Opinions and Decisions of the Railroad Commission of the State of Wisconsin Volume 13 (Paperback)

This historic book may have numerous typos and missing text. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. Not indexed. Not illustrated. 1914 Excerpt: ...operation in 1908; the Rockford and Interurban Railway Company, running between Rockford, 111., and Janesville, changed over to a distance basis last year; and the three interurban lines operating between Oshkosh, Fond du lac, Neenah and Omro in the region of Winnebago Lake have filed an application-witli the Commission to change their five-cent zone rates to a mileage basis. The application of the railway companies in the instant case for authority to abandon the five-cent zone system and place the rates on a more uniform basis is in line with this general change. In this state and in the states of Minnesota, Iowa, Illinois, Michigan, Indiana and Ohio returns show that of eighty-three electric interurban companies more than one-half now operate under some form of mileage rate. And it may be stated that the Pennsylvania and New Jersey state railroad commissions have declared in favor of the mileage basis. It has been contended that the basic rate in this case should be placed upon a cost-of-serviee basis. Computations in the matter City of Milwaukee vs. The Milwaukee Electric Railway and Light Company, 1912, 10 W. R. C. R. 1, 282-283, Table 82. show that the rate of return upon the total interurban physical property amounted to 3.10 per cent in 1908, 3.C5 per cent in 1909, 1.84 per cent in 1910, and 2.35 per cent in 1911. Similar computations for 1912 show the per cent return to approximate 1.6 per cent. These facts indicate that when 7.5 per cent is considered a fair return the rates of return as quoted for the past five years have fallen considerably below an adequate return. To bring the revenues to the point where they would yield such a return for 912, for instance, it would be necessary--assuming that the probable decrease in traffic would not occur--...