The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1919-08-23
Commissioners to Decide
ION Waiver of Caluse in
Franchise Street Railway

ployes are in excess of the wages fixed
by the war labor board and paid in
lother southern cities. 1t is not within
the province of the commission to de-
termine the question of wages, but as
the city of Birmingham is vitality in
terested in a permanent solution of its
utility problem, it is the unanimous con-
clusion of thecommssion that we can
take no action that will prejudice our
conclusions upon the broader question
we now have under consideration.
AGREE TO ARBITRATE
| THE receiver stated today that he
did not feel justified in entering into
negotiations with the employees or into
an arbitration which might result in a
fixed agreement to pay wages which
the operations might not produce. He
asserted his Willingness to enter such
negotiations or arbitration. if neces-
sary to be made conditioned upon the
receipt by the receiver of the neces-
sary revenue. The employees are will
| ing to enter upon negotiations aud into
arbitration, if necessary, provided~that
| the result of those negotiations or
arbitration will become part of a defi-
mite contract and not leaving the find
| ing conditioned upon the receiver be-
through the concurring action of the
city commission and of the public serv-
| ice commission.
| LAS any contract by the receiver
with the men would endure only durin q
the receivership and is subject to the
approval of the court, we see no reason
why this question of wages cannot be
determined between the employees and
| the receiver and the results of that
determination presented to this COM
mission as basis for intelligent action.
However, as neither of the parties seem
willing to approach the matter on that
! basis, it is necessary for the commits
sion to act upon the facts now defi-
nitely known to it. This we will do
promptly and in a way that will GER
tain not to prejudice such conclusion
as we may reach as to permanent
solution of the utility problem"
DIR. BARRETT PRESENT
FOR the first time in several months,
Dr. N. A. Barrett, president of the
commission who has been i'll appeared
at meeting of the commission when
ne attended the morning session of the
| hearing. John r. Hornady. acting
president of the commission. presided.
/ citing the inter-urban lines Mr.
Bradley contended that the city can
not regulate street car fares that the
public service commission is the SUI
preme authority on the subject in Ala
oama. He used as an example some of
the cars that run outside of the city
limits. He strongly urged throu ghout
the hearing that the city waive the
fare clause of it's contract
When asked by Jere King, assistant
city attorney, how much the revenue of
the company would be increased by
raising the fare one cent. Mr. Bradley
answered that II. would Theoretically be
20 per cent but went on to show that
in reality it would be less on account
of the transfer system and the reduc-
ton in tariff that would follow raise
in fares
ANSWER TO QUESTION
MT. Bradley gave. in answer to uues-
| tons, history of the American Cities
company, its obligation and the millions
, of bonds held against properties in
various cities. In answer to questions
from Commissioner Brown and Commits
sioner Hornady Mr.. Bradley said that
,, there is an underlying mortgage of the
original Birmingham Railway, Light
and Power company for 1897, 900 which
requires a sinking fund of $12,500 a
year, that there is first mortgage of
the company proper for sS,700,000, ma
turing in 1854. bearing four per
cent interest, that there are extension
and refunding mortgage bonds of S4,-
100000, on which the interest is now
due; further unsecured notes for ST.
100000 on which were due in April,
1919; outstanding at the time of re-
ceivership $4,000 in current operating
accounts which not yet are paid. He
said the company has on its hands
400 damage suits with estimate liability
of s135,000
Mr.. Bradley stated that no dividends
had been paid since 1917 and that the
interest charges on the company's
bonds is about $721.O0O a year.
OPEN BOOK TO CITY
Mr.. Gore, in behalf of the street car
men stated that the men had suffered
from low wages, that they are willing
to go into the arbitration on the cues
ton of wages. as specified in the pres
ent contract. but not on the question of
how the company is to pay the wages.
He stated that the carmen cannot live
on their present wages. His answers
as well as those of other of the car
mems officials. indicated that the men
expected definite answer before
September 1.
1t was brought out at the hearing
that everything that the company has
done since it went into receivership
is and has been an open book for the
city ana the public.