ished by a fine of not less than $100 nor more than $1,000 or by imprisonment in the county jail of not more than one year, or by both said fine and imprisonment. Same, sec. 5. D. AUTHORITY OF COMMISSION TO VISIT AND CONFER WITH OTHER REGULATING INDIANA When in judgment of governor expressed in a written order to commission, which order shall be entered of record in their minutes, it will better qualify the members of commission to discharge their duties, they or either of them designated in order of commission, may visit the railroad com504 mission of other cities or the interstate commerce commission or may attend the meetings of the national association of railway commissioners or the sessions of committees of such associations or the sessions of other railroad organizations having under consideration subjects which concern the duties of such commission. Acts 1907, ch. 241, sec. 2(a). KANSAS 505 Commission may confer with officers of other states and officers of United States on any matter pertaining to their official duties. Laws 1911, ch. 238, sec. 9. MICHIGAN Commission may confer by correspondence, by attending conventions, or otherwise, with the railroad commis506 sioners of other states, with the interstate commerce commission or with any other bodies considering any matters pertaining to common carriers. Pub. Acts 1909, no. 300, sec. 2(m). NEVADA Commission may confer by correspondence or by attending conventions or otherwise with the railroad commis507 sioners of other states and with the interstate commerce commission on any matters relating to railroads. Stats. 1907, ch. 44, sec. 1(m) as amended by Stats. 1911, ch. 193. 1 ALABAMA Commissioners on notice by the governor shall attend the meetings of the state board of assessment, and, if required, give such board all information they can that 501 will assist them in the assessment of taxes against persons or corporations operating railroads. Code 1907, sec. 5655. MARYLAND OHIO It shall be the duty of every public officer without exacting or receiving charge or fee of any kind to furnish to commission upon its application a certified copy 502 of any document or part thereof on file in his office, and no public officer shall be entitled to receive from commission any fee for entering, filing, docketing or recording any document required or authorized by law to be filed in his office. Laws 1910, ch. 180, sec. 9. Commission shall, whenever called upon by any officer, board or commission now existing or hereafter created in the state or any political subdivision thereof, furnish any data or information to such official, board or commission and shall aid or assist any such officer, board or commission in performing the duties of his or its office, and all officers, boards or commissions now existing or hereafter created in the state or any political subdivision thereof, shall furnish to commission, upon request, any data or information which will assist such commission in the discharge of the duties imposed upon it by this act. Laws 1911, no. 325, sec. 81. 503 NEW HAMPSHIRE Commission may confer by correspondence or otherwise with the public service commission or railroad commis508 sion of any other state and with the interstate commerce commission of the United States on any matters relating to railroads or public utilities. Laws 1911, ch. 164, sec. 2(n). OHIO 509 Commission may confer on any matters relating to railroads by correspondence or by attending conventions or otherwise with the railroad commissioners of other states and with the interstate commerce commission. Code 1910, sec. 500. OREGON Commission may confer by correspondence, or by attending conventions, or otherwise, with the railroad 510 commissioners of other states, and with the interstate commerce commission, on any matters relating to railroads. 1907, ch. 53, sec. 10. TENNESSEE Gen. Laws Commission shall, by correspondence, conventions or otherwise, confer with the railroad commissioners of other states and the interstate commerce commission, and from such persons from states which have no railroad commission, as the governor of such states may appoint for the purpose of agreeing, if practicable, upon a draft of statutes to be submitted to the 511 legislature of each state, which shall secure uniform control of railroad transportation in the several states, and from one state into or through another state, as will best subserve the interest of trade and commerce of the whole country, and said commission shall include in their annual report to the governor an abstract of the proceedings of any such conference or convention. Acts 1897, ch. 10, sec. 29. WISCONSIN 512 Commission may confer by correspondence or by attending conventions or otherwise with the railroad commissioners of other states and with the interstate commerce commission on any matters relating to railroads. Laws 1905, ch. 362, sec. 1797-1(m). CHAPTER III Basis of Rate Making SCOPE NOTE This chapter includes provisions prescribing that rates must be reasonable and indicating the various elements to be considered and the various devices that may be adopted by utilities and commissions in the establishment of reasonable rates. Provisions on valuation are here included because it is believed that the most important purpose of ascertaining the value of utility property is as a guide to rate making. For provisions authorizing commissions to regulate or prescribe rates, see ch. iv, on establishment and change of rates. For provisions requiring publicity in the establishment and change of rates, see ch. v, on publicity of rates. For provisions regulating rate making in practice, see ch. vi, on discrimination in rates and service. For provisions prescribing general procedure to be followed in the exercise of commission authority, see ch. xiv, on commission procedure and practice. For provisions prescribing general rules of enforcement and judicial review, see ch. xv, on enforcement. For general statement of scope and method, see introduction. ANALYSIS PAGE A. General requirements as to reasonableness of rates. 174 B. Elements to be considered as a basis for reasonable rates.. 185 C. Valuation of the property of utilities..... 190 D. Sliding scale, profit sharing, automatic adjustment, minimum charge and graduated charges.... 208 513 A. GENERAL REQUIREMENTS AS TO UNITED STATES All charges made for any service rendered or to be rendered in the transportation of passengers or property and for the transmission of messages by telegraph, telephone, or cable, or in connection therewith, shall be just and reasonable; and every unjust and unreasonable charge for such service or any part thereof is prohibited and declared to be unlawful; provided, that messages by telegraph, telephone or cable may be classified into day, night, repeated, unrepeated, commercial, press, government and such other classes as are just and reasonable and different rates may be charged for the different classes of messages. Act to Regulate Commerce, sec. 1. ALABAMA 514 515 516 Whenever passengers or property are transported over two or more connecting lines of railroad and the railroad companies have made joint rates for the transportation of the same such rates and all charges in connection therewith shall be just and reasonable and every unjust and unreasonable charge is prohibited and is unlawful; provided, that a less charge by each of said railroads for its proportion of such joint rates than is made locally between the same points on their respective lines shall not for that reason be a violation of this article, nor render such railroads or common carriers liable to any of the penalties thereof. Code 1907, sec. 5533 Charges made for any service rendered or to be rendered in the transportation of passengers or property or for any service in connection therewith or for the receiving, switching, delivering, storing or handling of such property, shall be reasonable and just. Same, sec. 5650. Any person or corporation operating a railroad who commits extortion in transportation charges must, on conviction, be fined not less than $10 nor more than $500. Same, sec. 7688. ARIZONA 517 All charges made, demanded or received by any public service corporation or by any two or more public service corporations for any product or commodity furnished or to be furnished or any service rendered or to be rendered shall be just and reasonable. Every unjust or unreasonable charge made, demanded or received for such product or commodity or service is prohibited and declared unlawful. Sess. Laws 1912, ch. 90, sec. 13(a). All rules and regulations made by a public service corporation affecting or pertaining to its charges or service to the public shall be just and reasonable. Same, sec. 13(c). CALIFORNIA COLORADO Provisions for public utilities identical with Stats. 1911, 1st. ex. sess., ch. 14, secs. 13(a), 13(c). All charges made for any service rendered or to be rendered in the transportation of passengers or property 520 in connection therewith shall be just and reasonable, and every unjust and unreasonable charge for such service or any part thereof is prohibited and declared to be unlawful. Laws 1910, sp. sess., ch. 5, sec. 3. FLORIDA If any railroad company or common carrier shall charge, collect, demand or receive more than a fair or reasonable rate of toll or compensation for the transportation of passengers or freight of any description, or for the use and 521 transportation of any railroad car upon its tracks, or any of the branches thereof, or upon any railroad which it has the right, license or permission to use, operate or control, the same upon conviction shall be dealt with as provided by law. Gen. Stats. 1906, as amended, sec. 2888. See also par. 249. GEORGIA For railroad corporations identical with Florida provision, except that "the same upon conviction shall be 522 dealt with as provided by law" reads "the same shall be deemed guilty of extortion, and upon conviction shall be dealt with as provided by law." Code 1911, sec. 2628. ILLINOIS A provision identical with par. 522. Revisal 523 1909, ch. 114, sec. 124. Any such railroad corporation guilty of extortion or of making any unjust discriminations as to passenger or freight rates or the rates for the use and transportation of railroad cars, or in receiving, handling and delivering freights, shall upon 524 conviction be fined in any sum not less than $1,000 nor more than $5,000 for the first offense; and for the second offense not less than $5,000 nor more than $10,000; and for the third offense not less than $10,000 nor more than $20,000; and for |