The Washington times., 1920-11-21
PEOPLE FIGHT
. HIGHER FARES
Citizens Associations Will 0p-
pose W. r. and e. Petition
to Boost Rate.
By DAN Z. O'CONNELL.

BY DAN 4. O'CONNELL.
Washington Railway and Electric
Company officials are now working
on a brief which they will submit to
the Public Utilities Commission IN q
short time, asking for financial re-
lief. They claim that the present
rate of fare-S cents, or four
tokens for 80 cents--is insufficient
to pay them q reasonable return on
the valuation put upon the property
By the Utilities Commission, much
less the valuation which they them
selves put on their property.
FOUGHT NY CITIZENS.
Just what relief the Utilities Com
mission will give, II any, Is prob
.inxton, through the citizens associa-
tions, will wage q determined hght
to prevent any increase. The rail-
way company will make q strong plea
for relief Of some sort The corporation
contands that the proper thing for the
Utilities Commission to do Is to give
them Immediate relief, and not wait
until Congress sees At to act. They
contend that It 10 the duty OF the
members Of the Utilities Commission
to act and not pass the buck" to
Congress-.
what Congress will be asked to do
10 to enact legislation that will relieve
the company from paying for cross
ing policemen and street paving ana
changing the mode of taxation from
Of the company to . tax on the net
earnings.
OPPOSED NY OFFICIALS.
Tax officials Of the District say that
this last method should not be
thought of for q moment. because
the loss of taxes FROM the street rail-
way companies and the cost OF paving
the streets between the car tracks
and the pay Of crossing policemen
will have to be paid by the taxpayers
of the city in the long run and that
it would be better to put the addi-
tional cost OF operating the street
railway on the persons who use the
street cars, SO that the additional
money, IL any IL given the company,
will be more evenly spread and not
confined to the few who pay taxes.
II the contention Of all persons
interested in the proposed increase 10
taken into consideration, Warrington
is confronting q problem that pre-
sents one Of the most pushing mu-
nicipal questions 1t has ever dealt
with.
ROADS IN DISAGREEMENT.
Everyone. even railway officials.
say that the real solution OF the
problem 10 amalgamation OF the two
companies. But here again Is the
rub. The officials of both the Capital
Traction Company and the washing
ton Railway and Electric Company
have plans for the amalg amation, but
they are as far apart as the North
and South Poles, with little or no
chance Of their ever coming together
of their own free will.
Some OF the members of the Utili-
ties Commission, 1t IL firmly believed,
think that the solution OF the prob
lem, outside Of the merger plan, Is
change in the mode Of taxation.
According to the Public Utilities
Commission figures. the Washington
hallway and Electric Company paid
nto the Treasury Of the District
government during the last Ascal
year, 1907 ,480.75. This was paid In
on the following items: Crossing po-
licemen, $37,758.18; paving, $s2.260.S so;
tax on gross income. S1s7,443.SO.
IVIAh ASSboSNh"ENAc s
During the same period the Capital
Traction Company paid to the District
the following sums: Crossing police
men, S23,94O.O3; paving. S6s.1s5.S3;
tax on gross income, $179.040.40, a
total of $271 1926. which was $685.
394.4 40 less than the total amount
paid by the Washington Railway and
Electric Company.
The total assessment on both the
Washington Railway and Electric
Company and the Capital Traction
Company for the fiscal year ended
June 80 last was $o,49s, S49,S9. which
was their gross business during that
period. During the same period the
year before the companies did q
gross business of 7,111,O00,39. Dur
ing tho year, on account Of the in
creased fares allowed the two COM
panies, their business Increased more
than S2,OOO,0O0 This was notwith-
standing the popular impression that
the street cars carried more passen-
gers during the war period.
WHERE SURPLUS GOES.
President Ham, of the Washington
Railway and Electric Company, says
his company only wants a fare that
will enable them to give adequate
service and preserve their credit.
The common stock OF the company, on
which dividends have not been paid
for some time. IL quoted at 20. with no
sales on the local stock exchange.
Officials Of the District Government
who know something about the
things that enter into the street rail-
way business say that the Capital
Traction Company IL spending much
of the surplus money that IL Is get
ting from the increased fares, which
they did not ask and which they did
not need, in improving their road
bed and rolling stock. This means,
they say, that the Capital Traction
Company will not have to spend much
money on it's equipment for the next
twenty-five years, as the life Of a
roadbed in a city such as Washington
will last that long without needing
,,,uch renaira