New-York tribune., 1920-12-11
Increase i'm Phone
Rates Is Granted
In Jersey Cities
New York Company Is Per-
mitted to Restore the War
Time Tariffs, With Only
a Few difications|

TRENTON, N. j., Dec. 1O.-Tncreased
rate, which, with a few notifications,
are the same as those fixed during the
war under governmental control, were
allowed to-day b. the Public Utility
Commission to the New York Tele-
phone Company. The commission de-
MED increases sought by the Delaware
and Atlantic Telegraph and Telephone
Company.
The schedule of rates for rural tele-
phones of the New York Telephone
Company in exchange districts, where
the total number of stations connected
is not more than 500, must revert to
the schedule in effect before August 3,
1919, while proposed changes in rates
not yet IN effect are disapproved.
Inc commission says of the pro-
posal OF the company, which owns or
controls all stock # the Delaware and
Atlantic Company, for merger of the
properties and the establishment OF
a statewide schedule of rates:
The establishment of the proposed
schedules would countenance discrimi
natory rates to the disadvantage of the
residents of the territory served by the
delaware and Atlantic Company. The
times are still SO unsettled regarding
tne cost of operating, labor and sup
piles that detailed revision of tele-
phonee rates is not desirable ven
ture."
Must Submit Operating Report
Both companies will, after the rates
pecome effective, furnish the commits
sion report of operations in New Jer-
sew as to flxed capital, reserve for de-
pieclacion, reserve for amortization of
Intangible capital, telephone operating
revenues and income account. Both
sonlpahles also shall file monthly state
ments covering these readings.
Many temporary installations were
New York company, the commission
sald, and depreciation resulting prob
aoly would require a temporary in
crease IN appropriation for reserve, and
s'e comm ssion thought the Postma
ter General had this in view when he
increased the rates. The commission
said:
TO charge the public rate which
would allow of this appropriation and
then add the resulting excess in re-
serve SO created to cap tai account,
upon "hlch return of per cent is to
be earned in the future, does not ap-
pear to be reasonable. A consideration
of these facts leads the board to con-
clude that the $418.000 contributed out
of rates should not now be transferre d
to capital, and for that reason the
board does not approve the transfer
The board therefore takes the amount
of S34 4,7O0,000 (that is, $35,120O 900, less
$41o,00O) as the fair value of the petit
toners property (the New York Tele-
phone Company as of June 80, 1919'
Sought 20 Per Cent Raise
Among the increases sought by the
Delaware company above the Postmas-
ter Generals tariff were one of 20
per cent in exchange service rates
(the Postmaster Generals increase was
20 per. cent? and local toll between
certain points where free service is
given. Among increases proposed was
one of from so to 100 per cent which
private branch subscribers would have
had to pay.
Communities opposing the New York
Telephone Company's application were
Newark, South Orange, Elizabeth, Pas
sale, Rutherford, Roselle, Leonia,
Kearny, West Orange, Paterson, To-
tawa, Asbury Park and Long Branch.