Evening star., 1922-02-28
Utility Commission Explains Its
Adherence to Present Fare Policy

The result Of maintaing the same
rate Of fare on both street railway
systems during the last three years
has been to allow the Capital Trac-
tion Company to exceed q Z per cent
return on its valuation by $f.492,-
5s2.S6. During the same period the
Washington Railway and Electric
Company has fallen short of I. per
cent return by $1.a04.124.3S.
These facts are contained In the de-
cision yesterday in which the utilities
commission decided to adhere to its
past policy Of giving both companies
ference in. their earning capacities.
The decision reads, IN part. as fol-
lows:
Decision in Part.
The question the commission must
decide Is Shall this policy of a uni
form rate of fare be continued?
Three years have passed without the
forts to bring the companies together
through voluntary merger have
failed. The president OF the Capital
Traction company stated at the hear
ings in this case that conditions
likely to lead to a merger are no diff
the conferences between the commits
sion and the companies year ago. He
stated. moreover, that in his opinion
1t Is very doubtful If any material
reduction in fare would result from
a merger Of the companies.
Tore. the commission believes that it
should adhere to it's position to keep
the rates of fare uniform. In assum-
ing and maintaining this policy the
commission is taking precisely the
railways Of this city as is enjoined by
Congress upon the Interstate Com
merce Commission in its dealings with
interstate carriers for which regard
less Of earnings. valuations and cap
italization, equal rates are prescribed
for carrying freight and passengers
between the same termini. Any other
policy would bankrupt the financially
weaker carriers. to the great detri-
ment Of the territory they serve. The
problem. then. is to- ascertain how
much, If at all, the present rates can
be reduced.
PrOperties' Fair Values.
1.-The fair value of the properties
Of the Capital Traction Company and
of the Washington Railway and Elec-
trio Company system. as of Decem-
Ssr ssE 81 81 1921 was. sespeect.ively se SIS
tai Of ss3,s35. $500. based upon the
commissions findings.
These figures included the net
amounts of additional property placed
in service during 1927, at the actual
cost thereof. In calculating the rate
of return earned by each of these
companies during the year, the
weighted average of the 1921 addi-
tions should be taken-not the full
amount of such additions. This would
reduce the fair value figures given
e.
each company of $15.7s4,221.ss and
$17.236. .40s.5s. respectively. On this
basis the rate of return actually
earned during 1921 becomes 10.73%
for the Capital Traction Company and
$3.50 for the Washington Railway
these two principal street railway
companies be considered as one, their
combined operations during the year
1921 will show rate of return of
$3.50 upon the commissions findings
of fair value.
These earnings are in excess of
what may be expected in 1922. princi-
pafiy because the rate of fare during
the first eight months of that year
was higher than the present rates
The estimates for, the two companies
for 1922 at the present rates of fare
show a rate of return on the fair val
ues of December 81, 1921, of 10.26%
and 4.315%. respectively, or a COM
bined rate of return of 7.17To. Ex-
pressed in dollars, this amounts to
turn on the combined fair value"
One-Man Cars.
Referring to one-man cars, the COM
mission said: ...
THE operation of these cars up to
the present time has demonstrated the
efficiency and economy of this type of
equipment. the actual saving in oper-
ating costs for the year 1921 having
been $SO.146.47. of which s72.30818 is
trict of Columbia. Experience has
shown that the particular type of
equipment SO far used has not been
entirely satisfactory, owing mainly
to the limitation of the entrance and
exit facilities. these were originally
provided in acco lance with standard
one-man safety car practice. but 1t has
been found that peculiar local condi-
tions demanded more commodious
means of ingress and egress. In the
operation separate entrance and exit
doors have been provided. together
with additional facilities to add to the
comfort, convenience and safety Of
passengers.
''In all of the cars so far equipped
been incorporated all of what are
known as. safety: car Devices these
comprising interlocks SO arranged
that the service doors cannot be
opened until the brakes have been
applied. and the cars cannot be start
ed until the doors are closed. and
emergency apparatus which shuts off
the power, sands the track, applies
the brakes and releases the mechan-
ism of all the doors automatically in
event of mishap to the operator or
failure on his part to continue to de-
press a button. on the/controller or a
foot pedal. In the latest type of
equipment there has been added as a
further safeguard and convenience a
conspicuous handle for opening each
of the doors when released in enler-
gency. Another feature not in general
use elsewhere, Is the Installation of
two extra lights oSer the doorways.
which are automatically turned on
when the doors, are opened and ex-
tinguished whom the doors ere closed.
This latest form Of one-man car con-
stitutes the very highest type of such
equipment, SO far constructed, and
will be followed in the future in re-
modelling other cars s..
Accident Records.
1.-THE testimony Of the company is toI
the effect that the records of accidents