The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1925-02-27
Padding Valuations by Local
Public Utilities
By BILL PRICE.

the valuations Of their properties TO prevent reoucton Of rates
to the public claim Of the Chesapeake Potomac Tee
phone Company for its land and buildings the
District.
The Assessor of the District puts the total
panys land buildings $2370704 just sharp little diff
of 054 Under existing laws real estate in the
District is assessed at full value There has been
wide difference assessments made by the District Assessor
sales prices though the average sales prices have been
slightly above assessments The Assessor has been conserve
tive his whole preferring this to
assessment for taxation purpose His valuations about
the average of what might be called community values
represented by sales.
The Telephone Company has apparently been weconented
to pay municipal valuation totang $S70704 its
claim $55S it has failed do its just and
fair part a taxpayer.
The telephone monopoly the District taking advantage
of reproduction cost cry It wants the value Of what
the of building today would be- Yet most Of the build
ngs Of this company put during the high prices Of
war days and at the inflated costs Of those days.
The patriotism and good citizenship Of monopoly asks the
people of the District pay reasonable returns the
highest possible initiation of estate and other values
hasn't yet its obligations taxpayer by
paying the total valuation claims for rate
making purposes
That ose of the things that has led few congressman
iniica1 the District to cali washngOnians "taxdodgers
when it is not true.
the people Of the District should have to pay telephone
charges make up proper returns Of about per on
this overam item of 645o54 they viii have to make
the company yearly present Of about 00 and this
instance paoo1ng puDuC
is doubtless Of many in the exaggerated claims presented
by company the public demand for
telephone rates.
Valuation of telephone properties as whole is highly
technical affair The telephone monopoly has staff Of well
paid experts and attorneys who have claimed every dollar
Of value they can possibly get the Public Utilities
Commission The commission the other hand has just
handful of conscientious able employees wo while adept In
figures experts in all technical subjects Congress
has consistently refused give the commission funds to
inst roin0 to hnvv Con.
gess of the in the street and how Loyalty it looks
after the interests Of invested wealth.
We confident that the Public Utilities Commission is
going into the Telephone Companys valuations Of all kinds
quite carefully and that it is not going to allow any
for reproduction than necessary keep pace
the decision of the local the Potomac Electric
Light
It should be kept in mind all the time that when the days
Of decreasing production arrive Of these local
utility corporations will accept decreased valuations
They will put up extensive battles in the courts and
where to hold the highest possible valuations that they
may collect from the public every dollar telephone gas and
electric light rates and fares
The Public Utilities Commission created to justice
TO local utilities also to protect the people Of
the District against injustice
American Telephone and Telegraph Company
of which to make telephone pay the utmost
that the parent company larger and larger d
dends The people of Washington pay to A. T. and T. Co.
about quarter of million dollars annually for what amounts
to nothing more than royalty
Another claim which company and other local
utilities putting forward is for "going value" That
means the pubic must pay for the financial Of the
corporations and the fact that they established going
basis.
The telephone company makes the modest little claim Of
$28OO000 going concern than 10 per of the
total claim of $25000000 valuation We easily under
stand that the going part going after all the money
can get from the public In Of the extravaganza
of Washington public utilities in past going concern
value been claimed but they will all try to work it the
future.
We strongly urge the Utilities Commission not to be
fooled by these going value claims "Going Value in
corporation corresponds somewhat to good wl in
is worth something.
There vast difference however The going value
private enterprise has been made possible by COM
PETITION The telephone company corporations
of that kind have had ABSOLUTE MONOPOLIEs the Dis
trlct They have had virtually competition. they
have not been hurt thereby Every Of them in the District
today is in modern parance Easy Street, The money
to make them that collected from the
District who