The Gazette and Daily from York, Pennsylvania • Page 2

The Gazette and Daily, York, Saturday Morning, January 13, 1945 Price Panel Acts On Three Cases PUC Dismisses It-Year Old Rate Case Against Penna. Power And Light Co. Commissioners Buchanan and Morgal fileN dissent to decision of majority favoring company. Morgal calls position of colleagues economically unsound. explained, however, any utility can file a new tariff with the commission for consideration on its merit.

The commission said it took into account recent increased labor and material costs and previous company rate reductions totaling approximately $6,200,000 annually in determining rate bases of for electric properties, $14,600,000 for gas and $3,980,000 for steam heating plants. Commissioner B. Frank Morgal Mayor's Clerk Resigns Post The resignation of C. Kenneth Shanaman from his position as mayor's clerk was by city council during its weekly session yesterday, and Philip N. Lehn was unanimously chosen to succeed him.

After City Clerk Henry Butler read the resignation, received Thursday and effective no later than Jan. 15, the the Mayor mpved that the resignation of "one of the finest men of my acquaintance" be accepted "with deep regret." Lehri was chosen successor on a resolution introduced by the Mayor. Mr. Shanaman; who helps to operate Shanaman Brothers Airplane Tool shop, said that the "increased demand on my time" through the heightened need for materials necessitated his resignation. He has served as mayor's clerk since Mayor Snyder took office last January.

Mr. Lehn, who lives at 819 South Queen street, was employed a year ago in the office of the Registrar of Wills. He will receive. $2,500 Franchise Tax Illegal Says Small City Solicitor submits reply to council on Attorney Cohen's suggestion that a tax be levied on public utilities in York. Attorney Small says such tax is against law regulating taxing in third class cities.

Upon the request of city council, City Solicitor J. Edgar Small yes- -terday read his reply to the suggestion, made three weeks ago by Attorney Herbert B. Cohen, that the city levy a franchise tax on public utilities instead of raising the real estate tax. His brief, explaining in detail what he said was the- illegality of such a method of securing revenue, was received with approval by Mayor John L. Snyder and CounciLmen Theodore F.

Freed and Horace H. Ziegler. Director of Public Safety Horace B. Faber made no comment. Councilman Herbert F.

Ander-soh rebelled briefly: "I don't think that these professional men real estate men are dumbells. They know well enough that city council can't do that." He explained that it was his understanding that the men, represented by Mr. Cohen, realized what the law governing taxation was but wanted council to appeal to the "governing bodies" to alter it. Mr. Free'd, who felt several weeks ago that he was bearing the brunt of the realtors' complaint, was quick respond, "Mr.

Cohen said that all we need is the will' to do it, that we don't need any law." The Mayor upheld Freed "Mr. Cohen said we are to do it and let the courts decide it." City Clerk Henry Butler opened the minute book and read the record of the meeting, corroborating Mr. Freed's and Mr. Snyder's remarks. Two weeks after that meeting, council, without reference to the counter proposal by Mr.

Cohen, voted to increase the real estate tax by two mills. City Solicitor Small's statement cited a number of court cases, one of which he quoted as follows: "Municipal authorities are to assume that they can tax only as the state in its wisdom has thought proper to permit, an'd if the state has erred in the direction of strictness, the legislature alone can correct the evil." Other cases, reviewed by Attor contended xn his dissent, however, the majority apparently excluded every element of plant value other than depreciated reproduction cost based on spot prices took an economically unsound position in fixing, rate bases. He also differed with the majority on its determination of income taxes. Oldest and largest in commission history, the case against the utility with general offices in Allentown was launched in 1933 when Mayor Robert Pfeif le of Bethlehem Complained against "electric rates there. Two years later the commission instituted similar complaints against all rates.

AFL Urges Minimum 75-Cent Hourly Wage For Factory Workers Washington, Jan. 12 UP) A minimum wage of 75 cents an hour was urged tonight for factory workers. The proposal was advanced by the American Federationxof- Labor and the Railroad Brotherhood at a joint legislative conference. A statement said the wage hour act should be ajnended to make such a minimum nation-wide "in order to help- oppressed workers meet booming living costs and to attract labor to undermanned low-wage war industries." The conference also instructed Legislative Representative Lewis G. Hines to tell the House Military committee Monday of what the AFL called "flagrant wastage" of manpower by federal agencies and some private industries in war production.

Oil Burner Flames Cause Alarm To -Be Turned In Flames from an oil, burner on which a repairman was working at 428 Park place caused fire alarm to be put in a Box 218, North Street and Elm Terrace, last night at 6:20 o'clock. Union, Vigilant and Rex firemen reported to the scene. but did not need to turn water on the blaze; Return taps were sounded at 6:33. Prosecution will be brought against a motorist who drove past the Union Engine company when the alarm was sounded and failed to stop when flagged by a policeman, it was learned last night at city hall. Orders "Swap Shop" operator to pay $50 in triple action suit and holds up decision in two other instances.

George Kirk, operator of a "swap shop" at 248 West Market street was tagged as an "intentional violator" at a hearing before the Price Panel last night. The Panel, at a previous hearing, had directed Mr. Kirk to make a re-payment' of overcharges for a typewriter sold to Miss Edna Bruggeman, 31 South Newberry street. He was called to make another appearance to settle the case which involved a triple action suit. The offender was ordered to pay the sum of $50; $18.50 amount of overcharge to Miss Bruggeman and $31.50 to the U.

S. Treasury, pursuant to the regulations and District Officer recommendation. The Pennsylvania Appliance Service, represented by W. J. Al-leman, partner, answered charges made by Mrs.

Nora Harro, 405 East Princess street, that the concern had overcharged her for the. repair of a washing machine. Mr. Alleman was told to put the machine in running order before the Panel considers the matter of overcharge, after Mrs. Harro testified that the washer had not been put in worMnj condition.

Case Held In Abeyance D. T. Beavers, 943 Linden ave nue, who had made an appeal to have his case reviewed, last night aksed that the Panel reconsider its decision asking him to repay $23 to Kenneth Brickner, 116 Pleasant avenue, for overcharges in the sale of an automobile pur chased by the latter on Dec. 2. He told the Panel that the car had been sold for $300 and that $48 covered a bill for parts needed for repairs.

Mr. Beavers claimed that the purchaser had agreed to take the automobile at the $300 price, after which they discussed the matter of repairs, Mr. Brickner agreeing to pay charges for parts. The ceiling price of the model automobile concerned is $325. Beavers claimed he had no intention of violating the ceiling.

Henry C. Kessler, chairman, presiding at the meeting, asked the Panel to amend its decision to read, "hold in abeyance for one week" until more information is obtained. The conclusion was arrived at after the minutes of the previous hear-, ing were checked and it was found that Brickner at that time madeV ctatemontc tho offer Kof if had been agreed repairs be made before he would purchase the car. Two other cases involved discrepancies in filling out certificates of transfer in the sale of automobiles'. No violations of the dealers were involved.

Alvin Eshelman, 124 -South Pershing avenue, one of three additional members named to the Panel this week, attended his; first session. pering campaigns directed against foreigners, against Jews, against Catholics, against Negroes." Johnston said race riots in De- troit or Harlem, or "racial antago nisms" in Boston or Brooklyn were easilv brushed off as "local inci dents," but that "these episodes of.i violence are symptoms of pressure and emotions and maladjustments y. which are nationwide." Race hatred, he said, is not only a threat to the minority it affects directly, but to the whole country, and he added that "only 600,000 German Jews suffered through the triumph of Nazi barbarism but that non-Jews who suffered from ity included the more than 70.000.uuu Germans!" "There are some in our country," he said, "industrialists, white collar workers, laboring people, who hold to the myth that economic progress can be attained on the principle of the unbalanced see-saw. They think- that if some groups can be forever held the others will forever enjoy economic privileges and prosperity at the end which is up. 4 it does not work that way The withholding of jobs and business opportunities from some people does not make more jobs, and business opportunities fnr ntherc Harrisburg, Jan.

12 UP) Eleven-year-old complaints against the Pennsylvania Power and Light company's electric, gas and steam heating rates were dismissed today by the Public Utility Commission in a 3-2 decision which a minority commissioner claimed opened the way for a $9,360,000 rate boost. The 52-page majority order found present rates "not unjust, unreasonable or productive of an excessive return to the company and that the utility's 1942 earned return was $3,174,718 against an allowable $13,337,650 on its three services. "The commission order is designed to permit Pennsylvania Power and Lieht company to file tariffs increasing rates by approximately asserted Commissioner Thomas C. Buchanan in a statement accompanying his dissent, "in order that the net income of the company can be increased by $1,900,000." The order said "earned return" was based on PUC allowances for operating expenses, depreciation and taxes. Commissioner B.

Frank Morgal, who also dissented, said in a statement the utility, "according to its own figures" made an operating profit of $11,008,383 in 1942, "after payment of all operating expenses, including income taxes. "The majority," Morgal added, "finds allowable earnings of an increase of $2,329,267 over the actual earnings of 1942. But the majority also finds of allowable state and federal income taxes an increase of $8,981,971 over the 1942 tax returns which respondent actuaUy made to state and federal authorities." "The order speaks for itself," declared Chairman John Siggins, when asked for comment. He Alloy Rods Signs Agreement with Steelworkers provides for 17-cent hourly increase in pay for 36 maintenance and production employes. Premium of 10 per cent to be given for night work.

An agreement providing for a 17-cent hourly increase in pay for the 36 maintenance and production employes of Alloy Rods company was signed yesterday by E. J. Brady, company president, and Arthur F. Johnston, district representative of the United Steel-workers of America (CIO). The contract is retroactive to Dec.

18, 1944. Negotiations, in progress for several weeks, were completed yesterday and the agreement will be submitted to the Steel-workers' officials and later to the National Labor Relations board for approval. The wage clause also provides for a wage committee, composed of two union and two company representatives, who will investigate wage equalities not adjusted by the grievance committee. If a stalemate is reached, the problem will be taken directly to the third step, of the grievance procedure. A trial period is for if agreement is not arrived at regarding new rates.

A premium of 10 per cent for night shift employes is included, as is a maintenance of membership and check-off of union dues clause. The contract allows for six holidays a year, during which employes will receive double time if obliged to work because of war production needs. Two days vacation with pay will be given to "employes of six-months standing, three days, after nine-months, and one week, after one year. Persons employed by the company for five or more years will get two weeks vacation with pay. Time and a half pay or the agreed overtime rate, whichever is higher, will be paid for all work in excess of eight hours a day.

A minimum of four hours' pay will be given all employes reporting for work if not previously notified that there is no work available for them. (Continued on Page Eleven) See Alloy Rods Contract With CIO support in promoting the passage of legislation" enabling such taxation. think that's a. mighty fine brief on that subject," the Mayor said, adding: that it should be made a part of the minutes. Mr.

Freed safd that he understood a bill was before the state governing body at the present time asking for enabling legislation such as had been suggested. "I think he knows his stuff," said Mr. Ziegler, referring to Mr. Small, "the fact that that bill is being introduced into the legislature shows we don't have the power." Need More Police Included in Chief of Police Nelson L. Shultz's annual report, read during the early part of the session, was a request that city council increase the numerality of the Police Department to include 80 men.

Sixty men are presently on the force. Chief Shultz asked that this be done because "the strength of the force now is not and will not be sufficient to properly- safeguard the citizens of York." At the same time the chief recommended the organization of the York City Police Reserves, to be composed of the Auxiliary Policemen, who "worked faithfully 1,323 hours during the year." Mr. Shultz commended them, as well as the Boy Scouts and the regular policemen, who have at numerous times worked overtime and given many hours in excess of their regular hours of duty." His report showed 3,953 traffic violations, 6,032 meter violations and 747 charges brought. Stolen property totaled about $101,205.61, while the estimate of that recovered was $88,287.43. i Fire Chief Reports Fire Chief L.

Ellis Wagner submitted to council the results of the Fire Prevention week contest, which showed York as the winning city in Pennsylvania. Fourteen cities among the 2,121 in the United States, Canada, Alaska and Hawaii, got over 90 per cent ratings, and York was among the 55 that got between 80 and 90 per cent. Assessor's Assistant Appointed Clarence F. Petry was appointed assistant to the city assessor upon the introduction of a resolu-( Continued on Page Eleven) See Illegal Says Small Pacific Relations Of Empire System veiled excuses for continuing the empire system in the Pacific. Af ter me last wax we iauveu mandated territories.

Now western leaders seem to be preparing to talk about security as an excuse for leaving their government and military officials in Pacific territories." He was seconded by an American delegate who warned the conference that it would be difficult to get the agreement of the American public to entrance into a WrriH senritv mnni if it un pears that the war has been fought to preserve empire, To the surprise of at least some 0f the delegates, a citizen of Great Britain told the conference that he agreed "there must be gradual withdrawal of all empire forces, and that he felt he had at least some homeland support for the view. U.S. Chamber Of Commerce Head Takes Blast At Race Bias In Jobs (Special to The Gazette and Daily) New York, Jan. .12 A warning challenge of propaganda and whis- ney Small had the same significance as this one, taken from the case of Marson versus Philadelphia. At the conclusion of his talk, the City Solicitor asserted that "It is generally conceded that the protesting citizens, who appeared before council several weeks ago, 'as well as a section of the local press, are right in their opinion that Public Service Corporations should be required to pay into the city treasury a percentage of their earnings in exchange for the use of the city streets an'd highways." However, he went on to comment that "These protesting citizens are entirely wrong in their assumption that the city of York.

has the right under the law to tax the Public Service Corporations for revenue purposes." Mr. Small felt sure the "protesting citizens" as soon as they became "acquainted with the fact" that York as a third class city could not levy a franchise tax on public utilities, would "at once appeal to the members of the State Legislature, which is now meeting in Harrisburg, for their India Delegate To Institute Asks End Hot Springs, Jan. 12 UP) Far eastern experts at a meeting of the Institute of Pacific Relations here today talked over methods for meeting the fiery demand of a delegate from India who requested that the imperial powers plan to withdraw gradually from all dependencies, mandated territories and crown colonies. The subject is the most delicate, politically, to come up be- fore the conference, which has collected experts from 12 nations bordering the Pacific, because of the presence of delegations from the United Kingdom France and The all of which govern portions of the Pacific world. The Indian said, "dependencies have no place in this world about which we talk.

And we want no to face and fight the racial, reu- gious and economic intolerance which is "increasing to an alarming degree," and is being "stimulated by deliberate propaganda, was given last night by Eric A. Johnston, president of the U. S. Chamber of Commerce. Johnston, emphasizing that intolerance and discrimination in employment are bad business, said: Wherever we erect barriers on the grounds of race or religion, or of occupational or professional status, We hamper the fullest ex- pansion of our economic society.

Intolerance is poor economy. Preju- dice doesn pay. Discrimination is destructive." Johnston spoke on a panel on 'The Myth That Threatens Amer- ica" at a meeting of the Writers' War Board at the Barbizon-Plaza Hotel theater. Other speakers were Christopher LaFarge, Rex Stout, Roy Carlson and Dr. Margaret Mead.

Johnston said: "There in a tenrlenrv snft- pedal the spread of alien doctrines of intolerance. The theory, I sup- pose, is that the best way to treat a disease is to pretend that it doesn't exist. That is a cowardly theory and worse, a futile one. "It seems to me that honest diagnosis is the f'rst and indis pensable measure in meeting the i 1 I I IT i I 1 i I i I ll) TTiT TT.