Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-11-30

granted than that herein applied for
a curtailment Of the work cannot be
avoided"
William F. Ham. president Of the
company. pointed out today that pub
lished reports of the Commissioners
estimates for the next fiscal year In
dictate that the company's street paw
ing burden will become even heavier
unless Congress relieves the company
Of this work.
An exhibit filed with the applica-
ton shows that the total amount of
revenue from the various lines of the
Washington Railway and Electric
system for the six months ended Oc-
tober 81 was $3.125. 1924.
Operating expenses, taxes and mis-
cellaneous items amounted to ST.
614,s97.47. This left $510,4S9.77 avail
able for return upon investment Fur
Their deductions amounting to $685.
592.76 had to be made recently. how
ever, to cover additional cost of coal
and unforeseen maintenance charges,
bringing the amount available for re-
turn down to $413,897.01, or 49, per
cent upon fair value.
While the specific request Of the
company for an scent fare would
yield only per cent the company
presents arguments in favor Of Z
or per cent return. On the question
OF return, the petition states:
Points to Money Conditions.
TT is respectfully submitted that
in fixing reasonable rates the money
conditions existing at the present time
should be considered in connection
with the rate of return on the fair
value Of the properties which said
rates will produce, and the commits
sion should take into consideration
the fndisputable fact that securities
free from risk may be bought where
the return is, per cent or more. The
operation Of a street railway property
is extended with risks that do not at
tach to- such other securities. The
greater the risk the greater the re-
turn that should be applied. The cost
to the petitioner in obtaining neces-
sary capital fs a factor which must
be considered in the public interest
as well as in justice to the company
1t is therefore submitted that the
rates Of fare yielding a return to the
petitioner Of not less than per cent
upon the fair value Of the property
as found by the commission would be
fair and reasonable.
Rates Found IneMeient.
TT should likewise not be over
looked. in justice to the company,
that during the period from Septem-
Der. 1918, when we first appeared be-
fore the commission for an increase
in rates, and since which time we
have been nearly continuously before
the commission. the several rates
fixed by the commission have been in
sufficient In the sum Of approximately
$1,275. 900 Of yielding per cent re-
turn upon the fair value Of the prop
erty as fixed by the commission.
I'm its order No. 1913 the commission
stated that at the time of receipt of
the then pending application the
commission had in preparation a bill
to be presented to Congress- providing
local street railway situation and
further stated thatthe primary object
of tho proposed legislation was to
change the form Of taxation of street
railway companies from one based on
gross receipts to one based on OPP
street railways Of the burden now
imposed upon them Of paying the entire
cost OF maintaining street crossing po-
licemen.
"Since then certain bills have been
and extended hearings had
by the committee of the District. of Co.
lumbia Of the House Of Representatives,
January 81, 1920. and ending
February "a, 1920. and We are anxious
that some remedial legislation covering
the above points, and also relieving the
company from certain paving require
hACAlSs AlAy SV0iA NO ChdS@00 NY SOA.
gress.
at has been recommended by the
federal electric railways commission. ap-
pointed by the President Of the United
States, that street railways should be
relieved Of burdens Of such character
"In view Of the foregoing and the
desire on the part Of the company to
keep down the rate Of carfare as low
as consistent with the ability to furnish
proper and adequate service without
casting any heavy burdens upon our
patrons. we have asked the small in
crease involved and such as we believe
in the public interest is necessary to
enable us to continue to meet present
high operating costs to adequately
maintain our property and provide the
service and facilities demanded in the
nations capital.
1T is. therefore, requested that the
enter an order establish
ing the rate of fare herein requested |
on or before January /. 1921. together |
with such other relief. II any. as the |
may deem proper"
The company's exhibit shows that |
the Georgetown and Tenleytown line |
fell $5.636.01 short Of earning operat-
ing expenses during the past six |
The company asks the commission
to revise the schedule Of rates for |
chartered cars. which schedule has |
not been changed for some time.
WANTS EARLY DECISION. |