The Washington times., 1919-05-05
W.R.&E. FATE
MAY Be FIXED
BY VALUATION
Inventory by Utilities Commits.
sion Would Force Line Aban.
donment, Officials Say.
By BILL PRICE.

ny BILL I-hlNE.
The special committee OF the Wash
ington Railway and Electric Com
pany which is to meet with the Pub
lie Utilities Commission tomorrow
morning to urge immediate action by
the latter on the application OF the
company for increased revenues-to
be derived from q zone system or
some other method-wiH probably
not find the majority or the Com
mission disposed to hasten a decision
on the question. but having in mind
valuations OF the properties OF the
company before decided anything else
Should that be the official attitude
OF the commission the company will
no longer delay its announced pur-
pose Of abandoning two or three sub
urban lines. notably the Georgetown
ana Tenleytown. il was stated on high
authority today.
The committee from the company
will take the position that its finances
are in such a state il cannot wait for
valuation verdict. which can hardly
be rendered inside Of thirty days
Even then the valuation arrived at by
the commission may be such as to
oehy the W. +. and f. any further
returns; briefly. no additional reve-
hueh from the Pubic.
COmmissioh Wsuts Valuation.
The apparently unalterable atti-
tude OF the commission has been that
before again raising rates in this
city or imposing zone fares it wants
10 know what the properties OF the
company are worth. With a definite
valuation before 1t the commission
might or might not allow further
revenues. The company points out
that In November last the rates were
raised to 8 cents fiat without valua-
tion and that the emergency now is as
great as It then was
So the company is faced with an
evident determination of the COM
mission not to touch rates again until
valuations are completed and possi-
bly no increase Of rates when they
are completed. The outlook is that !
the valuations arrived at will not
suit the company, and that the case
VIII 60 to the District courts, where
IT will hang for a long time
therefore, the company is placed
IN position where it must await the
processes OF the commission or under
take Its program OF abandonment of /
certain suburban lines that are de-
clared TO be losing heavily and
stability Of the parent company
May InVestigate Claims.
Another probable cause Of delay is
that the commission will not accent
Snhand the company's. claims that
ths three suburban lines are so much 1
aeadweight. 1t VIII want to investi- 1
gate for itself Corporation books
are kept in many ways, is the inti- I
nation. re the suburban lines vic 4
tins OF unjust and unfair charges
by the parent company? Are they 4
being given regulations that they do |
not deserve?
The officials OF the company state
that they are perfectly willing that
the facts shall be known; that the
books are wide open to ANYBODY.
that the w. r. and z, instead Of sad
ding the suburban lines with unfair
charges. has been liberal to the point
OF harming itself financially.
8t has been declared by President
Hom, and was reiterated today. that
the Washington Railway and Electric
Company is selling the suburban lines
their power now at exactly the same
price they paid in 1914; that the rent
OF cars Is the same as five years ago.
when both charges should have been
increased enormously. In January.
IslA' II Is stated, the parent company
reduced the cost OF current to the
suburban companies to 3 cents per car
mile. No raise has been made and
that price, IL will be asserted. does
not even pay the cost OF the coal for
generating the current. For rental OF
cars the suburban companies pay IL
cents per mile. the 1914 price
Other Charges PrOrated.
All other charges. il is claimed, are
prorGted with equal liberality ani
fairness, and the suburban companies
gain advantages that would be costly
II they we're run Independently
Conrad Syme. counsel OF the COM
mission, is devoting himself TO a legal
study OF the right Of the company 10
abandon non-proftable suburban
lines, that ne may be prepared for
action in the courts.
The commission does not regard
the position OF the company as
threat, but believes that il will un-
dertake to carry out the proposed
a abandonment.