, 1877-07-08
THE CITY GAS CONTRACTS,

We understand that hlr. BILLINGS, the
President of the West Side Gas Company.
has about concluded to make terms with the
city rather than carry on the legal war IN
which his Company WAS SO badly worsted by
true, it is wise decision. It will be use
less qualification Of obstinacy, and bring Mr..
BILLINGS Company no profit in the end, to
appeal from Judge DnuMMosp's decision.
Besides the exceptionally high standing of
tho Court, and the recognized learning,
principle of the decision commends itself to
the common sense Of justice, and is in keep
ing with tho principles laid down by the
United States Supreme Court recently in tho
Railroad aud Warehouse cases, This princi-
pie, simply stated, is that the public
has rights which cannot DO bartcrad or mort
gagged away indefinitely by it's transient
agents, whether Us members Of q Sta:e Leg
islature or Municipal Council. Applied in
the case OF gas contracts it means in effect
TINT the city cannot be lawfully bound to Il
contract for lighting streets extending be-
yond the term for which appropriations nre
made to carry it ut,-a term which, under
the laws of this State, is limited to one year.
ANY other construction Of the law would
concedo the right to any set Of irresponsible
or corrupt Aldermen to bind the taxpayers
of city to bad contract extending far into
future ganerat:ons. The ncgation of such a
doctrine is not likely to be set aside in this
country.
It is obvious, therefore, that it is in the
mutual interest Of the city and Mr.. BILLINGS
to agree upon terms. The city needs gas and
ought to. be able to purchase it at better ad-
vantage from an established company than
by chartering new company Mr, BILLINGS
has gas to sell, and can better afford to sell
to the city at reasonable price than lose
his heaviest consumer. The Gas Company
controlling tho territory in the North and
South Divisions of the city recognized the
force Of this argument without awaiting
decision of the Court invalidating the old
contract; it will be folly for the West Side
Company to contend any longer. At the
same time, it is proper that the City Council
should recognize all the equities which 1Ir.
BILLINGS can fairly claim for his Company.
Judge DRuMs1oSD, in his decision. said
that the ncquiescence of the city in
the old contract was SO long continued,
and the equity of the Gas Company
go strong, that he would be inclined to hold
the city to the contract il be could do so with
out affecting the rights of the public. It is
proper that the Council should take some ac-
count Of the extension of the works, mains,
and pipes under orders of the city into dis
tricts where there is little or no private con-
sumption. Mr.. BILLINGS claims that his
Company has now forty-eight miles of pipe
laid where there is not single private con-
sumner, and that the waste Of supplying these
pipes solely to provide for stroet-lamps,
which burn only three feet and nre located
200 or 800 feet apart, is SO large that he is
entitled to price considerably in advance of
hat paid on the North and South Sides.
This difference has always been recognized,
and to what extent it exists may be dem |
to the Council by Mr.. BILLINGS, if |
le chooses to show his mnps and books.
4 settlement of price ought to be made at
'nce, and, of course, this should be the rate |
or the city to pay from the time Of its noti- !
ication that it would no longer be bound by |
he terms Of the old contract. So long rs
S1,5o per 1000 feet is regarded as fair
md reasonable price for city gas in the
North and South Divisions, So per 1000 is
certainly enough to pay for the West Side
,as. Some Of the Aldermen think that
ii. Is would be reasonable rate, but We
hink majority of the Council would agree
o pay 50 per 1000 feet. Mr.: B11LRGs,
re understand, thinks his Company should
eceive $2.25, but it will be unwise on his
'art to contend for this obstinately. We do
lot think the Council will agree to the
payment Of any such price, aud certainly the
'eople will not approve of it; for the pay
nent Of $2.25 to the West Side Company
vould warrant the South Side Company in
skiing $l.75, as the difference in cost Of
and the outlay in proportion to