Evening star., 1937-12-26
BY JAMES E. CHINN.

ago it was crime conditions Next came
the trafhc situation. And now, the ap-
proach of 1898 finds the Congressional doc
tors preparing to give the Capital Transit
Co. thorough examination and diagnosis
The investigators will try to find out why
the company can't provide better service
and at the same time, make some money
for its owners.
Specifically. the inquiry will revolve
around two definite legislative moves Of
Representative Everett NJ Dirksen, tous-
eled-headed Republican from Pekin, ILL.,
bills he introduced at the last session of
Congress to freeze car and bus fares at
7-cent maximum and put both motor
man and conductor on all cars
The investigation might be welcomed by
everybody, including the transit company
and its stockholders
II the company cannot make money and
provide adequate service, its only alterna-
tive is to 60 out of business
IT 1t can make money and provide ade-
quate service the street-car riding public
and the city as whole will benefit.
Would Look into Financing.
The investigation will 60 beyond rates,
service and one-man cars It will reach
into the financial structure Of the COM
pany to determine the amount of water.
any, in its stock. Then, too, the sub
committee wants to know more of the re-
lationship between the company and its
guardian-the North American Co. of
New York
Naturally, the recent token fare raise
from for 80 cents to for so cents will
have place of vantage in the spotlight,
But there are other things
For instance, what about public owner
ship and operation of the transit lines?
There have been proposals that subways
be constructed for rapid transit service,
Is 1t time to build subway system? Other
proposals will be discussed, either to air
the transit company to get on its flnan-
cial feet or to give Washington the transit
service 1t was lead to expect under a
unified operation.
Nearly all of the experts who have
studied Washington's Transportation prob
lens agree that an efficient mass trans
portation system is indispensable.
But can any stictly-regulated mass
transportation system survive when it
must compete, on the one hand. with the
unregulated taxicabs and serve as a con-
venient whipping boy. on the other hand,
Tor Congress and the public?
Is 1t to the best interest Of Washington
to berate the traction company until lack
ing confidence of the investing public and
the car riders, it throws up its hands and
quits, or really to find out what ails it?
The Suggestion of Subways,
Subways have been suggested as one
answer to Washingtons mass transpor-
tation problem.
But building subways requires large in
vestments Of capital-investment beyond
those likely to be made by private capital
tn Washington's transportation system.
Since the owners Of the present transit
system have failed for q number of years
TO make an inviting return for the stock
holders from the present system, it is not
likely they would invest new capital in
subways.
Estimates Of the cost of subway con-
struction in Washington range from
100000 to $4,000 900 mile. Ten miles
OF subways-and that would only be a
1alr start on an adequate subway system
for the District-would cost $40 ooo ooo
under the lowest estimate. But who would
finance the project if the company and
private capital refused?
Would it be the District taxpayers who
are facing increased taxes now merely to
balance a local budget?
some advocates Of subways however,
suggest that the Federal Government
might be inveigled into financing the prof.
ect. But they seem to overlook the fact
that the Federal Government is not now
paying fair share Of its obligation toward
the support and maintenance of the city
Public Ownership Vaxue.
something OF the same situation holds
true In the case Of public ownership Of
the transit system. But some Of those who
advocate the plan are not specific. Do
they mean owned and operated by the
municipal government, or by the Federal
Government?
II 1t is municipal ownership the oues-
tion naturally arises: Where would the
District get the money? The District is
now faced with raising $4,0oOO00 or s5,-
100000 in additional revenue in the coming
fiscal year to balance the 1899 budget.
According to the most optimistic Of public
ownership advocates, the transit system
could not be acquired without connscation
on the basis of the present depressed
market value Of its securities at less than
sl3,000,000. The company, however, has
. totsl capitalization Of t3e000,000.
Proposals for municipal ownership and
operation Of the Districts mass transporta-
tion system, Of course, are not new. AZ
far back as 1914, the House District Com
mittee gave serious thought to the plan
and in fact, favorably reported bill that
would have condemned the old Washing
ton Railway g. Electric and Capital Trac-
ton Companies, and placed their operation
and control under the board Of Comnais-
Goners.
Listed Advantages.
Extended hearings were held on that
bill and the majority report listed seven
specific advantages OF public ownership
These were:
"1-A great reduction in fares
"2-Improvement of the service.