Evening star., 1921-07-13

A reduction to four tokens for Is
cents or cents cash on the lines OF
the Capital Traction Company will be
asked for by the Federation OF Cia-
zens' Associations at the street car
hearing tomorrow.
The federation. meeting in the Dis
trict building last night. gave lts
committee on public utilities no In
struction as to what rate of fare
should be fixed for the Washington
Railway and Electric Company.-
When a delegate asked William Mch.
Clayton, chairman Of the committee on
utilities. If he intended to ngnt lot
reduction on the Capital Traction lines
and leave the fare unchanged on the
other systam the committee chairman
renlied in the negative.
He explained that when the WASH. .
ington Railway and Electric needeo
increases In the past the commission:
In order to maintain uniform rate OF
fare. handed the increases to the Capt.
tai Traction Company.
Now, all we are asking Is that IN
this case the commission should. Tor
change. start with the Capital Trac-
ton Company and pass down to the
Washington Railway ana Elecer,c r,
whatever rate Of fare the former conf
pany can operate on" said Clayton.
Discuss Other Utilities.
The citizens also discussed briefly
the forthcoming hearings on gas, tele-
phone and electric light rates. and de-
cided to give Mr.. Clayton's committee
power to handle these cases as 1t sees
fit when the hearings take place.
fare he thought the Capital Traction
Company could take at this time. Mr.
CLAYTON said he would recommend
four tokens for 2b cents. even II that
rate did not yield the company per
cent on it's valuation.
For two years past" Mr.. CLAYTON
declared. 1.-The Capital Traction Com
pany has earned. approximately. ~
per cent on its valuation. as result
Of the unnecessary rate increases II
received. If in the next year it should
earn only 4 per cent its average Tor
the three-year period would stii oe
In support Of this contention Mr..
CLAYTON told the delegates that In
fixing the gas rate some months ago
the commission took into considera- :
ton the fact that for the preceding
five months the gas company dld not
earn a reasonable return.
O6set Excessive Return.
He contended that II the commits
sion applied that theory to the Capt.
tai Traction Company. it would Eive
the company less than per cent re-
turn to offset the excessive return
the company has enjoyed in ths-past
AS had been expected, the fedora i
ton went on record as being una'ter
ably opposed to a zone system OF
fares. as proposed by the Washing
ton Railway and Electric Company.
Thomas Donovan sought to have
the federation vote to ask for a D.
cent fare on all street railway lines.
This motion was defeated after Mr..
Clayton had stated that the citizens
could not expect a return 10 that
rate at the present time.
The delegates then adopted another
resolution calling upon the commits:
sion to restore the scent rate CT
fare as soon as conditions justify.
The federation reiterated it's opposi-
tion to a merger OF The Washington
Railway and Eleccr:c. and the Poto-
mac Electric Power companies.
Delegate Donovan made spirited
attack on existing telephone rates,
declaring they should be reduced.
Telephone Rates Upheld.
Albert Schulteis, from Georgetown
made an equally spirited reply. In
which he said he did not believe Mr.
Donovan or any other member of the
federation wanted the telephone com.
pany or any other utility to furnish
them with service at less than a fair
return. He said that the telephone
company is earning only 4.83 per cent
on it's valuation with existing rates.
Mr.. Clayton said there were three
questions he intended taking up al