New-York tribune., 1921-09-30
Municipality to Get Title
Without Outlay by Re-
firing Purchase Bonds
With Roads Earnings
Real Home Rule
Provided by Plan
Public to Have Full Voice
in Managing Company;
Lines To Be Built Up

Lines To Be Built Up
Governor Miller's Transit Commits
sion issued an outline yesterday Of
its plan for the readjustment Of
New York City's transportation
system. It calls for municipal
ownership and unification of all
lines. Complete changes in organiza-
ton and methods Of financing are
advocated by the commission 50 that
the five-cent fare may be retained
and the service improved.
The commissions plan provides
for the valuation, consolidation and
municipal ownership Of all trans
portation facilities-surface, sub
surface and elevated-deemed by tbs
commission to be useful and essen
tial. These properties would be &C.
quired without outlay by the city by
amortizing out Of earnings the valu-
ations fixed by the Transit Commiss
sion.
Present Companies to Go
All existing corporations and their
franchises, inter-leases and securi.
ties, under this plan, would be grad
ually eliminated. Existing securis
ties would be replaced by an ISSUE
Of bonds of a consolidated company
representing new physical valua-
ton of the properties.
Payment o. these bonds" it is
stated in the plan, with interest and
q stalking fund charge sufficient to re-
tire them within reasonable period,
which will be less than the present
term of the subway leases, to be se-
cured by purchase money mortgage
| and assured by rate of fare based on
cost, automatically determined by the
condition of 8 contingent reserve or
barometer fund.-
The commission is prepared, in case
the city authorities shall oppose imzne-
date ownership of the transit system,
to consider the alternative course of
vesting title to all properties not now
owned by the city, including the SUBJ
way leases. in the consolidated COM
pany, with provision for deferred owa-
| ership by the city.
Three new operating groups are Ia
be made up through the consolidation.
as follows:
Group No. 1.-The subway and eie-
waited railroads now operated by the
Interborough Rapid Transit Company
and leased by it from the city and
the Manhattan Railway Company
Group No. 2--The subway, elevated
and surface railroads now or former
ly in the Brooklyn Rapid Transit
system.
Group No. S-The surface railroads
of the Boroughs of Manhattan and
the Bronx.
The surface railroads in Queens and
Richmond are to be allocated in whole
or in part, to Group No. 2, or Group
No. 3, as may be determined.
Bus Lines as Feeders
"Bus lines" says the commissions
outline, necessary for the logical de-
velopment of the unified system to be
created and allocated as feeders to the
foregoing group. Where necessary or
desirable, some of the existing sur
face lines may be transformed into bus
lines.
"All existing power facilities to be
consolidated and operated for the. COM
mon benefit of the entire system"
A hoard of control is to be created
under this plan to exercise general
financial control and supervision Of the
entire system. There are to be seven
members, three to be selected by the
Mayor and three who will represent
investors, these six to select q chaix-
| man.
In. its discussion of the rate of fare
on the unified lines the commission
says: There shall be no increase in
the five-cent rate, of fare, unless. after
one years demonstration of the re-
suits of operation of the consolidated
| system, with its new and many on
portunities for substantial economies.
an increase is demonstrated to be neces-
sary. Then, and at the conclusion of
each succeeding fiscai year, the rate Of
fare will be determined automatically
by the status of the contingent reserve
| or barometer fund and shall be put
into effect by the board of CONTROL
The report of the Transit Commits
sion has been expected nearly every
day for the last three weeks. About
4 O'Clock yesterday afternoon the news
papers were informed that it was ready.
AT o'clock all the members of the
commission. Chairman George Nc
Aneny, Leroy T. Hardness and Gen.
eral John F. O'Ryan, filed into their
chamber at 49 Lafayette Street, in the
building that formerly housed the old
Public Service Commission, and laid
their proposal before the people Of