The Washington herald., 1921-07-23
Amendment Would Give
Companies Six Months
To Consolidate.
WOODS BILL BEFORE
HOUSE COMMITTEES
Lampert Suggests Adding
PepcO to System After
Combine.

permission to the street car. COM
panies to merge when 1t leaves the
House District Committee. 1t will
virtually compel them to do so
within a period of six months, 1t
was asserted by members of the
committee, yesterday. after the
meeting held to discuss the bill.
Representative Zihlman, of Mary
land. will offer an amendment at
Mondays meeting. allowing the
street car companies six months in
which to avail themselves CT .hc
opportunity to consolidate under
the provisions of the revised Woods
BILL. After the expiration Of which
time, the companies not having ef-
fected a merger. the Public Utilities
instructed to determine a seperate
fare for the two railway companies
based on their individual valua-
tions.
VI W.
Representative I.ampert, Of wis
consin. who led the opposition to
the Woods bill, will also offer an
amendment .embodying two penal
ties for failure to comply with the
provisions of the revised Woods
measure. In the event that three
months elapse before the CONSOLE
dation is effected. he proposes 70
arbitrarilv reduce the fares to four
tickets for IS cents. Failure to
merge within six months would.
according to Mr.. Lamperts amend
ment, Immediately put into opera
ton. the Keller bill, for municipal
ownership.
There seems to be little or 20
opposition TO an amendment of this
kind among members of the COM
mittee. Representative Woods said
at meeting 81 have no ulterinr mo
'tfves IN presenting this bill. not
withstanding the fact that my mo-
tives have been attacked by a
member of the press. I have nc
particular pride in the authorship
Of this bill and 1 invite suggestions
from all members of the commit
tee."
Mr.. Woods, in fact. offered two
amendments to his s~n bill that he
thought might be Objectionable to
the opposition. He has stated that
he is not adverse to an amendment
putting a time limit on the ccrpo-
rations after which more drastic
measures shall become effective.
Committee Lacked Quorum.
1t was planned to discuss the
Woods bill. section by section. yes
terday in order to amend il TO
please the majority of the MEM
bers. Seven. sections had been
amended and passed upon when the
forced absence of one member ce-
prived the committee of a quorum.
Opposition to the Woods bill was
expressed by Representatives Wal
ters, Of Pennsylvania: Hammer, of
North Carolina; Kuntz. of Illinois:
Blanton, Of Texas, and Lampert, Of
Wisconsin. Representative Walters
refused to be reconciled to a merger
that permitted the union OF the
street car companies with the power
company. He argued that separate
utilities should not be merged, bus
he was highly in favor of a con-
solidation of the street car COM
panies.
Section / of the Woods bill. pro-
viding for a merger of the three
corporations, was passed with little
or no opposition.
Oppose Pepeo Merger.
Section 2 of the original bill read:
y, "a r.
way and Electric Company or the
said merged corporation provided
for in section is hereby authorized
and empowered to acquire. hold,
manage. and operate the Potomac
Electric Power Company" On a
motion of Lampert, OF Wisconsin.
1t was amended to read: That the
said corporation, etc" This amend
ment was considered a victory by
the opposition. as 1t precludes tae
Possibility of merger of the WASH
ington Railway and Electric Com
pany with the Potomac Electric
Power Company unless previous
merger of the two sire ar COM
panies Is effected.
~ Section was amended to ex-
clude a stipulated return of per
cent to the consolidated corpora
tion, but still vests the authority to
regulate the utilities companies in
fixing rates, Determining values.
etc. in the Public Utilities Com
mission, as is now the practice. The
remaining four sections that were
passed remained virtually the same.
Would Permit Triple Combine.
As the bill now stands, II per-
mits the traction companies to con-
solidate. providing for such a con-
solidation. Having merged, the
street car companies are permitted
to include the Potomac Electric
Power Company In their CORPORA
tion. This triple merger having
been completed. the 4 per cent sros,
tax is repealed, together with the
expense of original paving and the
payment of crossing poffce. nov
borne by the traction Companies.
The companies are then allowed to
earn z per cent on their fair yalua-
tion. after which they are taxed 60
per cent of their net operating M
come.
Representative Hammer, of North
Carolina. also argued against the
adoption of the Woods bill His
chief objection to the measure was
that " allowed to merge with the
Potomac Electric Power Companx
the Washington Railway and Elec-
& ! - ~. Y ss4