Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-04-24

With but one or two exceptions these
questions were answered in the az
firInative III. -.
1t was the opinion of the committee
that the Rapid Transit would have No
objection to paying to the city and
county ~ per cent Of its annual gross
receipts should the proposed new
charter be ratified by Congress. Dur
ing the discussion on this question
Commissioner Williams suggested
that this payment to the city and
county be used for road work. II was
also intimated by the Rapid Transit
committee that, in case the new char
ter is ratified this year, the Rapid
Transit would pay to the city and
county 2Is per cent of its gross earn
ings for the year 1916 In this con-
nection Chairman Forbes stated that
there Is little doubt that the new
charter viii be passed in Congress
this year HI
Based on Utility Business. p: .....:
This proposed payment to the city
and county means a percentage of the
gross receipts from the utility bust.
ness of the Rapid Transit, including
the carrying of passengers and freight.
Incomes from the baseball park, aqua
rum and rents are not included.
There was considerable discussion
over a question asked by Chairman
Forbes whether the Rapid Transit
would be willing to give an indemnity
bond to the city and county for the
protection of its streets. Manager
Ballentyne wanted to know the pur-
pose of giving bond. Chairman Forbes
answered that its purpose would be
so that the city might feel protected
in case it came to the necessity OF
having to repair some of the COM
pany's work. -. -@
THAT is all provided for in our
present franchise Attorney Withing-
ton remarked. ~. =. II
Details Talked Over. ...,.>. -. 49,.
Chairman Forbes asked whether the
company, in the event of the passage
of the franchise, would carry depre-
citation fund, no part of which should
be taken from other funds.
You mean that the years deprecia-
ton be put in cash fund by itself,
and that II apply to renewals?" Mr..
Peck inquired.
Exactly answered Chairman
Forbes But this fund would not
cover repairs. 1t would be merely a
replacement fund. In other words, the
fund would be of size so that the
company would not be handicapped
for ready money to make any replace
ments.'
In the matter of an indeterminate
clause in the proposed franchise it
appeared to be the opinion of those
present that such a clause would be
necessary There was little argument
on this point.
Revertfng to the depreciation fund,
Chairman Forbes stated that all pro-
posed extensions by the company
would be made out Of its capital, and
not from its earnings. He added that
he was not opposed to depreciation
fund sufficient to take care of 20 per
cent of the company's entire installa-
ton.
Regarding the indeterminate clause
by which the charter might be re-
yised or entirely set aside by Con-
gress-C Chairman Forbes wanted to
know if this was favored by the com
pany. Asked for his opinions, Mayor
Lane declined to make a statement,
saying that he was at the meeting as
a citizen, and not as a representative
Of the board of supervisors or city.
Favors Principle, Says Peck.
As to the principle involved, we
have never voiced any disapproval,
said Mr. Peck z am in favor of the
lrinciple of it."
Both Chairman Forbes and Mr.. Peck
stated that they did not believe Con-
gTeSs would consider a franchise not
containing an indeterminate clause.
Chairman FORBES asked whether the
company would Immediately begin
for proposed extensions
and improvements should the new
charter be fully approved here and
sent to Congress.
Personally" said Mr.. Ivers, Il be.
ieye that the company would not be
in spending any large sums
If money until it knows how it
stands"
We had one franchise which was
here, but which did not go
through Congress- declared Attorney
II was blocked by a
gentleman who went before Con-
yress."
Chairman Forbes said that the COM
mission feels that the proposed extern
,ions by the company are very ma
erial, and that it believes they should
,egin as soon as the new charter goes
Up before Congress. He spoke of sew
,raI extensions which have been de
handed by the public.
What extensions have been de.
nanded?' inquired Manager Ballen-
yne.
Fort Shafte- extension, Lilfha ex-
ension, and Kaimuki extension"
Chairman Forbes replied.
Want Assurance for Bill.
Mr.. Castle stated that he felt the
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