The Commission further finds that the Wilsey telephone exchange is connected with the Southwestern Bell Telephone Company's long distance lines and that regular tolls are charged for talking over such lines, and that the said Wilsey telephone exchange receives its per cent. of all originating tolls as customarily paid by the said Southwestern Bell Telephone Company.

The Commission further finds that under the old rates that have been in force, the said telephone company receives approximately $2,100 per year in revenues and that its expenses are approximately $2,100 per year, leaving nothing for interest on the investment nor for depreciation.

The Commission further finds that the stockholders of said association at their last annual meeting instructed the board of directors and officers to build metallic lines between the Wilsey exchange and those at White City and Council Grove, and that this has been done at a considerable expense, and that the said company has no money with which to pay the cost thereof, and that it is the desire of said company to raise the rates as asked for in this petition for the purpose of producing more revenue so as to enable the said company to pay the expense of the construction of the said lines.

The Commission further finds that the applicant, the Wilsey Telephone Company should be, and it is hereby permitted to file with this Commission a new schedule of rates, charging all of its subscribers the sum of $3.00 per quarter, payable quarterly, and that said new schedule of rates shall be in force from and after the first day of January, 1924.

January 3, 1924.

[Kan.

. L. 147]

In re APPLICATION OF THE AMERICAN TELEPHONE COMPANY FOR A CERTIFICATE RELATING TO A PROPOSED ISSUE OF CAPITAL STOCK.

Docket No. 6146.

Decided January 24, 1924.

Issue of Stock Authorized.

CERTIFICATE.

Now on this twenty-fourth day of January, 1924, this cause comes on for hearing before the Commission at Topeka, Kansas; and thereupon the said applicant appeared by C. D. Ford, its manager, and A. M. Elsiminger, its president; and thereupon the applicant presents its evidence and testimony before the Commission; and the Commission upon consideration of said application and evidence, and being duly advised in the premises, finds that the applicant is authorized by its charter to issue $100,000 of capital stock, and that it has $85,560 of capital stock outstanding.

The Commission further finds that it is necessary for the applicant to issue $14,440 of capital stock for the purposes set forth in its application, and that a certificate required by law as hereinafter set forth should be issued herein.

It is, therefore, by the Commission considered and certified:

1. That the amount of capital stock to be issued by The American Telephone Company is $14,440, described as follows: 144-2/5 shares of common stock.

2. That the purposes for which said capital stock is to be issued are:

3. That the terms upon which said capital stock is to be issued are for cash at par.

4. That the application herein is in due and proper form as by law required, and that the statements contained in said application, so far as by law required to be therein contained, have been ascertained to be true.

January 24, 1924.

Ka

MISSOURI.

Public Service Commission.

In re SUSPENSION OF RATES OF THE HOME TELEPHONE COMPANY FOR ITS EXCHANGE AT CENTRALIA.

In re COMPLAINT OF THE CENTRALIA CENTRAL FARM CLUB v. HOME TELEPHONE COMPANY.

Value Determined

Case Nos. 1888 and 2926.

Decided August 6, 1923.

Application for Increased Rates Granted in Part and Denied in Part.

REPORT.

This is a proceeding to determine the value for ratemaking of the property of the Home Telephone Company of Centralia, Missouri, and grows out of increases and adjustments in rates authorized by the Commission to enable the company to meet the emergency of high operating costs brought about during the period of the World War.

Hearings were held at Columbia, Missouri, on the seventh day of June, 1923, and at the office of the Commission at Jefferson City on the twenty-seventh day of June, 1923. The case was submitted on the evidence.

Arthur Bruton of Centralia conducted the case for the company and A. C. Whitson of Mexico appeared for the Centralia Central Farm Club, the complainant in Case No. 2926.

Some preliminary comment is required upon evidence introduced by said complainant which is not exactly within the scope of the valuation case. It stands admitted that the company has charged certain of its patrons in excess of the rates prescribed by the Commission for rural line service upon the ground that said subscribers were fur

nished telephone instruments which cost more than those in general use. All such overcharges were unlawful and must be promptly refunded to subscribers by the company, otherwise the Commission will be justified in proceeding against the company for penalties as provided by

law.

There was also evidence of unsatisfactory service to some of the rural line subscribers. If the company does not respond promptly to complaints of bad service when made by subscribers to the company, then complaints of that kind should be made direct to the Commission as the basis of a separate proceeding, and are not properly a part of this valuation case.

The company is not seeking any change in its rates, except as to those subscribers who receive Class B and Class D rural line service. The Commission has heretofore fixed a maximum rate of $15.00 per year for subscribers who receive Class B service. In that class of service. the company furnishes and maintains all poles, wires and equipment. In Class D rural line service the company furnishes all equipment, except the telephone instrument which is supplied by the subscribers. The Commission has heretofore prescribed maximum rates for Class D service at $10.00 per year and for Class B service at $15.00 per year. The company contends that the rate for Class B service should be fixed at $18.00 per annum and the rate for Class D service at $16.00 per annum, inasmuch as the company furnishes extra instruments to city subscribers at $3.00 per year and is required to maintain the lines of said Class D subscribers to a distance of 15 miles from the central office.

The Home Telephone Company of Centralia is a corporation organized under the laws of this State. In 1905 the company succeeded to the ownership of the telephone exchange at Centralia and in the vicinity thereof. The par value of the outstanding capital stock of the company is $60,000. The company furnishes exchange service at Centralia to 73 business and 350 residence subscribers and also

[Mo.