Los Angeles herald., 1892-02-11
Another Letter From the City
Water Company.
More Information About the
Cost of the Works.
A Big Syndicate Said to Be Ready to
Buy.
Major Bonsalps Letter to the Company
Mr. Perry's Reply-The Scheme
for q General Water
System.

tween the city and the local water COM
panies, with reference to the proposed
purchase of the water companies plants,
was ready for publication yesterday.
The letter of the chairman of the special
committee on water supply was in ac-
cordance with resolution passed by the
council next Monday. The reply ex-
plains itself. The documents are as
follows:
Los ANGELES. CAL, Feb. 8, 1892.
w, III. PERRY, President Los Angeles City Wa
ter company:
DEAR SIR: The council will meet
Thursday at 10 O'Clock a. m. for the pur-
pose of fixing the water rates for the
coming year and would be pleased to
have you present with such officers of
your company as you may desire for the
purpose of giving such information to
the members as will enable them
to fix such rates as will be reasonable
and just.
Your reply to the last communication
of the special water committee is not as
explicit as the council or public might
desire, and on behalf of the committee
| ask you-not intending to commit the
council to anytbing-if there is any plan
by which all existing water companies,
exercising their franchises. can be unit
ed so that if the city should desire it
might secure all of them at one time,
and, if if 50, under what conditions ether
than the one outlined in your previous
letter.
An early reply will oblige the COM
mittee. Yours, etc.,
(Signed) VIM. HI. BoNsALL,
Los ANGELES, CAL. Feb. 10, 1892.
Major W. HI. Bonsall, Chairman Special Com
DEAR SIR: Replying to yours of yes
terday: For over two years there has
been more or less discussion and agita-
tion of the subject of q proper water
supply for domestic uses, to the inhab-
itants of the city. While this discus
sion originated over the supply fur
nished to the hill portion of the city-a
district not supplied by our company
it has extended to the entire water
supply. shall not attempt to advise
you of the aims and desires of those
who have been instrumental in the
movement against the City Water COM
pany, as have no doubt you fully un-
derstand them, but / want to advise
you of the lines of action which we
would be glad to adopt, in answer to
your question, in dealing with this
matter.
We have submitted to the city an Of
fer to sell to it all the water properties
which we own or control that are con-
nected in any way with the water sup
ply of this city, and have given the
council price for the same. We will
not sell a part and retain the rest.
Rather than do this we will let our af-
fairs remain as they are until the end of
our contract, at which time the city is
compelled to buy the entire plant now
used in supplying the city with water.
We have no desire to be captious, or
ask more for the property than we be-
lieve is fair value of it, nor as much as
the engineers estimate would be the
cost to the city of the construction of
new works which would give similar
supply, to say nothing of valuable real
estate and water rights not taken into
account.
For more than two years we have ap-
preciated the need of one general sys-
tenn of water supply for the city, and
had made Hplans and estimates with
that end in view. But while we were at
this work schemes were originated by
persons having no source OF water sup
ply, nor means to lay a mile of main.
These schemes were hawked in the
eastern money markets, and each one OF
them represented that our company had
no rights, and that our property could
be purchased for trihing amount. In
the end they eliminated in PROPOSE
ton to us by strong financial syndi-
cate, which sent here and exported our
works, to buy all of our property Cat the
price given you in my previous commu-
nication), and by extensions and addi-
tions provide general system of water
supply equal to all the wants of the en-
tire city. They offer, if the city will
grant them water franchise for period
of fifty years, to turn over to it at the
end of that time the entire plant free
and clear OF all membranes, or they
will turn the plant over to the city at
any time after completion OF the works
upon the city giving them indemnity
against loss. Under this plan you can
see that the city can have water works
of its own, operated and managed by
its own agents, without the addition OF
one cent to the bonded indebtedness of
the city, nor any liability for any debt.
Yours truly, w. H. PERRY,
President Los Angeles City Water Go.