The Washington times., 1914-02-18
FROM CHICAGO

Chicago, having reached the point
where a general reorganization and
expansion of its transit facilities is
absolutely necessary, the town is de-
batting how this shall be accomplish
ed. Its experience points a moral
that the rulers of Washington might
well consider
A subway system is wanted, and
the town is going to have it. There
are two general schemes for provid-
ing it One is for the city to take
the cash it now has in it's transporta-
tion fund-cash which represents.
broadly, the profits of the present
city ownership of traction interests
and begin building subways from
the loop district, and keep on build
ing them as fast as they can be COM
tcrtahly financed. One faction in
the city insists that it is unneces-
sary to go to financiers for money.
They would take the money the town
already has, and build subways un-
der the congested business section,
so that cars which would run as sur
face cars in the outlying section
might be carried through this most
crowded section in the tubes.
Mayor Harrison does not favor
this plan. He wants to undertake a
more comprehensive one, that would
contemplate pretty complete sys-
tenn at the outset, and that would
necessitate the flotation of perhaps
$iS0,O 100000 of bonds; possibly as
much as $50, 100000. The advan-
tages of this project, he urges, lie
in the fact that it would DO the work
as great unity, and with greater
ultimate economy. And he insists
that it is perfectly possible to sell
the bonds against the system on
such terms that at the end of only
twenty years the city would become
owner OF it.
This is the sticking point. Some
financicrs who have looked into the
matter think it is impossible to place
such q short-term bond. The Illinois
law does not permit a franchise to
be granted for longer than twenty
years. The giving of SO and 999
year and perpetual franchises got
under the hide of Chicago a long
time ago, and the people the,e are
not now disposed to take dangerous
chances; so when the progressive
element was in control it got legis-
lation inserting the twenty-year linn
itation. That limitation is row, as
such limitations always are, urged
by the people who want a private
monopoly in the transit system as a
reason why nothing can be done.
They want the limit raised, the pri-
vatc monopoly term extended.
TIE mayor believes confidently
that with only Il tWenty-year fran
chise it is possible to finance the con-
struction of the great system of sub
ways he wants, SO that the city will
get the property in twenty years.
he is working t. that end.
It will be observed that Chicago
people are divided between two
plans. One is Immediate municipal
ownership and construction, the
other looks to bigger and better
system, with The strict proviso that
it shall come TO city ownership in
twenty years.
Some difference between that and
the situation, for example, in Wash
ington!
here the traction interests insist
that they have ir effect perpetual
franchise; ihr idea of municipal
ownership is secuted by great,
though constantly a lesscnih2, inter
est and influence in Congress. chi
cago wouldn't think, after lot of
public ownership experience, OF I'M
dertakin@ any plan that didn't in
.'olve either Immediate municipal
ownership or that result AZ Il very
early date. And Chicago, DESPITE its
restrictions in the public interest and
protection. manages somehow to find
the money TO carry on its projects on
its own terms.
For Washington it would be cas-
ier, perhaps, than for any other city
of like size and wealth to accomplish
these ends, because of the credit ac-
cruing to this city as Capital OF the
nation. 1t is merely for want of a
progressive, modern policy that
Washington has traction service that
no other American town would sub
NIT TO, and overcapitalizution such
as can hardly be 2aralleled any
where.