New-York tribune., 1921-01-25

faltroati commissioners was named in
the act, with power to fill vacancies.
AS q preliminary step the board was
required to obtain the constitutional
consents of the local authorities and
abuAting property owners, or. in lieu
q the latter, the determination of the
General BERN. now the Arpe. at - -.
sion. of the Supreme Court upon. the
report of commissioners that the pro-
poSed road ought to be constructed ana
operated The board was then to pre-
pare plans and advertise. for bids Cor
CO qu n. r. ton.
Upon obtaining the constitutional con-
sents the board was independent of
municipal control except that the ap-
proval of the Common Council was re-
gaired as to the form of contracts.
Under that act the first two subway
contracts were let, viz: Contract No.
/, on, February 81, 1900, for the secti Ii
north of the Postoffice in Manhattan,
and Contract No. g on July 21, 1902,
from the Postoffice in Manhattan to
the. Long Island Railroad terminal in
Brooklyn. Under those c ,ntracts, made
by, said board. the credit of the city
was pledged to the amount of upward
Of s55.000.000, little over $4,000 001
Indebtedness which is a limitation upon
She borrowing power of the city.
overs ii Board Trans. erred
"By Chapter 631, Laws of 1905, the
power o. approval of plans and con-
the I ommon Council was transferred
to.the Board of Estimate and Appor-
tionment. That power was continued
by the revision of 1909 and still exists.
'.The greater New York charter
(Chapter 378. Laws of 189T) provided
by Section 45 that nothing in the
act should repeal or affect in any
manner the provisions Of the rapid
transit act.
- viii thus be seen that the first
venture of the City of New York in
- ownersnlp OF transit lines
was under contracts made by board
aplo.nt d by the Legislature, which
was Independent of municipal control
except for the constitutional consent
required to preliminary pans.
"In 1907, as part OF the enactment
Of the Public Service Commissions law,
the powers Of the board under the
rapid transit act were transferred to
the Public Service Commission for the
1st District. There was then urgent
need for an extension of the rapid
transit system. However, it was not
until 1918. despite all of the efforts
of the public authorities, that con-
tracts No. 8 and No. 4, providing for
extensions under the so-called duai
system, were made. That was due in
part at least to the delay in effccting
a working arrangement between the
commission and the Board of Estimate
ana App ,lti nment. Those contracts
were made by the commission and were
approved by the Board of Estimate
and Apportionment, and they contained
q cause requiring the approval of the
board to any changes. However, find
no statutory warrant for that provi-
sion, the only consent of municipal au-
thority, to changes expressly required
b.. ~ etatute being consent to changes;
Of plan.
3 Drifts Toward Disaster
"By Chapter $40 of the Laws of 1919
the regulatory powers of the Public
Service Commission were transferred
to sing C commissioner appointed by
the Governor and the powers under
the rapid transit act we're transferred
to ngle tran it construction com
missioner. The result is that there
are now three agencies dealing with
Service Commission, the Trans Con-
c.ioa Commi sioner and the Board
Of Estimate and Apportionment, and
the powers of each are in dispute. 1t
is not strange that an apparently
hopeless tangle results.
."With respect to surface lines an
equal y hopeless tangle Of author ty
exists. 1t was obviously intended to
confer upon the Pubic Service Com
mission complete regulatory power
over them But the Court of Appeals
decided that it would not infer, from
the language of the act, an intention
to do that in cases where local con-
sents had imposed conditions as to
rates of fare. That decision, however,
has been United to such consents
granted between 1875 and 1907. The
result is that the Public Service Com
mi sion has jurisdiction over some
lines and different sections of the same
line and divided authority with the
Board of Estimate and Apportionment
over other lines or sections of the same
line.
"A drifting policy has naturally re-
suited from div ded authority and re-
sponsibility, while the transportation
problem in the City of New York has
steadily drifted toward disaster.
( Great Need for Expansion
"According to the report Of the
Transit Construction Commissioner,
there is greater need than ever of new
construction and extension of rapid
transit lines, the present lines having
reari ed the point Of saturation during
rusE hours. In passing, it may be OBJ
served that the service has been so
rrinried that every hour appears to be
rush hour. The commissioner states
that at present costs .ne new con-
stfuction and extension planned will
coH s350,000,o00, not including equip
merit, for w ich $500 000,t0o wiz be ,e-
quifed OF course, under present con-
disions, private capital will not be
risked In the enterprise, and the city's
bss-~owing capacity is limited by the
$20a. 100000 in round numbers Of SUBJ
way bSnus now maintained out of the
tax levy, vhi.e anotaer $50 00J 900 wli
be required to complete projected work
for which the city is OBJ igated.
Eccerding to the report of the Pub.
lie Service Commissioner, the revenues
Il fa!i operating companies within the
,. ssst-r ci or fiscal year ending
Jgfne 80, 1920, fell short Of paying op
e;sss i. .xp.nses, interest, rents ant
other fixed charges by $10,735,399, as
against a deficit the prior year o1
s8,55e.4os.
.tNany of the roads are in the hands
ofsreceivers and others on the verge
Of receiverships. Systems have beer
dIsinteg ated. Two, three and, un-
d.tas ~, A.. some cases four fares are
now, required where before one sufficed
Many lines have been abandoned anc
segylce on others suspended, mainten'
a1ce as been deferred, taxes are un-
maid u1d k.. III