gross earnings, lies one of the chief reforms really attainable in railroad management. It is to be remembered, also, that a fall in rates is by no means necessarily a fall of like per cent. in income, as illustrated by postage, by Georgia Railroads passenger, and by Savannah, Florida & Western passenger rates. Mr. Haines, the official, head of the Savannah, Florida & Western Railroad, in response to our Circular No. 1, of March 4th, 1880, appeared before the Commission. It is proper to remark that by his temporary absence, the Circular did not reach him promptly, so that there was some delay in his response to it. Meanwhile, any delay in our action would necessarily affect the whole operation of the tariff, not only on his road, but throughout the State. This explains the attitude of the Commission, which of necessity required promptness, as before explained. Mr. Haines presented his argument, and had a full and complete hearing. His presentation was excellent, and characterized by great clearness and power, and to a considerable extent was approved as to the principles included. The Commission differed from the views presented, however, in certain particulars. The valuation was regarded as too high. The following will show about the relative views of the authorities of the Savannah, Florida & Western Railroad on the one hand, and of the Commission on the other: Haines' views, from the gross earnings, as the result of the standard rates, leaving $800,000.00; then add $50,000.00 as the result of the increase of 20 per cent. subsequently made. These figures cannot, of course, be exact, but are approximate. Data for exactness in some particulars did not, and do not, exist. But the Commission accompanied its action by cir culars, indicating its readiness to review this action upon the presentation of sufficient data. It may have erred in its judgment; there was room for honest error; there was a difference of view in the Commission itself, as to the proper percentage to be added on the standard tariff of rates. But there was no intention to wrong any interest, nor to adhere to any error when shown to be such. The subsequent action of the board, from time to time, has illustrated the general spirit it has endeavored to cultivate, of candor and justice to all interests. Nor was this any mere afterthought. Their Circular No. 1, and their report were both written in advance of any complaint or suit. The circulars modifying rates, on the showing of the railroads, illustrate the desire of the Commission to conform, by closer and yet closer approximation, to improved information. The annexed table shows the general tenor of the reports made by the railroads, of the business of Jnne and July, 1879-80. It is to be remembered that even the light afforded by the operations of these two months is insufficient, and especially as to expenses, which are distributed through the year, according to convenience. Complaints are made also in the bill, of the Rules and Regulations of the Commission. These rules and regulations are directed against the chief matters of public complaint and legislative injunction, especially against unjust discrimination. Their object is to apply to communities as far as possible the same rule of im partiality as to individuals. There are great difficulties in the way, and conscientious efforts have been made to meet them. To some extent our action in the premises will be, perhaps, best explained by reference to our second semi-annual report, not yet complete, but a copy of certain portions of which is hereunto appended. (Exhibit In all these matters, so difficult in themselves, our judgments may have been often erroneous, but have been honest. Seldom, we believe, has a more painstaking and elaborate consideration been given to the problem, in all its length and breadth, or more anxious provision made for the correction of errors. We trust that patience and diligence will enable us to add something to the solution of the difficult and important problem. JAMES M. SMITH, Sworn to and subscribed before me this sixteenth day of September, 1880. [SEAL.] C. D. WOODSON, N. P. and ex-officio J. P., TABLES, Giving rates of freight on principal articles of production and consumption, charged according to published tariffs, by railroads in Georgia (over 75 miles in length), prior to the issuance of Commissioner's "Standard Tariff" for 10 miles, 50 miles, 140 miles, 200 miles, and 250 miles, and " Standard Tariff" rates on same articles and for same distances. Sav., Fla. & Western R.R...110 65 65 55 45 47 30 30 30 25 Comm'rs. Standard Tariff.. 57 34 27 22 19 18 34 40 40 40 55 20 15 Georgia R.R. & Bank'g. Co. 48 32 25 Sav., Fla. & Western R.R.. 90 65 45 35 30 21 15 27 06 75 15 10 20 6& 24 14 25 09 10 25 24 24 26 15 60 50 40 32 28 28 36 22 17 35 42 28 75 15 25 25 20 15 75 15 22 40 15 33 42 45 75 15 37 13 65 20 42 11 38 10 08 25 08 Fertilizers. |