TEST QUESTIONS These questions are for the student to use in testing his knowledge of the assignment. The answers should be written out, but are not to be sent to the University. 1. How many commercial organizations can now be found in the United States? 2. What is the purpose of a chamber of commerce? 3. How does transportation affect the growth of a city? 4. Explain the organization of the traffic bureau of the New York Merchants' Exchange; of the Chicago Association of Commerce. 5. What equipment is necessary for an up-to-date traffic department of a board of trade? 6. Explain the work of the transportation department of a chamber of commerce. 7. How is the transportation department to be financed? THE TRAFFIC FIELD PART IV PUBLIC UTILITY COMMISSION WORK J. H. KANE Formerly Transportation Rate Expo 1inois State Public Utility Commission, Springfield, Ill. PART IV PUBLIC UTILITY COMMISSION WORK State and Federal Regulation Problems-Incorporation- ganization-Administration-Oklahoma Plans-Rate De- STATE AND FEDERAL REGULATION PROBLEMS At a very early date, it became apparent that the government-federal, state, and municipal-should exercise some control over transportation enterprises and other public utilities operating within their respective domain, in order to prevent discrimination and abuse. For that purpose, the majority of the states have created public utilities or railroad commissions which are charged with the administration and enforcement of the state laws respecting transportation instrumentalities. Federal control is expressed in the Act to Regulate Commerce, which is administered by the Interstate Commerce Commission. The creation of these bodies has added another attractive field in which the proficient traffic man may dispose of his services, tho, in some instances, it is unfortunately true that commissioners are chosen for their party affiliations rather than for their knowledge of transportation conditions. In most jurisdictions, however, the system of making purely political appointments has been largely discarded, and a certain fitness for the position is required of the applicants. The scope of the activities of these commissions differs widely in different states. In one state, a commission may be vested with authority to inquire into only certain phases of railway operation, while in another, the authority vested contemplates all transportation activities. The problems which come before commissions of the latter type may fall into any one of the following divisions: (1) problems of incorporation, (2) problems of construction, (3) problems of operation, (4) problems of compensation, and (5) problems of legislation. As regards the various states, public utility regulations are not concerned totally with matters pertaining to transportation, but any other items of public welfare, such as telegraph and telephone companies, water and electric light companies, gas companies, local street traction companies, elevated and subway lines, grain elevators, and warehouses, are subjected to review by commissions. Incorporation In the promotion of new transportation enterprises, a comprehensive investigation is necessary to determine the merits of the project. The country is replete with evidences of ill-advised railroad construction. Transportation companies of the same or of a different type have been permitted to construct lines parallel to those of existing companies in an area that could support only one company adequately. In France, before a charter of incorporation is granted, the projection of the railroad is intelligently |