Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-09-09
A. Fair Basis for
Car Fare Rates

TO the Editor Of The Star:
The hearing BY the Public Utilities
Commission on the application for
higher rates Of fare on street railways
in the District Of Columbia is nearing
Q close. stu swirlins in the figurative
ffaelstronh OF valuation and its en-
tanglements. In accounting systems and
their inharmonies, in depreciation ac-
counts and their variations, neither the
commission nor the representatives Of
the rail lines appear to be in a calm
frame OF mind to consider the situa-
ton as 1t exists or to take note, with
due consideration and elaboration, Of
the equities involved in what may be
found to be the plain and simple pro-
visions ofsthe law.
In o few words the law sets them
before US:
THE charge made by any such pub
lie utility for any facility or service fur
nished or rendered, or to be furnished
or rendered, shall be reasonable, Just
and nondiscriminatory."
AS to whom? To the public, of
course, for the protection of whose in
terests the Public Utilities Commission
was created and upon which ground
only could 1t be brought into existence
or exercise any functions.
That this newly constituted commits
sion can be led to believe by the rail
line advocates that the law was enact
ed to provide maintenance and support
for railway corporations, regardless of
the rights Of the public, is almost I'M
thinkable, since the law further pro-
WOES that every unjust or unreason-
able or discriminatory charge for such
facility or service is prohibited and is
hereby declared unlawful" A broad
construction Of the meaning of this
language would indicate that any rate
Of fare which is asked for merely on
plea for maintenance and support of
railway corporations, with no consider
alton as to the reasonableness or just
ness thereof to the public, may not be
set up, or fixed or ordered by this body
regulating charges for corporate serv-
Ice furnished or rendered, unless the
commission is sure that such rate is
reasonable and just to the general
public.
The application by the company for
increased rates Is based on the repre-
automobile is reducing the number Of
street car patrons and cutting down the
revenue OF the rail lines, and an in
crease In cash fare amounting to Is
per cent? and In the token rate Is
asked for primarily on that basis. But
the car rider Is not responsible for this
nor for the progressive trend in modes
Of transportation, and 1t seems very
clear that the Public Utilities Commits
sion is prohibited from imposing this
unreasonable and unjust additional
burden upon the car rider to make up
the losses sustained through charging
automobile use. No more than this
view might be needed to deny the ap-
plication, for the purpose thereof ap-
pears to be not to prescribe rate, but
to fix q penalty-to lay upon the backs
Of the faithful patrons of the rail lines
the burden of making up losses due TO
circumstances for which they are not
responsible and over which neither they,
nor the commission, have any control.
This leads to the suggestion that q
substantial basis for rates Of fare just
and reasonable should be sought 10 sup
plant the representations of the rail
lines and their advocates. Such fair,
Just and reasonable foundation-as fair
to the rail lines as to the public - is
found in the average purchasing power
Of the dollar. The public. through the
commission, might be willing to con-
cede to the rail lines such a rate Of fare
as will give to the railways the same
average value of q dollar as the people
are able to secure for a dollar in the
many uses TO which they are required to
put 1t. To give less, under changed
able and unjust to the rail lines: to ex-
act more Is equally unfair and unjustly
burdensonne to the public. But nothing
in connection with such arrangement
should ever be construed to interfere
with the power of Congress at any time
to require or enforce compliance with
the terms Of the charters Of all such
roads.
It Is generally understood that the
average purchasing power Of the dollar
today, compared with the 5-cent-fare
days, is about 62ia cents, or f1ve-eighths
Of q dollar. The present Scent cash
stead of 20, under the scent rate; and
1915 is exactly five -eighths of 20. The
token rate of for 40 cents gives the
car patron Is rides for a dollar, in
stead of "a under the old rate of six
tickets for a quarter; and fifteen-twen-
ty-fourths is also five-eighths Of dol
lar. The railways, therefore, are get
ting the average value of the dollar
from all patrons, whether the rider pays
cash or buys tokens.
A 10-cent cash fare, in comparison
with the old rate of cents, reduces
the purchasing power of the car riders
dollar to so cents and gives to the street
railways 1879 cents more thereof-a 20
per cent unfair advantage. Similarly, a
token rate of for 80 cents, instead
of q ticket rate OF for Is cents, re-
duces the value Of the car riders dollar
approximately to sig cents IT an IL
cent unjust and unreasonable confisca-
ton Of its average purchasing power in
favor Of q public utility corporation,
which merely carries him somewhere
and renders to him a service much less
important than many others vitality es-
sential to life In the living. AS neither
the rail lines nor the commission will
give him any return whatsoever for this
additional money taken from him in
cash or through tokens, there may be
some good and sufiicient reason for
looking upon the exactions as a penalty
upon the car rider for Loyalty support
ing the rail lines day In and day out
and resisting all efforts Of the siren of
the automobile to lure him from his al
legiance to travel by rail.
When We consider how widespread Is
the application of the common law of
averages in the affairs of mankind there
appears to be no valid reason why it
should not apply in this instance.
With the application Of this work
able method Of fixing street car fares
will come Sterilization and much de-
sired Standardization, and another