THE FIXING OF RATES ‘5
“To fix and determine by ordinance in the month of F ebruary
of each year, to take effect on the first day of July thereafter,
the rates of compensation to be collected by any persons, com-
pany or corporation in the City and County, for the use of water,
heat, light or power, supplied to the City and County or to the
inhabitants thereof, and to prescribe the quality of the service.”
The enforcement of such laws as these has, at times, proven
embarrassing to the public service corporations, and has given
rise to charges of corruption, to wrangling and to litigation,
unfortunate alike for the corporations and for the public. The
remedy has been sought in national and state control, this con-
trol being exercised through National and State Commissions.
The Interstate Commerce Act. — The Interstate Commerce
Act in line with this idea was approved on F ebruary 4, 1887.
The purpose of this Act may be stated as follows:
“ The principal objects of the Interstate Commerce Act were
to secure just and reasonable charges for transportation, to pro-
hibit unjust discrimination in the rendition of like services under
similar circumstances and conditions ; to prevent undue or un-
reasonable preferences to persons, corporations or localities; to
inhibit greater compensation for a shorter than for a longer
distance over the same line; and to abolish combinations for
the pooling of freight.” (Interstate Commerce Commission vs.
Baltimore & Ohio Railroad Co., etc., 145 U. S. 263.)
Public Service Control in Massachusetts. — The creation of
a Board of Railway Commissioners in Massachusetts in the early
sixties may be noted. A Gas and Electric Light Commission
followed in 1885. The Board of Highway Commissioners in
that State controls the Telegraph and Telephone Companies.
Public Service Control in California. — The Constitution of
California, which went into effect on Jan. 1, 1880, contained a
provision for a Railroad Commission. But its powers were lim-
ited and its work was not effective. By an amendment to the
Constitution in 1911 the powers of the Commission were more
clearly defined and its work speedily met with deserved approval.
By further amendment the powers of the Railroad Commission
were extended (Mar. 28, 1911) to all other public utilities so
Is:
