The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1921-01-29
.PEPCO MERGER
BELIEVED SURE
Passage of Gould Bill at This
Session Will Expedite
Traction Fusion.

n.
Dill permitting merBer oi ING
tomac Power Company win the
Railway and Electric
W.y NOW PAVED.
Members or Congress VINO nave
Ne $3.50 80, ~.
House Di.trict COMMITTEES In report
ing the Gould hill has provided the
nrst necessary .tep TO pave the way
for one consoIids ted street car sys-
tenn In the Di.trict OF columbia.
Two Is1i.istivs S.y. remain in the
House for the considerstion of Dis
trict LEGISLATION and twenty-nine leg
i.lative day. In All before. the close
Of the session-suffcient time, II IL
beIiav~d IN nsrmtt action on the
Gould bill in the senate unless uu-
forseen obstacIes in the wsy of n
nIibuster arise.
There doesn't .npear To he n xhost
of a chance for any general traction
merger biII nj thi. .esslon. but nss-
sage Of the Gould bill. removing the
principal block that stands In tho
way. will be a great stride in the
right direction. The Iegislative lam
in the Senate and conditions in the
HOuDS. 100. IOr that matter. make IL
to nut through n general
mercer bill before March 4. In fact.
leaders in both houses will have 10
do some delicate maneuveripx to get
the Gould bill through on schoduIe
time. for prolon sed debate on II would
mean its death
uupopr rryrc,ruD .oc~
S~ON'
with the Gould bill a. q guide. the
House District subcommittee that 10
to frame general merger legislation
,' 20 NC .Ie 20 msAe '1 repor'
lively short time. Now that the com
mittee In generally agreed that an ex-
cess profits tax. ranging from so to
100 per cent on all revenues above n
6 or per cent return, should be lev
led, the rest of the task that lies
ahead IL comparatively easy.
Congressman Gould of New York,
in submitting his report to the House,
reviewed the history and conditions
Of the street car companies at some
length.
Referring to the proposed merger
of the Pepco Company with the WASH
ington Railway and Electric Com
pany, the report says: THE bill will
improve and strengthen the credit of
shS " WI ASAh"Ay SHu LlCCtIiC
Company and permit more economical
financing OF needed extensive addi-
tons and improvements. through the
creation OF q direct lien on CONSOLE
dated properties rather than in the
FORM OF a collateral mortgage pledg-
ing the stock OF the power company.
II certainly 10 a prerequisite step
toward the promotion OF merger OF
the washington railway and Electric
company with the Capital Traction
COMPANY
ONLY ONE REMEDY.
CONGRESSMAN Gould roes on to saw
that after MANY wears Of careful con
OF the traction nrohIeu. in
the District the COMMITTEES almost
has reached the concIu.
sion that a merger Of the two great
is the only remedy for tbs
unfortunate situation that NOV, crist.
THE committee. likewise ha. come
to the conclusion that there can be
no equitable merger unless the prop
Comnonv sha,,,s no ,nn,"s.s =; ~
the report Continues.
"The preponderance Of opinion 10
mat when the inevitable merger
ooeS come the Capltai traction Com
pamy oeihg the stronger financially
WIN De the survivor In reahty. II not
III name. Inc power pant OF tnat
company Is not suHicient 10 maui All
tne cars now owned by and the
cars now owned oy the other COM
pany' ana the NUMBER or both must
VI neSesoaty oe Constantly increased.
GouId discusses at length the rela-
i've hnahciai strength OF the two
companies, showing the burden or
MAINTAINING its III miles or tracks
anu ts subsidiary suburban lines
mas eaten into the capitai OF the
w asnington railway ana Electric
company In the denseiy settled ana
business sections or the city, how
ever the two companies are shown
10 De close rivals ana competitors.
That condition, however, does not
apply to the outlying lines or the
w ashington Railway ana Electric
company, the report says.
ACT OF 1900 REVIVED.
"Tbe Canit.I Tractiop Comn.nyn =,
-
'"hS us 'rschs' equip
ment and power plant Under pro-