anaheim-gazette 1924-08-14

COURT DECISION DIVIDES THE COST FIFTY-FIFTY Dividing excess operating expenses of this year fifty-fifty as between all consumers of the company, excepting agricultural consumers, and the Southern California Edison Company is the high point in the decision of the state Railroad Commission as shown in the full text of the order which was received by District Manager W. L.Diemling of the company this morning. The Commission's decision grants to the company a ten per cent increase on all rate schedules excepting agricultural schedules P4 and P11 for a limited period of eight months beginning September 1st. "The evidence in this and in other proceedings coming before the Commission during the spring and summer of this year," states the Commission, "indicates that the drought conditions of 1924 are so serious that their repetition is to be expected only at rare intervals. The flow of the streams in the Sierra Nevada from which this company derives the bulk of its water power appears to be far below such flowing during any of the dry years that have occurred since reliable records have been kept. These conditions have, of necessity, resulted in greatly increased operating expenses and have required a curtailment in the use of power by applicant's consumers." "It must be borne in mind that the growth of the territory is dependent upon the continuing ability of this agent of the public to meet the demands for power. This condition place applicant in a somewhat different position than other lines of industry. Applicant must not even under the con- eral seasons farmers in California and elsewhere have encountered many difficulties. Price levels have been low. The farmer has sold his products at low prices compared with the prices he has paid for the articles he has been compelled to buy. Few farmers operated at a profit last year, and this year their difficulties seem to have increased. During the early part of the year the market for California products outside the state was seriously interfered with. The extreme dry weather now prevailing has further imposed unusually heavy and additional burdens. "As pointed out by Mr. Duell in his argument, the farmers power bill, already increased by the necessity of unusual pumping to supplement deficient rainfall also has been further increased by receding underground water levels necessitating the use of more power to lift the same amount of water. "But one sixth of the company's gross revenue is derived from the sale of power for irrigation pumping and the elimination of the agricultural schedules from those to which the emergency increase is to be applied, will therefore, not result in the addition of any material burden to other classes of consumers. In view of the conditions in the agricultural industry already discussed, it appears entirely reasonable that, during the present emergency, the agricultural consumers should be exempted from any increase in rates." INCREASING TRAFFIC That California will have to maintain full speed ahead on its highway program is indicated by the biennial agreement with appointed by the institution must be regularly conceded devised that will nish a steady revenue to produce and adequate program. DEFENSE TEST NOT M In a statement for General Chancellor standing the Nebraska 12, can be nomic disturbance munity can make it desires to fit. "The impression holiday has been War Department gained consider is entirely error Morton. "It is h that each commi tire day or at the demonstrat sible or advisable who can do what to business or fi lipate in the patriotic celebra my opinion, as is the other feature. "The primary fense test is to spect. the plans have been prepar- listing law, to me gency. "This demon s most important th These conditions have, of necessity, resulted in greatly increased operating expenses and have required a curtailment in the use of power by applicant's consumers. "It must be borne in mind that the growth of the territory is dependent upon the continuing ability of this agent of the public to meet the demands for power. This condition place applicant in a somewhat different position than other lines of industry. Applicant must not, even under the conditions such as this year presents, be forced into a financial position such as may cause serious curtailment in its essential development, which in turn would cause loss to the public because of inadequate power supply in the future." "A large community depends upon this company for the supply of electricity essential to its prosperity, and it is highly important that the company continue its development work and keep the supply of power at least abreast of the demand." The Commission's decision recites that using the estimate of earnings for the year as supplied by a group of cities, the company's net earnings this year will fall $3,703,156 below 7½ per cent return upon the rate base and that subtracting the amount accumulated from contingency reserve in previous years, the earnings still will be $2,121,965 short. "It would seem fair that the company and the rate payers share the burden imposed by this unusual condition," says the Commission. And on this basis the Commission's order provides for increased rate sufficient give the company additional revenue of $1,100,000. Regarding the agricultural consumers the Commission says, "For sev- INCREASING TRAFFIC That California will have to maintain full speed ahead on its highway program is indicated by the biennial traffic census taken in June. This indicates an increase of approximately 47 per cent over the figures for 1922, the date of the last census. Curiously enough this is equal to the increase that was recorded for the period between 1920 and 1922 and shows that the traffic expansion is keeping pace with the growth in the number of motor vehicles. The result of the two biennial checks on traffic in all parts of the state appear to indicate that there has been a constant annual increase in the use of the roads since 1920. If the future is to be judged by the past, similar growth will be recorded in 1926, making it imperative that every possible activity be employed in maintaining existing highways, widening those that are overburdened with traffic and providing new roads to relieve the more congested sections. It is pointed out by authorities on highway construction that the process is a continuous job, as old roads are constantly in need of repairs and the rapid increase in vehicles using the roads makes pressing need for additional outlays. The Automobile Club of Southern California, the State Highway Commission and various boards of supervisors after thorough investigation LUCKY STRIKE "IT'S TOASTED" CIGARETTES GET some toast You're going call Lucky Stri just right. Bee Lucky Strike rettes give you good, wholes flavor of toa Burley tobacco It’s toasted ANAHEIM GAZETTE HOW THE SANITARY WAS TAXES MORE REDUCTIONS MORE The measure of success in railroad dollar earned does not cover the cost with a margin over, the business. THE SANTA FE Maintenance of track, buildings, etc. Maintenance of locomotives, freight and train, station and switching, and other traffic agencies Fuel Salaries and expenses of clerks and other legal, valuation, general officers, pension Depreciation and retirement equipment Loss, damage and casualties Rent of equipment, joint facilities, etc. Interest on bonds and other interest charges Dividends on capital stock Taxes Balance available for expanding facilities Of the last item 3.02 cents came from so than rates so that a reduction of less than G would have wiped out the entire margin of earnings through rates. Even a decline in gross business such as this year inevitably reduces this balance of taxes because not many of the cost items can be in proportion. The adjustment between success and failure delicate one in the transportation industry welfare of the country; it should not be lightly with either by laws or by the various committees control the main elements of railroad earning. It is particularly notable in the above stated taxes were more than dividends and only... RAYMOND T. RITCHEY AND EVANGELISTIC PARTY Gpened a meeting at Long Beach Friday Nite, Aug 8. Old time Revival and Gospel of Healing. Just from great meetings South and East BIG TENT — 5000 SEATS 7th and Alamitos Sts A good many cutting remarks are being made about bobbed hair. A genuine four-fusher always has a loud voice. He recently got word from a physician friend who examined the contestants in the last Olympic Games marathon in Paris that the M.D. advised the runners to carry lime drops or other convenient form of sweets during the race in order to generate additional energy and endurance. That millions of Americans have evidently realized that sugar is a real pop giver is seen in Rolph's statement that the California and Hawaiian plant at Crockett has an annual melting capacity of 640,000 tons of raw Hawaiian cane sugar. This plant, incidentally, is the largest in the world. A ruling that will permit the division of motor vehicles to ship, at parcel post rates, automobile registration and ownership cards with license plates to points throughout California, has been obtained by Will H. Marsh, chief of the division from W Irving Glover, third assistant postmaster general. YOU NEED NOT Your Backbone will tell Me What and Where Your T GET some today! You're going to call Lucky Strikes just right. Because Lucky Strike cigarettes give you the good, wholesome flavor of toasted Burley tobacco. Guaranteed by American Tobacco Dr. Joseph H. Coleman NO OPERATIONS! NO MEDICINE WHY CHIROPRACTIC? BECAUSE—It is founded on facts. BECAUSE—It removes the cause of your disease instead of treating the effects. BECAUSE—Pressure on nerves is the cause of all sickness. BECAUSE—It is conceded to be the most effective health system known. BECAUSE—Over fifty insurance companies are now approving it. BECAUSE—Chiropractic teaches Health, "Not Disease." BECAUSE—Chiropractic restores Health without drugs, medicine or operations. BECAUSE—An analysis of your spine will reveal the true condition of your health. BECAUSE—Chiropractic will make you well when all other methods fail. Dr. Joseph H. Cole 6 Years Successful Practice in Office Hours 10 a.m. to 8 p.m. Phone 845. 250 E. The most Centrally Located Ground Floor Office in HOW The Santa Fe dollar was spent in 1923 rates more than dividends. Rate reductions more than taxes are of success in railroad business is the relation of costs to returns. If the rail does not cover the cost of earning it, the business fails. If it covers the margin over, the business succeeds. THE SANTA FE DOLLAR IN 1923 WENT AS FOLLOWS: maintenance of track, buildings, etc. maintenance of locomotives, freight and passenger cars train, station and switching, and other transportation traffic agencies carriages and expenses of clerks and other general office employees valuation, general officers, pensions and death benefits and miscellaneous preservation and retirement, equipment and ice plants damage and casualties at of equipment, joint facilities, etc. rest on bonds and other interest charges dividends on capital stock taxes finance available for expanding facilities item 3.02 cents came from sources other that a reduction of less than 6% in rates ended out the entire margin of safety from high rates. line in gross business such as has occurred totally reduces this balance of 8.79 cents, many of the cost items can be cut down between success and failure is a in the transportation industry. For the country, it should not be lightly tampered laws or by the various commissions that in elements of railroad earnings and costs. Lastly notable in the above statement that more than dividends and only a little less than all the fuel used for the System. Taxes were $20,316,491. Good service requires ample money for operation and maintenance. Even a rather substantial reduction in rates would benefit individuals so slightly as hardly to be known, while it might readily (because of poor service) cause them tremendous loss which would be quickly and keenly felt. A railroad gets money from its rates and has no other large source of supply, even though attempts seem to be made to have the public believe otherwise. Since 1921 freight rates have been almost continuously in process of reduction. Santa Fe freight earnings were decreased $14,500,000 in 1922 and $23,945,000 in 1923 from what they would have been with 1921 rates. Fe already has reduced freight rates many millions. But adequate service Good service requires ample money for operation and maintenance. Even a rather substantial reduction in rates would benefit individuals so slightly as hardly to be known, while it might readily (because of poor service) cause them tremendous loss which would be quickly and keenly felt. A railroad gets money from its rates and has no other large source of supply, even though attempts seem to be made to have the public believe otherwise. Since 1921 freight rates have been almost continuously in process of reduction. Santa Fe freight earnings were decreased $14,500,000 in 1922 and $23,945,000 in 1923 from what they would have been with 1921 rates. Fe already has reduced freight rates many millions. But adequate service is needed. It can be furnished only when fair rates provide the money needed. W. B. STOREY, President The Atchison, Topeka and Santa Fe Railway System This information was received today from Marsh who is in the east for the purpose of studying registration methods. Marsh obtained the ruling from Glover after a number of conferences with the latter in Washington. Officials of the division declare the effect of the ruling will be to save the division between $8,000 and $9,000 annually in postage charges as registration and ownership cards haveitherto been mailed as first class matter requiring an additional two cent stamp on every set of plates. Between four hundred and five hundred thousand sets of plates will be shipped out of the Sacramento office next year and the saving will be two cents on each pair. A slight reduction in overhead costs will also be made possible by the ruling. SHOULD HAVE SUPPORT Governor Richardson has made good in spite of what his critics say. California is going forward in spite of the unfounded attacks and the voters of California will see to it that Governor Richardson has the proper co-operation in the next two years, by selecting only the men who are upright, honest and sincere in the discharge of their duties for the good of all the people of California. D NOT BE SICK! and Where Your Troubles are Without Asking a Question QUESTIONS and Their Answers ONS! NO MEDICINE! NO DRUGS! ATIC? WHY COLEMAN? BECAUSE—Of his superior system of vertebral adjustments. BECAUSE—Of his six years' practice in Los Angeles, where he was one of the most prominent chiropractors. BECAUSE—He has thousands of satisfied patients. BECAUSE—He is a graduate of the noted Ratledge School of Chiropractic having the very highest of standards. BECAUSE—Each patient receives his personal attention. No one is employed to adjust his patients. BECAUSE—Of his gentle adjustments. BECAUSE—He has the most modern office and X-Ray laboratory in Orange County, with individual rest rooms. BECAUSE—His rates are reasonable including complete X-Ray of your back FREE with course of adjustments. H. Coleman, Chiropractor Successful Practice in Los Angeles. n. Phone 845. 250 E. Center St. Ground floor Anaheim and Floor Office in Anaheim