THE NEBRASKA INDEPENDENT. APRIL 2, 1903. FREIGHT RATES Tle Kenaedr BUU lauhtrd by the Railway Lobby Kaaacdy'a Kaaach Representative J. A. C. Kennedy of Douglas last Friday forced the rail road lobby to again show Its hand. The lobby had no trouble In beating him then, but, Kennedy sowed the seed which will some time result In the political death of a good many poli ticians who so joyously bowed, their necks to the railroad yoke, i As to what was done, we cannot Improve on . Harvey E. Newbranch's special correspondence to the World Herald. Under Lincoln date of April . Z, he said: ... Ominous of the approaching storm against railroad" compaQles that are ' exacting unjust and exorbitant freight rates from the people of Nebraska was the vote upon the Kennedy maximum rate bills taken in the house of repre- ; sentatives this morning. ' Though the railroad; lobby was on the ground in force: though the hiss of its whip was heard right in repre sentative hall; though the slave driv ers were beating their minions back into line by mam force,: still there were twenty-seven republicans ; who, on the first vote ; taken, dared stand out against the demands of the rail roads. And when the second vote was taken, though the lobby had in the meantime leaped , upon the re publican members as a tiger leaps upon , its prey, there still remained nineteen of them who stood firm for lower freight rates in Nebraska. But, while nineteen republicans voted with the f usionists for, the Kennedy bills, forty-seven republicans voted the dictates of their railroad masters, and the bills were lost : The republican ' vote for the bills was unexpectedly large. That it was large tells, eloquently, how . strong is the popular demand for ; protection from railroad extortion in Nebraska. But, more than this, it was a' deserved tribute to the splendid speech made by Kennedy, on the floor of the house, in advocacy of his measures; Though not much time , was occupied in its delivery, the ' speech was easily the most, convincing delivered during the session, and the facts and figures ad duced therein are destined to be a , valuable educational influence in the fight that is rapidly approaching. As soon as the house convened this morning Kennedy moved that house roll 421, directing the attorney gen eral to institute proceedings to en force as many of the schedules of the maximum rate law as possible, and house roll 451, creating a state board to have control of the regulation of freight rates, be advanced to the head of the sifting file. Discussing this motion, Mr. Kennedy proceeded direct ly to argue the merits of the bills. To do so he made a showing to prove that freight rates in Nebraska are ex orbitant, and that they can be re duced to those prescribed by the maximum rate bill and still leave the railroads with a high earning capac ity. He'produced a lengthy compila tion of Nebraska rates on grain, as compared with Iowa rates, to prove that Nebraska rates are from 50' to 75 per cent the higher of the two for the same distance. Here are a few of his illustrations: To ship from Hastings to Omaha over the Burlington & Missouri, a distance of 151 miles, costs 16 cents per 100 for wheat and 14 cents for corn. The Iowa rates for that distance is 91-2 cents for wheat and 7 9-10 for corn a difference of approximately 75 per cent in favor of the Iowa farmer. To ship from Kearney to Omaha over the Union Pacific, a distance of 199 miles, costs 16 cents for wheat and 11 cents for corn. The Iowa rate is 10 67-100 for wheat and 8 89-100 for corn. To ship from Grand Island to Omaha, over the i ame road, a dis tance of 156 miles, costs 16 cents for wheat and 14 cents for corn. The Iowa rate is 9 63-100 for wheat and 8 cents fcr corn. A' difference of from 50 to 75 per cent in favor of the Ipwa farmer. To ship from Norfolk to Omaha over the Northwestern, a distance of 119 miles, costs 14 cents for wheat and 12 cents for corn. The Iowa rate is '8 52-100 for wheat and 711-100 for corn. The difference is 70 per cent in favor of the Iowa farmer. To ship grain over the Missouri Pacific to Kansas City costs 50 per cent less than to ship to Omaha over the Burlington. For instance, from Falls City to Kansas City, a dis . tance of 150 miles, costs 8 1-2 cents on wheat and 71-2 cents on corn. The Burlington rate for the same distance in Nebraska is 14 cents on wheat and 12 cents on corn. Mr. Kennedy then went on to show that, as a result of charging these un reasonably high rates, the railroads are earning enormous profits. He il lustrated by taking the main line of The Burlington & Missouri in Nebras- tta, wmcn is m miles long ana on which, according to the last report to the state auditor, the net -earnings were 12,498,306 or 13.038 per mile. Canitaliziner the valiiA nf the rrad nn the basis of 4 per . cent, he showed that its value, based on earning ca pacity, is $312,288 per mile. And yet, he asserted, its reconstruction value is not to exceed J30.000 a mile the. differ ence in reconstruction value and earning value giving just an Idea of how much money the mmrtiirprs and consumers of Nebraska are contribut ing to the profits of the railroads. This same main line of the Burling ton is assessed by the state board for taxation at only $10,580 per mile. ' Continuing Mr. Kennedy said: "In the veara lkQl 1KQ nA 1002 'TjI erage of 2,242 miles of Burlington railroad In Nebraska earned1 $8,011, 308.37 net. after navim all legitimate operating expenses, repairs, better ments ana taxes, to say nothing of lobbyist eXDenses. This was nhsn- lutely clear profit to be devoted to paying interest on bonds and divi dends. It amounts to $3,572.27 net for every mile of Burlington line in Ne braska.'; At that time, on this show ing, the maximum freight rate law was. held in conflict with the four teenth amendment. "In the years 1899, 1900 and 1901 an average of 2,275.77 miles of line in Nebraska, earned $14,331,703.83 net af ter paying the expenses aforemen tioned. The increase in mileage was only 33.13 miles, or about 11-2 per cent The increase in net earnings was $6,320,395.46, or 78.89 per cent almost 79 per cent. The earnings per mile of line were $6,296.64, an increase of $2, 724.37 per, mile over the previous three-year period, or almost 76 per cent '.. . . "In theperiod of 1891-3 every man. woman and child in Nebraska contri buted about $8 of the net earnings of the Burlington-either directly or in directly. In the period of 1899-1901 this contribution was inrrpaspd tn about $14 for every man, woman and cnna an increased tax of $6 each, or W per year. "By the aid of juggled figures pre pared! by a , subservient republican board of transnortation working fnr their railroad masters it was as much as the federal court could do to find its way clear to hold the law bad at that ume. let the Burlingtons net earn ings were only S8.000.00f) in thro years now they are more than $14,- A Art I i l Ts. T vvu.uvu. uoes any reasonable man be lieve that those rates would be too low today under the improved con ditions? -"Other- roads will show a similar state of affairs. None but a man wil fully blinded to conditions can deny that the railroad earnings have in creased enormously, both by reason of increased traffic and by reason of covertly increased rate. "Owing to peculiar methods nf rail road bookkeeping the net earnings by no means tell the whole story. Oper ating expenses are now made to cov er betterments, which were formerly paia ior oy an issue of bonds. The Omaha station, for example, was doubtless paid for out of gross earn ings. We take the railroad figures, however, as reported to the state au ditor, and there is not a particle of doubt that the rates nresrriherf n tho maximum rate law are reasonable. ine Burlington has considerably less than half of the R.7nn uaa nf - w ) w v VI railroad in Nebraska, but if we as sume its earnings to be half of the to tal our calculations would be about like this: "In 1891-3 every man, woman and child in Nebraska contributed $16 to railroad net earnings say $5 a year for convenience. In 1899-1901 this contribution rose to nearly $29. hut. call it $9 a year to be conservative. "Twenty-flve dollars a year for the head of the family then $45 now." The republican railroad members made no effort to answer this speech. They sneered and ridiculed and com plained, and finally Thompson of Mer rick moved to lay on the table the mo tion to advance the bills. On the motion to table the vote resulted, ayes sy, nays 47, and it was lost Thirty nine republicans voted ave and twen ty-seven republicans and twenty fu- sionists nay. Tne vote was as fol lows: Ayes Bacon, Bartoo. Belden, Bur gess, Cassell, Christy, Coats, Cravens, Cropsey, Currie, Deles-Dernier, Det rick, Douglas, Ferrar, Ford, Gilbert, Good, Hanha, Harmon, Hathorne, Herron, Jones of Otoe, Jouvenat, Kerns. McAllister, Mendenhall, Mors man, Nelson of Pierce, Ribble, Rob bins, Roberts, Sadler, Shelly, Smith, Spurlock, Stetson, Thompson, Wilson, Mr. Speaker 39, all republicans. Nays Republicans, Anderson of Knox, Atwood, Caldwell, Fishback, Copsey, Cunningham, Davis, Gregg, Harrison, Hogrefe, Hunter, Jahnel, Jones of Richardson, Knox, Koetter, Mangold, " Meredith, Nelson of Doug las, Perry, Ramsey, Reed, Rouse, Spier, Sweezy, Ten Eyck, Warner, Weborg 27. Fusionists, Anderson of Kearney, Becher, Eggenberger, Fel lers, Fries, Gishwiller, Hoy, Johnson, Kaveny, Kennedy, Kittell, Loomis, McCulloch, Memminger, Mikesell, Shipley, Startzer, Thorpe, Trask, War ing 20. Total nays, 47. Absent and not voting Republicans, Anderson of Hamilton, Friedrich, Gel- wick, Holliet, Junkin, McClay, Mc- Lain, Riggs, Sears 9. Fusionists, Dobry, Shinstock, Tooley, Vlasak 4. lotal absent and not voting, 13. - By the time the vote was taken on Kennedy's motion to advance the bills the railroad lobby had whipped many bleeding and braised republican mem bers into line. In consequence there were but thirty-nine votes to advance, while there were forty-seven in op position. The republicans who had b:on prevailed upon to flop and vote with the railroads the second time, after having voted against them the first, were Atwood of Seward, Cun ningham of Hamilton, Hogrefe of Richardson, Hunter of Webster, Jones of Richardson, Mangold of Douglas and Ramsey and Spier of Gage. Rouse of Hall, after having led a great light for the Kennedy bills, and having voted right on the first vote, ignomin iously dodged on the second. Riggs of Douglas, who had been absent on the first vote, arrived in time to line up against the railroads on . the second vote. The fusionists who were present voted solidly for the bills both times. Of the absentees Dobry and Vlasak had been excused; Shinstock and Too ley must find another excuse. The republicans who voted on both roll calls for the Kennedy bills are these: Anderson of Knox, Caldwell of Clay, Copsey of Custer, Davis of Buffalo, Fishback of Clay, Gregg of Wayne, Harrison and Jahnel of Washington, Knox of Buffalo, Koetter of Douglas, Perry of Furnas, Reed of Johnson, Riggs of Douglas, Sweezy of Webster, Ten Eyck of Douglas, Warner of Lan caster and Weborg of Thurston. They Never Learn A giant? Yes. With all a giant's force And all a giant's patience in its use. With toil-bent form he takes his plod ding course, An object of coercion and abuse. He never thinks his Titan strength to loose . On those who drive him; but reserves it all To bear the world's great burdens; to produce At the behest of his oppressors small. He might be master, yet continues as ' a thrall. He is a social outcast, being po'or; Too humbled to proclaim his real worth, A sense of servitude he must endure From those of wealth and so-called gentle birth; And yet he makes the wealth of all the earth; The palace builds to beg before its gates; ' He lives in want and suffers from the dearth Of wealth and plenty he himself cre ates. He meekly bears it all and blames it to tie fates. He makes the mountain yield her store of gold, And yet its blessings are to him un known, He fills the land with bounties mani fold, Yet others reap the harvests he has sown. He, through his toil and industry alone, The wilderness into a garden turns; Yet others take the fruitage for their own. Greed beats him down and filches what he earns. He feels the wrong, but still the les son never learns. J. A. Edgerton. History and Suggestions Editor Independent: What has be come of the populist party, and what is the cause that she has come to the point where she is today? In all his tory of the United States, there never has been a new party started that elected one presidential efectorjn her first campaign, till in 1892, it&m -e populist party put their ticket sioJe field. We came out of that camtTN with seven states and ne fronrC. gon, or zz electoral voj-V; iectoft ma jorities to the legist ernors in some of thir congressmen and se: the controlling power in -ro .uw yov- tied fl J and I think we should have been satis fied with the result and kept up the battle single handed. I believe to day she would be the first or at least the second party; but when it came to 1894 it started fusion in the north with the democratic, and in the south with the republican party, then In 1896, they nominated Bryan and Wat son. After the republican party split up, and also the democratic party, one wing of the democratic and the sil ver republicans nominated Bryan, but not Watson; then the populist party split in two and wc had two populist parties. - I for my part never believed tha. the democratic Dartv could be re formed, but I did stay with the pop ulist party and voted for Bryan. Then in 1900 the sold democrats o? the re- organizers got control in most of the states and repudiated the Chicago and Kansas City platforms and at last when the plutocrats got about that Bryan would be elected, they trotted out Grover Cleveland to make that lit tle speech on that old fraud, tariff, which I believe was one of the causes that drove the most of the populists back in the republican party. Every body must admit that in '92 the .most strength of the people's party came from the republican and socialist par ties. There must have been something , wrong with the populist party in those states where they had control of state government or they would not have lost about, every state and will not be represented in the next congress and senate. , But it is no use to cry over the mistake that has been made; the question is, what should I done now, and so I will try to ex plain what I think. If you look over the platform of all the reform parties, there is very lktle difference, and if they expect to ac complish anything they should come together and see if they could agree . on a platform and . fight the battle " together under one banner. Suppose the St. Louis fair starts in April, there should be a conference called, say at St. Louis, Chicago, Omaha, Kansas City, or some other city not too far from St Louis, as the railroad will give reduced rates. The populist, socialist, social democrats, social la bor, union reform prohibition, woman suffrage, single taxers, also the so called Bryan democrats, the dissatis fied republicans and all the silver un ions should send delegations to that conference and see if they cannot agree on some basis and start a new, party, and agree on a name for the new party; also on the representation to the national convention and the date and place to be held. But the convention should be heM early in 1904, before the republican and reorganizer democrats' conven tion. The same should be done in al the state an4 county conventions and try to agree on a platform and every one should roll up his sleeves and work for it to win. I think the main plank should be the initiative and referendum as an amendment to the constitution. If that would be adopted every reform could be gotten, but not as it is today. We send con gressmen and senators to Washington but what are they doing? Nothing for the producers, but everything for th? plutocrats. There should be a plank for government ownership of rail roads, telegraphs, telephone, and coal mines; that would do more than all the trust remedies advocated by the republican and democratic parties The money should be issued by the government, whether gold, silver or paper, and not through the banks, as it is now done. The president, vice president, senators and supreme , judges should be elected by dire vote. Postal savings banks should be established; but the initiative and leferendum should be the main issue. Jw my pa would be satisfied if and tW thiDg else in the Platform and I think every true reformer has f admit and agree to it Now I wouM like to hear from some more able thinkers and writers , w sitions through lie Indei n x, AUGUST UHDE. Curtis Bay, Md. Chas. M. Bowen, Soldiers' Home Mich.: Can it be possible that the "reorganizes" will buy or capture the next Nebraska delegation to the "emo! cratic convention? It does seem as if Bryan could control it If not I am a populist hereafter. The Indepen dent is the very best paper in tfr world. (It is hardly likely that the "reorganizes" understand the task they have in Nebraska; at the same time the Bryan democrats must not be too confident Eternal vigilance is the price of liberty. Associate Editor.) Do you want to read the best books on political economy? Then write a card to The Independent today.