New-York tribune., 1920-07-10
City Gives Up
Buses; New
System Urged
Private Lines Covering City.
Advocated by Hylan, as
Court Orders Put an End
to Municipal Experiment
Hearing Will Be Held
Mayor Would Have Strict
Supervision, With Provi-
sionfor characterization


the abandonment of his present mu-
nicipally controlled buses and the sub
stitution of city-wide network of bus
lines, to be privately owned but under
the direction of the municipal authori.
ties.
The announcement was made in
letter written by the Mayor to the
Board Of Estimate and read at yester-
days meeting Of the board, over which
the Mayor presided.
The Mayor set July Fl for a public
hearing on his latest bus plan. All
civic associations we're given a blanket
invitation to attend the meeting, which
will be held at 10:30 o'clock in the
morning in the City Hall.
Injunctions Blocked Lines
The Mayors letter was read after
Commissioner of Plant and Structures
Whalen informed the Mayor that the
last two of the municipality run bus
lines in Brooklyn had stopped running
in accordance with the provisions Of
TWO Supreme Court iniunctions grant
ed to Receiver Garrison of the Brook
lyn Rapid Transit Company.
The Mayor in his letter indicated
that. he was not so sure of the citys
r1ght to run busses in competition with
existing lines, and that he would pre-
Ter to have the next Legislature pass a
law specifically empowering the city to
engage in municipal operation Of
buses.
The investing public is asked to con-
tribute its money to the furtherance of
the latest bus plan of Mayor Hyan.
1t must invest with the condition
That the property may be taken over
eventually by the city, as was provided
IN the contracts between the operators
OF the present subways and the city.
Mayor Describes Plan
.. "lf,' wrote the Mayor in his letter,
after full discussion and serious study
OF the subject, it is determined to be
in the best interest of the city to
enter into an agreement with an opera
tor, IN that case / am Of the opinion
that the following conditions should be
written into the agreement:
Il. An adequate and fair return to
the security holders on an actual and
honest investment for motor busses,
garages and repair shops, but with a
provision that there shall be no capi-
VI iiolCHiSe privileges
''2. A fair scale of wages for the
"3. An adequate, comfortable, sani-
tary, modern, safe and efficient service
to the public for scent fare or less" /"
Discussing the subject, the Mayor
said:
Safeguards Explained
Such an agreement should provide
for proper system of audit, control
and supervision over the transactions
and operations Of any operator enter
ing therein. Securities should be is
sued only for value received, excessive
salaries and exorbitant overhead
charges eliminated, and the property
be economically and efficiently ad-
ministered in the public interest
There is little doubt that such sys-
tenn would be successful and would aid
immeasurably in building up and ad-
ding to the prosperity of this city.
ANY plan contemplated should pro-
vide for system of routes under the
sion; its operations may be extended
into every borough of the city when
ever and wherever the Board of Esti-
mate and Apportionment feels the need
for transportation is apparent; proper
deductions should be made out of reve-
nue. for operating expenses, mainte-
nance, depreciation, obsolescence and
other charges necessary to the main
tenance of the properties in good con-
dition; the securities issued to obtain
the necessary capital to be amortized; !;
the city to have the right to take over
the plan and property after a certain
period upon paying the difference be-
tween the actual cost thereof and the
accumulated amortization and other
funds; the franchise privileges are not
to be capitalized; the initial fare to be
5 cents, which will include a transfer
permitting a continuous ride over con-
Meeting lines between any two points
on the system. Such plan would give
to the people the cheapest and most
modern transportation facilities under
local supervision and control"