The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1886-06-12

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and demonstrations OF all claimed foi
them, the Districi wished to purchas,
them, that they would sell to the Dis
trict and take sixpsr cent bonds fol
the plant at whatit cost them. They
also stated that tie works would be
constructed inside of the city limits
or the company would agree to he
taxed as il they we're situated within
the city limits. They also stated thai
they had organized end that they
We're in position TO contract ard be
| bound.
Judge Graft, onbehsli of the Mem.
phis Gas Light Company, submitted
the following proposition:
To the Honorable legislative Council Of the
Taxing District VI Shelby County:
The Memphis Gas Light Company
has heretofore made TO your honor
able body certain propositions in ref
ence TO the made and terms of its ex.
ercise of its charter franchises in this
city. No one OF these propositions
has been sc,ed upon as yet by your
bOuyg anu uCIts
by to withdraw them all.
The Memphis Gas Light Company
now makes, all Others having been
thus withdrawn, the following, as a
new proposition wholly distinct from
the others.
We propose TO light the city, in all
ite Departments free Of chsrge. This
service is to be 10 the full extent Of
the reasonable needs Of the city, and
may, il is nsidereo desirable by the
CounCil or this company, be specifi-
cally defiued by contract. We now
propose this free service for the pc iod
Of ten years with the privilege to the
Council, at its own option, to renew
the arrangement fU each succeeding
period of ten years curing the conlin-
uance OF our chartt:. So long as the
agreement for this service shall be
thus kept in force this company will
not charge the citiRns OF the Taxing
District for gas furnished them a price
exceeding 81 per thousand cubic feet,
We further propose that whenever,
under the foregoing provisions, this
company shall realiz4 from its opera
tions a net income Of per cent. upon
its capital stock, and enough in ad-
dition to pay the interest upon its
bonds, all the surplus shall inure and
belong TO the Taxing District; and
said District may Contro' and use such
surplus in reducing the income to the
limit Aforesaid, bylowering the price Of
gas to citizens, or, may other wise APP
ply it in the discretion Of the Council.
This company will submit TO and
stipulate by contract for any reason
able regulation, and share on the
part Of the Council in its manage.
ment and contro, as to the Council
may seem necessary and proper in
order to secure the full performance
of what is here proposed, and in order
to protect the interest which may
inuie to the Taxing District by the
increase of the net income OF the COM
pany beyond the limit herein specified.
MN. JONES, President.
In modification and exploitation OF
the foregoing Proposition, this COM
paDy adds: The pfopo sitions for free
lighting embr,ces the lighting OF
streets and alleys, as well as offices,
perks, etc.
Second-The net profit or income
means what remains after payment of
the expenses Of operation, repairs
necessary end office expenses. The
dividend of Z per cent. is the dividend
upon the present capital stock, and
the interest on the bonds is the inter
est on the $4,000 Of bonds now out.
standing.
Third-An Improvement accCuut
is to be KEEP separate from the ex-
pense account, which will show all
money expended in extension and en-
largement of the mains and pipes and
works, and at the end OF any period
of ten years under the above proposi-
ton the Taxing Dis riot shall have
the privilege OF buying and owning
the works of the company as then ex-
listing by paying therefor the amount
of the bonds and the face value of
the capital stock, and one-half Of the
annual expenditure for the improve
ment account. And if the Taxing
District shall not choose to buy the
works, then an interest of one-half in
the improvements and extensions of
the works, after paying to this COM
pany per cent. IN cash on better
ments, in the way of dividends and
interest on the bonds, shall belong to
the Taxing District.
The contract TO be made under this
proposition, If accepted, shall 60 into
effect on the LIST of July, 1886.
N. NJ. JONES, President.
The committee, after considering
the two propositions in all of their
lights and bearings, adopted the
proposition OF the Memphis Gaslight
Company, and will recommend it to
the Council for adoption and con-
tract, which the Taxing District attor-
ney was instructed to prepare and
have ready.