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About The Sunday Oregonian. (Portland, Ore.) 1881-current | View Entire Issue (Aug. 11, 1912)
THE SUNDAY OREGOXIAJT, PORTLAND, AUGUST 11. 1312. 14 U'REN IDEA MEANS EXPENSE TO PEOPLE Thoughtful Ones See Fallacy of Single Tax Scheme, Says Shields. "CONSUMER FOOTS BILLS" Secretary of Equal Taxation League Shows Injustice "Which Proposed legislation mil Work on Poorer Classes. BY CHARLES H. SHIELDS. (Secretary Oregon Equal Taxation League.) Thoughtful people all over the State of Oregon are now considering one fea- the Portland Railway. Light & Power Company T I venture to say that' 75 per cent of the patrons are laborers, mechanics and average business men. The rich and the well-to-do have their automobiles and enjoy the roads constructed by the farmers and the lot owners. To sum up the situation: This J225, 000 must come from the common people. In Seattle a telephone company was granted a franchise. The rate estab lished in the franchise was i4 for a main phone. The company asked for a hearing of the public service commis sion. It showed the commission that It was not earning an average rate of interest on its Investment. In the face of the franchise rate, the commission authorized an advance of some 20 per cent in the telephone rate to Justify a reasonable interest return on the investment, holding that if the rate charged by the telephone company was excessive, the commission had a right to reduce the rate and where it founa the rate charged did not give a reasonable return for the money in vested, it had a perfect right to in crease the rate. This is but fair and honest. Honesty and fairness are what the public Is demanding. When 'we have a public service commission tn Oregon any ex cessive tax upon public service corpor ations will be an indirect tax; upon the people. Only, a few weeks ago in Northern California the public service commis sion authorized an increase In the serv ice rate of a public service corporation. DIVORCEE TO PLEAD Mrs. Brown to Tell Governor West Her Side of Story. EXTRADITION IS FOUGHT Beauty, Charged With Coaxing $17, 000 From Aged Admirer, Thinks Accusation Unjust--Com pan ion Files Habeas Corpus Writ. Mrs. Alice Brown, the beautiful di is heins- held in the county jail for the San Francisco police as a fugitive from Justice., the charge be ing that she coaxed $17,000 from David Nappln, a wealthy retired farmer or n- ti i Mi anrAa, In nAranli T n m nrm W llliuia, i' " - - before Governor West, at Salem, to plead ner cause. hub a t i c MORE TAXES, HIGHER RATES. PVER COMPANY l o ' BVPU'L)C' ' ture of the proposed graduated single tax which does not seem even to have been considered by Mr. U'Ren and his friends in the efforts they are mak ing to foist a scheme of taxation on Oregon In place- of the rational, com monsense system offered in its three amendments by the state tax commis sion. Such public service corporations as the Portland Railway, Light & Power Company, and its equivalents in Eugene, Astoria. Roseburg, Baker, Salem. Med ford, Oregon City and other progressive Oregon cities will retaliate very quickly to legislation that will take away all power of their returning a dividend on ' the capital Invested. The forthcoming Public Service Com mission in Oregon will be forced, as have public service commissions in other states, to so regulate rates that a fair rate of interest may be returned on the capital Invested. Consumers Pay the Bills. Therefore, it is not difficult to show that under single tax, or graduated single tax, call it what you will, there will quickly follow an era of high elec tric light and power rates and high trolley rides. For It must always be remembered the consumer pay the bill. To Illustrate Suppose the Portland Railway. Light & Power Company's books should show to the satisfaction of the commission a legitimate invest ment of $4,500,000 in operating equip ment, including tracks, buildings and everything of that nature, and . in ad dition thereto another $500,000 in var ious investments in connection with the operation of their business. This would be a total Investment of $5,000,000. Public service commissions in other states have established a precedent allowing public service corporations a net earning power of 6 per cent on their investment, which will be the rule in Oregon. This would necessitate a net earning of $300,000 per year. To make this illustration clear, we will assume that $300,000 is exactly what the commission finds to be the net income of the Portland Railway, Light Sc. Power Company. The present tariff then would be found not excessive but exactly right to permit the company to earn its 6 per cent. Injustice Is Shown. Now, let us suppose that the gradu ated single tax amendment should be adopted. Under the application of this grad uated single tax, according to the ad vocates of the measure, the water power in Clackamas County owned by the Portland Railway. Light & Power Company would be assessed at $8,000, 000 exclusive of all improvements whatever. Under the graduated single tax scale of taxation the Portland Railway. Light & Power Company would be compelled to pay $225,000 taxes in addition to the taxes it has heretofore paid. The earning power of the company would be no greater under the grad uated single tax system than under the present. On the contrary, it would be less, consequently, its net earnings would be reduced from $300,000 to $75, 000. . The Portland Railway, Light & Power Company would, of course, ask for a hearing of the public service commis sion to determine the necessary In crease in the service tariff to make up this loss. The commission-would be compelled to allow an increase in rate so that the net earnings under the new system might be $300,000 to Justify a 6 per cent interest on the investment. Patrons Pay After' All. In this event, who has paid the $225, 000 which the advocates of single tax are so anxious to have? Not the Port land Railway. Light & Power Com-pany-but its patrons. Who are the people who patronize so as to permit it to earn 6 per cent on the Investment. Suppose this cor poration was subject to the graduated single tax amendment, the rate would have been established so as to take care of the extra tax. The people would have It to pay. There is no way of escape. RAILROADS FAIL TO AGREE Question of First-Street Switching Charges Still Unsettled. Failure again met the efforts of the rival Hill and Harrlman railroad in terests yesterday, when they endeav ored to reach an agreement on switch ing charges on East First street Fur ther conferences with Mayor Rushlight probably attending will be held. The Mayor seeks to have the two lines settle the cost of switching on East First street, in which the South ern Pacific has a franchise and tracks, so that this street need not be In cluded in the proposed franchise of the Hill interests. Franchises also are being sought on East Water street, where the Portland Railway. Light & Power Company has a track. B. S. Josselyn, president of the traction com pany, offers to do the switching for both the Hill and Harrlman lines, if no further franchises are granted on that street. LOW RATES EAST. Agust 12th is next sale date for Eastern excursion tickets Via Cana dian Pacific Lines. Ticket office Third and Pine (Multnomah Hotel bldg.) . quest of John Manning, her attorney, who desires that the Governor should hear her side of the story first hand, before deciding if he will grant extra dition papers. John E. Dolan, a police detective of San Francisco, yesterday arrived in Portland with requisition papers signed by Governor Johnson, of Cali fornia. He is armed with a warrant demanding the arrest of Mrs. Brown on a charge of grand larceny, the specific accusation being that she secured from her aged Illinois admirer, $3900, with which tn purchase a rooming-house in San Francisco, and decamped with the money. Montrose Wants His Liberty. Attorney Manning, who also repre sents George Montrose, the woman's companion, who was arrested with her, has started proceedings in Circuit Court to secure the release of Montrose on a writ of habeas corpus. He filed application for the writ yesterday. It Is made returnable before Circuit Judge McGinn Tuesday morning, at 9 o'clock. By that time the police and Sheriff Stevens must show by what authority they are holding Montrose a prisoner. So far no charge has been preferred against him. "We have turned Montrose's case over to the Federal authorities at San Francisco." said Detective Dolan. "An investigation is now being made, I un derstand, to find out whether the United States white slave statute can be put into operation against him." Strenuous efforts will be made to morrow fo Induce Governor West not to sign the extradition papers. Attor ney Manning contends that it was no crime for the woman to accept money, no matter how large the amount, from Nappln. What the Record! Discloses "The same policies that we have followed in our California enterprises will be pursued in our operations in Portland," said Mr. Fleish hacker Oregonian, August 9, 1912. We are informed that the promoters back of the North western Electric Company, now seeking a franchise in Portland, Sold out to their competitors in Stockton, California, October, 1910, at an enormous personal profit to themselves. That in Northern California, in the Spring of 1912, by transferring the stock of The Sacramento Valley Power Company to the Northern California Power concern, competi tion was eliminated and these same interests received an enormous profit for the transfer. That in San Francisco, in the Fall of 1911, the City Electric was sold to the Great Western Power Company at an enor mous profit to these same interests. Do you want the "same policies" followed in Portland? How can the people of Portland prevent it when their generating plant is located in another state? Portland Railway, Light & Power Company SPEAKER USES AUTO Candidates Find Machine Use ful in Campaign Trip. MORE TOWNS ACCESSIBLE Paget and Stlllman Discover Motor Car Advantageous in Conduct ing Tour of Washing, ton County Cities. The advantage of the automobile In political campaigns In cities has been ho well established that It no longer possesses any novelty. The use of the CANDIDATE WILL CAMPAIGN THROUGH STATE IN MOTOR CAR. B IEE PAGET. PROHIBITION CANDIDATE FOR UNITED STATES SENATOR, AND O. A. STIIXMAN, CAN DID ATE FOR CONGRESS, BEGINNING THEIR AUTOMOBILE TOUR I.AST WEEK THROUGH WASH INGTON COUNTY AT SHERWOOD. automobile in the conduct of cam paigns covering wide areas frequently away from railroads, is far less com mon and is another indication of the tremendous superiority of the motor car to methods heretofore in use. B. Lee Pagret, Prohibitionist candi date for United States Senator, and O. A. Stlllman, candidate for Congress from the First District, returned Wed nesday from a two-days' automobile tour of Washing-ton County, having visited 15 towns In that time and hav ing covered approximately 160 miles. The average distance between towns was about seven miles. A five-pas- sensrer Cadillac machine was used. BeKlnninsr at Sherwood Monday, Mr. Pas-et's Dartv visited Tualatin, TIgard, Beaverton, Reedvllle, Cornelius, Hills bnra with a. niKht meetinjr at Orenco. On Tuesday, Messrs. Paget and Still man sDoke from their automobile, at street meetings, held at Iorth Plains, Buxton. Banks. Dilley. Gaston, Cherry- grove and Forest Grove. Throughout the trio not the slightest mishap oc curred, and the schedule prepared at the headquarters of the Prohibition nartv in Portland, was followed in every detail. At all of the towns there was a much larger attendance at the street meetings than would have been the casa had the old custom ot meet' lngs in the town hall been followed. As the automobile entered the main street a megaphone announced the comlnar meeting and in a short time a rrowH gathered. The tour through Washington County was the beginning of an automobile campaign wnicn Mr. Paget and his committee Intend to carry on in every county in the state. Portland Merchants Invited. The merchants of San Francisco have extended an Invitation to Portland business men to attend a fashion show, to be held in San Francisco, September 6-6-7. The show will be given under the auspices of the Retail Pry Goods Association of San Francisco, and dele gates will attend from Seattle, Spo kane, Los Angeles and other cities to take up matters of Interest to all merchants on the Pacific Coast. Graham County. Arizona, has a jail cat out of the id of a hill of aolld rock. The loopholes for ventilation were opened by blaati. There la no way of eacapa from the prlaon except by the door at the front. SUMMER COLDS Are Considered by Doctors More Dan Serous Than Winter Colds. A person Is quite as apt to catch cold In the 6ummer as In the winter, but ii is harder to core a cold In the summer than in the winter. In winter the brac ing air assists the remedy to overcome the cold, but the sultry, depressing weather of summer retards the core oi colds. The public is much interested In knowing a remedy that will successfully cope with summer colds. A remedy that covers just such cases is Pernna. Experience has taught that It is the one remedy that promptly expels sum, mer colds of every character and do1 scription. ' '- Miss Ivy Gray, Tairview, Ky says: "I have taken Feruna, and would say that it is the best medicine for coughs and colds I ever saw. I find that 11 always cures a cold in a short while. Ii also strengthens and builds up the system." SPECIAL NOTICE Many persons are making Inquiries for the old-time Peruna. To such would say, this formula is now put out under the name of KA - TAR - NO, manufactured by KA-TAR-NO Company, Columbus, Ohio. Write them and they will be pleased to send you a free booklet. Fighting the Trust $l.SO Carload buying makes this price ' possible. We have 500 of these castiron white porcelain lavatories, that are all in first-class condition, that we will sell for one week only at this price, $1.50. We carry a large and complete line of plumbing supplies and can positively Save you money. All goods guaranteed absolutely first class. J. SIMON & BRO. f The. Trust Busters" FRONT AND GRANT STREETS Take "S" car going south on Third, get off at Tirst and Grant and go one block east.