The Washington herald., 1913-03-11
UTILITIES BOARD
IS In CONTROL
Not Hampered in Its Action
by the La Toilette
Amendment.
LOCAL STOCKS STEADY
Wall Street Markets Are Weak on
Foreign Selling and Gold
Exports.
LOCAL STOCKS STEADY
By I. A. FLEMING.

By I. A. FLEMING.
The La Toilette amendment does no
take from the Utilities Commission thu
right to do just about as it pleases ir
the matter of approving mergers. ant
otherwise governing the utilities of the
District
This authority was given by Congress
in the enactment of the measure.
Paragraph 76-That no public utility
shall issue any stock, certificates of stock
bonds or other evidences of Indebtedness
secured on its property in the District
OF Columbia, for the purpose of any re-
organization or consolidation, in excess
of the total amount OF the stocks. bonds
or other evidences of debt then outstand-
ing against the public utilities then re.
organizing or consolidating, and no such
public utility shall purchase the property
of any other public utility for the pur-
pose of effecting a consolidation. until
the Commission shall have determined
and set forth in writing that said con-
solidation will be in the public interest,
nor until the Commission shall have ap-
proved in writing the terms upon which
said consolidation shall he made.
Paragraph 54-That no franchise nor any
right to or under any franchise to own
or operate any public utility, defined
in this section. or to use the tracks of
any street railroad shall be assigned.
transferred or leased. nor shall contract
or agreement with reference to or af-
fectinS any such franchise or right
be valid or of any force of effect, what
ever. unless the assignment, transfer.
lease, contract or agreement shall have
been approved by the Commission. The
permission and approval OF the commits
sion to the assignment, transfer. lease
OF franchise under this paragraph. shall
not be construed to revive or validate
any lapsed or invalid franchise or to en-
large or add to the privileges contained
in the grant of any franchise or to waive
any forfeiture,
May Merge.
And this closing to paragraph 81:
1t shall be unlawful for any street
railroad corporation, gas corporation.
electric corporation. telephone corpora
tin. directly or indirectly. to acquire the
stock or bonds of any other corporation
incorporated for or engaged in the same
or similar business as it is. unless au-
thorized in writing to do so by the COM
mission. and every contract. transfer.
agreement for transfer. or assignment Of
any such stock or bonds without such
written authority shall be Void and OF
no effect.
Full Confidence.
1t Is necessary for the public utilities
of the District to take the commission
into full confidence before doing any
thing. The construction of gas or
electric plant without the approval OF
the commission is prohibited: all meters
shall and must be inspected, scaled. &c.
by the inspector of the commission.
The commission has the power TO name
its own officials and subordinates. 1t is
the sole judge. the sole arbitor Of the
utilities. subject always to revision by
the courts. time limit for appeal to
courts of 12o days is set.
In word. the utilities commission
will have much the same authority that
the Interstate Commerce Commission ex-
ercises over railroads. even to specified
methods of account keeping. and the
fixing of rates. 1t has power to order
extensions of service. and when the
utilities resist contentious and are de-
clared to be in the wrong, the cost must
be assumed by the utility corporation.
Schedules. contracts for equipment.
practically everything, must be 20.
X d" by the commission.
The District Utilities Commission came
into existence yesterday afternoon. Be-
cause of the fact that Col. Chester Har-
ding. the Engineer Commissioner is sure
TO hold his position for three years. he
was named as chairman, and Commits |
SlOner RudOlpn Is the one Otner avail |
able member Commissioner Johnston
is ineligible. having an interest in GER
tain stocks and bonds of utility corpora |
tions
Corporation Counsel Thomas became !
legal adviser to the Utility Commission. |
The commission has $4,000 available for |
immediate use. and il is likely that mat
ters of moment may he brought before |
i; in the immediate future Hearings for |
H,r1T -
cation.
Stock and scrip dividends are prohibit
cd by the utilities measure.
Like 1t.
Washington financial interests are in
clined To look with favor on the utilities
law. as a whole. It is admittedly a safe
guard TO investments. it checks further
issues of securities. unless necessary in
the interest of the corporation asking
permission for an increase, judged by the
Local Securities.
TIL" local market was broader than it
appeared. many buying and a number of
selling orders being just little above
OF below current prices. And it is in
vestment buying, with never bit of
speculation. Prices acted well again
showing complete reversal of form to
New York trend and showing conclusive
ly the Indifference of this market to the
speculative centers' trend
There was a market for Railway Is in
any quantity at S.. Traction 5s were
wanted at llO. Other bonds were slow,
but held firmly.
Railway preferred eased from S8li to
*. but this price was bid without sellers
at the close. The common brought Sils.
Washington Gas sold at 81 3-S and after
af 70 tr-itI
and s. 3-S bid.
For once bank stocks were entirely
neglected. An imperative order on Mer-
resulted in the sale of > shares
It 213 IA ex-dividend.
The Riggs National Bank declared its
regular Is per cent semi-annual dividend,
'ayable April II.