Frostburg mining journal. [volume] (Frostburg, Md.) 1871-1913, 1908-12-12
MUNICIPAL MIRAGE.
Public Ownership Success a
Fleeing Vision.

wages ana ONeTCToWdSu enIHenlS
Are Among the Evils Which Make
Possible the So Called Relief of the
Rates"
1t is somewhat puZZling problem
why certain persons in the bureau of
lighted to pick out from the consular
reports SO many of the mcritiral and
optimistic statements furnished up by
special pleading in regard to the Oper-
alton of street railways in Europe by
public officials. Report No. &216 of
Sept II last contained no less than
three reports from England ON street
railway operation. besides Il general
article ON the management of public
utilities in Germany. To the uninform
ed reader it might appear from the
reading of these reports that they
showed Il certain degree of success on
the part of the municipal officials, who
do their own bookkeeping and draw
their own modest deductions as to
what they have accomplished. The
slightest analysis, however. puts all
these cases of municipal operation in
the list of financial or economic fail
ures, and there ought to be some one
in the department of state or the bu-
rcau of manufactures who would eli
ther take out the partisan color in
these documents or insist that the CON
suls should reveal the truth.
Even with the best light put on
4,
that the Belfast system had broken
down because of the unfortunate linn
itations imposed by the act of parlia-
ment in which the city was empowers
ed to purchase and operate the system
that it should be self supporting and
that no money should be taken for
tramway purposes from any other
fund The receipts did not meet cX-
pcnScs, and it became necessary to
raise fares all along the line. The com
panicS in IludderS!iCld and Manchester
made somewhat better showing upon
the face of the figures, but cNamina
tiOn showed that their financial sue
cess was due to rates of wages which
would not he tolerated in this country.
III lluNlNtl >lItlN II 10 Sl'lt'u lll'iI tiI'
43O regular employees receive week
ly wage of 2,239." This would work
out at 500 per week per employee.
This would amount to $21O.40 per
capita per year and would require an
expenditure of S116,32S. In the United
States as far back as the census report
of 1902 16.33S motormen in cities of
,,n.niVnl tntol
of $40, 800, loo This works out at $G42
per man, or about 24O per cent of the
average wages paid all employees in
HuddcrSficld. If the scientific sound
ness of dividing the Average number
of employees by the amount paid is
called in question we have the aSSur-
ancc of the census report that the
medan rate for all motormen in the
United States was 50 to $2.04 per day.
The significant fact from a tinan-
cial point of view, IS that if wages in
HuddcrSficld had been raised to the
average wages of large cities In this
country the surplus of $2O9,269 above
operating cost would have been more
than half wiped out and the demands
for interest, redemption of debt and
depreciation account could not have
been met. Even as it was, with wages
ground down to the starvation mini
mum, there was surplus after
charges and allowances of $31, 200,
which, with fine irony, is applied un
der the English system "to the relief
of the general rates" Evidently the
motormcn who are receiving the
prinCely wages of 10 cents per day are
doing their share toward the "relief
of the general rates" but may get Il
part of the money back if they become
charges ON the city.
If the advocate of municipal opera
tion takes refuge behind the claim that
conditions are different in England
from those in this country, the claim
may he freely admitted. But in max,
ing such Il claim he ahandOnS his case.
The sole object in presenting alluring
pictures of low fares and apparent sur
plus earnings on the English lines is to
convince the American public that sim
liar results could be obtained here If
the comparison contains no such Sug-
gestiOn, then it has no practical bear
ing ON the effort to secure municipal
operation in this country and Is Of the
same academic interest as an essay on
caravan routes in MeSopotamia in the
time of BelshazZar. 1t Is quite true
that conditions in England differ radi-
cally from those in this. country and
that many of the features of English
municipal operation would not be toll
Grated for one moment by the Ameri-
can public The fares graded accord
ing to distance make short rides cheap,
but long ones dear. They tend to con
gest the population in the tenement
districts, while our system of a uni
form fare tends to development Of sub
urban property and the distribution of
the working masses where they can
find air and sunlight.
Even in such n matter as claims for
injuries the Hudderstield traction sys-
tenn protects itself behind an insurance
company and leaves the company to
fight the claims as reSOlutely as its in
terest naturally demands Municipal
operation IS far from having proved
success abroad, and If it had attained
success abroad this would be far from
proving the possibility of its success in
the United States. To obtain n nomi-
nal surplus by keeping wages of oper-
atives down to 70 cents per day will
hardly appeal to any part of the Amer
lean public.-Commercial and Finan-