The Washington herald., 1921-11-04
Is There a Joker?

lumbia is still far from agreed street
railway merger bill. The House in COM
mittee OF the whole, after protests by Represen-
tatives Oliver, Mondell and others of the leading
members, rejected the Woods bill, re-referred it,
practically with instructions to return measure
which would compel a merger. Mr.. Woods
promptly reintroduced his bill with changes only as
to taxation, but no more effective than before as
to merger-uness there is joker in it.
So far compelling or inducing the merger of
the street system single street car utility
and nothing more it is vaueless. But it contains
in the first paragraph of the first section authority
for all the separate street railway companies ito
merge or consolidate all and singular their respec
Tive corporate rights privileges and franchises, and
all their respective works and properties, real and
personal. tangible and intangible, into corpora
ton and property for the ownership, management
control and operation of all their said works, prop
ertieS, rights, privileges and franchises under such
corporate name may be adopted"
The Washington Railway and Electric Com
pany, of those named, owns all the stock of the
Potomac Electric Power Company, electrical
utility This ownership of stock carries with it the
ownership of the franchise and all the works and
property, the plant, etc, held under this company
Under the wording OF the Woods bill
quoted above not this separate utility be
merged combined with all the other companies
into corporation and property for the
ship management, control and operation of all
their said works, properties rights, privileges and
franchises under such corporate may be
adopted?
To novice in the corporation game and in
legislation intended to do one thing, but which is
found to do much more, this looks very much like
authority 10 combine both the street railway and
the electric utilities into corporate entity and
management. This is exactly what the w. R. & E.
.Eas wanted do since it secured control of
the electric utility. 1t part of the original
plan. 1t has been the object of every merger bill
fathered by the street railway lobby.
1t is something Also refused by Congress. 1t
was in the original Focht bill 1t beat that meas
ure 1t was not supposed to be in the original
aHv Woods BILL But isn't it? The street railway
agents have not ardently fought amendments to
this bill and seriously to object to but two
that by Representative Hammer fixing the street
railway fare four tickets for rs cents, and that
BY Representative Lambert for a separate account
ing by the electric service. If combined
corporation the latter provision might be difficult
of enforcement.
To prevent any possibility OF such a construc-
ton of this BILL if passed. OF any other retaining
this wording would be simple matter. 1t would
only need the insertion OF the word railway" at
the end OF the ninth line the first page and at
the end OF the first line the second page. The
street railway interests cannot object this, unless
the intention is to deceive. Even at that, prob
ablv as result, the bill will not effect street
railway merger. 1t either has this Joker is
but fuss and feathers. 1t has teeth
hard gums But that a merger could be forced
without injustice is shown by the offer vouched for
by members OF the committee that financial inter-
ests with ample capital stand ready to take
the roads and give scent fare.
The Herald is convinced that this is possible
Mr. Maciarren's letters have gone far to show that
there can be savings in investment and operation
that would make large total. There is much
necessary trackage and much that is wrongly placed
and useessly competitive There is other
edy for these wastes but merger and merger should
be OF the railway properties alone. leaving the
electric utility to the w. r. & E. stockholders.