The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1923-03-28
This Matter Of Utilities
Valuations
One Vital Principle Involved That Affects All the
People of Washington.
By BILL PRICE.

In the appeal made by the Public Utilities Commission
the people Washington for funds employ special counsel
in valuation and pending in the courts there
far bigger question involved than that of protecting the in
teress public in the $So0000 electric light fund Inn
pounded by the Potomac Electric Light Company.
This fund alone should be sufficient incentive to Wash
ngon people promptly rally to the support Of the Public
Utilities Commission which, better than any other body
realizes questions that in dispute That
mpounded fund in the opinion Of the u c. belongs to
of electricity in this city the courts give 1t to
people will be big melon cutting for all the people
the give it to the the melon
cutting will be among stockholders Of the Potomac Electric
Light Company
But set aside the matter of the peoples rights this fund
for just moment and view the real big thing that in
voved the thing which the Public Utilities Commission is
looking at above everything else:
Shall people of Washington pay increased street
fares, electric light and gas rates in the future?
Washington public pay to local utilities
upon what p o. O. has decided water and not real
value?
Bear in mind public paying
based upon valuations made by the Public Utilities Commits
sion of properties of the Washington Railway and Electric
Company and the Capital Traction Company, well as
electric light rates upon official valuation OF the Pepco
corporation.
Neither the companies accepted Of
properties Electric Light Company
the first appeal the courts from the valuation made OF
its properties But the other two companies followed
suit did the Washington Gaslgh Company 70 certain
extent .........
The Public Utilities valuations upon the
properties of the Pepco W. B. and g. and Capital Traction
that less than these companies claim their
properties are worth Gasight Company the
difference between official valuation and claim is about
$5000o00 This makes total Of $400O00O of difference
enoe be added to their valuations for the PURPOSE OF
COLLECTING RETURNS FROM THE GENERAL PUBLIC.
in Washington shall receive reasonable returns upon
actual valuations of their properties The law passed
that the Public Utilities Commission might make fair vaua
upon wholesale claims Of alleged money spent BY
5 m 4 g sSd 1D 70 eeI
In the of the Washington Railway and Electric
Company for example the Public Utilities Commission decided
the dSo of tina: be IN
courts valuation of approximately The public
is sufficient give the W. r. return Of approximately
per $16OooOO0. the fix the value Of
this corporations properties at do understand
Mr. Average Citizen that you must pay increased street
car fare to give the concern reasonable return7"
Capital Traction Potomac Electric Light and Gasight
Companies
Therefore you readily understand why you are asked to
contribute money fund employ special counsel
follow all these in the courts, not only
Public Utilities Commission and paid for out Of funds
proprated by Congress The big interests got in their
the next year This attorney was the regular
counsel of the p u throughout the valuation proceedings
before it. the subject every way better
than any other
There is squawk from corporation centsrs these
days It is to the effect that the Potomac Electric Light
Company spend 100000 year extension
of its lines increase of plant equipment The ntaon
conveyed that the company be hard put in getting
the money That is all bunk. The company is in such
splendid financial condition it borrow money in any
amount desired at reasonable Of interest Additions
to utilities properties not made from
anyhow The Of surplus net profits in and
improvements is not allowed under utilities laws anywhere
It ought to be allowed to reasonable extent but the theory
that all extensions must be made from borrowed
and become capital expenditures which the public pays
returns upon in rates fares
If the Potomac Electric Light Company wants to spend
100000 in additions this it merely has before
the Public Utilities Commission show what the money
be spent for and it will authority issue bonds cert
Gates other obligations which borrow money
The securities thus issued will be added the
the companys properties and the will pay
sufficient to meet the interest charges