Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1914-11-24
Y TRANSIT MATERIALS, NOW THEY ARE CHE

ooo.oo0 available for transit development
\ under the terms OF the personal propert,
i tax act without including the otherwise
| general borrowing capacity
Prompt and formal action should nov
be taken by City Councils definitely es
tablishina the routes and submitting th'
routes adopted and the plan Of the mu'
nicipal development to the Public Service
| Commission OF the State OF Pennsylvania
for approval
WAY CLEAR FOR ACTION.
The way is now clear for the talsins
OF each and every one Of these steps
and l confidently believe that II the peo-
pie Of Philadelphia clearly demonstrate
that II Is their will that these steps be
taken by the municipal authorities forth
with there will be no further delay In
beginning the construction OF the high
speed system.
The holding Of an election by the peo-
pie to vote on an increase in the city's
Indebtedness for transit development will
enable the people to express their will
with relation thereto. II the people OF
Philadelphia insist on an opportunity
being given them promptly to so express
their Will, they should be given the oppor-
tunity to do so at once.
while formal action has not yet been
taken by City Councils definitely estab-
hshing the routes of the recommended
hiBh-speed lines, we should ali recognize
that through cooperation OF City Coun-
ellis In making the necessary appropria-
uons Tor the establishment and mainte-
nance OF the Department of City Transit
rapid progress has been made on the
plans and specifications for the recon-
mended facilities, and the time is now
ripe for formal action officially adopting
the routes
AT the present time there are 81 mon
AZ work In the department, including reg
ular and consulting engineers, draughts-
men, transitmen, rodmen and others. The
department through councilmanic Coop
Grafton has been fortunate in securing
the services of some of the best qualified
engineers In the country, experienced in
the design OF subway, elevated railway
and drainage structures"
After explaining the cost of the pro-
posed high-speed lines, Director Taylor
continued:
"A resolution proposing an amendment
to the State Constitution which was
acted upon favorably by the Legislature
at the last session will be introduced and
acted upon for the second time at the
Forthcoming session as required. 1t will
then be voted upon by the people at the
November election in 1915.
This amendment will authorize the
city of Philadelphia to borrow UP to 10
per cent. of the assessed value Of taxable
property; the present limit is per cent.
The further increase in borrowing ca
pacity thus provided will be over &c.,
900 900.
Furthermore the amendment will au-
thorize the city to capitalize and pay out
Of loan funds all interest and sinking
fund payments accruing on bonds issued
for transit development during the con-
struction thereof and for one year after
the beginning of the operation.
THE amendment will also enable the
city to issue 5O-year bonds instead of
s0-year bonds. thereby reducing the an
nual sinking fund required to extinguish
the bonds at maturity from 4A per cent
TO per cent
This means that the city's average an
nual fxed charge on the bonds issued
for transit development under the terms
Of the constitutional amendment will be
by ~ per cent. The city now
pays per cent. interest and 2lh per cent
10 the sinking fund. total of 6IA per
sent. on money borrowed. Under the |
terms of the amendment the city will
only have to pay per cent. interest and |
per cent. to the sinking fund, or per
cent. on the money borrowed. This pro-
vision will greatly reduce the city's an
1ual fixed charge, which. as stated, would
otherwise be. under existing legislation.
2, $4,000 per year.
The plans and specifications for the
Trankford elevated line will be completed
N January.