Evening star., 1948-07-22
.CourtConsiders
.Virgiiniia-D. {.
Joint FareCase
Capitol Tronsit Awoits
Decision on ICC or
PUG Jurisdiction

somewhere in the shufile between
conflicting Public Utilities Commits
sion and Interstate Commerce Com
mission rulings on Virginia to-
Washington bus rides. today anx-
iously awaited a District Court de-
cision on which of the two COM
missions is boss in the Nations s
Capital.
Shortly after Capital Transit asked
District Court yesterday for a
declaratory judgment to untangle
the mess, PUG Chairman James H
Flanagan announced he had ordered
the bus company to cease and de-
sist" from honoring joint fare tick
cts applicable to Capital Transit and
the two Virginia bus companies in
volved.
The ICC has ruled that Capital
Transit, as well as the Alexandria,
Bancroft g. Washington Transit Co.
and the Washington, Virginia &
Maryland Coach Co., must accept
the joint fare tickets.
PUG Sees infringement.
Chairman Flanagan of the PUG
said it is clear case of ICC in
fringement on District prerogatives
Since Capital Transit no longer
runs buses across the Potomac Riv-
er, he said, the ICC has no jurisdic-
ton over fares the Washington
cOno na nv rnuSt oh a r6n
Under an ICC order of July I
ls48, Virginians may buy tickets a.
Is cents ride-$192 for a book of
12-starting August and use the
tickets on the two Virginia lines
and for continuation of their ride
after arriving in Washington. For
merly, the tickets sold for 1874
cents.
The PUG objection to this setup
is that, on June II, 1947, it ordered
the Capital Transit Co. to accept
no less than 10 cents cash per ride
within the District.
In dividing the proceeds from the
joint fare tickets, the ICC has ruled
that the Virginia companies will
receive 9 cents of the new fare, with
Capital Transit receiving only 7
cents. Capital Transit received 5.83
cents of the 131s-cent fare, with the
Virginia companies getting IN cents.
Bills Firms for Full Fare.
In the meantime Capital Transit
has continued to bill the Virginia
companies each month for a full 10
cents, but has been receiving only
5.S3 cents.
In his letter to Capital Transit,
Mr. Flanagan declared:
THE public Utilities) Commits
sion has received a copy of the ICC
order, dated July Z. 1s4S. 1t is
apparent from this order that Cap
ital Transit can go no longer comply
with the June IL, 1947, order of the
PUG by demanding and collecting
(from the Virginia companies) the
10 cents compensation required by
that order. - p "a &
I'm order to comply, therefore,
with the outstanding rate orders OF
this commission, Capital Transit
must cease and desist from honoring
any joint fare tickets applicable to
the lines of Capital Transit and the
Virginia companies.
"You are requested to advise this
commission on or before July ~
1948, of your compliance with this
commissions rate orders"
District Court, meanwhile, may
rule tomorrow on which order is tt
prevail. If the PUG order is uphelc
thousands of Virginia to- Washing.
ton bus riders will have to pay the
full Virginia fare as far as thu
boundary and then pay the straight
10-cent fare on District buses.
Higher If Fare Is Raised.
The cost would be even greater Il
the PUG, as is expected, grants
Capital Transit the recent rate in
creases it requested.
Meanwhile, E. D. Merrill, presi'
dent of Capital Transit, faced with
the alternatives of disobeying the
PUG to obey the ICC, or vice versa
conceded last night he had not de-
cided what his next move will be.
The Capital Transit suit in Dis
trict Court asks that the PUG b.
declared the proper authority fol
setting its rates. Mr.. Flanagan saie
he thinks the PUG is the propel
authority.
"The only leg the ICC has t.
stand on" Mr.. Flanagan said, sis it!
contention that the joint-fare ticke
is in conformance with the nationa
transportation policy. That polio!
was set up for wartime purposes
only"
He himself is named as a de-
fendant in the Capital Transit suit
as is Peoples Counsel John ODea
Corporation Counsel Vernon E
West, Engineer Commissioner Cor
don r. Young and other city OH
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