The times. [volume] (Washington [D.C.]) 1897-1901, 1900-03-20

failure of said corporation TO furnish said
bond within the time herein specified the
rights and franchises hereby granted shall
cease and determine. The plans IN this
section required TO be submitted 10 the
Commissioners Of the District Of Colum-
bit shall be acted upon by said Commis-
sioners at the earliest practicable date
after their submission. In order to enable
said company to carry out speedily the
provisions cd this act"
Mr.. Pearre then passed 10 sections II
and u, which follow.
Sec IL That the capital stock Of said
company shall be $3.50. .U00. and said com
pauy shall have power 10 issue bonds and
secure the same by a mortgage az its
entire property. rights. privileges. and
franchise in an amount equal TO the
capital stock outstanding at any time.
"Sec. u. That there shall be reserved
in the conduits constructed under the aU-
thoriiy Of this act one duct for the free
use OF the District of Columbia for the
wires Of its FIRE alarm and police patrol
system
4 Penalty clause.
Mr. Green Of Pennsylvania put some
questions to Mr.. Pearre concerning the re-
sponsibiHty Of the incorporators.
Mr. lands Of Indiana asked if the Dis
trict Committee would be willing TO insert
in the bill an amendment providing in ex-
press terms that the maximum charge OF
$50 a year for residence phones should
be made for single telephones on single
wires Mr. Cowherd of Missouri said that
he had already prepared an amendment
OF this character.
Mr.. Pearre addressed himself to section
IA Of the bill. which provides:
That should the property. rights. and
franchises OF the Washington Telephone
Company be at any time hereafter acquired
by any other corporations or person or pei
sons, said corporation, person. OF persons
shall take said property. rights. and fran
chises subject to all the restrictions liza
bilities. and penalties o. this act and by
the acquisition Of the property. rights, and
franchises Of the said Washington Tele-
phone Company said purchasers snail
thereby subject to the liabilities. penalties.
and restrictions OF this act any other tele-
phone plant or properties then or hereafter
owned or operated by said purchasers.
Mr. Green said that he had no guarantee
that the franchise which might be obtained
by the new company would not be sold to
the old company. He said he thought this
might be the purpose Of the present bill.
Mr. Pearre then passed TO sections Is,
IS. and l.. which provide:
Sec. 10. That said company shall pay an
annual tax equal to one and one-half per
centum Of the gross receipts OF said COM
pany in the District of Columbia in lieu
OF all tax on personal property.
Sec. Is That the said Washington Tele-
phone Company shall. on or before the first
day OF February in each year. make report
TO each the Senate and the House Of Repre-
sentatives, which report shall be sworn to
and signed by the president and treasurer
. unfI r.aTF q b.
period Of one year ending the 3lst day OF
December previous to the date OF making
the report. Such report shall state the
amount of capital stock. with list OF the
stockholders and the amount Of stock held
Ey each: the amount OF capital stock paid
in; the total amount OF funded debt. the
amount OF floating debt; the average rate
per annum OF interest on funded debt. the
amount OF dividends declared: cost OF
equipment, including land and buildings;
cost Of general superintendent, salaries
Of officers. clerks and ofice expenses; water
and other taxes: total expense OF operating
its plant; rent; payment for maintenance
and repairs. payments for interest; pay
ments for dividends on stock, amount and
rate per centum. and total payments during
the year; receipts from all sources. specify
ing what
Sec. L. That Congress reserves the right
to alter. amend, or repeal this act"
MIR. Pearre's plea.
In conclusion. Mr.. Pearre made a plea
for the passage Of the bill. saying that
il was endorsed generally by the citizens
OF Washington.
Mr. Moody Of Massachusetts took ex-
ception 10 the provision OF section Z,
which recites that each subscriber shall.
a. the time Of subscribing. pay in cash 1s
per ceBtum OF the amount subscribed by
him, otherwise the subscription shall be
null and void" Mr. Moody thought this
invited stock watering. Mr.. Pearre re-
piled that the existing company, with
q basis Of 500 900. had issued on that
S750. Gee in stock and $500. 600 in bonds
OF the s150.o o0e in stock only $4,000 was
paid in
Mr. Hepburn insisted that he thought
it would be better 10 bring the existing
company 10 terms than to incorporate a
new company. He said the interests Of
the citizens could not be best served by
the existence Of two independent compa-
mics.
Mr.. Hepburn came in conflict with Mt.
Babcock. Mr.. Cowherd. and Mr. Pearre
in his proposition that Congress could I
prescribe regulations for the government 4
OF the old company.
The streets do not belong to the pres
cnt corporation is what I am trying to
hammer in your heads" said Mr.. Hep
burn.
Mr. Hepburn pointed out other objec-
tions 10 the bill. It would not necessarily /
cheaper rates. because il was not ex-
pressiiy provided that the telephones
should be on a single wire Il was not
sufficiently guarded. There could be no
effective service with two competing COM |
panies.
M Mann OF Illinois attacked the bill. /
It permitted the proposed company. he I
said. 10 tear up the streets. for which /
the people OF the United States pay one 1
half II the proposed company began op- 1
erations it would be necessary, he said, /
for business men TO have two telephones.
Mr. Mann asked il there was a gentle I
man on the floor so guileless as to think 1
that the promoters Of the new company 1
would not sell out to the old one. The 1
only capital which the new company IS |
required to Invest is SIS e00 VIII the old 4
company permit itself to be run out Of /
business by q so 900 plant?"
Mr.. DOllivor asked II the gentleman from /
Illinois had any suggestion to offer where /
by the citizens might be relieved from ex-
tortion.
Mr. Mann said there was no city 10 the 4
country in which the people were not cry
ing out against ext0rtion in one form or
another. He thought a satisfactory tele-
phone service could not be furnished at
lower rates than al present charged.
Mr.. Burke asked why is it that s3G
q year gets good telephone service in
other cities4"
Al this point Mr.. Mann made an attack
on the authorship OF the bill saying that
he Mann was not practicing law In
Maryland for clients in the House Of Rep
resentatiyes-
4 sharp Exchange Of Words.