Evening star., 1937-01-03
PEPCO RETURN CUT
TO SIX PER CENT
ASKED BY CITIZENS
Federation Hits Abolition of
ST Street Car Pass,
Urging Redistribution.
LOWER ELECTRIC COSTS
ARE SOUGHT FOR 1887
Public Utilities Commission to
Meet This Month on Issue.
Interest Drop Cited.

Reduction Of the basic rate of re-
turn allowed the Potomac Electric
Power Co. from SIS to 6 per cent on
the agreed valuation of its plant was
proposed last night by the Fedora
ton OF Citizens Associations.
In another action. the body voiced
emphatic protest" against the aboli-
ton by the Capital Transit Co. of
its 81 weekly street car pass. effective
today, leaving only the SIPS pass,
which may be used on either street
cars or buses.
The Public Utilities Commission
was asked to act in both cases and
to inaugurate steps for the reinsti-
tuition of the 81 street car pass.
Customers Of the power company
would receive a much greater reduc-
tion in electric rates during 1887 than
now calculated, If the basic return
under its sliding scale plan Of annual
adjustment of its charges were low
cred. Late this month the COM
mission will consider the new 1887
rates on the basis of profits during
the past year. A reduction is expected
to be ordered by the commission.
Interest Drop Cited.
The cut in the basic return. sought
in a resolution offered by William
NICK. Clayton, chairman of the Utili-
ties Committee of the federation, was
based on the argument that during
the past year interest rates Tor money
have declined substantially. Under
the original sliding scale plan the
allowable basic return was Z per cent
but this was cut to 65 year ago by
commission order.
There was long debate over the
elimination Of the 81 street car pass.
The original motion on this, offered
by Clayton. voiced regret" that the
commission had 80 readily acoui-
esced" in the transit company deci-
sion to abandon it. He estimated
that, if the same number of car riders
buy the sl.25 pass as those who used
the street car pass, the company
would reap an increase Of $1,000. 900
in revenues annually.
Several other members of the body
questioned this estimate and insisted
the company would lose money by
elimination of the 81 pass, among
these being C. D. Franks, q member
of Claytons committee.
Mrs. Elizabeth T. Sullivan offered Q
defense of the Public Utilities Com
mission by declaring that since tbs
company had voluntarily adopted the
pass, with the approval Of the COM
mission, and since it effected lower
fare than that allowed as reasonable"
the commission was not in a legal po-
sition to prevent its abolition. Fred
S. Walker declared he had no objec-
ton to reference in the resolution TO
the estimate of 81 600, 900 as increased
revenues for the company.
The resolution was simplifled, how
ever, because of the suggestion from
several members that it might imply
that the federation favored abolition of
the S125 pass used by residents Of
sections served solely or principally
by buses, which wish continuation Of
the Sl25 pass.
The federation, on motion by Burd
w. Payne, urged the President to I'LL
the vacancy in the Office of peoples
counsel soon.
David Babp asked approval of a
resolution calling for election Of men,
bers of the Board of Education, the
two civilian Commissioners and of .
city council which would have power
to levy. collect and disburse taxes. On
point of order by M. NJ. Mclean.
however, that there had been no
formal committee action on the plan.
the question was recommitted.
The federation was informed by
Jesse C. Suter that the joint resolu-
ton providing for national representa-
ton in the House and Senate for Dis
trict residents would be reintroduced
early in the new session and that
hearings were to be- held.
Committee Heads Listed.
President Thomas E. Lodge an
nounced the selection Of the chair
men and vice chairmen of the stand
ing committees Of the federation.
They are:
Law and legislation, George E. Sulli-
van, chairman, and Charles L. Nor
ris, vice chairman: public utilities.
Mr. Clayton. chairman. and Mr.. Payne.
vice chairman; public health, DR..
Charles B. Campbell, chairman. and
Mrs. Sullivan, vice chairman; high
ways, parks and waterways. Arthur
Adelman, chairman, and Miss Elaine.
Eppley, vice chairman.
Education, H. c. Phillips, chairman,
and Mrs. Horace J. Phelps, vice chair
man; public celebrations, James r.
Duhamel, chairman, and Capt. G. L.
Shorey, vice chairman; membership
and credentials, A. H. Gregory, chair.
man, and A. F. E. Sheer. vice chair.
man; public welfare, John A. Remon.
chairman, and j. NJ Schaffer. vice
chairman; police and fire protection.
Mr.. Walker. chairman, and DR.. George
r. Ellis, vice chairman.
Auditing and examining. w. G. Ma
gathan, chairman, and Mrs. Harvey
w. Wiley, vice chairman; coming reg
ulations, Henry I. Quinn. chairman,
and Henry A. Donovan, vice chair
man; fiscal relations, L. A. Carruthers,
chairman, and w. I. Swanton, vice
chairman; national representation.
Miss Eta Taggart, chairman, and
Mr.. Suter, vice chairman; city PLAN
ming, Kenneth P. Armstrong, chair
man, and Earl e. Dillon, vice chair
man.
Local suffrage, Mr.. Babp, chairman,
and ]. B. Dickman, jr., vice chairman,
and safety. Harry S. Wender. chair
man, and Col. E. G. Bliss, vice chair.
man.
Biggest Dynamite Plant.