Evening star., 1948-10-02
Boost in Transit
FareAppea|ed
To White House
Consumer Protection
Committee to Ask
PUG for Reheorine

The Scent cash fare increase
granted to the Capital Transit Co.
ran into bitter opposition today
when the Washington Committee for
Consumer Protection filed charges
with the White House against the
Public Utilities Commission.
Announcing also that 1t will for
mally ask the PUG for a rehearing
the committee stated it would meet
early next week to decide on pos
sible moves in District Court.
The text of the 18-page petition
sent to the White House today was
not Immediately disclosed, but Harry
R. Booth, committee counsel, said it
charged the public utilities commits
sioners and Peoples Counsel O'Dea
with undue favoritism" to the tran
sit company.
ADA May Take Action.
The Washington Chapter of Amer
leans for Democratic Action also
may take some action" in protest
against the decision, a spokesman
said. The organization, he said, has
felt all along that no transit fare
increase was justified.
The PUG yesterday authorized
Capital Transit on October 81 to
boost its cash fare from 10 to 13I
cents. issue tokens at three for IS
cents, and increase the cost of the
weekly pass from $3.50 to SITS. This
does not change the school fare of
cents.
The company last June applied
for a 15-cent cash fare, tokens at
two for 25 cents, and $1.85 weekly
pass. Company President E. d.
Merrill said he was "a little disap-
pointed" by the PUG decision
Mr.. O'Dea had suggested a 12-
cent cash fare, five tokens for 55
cents and a S1.65 pass.
The action taken and planned by
the Washington Committee for Con-
sumner Protection, Mr. Booth ex-
planned, is in line with the organi-
zation's previous criticism of PUCs
"unwarranted favoritism" to the
transit company.
Specific Recommendations.
The petition we are delivering to
the White House today contains
several specific charges and recon-
mendations, he said. In general,
this move is in line with the policy
of the National and Washington
Committees to fight vigorously
against public utilities bodies which
We believe do not function strictly
in the public interest"
At public hearings on the transit
company's application, the commit
tee, through Mr.. Booth, asked PUG
Chairman Flanagan and Commis-
sioner Lauderdale to disqualify
themselves. This request was re-
fused.
The Progressive Party of Wash
ington announced today that "a
brief is being rushed to the Presi-
dent, petitioning him for removal
of the two Commissioners because
of the manifestly unfair conduct of
the original hearings"
In statement issued by Mrs. |
Gertrude Evans, chairman of the
District Affairs Committee, the
Washington branch of the New
Party backing Henry A. Wallace for
President, declared:
IF President Truman means what
he says about trying to control infla-
tlon-and we have no evidence but
words so far-we demand that he
revoke this PUG decree before it
becomes effective and that he order
rehearings."
shameless Grab" Charged.
Mrs. Evans said her group is Or
ganizing protest actions to mobilize
public support" The statement de-
scribed the increased fare as "a
shameless grab from the pockets of
Washingtonians.
The increase awarded by PUG
yesterday was the same as had been
recommended by its chief account
ant, V. A. McElfresh. The commits
sion noted that the new fares would
yield a return of 5A per cent,
which will not seriously impair the
company's credit position"
This yield, it stated, would fall T
short of the tx per cent it prev
iously set as a fair rate of return
for the company. But it added that
the increases granted would "in con-
junction with further operating /
economies, materially improve the
present inadequate earnings posi-
ton of the company