Evening journal., 1918-02-11
Traction Companies Increased Costs
1917 over 1915.

IS ilc pldttSi metal ................ 40
? coal OBSERVATION-DISCLOSURES. t0O
Is Composition castings .......... iI3
] IS Trolley wire Observation-Disclosures. iS0
. Magnet wire RECOMMENDATIONS. $50
? liro ...... ...-.........-..... 70
Rolled steel car wheels. %
His cars were without heat; never
theless II there was a plentiful supply
Of straw on the floor the passengers
were satisfied.
Those were the days. when the COM
pany paid dividends and the only days
in the history Of the system when the
stockholders received any adequate re-
turns on their investments.
The nrst step toward failure was
taken when Proctor decided TO install
the cable system. II was an nnova-
ton that seemed likely 10 revolution
lie all street railway service, and at
first the plan was considered the last
word in traction efficiency
With commendable civic patriotism.
Mr.. Proctor declared that his city
would not be permitted 10 lag behind
in municipal enterprise, and he decided
to Install the cable system at once. No
difficulty was experienced in getting
broader franchise privileges, or in rails
/ ing the money to build the cable sys-
tenn, and the street railway men saw
nothing but genuine public apprecla-
tlon and business success ahead.
The cable system cost Proctor's
company SiS00OO0, which, Of course.
placed upon the property an interest
charge Of approximately $500 a day.
This meant that his cars must first
carry 5000 cash passengers every
morning to meet his daily interest obli-
cation. But this was not the only ad-
ditional burden. The city had added
the cost Of the cable system to the
valuation Of the property. and his taxes
were thereby increased s54, 900 a year.
To meet this additional expense, 5000
cash passengers must be carried every
mornins so that his interest and taxes
obligations required 1900 cash passen-
gers daily.
The cable system was in operation
exactly ten months when electric
traction made its first appearance in
America. 1t possessed so many advan-
tages over the cable system that the
latter was discarded in many cities
Again PrOctor's patriotic fervor as
serted itself and he declared that his
company would install the overhead
trolley at once.
Another bond issue Of si,500,OO0 was
placed upon the property. and new
electric appliances were purchased
Tho cable system was consigned 10 the
junk heap and was therefore practic-
ally a total loss.
When the new system started the
outstanding obligations were s3,3O0,OOO.
The city had again increased It's as
sessed valuation on the property, so
that at this time. interest and taxes
required the conveyance OF 5000 cash
passengers daily TO meet the charges
And this was not all. For the first
few years the electrical equipment
was unsatisfactory. but men or genius
were working on the appliances, and
improvements were constantly being
made.
The rest Of the street railway mans
story can best be told in his own
words often we would install a piece
Of electrical machinery one month, he
said, discard IL the next, all Of this,
Of course. means heavy additional in
vestments, so that our interest burden
became heavier and heavier, all be-
cause we tried TO be progressive and
give the people nothing but the best in
street railway service
1T was not a difficult matter" he
continued, ito figure out what our
daily obligations were. Our payroll.
interest, taxes, cost OF upkeep and the
amount which should be set aside for
depreciation-all these items could
easily be ascertalned Al one time we
found that our cash passengers were
10000 a day less than the number re-
quired to meet running expenses
We'll, we thought we must build
new lines to outlying districts and in
duce people to settle in those sections
Of the city Then we conceived the idea
Of extending one Of our lines to
beautiful lake out in the country In
order to induce the people to go to the
lake. we fitted up an amusement park |
Many people took advantage Of this
opportunity to enjoy rest and recrea- |
ton but. Of course. this additional in
vestment added new interest burdens, |
and while our company was giving the |
city an appearance Of progress, that. |
no doubt, attracted new industries and
new citizens, we were losing money
every day.
"Oftentmes, ] felt that few citizens /
appreciated our efforts in this dlrec- |
tion. We were actuated, it is true, by
mercenary motives, but nevertheless. /
every innovation was a step toward /
municipal perfection
"As I look back now cannot but
be amazed at the ingrattude OF the /
city officials who sought 10 impose not /
only impossible burdens, but lmprac- |
ticable restrictions. We had 10 light |
for every new privilege, then we had |
to keep on fighting to maintain it. /
There was always a crowd or cheap
lawyers, ambulance chasers, who were /
constantly bringing damage suits
AGAINST us. so that much OF our time
was spent in lighting for our rights In
the city hall or for justice in the
courts.
"I confess that at one time I took
an active interest in politics. but
never like the game-l was able, by