The Washington herald., 1912-01-28
ROTHERMEL WILL
FORCE Gas BILL
Measure for the Purchase of
Plants of Local Companies
Soon to Come Up.
CONCESSIONS TOO LATE
Pennsylvania Declares ANY Cut in
Price Now offered Could Have
Been Made Years Ago.

Following a conference between Repre-
sentative RothermeI, of Pennsylvania
author of the bill which provides for the
purchase by the government of the
Washington and Georgetown -Gaslight
companies, and Chairman Ben johnson,
of the House District Committee, the
latter announced yesterday that the
measure would be taken up at the earli-
est opportunity, which means that II
probably will be considered at the meet
ing next Friday.
After the conference Representative
RothermeI declared that his bill would
be pushed. regardless of any concessions
made by the corporations to the District.
This remark was occasioned by the an
nouncement that with the introduction
of his bill President Joseph Letter had
offered to allow the District Commits
sioners to audit the books of the Wash
ington Gaslight Company, with the sup
POSED idea of permitting another reduc-
tiOn in price IL the profits are found to
be excessive.
why Cut Price Nows
If the companies can cut the price OF
gas now said Representative Rother-
mel, ''the gas company could have made
the cut years ago. The offer at this
time, made voluntarily to the District.
IS the result of the publication by the
District Commissioners of the dividends
declared during the last year, which are
10 per cent higher than they were in
1910"
Other members Of Congress besides Mr..
Rothermel are inclined to believe that the
''submissiveness" Of the gas company is
an effort to avoid the consequences of
the Pennsylvanian's drastic measure. The
proposition to buy the gas works and
learn from experience what gas can be
manufactured and sold for is decidedly
popular in the Lower House, the members
argue. This makes some cOnciliatory
step on the part of the company officials
a necessity.
Not 10 he Harsh.
Mr.. RothermeI stated emphatically that
il was not his desire to deal harshly with
the company. His proposition, he ex-
planned. was simply to purchase the
properties of the two companies at sum
approximating the physical valuation. and
was no more unjust than an offer to pur-
chase house, an acre Of land, or any,
thing else
Chairman johnson declined to say yes
terday whether or not he favored the idea
of municipal ownership.
In response to the recent letter OF the
Commissioners, Joseph Letter, president
Of the Washington Gaslight Company.
Yesterday notified the District officials
that he will place in their hands at the
earliest possible moment a statement OF
the true valuation of the property Of the
corporation. II the valuation shows, as
the Commissioners believe 1t will. that
the dividend OF S624. 900 for 1911 was a
fair return on the amount invested, the
company will be requested by the Com
nissioners to reduce the cost of gas in
compliance with an agreement made on
December E. 1910.
The agreement was to the effect that
the company should, on and after the
lst day of January, 1872, make a further
reduction Of the gas rates. provided that
an analysis Of its account for the year
1911, operating on an Scent basis, should
show that the company could make a
further reduction without sacrificing its
legal right to a reasonable return on the
value of the property employed in the
conduct of its business
Since the reduction of the rates on
January l, 1911, from 81 to s. cents. the
net corporate Increase has been 10 per
cent. The company several days ago in
Vited the Commissioners to inspect their
books, but the District officials declined
the offer.