Evening bulletin., 1911-03-30
FRANCHISE ONLY
when AMENDED
Public Sentiment Heard at
Meeting of House Commit !
tee On Transit Grant.


Transit q Land Co. was expressed
clearly last night before the Hous
committee on public lands. and ex
pressed in favor of a franchise i
guarded by amendments as well a
concessions ON The part of the street
railway company.
The hearing was held in the hal
of representatives and brought out ;
large gathering of prominent citizens
although the number of speakers was
comparatively few The keenest III
terest was displayed in the various
arguments, and once or twice there
was faint applause.
Most of the speakers, several OF
whom represented organizations, de-
clared that the franchise bill needs a
number of important amendments be-
fore the legislature should pass it,
One of the features of the evening
pressed the belief that a public SER
vice commission should be establish
ed to regulate the Rapid Transit and
perhaps other public service corpora
tions.
One On Ex-Governor Carter.
Another feature was the raking over
of old Goals when President Peck of
the company told of his early expe-
riences in trying to put the road on
its feet financially
Il wanted to borrow fifty cents on
the dollar for some bonds" he said
"and | went to the large financial in
sttution Of which Mr.. Carter was at
that time head, as manager and tried
to get fifty cents on the dollar for
those bonds. He said to me Are you
willing to promise that your company
will not go into the lighting business
against the Hawaiian Electric Com
pany% | told him | didn't know any
thing about that, / couldn't say at
that time And he said to me Unless
you are willing to promise that, |
haven't time to talk to you any long
er. And | went from place to place
trying to borrow money until William
G, Irwin, God bless him, made us a
loan,'
Among those at the hearing were
the members of the public lands com
mittee, as well as a number of other
legislators, W. r. Castle, President
l.. II Peck and Manager C. G. Ballen-
tyne of the Rapid Transit Co, former
Governor George r. Carter A. Lewis,
Jr., Richard Ivers. George w. Smith.
j. d. Mclnerny, G. Fred Bush, w. r. !
Harrington, Col J. H. Soper G. r
Hemenway, attorney representing the |
Chamber of Commerce and the Mer-
chants Association. L. L. McCandless,
and number of members of the Cen
tral Improvement Club, including G.
c. James, Fl. 7, Mills, r. s. Hosmer
and F. D. Creedon.
Opponents Speak.
Chairman Alfonso of the House
committee called first upon opponents
OF the franchise in its present form
TO speak and l.. l.. McCandless i'm
mediately spoke. His talk dweltl
largely upon the financial aspects of
the case He repeated the charge
made at an improvement club meet
ing that in 1902 the company had sold
It's preferred stock at 80 instead of
par, as is now claimed He charged
that $450,OOO of the present capitaliza-
tlon is Watered stock, and that by it's
issuance the company can evade and'
has eyaded paying the Territory it's
percentage of the profits,
That Watered stock is practically a
STOCK DIVIDEND he declared, "ofI
which one-half over eight per cent
belongs by right to the Territory
The company is offering far too little
for the franchise. They are Offering l
a bonus that amounts to about S220- [
O0c, and il today you'd say, Wen
give you the franchise for two and G
one-half per cent of the gross re- Y
neipts and $1000,000 additional they'd q
take 1t in minute. Let this fran $
ohise alone now, gentlemen, it is a
matter for your children to settle v
Former Governor George r. Carter /
next spoke, also in opposition to the .
unless amended. 81 am U
acre as one of committee from the Il
Country Club" he declared, ''to op- e
)ose the franchise, the others beingl
dr. Lewis and Mr.. ]. d. McInerny. | u
want to give you a little experience p
# ours with the company He told $
# attempts made to get the COM U
'any to extend its line to the Coun- p
ry Club, which he declared had been IL
unsuccessful and charged that the IL
'ountry Club had been treated with p'
amt courtesy From this he argued ol
hat the company has given conces- !
ions only grudgingly. u
I'VE feel,' he concluded, "from our IL
Experience in the matter, we have Ii
ght to appeal to the legislature. We III
ppose the franchise unless provisions ai
re put in whereby such questions III
lay be adjudicated, 1t seems to me
lat the solution is In the appointment IN
public service commission. 1t @
MT sufficient to leave this to the
)yernor, who has the authority ia