Chapters on the History of the Southern PacificDaggett, Stuart
History
Chapters on the History of the Southern Pacific
Daggett, Stuart
Pacific railroads -- History; Railroads -- California -- History; Southern Pacific Company
Reference was made to the English Railway Commission of 1873 and to the
Massachusetts Commission of 1869, and the Wisconsin experiment of 1874
was held up as something to avoid. The reply to this kind of objection
was that the power to control rates must be lodged somewhere, and that
the legislature was inexpert, slow to act, and subject to corrupt
influences.
Other Constitutional Provisions
The second decision of the convention was that a general prohibition
of discrimination should be placed in the fundamental law. The
clauses finally adopted provided that no discrimination in charges
or facilities for transportation should be made by any railroad or
other transportation company between places or persons, or in the
facilities for the transportation of the same classes of freight or
passengers within the state, or coming from or going to any other
state. In addition to this general prohibition, it was enacted that
persons and property transported over any railroad, or by any other
transportation company or individual, should be delivered at any
station at charges not exceeding the charges for the transportation
of persons and property of the same class, in the same direction, to
any more distant station. This amounted to a stringent prohibition of
greater charges for shorter than for longer hauls. Speakers opposed to
the discriminative clauses insisted that only unjust discrimination,
not all discrimination, should be prohibited, and pointed out that
the proposed law was unconstitutional in that it applied to commerce
between the states. Neither objection was sufficient to persuade the
convention that the proposals should not be approved.
Besides the fundamental clauses relating to a commission and those
prohibiting and defining discrimination, the Constitutional Convention
of 1879 forbade railroads to grant passes to persons holding any office
of honor, trust, or profit in the state; forbade them also to agree to
divide earnings with owners of vessels entering or leaving the state,
or, under certain conditions, with other common carriers; granted to
all railroads the right to connect with, intersect, or cross other
railroads; and provided that no officer or employee of any railroad
or canal company should be interested in the furnishing of material
or supplies to such company. One apparently important clause declared
that a railroad which should lower its rates of fare or freight for the
purpose of competing with any other common carrier, should not again
raise these rates without the consent of the governmental authority in
which should be vested the power to regulate fares and freights.
Act of 1880
Public-domain text, read in full here on John Shaqi.
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