The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1924-02-11
ANNUAL REPORT
in T.TTRl99LEEYS
PUZZLES
Committee Fails to See Why
Capital Traction Deprecia-
ton Has Jumped. 49,.

An inconclusive and technical ex-
animation o. the annual report OF the
Capital Traction Company before
the Senate District Committee to-
day resulted in a deadlock over the
fact that the corporation now has
only 317 passenger cars in operation
on the streets Of Washington
exactly the same number that it
had in 1919, and only thirty-nine
more than it had in 1914.
Senator Mcclellan, who is driving
with great intensity for the passage
Of his scent fare resolution, was
puzzled by the fact that the cars of
the company have not increased
whereas the depreciation charges Of
the company, in the same period,
have jumped from $1,758,O0O to
81, 425,000.
Others to Answer.
Secretary Allen, Of the Public
Utilities Commission, was on the
stand. To the most searching and
technical questions asked by Sena-
tor Mcclellan, he made reply that
the engineer and auditor of the
Public Utilities Commission would
have to answer. These men will
appear before the Senate District
Committee next Friday morning.
Have you ever found, in your
seven years experience with the
Public Utilities Commission, that
the Capital Traction Company was
making any improper charges or
trying to charge off as operating
expenses what 1t should have put
down as capital accOunt?" asked
j. H. Hanna, general manager of
the corporation. ->s
mo. sir, I have not" replied
Mr.. Allen. "There have been a few
small mistakes, but that is ALL"
Takes Up Annual Report.
Senator Mcclellan devoted the
hearing today to the annual re-
port Of the Capital Traction Com
pany, paying particular attention to
the statement Of operating expenses
under the headings of equipment
and power. He tried to show that
the itemized depreciation of equip.
ment," Sill, Ala, was inconsistent
with other items in the. statement.
He aimed to show that deprecia-
ton was carried upon cars that
were either obsolete or out of serv.
ice. To all such questions Secre-
tary Allen replied that only the
annual audit of the company.s
books, not to be completed before
next July, could give any answer.
AS a compromise Senator Bal. \
chairman of the District Commit
tee, suggested that the auditors
books for 1922 be brought to the
committee to ascertain Just what
items were carried as depreciation.
whether the entire statement of
operating expenses could be cues.
toned as improper, and SO forth.
This matter will be gone into next
Friday.
Could Not Reply
The hearing was largely devoted
to the consideration of questions to
which Secretary Allen, being only
an executive officer Of the Public
Utilities Commission and not one
OF ITS engineers or auditors, could
give no effective reply.
Senator Mcclellan hopes to wind
up the hearing within the next
ten days. He will base his case for
a five-cent street car fare, appar.
emily, on his statement that the
Capital Traction Company is earn.
ing returns on a far larger fail.
value than it should be allowed, and
Is also attempting to show annual
operating expenses larger than any
which properly should be permitted
by the Public Utilities Commission.