New-York tribune., 1922-06-02

maximum excess should be limited 20
25 per cent.
500 Cars Out Of Service
William II. Freeman. another com
mission engineer. testified that on May
10 last a count showed the New York
Railways Company owned i,t4f pas
seneer cars, Of which 754 were as
signed for service and 500 were out OF
service. His observation also showed
insanitary conditions.
William O. Smith. a supervising in
spector Of the commission. described
overcrowding on he Lexington Avenue
line.
The Eighth Street erosstown line
during the rush hours was pronounced
the most heavily overloaded on the
system. A count on March 81 in the
N'fteen.minute period before 3 a. m.
showing that the loading was 837 per
cent. or an average Of eighiy-hve
standing 10 car.
Straphanging on the Interborough
during non-rush hours Is almost en-
tiroly eliminated under the improved
service inauguTdtci 8t the order OF the
Transit Comm ission on May 81.
Inspectors OF the commission re-
ported Yesterday on tho first days trat.
fc. and they found tlat the longer and
more frequent trails arc giving moro
accommodation for non-rush hour pas
senrers than =. ans time since to
dual system was operated. on Nay 20
a count showed standing passengers
carried constantly throughout the non
rush hours. On Wednesday, accord
ing 10 the inspectors, there were more
seats than passengers.
81" Valuations Differ
The Transit Commission says that
the Manhattan Elevated Railway sys-
tenn is worth S55,4i798a. George Wei
wood Murray, representing the. COM
many al the valuation hearing before
the Transit Commission yesterday, says
that the system Is worth $i07,4o6i4O.
Clarence J. Shearn. special counsel
for the commission, submitted ie-
vised table OF the commissions en-
gineers' appraisal, as follows:
Erimsted cost 10 reproduce. .,.,..
l110-'1f -. ......tst ...... f'''''f'f4'
Estimated cost 20 reproduce.
ff1i........ .t....t-sf.f Ltfevtstt. T.
original cost ...,............ o.. so.fso.ssf
Expenditure neceffary o. put
property IN fret class condition t,of2.'9a
Net recon nsended value hy COM
mission engineers -+--..-----. h''fl '.t''
The original recommendation Of the
commissions bureau Of valuations was
S57974.2O5, but this was subsequently
corrected because Of a printing error.
Alfred Stiti. president OF the Manhat-
tan Company, appeared for his com
pany-
tion Of the Manhattan's status, in which
he made reference TO gas decision
written by Governor Miller, then a
member Of the Court OF Appeals. Deal
ing with the fact that the statute ex-
cluded going values" in transit valua-
ton, Mr.. Murray quoted the Miller
decision:
1T is now generally recognized that
the going values as distinct from good
will is 70 be considered in valuing the
property OF "a public service corpora
tion. either for the purpose OF con-
dennation or Of rate making, but there
is a wide divergence Of view as 10 no"
10 is 10 be considered
Lays Stress on Going Value
Mr.. Murray laid stress on the going
value" theory Of appraisal. He said
.bat 70 reproduce the Manhattan new
would cost Si03.594,394, as against the
s55. 100000 valuation reached by the
commissions engineers. based upon
original cost, minus cost 20 rehabili-
tate. The major item used by the Man
haitian counsel represents Ssi ,504,b84,
present value. and a second item o.
500. .O8q .s61 for general expenses, ad-
ministration. organization. emergency.
taxes. interest. etc. The company, said
Nr. Murray. took the stand that the
corporations valuation should be made
on a basis Of reproduction, instantly,
to-day" he said.
Pressure from the Transit Commis-