The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1920-12-30
To
COST ONE CENT
Utilities Commission Rejects
Corporation Plea for First
Time in History.
TO STAND UNTIL MARCH 81
Decision Indicates Congress- Is
Expected to Grant W. R. &
E. Financial Relief.

Street car fare will not go up.
The application of the Washing
ton Railway and Electric Company
for an increase in fares to 8 cents
straight was rejected today by the
Public Utilities Commission.
The Commission announced the
present rates, 8 cents, four tokens
for 80 cents, would continue into ef-
feet until March 81, 1921, and on
the following day, April !, will re-
vert to cents straight, with 2 cents
for inter and intra-company trans
fers, unless otherwise ordered.
TRANSFER COST REDUCED.
The COmmissiOn also announced
that the rnte of charge for inter-coa-
pany transfers would be reduced from
two cents to ono cent, beginning
January 1, 1921. Increased rntrs for
chartered cars. ms asked b! the w. r.
& f., were granted.
This is the first time. in the exist
ence of the Public Utilities Commits
sion. that the Commission has rejected
an application for any utility for
higher rates. In one instance 1t re-
duced electric rates. but because OF
litigation in the courts the reduced
hrates have never been in effect.
VICTORY FOR CITIZENS.
Today's decision is a victory for
the citizens. Led by William Nick.
Clayton, the citizens presented argu-
ments for continuation of the present
fare on the w. r. e. f. and abolition
of the inter-company transfer charges.
The Commission stated 1t could not
grant the requests of the citizens in
full.
The commission. in refusing Clay
tons plea for a reduced rate on the
lines of the Capital Traction Com
pany, declared it is "of the opinion it
is inadvisable to depart from its posi-
tion in this matter" and that ii be-
lieves the rates of fare on the lines
Of all companies should be uniform.
The order for continuation Of the
present rates applies to the W. r. &
E., Capital Traction Company, Wash
ington-Virginia Railway Company,
Washington and Maryland Railway
Company. and the East Washington
Heights Railway Company.
COMMISSION DIsAGREES.
The w. r. e. F.. claimed in it's pcti-
tion that the exodus of Governmental
employees would reduce street car
passengers by per cent and cites this
as one of the reasons it needs higher
fares. The commission disagrees,
stating that it does no believe this
exodus will have any material effect,
pointing out the reconvening of Con-
Ercss will aid in making up for this
loss of passengers.
Regarding the transfer privilege,
the Commission stated it did not
abolish the charge altogether be-
cause such action would cause con-
Eestion. and would also result in an
abuse of the transfer privilege. It
estimates that the $4,000 to be lost
yearly by this reduction will to some
extent be made up by increased use
of such transfers.
/ ORDER OF COMMISSION.
The order OF the commission, In
part follows:
URGES TAX REVISION.
The commission stated that IL IL
! of the oponion that no appreciable
relief from present conditions.
whereby one system receives less
than a fair return and the other
an excessive return, can bo obtained
until some change in the taxation
methods Is adopted, or until "a
merger of the several companies is
effected.
That there Is a possibility of re-
ducod fares within the next three
months was indicated by the COM
missions order today.
! The commission indicates that it
is depending upon Congress to grant
relief for the Washington Railway
and Electric Company. II relief Is
granted there is a chance for lower
fare, for the commission has pro-
vided that the present rates shall
continue for three months only, in
dioating il is prepared to reduce
fares as soon as Congress takes
action,
EARNS EXCESS RETURN.
1t Is estimated by the commission
| that the annual return OF the w. r.
g. Il. with the present rate continued
will be 5.35 per cent. 1t further esti-
mates > per cent increase in re-
turn in event the application for
higher fares was granted.
Tho commission at the same tins
points out the Capital Traction Conn
pany Is now earning 11.2 per cent re-
turn on It's valuation. An increase to
eight cents straight, the commission
states, would increase the return of
this company to 1915 per cent
While the commission made NJ
direct statement its order can bA
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