Prograaa, Tkura.. May 2, I1
Forsyth's Bill Is Assailed
By State's Power Companies
RALEIGH . Legislation
aimed at Mocking Nantahala
Power and Light Company
from collecting Increased
raon Imposed under bond
In 1961 crew the opposition
of three power companies and
the etna's gas Industry at a
public hearing Thursday.
The concerted attack oa a
Mil Introduced by Cherokee
County Sen. W. Frank Porsyth
was mads by Nantahala. Car
olina Power and Light Co..
Duke Power Co. and the N.
C. Gas Association.
Reasons for the laiiwd Md
a defeat the Mil lay In the
fact that Forsyth'. measure.
Introduced a replace an ear
lier Mil singling out Nantahala
by nana, would revoke the
authority of any public utility
a Impose Increased raas
Under present lew, afar a
utility files application for an
Increase In raaa. It may Im
pose the raaa under bond If
no decision has been reached
by the StaaUtllitiesCommis
sion afar six months. There
Is no limit In the present law
as a the amount by, which
the raaa may be Increased
under bond.
Acting under this statue,
Nantahala filed application for
a raa Increase averaging 33
per cant In 1960. Some seven
and a half months later, on
July 16, 1961, it posed bond
and proceeded to charge the
Increased rates to la
The raa case la still pend
ing with the Utilities Commis
sion, and is believed e be the
only such raa case now be
fore the regulaery body.
Since the Forsyth bill, in
addition to revoking the future
authority for bonded Increases,
would specifically apply to any
utility where a decision on
bonded rates is still pending,
la most direct effect would
be tgxm Nantahala.
At Thursday's bearing be
fore the Senate Public Utili
ties Committee, Forsyth fac
ed the battery of legal talent
arrayed by his opponenu and
said "It seems like If one
utility gea cut, they all
Meed."
But Reid Thompson, Car
olina Power counsel, said his
company is opposed to abol
ishing the principle of bond
ed raa Increases because It
is "sotnd. necessary and
vital** for utility operations.
In Ita entire history, ha
said. CP li L has never made
use of bonded raw Increases
wife one exception, which did
not Involve a general raw in
But the lac that occtrs ba
the time a utility may
apply for an Increase wid the
daw on which an uttlmaw de
ferral nation made Is fre
quently so great. Thompson
said, that W bar companies
from meanwhile collecting the
needed revenue would "tre
mendously encourage any pro -
testant to use every method
m seek continuances and da
lays simply ?> put It off two
or three years."
"In seeking ?> hit at what
may be an abuse at some
time," Thompson said, "you'd
wipe out a provision that*s a
vital necessity In raw making
procedures."
Thompson la a member of
the General Statues Commis
sion which has recommended
a sweeping reorganization of
staw utility laws. Including a
20 par cent celling on raw
increases made under bond.
Thompson suggested that
Forsyth's bill ought lo be
amended. If it were going to
be enacted, to provide a maxi
mum percentage Increase and
a set waiting periods for bond
ed Increases, rather then to
abolish the provision al
together.
But Forsyth argued that if
his bill were passed to correct
an lmmedlaw situation, lawr
passage of .a general utility
law statue would repeel his
bill and thus provide for the
changes Thompson advocated
and on the other hand, be said.
If his bill is defeated snd a
general utility law revision
passed, NP I L could con
ceivably continue to charge
rates under bond "for four
or five more years."
Thompson's staWment of
opposition was endorsed by
Carl Horne, counsel for Duke
Power.
R. C. Howl son, Jr? NP k L
attorney, brought the severest
criticisms of Forsyth's bill
and at a hearing before the
same committee in March on
Forsyth's earlier measure
aimed specifically at NP & L
Howlson also appeared in op
position.
The new bill, he said Thurs
day, "Is a subtle and sophis
ttcate^sajM^Uminat^U
Hon embarrassingly
to to* Mritor toll."
Howl son said to reality the
toll would still dtocrlmtoato
because Its principal eflsct
on any raw situation stprs
ssnt would be that of Nanta
hala's.
"In this toll. Senator For
syth to saying as id
ha Utilities ~
cases, the Utilities Commis
sion can suspend rales fdr only
six months but as nNPI L
we trill cut them off right
"It Is designed * do," be
said, "exactly what (the ear
lier toll) said to so many
words It wanted to do."
Howlaon repeated charges
made at the earlier hearing
that opponents of NP h L'a
rats Increase had sought by
all possible means id delay
action by the utilities com
mission on the rale application
by asking lor continuances,
postponements and through
other tactics. The decision x>
impose the increase under
bond was provoked by such
maneuvers, hs said.
He said that NP h L should
have naked (or 10 per cent
rate Increase beginning about
1945 and again to 1950 and 1955
and gradually Increased the
rams it boosted all atona time
to 1961. "For 15 years, the
customers had a (res ride,"
he said.
Herbert Hyde, Ashevllle
Attorney for Western Carolina
Telephone Co? told the com
mittee that his firm's rate
increase case, now pending
a fall bearing to the Supreme
Court, speared to be af
fected by' Forsyth's Mil,
"although it probably would
require litigation to tell."
Western Carolina filed pet
ition for a rate increase In
January, 1962, and "some
months later," put them into
effect under bond, averaging
about 30 per cent, Hyde said.
The Increase was die firm's
first to about 10 years, he
added.
It was 11 months later, he
said, before the SUC render
ed a 3-2 decision denying the
increase, although Hyde said
the actual upshot was that
"the commission apparently
found it couldn't decide any
thing."
The telephone company lost
an appeal In McDowell Super
ior Court, where the court
also ordered that the c^mr
Rushin Roulette by Chon Day j
Tim Trarmhrt Safety S?rvtc?
Cortltttncti causot more accidents than bod roods.
cease charging under bonded
rates. Hyde said it required
a special writ id the Supreme
Court to get permission c>
continue charging rales under
bond.
In view of all that, he said,
"if this hill were passed, the
rules would be changed in the
middle of the game."
Speaking generally on all
large rate Increases made
under bond, Iredell Sen. James
E. Johnson questioned why
"does ? utility company wait
to get In loch shape to put
such a large Increase Into
effect? And why doea it take
so long to get a case decided?*'
Forsyth spoke only briefly
but In closing said thatNanta
hala has offered to sell Its
distribution facilities to Duke
"for about $4,000,000" and
has already collected excess
rates tmder bond In the amount
of $2,000,000.
Letter To The Editor
The Editor:
I would like to protest the
beer sdvertlsment that ap
peared in the Scout laat week.
Do you really believe that
beer belongs in North Car
olina? Did you ever look in
the fece of a 21 year old boy
whose broken body had been
pried out of the twisted metal
that had once been an auto
mobile and know that beer
had been the cause of it all?
Have you ever tried K> bal
ance the money brought Into
N. C. by all the things listed
In that ad against the tax
money that is spent to simport
Just one Jail, or one convict
who la doing time because of
beer? To say nothing of the
broken homes, heartache and
suffering of his family?
1 think the people of Clay
and Cherokee Counties have
registered their protest more
than once against the sale of
beer In our counties and I
don't think they are going to
appreciate it being advertised
in our local paper. v
If the beer advertisements
continue, you msy cancel our
subscription.
Sincerely yours,
Mrs. Enoch Hog sod,
Wame, North Carolina
Tar Heel... j
PEOPLE and ISSUES'
...By Cliff Blue
f"
Gil
INDIAN MOUND - Town
CrMk Indian Mowd in Mont
mery County nsar Motnt
Uead la proving to bo a fine
attraction anil a toe t. and In our
opinion holds possibilities far
beyond Its present scope.
The museum and reception
center will add to the pottney
of the restoration, and If real
live Indians could bs brought
In b have a part la the pro
ject, we think diey would bold
possibilities of being a real
Town Creek Indian Mound
might become one of the top
tourist attractions in Central
North Carolina.
The people of Montgomery
County, wotting with the De
partment of Archives and His
tory are ? bs congratulated
upon the accomplishments in
this Indian restoration pro
ject.
SHAD BAKE -Fridayafter
noon of last week some 300
men from central North Car
olina gathered In Aberdeen for
the 19th annual Aberdeen and
Rockfiah and Town of Aber
deen shad bake. Initiated and
continued under the leader
ship of Forrest Lockey.
Those shad bakes bring to
gether a galaxy of politicians,
office holders, civic and busi
ness leaders. The socials
were started years ago honor
ing the district highway com
missioner who at that dine was
D. B. McCrary of A she bo ro.
The shed bakes still center
around the highway officials.
Two highway commissioners,
Elsie Webb of Rockingham,
and Bill Horner of Sanford,
were In attendance Friday a
long with Highway Director
Bill Babcock and Assistant
Highway Chairman Roger
Jackson of Raleigh and many
others of the highway commis
sion.
Shad and shad roe along with
corn dodgers and coffee make
the appetizing and tasty plate
for the occasion.
WESTERN LEGISLATORS -
Western Legislators in the
General Assembly from some
18 or 20 counties in the West
bold breakfast meetings every
other week to discuss prob
lems of mutual Interest. Last
the Haywood County
Legislators, SenaBr Oral
Yawa and Rap. Brnaat Mes
aar, were boata at an *pa
dzlag and taaty coin try ham
breakfast In the Legislative
dtfrfU room B which they ln
vltad Senator Clarence Stone,
a few other* and myaelf from
the Piedmont and Beat. We
enjoyed the fellowship aa well
as the co 1*1 try ham.
ROTATION - Soma of the
legislator* led by SenaBr
George Snow are urging doing
away with the rotation agree
ment in the Sensorial dis
tricts where It has bean fol
lowed In the past. The feel
ing la that many of the Sana
tor* will ha able to gain more
seniority and influence by not
having lo skip Brats.
RE-DISTRICTING - It ap
pears that the House stands
ready B atgtport the Currie
re-districting plan offered by
SenaBr Currie of Durham.
However, the issue in the
Senate appears b be far from
' CONSOLIDATION - High
School consolidation in many
co unties of North Carolina
la moving ahead about like
grammar school consolidat
ion was in the early 20*8 to
form high schools.
LINDSAY WARREN - For
mer SenaBr Lindsay Warren
of Washington was a pleasant
vlsiBr at the Sir Walter and
at the Statehouse building a
few days last week. SenaBr
Warren, without a doubt was
the moat powerful figure in
the General Assembly during
the *61 session of the General
Assembly.
BONER - Standing in the
Sir Walmr Hotel a night last
week Commissioner of Agri
culture L. Y. (Stag) Ballen
tlne motioned us B come over
and when we did be introduced
us B a beautiful and charm
ing lady, saying: "I want you
B meet Mrs. Freeman." We
Bid Mrs. Freeman that we
were delighted b meet her,
and as a point of conversat
ion, ashed where she was
from. She replied, "Wash
ington." We started m ask
if It were "Washington, N.
C." when aomeone reminded
us that Mrs. Freemen w??tb?
wife of fta U.S.SecretaryM
Agriculture. However. Mr*
Freemen la a native of North
Carolina, being originally
from Wlneton-Salem.
COFFEE POTS -Governor
Sanford hasps a pot filled
with hot coffee In hie offMe
B eerve those who call Wf
him. President Clarence Srode
of the Senate alao keeps a.
coffee pot hot and! teedy b
hie office for himself ?>d hU
guests.
10 From WCC
Gain Society 1
CULLOWHEE - Thn Weeti
era Carolina students warp
initiated Into Alpha PU Sigma
national honorary spholasdg
society last wik,
Studenta are eligible for Ala
honor whan they have main
tained an average of W oik
of a possible 4X1 quality point
rating for a period of direi
successive quarters, with qf
least ninety quarter hours of
credit. ' ?
Betty Spring of Murphy was
one of the en initiated. 1
Betty 1> the daughter of
Mr. and Mrs. Jim Sprung df
Murphy. ,
Hawkins Rewion >
CULBERSON ? The chll(H
ren of the lets Paid and Fran
ces Hawkins bald their annual
reunion on Sinday, April 28,
at the home of Mr. and Mrs.
Joe Hawkins. >
Children attending were
Mrs. LUlie Henaley, Mrs:
Daley Arp and Mrs. Mettle
Arp, Isabella, Tetm.; Mrs'
Nettle Rice, Mineral Bltdf^
Ga.; Gay and Castell Haw
kins, Rt. 4, Murphy, andjoq
Hawkins, Rt. 2, Culberson.
Approximately 65 relatives ?
Including grandchildren,
great-grandchildren, and (led
great - great - grandchildren,
and friends attended the pic
nic dinner. All reported t gJod,
time.
t
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Route I
Murphy, N. C.
Your Phono or Neighbor'! Phono Numbori.
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loading to tho salt
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' ROUTE 1,
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