The New Orleans Democrat. (New Orleans, La.) 1875-1876, 1876-05-16
THE WHARF LEASE.

they cannot continue to make neces-
sary repairs. pay the interest upon the
wharf bonds and redeem the amount OF
bonds required by the lease.
The terms OF the present lease requires
tho lessees
/. To keep the wharves and landings
in repair. and return them IN good order
to the city at the expiration OF four
| wears and eleven months from the date
of the lease.
Q. To pay the city for police, lights
and expenses, per month, $4,000.
g. TO pay the city, account steamboat
Judgment, 1888 per month.
A. TO pay the interest upon all wharf
bonds and redeem eleven bonds per
month.
The lessees now ask the city to relieve
them from paying the $4,000 per month
to the city and to extend their lease two
years. The bondholders are asked to
grant q suspension of the interest and
redemption payments for twelve and
eighteen months. when payments nre
to be resumed 1t ia manifest that the
city cannot reluuuish the $500 per
month, as there arc no other means pro-
yided in the existing budget for police,
lights and expenses of the wharves.
Even were this not the case, q section or
the lease in question deprives the pres
ent Council. or any subsequent Council,
Of the power to relieve the lessees Of
any Of the obligations OF the lease.
We apprehend that it would be I'M
wise upon the part OF the lessees. the
bondhodels, or the City Council to
default in the payments required to
satisfy the compromise made between
the steamboatmen and the city. and
thus reopen litigation which might
result disastrously to all parties to this
lease
The tax levied upon commerce
through onerous wharf rates is now eX-
citing attention throughout the country.
In all the Western cities that border
upon the Ohio and the Mississippi rivers.
this subject Is eliciting the profound
attention OF the steamboat interests,
and active measures Of resistance are
being devised: in fact, we understand
that contributions are being made to Sc
cure proper representations to Congress
by which legislation is demanded abso-
lutely prohibiting all wharf dues along
the Western waters, thus throwing the
expense Of whurves upon the cities.
We have an example OF the per
~, rf ha r. To
in our own neighboring city OF Calves
ton. The enormous wharfrates charged
by private corporation inStigated Mr..
Morgan to dig a ship channel to Hous-
ton, by which millions in trade are lost
to the Island City.
Although our rates are not quito 80
high, these facts may be taken as
warming by our city government that
the rights OF commerce and the welfare
of our city demand the earliest practi-
cable reduction Of rates, instead OF con-
sidering, for an instant, the suggestion,
which we understand has been made,
that the rates be raised to meet existing
difficulties.
The Supreme Court Of the United
States, in deciding the case of Cannon
VS.. Now Orleans, 10th Wallace, y. SIT,
said that the city could charge a reason
able compensation for the use and
maintenance Of the wharves and land
ings." But it is quite questionable II
the court would sustain the present
rates as a reasonable compensation.
There seem to remain but two points
in the demands OF the lessees left for
serious consideration.
l. Will the bondholders consent to an
abatement Of their claims?
g. Will the city extend the lease for
two years?
The first proposition seems to be an
swered by the bondholders refusing to
accede to u suspension OF payment OF
interest or principal.
The second proposition is equivalent,
il our opinion, to the Council donating
over two hundred thousand dollars Of
The public revenues for the benefit OF the
lessees and the hondholdcrs. We base
this opinion upon the Information gath
cred from wharf builders, official data,
and from figures admitted by both les
sees and bondholderS.
The report Of the City Surveyor, now
before us, shows the area Of wharves re-
quired to be repaired by the city is
1895 squares Of 100 superficial feet. All
parties admit that twenty-five dollars
per squale is a full price for new work.
1t is admitted that a wharf properly
built should last five years. From these
facts, it appears that the total COST of
construction Of all the wharves should
be about $3.50, $50, or an average per year
of S66,630 Estimating for caving
banks, bulkheads and shells, it is
but fair to allow about Is per cert
in addition, or say gross expen-
diture per year of about $4,000 for
repairs Of wharves and landings. to
which add per year $4,000 due under
;,,Jrr,apf npd Gao OO0 nor war for ny-