Ord 1017 2/25/1929 Uri
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LE 1 `` ,s� nT 1,,T: -RIGHT 1C CH AGE ALL
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TO Ti�Eir nt , �CIUUL CHILDTEN) ti FAR�QUI{ SEVLI� GE�dTS 011
PASSEIITG FRS ,�;t,�P i
ITS ELECTRIC STREET 1-L1IL{'TAY LI',\7M FOR A P�IUD !. SIX T?U�-NI'71
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BE IT OBDAIND EY TFE POLED UP �ALD110!TEN 01{ `I TE CITY OF
'#I CII`TA ELLS, TE1AS
Section 1.
That the 'Aichita Fills 'fraction Corspany fie, and it is
hereby, authorized to ct-,arg'e on its electric street cars a tare
of seven cents '`or each passenger (except scl ool children) .
Section 2.
T?-.is ordinance shall continue ill force for a period of
six months from and after its fi al passage , i -- �
unless it s all he repealed.
Section <<.
In view of the fact t4 at there is ;ow under consideration
r re-dra�ttin�� the franchisea}zd all
amendments thure-
a proposal fo
to Heretofore gra1zted ,icrita ! gills Traction Cozr�any and tritrein
includin!- aew ,nd changed scLedules of fares aT�pwoul le pe all
1-
11 conditions and �vl:icl� , iz adopted, would supersede
tl:iisr-and all ot'.er ordinances , franc�..ises end araendr�Ents thereto
relative to tares and releCo� tE randttf�eniurtr e�rl facts ti,.at
of the ili.chita Falls Traction pll y,
the application for increased fares fro.:: six cents to seven cents
has been under consideration for some v�or s and it
appears that
s
temporarily at least , the application for said incr�: s� rul�lde-e
granted, creates an imperative public necssity 7'a � t s rule,and
rui-ring tilat an ordinance tie read on ti res several days ,
the :arue is mere rlo� , :suspended and tr.is ordinance sr all take effect
from and after its passage.
PASSED ATE APPROVED THIS THE A Rh day of F'ebruury,
o r
Attest :
C'ecre tart'.
J.W.AKIN.MAYOR
0D1Ty0r-'R'VV�.�'U®�I�� P<_ <_ L `� GEORGE D.FAIRTRACE
ALDERMEN THE, CITY THAT FAITH-BUILT CITY MANAGER
Roy E.CARTER �`'��/ �v W. E.MCBROOM
J.H.PATTON W I C H I TA FALLS , TEXAS EXA v7 CITY CLERK
ORAL JONEB
T HELBERT MARTIN
J.W.HUNT
A,W.KING February 8, 1929• CITY ATTORNEY
Hon. Mayor and Board of .aldermen,
Wichita Falls, Texas.
Gentlemen:
Reporting on the application of the Wichita
Falls Traction Company for an amendment to its Franchise
granting an increase in the fare charged, from six cents
to seven cents, I desire to submit for your consideration
the opinions I hold with reference to the granting of any
such franchise.
The whole Street Railway or transportation
problem turns upon the point as to whether the business
is public or private in its nature. If it is a private
business, then the controlling motive is financial gain.
If it is a public business, there are other controlling
purposes which may, in case of conflict, over-ride the
motive of financial gain.
That the business of operating a street railway
is of a public nature, I believe has been clearly recoZ-
nized, due primarily to two factors; namely, the monopoly
character of the street railway business and the public
necessity for additional transit facilities at points
where the motive of private profit, if left to itself,
would not furnish them.
Sovereign power is public in its nature, and
if sovereign powers are conferred upon private corpora-
tions, even though for a limited period of time, they
should be in the nature of an agent of government per-
forming a public function and subject to the obligations
incident to such agency. I mean that specific enforceable
Page J2
Mayor & Board of Aldermen
obligations should be imposed along with the sovereign
privileges granted, and subject to public control. A
Franchise is the definite point of contact between public
and private interests, and the interests of the public in
the terms and conditions of a franchise is immediate and
supreme.
A ride on a car with good light, adequate heat,
proper ventilation and a comfortable seat , is very differ-
ent from a ride on an overcrowded car, unheated, unventi-
lated and poorly lighted.
There is a definite relation between Street
Railway or transportation service and the distribution
of population, and any city that fails to provide suffi-
cient transportation facilities will eventually find
itself in the undesirable condition of congested popu-
lation.
It is difficult to fix a definite rule for
extensions that can be applied in all cases with justice
to the public and without unreasonable hardship to the
Company, but it is important that an obligation be im-
posed requiring the Company to build extensions on the
demand of the governing authorities, such extensions not
to exceed a fixed mileage per annum, and the cost of same
to be added to capital account.
I have no information upon which to base a
recommendation to grant an increase in fare from six
cents to seven cents - it is possible that the interest
of the public might be best served if an increase to
eight cents be granted.
Complying with instructions of your Council
I wrote the Street Railway Company to furnish financial
and operating statements covering the past three years;
I have not heard from them. Since writing them, their
representatives have twice been before your Council re-
questing that an amendment to their Franchise granting
the increased fare be passed, and of course I assume
they do not intend to furnish the statements we requested.
page3
Mayor & Board of aldermen
Street Railway Representatives in placing the
matter before the Council stated that the capitalization
was 4500, 000.00 of which 4100,000.00 was said to be the
value of the Franchise. I do not think that the public
should be required to pay interest on franchise value
unless the company paid to the city �100,000.00 for the
original grant .
The properties of the Wichita Traction Company
are assessed for taxes on a full valuation of 140,460.00,
thus there is quite a variance between capitalization and
valuation. It is my opinion that the basis for fixing the
rate of fare charged should be actual valuation. Just what
that valuation is I do not know. I think a special valu-
ation should be made, based upon cost of reproduction less
depreciation, and the costs of obsolete equipment or any
other item that would not properly enter into capitalization
in the case of new construction, be written off within &
reasonably short period; dead capital should be eliminated.
In their written request for an increase in fare
the Street Railway company refers to several cities where
the fare charged is seven to ten cents. In some of these
cities i know that the obligations imposed on the Street
Railway Company are far in excess of those imposed on the
Traction Company in Wichita �,alls.
I think that the amending of the r,ranchise of
the wichita Traction Company is of such importance that
it merits consideration over a period of weeks, and per-
haps months. Justice is due both the public and the
Street Railway Qompany.
My recommendation is that in lieu of an amend-
ment to the present Franchise, an entirely new and upto-
date eranchise be granted, embodying the following
provisions :
(1) Specific Locations , subject to
readjustment from time to time..
(2 ) The building of extensions.
(3 ) Terms of purchase clause.
Page -t4
Mayor & Board of Aldermen
(4 ) Service requirements: regularity,
frequency, transfer stations, speed,
carrying capacity.
(5 ) Health and convenience : cleanliness,
ventilation, heating and lighting.
(6 ) Safety requirements: location in
streets, distance between tracks,
brakes, fenders, etc.
(7 ) Public control of streets: plans to
be filed and tracks to be adjusted
to public improvements and other
utilities.
(S ) Construction in streets: foundation
character of rails, gauge of track,
motive power, paving, strengthening
of bridges, etc.
(9 ) Maintenance of street surface, repair
of pavement and track joints.
(10 ) Noise and vibration.
(11) Indemnity bond protecting U ity from
damage claims.
(12) Permanent penalty fund to enforce
company' s obligations.
(16) ;dares, tickets , transfers, regulation
of rates, free service.
(14 ) Advertising, carrying mail, chartered
cars.
(15 ) Publicity: prescribed forms of accounting,
investigations, reports, filing of
documents.
(16 ) Capitalization and valuation of property.
(17 ) Disposition of earnings: operating
expenses, accidents, insurance, main-
tenance and depreciation.
FRANK KELL,PRESIDENT c .ALLBRITTON,SEC!Y-TREAS.&GEN.MANAGER J-A.KEMP,VICE PRE51DENT
1 31
Af 1171, '.
I I A
WicmTAFALLS,nXAS
onoraole uyor
.do.'iita 2ails , -exa,, .
,en t'L ei.ien: -
4 t
�,u Uarer y,-)ar ej '_L ierevvith
2ilitui2L3 a list ol' tAe fares _-Iiaryed b r street
ctr a0 lmliea in -exas and I,)]:1a26ma;
CL
51
eV7 UlrleanS rL)7
2exar]:ana 07
Zo__-t forth . 10
t - - - - - - .10
3.
2__las .07
,.,l 2L',S0 .07
1 v e u t o - - - - . 10
U-;:-' JItE .06
ulsu - - - - - - .10
2215 uz ootziined ailcI t i o
:i-veii 7,1S 1 0-7 1 jift aid --a -es jyj
a3l,)Ve 31ities 1 ,1929.
T_ J_01 T
ORDINANCE NO.
AN ORDINAUCE TIE 7IMITA FALLS ThAOTIOIT
CO ZANY ITS SUMESSCIRS , A3SIG11S '4'Z,-D LESSEES To ASSM,7,
TrTE 3TM.DEM 07 THE 11AINTENAliCE OF ALL MINE BETWEEN ITS
TRACKS AND ELEVEN INCHES OT EITZER SIDE OF ITS TRACKS ON
STREETS 72CH A'HE 170',,",* PAVED A ;'D '7-'-ICT:1r 1:11Y BE
PAVED, AYD REP FEZ ING SO 11 UCH OF ORDINANCE E-0.257 OF T-':,E
CITY OF 7IMITA FALLS , TEXAS, AS MLIEM TKE 7IOHITA FALLS
TRAC-1ION 1301�'TATTY, ITS SUCCESSORS , ASSIGNS A LESSEES FROIrl
BEARING TM COST OF "4711M 1-:AINTEN.A0T:,'E OF THE PAYING 3ETTEZMT
ITS MAC KS AND EL77AN INUES 05 EITHER SIDE T17MEOF 00 STREETS
AVE
,71-1 !011 IVE-RE T'HET"T PAVED AND WHICH 7ERE T:751REAFTEER TO 31] 2 D,
,'u D A=177',Ij"M SECTION FOURTZEN (14) OF ORDINANCE NO. 108 ,
ENTITLED "AN ORDINANCE GRAYTITG A 7---JLN'17ISE TO J03E-11H A.1:11,2
AM FRANK KELL OF %71,111ITA FAILS , TEXAS , Air THEIR ASSOCIATIS
AND ASSIGNS , TO CONSTRUCT A`-D laINTAIN A STREET CAR LINE OVER
AZD ALONG jEaTAIN 3TREETS OF THE CITY OF WICHITA FALLS &MM1 , 11
AND GIVING AND GRANTING TO JOSEPH A. =2 AND FRANK KELL&HEIR
AMMIATES AND ASSIGNS , 7.' HIC,',�-'T TO INCREASE RATES A:'D CHA-2.GES
'FOR FARES KD TRANSFERS IN THE MY OF WICHITA FALLS , TEXAS.
TMEREAS , on January 27 , 1909 , the City council of the
Citj of Wichita Falls , Texas, did by ordinance No.108 grant
to Joseph A.Kemp and Yrank Kell, and their associates and
assigns, a franchise to construct and operate a street car
line over and along certain streets in the Jity of Wichita
7alls , Texas; and,
THEMS , the said Joseph A.Kemp and Irank Kell did there-
after transfer said francKise so granted to them by the lit
ty
of Wichita Falls, Texas, to the Wichita Falls Traction ComDany,
a private corporation organized under the laws of the State
of Texas; arid, I
WHEMAS , the said Wichita Falls Traction company, acting
under said franchise and ordinance and all amendments thereto ,
has constructed and now owns and operates street car lines over
and along the streets designated in said ordinance No.108 and
amendments , and said franchise is now in full force and effect
by reason tAereof; and,
7HEREAS , By Ordinance Eo.257 , the City Council of the City
of Wichita Falls , Texas , did expressly repeal so much of
ordinance ho.108 and its amendments as required the Tichita
Falls Traction iompany, its successors , assigns and lessees
from the duty and cost of the maintenance of the paving between
its tracks and eleven inches on either side of its tracks on
streets which were then paved or which might thereafter be
paved and expressly relieved the Wichita Falls Traction Company,
its successors , assigns and lessees, of such burden; and,
MEREAS , the said Wichita Falls Traction Company is willing
and has -requested permission to again assume the burden of the
maintenance of the paving ,between its tracks and eleven inches
on either side thereof on streets which are now paved or which
may hereafter be paved, and asks permission to increase its
fares from Six (6) cents to Sev8n (7 ) cents ,with the usual
reduction for half fares in order to meet the increased cost
occasioned thereby, as well as the increasing cost or operation
and maintenance generally; and,
MEREAS , the Uity Council of the City of Wichita Falls is
of the opinion that it is for the public good and in the public
interest to grant the requests of the said Wichita Falls Traction
Company.
2
71EREEORE, BE IT 01RT)AITLD by the City Council of
the amity of 7.1iehita Falls , texas:
Section 1:
r,
That from and a_'ter the passage of this ordinance it
shall be the duty and the t 7ichi to A'alls Traction Uompany is
hereby required to maintain at its cost an« expense the paving
between its tracks on streets which are now paved or which may
hereafter be paved and so much of Ordinance Pio.257 as relieves
the said 11?iehita Falls Traction 'Jompany from the duty and cost
of the maintenance of the paving between its tracks and eleven
inches on either side thereof on streets vf,,iich are now paved
or which may hereafter be paved is hereby expressly repealed.
Section 2•
That from and after the passage of this ordinance so
much of said Urdinance Bo.108 and amendments providing for the
maximum rate of charge for carrying passengers on said line of
railway is hereby amended so as to read as follows:
It is further specifically ,arovided that from and after
t-ie passage of this ordinance that the Maximum rate of charge
for carrying passengers on said line or railway from any point
within the city Limits of !1ichita Falls as now established or
may hereafter be established or within a half mile thereof,
to any other point wit�iin said city as now established or that
may hereafter be established or any point within one half a
mile thereof , shall be Seven (7 ) cents; and all children going
and from school shall be carried at half rates. The carrying
of children, however, shall be so safeguarded as to prevent
imposition.
Section 3:
T'rhat from and after the passage of this ordinance the
G9ichita lealls 'fraction Company, its successors, assigns and
lessees, shall have the right and is hereby authorized to
charge, collect and receive the maximum1'are of Seven (7 ) cents
for carrying passengers on said line of railway from any point
within the 'Jity Lirnits of "ricaita Falls as now established or
may iereafter be established or within one half a mile thereof
to any other point within said city as now established or that may
hereafter be established or any point Y�,it-iin one half a mile there-
of; and all children doing to and from school shall be carried at
half fare. The carrying of dhildren, however, small be so safe-
guarded as to prevent imposition.
Section 4•
NotYiing in this ordinance shall be construed to extend the
franchise of the `Nichita Falls `fraction liompany, its successors ,
assigns and lessees, beyond the term granted in Ordinance No.108
of the City of 1.7ichita Falls , 'Texas , nor shall this ordinance be
construed so as to prevent the Oity Council of the City of Wichita
+'alls from enforcing their right to regulate and orescribe t'!e
rates and fares charged for the transportation of passengers by
said L,ailway in the J'ity of 1!1ichita 7alls, Texas.
PASSED tiis tiie day of A.D. 1927.
.'ay o r
pages
Mayor & Board of Aldermen
(18 ) Interest on investment , amortization,
division of surplus profits.
(19 ) Supervising authority : to approve plans,
audit accounts, certify expenditures,
inspect equipment , etc.
(20 ) obligations to employees.
(21) Termination of grant.
Respectfully
C y Manager
v'Y1 1 CE k,,)F c'J it a.1 .31.1 V IE1Y 1 02 .I` W.; LIC a
M11ISE
.'. t� ;.i,cg.rd of Ided.meii of tile (;i% of
received petition fro._i the `, icilita _i Ila
it,-ct ion Co=i) ati;r re 4ie stir that their ptiblic utility
fra lciiise i r: .ited on January 27th, 1909, be so <1.ne.lded
as to provide for an incre,ise in street cu.r fares in the
city limits of the Uity of `61.011ita from 6 ;' to 7i:
i.ith ti.e uswl reduction for half fares. Before �re!idiiag
s i(I ranichise a y)ablic heuring will be held at r. t
7 � C . ', Ji ilt erg :Gtia., 1929, in the Cowicil {'1L, iL,ber
of tie "emorial Auditorium at which ti.:p ,,nd place. an:j
protests <,giinst said at:iead lent vii?1 be gully !.ecl_rd.
?os-ie in ac.,ordaace with a resolution vdoi)ted
b, tile, Bo =.rd of �'ldenxri of the City of "Ac Ata AR118
on J� luery ?th, 19?�9. .
L. '"CBroom, City Clerk
s
FRANK KELL,PRESIDEN7 L.L.ALLBRITTON,SECY-TREAS.&GEN.MANAGER J.A.KEMP,VICEPRESIDENT
i
WICHITA FALLS,I'EXAS
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