The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-02-01
TUESDAY. FEBRUARY /. 1921.
The City in Rapid Transit.

AAC OAey IA A>AkeS
After one week of roaring against
Governor MILLER's plan to salvage
this city from rapid transit chaos the
campaign of violent abuse has blown
up and those who started 1t can
hardly find its pieces. SO now they
begin to talk about checkmating his
big, broad, workable programme with
q local political manGuvre demanding
that the city take over the traction
systems for municipal ownership and
municipal operation.
But without the very State ac-
ton that is urged by Governor MIL
LER in behalf of our people the city
cannot take over the transportation
companies; 1t hasn't the power. The
city cannot put them into one unified
system; 1t hasn't the power. The city
cannot establish a single fare; it
hasn't the power.
Furthermore the city by itself can
not build the new subways, extensions
and equipment that are needed. The
city cannot do anything worth hill
of beans to give the people Of New
York adequate, efficient and decent
rapid transit they need and should
have.
The reason the city cannot do Il
single practical thing in the circum-
stances to meet this rapid transit crisis
Is that the city is already up against
the stone wall of its debt limit. 1t
can't borrow enough money to build
school houses. 1t can't even appropri-
ate enough money to run the schools
we have. The city taxes are so ter
rife that the property owners and
rent payers can't stand any more.
And the city taxes are so high and
the rents are so high partly because
the city can't get any return on the
colossal investment 1t already has In
the traction business.
For the city Of New York already
, has a quarter Of billion of dollars
invested In traction bonds. That sum
is going to become soon three hun
dred millions. But the city isn't get
ding interest ON its Investment be-
cause the traction companies are not
earning it. Some Of them, In fact, are
not even earning their taxes. So,
when the city hasn't enough income
to take care Of its present needs and
when 1t hasn't any borrowing capac-
ity at all, to talk about municipal
programme pure and simple to take
over the transportation companies
md build more subway construction,
extensions and equipment without
Governor MILLER's programme is
sheer political humbug.
The State Government can throw
the companies into one unified sys-
tenn. 1t can fix single fare. 1t can
put the whole on n sound business
basis. 1t can make 1t earn taxes
and interest. And by doing this 1t
can tighten the burden of the New
York property owners and the rent
payers. BY doing this it can increase
the city's borrowing capacity by a
quarter of a billion of dollars or more.
Then, and not till then, the city can
put more millions into rapid transit
for the people of New York. And
somebody, according to the plans be-
fore the city authorities right now,
must put in another half billion of
dollars before there can be any hope
of giving the people of this city the
rapid transit service they want and
should have.
And all that, bear In mind. Is en-
actly the rapid transit plan Of Gov
amor MILLER, which Is legal, possible
and workable.
The city already has, roughly. a
three -eighths partnership ownership
interest In the whole New York rapid
transit, public and private, with some
$500. OOO, 900 In 1t all told. II the city
put in the presslngly needed $780,
100000 more which It could under
Governor MnIER's plan, II Will have
much more than n majority Interest
In the whole investment. 1t then
could. as Governor MILLER says, take
over the whole ownership-ando on the
bnsis OF all the water squeezed out.
But Il cannot and will not do any
of those big and necessary things fol
the people Of New York without the
aid of Governor MrILER's great pro
oromme for This great city.