Evening star., 1935-05-17

suggested by Representative Patman,
Democrat, of Texas, at the initial
hearing on the bill was opposed by
Prettyman He said the rates pro-
posed in the bill would cover the vast
majority of cases in the District.
Taxi Owners Program.
While Prettyman was testifying,
Representative Carpenter, Democrat,
of Kansas suggested that proponents
of the bill develop some new argu-
ments for its support to offset the
opposition on the floor of the House.
I'VE will have to get some new evil
dence," he declared.
Ringgold Hart, fcouflSel for the In
dependent Taxi Owners Association,
said he had no objection to COM
pulSory financial liability bill, and
recommended several amendments to
the Quinn bill. The proposed changes,
designed to allow the taxi companies
to become elf-insurers, would:
/. Require operators of cabs to de-
posit $4,000 in cash or negotiable Sc
curities to meet judgments, subject to
control of Public Utilities CommiS-
sion.
2. Require operators to file with the
commission a blanket bond or liability
insurance policy, not to exceed $780,
600.
3. Require operators to create and
maintain a sinking fund, not to ex-
ceed $4,000.
Denies Rate Increase.
Hart introduced figures showing
that the Independent Taxi Owners
Association, in 1929, when it operated
448 cabs, paid in damage claims
$8,741, and that last year, with l,018
cabs, it paid $75,842.
Representative Quinn, Democrat, Of
Pennsylvania, sponsor Of the bill, in
terrupted Hart to ask whether taxi
rates had been increased for the period
of the Shrine Convention in Wash
ington next month. He said taxi
driver had given him. that informa-
ton.
THAT is absolutely not true, in SO
far as the Diamond cabs are con-
cerned," replied Hart.
While not opposing compulsory la
bility insurance, Hart said he be-
lieved the cost would be passed on
to the public through increased rates,
which would force a number of taxi
riders to use busses and street cars.
He also deplored the zone system
of rates, branding them as unfair.
Suggests City Fund.
c. E. Quinn, attorney for the Union
Cab Company, said his organization
favors compulsory insurance, but the
taxi owners would be unable to pay
the $3.50 or $500 a year in premiums
necessary to take out policies. Many
drivers would be forced out of busi-
ness if the bill goes through in its
present form, he declared. at the
same time suggesting creation of
municipal insurance fund as is now
in effect in Pennsylvania.
Representative Quinn remarked
that the system in Pennsylvania
operates satisfactorily and without
great cost to the driver.
Attorney Quinn declared many Of
the difficulties regarding taxi rates
in the District would be clarified If
the Public Utilities Commission, as
charged by law, would establish taxi
fares.
Mrs. E. Morgan Pryse representing
the Whittier Parent Teacher AsSocia-
ton and the Marietta Park Womans
Club, concurred in suggestion that
the insurance limits be raised from
$2,500 for death or permanent dis
ability to $1,000 and $4,000. She
cited figures procured she said from a
reputable insurance company purport-
ing to show that liability insurance
would cost cab drivers only IA cents
per mile for $4,000 and $4,000 poll
cies; 1.3 per mile on $2,500 Liability
and y cent per mile for property dam
age up to $500.
High Figure Cited.
When she concluded Harry c. Davis,
president and general manager of the
Independent Taxi Owners Associa-
tion, said the 1900 Diamond Cabs
operated by that organization, which
he claimed ran approximately 75,000,-
900 miles year, would have to pay
$937 500 annually for insurance at the
figure submitted by Mrs. Pryse.
Maj. Overton c. Luxford, who ap-
peared as a citizen and taxpayer, in
dorsed the proposal to create a munic-
ipal insurance fund for cab operators.
Harry S. Wender Of the Southwest
Citizens Association declared all civic
as well as the Fedora
ton Of Citizens Associations had in
dorsed the taxicab insurance bill. He
said these organizations had been
working for years for a taxicab lia-
bility law.
When Wender completed his testi
mony, the hearing adjourned unta