Morning journal and courier., 1881-05-07
Saturday Morning, May z. 1881.
SOME FACTS.


 In what was said in this column yesterday concerning the water question we referred to the notion which is more or less prevalent, that unless the city buys out the Water Con- pany this year it will never have another op- portunity to do it. There are some, we find, who really believe that there is something in the contract between the Water Company and the city which places the latter at the mercy of the former unless the change is made now. The idea seems to be that unless the city takes the property of the Water Company, the company can hereafter, with out let or hindrance, charge the city and the citizens what it pleases for water and fatten upon extortion and disregard of the rights of the people. Nothing is farther from the truth, as the facts show. That part of the contract between the company, and the city which provides for the purchase of the com pany's property reads as follows:
 'sIt is further mutually covenanted and agreed by and between said parties that said party of the second part (the city) shall have the right to purchase, at any time during the continuance of this contract, after ten years from the date of the same, all the franchises, property and assets of said company, of every name and description whatsoever, by paying to said company sum equal in amount to the capital stock of said company actually paid in by the stockholders and expended by said company in the construction of the works of said company, together with an in- terest of ten per cent. per annum on the sev- eral installments of said stock from the re- spective times when the same shall have been so paid in till the time of said purchase less all dividends declared by said compa-
 IL the payment of all the bonds and other lia- bilities of said company"
 When this contract expires the city is not left defenceless. It simply loses it's contract right. It retains the right to go to the Leg islature and procure legislation regulating the rates of the Water Company or author izing the purchase of the property of the company. The Water Company will mot be, when this contract expires, independent of all control, and if it should abuse it's priv ileges it could be easily reduced to it's proper place.
 The city can also, if it pleases, renew the contract now existing between it and the Water Company. The contract says on this point
 s'It is further mutually covenanted and agreed by and between said parties that said party of the second part (the city) shall have the privilege of renewing this contract upon terms to be fixed by committee appointed by judge of the Supreme Court of the State of Connecticut, upon the application of said party of the second part, unless the terms of renewal can be agreed upon by said parties, Said committee shall consist of three persons of whom one shall be an indifferent person who shall be neither resident of said city nor stockholder of said company. One shall be both resident of said city and 8 stockholder of said company, and one shall be resident of said city and not stock holder of said company"
 From the above it will be seen that the city can make a new contract with the Water Company, or if it makes no contract and does not buy the property of the company, it can at any time obtain control of it through the Legislature and in that way also regulate water rates. What is to be gained, therefore, by buying the waterworks now ?-.---s~-- r>---