The Washington times., 1922-11-07

Public Utilities Commission
WatchfulneSS!
BY BILL PRICE.

The Chesapeake and Potomac Telephone Company
to have greatly surprised the Public Utilities Commission in
filing notice that reports for the first nine months of the
calendar year revealed that earning 7l3 cent the
valuation OF the property as heretofore determined by the
Commission and asking in rates to unlimited subscribers
that would bring the return on valuation to approximately
per cent
company rates. the corporation be given
credit for openhanded dealing Fair and frank policies with
the public are in these days. the that will pay in the
No public utility going gain public confidence that
keeps its machinery working in the dark opposes every move
for reduction OF rates. and tries to block the Public Utilities
Commission in ascertaning facts and firgures
Nobody believes that the Chesapeake and Potomac Com
largest return its valuations 1t can possibly get without
arousing public camor and dsapprova But it could have
u c. called it to account and proceeded to hold hearings
to reduce telephone rates That the most fashionable
on fixed valuations is falling short they to the proper
public body to have the public make the difference They
seldom rush themselves to reveal that their earnings giving
them returns above what they should be-
1t is presumed that the Public Utilities Commission keeps
in such close touch with the earnings of local public utilities
that it acts less automatically to protect the public
against what would be regarded earnings by taking
the to reduce rates fares Whether the Com
mission taking long nap this remains to be
determined.
That there be hearings the subject of reducing
telephone certain Just how the $lOSOOO the
company admits is making cent rate will be
apporoned is matter of detail The Utilities
Commission decide that per cent rate is larger than
utilities corporations this time and shave
that all classes of telephone subscribers
will get small bite of the golden apple that is about to fall
The Commission has been holding that cent is large
enough railways although the Capital Traction
need above per cent for long time. The Washington
Railway and Electric Company has long claimed that its
valuations of its properties by the Commits
far below per cent, but it hashrOugh higher
rate allowed the Potomac Electric Light Company
(owned by managed improve its position in the financial
world evidenced by steady increase in market values
of it's bonds and stocks.
The $e5ooooO of stock of this has bee
declared by Commission be the of
but purchase shares par value $2,70O5OO
has about been made by ouoown interests at price that
will the banks that have been holding it securities
loans from a
The gentlemen buying this stock have their wide
They putting approximately $1SOOOOO for nothing
They expecting little melon cutting some time In the
future The voting of this block of stock considerable
affairs of the w. r. and f. The total stock
outstanding Sc 5OO0O preferred $S5OOOOO both having
equal voting power.
The purchasers be counting favorable dec
from the increased valuations of the
panys properties which would demand railway fares that
would give returns the increases and doubtless
counting upon decisions that will give to the
Potomac Electric Power Company something like $2OOOOOO
money impounded in banks The p U. G. has held
this should be returned of electricity
who have been paying rate for electricity above that fixed
by the p. U. c.
1t quite evident the DOLLARS represented in the
curties of local public utilities wide awake to taking
of It behooves the Public Utilities
Commission be Just watchu of the interests Of the
advisers and financial experts and money employ them