IN LARGE MEASURE REMEDIED by the act of 1879, and adequate provision made also for such a report, so that the parties can stand on a level. mode of proceeding for convenience and adaptation, the act stands! The Tilley case has plowed and cross plowed the whole field for objections, but in vain. In the provision by which the rates of the A residual remedy remains, however, still to Commission were made sufficient evidence-that be provided, viz., an improved mode of reviewing the action of the Commission, when bona term, sufficient, has been construed to mean jide believed to be erroneous by any party in- simply, prima facie, in accordance with the view terested-railroad, citizen or community. of both parties-so construed by counsel for complainant, and counsel for defendants. One Suppose a tariff made by the Commission, in remaining point of objection has been removed their judgment just and reasonable, but in the by the adoption by the Commission of a rule honest opinion of the officers of the railroads as to notices, which settles the mode of prolower than is just and reasonab'e, and not prop-ceeding more satisfactorily. Thus the strong erly remunerative; or in the opinion of some citizen or community as too high, or discriminating unfavorably against such citizen or locality. Does the law as it stands sufficiently provide for testing the question? Perhaps not, so fully as it might. It is true that the Commission itself is always open for a new trial, and that without formality. But aside altogether from pride of opinion, or other fault, an error of judgment is not easily cured in those who make it, and so an appeal to some outside tribunal is usually the safest mode of securing a fair re-hearing. Such an appeal is that which lies from the Superior to the Supreme Court. Although the three Judges of the latter court are the very last resort, yet the parties to other cases have first had a hearing before a different tribunal, and it requires a concurrent judgment of two fairly disposed tribunals to reach finality. As the matter stands, parties are not without the right of appeal to the courts, but the remedy is not sufficiently obvious and attainable. If any doubt of this right of appeal ever existed it has been settled by the Tilley case. Under that decision the day in court exists, and the action of the Commission is as stated heretofore a report as to just and reasonable rates presumed to be correct until the contrary is established. The remedy, so far as the citizen is concerned, features of the law referred to in our first report as thumb-screws have been so construed as largely to obviate the objections, and allow to the railroads their desired day in court. It remains to make the provisions for appeal more complete and satisfactory. As the law stands the action of the Commis sion is made prima facie evidence of what rates are reasonable and just; let it so continue until the contrary is decided, but provide for excep tions to it. In case of dissatisfaction with the action of the Commission, let any party inter ested, whether citizen or city, or railroad, file exceptions against the same, specifying the grounds of such exception, as if to a report, by a Master in Chancery, to the court in which they are filed. If filed by a citizen, city or community, let it be in the name of the State for the use of A B vs. the Railroad Company in the county in which an action would lie for any excessive charge. If filed by a railroad company, let it be the When the exceptions are filed let it be the their action in the particulars complained of, duty of the Railroad Commission to certify with any other action explanatory thereof, and decision. is far better than it was prior to 1879. The any comments or remarks they may think remedy for the railroad even now, without proper to submit, showing the grounds of their change of the act, is far better than the citizen's ever was. But it is capable of some improvement, and should be perfected as far as possible. THE REMEDY is chiefly declaratory. With some small amendments, of a declaratory sort, showing the If the parties waive a jury, let the proceed ing be at Chambers. The Attorney or Solicitor General to represent the State, if defendantthe party complainant to represent his own case, and the court to give such damages as it may think just, as in claim or other like cases for a proceeding found to be frivolous or vexa- | way questions was universally acknowledged. tious. Let the penalty and damages before a decision by the courts be so qualified as to make the amount less, and let the penalty be graduated by the gross income of the road for the preceding fiscal year, say a certain per cent., instead of by a fixed sum for all roads, large and small. A penalty upon officers would really best meet the case, as they are really the derelict parties. The stockholders are scarcely capable of controlling the action, and so are innocent. Let the scienter be part of the offence-i. e., let the charge include knowingly and wilfully. Occurrence. It is a difficult matter to balance off counsel -expert vs. expert. Fees for the Solicitor or Attorney-General should be provided; and the Governor authorized to engage assistance when necessary. But this would probably be of rare On the whole, very generally, with a properly constituted Commission, the safety of all interests would finally be felt to rest in its decisions, as safer from its constitution than a jury, and more specially educated than the courts, and so the inclination would be to appeal To rather than FROM it. The Commission were not jesting nor acting a part when, in their first report, they referred to their deep sense of responsibility in the exercise of the large powers conferred upon them. And it will be with a profound sense of relief that they will see such a clear right of appeal as will relieve them from the anxieties of a tribunal once regarded to be strictly of the last resort as well as the first. No member of the board has failed at some time to feel an oppressive weight of anxiety. Summary proceeding is important, because neither the railroads nor the public can well afford to go on with their daily business, not knowing what they are to receive and pay, in their constant mutual transactions. Neither of them can understand its business nor regu late its affairs, expenses, and prices, without this knowledge. The inexperience of the Commission has been commented on. How much will the experience of a jury for a half day mend the matter? The railway and canal act of 1854 had been administered by the Court of Common Pleas with indifferent success. Indeed, with respect both to main and through traffic, considered irrespective of "undue preference," this act had been a complete failure, not a single successful application having been made. And although the decisions of the courts between different classes of traders had been satisfactory in principle, and there was no reason to suppose that any tribunal specially constituted would come to sounder conclusions, it appeared that questions of fairness of charges were matters of administrative policy rather than simple questions of law, and could be better and more cheaply investigated by a special tribunal acquainted with the subject. The committee, therefore, after pointing out that a Board of Trade is not sufficiently judicial, a court of law not sufficiently informed, and a parliamentary committee not sufficiently permanent, recommended the appointment of a Railway and Canal Commission," to consist of not less than three persons of high standing, of whom one should be an eminent lawyer, and one a person well acquainted with railway manage ment.". The bill "followed the recommendations al most verbatim, and became the regulators of railways, act, 1873." Among other provisions, "Railway Commissioners are absolutely prohibited from holding railway stock of any kind." The act provides (225) that "for the purposes of this act the Commissioners shall, subject as in this act mentioned, have full power to decide all questions, whether of law or fact," and after naming certain exceptions that "save as aforesaid, every decision and order of the Commission shall be final." The decision of the Commission may be made the Rule of a Superior Court, in order to its legal enforcement by proper officers. They are empowered, if they think fit, to state a case in writing for the opinion of any Superior Court, determined by the Commissioners upon any question which, in the opinion of the Commissioners, is a question of law. Thus the law of Georgia is evidently not the wild and unprecedented action sometimes alIn 1872 "the necessity of the establishment leged, whether by analogy with the English of a special tribunal to deal with certain rail-law, or by the decision of a United States Judge. The British law on this general subject is to be found in Hodge on Railways, from which we make some extracts: The sensible views here expressed, as the re- | subject of legal regulation of railroads, and sult of long British experience, have largely in the justice of some of these decisions we probeen incorporated into the Georgia law. Under bably would not concur. They are merely efit, as it stood, and far more as herein proposed forts to escape former legislation ultra vires, by to be amended, the rights of railroads are more harsh and strained legal decisions now. facile for appeal, and less subject to three men than in Great Britain. At last, however, three men, that very objectionable number, must decide the law. The right of exception brings up a great case of Interpleader, using this term in its popular sense, which will first be heard before the Commission itself, and the appeal be to the Courts for a rehearing, if desired. Pending suit, the rates stand for all parties; men cannot stand at a ferry for rates, they must settle and pass on. So at a train. In the Tilley case the Savannah, Florida and Western got the benefit, and the people had to suffer. In that case the objection being to the want of jurisdiction, the old rates were kept of force until the jurisdiction had been sustained. Now the decree has settled the matter, the onus has been changed, and the new rates are observed as prima facia correct. The form of citation or notice issued by the Commission is not such as we would prefer, but such as the exigencies of the case render necessary. It works as hard on one party as on the other, and the practical exigency cannot be evaded. If it can, we shall be glad to adopt any reasonable method. We have dwelt thus far entirely upon remedies, and the right of review. A few other points of less consequence are to be presented. The mode of PUBLICATION provided by the act is expensive and cumbersome. It was not embraced in the act as originally framed. If the mode were left to the Commission, to publish in their best judgment for economy and efficiency, it would be a great gain to the State, and no loss to the public. It now costs $56 to make the smallest change an excessive and unnecessary expense. It would be well to allow the Commission to take testimony by interrogatories, as well as orally, providing that the clerk of any Superior Court could issue them, returnable to such Court, and through its clerk to the Commis sion. The subject of taxation is too large, perhaps, to enter upon just now. The decisions on this head are even more surprising to the common mind than on the But there is much room for improvement here. It is frequently asserted that $60,000,000 is the value of the railroad property of Georgia. On what do they pay tax? In our second semi-annual report we referred to the subject of the Secretary's salary. We beg leave respectfully to repeat the suggestion, and to say that in our opinion the services of a person fit for the position are worth not less than the usual salary of the State House officers--$2,000 per annum. We append hereto a statement of office expenses, and of other necessary expenses, chiefly of printing. The suggestions herein made do not pretend or assume to be exhaustive. If there be any other matter on which the views of the Commission are regarded as desirable, they will be cheerfully and promptly given. The object of the law, guided by the Constitution, is to improve legislation and remedies by prunings or additions from time to time to supply defects, or rectify errors. It is desired to make a closer and closer fit in the adaptation of the established organization to its duties. Perhaps the work still before us of classification and of more careful information as to the condition and operations of the railroads will keep us busy enough for some time to come. Other duties also will engage our attention, in the way of revision. Our work is to act as the organ of the State in the regulation of the railroads by just and reasonable rates, rules and regulations. It is not our part to attend (save by suggestions in our Reports) to the Legislature or the press. We cannot be blind to the relative power and determination on the part of the railroads to impress their views and policy on legislation, as compared with the scattered and unorganzed general Public, who have no organ to represent them in this relation, so important and all pervading. The General Assembly, as the Representatives of the people-and all their interests, individual and corporate-is to weigh and determine upon the proper legislation, and how fast and far to go, and how to protect all inter-eral Public goes by default. It is too diffuse ests; and see to it that the want of special and unorganized to meet their organized corpleading by the Public does not result in any porate assault. It is as helpless as a body of detriment to its true welfare. Outside pressure stockholders, in the presence of this compact in the interest of TRANSPORTATION is not balpower. anced off by any similar pressure in the interest of PRODUCTION. Save in your own body, the case of the Gen We turn next to the subject of railroad information. PART IV. THE CONDITION AND OPERATIONS OF THE RAILROADS IN GEORGIA. Our object has been to give—and we will yet give a view of the railroad situation in Georgia, so broad, systematic and comprehensive as to guide wise legislation, and our own action, in determining what rates are just and reasonable, and what rules and regulations necessary in the premises. To do this, we must have correct estimates, especially of value and net profit, and the means of verifying the same, with perfect and trustworthy accuracy. We intended, also, to publish the details for each road, for the benefit of the parties especially interested and for our own guidance in equalizing and nicely adjusting benefits and burdens, and the adaptation of each tariff to each road. To this end, we had the forms of a blank report all ready to be filled, and they would have been given (as they yet will be) upon satisfactory returns by the railroads generally. The returns, we are satisfied, always need to be scanned and compared carefully, in order that the exact information needed may be extracted and be worthy of confidence. This is all important. Circular Letter. OFFICE OF RAILROAD COMMISSION, ATLANTA, GA., April 15, 1881. DEAR SIR: The Commission desire to print in its next Report a full table exhibiting the conditions and operations of all the railroads of the State, comparing the operations of the ten months ending February 28, 1881, month by month, with the corresponding ten months ending February 28, 1880. Will you please to co-operate with this board in making its Report as complete and accurate as possible, by filling out the blanks accompanying this circular, and by furnishing any additional matter which may seem to you desirable to be mentioned in regard to your own railroad? The Commission, indeed, would be glad to have a historical sketch, as suggested in the "Company Table," pages 2 and 3, and in the order there presented, of (1) the inception of the enterprise; (2) its progress and (3) completion; (4) the sources from which the capital stock was derived; (5) the amounts subscribed in the cities and counties along the line; (6) Compare, for example, the estimated values the State aid received, and (7) in what form; of the railroads of the State for other purposes, (8) the subsequent enterprises in which your with the tax returns to the Comptroller-Gen-road has co-operated; and any other like ineral, and it will be seen that careful compari- formation. sons pay. The hope of the Commission is ultimately If valuations are so unreliable and variable, to be able to present valuable and interesting are rates less so? To carry out our purpose, a letter, accompaing Form 10 (the system of Reports by the Railroads to the Commission), was sent to each road, of which the following is a copy: historical and business tables, exhibiting the rise and progress of the railroad interest in Georgia; its influence upon trade and production; upon the value of land and of city property, etc., etc. new. This must be a work of time, it is true, but | the old tariff of rates, and the last under the the Commissioners will be pleased to have it so borne in mind, that questions not now answered may hereafter be. They wish to have a large and liberal view of the whole railroad situation, and of the original and present relations of the various railroads to one another. They are aware that the questions asked are numerous, but believe none of them unimportant, and that their value and the appreciation in which the information is held, will increase with time and reflection. The reasons for this view are set forth especially in that portion of the Report referring to book-keeping, and they are of evergrowing importance. If necessary, one or more of the Commissioners will, at some future time, visit your general office to aid in arriving at the needed information. It is the earnest desire of the Commission in the discharge of their duties to get rid as much as possible of guess-work, and of the influence of what has been designated the personal variation, or natural bias, and to have all the facts and figures necessary for reaching results by calculation. These reports are needed in this office by the last day of the present month. Please to read carefully the printed "Explanations and Instructions," page 1, and answer as fully as may be practicable by that time, and then return the book of forms, whether the answers are complete or not. When the answers cannot all be furnished, the following are the most important questions: * * * * If you can furnish passenger reports to a later period than the 1st of March, they will be useful. With much respect, yours very truly, JAMES M. SMITH, Chairman. To this letter, dated April 15, a list was appended of the more important questions, and answers requested by April 30-soon extended to May 10. Further extensions were granted, but still the replies have not been general nor adequate. Our objects-besides those already given of comprehensive tables, showing the condition of the roads as a whole and special tables for each road—were to show the comparative results of the operations of the roads to May, 1880, and then to May, 1881-the first results being under Only a few roads in the State make annual reports with any fullness of detail. Also, to see the relative passenger earnings under the new and old rates. Also, to see the distinction between through and local freight, so as to see how far the Commissioner's rates affected traffic, and how much was independent of them. The responses to the letter and system of reports by some of the roads was all that we could ask or expect. Other roads were slow to respond, and unsatisfactory in the information furnished, both as to matter and form. No other road furnished a better statement than the S., F. & W. That of the W. & A. was also excellent in most respects. Some of the smaller roads did their best. The returns of a number of roads were utterly inadequate and meagre; sometimes almost amusingly so; references were sometimes made to such a mass of reports as to recall our illustration of the distinction between a pile of bricks and a house. There seemed to be a shyness like that of certain elderly persons about telling their age, or like the evasiveness with which the census enumerators were occasionally met, especially in old times. Whether it was simply a struggle against regulation of law, or a determination not to expose the mistakes of the past-the errors of youth-at all events the answers were not surcharged with point blank information. If not intended to deceive, they were not calculated to enlighten. Indeed, in some cases the authorities indulged in criticisms on the method instead of answers to the questions. When once answered, the information will speak for itself, and bear the test of criticism. Quotations from the answers would justify some severety of comment on our part, unless, indeed, they affected fhe public mind with amusement at their thoroughly non-committal character. Perhaps this is not to be wondered at. Our difficulty is not other than that of the State General, to get at the correct tax returns. It itself endeavoring, through the Comptrollerhas been for years the settled policy of Georgia, on which successive General Assemblies have tried their skill, to place railroads on the same level as to taxation with individuals; with little success, however. It seems difficult for |