Jasper County Democrat, Volume 16, Number 101, Rensselaer, Jasper County, 25 March 1914 — PUBLIC UTILITY DECISION [ARTICLE]

PUBLIC UTILITY DECISION

By Jud,ge Tuthill Is in Line With The Understanding of the New Law. Monticello Journal: A dispatch from Michigan City states that Judge Tuthill in t’he Superior Court in that city, has rendered one of the first important court interpretations of the Indiana public utility law He holds specifically that since the new law went into effect, scarcely anything can be done by or with public utility companies without first referring the matter to the public utilities commission and obtaining its approval. A city board or town board can not grant a franchise to a new company for a public service in a municipality where there is in operation a public utility engaged in similar service under a license, franchise or permit, without first securing from the commission a declaration, after a

public hearing of all parties interested, that the public convenience and necessity require such second public utility. Neither can even a city itself put in a municipal plant viihout a hearing an finding by the state commission. He also points out that the new art provides that the rates, charges or tolls in effect on 1 • 'Try 1 , are.not to he change i y«.Ty . notice to. and i •prm.; ’ ’fy> state commission. ■ While.” says Judge Tuthill. in his decision. ’Section 110, of the new law, gives the muni iual council quite large powers ;:s regards the kind of product or service to be furnished and the terms upon which a public utHi ty may pccupy the streets and public property, no authority is anywhere in said act given said in nnici pal ity to contract for rates, tolls or charges, without the express consent and authority’ of said coinmission * * ♦ and no authority exists in the law for a change in rates I any other methou than through the commission.” lie held that the Commission method is exclusive of every other manner.” This decision of Judge Tuthill afreets at least three questions in our local situation. According to Judge Tuthill no new company' can be given a franchise in Monticello without a showing to the public service commission that the public necessity requires it. That is, it must bo shown to the commission that the present. Company is not giving and can not. give the service which public convenience and necessity requires, and that a proposed new company call give such service. Even the city itself could not establish a municipal plant without the approval of the commission. All rates, charges and tolls in effect on January 1, 1913, must remain in force, and cannot be changed without the approval of the commission. This woniu probably be construed to prohibit even the adding of a penalty for non-payment at a certain time, as was attempted by the local company in its proposed contracts with the Buffalo people; and it would of course prohibit any Increase in rates without the consent of the commission. The above decision is In line with The Democrat’s reasoning as heretofore expressed in regard to- the telephone situation here. No new company can come in if the company already established is ready and willirg to give good service at the rates fixed by the commission, and all the blow and bluster that has been made from a certain quarter here is only so much silly twaddle,