Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-02-08
DEBATED IN Senate
CONTINUED from Tenth Page.)

utilities to control the District of Column
bia corporations. and we did not have the
requisite information to go very thor
ough1y into 1t.
There is no indisposition on the part
Of the committee to meet the views Of
the senator from Texas. Certainly there
il no such indisposition on my part, for ]
believe the question is one OF the utmost
Importance. / believe 1t would go fur
Their than perhaps anything else in con-
trolling the corporations Of the country
to limit them to the business for which
they are created. If they are engaged
in interstate commerce they ought not
to be allowed, through holding companies
or by indirect methods, to reach fields of
activity which they were not created to
reach.
II am sure, as said, that this is more
than a local question. We have not I'M
dertaken to deal with it very thoroughly
in the District Of Columbia. feeling that
1t would not amount to a great evil here,
in view of the law already existing,
which the senator from New Hampshire
has read. But so far as / am concerned
and SO far as the committee Is concerned,
in my opinion. we would not be inimical
to an amendment perfecting the bill. We
thought We had done about all We could
do to commence this innovation here and
to improve the conditions in the District
of Columbia. but l do not believe the
committee is at all inimical to an amend
ment along the line Of the suggestion OF
the senator from Texas"
In view of the statements of Senators
Gallnger and Martin, Senator Bailey
remarked that lie would not press the
point at this time. but would leave 1t
to the District committee to work out
Valuation and Rates.
Senator Cummins Of Iowa, who b re-
garded as an expert in statutory regu-
lation of public utility corporations
through his work in Iowa, was the next
to object to one Of the provisions of
the bill. He directed attention to the
provision of that section relating to a
physical valuation of the properties Of
the public service corporations and to
the fixing of rates in view Of that valua-
tlon. which says:
The commission shall provide for such
depreciation in fixing the rates, tolls and
charges to be paid by the public. All
moneys in this fund may be expended In
new constructions. extensions or add lions
to the property of such public utility or
invested. and if invested the income from
the investments shall also be carried in
tn, depreciation fund"
Does the senator from New Hampshire
contemplate that there shall be rates and
charges for public service sufficient 10
accumulate a depreciation fund that will
enable the company to build new lines o..
to add to its existing lines and in that
way supply capital account instead o.
a depreciation account Mr.. Cummin )
wanted to know
In replying. Mr.. Gallinger explained
that the section was taken from Wis
consin law, and it was thought that
the depreciation fund might be used
for the purposes enumerated.
Il do not think there is any thought
that they are going to accumulate a
great fund and in that way build new
lines of railroad or new gas pipes, but
that there should be more or less ac-
cumulation. think, goes without say
Ing" he added.