The midland journal. (Rising Sun, Md.) 1885-1947, 1916-09-08
CUT BRIDGE TOLLS IN TWO.
Public Service Commission Puts
Crimp In Extortionate. Charges
OF Perryville Bridge Co.

Crimp In Extortionate. Charges
i OF Perryville Bridge Co.
In an exhaustive opinion handed
down by the Public Service
Commission the toll charge now inn
posed by the Havre de Grace and
Perryville Bridge Company are prac-
ticaliy cut in two. The Commission
went into every detail of the ques-
tion, beginning with the property.
the sum paid for it, the amount since
expended and the returns to the in
vestors
The earning capacity of the prop
erty regarded as the most important
element in arriving at the actual
value was reviewed at length. In
passing on this question the Commits
sion says:
When we find a property which as
I'M this case cost its owners but
$1,791.94 in cash and has earned it's
owners net profits ranging from
$3,S3S.67 in 1910 to $z4,I5910 in
1915, and enables them during that
period to distribute $4,000 of divi-
dends among themselves, it would
be but reasonable to say that, judged
from the standpoint of earning capa-
city alone, the property is most GER
tainly one of considerable value,
value far in excess of the amount
actually paid for the same.
To determine the physical value
of the structure, the Commission
made a careful investigation which
was based on the reports of the engi-
neers representing the company and
the Commission and they reached the
conclusion that the bridge could be
replaced at cost of $35O,OO0, but
the structure would be entirely new,
and not as is this one, SO years old.
The Commission also took into con-
sideration, the fact chat the bridge
would be valueless if il were not for
the franchise enjoyed from the state
making the bridge part of the state
highway leading from Baltimore to
Elkton. After taking all the equities
into consideration, the Commission
concluded that for rate making pur-
poses of the present time fair value
of tn property is $25O,00O. This sum
includes such amount as the COM
pany may find it reasonably neces-
sary to carry on hand as working
capital.
The Commission found the rate OF
tolls at present charged to pedest-
rians and others crossing the bridge
are excessive, unjust and unreason-
able, and made schedule of charges
1, 1916.
Foot passengers will be charged
three cents each, round trip five
cents, wagon loaded or empty, drawn
by one horse, Is CENTS; two horses,
us cents; carriage, one horse, not
more than two persons, 15 cents;
two horses, not more than four per-
sons rs cents; bicycle and rider, five
cents; motor cycle and rider is
cents; automobiles, occupied by not
more than seven persons, SO cents;
auto vans and trucks, $3.50.
On or before October 1, 1916, the
company shall cause to be opened in
some safe depository, TO be approved
by the commission, an account to be
known as its :" main depreciation re-
serve account" which account shall
bear interest at a rate of not less
than per cent, and be compounded
not less than annually, and shall pay
into said account on or before Octo-
Der /, 1916, out of surplus cash in
hand, the sum of $18,566.97, with
the future sum of $643.05 on or be-
fore December 81, 1916, and an
nually thereafter on or before Dec.
81 in each year the sum of $2,572.17
out of receipts from operation, ahead
of dividends, which funds shall not
be subject to drafts by said company
except with the prior approval OF
this commission, but shall be held
for the purpose of making extraordi-
nary repairs, structural changes or
requirements of the company's bridge
property, when and as required; pro-
vided, however, that if the directors
OF the company shall find it in
expident to withdraw the entire
sum of $1S,566.97 from the COM
Epany's cash in hand, the full amount
OF the deposit may be extended to q
future period as the commission may
direct. AZ