Atchison Ry Co v. Railroad Commission of State of California Los Angeles Co v. Same Southern Pac Co v. Same

• Decision Date: 18 May 1931
• Docket Number: Nos. 470-472,s. 470-472
• Citation: 283 U.S. 380,51 S.Ct. 553,75 L.Ed. 1128
• Parties: ATCHISON, T. & S. F. RY. CO. v. RAILROAD COMMISSION OF STATE OF CALIFORNIA et al. LOS ANGELES & S. L. R. CO. v. SAME. SOUTHERN PAC. CO. et al. v. SAME
• Court: U.S. Supreme Court

283 U.S. 380

51 S.Ct. 553

75 L.Ed. 1128

ATCHISON, T. & S. F. RY. CO.

v RAILROAD COMMISSION OF STATE OF CALIFORNIA et al.

LOS ANGELES & S. L. R. CO.

v. SAME.

SOUTHERN PAC. CO. et al.

v. SAME.

Nos. 470-472.

Argued April 23, 24, 1931.

Decided May 18, 1931.

[Syllabus from pages 381-383 intentionally omitted Messrs. C. W. Durbrow, of San Francisco, Cal., and Frank Karr and Robert Brennan, both of Los Angeles, Cal., for appellants.

[Argument of Counsel from pages 381-386 intentionally omitted] Mr. Arthur T. George, of San Francisco, Cal., for appellees.

Mr. Chief Justice HUGHES delivered the opinion of the Court.

These are appeals from judgments of the Supreme Court of California, which affirmed an order of the railroad commission of that state requiring the appellants to construct a union passenger station in the city of Los Angeles, together with incidental connections, extensions, improvements and terminal facilities, in substantial compliance with the plan outlined by the commission. 209 Cal. 460, 288 P. 775.

Proceedings were begun before the state railroad commission in the year 1916, and in December, 1921, after two hearings, the railway companies were required to remove certain grade crossings and to build a union terminal within a defined area known as the Plaza site in Los Angeles. 19 Opinions, R. R. Com., Cal. 740; 20 Opinions, R. R. Com., Cal. 937. The Supreme Court of the state held that the order was beyond the power of the commission, because the subject matter had been committed to the Interstate Commerce Commission by the Transportation Act of 1920. 190 Cal. 214, 211 P. 460. The judgment was affirmed by this Court. 264 U. S. 331, 44 S. Ct. 376, 68 L. Ed. 713. The Court held tat t he relocation of tracks, which was incidental to the proposed union station, required a certificate of approval of the Interstate Commerce Commission under paragraphs 18 to 21 of section 1 of the Interstate Commerce Act, as amended by the Transportation Act of 1920 (41 Stat. 476-478 (49 USCA § 1(18-21)), as a condition precedent to the validity of any action by the carriers or of any order by the State Railroad Commission.¹

Pending the consideration of that case, a proceeding was instituted before the Interstate Commerce Commission by the city of Los Angeles to obtain an order requiring the three railway companies to build the union station at the designated place. That commission decided, July 6, 1925 (100 I. C. C. 421), that it was without authority to require the construction of the station. But, in order to facilitate the disposition of the case, the commission made certain hypothetical certificates substantially as follows:²

'(1) That the public convenience and necessity require the extensions of lines that may be necessary to reach and serve and union passenger station within the plaza which may be constructed in accordance with a lawful order of the State Commission and that may be necessary to provide for the incidental rearrangement of passenger and freight routes, and that the expense involved will not impair the carriers' ability to perform their duties to the public. (2) That public convenience and necessity permit the abandonment of train service on Alamenda street and such other abandonments of lines as would be necessary in connection with the establishment of any such station, so lawfully ordered by the State Commission. The report further found that such joint use of track or other terminal facilities as may be incidental and necessary to the proper operation of any such union station is in the public interest and is practicable, without substantially impairing the owning carriers' ability to handle their own business.'

In reaching its conclusion, the Interstate Commerce Commission made an extended review of the question of the expense involved. Stating that 'if a union station were built at the Plaza under substantially the plan presented by the California commission, the new money necessary to be raised, less the value of property released from passenger service, would be about $5,500,000. The total investment in passenger facilities under the Plaza plan would approximate $9,500,000.' 100 I. C. C. page 457.

After setting forth its findings upon the record before it, the commission reserved jurisdiction for the purpose of making such further findings and orders, and issuing such certificates, as should be warranted in the event that the plan of the state commission as finally evolved should be materially different from that 'as here considered to be in the public interest.' Id., 100 I. C. C. page 461.

Following this action of the Interstate Commerce Commission, the proceeding before the state commission was reopened. The action of the federal commission was submitted, hearings were had at which evidence was received, and, on July 8, 1927, the state commission made the order, which was the subject of the judgments now under review, requiring the building of the station within the Plaza area and the establishment of the connections, additions and facilities which that project involved. The state commission found that 'the present and future public convenience and necessity' required the construction of the union station, and that it could be constructed at a cost of approximately $10,000,000 in substantial com- pliance with the plan outlined, which was found to be in all essential respects similar to that considered by the Interstate Commerce Commission in its order above mentioned. 30 Opinions, R. R. Com., Cal. 151.

Petitions for final order were the pre sented by the city of Los Angeles and the state commission to the Interstate Commerce Commission. After further hearing the latter commission made its report, on May 8, 1928, adhering to the conclusions of its former report that 'public convenience and necessity' required the extension by the railway companies of their respective main lines in the city of Los Angeles 'so as to reach and serve a union passenger station and terminal which they may construct in the Plaza district,' pursuant to order of the state commission to that effect, with 'the abandonment of other portions of main lines to provide for incidental rearrangement of routes, and the abandonment of train service on Alameda Street,' and that 'such joint use is in the public interest and practicable, without impairing the ability of the carrier or carriers owning or entitled to the enjoyment of such track or tracks to handle its or their own business.' The Interstate Commerce Commission issued its certificate accordingly, but the petition for the issue of an order requiring the railway companies to construct a union station was denied. 142 I. C. C. 489.

Application was then made to the Supreme Court of the District of Columbia for a writ of mandamus to compel the Interstate Commerce Commission to consider the evidence introduced before it for the purpose of determining whether the commission should order the railway companies to build the union station, and, after consideration of the evidence, to make such an order as the facts required. Dismissal of that petition was reversed by the Court of Appeals of the District of Columbia (59 App. D. C. 81, 34 F.(2d) 228), and, upon writ of certiorari, this Court reversed the judgment of the Court of Appeals. This Court held that the Congress had not conferred upon the Interstate Commerce Commission authority to require the building of the station. 280 U. S. 52, 50 S. Ct. 53, 74 L. Ed. 163.

Referring to its former decision, the Court said (Id., 280 U. S. page 71, 50 S. Ct. 53, 57, 74 L. Ed. 163): 'The only issue there presented to this court was whether it was necessary to secure from the Interstate Commerce Commission its approval of the construction of a union station and the relocation of the connecting tracks proposed. The point in that case was the necessity for the acquiescence by the Interstate Commerce Commission in respect to a union passenger station. We held such a certificate to be necessary before a union station or connecting lines of interstate carriers could be lawful. That is all we held.'

Thereupon, the railway companies petitioned the Supreme Court of the state to review the order of the state commission requiring the construction of the station, and that court entered the judgments of affirmance from which these appeals have been taken.

The questions presented are solely those of constitutional authority. All questions of fact as to public convenience and necessity, and as to the practicability of the proposed plan, have been resolved against the railway companies by the proper tribunals. This Court had held that the state commission could not require the construction of the proposed station, and the relocation of connecting tracks, without the approval of the Interstate Commerce Commission. That approval has been given. This Court has also decided that the Interstate Commerce Commission has not been empowered to require the building of the station. That commission has not attempted to exercise any such authority. The question now is as to the authority of the state commission, in view of the action of the federal commission, to require the construction of the station with the incidental arrangement of tracks and facilities. The decision of the state court is conclusive so far as the constitution and laws of the state are concerned. The state commission has acted within the power conferred upon it. The only questions before us are those arising under the federal constitution and the Interstate Commerce Act.

First. The railway companies conten tha t the order of the state commission is repugnant to the commerce clause and is in conflict with the powers vested by the Congress in the Interstate Commerce Commission. The argument is that as to union terminal facilities, joint use of tracks and abandonment of lines, the Congress has occupied the field and that state authority has been abrogated. Northern Pacific...