THE BKE: OMAHA, MONDAY, MARCH 9, 1914.
TO THE VOTERS
OF THE CITY OF OMAHA
The officers of the Street Rail
way Co. will take no , part in the
pending election on the question of
seven fares for a quarter other than
to make a plain and truthful state
ment to the voters through the
press of certain facts, which should
be carefully considered by all who
vote on this proposition.
C
. The average cost of transporting
passengers on the lines of the Street
Railway Co. in Nebraska during the
past seven years has been 4.43 cents
for each passenger. This cost in
cludes operating expenses, taxes, deL
preciation and interest on bonds,! but
no dividends whatever to the stock
holders of the company. If the pro
posed rate of seven fares for 25c had
been in force during this period of
seven years the Street Railway Go.
would have lacked .86 of a cent
on every fare collected of having
earned enough to pay its fixed
charges. Applying this to the opera
tions of the company for the past
year ending December 31, 1913, 4:his
company would have lacked $408,
962.12 of having earned enough to
jpay its fixed charges, to say nothing
"of v?iny; dividends whatever to its
stockholders.
" ' 11
. ..The policy of the StreetRailway
Co. for, ten years past has been one
of constant and intelligent expansion.
During this period the S treet Railway
Co. fras expended on its lines for ex
tensions and betterments the tojal
of $4,474,951.16, or an average of
about $450,000 per annum. These
large expenditures have been made
in response to the urgent petitions of
improvement clubs and citizens gen
erally. The extensions of our lines
have greatly increased the value of
property and brought cpnvjenience.to
the homes of thousands of
'citizens-- -
Qur
During this period of ten years
nearly ' every line in the city of
Omaha has been rebuilt, small cars
have been replaced with large mod
ern double-truck cars, 270 cars have
been either built in our shops or pur
chased during this period and placed ,
.in service on our lines.
All these improvements have been
made because the earnings of our
company were such as to give.it
credit knd standing in the financial
markets of the country, necessary to .
sefcure the large sums of money re
quired. During this period the wages of
our men have been increased no less
than four times, making a total
average increase of about 30 per
cent. The taxes levied against the
property of the Street Railway Go.
have been increased from year to
year until at present, including the
occupation iax paid to the City of
Omaha, fKe Street Railway Co. is
paying taxes at the rate of $243,
378.78 p6r annum.
A few years ago an occupation
tax of 3 on the gross earnings of
company was levied by the City qf
Omaha. This tax last year amounted
t9 $60,682.46.
The Street Railway Co. has been
able to bear all these large and in
creasing burdens during this period
and maintained its credit only be
cause it has been permitted to ern
sufficient money to pay promptly all
its obligations. If the proposed re
duced fares had been in force during
this period I do not hesitate to say
that the company could not have
made any of these improvements nor
could it have made any increase in
the wages of its employee. By ne
cessity it would today be operating
old, dilapidated out-of-date cars, over
rough tracks instead of the fine first
class service it is giving to this com
I am satisfied that the intelligent
voters of this city want better ser
vice and extension of our lines rather
than reduced fares. It will be abso
lutely impossible for this company
to continue its policy of extensions
and betterment if forced to reduce:
its fares as proposed at this time. 5
r
We have on file no less than fit.
teen petitions signed by thousands
of citizens asking for extensions of
lines to be made during the present
year. Nineteen improvement clubs
in-all parts of the city have passed
resolutions opposing reductionist
fares and favoring extension9 of lines
and betterment of service. The city
of Omaha is scattered over a vast
area wnicn reauires more service
from all its public service corpora
tions than the thickly populated
cities in the states easfof us, some'
of which have adopted lower street
carfares.
There are some citizens who are
foolish enough to believe that exten
sions will continue to be made and the
wages of our men continue to increase
even with a reduction of fares as is
proposed. I warn all who . entertain
such ideas that this will not be possi-
V. ble, that if the proposed reduction of
fares is forced on this company its
only alternative will be to curtail ex
penditures on every hand, to stop all
V extensions and increase of Service,
and to furnish to the people of Omaha
v A the kind of service that is being fur
nished in many other cities where
Hower fares prevail. I do not believe -such
a condition will be conducive to
the growth and development of our
city, nor do I believe that -the people
of Omaha want such a condition. I
sincerely hope for the good of our city
that it will not pass at the coming
election.
. G. WWttles, President.
V V
The Omaha
Council Bluffs Street Railway Company
