Show IN fREIGHT RATES MENACES MENACES' r DEVELOPMENT Of UT AH'S INDUSTRIES t tl l f LOVING UVIN I TO SOAR UA H HERE UNLESS t l 1 MINO TA D I IS T TO STOP T r I A ADVANCE VAN I IN TA lff N MM Government to Meet Expenses May B Be Forced to Place lace Further Burdens Burden Upon the Consumer as Carloads of Products Will Be More Expensive to Ship Need to Battle Shown in Figures Figures Fig Fig- ig- ig ures as How I Increases Will wili Affect Citizens F EVERY HOUSEWIFE WILL WILL- PAY MORE FOR FOOD Suggestions Made as to Duty of to Stop I P Prohibitive Transportation Charges Killing v- v Trade Question of Railroad Control Control Con Con- jt ri Discussed 2 7 By E. E J J. David U UTAH r rAH AH today stands at the parting of the he ways She must mut decide whether she is going to assume f further rt r burdens which will increase the cost of living or whether she will fight victoriously a against the imposition of additional expense The question is S one which not only affects commercial and industrial undertakings but which involves every home every fam family ily By and all individuals It is far reaching and only united action can bring order out of chaos and put living conditions on a norm normal basis s RAISE IN FREIGHT RATES LOOMS In other words the p people ople of this state are now confronted with meeting a possible raise in freight rates The government in its operation of railroads for the four months ending April 30 JO lost approximately It It is still losing money and the deficit must be made up The people as a consequence will be asked to foot the ever eyer increasing bill y I After due consideration of the many an angles les involved in ail il road one is forced to the conclusion that the only only- I way in which the deficit can be balanced is by taxing the pe pl through the medium of raisin raising th the freight rat rates s by which sufficient en revenue may be obtained to inscribe a credit instead of a debit on oi the nations nation's ledger hedger in the operation of railroads EFFECTS EVERY HOME IN UTAH UfAH V With increased freight rates going into effect it naturally l y follows that the goods which are bought for the mill the factory the office the store and the home will cost more Consumers will willbe wilt I be struck a solar plexus blow f i iThe The people of Utah will suffer stiffer more than the residents nn tm t other states owing to the fact that this center of consumption consumption- i is l further removed from the base of manufacture The moral might here be drawn that economy of the right kind would prevail by demanding Utah made products and thereby stimulating home ma manufacture manufacture man man- 1 I which would provide for increased payrolls and a great greaf greater i r. r I and more prosperous state However Utah at present is unable I to fill the bill in so far as supplying all the necessities desired Is concerned j I While this state produces the raw maI material material ma- ma I In large quantity it has not notI blossomed to any great extent as a I manufacturing center As a a. consequenCe consequence conse conse- quence the citizens are compelled to I look 1001 outside of the state for tor the manufactured manufactured manu manu- manu manu-j article DEPLORABLE SITUATION i This it will b be admitted is a deplorable deplorable deplorable able situation Creation of or the situation situation situa situa- I tion is largely ely due to the prohibitive freight tariffs which have always ben been been In existence here and which have driven manufacturers to other sections II where more equitable rates prevail Utah can if it will only fight hard and determinedly enough cause fair freight I rates lates to prevail here and thus promote J i manufacture I It Is immaterial at this time as liS to which plan If 11 any will be adopted for future control of or the railroads The fact which stands out clearly at present present present pres pres- ent Is that the government needs more money to run the transportation The only logical method which will undoubtedly be employed to obtain I the desired ends will be to raise the I present freight tariffs I RESULT OF INCREASES Last June there was a general Increase in increase increase In- In I crease In freight rates of or 25 per cent Here are some figures to show how the Increases affected Utah I First class rates based on a consignment consignment consign consign- ment of pounds Increased on shipments shipments shipments ship ship- ments from New York to Chicago 2 22 cents to Omaha 40 cents and to Salt I Lake 85 cents I j the rate On agricultural Implements I Iper per car with Auburn N. N Y as the I shipping point Increased 13 to Chi 1 cago cage 26 to Omaha and 74 to Chi j Salt Lake On catsup with Rochester N K Y 1 as the shipping point the Increased rates provided for an addition of ot 39 to Chicago Chicago Chi Chi- cago consignees 75 to Omaha houses houses' and to Salt Lake F FISH SHIPMENTS Canned fish shipped from Eastport Me to Chicago cost 54 a car more moro Continued on page 8 INCREASE IN RATES MENAGE MENACE TO UTAH l' l Continued from page pago 1 1 to transport to Chicago 93 to Omaha and to Salt Lake nosIer Hosiery and underwear by the freight rate increase shipped from Utica to Chicago cost 45 a car more to Omaha 80 and to Salt Lake more mere Iron pipe large quantities of which are elIsed a In Utah now cost by the in increased increased in- in creased rates 44 more to ship from Pittsburg to Chicago 88 83 to Omaha and to Salt Lake MORE TO SALT LAKE Structural Iron and steel from Pittsburg Pitts- Pitts burS burg burSto to Chicago provide for an In- In craSe of or 2750 per car to Omaha 6 60 and to Salt Lake a car Machinery class A costs 21 2160 60 more morea a I- IC t C dr r to ship from New ew York to Chicago Chi Chi- Chicago cago cao than it did prior to the general advance of rates Omaha pays 3 33 60 0 perear per ear car more and Salt Lake has to assume as asBUrne assume as- as BUrne sume an additional expense of ot 94 SO p pel ear car These Theae are but a few tew figures taken at random and cited by H II w V ol ot the Traffic Service Bureau Dureau of ot Utah to snow o what increased freight rates meOn mD to this state IT HAS HAS' BEEN SAID THAT THE LONGER THE HAUL THE GREATER THE RATE SHOULD BE IN OTHER WORDS THE CONTENTION IS THAT THE COST OF FREIGHT SHOULD BE GAUGED UPON THE MILEAGE A P PROPORTIONATE RO P PO O R RATE MIGHT BE CONSIDERED FAIR UNDER CERTAIN CIRCUMSTANCES CIRCUMSTANCES CIRCUMSTANCES CIRCUM CIRCUM- STANCES BUT IN THE LIGHT OF THE ABOVE FIGURES IT WOULD SEEM THAT SALT LAKE CITIZENS ARE TAXED SIMPLY BECAUSE THEY LIVE IN SALT LAKE l It- It will be admixed admitted admi ed generally that when a car travels a a. certain distance on 1 7 a a transcontinental trip for in instance instance in- in stance that the expense for tor carriage in-I in is III met and that the car makes more than a fair profit judged on a basis of If rates from shipping point to desti desti- nation he contention has been ad advanced ad ad- that the proportionate rate is fair that fair that for instance Salt Lake should hould pay for its goods on a mileage basis judged on the rate to Chicago or Omaha or both However taking into consideration that the car travels farther in in a journey to Salt Lake than of course it does from New York to Omaha it is is reasonable to argue that the tho increase should not be judged so generally by mileage the farther the tho car travels Yet that appears appealS to be th the purpose of the the railroad administration It would seem eminently reasonable reasonable reason reason- able that if there is is an increase on a car rate from Pittsburg to Omaha of 88 the tariff the farther the car travels should be reduced and Salt Lake should not be compelled compelled com com- to pay pay increase or 88 83 more than the cars car's freight costs to Omaha Mr Ir contends that there should be general Jeneral taxation to adjust the situation He lie asserts that Utah Ind Industries and consumers are already paying more than a fair percentage of ot freight charges Another advance ance In his opinion may kill kil certain indus indus- tries There will of course b bC f certain certain tain commodities that will f be e able ablo to bear increased freight rates GUARANTEE BONDS Commenting upon upon the g general ad adanee advance advance ad- ad vance anee in Eastern classification terri tory tort In 1311 1911 th the interstate commerce commission issued a a. statement which Is la significant ant at this time in m view Ie of the much discussed possibility of ot an increase in rates The commission commis commis- sion aion said It would be much better better bet bet- ter for the tho government to guarantee the bonds hands meaning the bonds of the railroads than to permit the people and the industries of this country to bear the burden of increased transportation trans trans- charges If it was considered inadvisable at that time to Increase transportation charges charge it is doubly so now on account account account ac ac- ac- ac count of the fact tact that the rates have been en Increased and on account of the people suffering unduly from the high cost of living living- INCREASE OPPOSED Another reason why fr freight rates should not be increased he her hero 1 Ji a af at at- at forded in the fact that the lines serving Utah in 1918 showed an increase above standard return of more than per mile The standard return is ba based ed upon the net operating income of the roads for the three years rears ears prior to the assumption of federal control On Eastern lines which means the railroads east of Chicago there was a decrease in 1918 1913 of ot 2362 or that amount less than the standard return In the Southern district there was an increase of per mile While the West as a a. whole did not perform so o good as Utah or at least the railroads serving this state the tact is furnished that Western Vestern lines showed a decrease of 1 65 per capita tho the eastern lines a deficit of 3 08 per capita and the Southern district an Increase in increase increase In- In crease of 54 cents per capita BY THIS IT WILL BE OBSERVED OBSERVED OB OB- OB S SERVED E R V ED THAT WESTERN LINES ARE IN A MUCH HEALTHIER FINANCIAL CONDITION CONDITION CONDITION CON CON- THAN TH THE E EASTERN LINES IT NOW SEEMS THE INTENTION ACCORDING TO RUMOR THAT THE EASTERN LINES TO OBTAIN MORE REVENUE WANT TO RELY II UPON WESTERN LINES TO BOLSTER UP THEIR REVENUES REVENUES REVE REVE- SO THAT THEY MAY TURN THEIR DEBITS INTO CREDITS AT THE EXPENSE OF THE PEOPLE OF THE WEST PARTICULARLY THE CITIZENS OF UTAH WHERE RAILROADS EARN HUGE PROFITS It would not appear to be a wise proceeding proceeding pro pro- I to increase the rates to satisfy Eastern demands There would seem I to be strength given gi to Mr oIl s Mew I view that general taxation rather than more burdensome freight rates upon I the community would be better than hail increased tariffs In these premises DISCRIMINATION SHOWN There Is one fact that should not be lost sight of and that Is that Utah is unjustly discriminated against in the matter of ot freight rates The highest freight rates in the country prevail here without a shred of at justice to substantiate substantiate substantiate sub sub- their introduction much less their maintenance Now ow on top of oC this the ing upon the wall is to the effect that another general increase of rates will willbe willbe willbe be made effective It is up to every Utahn to fight tooth and nail against any further increase In rates here If It they are to be increased In Increased In in- creased they should be based on a a. foundation of ot justice such as does not now obtain RAILROAD CONTROL General remedies have been proposed proposed proposed pro pro- posed for railroad control In certain plans as submitted nations nation's legislators leg leg- There is the Plumb plan and the Warfield arfield plan and also the plan of the Interstate commerce subcommittee tee Doubt may be expressed as to whether any of the proposed plans will m meet with general favor The Plumb plan may be considered as the railroad railroad rail railroad rail rail- road workers' workers plan and the Warf Warfield ie plan as a a. guarantee for Cor the e holders of ot railroad securities ittes The Interstate ate commerce subcommittees subcommittee's beam plan undoubtedly undoubtedly undoubtedly un un- hits the mark to better advantage advantage ad ad- vantage for the general public than any other ao so far advanced Whatever plan is adopted should afford afford af af- ford protection to the shipper Dy Dr protecting the shipper the ensue consumer is protected and after all all It Is the consumer consumer consumer con con- sumer who has hat the principal right to tobe tobe tobe be heard and considered NEED PROTECTION Protection should be sought to prevent prevent prevent pre pre- vent an Increase In Utah's fr hl ht I rates While hUe this Is a a. local question it has a wide application in that Industries Industries in industries In- In will be allowed to develop others now practically dead will be resurrected and new manufactories will be attracted here The local freight transportation committee Is now at work seeking to obtain the Justice desired for Utah A fund has been pledged to agitate and fight tight for equitable tariffs so that Utah s trade may expand This committee committee committee com com- will undoubtedly fight against any increase crease In freight rates and contend contend contend con con- tend that Utah should be the last to tobe tobe tobe be touched by any new tariff order until the states more favored In better better better bet bet- ter freight Creight rate structures have been compelled to assume responsibilities under increased tariffs It therefore behooves every loyal citizen who thinks of his hia city his state and his home to use every legitimate means to combat any increase in in rates here By so do doing doing do do- ing he will help to be a commonwealth commonwealth common common- wealth builder and at the same ume time will help himself I Only by a generally united ac action action ac ac- tion in in battling against increased railroad transportation costa costs can it be hoped to prevent the cost COlt of I living soaring still till higher A remedy might be suggested at this time to cure the present unfortunate unfortunate unfortunate ills that affect railroad admin admin- and the public The remI remedy remedy rem- rem I edy lies lles In efficiency I It cannot be considered that the best efficiency has bas been brought into play to to meet the situation The railroads railroads railroads rail rail- roads could could earn more money if It In some cases they would accept freight at a lower cost of transportation EMPLOYMENT STOPPED It Is a well known fact that the shipping of low grade ore Is at present present present pres pres- ent practically prohibited due to the high freight rates The railroads by reducing the rates on low grade ore could obtain the business Ts would stimulate productivity and give employment employment employment em em- to thousands of men Another thing ho hould ld not be lost sight of Is that a a. government i guarantee of Income forms no Incentive Incentive tive Uve to railroad executives They do donot donot donot not go out after the business which they would get if it there were no financial financial financial finan finan- cial restrictions At pre present ent it does not matter if a a. road earns carps ten million million million mil mil- lion dollars or ten million cents The road receives the government guarantee guaran guaran- tee This destroys competition and good business ROBBERY THWARTED Re Recently the Harriman interests at attempted attempted at- at tempted to gain all the business of 0 the Denver Rio Grande and the the- Western Vestern Pacific railroads It was only through the white light of ot publicity given b by The Telegram that competition compe competition competition |