Evening star., 1933-02-09
TRANSIT VALUATION
REGARDING RATES
BEING COMPLETED
Street Car Companies and
Utilities Commission Gather
Mass of Data.
FIRST PHYSICAL TALLY
TAKEN IN 19 YEARS
Groups Also Expected to Act Soon
on Merger Of Two
Companies.

Valuation of the properties Of the
two street car companies is being COM
pleted by engineers and accountants of
the Public Utilities Commission and the
traction concerns, in preparation for
public hearing on rate base matters, it
was learned today.
When the huge mass of statistics on
inventories and appraisals of the prop
placed before the commission and date
set for the hearings.
Thus will be set in motion a new
series of actions which may have re-
suits of Importance to the patrons Of
the transportation companies of the
District as well as the financial inter-
ests involved.
The work now being completed is the
first physical valuation of the COM
panies undertaken in many years. The
last actual physical valuation of the
Capital Traction Co. dates back to 1914
The appraisal of that company's hold
ing since has been kept up to date by
inclusion of additions made since.
Valued at s25,756, $3.50.
Ill 1870, lllc value VI Tie OdplLdl
Traction Co. was fixed at $25, ,756, $50,
including material supplies and work.
ing capital, but not including a claim
made by the company for large sum
for the value Of its franchise to operate
The Public Utilities Commission,
using an inventory and study of 1914,
also found the then value of the Wash
ington Railway & Electric Co. to be
S14 $4,000 for rate-making purposes
The property of the Washington
Rapid Transit Co., operator of the city
bus lines, now is being subjected to an
actual physical valuation and will be
considered at public hearing later.
The valuation of the street car COM
panies now being completed has no
direct -tie-up with the street car mergers
recently approved There was no agree
ment as to valuation contained in the
merger legislation, it is pointed out.
That is matter left to the Public
Utilities Commission.
Approval Awaited.
Officials of the street car companies
are preparing financial data n connec-
ton with the proposed merger, for ap-
proval of the stockholders and the COM
mission. When that matter has been
settled and approved by the commission,
that body and the companies will pro-
ceed with actual merger details and
consideration of rerouting and other
proposed changes designed to effect
economies.
A clerical error, discovered in the
merger bill after 1t had been passed by
Congress and signed by the President.
has caused corrected measure to come
up in Congress. The Senate has acted
on this corrected bill and action now
is awaited in the House.
The valuation of the street car COM
panies is one of a number of matters
awaiting settlement this year. All of
the public utilities companies have
cases pending in court or before the
commission.
The commission will hold a hearing
next Thursday to consider how the
$562, 900 in reduction of electric power
rates will be apportioned among the
consumers of the Potomac Electric
Power Co. The new rates, made pos
sible under the new decree signed yes
terday by Justice Luhring, are to be
placed into effect February 20.
Gas Hearing Also Set.
On March 27 the commission will
start hearings on valuation of the prop
critics of the washington and the
Georgetown Gas Light companies. This
has no direct connection with the meas
ures now in Congress providing for q
merger Of the two companies, which are
under the same ownership, since there
| Is no statement of valuation in the bill,
| it is explained As to the gas COM
pany merger bill, the House District
| Committee has made a favorable re-
port and the Senate District Commit
| tee has nearly concluded its hearings
| One mention of valuation has cropped
up there, with the announcement by
Senator Howell that he Is opposed to
permitting the inclusion of an item
| for going concern" in any future val
uation of the companies properties.
| The decision Of the Public Utilities
Commission, ordering all taxicabs oper-
| ating in the District to install meters
and operate by that method instead oi
fat rate zone charges, also Is pending
This order of the commission has beer
taken to court for review, Judge Adkins
in District Supreme Court has sustained
| the commission and the case was ap.
pealed A brief is to be filed nex1
Tuesday.
| The order of the commission, direct
ing that a 10 per cent cut be made In
the charges for telephone service in the
District also is subject to later court
| action. The Chesapeake & Potomac
Telephone Co. appealed to court for re.
| view. Justice Gordon enjoined the
commission from enforcing its order
and the case now is awaiting trial.