. Railroads, rates and regulation . lf centsfrom St. Paul, this latter rate being enjoyed also by Milaca,Princeton, Elk River, and Anoka. The rates on coal andother supplies from the East were likewise proportionatelyhigher than to St. Paul and these neighboring towns. Thespecific complaint in this case is of local discrimination. TheNorthern Pacific Railroad operates the long line between and the head of Lake Superior by way of Brainerd. Onthis business, passing through St. Cloud, it has to meet a ratecompelled at St. Paul by the competition of no less than threedirect lines to Duluth
. Railroads, rates and regulation . lf centsfrom St. Paul, this latter rate being enjoyed also by Milaca,Princeton, Elk River, and Anoka. The rates on coal andother supplies from the East were likewise proportionatelyhigher than to St. Paul and these neighboring towns. Thespecific complaint in this case is of local discrimination. TheNorthern Pacific Railroad operates the long line between and the head of Lake Superior by way of Brainerd. Onthis business, passing through St. Cloud, it has to meet a ratecompelled at St. Paul by the competition of no less than threedirect lines to Duluth. It avers that this business, taken eitherway for longer distances and at lower rates than are accorded 8 Int. Com. Rep., 346: reprinted in full in our Railway Problems,chap. XI. 236 RAILROADS to St. Cloud, in no way affects the rates at that point; andthat whatever it can earn as a contribution to joint expensesdecreases the burden of these upon St. Cloud rates. This isall entirely true from the transportation point of view; but,. viewed in a large way, the situation is altered. Wheat of localproduction about St. Cloud is rendered of less value by practi-cally the excess of the St. Cloud rate per hundredweight overthe rate enjoyed from St. Paul. The Interstate ConmierceCommission found that this was equivalent to a cUfference offully $1 per acre in the value of wheat lands tributary to St. LOCAL DISCRIMINATION 237 Cloud. And on the other hand, of course, the cost of all itssupplies is enhanced above the level of rival manufacturingcentres. On soft coal this equalled no less than eighty-fivecents per ton. To this the Northern Pacific replied that thediscrimination against St. Cloud was not of its creation, buthad existed before its entry into any St. Paul business byits indirect route. The Commission found, however, thatin fact the participation of this indirect line on St. Paul-Duluthbusiness did affect the short-line rate; and that its withdrawalwould at least tend to preven
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Keywords: ., bookcentury1900, bookdecade1910, booksubjectrailroa, bookyear1912
