Evening star. [volume] (Washington, D.C.) 1854-1972, 1919-06-08
WILL SEEK MERGER
Of TRACTION LINES
Federation of Citizens to
Start OBSERVATION-DISCLOSURES
TW0.Cent Transfers.
WANT ADDITIONAL CARS

The Federation Of Citizens Associa-
tions last night ended the first stage
| of its consideration of Washington's
| tangled street car problem and pre-
pared for another by tacitly approv-
| ing the 2-cent transfer order and in
| structing its utilities committee to
| begin campaign for merger of
! the traction systems.
! William Nick Clayton, chairman of
the utilities committee traced the de-
velopments leading up to the transfer
| ruling and defending the $15.000.00
| tentative valuation upon which 1t is
based.
Recommendations Adopted.
I His report concluded with these rec
concentrations, all of which were
adopted:
That the Public Utilities Commits
sion Immediately require the wash
ington Railway and Electric Company
to purchase twenty-five cars IT addI-
ton to the fifteen to be acquired with
igton car barn fire.
That dividends on the common stock
of this company be suspended until the
service is improved.
That the utilities committee of the
federation take to Congress the Ques-
ton Of merger of the traction lines.
and, In the event of a consolidation not
being authorized, use it's endeavors to
bring about joint usage of tracks by the
two companies.
The proposals were voted upon sep
arately, and. with the exception Of the
one relating to suspension of dividends,
which was accorded a single negative
vote. they carried unanimously.
The report did not put the organiza-
ton formally on record as approving
2-cent transfers, but indirectly COM
mitted it to this proposition when Mr..
Clayton's defense of the commissions
action was received without dissent.
Says Commission Is Loyal.
According to Mr. Clayton, the COM
sion proved its loyalty to the public's
interest by placing the tentative valua-
ton at $4,000, O0o-a figure. he said,
that. in all probability. will be increas
ed if the company goes into court with
the case.
THE commission" he declared, has
stood fast and firm for the people in
the matter of the physical valuation
thing, it has leaned over backward in
it's effort to be fair to the public. The
6 per cent rate of return ordered was
the lowest that could have been ex-
pected.'
Asked if he thought the commission
Hdu any Fl&nl 10 give Lne Cdpitdi
Traction Company additional revenues
from the transfer charge, considering
this company had not applied for re-
lief. Mr.. Clayton replied this was a
debatable question. but added:
You could not give 100000 to any
company that will use it to better ad-
vantage in the interest of the people
than the Capital Traction Company
will. Keep in mind that this concern
several months ago bought twenty
new cars without being ordered to
and that it has recently placed
an order for twenty more cars, with
out being directed by any authority
to do So
"Plays No Favorites."
Concerning the valuation work Of
the commission generally. Mr.. Clayton
stated that it had Topped off immense
sums from the figures submitted by
the gas and electric light companies,
and had played no favorites
he said the Potomac Electric Light
Company now has accumulated about
100000 which will be returned to
subscribers If the court upholds the
commissions order reducing the cleo
trio light rate from 10 to 8 cents per
k kliow at hour; The company has
court order. setting aside Q cents for
reimbursement in the event the COM
missions ruling eventually is sus-
tanned
Charles S. Shreve. reporting for the
law and legislation committee, stated
that the increase in telephone rates
mas been held in allegiance pending
developments. 1t was said that a
suit will be filed as soon as develop
! ments have reached the point where
the Public Utilities Commission can
| take charge of the situation.
There was considerable discussion
| OF resolution reported by the C1eve-
land Park School and Community AS
ISOLATION favoring creation Of a de-
partment OF education with a secre-
| tary at its head, who should be
| member Of the Presidents cabinet
Prof. Selden NJ. Ely thought the pro-
posal a good one.
George A. Finch Of the Piney Branch
| Association took the ground that this
would lead to a centralization Of educa-
tional activities too much on the order
Of the German plan. George w. Evans
contended 1t was a national problem
anyway and out of the scope of matters
that should be considered by the fedora
| ton. The resolution was tabled.
The federation adjourned until fall,
| but President Westlake intimated 1t
probably would be necessary to hold
| several special meetings before the next
regular session.