Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-09-10
CAR FARE HEARING
DEFERRED TOOCT. 7
Utilities Commission to Con-
slider Question of Savings
to Companies.

| The hearings on the Capital Trac-
ton Co.'S petition for an increase IN
car fare came to an end today and the
case was postponed to October z by
the Public Utilities Commission. At
this time the question of savings %
| the companies, possible through joint
use OF tracks and other facilities, will
be discussed.
All parties were given until Septem-
Der 80 to file briefs on that portion
Of the case affecting the rate of fare
to be charged, and until October Is
for the filing of briefs in reply. No
oral arguments will be heard on the
case.
William NICK. Clayton, counsel for
the Federation of Citizens Associations,
moved today to proceed to value the re-
Spectlve parties to the proceeding before
| determining the rate of fare. G. P.
Young Of the Thomas-Iowa Circle Citi-
zens' Association, moved to decide the
case by setting up scent fare with
free universal transfers, to abolish
feeder bus lines owned by the companies
as illegal, to discharge from the hearing
! the companies which did not ask for a
raise in fare and to try the experiment
OF setting up different rates of fare for
various companies to see if the COM
panies with the lower fares would SUI
Ter. No argument was allowed on these
| motions, and they were taken under
consideration by the commission.
| Ex-Motorman Testifies.
| Henry w. Lynn, an ex-motorman and
conductor Of the Washington Railway
& Electric Co., testified as an expert
witness on his own behalf that the
| equipment of the companys cars was
not standard and that this lack of
Standardization was very expensive
| Byers Nick. Bachman, chief account
ant for the commission, was recalled to
! the stand for cross-eXamination. He
| testified that in his testimony yesterday
the amount available for stock in the
new company after certain savings had
| been applied to dividends payable on
the Washington Railway & Electric Co.
stock. He was asked by counsel for
both companies why this assumption
was made, and Chairman Patrick Of
the commission, who had put this
question to Bachman yesterday. stated
that the assumption had been made
with a definite purpose.
Peoples Counsel Ralph B. Fleharty
then stated that he had no further teS-
timony to offer, as the commission had
not seen fit to take any action on his
request for an appropriation Of funds
for the employment of expert witnesses.
Commissioner Hartman said he had
|
for the employment OF the experts how
much the employment would cost or
what savings could be made.
The commission announced that mo-
tions would be entertained on that part
of the case having to do with car fare,
but that no argument would be al
lowed either for or against motions at
| this time.
William NICK. Clayton. counsel for
the Federation of Citizens Associations,
and G. P. Young. for the IoWa-Thomas
Circles Citizens Associations, both
complained against this ruling.
Bachman Cites 100000 Savings.
At the afternoon session yesterday
the commission called Mr.. Bachman TO
the stand and, over the objection OF
attorneys for the companies, drew from
him testimony to the effect that if the
companies were to be merged that very
act, without considering any savings to
be the result of joint use OF track and
other operating changes, would save
them in the neighborhood OF 100000
per year in expenses.
Of this figure S250,0o0 would repre-
sent concession by the taxpayers IN
relieving the merged company from the
necessity of paying the salaries OF
! crossing policemen and certain paving
costs-less the revenue the company
!
| fers free: 1927, 900 would be saved IN
! interest payments on bonded indebted
ness under the capital set-up as pro-
posed by the companies, and $4,000
| would be cut from the cost of submit
ting monthly and annual statistical re-
ports to the commission, as only one
set instead of two would have to be
submitted.
Mr.. Bachman also testified that il
| this saving were to be taken into ac-
count and the companies were to OBJ
| tain the rate of carfare they are SEEK
| ing, the result would be that the merged
company, after meeting its interest re-
| quirementS on its funded debt and its
dividend requirements on its preferred
stock. would be able to pay an per
| cent dividend annually on its common
stock-all this without considering any
saving whatsoever from any operating
economies that might result from joint
use of tracks. car barns, shops and
other equipment and property, cutting
out useless duplicating of tracks and
car mileage and the like.
Hanna Identifies Testimony.
President John H. Hanna identified
testimony he had delivered to the Sen.
ate District committee estimating the
savings possible through a merger at
| S1,000,000 and message" to the or.
gan of the American Electric Railway
| Association. of which he is vice presi.
dent, saying that unification is the
| only solution of the mass transportation
problem.
| A. G. Hayden, chairman of the pub
! lie utilities committee of the Central
Labor Union, called as a witness by
Mr.. Clayton. said the labor body OPP
posed any change in fare until a new
valuation had been made. The union
| InI Nvio 60 I1a1R
| fare for children issue. Mr.. Hayden
said, although he remarked that it
probably would be good thing for the
| companies and the children. Mr..
Bowen undertook to point out to Mr..
Hayden that it was. really in the inter-
est of the people not to have new
valuation, because it would cost the
people money to make. Mr.. Hayden
said that the people had no objection
to spending money for self-protection.
| But" persisted Mr.. Bowen, IF I
were to tell you that this would prob
ably cost the people $3.50, 900, would you
then still say they should spend the
money!"
| Hayden and Bowen Clash.
Certainly" replied Mr.. Hayden. at
can imagine no better way of spend
ing the money"
"Do you know that the valuation of
one of these companies has been set
tied in court?" asked Mr.. Bowen.
Mr.. Hayden replied that that was
several years ago, and that the people
wanted to try out the lawyers and the
commission that it has now. Mr.. Bow
en- then asked if Mr.. Hayden meant to
impugn the motives of the commissions
or their lawyers or the courts in the
past or if he would be bound by what
| the court laid down as the law.
81 do not impugn the motive Of any
man in the whole world replied Mr..
Hayden. 'I believe we should abide by