Show OUTLOOK FOR COAL RATE DECREASE IS ENCOURAGING Utah tah Public Appears to Be Winning Fight With Railroads By E. E J. J David Before summer the price of coal to the consumer in Salt Lake City and I other points in Utah will be he decreased according to the trend of or events before the state public utilities commission which is hearing the application of ot the m railroads for an increase in freight ht rates on fuel and the protest of the city of Salt Lake and Ogden den and private private vate interests which seek Beek a decrease Hearing of the application of the railroads has concluded and the commission commission com corn mission is now dealing with the protest protest pro pro- test of ot the cities and firms which will willbe willbe I be followed by a a. hearing of the ap- ap of ot the protestants for tor a reduction reduction reduction tion in the rates The hearing g has hag developed that the present rates here are altogether too toc high in comparison with the tariffs I prevailing in m other parts of ot the coun coun- try The railroads have not attempted I Ito to show the reasonableness leness of ot the rates rate I they ask to be put into effect It is to be doubted that even en assuming assuming assum assum- ing for one moment that the application application tion of ot the railroads was granted that the Denver Rio Grande railroad t would make more money than at pres pres- ent On the contrary the opinion prevails prevails prevails pre pre- vails that the company compan would gain less revenue than at present The advance in the rate might mean that revenue at present gained on movements of ol coal COl north of Ogden would be lost b by reason of more advantageous rates to the consumers from the Wyoming coal coalfields coalfields fields in which case the Oregon Short Line would benefit at the expense of ot the tho Denver Rio Grande Aside from this question of railroad operation the public generally i Is in involved Involved involved In- In in the application and it will fight tooth and nail against any an any in increase increase increase in- in crease being being- granted It is safe to say at this time that the railroads will not succeed in their application on ac account account account ac- ac count of not only failing to show the reasonableness of the rates sought but also owing to the fact that they have made no effort to indicate that the tariff is reasonable The commission on the evidence adduced adduced adduced ad ad- so Sc far is bound to act as it must always act within the confines of the law as expressed in the public utilities act It must determine the question of reasonableness which is of or paramount importance If the railroads refuse to show or only attempt to show that the rates are reasonable the commission commission commis commis- sion sian has baa no recourse but to ignore the application of the railroads in n en en- The basis of the whole matter rests on the reasonableness of ot tho the rates The protestants claim and furnish proof In support that the rates far from being reasonable are arp utterly unjust and form forman an unfair burden on the community Why should not the same rates apply in Utah as in Montana This is i a fair I question which no railroad man will argue Stephen H. H Love president of the Traffic Service Bureau of Utah and traffic manager of the Utah Idaho Sugar Company avid and the Z C. C M. M J. J testified testified tes tes- titled at yesterday afternoon session that he saw no reason why rates should I be much higher here tI n in Montana This opinion is that of ot all men men who study freight r rates Mr Mi- Love ass assorted I that the commission should see sea to It that Utah got as good g rates as those in other states state This view will be he bel echoed b by every ri right ht thinking person In the state who has the welfare of Utah at heart From ton Arming to Helena Mont Is a istance of miles The rate rale on a aton aton aton I ton of coal moved for fOI that distances distance Is For a similar distance from the Castle Catle Gate group of mines Utah to Salt Lake City the rate is and the railroads want it advanced to Where Is there any justice much less reason reacon about such an application Surely if a railroad can transport a tonof tonof ton tonof of coal for miles in Montana at it can do the tho same in Utah Mr Lo Love said that operating conditions were not more difficult on the Denver Rio TIlo Grande In Utah than on the Northern pacific and the Great Creat Northern Northern North North- em ern in Montana Every railroad man manIn manIn manIn I In the West knows that this is true Even if such were not the case cas It is isan isan isan an acknowledged fact that the structure structure ture turo of a freight rate Is not built upon a consideration of railroad operation While traffic experts arc agreed upon this point they are also as one in the statement that density of traffic is a factor which must b be considered a question which is emphasized in al at all matters pertaining to the adjustment of tariffs when tal taken en up by the national body tIme body the i Interstate commerce com corn mission This brings one to the point that the density of traffic on the Denver Rio i Grande out of or the Castle Gate district is much greater than that on the lines leading from the coal fields in Montana Mon Mon- i tana On this point therefore it Is Js I logical to assume that the rates should be less in Utah than In Montana and it it is unfortunate that they are not One is forced to the conclusion from these circumstances that the rates as asked by the protestants in their fight j against the railroads should be lower Tower It Is to be assumed that the protestants wished to be conservative but their conservatism might have led them to the conclusion of requesting a lower tariff than that sou sought ht Another feature that should not be lost sight sig-ht of is that the Denver Rio Grandes Grande's ratio of operating expenses to earnings was considerably less in 1916 than in 1915 according according- to the last annual annual an an- nual anal report of the railroad as read by Mr Love before the commission I 1 think said Mr Love that the tho rates should be lower I r think that the rates are unreasonably high except on the tho lines to Idaho Yes the rates should be lower and they will be lower A reduction at this time would be acclaimed with popular favor and would Indorse the appointment appointment appoint appoint- ment meat of the three commissioners as one of ot the best actions ever t ou out outto outto to free this state from the big things thing that own Utah W. W S. S McCarthy vice Ice president o othe ot of the tha Traffic Service Bureau of Utah also representing the Salt Lake Hardware Hardware Hard Hard- ware company and the tho 1 Manufacturers Association of Utah was al also o on the stand He testified as to the unreasonableness of the present rate and filed flied an exhibit In support of his coniS conte conIs con- con te Is a bulletin bulletin entitled entitled Cheap Coa Coal by hy the Commercial Commercial Commer Commer- cial club traffic bureau of Salt Lake In 1909 It shows that less than twenty b. b years ears ago the Rio Grande Western Railway company was content with a freight rate on coal from Clear Creek to Ogden miles mUes of 75 cents a ton The Rio Grande railroad now gets a ton on coal hauled for fOl a distance thirty miles mUes from less from the he Castle Castlo Gate group of mines to Salt Lake miles Despite the apparent low price compared compared com corn pared with the tariff at present prevailing pro pre va ili ng the company made huge profits It is admitted that cost of labor and equipment have advanced but the fact should not be lost sight of that the fuel hauled has Increased more than per cent and that the revenue gained has been out of all proportion to the charge which should be made It is to be hoped on the tho evidence already al already aT- aT ready given and that which will be ad adduced adduced adduced ad- ad that the commission in justice to the people of this state will order a reduction in freight rates to conform with the wishes or thIS o of the community The Tho people ask f for r only that to which they are entitled entitled tice |