Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1913-03-20
Hearing Develops Grave De-
feGts in P!ans-S;mpIer
Substitute Is Suggested

J I@tuFt, SHOWN HOW iHGS are lntCtl-
sistent and inapplicable to utility cor
rorations in the territory-in fact,
! how no commission can assume cor
| uOl of the principal utility. concerns
i'll the islands, a committee REPRESENT
ing the Honolulu Chamber of Com
| mCrCe. the Merchants Association
and the Hawaiian Sugar Planters As.
ISOLATION appeared before the house
| judiciary committee at its public hear
ing last night with voluminous re-
Fort that occupied two hoers IN the
reading.
At that, only the principal poin S
cf the report were touched upon. L. A.
Thurston and Attorney ID. l.. Withiug-
ton look turns in reading the printed
discussion, which had EaeR prepared
by committee consisting. besides
themselves, of C. r. HemenwaY, r. b.
| Anderson and A. l.. Castle. ~.
First, they showed that except in a
few minor points. all three public
| utility measures now before the legis-
lature, one in the house and two in
the senate, are identical and that they
incorporate almost bodily all the fea-
lures of the California act. one of the
most drastic pieces of legislation on
the subject enacted in the States.
They explained that these provided
| for the commission control of virtually
| every department and line of activity
OF the utility corporations, including
rates, rules and regulations and issu-
ance of stocks and bonds.
No Power Here. Ill.,. r..
Second, they DEVELOPED the fact tdat
this system cannot be applied to cor
/ porations in Hawaii because OF fed
| eTal control and the franchises given
the more important concerns here by
congress; that over. these companies
a territorial commission could eXer-
else very little, if any, power. IL.
Third, they explained that the most
satisfactory and perhaps only feasible
commission that can be provided here
at present would be one similar to
those existing in Wisconsin, New York
and Massachusetts,. They recommend
ed that it be given authority to work
! for the abolition of secrecy and COM
| rel publicity of corporation affairs;
have the power and duty to investi-
gate all utility company finances,
rates, regulations, and charges against
the concerns, and to make public its
findings; the power and duty to rec
ommend rates and charges. +
The bills now in the legislature
would provide for complicated COM
mission bodies, highly eXpensiYe; the
report states the territory could not
maintain them for two years on less
than 100000. The committee recon-
mends that a commission be chosen,
as for instance, selecting the terrific
rial secretary, the attorney general
and the superintendent of public
works, giving them a stenographer
and secretary, and thus handling the
subject at less expense and at the
same time accomplishing the desired
result ""- :-. /:
Because of existing franchises,
granted by congress, and because of
the interstate commerce law and the
general federal statu es applying to
concerns within the territory, the re
port enumerated the following island
! corporations over which a territorial
commission could have either very
small or absolutely no power: The
O. r. & l.. CO., Honolulu Rapid Tran
sit and Land Co. Mutual Telephone
| Co, Hawaiian Electric Light Com
pany, Honolulu Gas Company, Island
Electric Company of Wailuku, Maui;
I4ahaina Ice Company. Pearl Harhor
Traction Company, Kau Ditch Com
Eany. Hilo Street Railway Company,
!
cause it's traffic is over the high seas
and passes outside the three-mile
limit. the committee stated that ter
ritorial body could not exercise iuris-
diction over the Tnter-ISland Seam
and Navigation Company. .
Attorney D. L. Wilmington pointed
out clearly and in detail the difficult
ties that arise when an attempt is
made to apply the far-reaching bill
drafted for the California situation TO
the peculiar situation in Hawaii. On
this subject, he said:
when, however, we come to the To-
cal situation, the act is in direct viO-
lation of the general policy OF Con-
| gress shown in the organic act, which
reserves the granting of franchises to
| lile COHJIOl vi .NOuSIPSS tHu COUlHllIS
to the superintendent of public lands
and the superintendent of public
works powers and duties sought by
this act to be imposed on the proposed
commission; with the explicit dec
laratiOn, in the recent Hilo street rail-
road act that Congress may authorize
the regulation of public utilities in
| Hawaii--Which it has not yet done
with the recent legislation which has
brought the Hawaiian railroads under
! the interstate commerce act, with va
rious charters which are contracts not
subject to change By legislation, with
! the congressional charters which
have inconsistent provisions and
which can only be changed by Con-
Gress, and with the power of Congress
t" regulate commerce on The high
seas. .- .:.s.~
"'Fhn following is moro schedule
Of the various acts of Congress, con-
tracts and charters which cannot be
! changed hy the proposed LEGISLATION. .