The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1913-12-18
"A CITY UP in ARMS /
INST PHONE COMPANY'S
ROPOSAL TO BOOST RATES

increased only $4,000 a year by the
now tariffs. This Is TO cover the W.
900. 00v, which. he estimates, VIII De
spent In the installation OF new cir
cults. registering devicessgAQd the
other changes which will be made
necessary.
In San Francisco, where there Is a
metered service for business phones
and for some residence phones, there
are over 10000 nickel-in-the-slot tele-
phones. The company's statement
shows: Business phones, metered, s.
6S4; business phones. nickel-prepaid.
9,753: residence phones, unlimited
service, 1861: measured service, q
ss6: nickel-prepaid, 2l,s62; private
branch exchanges, extensions and
miscellaneous, 3S,16S.
Mr.. Won Schlegell says that he does
not believe the rates announced by
the Michigan State company Will
cause the nickel-prepaid telephone 10
become so overwhelmingly popular
here as II has become In San Fran
cisco.
There will be number of nickel
phones installed In barber shops,
restaurants and small stores" he
said. But most people will find II
more economical TO install two-party
or individual lines"
In other words, II the telephone
user has to make two calls day. II
will pay him to use the twopsrty line.
for which he w1ll pay $50 a year,
whereas he is now paying $24. II he
has to make three calls a day. II will
pay him to put in an individual line.
for which he will pay about Sal.
whereas he Is now paying $24 on /,
fourparty line. or $40 ON q two-party
line.
Comparison OF Detroits system with
Of San Francisco Is not embarrassing
Frisco had SS.274 phones In 1912.
Detroit has about $4,000.
'FTkco's business rate for $50 calls
q year IL $50. Detroit's. for 1000
calls, under the proposed schedule.
would be S57.
'Frisco's business rate for l3,200
calls year is $2S4s4 Detroit's
would be 1864.
Detroit's residence rate would be
much cheaper than San Francisco's.
however. In Frisco. $50 calls a year
amount to $50. and 2,400 would cost
about SEQ. whereas in Detroit. $50 an.
nuai calls would cost 339. and 2,400
would cost S46.
Mr.. Won Schlegell says that business
telephones ought to be more expensive
than residence phones, because of the
nature Of the telephone business.
''It means q great deal to the mer-
chant TO have as many residence tel
ephones as possible" he said. In
some places the merchants have come
together and built telephone lines TO
connect them with their customers,
with little or no cost to theN.ustomers.
II the merchants could bear the entire
cost we might put telephone in
den il too great for them. and they
would not get adequate returns.
Housewives declare that II the new
tariffs are enforced, they will instruct
their tradesmen to call at the house
for orders. instead Of taking them over
the telephone. Or. II the merchant
prefers. he can telephone the house
and ask for the order which the house
wife now transmits on her own call
or course, the merchant will reply by
boosting the price of his goods. and
the housewife will bear the added bur-
den, whether she telephones or not
Asked II the Detroit Housewives
league would take any part in the tel
ephone debate, Mrs. Alfred o. Dunk.
its president. replied:
Certainly not While we realize
that the proposed change In rates n
. ~~.~.. t~~y,cr<op vpaftcr xvo feel that
we have enough to attend to now with
out adding to our problems"
Late In 1911. after an investigation
ordered by the common council. Judge
Hally. then corporation counsel. sub
mitted an ordinance establishing q
system of rates. under q metered sys-
tenn. The ordinance was referred to
committee. where Vt died.
IL have nothing to say, further than
what | said In that ordinance" said
Judge Hally. when asked, Wednesday.
II he would comment on the proposed
rates.
The Hally ordinance fixed $3.50 .
month. or $3.50 q year, for 200 calls
month on q one-party line; $50
month, or $21.60 a year, for 100 calls
month on q two-party line. and 81
month. S12 q year, for so calls q
month on a four party line. Calls N
excess Of these numbers were TO cost
one cent each.
The company proposes to charge
as for 200 calls q month on q one
party line. 34z a year for 100 calls on
two-party line, and Ave cents q mes
sage on a fopr-party line, or $50
year for so calls month. However,
on twoparty line IL will give SO calls
a month FOR $27 year.
Telephone engineers claim that the
rates named in the Hally ordinance
are no more than Detroit telephone
users would have to pay. IL they were
not saddled with the necessity OF pay
Ing for the lines which the Michigan
State Telephone company have acQuir-
ed In stamping out competition.
Mayor Marx Asks Other
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