Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-03-04

ster may vote for delegates
tions.-Star Staff Photo.
c. Statement
unsitCriisis
n the city's transit crisis issued
c Utilities Commission.
street railway system to a new
franchise holder. In negotiated
purchase of franchise rights, the
buyer is normally required to
take over all properties with the
franchise. In Washington, how
ever, the new franchise holder,
whether it be a private corpora
ton or public body, receives its
rights directly from the Govern
ment and has no obligation to
deal with the former franchise
holder.
Thus, the only proper consid-
Grafton for the new operator in
buying property from any source
is the value of this property in
the new system. It is public
knowledge that this commission
has not required any private ap-
Iplicant to buy any part of the
existing properties: and there
would appear to be no justifica-
ton for imposing any such OBJ
legation on a public body.
Not Desirable Property
It is further apparent that a
street railway system is not a
desirable property for a new sys-
tenn to acquire. Street railways
are not being built for urban
systems and have not been built
for years. The operating costs
are so high and the salvage
operation is so costly that a new
Operator is financially compelled
to refuse these rail properties
unless full allowance for in
creased operating costs, as well
as conversion costs, Is made in
the purchase price.
At the present moment, the
Congress has before it proposed
which was transmitted
by the Board of Commissioners
of the District of Columbia on
January IS, 1856. 1t is clearly to
the advantage of the Capital
Transit Co. to delay this legisla-
ton as long as possible and to
delete from the legislation the
powers of eminent domain which
the draft legislation contains.
If these detectives were attained,
the public body created would be
incapable Of providing service on
August Is except upon the terms
of the Capital Transit Co.
It is entirely apparent that
interested parties are publishing
slanted and incomplete data in
an attempt to escape from the
present legal position. The tech
'nical staff of this commission,
which for years has been closely
supervising the operations of the
company, has long been familiar
with the arguments now being
made. This staff knows also the
real facts at issue and is able to
Ievaluate the claims of the COM
pany.
This is not the time nor the
place to enter into detailed
analyses of these allegations. The
commission is confident, how
ever, that its views and recon-
mendations reflect the sound
answers to the problems before
uh and it stands ready now or at
any time in the future to give to
the press or to other interested
agencies Of public information
full explanation of any material
issues which may be raised.
Powers Required
The commission wishes to
stress also that. under the pro-
posed legislation, a new public
body would be created to as
sumo the responsibilities for
transit in the city of Washing
ton and to serve the public in
terest in this vital element of our
community living. This body
would not be bound by the views
Of this commission, but it would
be sworn to serve the public
interest. Our concern today is
to insure that public confusion
over the issues at stake does not
lead us to such mistakes of &C
ton or inaction that this new
body. when created, will be pow
erless to serve the public interest.
The commission is aware Of
the necessity for immediate ac-I
ton to establish a responsible
organization to plan and con-
duct mass transit operations re-
placing Capital Transit on next
August Is. This is a task of
unprecedented magnitude, in
volving the creation of a major
operating entity in less than
six months. AS of this present
moment, there is a clear posi-
bility that mass transit service
on August Is will not be in full
operation, for want of the timely
formation Of such an organi- !
cation.