Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1917-01-25

Eo,,ovinr q, half hours conference with
z,ayor smith Director Twlnihg announced
tbIs afternoon that he will Immediately
herin TO prepare the city's answer to the
transit proposition submitted by the Phila-
delphia Rapid Transit Company.
The director said that 1t will be several
-,eeks before his analysis of the proposals
will be completed When it is made public
he said. 1t will be submitted in form
that every one can plainly understand
"The answer will be an A B O propo-
Rition," he said.
Director Twinlng will prepare most of
the report himself, with the assistance OF
the consulting engineers. On the legal
and financial end of 1t he Will seek ad-
vice. he said. ,,
The announcement Of the Transit Director
nrecludes any possibility OF the subject of
raptd transit coming up at the meeting OF
Councils on February l. The Mayors ordl-
nance had been expected at that time.
under the Mayors instructions" said
Director Twinlng, IT will prepare an eX-
haustive analysts Of tho p. r. T. proposition.
TT will be from a legal, financial. and
public policy standpoint and when 1t IS
made public 1t will be In words that all
can understand. 1t Will take several weeks
10 prepare and will then be printed ana
made public All of this will be done before
4 the Mayor makes g. Recommendation to
Councils m
Z The department Of City Transit will
Felaborate- on the rate of fare feature OF
the p 4 r. proposals, and will study 1t
CO, s before the findings of the city
de public added the Director.
ladelphla Rapid Transit Company ohi-
cials have expressed themselves as optimis-
tic regarding the probable outcome OF It's
revised proposal for the equipment and op-
Grafton of the city-buit high-speed llnes'
submitted to Mayor Smith.
They anticipate a speedy ratification OF
the proposal by the city of Philadelphia.
Mayor Smith as yet has declined to
comment on the proposed agreement. He
said he would take it up at the first possl-
bic moment at is entirely too serious
matter to comment on off-hand," he said
A. Merritt Taylor, former Director OF
City Transit, who formulated the nigh
speed transit plans for the city, today said
that his opinion on the final draft OF the
proposed contract would not be expressed
until after he had analyzed the document
from beginning to end. When he had COM
pleted his study of 1t, he added, he would
issue a puklc statement as to his findings
Ellis Arfes Ballard, chief counsel for the
Transit Company, who drafted the revised
plans, said;
'srhe proposition as submitted to the city
would give to Union Traction stockholders
the right to bring their holdings up to par.
For every share thus paid up they would
receive an annual dividend of S5 instead Of
80. We hope that they will do 80.
IL lncy uOHI LhA6 buCh aSblOAg NiAO
philadelphia Rapid Transit Company viii
itself raise such new capital as will be
required from time to time"
Mn Ballard was referring to a part OF
fhe proposal involving the payment into
the treasury OF the Union Traction Com
pany Of the amount of the unpaid portion
pf the par valuO OF the stock OF that COM
panN This fund would be returned TO
the treasury OF tho Philadelphia Rapid
II this Is agreed to by the city, upon
ma ank into he phtIaHa1nhta RaniH
Transit Company treasury of the balance
due on each share OF Union Traction stock,
these shares VIII receive SIS a share in
pfvidands instead OF So as under the pres
ent agreement
Union TRACTION KNows
Jeremiah Sullivan, president OF the Union
Tractton Company, said the plan would be
considered by the traction company "after
She city had considered It."
we know what it meanaIr hS concluded
briefly.
II was intimatsd that this particular
phase of the agreement was an indication
mat the opposition OF tho Union Traotion
stockholders had been overcome, and that
their cooperation could be anticipated.
Many changes are embodied In the new
proposal
The principal revision IN the proposal
from the companys original offer relates
10 the fares which shall be charged. The
company proposes TO institute automatic
regulation of transportation rates in order
70 protect net earnings Free transfers.
the company declares, shall bs granted
IN the original proposal, made TO the Mayor
December 20, no provision was made Tor
IS free transfers in the delivery district, In
the proposal submitted yesterday It Is de-
eared no transfers shall be given In the
delivery district except 10 such an extent
as may be ordered by tho Director"
The proposal is drawn In the form or an
ordinance for submission TO Councils and
smbodies the form OF contract 70 be used
IN leasing the lines and for their operation
n conjunction with the existing system as
= unit.
After reolting the general terms OF the
agreement for the equipment and operation
Of the lines such as combining the revenue
the payment OF ten per cent OF the net In
some to the company and ninety per cent
% the city, the question OF fares Is as
eu1sed