The L'Anse sentinel. (L'Anse, L.S., Mich.) 18??-current, 1910-10-01

discussion. At thee meetings ap
peared certain Representatives Of the
telephone company. among them b. n
Sunny. president. and 4. 8. Hubbard,
general manager. After fun hear
Ing before the committee II was do
cided by the committee that. while
the report was very helpful and 10
fiected credit on its compilers. It was
not full enough and complete enough
to afford the committee suficient data
on which TO proceed at once to rate
making.
"A preliminary survey Of the neld
II being made from an analysis Of the
company's income accounts and bal
ance sheets for each year of it, op-
GRAFTON. These show or should show
the earnings from operation and the
income from sources other than op-
GRAFTON. for each of the sources Of
revenue, and the operating expenses
In detail, covering the expenditures
FOR labor and supplies for each of the
major divisions of operation. such az
exchange service. wire plant expense.
trafilc. general expenses. taxes. etc.
The income account will be carried
out 30 as to show the deductions from
net earnings for interest on funded
indebtedness. on floating indebted
ness, appropriations to reserves and
for construction. dividends, etc.. to
the final surplus for the year. The
balance sheets will be analysed to
show in detail the company's assets
and liabilities.
TT will be necessary to obtain, for
the purpose Of this investigation. the
cost of the company's plant used and
useful In furnishing the telephone
service In Chicago. This can be OBJ
tanned largely from review Of the
construction stages of the plant
shown by the vouchers since the first
year Of the company's existence. The
cost Of furnishing service with this
plant will be obtained from an analy-
sis of the company's operating ex-
penses for a reasonable period-prob-
ably two years-which will likewise
be obtained from the vouchers and
original records Of the company.
THE telephone company was 70
quested to provide a place where it,
books Of record and vouchers could
be analysed with the least inconven-
fence to It, and large, well-lighted
room was set aside for this purpose In
the company's building. Those en-
gagged in the work have found It neo-
essary to make many requests for
company records and explanations Of
book entries. all of which. up to this
time. have been met with frankness
and generous spirit of cooperation.
"A few weeks ago an article relating
to telephone revision was given space
In the World of Today. well-edited
magazine published in Chicago. The
keynote Of the article seemed to be q
query as to whether the members of
the committee would have sufficient
stamina and intelligence to enable
them to be fair to the telephone COM
pany. The writer also noticed an
article similar in tone In Telephony.
a technical publication. largely de-
voted to telephone matters. We have
also noticed the suggestion cropping
out in one or two other places. The
writer feels sure that there Is no
very good reason why the general
public should be impressed with this
point of view; there has not been
much In the past that would oauss
one to believe that the Chicago Telo
phone company and other telephone
companies are not able to successful
ly care for their own interests; they
have capable men who are very loyal
to tho interests Of the company.
TN the past It has never been 90
pecially difficult to get representatives
of government to be fair to public
utility corporations. There always
has been considerable concern as To
whether the representatives Of gov
eminent would be able to be entirely
fair to the general public. In this
particular instance there Is no 90
casion for worry, This investigation
Is to determine all the facts and con
ditions with prejudice to no interest
II the findings warrant an increase
1 LnlS must DO dlOWeu. II In6y SHOW
reasonable return on the actual In
vestment. an increase In rates would
be unfair to the people Of Chicago. Il
the difficulty lies In an incorrect dis
tribution Of the operating expenses
over the different classes of service
or rates of an unscientific character
this should be adjusted for the benefit
of the service. The thoroughness oi
the work and the judicial temper Of
fairness of the community and thu
people of Chicago should not be Ques
toned until occasion therefor arises
Whether public service corpora
tons should submit to regulation b.
the public Is no longer mooted ques
ton. Logic and current history are de
cisive in answer. although the form
and extent of such regulation are still
open to intelligent discussion. Great
ed to serve the public, the Quasi-pub
lie corporation has justly been On
dowed with monopolistic power. II
the acceptance of which II must and
does recognize that II assumes
definite responsibilities which ac
company the privileges received. Il