Evening star., 1921-10-11
FOCHT CAR MERGER
MEASURE EK|LLED|N
HOUSE BY 68 TO 60
Striking Out of Enactment
Clause by Body Spells
Its Death.
WOULD HAVE PERMITTED
HALF-CENT CUT IN FARES
One Company Declared to Be Re-
ceiving s5O0,0OO More Than
It Is Entitled To.


The committee of the whole house
on the state Of the Union, in con-
sidering the District street railway
merger. today reported back to the
House with a recommendation that
the enacting clause should be stricken
out, thereby killing the Focht bill.
This action was taken in the COM
mittee Of the whole after two votes, in
each Of which a clear majority was
shown in favor Of killing the bill. On
an aye and nay vote, 10 were in favor
OF the motion of Representative Blan-
ton to strike out the enacting clause
and fifty voted against such action.
When tellers were called for the vote
was. ayes. 6S, and nays. so.
Among those voting TO strike out
the enacting clause were Representa-
tive Mapes of Michigan. formerly of
the House District committee; Repre-
sentatives Sproul. Illinois. republican.
and Blanton, democrat. Texas. both
members of the District committee;
Stafford, Wisconsin: Fess, Ohio:
Reavis. Nebraska: Graham, Illinois;
Mclaughlin. Michigan; Haughen.
Iowa: Greene. Massachusetts, and
The House later, by an overwhelm-
ing vote, decided to recommit to the
Houses District committee the street
railway merger bill.
The Focht bill would permit of a re-
duction of one-half cent in street
car fares. Representative James p.
Woods, democrat, Of Virginia, the
original author of the so-called mer-
ger bill. told the House today when
consideration Of the measure was re-
sumed.
Representative Blanton offered
privileged motion to strike out the
enacting clause. Representative Blan-
ton said that even with the amend
ments which Chairman Focht of the
House District committee said he
would offer. making the tax release
provision dependent upon the merger
of the two street railway companies.
would not cure the defects of the bill.
Mr.. B1anton said that the release pro-
posal should not be granted under
any conditions, and he specifically dis
cussed the proposal to relieve the
street railway companies from the
paving charge.
Sees RalIef for Riders.
Representative Woods argued that
the bill does bring relief to the street
car riders and at the same time does
not work an injustice on either of the
street railway companies. 1t opens
the way to a merger, he said. and re-
moves the legislative prohibition
against a merger.
Representative Woods reminded the
House that the street car riders are
today paying one company 100000
more than it is entitled to receive.
He pointed out that it is not right TO
tax the Capital Traction Company
disapproportionately in order to keep
the Washington Railway and Electric
Company running: That injustice Is
removed by this bill, Representative
Woods said.
Inducement for Merger.
As an inducement to the Capital
Traction Company to enter into a
bill says that the consolidated COM
pany may take over the Potomac
Electric Power Company, which is
the most valuable property, and then
should serve notice on the Capital
Traction Company that Congress is
going to take away the undue profit
that it has been receiving. Then they
will never merge" Representative
Woods stated. we are doing that
through the excess profits provision"
This Is the only method which
provides for a reduction of street
car fares he added. ITO get a one,
cent reduction means taking one and
one-half million dollars from both
companies. This bill will allow a re-
duction of approximately one-half
cent in fares and still allow the Cap
ital Traction Company generous re-
turn"
Representative Woods explained
that the bill carries Endorsement. in
principle, of the Public Utilities Com
mission, who are also the District
Commissioners. and that it has the
Endorsement Of the Chamber of Com
merce, Board of Trade and other
business organizations.
Argues for Five-Cent Fare.
Representative Madden of Illinois.
chairman of the House appropriations
committee. declared there should be
a f1ve-cent street car fare in Wash :
ington without any merger. If this
bill is passed. 1t will be easy to get
anything through Congress. Mr.. Mad
den said He declared the Focht bill
fundamentally wrong. He argued
that the bill should be killed and that
condemnation proceedings should be
entered into and the street railway
property taken under public owner
ship.
Representative Mapes. Michigan.
who was chairman of the House Dis
trict committee when hearings were
held looking toward solution OF the
street railway problem, vigorously
opposed the bill now before the House.
He said the proposal for a so per cent
excess profits tax on all earnings
above per cent is a check, because
not allow any fare which would yield
above Z per cent
Representative Oliver Alabama ad-
vocated that the bill be sent back to
committee and altered 80 that the
first provision in it would plainly
ponents of the< bill have said on
the fioor should be seven cents. and
four tickets for q quarter.
Urges Simple iBlL
Representative Graham. Ill.,. re-
publican, also argued that the bill
should be taken back to committee
and a simple bill drafted giving the
companies the right to merge. This
could be passed at this session OF
Congress-. he said. and he would vote
for 1t. AS an alternative he will be
forced to vote in favor of the Blantoa
motion to strike out the enactins
Graham stated his belief that it Is
not good policy for Congress to
authorize consultations Of corpora
tions engaged in different kinds of
business. In the present instance, he
said, 1t would result in a demand for
Increased charges for light and
power.
Representative Graham also opposed
the proposal in the bill to remit ex-
pense of repaving streets.
II do not propose to tax my con-
the people in the District" he said.
Representative Graham said that
while it 10 claimed the main purpose
Of the bill is TO reduce street car
..:c:.tinu.u on i'ase :. Colu.-..'