Evening star., 1948-08-28
Fare Rise Ru|ino
ByPUC Due in
Three Weeks
Increase Expected;
Arguments Completed
By Capital Transit

Whether the Capital Transit Co.
gets. a bus and streetcar fare in
crease was in the hands of the
Public Utilities Commission today,
following filing of briefs by the COM
pany, the peoples counsel and two
other interested parties.
The decision of the PUG will be
handed down in about three weeks,
according to James w. Lauderdale,
commission member. 1t is generally
conceded at the District Building
that some sort of fare increase is
forthcoming, but how much is the
question.
Not only did the transit company
file its final arguments yesterday,
but its financial report for July was
submitted. 1t showed deficit of
$25,1s7.
Wage Increase Blamed.
A company spokesman blamed
this deficit on the wage increase
that went into effect on July /.
The company based its claim for
increased fares, for the most part,
on higher costs of labor and equip
ment. It asked that the 10-cent
fare be raised to Is cents cash, two
tokens be sold for 25 cents and the
$150 weekly pass be raised to $1.85.
The company brief reiterated it's
arguments presented during the
hearings in July and the first two
weeks of this month to sustain the
position that immediate relief" is
needed to Offset the effect of de-
clining traffic and vastly increased
labor and material costs"
Yesterday was the deadline for
the filing of the briefs with the PUG.
O'Dea Attacks Figure.
John ODea, Peoples Counsel,
maintained in his brief that the
company is in pretty good" f1nan-
cial condition and the facts pre-
sented do not warrant as much of
an increase as it asked. He sug-
geSted the maximum relief that
might be granted should be II cents
straight fare, five tokens for SIS
cents and s165 for the weekly pass.
This is the same rate formula rec
commended at the public hearing by
Leverett A. Meadows, president of
the Manor Park Citizens ASsocia-
ton:
Benjamin c. Sigal, attorney for
the Washington Chapter of Ameri-
cans for Democratic action, filed
brief urging the PUG to deny any
rate increase because the company
failed to sustain its burden of
proof that it is legally entitled" to
one.
The fourth brief was filed by
Harry r. Booth, attorney for the
Washington Committee for Con-
sumer Protection, also against any
fare increase.
He repeated his arguments, pre-
sented during the hearing, that the
company had not shown the present
rates to be unreasonable and that
the company had not shown in
creased rates we're necessary.
Mr.. Booth charged his group was
denied a full and fair hearing by
the PUG.
13-Cent Fare Proposed.
Also before the PUG Is a rate
schedule proposed during the hear
ing by v. A. McElfresh. executive
accountant and auditor of the PUG.
Mr.. McElfresh labeled the transit
request too high" and proposed in
stead that the 10-cent fare be
jumped to 13 cents, that three tok-
ems be sold for IS cents and the
weekly pass for $1.75.
The transit company financial re-
port for July showed that the deficit
Of s25, 1877 compared to net income
of $82,715 for July, 1947. However,
the net income for the seven months
ended July 81 was 1881, ,4l6, as COM
pared with s186,sO6 for the same
period in 1947.
Operating revenues for the seven
months ended July 81 totaled $l5,-
760,157, as compared with $15,659, ,037
for the same period in 1e47; operat-
ing expenses were s12,516y475, as
compared with s12,571 $3.50; taxes
were $1,3s9,781. as compared with
sl,354 ,o69: provision for depreciation
was $1,321 $50, as compared with
sl,3l7,6l9, and interest charges were
C21E dQ9 |