'92 " VV i.v TrTjVTr ? r iv-f ,r v i rf ' - IwimFT'l. TS.7 '"" "! TWr , Kr. ' .r '-"" T 7Pf . . " '-- EVENING, Bt)(ERPHILlDELPHIA, FRIDAY, SEPTEMBER 7, 1917 - 'ii - jTH-MITTEN LEASE . CONDEMNED AT COUNCILMANS HEARING ON TRANStT teWl IVE-CENT FARE VITAL IN N. Y. r - -fee Transfer Likewise Im- itively uemanae Transit,System L0 TAX ON CAR RIDERS BV a Staff CorrtfpoiHent kjt.'W VntlK. UtaL e. l .. .. rome to this city, which Is com- Win the expenditure of nearly half a &!... dollars on rapid transit lines; to Tout, what experience has taught In !t " n,,d ;omlllcle as'ecment on .one ' . ...tlnn. limvever vviaeiy wio c- slinera .,.. ot, incidental nrorio- . Uri may r, i" - ' iTli agreed that n nve-cent fare with '?:; ,n,.t h nreserved at all ITM,Xand that whatever deficits there bUl?& In the operation of the rapid tran (' my M ln " . 1.1 .nmo other wnv It Un muse ... ----- r". ... ..!.. nn the Ideal method of - ?i, the denclt or of avoiding It. The '""""hiM, l,is been worked out. however, . iin which nas """" .,,,, i,,. W ' ""Thr,9 iTZt thV de'flcit'. shaU he It- ft. levied uniformly throughout itf c ty. ... . I' Th.i this is not the best plan IS i e opin io . Tf Velson P. l-e-ls. chief engineer of rr.len of J,?'!"t,.m.iB mid Annortlonment. K t St.. ta doubt.es;, the fjeatest Amerl- 1 ind flnanci" . , , --...mrnent of I' WoT;Cu generation. It- l. been .' New orR ' ... ,7...i,i. ii il. recent city- 5:&rSSr,t- metropoljs. He Is inown throughout '; kU painstaking tnoroug n Jnowledge.ot his specialty. aaaraae - - fledge oi "- " - nrVKKlTS AND ASSESSMENTS "As a general principle," said he to me, 1 can fee no difference between open r,g n 9a" . . ,i i.wlne the cost upon the IroDerty hendflted on the one hand and I ffinga-rapld transit railroad and levy i ?u . ...T ir nn nil. the cost on the prop 's' fy whose value will be Increased by the '. "'IT. n'the other hand. I know there A ire men who disagree with me. I ex- ? tha I read beforo a city planning confer .' tnce In Boston a few years ugo, and I f! have seen no reason to change my views f Ihould be Invariably recognlied, namely, f where there Is local benefit there should be V lolassessment There can be no Improve- ment which has been Intelligently planned S'infl executed which will not result In some W . .... 1 1 fntlnl.ID Ilia. tllAr BlimilH Kal Denem, am. n ."" - ......- Iv be some local assessment. No im- K jirovement, however small or however large, fc will be of equal benefit to the entire city, ;& jiD.plhiitA thp hnrden of nav.nc for w It over the whole clty'accordtng to taxable T 'lues Is unfair In that it Is not placed ac 1? cording to benefit. The owners of property In the Immediate vicinity are frequently mrlchtd at the expense of those whose 1 3' boldings are entirely outside the district ,? directly aneciea. 1 "Perhaps this statement should be so I' qualified as to exclude certain great lm- 5, provements such as public buildings. V MAvu Hnnlq nml rnnld transit lines, and $ Ttt there is doubtless a local benefit re ,Z lultlng from thete. It may be uiged that ' luch things are not Included in what Is ft I.. I1..1 ... l.nnl..H ' I, .n (Ua KDmmuiuy i:aiii:u tnj ijiaii.it. . .. nu, i.n. definition of city planning needs revision, Uf for they are certainly most essential parts iy of any city plan. fig 'The City Ciub of New York several years ago showed that as a result of tne building of the first rapid transit subway In Kew'Vnrk the actual land values In those portions of upper Manhattan and the Bronx 4 which veie most directly affected were I,'4 within seven years Increased $80,500,000 iV tuvto lite nullum inuicuac jui iiiut, ptri luu, -'' ThA rrHt nt thnt nnrt nt IIia nnhitnv ti.lan Ing through the districts where this rise ln -values took place was about $13,000,000, while the cost of the entire subvvjay from the Battery north was $42,000,000. It is quite evident that If the $13,000,000 which was spent upon that part of the subway traversing the district so notably benefited had been arsessed directly upon the prop erty, Its owners would still have netted a I neat profit of some $67,500,000, while .had the Cost of the entire stihwnv heen naKpssed i, upon the same limited district the net i9 prout to the land owners would have been ! W,600,000. "Was it quite fair that property In d(s jB tant parts of the city, entirely unaffected ;t, iy thli great project, should bear the same 1 proportion of the burden as that which was H o conspicuously advantaged? It is true ; that this Improvement is entlrelv self-ann. Js Porting, interest and amortization charges . ,...., ,uvu ,,1,,,, lllcl jciiiui i.uiu uy ino m& operating company: hut the local benefit it " " cIcar'y established that the rapid $ 4i law was so amended as to permit Li the assessment nf anv nnrt f tv, . l of future subways. Many new subways i1 ;,r,,T U""B P'annea, nnd some are being ij. Jullt, but it ii doubtful if any of them will Pi hlehlng the most Intensive' traffic having i Men followed bv the line flpt hi.lu fh. " fropr,y """era along the present operat ic Jl . . haU"f secured their benefit without " .1. V . ' . "0S8 alonB 'he proposed line J4 J! !l? ,ntllU8'astic about being assessed '4 ik.i It! '. J'a tncre eeins little prospect d that the right to assess will be nvalled ot it yince, l wroto thl3 l,aner certain property a f- iiln Broollyn petitioned for the bulld f lug of atrapld transit line to be paid for'by 5 .n.'i,"?"nt " t,la ProPerty benefited. We I ... i.u,l,tt p!a" and 'naPPed assessment "? ?1T J1IoIder" ot larBe sections of unde- ,"i Bavth...... . . l'.i:tiijr WIIIIUK VO -- - -".ca.Miien.is invoivea. Dut the small ha. Ity, h2ldcr,s ouJected. and nothing Snf.fTu ?f.,ne plan' Yet It "ems to me .... Kimi me persons m the lower end of tn. borough of nichmond. for Instance ?tr.n. ii . ' ,,enen'ea a' a" by a rapid ta,..J lln! in Coro. I" the borough of tVlUeens. khnnM 1.. -.,, j ..- 7 KaTtti. .. -"--" vuiiiiieiicu 10 pay at M"e same iate for building It that is paid EWof "Property owners In Corona, the value Kffw wnose nrnnarlw I... ... .,.. , freawd by the new In.. it TIUNSIT A "SOCIAL INSTITllTtnv K' Inj'iIThn,'n!03;?ultn,ow there are P"8ons who ft Inl it,, I ' ali ,aDld translt "ne ar social !3" fop ii,. ",al " ls lne ""'y or the city. to carrvSe.ral 00d ot tl,e PePlB at are. carry thm ni,nnt H ,. ... -.' ii lia&? Th,ey "" tnat n mil'" 'or civil HsSB.n.J,y dlsflbutlng population. In Bel- rat. .. carr' working people at a low ue of far. f- .u. .., . tettlntr th. ' . . ". ";"", '"r0". " Intn ih. ' "ut "l xno congestea cit es to the country," In vid!lcu.3slnff the effcct ot th Increase lno, n.of.real "ta,e Allowing the open Jlr t J1' v ,err"orV by a rapid transit line. 4 "ea. t- f .th8 clt1, reduced by this In off,., in rfal e5tate values was not wholly WKnir.1'1. e consequent Increase In the oDn;.chagel, as the cost of ell street Meiu a.n1 Ktvvtra was met by a special M. fcaM f. . "u ,nai tne water meini.were 1;': 'Kr .ou.t of the water revenues. I A this lnef.m ." ,akes Part ' the unearned SSf !!? f.or ,tself and UMS ll n turning flth clt Inhabitable Streets equipped Pnlll """."IICIItCB. ll.pvl;l;0 s'rv' Commissioner Chrle 3. i.rn,,,!'.y.',,vho.'s " financial expert of the iooiTir... "' ,OId mo that the commission vai.7. U,tle account of the Increase 1nthe .i.'.,.0,.l estate following an Imnrove- -'i,w. "nsportatlon. . Jil V- "ald- he. "the effect of euch' In- ...usually counteracted by the 1- Ht l wS1 m and more policemen are needed and more sewers and more pavements." Yet Jlr. Ifervey was ready to admit that the system which has been worked out tn New York under which the deficits In dpera. tlon of the rapid transit lines are to be paid for out of the tax levy without any In crease In fares van nKnn. it,. h..t 1,1.1, ,that could be expected under all the clr- luminances. 'ui'""1 1 fl"kd him about the contracts with the operating companies he referred me to LeRoy T. Harkness, the chief of rapid transit of the commission. In the course of a long conversation Mr. Hark ness reviewed tli. liistnn p n,. ..tin. of the city with the operating companies. NEW YORK'S SUBWAY KXPEtUENCES The first subway was built under a con tract which provided that the operatlne company should pay the Interest on the bonds and 1 per cent for a sinking fund, tne contract to run for fifty years. To se cure Itself against a default In the Interest tne city took what amounted to n mortgage on the operating plant, Under this ar rangement the operating company was very soon earning from 15 to 20 per cent on the total Investment, and when an exten slon to Brooklyn, to cost about $10,000,000. was proposed this .company offered to build It If the city would put up $2,000,000 of the cost. These lines took the cream of the traffic on the nmi mn...i.j .ni.. N'o other contracts so favorable to the city could be made. The latest contract Is that with the Brooklyn Rapid Transit Company. It In volves the expenditure ot aUyiut $160,000,- i?2iSf..lhl8 Um the clty wl" Provide $100,000,000 and the Brooklyn Rapid Tran sit Company wilt furnish the remainder, out of the earnings the company Is to take first $3,500,000a sum equal to the present earnings of Its lines. Then It Is to take per cent interest or. the new money It puts Into the enterprise. After these pay ments fcare been made, the city is to get 6 per cent on what It puts In If there Is anything left, if there ls a deficit, It ls to bs met by taxation. Mr. Harkness Is of the opinion that the deficit will not continue for more than ten or twelve years and after that time the earnings will Increase so that the accumu lated deficit will be wiped out. There ls no thought at the present time of making the riders pay the deficit. But every new line that Is being built, according to Mr. Harkness, is considered as a business proposition that must stand on Its own merits. It must show evidence that it will paj- within a reasonable time without regard to the Increase In the value of property which follows Its building. "A city would go bankrupt," said he, "If It depended on Increases in assessed valua tion to pay for Its rapid transit lines." KIVE-CENT KARE IMPERATIVE It ls proper, however, for tho city to bank on an increase in population and on nu tnciease in the demand for transpor tation, An etpert, he said, had figured that the population of New York doubles every thirty years, and the traveling popu lation doubles every twelve years. It Is on tills Increase ln the number of users of the new transit lines that the city ls dependjng to produce the money needed to pay the Interest on tha transit bonds. When I went over to Brooklyn to find out what they think of the matter here I found Lewis YV. Pound, president of the borough, most emphatic In his Insistence on a uniform five-cent fare, no matter how large the deficit ln operating expenses might be. "What is troubling us here."- said he, "Is Just Tiow to raise the deficit in the first few years. It is my personal opin ion that It would be better to Issue short term bonds to pay part of the deficit each year than to pay It wholly from the tax iate. Then as the deficit grew less the bonds could be, paid off. In other words, I would like to spread the payment of the deficit over a longer period of years than is likely to be occupied by Its accumula tion. We expect to break even In ten or twelve years nt the outside, but we may do better. At the best we shall have hard work In raising the money for the first two or three eats. "But we object to any .Increase In the rate of fare. We must carry the people for five cents and find a way out in some other manner. I don't believe ln assessing the property benefited, as real estate lias to carry too much of a burden already. It was proposed over here, but It will not be done." TRANSIT GRAB LEASE CONDEMNED AT HEARING Continued from rate One NONPARTISAN LEAGUE TO MAKE LEASE ISSUE The mystery surrounding the Nonpartisan League of Philadelphia and the plans for a transit mass-meeting on Monday next In the Parkway Building under the auspices of that organization were cleared up today, when formal announcement was made of the fourfold purpose of the league, the part It Intends to play In municipal affairs ln this city and the names ot some of the men back ot the movement. Plans tor the organization ot the league have been worked out during the last six weeks by a number of representative mem bers of the Philadelphia bar, business men and bankers ot the city. Within a few weeks the league will Incorporate and open permanent headquarters. The membership will be about 100. . The first public project to be taken up by the league Is the transit lease. It is the purpose of the league, as stated today by one of Its founders, to frame up so clear an Issue on the Smtth-Mltten lease that every councllmanic candidate In the city will have to take a definite stand either for or against the proposal, The fourfold purpose of the league Is given as follows. Flrfit, to eliminate party lines from city affairs: second, to Indorse such candidates for public office as are not connected with or ln any way controlled by the contractor bosses; third, to secure cleanliness and economy with reduced taxation, and, fourth, 'to oppose any long-term contract which does not safeguard the Interests of the city. The transit mass-meeting on Monday will 'cover two sessions, the first at 10:30 o'clock In the morning and the second at 3jb'cIock In the afternoon. At the 'morning session the councllmanic phases of the lease ques tion will be especially considered. Francis F. Burch, Common Councilman from the Forty-sixth Ward, -Is chairman of a sub committee ot the league which will have charge of the morning session and whch Is drafting a pledge to be presented to each councllmanic candidate. "Many Independent candidates for Coun cils," said one ot the league organizers today, "have come forward with the ex pressed desire of placing themselves on record as strongly opposed to euch a sell put as the Smlth-Mltten lease appears to be The pledge for the .candidates Is being prepared so that the voters may understand thoroughly which of the candidates la not connected with or In any way controlled by the contractor bosses, whose monetary In terest In the leases Is to be clearly dis cerned." Former Transit Director A, Merritt Tay lor 'had btjn Invited as the leading speaker at the afternoon session, but he declined the Invitation, Other speakers will be S. DavU Page Evan D. Lewis,. Paul Rellly and Ira D. Tdarman, Selectv Councilman from the Forty-sixth "Ward. Joseph P. Oaffney, chairman of Councils' Finance Committee, has been Invited to present Mayor Smith's position on the lease as he understands IU It Ii tiot certain yet. however, whether or not'Mr? Oaffney will accept the Invitation. Robert 8. Bright will preside at the after- Mr. Bright Is serving as acting chairman ot the "league until; permanent organize- v mwi t ewafwssjsh PJV- Wl ." .Wr,-i. M.'J1. them nnd have Director Twining reply to mem. Mr. Taylor: "I stand on the statement that I have Just made, Mr. Oaffney took nnme newsnaner elln- plngs and read one of the charges made bv mo lormer uirecior. "Now, Mr. Taylor, where do you find the basis for this?" he asked. The former Director, amid a scattering of catcalls, again declined "to enter Into an argument "I demand an answer to my charges," he replied firmly. There was a murmur of applause when Mr Oaffney Insisted that he answer. Se lect Councilman f-'eger. however, suggested that there was no need to ask further questions, and Mr. Taylor leaned back in nis cnair. "I move that when we adjourn It will be until September 21," said Mr. Keger. Theh motion was carried, LEWIS PROMISES REPI.r Chairman Oaffney then turned to Doctor Lewis. "I ask you," he said, "to answer Mr. Taylor's charges through the newspapers nnd not here." "I will do so gladly," replied Doctor Lewis. "And I want to say that the worst traitor to democracy Is the man who rushes Into print with wild assertions relating to Mich Important subjects as this lease and who holds up Its authors to Condemnation. Let him ttcat this lease fairly and submit his inqutrtea to us." "I accept your proposal with pleasure." said Mr. Taylor, tlslng to Ills feet In an Instant. "It ls a fair one." Before the tilt between Mr. Tajlor and Mr. Gaffney, former Senator John O. Sheats suggested that an entirely new lease be drawn up because of the serious criticism directed against the present proposal. Ho proposed that a board of n few men be ap pointed, consisting of two business men, a corporation attorney and competent en gineers, designated to write a new lease. Mayor Smith arose at this point. "I had not Intended making any remarks today," he said. "But I am prompted to do so by the statement of Mr. Hheatz. ''The responsibility for drawing up a lease rests with me. I want to say that one ot the greatest difficulties that I have had was to find a lawyer without corpora tion Influence to advise mo. "I propose to stand sponsor for this lease. It Is a duty that belongs to me and I wilt face it." ANSWERS TAYLOR ONLY IN JART Mr. Lewis, after presenting an elaborate seventeen-page printed argument support ing the proposed lease, answered In part Mr. Taylor's charges. Taking the former Director's assertion that fares must be boosted to pay the company's fi per cent dividend, cumulative, as Jiis cue, Doctor Lewis pronounced this argument as "ab solutely false." The remainder of Mr Tay lor's charges and arguments, he said, were so confusing that It was difficult to answer them, although Mr. Taylor has made two analyses of the proposed lease and uttered specific charges that the lease would drain money from the people of the city. Mr Lewis suggested that Mr. Taylor submit a series of specific questions at the next meeting, questions that lie himself or Director of Transit Twining would answer verbally nnd later reply to In full writing. He further offered, on behalf of the authors of the lease, to have the wording amended as to be perfectly clear to all. LEWIS'S PERORATION "Nine-tenths of the criticisms of the pro posed lease are based on the assumption that under Its terms the Public Service Commission, Im fixing the rates of fare, will have to fix the rate high enough to pay a S per cent dividend, cumulative, to the transit company. This Is absolutely false. The Intent of those who drafted the pro posed lease was: First. To leave the determination ot the rates of fare entirely to the Public Service Commission, where It belongs, without any requirement that they Should fix rates sufficient to pay any par ticular rate of dividend or any dividend at all. Second. That when any question ot readjustment ot rates comes before the commission the city will concede the fairness of a 4 per cent dividend, but be left free to oppose, If it then so de sires, any rate of fare which will give the company's stockholders a dividend of more than 4 per cent. "The question of vital Importance to the citizens of Philadelphia Is whether a lease producing these results should or should not be adopted. I believe that the lease Is correctly worded to carry out the intent ot the authors, but I desire to assure the former director, or any one else who has been opposing the lease because he thinks it guarantees a 6 per cent dividend or any other rate of dividend to the company, that If Investigation shows that the language used should be changed to make the Intent clear we will be the first to urge Councils to make the necessary changes, "In regard to the former Director's other criticisms, they are so confused, so full of repetition and so Interspersed with denun ciatory adjectives that In the majority of Instances It has been Impossible to ascer tain the exact points to which reply should be made. Generally where the point he Is trying to make la at all clear the criticism Is based on a misstatement of the results of the provisions ot the proposed lease. "Reckless and confused public statements alleging that the lease provides things which It does not provide will never get us any- where.' It Is not fair to the people that a discussion of a matter of this Importance should be carried on ln 'this manner. In order that we may clarify the points at Issue I suggest that the former director be asked to submit at the next meeting a series of Inquiries,' each one ot which will aBk a definite question does or does not the proposed lease provide thus and sp. Either Director Twining or I will make a verbal reply and afterwards, In order that the general public may be clearly Informed, make a written reply. By this process the former director will probably discover that the authors of the lease had no Intent to produce the results ln regard to which he so violently complains. "Should t appear that there Is reason able doubt concerning the exact meaning of the provisions, as previously stated, the authors themselves will be the first to sub mit amendments. "On the other hand, If In regard to any one or more of the Inquiries we reply that what the former Director regards as an obnoxious result was Intended,' we shall have at least arrived at a clear-cut Issue, which may be debated before this commit tee and In the public press." Former Director Taylor, who has led the fight against the Smlth-Mltten lease, was present. Mayor Smith also was present, as were several Councllmen and sereral rep resentatives ot the Philadelphia Rapid Transit Company. A' fairly large crowd had filtered into Room 411, City Hall, when the meeting was called to. order by Chairman Gaffney, ot Councils' -Finance Committee. OAFFNEY ASKS QUIZZING 'We propose to give everybody and every organization an opportunity to express them, selves on the provisions of tbe proposed lease," he said. "We want every Phliadel phlan thoroughly to dlsousa and examine its provisions, and J want to say that this com mittee will sit until the snow files If neces sary to reach some right understanding. We welcome suggestions. The committee men have no cut-and-drled policy other than to get a lease satisfactory to the people of Philadelphia. This lease proposition Is the greatest that Is likely to come before the city -for many years and It must be right. All ques tions lll oe replied, to Uy'Direetor .Twining T.IW of these committees. I cannot emphasize too much that we Invite help." WEST PHILADELPHIA OPPOSES Opposition to the Smith lease, on the grounds advanced by Mr. Taylor, was ex pressed by the first speaker, John N. Mc Garvey, of the, Allied Business Men's Asso ciation of West Philadelphia, "The people of West Philadelphia are opposed to the lease for several reasons," he said. . "First, West Philadelphia, with Its more than 300,000 residents, ls not pro. tected for Its Immediate or future needs. because the P. R. T, ls a corporation oper ating as a leasing company. Second, we oppose the hoard of threo engineers. The department Is the place to handle transit questions. 1'nder the method of selecting the board the P. It. T. would dominate transit as It does today. Third, we should so slow, Experts disagree. We ourselves will be hound by the findings of Mr Taylor," Chairman Gaffney here interrupted. "We ate not after general criticism," he said. "We want particular objections. We want to know what you are opposed to." "Serious charges have been made and these serious charges have not been an swered by the Department of Transit," "re plied Mr. McOarvey, "Until they are an swered we have nothing to say other than that our expert Is fully capable of defend ing our Interests." Dean Lewis arose "I want to say that one of the state ments made by the former speaker Is cor rect," he said. "The P. It. T. Is an operating and leasing company. If the question of the Fifty-sixth street line came up. follow ing the adoption of this lease, the board cre ated under tho lease could force the com pany to make extensions. I want to say for the benefit of the outlying sections that tho board would have the power to order the construction of additions and exten sions." URGES CITY TO TAKE OVER P. R. T. C. Oscar Beasley, another speaker for the West Philadelphia organization, .of fered the blunt resolution that the city lake over the transit company's lines under the llechl bill. This, he said, would ravo the city $4,000,000 a jcaf nnd permit five cent fares and free transfers without a deficit. The resolution read In part as follows: The Mayor is hereby authorized, em powered nnd directed to notify the Phila delphia Rapid Transit Company that the city of Philadelphia Intends to proceed to acquire the present street railway system of the said Philadelphia Rapid Transit Company and tire system ot its underlying companies in accordance with the rights conferred upon the city ot Philadelphia by act of Assembly approved the 19th day of July, 1917, empowering the city of Philadelphia so to ct9, and further that the Mayor be authorized and Is hereby directed from consultation with the Department of Transit to offer a sum not greater than the valuation of said railway systems as set forth in the official order of the city to wit $U.S31,4'.'5,06 and In case of the re fusal of the city companies to accept said amount the Mayor is hereby di rected to proceed as provided for In said act of Assembly to complete the require ment of the system by giving the bonds and taking the proceedings required In said act for the purpose ot perfecting the acquirement of said systems as above set forth. When he offered the resolution Mr. Beas ley urged that Councils postpone action on any lease for two or three years until the Hecht amendment to the Constitution pro viding money for the purchase ot lines under condemnation should ho passed by the next legislature and voted on by the people. Mr. Beasley said he did not favor even taking up the Taylor lease. He claimed there would be a deficit of $4,500,000 under either the Taylor or Smith lease and that that sum represented annual dividends on present watered stock. He said that under the Smith lease the Public Service Commis sion had no power to force the building of any extensions or to lower fares. Mr. Lewis objected to that and declared that under tho new lease, through the proposed Boaid of Supervising Engineers', it was provided that the Public Service Commission shall regulate the fares, neither lowering nor raising them. In reply to questions by Select Council man Trainer and Doctor Gleason, president ot Common Council, Mr. Beasley said he was not advocating municipal operation, but that the city could lease the lines after taking them over. He said the only finan cial obligation the ctty would be under. If It condemned the lines under the Hecht bill, would be to file a bond with the State for the amount of the purchase price of $119,000,000 and that the actual money for the purchase ot the lines would not have to be found for many years. Mr. Trainer asked Mr. Beasley If a rul ing by the StateBunreme Court would not make the amount of the borid a part of the city's indebtedness at the time the bond was given. Mr. Beasley and Mr Lewis got Into nn argument over the constitutionality ot this phase of the subject. At Mr. Lewis's sug gestion, further discussion of that point was postponed until another hearing. POINTS OF CONTRACT Mr. Lewis opened his address with the proposals of the lease summarized In the six following points: First. To secure a unified system ot operation pC Philadelphia's transit facil ities by leasing the city's lines to the Rapid Transit Company. Second. To place the city's Investment In transit facilities on an Immediate revenue-producing basis, thus relieving the city and Its taxpayers of financial burden, and releasing its borrowing ca pacity 0 as to render possible (a) the completion within a reasonable time of the high-speed lines now authorized, and (b) future transit development and other equally necessary public Improvements. Third, That for the present the fares now In effect on the company's lines be retained; that at the outset the fare on the city's lines shall be five cents with free transfers; and that after the ope'n Ing of the Broad street subway and de livery loop, and throughout the remaining term ot the lease the Public Service Colli sion be asked to establish from time to time Just and reasonable fares. Fourth. That while the city admits that 4 per cent is a reasonable dividend rate, it shall make no dividend guaran tees. Fifth. That the city shall share equal ly with the company tile supervision over and regulation of equipment, rout ing and service. on the company's system as well as on the city's system. Sixth. That the company shall build extensions to Its surface system when or dered by the Public Service Commission. ADMINISTRATION DEFENSE The administration's action In rejecting the Taylor lease, worked out by tho former Director and representatives of the Transit Company, was explained away by Mr. Lewis, who cites five conditions which he said would have resulted from the adoption of this lease. These, In brief, are: First, That the company would have Been teleased from Its obligation to pay the city annually upward of $800,000, or during the term of the lease of be. tween $43,000,000 and $45,000,000, which sum would have to be made up out of taxation. Second, that the company was to receive a 5 per cent dividend on the capital stock out of the gross revenue of the united sstem as a prior charge to the city's return uporr the cost of the high-speed system, this Involving a loss to the city during the term of the lease of between $47,000,000 and $60,000,000, to be made up out of the tax rate. Third, that If the gross revenues wete Insufficient to pay the 5 per cent tho company would have the arhltiary right to abolish the free tranfers. Fourth. That no rtrnvlslnn was matte to insure efficient operation by tho com pany of the unified sjstem. Fifth, That the entlto cost of the city's high-speed Hstcni would have been charged against the city's borrowing ca. paclty for many jears, thus preventing further transit development and other needed Improvements. Red Sox Win Third Straight Over Macks Continued from Tate One Mejer ton lato to prevent Hooper from scoring. Lewis singled to center, sending Hoblltzel to third and Lewis taking Becond on the throw. Walker popped to Palmer. Gardner fouled to Talmer, One run, two hits, no errors. Jamleson singled to center Mi'Nally threw out Grover. Bodle walked. Foster threw out Strunk. Gardner threw out Mc Innls. No runs, one hit, no errors. SECOND INNING Witt made a fine stop and throw when he got Scott at first Agncw lined to Bodle. Grover threw out Foster. No runs, no hits, no errors. Witt filed to Hooper. Palmer walked. Meyer lined to Gardner Johnson filed to Hooper. No runs, no hits, no errors. THIRD INNING Hooper dropped a single In right. Mc Nally (-ncrlflced. Johnson to McIriiiK Hooper died stealing, Meyer to Palmer. Hoblltzell singled to right Hoblitzell stole second. Lewis popped to Witt No inns, two lilts, no errors. Jamleson struck out. Grover filed to Walker. Bodied filed to Hooper. No runs, no hits, no errors. FOURTH INNING Walker fanned Witt th'rew out Gardner. Scott grounded to Mclnnls, urrassisted. No runs, no hits, no errors Strunk filed to Lewis. Mdnnls doubled to right center. Scott threw out Witt. Palmer filed to Walker. No runs, one hit, no errors. FIFTH INNING Johnson threw out .gnew. Foster sliiKled to right. Hooper filed to lioille. McNtlly filed to Johnson. Nu runs, one lilt, no er rors. Mejer filed to Walker. Johnson singled to left. Jamleson popped to Hoblltzel. Grover popred to McNall. Nn iun, one hit, no errors. SIXTH INNING Hoblltzel singled to left. Mclnnls fumbled Lewis's hunt. Hobbv taking second. John win threw wild on Walker's bunt, Hoblltzel scoring, but Lewis was caught at the nlate Grover to Meyer, Walker taking second on' the p!a. Witt threw out Gardner. Scott singled to center. Walker scoring. Agnew fouled to Mejer. Two runs, two hits, one error. Scott threw out Bodle. Foster threw out Strunk. Mclnnls fouled to Gardner. No runs, no hits, no errors. SEVENTH INNING Foster singled to right. Hooper sacrificed, Johnson to Mclnnls. Witt threw out Mc Nally. Grover threw out Hoblltzel. No runs, one hit, no errors. Witt lined to Walker. Palmer filed to Walker. McNally threw out Meyer. No runs, no hits, no en oik. EIGHTH INNING Lewis filed to Palmer. Walker tripled to right Center, Gardner fouled to Palmer. Scott singled to left, tooting Walker An. ,new singled to left. Scott stopping at sond. roster uouuieo to left, scoring Scott. Hooper walked, filling the bases. McNally forced Hooper, Witt to Grover. Two runs, four hits, no errors. Griffin batted In place of Johnson. Fos ter made a one-hand leaping catch of Grlf flth's liner. Scott threw out Jamleson. Grover filed to Lewis. No runs, no hits, no errors. NINTH INNING Andeison now pitching for Athletics. Witt threw out Hoblltzell. Lewis fanned Walker filed to Bodle, No runs, no hits, no errors. Bodle hit the left-field bleacher wall for two bases. Strunk filed to Lewis. Gardner threw out Mclnnls, Bodle being held at second. A wild pitch sent Bodle to third. Witt walked Palmer fanned. No runs, one hit, no errors. Delaware State Fair Ends Today WILMINGTON. Sept. 7. The Delaware State fair will pass Into history tonight after one of the most successful years since It was established, Despite rain the at tendance yesterday, "Big Thursday," It was announced today, was close tn 30,000. It was a decidedly cosmopolitan ciowd, made up of politicians and society folk from all parts ot this State and from Pennsylvania THE CHEERFUL CfTO With little busy sirvjityf bo6s The .summer just bourids. They rmUe. . Wck jjound for'the dwvs OF finely-woven sounds. T L 1 I 5ffi 1 Ea -MiiiWilniifiiii y xj .'.'! r'-v -s -- ji. . Skin troubles quickly yield to Ife&inol No remedy can honestly promise to heal evtry case of eczema or sim ilar skin ailment. But Resinol Oint ment, aided by Resinol Soap, gives such iitsfant relief from the itching and burning, and so generally suc ceeds in clearing the trouble away, that it is the standard skin-treat, ment of thousands of physicians. v . juainol ointment ana Resinol Boap are la by all UMlets, ythr not ta.mT V,sfTP TAYLOR WARNS CITY OP NEW" MENACES IN SMITH-MITTEN PACTr Prior to the first public hearing on the Smlth-Mltten transit lease grab this aft ernoon, ex. Director of Transit A. Merritt Taylor today Issued a waning to the peo ple that ratification of the lease would be ruinous to Philadelphia, He points out what lie charges are four additional de fects brought out In his latest analysis. "Further careful analysis of the Smith lease," reads Mr, Tn lor's statement, "leads mo to deliberately make these additional charges with relation thereto: IThat thereunder, tho full Interest chargo on all of the city's bonds Issued for tianslt development remains a continuing charge ngalnst the unified system after those bonds havo been paid off In full, a provided In Article XXII, Item No. . and that the full amount theieof must continue to be paid out nf carfares annually to a. sinking fund com mission, to bo used as provided for In Aillcle XXV, paragraph 2. for the pur chase of the propertv, leaseholds and fi.in chises of the P. R. T Company 2 That thereunder, the supposed equal division between tho city and the company of any net profit" or resldtl of gross earnings, specified In Item No, 11, in fact prevents the city from collect ing any profit whatever from tho opera tion nf Its high-speed lines until after the ily has acquired the property and leaseholds of the P. It. T. Company; for, what Is hupposed to he the clty'a one half of such profits does not go dliectly to the city, but goes to tho sinking fund conimlsslni hercinbcfoie referred to, for the sole purpose of pui chasing the prop erty of the J'. 1t. T, Company. This fact Is clearly stated in Jterri No. 11. 3Tljnt thereunder, there bhotlld be no accumulation ot funds In Items Nos. 9 and 11, above referred to, until after Item Nn 8 which Is company's cumulative dividend on Its stock has been paid In full ; for, the payments to Items which are numbered 1 to 11 both Inclusive, as per terms of Article XXII, Section S, ".shall bo cumulative In the t order named. i. t ... i .... .... the gross revenue shall not be sufficient V . nn...ii . i'.xciio vnci any Dniances -tX-v,n unpaid for former years), the deficits ln M " m,m Payments shall be made good i ,'hjist from gross revenue of succee.iinr v.r. $ ,L" inIdea.!;.,Ufem bVore any Potent JsfUS made therefrom for any items subse- iJ? qucritlv snei.p,l i ... l .. . .t. hereof;-' ' ....im o. , ni h! ..W.OU U become an obligation ahead ','J .' he clty" Interest In Its own system, tha ,'J i ... i ,r co"nues the company would main Its current assets and tho unified sj stem thus would be shorn of its surpliM ;.. Vrrkln.k- caP,a'. now amounting U) more than $4,300,000. , Hie fourth charge Is as follows: Kt 3 A "'at thereunder. h eii .,,M ' f.r. T 1...II.I -. . J k - - "..hi. mm surrender to the P. R. T. s. en!,1,,,'!," ?nd, U". entlr' 'lh-speed ays. ', f , ?i.a,.bnsla of crcdlt u"n wnlch the, . , i P. It. T. rnrnnom, .......I., .,-- .,.. t , , : , j uu,u mine me money required for certain equipment to bo fur nished to the city's high-speed lines, and n r S. exte"ln n"d equipment of the 1 Jt T Company's existing surface sys tem throughout the city; for, under Oie terms of Artsvles XXX and XLII, the city, to tecapture its own high-speed lines. Is required, at the same time, to buy the property and franchises of the P. rt. T. Company, and thereby assume all the in debtedness outstanding against tbe same. Irr nn appeal to the street-car passenger of the city the statement leads: "Vbu must either line, up nnd defeat the Smith lease ot jolt will be forced to continue to pay the elght-ceit ticket charge and whatever Increase In'f.irc may be found necessary to not only pay the P It. T.'a guaranteeii dlvideml and the Interest on the city's transit debt, but to pay the stockholders of the P, It. T. Company $50 a share for their stock, which Is now selling at $29 a share, or $30,000,000 on the amount now outstand. Inc. and to repay to the city the total cost of Its high-speed lines, estimated by Direc tor Twining to be $90,000,000." 3 tfS &i LA FOLLETTE'S TAX PLAN FAILS IN SENATE Amendment Increasing Income Rates Rejected by Vote of 19 to 55 WASHINGTON, Sept. 7. Without a record vote the Senate late today adopted the Finance Com mittee's income tax section of the war revenue bill. The committee plan will raise $840,000,000 revenue from in comes additional to the sums raised under existing income tax laws. Sen ator Trammell's amendment to increase exemptions from $1000 for single men to $2000 and from $2000 for married men to $3000 was defeated. WASHINGTON. Sept. 7. The Senate today again defeated those seeking to place a heavy tax on wealth by rejecting 10 to B5 Senator La Follette's amendment Increasing Income tax rates so as to raise $643,000,000 more than the Fi nance Committee's plan. La Vollette's amendment provided for a fiO per cent surta'x upon Incomes of $1,000. 000 or more, but Its heaviest Increases were put upon Incomes between $50,000 nnd $300,000, By a vote of 26 to SI the Senate then rejected the llollis amendment adding $80.. 000,000 to tho Income tax levy proposed by the Finance Committee. The Hullis amend ment would have Incieamd rates on Incomes between $20,000 and $250,000. Stratford Fire Causes $15,000 Loss STItATFOMD, N. J., Sept. 7. Fire of unknown origin was discovered on the large dairy farm of Edward Hunt, destroy ing four barns and much valuable ma chinery, causing a loss of $1B,0U0. Twelve horses, sixty cows and fifty hogs were rescued. For a time the dwelling house was In danger and fire companies from (iementon. Magnolia and Haddon Heights assisted Irr preventing n further spread of the names. They were hampered by a lack of water. RIB0T MINISTRY QUITS; P0INCARE ASKS DELAY Resignations Held Up Pending Conference With Heads of ' Senate and Deputies NEW TOItK, Sept, 7. A cablegram from Paris today says that the resignation of the Itlbot Ministry was) decided upon unanimously after a Cabinet meeting this morning. President Polncaro asked the Premier and his colleagues to withhold their resig nations until the presidents of the Senate nnd Chamber of Deputies have returned to Paris to (llscus the situation. m l Huntington Wilson Sued for Divorce RKNO. Nev. Sept. 7 A divorce suit against Huntington Wilson, former Assist ant Secretary of State under Roosevelt, ls on file here today. Mrs, Lucille Wilson's complaint bays she has lived "a miserable existence" with her husband and charac terizes him as "cruel arrd domineering." Thompson Asks $1,350,000 for Libef CHICAGO, Sept. 7, Mayor Thompson this afternoon brought ln tho Circuit Court ' five suits for libel against Chicago news.' papers and individuals, totaling $1,350,000. The suits were as follows: Chicago Tri bune, $500,000; Chicago Daily News and Victor V. Lawson, publisher. $250,000; Jacob M. Dickinson, former Secretary of War, $200,000: If. H. Merrick, president of the local chapter of the National Secur It League, $200,000 ; Arnold Joerns, secret tary of the same organization. $200,000. Whitman Loses Fight for Perkins ALBANY X. Y Sept, 7. George VT, Perkins's nomination for chairman rof thv New York State Food Commission was de feated this afternoon by a vote of 25 to 'IS, 1 Montana Mine Employes Won't Strike BUTTK, Mont., Sept. 7. A strike vote of the machinists and blacksmiths of mines; failed last night, lacking sufficient majority. v ! 41 Infants-Mothers Thousands testify Horlick's The Original Malted Milk ! Upbuilds and sustains the body No Cooking or Milk required Used for V3 of a Century Substitutes Cost YOU Same Price J3 Ti I r s'-7:45- '- r. ic 24-28 r.j Seats on Sale r BY MAIL marked on and After Next Monday FORREST SD& zzZra itj im worn M S5 'SEATS NOW Klaw and hrlanger's New Musical Comedy .Muilo by Kulman Book by Roltun ilnd YVodehouae, Cast & Chorus of 100 600 to $1.50 t Populsr Wednesday Matinee, BROAD 08p...nonot Mon. Evg. SEATS NOW Tha Stmstlonally nnlllant Maugham Comedy ran BEraw Amazing nuaion Theatre Can Intact! In. rlualng Chryttal lUrne. nose Cothlan. Frits Williams, and Othara, 6O0 to $1.80 at Popular Wednesday Matlnaa. mm yn IL K flDa M$MW8Bl--W&$m TnrJti- H ' ItiMfliiiiTii.i -it dJkjmd - s- - ''"it "V.' ffl TAYLOR HOLMES IN FIH8T SHOWING OK "Eflieiency Edgar's Courtship"" NHXT WEEK .MARY P1CKFOKD In ' "ItUDUCCA Of SUNNYUllOOIt TAnM" T?Trr,T?"rTrP MAflKBT Below tTTH IVrHjIljiN 1 DAILY 10c i UVOS. IS. , , 11 A. M. to 11:15 P. U. J t'UANK HLUXDON IN O. HENHY DUA11A, "rHB DEFEAT OP TUB C1TT" rrr,rr,f'DT a maiikbt ao dth VlUlUXvlii o A. M. to 11:15 P. U. NORMA TALMADGE In "TUB MOTH" ALL NEXT WEEK - r A Presented' Recently 'at Forreit Theatre'JSU'i EVELYN NESBIT s ' ANfoEn RTJSSEL THAW .. In 'IlEbEMPTION"--No (Advance In Price GLOBE Theatre J8fflKAv&1 ,-'-I-lv-'-4-'1-, rinnivrr.r,i!-rMi, tnJ.t loo. 15c. 55e. 8 Jo f , JW II A. M. to 11 P. Jt 2 t.-W THE T1.U1SI.Y 1111.1 1 Alt Y Bl'ECTACb iinnvc TW DT TTT? XJJ A J 11V J4JXJ o i .. ,f St, ao. ib T.uio.,1 "BOHEMIAN GIRL1' v Drilling, Wall-Scallnr, Sonca and Muelc nnACiOVPVO DAILY. a:SO 10a. latK . rsr - ." s, iif ,- - . !.. 7. 9.10c. 20 vSmt1 v2i -7'i Uv Verilon 'M ,1, BROADWAY ?S 0r BOBBY HEATH , H. B. WARNER ': --K.' '. . H ,.' 4 . 1- i KEITH'S .?" V.itt TO.VIOKT at ay-ale W MARION MORGAN -Ml AWT DANCEJWMV TUB NUI'HUMIS VAUWKVILLII TKAT! vr Ai.iTiB.fiimfifti.niwii li CltAND OPENIND Or ,SfcH JNRWi J :-' " ' ''' i!"'s"V- A TYtfT T3UT;Kse.'ta,VPl., ,.UJUt . Thuraday. P.KuJarltai 4j , THE 13TftHAI& !2S7S2 .v' ' ' mv ,' rr
Significant historical Pennsylvania newspapers