Evening star., 1947-03-07
Higher Income
On Fewer Rides
Seen in 1Ot Fare
Transit OfficiuI Sets
Increase in Profit
At $1,251,600
By Henry A. Muslin

Despite an estimated drop Of more
than 55,000,000 rides a year, the
Capital Transit Co. would increase
its net income about $1,251 800 in
the same period If allowed to
eliminate tokens and charge $50
for weekly pass, it informed a rate
hearing today.
j. E. Heberle, vice president and
controller Of the Transit Co., made
the assertion to the Public Utilities
Commission as testimony on the
firms request for permission to raise
fares were resumed at the District
Building.
The statement followed Mr..
Heberle's disclosure that the COM
pany operated at a net loss of $11 1922
In December, 1946, and at a net loss
OF $38,989 in January, 1947. Mr..
Heberle offered the figures in sup
port OF his prediction yesterday that
Capital Transit faces net deficit
of $93,7i8 at the end of 1947 If
present operating conditions are
maintained without fare increase.
WOutd Eliminate Tokens.
The hearing grew out of the COM
pany's request for permission to
raise the weekly pass price from
SLIPS to $50 and make a 10-cent
cash fare the only alternative
through the elimination of tokens
no sold three for a quarter.
Mr.. Heberle's explanation of how
the firm expects to net more money
despite is per cent fewer rides was
based on these assumptions:
l. While the same number of peo-
pie are expected to ride streetcars
and buses, many of them will ride
fewer times.
2. Persons who stop using passes
are expected to ride an average of
lis times week at 10 cents ride.
The present average is % rides
week on each pass. ..
Sees Fewer Passes Sold.
). Seven per cent of the rides now
taken on tokens would be lost with
substitution of the dime fare.
He estimated that 5,760, 900 passes
will be sold as compared with
100000 at present, cutting down
revenue from this source from $12,-
100000 to $8,640,o00. The conse-
quent reduction in the number of
pass rides would be from 5000, 900
to 1871, 100000 a year.
OF the 91,6O0,000 discontinued
pass rides. A, 100000 would become
10-cent cash fare rides, while an
other 47,440 900 would disappear.
Twenty Exhibits Are Shown.
He estimated that 10-cent fares
would number 184,640,000 a year,
producing a passenger revenue of
$18, ,464 900, and that 5,760, 900 week.
iy passes would bring in $8,640, 900;
a total gross revenue of $27, 7,104, 900
q year, compared with $24, ,979, ,00G at
present. Taking Ali per cent in
taxes from the $2,125, 600 difference
would produce the expected net gain
Of $1,251 ,625.
Mr.. Heberle yesterday produced
20 exhibits itemizing causes for the
firms economic decline from the
time of the last upward revision of
fares in 1887. A big factor, he
pointed outssw the 54 cents an hour
increase in the average wage paid
over the period.
Labor and related costs rose $6,-
669, ,458 per year in the last 10 years,
despite saving to the company of
$3,617,227 through greater use of
one-man streetcarS and reductions
in average speeds, he said.
Washington paid scent fare
until 1920. The price rose grad
ually to 10 cents in 1880, but at
that time tokens could be bought
four for 80 cents. The $1.25 weekly
pass was made applicable to all
lines in 1887, the same year that
the token price jumped from TX
to 81, cents,