Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-12-17

s 6" He Says, in Plea for
n! Rejection.
ii,s,t
speclaring that a merger Of the two
tBfnpanies is the only solution to the
aseal street railway situation and
that further increase in the rate OF
fYEe to both companies would hinder
DEMONSTRATION. William Nick Gay
nm anne aIed to the utilities commits
sfUn today to reject the petition or
txa Washington Railway and Elee-
tasc Company for an Scent straight
fxEe; ,.,s .oun,stsa
tIs1ay and Mr. Clayton lade the OPEN
iH,f statement to- the commissions Oh
beEalf of the public. He viii be fol-
lowed this afternoon by w W.
Keller, president Of the Central LABOR
Union.
ed-, william F. Ham. president OF me
Washington Railway ana Electro
Company, was whether any steps hto
been taken or conferences hefd Sttee
the last fare hearings 10 DISCUSS
merger with the Capital TRACTION
Company,
No Merger steps Taken.
Mr.. Ham replied that to his known
edge no steps had been taken-
ut is generally agreed MI cray
ton began his argument that tae
only solution to this situation. whefe
you have one company IN nred Oh q
rate of fare that. the other does not
require is a merger And TINS COM
mission, by its decision in TINS ease.
either will accelerate merger OF
throw a wet-blanket on the sucJect- ),
The representative OF the cIIZcns
associations reminded the coniniission
that the Capital Traction Conpany
testified it does not need or want the
eight-cent fare. and he asked the
board not to continue the poIlcS oi
giving that system the same rate ap
nlied to the w. r. and f He said the
citizens appreciated the fact that the
commission gave the Capital Traction
Company an unsought increase SIN
months ago in order not to disrupt
traffic conditions by having one r rne
charging less than the other Inc
citizens have reached Il point now
ever. he continued. where they 40 not
feel that they should be asked TO CON
tinue paving unsought revenue 20 inc
Capital Traction Company in order TO
meet the requirements of the other
system.
Mr.. Ham interrupts.
While the speaker was urging con.
soIidation Mr.. Ham Interrupted, anu
asked Mr.. Clayton if he was aware OF
the fact that merger is prohi citea
by existing law. and that therefore,
action of Congress is necessary.
ST the officials of the two COM
pAies would get together and agree
oE the terms of consolidation and
go~ to Congress with that agreement
you would get the Legislation without
a6v trouble Mr.. Clayton replied
While Mr.. Clayton was referring
to instances in which he alleged the
IaNf = -
Company has failed to live up to the
r&quirements OF the utility law in
dperating its system he was inter-
&Ipted by Charles Selden, president
Of. the Washington and MARYLAND
Railway Company. who objected TO-
II. Clayton'S remarks
sMr. Selden declared Mr.. Clayton's
assertions were merely criticisms and
Had no bearing on the case. He said
that if the Federation of Citizens
Associations had any facts to pre-
a4t Mr.. Clayton should confine him.
SET to those facts.
chairman Kutz said he felt sure Mr..
Clayton understood that the conmio-
adn wanted to conffne itself to the
dfSe at issue and also that Mr.. Clay
uDn would not und uly take up the
time Of the commission.
The commission concluded the hear.
ing on the street-car fare question
cfsion must be rendered before Janu-
ares.
Asks Of ". r. ana f. Salaries.
before the taking Of testimony
closed Nr. Clayton questioned Mr.. Ham
about the salaries of the general Off
cfrs of the company. The testimony
developed that Mr.. Hams salary is
$fe.oo0 a year from all the street rail-
Way lines of the W. r. and E. system
add also as president of the Potomac
E1ectric Power Company.
while the testimony showed that
ckrtain other officials have had their
ply raised recently. Mr.. Hams salary
Was not increased this year.
Mr. Ham said $40 SEQ of his salary is
paid by the Potomac Electric Power
Company. $7,40o by the Washington
Railway and Electric Company. $4,000
~ the City and Suburban Company,
500 by the Georgetown and Tenleysown
line. 5000 by the Rockville line and 800
BY the Washington lnterurban line.
Scent Fare Not Wanted.
George E Hamilton. president Of the
Capital Traction Company. told tho Pub
nc Utilities Commission yesterday after
noon that while his company does not
ned or desire an scent fare he il not
sure that the system would earn fair
return on its valuation if the rate of
fare should go back to cents with
fur tokens for 25 cents, on January 1.
The Capital Traction COMPANY" he
said, lis not here OF its own initiative.
bts in compliance with an order of the
utility commission. We are not asking
an increase in fare. and, 50 far as our
operations are concerned, do not need
Of desire it In this connection, how
ever, We desire to state that II on JAM
uAry ! the rate should revert to 8 cents,
with 2 cents for transfers. tho Capital
Traction Company could not pay its op-
return on the fair value of its property.
And / think it is doubtful whether
1fcent fare with four tokens for 25
cAnts would be suficient-this because
Of falling of in traffic, increase in tax
alton and the high cost Of all labor and
Materials"
MI. Ham II Heard.
William r. Ham. president OF the
Washington Railway and Electric
Company. devoted much OF the after
11on session to the presentation of
Evidence to show that per cent is
net a reasonable return on fair value
f6r street railways in view Of the
higher percentage of return which in
Visitors can get on their money in en-
tsrprises that are not as risky as
thft other utilities commissions
Throughout the country are recogniz-
ind the situation by allowing street
railways and per cent on their
valuations.
william NICK. Clayton of the Fed
eration Of Citizens' Associ ations in
teffupted and declared the people Of
Washington have been paying for
mere than a year rates OF fare that
would yield approximately 8 per cent