What act gives ICC the right to set rates for railroads?
The Hepburn Act
The Hepburn Act is a 1906 United States federal law that gave the Interstate Commerce Commission (ICC) the power to set maximum railroad rates and extended its jurisdiction. This led to the discontinuation of free passes to loyal shippers.
What did Interstate Commerce Act do?
On February 4, 1887, both the Senate and House passed the Interstate Commerce Act, which applied the Constitution’s “Commerce Clause”—granting Congress the power “to Regulate Commerce with foreign Nations, and among the several States”—to regulating railroad rates.
What did the ICC do in 1887?
Approved on February 4, 1887, the Interstate Commerce Act created an Interstate Commerce Commission to oversee the conduct of the railroad industry. With this act, the railroads became the first industry subject to Federal regulation.
What does the ICC regulate?
Interstate Commerce Commission (ICC) formerly regulated the economics and services of specified carriers engaged in transportation between states from 1887 to 1995. The Interstate Commerce Commission was the first regulatory commission established in the U.S., where it oversaw common carriers.
Why was railroad regulation needed?
The Interstate Commerce Act of 1887 is a United States federal law that was designed to regulate the railroad industry, particularly its monopolistic practices. The Act required that railroad rates be “reasonable and just,” but did not empower the government to fix specific rates.
What do ICC mean?
ICC
| Acronym | Definition |
|---|---|
| ICC | International Cricket Council |
| ICC | International Code Council |
| ICC | International Chamber of Commerce |
| ICC | International Criminal Court (Netherlands) |
What was the amendment to the Interstate Commerce Act of 1903?
Congress passed a minor amendment to the Act in 1903, the Elkins Act. Major amendments were enacted in 1906 and 1910. The Hepburn Act of 1906 authorized the ICC to set maximum railroad rates, and extended the agency’s authority to cover bridges, terminals, ferries, sleeping cars, express companies and oil pipelines.
When did Congress abolish the Interstate Commerce Commission?
Congress abolished the ICC in 1995 (see Interstate Commerce Commission Termination Act) and many of its remaining functions were transferred to a new agency, the Surface Transportation Board.
What did the Railroad Revitalization and Regulatory Reform Act of 1976?
The Railroad Revitalization and Regulatory Reform Act of 1976 (often called the “4R Act”) gave railroads more flexibility in pricing and service arrangements. The 4R Act also transferred some powers from the ICC to the newly formed United States Railway Association, a government corporation, regarding the disposition of bankrupt railroads.
Why was Congress reluctant to regulate the railroads?
Through the 1870s various constituencies, notably the Grange movement representing farmers, lobbied Congress to regulate railroads. While the Senate would investigate and report its findings and recommendations in 1874, Congress declined to step in, mirroring the lack of consensus in approach.