The times. [volume] (Washington [D.C.]) 1897-1901, 1900-03-04
THE TELEPHONE HEARING.

Representntiyes of New Companies
| Before the House Committee.
| The House Committee on the District OF
| Columbia gave a hearing yesterday to a
| delegation representing the Washington
Telephone Company. which has bill pend
| ing before Congress authorizing it to oper-
ate a telephone system in the District
| The delegation was a committee from the
J Business Mems Association, consisting OF
! H f. Woodard, Mitchell Dyrenfcrth,
/ Samuel c. Palmer, V. Baldwin johnson,
Jesse Ergood, Barry Bulkley, William
Hahn, Henry Getz. and William W. Danen-
/ hover.
| The text of the bill has been printed, as
well as the amendments proposed by the
subcommittee, except that the rate OF tax
alton has been fixed at 12 per centum OF
the annual gross receipts OF the company
| in lieu Of all tax on personal property, also
provision requiring the company TO make
an annual report of its earnings, expenses
and financial condition in every detail
Mr.. Woodard Chairman of the Business
Mems committee, said his association had
endorsed the Washington Telephone Com
pany's bill, and in considering the bill he
took it for granted that the wishes of 800
representative business men would have
some weight with the committee.
Mr.. V. Baldwin Johnson also spoke for
the association in favor of the bill.
Mr.. George r. Webb, OF Baltimore, one
OF the incorporators. told the committee
that the Limitation of the stock Issue to
$500, coo would make the bill valueless and
that it will cost over s1,e00,o0o to install
the plant.
Mr.. Babccck said the House would add
an amendment 20 the bill requiring the
capital stock TO be paid up In cash.
Mr.. Webb said Il was absolutely neces-
sary to use some stock Tor the benefit of
the men who pE3fsase the bonds, but not
all the stock NJ be % used Some of
it will be retas,ss Tor extension of the
lines. rH
Mr. John J. HssSiii, who was present
in behalf OF thG euhene Subscribers
Association. said ~ 2lant of the Chesa-
peake and Potoese Telephone Company
cost about $3.50. osk r. Hemphll said the
year to operate gepaone. Tine new com
pany proposed to operate It for s4S and S36
a year. Now. in order to 90 so, he thought
they should be given a little leeway in the
matter of stock. He was opposed to wa
tered stock, but he believed it Was to the
Interest OF tue puDtlc dtiu lHt lO
give the company fair capitalization.
Mr.. T. C. Daniel appeared before the
committee in behalf of the Columbia Tele-
phone Company. which has also had a bill
introduced in the House. He said he
thought the franchise would be worth
$3.50 .0e0, and the bill to be reported should
limit the amount of bonds and stock to the
actual cost OF the read, no stock to be is
sued until the bonds were paid Off
Mr.. Babcock called attention to the fact
that there was limitation in the Wash
ington Telephone Company's bill upon the
issue of bonds and stock.
Mr.. Daniel said that new telephone
system could be constructed for $500 900,
and he wanted a Limitation put upon the
issue OF stock and bonds. In case the city
should at some future time desire to pur-
chase the plant, he thought provision to
authorize such action should be incor-
porated in the bill.
The committee decided to postpone action
until next Wednesday.