The Washington times., 1929-01-31
ACTION I D
Be TAKEN
SOON


ton is almost universally in
favor of. the traction merger
plan now pending, testimony
J before the Senate District
Committee today indicated.
Representatives of several trade,
] civic and labor organizations ap-
peared before the committee to spon-
sor the merger plan worked out by
the committees expert, DR.. Milo
r. Maltbie, and asked for it's early
enactment.
Even William A. Roberts, of the
Citizens Advisory Council, arch foe
of the old Wilson plan. did not OPP
pose the pending proposal.
Asks For Changes
He recommended several changes
in it but concluded his testimony
by saying that II do not say that
II any of these suggestions are left
out. / would not favor the merger. .
The most sensational testimony
Of the hearing was offered by Mer-
Ger Johnston, director of the
Peoples Legislative Service.
THE omission of a. depreciation
fund in the structure of the new
company looks like the embezzle-
ment of funds taken out of the
pockets of = straphangers over
period of years." Johnston charged.
TO the man Of the street the
failure to transfer to the new COM
pany $7,0O0.0O0 of depreciation re-
serve accumulated by the two com.
panies looks, like steal"
Johnson also recommended in.
clusion of the Potomac Electric
Power Company in the merger con
tract. He charged the agreement
as written would allow the North
American Company, of New York,
to make off, with the profitable
power company and leave the un-
profitable car companies on the
hands of local citizens.
Talks on Reserve
Roberts was the first witness. He
suggested specific provision for
carrying over the depreciation re-
serve. definite time limit for the
completion of the Valuations "a time
limit on the merger contract and
the use of prudent investment as a
basis for valuation.
Roberts declared that merger is
very desirable and would be advan-
tageous to the public and that there
will undoubtedly be higher fares un-
less there is a merger,
Those FaVoring
Among others VINO testified in
favor Of the merger were Oscar w.
Hammond, of the District Fedora
tion Of Federal Employees; jesse c.
Adkins, Of the Board of Trade; John
II. Newman, of the Central Labor
Union; George c. Haxenner, of the
Federation of Citizens Associations,
and the citizens advisory counsel,
Chamber of Commerce.
All of these representatives urged
adoption of the merger resolution
without the Blaine amendment TO
Law down a rule for making yalua-
ton. Most of them urged enact
ment of the Blaine amendment in
separate legislation.
Senator Blaine, who proposed the
valuation amendment. called TO the
stand to support his amendment,
DT. JOHH "A Rydnt VI SdtHoHc
University.
Ryan said that if the Blaine
Amendment is not adopted the mer.
ger would result in high fares. 1t
might be better, he said, not to
have a merger than to have one
without the amendment.
Lawyers Interrupt
The hearing was frequently inter
rupted by discussion between the
lawyers of the committee on the
merits of the Blaine amendment.
The testimony and argument con
sumed so much tmie that the meet
ing was adjourned without a vote
on the merger resolution. Senator
Capper. chairman, plans to call an
other meeting within a few days
to take final action on the resolu-
ton.