Evening star. [volume] (Washington, D.C.) 1854-1972, 1886-03-24
GAS FOR ONE DOLLAR.
Mr.. Van Wyck's Resolution I'm the SEN
ate.
HE MAKES THE STATEMENTS PROMISED YES
TERDAY AND THE RESOLUTION IS REFERRED
TO THE DISTRICT COMMITTEE.

HE MAKES THE STATEMENTS PROMISED YES
TERDAY AND THE RESOLUTION IS REFERRED
TO THE DISTRICT COMMITTEE
In the Senate to-day Mr.. Van Wyck
called up his resolution in relation to
q reduction in the price of gas. 1t had
been said, he remarked, that no committee
had information to enable it to determine what
gas could be made and sold for with fair profit.
He (Mr.Van Wyck) proposed to give some facts
and throw some light on the matter. He said
Washington seems to be controlled by three
kinds OF 'corporations-the national banks,
which pay no taxes; the railways, both steam
pany s'ft Mr. Van WICK reVieWed the ogerations
of the gas company. When chartered, In 1S4S,
the capital stock was fixed at $5OO,OOO. The
then to S2,O0O,OOO.. all out of the earnings.
The stock holders only invested half a million
and the stock had been increased to two mill
lions and there was half a million more, max
ing in all two and half millions The company
had ADDED to the plant, not from the pockets
of the stock holders, but from the pockets of
the people over and above large annual divi-
dends, and the stock is worth $4,OOO,OOO to-
day. Yet, he said, these people are under the
ton Is under the regulation OF Con-
gress. The company, not content with plnn-
dering and stealing from the pockets OF the
dividends Oh what they had stolen. In 1S4S,
when the act was passed, a provision was in-
should be construed to prevent others from en-
gaging in the manufacture of gas here, but ire
quently applications had been made tor charters
tor other companies, but Congress had always
turned IL deaf ear to such appeals. In the course
OF an investigation some years ago the preSl-
dent of the company admitted under oath that
he had employed a lobbyist and paid him
saSSo and Mr va1 WSeF added '0 to
prevent legislation asked for by the people OF
this District; legislation the people here believe
they need. When they made an attempt to
check the rapacity OF the corporation by pro-
curins competition the company unbius ISL
poration thinks it's the duty of Congress to
allow it to make enormous profits and to keep
vestigation would show that gas can be made
here prom ably at one dollar per thousand cubic
feet. Ii is furnished at that price in Baltimore
and other cities. Mr.. Van Wyck cited instances
in which Congress had put limitations upon
the charges Of corporations and enforced Their.
He believed it could be shown that such gas as
by some here that they get coal gas, but Mr.
Van Wyck said that car loads OF naptha are
pany. He said that Congress is the seit-consti-
.uted guardian OF this people, and should pro
accept an amendment TO refer the inquiry TO
the District committee.
Mr.. Morrill, said he was connected with the
investigation made some years ago, and then
the price OF gas was fixed upon a ratio of the
price of coal. Since then the company had not
made over ten per cent dividends. He added
that coal is higher here in price than in Yer
mont
MIR. Van Wyck produced report of the gas
company and read from it to show that start
ing with 100000 capital stock, that was ill.,
creased to 81 100000, and there was issued to
the stockholders many shares as they
then held out of the earnings. Be-
you'd that earnings had been Invested
in increasing the value of the works. In 1869
dividend of fifteen per cent was paid on
S1,OOO,OO0, equivalent said Mr.. Van Wyck, to
thirty per cent on the original investment. In
1870, 1871, 1872 dividends of fifteen per
cent were paid. In 1878, in addition to twenty
per cent dividend, one of fifty per cent was
paid. The following year twenty per cent d-
vidends were paid. The capital stock was
increased to So. 100000 out of the earn
ings and with pretty regular fifteen per cent
dividends; in 1883 one OF 40 per cent was paid.
Mr.. Van Wyck emphasized the point that only
half Il million had been invested, and he thought
the figures demonstrated that gas can be sold
cheaper here. He appealed for relief for the
people.
Mr.. Van Wyck, in the course of the debate,
said there was S3OOO,O0O of national bank
capital that paid no local taxation.
Mr.. Platt ask ed tor Information whether the
stock holders paid any taxation on their stock.
Mr.. Van Wyck answered. mot a dollar" In
New York city, he said, the gas companies
were called ..gas pirates He hoped no Sena-
up his eyes In holy reprOof.
The resolution was amended to require the
committee to Investigate the eXpediency of re-
porting a bill to reduce the price OF gas to one
dollar, and was referred to the District commit
tee.