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THE DAY BOOK
- N. D. COCHRAN
EDITOR AND PUBLISHER.
SOO SO. PEORIA ST. CIIICAGO, ILL.
T--7--t Editorial. Monroe 333
lelepnoneS Circulation. Monroe 3S2S
SUBSCRIPTION By Carrier In Chicago.
30 cents a Month. By Mall, United
States and Canada. 3.00 a Year.
Entered as second-class matter April
21. 1914. at the postofflce at Chicago.
I1L, under the Act of March 3, 1879.
TIME TO ORGANIZE. It was
brought out during the street railway
arbitration hearing that the city
would have to pay $145,000,000 for
the surface lines if they were to be
taken over NOW, while the price in
1907 would have been but $55,000,
000. In his final message to council,
dated April 3, 1915, Former Mayor
Harrison explained this situation and
the financial jugglery which brought
it about He said:
"By evolving the ingenious plea
that the companies are entitled to a
theoretical depreciation of power
plants which do not exist, but which
they would be forcedto maintain if
they did not buy their electrical cur
rent from the Commonwealth Edison
Co., by charging to capital- account
instead of to the individual accounts
of the companies, the costs of paving
rights-of-way, by computing interest
) on items properly charged to capital
account and paying such improper in
terest from gross receipts and by
dther improper charges, the finan
ciers, if the corporation counsel is
right in his contention, have BILKED
THE PUBLIC OUT OF MILLIONS
Mayor Harrison enumerated such
items and brought up "the total
amount improperly charged, accord
ing to the accountants' reports, toi
$13,393,355.32, of which approxi-
mately $10,000,000 was improperly
charged to capital." -i
In -conclusion, Mayor Harrison? j
said: "The more I see of private own- -
ership of public utilities the more I
am convinced that there is but one
safe and sane plan for the public to
adopt, namely, to set its mind with.?
determination upon public ownership
and not to deviate by a hair's-breadtn.
from the most direct course by which,
it may be attained.
"Private management is interest-1
ed in profitable operation. Economy
of operation and inferior service con
tribute unfailingly to increased prof
its. Economy of operation consists
chiefly of low wages and long hours ,
for all employes except the higher of
ficials. Private management, more
over, can be made profitable by all
the devious ways and schemes known
to the modern and up-to-date finan
cier. The surface lines are paying
their stockholders a dividend of 5 per
pent upon a valuation of which $40,
000,000 at least is represented by no
physical property whatever. This is
a part of the price the people paid
for the 1907 ordinances. An addi
tional 5 per cent is paid upon all the
additions to the capital since 1907,
so cleverly evolved by the companies
with the approval of the board of su
In that same message Mayor Har
rison shows that the total expenses
of that interesting board of supervis
ing engineers, which was placed on
Chicago's back by the' 1907 ordi
nances, have been $1,519,219.74 from
Feb. 1, 1907, to Jan. 31, 1915.
For services and expenses Bion J.
Arnold and the Arnold Co. were paid
$348,147.09 from 1906 to 1915. Ar
nold is chairman and chief engineer
of the board.
The-amount paid George Weston
as 'citS representative and assistant
engineer of the board during the
same period was $143,552.46.
The next move the traction mag
nates will make will be the unifies-