The gazette-times. [volume] (Heppner, Or.) 1912-1925, 1919-07-31
INCREASED PHONE
RATES IN EFFECT
Statement From Pacific Telephone
and Telegraph Says Higher
Rates Result From Big.
Wage Increases.

The following statement has been
made by The Pacific Telephone and
Telegraph Company in regard to the
new rates:
THE increased rates for telephone
service effective July goth, which af-
fecs the entire State of Oregon, are a
direct consequence of the heavy in
crease in wages effective June 10th,
amounting to in excess of $225,00
for the State of Oregon. These wages
go to the people who work for the
telephone company and who render
this service.
The public has been very familiar
with the difficulties involved in at
tempting to give telephone service uu-
der wages heretofore in effect. These
rates are put in by the Federal Ad-
ministration effective at once, be-
cause of the financial necessities pre-
cipitated by this heavy increase in
wages. The rates in each particular
instance are rates approved by the
Postmaster General on or before June
6, 1919. These particular rates are
made effective for the reason that in
each instance they are believed to be
just and reasonable, in and of them
selves, for the service to which they
apply.
They also constitute the only un-
questionable legal rates in each and
every instance. The public has been
paying rates recently fixed in an or
der issued by the Public Service Com
mission of Oregon, which became eff
fective May /, 1919.
With regard to the Public Service
Commission and its order, it will be
remembered by the public that the
investigation instituted by the Com
mission last November, and one of
the most thorough ever carried out
by any commission, resulted in an
increase of rates effective in May.
The relief involved in that order,
as stated by the Commission was de-
signed to cover only wage increase
which had been made effective the
year previous, with particular ref
erence to wage increases in Novem-
ber, 1918. The Commission with
held the application of increased rates
until the first of May, and then made
applicable the rates which have been
paid since May 1st.
The validity of the Commissions
action and Of their order has been
attacked in the state courts and the
telephone company and the Federal
Administration are forced to the con-
clusion that the only rates, the legal
ity of which is beyond question, are
the rates actually approved by the
Postmaster General during the period
of Federal control. They are the
rates contemplated by the act of Con-
gress and which will be effective for
four months after Federal control or
until reviewed by state authorities.
The increased rates will yield an
annual revenue upwards of $250,000
but as the increase in wages Is up
wards of S225,000, the net return to
the company with the new rates now
made effective is approximately 21s
per cent on the valuation of its prop
erty at $13, AGA, 900, as found by the
Public Service Commission.
The new schedule of rates is
identical with the one approved by
the Postmaster General for the State
of Washington, which was made ef-
fective March /, 1919. The rates are
the same in both states for exchanges
that are comparable.
All business taken on and after
July 29th will be at the new rates,
and bills to, present subscribers for
the month of August will be rendered
at the new rates.
The expenses of the telephone
company have increased greatly, but
in only few cases have any increases
been made in telephone rates. Most
of the rates have remained the same
as they were many years ago. Sub
stantial increases in wages have re-
Gently been granted to employees and
the only way to pay these increased
wages is to make an increase in rates.
We believe that no further proof
as to the advanced cost Of living and
the general high cost prevailing for
labor and materials is necessary, and
that the telephone-using public will
accept this increase in telephone rates
in the same spirit of fairness and con-
sderation as it has the advance in al
most every other necessity in these
unusual times"
New Rates, Exchange, Heppner.
unlimited service, per ninth
Wall Set Desk Set
Individual Line $3.50 s3.75
Two-party Line - 800 3.25
Extension with or
without belly - 100 100
Residence
Individual Line --$2.75 $500
Four-party Line -- 200 2.25