Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-11-14
Our New Commission Speaks.

Our New Commission Speaks.
g" The commission is not
justified in compelling the street car
riders Of this city to pay nearly $1,000
900 more per year for the benefit of
two competing street railway COM
panies"
That, In q nutshell, is the Public
Utilities Commissions answer to the
plea Of the street car companies for
higher fares. In few words it sums
up and answers the argument Of the
corporations. Throughout the extended
hearings on the car fare questions there
was one, and only one, desirable end
from the viewpoint Of the petitioners
That was an increase in car fare for
the benefit of the traction lines. Moth
ing was promised in return to the pub
lie, asked to contribute nearly million
dollars more q year to make possible
this increase. Nothing was promised
in the way of better or more convenient
car service. To the commissions hints
for possible reductions in operating ex-
penses through a physical merger, the
street car companies turned deaf ears.
Toward the commissions offers of as
sistance In obtaining the heretofore
eagerly sought corporate merger Of the
lines, the companies were coldly unin-
terested. To the companies there was
one solution Of their alleged dificulty.
It lay in higher fare. All else was
poppycock.
Fortunately for Washington the new
Public Utilities Commission is willing to
look at the problem of street car trans
portation and reasonable return on in
vestment from the viewpoint of the pub
lie as well as from the viewpoint Of the
corporations.
From the viewpoint Of the corpora
lions, the commission was able to see
that an increased return is desirable
and that the companies are possibly
Justified in seeking it.
But from the viewpoint Of the public.
the comfnEssicD. was able to see that
there are two wWys Of increasing this
return.
One way, suggested by ess companies,
Hes in extracting higher fares from the
car riders. Other matters remaining
equal, the income naturally increases.
Another way, suggested by the COM
mission, lies in cutting down operating
expenses. It is interesting to note that
the car companies estimated the addi-
tional revenue to be expected from i'm
creased fares as approximately 100000,
while the estimates of savings In
operating expenses and from the other
economies to be effected through merger
would be about 100000.
In the one case the companies would
profit and the public would lose--the
profit and loss on the part Of the COM
panies and the public, respectively,
being 100000.
In the other case both the companies
and the public would gain-the new,
merged S1pany to gain by about
100000 and the public to gain in
better and more convenient service.
But the companies, giving every evi-
dence of pique over past failures at
merger, have been unwilling to discuss
merger as a part Of the fare question,
when 1t is as much part Of the fare
question as high operating costs are a
part Of the fare question. Their aim
has been higher fares, and they have
been unwilling to stop short of it. The
commission has, however, done their
stopping for them by considering the
case, not only on its merits, but from
the viewpoint Of the street-owning
public.
Out Of the commissions adverse de-
cision there may come a prolonged
court fight, a revaluation of the car
lines or a corporate merger.
The last named is the desirable step,
70 be taken concurrently with revalu-
alton.