Palisadian. [volume] (Cliffside Park, N.J.) 1906-current, 1919-11-01
PRESIDENT M'CARTER
REJECTS TROLLEY RATE
Seven Cents Fare Is Desired

SSSSh SCIlS arc 10 6CSIICu
Trenton, Oct. 2S.-Rejection of the
proposed revised trolley fare rate was
made by the Public Service Railway
Company in q letter from Thomas N.
McCarter, president, read here today
by L. D. Howard Gilmour, of Counsel
for the company, to John w. Slocum,
president of the Board, and Commits
siOners knight and Wright.
Mr. McCarter asked for permission
to return to the fiat seven-cent fare,
with one cent for a transfer. A ma
jority of the Board recently agreed
upon rate Oh nve cents for the first
two miles, one cent for each addi-
tional mile and one cent for transfer
The company was granted until to-
day to accept or protest against the
proposed rate.
The commissioner accepted the
letter and announced that no state
ment would be made until the whole
Board of Utility commissioners had
ucu OppOl luulIy W UloCuSS H. L uS
other members of the Board were sit
ting at Newark.
Mr.. McCarter said in part:
1.-THE company calls attention to
the following state of facts, some of
which are newly developed:
"First-The zone plan is extreme
ly unpopular with the public and is
11.r
to be failure. This is evidenced by
the storm of opposition it has heard
from public officials, newspaper criti-
cisms, Discrimination on the part Of
the public to ride, increase in the
number of jitneys and demands for
it's discontinuance.
"Second-The zone plan is regard
ed as failure and as impracticable
and unavoidable by the employees of
the company, as appears by the letter
received by the president of the com
pany dated October rs.
"Third-Experience with the zone
fare system makes it clear to the OPP
Grating officials that the slowing
- dnWn@af- the. system by reason of the
zone fare system is serious matter,
approximately ten per cent. This
entails serious inconvenience to the
public and involves the operation of
a larger number of car hours to ac-
complish the same result.
"Fourth-The zone plan not only
involves a slowing down of the ser
vice, but of necessity substantial
increase in operating expenses to
take care of the large number of car
hours This item alone will amount
to 100000 a year, increased check
ing and accounting, caused by the
complications of the zone fare system
over and above the fiat fare system,
will cost the company 100000 year.
"Fifth-It appears that the seven
cent fat fare with penny for a
transfer will produce $2,500,000 more
gross revenue than the rate recon-
mended by the Board, and approx
mately $3,100,000 more net revenue
than the rate recommended by the
Board, and it further appears that
the revenue provided by the seven
cent fare, with one cent for trans
fer, is not in excess of the amount re-
quired by the company to pay it's OPP
Grating expenses, taxes and fixed
charges, and to set up the amount
prescribed by the board for deprecia-
ton.
"Sxth-The present zone rate
should no longer be continued in
force because it meets the approval
of nobody and is entailing upon the
company a loss of more than one
quarter of it's anticipated revenue.
The company is of the opinion for
the foregoing reasons that the whole
zone fare project is practical fall
ure, at least as applied to this prop
erty and should be Immediately aban-
doned and the company should at
this time return to the fiat fare of
seven cents, with penny for trans
fer.
1.-The company therefore, is unable
to accept the recommendation OF the
Board and renews it's application to
return to the fiat fare of seven cents
with a penny for transfer, which
rate has already been approved by
the Court of Errors and Appeals. The
company expressly states, however,
that this rate, under the present OPP
Grating conditions, will only keep the
company going, will not yield it any
return upon it's capital stock invest
ment and is not the rate to which
the company is entitled"
1t is expected that the Board will
announce it's attitude promptly, be-
cause of present unsatisfactory con-
ditiOnS.