Show UNION PACifiC IS IN CONTROl Mark Ma M ark k Hopkins Testifies That Wyoming W omi g Company Fixes Price Pr ce of Coal Here EMPLOYED E BY GOVERNMENT T t F RELATIONS OF RAIL RAILROAD ROAD AND COAL COMPANIES ts Mark Hopkins HOPkIn a a mining minting of ot Salt S alt Lake L ke P PT jV alY viGo president resident and a nd general manager Coal C oal company Superintendent Thomas S of the Diamond Coal Coke Coka c mines at Wyo W ro and A rV V Taylor a lawyer of or Salt SaIt S alt Lake iere re the tire principal witnesses before b the interstate commerce commeree com corn commission commission mission which closed its Salt Lake ses sea session session sion s hin yesterday esterday During the tire commissions it i t has opened several lines linos of testimony tas which show interesting conditions in coal c oal and oil oU matters In the west w st par particularly particularly t in their bearing upon Utah During last year Utah produced 1300 1100 0 00 tons of coal and Wyoming tons t ons Testimony brought out by the commission c ct shows that the greater por portion portion porion tion t ion of this amount goes to the rail railroads railroads roads oads r and large corporations and as a result r the fall shortage of coal in Salt Sath Lake happens with unfailing regular regularity regularity ity i ty May Be Criminal Actions That the department of Justice will vIll take a hand shortly in adjusting mat matters matters in the west Avest was practically an annO nO during the hearing Attorney J T Marchand called for George L Black superintendent of the Union Pacific Coal company but before Mr Black reached the witness chair Attorney Attorney Attorney ney Marchand withdrew his request for forIr Mr Ir Blacks testimony I call this witness that we may probe deeper into the conditions said Attorney Marchand addressing the cc urt We have already shown that the Union Pacific Coal company the tire Union Pacific Railroad company and the tire Superior Coal company used their to acquire coal lands and In this manner have broken the law but we can go so still deeper with Mr Blacks testimony If we call can him to the tho stand it will be at the expense e of making him immune from prosecution What is your honors pleasure Clark CI rk Is Now Immune Commissioner Prouty was not willing that the he should hould be mado mudo im immune Immune Immune mune Had I known K as much as I know now he said I i would not have h vo let Mr Clark testify Mr Black Was tUnis as then excused Any An witness who con to performing acts and testifies along this line before the com corn commission commission mission cannot be prosecuted under the decision in the tire beef boe trust cases cas os The commission held but one session yesterday that in the tho morning J T Marchand and Elmer E Thomas at attorneys attorneys for the tire commission Judge J T W V Lacey attorney for the Union Pa PacIfic Coal company Parley L Wil Wi Hams attorney ey for the Oregon Short Line and E M I Allison jr attorney for the Rio Grande were present A number of railroad men and lawyers of or Salt Lake were among the tire spectators Just before adjourning the morning session J G Jacobs former manager of the Salt Lake Mercur railroad was called for but was not present Mr Jacobs name nam was not repeated at the afternoon session The Tile afternoon session was merely a formal adjourn adjournment adjournment adjournment ment until 10 Thursday morn ing lag when the commission will wiil meet in Denver The Tire commission asked Attorneys Attorneys Attorneys Williams and Lacey if they had bad badan anything an thIng to say for their companies and both said they had nothing to offer in iii contradiction of the testimony pro yesterday and Monday The commission then adjourned Commis Commissioner Commissioner Prouty Said sfia no witnesses from Salt Lake would be asked to in Denver The Tire governments trio left Salt Lake last evening even Int Salt Lakes Coal Famine The Tine regular coal famine happening in Salt Lake every fall was probed into at yesterday mornings session nession but no testimony could be brought out to show that Salt Lake is being controlled by a dealers combine In the tire testimony the Union Pacific Coal company is pointed out as the big boss bo s Mr Hopkins said sald this much explaining his assertion by going Into the coal history o Wyoming Mr Hopkins was WiS tire the witness He saId ald ha h came west in 1886 He held hell the position of assistant superintendent of the coal co l of the tine Union Pacific D O 0 Clark was at that time superintendent of the tire department which hassin h e become the Union Pa Pacific Pacific Coal with Clark at ut ltd Its head hemI Th railroad ra owns the coal com corn company pany Mr Hopkins said he ire has had charge of numerous mining properties in Utah Utai Uta and Wyoming and was super of the Cumberland mine in 1902 At this time the dally daily daH p output was in the neighborhood of toss tons to s per pe day The coal cost coston coston coston on the cars Sp 8 P cents per 2000 pounds of or orrun run of mine In answer to a question asked by Commissioner Prouty the witness said 1 per ton would cover the average cost At all N average cost at all an mines After explaining the nature of the tho un underground underground Underground coal workings in Wy Wyoming WyomIng Wyoming oming and Utah and und showing that the cost of mining coal became greater gront r with greater depth Mr lIr Hopkins submitted testimony bearing up n methods pur pursued sued by bv the Union coal oal de dc t at the tire time he h was employed el elby by it Clark Fixed the Rates He said D DO O Clark fixed all an rates both on and c n of or coal He ire said he believed a cent ent per pel ton mile mUe was vas mada for tor forthe forthe the coal mines on all freight feight brought to them irrespective of commodities A Aone Aone one cent cen t per mile passenger pas ticket was issued to laborers wanted by the tho coal operators at the mines Mr Hopkins Hn said a mine was opened in ur miles west est of the tire Rock Springs by Fred Continued Con on Page 3 i UNION PACIFIC IS IN CONTROL I Continued from Page 1 Gray and ad himself The Te output of or the te mine mino WIS as about abott nb t or tons dally daily d Uy This mine paid regular tariff tarl on all al freight The commission Introduced d an ex cx exhibit hibit hibi at this juncture jl of the proceed proceedings proceedIngs proceedings ings This Tills wan a chart the tha coal fields of and d Utah their proximity to railroads the railroads r having tracks near or through the va various Various n rious abandoned mines and those in operation This chart was Iden Identified by y Mr Hopkins aa his handiwork The commission c son then opened a line lne of ofte testimony te in an effort to get reasons for tor the tho great at number of ot mines now idle hUe or abandoned on the Union Pacific Mr Hopkins said sale he could offer ofer no absolute information on this point but suggested that the inferior quality of the coal oal de developed developed by these openings was wa the rea rca reason reason son for their abandonment Cost of Opening Mine The witness then thon explained at length what expense o pen e Is entailed in opening ope c a x coal deposit He said It Is 15 first absolutely absolutely necessary that the deposit mO t b be 19 i reached by a railroad In drawing his illustrations lust Mr 11 Hopkins used u ed a full fun of land or time the acreage acres allowed a corpora corporation tion by the tIme government His tos to showed that without the tle corn com complete Com friendship of a railroad an opera operator tar tor tOl cannot open opEn the t e richest kind kirti of u a deposit with any profit Tais This peculiar pe condition con Uon affords the tho railroads the up upper upper upper per hand in controlling coal coul fields their then production and its distribution A mine worked during the tho entire year is more profitable than one worked spasmodically ical and for this reason smelter consumption cons m ton Is 5 sought ought after by byall byall all ni coal conI companies Commissioner C Prouty asked In Inome some ome districts In Pennsylvania thy th y pile pie near ner the mines where It I will wi be handy hand during sensors of x tra demand Why cant they the do o that rt re Companies Can Store Stare Coal Mr Hopkins answered Large cor corporations corporations do that that with the tho soft coal 1 I ere crp but dealers and individuals con consumers conf sumers umers f cant do it i The rhe largo large corpor corporation corporation alon does not suffer any an loss through disintegration because slack can be ton used for steam generating The dealers and consumers mors would suffer s this loss lossen en cn n the other hand Mr 11 Hopkins said the tho track to the Cumberland mines was laid when hen lie he reached the tie camp The Oregon Short Line railroad operated oper the t te spur The Tho witness winess had understood the Union Pa Pacific chic Coal company paid no charges upon tracks trac s laid for It i by br the Union Pacific or Oregon Short Line railroads He said he had issued transportation under a per mile mio rate rato to bring miners into the field feld for this company but other coal companies paid tariff in importing men Mr Hopkins said the cent per ton per mile mie rate enjoyed by the Union Pa Pacific I chile coal department was much 1 lower than thun tho the published rate The fhe commission next asked for a detailed explanation of the weight basis used by b the companies in paying their miners The witness wi said this basis varied aried with wih the different companies At some mines the basis was 2000 pounds at others 2240 and still others as at Rock Springs about In explaining the he percentage of slack made in mining Mr Hopkins said the estimate furnished the commission by D O 0 Clark in Omaha was wa high This was 45 per pe cent While some mines production carries 50 per cent the av average average percentage of slack at the rail railroads rai railroads roads toads mines in Utah and Wyoming Wyoming is noL above 40 per cent I Prices Here Too High Coming Corning to the prices maintained for tor coal in Salt Sal Lake Mr Hopkins said they the are entirely too high He said three and a half mills Is about the actual cost of freighting the coal Into the local market The railroads are getting 1 1 cents at the present time Ume 41 I should like to own a railroad said the witness answering a question queston asked relative to the rates maintained by bythe bythe bythe the railroad companies Mr Hopkins said he knew nothing of any 3 or 4 mill mi per ton per mile mie ever being offered to any concern by the Rio Grande and knew nothing noting also of any agreement said to have been made by the Rio Grande to turn coal over to the Central Pacific at a rate of 60 or This agreement and rate were supposed to have been made to place Rio Grande coal In competition with wih Almy Aimy coal The Almy supply aimed at was being produced by the Rocky Mountain Coal CoalIron CoalIron CoalIron Iron which was owned by bythe bythe bythe the Pacific Improvement company which in turp turn was a of the Southern Pacific Returning to prices maintained in Salt Sal ake Mr r Hopkins said the margin of at local loca 1 coal dealers Is not ex excessive excessive excessive when the cost of maintaining yards arc branches and delivering the coal coat coatis Is considered consid led With the loss through disintegration the profit made by the te dealers is in the neighborhood of 50 cents per ton When asked who controls the coal market in Salt Lake Mr 11 Hopkins said he lie thought the Union Pacific Why the Union Pacific more than that the Utah Uth FutI asked Commissioner Prouty Mr Hopkins then explained that while but 25 per cent of the coal used sed in Utah Is obtained from Union Pa Pacific Pacific mines that company regulates s the prices of coal through its is priority in inthe inthe Inthe the field feld The he Rio Grande has ad advantages advantages advantages vantages in shorter hauls and mine conditions but from force of or habit presumably falls fals Into line lne with wih the Union Pacific The Utah Fuel will wi not cut prices anyhow explained Mr Hopkins That would not be business Outside of saying that both railroad and coal companies are to blame for tor the tile fall fal shortages of coal In Salt Lake Mr Hopkins could see tee no rio norea reason rea on why these famines should occur with wih such persistent regularity The witness winess could not answer a question queston pertaining to the Rio Grande mines en enjoying enjoying enjoying special rates from the railroad company probable but thought it i not at all al im improbable improbable improbable P J Testimony P J QuealY and gen general general general eral manager of tho Kemmerer Coal corn com company OD pony pany wa the next witness The corn com company pany pan was organized under the laws of ot Wyoming in 1897 M 1 S Kemmerer and an Himself are aro the principal stockholder explained Mr Qu al The he witness began as a coal operator with the Rock Springs SprIng Coal company in 1875 This company compan be began began began gan by small parcels of land A Alease Alease Alease lease was obtained from Archibald Blair among others The rho mine was abandoned before the lease expired The Union Pa Pacific Pa Pacific Coal company went into Rock RockSprings Springs as asa a coal department of ot tho the rail railroad rai railroad road explained d Mr Quealy Mr 11 y after quitting the field went into the th business again with the and al leased teased land now owned by that company Before BeCore ilg into this the commission asked Mr r Quealy if i he had not operated in the meantime He answered In the affirmative saying sa with wih Fred W V Gray ho he became be am interested Int in the th Sweetwater district He H sold his interest In this proposition to SV V G Megeath of Omaha Omah and aNew n a Ne New York banker named Homed Lord J ord The rhe he witness said his old holdings with Wih the Vandyke arid amid Sweetwater ter properties arc are now flow owned by the Central Cc ral Coal Coke Cok company Mr Quealy was then permitted to proceed d with testimony t about the Kemmerer venture Mr Quealy said he has hns suffered Buffered no 10 groat great discomfort ls on Account pf gf car ar shortage He said he noticed some Bore short shortage short shortage shortage age last winter but this was wa nothing serious In answer to questions asked by y Attorney Marchand he said said sai he h knew ew Pur Purchasing Puro chasing o Agent F G Wheeler of ot the 0 O R H RN RN HN N but never had this mans namn cm cut his h s pay ay roll rol nor nm ever eyer save gave him W any rebates or r gratuities He Ho also denied that any rebate rebates had been furnished the Great Northern Norther which is also supplied oy ay oythe y the Kemmerer mines Witness Winess said the own stock in the tho Uintah Im Improvement Improvement provement company How ITow do you ou g get t mine connections was asked By asking for them answered tile tho 4 witness winess who then went went on to that In some Instances the railroad builds the tracks at the operators expense ana anjIn In others pays pa s half hal tho the expense Mr Quealy said the Kemmerer coal has mar mal markets In Utah and various places place on the Union Pacific system but b t denied that anything below tariff rates are paid on consignments In explaining a track con connection co connection necton made at dt the mines in Rock RockSprings RockSprings Springs SprIng Mr Quealy said the Union Pa la Pacific built bul the track track at hU lii hl expense e pense Wit Witness Wt Witness ness said sa d the Frontier Supply company was a Kemmerer concern Request R quest for Company nooks Counsel for the asked commission at tu tuU tills this U s juncture that the witness submit the tho books and the Kemmerer Coal ConI pa pay rolls roII rols be brought before the commission for inspection Mr Quealy said |