The Mena weekly star., 1908-10-29
A CLOSE ELECTION
PEOPLE OF CLEVELAND, O., RE. JEcT THE THREE-cENT
 FARE FRANCHISE.
VOTE, \ HEAVY ONE, WAS VERY CLOSE
Majority of s79 in a Total Voti of 75,ooo--The Future of the Street Car System Is Unknown-May h. vert to Original Owners.

Cleveland, O., Oct. 24.-The fran chlse, under which the Municipal Traction company is operating the local street railway lines on three cent fare basis, was defeated by a majority of S79 in the referendum vote here Thursday. The total vota cast was upward of 75,000.
 The returns are exclusive of one precinct, which is still missing but cannot affect the result. Early in the evening the unofficial returns indi- cated majority in favor of the fran chise and a celebration was begun by it's supporters. Near midnight an result.
 The defeat of the franchise may mean that the railway property will revert to it's original owners and that the old rate of fare strife which lasted seven years will be renewed. The only alternative will be for city coun- cil at once to grant a new franchise which will save the property to the Municipal Traction company.
 It is stated by unprejudiced ob- servers that the franchise was defeat ed, not so much upon the issue in volved as upon the general dissatis- faction of the public toward the ser vice given by the operating company.
 The vote came as the climax to the general street railway contest which has been waged here for years. with three-cent fare and ultimate munich pal ownership as the goal of the city administration This was constantly opposed by the old Cleveland Electric Railway company which had been charging a five-cent fare. During the progress of the strife a new company. the Forest City Railway company, fos- tered by the city, began the oper- ation of cars over a few competing lines on a three-cent fare basis. The settlement finally came under an agreement to consolidate the two com panies and lease the property to an operating company, the Municipal Traction company, which agreed to make the general fare within the city of Cleveland three cents. According ly new company, the Cleveland Railway company, was organized to take over the Consolidated properties. Under the agreement a 25-year fran. chise was granted to the Cleveland Railway company. Then the property and franchise was leased to the Mu- nicipai Fraction company for 99 years upon the condition that the operating company protect the property and pay a rental equal to per cent dividend upon the stock of the Cleveland Rail- way company, s30,000,000 corpor- ation. It has been during only the past three months that the operating company has had surplus.
 To place the property upon a paying bas5 at the lower rate of fare the service was greatly curtailed and this caused such antagonism to the new regime. During the first month the moiormen and conductors declared a strike because the Municipal Traction company did not carry out contract the men had with the old Cleveland Electric railway company for an in crease in wages. When the striking car men found that they were losing in the fight they decided that they would compel consideration from tn" company by taking advantage of tho state initiative and referendum law and call for vote upon the new fran chise. The strike was dropped aild the former employees directed their ali tention to the referendum. That votd was held Thursday