Evening star., 1950-04-03
D. FareRise
Hearing Slated
For I Tomorrow
Capital Tronsit's Bid
To Be Aired by PUG;
z Groups Oppose 1t

The District Public Utilities
Commission opens it's hearing to-
morrow on the application of the
Capital Transit Co. for higher
fares.
Two organizations have asked
to intervene. They are the Fed
Grafton of Citizens Associations
and the Washington Chapter of
Americans for Democratic Action.
Other organizations or individuals
may ask to intervene.
The company is asking for a
15-cent cash fare instead of the
present 13 cents, for permission
to sell six tokens for 80 cents
instead of three for IS cents as
at present, and elimination of the
weekly pass, now sold for SITS.
The Federation of Citizens AS
sociations has indicated its inter-
est in having the weekly pass re-
tanned. In its petition to inter-
vene it asked that the company
be compelled to forecast it's op.
Grating expenses and revenues on
the basis of approval of the pro-
posed higher cash and token fare
with the weekly pass retained, but
at 50 price.
Company Fears Deficit.
The federation's petition was
filed by Vernon v. Baker, chair
man of the organizations public
utilities committee.
In applying for permission to
charge higher fares the company
asserted that under the present
fare scale, coupled with higher
wages and declining patronage, it
would have an operating deficit of
$159,000 in the IL months ending
February l, 1851.
It asserts that in that period it
needs and is entitled to a return
Of $2.2 million. It said the pro-
posed fare scale would increase
it's operating income by not more
than $1,649,000. which would
yield a net of $1,490,000.
Mr.. Bakers petition asked the
PUG to order the company to seq
regate it's District accounts from
those applicable to operations in
Maryland. He contended that
the 1949 net income reported by
the company was $4,000, but
that was after the company took
into account it's losses from
Maryland operations, which it put
at $4,000.
Maryland Increase Allowed.
The Maryland Public Service
Commission recently granted the
company permission to raise it's
Maryland fare from S cents a
zone to 7 cents. In applying for
that increase the company con-
tended the higher fare would cut
the $4,000 deficit to about
$227,000
The citizens federation said it
would announce later its position
on the fare increase. The ADA
petition did not take a position
on the company's application. Its
petition, filed by Benjamin c.
Sigal, president, asked that the
company be made to show the
reasonableness of its proposed
fares.
The hearing will be the first
one for Kenneth w. Spencer, re-
Gently appointed member of the
PUG. James H. Flanagan is
chairman of the commission and
the third member is Brig. Gen.
Gordon r. Young, Engineer Com
missioner.
The company's chief witness
will be j. E. Heberle, vice presi-
dent and controller, who uses a
slide rule with as much facility
as another man consults his
watch.
The PUG has received 81 letters
on the subject of the fare in
crease proposal. One man wrote
that if the fares are increased the
company should be compelled to
provide a seat for every passen-
ger. Many of the writer's oppose
elimination of the weekly pass.