Omaha daily bee., 1908-07-18
RAISE IN TELEPHONE RATES
TwO-Party Lines the Only Ones to Be
Increased Up to the Present.
FIFTY CENTS PER MONTH MORE
Ordinance Permits the Increase Pro-
vided Sufficient of sub
scriBer Have Been OBJ
tanned.

The Independent Telephone ompany Of
Council Bluffs has already commenced to
raise its rates. This II has the right to do
under the ordinance granting 1t a franchise
in this city, but lie not. in accordance with
the promises made by the officers of the
company at the time it was seeking n
franchise from the people Of Council Bluffs.
At that time it was intimated, IL not actu-
ally promised, that the company as soon
as the patronage warranted 1t, would re-
duce the rates.
In the schedule Of rates included in the
franchise ordinance two-party business
phones are placed at 81 per month. Re-
Gently the company has announced that
the rate for the two-party business phones
has been increased to $3.50 per month. o
raise of s. a year. Present subscribers,
however, will rot be called upon to pay
more than the s. until their existing con-
tracts expire, when, 1t is announced, they
will have to pay at the higher rate.
The schedule OF rates in the franchise
ordinance lists two-party business phones
at 81 a month and individual business
phones at 50 a month. The ordinance,
however, gives the company the right to
raise the rates in the schedule % cents for
each 500 customers above 1000. As the
company has row announced an increase
Of 80 cents a month on the two-party bust
ness phones, 1t is taken for granted the
company has now 5000 patrons using its
phones.
No More ut Present Rates.
No public announcement of the raise in
rates has been made, but a ~well-known
Broadway merchant who was figuring on
putting in a two-party phone in his store
was informed by +. J. Day, president of
the company, that the rate for such service
was row $3.50. The business man in ques-
ton demurred to the rate. telling Mr.. Day
that his n%eighbors were only paying s..
That may be So" replied Mr.. Day,
but as soon as their present contracts
expire they will be required TO pay $3.50.
No two-party business telephones will be
Installed henceforth except at the $3.50
rate"
Frank Kiger, who conducted a res
taurant on West Broadway but recently
sold out, had been paying at the 81 rate
for a two-party business phone. a few
days ago he opened another restaurant on
South Main street and on applying to
the company for the installation of a
two-party line such as he had had in his
former place OF business was Informed
-! that he would now be required to pay
81. so for the same service.
l. As a majority of the business houses
have the two-party phone service, the
raise of 80 cents a month will mean a
considerably increased revenue to the In
dependent Telephone company.
I When asked yesterday If it was the fact
that the rate for two-party business
phones had been increased so cents a
month, Manager c.. A. Laubach of the In
dependent Telephone company said it was.
We have $500 subscribers" said Mr..
Laubach, land under our franchise we are
authorized to increase our rates 25 cents
a month for every 500 subscribers over
1000. The only increase so far is on
the two-party business phones"