Evening star., 1942-10-01
Anti-|nf|ation Action
By Senate Is Seen as
Bar 10 Gas Rate Hike
Norris Amendment WouIt
Permit Utility Increases
Only on President O. K.

Prospects of an effective bar to any
increase in rates of the Washington
Gas Light Co.-now threatened in
the current sliding-scale case before
the District Public Utilities Com
mission-Were seen today in the
action of the Senate in adopting an
amendment to the new wage and
price control law, at the instance of
Senator Norris, Independent, OF
Nebraska.
The Norris amendment, applicable
to all States and the District, pro-
vides that
Rates charged by any common
carrier or other public utility on
September Is, 1912, shall not be
increased without the consent of the
PRESIDENT; provided further, that
nothing in this section shall be con-
strued as affecting the power or
authority OF any Federal, State or
municipal authority or agency to
reduce prices, rates or charges sub
Ject to its jurisdiction, or to euualize
the rates or charges of common
carriers"
House Yet to Act.
Rates of regulated utilities now
are exempt from control by Price
Administrator Leon Henderson,
under the wording of the present
Price Control Act.
Inc Norris amendment to the new
Federal price control measure was
adopted by voice vote. House action
on the bill vet is awaited
Apparently, the Norris amendment
taxes the place of the separate meas
ure ne presented a few DAYS ago to
empower the President (proba ablv
through the OPA) to veto rate in.
creases Tor utilities which NAV be
approved by regulatory bodies OF the
States or the District.
Particular local interest attaches
TO this provision adopted by the Sem
aIe since an increase in the con-
sumer rates of the Washington Gas
Light Co. of between 1926 900 and
S3S3,OOO is threatened under OPERA
ton OF the sliding scale rate ad-
JuStment plan.
AT the closing of the hearing YES
terday-reopened for the day to hear
the views of spokesmen for two civic
groups-the PUG denied a last-min-
Ute petition by Hardy R. Booth as
OPA representative that the hear
lngs again be reopened to consider
evidence on the need to review the
case in the light of changed eco
nomic conditions" and a change in
the sliding scale plan to accord to
such conditions.
Citizen Representative Heard.
During yesterdays hearing an ex-
tended statement on the Fort Davis
Citizens Associations stand was
given by Mrs. Mabel I. Morris. She
declared an increase in gas rates
would open the door" for a request
for increased rates for other local
utilities and for companies "all over
the country" She argued the OPA
views should be approved by the
PUG because it is primarily re-
sponsible for administration of the
Federal antiinflation program.
Mrs. Morris also contended that
company revenues probably would
reach new high in 1912 since many
householders would use gas stoves
and heaters as supplemental heat
ing.
She contended that PUG loves
it to the public" to hold a complete
investigation of the 1885 sliding
scale plan in view of current eco
nomic conditions.
Mrs. Cynthia Wentworth Hannum
presenting the case for the League
of Women Shoppers, declared INC
formula prepared in 1885 can be
considered sacred under present
wartime conditions"
Claims Per Cent Return.
/ Mrs. Hannum argued that the
company was making at least a re.
turn of per cent and that in these
days such should be considered 6
fully adequate return"
Gregory Hankin, PUG member
sought to emphasize at one poin
that the sliding scale plan was s
mere arrangement and not ar
agreement" between the company
and the commission, giving weigh
to the arguments of Mr.. Booth thar
the commission would not be livins
up to its responsibilities to fix "fail
and reasonable rates" If it decides
the case solely on the basis of tn.
1885 sliding scale plan without Civ
ing proper weight to changed eco
manic conditions.
James H. Flanagan, PUG chair.
man, has stated several times tha
the commissions first duty was t.
determine whether calculation.