The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-03-15
MIL make FAIR
TEST Of STREET
ARAGREENENI
I. H. TutwiIer and r. S. EIgin,
Receivers. Ask CO-opera-
ton of Public Now COntro-
versy Is at An End.

The three months test which win de-
fernine whether 6-eent stree car
fare Is sufficient TO produce eevenue TO
cover the cost OF operation and the al
lCwanees fixed BY the Tennessee utilt-
ties commission ass a reasonable return
on the valuation Of $it. s56,5Ss for the
Menphis street railway viii begin
April /,
Mayor Paine and the other members
az the city administration believe that
although the three months following
April ! do not usually bring as heavy
passenger traffic as other months 81
the year, notably November, December
and January that the steadily inereas-
ing volume OF business which began
last year and which was shown by the
january reports OF the street railway
viii continue,
n that f. the case. under the mndifi-
ration OF the order and opinion Of the
state commission agreed upon Satur-
say, there will be no Increase above the
Scent rate this year,
The receivers, r. H. Tutwler, presi-
dent OF the company and Frank s El-
Kin, may not be In charge IL the prop
critics under the direction OF the United
States district court after the close of
the three months period, II Is possible
that before that time the financial af-
fairs OF the company may be In so much
better condition that the seceivership
Fnav be ended. That is merely q sup
position, however based upon the re-
ports Of the receivers for the past year
and for January. which indicate that
the properties have been exceedingly
well managed during the reeeivorship.
Ask Cooperation.
The receivers in a statement to the
pubic, express the hope that during the
coming test period they win have the
eD@operatlon OF the public and that the
results will show that Ii win not be
necessary 10 increase the rate, and
that no even lower rate may eventually
he possible. In that connection they
aAs receivers Of the Memphis Street
Hallway company we have been and
are officers Of the court Appointing us,
and MS such have impartially repre-
scented, as Il has been our duty to do.
the public, the creditors OF the company
and the owners Of the property,
I'VE have appeared before the state
commission by order Of court after the
company had vainly appealed to the
preceding city commission for relief, to
insure proper service In Memphis and
the restoration Of soivency TO the com
pany so that new capital may be evall
able AS extensions and additions to the
property may become necessary,
We have contended for fair valu-
alton OF the property 4 fair rate Of re-
turn. necessary renewal and replace
1nent reserve and proper standard OF
service and revenue enough, but no
more than enough, TO insure service for
the public ana fair treatment OF those
who own the property. There IN not q
doubt In our minds about the absolute
integrity of the members OF the state
commission who subscribed TO its opln-
ion. nor about their ability and their
einEleness OF purpose and desire 20
reach just conclusions upon all issues
aAs receivers we are quite willing to
have the test Of 6-eent fare made rs
agreed upon. We hope II will prove
unnecessary TO ever make effective any
higher fare and that even q lower fare
may be eventually possible but this
will depend upon future volume Of traf-
fic and trend OF operating expenses,
II will, Of course be our purpose 10 do
Ah possible TO yet the best results in
service and net returns during the test
period.
I'm conclusion we appeal To- the city
officials, the press and the public gen.
orally 10 remember that the street rail-
way IL city essential. that those now
IN charge OF ii are entitled To cooper
alton In efforts 10 make II serve ada-
anately those Who must use IL and
that the investment TN this property Is
legitimate and those Interested finan-
cially are entitled to the falrest treat
ment.
Our action In agreeing to the fur
Their test OF the Scent fare is not in
tended In any degree as an abandon
mant OF contentious made before the
state commission nor AS criticism of
It's action, but is taken in pursuit of
desire to dispose of and settle a CON
tfevcrsy which has been precipitated as
90 the sufficiency of 6-cent fare In
Memnhisn