New-York tribune., 1910-07-28
GAYNOR ON SUbWAYS
"We Are at the Parting of the
WAYS" He Says in Outlook"
CHOICE OF TWO POLICIES
Must Build Natural Extensions
TO Existing System or Con-
struct Disconnected One.

contributes article to the current Out
look on The New York Subway Situa-
sion. The subway question. he says. in
wolves a choice between developing the
present system. designed to furnish trans
portation for single fare, or constructing
2 disconnected and independent system
His article, in full. follows:
The subway question in the City OF New
York has now reached critical point II
needs TO be considered in the most even
temper of mind, without acTimony or spirit
of contention. We are at the parting OF
the ways. Shall We construct another sub
Rsy line, disconnected from and indepen-
dent ot the city's present subway system,
or shan we construct the natural exten-
sions and branches of the present subway
system. and keep on doing so in the future,
50 that we shall have one growing general
system with z single fare as was de-
signed from the beginning?
The city Eai6 every dollar for the con-
struction OF the present subway in the
boroughs CT Manhattan and The Bronx.
no one else put a dollar into IL The city
paid in part fer the construction of the ex-
tension to Brooklyn. The operating com
peny has 6 franchise or lease to equip and
operate the subway in Manhattan and The
Bronx for fifty years. and the Brooklyn ex-
tension for thirty-hve years. with the right
- an extension for twenty-five years on
terms which the lease defines in general
terms and substance as equitable to the
lessee and the city. This means an ep-
Praisensnt and -ead1uEtment at the end Of
the term as g basis for the renewal The
city's investment in these subways is about
$50 ooaeao The operating company is bound
70 pay fhe city annually during the term
the interest which the CITY pays on its
corporate stock issued 10 raise the money
which Fent into construction and also l
Ter cent on the cost Of construction, to be
invested and compounded as a sinking
fund 70 pay the principal. This sinking
fund viii become equal 10 the principal in
about forty-fve years. In addition, the
company has TO pay 10 the city not 70 ex-
ceed an additional I Per cent on such cost
Of construction, according 10 receipts. The
long franchise term and the rent 10 be paid
make z poor bargain for the city, ss many
think. But be that as & may. TIE city's
money built these subways and the city
owns them. subject TO the said lease.
Many now contend that IL would be 4
-7ery unnatural unwise and unbusinesslike
thing for the city 70 invest its funds in
building another independent. and espe-
cielly a rival. line or system Of subways
instead Of extending and enlarging its
present subway system They say We
should have one growing system. instead
Of two or more. for two principal reasons:
--First-The city should not, by building a
competing line, ieoperdize or impair the
capital II already has invested in the pres
ent subway system Would any private
capitalist do the like?
-'Second-One system means a single fare
cf five cents, with transfers all over the
system. while with TWO or Ino;e inde-
pendent systems an extra fare would have
to be paid TO change from one line to an
other. including the Steinway tunnel, which
runs from the Borough Of Queens into the
Borough OF Manhattan, and similar cross
.owG lines Should this system Of trans
.ers on 4 single fare, which has been
struggled fer 50 long, De abandoned when
il is feasible % perpetuate it2
The operating company Of the present
subway system now proposes in sub
stance that the city devote its funds to an
extension or continuation OF the present
subway from the point where it now
reaches and turns into I'D street, Manhat-
tan. uptown along Lexington avenue or
else Madison avenue, and thence on and
through The Borough Of The Bronx to 18th
street; and that on the West Side OF town
r. extend the present subTay from Times
Square downtown by Seventh avenue, or
some suitable route. and thence down to
and under the East River ever 10 Pine
apple street. Borough OF Brooklyn, and
thence through Fulton street and FHatbush
avenue out 20 Prospect Park. and still fur
trer on by the Eastern Parkway to Nos
trand avenue. II offers 10 equip and op-
crate on the basis of devoting the receipts
- 7er,40 Of Z R7e int he
ci-y's corporate stock issued for construc-
ton and to the establishing Of a sinking
fund Of per cent on the construction cost
next to expenses Of operation, etc, and
then divide the profits equally with the
city.
These extensions would more than
double the capacity and usefulness Of the
city's present subway system. With them
added the whole would constitute what is
called the H system, which YOU Will see
# YOU draw map OF il They would cost
about S70ca0. 0c0, whereas the estimated cost
of the projected Independent route, called
the Triborough route, is Sl25, 600 600 and the
actual cost would probably be much more
some say as much as 100000. More
over, when such independent route should
he constructed, q company would have to
hs found TO equip and operate il, and the
lease TO at least pay the interest on its
corporate stock issued TO raise the funds
Tor construction, ana per cent additional
20 form q sinking fund 10 pay such stock
on maturity.
These who want 10 aid in helping the
public authorities 10 arrive at a correct
conclusion should study a map of the
s,resenr system, with the proposed exyen-
=ious. and q map Of the T.iborough route
and see which would give the greater ac-
conlmodation TO the public. In addition to
this the cost The city's margin Of borrow
jrg capacity tnow about $4,000 eo0}, the
probability of the earnings being sufficient
q pay for operation and fxed charges and
tie matter Of a single fare should be con-
sidered.
one other thing should not be left out
Of view Some say that the operating
company Of the present subway should
build ali extensions and branches on its
own credit. II answers that all OF the
political platforms last fail de1Handed that
all suhWays should be built the city
credit and that private capital cannot at
present be obtained TO build such eNten-
sious. especially il the public authorities
t5ersist In building a rival route, namely.
ibe Triborough route. II says further, and