Evening star., 1921-06-07
G-CENT CAR FARE
HELD POSSIBLE BY
PUBLIC OWNERSHIP
REPRESENTATIVE Keller. Also
Discusses Plan for s.
Cent Power Rate.
CHARGES STRANGE LOSS
OF COMPANY's CURRENT
Merger Propositions Are Declared
Impracticable Before House
District Committee.

District Committee.
Rv municipal ownership Of the
street railway properties in Washing
ton 6S-ce fare could be put in
force, and. if all taxes were abolished,
the fare could be reduced to cents.
Representative Oscar E. Keller OF
Minnesota told the House District
committee today in discussing his bill
for relief of the existing street rail-
way problem.
Representative Keller also sur
prised the committee by stating that
there is a mysterious loss of more
than one-fourth of all Of the power
generated by the Potomac Electric
Power Company. and that some OF the
power sold 10 the Washington Rail
way and Electric Company is being
used in Baltimore. His plan, he said.
would make possible electric power
distribution in Washington at a five
cent rate.
. \ great volume of figures was sub
nitted by Representative Keller
showing how he made these esti-
mates.
Monopoly Discussed.
He discussed all of the plans Of
fered to the committee to effect a
merger of the street car companies.
He argued that the utilities of this
kind must be a monopoly in order to
he economically administered for the
people. Placing such monopolleS in
private hands is temptation for ex-
lloitation, to the disadvantage of the
people. he said.
Mr.. Keller told his fellow members
that in his opinion the other plans
submitted will not do what they claim
His line of reasoning was that the
plan of Representative Woods of Vir-
ginia guarantees fair earning to
both companies. and, therefore. there
would be no inducement for the wash
ington Railway and Electric Company
TO enter merger voluntarily. He ar
Eued that the Potomac Electric Power
Company and the Washington Rail-
way and Electric Company should not
be merged for the sake of taking ex-
cess profits from the power company
and using them to help out miSman-
aged street car company, each getting
their return, he said.
Opposes Oyster Plan.
He argued along the same line with
sion plan. The proposal of Commits
sioner Oyster he described as "ridicu-
lous,' and said it amounted to nothing
hut an effort to increase rates to help
pay for mismanagement
The cost service plan was next best
TO municipal ownership, Representative
Keller said. but that with two COM
panies each entitled to fair return
there would be two rates of fare, and
this would never bring about merger.
In regard to the proposal for the
Public Utilities Commission to declare
a hve-cent fare for the Capital Trac-
tion Company and force the WASH
ington Railway and Electric Company
into bankruptcy, Representative kel-
Ter s4ad that the Washington Rail-
I, IL
ways been unfair to the public and
therefore, not entitled to the consid-
grafton of fair treatment. Another
consideration. he said. was that un-
der the law a fair return must be
provided and the companies could
go to the court, thus causing end
less trouble and delay.
Controversies Predicted.
In regard to the proposal for the
government to buy the rights of
way and lease them to the street car
companies, Representative Keller said
that during periods of repair work
there would be endless controversy
over delay in operation of cars be-
tween the managers for the govern
ment and the repair work and the
managers in charge of car operation
for the companies.
He said his plan contemplates an
immediate low rate of fare and an i'm
over the power plant.
Representative Keller said the fed
eral government should have nothing
TO do with this question of government
operation further than to say to the
municipality. Here are the lines, issue
bonds and run your street railway syS-
tenn" Whatever it might cost to run
the lines, the people should pay, and
there would be no calling upon the
federal government to make up deficits,
as was the case with the railroad ad-
minIStration he said.
Representative Keller took the COM
mittee step by step through a maze of
figures, showing what he figured would
be the cost of government operation
through interest on money borrowed,
operating costs, taxation, retirement of
bonds and replacement.
Two Funds Proposed.
His plan provides two funds-one
for retirement of bonds and the other
for replacement costs.
Representative Keller pointed out
that othcr economies could be effect
cd under his plan which would re-
suit IN greater efficiency. He pointed
out that in Washington there are
no downtown loops to reroute cars
IN case of, fire or other periods of
congestion. He suggested that there
should be such loops at 7th. 9Th and
llth streets. He also pointed out that
PiANSASf-iis are operated on
a through run and argues that there
should be ''ys" at certain zones SO
that a car in the two-mile zone mi eht
be operated on a three-minute sched :
ule, in the four-mile zone on a FIVE
minute schedule, etc, thus dividing
the traffic in congested districts.
He also pointed out how congestion
in rush hours piles up operating ex-
penSeS because it causes delay Of the
cars
With improved service. he said
there would be more riders, and.
therefore, increased revenues
Representatives Hammer of North
Carolina. Millspaugh of Missouri and
Zihlman of Maryland questioned Rep
resentative Keller regarding compar-
ative statistics in other~communities
Representative Zihlman raised the
question that the operating costs
would be heaviest under municipal
nagement because the employees
would then be on a seven-hour day
instead of eight hours.
Public Ownership Opposed.
Representative Walters of Pennsyl.
vania, a member of the subcommittee
on the merger. pointed out that there
is considerable feeling against gov.
ernment ownership and operation
probably sufficient to prevent consid-
Grafton in the House of Mr.. Keller'f
proposal. He emphasized that Con.
gress is responsible for the unsatis.
factory condition that exists in Wash
sington.' He said that 1t is duty fol-
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