New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-05-29
Extra Charges for Transfers

Mayor Mitchell is to be commended for
his decision TO have the Corporation Coun-
sci oppose the application of the surface
railroads for permission to charge two
cents for transfers. 1t is eminently fitting
that the people who would pay this extra
charge be represented at the hearings on
the application, and there is no authority
or official who can so properly speak for
/ them as the head of the city's law depart
ment The policy of ride with transfct
privilege for five cents has been in oper-
alton here so long that it gems a funda
mental thing As the Mayor well says, it
should not be cienged until the transpor
/ taton companies can show that increased
revenues are imperative and the need is
permanent and can be met in no way other
than by the proposed charge for transfers
To prove this will be long, compli-
Gated and technical proceeding. 1t will
require expert legal and engineering testi-
mony, since the question Of profits, involv-
ing thsrvstlatieA of properties, payments
on leases of subsidiary lines, outstanding
securities and the like, must be probed.
Representatives of bodies of citizens may,
and probably will, appear to contest the
application before the Public Service Com
mission. That body itself acts in the dual
capacity Of Judge and defender Of the
rights of the public against undue corpo-
ration aggression. Nevertheless, it is
proper and desirable that there be in this
complicated technical proceeding an Off
cial attorney for the public not charged
with the decision of the case. The burden
of opposing the rate increase should not
fall entirely on volunteer counsel for citi-
zens' committees and associations.
The surface lines have begun fight for
which they have long been preparing, along
the only line Of attack open to them. The
terms Of the present law prevent their
seeking to charge more than five cents for
the initial ride. Before they get far with
their campaign of educating the public to
the transfer charge they will have to Grad
icate the widely prevalent idea that they
are overcapitalized heavily-a contention
voiced by the Public Service Commission
itself-and so seeking profits on capital
not actually invested in their property and
not serving the public. II they can justify
their capitalization-no legally, but as
matter Of economically handled business
and in this borough, the expensive leases
of some Of the subsidiary lines, they will
have made the point most important to the
winning of their case. 1t is scarcely neces-
sary TO emphasize some Of the other points
they bring forward, since the increase in
wages of labor, cost of railway supplies
and the like in recent years is admitted.
Obviously the city cannot afford to have
any of its transit lines so financially Grip
pied as to endanger their existence. The
surface car service now is nothing to brag
about. Conceivably, some part of this
shortening is due 10 financial stringency.
When the companies ask for rate in
crease, however, they are going beyond
that considention-they are inviting a
broad inquiry into their entire financial
policy and management That is what
they will get, TO ascertain whether their
profits are vanishing and their existence