Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-08-23

Clayton Develops Fact Rail-
way Makes Power Under
Agreement. .

Calling william F. Ham, president of
the Washington Railway & Electric Co,
TO the stand as witness for the Fed
Grafton Of Citizens Associs tions. Will
liam NICK. Clayton. counsel for the
federation, began Q searching probe
today at the car fare bearing before
the Public Utilities Commission into
the relationship existing between the
Washington Railway & Electric Co. and
the Potomac Electric Power Co.. Of
which Mr.. Ham is also president.
Mr.. Clayton developed rhe fact that
the railway company manufactures
power at the power company's Bennings
plant under a contractual agreement
with the power company and reSells
what it does not Use itself TO other
companies operating outside Of the
District
When Mr.. Clayton sought to have Mr..
Ham state whether or not the railway
company made a. profit on I'lese sales
of power 10 other companies. not owned
or controlled by the Washington Rail-
way 6 Electric Co.. objection was made
oy s. r. Bowen. counsel for the railway
company. on the ground that it, had
nothing to do with car fares in the
District.
Objection SUsta ined.
IF the railway company does make
profit on these sales, want 10 follow
it up end see what becomes of it," de-
clared Mr.. Clayton. II think it does
have bearing on the rate case here"
The commission ruled, however, that
Mr.. Ham need not answer the QueS-
tions, since it related 10 sales outside
the District
Vice Chairman H. H. Hartman asked
Mr., Ham a series Of questions 10 find
out whether in his opinion economies
would result from rerouting Connecti-
cut avenue cars Of the Capital Traction
Co. over the Mount Pleasant line of
the Washington Railway and Electric
Co. and the Wisconsin avenue cars of
the latter company over the Capital
Traction Co.'S Pennsylvania avenue
lines
Mr.. Ham said the first proposal would
probsbl have poor results" and it
would take careful study TO determine
the effect Of the latter change.
Open Bus Hearings.
The case of the Washington Railway
~ Electric Co. was completed this
morning. and one exhibit was placed
on the record marking the beginning of
the case Of the Washington Interurban
Railroad Co., which operates busses
from Fifteenth and H streets northeast
to Cheverly, East Riverdsle and College
Park. The fare on these buses is the
same as on the street cars. and it is
proposed to increase 1t to 10 cents cash,
with four tokens for 80 cents, as re-
quested by the street car companies.
This exhibit showed that the bus line
had lost money every month but one
since the buses were substituted for
trolley cars in May. 1923. The total loss
up TO date was given as $48.675.
After receiving this exhibit. and be-
fore any questions were asked about it,
the commission suspended the hearing
until 10 o'clock Tuesday morning when
the case OF the bus company will be re-
sumed, to be followed by the presenta-
tion of evidence by the Washington
Rapid Transit bus line. an independent
concern. which has been made q party
to the present rate case.
Retirement Figures Sought.
Mr.. Hartman's first questions were
made upon the company's books for
retirements of property.
Aren't your retirements made some
times at higher. sometimes at lower
cost than the original cost?" Mr.. Hart
man asked, "snd II the retirements are
made at a lower cost, would that not
leave some balance in the valuation
figure that can attach only to retired
property?"
That's a general question" replied
Mr.. Ham, let us have something spe-
cific."
Very we'll" said Mr.. Hartman. take
the case of 254 track feet Of rail from
Connecticut avenue south OF Dupont
Circle. This property is apparently
retired at cost Of $1.243 per foot; the
actual retirement is at $0.753 and the
inventory price is $2.55 per foot. Is
that correct?"
It couldn't say how this compares
with the inventory" said Mr. Ham.
unless there is a clerical error In that
$1.243 figure. There is apparently a
clerical error there"
In that case" said Mr.. Hartman,
my figures show a less amount retired
than in the inventory, whether there is
error or not
Mr. Hartman explained that he was
trying to find out whether there Is too
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