Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-01-12

panies will receive 10 cents He de-
MED any desire TO ruin the street rail-
way companies and said that he
never takes A socialistic position.
Defends His Stand.
Suppose ] am right" he said
isn't it to the interests of the people
to make the street railway compa MES
live within their charters
Mr.. Reid asked whether a scent
rate could be arbitrarily fixed or
whether consideration has to he given
in fixing the return on the invest
ment. Mr.. Bla nton explained that he
expects to make a prima facie ca -
before the committee. and then if the
bill is passed the street railway com
parties would carry the matter to the
courts, and there the real record
would be made for the people In a
trial court.
I'VE must show he said. and /
am prepared to show that they can
make fair return on their invest
ment.'
Mr.. Reid interiected: IF YOU can do
that. | will be glad to help you do it. -
Chairman Zihlman questioned Mai.
Bell in regard to how and when the
valuation of public utilities was made
This brought out that the valuation
proceedings occupied two and q half
years and that the arst rate fixed on
basis of the valuation Of the prop.
erty was in 1916. or 1917.
Would Follow Evidence.
Mr. Reid said that If the subcom.
mittee wants TO make a good record
it must follow the rules Of real evi.
dence and accept in testimony only
what each witness knows of his own
knowledge.
Mai Bell, after being sworn, said
that Mr.. Bls nton was correct in hts
statement that the letter written to
the House District committee and
signed by the District Commissioners
was prepared without the members Of
the Public Utilities Commission giving
detailed consideration to the report.
After illustrating the many calls upon
his own time. Maj. Bell said that the
members of the Public Utilities Com
mission as now constituted cannot do
what Mr.. BlantOn very properly eX-
poets them to do.
1T isn't the proper way to run
public utility regula ton: it Is not
done anywhere else: people having
charge of public utility REGULATE
elsewhere have an opportunity to
look into the matter" said Mai. Bell.
THE duties and conditions have
changed since the Public Utilities
Commission was authorized"
Changed Urged Before.
Maj. Bell called attention to the
fact that two years ago the members
of the utilities commission had rec
commended a change.
Haven't the people had proper
presentation of their case?" asked
Mr. Reid.
They have. not" emphaticany re-
piled Maj. Bell.
He emphasiz that the bill now
before the director of the budget
would improve this condition. He
said he hoped it would get more ia
vorabIe consideration at this session
of Congress. When questioned by
members of the committee as to
whether the Public Utilities Commits
sion acted upon the advice OF the cor
poration counsel. Maj Bell said he
remembered no case in which he did
vice in regard to legal matters. but
that he has not taken his advice on
matters OF judgment.
He explained the duty OF fixing q
rea sonable rate on fair valuation Of
property imposed upon the Public
Utilities Commission by act Of Con.
gress.
The matter has been taken UP to
the Supreme Court. and nothing has
heen said by any court contradictins
the supposition that the Public Util-
tiles Commission has the obliga ton of
fixing a reasonable rate of return on a
fair valuation of the property.
We are not permitted to AK any