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<br />A communication from Mr. Allen Eaton re: proposed sewer assessments against Ii
<br />17 certain properties, was submitted and read as follows : .- ii.
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<br />;;,.;;' "AI though I am asking someone in Eugene to investigate the proposed sewer:' I
<br />assessment against property owned by me in Fairmount, especially'Lots 4, 5, 6 and 7 Ii
<br />in Block 28, and Lhave asked them.. to get in touch with you before August 11; yet r
<br />{'y this is my informal protest against the assessment which is such a heavy burden upon
<br />{'y property that cannot be much improved by it.' . _ Ii
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<br />I haye been out of the ci ty for some time before receiving your announcement, l~
<br />but I am aSking someone to get, in touch with you . immediately on the. matter." !i
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<br />It was mqved by Crumbaker, seconded by Davis that the communication be received t I
<br />and placed on. file. Motion ~arried. ~
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<br />~ommuni~ations from. the City Attorney, Portland were submitted and read as I:
<br />18 follows re: P.U.G. hear~ngon telephone rate increases. I;
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<br />"A recent news. item in the Portland pr.ess. stated that a number ofci ti es in :;
<br />Oregon were interested,.in. appearing in the matter. of the application of The Tele- I:
<br />phone and Telegraph Company 'for increased exchange and intrastate toll rates which ~;
<br />is now before t.he State Public Utilities Commissioner, Mr. Flagg. The hearing in I.
<br />this matter has been set to. reconvene on August 18. The news story did not name Ii
<br />the, cities interested. This, office appeared for the City of Portland in the hear- I:
<br />ing beginning July 7, at,which direct testimony was put on by the company and we i:
<br />expect to appear again, in the balance of the hearing. 1.
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<br />It ,has occurred to me. that your city may be one of those who are interested, 11
<br />and if so'I should be glad of the benefit of your opinions in the matter. If you I
<br />. expect to appear in the coming'portion of the hearing I hope that we may arrange I;
<br />a meeting before the 18th to discuss the, questions involved. I.
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<br />I shall appreciate it if you will advise me if such procedure appeals to you i:
<br />in case you are interested.-in. appearing at the hearing." !
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<br />"The City of Portland has entered the telephone rate hearing, before, the!' '
<br />Public Utilities Commissioner ,and .has been recognized by the Commissioner as one I:
<br />of the partie s of interest. Mr. Edgar Martin of this office, a ttended all sessions i:
<br />of the hearing during the ,week of July 7 and the City Council. has since hired I
<br />Fulton Y. Magill of Tacoma to analyze the direct testimony and prepare cross- ::
<br />examination and also- probably to appear as a witness. Mr. Magill is recognized I;
<br />as a utility accountant and recently participated in the telephone company's ;1
<br />hearing. in the State of Washington.., !:
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<br />The City of Portland is not, taking an arbitrary stand that the telephone I;
<br />company is not. enti tIed to any increase. We are, however, seeking to, be very sure ,]
<br />that the, increase, if any, is fully j ust.if ied and if it is possible we. are trying I,
<br />to eliminate any discrimination against users .in the State of Oregon.. The exhibits f
<br />introduced by the company show. tha t, the State of Oregon has heretofore paid about ::
<br />one-half, of the phone and Telegraph. Company entire Federal income - tax assessed I;
<br />against the Pacific Telephone and-.Teiegraph Company throughout its area. This is, ;:
<br />of course, disproportionate' and we contend only done because the relatively high ii
<br />rate in Oregon, as ,.compared to California, Washington and Idaho, has made it i!
<br />possible for the surplus earnings in Oregon to be used for tax payment. Further, i:
<br />and this is one point all of the cities in Oregon should be, interested in, long !;
<br />distflnce intrastate" tolls..are. ,higher_than. interstate rates for the same distance ~
<br />and, while the. company-has, a complicated justification of this, we feel that .this "
<br />is a ma t.ter .which the City of Portland particularly and also the City of Eugene i:
<br />and other communities of the. State .should be :Vitally interested. !: I
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<br />There are a great many factors involved in this discrimination but we hope to !i
<br />prevail upon the. Commissioner to seek an equalization between inter'state and intra- ;~
<br />state rates. . The proposed. increases in" Oregon include many other items and ma tters ~
<br />which we, expect to explore more ,fully when the, hear,ings are, resumed on the 18th of I:
<br />August,. Portland, of course, has the larges.t, number of telephone users of any I
<br />community irithe. State"and therefore we are assuming the financial responsibility ~
<br />of having Mr. Magill, wor.k in our behalf. However., we would appreciate other cities ;~
<br />of the State participating in the hearing. The City of Salem was represented r
<br />briefly during the direct testimony by the company in suppo'rt of their new tariff:: I
<br />during, the week of the 7th of July, but Salem. did not take any active. part, in that f
<br />hearing,. 'We have not, be advised whether they plan to present any evidence or do "
<br />any corss-examining or not. The testimony and exhibits submitted by the company in !
<br />supp~r~, of their new tariff are 9f(.:.,cour'~e ~ighly technical: The witnesses. all , , Iii
<br />test~f~ed from prepared statements .and ~t ~s a monumental Job to .separate the wheat ~
<br />from the chaff and really get, down to the fundamentals of this case. I feel confi- ';,
<br />dent that Mr. Magill is doing a very good job in this respect and that, the City!;
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