The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1916-11-17
CONTINUED
FROM PAGE I


PHONE ExTORTI0N
hERE IS EXPOSED
entire state. To charge less or
more for tho same service 10 u res
dent OF the city OF Tacoma than
Ia charged 10 q resident OF tho city
Of Seattle for a like service is AZ
much a violation OF this statute as
TO charge less or more for the
same service 10 different residents
" the same city.
The records will show that n
business man IN the city OF Tacoma
Is charged s. for a telephone; that
the charge In the city OF spokane
Is 81. while the charge In ,h. city
N Seattle for the same service Is
g. 80. This ~ direct violation OF
the statute. The telephone com.
pany for a long time has urged tho
doctrine that Rs the population OF
a city increases the cost OF Hery.
Ice per phone increases.
Here's the Truth
In the controversy between the
cities Of Aberdeen and Cosmopolis.
tire telephone company. however,
took the position that higher rate
mus, be charged the city 81 Cos.
for the reason that the
Of Cosmopolis was less
than that OF the city OF Aberdeen.
The truth 10 that, az the pop
ulation increases up 20 the lin
II OF service by an exchange.
the cost OF service TO the Ind.
vidusl phone decreases. Any
other theory 10 contrary 20
common sense.
Up to the Haturailon ~ the Ell
change there e. no increase IN over
head. The Increase In expenditure
BE- gins when now exchange must
be- created to develop new dis
lrict.
Seattle 10 Easy"
A business exchange In the city
81 spokane or Tacoma IL a dupit
cate OF the exchange in the city Of
Seattle rho cost of material and
Iabor Is tho same. The only rea-
sou that tho Seattle business man
In charged more for this service
han the SPOKANE business man or
the Tacoma business man IL that
The Seattle business man Ia easy"
Does tho Seattle business man
pay NOR. for telegraph service. au.
service. street car sery.
Ice. hotel accommodations No.
the conditions being similar. the
charge "a the same. The telephone
company alone gets away with a
higher charge for tho same service
aud the Seattle business man
seems 20 like n
Profits Here Larger
According to the figures given
but by the public service commits.
sion as now constituted. the net per
cent return 10 the telephone com.
pany from the city 81 Seattle IL ap.
twice the return OF the
FIFTY OF spokane. and nearly four
lines the return OF the city OF TIA.
coma upon the investment
Upon the commissions own
showing. there was no reason 20
Increase tho rates In the city OF Sc
attic wi,hou, a much greater In.
crease In the cities Of Tacoma and
Spokane Tacoma and Spokane
business men will not stand for the
Increase. 20 the whole burden Is
placed upon Seattle business
The California commission reduc.
rates and the telephone company
aid not appeal.
An Example OF Estortlon
One OF the dearest illustrations
of telephone oKtortion. II rates are
10 be based upon investment. Is In
The charge for the use OF the cx.
tension telephone. The main phone
costs the subscriber $3.50 per
month: tho desk phone costs 81
per month. The investment OF the
telephone company for the desk
phone. prior to war prices. was ap.
Sc Under present
prices the desk phone investment
h $1,000 and the wire ~ cents
per foot. the total cost not exceed.
ng eli Upon this Investment OF
Is I'm ordinary times the telephone
receives a return OF $1,000
, year. or 200 per cent. during war
lines little over 100 per cent.
Instead OF applying Section IL
or the benefit and equality OF all
he people Of the state. II has been
used in this case 10 Justify an In
'rease in rates voluntarily estab.
ished by the telephone company.
Chance for City Phones
Mr.. Burleson. postmaster general
u the United States. recommend.
ID to congress that all electrical
means OF communication should be
inder the control and management
n the postal department. In case
II war. this would be absolutely
necessary. AS n simple matter of
the government
'hould control and operate all cleo.
rical means OF communication, tel.
,phone and telegraph as we'll.
The city OF Seattle. now own.
ng an electrical plant. and having
wires and poles over almost the
'ntire city. could most easily de-
'elop a telephone system for the
lse and benefit OF the business
men OF the city. The poles that
low carry the electrical wires could
AIRY telephone wires as well, and
instead OF the business man being
'equired to pay each month $3.50
'or telephone service. the service
'ould be furnished on a basis some
what similar to the basis upon
which the citizens of Seattle now
enjoy light and water. ~
City Owes People Service
The tclnDhoup 20 n ,podorv No