The Washington herald., 1910-04-05
GAS HEARING BEGUN BEFORE DISTRICT COMMITTEE OF THE HOUSE


one can get It. There are some enlight-
ening statements in the book In regard
to 50-cent gas; that is where a certain
amount OF the gas sells at 80 cents. And
remember that when testified the last
time before your committee there were
certain statements made in the papers
about certain very lpw prices of gas. as
low as 50 cents. Petween the first and
second days OF thu hearing / analysed
those statements. and the next day gave
you the result. showed you that those
who testified here in regard to the low
priced gas gave you the minimum price
that could be obtained under certain
conditions, as to amount OF monthly con-
sumption. and OF course that would not
be fair except to include as one element
in calculating the average. Kingston,
n. Y, was. stated as IS cents per thou
sand. while the average price. correctly
determined, was s115. Columbia, Mo,
they had down as so cents, because under
certain circumstances q certain amount
could be sold for 90 cents, but the aver
age price was $50. Then. again, Es-
canada, Mich. was down at 20 cents,
while the price was s112lz. Detroit Mich.
was stated at 80 cents. when the aver
age figure is 81 cents. ! merely state
this so that you will not allow those
low prices to misIead you.
Mr.. Cary-Don't you believe that the
Washington Gaslight Company could sell
gas at sixty cents and make an honest
profit out of it
Mr.. Humphreys-Wlat do you call an
honest profit?
Mr.. Cary-More than per cent.
Mr. Humphreys-On the actual invest
ment, no, I do not. Nor do think that
would be a fair return, per cent on a
business OF this kind.
Mr. Rothermel-I understood you 10 say
Mr. Humphreys. that the earnings of the
gas company here were $4,000
Mr.. Humphreys-Yes sir.
Mr.. Rothermel-What did you say the
capitalization was?
Mr.. Humphreys-S2 10000 plus s2,soooOo
plus In round figures $4,000.
Mr.. Rothermel-How much is that?
Mr.. Humphreys-S5.s OO.0O0
Mr. Rothermel-Now, then, On that they
have net earnings of $4,000.
Mr.. Humphreys-Yes. sir.
Mr.. Rothermel-What does that S, SOC. 900
represent?
Mr.. Humphreys-Just what it says here
referring to statement. document No.
500. II represents the actual capital stock
Of s., 500 000. then dividend certificates of
Indebtedness OF g $4,000, representing. no
doubt, surplus earnings, and improvement
bonds of $685. which 1 called in round
figures $500. 900.
Mr.. Rothermel-Are the betterments in
Guided In that?
Mr.. Humphreys-Some Of them are, yes.
sir
Mr.. Rothermel-Just enumerate them.
please?
Mr.. Humphreys-Do you mean by tell
Ing you whether fhis-
Mr.. Rothermel-what betterments do
you refer to?
Mr.. Humphreys refer to it IN this
way: You would have to make an ap-
prsisal. as I have made. of the plant as
a whole. and then make a comparison De
tween the assets as determined by that
appraisal and the securities issued.
Mr.. Rothermel-But is the plant. the
entire plant, included in that: the value
Of II?
Mr.. Humphreys-In the figures that I
have given you?
Mr.. Rothermel-Yes.
Mr.. HumphTeys-Are you an account
ant. and are you looking at these figures
in the same way that I am looking at
them?
Mr.. Rothermel-Just answer my ques-
ton. and that will be all right
Mr.. Humphreys-No; not included: and
il is not all right. I am not trying to
bubble. but I am trying 10 make q
statement that can be understood.
Mr.. Rothermel-How are these amounts
for servces-these connections made with
different people. are they included In
that?
Mr.. Humphreys viii tell you in a
moment.
Mr.. Goldsborough-I think So I think
the services are included.
Mr.. Humphreys My recollection is.
however, Mr.. Goldsborough, that there is
a difference. Part are included and part
are not
Mr.. HazeIton-I object to this This
witness is being tested as to what his
personal knowledge is, and do not think
he should be interrupted
Mr.. Wiley-I think the members Of this
committee should be permitted to ask
such questions as they choose. I do not
propose TO have any Soutsider come in
here and tell US what we shall do, and
you viii oblige me. Mr.. Hazelton. by
sitting down.
Mr.. Hazelton-But when he is being
tested as to his personal knowledge, I
think 1t is fair TO have him answer in
stead of having Mr. Goldsborough come
in and answer for him.
Mr. Rothermel u wanted 10 know
whether that was included in the IS. 500. 600
Mr.. Pearre-Mr. Goldsborough says that
It is.
Mr. Humphreys--I will tell you Just
how much service Is included. At the
time this report was made
Mr. Rothermel-When was that?
Mr. Humphreys-At the end of 1907
there was sSs6 900 for services. money fer
services put in by the company
Mr.. Rothermel-But the property own
ers pay for that.
Mr.. Humphreys-Not in all cases.
Mr.. Rothermel-But il was testified 10
that the property owners pay for that.
Mr.. Goldsborough-In part. but not alto
gether
Mr.. Rothermel-What proportion7
Mr.. Goldsborough-I could not tell you
precisely what proportion. but I can re-
fer to this case of the gentleman who
testified here the other day and who
stated that he paid $50. have the fig
ures, and he paid SIS, and he paid pre-
cisely what they pay in Milwaukee-25