas brought from the midconti-
entail group was brought on the
asis of fob. refinery, and WyOm-
lg gas was bought OF the basis
fob. Tulsa, although the haul
the Wyoming field was con-
iderably shorter than from the S
ulsa group. ;
Expert Economist on Stand ]
Prof. E. A. Starch, Bozeman, as Z
economist at the Montana
ate college was the second wit
ess called. He testified that his y
at the state college was an l
.ysis and investigation of costs !
I'd farm operation, and that he I
i'd been in charge of this work at l
lie state college fl" over six years, I
lat the state college operates 10 I
detrimental farms, located at var ;
us points over the state. He also !
is a farm of his own. The mini !
UNI size dryland farm which can
/, operated successfully in Mon
ma is about $40 acres. The maxi a