350 RAILROADS IN CALIFORNIA. 



or concessions should be made in rates or facilities for transportation 

 to one locality which are not granted to all similarly situated upon 

 the same terms. 



The impropriety and impracticability of fixing unyielding and 

 inflexible rates for transportation by general laws, applicable to all 

 roads, or by special acts applying to particular roads, or classes of 

 roads, seems too apparent to need comment. The almost unlimited 

 differences in the condition of our roads, affected by location, grades, 

 curves, equipment, regularity of business, management, changes in 

 earnings caused by construction of branches by developing new in 

 dustries, opening new mines, or making new connections, and the 

 innumerable and diverse matters which come in to affect or change 

 their status for better or worse, but develop the folly of attempts to 

 regulate rate of transportation by inflexible law. Such acts, or 

 those intended to govern rates upon the basis of gross earnings or 

 net income, can be of but temporary value. They demand such 

 frequent changes, in order to be efficient or just, as to be of little 

 service, and fail to accomplish the purpose desired. Laws which 

 may be applicable and well adjusted to-day, may be quite the re 

 verse a few months hence. General laws fixing rates which may 

 rest lightly and not perceptibly affect the operation of roads well 

 located, with light grades, and well managed, would be quite op 

 pressive and burdensome to those less fortunate. A schedule which 

 would make the lowest practicable rates under which some of our 

 roads could do business and maintain an existence, would be far 

 above rates now charged upon other lines more fortunately situated. 



Laws fixing maximum rates, and intended solely to prevent ex 

 tortion or excess in charges, may be consistently enforced ; but the 

 adjustment of rates below this must necessarily be governed by the 

 results of experience and the dictates of enlightened judgment. 



The Massachusetts Railroad Commissioners recently, in effect, 

 complimented and indorsed the Granger movement in their ad 

 mission that it has established three important principles, viz : 

 The accountability of railroads to the public, as well as to their 

 stockholders ; the necessity and advantage of dealing equitably 

 with all men ; and the existence of a broad distinction between 

 a railroad corporation and a manufacturing company. 



CHAPTEE XXIV. 



EAILROADS IN CALIFORNIA. 



CALIFORNIA RAILROADS: ROUTES, LENGTH AND GAUGE SENATOR COLE ON THE PUB 

 LIC INTEREST IN RAILROADS MR. STANFORD S REPORT ON THE FINANCIAL CON 

 DITION OF THE CENTRAL PACIFIC THE RAILWAYS OF THE WORLD FUNDED 

 DEBT AND NET EARNINGS OF THE RAILROADS OF THE UNITED STATES. 



No STATE has a greater interest in the harmonious adjustment 



