Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-01-14
Spencer Airs Powers
Of Transit Authority
Bill Will Allow
Regulation Of
Wages, Hours

would have the power to set
wages, hours and working condi-
tons, Commissioner samuel
Spencer said today.
/ The authority's labor powers
would be patterned after those
ot the Tennessee Valley Author
Iity, he declared, in outlining the
current status of drafting legis-
Ilation to set up an independent
Federal agency to provide trans
Iportation service here when Cap
Iital Transit goes out of business
next August IA.
He said employees of the au-
Ithority would be subject to an
act of Congress passed last year
which makes it a crime for them
to strike.
The authority, however, would
have the power to deal with the
transit workers union, whose
52-day strike last summer led to
the legislation killing Capital
Transit Co.
Draft Sections of Bill
He and his fellow Commission
!ers, as well as the District Pub
lie Utilities Commission Com
missioners, were meeting today
Ito draft seven or eight sections
Iof the transit authority bill.
On Monday, Mr.. Spencer said,
these will be put together with
other sections of the measure be-
ing drafted in New York by Off
cials of the nationwide invest
ment firm of Blyth & Co., Inc.
At the same time, Mr.. Spen-
Ger said, Assistant Engineer
Commissioner Thaddeus M. No
SEX is drafting an operating and
financial plan spelling out de-
tails of the Commissioners ideas
on how the transit system should
be operated.
Mr.. Spencer indicated the plan
would not be binding upon the
yet unappointed board of direc-
tors of the authority. But, he
noted. the Commissioners are
proposing to take over powers
of the authority board until it
can be established.
In addition to giving the board
power to deal with the union and
Iset wages. it would also fix "a
substantial salary" for the gen.
Ieral manager of the system, Mr..
Spencer said. He declared that
the managers pay should not be
spelled out in legislation setting
up the authority. pointing out
that the authority would be
competing with private eXecu-
tive salaries" in trying to hire
manager.
Mr.. Spencer said the Commits
sioners tentatively have agreed
that the board should be made
up of five members, rather than
three or seven as earlier pro-
posed, and that its members
should receive 500 for each
meeting they attend. He said
the city heads had studied the
labor policies of not only the
iva but of the Government
owned Alaska Railroad and the
Panama Canal, as well as those
of other Federal agencies.
Both the IVA and the Alaska
Railroad, Mr.. Spencer said.
enter agreements with unions.
In Panama. he said, employe
wages are set by a wage board
similar to those which determine
civilian employe pay rates for
Army. Navy and Air Force work.
ers here.
The Corporation Counsers Of
fee said the proposed agency
would be a ''wholly-owned Gov
eminent corporation" and an
fundamentally of the United
States Government" AS such. it
would come under the provisions
of an act approved last August
9 making it a felony, punishable
by a $1,000 fine or year and a
day in tailor both-to accept
Government employment while
belonging to an organization
(which asserts the right to
strike" against the Government.
WOlfson Buying Stock
Meanwhile, with Capital
Transit Co. preparing to liquidate
next August, its controlling
stockholders was reported to be
buying more stock.
Florida multimillionaire Louis
E. Woltson, according to the lat
est insiders" list issued by the
American Stock Exchange as
quoted in the New York Times,
Idiscloses that from December 10
ito 30 he acquired $4,000 shares,
thus increasing his direct interest
ito 54,l66 shares.
He and his family now hold
1896 shares. or more than IL
per cent of the 100000 shares
outstanding. With his associates,
his holdings total almost 80 per
cent of the stock.