, 1876-08-13

al Ime- They could mortgage future gen
erations, and make contracts that woult
amount to 3 confscation of property. NJ
such authority will be sanctioned by the
Courts, and it is exceedingly doubtful whethel
any contract would be held to be valie
which extends beyond the municipal year fol
which the appropriations are made to meet
the requirements of the contract. Ths
thing for the Council to do, therefore, is tc
test the validity Of the existing contracts, tt
order a change Of burners to 3-feet, and liz
upon fair and equitable price to pay the
gas Companies per 1000 feet. If the gas
companies do not want to abide by these
terms, let them sue under their contract, OF
take the responsibility Of turning of the gas
from the street-lamps if they choose. The
city: can then resort to oil until they bo
brought to terms, or other companies on a
new basis can be got into operation.
The Council have already taken the first
step in this direction by ordering change of
burners. Even with the nominal use Of g.
feet burners, the way in which the gas COM
panies make out their bills brings it up to s.
feet consumption, justas their bills frequent
" showed 3 fleet consumption, while the
contract called only for 5-feet burners.
The gas companies claim that, in order
to get pressure of feet at the
outskirts of the city, it is necessary for the m
to furnish d pressure that burns feet in
the immediate vicinity Of the works, and
graduates down through Gt, 6, and s., till the
5-feet pressure is reaclled in the lamps 10
Gated at the greatest distance from the
works. It is On this theory that, while nom
inally furnishing gas for 5-feet burners, they
have been collecting at higher rate of con-
sumption. The Council should insist on
paying only for 3feet burners, and at a rate
which they may determine to be fair and
equitable. allowing IS cents per 1000 as the
cost Of manufacture and the interest on the
capital actually invested, with fair margin Of
profit.
The gas companies, like the railroad CON-
panies, generally have some mems, either
by watered stock or otherwise, Of represent
ing q nominal capital largely in excess Of
their actual investments, and claiming the
right to earn an interest on that capital. But
the people Of this country hava about got
through paying interest On fictitious capi-
tai for the benefit of mouopolies, and gas
companies must come down to the hard-pan
as well as railroads and other inflated insti-
tutions. Thus Mr.. BILLINGS, of the West
Side Gas Company, is believed to have been
loan in London to the amount
Of $4,500,0 900 on the West Side gas works
and franchise. II he has actually made such
i loan, it amounts to selling the West Side
gas works to company Of English,nen for at
least one-third more than he wanted the city
to pay for them two or three years ago.
Yet the gas-consumers would be expected to
pay such rates as will yield the usual divi-
lend on this inflated and fictitious capital.
The people will simply refuse to do it, aud
;he City Government should exercise its plain
authority to be the first to insist
1pon fair treatment The gas expenses of
his city form the greatest single abuse of
public affairs, and it is time to correct it.
Probably 100000 q year, at least, can be
aved without doing the gas companies any
Injustice and, if they are too obdurate to
:oncede fair TERMS the City Government
must take steps to enforce them