Provinces. In 1830 a Mr. Ward, a publisher, petitioned the Nova Scotian
House of Assembly to be relieved from the charges on his newspapers. A
Committee of the House, which considered the matter, found that under
the Imperial Acts it was no part of the duty of the Deputy
Postmaster-General to receive or transmit newspapers, other than those
received from Great Britain, and that the Deputy was therefore justified
in making the charge complained of. They found also that sixty years
earlier the Deputy made a yearly charge of 2s. 6d. on each newspaper
sent by post, and that at that time all editors acquiesced in the
charge. At the same time the Committee regarded the charge as so
undesirable that they recommended the House should grant a sum to
remunerate the Deputy for his services in transmitting newspapers, in
order that the charges might be abolished.
The Deputy Postmaster-General in the Lower Provinces was himself a
publisher, and it was alleged that he was interested directly or
indirectly in every newspaper published in Nova Scotia, with the
exception of two, with the result that, while all the newspapers in
which he was interested passed free of postage, the two outsiders were
made to pay. The Deputy Postmaster-General himself seemed to think the
arrangement was best kept in the background. When questioned by the
House of Assembly, he adopted a reticent attitude and made equivocating
statements. He gave particulars purporting to show the amounts paid as
postage in respect of certain newspapers controlled by him, and on
further interrogation by the House of Assembly admitted that the
journals paid no postage.
Meanwhile, publishers in both Lower and Upper Canada also were working
for the abolition of the Deputy Postmaster-General's privilege. In
December 1830 a publisher of Montreal, Mr. R. Armour, approached Sir
Francis Freeling, declaring that the subject might eventually involve a
question of high constitutional importance, viz. "to what extent the
Post Office of Great Britain is authorized by law to regulate the
internal Post Office establishments of the Colony, and to draw a Revenue
therefrom." He received no satisfaction from Sir Francis Freeling, who
replied that the charges were "the long established and authorized
perquisite of the Officer in question (the Deputy Postmaster-General)
and that all Newspapers circulated by post in British North America
otherwise than under his privilege are liable by Law to the charge of
the full rates of Postage."
Mr. Armour then petitioned the local Legislature, and towards the end of
the year a Committee of the House of Assembly was appointed to consider
the whole question of the management of the Post Office in the province
of Lower Canada. The Committee found it impossible to obtain any useful
information concerning the finances of the service from the Deputy
Postmaster-General, Mr. T. A. Stayner, whose attitude was a source of
much irritation, resulting in great intensity of feeling both against
the privilege of the Deputy and the administration of the service from
London.
In 1832 the publishers in Upper Canada, who were working in concert with
the publishers of Lower Canada, also succeeded in obtaining the
appointment of a Committee of the House of Assembly. This Committee, in
its Report, challenged the legality of any postage charge whatever
raised in the province under authority of the British
Postmaster-General.
In 1833 the publishers in Nova Scotia submitted a petition to the King,
but obtained no satisfaction.[311]
In the Lower Provinces there was a sentiment in favour of the free
transmission of newspapers, which had been encouraged, if not originally
induced, by the circumstance that for a considerable period the holder
of the office of Deputy Postmaster-General for those provinces, Mr.
Howe, took little trouble to enforce the payment of that postage which,
when paid, was his perquisite, preferring to forgo the proceeds rather
than incur the risk of odium which might attach to any attempt to
enforce his privilege.[312]
In 1842 Mr. Edmund Ward, the publisher of the _Federation Sentinel_,
petitioned the Lieutenant-Governor and House of Assembly in New
Brunswick for the abolition of the postage rate on newspapers, on the
grounds that it was illegal, a tax on knowledge, and of no benefit to
the public revenue, since the proceeds were retained by an official
already adequately remunerated for his services. The petition was
submitted to the Home authorities; and the Solicitor to the Post Office
advised that, since the Act of 1837 repealed the Act of the 4th of
George III, cap. 34, the charge on newspapers made by the Deputy
Postmaster-General in North America rested on no legal basis, and long
established usage and custom was the only justification for allowing
newspapers to pass by post at less than the legal rate. The House of
Assembly in New Brunswick also took up the question on their own
account. Like the Nova Scotians, they were anxious to facilitate the
distribution of newspapers. They regarded the charge for postage as an
odious tax on knowledge, and in 1844, in a joint Address to his Majesty,
recommended its abolition.
In 1842 the House of Assembly of Nova Scotia also petitioned for the
abolition of postage on newspapers and pamphlets, contending that the
proceeds of the postage rate, which was collected from the country
districts, on which it lay as a heavy burden, did not benefit the
general revenue, since they were appropriated by the Deputy
Postmaster-General, and that the newspapers were well-nigh the only
vehicle of information in the province. In reply, the British
authorities pointed out that since pamphlets were charged as letters in
England, the Treasury could not sanction free transmission in the
colonies; moreover, even with the existing rate, the number of
newspapers sent by post was increasing so rapidly that it was becoming a
matter of some difficulty, on account of the bad condition of the roads
in the province, to provide for their transmission from place to place.
Free transmission was therefore not conceded; but in July 1844 certain
changes were made in the general system of rates, and the Deputy
Postmaster-General's newspaper privilege was withdrawn, a uniform rate
of 1/2d. per sheet for transmission to any point in Nova Scotia, New
Brunswick, Canada, and Prince Edward Island being established.
When the Post Office service throughout British North America was
unified and transferred to provincial control, the then existing rates
of postage on newspapers and pamphlets were continued, but power was
reserved to each Legislature to authorize transmission within its
respective province free of postage. By virtue of this power Nova Scotia
in 1852 abolished altogether the rate of postage on newspapers, taking
pride in the fact that they were the first authority in British North
America to grant the boon. New Brunswick soon followed suit. But the
result of this, coupled with the reduction in letter postage at the
unification, was adverse to the finances of the service in these
provinces. For several years the accounts showed a deficit, which was
met by the provinces cheerfully as a contribution of no less value than
contributions made for roads, bridges, and schools.[313]
In connection with the changes introduced at the time of the
Confederation, a charge for the transmission of newspapers by post was
made general throughout the federated area. The charge met with
considerable opposition from the Maritime Provinces, which thus lost the
boon of free transmission.[314] It was justified as nothing more nor
less than a simple charge for freight, the remission of which would be
to offer a bounty to a particular industry. The possibilities of
usefulness of the Post Office would, it was argued, be greatly reduced
if the service were loaded with the burden of the gratuitous
distribution of newspapers throughout so vast a country; since, if from
the diminution of revenue which such a course must produce, the
department were forced to look to Parliament for assistance, Parliament
would be disposed to discourage the establishment of new offices in the
thinly settled districts, where it was of the greatest importance that
they should be found.[315]
The arguments of members from the Maritime Provinces were somewhat
diverse. They said there was an essential distinction between letters
and newspapers, in that letters were private communications between
individuals, while newspapers were in some measure the organs of
communication between the Government and the people, and furnished the
only means by which to acquire that acquaintance with the law which
everybody was presumed to possess. Newspapers occupied a similar
position to that of schools, and presented one of the easiest channels
of enlightenment. In many cases, for the ordinary folk no other means of
education were open. On them the tax would be an imposition which might
be contrasted, it was said, with the favour accorded to the commercial
and wealthy classes by the reduction in the postage on letters.
It was further argued that in the existing state of the Dominion, owing
to the presence of a certain amount of sectional feeling and mutual
hostility between different portions of the country, which could be
attributed largely to the lack of that sort of information which
newspapers could provide, it would be folly to hinder the freest
possible distribution.[316] Moreover, a postage charge would fall
unequally. The large towns and thickly populated areas would be able to
obtain their papers by means of the railroad or other agency at little
cost; but the outlying districts, which ought to be treated with special
favour by the Legislature, would have no alternative to the payment of
postage. The large newspapers would be able to distribute their issues
by express, while the smaller ones would be compelled to use the post.
The "tax" would yield only some $25,000 a year in Nova Scotia; and for
such a paltry sum it surely could not be wise to levy this "tax upon
knowledge," which "of all the heavy burdens laid upon Nova Scotia was
the most oppressive."[317]
These arguments were ineffective, and a rate which averaged half a cent
a copy was imposed. In 1875 the rate was modified, and made a bulk rate
of 1 cent a pound, an extremely low rate. The average weight of
newspapers at that time was so small that, in the case of certain
typical papers selected by the Government for the purpose, it was found
that the numbers required to make up a pound were from ten to fifteen.
In 1874 the total yield under the old rate had been only some $36,000.
The new rate was therefore likely to yield only some $6,000 a year, and
the advocates of free transmission argued that as such a small sum would
hardly be worth the trouble of keeping the accounts, the Government,
having gone so far, might well have taken a step further and abolished
altogether the postage on newspapers. The Government defence was that
the rate proposed was the lowest possible, and to mail free the papers
published in the various parts of the Dominion would be to impose too
heavy a burden upon the public treasury.[318]
The Canadian people had only to wait a few years for the boon. In 1882
an Act was passed "to provide for the free transmission of Canadian
newspapers within the Dominion." No discussion on the measure took place
in Parliament, and authoritative statements of the reasons inducing the
adoption of so generous a policy are not to be obtained;[319] but in
well-informed quarters it is held that, in general, the leniency shown
to newspapers is not due solely to the acceptance by Parliament of the
arguments usually advanced in their favour, plausible and convincing as
they probably are to many minds, but has always been dictated more or
less by fear of the political power wielded by them; or, what is really
the same thing, as a result of direct pressure at Ottawa by the
newspaper proprietors, based on their influence with the electors or the
chiefs of parties, and exercised in their own interests.[320]
In this view, the ultimate step taken in 1882 marked no concession to
popular sentiment, but the climax of the power of the newspaper
interest, and a consummation for which they had long striven.
At the same time the total abolition of postage on newspapers was in
accord with the widespread feeling, which had from an early period found
expression in the Legislatures of the Canadian provinces: the feeling
that newspapers are of great educational value, especially in new
countries and in countries with an extended franchise, such as had been
the Canadian provinces almost from their first organization; that in
such countries it was necessary to educate the sovereign people; and
that newspapers afforded the best and most practicable way.[321]
During the period of free transmission, which continued some seventeen
years, the number and gross weight of newspapers sent through the post
increased enormously, and the privilege was considerably abused.
Numerous publications were constantly appearing demanding free
transmission, and in many cases they were of very questionable
character; that is to say that, while conforming to the letter of the
requirements of the law, they were often not genuine newspapers at all,
but mere vehicles for the distribution of trade advertisements. The vast
increase in the cost of dealing with the quantity of newspapers sent
through the mails became a question for serious consideration. Heavy
demands were being made by the railway companies for increases in the
amount of their remuneration for the conveyance of mails, on the ground
of the increase in tonnage due to the very large numbers of newspapers
being sent. The actual statistics of the Post Office traffic in Canada
are illuminating on this point. In 1897 the total weight of newspapers
passing in the mails was 16,500,000 pounds, and the estimated number of
newspapers 175,000,000. For the same year the total number of letters
passing through the post was 123,000,000, and their total weight
5,000,000 pounds.[322]
In 1898 the Canadian Government desired to reduce the internal letter
postage, which still stood at 3 cents, to the almost universal rate of 2
cents;[323] but the loss of revenue which such a reduction would entail
was so great that they were driven to seek fresh revenue to meet the
deficiency. In view of the abuses of the newspaper privilege, and the
generally unsatisfactory position which had developed, this was thought
to be a suitable occasion for the reimposition of postage on
newspapers.[324] The rate proposed was 1/2 cent a pound. Opposition to
the change was made on the same grounds as in 1867: that newspapers were
the real educators of the people, that the dissemination of
intelligence, particularly of political intelligence, was of the utmost
importance, and that no impediment should be put in the way of their
freest possible distribution.
The great necessity for a new source of postal revenue made it
impossible, however, to continue the free privilege in its entirety, and
the 1/2-cent bulk rate was carried. The free privilege was continued for
local papers distributed within a radius of ten miles, in order to
enable the country papers to compete with the papers of the large towns.
The country papers are very jealous (and perhaps somewhat fearful) of
the great city papers, although the telegraph has given the country
papers an advantage in point of time. This is of great value in a
country of enormous distances--especially in the case of daily
papers--but is yet not of vital importance in the case of weekly
newspapers, which do not rely so much on late news. The competition of
the weekly papers of the great cities is severe; and the radius of
competition even of their daily papers is considerable. The
letter-carriers of Ottawa were at that time daily engaged in carrying
free enormous quantities of newspapers published in Montreal or
Toronto.[325]
The rate fixed in 1898 was not intended to be permanent; and in 1900,
when the revenue had become sufficiently buoyant to warrant the step, a
Bill was introduced to reduce the postage on newspapers to 1/8 of 1 cent
a pound for transmission in the province or territory of distribution.
The general purpose of the Bill was to reduce the rate for limited
distances, and the province or territory was adopted as the most
convenient unit of area. Newspapers were being posted literally by the
ton, and the department thought it unreasonable to convey car-loads of
such mail from ocean to ocean for the same rate as for any shorter
distances within a province.[326] The Bill passed the Lower House,
although it was severely criticized as introducing the vicious principle
of provincial legislation; and "a serious aggravation of the tyrannical
injustice" was that a distinctive tax would be placed on city
publications, while preferential privileges would be given to country
newspapers.[327]
The Postmaster-General explained that with a bulk rate it was possible
to make nice distinctions of rate in regard to distance travelled, which
would be quite out of the question with a rate such as that for letters
charged separately on each individual item; the charge for the
transportation of a letter for a short distance would be so small that
no division of coin could be found to correspond to it, but with matter
mailed by the ton and wagon-load, and paid for by the ton and
wagon-load, the charge could well be adjusted for distance: but he
admitted that he had made no calculation as to whether the 1/8 cent a
pound would cover the cost of newspapers within the bounds of each
province.[328] The Bill was rejected by the Senate on account of the
undesirability on general political grounds of introducing any sort of
distinctions based on the provincial boundaries.
The proposal was revived in another form in 1903. It was then proposed
to reduce the postage to 1/4 cent a pound on newspapers when the
distance of transmission did not exceed 300 miles. The
Postmaster-General said definitely in Parliament that the rate would not
cover the cost, and, further, that the reduction would involve a loss of
revenue of from $50,000 to $75,000 a year on a total revenue from
newspapers of from $100,000 to $125,000.[329] The reduction was carried;
and in 1908 the reduced rate of 1/4 cent a pound was extended to all
newspapers passing within the Dominion, when posted in bulk. The
privilege is availed of by the publishers of many periodicals which are
virtually nothing more than advertising media; but this abuse has not
assumed serious proportions, and with the finances of the department in
a flourishing state, it has not been felt necessary to curtail the
privilege, although it involves great loss.[330]
* * * * *
NEWSPAPER POST (SECOND-CLASS MAIL) IN THE UNITED STATES OF AMERICA
A system for the distribution of newspapers by post, analogous, though
not identical, with that which grew up in Great Britain, existed from an
early period in America. There the privilege of franking newspapers was
a perquisite, but it was not the perquisite of one officer, as in
England. All postmasters exercised the privilege as part of their
general privilege of franking all their correspondence, the arrangement
being part of their emoluments as postmasters; and post-masterships were
much sought after by newspaper publishers, who were thereby enabled to
obtain free of charge the advantage of the distribution of their
publications by what in most cases was the best, if not the only,
available means.
The most notable example was Benjamin Franklin, who was for nearly forty
years connected with the Post Office in North America, first as
Postmaster of Philadelphia, and afterwards as joint Postmaster-General
for the northern part of North America, and who, throughout this period,
was able to circulate his publications by post free of charge. The Post
Office, especially in regard to the exercise of this privilege, is
regarded by Americans as having been an important factor making for a
general understanding between the colonies, and a conception of the
possibility of common action.[331] As early as 1757 the Crown
authorities in the colonies were looking with a jealous eye on the
unrestricted distribution of newspapers, and were contemplating measures
for preventing the dissemination of objectionable ideas.[332]
As the friction between the colonies and the Mother Country grew in the
years that followed, the Crown postmasters became more and more active
in their endeavours to hamper the distribution by post of newspapers
which published improper intelligence, or proclaimed improper political
doctrines. In 1774 Franklin was dismissed, and his dismissal has been
ascribed to a desire to impede the distribution of his
publications.[333]
There is no doubt that the Crown authorities attempted through the
postmasters to prevent the distribution of colonial newspapers, and it
was this action which led in the first instance to the suggestion for
the establishment of an independent American Post Office.[334] The
resolutions of the Continental Congress by which the American office was
established in 1775 did not provide for the transmission of newspapers.
Nor does the ordinance of the 21st October 1782 prescribe any rates for
their transmission; but licenses the postriders to carry them,
presumably outside the mail, the charges made by them for the service to
be retained by the riders as a perquisite.
The statute of 1792 first fixed rates for newspapers, as follows: 1 cent
a copy when sent for distances less than 100 miles, and 1-1/2 cents a
copy when sent for distances greater than 100 miles. This charge was
opposed in Congress, and efforts were made to legalize free transmission
by extending, so as to cover the transmission of newspapers, the general
privilege of franking conferred by the Bill on members of Congress, on
the ground that as the Government of the country was a government of
opinion, which always depended ultimately on the suffrages of the
people, much greater reliance was to be placed on the confidence of the
people than on any other circumstance. Such confidence could only
result from the fullest information, which the people had a right to
expect, not only as regards the actions of the Government but as regards
the principles on which they were grounded.[335]
Some members were disposed to approach the question from the financial
side, and contended that the rates proposed were not sufficient to
discharge the expense of the service. The middle way between economic
rates and free transmission was finally adopted.
An Act of 1794 amended the rates on newspapers and provided a further
special rate for magazines and pamphlets. Newspapers might now pass from
any one place to any other within the same State for 1 cent; magazines
and pamphlets at 1 cent a sheet for distances not exceeding 50 miles;
1-1/2 cents a sheet for distances over 50 miles and not exceeding 100
miles; and 2 cents a sheet for any greater distance. A suggestion was
made in Congress to reduce the newspaper rate to half a cent for
distances not exceeding 100 miles, and 1 cent for any greater distance;
on the ground that it was desirable to encourage the distribution of
newspapers from the seat of Government and the large towns, since such
papers must contain more complete information than the country
publications, which could only publish selections from the metropolitan
papers. There was, however, a feeling that country papers performed a
useful function and should be encouraged.
The rates on magazines were altered in 1825 to 1-1/2 cents a sheet for
any distance not exceeding 100 miles and 2-1/2 cents for any greater
distance, when published periodically and sent to subscribers; and 4
cents on each sheet for distances under 100 miles, and 6 cents a sheet
for any greater distance, when not published periodically. In 1845 the
free privilege for newspapers was first introduced, those of not more
than 1,900 square inches in size, posted by the editors or publishers,
being allowed to pass free within 30 miles of the place of publication.
Smaller newspapers, if conveyed more than 30 miles, were charged the
rates fixed by the Act of 1794 (which had been re-enacted by a statute
of 1825); and newspapers of greater size were charged a uniform rate of
2 cents without regard to distance. Pamphlets, magazines, periodicals,
and all printed or other matter, were to be charged by weight: 2-1/2
cents for the first ounce, and 1 cent for each additional ounce or
fraction of an ounce, without regard to distance.