The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-01-27
SHONTS, IN 2 BOOKS,
ASKS HIGHER FARES
Yellow Volume RecOunts Sub
way Woes, Green One Pleads
for Surface Lines.
SEES BANKRUPTCY NEAR
Higher Taxes Only Alternative
to Increased Tariff, Says
marlborough Head.

| A canary yellow book and pea green
book have appeared from the editorial
| Offices Of Theodore T. Shonts to reflect
! light upon the gloom Of the transporta-
| ton situation. Yellow Book tells all
about the hole the subways are In and
| Green Book recites the woes OF the street
railways. over whom n receivership. Mr.
shonts says, is impending. In each case
| the remedy Mr.. Shonts asks for is an
| eight cent fare.
In the yellow book he starts right off
| by saying that an eight cent fare Is i'm
| perative in order to avoid higher taxes.
| higher rents and higher prices and TO
preserve the city credit. the State credit
and the national credit; also. to keep the
| subways safe. The notion of politicians
| getting hold OF the subways and running
| them with job hunters puts Mr.. Shonts
I in sweat OF apprehension.
THE city Of New York IL facing deficits
! amounting 20 from s13.00o.0oO TO SIS
| 600, 900 year on the operation under
| five cent fare of the dual subway sys-
! tenn" Mr.. Shonts sets forth. owing TO
abnormal costs for labor. materials and
| supplies. taxes, &c, due TO conditions
| now earning the preferential payments
| to be made from operating revenue to the
| companies Shall this situation be met
| by higher fares or by additional taxa
| ton? II 10 estimated that from 100000
to 100000 suburbanites and strangers
| from all over the world use the rapid
| transit lines daily.
which Shall II Bet
"Thev use New Yorks costly con-
veniences but do not live In New York
or pay taxes In New York. II the fare
were raised they would add TO the city's
| income and thereby reduce the neces-
| sary taxation. II the fare is not raised
| the whole load must be put upon the al
! ready overhurdened taxpayers and rent
payers OF New York Which shall II be"
The threat OF municipal operation is
| threat to the public. in the BELIEF OF Mr..
Shonts. lie asks simply whether the
| subways would remain safe with Jobs
| depending upon political reasons instead
| of efficiency. with political discipline In
| stead OF business discipline and with new
| management after every election. He
| maintains that the company has been
| economically operated on the most care
| full calculations, but that all calculations
we're upset by the war. He sees no rea-
| son why New York should balk at higher
! fares when other cities have found higher
fare imperative or in which higher fares
are pending.
He names these cities Chicago. Ros-
ton. St. Louis. Pittsburg. Milwaukee,
Jersey City. Newark. Cleveland. Column
bus Toledo. Troy. Washington. Bal'i-
more. New Orleans, Los Angeles. In
dinapolis, Denver. Portland. ore; Port
land, Me: Grand Rapids. Providence.
Hartford, Fall River and Lowell In
Tacoma a municipal line Is charging 0
cents. Boston 3 cents and in $50 COM
mun!ties In New Jersey : cents is paid.
Mr.. Shonts can't see what the city
would gain by starting the Interborough
into bankruptcy, but he does believe
that the city would do incalculable
| financial harm TO itself In the process
As regards the New York Railways
| Company. he Gays It Is on the verge
of a rece!vership because OF rising costs
and fixed fares, Wages have gone up
10 per cent. materials more than 100
per cent. and the entire passenger rev.
enue. Mr. Shonts states. is not enough
service and taxes.
Says Bankruptcy Looms.
II an 8 cent fare Is not granted to
| the surface roads then. ne states, bank
| ruptcy will he forced. service Will be
! disrupted and a serious general bust
! ness situation will be created due to
the impaired credit OF electric railway
securities amounting In this State alone
to $3.50. 900. 900.
| Mr.. Shonts denies that excessive rem
| tails are paid to the owners of the
leased lines. stating that lie sun total
OF the net rentals is only 5 per cent.
| OF the present value OK the lines. Higher
fares are paid In other cities. he notes,
to cent fares IN Chicago, Boston.
st. Louis Pittsburg. Washington, Nil.
waukee. Jersey City. Newark, Pater-
| son. Baltimore. New Orleans and M ny
| more, Other cities have found higher
| fares the only solution or the transpor-
tation problem.
lilo denies that there Is excessive
overhead. saying that general ctl.,o.. a.!
the New York Railways Company get
| 4-l00 of cent of every cents taken
in. and other officers and stlaried en-
ployees get 30-l00 OF cent of every s
cents. For wages and 20-loO OF a
! cent are spent. and the total payroll
| disbursement is 2 and 5i-lOU Of a cent
| in every 8 cents.
He says. too. that over capitaliza-
tlon has nothing whatever TO do with
tho matter. quoting Jerome L. Cheney
Public Service Commissioner. TO this
! general effect: Neither does II make
the slightest difference whether the is
sued capital stock Is watered or not nor
10 what extent the water may be pres-
emit The infection OF water cannot
add one cent 10 the value OF the p.oD-
erty which is actually used. and TINT
| Is the only inquiry which the COM
mission Is interested IN"