Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-11-28
PHONE COMPANY
CONTINUED from PAGE One)

|
business unlimited service be contin-
ued at a rate not exceeding s4.75 per
month.
That the New England Telephone
d Telegraph Company be, and it
hereby is, ordered to maintain the
Portland WeStbrook District ex-
change at rates applicable to the
Portland exchange.
That rates, per message, applicab BILE
to additional messages for measured
services, be established and main
tanned not in excess of the following:
In excess of the base rate number.
to and including 200, 4c. next 800. 3
1-2c; all others, &c.
That there be established and
maintained for service connection
charges and charges for Changing To-
cation or type of station equipment
rates, or charges not exceeding the
rates or charges presently in effect,
set forth in rate schedule DESIGNATED
That there be established and main
tanned for private branch exchange
swltchboards monthly rates which
snail not exceed the following:
Cordless type, $3.50.
Cord type, non-multiple board. ner
position: y" p0'
10 lines or less in USE $3.50.
! l TO so lines in use, $3.50.
81 10 50 lines in use, $3.50.
81 TO loo lines in use, s1S
l1l 10 200 lines in use, SEQ
! 2Gl to SEQ lines in use. So mot in-
Guiding trunk lines to central officc).
multiple board, per position, $3.50.
Measured Services
The decision states that '"mea sured
services Tor business use under the
new schedules indicate an increase in
poth the initial or monthly minimum
payments and also in the rates for
messages in excess of the n,,n,bar az
lowed under the monthly fixed chargc
After careful consideration Of ali
relevant facts with respect to these
proposals.. it is our belief that the
present message rates for messages
IN excess OF the number specified in
/ tue proposed rate schedule under the
caption, Monthly Base Rate" should
continue at the present excess charge
| per message"
PRIVATE Branch Exchange Service
a portion Of the decision which af-
iects business to a large extent re-
rates TO private branch exchange serv-
| ice On this topic, the commission
asserts:
n Maine. the New England Com
| pany supplies service through an
pfoSlmately 800 private branch ey-
cnange systems. The estimated
added revenue resulting from the
proposed rate advances, based on the
expected business for 1926, is rem
resented as 100000, an increase or
4i.' per cent over present rates. and
constitutes a much greater increase
than that applied for any other ser
vice. The most notable monthly
rate advances are those proposed for
the varying types of switchboards in
use The ''cordless" type, each.
| calling for an increase from 81 80
to S4.o0. The "cord-multiple'' tyne.
per position, calls for an advance
from $40 to $50. The 'Icord-non
multiple" type. per position, is sub
| Ject to a graduate wage scale. de-
pending on the number of lines in
use. Such switchboard, having
ten lines or less in use, is now
| charged for on the basis of $500.
| while the proposed rate is $500 per
! month. As the number of lines in
use multiply. charges on the grad
uated rate basis apply, with the re-
| suit that fifty-line use, now sup
! piled at $500. becomes. under the
| PiOPOoiib PIO.OO. ~ SWlICnDCdTQ Oh
this type having a one-hundred- line
| use calls for the present rate of $500
as against a proposal of S24 90. In
| connection with the proposed re-
! grouping in the number of the lines
and the establishment of group or
| graduated. rates, the changes con-
template a more limited number of
| groups, as a result of which the
maximum number of lines in use,
| designated as go, and calling for O
rate of $500, carries the identical
rate for an eighty one-line type use.
While it may be true that the larger
use of lines does not affect any
Maine subscriber, we nevertheless
believe that the spread from 81 lines
to 80 lines is too great. especially
! when such grouping calls for a rate
| increase from $500 to $1,000. The
I rates proposed to be offered by the
| company for switchboard systems
! constitute increases ranging from 200
per cent to $50 per cent. 1t is our
| opinion that such advances are too
drastic and we shall require modif1-
| cations of them.
Dealing with the rates fer other
! elements of private branch exchange
! service, we find the rate proposals
| for additional messages for measured
service should be the same in this
| division of the schedule as in other
! divisions. We shall require the con-
tinuance of the present rates for ex-
| cess messages"
Contract With American Tel Co.
The commission in its report ana
lyzes the contract between the
American Telephone & Telegraph
Company and the New England Tele-
phone & Telegraph Company, under
which in return for the equipment
and services furnished by the former
concern. the New England company
binds itself to pay to the American
company sum equal to LIZ per-
cent Of it's total gross earnings. "Un-
der the system OF accounting pre-
scribed by the interstate commerce
commission under. the act of Con-
gress, which system is in use in the
state of Maine by order of this com
mission, this 4 1-2 percent payment
is regarded as deduction from re-
venue" the commission says.
Referring to this contract, the COM
missioners assert that they are mind
full of the fact that under the pro-
visions the payment to the American
company automatically increases
with every advance of rates, with no
corresponding increase in value or
change In the services rendered. IF
1t be urged that, by reason Of these
contracts made with associated COM
panies, the American Telephone &
Telegraph Company has been reaping
financial harvests unreasonable and
excessive we must content ourselves
with the statment that that subject