KANSAS. Public Utilities Commission. In re PETITION OF THE PATRONS OF THE LONE ELM TELEPHONE EXCHANGE TO ABOLISH THE 5-CENT TOLL CHARGE BETWEEN LONE ELM AND KINCAID. Docket No. 5832. Decided December 22, 1923. Application by Patrons to Discontinue Toll Charge Denied. ORDER. Now on this twentieth day of December, 1923, this cause comes on for hearing before the Commission at Kincaid, Kansas, Commissioner C. E. Rugh sitting; and thereupon the said applicants, the subscribers of the Lone Elm Telephone Exchange, appear in person and by J. Q. Wycoff, their attorney, and the evidence is introduced before the Commission, after which the said cause is taken under advisement. And now on this twenty-second day of December, 1923, this cause comes on for final consideration and order by the Commission; and the Commission after having reviewed the evidence and after having been fully advised in the premises, finds: 1. That the revenues derived from the operation of the telephone exchange at Lone Elm, Kansas, are not now sufficient to pay the running expenses of said telephone exchange and allow anything for depreciation to plant or interest on the investment. 2. The Commission finds that a 5-cent toll charge for messages between Lone Elm and Kincaid is reasonable, just, fair and equitable, and that the collection of such 5-cent toll charge is necessary for the production of sufficient revenue to operate said exchanges. Now, therefore, it is considered and ordered by the Commission, That the application of the applicants filed herein, asking for a discontinuance of the charge of such 5-cent tolls between the exchanges at Lone Elm and Kincaid be, and the same, is hereby denied. December 22, 1923. [Kan. In re APPLICATION OF THE WINCHESTER TELEPHONE COMPANY Docket No. 5732. Decided December 26, 1923. Increase in Rates Authorized Depreciation Charges Established. ORDER. On the twentieth day of November, 1923, this cause came on for hearing before the Commission at Winchester, Kansas, Commissioner C. E. Rugh sitting, and thereupon there appeared the said applicant by R. H. Shove, its manager and proprietor, and L. M. Kraege, his agent, and thereupon testimony was introduced before the Commission and after the evidence was all in, the said cause was taken under advisement. Now on this twenty-sixth day of December, 1923, this cause comes on for final review and order by the Commission, and the Commission, after having reviewed the evidence and being fully advised in the premises, finds that a reasonable, fair and just valuation of the applicant's telephone plant, including all property which is used and useful for the operation of the same at Winchester, Kansas, is $15,000; and that a reasonable, fair and just amount which should be allowed the applicant for the purpose of carrying materials and supplies, is $500; and that a reasonable and fair working capital should be allowed of $500, making a total value for rate-making purposes of $16,000. L. 146] The Commission finds from the evidence that under the present rates charged to subscribers of the said telephone exchange, the said applicant receives a total of approximately $5,000 per year, and that the total expense of properly operating the said applicant's plant at Winchester, Kansas, amounts to approximately $5,500 per year, leaving nothing to cover depreciation of plant and return on the value thereof, and that said returns are wholly insufficient and inadequate to pay a fair rate of return upon the investment in said plant and to make any sufficient allowance for depreciation in the plant. The Commission further finds from the evidence that the applicant should be allowed such rates as will produce, after the payment of the actual operating expenses of said plant, 6 per cent. on the $15,000 value of the plant to cover depreciation of the same and 7 per cent. return upon the total investment of $16,000 to cover return upon the investment. The Commission further finds from the evidence that, if the rates applied for are granted, they will produce a total revenue of $7,350, provided there is no loss in subscribers and that, deducting therefrom the sum of $5,500 which the Commission deems is necessary to be spent for the operating of the said plant, leaves a balance of $1,850 to cover both depreciation and return. The Commission further finds that $900 of the last-named sum should go into the depreciation reserve fund of the said applicant each year in monthly payments of $75.00 per month, and that the applicant will then have approximately $950 as return upon the value of said plant, which is slightly less than 6 per cent. return on the value thereof. The Commission finds from all of the evidence that the rates applied for as set forth in the application of the applicant are reasonable, fair and just. Now, therefore, it is considered and ordered by the Commission, That the said applicant be, and is hereby, allowed to file and put in force, from and after January 1, 1924, the following schedule of rates, to wit: It is further ordered by the Commission, That said applicant carry on its books an account known as a Depreciation Reserve Fund, to which said fund shall be debited the sum of $75.00 monthly, and out of said fund shall be paid only such moneys as are paid for retiring the actual cost of the physical plant retired, plus cost of removal, less salvage. Said applicant shall file with this Commission, within thirty days after June 30 and December 30 of each year, a verified statement showing all receipts entered in said Depreciation Reserve Fund and all disbursements made out of said fund, showing in detail the items paid for out of said fund. December 26, 1923. MICHIGAN. Public Utilities Commission. In re APPLICATION OF THE UNION TELEPHONE COMPANY FOR AUTHORITY TO INCREASE RATES. T-223. In re APPLICATION OF THE CLINTON TELEPHONE COMPANY FOR AUTHORITY TO INCREASE RATES. T-422. In re JOINT APPLICATION OF THE UNION TELEPHONE COMPANY AND THE CLINTON TELEPHONE COMPANY FOR AUTHORITY TO SELL AND EXCHANGE CERTAIN TELEPHONE PROPERTIES. T-423. Decided December 26, 1923. Exchange of Telephone Properties Approved-Discontinuance of Exchange Authorized Rates Established. The Union Telephone Company in Case No. T-223, applied to the Commission for leave to increase its rates at its several exchanges among which was the exchange at St. Johns. The city of St. Johns objected to an increase in rates unless a consolidation was brought about of exchanges in the city between the Union Telephone Company and the Clinton Telephone Company. Under date of December 5, 1923, the Commission entered an order on the application granting the prayer of the applicant in part, but which order did not in any way affect the rates at St. Johns. No opinion was filed in the case accompanying the order, but said order did contain the following clause: "It is further ordered, That until a merger shall be made between the Clinton Telephone Company and the Union Telephone Company of the telephone lines and facilities in St. Johns and vicinity, the present rates remain in full force and effect, subject to such other and further order as the Commission shall make in relation thereto." See Commission Leaflet No. 145, p. 174. |