Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1914-12-04
LETTER NFAVOR
OF FRANCHISE TO
GO1OCAP|TAL

that bill Safeguarding the rights Of
the public in every reasonable respect
has been submitted to Congress for
its approval. - -. -
"The advantage of the proposed
franchise to the public may be indi-
Gated by the fact that where the pre-
sent franchise, which expires in 1880,
allows capitalization of 50, 750, 000. 90
and permits a naximum' dividend OF
not to exceed per cent per annum,
capitalization based on the cost Of
equipment. the proposed franchise linn
its the capital to $1,000, 000.oO, with a
maximum dividend of not to exceed 8
per cent per annum, and on its ex-
piration in 1850 the: railroad will au-
tomatieally become the property OF
the public, the capital investment be-
ing protected by sinking fund pre-
yided for out OF. the net earnings. ~
'For some unknown reason this bill
has been in the hands of the commit
/ tee for considerable time and so far
as we are able to ascertain no action
has been taken, on IT.; should this bill
fail of approval by Congress before ad-
=
"The Public Utilities Commission Of
Hawaii believes that unless good rea:
sons exist, which have not heretofore
been made known, the said bill grant.
ing an extension of 90 years to the
corporate life of the Honolulu Rapid
Transit and Land Co. should receive
the approval of Congress-, and 1t re-
specially requests that you interest,"
yourself in this matter, believing th9s
the influence that can be eXerted by
your office will be most efficacj6us
In obtaining action on the part Of the
committee having the matter in
charge. 49, -. = ~ = r
According to statements which
have been made by CommisSl toner's ].
NJ. 8. Williams and A. ~ Gignoux.
there is very little chance Sfs the Pub
lie Utilities Commission tai ing up the
governors letter. for any further con-
sideration. 1t is the Eoncensus of
opinion of the commission sthat fur.
Ither action lies with TIE transit COM ,
paRy. e# kfff&
The governors report and the COM
mission's communication to the Sec
rotary of the interior is an outgrowth
of recent meeting Of the commits
sion at which Deputy Attorney-gener-
al Arthur G. Smith brought up the
matter of the long waits which pat.
rcns CT the company often are sub
ject to at points of transfer, from the
fact that o passenger might hold
transfer good only, for a certain line
while he might, take the car Of an /
other line and therefore save consid- I
cradle time. 3, q. ~".
Mr.. Ballentyne's reply to, Mr..
Smiths query, and further action by
the commission, are set forth in the
following statement, taken from the
minutes of the meeting: -. =
Mr.. Ballentyne stated that the
matter Vas one which could not be J
controlled with singletrack system.
II the syttem was double-tracked, no
such inconvenience would occur. II :
the new franchise was passed by con-
gress the company would be in q Pc
sition to double track more of its sys-
tenn than at present, and more cars
could be operSted It is the com
pany's Intention to double track King
street its entire length, thus allowing
the Waialae carr to come in on King
street In this hammer it would al.
low q. car about 4yery three and one
half minutes along King street. Fl
The acting chairman. stated that
at present the commission has no ju. ]
risdiction over the Rapid Transit and
Land Company until the new fran
chise. which was passed by the last
legislature and which now is pending
in Congress, is approved. The aetna
chairman stated further that he is ]
of the opinion that the commission
should address the secretary of the
interior, through the. governor, urs.
ing the passage by Congress of the
new franchise Of the Honolulu Rapid
Transit and Land Company . go 4