Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-05-18
Power to Fix Standards.

the industry. Authority Is given the COM
mission to make changes In such rates of
depreciation.
Power to Fix Standards.
Each public utility is required to have
an office within the District of Columbia
in which all it's books, accounts. papers
counts are directed to be closed annually
December 81 and a balance sheet taken
as Of that date These balance sheets are
directed to be filed with the commission
and a copy thereof transmitted to Con-
gress. The commission is given power TO
ascertain and fix standards for the meas
urement and quality of the product or
service rendered by any public utility, and
to prescribe regulations for examining
and testing such product or service
Any investigation. inquiry or hearing
within the powers of the commission may
be made or held by any commissioner.
whose acts and orders, when approved by
the commission. are deemed to be the
order of the commission. The commits
sion also is given authority TO appoint
agents and delegate to such agents the
taking of testimony bearing upon any in
vestigation or hearing. The recommended
tions of such agents are advisory only.
The law requires that whenever any
public utility or person snail propose
any change in any law relating to the
utility. the proposed change shall be sub
mitted to the commission, which shall
give a public hearing thereon, and the
commission shall recommend such bills
as will in it's Judgment protect the in
terests of the public and the public
utility and transmit them to the proper
committees of Congress. The Commits
sion is further authorized upon any in
vestigation for the purpose of determin-
ing any reasonable extension of street
railroad lines or of service that shall
promise to be compensatory within a
reasonable time. to require such extern
sion TO be made and the terms and con-
ditions upon which it shall be made:
public utility affected
The commission also is required to
keep itself informed of all new construc-
ton. extensions and additions of the
property of all public utilities, and to
prescribe the necessary regulations and
instructions to the officers and employees
of the public utilities for the keeping of
construction accounts. in which the law
declares a distinction shall be made be-
tween operating expenses and new con-
structiOn.
Rates and Dividends Prescribed.
A public utility, with the consent of
the commission. is authorized to prescribe
a sliding scale of rates and dividends &C
cording to the Boston sliding scale, or
other financial device. but if such ar
rangement or device is found by the
commission. after investigation, to be
unlawful or unreasonable or unjust it
is given power to cause it's abandon
ment. The commission Is further author
lied to determine and order such rates,
charges and regulations as may be neces-
sary to give effect to such arrangement,
with the reserved right to make other
and further changes in rates, charges
and regulations as it may determine to
be necessary and reasonable.
The public utilities are required to fur
nish the commission itemized information
regarding depreciation. salaries and
wages. legal expenses, taxes and rentals,
the value of material used. receipts from
reSidualS, by-products, services, sales,
total and costs. net and gross profits,
surplus and reserve. prices paid by con-
and such other information the
may deem necessary in order
to show completely and in detail the
entire operation of the public utility in
furnishing its product or service to the
public.
In the annual report Of the commission
It is provided that the value Of all prop
erty actually used and useful for the con-
venience of the public, the value Of
which has been ascertained by the COM
shall be reported.
Testing Service and Appliances.
The commission is authorized to make
tests of all appliances for measuring the
product of service of public utility, and
the consumer is given the. right to ask
for such test upon payment of fee fixed
by the commission. If on such test the
appliance is found defective, or incorrect,
the fee is repaid to the consumer and
charged against the public utility. The
of rates. tolls and charges are
required to be open to public inspection
and cannot be changed without an order
Of the commission.
Under provision of the public utilities
law. and also law passed by Congress
on the same day. known as the anti
merger law" public utilities are prohib-
tied from assigning their franchises
without the approval Of the commission
and 1t is made unlawful for any public
utility to acquire the stock or bonds of
any other public utility engaged in the
same line of business unless authorized
by the commission. The "antimergeI
law prohibits any foreign public utility
or foreign or local holding
or any local public utility
to own control, hold or vote
the stock or bonds Of any public utility
corporation authorized by Congress to
do business in the District of Columbia,
except as expressly authorized by Con-
gress. In case a violation is claimed
of this law. the allegation filed in court
must show to the satisfaction Of. the
court that the ownership includes at least
20 per cent of the capital stock of the
local public utility In case violation
of the law is proven. the court has juris-
diction in equity to dissolve any such
local public utility corporation which is
exercising a franchise under any act OF
Congress. and to require a foreign pub
lie utility corporation, or foreign or To-
cal holding corporation to sell or dispose
Of stock or bonds held contrary to the
provisions Of the law and to refrain from
voting such stock or bonds
1t is provided that the boards of d.
rectors OF every public utility shall
consist of not more than fifteen, nor
less than seven members.
All Deals Must Be Approved.
Public utilities are prohibited from
issuing any stocks. certificates of stock
bonds or other evidences of indebted
ness, or to reserve any money, prop
erty or services in payment Of the
same until there shall have been re-
utility corporation a certificate Of the
the public utilities are prohibited from
issuing any such stock, stock certifi-
Gates. bonds. mortgages or other evil
dence of Indebtedness, payable in more
than one year from date without the
authority of the commission. Public
utilities are prohibited from declaring
any stock, bond or scrip dividend. or
to divide the proceeds Of the sale Of
any such among it's stockholders. A
penalty is provided for violation of
this provision of mot less than $1,000
nor more than $4,000 for each offense.
The giving or acceptance of rebates
also is prohsbited' under penalty.
- Ito.