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res application too low

31st January 1975
Page 19
Page 19, 31st January 1975 — res application too low
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Which of the following most accurately describes the problem?

is said to be the first case of its kind, the Northern 7ommissioners, acting under Regulation 46 of the ;ervice Vehicles (Licences and Certificates) Regu952 (as amended in 1957 and 1961), have, without ion or publication, increased fares on Cleveland ius services.

'as done to meet an emergency situation in which the frig faced increased costs of £11/4 m since August, le Commissioners considered the Joint Transport :ee's own application as unreasonable, with fares ) low having regard to the commitments. Instead ited increases of lp on 3p fares, 2p on 4p fares and others.

and Transit is the trading name of the Langbaurgh, )rough and Stockton-on-Tees joint transport ee, which succeeded Teesside Municipal Transport 1, 1974.

emergency sitting in December, the Commissioners I by Mr W. R. Holland, general manager, that the proposed would bring in an additional £553,000 a m if this was granted there would still be an estilicit of £528,000 in a full year.

Idertaking was losing £7,000 to £8,000 a week at fares and this would rise to £20,000 in January, when local pay awards were implemented. A grant would reduce this to £10,000.

The undertaking had no power to precept from the rates, no powers for borrowing and no money in reserve other than for depreciation.

In reply to the chairman, Mr J. A. T. Hanlon, the general manager said six proposals were put to the JTC, two of which were calculated to cover the increased costs and provide a small reserve.

Additional £1,133,000

Directing that the application should be substituted by proposal three, which was estimated to bring in an additional £1,133,000 as against £1,200,000 in increased costs, Mr Hanlon said it was vital the undertaking should be :kept going on a proper financial footing.

The order was made for eight weeks from December 29 and the Commissioners gave notice on January 8 of their intention to make the increases permanent.

The constituent local authorities had 14 days to oppose this and submit proposals for rate precept or a further variation of fares. It is understood that no objection has been received.

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People: A. T. Hanlon
Locations: Cleveland

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