called upon to present to the Commission justification for the raise in rates proposed. The matter came regularly on for hearing on the tenth day of January, 1919, before Commissioners A. L. Freehafer and George E. Erb at the office of the Commission at Boise, Idaho, and testimony was taken on behalf of the applicant. From the testimony and facts before the Commission, it appears that applicant owns and operates a system consisting of two exchanges, one at Cambridge and one at Indian Valley, with a connecting toll line, and with a toll line extending from Indian Valley to Council, and has physical connection with The Mountain States Telephone and Telegraph Company System at both Cambridge and Council. This Commission has made no physical valuation of the property of applicant's system, but same is estimated at approximately $10,000. It is shown that no dividend has ever been paid on the capital stock of the company, but that all revenues derived have been used in the operation and maintenance of the system. It further appears that in the making of necessary and required extensions an indebtedness of over $1,000 has been incurred. It is also shown that no depreciation reserve has been accumulated and that the pole lines of the system have depreciated to such an extent that immediate repair and reconstruction work, necessitating a considerable expenditure of money, is required in order to enable applicant to maintain efficient service. The rates heretofore charged by the applicant as shown by the schedule on file with the Commission are as follows: Business telephone, stockholders.. Business telephone, non-stockholders.. Residence telephone, non-stockholders. Non-subscribers, one-switch call 10 cents, two-switch calls 25 cents. Per Month $2.00 2.50 1.00 150 [Idaho C. L. 88] It appears, however, from the evidence that some two years ago a modification of these rates was made and no schedule of such change of rates was filed with the Commission and that during the two years last past charges have been made as follows: Business telephone, per month... $2.50 Residence telephone, per month.. Refund of 25 cents per month to each individual owner of telephone. Toll charge Cambridge to Indian Valley.. Toll charge Cambridge to Council... Toll charge Indian Valley to Council.. 150 15 cents 20 cents 20 cents The rates asked to be made effective by applicant are as follows: Business telephone, per month.... Residence telephone, per month... Toll charge between Cambridge and Indian Valley to be Toll charge to non-subscribers.... $4.00 2.00 20 cents It appears from the testimony that in order to render efficient service over the system it will be necessary for applicant company to rearrange and increase the salaries now paid operators. This will increase operating expenses approximately $50.00 per month. The applicant is also confronted with the necessity of rebuilding a considerable portion of its pole lines as fast as funds therefor may be available in order to maintain efficient service. It is shown that the applicant has now approximately 25 business telephones and 83 residence telephones in use on the system, which at the rates proposed to be made effective will yield an increase in revenue of approximately $79.00 per month from rental of telephones which will be partially offset by the discontinuance of toll charges between Cambridge and Indian Valley, but the Commission believes the net increase in revenues will amount to $65.00 per month. The Commission believes from the showing made that the increase of revenue which will be derived from the rates asked by applicant to be made effective, is necessary and required in order to enable applicant to maintain efficient service and pay operating expenses and taxes and that such an increase is reasonable and justified. It is, therefore, ordered, That the applicant, Indian Valley Telephone Company, be, and it hereby is, authorized to cancel and discontinue all rates and charges now and heretofore in effect and to charge and collect for services rendered over its telephone system on and after February 1, 1919, in accordance with the following table: Business telephone, per month... No toll charge to be made to regular subscribers for service Toll charges on calls from Indian Valley or Cambridge to Toll charges to non-subscribers only on calls from Cambridge $4.00 2.00 It is further ordered, That the applicant, Indian Valley Telephone Company, file with the Commission on or before February 1, 1919, a schedule of rates and charges in accordance with this order. Done in open session at Boise, Idaho, this twentieth day of January, 1919. [Idaho On February 9, 1918, a complaint was filed with the Commission by 114 subscribers of the Douglas Telephone Company, Newman, Illinois, representing 146 telephone stations, stating that the service furnished by the said Douglas Telephone Company, in Newman and vicinity, was inadequate, unsatisfactory, and that inexperienced and incompétent help was employed by the telephone company, and asking that the matter be investigated by the Commission. Efforts to handle the matter informally were unsuccessful. On formal complaint the matter came on for hearing before the Commission on June 5, 1918. George W. Jackson represented complainants, J. W. Hamilton and O. M. Burgess represented respondent. It appears from the record that the plant operated by respondent in Newman was in very poor condition, owing to deferred maintenance, that current repairs were not made promptly, that the operators at the switchboard were improperly trained and were not subject to necessary discipline, and that the business and social interests of Newman suffered to an unnecessary and avoidable extent as a result of the inadequacy of the service. In view of all the circumstances, as shown by the record, the telephone company was instructed to make such repairs and improvements as were found necessary to rehabilitate the service,. on or before August 1, 1918. The work of rehabilitating the plant, in order to place the service on a satisfactory basis, proceeded very slowly, and a follow-up inspection was made by the engineering department on July 30, 1918. It was found at that time that the work was not completed, and after careful consideration of the conditions, notably the difficulty in securing skilled help, as well as the difficulty in securing material, the telephone company was accorded additional time in which to complete the work. On January 10, 1919, the file was referred to the telephone engineer, and on January 13, 1919, an inspection of the plant was made, with a view of determining the present conditions and the character of the service furnished. This inspection was complete, aside from rural circuits, which were inaccessible due to the impassable condition of the roads. In general, it is found that the telephone company has effected a marked improvement in its plant and service, but that there is still some dissatisfaction. It was also found that the telephone company is disposed to take steps to render the service satisfactory to the public, and that there is no apparent reason at the present time why the service should not be promptly rehabilitated and all reasonable cause for complaint removed. It is, therefore, ordered, That the Douglas Telephone Company, of Newman, Illinois, respondent herein, rehabilitate its plant, improve its service and make necessary repairs, so that the standards of telephone service, as set forth by the Public Utilities Commission, in General Order No. 23* (Conference Ruling No. 18), may be maintained, and that such improvement and rehabilitation of the telephone service may be made on or before March 1, 1919. It is further ordered, That the Douglas Telephone Company, of Newman, inform the Commission in writing * See Commission Leaflet No. 42, p. 16. [Ill. |