|
R. C. P.
<br />
<br />J~t!y 29, 1919
<br />
<br />earn its interest or dividend c_harges, coEin~ short of meeting its ex_cerises..
<br />
<br /> "Early in tile y~ar the Postmaster-General, to improve such condition, inaugurated certain
<br />rate increases both toll and exchange, the net result of which will be to show an ann~al earning
<br />o£ 2.19 per cent on the value of property if same be eonti~u, ed throughout a full year. This is
<br />manifestly insufficient to maintain the credit of the Company, and to i~,prove this condition
<br />the Company is today filing with the State Corporation Comm~ission new schedules which will in-
<br />crease the earning power of the Company in Virginia to approximately six per cent. Such new
<br />schedules are designed to distribute equitably the charges for service among the various communi-
<br />ties of the state and the different classes of subscribers in each conmmnity.
<br />
<br /> "For your city the rates made effective by the Postmaster General and the proposed rates for
<br />i~di~idual and party line service to be substitubed theref6~ are as follows:
<br />
<br />Btls ine s s
<br />Residence
<br />
<br /> ~.ost~ster General's Raters
<br />Individual 2-Party 4-Party R~ural
<br />$s4 $60
<br />4B 3~ ~4. -
<br />
<br /> Proposed Rates
<br />
<br />Business 96 ~2 42#
<br />Residence 48 39 30*
<br />
<br />#Message rate servic~ - 50 local messages per month.
<br />Additional messages 5 cents each.
<br />
<br />*Message rate service - 40 local messages per month.
<br />Additional messages 5 cents each.
<br />
<br />Other rates correspondingly increased.
<br />
<br /> "Pending an investigation of the rates throughout the State by the Corporation Commission,
<br />it is ou~ desire that the rates now in effect as established by the Postmaster General be con-
<br />tinued. In view of such rates yielding but 2.19 per cent on the value of the property, and in
<br />view of the further fact that the Congress o~ the United States, in the Act returning the proper-
<br />ty to its owners, expressly provides that tD~ rates fixed by the Postmaster General shall remain
<br />in force for a period of four (4) mohths from the return of the property to its owners, unless
<br />sooner modified by a regulatory body, it would seem but fair and proper that such rates remain
<br />in effect until after full and complete consideration has been given to the rates proposed by
<br />the Company. TO attempt a ret~n to the rates in effect before the war would in view of increas-
<br />ed operating costs de~troy the credit and standing of the Company, as such pre-war rates would
<br />not now produce sufficient revenue to meet operating expenses, with no allowance for interest
<br />and dividends.
<br />
<br /> "It is therefore asked that you accept this notice of the Cor~a~y's ~proposed action and that
<br />you co-operate with the State Corporation Commission ~u the investigation and consideration o~
<br />this rate matter and other related subjects, so that there may be established a harmonious and
<br />consistent scheme of rates throughout the State, which, while ins~vir~ to the patrons of the
<br />Company reasonable rates, will still afford the Company sufficient revenue to properly operate
<br />and m~intain its system, and also invite and sec~re the necessary new capital to take care of
<br />growth and development of the business.
<br />
<br /> "The Company will be glad to have its representatives T~eet and confer with your representa-
<br />tives and officials and to furnish such information as may be helpful to consider this subject.
<br />In the meantime, we trust you will acquiesce in continuing the Postmaster General's rates in
<br />effect pending the final determination of this matter.
<br />
<br />"Respectfully submitted,
<br />
<br />~. H. Rush!er,
<br /> Vice-President and General Nanager ."
<br />
<br />"To the Honorable City Council,
<br />
<br />?Portsm~ath, Va., July 29th, 1919.
<br />
<br /> Portsmouth, Virginia.
<br /> "Gentlemen: -,
<br /> I notice that the first item for whidh the special meeting of Council was call-
<br />ed to be held on ~uesday, July 29th, 1919, at 8 P. N., ie the ~elephone situation in Ports~outh.
<br />
<br /> =As t view the situation, Portsmouth is large enough, estimated population 80',000 to have
<br />a separate telephone directory; also I have repeatedly insisted that we have a separate and dis-
<br />tinct manager for the Portsmouth division.
<br />
<br /> "At present if we desire to maEe a complaint, we ~have to talk to ~the lady in charge, and
<br />are then referred to the Norfolk officia!s. This situation for a thriving and growing City is
<br />unbear6ble.
<br />
<br /> "Insof~as the City telephones are concerned, during this recent strik~ the Company has
<br />given special service to the most important telephone of the City officials, although we have
<br />not been reached by the outside public, yet the ~erv~ces rendered since the operators have been
<br />instructed td pay particuls~ attention to t~e City telephones, we have been getting fairly good
<br />service.
<br />
<br />"Just what ri~hts the City has +~o band%~ the ~+.~. ~+.,~+.~ ~+~h +.~ ~,~=,~ ~***~,~,
<br />
<br />
<br />
|