The Corvallis gazette. [volume] (Corvallis, Or.) 1862-1899, 1891-03-27
MUNICIPAL OWNERSHIP OF PUBLIC
WORKS OR NOT?

ed the city of Corvallis by the 81 legisla-
ture empowers the city to assume bonded
Indebtedness for certain purposes Among
other things for the purchasing and main
| tanning of certain works in their nature
public under which head may be classed
| electric light works and water works
As your readers probably all know, there
are now in operation in this city electric
light works and water works supplying
light and water (natural agents) to such of
the citizens as are disposed to use the arti-
| fetal product as furnished by these COM
panies; and the city using of both. In
speaking of tho products of these companies
L shall treat them as artificial agents. For
although the water is not artificial yet it is
conveyed to the consumer by artificial
means and for the purposes of this article
any technical objection to the terrn is i'm
material.
Each of the companies have certain rights
granted them by the city government in
consideration of the establishment of their
works and of some other considerations
not pertinent to this article; and the city
uses of both light aud water paying there
for rates agreed upon between the city and
the respective companies. I am not prepar
ed TO state the amounts which the city pays
for light and water annually. Street lights
and lights in municipal buildings and water
service for protection against fire are paid
for from the city treasury. The city con-
siders these agents necessary to its protec
ton. The truth of this statement may be
seen in the fact that it continues to use and
pay fof them.
In consideration of the rights or franchise
granted the Electric Lig ght and Water Com
panies, the persons, (artiticial persons) have
established works, for producing the artifi-
cial agents, at large expense and hazard pro-
portioned to the cost. But the franchises
are not exclusive. I will not argue the
propriety of exclusive franchise for works
of this nature. By assuming the risk of in
vestments of such magnitude on the
strength of their franchises, the patronage
guara anteed by the city and the probability
Of private patronage, it seems to me that
these companies have acquired some rights
which enter into the consideration of the
question, ''Shall the city buy them out or
not?" just how far those rights extend I
am not at present prepared to state.
| Doubtless in the event of purchase by the
city the companies negotiating the sale
would make due allowance for these rights,
Without entering into any discussion of
the fundamental principles on which good
government rests for I take as sound the
maxim that,
"For forms of government let fools contest,
Whate're is best administered is best"
I am inclined for the present to espouse
/ the doctrine of voc popaE von Del and sub
NIT my individual opinion to the desire of
the majority.
Therefore, ignoring the wisdom or folly
of establishing system which will give to
municipal authorities larger and increas-
ing power over the interests of the public,
we are confronted by the practical question:
Will the greatest good to the greatest num-
ber result from the ownership by the city
of electric light works and water works?
The consumer will answer yes. The tax
payer may say no. The present owners of
the light and water stocks are very likely
to say, pay me fair price and will SELL
More particularly is the Water Company in
position to treat literally with the city
because should the city establish indepen-
dent water works it would seriously affect
the revenues of the present company. One
thing is certain Corvallis must have suf-
ficient fire protection for no city is more ex
lies in the readiness of the water works to
supply water i'll an emergency.
1t is thought, II gather this from current
inteligence,) that by The city issuing bonds
sufficient to purchase these works, water
and light can be furnished at relatively
much lower rates than are now paid. 1t is
also affirmed, by those who have made esti-
mates for that purpose, that the revenues
obtained from these works at the lower
rate, will pay interest on the bonds and ac-
cumulate sinking fund which at maturity
will suffice to pay the principal on them.
The writer has not made such an estimate.
But if it be true that the revenues derived
from the lower rate will pay both interest
i and principal, then tbarring the wisdom or
folly of precedent) let us have municipal
ownership.
If this last conclusion be true the tax:
payer has additional burden. And if
the city can agree on an equitable price, for
these public works, with the present own
| ers, fail to see wherein any rights will be
violated. 1t may be objected that munich
pal ownership will make all property own
ers involuntary partners i'll the enterprise
| on the theory that the municipality is but
the exponent of an aggregation of individ-
uals. While do not admit the truth of
such a theory, for the municipal govern
ment is public corporation and can own
property as absolutely as an Individual,
still the theory has been thus advanced and
for such as hold objections to municipal
| ownership on that account have no conso-
lation at present to offer. II.