Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-01-19
Advises Utilities Commission
to Order New Schedule
of Electricity Rates.
RECEIPT Of OPINION
FOLLOWED BY FARLEY
Procedure Under Section Giving
Body Full Power Over Charges
Believed Recommended.

Corporation Counsel William W..
Bride today filed with the Public Util-
tiles Commission written opinion CIV
ing it as his view that the commission
should proceed at once to abrogate en-
tirely the consent decree under which
Washington's electric rates are an
nually set, and order a new schedule of
rates independent of the decree. The
commission and Mr.. Bride agreed that
the text of the report was not to be
made public and they would not make
any statement as to the substance of It..
It's contents, however. were learned from
a reliable source at the District Build
ing.
Mr.. Brides opinion, which was COM
pleted early this morning. was dis
patched to the commission in spite Of
the fact that the commission had al
ready decided on the policy to follow
with respect to the decree without wait
ing for the advice of Mr.. Bride, who is
the legal adviser to the commission.
The commission had decided to seek a
modification of the decree scaling down
the amount of profit which could be
retained by the Potomac Electric Power
Co. each year, but otherwise leaving
the decree in full force and effect.
This action was taken Friday and Mr..
Bride was ordered to prepare a petition
to Equity Court to carry out the COM
missions decision. Mr.. Bride protested
that the commission should have waited
for his opinion for which they had
asked on January Z.
Conference Is Held.
After the opinion was sent to the
commission this morning members OF
the commission studied 1t over carefully
and then summoned MIR. Bride and Will
. liam A. Roberts, his assistant on public
utilities matters. A conference lasting
40 minutes ensued and at the end OF 1t
the following brief statement was issued
by Chairman Mason NJ. Patrick Of the
commission:
Mr.. Bride this morning submitted
an opinion concerning the course to be
followed in connection with the consent
decree and the effort to secure lower
electric rates. AS this went very fully
into all phases of the matter, 1t was
agreed by both Mr.. Bride and the COM
mission that 1t would be unwise and
unnecessary to give publicity to it as
it Is obvious that matter of this kind
should not be made available to OPP
posing counsel"
Peoples Counsel Richmond B. Keech,
who had seen the opinion submitted by
Mr.. Bride, was reported to be strongly
in favor Of the course he recommended.
Mr.. Keech Is known to favor the policy
of ordering the electric rates reduced so
that If the company decides to resist 1t
will have the burden of establishing its
case in the courts, whereas. should the
commission go to court in the first
instance, the burden would be upon the
commission.
1t is understood that the recommen-
dalton Is that the commission proceed
under section 18 of the public utilities
act which gives them full power over
the matter of rates charged by public
service corporations in the District.
Obtained Public Hearing.
The present controversy goes back to
the fight for lower rates made by Mr..
Keech and William NICK. Clayton rep
resenting the Federation of Citizens
Associations last year. They secured a
public hearing on the matter, the first
to be held on electric rates since the
consent decree went into effect. At this
hearing it was developed that the power
company profits during the years in
which the consent decree was effective
were never less than 10 per cent.
In setting the rates for 1891 the
commission found as a fact that the
profits made by the company had been
excessive and announced its intention
Of seeking a change in the decree for
the purpose of making a greater pro-
portion of these profits available to
the public in the way of rate reduction.
The commission. however, accepted the
rate schedule proposed by the company
and put into effect January /. Shortly
thereafter Justice Jennings Bailey, of
District Supreme Court, handed down
an opinion in another case involving a
consent decree governing the activities
Of certain meat packers under the
Sherman Antitrust Act.
Portions of this decision were sent up
by the commission to Mr.. Bride on
January for his opinion, but the COM
mission went ahead and decided upon
its course of action without waiting for
Mr.. Bride to reply.
Whether the commission will now fol-
low Mr.. Brides advice or insist on pur-
suing its own course Is a matter for
speculation.