The New York Public Service Act. PUBLIC SERVICE COMMISSIONERS. William R. Willcox, Chairman, Manhattan, New York; holds office until February 1, 1918. William McCarroll, Brooklyn; holds office until February 1, 1912. Edward M. Bassett, Brooklyn; holds office until February 1, 1911. Milo Roy Maltbie, Manhattan, New York; holds office until February 1, 1910. John E. Eustis, Manhattan, New York; holds office until February 1, 1909. SECOND DISTRICT. Frank W. Stevens, Chairman, Jamestown; holds office until February 1, 1913. Chapter 429 of the Laws of 1907, "An Act to establish the Public Service Commissions and prescribing their powers and duties, and to provide for the regulation and control of certain public service corporations and making an appropriation therefor," " became a law on June 6, 1907. Two Public Service Commissions of five members each were created by the Act, one with authority in the First District, which included the counties of New York, Kings, Queens and Richmond, and the other in the Second District, which included all the other counties of the State. The Act abolished the existing State Board of Railroad Commissioners, the State Commission of Gas and Electricity, the State Inspector of Gas Meters, and the Board of Rapid Transit Commissioners of New York City. All the powers of the Railroad Commissioners, of the Commission of Gas and Electricity, and of the Inspector of Gas Meters were conferred upon the Public Service Commissions. All the powers and duties of the Board of Rapid Transit Railroad Commissioners of New York City were conferred upon the Public Service Commission of the First District, The first Commissioners appointed are to hold office, respectively, until February 1. 1909; February 1, 1910; February 1, 1911; February 1, 1912, and February 1, 1913. Each of their successors are to hold office for a period of five years. The Governor is authorized to remove any Commissioner for inefficiency, neglect of duty or misconduct in office, giving to him a copy of the charges against him, and an opportunity of being publicly heard in person or by counsel in his own defence. The jurisdiction of the Public Service Commission of the First District extends to railroads and street railroads lying exclusively within that district, to any common carrier operating exclusively within that district, and to the manufacture, sale or distribution of gas and electricity for light, heat and power in that district. In addition the Commission of the First District is to exercise the powers heretofore conferred upon the Board of Rapid Transit Railroad Commissions. All jurisdiction not specifically granted to the Public Service Commission of the First District is granted to the Public Service Commission of the Second District. The annual salary of each Public Service Commissioner is to be $15,000; of their secretary, $6,000, and of their counsel, $10,000. The Act provides that every railway corporation shall furnish with respect thereto such service or facilities as shall be safe and adequate, and in all respects just and reasonable; and, secondly, that all charges made or demanded by any such corporation, person or common carrier for the transportation of passengers, freight or property, for any service rendered, or to be rendered, in connection therewith, shall be just and reasonable, and not more than allowed by law or by order of the Public Service Commission having jurisdiction, and made as authorized by the Act. Every unjust or reasonable charge made or demanded for any such service or transportation of passengers, freight or property, or in connection therewith, or in excess of that allowed by law or by order of the Commission, is prohibited. A railroad corporation, upon the application of any shipper tendering traffic for transportation, must construct upon reasonable terms a switch connection. Every common carrier is to file with the Public Service Commission having jurisdiction, and print and keep open to public Inspection, schedules showing the rates, fares and charges for the transportation of passengers and property within the State between each point upon its route and all other points thereon. The schedules are to plainly state the places between which property and passengers are to be carried, the classification of passengers, freight and property in force, all terminal charges, storage charges, icing charges, and all other charges which the Commission may require to be stated, all privileges or facilities granted or allowed. and any rules or regulations which may in any wise change, affect, or determine any part, or the aggregate of the rates. fares or charges, or the value of the service rendered to the passenger, shipper or consignee. Such schedules are to be plainly printed in large type; copies for the use of the public are to be kept posted in two public and conspicuous places in every depot. station and office of every common carrier where passengers or property are received for transportation in such manner as to be readily accessible to and conveniently inspected by the public. No common carrier, the Act says. "shall directly or indirectly by any special rate, rebate, drawback, or other device or method, charge, demand, collect or receive from any person or corporation a greater or less compensation for any service rendered or to be rendered in the transportation of passengers, freight or property, except as authorized in this Act, than it charges, demands, collects, or receives from any other person or corporation for doing a like and contemporaneous service in the transportation of a like kind of traffic under the same or substantially similar circumstances and conditions." The giving of free tickets, free passes, or free transportation for passengers or property, except to its THE NEW YORK PUBLIC SERVICE ACT—Continued. employees and certain other specified classes, or in certain specified cases, is prohibited. No common carrier is to charge or receive any greater compensation in the aggregate for the transportation of passengers, or of a like kind or property, under substantially similar circumstances and conditions for a shorter than for a longer distance over the same line in the same direction, the shorter being included within the longer distance. Upon the application, however, of a common carrier the Public Service Commission may, by order. authorize it to charge less for a longer than for shorter distances for the transportation of passengers or property in special cases after investigation by the Commission. Every railroad corporation and street railway corporation is to have sufficient cars and motive power to meet all requirements for the transportation of passengers and property which may reasonably be anticipated. Every railroad corporation must furnish to all persons and corporations who apply therefor and offer freight for transportation sufficient and suitable cars for the transportation of such freight in car-load lots." POWERS OF THE COMMISSIONS. Each one of the Public Service Commissions is to have general supervision of all common carriers, railroads and street railroads, and is directed to keep informed as to their general condition, their capitalization, their franchises, and the manner in which their lines owned, leased, controlled or operated, are managed, conducted and operated, not only with respect to the adequacy, security and accommodation afforded by their service, but also with respect to their compliance with all provisions of law, orders of the Commission and Charter requirements. Each Commission is given power to examine all books, contracts, documents and papers of any person or corporation subject to its supervision, and by subpoena to compel production thereof. Each Commission is to prescribe the form of the annual reports required under the Act to be made by common carriers, railroad and street railroad corporations. Each Commission is to investigate the cause of all accidents on any railroad or street railroad within its district which result in loss of life or injury to persons or property, and which, in their judgment, require investigation. Whenever either Commission shall be of the opinion that the rates, fares or charges demanded by any common carrier, railroad corporation or street railroad corporation subject to its jurisdiction are unjust, unreasonable, unjustly discriminatory, or unduly preferential, or in anywise in violation of any provision of law, it shall determine the just and reasonable rates, fares and charges to be thereafter observed and in force as the maximum to be charged for the service to be performed. And whenever a Public Service Commission is of the opinion, after a hearing, that the equipment, appliances or service of any common carrier, railroad corporation or street railroad corporation is unsafe, its members are required to determine the safe equipment thereafter to be in force, and prescribe the same by an order to be served upon the common carrier, railroad corporation or street railway corporation concerned. The Commissions are granted power to require two or more common carriers owning a continuous line of transportation to establish joint rates, fares and charges. The Commissions may order repairs and improvements to be made to tracks, switches, terminals, and motive powers in order to promote the security or convenience of the public. If, in the judgment of the Commission having jurisdiction, any railroad corporation or street railroad corporation does not run trains enough or cars enough, or possess or operate motive power enough reasonably to accommodate the traffic, passengers and freight transported by it, or it does not run its trains or cars with sufficient frequency, such a Commission may make an order directing any such corporation to increase the number of its trains, or of its cars, or its motive power. A uniform system of accounts for railroad and street railway corporations is authorized. Without first having obtained the permission and approval of the proper Public Service Commission, no railroad corporation may begin the construction of a railroad or street railroad. The Commission within whose district such construction is to be made is authorized to grant its approval when, in its judgment, the exercise of the franchise or privilege is necessary or convenient for the public service. No franchise to own or operate a railroad or street railroad may be assigned, transferred or leased unless the assignment, transfer or lease is first approved by the proper Commission. No railroad corporation or street railroad corporation is to acquire the capital stock of any railroad corporation or street railroad corporation unless authorized to do so by one of the Commissions created by the Act. Every contract for a transfer of stock by or through any person or corporation to any corporation in violation of the Act, it is declared, shall be void. Common carriers, railroads, and street railroad corporations are authorized to issue stocks, bonds, notes and other evidences of indebtedness when necessary for the acquisition of property, provided, that they shall have secured from the proper Commission an order authorizing such an issue. For the purpose of enabling it to determine whether it should issue such an order, the Commission concerned is to make an inquiry, and examine such books or contracts as it may deem of importance in enabling it to reach a determination. The Act says that "any common carrier, railroad corporation or street railroad corporation which shall violate any provision of this Act, or which fails, omits, or neglects to obey, observe, or comply with any order, or any direction, or requirement of the Commission, shall forfeit to the people of the State of New York not to exceed the sum of $5,000 for each and every offence; every violation of any such order, or direction, or requirement, or of this Act, shall be a separate and distinct offence; and in case of a continuing violation, every day's continuance thereof shall be, and be deemed to be, a separate and distinct offence." It is also made a misdemeanor for the officer of a corporation to violate the Act, or to procure any violation by any such corporation. Summary proceedings in the courts are authorized in the case of offending corporations. INTERSTATE TRAFFIC. Either of the Commissions may investigate freight rates on interstate traffic on rail. roads within the State, and when such rates are. in the opinion of either Commissions, excessive or discriminatory, or are levied or laid in violation of the Interstate Commerce law, or in conflict with the rulings, orders or regulations of the Interstate Commerce Com THE NEW YORK PUBLIC SERVICE ACT—Continued. mission, the Commission concerned may apply by petition to the Interstate Commerce Commission for relief. SUPERVISION OF GAS AND ELECTRICAL CORPORATIONS. Each Commission within its jurisdiction is given general supervision of all persons and corporations having authority to maintain wires and pipes along or under the streets of a municipality for the purpose of furnishing or distributing gas, or of furnishing or transmitting electricity for light, heat or power. The Commissions may ascertain the quality of the gas supplied, examine the methods employed in manufacturing and supplying gas or electricity for light, heat or power, and order such improvements as will best promote the public interest, preserve the public health, and protect those using such gas or electricity. The Commissions also may fix the standard of illuminating power and purity of gas, not less than that prescribed by law, to be manufactured or sold by persons, corporations or municipalities for lighting, heating or power purposes; prescribe methods of regulation of the electric supply system as to the use for incandescent lighting; fix the initial efficiency of incandescent lamps furnished by the persons, corporations or municipalities generating and selling electric current for lighting, and by order require the gas so manufactured or sold to equal the standard so fixed by it, and, finally, establish the regulations as to pressure at which gas shall be delivered. The Commissions are authorized to determine by investigation whether or not the gas sold is of the purity and quality required. The Commissions may require the corporations manufacturing gas and electricity to keep uniform accounts. The Commission is to require every person and corporation under its supervision to submit to it an annual report showing in detail (1) the amount of its authorized capital stock and the amount thereof issued and outstanding; (2) The amount of its authorized bonded indebtedness, and the amount of its bonds, and other forms of evidence of indebtedness issued and outstanding: (3) its receipts and expenditures during the preceding year; (4) the amount paid as dividends upon its stock and as interest upon its bonds; (5) the name of, and the amount paid as salary, to each officer, and the amount paid as wages to its employees; (C) the location of its plant, or plants, and system, with a full description of its property and franchises, stating in detail how each franchise stated to be owned was acquired; and (7) such other facts pertaining to the operation and maintenance of the plant and system, and the affairs of such person or corporation as may be required by the Commission. Any corporation which shall neglect to make such a report is made liable to a penalty of $100, and an additional penalty of $100 for each day after the prescribed time for which it shall neglect to file the same. Every municipality engaged in operating any works or systems for the manufacture and supplying of gas or electricity is to be required to make an annual report to the Commission showing in detail (1) the amount of its authorized bonded indebtedness, and the amount of its bonds and other forms of evidence of indebtedness issued and outstanding for lighting purposes; (2) its receipts and expenditures during the preceding year; (3) the amount paid as interest upon its bonds and upon other forms of evidence of indebtedness; (4) the name of and the amount paid to each person receiving a yearly or monthly salary, and the amount paid as wages to employees; (5) the location of its plant and system, with a full description of the property; and (6) such other facts pertaining to the operation and maintenance of the plant and system as may be required by the Commission. INSPECTION OF GAS AND ELECTRIC METERS. Each Commission is to appoint inspectors of gas and electric meters, who are to inspect, examine, prove and ascertain the accuracy of any and all gas meters used or intended to be used for measuring, or ascertaining the quantity of illuminating or fuel gas or natural gas furnished by any gas corporation to or for the use of any person, and any and all electric meters used or intended to be used for measuring and ascertaining the quantity of electric current furnished for light, heat and power by any electrical corporation to or for the use of any person or persons. The law says that "No corporation or person shall furnish or put in use any gas meter which shall not have been inspected. proved and sealed, or any electric meter which shall not have been inspected, approved, stamped or marked by an inspector of the Commission." The law also says that "No gas corporation or electrical corporation incorporated under the laws of this or any other State shall begin construction, or exercise any right or privilege under any franchise hereafter granted, or under any franchise heretofore granted, but not heretofore actually exercised, without first having obtained the permission and approval of the proper Commission.". The law further says: "No municipality shall build, maintain and operate for other than municipal purposes any works or system for the manufacture and supplying of gas or electricity for lighting purposes without a certificate of authority granted by the Commission." Act Prohibiting Money Contributions FROM CORPORATIONS FOR POLITICAL PURPOSES. BE it enacted by the Senate and House of Representatives of the United States of America in Congress assembled. That it shall be unlawful for any national bank, or any corporation organized by authority of any laws of Congress, to make a money contribution in connection with any election to any political office. It shall also be unlawful for any corporation whatever to make a money contribution in connection with any election at which Presidential and Vice-Presidential electors, or a Representative in Congress, is to be voted for, or any election by any State Legislature of a United States Senator. Every corporation which shall make any contribution in violation of the foregoing provisions shall be subject to a fine not exceeding $5,000, and every officer or director of any corporation who shall consent to any contribution by the corporation in violation of the foregoing provisions shall, upon conviction, be punished by a fine of not exceeding $1.000 and not less than $250, or by imprisonment for a term of not more than one year, or both. such fine and imprisonment in the discretion of the court.-Passed by Congress January, 26, 1907. State Legislation in 1907. The following statement of the more important legislation effected by State Legislatures in 1907 is a summary compiled, by permission, from the appendix to the address of the Hon. Alton B. Parker, of New York, president of the American Bar Association, at the annual meeting, held at Portland, Me., August 26, 1907. Forty-four State and Territorial Legislatures were in session during the year. Not only an unusually large number of States held sessions during the past year, Contrasted with but the bulk of legislation in each State is also decidedly greater. the thin pamphlets, which several years ago contained all the laws enacted in many of the States, the volumes of the laws of 1907 appear massive, containing in North Carolina Of course in 1.019 chapters, and in Maine 874 chapters covering 1,518 octavo pages. the States where such bulky legislation is found, the system of special laws for incorporation of companies and municipalities still prevails. State Government and Elections.-The general unrest and desire for change in political conditions is probably responsible for an agitation for alteration in State constitutions. During the past year the Legislature of Connecticut adopted by resolution an entirely new constitution which is to be submitted to the people of that State. Following the mandate of the people of the State as expressed last year, the present Legislature of Michigan provided for a convention to revise the constitution. No other States have new constitutions, but the desire for change was seen in a large number of individual amendments which were adopted by Legislatures this year and which are to be presented to the people for ratification at the next elections. In most of the States the seat of government is permanently fixed. It was, therefore, somewhat surprising to find in as old a State as California an act of the last Legislature changing the capital from Sacramento to Berkeley, subject to the approval of the voters of the State. An example of the general distrust of persons connected with public service corpora, tions, particularly railroad companies, was found in the action of the Wisconsin Legisla, ture in prohibiting district and city attorneys and judicial officers in that State from being employed by any common carrier. The agitation for the improvement of civil service and the removal of offices from the control of partisan influence is gradually spreading. Colorado provided for a civil service commission, which is to classify offices, conduct examinations, and certify appointments to fill vacancies. The law applies quite generally to appointive State officers. Legislative Bribery. The laws governing bribery were this year made applicable to State officers and members of the Legislature by an act of Minnesota, which includes in such bribery the receiving or agreeing to receive any promise or agreement whereby his vote or action is to be influenced, and specifically prohibits the giving of a vote in any manner in consideration that another member of the Legislature votes in a particular manner either upon the same or another question. The vocation of those persons who appear before Legislatures to advocate the promotion or defeat of legislation was restricted in many ways. The registration of all lobbyists, except those who appear only before committees, and the filing of expense accounts by those registered, was required by Missouri. In Florida any member of a committee may require that any person appearing before it state under oath the interest which he represents and whether or not he has been paid or promised any fee for his services. Idaho, Nebraska and South Dakota prohibited any person employed for the purpose of influencing legislation to do so except before the regular committees of the Legislature, or a meeting of the Legislature itself, or by written or printed arguments presented to such committees or to the Legislature. A growing distrust of Legislatures evidenced itself in various directions. No member of the Legislature under a new law of Idaho can be appointed during the term for which he is elected to an office created by the Legislature of which he is a member. This distrust is probably responsible for the movement in favor of the initiative and the referendum. The Legislatures of Missouri and North Dakota adopted constitutional amendments, subject to the ratification of the voters at the next general election, covering these subjects. An act in Montana carried out the recent constitutional amendment providing for the initiative and referendum. Under this act a bill proposed by an initiative petition is submitted directly to popular vote. The same would seem to be true under the proposed amendment to the Missouri constitution. Taxation and Finance.-In California an elaborate constitutional amendment recognized the principle of the separation of State and local taxes, imposed taxes upon public service companies, insurance companies, banks and trust companies, and provided that franchises shall be exclusively for the use of the State. The modern recognition of the difficulty of this subject and the need for expert assistance in the framing and administration of tax laws appeared in the creation of tax commissions. Their duties in general are to supervise the assessment and collection of taxes; to confer with the different local tax officers; to assess property of certain corporations which the law requires to be assessed as a unit by the State; to act as a State board of equalization; to collect information relating to the subject of taxation, and to recommend improvements in the tax laws of the State. The year saw the creation of such commissions in Alabama, Kansas and Minnesota. In North Carolina the Board of Corporation Commissioners was also made a Board of Tax Commissioners with general powers over taxation. In New Hampshire a tax commission of three persons for one year was provided with the object of studying the question of taxation and reporting thereon to the Legislature. North Carolina and Tennessee made a general revision of their tax laws. Railroad, express, sleeping car, telephone, telegraph, and other similar companies were as usual the subject of considerable tax legislation. A method which has been in use for a number of years is that of a percentage tax upon the gross earnings of such companies. This plan was extended this year to freight line and sleeping car companies in Minnesota and in Washington, to the taxation of private car companies and express companies. In Kansas a new law taxed express companies a percentage on gross receipts in addition STATE LEGISLATION IN 1907-Continued. to the regular tax on tangible property. Also the new general tax law of North Carolina provided for what is called a privilege tax on railroads, express, telegraph and telephone companies, which, in the case of railroads is a graduated tax per mile, depending on the earnings, and in the case of the other companies, a percentage tax on the gross receipts. The proposed amendment to the constitution of California subjects all public service corporations to a tax upon the gross receipts at percentages fixed in the constitution. It also provides that the provision shall be self-executing, so that no laws are needed to carry it into effect. Another and more recent method of taxing these companies is by assessment by some State board and by a tax on such assessment at the rate paid by the general property in the State. The year saw it applied to express companies by Massachusetts, Iowa and New Hampshire, and to sleeping car. dining and parlor car companies by New Hampshire. In North Carolina railroads, express, freight line, telephone, telegraph and other similar companies are to be assessed by a State board, but the value of the property is apportioned among the local units taxed at the local rates. The same method was adopted by Washington in the case of railroad and telegraph companies, and by South Dakota in the case of railroad companies. Under the Alabama act of 1907 the tax commission assesses the value of the intangible property of public service corporations, which are then taxed locally by the various units. Nebraska went still further in the direction of local taxation by an act subjecting the property of railroad companies, union depot companies, car companies and freight line companies, to assessment by the cities and villages through which they run. A somewhat peculiar method of taxation is found in Vermont and Florida; express companies in the former State being taxed eight dollars per mile of route, and railroad companies, in the latter State, ten dollars per mile. In the latter State the railroad companies are subject also to local taxation. As illustrating the efforts made to secure taxation of the franchises of corporations. we find during the year Alabama and Arkansas requiring a franchise tax from foreign corporations, based upon the amount of capital, and North Carolina providing for a franchise tax on the capital of all corporations, together with an ad valorem assessment of corporations by the State board with local taxation. Income Tax.-The difficulties which surround the proper assessment of an income tax have prevented its general adoption. The revision of the tax law of North Carolina provided for such a tax, which is levied on all incomes in excess of one thousand dollars, where the income is derived from property not taxed. The rate upon the excess over the exemption is one per cent. In South Dakota the people will, at the next election, vote on a constitutional amendment to cover this question. Inheritance Tax. The taxation of inheritances is becoming very general, and this year laws provided for direct and collateral inheritance taxes in Massachusetts. Idaho, and North Carolina, and for a collateral inheritance tax in Texas. The last Legislature of South Dakota adopted a resolution for a constitutional amendment in this field. Crimes and Misdemeanors.-Morality received considerable attention from the Legislators of the year. The passage of laws like that of Montana regulating advertising, the prohibition of bucket shops in Connecticut, Indiana, Iowa, Maine, Massachusetts. Nebraska, Michigan. Pennsylvania and Texas, with the power to cities to prohibit this species of gambling in Minnesota. the dealing in "futures" as prohibited in Alabama. Georgia, South Carolina and Florida, the prohibition of pool-selling upon horse racing in Tennessee and Arkansas, the prohibition of gambling in New Mexico and South Dakota, and the prohibition of houses for opium smoking in Connecticut, all indicate the careful supervision of the modern State over the morals of its citizens. Pennsylvania and Illinois prohibited the use of the United States flag for advertising purposes, and California punishes the unauthorized wearing of State or United States uniforms. Charities and Corrections.-The care of the insane has long been a recognized function of the American State. That the obligation of the State is not postponed until a person is insane in the strict sense of the term, but begins much earlier, was this year seen in legislation like that of Minnesota, which provides a hospital farm for Inebriates, and in the law of Kansas, which provides that not only may guardians be appointed for those who are insane, but also for the feeble-minded. those addicted to the use of drugs, and habitual drunkards. Maine, Oregon, and Rhode Island this year followed the example of many States by the creation of schools for the feeble-minded. Many laws relate to the child as a criminal and recognize that as such he is not to be treated as an adult. As the latest expression of this principle of the treatment of the youthful criminal, juvenile courts, either in the form of separate courts or in special sessions of the regular criminal courts, were provided during the year in Alabama, Missouri, Montana, Michigan, Oregon and Texas. As part of this movement for the supervision of children a law of New York provided for a State probation commission, which is to have general charge of the work of all probation officers. That reformation of a convicted criminal is always possible is the theory upon which rests laws of the past year like those of Arizona, Iowa and Washington, for indeterminate sentences, and for the suspension of sentence or parole of prisoners as provided in Indiana, Kansas, Montana, North Dakota, South Dakota, Illinois and Wisconsin. A somewhat novel method of securing reformation of criminals is found in an act of the Legislature of Michigan, where persons convicted of intoxication take a pledge for a period not exceeding one year, and during that time the judge may suspend the sentence. If it appears at any time that the prisoner is not keeping the pledge the sentence may then be executed. In Indiana, however, the Legislature evidently believed that the time within which reform in a prisoner may be expected is limited. An act provided that upon the third conviction for a felony the criminal shall be deemed an habitual criminal' and may be imprisoned for life. Another application of this theory and of the importance of heredity appeared in a law of the same State providing that upon the advice of two skilled physicians criminals or imbeciles whose physical and mental condition is such as to render inadvisable the |