The New York herald., 1921-07-02
NEW TRANSIT BOARD
WINS COURT BATTLE
Appellate Division Orders City
to Provide Funds to Pay
Running Expenses.
ACT Is CONSTITUTIONAL
Hylan's Pleas Against Law
Rejected, Except One, That
Seems Premature.
ACT Is CONSTITUTIONAL

The new Transit Commission won yes
terday it's second court victory over the
Hyian administration. which is seeking
on constitutional grounds to annihilate
Gov. Millers body for the reorganiza-
ton of traction lines. Yesterdays de-
cision by the Appellate Division upholds
the constitutionality of the law under
which the commission was created and
orders the Board of Estimate to provide
funds to run the commission.
Those funds include the reappropria-
ton of 1865, 200 unexpended balances of
the former Transit Construction Com
mission for the first six months of this
year and a new appropriation of ST.
o34. 900 for the last six months of the
year. Compliance with this order will
provide pay for 105 employees whose
pay the Hylan administration has held
up for the last two months and for
the more than 1000 employees who
would be deprived of remuneration after
Yesterday in the same manner.
The power of the commission to mod
ify rates fixed in local franchises Is
upheld, thus breaking down In part the
Hylan plea of violation of home rule.
The court declined to pass at this time
upon the right of the commission 10
execute and deliver contracts in the
name of the city.
The decision was upon an application
for mandamus against the Board of
Estimate which was made directly to
the Appellate Division. in accordance
with the new transit law. The courts
opinion was written by Presiding JUS
tice John Proctor Clarke.
The apDlica atiOD for the writ was
argued in behalf of the Transit Commits
sion by former Justice Francis NJ. Scott
and Godfrey Goldmark. the commission's
attorney Corporation Counsel John P
O'Brien, Assistant Corporation Counsel
Edgar j. Kohler and Senator Hiram
johnson Of California appeared for the
Board of Estimate.
THE respondents have argued every
conceivable question that could be raised
in opposition to this application" the
court opinion says. Many have nc
relevancy at the present time. We have
considered the vital ones and reach the
conclusion that the applications shoulc
be granted
Regarding one of the questions RAISED
the opinion recites that -four of thu
learned Justices OF the Court of Appeals
absolutely and two inferentially sustain
the constitutional power OF Tue bes iS'a
ture to modify rates fixed in loca
franchises and then alludes to TN
provision Of the law which says that |
the city fails to approve proposed modi
ations 1.-The commission is authorized
to execute and deliver such contract o
contracts in the name of the city"
However. the question here presented
Is not now ripe for decision" the opinion
says. mo action has been taken. nj
plan has been prepared or submitted. NJ
contracts have been drawn 1t is
matter of common knowledge that intra
mural transportation matters are In
deplorable condition 1t may be tha
the plan devised for the reform of con
ditions will be so sound, so safe, s.
conservative. so fair and so REASONABLY
that it will be willingly accepted by al
parties