The Montgomery advertiser., 1905-01-28
tcommunlcated.)

The Toledo (onio). Blade. in a re- cent issue says:
 '"The objects of the great organization known as the League of American Mu- nicipalities are: The general improve ment and Realization of every branch of municipal administration by the following means: First. the perpetu- ation of the organization as an agency for the cooperation of American cities in the practical study of all questions pertaining to municipal administration: second. the holding of annual conven- tions for the discussion of contempora- neous municipal affairs; third. the es- tablishment and maintenance of a cen- traI bureau of information for the col- lection and compilation and dissemina- ton of statistics, reports and all kinds of information relative to municipal govern ment,
 The league is nor a reform organi- zation, in the generally accepted mean ing of the term. It is not committed for or against municipal ownership of public utilities or to any other definite policy, aiming only to collect and dis seminate information in reliable and impartial manner, to the end that the municipal official may be aided in in- teIligentiy performing the functions of his ofice."
 Nearly every city of importance in the United States and Canada Is q member of the organization.
 The League holds its meetings annu- ally in different sections of the coun- try, when questions Of practical inter- est to municipalities are considered and discussed.
 Hon. James M. Head, former Mayor ok Nashville, Tenn, has been one of the Presidents, and Hon. R. c. Rhett, Mayor of Charleston s. C., is at pres ent the First Vice-President of the League, showing not only the interest which the Mayors of Southern cities take in the organization, but the high esteem in which they are held by the members.
 The League publishes Monthly Bulletin containing reports and articles of interest and value not only to city officials. but to the public generally. The January Bulletin is an interesting number The article on Telephone Competition in Toledo is reproduced in this issue of The Advertiser. It is we'll worth a careful reading. Telephone Competition at Toledo. From the January Bulletin of the League of American Municipalities.
 Telephone competition began in To- Iedo. O., in the fall of 1902, and the results aS seen Oy present. oUSeA fA1AOh' are:
 First-Toledo business men who were induced to Invest in the bonds of the Independent company have up- wards of $l,000,000 in the enterprise.
 Second--According to a statement made by the independent company on Oct. 31, 1904, there appears to be over S1, 100000 of water in its assets.
 Third--Although the franchise of the independent company was sought and obtained on the representation that it would always limit rates to $44 for business phones and $26 for residence phones and this limit of rates was specifically fixed by the terms of the franchise. the company has already advanced its rates to $52 and $32. GA suit is now pending in the Supreme Court of Ohio to deter mine the legality of the advance made contrary to the terms of the fran chise)
 Fodrth--Estimates based on figures taken from the most recent financial statement issued by the independent company show that the business can not be carried on profltably unless still another advance is to be made in the rates.
 Fifth-The Bell Company operating at Toledo has not reduced it's rates since the competition began, and it has increased the number of its sub scribers.
 Sixth-About 2.S00 business places and residences in Toledo find 1t neces- sary to have the service of both com- panies and thus incur an additional expense for telephones, besides the bother and confusion of attending to two instruments.
 The independent telephone service at Toledo is furnished by the Toledo Home Telephone Company, which was promoted ani organized, by Edward L. Barber and James l.. Bradley. Jr.. who are well know nthrOughout the West in This line of work. Application for a franchise was made to the City Council in February, 1901, and 1t was pressed with the argument that a com peting company would bring about a general reduction In telephone rates. The promters represented that up-to- date telephone service could be provid- ed in a city the size of Toledo at the rates of $44 and $96 for business and residence phones. respectively. Fur ther. they represented that d company furnishing service at those rates could make q good profit, and that any com pany whose rates were above the fg- ures mentioned was practicing nothing short of extortion. made possible only by monopoly. Just how much truth there was in these representations is shown by the history of two short years of actual experience with com- petition. bringing an advance in the rates of the independent company and no change in the rates of the company first fin the field. That the City Coun- ell did not have much faith in the rep- resentations of the promoters was shown hy the fact that 1t declined to grant the franchise asked for.
 After having failed to secure q fran chise from the City Council the pro- motors appealed to the Probate Court which under the laws of the State of Ohio may grant ths use of the city streets for telephone and telegraph purposes under certain conditions and restrictions. Tn the court. as in the council, the telephone promoters cited their proposed rates of s44 and S2s as the principal inducement for the grant ing of the franchise. and when the franchise was granted by the court 1t made specific provision that the maximum rates 10 he charged by the new company should never exceed go AN @Gz