Space Basis Act

The Space Basis Act authorized the Interstate Commerce Commission to determine fair and reasonable rates of compensation to be paid, upon a space basis, for the transportation of mail and any service connected therewith.

The 1916 Annual Report of the Long Island Rail Road stated:

The Post Office Appropriation Act for 1916 provided for the final settlement of the railway mail pay question by the Interstate Commerce Commission. Space basis on trial was inaugurated November 1, 1916, resulting in an increase in mail pay on your line of about $30,000 per annum. This is subject to fluctuations due to changes being made by the Postmaster General in the authorized space. A complete record of mail handled and service performed will be taken between March 27 and April 30, 1917, and the facts submitted to the Interstate Commerce Commission, which will then pass final judgment upon the method for computing compensation for mail service and the rate of compensation.[1]

References
  1. Long Island Rail Road, Annual Report (1916), p. 15.


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