New-York tribune., 1909-01-06
TUNNEL PRICE TOO HIGH
STETNWAY TUBE OFFER
DECLINED BY Il. S. {.
Refuses to 4utk0rise Purchase Of 1t
by City for $1,000, ,OO0-Ne70
Terms Can Be Made.

Commission
purchase. Of the Steinway tunnel by the city OF
New York from the Interborough Rapid Transit
COMPANY at a figure slightly exceeding $1,000
600 the price at which the Belmont traction in
terests had offered il to the municipality The
commission bases its refusal on the ground that
the companv's offer was unfair one and that
the city would be getting doubtful bargain
The decision of the commission was reached
only after the metter had been considered in
committee of the whole for several weeks Com
missioner Bassett, while Concurring in the unan-
imous decision OF the commission. wrote a sep
srate opinion. The resolution adopted by the
commission follows:
Resolved That the proposition offered by the
Interborough Rapid Transit Company, under
date Of January %, 1905. for the purchase for
the city Of the tunnel railroad of the New York
& Long Island Railroad Company, extending
from 42d street and Fourth avenue. in the Bor-
oUgh Of Manhattan, under 42d street TO the
East River and under the East River and prl-
vate property TO 4th street. Long Island city,
and under 4th street to East avenue, is hereby
declined
The commissions general opinion of the COM
pany,s offer and its reasons for refusing to ac-
cept the offer for the city briefly sum
married in the report of the committee OF the
whole, follows:
The sum and substance Of the offer Of the
nteTborough company is that the city shall
subsidize the New York & Queens company. and
by such subsidy enable the company to carry
people to 42d street, Manhattan. for . cents
Doubtless there other companies that will
be glad TO lower fares If a subsidy from the
city be forthcoming
CAN MAKE NEW OFFER
The commissions decision in no way prevents
the owners of the Steinway tunnel from making
another proposition TO the city, but the offer
would have to be more advantageous TO the
municipality. "It is doubtless unnecessary.
says the report, "to add that the commission de-
sires that the Steinway tunnel be put into opera
ton at the earliest possible moment, and that
any reasonable proposal which would require
any action by this commission TO achieve this
result will be given very careful consideration
by this commission"
The majority report of the commission. which
is signed by all the members except Commits
sioner Bassett. summarizes the reasons for the
commissions refusal OF the offer as follows:
F4rst-The city would be burdened with
annual deficit including sinking fund charges
estimated at S}5y00O0 for the first year OF op-
Grafton, and there is hope that the city would
be able within very many years to make receipts
equal expenditures
Second-Tne city has erected the QueenShorO
Bridge at q cost of S15oO0.000 10 S20,0o0,0oo.
which viii impose upon the whole city, not
Queens alone. annual charge amounting to
SSlt0(s0 upward. This bridge will serve
much the same purpose as the tunnel and IN
come directions. has greater usefulness How
ever. il has been built; the city is not yet com
mitted 20 expenditure Of S7.00o00 for the
tunnel
Third-The Steinway tunnel admittedly will
rot be self-sustaining. The purchase of this
Notwithstanding lire first will make il much
more difficult and perhaps impossible, to build
either profitable or development subways with
Fo11rth-The city should not purchase from
companies the profitable lines and leaYe the
profitable lines in their hands. The two should
go together the latter helping TO carry the for
mer.
BENEFIT OF INCREASED LAND VALUES
Fifth-The increase in land values which
might result from the opening Of the tunnel. or
have already resulted from the probability Of
its opening. would probably not leave any con-
siderable sum TO offset the deficit operation
after the fresh demands for governmental ex-
penditures have been satisfied out of receipts
from increased taxation. The property holders
reap most Of the benefit
sixth-There is no adequate assurance that
b-cent fare would be secured permanently, even
e the city were 10 purchase the tunnel.
Seventh-The New York & Queens County IS
given the exclusive right TO public property
at a not sufficient TO pay fixed charges.
IS too indefinite
the problem by which the tunnel could be put
70 Immediate or within the near future:
(e) A franchise could be granted by the city
authorities TO private company as the law now
stands
tory, an amendment allowing private operation
could have been pressed last winter in the Leg
ssatGre and may be this year.
(c) A tunnel franchise for fifty years with a
-ay,a-4-sl For +,,-an+z7z,e ,earc 80 Ia ,ra,,to5
by the Board of Estimate Immediately and could
have been granted at any time during many
years.
1d) The cost Of the tunnel might be met by
special assessment upon the property bene-
dted-
The physical and legal status of the tunnel is
carefully summarized in the report of the COM
mission, and it is pointed that, in the opin-
ton Of the commissions chief engineer. the Lex
tngton avenue station is poorly situated ON
this subject the report says:
A thorough examination of the tunnel
made by AIr Seaman. chief engineer TO the COM
mission. who reported that II was IN good phys
zeal condition, except for a few minor defects
which could be remedied unmpor-
tant as be disregarded. Considerable work
must yet be done. including provision for
tflation and drainage, completion of shafts. sta
tions track and lighting system. installation of
cables and signal system, etc. Mr. Pegram.
chief engineer 10 the company, estimates this
work will cost $4,000.
CITY FACES BIG PROBLEM.
Referring TO the city's pressing need for ad-
ditionsI underground transportation facilities.
the report continues:
The city is face face with tremendous
problem. The need for additional subways is
imperative. The funds of the city limited,
and not sufficient at this moment TO build
all the lines that ought TO be constructed. It
is admitted that there subways other than
the Steinway tunnel that would be OF greater
value to the city and that would be self-sup-
porting. AS IL is impossible at present to build
those that will be self-supporting and also
those that will be, is IL not wiser TO spend what
upon the former.
Analysing the reasons which have prompted
the owners Of the Steinway tunnel TO offer II TO
A GO,