The San Francisco call., 1910-06-04
COMP MPANYTOFIGHT
TELEPHONE RATES
Supervisors Committee Refuses
to Eliminate Cheap Service
From the Ordinance
Corporation Will Endeav0r to
Prevent Passage of the
New Schedule

All the low price business and pro-
fessional phones and the $3.50 unlim-
tied service residence phone were
again provided for in the ordinance
governing telephone rates reamended
yesterday noon by the special commit
tee for submission to the board or
supervisors next Monday. The COM
mittee room was the scene of spirited
argument between protestants and the
Pacific States telephone company'S rep
resentative, @. b. Bush.
The action of the committee means
that the company has lost its fight to
do away with cheap business service
Bush is far from reconciled. He says
the company's profits will be knocked
out and he intends to carry the light
into the board of supervisors.
Though Attorney Sidney NJ. van
Wyck Jr the chief protestant, obtained
every point he contended for in his
fight for establishment OF cneap
business service the question is now
raised whether or not the Pacific States
telephone company can be compelled to
furnish service which is claimed TO
be improbable and which its compet1-
tor, the Home telephone company, is
not required TO supply.
Bush intimated that the company In
its desire to abolish the cheaper serV-
discontinuance of the wires. Bush de-
clares that the ordinance is not man
datory.
BY the changes made in the ordi-
nance yesterday the number OF SUD-
scribers saved from increased payment
for service is: 2,04S users of 50 busi-
ness phones, 1881 users of 81 business
rental phones, 1911 users of So meas
ured service and 1850 users or $500
residence unlimited. The establish
ment of the new $3.50 measured serv-
ice with 175 switches is distinct re-
duction for those who now pay S9.lo
for the same volume OF service Inc
users of the $5 measured service have
had their number of calls increased
from 90 to 70 a month. The $9.l5
measured service has increase in calls
from 175 to 240.
The two party unlimited residence
phone is reduced from $3.50 to $3 Ihe
two party guarantee phone Tor resi-
dences was cut from So to $2.25 with
the slot attachment
Bush asked the committee If the Or
dinance governing rates was to apply
to the Home telephone company as
we'll. He was told that 1T would apply
to all companies selling telephone serV-
ice in the city. Bush then wanted to
know ii all companies would nave TO
furnish the services provided This
the COD1mlIlSS WOulu IlOL dHSNC OAA
the ground that it was a question that
must be determined by the district at
torney Nicholas Prendergast. repre-
senting the Home telephone, answered
with the statement that the mechanical
features of the automatic service made
it impossible for his company to fur
nish the variety and consequently low
rates of the Pacific company.
Bush said that all of the $3.50 tele-
phones and the cheaper of the business
phones were operated at direct loss.
He was substantiated in this by the
expert of the board OF supervisors,
Prof c. l.. Cory. who rendered re-
port to the committee on the valua-
ton of the company.
The contention of Bush was that the
cheaper services were put up with to
make the service complete to the users
of telephones and that for that reason
large users should be prepared to pay
a price for the added convenience that
would be commensurate with the loss
from the operation and maintenance
of the cheaper phones. He argued that
the Home phone did not furnish cheap
service for the obvious reason that it
was Improbable and that to compel
the Pacific to lower all it's rates and
then continue cheap service was a
manifest discriminate and injustice.